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New report reveals hidden cash in Australia's trash (17 Sep 2026)

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Independent Member for Curtin Kate Chaney has renewed her call for the federal government to reverse its retreat from national packaging reform, after a new report from Soft Plastic Stewardship Australia found that up to $330 million a year could be unlocked from Australia’s rubbish through simple changes to the recycling system.

The report, with economic analysis by economist Stephen Koukoulas, found that aligning the nation’s patchwork of kerbside recycling rules and packaging design with the needs of manufacturers would deliver a consistent stream of higher quality recycled material, saving costs and stimulating up to $2.6 billion of investment a year. It also found that making it mandatory for business to pay to manage waste from products such as bedding, clothing, batteries and soft plastics would fund the collection and processing that voluntary schemes have failed to deliver. Mr Koukoulas said the recommendations would add just nine cents a week to household costs, against productivity gains of between 28 and 55 cents per household.

The report comes as the federal government cites cost-of-living pressures as its main reason for pulling back from reform that business, recyclers and environmental groups had hoped would standardise packaging, recycling and remanufacturing.

Chaney said the report shows the patchwork of different rules in every state and council is the real cost of living problem.

“Walking away from reform isn’t a saving,” Ms Chaney said.

“Sophie Scamps MP and I set out a plan for this. Our joint policy ‘The Plastic Problem’ shows the Government doesn’t need new legislation. The power is already in the existing legislation. The Minister just has to use it. Environment ministers meet on Friday, and that’s the moment for the Government to reverse its decision.”

Independent Member for Mackellar Dr Sophie Scamps said the report made the case for action crystal clear, arguing that a nationally consistent, mandatory scheme would reward responsible businesses, prevent free riders and give recyclers and manufacturers the confidence to invest. SPSA chief executive Barry Cosier said Australians are confused by a fragmented bin system with different colours and rules from council to council, and that soft plastic recycling cannot be made more accessible until business participation is mandatory.

Among the report’s findings: soft plastics are Australia’s largest recycling market failure, with 94 per cent going to landfill; 35.5 per cent of recyclable packaging is not recovered; and 83 per cent of Australians want nationally consistent recycling rules.

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