Malaysia, like many developing countries, has grappled with the increasing challenges posed by solid waste management. The nation’s rapid urbanisation and economic growth have led to a surge in waste generation, straining its waste management infrastructure.
To address this issue, the Malaysian government has embarked on an ambitious journey to transition towards a circular economy for solid waste management. YP Tuan Nga Kor Ming (Nga), the Housing and Local Government Minister, announced that the Circular Economy Blueprint for Solid Waste in Malaysia (2025-2035) outlined several long-term strategies and initiatives aimed at promoting public and industry participation in the circular economy.
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Understanding the Circular Economy
A circular economy is a model of production and consumption that aims to minimise waste and pollution while keeping resources in use for as long as possible. This model stands in stark contrast to the traditional linear economy, where resources are extracted, used, and discarded. In the context of waste management, a circular economy seeks to reduce waste generation, maximise recycling and composting, and promote the reuse and repurposing of materials. This approach significantly extends the life cycle of products and materials, promoting more sustainable and environmentally friendly production while also minimising waste.
Extended Producer Responsibility (EPR) Policy
One of the key components of Malaysia’s circular economy blueprint is Extended Producer Responsibility (EPR). This policy requires manufacturers to take responsibility for the end-of-life management of their products. It encourages them to design products that are easier to recycle, reuse, or repair, and to participate in waste management programs to collect and recycle materials from their products after their post-consumer usage or disposal. By shifting the burden of waste management from the government to the producers, EPR can incentivise more sustainable practices and reduce the environmental impact of products.
Zero Waste to Landfill Certification
Zero Waste to Landfill means that all waste generated will be either recycled, composted, or reused, with minimal waste going to landfills. A Zero Waste to Landfill Certification is being considered in the blueprint to recognise manufacturers who improve their resource efficiency and reduce waste generation in solid waste management. The planned certification will also be used to assess a producer’s eligibility for circular economy incentives.
Pay-to-Throw Scheme
Another key component of Malaysia’s circular economy blueprint is the Pay-to-Throw scheme. This scheme imposes a fee on businesses in commercial, industrial, institutional and construction sectors for disposing of waste in landfills. The goal is to incentivise waste reduction, recycling, and composting by making it more expensive to send waste to landfills. By introducing a financial cost associated with waste disposal, Pay-to-Throw can encourage businesses to adopt more sustainable practices.
Preparing Retail Businesses for the Circular Economy
Retail businesses play a crucial role in the circular economy. By adopting sustainable practices, retailers can not only contribute to a cleaner environment but also enhance their brand reputation and attract environmentally conscious consumers.
During the launch, Nga shared with reporters about the government’s goal of achieving a 40% National Recycling Rate by 2025. He announced that the Ministry of Housing and Local Government would be scheduling a meeting soon with major Malaysian retailers like 7-Eleven, 99 Speedmart, and Mynews.com to discuss strategies for achieving this ambitious target.
Starbucks: A Case Study in Sustainable Waste Management
Starbucks is one of the leading global coffee retailers that has made significant strides in its sustainability efforts. The company has implemented various initiatives to reduce waste, promote recycling, and support the circular economy. Some of Starbucks’ key waste management initiatives include:
Give rewards for using reusable cups
Starbucks is making it more convenient for customers to use reusable cups and reduce the number of cups that end up in landfills. Starbucks is the pioneering coffeehouse chain in the United States, offering customers the unique opportunity to use their own clean cups for all purchases at company-owned stores, regardless of whether they order in-store, through a drive-thru, or via mobile. Customers who bring a clean personal cup to participating Starbucks stores in the United States and Canada will be rewarded with a $0.10 discount on their beverages. In the United States, Starbucks Rewards members will also receive 25 bonus stars.
Since customers in the United States gained the option to use their personal cups for all orders, almost 400,000 Starbucks Rewards members have shown support, including 150,000 first-time customers. Additionally, 20% of their baristas are now using their personal cups for their shift beverage. As part of their ongoing commitment to sustainability, Starbucks in June distributed personal reusable cups to all employees in the United States and Canada. New baristas joining the team will now receive a reusable cup, along with their iconic Green Apron and coffee passport.
Make reusable cups the default option for to-go drinks
Starting in August, Starbucks is leading a collaborative effort in Petaluma, California, to make reusable cups the default option for to-go drinks. Unlike most reusable cup initiatives that rely on customer opt-in, this project involves a broad partnership between public and private entities, including competitors, with the aim of shifting consumer behaviour towards more sustainable practices.
For three months, eight Starbucks stores will participate in a reusable cup pilot, joined by 30 other restaurants and cafes in Petaluma. Customers can purchase hot or cold beverages in reusable cups and return them to over 60 purple drop-off bins located throughout the city. The cups will then be professionally cleaned and reused.
The reusable cups used in the pilot are purple and feature a unique design that includes a Starbucks-specific fill line. All cups are made from BPA-free polypropylene.
Improve recycling infrastructure through partnerships
Starbucks has partnered with recycling companies to improve waste management in its stores and has encouraged customers to recycle their waste properly. While their primary goal is to divert waste from landfills, they also recognise the need for a stronger recycling industry.
To support this, Starbucks has launched a new Partner Waste and Recycling App, developed as part of the Greener Stores Innovation Challenge. This app simplifies complex recycling guidelines for employees, providing store-specific information, notifications, a sorting guide, and customisable signage for employees and customers.
Starbucks is also actively collaborating with waste management industry leaders like the NextGen Consortium to enhance recycling infrastructure in the United States. Additionally, Starbucks has invested an extra $5 million to support NextGen’s efforts in developing sustainable hot cups and improving the recyclability of foodservice packaging.
By implementing these initiatives, Starbucks has demonstrated that it is possible for large-scale retail businesses to adopt sustainable practices and make a significant contribution to the circular economy.
What’s Next for Malaysian Businesses
In conclusion, Malaysia’s circular economy blueprint represents a significant step towards addressing the challenges posed by solid waste management. By implementing policies such as Extended Producer Responsibility, Zero Waste to Landfill, and Pay-to-Throw, the government is creating a framework that encourages sustainable practices and reduces the environmental impact of waste. Nga also announced that the Ministry had initiated a study to explore the feasibility of a Circular Economy Act, laying the groundwork for future implementation of the circular economy through comprehensive legislation.
Retail businesses, as major contributors to waste generation, have a crucial role to play in this transition. By adopting sustainable practices and embracing the circular economy, retailers can not only improve their environmental performance but also enhance their brand reputation and attract environmentally conscious consumers.
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