Rethinking Plastics
A Circular Economy Blueprint
Steve Davies
Director – Public Affairs
NatureWorks
NatureWorks - Some Quick Context
Play
Ellen MacArthur Foundation – “The New Plastics Economy”
A Circular Economy Blueprint for Packaging Plastics
THE NEW PLASTICS ECONOMY
Rethinking the Future of Plastics
The Foundation aims:
• “to bring together for the first time
a comprehensive global
perspective of the broader plastic
packaging economy,
• “to present a vision and propose
a roadmap as well as a vehicle
for progressing this roadmap
• “to provide a much needed global
focal point to carry this agenda
forward…
“looking for systemic change to
overcome stalemates in today’s
plastics economy in order to move
to a more circular model…”
Plastics Production Increased Twenty-Fold Over
The Last 50 Years
• Production expected to double again
in 20 years, and quadruple by 2050
• Plastic Packaging is single largest
application (26% of total today)
Plastics Production Increased Twenty-Fold Over
The Last 50 Years
“Plastic Packaging is an iconic linear application…”
“95% of plastic packaging material value
(US$ 80-120 bn) is lost annually after a
short first use …
Ambitions of the New Plastics Economy Capturing the
opportunity
Sourcing
Manufacture
Use
After Use
Definition of Sustainable
Packaging
How the Plastics Industry is rethinking itself from a
Circular Economy Perspective
0
20
40
60
80
100
plastic characteristics - functionality and performance
After
Use
Sourcing
Use
Manuf-
acture
How
plastic
is recovered
How the
plastic
is made
What the plastic is made from…
Ideal Material
Current, Incumbent Plastics
Future…
Where do
Bioplastics
Fit ?
Let’s talk about bioplastics
sourcing & manufacture…
After
Use
Sourcing
Use
Manuf-
acture
0
20
40
60
80
100
Let’s talk about bioplastics
sourcing & manufacture…
After
Use
Sourcing
Use
Manuf-
acture
0
20
40
60
80
100
“With an expected surge
in consumption,
negative externalities
related to plastics will
multiply“
World Economic Forum, Ellen MacArthur Foundation and McKinsey
& Company,
The New Plastics Economy – Rethinking the future of plastics
(2016, http://www.ellenmacarthurfoundation.org/publications).
An Example: Negative Externality Resulting from Manufacture
2.3
2.2
1.8
1.6
0 0.5 1 1.5 2 2.5
Polystyrene
PET
HDPE
Polypropylene
kg CO2 (eq) generated /kg material produced
Source: PlasticsEurope www.lca.plasticseurope.org
An Example: Negative Externality Resulting from Manufacture
2.3
2.2
1.8
1.6
0 0.5 1 1.5 2 2.5
Polystyrene
PET
HDPE
Polypropylene
kg CO2 (eq) generated /kg material produced
Source: PlasticsEurope www.lca.plasticseurope.org
“If the current strong growth of plastics
usage continues as expected, the emission
of greenhouse gases by the global plastics
sector will account for 15% of the global
annual carbon budget by 2050, up from 1%
today“
World Economic Forum, Ellen MacArthur Foundation and McKinsey & Company,
The New Plastics Economy – Rethinking the future of plastics
(2016, http://www.ellenmacarthurfoundation.org/publications).
Implications of Renewably Sourced - Carbon Footprint Comparison
2.3
2.2
1.8
1.6
0.6
0 0.5 1 1.5 2 2.5
Polystyrene
PET
HDPE
Polypropylene
Ingeo
kg CO2 (eq) generated /kg material produced
EU Producers - PlasticsEuropem www.lca.plasticseurope.org
Peer Reveiwed Benchmarking
And Carbon Credentials Matter
• (November, 2015): “Unilever to become ‘carbon
positive’ by 2030”
• (Paris, November 9, 2015): “Danone commits to
ambitious new climate policy Target: zero net carbon
emissions within its direct and shared scope of
responsibility”
• (November, 2015): “Nestlé acclaimed as ‘world leader’
for action to tackle climate change
• (June, 2015): “Ikea to spend €1bn to tackle climate
change”
An Example – Bio PET in Packaging
After
Use
Sourcing
Use
Manuf-
acture
20% biobased
carbon today
both “revolutionary” and
“evolutionary” change is needed
“moon shot” examples
in the bioplastics space..
Bioplastics Directly from GHG
(methane)
“Mango Materials
produces a naturally
occurring biopolymer
from waste biogas
(methane) …
“the AirCarbon
production process
begins with
concentrated
methane-based
carbon emissions …”
R&D Program:
US Federal & State
level funding for one
step fermentation of
methane to lactic
acid, the Ingeo
building block …
Ingeo
“PHA polymers
(close functionally to polyolefin materials)
20© 2014 NatureWorks
What does “direct GHG conversion” mean ? …
Lactic
acid
methanotrophic
bacteria
cyanobacteria
NatureWorks Actively Investing in
Joint Collaboration & Development
NatureWorks' Continued
Assessment and Evaluation
The NatureWorks feedstock project is but one example of a rapidly
gathering critical mass of interest in the industry
in direct GHG conversion
Industry Wide Engagement & Interest
in “Next Generation Feedstocks”
6 - 7 December 2016, Maternushaus, Cologne, Germany
Let’s talk about bioplastics functional
material characteristics in use…
Sourcing
0
20
40
60
80
100
After
Use
Use
Manufacture
New Material Innovations Fuel Wholly
New Markets, Applications, and
Business Models …
“Bio-benign” materials choices for
manufacture
THE NEW PLASTICS
ECONOMY
Rethinking the Future of Plastics
Greenpeace’s
“Pyramid of Plastics”(1)
http://www.greenpeace.org/usa/wp-
content/uploads/legacy/Global/usa/planet3/PDFs/this-vinyl-house.pdf, p. 27
1.PVC
2. PU, PS, ABS, PC
3. PET
4. PE, PP
5. Biobased polymers
“Benign by Design” – rethinking toys
Sustainable Packaging Opportunity?
http://www.killthekcup.org/
The Challenge…
In 2016…
35.4bn
PLASTIC
CAPSULES
0 10,000 20,000 30,000 40,000 50,000 60,000
2012
2016
2020
Plastic Capsule Market Growth
Volume (Million Units) Value ($ Million)
‘16/’20 CAGR 8%
‘16/‘20 CAGR 10%
- AMI Consulting, Single Serve Beverage Capsules - Market Overview, 2016
Growth of Single-Serve Plastic Capsules
The Opportunity - Functional Compostable
Capsules
579 million kgs of
coffee
was consumed via capsules in
2016 by the 3 largest consuming
regions (USA, EU, AUS) in 2016.
Fills the Empire State
Building 2.6x1.
90% of brewed pod is coffee
valuable organics mostly lost
to landfill
1. Estimated based
on 13g coffee in
volume of average
K-Cup
Diverting Organic Waste from Landfill
We’ve designed functional Ingeo materials to perform in
multitude of capsule designs & components
CAPSULES
**For high & low pressure systems
Compression molding
Thermoforming
Injection Molding
FILM LIDDING
FIBER FILTERS
Nonwovens with custom
basis weight
FIBER LIDDING
Functionality in the market …
Nespresso System Compatible
Lavazza
Functionality in the market…
Lavazza Compatible Keurig Compatible
More…
Let’s talk about bioplastics after-use
Sourcing
80
100
After
Use
Use
Manufacture
Getting
Circular
A NatureWorks Example
Ingeo
Recovery
Options
Mechanical
Recycle  
Feedstock
Recovery 
Compost

Anaerobic
Digestion 
Energy
Recovery  
Landfill X X
Incumbent
Plastics Ingeo
Organics Diversion from Landfill
• US – “the 28% Opportunity”
• Where Composting infrastructure
exists, Compostable plastics like
Ingeo provide a tool for organics
diversion from landfill
Food
Scraps
14.6%
Other
3.3%
Paper
27.0%
Glass
4.5%
Metals
9.1%
Plastics
12.8%
Rubber, leather
& textiles
7.6%
Wood
6.2%
Yard
trimmings
13.5%
US Example: Total US MSW
Generation (by material), 2013
Source: Advancing Sustainable Materials Management:
Facts & Figures 2013, USEPA, June, 2015
Cultural Influence of Sports
“While 13% of Americans
say they follow science, 61%
say they are sports fans”
Source: National Resources Defense Council
nearly
300
313
Total Members
145
Teams
156
Venues
12
Leagues
GROWING PORTFOLIO OF SUCCESSFUL
CASE STUDIES IN ZERO WASTE
Recycling, Or, “How to avoid being part of the 86%)
• Most plastics (and bioplastics) can be recycled, yet very few are
• PLA Example:
– Long routinely recycled at post industrial level
– Initial collection programs beginning at consumer level
Collecting Converting End-Markets
• PLA bale
specification &
pricing set
• Flake specifications &
process development
underway
• r-PLA product
development
underway
Rethinking Plastics
After
Use
Sourcing
Use
Manuf-
acture
Rethinking Plastics
A Circular Economy Blueprint
Steve Davies
NatureWorks
Thank You
The
Circular Economy
in the
Asia Pacific Region

Rethinking Plastics

  • 1.
    Rethinking Plastics A CircularEconomy Blueprint Steve Davies Director – Public Affairs NatureWorks
  • 2.
    NatureWorks - SomeQuick Context Play
  • 3.
    Ellen MacArthur Foundation– “The New Plastics Economy” A Circular Economy Blueprint for Packaging Plastics THE NEW PLASTICS ECONOMY Rethinking the Future of Plastics The Foundation aims: • “to bring together for the first time a comprehensive global perspective of the broader plastic packaging economy, • “to present a vision and propose a roadmap as well as a vehicle for progressing this roadmap • “to provide a much needed global focal point to carry this agenda forward… “looking for systemic change to overcome stalemates in today’s plastics economy in order to move to a more circular model…”
  • 4.
    Plastics Production IncreasedTwenty-Fold Over The Last 50 Years
  • 5.
    • Production expectedto double again in 20 years, and quadruple by 2050 • Plastic Packaging is single largest application (26% of total today) Plastics Production Increased Twenty-Fold Over The Last 50 Years
  • 6.
    “Plastic Packaging isan iconic linear application…” “95% of plastic packaging material value (US$ 80-120 bn) is lost annually after a short first use …
  • 7.
    Ambitions of theNew Plastics Economy Capturing the opportunity
  • 8.
  • 9.
    How the PlasticsIndustry is rethinking itself from a Circular Economy Perspective 0 20 40 60 80 100 plastic characteristics - functionality and performance After Use Sourcing Use Manuf- acture How plastic is recovered How the plastic is made What the plastic is made from… Ideal Material Current, Incumbent Plastics Future… Where do Bioplastics Fit ?
  • 10.
    Let’s talk aboutbioplastics sourcing & manufacture… After Use Sourcing Use Manuf- acture 0 20 40 60 80 100
  • 11.
    Let’s talk aboutbioplastics sourcing & manufacture… After Use Sourcing Use Manuf- acture 0 20 40 60 80 100 “With an expected surge in consumption, negative externalities related to plastics will multiply“ World Economic Forum, Ellen MacArthur Foundation and McKinsey & Company, The New Plastics Economy – Rethinking the future of plastics (2016, http://www.ellenmacarthurfoundation.org/publications).
  • 12.
    An Example: NegativeExternality Resulting from Manufacture 2.3 2.2 1.8 1.6 0 0.5 1 1.5 2 2.5 Polystyrene PET HDPE Polypropylene kg CO2 (eq) generated /kg material produced Source: PlasticsEurope www.lca.plasticseurope.org
  • 13.
    An Example: NegativeExternality Resulting from Manufacture 2.3 2.2 1.8 1.6 0 0.5 1 1.5 2 2.5 Polystyrene PET HDPE Polypropylene kg CO2 (eq) generated /kg material produced Source: PlasticsEurope www.lca.plasticseurope.org “If the current strong growth of plastics usage continues as expected, the emission of greenhouse gases by the global plastics sector will account for 15% of the global annual carbon budget by 2050, up from 1% today“ World Economic Forum, Ellen MacArthur Foundation and McKinsey & Company, The New Plastics Economy – Rethinking the future of plastics (2016, http://www.ellenmacarthurfoundation.org/publications).
  • 14.
    Implications of RenewablySourced - Carbon Footprint Comparison 2.3 2.2 1.8 1.6 0.6 0 0.5 1 1.5 2 2.5 Polystyrene PET HDPE Polypropylene Ingeo kg CO2 (eq) generated /kg material produced EU Producers - PlasticsEuropem www.lca.plasticseurope.org Peer Reveiwed Benchmarking
  • 15.
    And Carbon CredentialsMatter • (November, 2015): “Unilever to become ‘carbon positive’ by 2030” • (Paris, November 9, 2015): “Danone commits to ambitious new climate policy Target: zero net carbon emissions within its direct and shared scope of responsibility” • (November, 2015): “Nestlé acclaimed as ‘world leader’ for action to tackle climate change • (June, 2015): “Ikea to spend €1bn to tackle climate change”
  • 16.
    An Example –Bio PET in Packaging After Use Sourcing Use Manuf- acture 20% biobased carbon today
  • 17.
  • 18.
    “moon shot” examples inthe bioplastics space..
  • 19.
    Bioplastics Directly fromGHG (methane) “Mango Materials produces a naturally occurring biopolymer from waste biogas (methane) … “the AirCarbon production process begins with concentrated methane-based carbon emissions …” R&D Program: US Federal & State level funding for one step fermentation of methane to lactic acid, the Ingeo building block … Ingeo “PHA polymers (close functionally to polyolefin materials)
  • 20.
    20© 2014 NatureWorks Whatdoes “direct GHG conversion” mean ? … Lactic acid methanotrophic bacteria cyanobacteria NatureWorks Actively Investing in Joint Collaboration & Development NatureWorks' Continued Assessment and Evaluation
  • 21.
    The NatureWorks feedstockproject is but one example of a rapidly gathering critical mass of interest in the industry in direct GHG conversion Industry Wide Engagement & Interest in “Next Generation Feedstocks” 6 - 7 December 2016, Maternushaus, Cologne, Germany
  • 22.
    Let’s talk aboutbioplastics functional material characteristics in use… Sourcing 0 20 40 60 80 100 After Use Use Manufacture
  • 23.
    New Material InnovationsFuel Wholly New Markets, Applications, and Business Models …
  • 25.
    “Bio-benign” materials choicesfor manufacture THE NEW PLASTICS ECONOMY Rethinking the Future of Plastics Greenpeace’s “Pyramid of Plastics”(1) http://www.greenpeace.org/usa/wp- content/uploads/legacy/Global/usa/planet3/PDFs/this-vinyl-house.pdf, p. 27 1.PVC 2. PU, PS, ABS, PC 3. PET 4. PE, PP 5. Biobased polymers
  • 26.
    “Benign by Design”– rethinking toys
  • 27.
  • 28.
    The Challenge… In 2016… 35.4bn PLASTIC CAPSULES 010,000 20,000 30,000 40,000 50,000 60,000 2012 2016 2020 Plastic Capsule Market Growth Volume (Million Units) Value ($ Million) ‘16/’20 CAGR 8% ‘16/‘20 CAGR 10% - AMI Consulting, Single Serve Beverage Capsules - Market Overview, 2016 Growth of Single-Serve Plastic Capsules
  • 29.
    The Opportunity -Functional Compostable Capsules 579 million kgs of coffee was consumed via capsules in 2016 by the 3 largest consuming regions (USA, EU, AUS) in 2016. Fills the Empire State Building 2.6x1. 90% of brewed pod is coffee valuable organics mostly lost to landfill 1. Estimated based on 13g coffee in volume of average K-Cup Diverting Organic Waste from Landfill
  • 30.
    We’ve designed functionalIngeo materials to perform in multitude of capsule designs & components CAPSULES **For high & low pressure systems Compression molding Thermoforming Injection Molding FILM LIDDING FIBER FILTERS Nonwovens with custom basis weight FIBER LIDDING
  • 31.
    Functionality in themarket … Nespresso System Compatible Lavazza
  • 32.
    Functionality in themarket… Lavazza Compatible Keurig Compatible More…
  • 33.
    Let’s talk aboutbioplastics after-use Sourcing 80 100 After Use Use Manufacture Getting Circular
  • 34.
    A NatureWorks Example Ingeo Recovery Options Mechanical Recycle  Feedstock Recovery  Compost  Anaerobic Digestion  Energy Recovery   Landfill X X Incumbent Plastics Ingeo
  • 35.
    Organics Diversion fromLandfill • US – “the 28% Opportunity” • Where Composting infrastructure exists, Compostable plastics like Ingeo provide a tool for organics diversion from landfill Food Scraps 14.6% Other 3.3% Paper 27.0% Glass 4.5% Metals 9.1% Plastics 12.8% Rubber, leather & textiles 7.6% Wood 6.2% Yard trimmings 13.5% US Example: Total US MSW Generation (by material), 2013 Source: Advancing Sustainable Materials Management: Facts & Figures 2013, USEPA, June, 2015
  • 36.
    Cultural Influence ofSports “While 13% of Americans say they follow science, 61% say they are sports fans” Source: National Resources Defense Council
  • 37.
  • 38.
    GROWING PORTFOLIO OFSUCCESSFUL CASE STUDIES IN ZERO WASTE
  • 40.
    Recycling, Or, “Howto avoid being part of the 86%) • Most plastics (and bioplastics) can be recycled, yet very few are • PLA Example: – Long routinely recycled at post industrial level – Initial collection programs beginning at consumer level Collecting Converting End-Markets • PLA bale specification & pricing set • Flake specifications & process development underway • r-PLA product development underway
  • 41.
  • 42.
    Rethinking Plastics A CircularEconomy Blueprint Steve Davies NatureWorks Thank You
  • 43.