Good practice:

ORPLAST - Financial policy to support the use of recycled plastics

In 2016 in France, about 4.8 million tons of virgin plastics were produced every year, creating 3.8 million tons of waste. Only a few parts of plastics waste were collected and sorted, and an even fewer part of recycled plastics were actually reused:
• Lack of knowledge and expertise from plastic producers
• Negative perception of recycled resins quality
• Virgin resins cheaper than recycled ones
• Cost to adapt the manufacturing process to include recycled resins

ORPLAST is a financial incentive policy launched to support and increase the use of recycled resins by plastic producers, and regulate the market of recycled resins (cost, supply, demand).

The support provided is divided into three pillars:
• Financial support for feasibility studies and assessments for the integration or increase of recycled resins use
• Financial support for investing into a sustainable production process
• Support for the supply to guarantee a competitive cost

The financial policy is implemented as a call for project for companies. Submitted projects must respect these criteria:
• Use of recycled resins in addition or as a substitute for virgin resins
• Use of recycled resins considered over the long term
• Evolution of the whole value chain to be considered

The direct beneficiaries of the good practice are plastic producers. The second indirect beneficiaries are the plastic recycling companies benefitting from the demand growth.

The good practice requires a financial support (€26 million for ORPLAST 1 & 2 combined) as well as a national coordination capacity (for selecting and accompanying the projects). The ADEME is responsible for launching the calls for projects, selecting the beneficiaries, and financing the policy.

Following the success of the first call, two other ones were launched in 2018 and 2020 (ORPLAST 2 & 3)

In total, 104 projects have been financed by ORPLAST 1 and 2, for a total amount of 26 million euros.
A survey conducted upon the beneficiaries highlighted these positive impacts:
- Increase of the use of recycled plastics : an average of 29 kt/year (high evolution for building and automotive sectors)
- Improved competitiveness (valuable competences over the market)
- Job creation

Several projects have been abandoned (change in the company priorities, end-product manufacturers not favourable towards the project, ORPLAST’s objectives considered as too high). According to a survey, the challenges were mainly due to technical issues (60%) and not related to the policy itself.

The financial tool could easily be transferred both at the regional and national level to any stakeholder, authority willing to invest in recycled resins use.
This financial tool covers the whole value chain and is therefore a way to support several types of stakeholders, companies and regulate efficiently the market of recycled resins.
A stakeholder responsible for the coordination and financing of the policy is required.