Governments have an important role to play in initiating and embedding the different phases of a circular economy. They can establish standards and guidelines and use government procurement to accelerate market development.
This has already begun in Australia. For example, recycled content is being used in infrastructure projects overseen by many jurisdictions, including Transport for NSW and the Queensland Department of Transport and Main Roads.
The National Waste Policy Action Plan 2019 emphasises the importance of governments using their purchasing power to address barriers to the adoption of a circular economy. By doing this, they can stimulate demand and create certainty for potential product and materials suppliers.50
Increasing demand for recycled products is a critical first step towards reducing Australia's reliance on export markets and developing domestic markets.
The Department of Agriculture, Water and the Environment recently released the Sustainable Procurement Guide to help Australian Government agencies buy more sustainably. It recommends purchasing goods and services that contain recycled content.51
" Increasing demand for recycled products is a critical first step towards reducing Australia's reliance on export markets and developing domestic markets. "
To support this approach, the Department of Agriculture, Water and the Environment and state and territory infrastructure delivery agencies should publish procurement targets for the use of recycled materials. The Department of Agriculture, Water and the Environment should also work with the Department of Infrastructure, Transport, Regional Development and Communications and agencies directly involved in the procurement of infrastructure to develop and embed procurement targets for recycled materials in government infrastructure projects.
One example of this approach is the Victorian Government's Ecologiq program and Recycled First policy. These aim to encourage the reuse of waste material by working across government to optimise the use of recycled and reused materials when constructing and maintaining infrastructure assets.52