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★Mark us as a preferred sourceA recent study conducted by the European Commission’s Joint Research Centre (JRC) reaches a clear conclusion: the chemical recycling of plastics is unlikely to compete with virgin plastic on cost in the foreseeable future. Technologies such as pyrolysis and solvolysis remain economically challenging due to the additional processing and refining steps involved. Yet, this technology remains a vital component of the circular economy. Dr Richard von Goetze, Director Corporate Development at Interzero, points out that evaluating the process solely based on production costs overlooks the bigger picture. The real question is not whether the process is cheaper than producing new plastic, but whether Europe can afford to forgo additional recycling capacities that recover waste streams otherwise lost to incineration.
Complementary Rather Than Competing in the Circular Economy
The technology is often portrayed as a competitor to mechanical processes, but in practice, it functions as a complementary solution. Mechanical systems remain the preferred choice wherever plastics can be efficiently recycled into new materials. Dr von Goetze emphasizes that any plastic capable of being recycled mechanically at high quality should continue to be processed that way.
This complementary technology comes into play exactly where the technical limits of mechanical methods have been reached. Its greatest potential lies in processing plastic fractions that are currently difficult or impossible to treat mechanically due to contamination, complex compositions, or multi-material structures. The objective is to bring additional material volumes back into circulation and divert them from incineration, rather than redirecting established recycling streams.
Tomorrow’s raw materials are still being incinerated today. According to a life cycle assessment of Germany’s dual systems, around 75 per cent of sorted mixed plastics were sent for energy recovery. The real opportunity lies in converting at least part of these incinerated fractions into valuable secondary raw materials.
High-Quality Feedstock is Crucial for Chemical Recycling
The JRC study also highlights that the quality of the input material is a critical factor determining both the economic viability and technical performance of chemical recycling processes. Consequently, the targeted preparation of suitable waste streams is becoming increasingly important.
One prominent example is the joint venture between Interzero and OMV in Walldürn, Germany. The site hosts one of Europe’s largest post-sorting facilities dedicated specifically to this technology. Its purpose is to process sorted mixed plastic waste from Germany’s lightweight packaging collection system into high-quality feedstock. Thomas Herkert, Senior Vice President at Interzero, explains that the quality of the input material has a direct impact on the output quality. Therefore, continuous investments are made across the entire sorting value chain.
Regulatory Recognition Creates Investment Certainty
The European Commission’s study underlines the importance of regulation for future market development. Mandatory recycled content targets and European legislation, such as the targets outlined in the Packaging and Packaging Waste Regulation (Joint Statement: The PPWR and the future of the European circular economy), are expected to significantly increase demand.
Expanding industrial-scale capacity requires reliable regulatory frameworks. This includes recognizing the mass balance approach, which enables recycled raw materials to be allocated along complex petrochemical value chains. Dr von Goetze argues that these materials should receive broader recognition under Germany’s Packaging Act, extending beyond the current five per cent allowance for additional recycling processes. Such recognition would provide greater investment certainty for companies developing new sorting infrastructure.
A Circular Economy Requires Every Available Solution
The JRC study highlights a key fact: this technology is not a silver bullet. It is unlikely to replace virgin plastic on price in the near future or displace mechanical methods. However, it can play a crucial role in recovering material streams currently lost from the system. As resource scarcity intensifies, a successful circular economy cannot be built around a single solution. It depends on deploying every available technology where it can make the greatest contribution to resource conservation.
FAQ
Why is chemical recycling more expensive than virgin plastic?
According to the JRC study, technologies like pyrolysis and solvolysis involve additional processing and refining steps, making them economically challenging compared to the direct production of virgin plastic.
Will chemical recycling replace mechanical recycling?
No. It acts as a complementary technology for contaminated or complex plastics that cannot be effectively processed through mechanical recycling systems.
What percentage of mixed plastics is currently incinerated in Germany?
A life cycle assessment of Germany’s dual systems found that around 75 per cent of sorted mixed plastics are currently sent for energy recovery (incineration).
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