Unproven “Advanced Recycling” Facilities Have Received Millions in Public Subsidies
Schuyler Mitchell | October 31, 2023 | The Intercept
When oil and gas companies first launched their campaign to promote recycling to the American public, they pitched the process as a viable and sustainable solution to the plastic pollution problem. More than three decades later, however, the vast majority of plastic waste still ends up incinerated or dumped, less than one-tenth is recycled, and microplastics have been found virtually everywhere on Earth, including the human bloodstream.
The petrochemical industry is now pivoting to another solution: “advanced” recycling. The term, also known as chemical recycling, is used to describe a variety of approaches that can supposedly turn even the most hard-to-recycle plastics into “sustainable” fuels or oils and chemicals that can be used in new plastic production.
But a new, 159-page report, released today by Beyond Plastics and the International Pollutants Elimination Network, or IPEN, casts serious doubt on the technology’s ability to make even a modest dent on the world’s growing plastic burden. In the most comprehensive report on chemical recycling facilities in the U.S. to date, researchers looked at the operations of 11 companies across the country to examine the plastic industry’s claim that chemical recycling can significantly help reduce global plastic pollution.
“The science and data currently available do not support this claim and actually point to the conclusion that chemical recycling would support expansion of plastic production, while potentially causing unacceptable levels of environmental and social harm — as well as impacts on human health — through emissions, waste generation, energy consumption, and contaminated outputs,” the report’s authors write.
Researchers found that, collectively, the 11 facilities have the stated ability to process less than 1.3 percent of America’s annual plastic waste. Additionally, it was unclear if many of the facilities were even operating at their maximum stated capacity.
“For a lot of these plants, how much plastic they’ve actually processed is unknown,” Jennifer Congdon, a report contributor and deputy director of Beyond Plastics, told The Intercept. “There’s no requirement for public disclosure.”
Publicly Subsidized Failure
The lack of transparency surrounding chemical recycling facilities is especially concerning given the fact that five of the 11 plants have received public subsidies in the form of federal grants, state tax abatements, low-interest green bonds, or government loan guarantees.
The Brightmark Energy facility in Ashley, Indiana, for example, has received $4.55 million in grants and tax credits, as well as $185 million in tax-free bonds, according to the report’s findings. However, the plant is still operating in a test phase at one-fiftieth of its publicized capacity, four years after breaking ground.
Despite failing to achieve its production targets, Brightmark attempted to expand to Georgia in 2021 to build what would be the nation’s largest chemical recycling plant. The economic development group of Georgia’s Macon-Bibb County inked a tentative deal to provide $500 million in tax-exempt bonds to finance the construction of the plant, contingent on evidence that Brightmark’s Indiana plant was producing and selling product. Brightmark was unable to provide such evidence, and the project was officially killed in April 2022.
