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Circularity in regional Australia

The transformation to a circular economy is fundamental for sustainable economic growth and enabling the transition to net zero – which regional Australia is playing a crucial key role in.

Although there is broad research on circular economy practices in urban areas, there has been limited focus to date on the progress of the circular economy in regional areas.

The Circular Economy in Action: Regional Perspectives report explores how regional communities are fostering and advancing the circular economy.

But what is a circular economy?

In short, a circular economy is a framework that aims to reduce consumption, increase resource efficiency and reduce waste.

In contrast to a ‘linear’ economy, which extracts natural resources and generates waste, a circular economy is based on the recirculation of resources.

Adopting circular practices helps to reduce carbon emissions, as well as reduce waste, pollution and landfill. 

This is particularly important in regional Australia, as the regions will play a pivotal role in driving forward Australia’s net zero transition and are home to industries that are critical to this economic transformation: agriculture, food production, manufacturing and energy production.

The report makes nine key findings, which will be instrumental in driving forward discussion and the formation of policy in the circular economy space.

Circular Economy in Action: Regional Perspectives

Read the report

Leading regions capitalise on existing strengths

Regions with strong circular economy practices have leveraged their unique attributes. For example, Albury has utilised its location between Sydney and Melbourne to create a recycling hub that can service both major capitals. The Limestone Coast region, around Mount Gambier, capitalises on existing sustainable practices in traditional industries such as forestry, to lead the community in other circular economy activities.

Circularity creates new jobs and innovation

Regions taking an active role in circular economy activities are generating new jobs in areas such as waste management and demonstrating innovation in product development and commercial partnerships.

Regions face unique challenges

Many regions share common challenges that differ from urban areas. For example, transportation costs for materials and recyclable products in and out of regional areas impacts financial performance and viability of circular economy activities. Similarly, geographic isolation and small population size may inhibit investment. These challenges are often unique to regional Australia and need to be addressed in national policymaking.

Collaboration is key to advancing the circular economy

A circular economy requires systems level change; collaboration across multiple systems is critical. Regions leading circular economy activity demonstrate collaboration across multiple areas including public-private partnerships, educational and research alliances and cooperative endeavours within communities. Cooperative alliances enable innovation and help to address the challenges of economies of scale and geographic distance.

Regionally focused investment critical

Regional Australia requires focused investment to accelerate circular economy practices, addressing challenges unique to regional Australia, such as a lack of infrastructure, transport and geographical challenges and lack of useable industrial land for new facilities.

Lack of policy and regulation coordination between levels of government limiting regions

National and international regulatory frameworks to support circular economy practices are still developing. Current national and state/territory frameworks largely focus on waste management aspects of the circular economy rather than resource management and design. While there are well defined roles for the different levels of government in the circular economy, there is often a lack of coordination and supportive overarching policy architecture. This is limiting regional Australia’s ability to expand circular initiatives.

Individual leadership often the change catalyst

Individual influencers championing sustainable practices or innovations are often the catalysts for circular economy adoption and growth in regions. These influencers can be found in entrepreneurial organisations both nationally and locally, within councils or in community groups - highlighting the important role of encouraging individual champions.

Local government is a primary enabler of local initiatives

Local councils are pivotal in implementing circular economy strategies that fit local and regional needs, such as setting up community recycling or attracting recycling industries. Local councils rely on the support of state and federal policymaking and financial support to facilitate local activity that meets national targets.

Community involvement a critical success driver

Information, education and community engagement are critical to advancing the circular economy. The effectiveness of circular economy initiatives hinges on aligning efforts with community values and expectations, ensuring projects reflect community goals and are therefore supported and sustainable.

Interested in finding out more?

The RAI’s Circular Economy in Action: Regional Perspectives report provides an in-depth look at circularity, analysing current policy settings and highlighting circular practices underway in six diverse regions: Bega Valley (NSW), Limestone Coast (SA), Albury (NSW), Launceston (Tas), Rockhampton (Qld) and Central Desert (NT).

The Circular Economy in Action: Regional Perspectives report was funded by the Australian Government, in conjunction with the NSW, Queensland, South Australian and Western Australian Governments.

The quest to become Australia’s most circular community

In the face of recent challenges such as the intense Black Summer bushfires and the impact of the COVID-19 pandemic on local tourism, the Bega Valley on the South Coast of New South Wales has embarked on an ambitious circular economy transformation to address climate change and build sustainability across the agriculture, aquaculture and tourism sectors, as well as to protect and restore the natural environment and build community wellbeing.

Investigation uncovers more than 25,000 spare rooms across Central West NSW

The significant shortage of housing in regional NSW is well evidenced. It is also accepted that addressing this shortage will require innovative approaches in the short to medium term, as the delivery of new housing generally has lead times longer that what is acceptable to employers of a growing workforce. A short term level is spare capacity.

Tackling the transition to net zero in the food manufacturing industry

Understanding the sustainability challenges and opportunities for small to medium food manufacturing businesses in regional locations across Australia close to farm suppliers is important for the future growth of Australian manufacturing, and the achievement of net zero.