Plastic Packaging, Sustainability &

The Circular Economy: Can they ever co-exist?

Dr. Gerald RebitzerDirector Sustainability

Amcor Flexibles

Sustainable Retail Summit26th October, 2018

*Source: IDC Study

Amcor at a glanceGlobal sales USD

9.3 billionEmployees

33,000+Sites

195Countries

40+

Amcor’s Sustainability track record

Waste to landfill reductions exceed 2011-2016 target

69%Greenhouse gas reductions exceed2011-2016 target

27%

Ethical audits, withindustry-leading results

Best Climate Disclosure Award from the Carbon Disclosure Project Included in Dow Jones

Sustainability Index(best in class in packaging / container sector)

6000+Novel materials & processes, biobased, recycling-ready, recyclable, optimized,…

Assessments

EcoVadis: with 65 points in top 2% of assessed companies

Project Barrier LeadChair of CEFLEX

Global outreach and collaboration:

2025 pledge to develop recyclable or reusable packaging

Ellen MacArthur Foundation partnership

Research and development breakthroughs

Optimizing life cycle benefits of packaging

Regional implementation of circular economy

We are embracing the circular economy and need to look at sustainability holistically

Sorting fact from fiction: What are the biggest environmental challenges of our time?

8

+2 °C

“safe” limit

Sea level rise by 2100

over pre-industrial average

temperature

relative to 1990 sea level

serious inundation

oceans become more acidic as

they absorb CO2

US and African corn, Indian

wheat

compared to today, awarmer atmosphereholds more moisture

Global warming if released

Scenario

Drowning cities

Ocean acidification Heat

Corn & wheat yields

% more heavy rain over land

Speciesat risk ofextinction

Really scary things

3-4 °C

tipping point

5-6 °C

nightmare

1,04 m Amsterdam bleached

Every Eurosummer aheatwave

13%

up to30%

Greenland ice sheet starts to disintegrate. Will take 50,000 years to melt with 2 °C warming, but will raise sea levels by 6m.-20%

dead

Risk of releasing huge amounts of CO2 & methane by melting of permafrost in Siberia and Arctic.

40%20-26%Italy, Spain,

Greece deserts-30-40%New York1,24 m

unknown unknownunknown

Risk of releasing ocean floor methane, causing runaway climate change. Possibility of mass extinction.35-42%

150% more acidicBangkok1,43 m

Climate change is the #1 sustainability challenge

Well-designed packaging is part of the solution

10

Source: IPCC

Energy supply 26%

Transport13%Industry

19%

Water and water waste 3%

Residential & Commercialbuildings 8%

Forestry17%

Agriculture14%

Environmental impact

Excess product waste

Optimal packaging

Excess packaging

Over-designed packaging

Under-designed packaging

Amount of packaging (weight or volume)

Environmental impact

Minimum environmental impact

Global GHG sources

Sorting facts from fiction:Is Circularity the only guiding principle?

Waste reduction Optimized conversion Logistics savings

Form/Filling/Seal

Retailing & Consumption

After use

Conversion & Distribution

Efficiency gains Waste reduction Energy reduction

Low impact materials Lightweighting Downgauging Post-consumer

recycled content

Material sourcing

PackagingLife Cycle

Improved reuse & recycling Reduced total cost of ownership

(e.g. green dot recovery fees in Europe)

Food/product waste reduction Logistics savings

Look to optimize the complete life cycle

Working towards recyclability and lower carbon footprint

Glass Jar withMetal Closure

Standard Flexible Packaging

Improved Flexible Packaging

Recyclable Flexible Packaging

200g

Sorting fact from fiction:Is using one mono material the solution?Can multi-layer packaging be recycled?

Material makes a difference

Thickness would increase from

0.1 mm to 35 cm

What we can learn from soft drink bottles

Mixed plastics and heavy

24.5 grams lightermono-PET bottle

Flexible Packaging:• Focusing on polyolefin-based materials (polyethylene, polypropylene) • Ongoing development of design for recyclability guidelines

Recyclability & lower carbon footprint for high-barrier packaging

200gproduct

127gPackaging

200gproduct

4.0gPackaging

200gproduct

3.9gPackaging

200gproduct

3.9gPackaging

Glass Jar with Metal Closure(separately recyclable where

systems exist)

- PP - PP with Amcor Barrier Coating- PP

- PET- Adhesive- Amcor Barrier Coating- PET- Adhesive- PP

- PET- Aluminium- PP

- Glass- Twist closure (steel)- Label

Standard Flexible Packaging with PET and Aluminium barrier

(not recyclable)

Today: AmLite HeatFlex with PET and metal-free barrier

Coming soon: AmLite HeatFlex with high barrier new mono-Polyolefin

film and metal-free barrier

200g

It starts with a pouch

Pouch is torn open and its contents eaten

Made into a new product

Goes through the recycling process and made into high-quality regrind material

Pouch is thrown into recycling bin

Goes into a bale and sold to a recycler

Recycling bin travels to sorting plant

From pouch to playtime: the polyolefin-based flexible packaging solution with a world of potential

‘Designed for recycling’ is meaningless if the packaging isn’t collected and recycled

Recycled

Recyclable

Designed to be Recyclable

Consumers reuse or recycle packaging

Consumer EngagementEducation, Awareness, Collection and Sorting,

collaborative initiatives with local and centralgovernments, as well as brands and retailers

PartnershipsEllen MacArthur Foundation, CEFLEX,

Materials Recovery for the Future, OceanConservancy, many others

Innovation

Infrastructures in place to collect, sort and recycle consumer packaging

Collection, sorting, recycling works in practice and at scale

Flexible packaging collection and recycling in Europe today

Not separately collected

Not recycled

Some collected

Waste to energy or exported or

landfilled

Most collected

Some recycled

100% Collection of flexible packaging

Some recycled

Sustainable end markets for all

secondary materials from recycled flexible

packaging

+ all recyclable materials

separated and sorted into

separate streams

Polyolefin-based, Paper-based,

Aluminum-based

materials

Engagement with industry, policy makers and cross-value chain organisations is critical

MATERIAL PRODUCERS FLEXIBLE PACKAGING CONVERTERS

CEFLEX Project Stakeholders

BRAND OWNERS AND RETAILERS COLLECTORS, SORTERS AND RECYCLERS SUPPLIERS, END USERS AND OTHERS

CEFLEX Project Stakeholders: Can you spot the retailer?

Look out for further developments on Oct 29th +200Orgs

Please get in touch

www.linkedin.com/in/gerald-rebitzer-sustainability

gerald.rebitzer@amcor.com

http://www.linkedin.com/in/gerald-rebitzer-sustainabilitymailto:gerald.rebitzer@amcor.com

Plastic Packaging, Sustainability &The Circular Economy: Can they ever co-exist?Slide Number 2Amcor at a glanceAmcor’s Sustainability track recordSlide Number 5Slide Number 6Sorting fact from fiction: �What are the biggest environmental challenges of our time?Slide Number 8Climate change is the #1 sustainability challengeWell-designed packaging is part of the solutionSorting facts from fiction:�Is Circularity the only guiding principle?Look to optimize the complete life cycle Slide Number 13Sorting fact from fiction:�Is using one mono material the solution?�Can multi-layer packaging be recycled?Slide Number 15Slide Number 16Slide Number 17It starts with a pouch�‘Designed for recycling’ is meaningless if the packaging isn’t collected and recycledSlide Number 20Flexible packaging collection and recycling in Europe todayEngagement with industry, policy makers and cross-value chain organisations is criticalSlide Number 23Slide Number 24+200OrgsSlide Number 26