Waste Reprocessing Infrastructure in Scotland

2. The material value chain

Value of the reprocessing sector

Material reprocessing is an important step in our wider waste and resources system, and is essential to underpinning a circular economy. The waste and resources sector contributed over £750 million to the Scottish economy in 2021^[17], and the full material value chain had an estimated value of £23.5 billion^[18] across the whole of the UK, from the collection of materials from households and businesses, through to their final reprocessing into new products and resources. Recycling alone is estimated to be worth approximately £7 billion to the UK economy, particularly the recycling and reprocessing of metals.

The waste and resources sector in the UK employed approximately 147,000 people in 2021 in the collection, treatment and recovery of waste, with the majority working within front line collection services collecting waste and recycling from households and businesses. In Scotland, the wider recycling and reprocessing sector directly employs an estimated 12,000 people^[19]. Staffing levels required for reprocessing facilities are dependent on size and level of automation. For instance, a small Material Recovery Facility (MRF) with basic sorting equipment can operate with 10-30 staff members, whereas a large facility may employ up to 200 staff.

These figures do not include those working across the wider circular economy, including in renewable energy, repair and reuse, enabling roles such as leasing, engineering and digital technology, and indirect jobs such as in education, logistics and the public sector. Taking these into account, Zero Waste Scotland estimate that there are over 207,000 jobs generated by the circular economy - nearly 1 in 10 jobs in Scotland^[20].

Economy-wide material flows

An estimated 9.55 million tonnes of waste was generated in Scotland in 2023, the latest year for which data are available. Of this total, 5.92 million tonnes was recycled (62.2%)^[21]. Across the 15 material types assessed in this report for which data are available, Scotland generated approximately 3,617 kt of material for reprocessing in 2023, covering both separately collected material, and material separated during the sorting process. An estimated 550 kt^[22] of additional materials (just over half of what’s thrown away) could be theoretically available from household residual waste if fully sorted for recycling at the kerbside, with a further 95 kt of material that could be recycled at Civic Amenity sites^[23] (e.g. textiles). However, not all material collected can necessarily be recycled, for example if it is contaminated. Food waste is the largest component, with an estimated 330 kt disposed of within the residual waste. Other common items include drinks bottles, plastic pots, tubs and trays, paper and card and glass packaging.

Overall, 84% of material collected in Scotland for recycling was recycled in Scotland in 2023 (4,972 kt), with 16% (944 kt) recycled elsewhere. Scotland also imported 72 kt of material for recycling from elsewhere in 2023, 128 kt of material for energy recovery (mainly wood waste), and 220 kt of other waste (sorting residues) for incineration and disposal.

Across the 15 material types considered in this report, an estimated 3,198 kt (70%) was recycled, of which 2,279 kt (50%) was reprocessed in Scotland and 919 kt (20%) exported for reprocessing elsewhere. 376 kt (8%) underwent energy recovery (10% of material separated for recycling) and 43 kt (1%) was disposed via landfill. The remaining 21% of material assessed is estimated to be contained within residual waste, which is either landfilled or incinerated. Including all treatment types, 75% of material available for reprocessing was handled in Scotland, with the remaining 25% exported primarily to the rest of the UK or EU.

There is significant variability in both end of life outcome and reprocessing destination between material types (Figure 1). For organic wastes, construction waste, wood and glass, the majority of material arisings are either recycled in Scotland or subject to domestic energy recovery. However, for plastic, metals, paper and card the majority of material arisings are exported for recycling. There are also significant opportunities to increase the supply of material for reprocessing by diverting waste from disposal, particularly for organic wastes, plastics, paper and card.

50% of total material arisings within these categories were reprocessed in Scotland (blue hashed bars) and 20% exported for reprocessing outside of Scotland (purple bars). Of material separated for reprocessing, 10% was incinerated domestically for energy recovery (yellow hashed bars) and 1% disposed domestically via landfill (orange bars). Up to an additional estimated 953kt of material could be theoretically available for reprocessing if household residual waste was fully separated for recycling (white bars); this material is either incinerated or sent to landfill. Unsorted waste from Commercial & Industrial (C&I) and Construction & Demolition (C&D) are excluded, as data are not currently available.

A lack of domestic reprocessing does not necessarily indicate an opportunity for increased capacity. Reprocessing facilities can source input material from a range of sources, domestic and international, and require a minimum economy of scale which varies significantly for each material type. For example, organic waste facilities tend to be localised and can operate at relatively small scale, whereas steel reprocessing requires significant volumes of source material and operate at a UK-wide basis or beyond. For some material types, Scotland may have a comparative advantage, either due to the volume of available raw materials, access to clean and abundant energy sources, or specialist workforce and expertise.

This variation demonstrates that an understanding of the full material value chain is required to predict material flows and understand the policy drivers that create the right ‘pull and push’ factors to support domestic infrastructure.