In August, the Malaysia Ministry of Housing and Local Government (KPKT) introduced the Circular Economy Blueprint for Solid Waste in Malaysia (2025-2035). This blueprint offers guidance on the development of a Circular Economy with the goal of reaching a 40% national recycling rate by 2025. It is structured around five strategic pillars:
The first strategic pillar focuses on governance and legislation, with the introduction of a mandatory Extended Producer Responsibility (EPR) policy targeting product manufacturers. This policy will be rolled out in phases, requiring manufacturers to collect and recycle materials from their products after they have been used or disposed of by consumers.
The second pillar is on guidelines and procedures, establishing a zero-waste-to-landfill certification to recognize manufacturers that enhance resource efficiency and minimize waste generation. This certification will also be used to determine a producer’s eligibility for incentives related to the circular economy.
The third pillar centers on utilising data systems to collect and analyse data across the entire waste management value chain.
The fourth pillar encourages development of facilities such as waste-eco parks and integrated waste management facilities.
The fifth pillar involves promoting the growth of the recycling and solid waste-based industries by offering incentives to companies, implementing a pay-as-you-throw scheme to encourage waste reduction, and investing in research and development initiatives.
An official from KPKT stated that the ministry had initiated a study into a potential Circular Economy Act in preparation for the implementation of the circular economy through comprehensive legislation in the future. This would include policies and regulations designed to support circular economy practices.
Additionally, an industry-led National Circular Economy Association (NCEA) will be formed to coordinate, plan, and advance circular economy initiatives throughout Malaysia. The NCEA will collaborate closely with the Circular Economy Council for Solid Waste (NCEC) at the national level, which was approved in the Cabinet meeting on August 23, 2023 to expedite the shift from a linear to a circular economy in solid waste management. The NCEC will also oversee the execution of all initiatives outlined in the blueprint.
