News | August 14, 2025

Global Green Growth Institute And Indonesian Plastic Recycling Association Establish New Partnership On Sustainable Plastic Management

At the 2025 ASEAN Recycling Summit in Jakarta, the Global Green Growth Institute (GGGI) and the Indonesian Plastic Recycling Association (Asosiasi Daur Ulang Plastik Indonesia/ADUPI) signed a partnership agreement to strengthen a sustainable plastic recycling ecosystem in Indonesia.

According to data from the Ministry of Environment, plastic waste made up 19.75% of the country’s total waste, or approximately 6.76 million tons, in 2024 alone. Most of them come from household waste, but only a fraction of these is effectively managed or recycled, leading to environmental damage in coastal areas – piles of plastic bottles on Indonesian beaches, for example – and health consequences for the people.

In recent years, plastic recycling facilities and initiatives have become more ubiquitous in Indonesia, particularly given the uptake of businesses championing sustainability and environmental protection in their operations. However, the plastic recycling ecosystem still faces a range of challenges. These include uncertainty in regulations and policies that support innovative solutions, the lack of general waste separation and limited collection coverage, and the struggle that plastic recycling initiatives face in securing necessary funding to implement circular economy models.

The partnership between GGGI and ADUPI aims to bridge such gaps. ADUPI’s 500+ spans the full value chain — from petrochemical producers and packaging converters to waste operators and brand owners. These include recycling initiatives specializing in upstream activities, such as ensuring better product design for plastic packaging, to downstream activities, such as plastic waste management.

“This partnership will jointly identify investment opportunities between the two parties while simultaneously shaping the policy enabling framework. GGGI extends its technical and financial expertise to address critical infrastructure gaps in the recycling sector, and ADUPI mobilizes industry players within its membership, provides market insights, and ensures regulatory compliance,” said Christine Halim, Chairwoman of ADUPI.

The agreement is part of GGGI’s Plastic Circular Investment Initiative (PCII), which aims to mobilize approximately USD 60 million in investment to support the establishment of a sustainable plastics value chain in Indonesia. PCII is supported by the Ministry of Economy and Finance of the Republic of Korea through the Korea Green New Deal Trust Fund and is hosted by the Directorate of Environmental Affairs of the Ministry of National Development Planning (Bappenas).

“Around the world, GGGI supports its members and partners to tackle the global plastics crisis. Here in Indonesia, we are supporting the Government of Indonesia to identify, structure, design and implement innovative solutions for the circular economy, in alignment with the Circular Economy Roadmap and National Action Plan. We are very excited to begin working with ADUPI, as a leader in Indonesia’s plastic recycling scene, to actively address plastics circularity,” said Rowan Fraser, GGGI Country Representative for Indonesia, at the Summit.

Moving forward, GGGI and ADUPI will identify specific investment opportunities and begin matching recycling initiatives with potential funders and technology providers.

The public and plastic consumers in Indonesia are increasingly seeking products made from alternatives to conventional plastic, such as high-quality recycled plastic. “The timing of this partnership couldn’t be better. We hope GGGI and ADUPI can work together with the government to push for regulations that incentivize plastic recycling and make it more sustainable,” added Mr. Fraser.

Source: The Global Green Growth Institute (GGGI)