GCC's energy edge positions region to lead global plastics recycling shift

By plugging recycling units into existing petrochemical hubs, and leveraging Al, the GCC can scale plastics recycling, while driving economic diversification, Devesh Katiyar, Partner, Strategy& Middle East, tells OGN

- BY ABDULAZIZ KHATTAK

WITH its combination of abundant low-cost energy and strong industrial scale providing a decisive edge, the Gulf Cooperation Council (GCC) is emerging as a pivotal player in the global race to close the widening plastics recycling gap.

This was highlighted in a report called ‘The Circular Opportunity: Scaling Chemical Recycling in the GCC’, by Strategy& Middle East, part of the PwC Network, together with the King Abdullah Petroleum Studies and Research Center (KAPSARC).

With a projected global shortfall of 35 million tonnes in recycled plastics by 2030, the report stresses that the GCC has the potential to close this gap, turning waste into opportunity and building a powerful competitive advantage, the report said.

In an exclusive interview with OGN energy magazine, Devesh Katiyar, Partner, Strategy& Middle East, brings into focus the GCC’s dual advantage—industrial scale and low-cost energy—in scaling chemical recycling.

Below are excerpts from the interview:

The New Plastics Economy report highlights the GCC's energy advantage in scaling chemical recycling. Can you explain how low-cost energy and petrochemical infrastructure position the region to close the recycled plastics demand-supply gap?

The combination of low energy prices and builtin industrial scale makes the GCC one of the few places that can bridge the growing global shortfall in recycled plastics, and gives it a real edge in making plastic recycling economically viable.

By plugging recycling units into existing petrochemical hubs, the region can turn plastic waste into high-quality recycled feedstock at lower costs, creating a ‘dual-feedstock advantage’ for the GCC region.