Parul Sood: Auckland Council waste solutions general manager says Oji Fibre Solutions won't affect kerbside recycling

There's concerns about how the closure of a South Auckland paper mill will affect kerbside recycling.

Oji Fibre Solutions will shut up just a week before Christmas - with the loss of 75 jobs.

It's the latest manufacturing firm challenged by high electricity costs, following Winstone Pulp International closing two mills.

Auckland Council waste solutions general manager Parul Sood says paper and cardboard collected from homes hasn't been going to the Penrose mill.

"It goes to various markets in Asia, because they sell paper and cardboard as a commodity in the markets - and we get a good price for it."

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Episode Transcript

Speaker 1 (00:00):
Ever due for Zeland, the LG paper mill in Penrose
is going to close. It's the latest closure related to
energy prices amongst other things, of course, but it is
also and this is important, the only paper recycling mill
in the country for all. Suit is Deputy Director of
Resilience and Infrastructure at Auckland Council, hyperoule Hi. Good to
talk to you again. What's going to happen to Auckland
is recycled paper.

Speaker 2 (00:21):
So the paper and cardboard that you were putting in
your recycling bill and still date, will still continue to
go overseas for recycling because the material that we collect
from your curbside, from domestic properties was not going to
the plant in Auckland.

Speaker 1 (00:35):
Right, Yes, so our paper in Auckland was going to
Malaysia anyway, wasn't it.

Speaker 2 (00:39):
Yeah, it goes to various markets in Asiel because we
sell paper and cardboard as a commodity in the markets
and we go for where we get a good price
for it.

Speaker 1 (00:48):
Yeah. Oh do we get paid for it?

Speaker 2 (00:51):
Y Apsolute recyclables are all treated as commodities, so they're
not just sent there for recycling and they're on charges
for that. We do get a price for it. There
is obviously we need to haul it there, so there
are shipping involved in it, but there is a price
at the end of it in terms of people buying it.

Speaker 1 (01:08):
So who does this affect the closure of the og
paper mill? Is this private companies who were doing their
own recycling of paper.

Speaker 2 (01:14):
There are some private companies that would be supplying material
to the ORG plant, but there are other There are
other councils that were providing material to Orgy as well.

Speaker 1 (01:26):
Okay, so potentially other councils that are going to have
to fall into line with Auckland and send it overseas
to Malaysia.

Speaker 2 (01:32):
That's right. I think as OGI talks about their arm
that collects paper and cardboard full circle, I think they
call it is going to then send it on to Malaysia,
so they will keep that continuity for service for those
councils and their other clients.

Speaker 1 (01:47):
Have you done the maths on whether it is better
for us environmentally to stick that paper on a ship
to Malaysia or stick it in the ground here.

Speaker 2 (01:55):
We definitely have done that work, Heather, because we need
to think about the life cycle of that product or
the packaging type and what does it mean to actually
make it, use it and then put it in landfill
or actually recycle it, even if it has to be
overseas and what does it replace in terms of virgin material?
And if you take all of that into consideration, it

(02:17):
definitely is better to recycle even if it has to
be overseased.

Speaker 1 (02:21):
Much better or just a little bit better.

Speaker 2 (02:24):
No, it is much better because it is actually replacing
virgin material and it is about closing the loop on
the product as well. I mean, it would be great
if you can do everything here in New Zealand, but
unfortunately that can't happen.

Speaker 1 (02:37):
Perul, thank you very much, really appreciate time. Parul's Deputy
Director of Resilience and Infrastructure at all Pland Council. For
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