Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Summary Report Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Contents ABBREVIATIONS AND ACRONYMS 5 ACKNOWLEDGEMENTS 6 EXECUTIVE SUMMARY 7 1. SIERRA LEONE’S PLASTIC SECTOR 12 1.1 PLASTIC MANUFACTURERS LANDSCAPE 15 1.2 PLASTIC RECYCLING LANDSCAPE 16 1.3 OPPORTUNITIES AND CONSTRAINTS FOR PLASTICS CIRCULAR 17 ECONOMY 2. PLASTIC UTILIZATION IN THE SIERRA LEONE TOURISM SECTOR 20 2.1 SIERRA LEONE TOURISM SECTOR IN BRIEF 20 2.2 MAIN USERS 22 2.2.1 ROLE OF THE INFORMAL SECTOR 24 2.2.2 CURRENT WASTE MANAGEMENT PROCESSES USED BY 24 TOURISM OPERATORS 2.3 BARRIERS TO REDUCED USE OF PLASTICS IN THE TOURISM 25 SECTOR 2.4 CIRCULARITY GROWTH OPPORTUNITIES 27 3. POLICY LANDSCAPE AND INITIATIVES TO REDUCE SINGLE-USE 32 PLASTICS IN SIERRA LEONE 3.1 PUBLIC-PRIVATE PARTNERSHIPS AS DRIVERS OF CHANGE 33 4. PROPOSED ACTION PLAN 38 ANNEX I: REGULATORY FRAMEWORK IMPACTING THE USE OF 42 PLASTICS IN SIERRA LEONE Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification FIGURES Figure 1: Plastics manufacturing value chain 13 Figure 2: Import of plastic raw materials and finished plastic 13 products for Sierra Leone Figure 3: Import of different types of finished plastic products 14 Figure 4: Plastics sub-sectors in Sierra Leone 14 Figure 5: Key plastic manufacturers, their main products, and main 15 plastic material processed Figure 6: Key plastic recyclers, their main products, and main plastic 16 material processed Figure 7: Average annual plastic utilization of SUPPs per tourism 23 operator Figure 8: Waste management practices in the tourism sector in 25 Sierra Leone Figure 9: Textile bags for plastic bags substitution 30 Figure 10: Refillable cosmetics for dispensers 30 Figure 11: The four key options for reducing SUPP in Sierra Leone 35 Figure 12: The Time line for action plan 41 TABLES Table 1: Tourist facilities in Sierra Leone 21 Table 2: SUPPs frequently used in the tourism sector 22 Table 3: Plastic waste produced by the type of tourism operator 22 Table 4: Prevailing plastic products and potential alternative 27 material solutions Table 5: Industrial stakeholders for green and sustainable product 28 Table 6: Initial analysis of high potential solutions for new value chains 28 Table 7: Early Adopters, Phase 1 31 Table 8: Grouping of the activities to reducing SUPP 37 5 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Abbreviations and Acronyms AID SL Advocacy Initiative for Development Sierra Leone CE Circular Economy DfID Department for International Development EAC East African Community ECOWAS Economic Community of Western African States EDW Entrepreneurial Discovery Workshop FCC Freetown City Council FCDO Foreign Commonwealth and Development Office GDP Gross Domestic Product GoSL Government of Sierra Leone HDPE High Density Polyethylene LDPE Low Density Polyethylene ME Ministry of Environment MF Ministry of Finance MSME Micro, Small, and Medium Sized Enterprise M-SME Male Led Small and Medium Sized Enterprise M-MSME Male Led Micro, Small, and Medium Sized Enterprise MTCA Ministry of Tourism and Cultural Affairs NGO Non-Governmental Organization NTB National Tourism Board PET Polyethylene terephthalate Plastic PLP Leadership Platform PP Polypropylene PS Polystyrol PVC Polyvinyl Chloride SL Sierra Leone SLEDP Sierra Leone Economic Diversification Project SLURC Sierra Leone Urban Research Centre SWM Solid Waste Management SME Small and Medium Enterprises SUPP Single-use plastics products UNDP United Nations Development Programme WoNES Women’s Network for Environmental Sustainability WBG World Bank Group 6 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Acknowledgements The present Summary Report has been prepared within the context of the project "Strengthening Circularity in Sierra Leone's Plastic Value Chain with a Focus on Tourism. It was prepared by Anteja ECG d.o.o. (Slovenia) collaborated with VDI/VDE Innovation + Technik GmbH (Germany). The core team, under the leadership of Mateja Dermastia, includes Dr. Gerd Meier zu Köcker, Amira Hallaby, and Darja Radic. The team extends its gratitude to the Ministry of Tourism and Cultural Affairs, the Ministry of Environment and Climate Change, the National Tourism Board, and the Directorate of Science, Technology, and Innovation for their invaluable support and cooperation throughout the project. Additionally, the team is thankful to the SLEDP PROBLUE team, particularly Ms. Mary Jalloh and Ms. Ngozi Obi Sesay, as well as Innovation-SL for their assistance. The successful completion of the Summary Report would not have been possible without the support and collaboration of the World Bank Group team, led by Louise Twining-Ward (TTL), and comprising Dario Quaranta, Maria Daniela Cordova, and Alie Dukuray Jalloh. Funding for this project is provided by PROBLUE, an umbrella multi-donor trust fund, administered by the World Bank. PROBLUE supports the sustainable and integrated development of marine and coastal resources to promote healthy oceans. 7 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Executive Summary Sierra Leone possesses beautiful beaches and islands, a rich biodiversity and a rich cultural legacy. Tourism is seen as a promising avenue for jobs and economic development for the country. The Government of Sierra Leone has officially prioritized tourism in the National Development Plan 2019 - 2023. The National Tourism Policy states that the goal of tourism initiatives in Sierra Leone is to generate foreign exchange, encourage even development, promote tourism-based rural enterprises, and generate employment. It also seeks to accelerate rural-urban integration and foster socio-cultural unity among the various regions of the country through the promotion of domestic and international tourism. The National Ecotourism Policy puts forth the goal of receiving 20,000 international and 30,000 domestic ecotourism visits to its sites by 2025. A recent Tourism Census Report from 2020 counts 730 tourism operators[1]. Increasing plastic pollution in Sierra Leone threatens not only the public health or the local economy, but also the national tourism sector. The volume of plastic waste visible on beaches in the Western Area of Sierra Leone has made plastic pollution a significant problem. Hotels reported that up to 5 percent of staff salaries are intended for daily beach cleaning [2]. Of the approximately 130,000 tons of plastic waste that is generated each year, only about 7,200 tons are properly recycled by domestic companies. Over the recent years plastic pollution became a significant problem, increasing hotel costs, hampering transportation, and reducing the appeal of beaches. 8 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Sierra Leone’s government continues in its efforts to strengthen tourism security and safety as well as tourism profitability for the country. However, the tourism sector presents the double challenge of requiring an environment free of plastic pollution while being itself a generator of consumer plastic waste. Recognizing the need for major improvements in the country’s quality of life through natural conservation and beautification, Sierra Leone is making efforts to confront the growing problem of plastic pollution from both land-based andmarine- based sources. Recognizing these challenges, the Ministry of Finance, with support from the World Bank, is implementing the Sierra Leone Economic Diversification Project (SLEDP). It is a five-year project implemented by the Government of Sierra Leone with a $40 million grant support from the World Bank. The main implementing ministries of the project are the Ministry of Tourism and Cultural Affairs and the Ministry of Trade and Industry. The SLEDP project aims, to improve the business environment and to create opportunities for increased business in the plastics circular economy and to address risks to tourism and other sectors posed by improperly managed plastic waste. The current study aimed to support the national and local governments to foster sustainable industrial growth and sustainable tourism by implementing circular economy strategies to curb the use of plastic products in Sierra Leone. A variety of methods were used to identify and compile data for this study, including a review of the literature, targeted data collection, semi-structured interviews, entrepreneurial discovery workshops and consultations with public private sector representatives. The study required consideration of policies and regulations currently in place in Sierra Leone. The present study consists of several parts, the first of which provides an in-depth look at the plastics sector, with a particular focus on the use of plastics in the tourism sector. The aim was to assess the use of plastics in the tourism sector, to identify opportunities to minimize plastic waste from the sector, and to provide guidelines for tourism stakeholders to reduce single-use plastics. A second part of the study examined the enabling environment for circularity in Sierra Leone that needs improvement to realize the identified potential in the medium term. [1] Ministry of Tourism and the Statistics Office Sierra Leone, 2020, Tourism Census Report [2] According to key findings of the Entrepreneurial Discovery Workshop on Tourism, held in December 2021; mainly valid for medium sized hotels in Sierra Leone 9 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Key Findings The domestic plastics market is worth $130 million or 130,000 tons. Only 10% of the plastic products used are produced locally. The majority of plastic products, including single-use plastics products (SUPP), are imported. This results in an extremely high dependence on external suppliers. The domestic plastic manufacturing and recycling industry is still in its very early stages and is not yet able to recycle the majority of the plastic waste generated in the country, nor is it able to transform it into new plastic products. Despite the fact that a significant number of plastic recycling companies exist, their production utilization is extremely low. The amount of plastic recycled is around 7,200 tons annually. Most companies are struggling due to an absence of a sustainable market demand and business opportunities. The existing tourism operators use over 42,000,000 SUPP per year. Plastic bottles, plastic bags and plastic cutlery are the predominant items used by tourism operators, accounting for 62 percent of all single-use items used in the sector. Only around 6 percent of these SUPP are properly recycled within the country. Most tourism operators are aware of the challenges associated with plastic waste. As a result of the primary research, 53 percent of operators report having a plastic waste management system in place, which includes dumping the waste in landfills. However, the main challenge remains the plastic waste generated by these tourism operators that leaks into the environment due to poor solid waste management practices at the community level. 47 percent of tourism operators primarily burn or dump their plastic waste into the ocean. The flow of single use plastics in the tourism sector in Sierra Leone 10 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The introduction of alternative packaging materials is a good option to reduce the amount of single-use plastic, especially in the tourism sector. The preferred items to be replaced are plastic bottles, amenities, plastic cutlery and plastic cups for outdoor use. There is a critical mass of tourism operators, especially hotels, willing and able to shift significant portions of items used from single-use plastic to alternative materials. The main challenges for these tourism operators (called early adopters) are lack of incentives and the low availability of alternative materials. The present analysis of the institutional capacities and resources in Sierra Leone has shown that there is a need to strengthen the overall monitoring and public management capacities to ensure that future policies and regulations can be properly implemented. There are numerous legislative and related policy measures in place in Sierra Leone. Only the recently adopted National Plastic and Plastic Waste Policy provides an explicit and comprehensive approach to use less SUPP in the country. Until recent, there was a tendency to focus on waste management and not on creating new businesses opportunities outside of waste collection and recycling. The new National Plastic and Plastic Waste Policy promotes less use of SUPP, in case it is consequently implemented. Based on the analysis of the enabling environment and regulatory framework that stimulates less use of plastics, the following set of actions is proposed that can support the formulation of effective policy and at the same time support first adopters on the way towards a more circular economy in Sierra Leone. Action 1: Support early adopters in circularity practices. Preliminary activities mobilized early adopters from the tourism sector. They have also been brought together in the "Plastics Reduction Working Group". This momentum must be maintained. Additional early adopters must be identified and motivated to join the effort. Formal recognition by the Ministry of Tourism and Cultural Affairs or by the Sierra Leone Hospitality and Tourism Association of operators that have succeeded in significantly reducing their use of single-use plastics would increase motivation and further action. 11 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Action 2: Implementation of the new National Plastic and Plastic Waste Management Policy. This policy provides a good frame to promote less use of SUPP through alternative packaging or increased re-use of plastics. Furthermore, it contains important elements like the green taxonomy. There is a need to consequently implement this policy by targeted actions. An active involvement of the key stakeholder during the implementation process is a key for success Action 3: Development of a green product taxonomy. While the Financial Act of 2021 foresees tax exemptions for “supply relating to the management recycling of plastics and other waste”, key product categories are still missing from fully implementing plastic circularity[3]. Furthermore, there is a lack of clarity on which products along the plastics recycling value chain are eligible for tax exemptions. The development of a green taxonomy [4] can help translate the Sierra Leonean government's plastic circular economy goals into clear criteria. This will define much more precisely the products for which tax exemptions should be applied. It will assist companies and investors in their efforts to plan and finance related investments. Action 4: Institutionalization of the Plastics Leadership Platform (PLP). The Plastics Leadership Platform can serve as a forum for public-private dialogue and as an effective coordination mechanism for the transition to a circular economy. The joint development of a green product taxonomy is an example of an important undertaking under the coordination of the PLP. It can serve as a long-term forum for public-private dialogue and as an effective coordination mechanism for circular economy transition in Sierra Leone. Action 5: Strengthen the institutional capacity of key implementing agencies. Training on embedding plastics circular economy/thinking into their processes, policy development, procurement and policies is recommended for civil servants and public practitioners. This training can be piloted with the key government stakeholders targeted in this project such as the Ministry of Environment, Environmental Protection Agency, Ministry of Tourism, National Tourism Board and Ministry of Finance. The Summary Report (the ‘Report’) was prepa red within the framework of the Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification by Anteja ECG d.o.o. (Slovenia) and VDI/VDE Innovation + Technik GmbH (Germany). [3] Plastics circularity is an approach to using plastics more efficiently by keeping the material in use as long as possible, getting the most out of the material during its use, and then recovering it to make new products (according to The SustainAbility Institute by ERM, 2021). [4] A green products taxonomy is a framework for clarification of which products or investments are environmentally sustainable (according to the European Commission, 2020). 12 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 1. Sierra Leone’s Plastic Sector Plastics are some of the most versatile materials in the world. Plastic material now dominates modern economies owing to its unrivalled functional properties and low cost. This is also the case for Sierra Leone. Six common types of plastics have varying uses across different industries in Sierra Leone[5], of which PE and PP are the prevailing plastic types. The plastic manufacturing value chain can be divided into three main sections as indicated in Figure 1. It is similar for both virgin and bio-based plastics[6]. As for the recycled resin, only the yellow part of the plastic manufacturing value chain applies since the recycling process, as such, substitutes the “raw material extraction and preparation” and “polymer production” steps. [5] Mainly Polyethylene terephthalate (PE), High Density Polyethylene (HDPE), Low Density Polyethylene (LDPE), Poly Polypropylene(PP), Polystyrol (PS) and Polyvinyl Chloride (PVC). [6] Bio-based plastics (also called Bioplastics) is a plastics material derived from biological material, like Starch or Cellulose, rather than from petroleum (according to Coppola, G., Gaudio, M.T., Lopresto, C.G. et al. Bioplastic from Renewable Biomass: A Facile Solution for a Greener Environment. Earth Syst Environ 5, 231–251 (2021). https://doi.org/10.1007/s41748-021-00208-7 13 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Figure 1: Plastics manufacturing value chain Source: Plastic Sector Strategy for Ivory Coast, 2019, IFC The domestic plastic market in 2019 was around $140 million or the equivalent of approximately 130,000 tons. More than 90 percent of this market constitutes imported semi- finished or finished products since the country’s plastics manufacturing industry is incapable of satisfying the national demand for plastic packaging. Figure 2: Import of plastic raw materials and finished plastic products for Sierra Leone 131 116 Imported vlaue US $ [Mio] 76.2 66.4 56 34 36.9 37.5 29 20 19.3 19.7 15 17.2 15 2015 2016 2017 2018 2019 Total import Import plastic raw material Import finished plastic products Source: ITC 2019 Figure 2 also reveals that the domestic plastics manufacturing industry lost competitiveness in the past. Whereas the market for plastic products in Sierra Leone was booming, the amount of imported plastic products increased sixfold between 2017 and 2019. Sierra Leone’s plastic product exports were less than $1 million, mainly packaging and builders’ ware. 14 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The main types of imported plastic packaging products are semi-finished bottles, followed by plastic boxes, and sacks as well as bottle caps and other similar items (Figure 3). Overall, average import growth over the last few years can be found in any kind of packaging, tubes and pipes, table and kitchenware, and plastic shoes. Figure 3: Import of different types of finished plastic products Source: ITC 2019 Sierra Leone’s plastic sector is divided into five sub-sectors: packaging, shoes, household and furniture, building and construction, as well as agriculture. The largest share is accounted for by the packaging sector, which includes consumer packaging, nurturing items and transportation packaging. Plastic shoes, household articles, and construction are the second largest sub-sector. There is almost no domestic plastic shoe production. Other sub-sectors, such as automotive, electronics, or health applications, do not play any role in Sierra Leone (Figure 4). Figure 4: Plastics sub-sectors in Sierra Leone Source: ITC 2019 15 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 1.1 Plastic Manufacturers Landscape In terms of the current industrial landscape for plastics, Sierra Leone’s plastics manufacturing sector is dominated by just a small number of manufacturers. There are about 10 firms that cover over 95 percent[7] of the formal domestic plastics manufacturing sector. The most significant of these firms are the Milla Group Ltd. and G. Shankerdas & Sons Ltd. The companies in this sector are found to have a wide variety of staff numbers, ranging from just 30 employees to as many as 3,000 employees. Figure 5: Key plastic manufacturers, their main products, and main plastic material processed Source: Anteja ECG Most plastic manufacturers use extrusion technologies for the production of plastic goods, whereas film extrusion and rotating molding is an exception. The price of products is very sensitive since it is the key requirement of commercial clients and private consumers. Plastic production utilization remained comparably high during and after the COVID-19 pandemic. On average the eight investigated firms reported of 80 percent utilization, whereas firms engaged in plastic packaging production reported good and stable demand. Local production of plastic packaging mainly contains simple items, like plastic bottles or plastic bags. Manufacturing capacities for more complex packaging solutions, like flexible packaging or composite plastic packaging, are missing. [7] Based on field work in March / April 2021 and firm-level interviews 16 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 1.2 Plastic Recycling Landscape The formal plastics recycling sector in Sierra Leone barely exists. According to the fieldwork conducted, there are around 10 to 15 formal businesses active in the domestic recycling sector. Most of them are comparably small with limited capacities and focus on plastic solutions for the construction and household / furniture sector. They do mainly both, producing recyclates as well as manufacturing plastic products. In terms of the recycling capacity of firms in Sierra Leone, the fieldwork showed that most plastic recycling firms only could recycle around 1 ton per day. A capacity of 20 to 25 tons per day would be needed to recycle all plastic generated in Sierra Leone Based on the interviews conducted, domestic firms recycle around 7,200 tons per year, whereas the entire country generates between 116,500 [8] and 126,000[9] tons of plastic waste annually. This results in a recycling rate of around 6 percent, which is lower than in neighboring countries such as Ivory Coast (10 percent) and Ghana (7 percent). Figure 6: Key plastic recyclers, their main products, and main plastic material processed Source: Anteja ECG [8] Jambeck, J. R., Geyer, R., Wilcox, C., Siegler, T. R., Perryman, M., Andrady, A., Law, K. L. (2015). Plastic waste inputs from land into the ocean. Science, 347(6223), 768-771. The study quantified municipal and plastic waste streams from coastal populations in 2010. According to this study, Sierra Leone generates 0.04 kg of plastic waste per person per day. Here we calculate the total plas tic waste generation instead of multiplying by the total population figures.] Jambeck, J. R., Geyer, R., Wilcox, C., Siegler, T. R., Perryman, M., Andrady, A., Law, K. L. (2015). Plastic waste inputs from land into the ocean. Science, 347(6223), 768-771. The study quantified municipal and plastic waste streams from coastal populations in 2010. According to this study, Sierra Leone generates 0.04 kg ofplastic waste per person per day. Here we calculate the total plastic waste generation instead of multiplying by the total population figures. [9] Frazier-Williams Study on Waste Characterisation at the Kingtom and Granville Book Dumpsites, 2017, unpublished. 17 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Most of the domestic plastic manufacturers use plastic scrap in their internal manufacturing process (up to 40 percent of products are composed of it), which is a comparably high value. The firms have internal in-house procedures on how to collect, clean and reuse scrap plastic for manufacturing purposes. The driver for this is the fact that dependency on plastic raw materials from overseas suppliers is extremely high and increased scrap reuse helps to reduce costs. 1.3 Opportunities and Constraints for Plastics Circular Economy Although the local plastics recycling sector is still very small and embryonic, interviews with local plastic manufacturers and recyclers revealed that there is some potential for plastics CE. The main opportunities and constraints can be summarized as follows. Opportunities Increased awareness and sensitivity to the importance of plastic recycling. Still at a comparatively low level, but there is an increasing awareness of producers and users of plastic packaging that doing more plastic recycling as well as using more recyclates can help to reduce plastic waste pollution in Sierra Leone. Upcoming laws and regulations promoting products made of recyclates. As also confirmed during the Plastic Leadership Workshop, there are policies and regulations on the national as well as municipality level in place that promote a plastic circular economy. However, it is still unclear to what extent these regulations contain incentives or restrictions. The existence of different technologies that can be used. Recycling can be done on several levels and can use a broad spectrum of technologies. Some of the recycling firms use basic technologies but they are successful. E. g., the requirements in terms the purity of recyclates for manufacturing bricks and floor coverings are comparatively low. Firms believe there is a potential market for recycling. Despite the current reluctance of the users and the comparable low utilization of manufacturing capacities, most firms expect the market for recycled plastic products to grow in the future. This observation goes in line with the willingness of the market to use more recyclates. 18 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Constraints Lack of knowledge about the potential of recycled plastic products. There is comparably low knowledge and awareness of the potential of recycled plastic products in the domestic industry. Especially regarding the potential savings for raw materials as well as good mechanical behavior. Costs for plastic waste collection and treatment. Collection and transport of recyclates are impacted by the poor road network. The cost of transforming materials is expensive, compounded by energy shortage problems. Investments needed for manufacturing recyclates. The key driver of costs for recyclers is the costs of machinery/logistics and the collection of used plastic materials. Firms believe that there is a good potential market in Sierra Leone for recycling, but a lack of plastic waste materials coupled with inadequate technology acts as a barrier to the development of this market potential. Low quality and lack of sustainable supply of recyclates. Due to a lack of materials, many firms operate below maximum capacity. The material used by recyclers principally comes from informal collectors. However, the quality of this is often low. The current market demand for recycled plastic products is still low. The interviews with firm-level representatives indicated that there was no sufficient demand. In particular, recyclates, such as raw materials, for products used in the tourism sector struggle to find a domestic market. Lack of standards and recognized national conformity assessment system. The domestic standardization and conformity assessment system is still at an early stage of development. Related standards for recyclates and products made of recyclates are missing. The same is for testing laboratories and conformity assessment bodies. If any exists, their operation is not internationally recognized. Consumers still have a fixed mentality, preferring virgin plastic products. The interviews revealed that users are still reluctant to accept products from recyclates. Virgin plastic products are often cheaper and of better quality. Even in the construction sector, where bricks made from recycled materials show dedicated benefits compared to stone bricks, users are very reluctant to apply such products. 19 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The alternative plastic packaging material sector in Sierra Leone is also in an embryonic stage. Most raw materials for alternative packaging, with the exception of textiles, come from overseas. This results in comparatively high costs for alternative packaging materials, which have to compete with the similarly good image of plastic packaging among many consumers who value plastic packaging as a higher prestige packaging. 20 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 2. Plastic Utilization in the Sierra Leone Tourism Sector 2.1. Sierra Leone Tourism Sector in Brief Sierra Leone has beaches and islands, mountains, rich biodiversity, and interesting wildlife. It is also known for its friendliness and rich cultural capital among people and its special place in the history of the anti-slavery movement as “the land of the free”. Tourism is increasingly viewed to be a promising pathway to renewed economic development for the country. Sierra Leone has 570 km of white sand beaches, tropical forests, mountains, and unique culture and history. Moreover, Sierra Leone is only six hours away from Europe, eight hours from the US, and three hours from West Africa’s largest city, Lagos. There are significant possibilities in the tourism sector given the diverse ecology of Sierra Leone, proximity to international hubs, and an untapped natural beauty that can rival any location in the world. Building on these attractions in the 1980s, Sierra Leone developed a small but thriving tourism industry with 14,000 international tourists visiting each year. These were mainly high-end French tourists attractedto beach resorts on the Western peninsula. 21 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The Government of Sierra Leone has officially prioritized tourism in the National Development Plan for 2019 - 2023. The National Tourism Policy from 2017 states that the goal of tourism initiatives in Sierra Leone is to generate foreign exchange, encourage even development, promote tourism-based rural enterprises, and generate employment. It also seeks to accelerate rural-urban integration and foster socio-cultural unity among the various regions of the country through the promotion of domestic and international tourism. Its National Ecotourism Policy puts forth the goal of receiving 20,000 international and 30,000 domestic ecotourism visits to its sites by 2025 [10]. Today, the tourism industry is comparatively small, making up only 4.9 percent of the GDP in 2019 [11]. A recent Tourism Census Report from 2020 that counts 730 tourism operators is given in the table below [12]. Table 1: Tourist facilities in Sierra Leone Source: MTCA and the Statistics Office Sierra Leone, 2020 Another report by the World Bank Group (WBG) noted that “Tourism accounts for a higher share of women’s employment and entrepreneurship as compared to the whole economy and is a driving force for social inclusion including women, young people [and] persons with disabilities….” Women own 39 percent of tourism Micro, Small, and Medium Sized Enterprises (MSMEs) in Sierra Leone. By comparison, based on the World Bank Enterprise Survey data for the private sector (2017), the share of enterprises with any female participation in ownership is just 19 percent for Sierra Leone. [10] Government of Sierra Leone, 2021, https://mof.gov.sl/wp-content/uploads/2021/02/ADVERT-LODGING-STANDARDS.pdf [11] The UK industry standard was used. This standard defined small hotels as those with less than 25 rooms. Medium hotels are those with 26 – 100 rooms and large hotels have more than 100 rooms. https://www.etravelweek.com/wiki/classification-hotels [12] Ministry of Tourism and the Statistics Office Sierra Leone, 2020, Tourism Census Report [13] Knoema.com, 2020, Sierra Leone Contribution of travel and tourism to GDP growth, 1995-2019 [14] Ministry of Tourism and the Statistics Office Sierra Leone, 2020, Tourism Census Report 22 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 2.2. Main Users The volume of plastic waste visible on beaches in the Western Area of Sierra Leone has made plastic pollution a significant problem. Hotels reported that up to 5 percent of staff salaries are intended for daily beach cleaning. However, the tourism sector is also a sector that uses a wide range of plastic pieces. Most of them are SUPPs. Table 2 displays the variety of SUPPs applied in the tourism sector in Sierra Leone. Table 2: SUPPs frequently used in the tourism sector Source: Anteja ECG Different groups of tourism operators use SUPPs in completely different amounts. On average, large hotels produced the greatest amount of plastic waste, with an amount of approximately 143,000 SUPPs annually, whereas restaurants in Sierra Leone usually utilize around 15,000 SUPPs p.a. (s. Figure 7). Extrapolating from this data from the interviews conducted, all 730 registered tourism providers utilized over 42 million SUPP per annum (Table 3). Table 3: Plastic waste produced by the type of tourism operator Source: Anteja ECG; extrapolated based on interviews conducted, 2021 23 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Figure 7: Average annual plastic utilization of SUPPs per tourism operator Source: Anteja ECG When considering these figures, it must be noted that plastic products taken by the tourists in open areas, like public beaches, are not considered. Local tourists usually bring their own products (for example plastic bottles and sachets) with them when spending time at the beach or at other tourist destinations. Particularly at those beaches with a high inflow of local people, there might be an even higher number of incidents of leaving waste, especially of sachets and plastic bags. Due to the high number of medium-sized hotels in Sierra Leone compared to the overall amount of tourism providers (370 out of 730 operators are medium-sized hotels) [15], this kind of tourism operator generates more than three-quarters of all plastic waste in the country. These findings are well in line with the results of the United Nations Environment Programme (UNEP) and the World Travel and Tourism Council Analysis on SUPPs in the tourism industry [16]. [15] Ministry of Tourism and Cultural Affairs, Statistics Office of Sierra Leone 2020, The National Tourism Census 2020, https://www.statistics.sl/images/2020/Documents/Tourism-Census-Report-2020---Final.pdf [16] United Nations Environment Programme and World Travel & Tourism Council (2021). Rethinking Single-Use Plastic Products in Travel & Tourism - Impacts, Management Practices, and Recommendations. Nairobi. 24 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 2.2.1 Role of the Informal Sector The informal economy is pervasive in Sierra Leone. While exact definitions of the informal economy may vary, recent work suggests that there are over 2 million people in the informal economy in Sierra Leone, which would constitute up to 86 percent of the total employed workforce. The informal economy is thought to make up approximately 40 percent of Sierra Leone’s GDP [17]. In the tourism sector, it is likely that the informal sector has a smaller yet still significant role, being made up of street vendors (selling food, drinks, or gifts) and fisherwomen who sell directly to tourists outside formal tourism locations. No formal quantification of the scale of the informal sector in tourism has yet been made. Vendors typically use plastic bags and bottles to package goods sold to customers . Though it is difficult to estimate the exact size of the total informal tourism sector, based on interviews conducted with our sample size, it is clear that the sector is a major contributor to the plastic bag and plastic bottles problem. Based on field research, plastic bags made up the majority (95 percent) of the plastic items offered by the informal sector. These are usually simple black plastic bags purchased from local manufacturers. While bottles make up only 5 percent of the plastics used by the informal sector, one positive fact is that the informal sector typically uses plastic bottles reused from the formal sector, which therefore, does not add to the overall volume of plastics used. 2.2.2 Current Waste Management Processes Used by Tourism Operators The fieldwork carried out revealed that only 53 percent of tourism operators reported having a formal arrangement for handling waste management. Of these, the majority rely on private companies or local cooperative arrangements to dispose of waste. Only 11 percent of respondents stated that they regularly use municipal waste collection services. For those not using formal contract arrangements, tourism operators rely on two methods: burning and dumping locally (primarily in the sea). Both obviously have significant negative environmental downsides. [17] Danish Trade Union Development Agency, Sierra Leone Labour Market Profile, 2020. 25 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Figure 8: Waste management practices in the tourism sector in Sierra Leone Source: Anteja ECG As much as 74 percent of the formal tourism operators reported currently having started using the first plastic packaging alternatives. Some of the key alternatives that are being implemented to date include the reuse of glass bottles, glassware, and reusable cutlery. Some tourism operators offer straws only upon request and avoid the use of plastic bags. Others report the use of soap dispensers, open jars/bowls for pre-portioned food, sugar dispensers, and compostable bags. These findings create some optimism that improvements can be made. 2.3 Barriers to Reduced Use of Plastics in the Tourism Sector Using recycled plastic products in the tourism sector is challenging due to the high food and hygiene standards required. This is especially true in cases of recycled plastic products for food and beverage consumption, such as bottles, straws, sachets, and cutlery. Further challenges are due to the lack of plastics manufacturers capable of producing plastic products made of recyclates. Increased reuse of plastic products is only rarely an option, whereas increased use of alternative packaging material appears to be the most promising way to reduce the volume of plastic waste in the tourism sector. 26 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Building on the relatively high levels of awareness on the part of many tourism operators in Sierra Leone, the study identifies five main barriers to reducing the volume of plastic waste produced. These five barriers are as follows: 1. Lack of available alternatives. As much as 86 percent of respondents stated that there is limited availability of plastic alternatives for plastic bags, bottles, cutlery, and straws in Sierra Leone. For example, respondents noted that purchasing paper bags at scale is not possible from local suppliers, while beverages in glass bottles had not been available. Metal or other non-plastic, straws were also cited as unavailable in the country. 2. Low-quality of alternatives. For other plastic items with the available alternatives (for example, cutlery and cups), the quality of these alternatives in the market was cited as being low. As such, replacing the low- quality metal cutlery because of damage was mentioned to be a significant issue. In many cases, hotels, and restaurants resort to importing alternatives directly driving up costs. During the interviews and EDW, more than 10 respondents also highlighted a concern for the shelf life of plastic alternatives, in particular, paper bags. Limited shelf life inhibits bulk buying and also increases costs. 3. High cost of alternatives. According to the findings gained from the interviews, with the available alternatives, they are not considered to be cost-effective. Moreover, the attractiveness of such plastic alternatives would be significantly reduced if tourism operators were forced to import plastic alternatives themselves, rather than relying on the local market. 4. Tourist behavior. Many tourism operators highlighted concerns that plastic alternatives could reduce customer satisfaction. Similar concerns were expressed by consumers interviewed for the First Mid Term Report. There is a close correlation between those respondents who were concerned about the low-quality of alternatives available locally and their potential impact on customer perception. At Bureh Beach, operators also cited the behavior of local tourists who tend to bring a significant amount of plastic materials to this location when organizing outings. Such events usually leave a large amount of plastic waste on the beach that local operators are not directly responsible for managing. 27 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 5. Limited government coordination and support. For those operators who were already experimenting with plastic alternatives, the lack of governmental support and coordination (for example, through common platforms, networks, or legislation) meant that opportunities to scale up potential initiatives were limited. As such, the incentives for other operators to join existing efforts were also considered to be inadequate. Alongside these main barriers, the COVID-19 pandemic was also highlighted as an issue that has impacted efforts to reduce plastic use. In the effort to minimize the spread of COVID-19, some operators are individually wrapping commonly used items such as straws, cups, cutlery, and masks. 2.4 Circularity Growth Opportunities One of the key messages derived from the interviews and workshops with representatives from the tourism sector is that the vendors and operators are reluctant to use products made of recyclates as opposed to using alternative environmentally friendly plastics and packaging material. Using non-plastic alternatives seems to be the best way towards a more CE in the tourism sector in Sierra Leone. The use of alternative materials can be combined with increased reuse, where this is technologically and economically feasible. Tourism sector representatives clearly indicated where they see the best options to substitute single-use plastic (Table 4). However, there are still several barriers identified by the participants that impede this. To the extent that substitutes and alternatives currently exist, they are high in price and low in availability. Table 4: Prevailing plastic products and potential alternative material solutions Product Alternative material solution Plastic bottles Partly substituted by glass bottles; water dispensers Amenities Dispensers and local products Plastic bags Partly substituted by cotton bags Plastic cutlery Metal cutlery Plastic cups for outdoor use Diverse options Packaging for pre-portioned food (e. g. coffee, Ceramic or glass jar or bowls or cornstarch butter, jam, ketchup, mayonnaise etc.) Source: Anteja ECG, 2021 28 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification In Sierra Leone, there are a limited number of firms engaged in or capable of producing green and sustainable plastic products. Some larger firms have the potential to shift to manufacturing recyclates or bioplastics. However, the domestic recycling industry is embryonic, and there are only a few recyclates available as raw material for plastic production. Small companies produce construction materials containing up to 15 percent plastic waste. Business case developments revealed that in case they succeed to enter the construction business, there are excellent growth opportunities. This would also promote turning plastic waste into sustainable construction material. There is also a small, but growing number of companies producing alternative packaging materials or other durable packaging (Table 5). The Innovation SL supports entrepreneurs and start-ups in the field of green and sustainable production and a recently established crowdfunding platform for green projects aims to further stimulate growth in this sector. Table 5: Industrial stakeholders for green and sustainable product Source: Anteja ECG Some of the companies mentioned above already developed their business models based on the potentials provided by circular solutions (Table 6). Three cases are briefly described in the following paragraphs. Table 6: Initial analysis of high potential solutions for new value chains 29 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Source: Anteja ECG Refillable dispensers in the tourism sector in Sierra Leone. The tourism sector in Sierra Leone offers a unique opportunity to introduce refillable dispensers filled with locally sourced natural cosmetics, thereby reducing the amount of SUPP and creating a new market for local cosmetics producers. Full implementation of this solution in all 460 hotels in the country has the potential to displace 2,000,000 units of disposable toiletries annually and generate a demand for over 100,000 liters of natural cosmetics such as vegetable oil, soaps, shampoo or similar. Depending on the product, the revenue can be calculated at up to $30 per liter. However, several key challenges need to be addressed before this can be realized. These include the need for hotels to invest in dispensers and related infrastructure, and the development of a local supply chain linking sectors such as natural cosmetics, agriculture and packaging. Additional challenges for local suppliers include sustainable supply and compliance with national standards. A comprehensive approach that motivates tourism operators to adopt a "plastic-free" mindset and includes incentives or legislation to encourage the increased use of refillable dispensers may be required to address these challenges. The tourism sector has the potential to act as a catalyst. It can encourage other sectors to move towards circular business models. There are already signs that some of the early adopters are seriously considering working with local suppliers in this regard e.g., the women led company Shea & More Ltd. is currently negotiating to become a supplier for some of the early adopters (Figure 9). 30 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Replacement of plastic bags with multi-purpose textile bags made from tailoring scraps. The use of plastic bags, a major contributor to marine pollution, can be replaced with reusable textile bags. These bags are made from tailoring scraps. This solution promotes a circular economy approach. It also increases textile reuse. Different sectors, such as tourism and retail, can use these reusable textile bags. In Sierra Leone, the tourism sector alone uses over 3,000,000 plastic bags per year. These bags can be replaced with textile bags. In order to ensure a sustainable supply, IZELIA Ltd., one of the companies already producing such textile bags, has established a network of about 3,000 tailors (Figure 10). They provide waste materials and fabrics. Significant jobs in patching, transportation and manufacturing can be expected once a critical mass of multipurpose textile bags can be brought to market. Although significant investment is required, the medium payback period and the incentives and regulations needed to encourage hotels, international brands and supermarkets to use such textile bags make it a viable solution. In many economies around the world, multipurpose bags are state of the art. Figure 9: Textile bags for plastic bags substitution Figure 10: Refillable cosmetics for dispensers Source: Izelia Ltd., Sierra Leone Source: Shea & More Ltd., Sierra Leone Building affordable homes using bricks made from recycled plastic. This circular approach addresses the need for affordable housing in Sierra Leone by creating bricks and other housing components from plastic waste. With a need for 280,000 houses by 2028 and a daily demand of 110 houses, Freetown is also facing a housing shortage. Every day, 100 tons of untreated plastic waste is generated in the city. The proposed solution, promoted by Premier Enviro Solution Ltd., is to produce building materials that contain 10 percent mixed plastic waste. This approach can create jobs and turn plastic waste into valuable products. It also promotes the recycling of plastics in Sierra Leone. In addition, the cost of production is lower. 31 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The price of the building material is 10 percent lower than traditional materials. If 900 houses (60m2) are to be built per year, 9,000 tons of plastic waste can be converted into building material. This is almost 10 percent of the plastic waste generated in Sierra Leone each year. High investments are needed. But the return on investment is short. The main obstacle is the reluctance of the building sector to consider such material as an alternative for building. There are currently 10 companies in Sierra Leone dealing with recycled plastic for construction. However, more capacity is needed. Another group of private sector actors that can take advantage of circular growth opportunities are hotels and restaurants that apply specific guidelines for reducing SUPS. This group of tourism providers is called Early Adopters and consists of about 10 hotels. They have already formed a joint working group to share experiences and organize matchmaking events with potential partners for new circular supply chains. The Early Adopters have set ambitious goals on how best to reduce SUP in the coming months. Below is the list of phase 1 early adopters. Table 7: Early Adopters, Phase 1 Source: Anteja ECG 32 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 3. Policy Landscape and Initiatives to Reduce Single-Use Plastics in Sierra Leone Annex 1 presents a selected listing of public policies, strategies, and regulatory provisions relevant to the plastics control measures that are currently in place in Sierra Leone. While not all of the provisions listed there are directly related to plastics control and circularity policies, it is important to note the number and nature of the different initiatives and respective government agencies involved. A more detailed evaluation of policies, strategies and regulatory provisions reveals that there is currently only the recently adopted National Plastic and Plastic Waste Policy that provides an explicit and comprehensive approach to use less SUPP in the country. The Finance Act of 2021 exempts supplies related solely to the management and recycling of plastics and other wastes. However, it lacks a comprehensive taxonomy, since many products along the plastic circular economy supply chain are notexempt. In addition, the Good and Service Tax exemption does not allow businesses to claim their input taxes. 33 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Efficient and effective coordination of policy or regulatory development and implementation is missing. There are numerous individual projects or initiatives to reduce plastic waste pollution or promote less use of plastic packaging. But these efforts are not coordinated. The PLP can serve as the first platform in the country to better coordinate such activities. Taken as a whole, the set of current and laws, regulations and policies can serve as positive elements to help Sierra Leone take initial steps towards evolving into a circular economy for plastics. In the area of plastics reduction and the promotion of a circular economy approach in Sierra Leone’s tourism sector, the necessary regulatory framework and related policy initiatives will require an inter-ministerial consensus on the specific initiatives to be undertaken. The Ministry of Environment, in collaboration with the Ministry of Tourism and Cultural Affairs and the other public agencies and private stakeholders, is best positioned to take the lead in this effort to initiate and promote the appropriate regulatory and non-regulatory initiatives. Furthermore, the Ministries of Finance and Trade and Industries also play a crucial role, particularly in implementing financial and trade-based mechanisms that promote circularity and reduce SUPPs. The pending National Plastics and Plastic Waste Management Policy of 2019 in conjunction with Plastic Leadership Platform (PLP) resolutions can serve as an important catalyst for defining a strategy and related governance structures for the reduction and elimination of SUPPs in the tourism sector[18]. 3.1 Public-Private Partnerships as Drivers of Change The international best practices analyzed as part of the assignment [19] revealed similar success patterns, as they all involve collaboration between the public and private sectors (e.g., Germany, Ghana, or Rwanda). As in other countries, the interplay between business opportunities and policy reforms also matters in Sierra Leone. The identified circularity business opportunities show that there are various opportunities where the private sector can benefit from increased circular economy thinking while contributing to plastic waste reduction. However, favorable framework conditions based on targeted reforms and incentives are needed. This is the only way to create an appropriate framework where the private sector can better manage its waste. The establishment of the Plastics Leadership Platform (PLP) in 2020 represents an important first step in this direction. Its continuation will be critical to the advancement of the goals of this project. [18] (Full text of selected reports may be found at the following link: https://drive.google.com/drive/folders/1oj2xKsHltxaeZP8M5BmCmrAXDMQFMc9H) [19] SLEDP Project, 2022, Institutional and Regulatory Road Map, Anteja ECG, unpublished 34 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Actions implemented under the PLP might include knowledge sharing, joint working groups and advocacy as well as outreach to international partners. The continuation of the recently established Tourism Working Group can be organized within the PLP. The Working Group serves as a motivator for private sector entities. Budget considerations might include stipends for resource persons or coordinators, and for covering the cost of workshop training sessions, communications, and incidental expenses. A matchmaking platform to mobilize entrepreneurs and tourism actors to support the development of a new value and supply chain can facilitate direct supply-to-demand matching and be implemented as part of the PLP. A budget shall include activities such as matchmaking and business-to-business market development, investment promotion, partnership development, knowledge sharing, and advocacy. As a result of consultations with the private and public sectors , a holistic approach can be identified based on four options that are appropriate for Sierra Leone. These options take into account that the domestic plastic manufacturing and recycling sectors have limited resources and capacity to recycle or produce recyclates. Thus, there is not one, predominant solution, but rather multiple interdependent approaches that should be linked together. Ban on certain items made from single-use plastic. There is no doubt that Sierra Leone must follow most African countries and ban certain types of plastics. However, this has to be done carefully to ensure that the public and local industry can properly manage the transition. Sierra Leone can learn from other countries to avoid similar mistakes. These mistakes include laws and regulations that are not well drafted or not strictly enforced. These must be avoided. Furthermore, any proposed regulations must be well defined. It must be made clear which plastic items are covered by the ban and which are not and what suitable alternatives are available for each. Using less plastic. This is another important option with potentially great impact. The idea is to promote less use of plastic, especially where it can be easily avoided. Public awareness measures can encourage limiting the use of plastics to those areas where there are currently no suitable alternatives. Industry can also be motivated to use less plastic packaging and increase its reuse. As far as the tourism sector is concerned, using water dispensers instead of plastic bottles in hotels is one good example of many for reducing packaging, whether it is made of plastic or glass 35 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Increased recycling of plastics is important to remove plastic from the household waste stream. Using plastic waste for construction materials such as blocks and pavement tiles is a good example of how plastic waste can be turned into raw material for new products. Increased recycling can help reduce existing plastic waste. However, this option should not be overstated as a key option to reduce plastic waste pollution, given that Sierra Leone’s capacities for manufacturing recyclates is limited. Applications are found primarily in the construction and agricultural sectors. In tourism, most products that can be made from recyclates are not suitable for this sector. Substitution of plastic. Alternative materials for packaging applications are needed in the tourism sector and beyond. Here, it is important to use alternative packaging material that is environmentally friendly or easy to use. Good examples can be found in the business case. Figure 11: The four key options for reducing SUPP in Sierra Leone Source: Anteja ECG During the various consultation meetings with government and private sector representatives, twelve specific actions for plastics CE were identified as the most appropriate approaches to reducing plastic waste and moving further towards a plastics circular economy. Seven of these relate to policies, regulations or incentives and five are accompanying measures. The focus remains on plastic reduction actions in the tourism sector. 36 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Laws, regulations, or incentives: 1. Implementation of a national plastic waste management policy. 2. Tax exemptions for the importation of alternative packaging materials. 3. Tax wavers for purchasing equipment for recycling and/or reduced energy consumption. 4. Increased taxes on the import of single-use plastics. 5. Incentives for the construction sector to use plastic waste. 6. Regulations requiring public buildings to contain a minimum percentage of recycled from their waste streams with suitable alternatives 7. Reduced annual registration fee for tourism operators that replace a certain amount of plastic. 8. Development of green product taxonomy. Accompanying measures: 1. Awareness-raising activities on the benefits of the plastic circular economy for private sector representatives and the public (including schools). 2. Increased private sector involvement in enforcement of recycling laws. 3. Labelling of hotels and other tourism operators that use less plastic. 4. Continuation of the PLP. The complexity for successful implementation of these measures varies as does the expected impact on plastic waste reduction. The Goods and Services Tax exemption is intended to encourage the use of sustainable environmental products. According to the Finance Act of 2021, there is a Good and Service Tax exemption for additional products compared to the Finance Act of 2009. Under §26 Supply Description of the Finance Act of 2021, environmentally friendly activities are encouraged: “….supply related to the management and recycling of plastics and other wastes to support environmental[ly] friendly activities.” The Budget Act of 2021 does not provide any further information, which leaves many questions unanswered. The entire plastic circular supply chain is not considered in the Act. The same is the case for environmental or alternative packaging or other materials / products related to the plastic circular economy. It is obvious that a green product taxonomy is missing, which could provide more clarity. 37 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Table 8: Grouping of the activities alongside the four key options to reduce SUPP Source: Anteja ECG, developed and validated in the frame of the PLP workshop, May 2022. 38 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification 4. Proposed Action Plan The following Action Plan can help Sierra Leone take another step toward plastic CE. It is the result of the efforts made under the mandate and was adopted based on the PLP workshop held in May 2022. The following activities will inform the process of New Plastic Policy development. 1. Support early adopters in SUPP reduction and circularity practice. 2. Implementation of the National Plastics and Plastic Waste Management Policy. 3. Development of green product taxonomy. 4. Institutionalize the Plastics Leadership Platform (PLP) to ensure continuity of project goals 5. Strengthening the institutional capacity of key implementing agencies. 39 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification ACTION 1: SUPPORT EARLY ADOPTERS IN SUPP REDUCTION AND CIRCULARITY PRACTICE The first exercises with selected early adopters from the tourism sector confirmed a high openness to reduce single-use plastic and move to a plastic circular economy in the tourism sector. Initial pilot matching activities with cosmetics suppliers whose products can be used when dispensers are used for toiletries, have shown that both sides are very open to collaborating and entering into joint. There is no doubt about promising business opportunities, especially for female entrepreneurs. Nonetheless, supportive measures such as additional similar matching activities are needed to constantly match future supply and demand, especially since representatives of the twosectors are not yet known to each other. For example, such matching can bring together suppliers of natural cosmetics for soaps, shampoo etc. to be used by hotels and restaurants together with tourism providers. Later on, such matchmaking events may also involve suppliers of reusable tableware (e. g., cups, straws, etc.), bags, or cutlery. In addition to these matching activities, further work is needed for early adopters to finalize and keep theirspecific action plans up-to- date to ensure that initial ideas on how and where to reduce single-use plastic use are consistently put into practice. Additional awareness-raising campaigns shall be conducted to promote such activities related to reduced use of SUPP and help expand the early program adopters. Despite the promising success, there is a need for a much higher number of tourism providers to join in order to reach critical mass. Finally, a mechanism shall be implemented to recognize tourism providers that have succeeded in significantly reducing the use of SUPP. Reducing the use of SUPP in day-to-day operations is time-consuming and costly for the tourism operators involved. Thus, many of them may benefit from formal recognition by a government agency like the National Tourist Board through its marketing mandate. ACTION 2: IMPLEMENTTION OF THE NATIONAL PLASTIC AND PLASTIC WASTE MANAGEMENT POLICY There is a strong need to consistently implement the recently adopted National Policy on Plastic and Plastic Waste Management. Key stakeholders are aware of this need and actions can be initiated soon. The policy defines several short and medium term actions. One of them, which is of high importance, is the development of a green taxonomy (Action 7). In this respect, the PLP can play a leading role in coordinating the policy-making process. The PLP already gathers all relevant stakeholders from the public and private sectors. 40 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification ACTION 3: DEVELOPMENT OF A GREEN PRODUCT TAXONOMY While the Finance Act of 2021 foresees tax exemptions for "supplies related to the management of plastics and other wastes," key product categories are still missing to fully implement the circular economy for plastics. Furthermore, there is confusion about which products along the plastics recycling value chain qualify for tax exemption. The development of a green product taxonomy can help translate the Sierra Leonean government's goals for the circular economy of plastics into clear criteria and provide a common language for this issue. Many other countries around the world have developed their own national taxonomy, which can be understood as a classification system that includes a list of environmentally sustainable economic activities or products that are exempt from taxes. The green product taxonomy would provide domestic companies, investors and policy makers with appropriate definitions of which economic activities or products used can be considered environmentally sustainable. In this way, it should provide certainty for investors, protect private investors from greenwashing, help companies adopt circularity practices and encourage investment where it is most needed. ACTION 4: INSTITUTIONALIZATION OF THE PLASTICS LEADERSHIP PLATFORM (PLP) The PLP has served as an excellent platform to initiate and deepen a mutual dialogue with public and private stakeholders around circularity with special attention to the tourism sector. Many outcomes of the SLEDP project were presented, discussed and taken forward at the PLP meeting. To assure that this initiative continues, the PLP is to be continued and institutionalized. In the medium term, the PLP shall become recognized as the main platform for various stakeholders to initiate dedicated actions to reduce SUPPs in Sierra Leone. The next meeting of the PLP in 2023 can be used as an inaugural event to institutionalize this platform, especially if actions implemented in the meantime can be presented at this event. ACTION 5: STRENGTHENING THE INSTITUTIONAL CAPACITY OF KEY IMPLEMENTATION AGENCIES The analysis of institutional capacities and resources has revealed that there is a need for strengthening these capacities to ensure that future policies and regulations can be properly implemented. A strong institutional landscape with active government agencies and close cooperation between the public and private sectors are key to success. 41 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification A timeline for actions to be implemented within 12 months is shown in the figure below. Figure 12: The Time line for action plan Source: Anteja ECG 42 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Annex I: Regulatory Framework Impacting the Use of Plastics in Sierra Leone This Annex presents a selected list of public policies, strategies, and regulatory provisions relevant to plastic control measures currently in place in Sierra Leone. It includes brief descriptions of the acts, rules, and strategic measures relevant to the control of plastic pollution in the country. Tourism Act 1990 This Act established the National Tourism Board of Sierra Leone as the official tourism authority for the country. The Act defined the Board’s roles and responsibilities and provided statutory development aids and incentives for investors in the hotel and tourism sectors to develop sites and promote and market ecotourism in the country. The official recognition of tourism as an important economic factor in Sierra Leone gives the tourism sector a visible profile in the country's efforts to reduce plastic pollution. The National Environmental Policy 1994 This policy was designed to ensure sound environmental and natural resources management throughout Sierra Leone. Its key objectives are: Encourage and facilitate local participation in environmental management practices; Secure an environment that is adequate for the health and well-being of communities and ecosystems; Foster learning and knowledge sharing through public education campaigns and programs Serve as the main reference policy for the environment; The government's attention to reducing and eventually eliminating plastic pollution in the country is consistent with the purpose of this policy. Sierra Leone Trade Policy 2010 [20] Promote a robust and competitive private sector and support a growing production and services sector both nationally and internationally; Contribute to wealth and employment creation. Importation of single-use plastic products must be addressed in Sierra Leone’s trade policy. As international tourism will play an increasingly important role in the country's trade policy, controlling plastic pollution is an important component of efforts to attract "sustainable" tourism. [20] http://extwprlegs1.fao.org/docs/pdf/sie152220.pdf 43 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The Regional Development Authorities Policy, 2007 Similar to the Local Government Act (2004), this policy provides for the use of local-level institutional arrangements to ensure equitable and balanced national sustainable development planning and effective natural resources management. The policy has a direct impact on streamlining and strengthening the roles and functions of community-based structures in rural and coastal zone development and management. Regional authorities must be at the forefront of efforts to control and ultimately eliminate plastic pollution. Local Government Act 2004, 2010[21], 2022 Provides for the establishment of municipalities and local authorities; Regulates the operation of local authorities; Defines the functions and powers of local councils and councilors; Establishes the Local Government Service Commission, the Local Government Finance Committee, and the Inter-Ministerial Committee on Decentralization. Similar to the regional role, local authorities must also be at the forefront of efforts to control and ultimately eliminate plastic pollution. EPA Act, 2008[22], 2022 Created in 2008, amended in 2010. New EPA Act of 2022 in place now. An Act to establish the Sierra Leone Environment Protection Agency to provide for the effective protection of the environment and related matters. To secure the control and prevention of the discharge of wastes into the environment. To protect and improve the quality of the environment in collaboration with those it deems appropriate. The EPA is positioned to play a leading role in Sierra Leone’s efforts to reduce and eliminate the country’s use and management of single-use plastic products, not only through regulatory measures but also through broad-based public education. The Public-Private Partnership Act, 2014. [23] This is an Act to: Promote, facilitate, and streamline the conclusion and implementation of public-private partnership agreements by a contracting authority; Establish a Public-Private Partnership Unit; Establish private partner selection procedures in PPP agreements; [21] http://extwprlegs1.fao.org/docs/pdf/sie152220.pdf [22] https://www.ilo.org/dyn/natlex/docs/ELECTRONIC/87735/100128/F124370790/SLE87735.pdf [23] http://extwprlegs1.fao.org/docs/pdf/sie154938.pdf 44 Summary Report| Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Sierra Leone Local Content Agency Act, 2016[24] This Act incorporates the “Made in Sierra Leone” strategy announced by the Minister of Finance in his 2016 budget speech. The initiative continues to be developed by the Central Planning and Monitoring and Evaluation (M&E) Unit of the Ministry of Finance and Economic Development (MoFED). The initiative is linked to the Local Content Act, which falls under the responsibility of the Local Content Agency. Locally manufactured products intended to serve as substitutes for the single-use plastic products may benefit from the provisions of this Act in terms of any marketing preferences that may be granted to products with local content. The Sierra Leone Small and Medium Enterprises Development Agency Act, (SMEDA) 2016[25] The Sierra Leone SMEDA act was adopted in 2016 to promote the formation and development of high-performing SMEs. It directs and empowers SMEDA to work with stakeholders to foster the emergence of “innovative, sustainable, competitive and resilient SMEs in the country for the purposes of job creation, value addition and economic growth”. According to official postings, the Act was developed “through a stakeholder consultation and a Memorandum of Understanding (MOU) signed between the Bank of Sierra Leone, the Ministry of Finance, Ministry of Trade and Industry, and the International Labor Organization (ILO) to refine the country’s SME policy and strategy. The Act’s relevance to circularity derives from its focus on sustainable SME activities. The small and medium size enterprises that choose to continue or initiate commercial efforts in the area of plastic substitution for tourism-related products can benefit from the provisions of the SMEDA Act. [24]https://www.parliament.gov.sl/uploads/acts/The%20Sierra%20Leone%20Local%20Content%20Agency%20Act,%202016.pdf [25]https://www.parliament.gov.sl/uploads/acts/The%20Sierra%20Leone%20Small%20and%20Medium%20Enterprises%20Developm ent%20Agency%20Act,%202016.pdf 45 Summary Report| Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification The National Water Resources Management Act (2016) The objectives of this Act are: Establish a National Water Resource Management Agency and a Water Basin Management Board, and Catchment Water Resources Management Committees for the management of water resources and other related matters. Provide “equitable, beneficial, efficient, and sustainable” use and management of the country’s water resources. The water usage provisions, and related water permit procedures require permits for water use in all major categories. These include water use for domestic, commercial, municipal, industrial, agricultural, power generation, water transportation, fisheries, environmental, underwater wood harvesting, and recreational uses. Given the magnitude of the plastic pollution problem which affects Sierra Leone’s waterways it will be increasingly important to reinforce any mitigation measures set forth in this and others acts. Draft Environment Sector Policy Research Paper 2017 This policy paper identifies the needs for achieving UN Sustainable Development Goals (SDGs) #12 and #14 with a view to formulating a national SDG investment plan for Sierra Leone. Although this paper is neither a law nor an official policy, it provides relevant background information to highlight specific investment actions relevant to the United Nations SDGs related to “Responsible Consumption and Production” and “Life Below Water”. National Tourism Policy 2017 This policy measure has a clearly defined action plan and investment plan designed to revitalize the tourism industry in Sierra Leone. It provides a blueprint for revitalizing the sector and focuses on governance and institutional capacity development. It identifies ecotourism as a key segment in which Sierra Leone possesses a competitive advantage. Tourism is recognized as a sector with high export growth potential in Sierra Leone’s Trade Policy which promotes the rebranding of the country as an ecotourism destination. Any measures taken by Sierra Leone to curb and reduce the local use of single-use plastic products and the associated plastic pollution in the country are consistent with the concept of “sustainable tourism” which is a growing concern in the international tourism community. 46 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification National Ecotourism Policy 2017 This policy was adopted by the Ministry of Tourism and Cultural Affairs and the National Tourism Board in 2017. The Ecotourism Policy and its accompanying Five-Year Action Plan provide a roadmap for achieving the following objectives: Raise international awareness of the spectacular natural environment of Sierra Leone Seize the opportunities for strengthening the rural economy. Since ecotourism can be defined as “responsible travel to natural areas that conserves the environment and maintains the well-being of local people”, Sierra Leone’s National Ecotourism Policy is fully consistent with any proposed efforts to reduce plastic pollution in the country. Environment Protection Agency Strategic Plan 2017-2021 This plan was developed in line with the national social and economic development path included in Sierra Leone’s Agenda for Prosperity 2013 – 2018. It contributes to achieving the vision statement of the Sierra Leone Environment Protection Agency, which is to ensure sustainable use of natural resources while contributing to poverty reduction through effective protection and sound environmental management. The Plan leads to measurable and sustainable improvements in the environment and national livelihoods by enabling a policy framework and partnerships and capacity for equitable access to natural resources. The protect measures included in this plan are of clear relevance to the natural resources located in Sierra Leone's beach recreation areas. National Biodiversity and Strategic Action Plan (2017-2026) This Plan is relevant to Sierra Leone’s plastic pollution problem because of its objectives to: Protect marine and coastal biodiversity by strengthening technical research, Establish Marine Protected Areas (MPAs), Foster broad stakeholder participation, Facilitate learning and knowledge sharing, Promote positive attitudes through communications and education. 47 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Finance Act, 2021 The Finance Act of 2021 encourages the use of sustainable environmental products. It exempts supplies that relate solely to the management and recycling of plastics and other wastes from the provisions of the Act. This exemption applies to supplies made from recycled. Multi-Annual Indicative Program 2021-2027 Priority areas include the following: Green Economy; a green and resilient economy to provide decent jobs and sustainable, inclusive green economic transformation. Ecosystems and Biodiversity: Restoring, managing, and protecting terrestrial and marine biodiversity and ecosystems. Draft Plastic Waste Policy 2019 In 2019, the Sierra Leone Environmental Protection Agency prepared a Draft Plastic andPlastic Waste Management Policy. It is intended to address the challenges faced by central and local government authorities in the area of solid waste and plastic management. At the time, it was determined that the Draft Policy required further consideration of policy options, plastic packaging alternatives, and stakeholder engagement and validation. In 2022, the Minister of Environment requested assistance from the World Bank to develop a new National Plastic and Plastic Waste Policy. While the draft National Plastic Waste Management Policy of 2019 is general in its policy specifications, it provides an important broad-based template for moving ahead with specific actions directed at improving the plastics pollution problem in Sierra Leone. Sierra Leone’s Medium-Term National Development Plan 2019–2023 In reviewing Sierra Leone’s general regulatory framework affecting plastics control, it is important to consider the general plans and policies that have been put into place to address broader development issues. The country’s 2019–2023 Medium-Term National Development Plan (MTNDP) is designed to deliver development results that can improve the welfare of Sierra Leone’s citizens. The plan outlines a proposed goal of creating certainconditions in the country by 2023 that can contribute to Sierra Leone’s goal of achieving middle-income status by 2039.The focus is explicitly on inclusive, sustainable growth. The plan puts forth four key national goals: (1) “A diversified, resilient green economy”, (2) “A nation with educated, empowered, and healthy citizens capable of realizing their full potential” (3) “A society that is peaceful, cohesive, secure, and just”, and (4) “A competitive economy with well-developed infrastructure”. The plan specifically recognizes that the pollution of environmentally sensitive areas through poor sewage and waste disposal systems can potentially affect tourism opportunities. 48 Summary Report | Sierra Leone Circular Economy in Plastics for Sustainable Tourism and Economic Diversification Economic Community of West African States (ECOWAS) Environmental Policy The ECOWAS Environmental Policy articulates political and economic objectives that are designed to “bring peace, prosperity, and sustainable development for the people of the sub - region”. The long-term 2025 vision of the ECOWAS H eads of State is “to turn West Africa into a borderless zone where citizens benefit from opportunities and develop the region's vast resources in a sustainable manner ”.The general context of the stated environmental policy stems from the region’s vision for a thriving economy based on sustainable management of its natural resources. With regard to environmental challenges such as plastic waste, the ECOWAS environmental policy addresses measures to the manage and control “production, processing, consumption, trade and disposal.” The policy states that environmental pollution must be controlled and managed from the perspective of raw material flows, waste, and final processes.