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Recycling at Scale: How Smart Cities Are Building Circular Infrastructure

By Diversys Software Inc.

The waste crisis isn’t coming. It’s already here.

By 2050, global solid waste is expected to reach 3.8 billion tonnes, up from 2.1 billion in 2023. Cities are on the frontlines, balancing climate commitments, public expectations, and rising costs. For environmental leaders committed to both sustainability and equity, the challenge isn’t whether to act, but how to build smarter, more inclusive recycling systems that scale.

The answer lies at the intersection of digital tools, collaborative governance, and environmental justice, and smart cities are already leading the way.

What’s Holding Cities Back? A Data Deficit

The reality is that many municipalities are facing 21st-century waste challenges with 20th-century tools: paper manifests, standalone spreadsheets, and disconnected systems. These legacy tools don’t just create inefficiencies, they deepen inequities, leaving frontline communities with the worst service and the highest environmental burdens.

Without unified, real-time data, cities risk:
• Inefficient routing that increases fuel costs and emissions in already overburdened neighborhoods
• Contaminated recycling streams that reduce recovery rates and undermine circular economy goals
• Manual reporting that drains time from program improvement and community engagement
• Missed opportunities to create green jobs and local value in communities that need them most

In 2020, the direct cost of waste management reached USD $252 billion. But when factoring in pollution, health impacts, and climate effects, the true cost rose to $361 billion. Municipal organizations can’t afford to let poor data drag down performance — or perpetuate environmental injustice.

From Policy to Practice: California’s Circular Playbook

Forward-thinking jurisdictions like California are reimagining waste as circular infrastructure, and backing it with real policy. CalEPA is demonstrating what’s possible when environmental justice, climate action, and circular economy principles come together.

To bring this vision to life, California is building systems that:
• Hold producers accountable through Extended Producer Responsibility (EPR) programs
• Equip municipalities with real-time operational data to optimize service delivery
• Ensure clean, sorted recycling streams for high-value material recovery
• Provide tribal nations, border communities, and environmental justice organizations with visibility into material flows and outcomes
• Create transparent accountability for regulated industries while keeping them engaged in collaborative solutions

CalEPA and CalRecycle have made it clear: circularity requires data, technology, and shared ownership. The tools must match the ambition and serve everyone.

A Digital Backbone for Circular Cities

Modern recycling systems need to move beyond optimization and toward transformation. That starts with digital infrastructure that connects the dots across producers, municipalities, recyclers, and communities.

There’s growing demand for platforms that integrate physical and digital infrastructure, creating real-time digital waste governance systems that support full-value chain collaboration. This isn’t just about efficiency. It’s about building transparent, accountable systems that environmental justice requires.

When cities get this right, they can:
• Forecast waste patterns and proactively reallocate resources across all neighborhoods
• Dynamically adjust collection routes based on actual demand, not outdated assumptions
• Trace contamination sources and deliver culturally relevant, targeted education
• Track EPR obligations across manufacturers and jurisdictions
• Automate compliance reporting and free up staff for community engagement
• Share real-time performance dashboards with frontline communities and advocacy groups

A Path Forward: Three Priorities for Municipal Leaders

If you’re ready to scale your recycling program in a way that’s smarter, more efficient, and more equitable, here’s where to start:

1. Break Down Data Silos
Modern platforms should integrate seamlessly across departments and capture granular data from every neighborhood. Begin by collecting a full dataset, especially from environmental justice communities, and use it to create shared accountability. The goal isn’t just efficiency; it’s visibility and equity.

2. Enable Real-Time Visibility for Real-World Decisions
Move beyond monthly reports. Platforms like Diversys turn operational data into insights that matter, for operators, planners, and community stakeholders alike. When gaps in service appear, they can be addressed before they become systemic.

3. Design for Shared Governance
Build infrastructure that empowers collaboration across jurisdictions, producers, regulators, and communities. EPR tracking, MRF integration, and shared dashboards ensure everyone is working from the same trusted information — and no one is left behind. California’s experience shows that regulated industries stay engaged when the data is transparent and the roles are clear.

The Time to Act Is Now

By 2050, the annual cost of waste mismanagement could exceed USD $640 billion. But, if cities act now by investing in prevention and smart systems, that figure could be cut by more than half. California is showing what’s possible when EPR policy, transparent digital systems, and collaborative governance come together. The model works. The tools exist. And the value is clear, economically and environmentally.

At Diversys, we help cities and stewardship organizations digitize their recycling systems, not just to comply, but to improve. Our software integrates seamlessly with existing systems to capture detailed operational data for streamlined management, accurate reporting, and effortless compliance. With secure, real-time data, you can track performance across all neighborhoods, reduce waste, and ensure that every community benefits from the circular transition.

Interested in learning more about Diversys software?

Whether you are looking to go digital, enhance your reporting or improve operational efficiencies, we can help. Complete the form and we’ll reach out.

“Moving to digital reporting will significantly enhance our tire recycling efforts. A digital e-manifest provides a reliable tracking system and seamless information. This real-time information will ensure we meet our environmental goals while promoting sustainability across California.”

Zoe Heller

Executive Director, CalRecycle

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