Weekly recap: Recycling momentum, policy debates and energy shifts shape aluminium sustainability

The global sustainability narrative continues to evolve as policymakers, industries and communities reassess how resources are produced, reused and managed. Over the past week, developments across Europe and Asia -along with policy signals from India, reflected opportunities embedded in the transition toward a more circular and low-carbon future.

Policy and industry

Aluminium scrap exports have become a point of contention within Europe, dividing policymakers and recyclers. A global recycling industry body stated that the European Commission's proposed limits on scrap aluminium exports are unnecessary and could harm the circular economy.

The restriction, implemented in November, was designed to keep more metal within the European Union (EU) so the domestic industry does not face shortages. The move received backing from the aluminium lobby, European Aluminium, which urged policymakers to impose export fees on the material.

However, the Brussels-based Bureau of International Recycling (BIR), representing 37 national recycling federations, countered that an EU export ban or aluminium scrap trade restriction is “neither necessary nor effective,” underscoring the policy divide around material security and open trade. Read for more.

Systems and participation

Ireland’s effort to reshape recycling habits is showing tangible scale. More than 2.4 billion plastic bottles and aluminium cans have been collected since the launch of the country’s deposit return scheme, according to figures released as the initiative marks its second anniversary.

Managed by Re-turn, the programme has rapidly built a nationwide collection network. Sensoneo, the Slovakia-based company that delivered the end-to-end IT solution for Re-turn, reported that 3,133 active collection points are now operating, supported by 2,798 reverse vending machines installed across the state in less than two years. For full details read here.

Growth and energy

Indonesia’s aluminium industry is preparing for a sharp surge in power demand, with a potential requirement of 9.5 GW by 2028. The country’s primary aluminium smelting capacity is projected to rise from 0.75 million tonnes per annum in 2024 to 3.13 million tonnes in 2028 - a 317 per cent increase in just four years. For more details click.

At the same time, China is approaching a symbolic and structural shift in its power sector as solar energy is on track to overtake coal in installed capacity for the first time in 2026. This milestone is unfolding alongside an aggressive coal build-out that critics say risks diluting the gains of renewable expansion.

According to the China Electricity Council, installed solar capacity is projected to surpass coal within the next year, with the gap widening in 2026. By the end of that year, non-fossil energy sources led by solar and wind are expected to account for 63 per cent of total power capacity, while coal’s share falls to 31 per cent - highlighting how renewables have become central to China’s energy mix, not just climate pledges.

Communities and transition

Milaap by Vedanta Aluminium is evolving from an outreach initiative into continued community engagement. The development journey of Kalahandi reflects how trust remains as essential as investment in long-term progress.

The programme was designed as a periodical engagement platform rather than a one-time intervention. With each visit building continuity and deeper understanding, the dialogue between villages and Vedanta Aluminium has gradually changed its nature. Explore more about it.

India’s Union Budget FY2026-27, presented by Finance Minister Nirmala Sitharaman on Sunday, February 1, signals a decisive shift toward aligning economic growth with decarbonisation ambitions and the long-term vision of Viksit Bharat 2047.

The Budget arrives as India prepares to leverage opportunities from the EU–India trade deal while navigating cost risks posed by the European Union’s Carbon Border Adjustment Mechanism (CBAM). For carbon-intensive industries such as aluminium - which emits 20.88 tonnes of CO₂ per tonne of production in India, making it one of the most carbon-intensive sectors in the country compared to the global average - the allocation underscores the urgency of accelerating the transition.

The government has set aside INR 200,000 million (USD 2.18 million) for carbon capture technology and extended duty-free imports for nuclear power plants until 2035. Read here.

Innovation and efficiency

The process of channelling industrial waste heat from TRIMET’s aluminium smelter in Essen has been launched by TRIMET Aluminium SE in partnership with Iqony Fernwärme GmbH. The initiative aims to incorporate carbon-neutral energy while boosting the environmental efficiency of the district heating network and strengthening the sustainability credentials of the local heat supply.

TRIMET Aluminium SE - regarded as one of the largest aluminium producers in Germany and France - will be able to feed nearly 31 thousand MW-hours of unavoidable waste heat annually. Generated during electrolysis furnaces, the heat is converted into Iqony's district heating network and supplied to customers in Gelsenkirchen, Bottrop and Essen. Read the full story here.