Closing the Circularity Gap : Designing a Reverse Supply Chain Network for Post-Consumer Plastic Bottles

Globally, daunting plastic waste has become a grave ecological concern, which has mounted pressure on ecologists, government, businesses, and researchers to explore innovative opportunities to manage the situation. As a perceived panacea, the reverse supply chain is now an essential approach that guides firms toward a circular economy theme and encourages the recycling operations of plastics. This study seeks to design a reverse supply chain (RSC) network for post-consumer polyethylene terephthalate (PET) bottles via a mixed integer linear programming model. The model is applied to address a bi-objective problem: minimize cost, whereby government subsidy is considered as an integral aspect, and maximize public benefits. The LCA method is used to measure the public impacts of post-consumer PET bottles and integrate them into the RSC network design. The model’s applicability is validated by a case study of an RSC network for post-consumer PET bottle recycling in the Accra Metropolis, Ghana. The model can be useful to managers in making optimal decisions regarding the trade-off between reducing costs and maximizing public benefits. The sensitivity analysis performed further suggest that it is imperative for government to provide reasonable subsidy for companies to spend less and achieve the same public benefits. The study holds practical and policy insights for decision-makers