Malaysia has been making significant strides in transforming its solid waste management (SWM) through national policies, regulatory reforms and emerging circular economy (CE) initiatives. As highlighted in the report “Enablers for Effective Extended Producer Responsibility (EPR) in the Asia-Pacific Region: Lessons from Developed and Developing Countries in the EU and Asia (Malaysia)” by Switch-Asia, the country has strong comprehensive frameworks under the Solid Waste and Public Cleansing Management Act 2007 (Act 672), the CE Blueprint (2025-2035), and initiatives for separation at source (SAS) and recycling, which collectively strengthen sustainable solid waste handling.
Government authorities, alongside specialised agencies like Solid Waste and Public Cleansing Management Corporation (SWCorp), are actively undertaking measures to improve collection, recycling and waste-to-resource practices. Efforts such as the establishment of the National Circular Economy Council (NCEC) and pilot EPR programmes for plastic and electronic waste demonstrate Malaysia’s commitment to fostering industry participation and innovation across different segments of SWM.
Existing SWM mechanisms and related infrastructure in Malaysia
Effective SWM and Malaysia’s shift towards a circular economy are key pillars of its environmental agenda. The country operates a structured system that classifies waste, enforces regulatory controls and coordinates multiple stakeholders to enhance recycling, resource efficiency and environmental protection. Waste is clearly classified into hazardous and non-hazardous categories, each overseen by different authorities. Hazardous waste, defined under the Environmental Quality (Scheduled Waste) Regulations 2005, is managed under strict protocols, while non-hazardous municipal solid waste (MSW) – from households and waste from the construction, industrial, commercial and institutional segments – is handled separately to ensure safety and compliance.
Although Malaysia’s solid waste management system has long followed a linear “take-make-dispose” model, recent national policies signal a decisive shift towards circularity. The Circular Economy Blueprint (CEB) for Solid Waste 2025-2035 and the CE Policy Framework for the Manufacturing Sector under the 12th Malaysia Plan aim to address unsustainable consumption, poor resource utilisation and environmental pressures by prioritising resource recovery and waste reduction. Despite established recycling pathways, a substantial share of MSW, continues to be landfilled, often in sites operating with limited environmental safeguards. This results in significant resource loss and increased environmental and public health risks. Waste that escapes formal collection is frequently burned, buried, or illegally dumped, exacerbating pollution and undermining national sustainability goals.
SWM and institutional frameworks for effective SWM
Malaysia’s municipal SWM is governed by a combination of federal and state regulations. Historically managed under the Local Government Act 1976 (Act 171), responsibilities for waste collection, treatment and disposal rested with local councils. Limited capacity among councils led to the Solid Waste and Public Cleansing Management Act 2007 (Act 672), centralising regulation under the Ministry of Local Government and Housing (KPKT) for select peninsular states, with others adopting it gradually. Act 672 mandates a 2+1 collection system where the waste is collected twice a week for solid waste, and food and organic waste, and once a week for recyclables, bulk and garden waste. However, SAS implementation remains limited due to enforcement gaps.
Institutionally, KPKT oversees SWM in states where the act is applicable, with the National Solid Waste Management Department co-ordinating policies, licensing and facility approvals, while SWCorp implements operations, service standards and public engagement. In states where the act is not applicable, local authorities manage collection and enforcement, supported by DOE under the Ministry of Natural Resources and Environmental Sustainability (NRES) for hazardous waste and pollution control. KPKT, with support from the NRES, the Ministry of International Trade and Industry (MITI) and other ministries, leads future EPR implementation under the CE Blueprint, co-ordinated through NCEC, established in 2023.
Implementation of EPR and CE principles
Malaysia currently has no mandatory EPR legislation, though KPKT and NRES are leading waste management and recycling efforts, with MITI supporting EPR planning. The Malaysian Recycling Alliance (MAREA) supports voluntary post-consumer packaging recycling in preparation for mandatory EPR. NCEC is advancing CE policies, including an approved EPR policy framework and mandatory eco-design.
Malaysia’s CE approach began with initiatives such as the National Sustainable Consumption and Production Blueprint 2016, which introduced government green procurement and CE waste systems to reduce landfilling by 2030. This was followed by the National SWM Policy (2016) under KPKT, which incorporated strategies such as SAS, pay-as-you-throw (PAYT), take-back systems and waste-to-energy initiatives. Complementing these, the National Cleanliness Policy 2020-2030 further promotes CE practices and EPR through strategies including reduce, reuse, recycle principles, waste-to-income initiatives, industry adoption of CE practices and tools like reverse vending machines to encourage recycling.
The 12th Malaysia Plan (2021-2025) and the CEB for Solid Waste 2025-2035 take a more structured approach to implementing CE. These initiatives focus on creating an enabling ecosystem through legislation, eco-design requirements, recycled material standards and green financing. The CEB outlines 20 strategic initiatives, including mandatory EPR implementation, zero-waste-to-landfill certification for manufacturers, development of waste ecoparks, expansion of PAYT systems, which follow the polluters-pay principle, and incentives for private sector CE activities. These efforts are aimed at transforming SWM from a linear model to a fully circular system.
In the case of plastics, the Malaysia Plastics Sustainability Roadmap 2021-2030 sets clear targets for achieving plastic circularity, including phasing out single-use plastics, implementing voluntary-to-mandatory EPR schemes, enforcing recycled content thresholds for the packaging, automotive and construction sectors, and empowering the informal sector. MITI’s CE Framework for the Manufacturing Sector (2024-2030) focuses on industry-specific interventions, including minimum circular content requirements, mandatory EPR adoption in key sectors, CE certification standards, and support for pilot studies and capacity building for manufacturers.
In sum
Malaysia’s SWM system is steadily advancing, guided by a series of national plans, road maps and blueprints. EPR is emerging as a key strategy to drive material circularity, particularly for plastics, packaging and e-waste, though implementation is still in its early stages. Current efforts focus on waste collection, source separation and pilot recycling initiatives, laying the groundwork for more comprehensive CE practices.
Future priorities include scaling mandatory EPR schemes, expanding recycling and waste-to-resource infrastructure, formalising the informal recycling sector and other mechanisms. With sustained policy reform, industry participation and targeted investments, Malaysia is positioned to shift from a linear waste model to a resource efficient circular economy.
Extract from a Switch Asia report, titled “Enablers for Effective Extended Producer Responsibility (EPR) in the Asia-Pacific Region: Lessons from Developed and Developing Countries in the EU and Asia (Malaysia)”