The Hidden Costs of Construction Waste: How New Zealand Homeowners are Paying the Price

Jim Luhrs
4 min readDec 15, 2022

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Framing the problem is simple but a foundational change is needed

Construction is a major industry in New Zealand, with the sector contributing nearly 10% to the country’s GDP and they are arguably the most wasteful industry in New Zealand with construction and demolition waste making up 40–50% of New Zealand’s total waste going to landfill, you would think they might want to cut down on the waist but lets be honest the building industry doesn’t like change. One of the major sources of construction waste in New Zealand is offcut materials — the leftovers and scraps from construction projects. These materials, which can include wood, metal, plastic, wallboards and concrete, often end up in landfills where they take up valuable space and can take decades to break down. But what if there was a better way to manage offcut materials?

What if construction suppliers in New Zealand started accepting their offcut materials back to be recycled? There are several reasons why this would be a good idea. For starters, recycling offcut materials can help reduce the amount of waste that ends up in landfills. This not only helps to conserve space in landfills, but it also reduces the environmental impact of construction waste. Recycling offcut materials means more savings to everybody, instead of paying to dispose of their waste. Another benefit of recycling offcut materials is that it can help create new products and materials. For example, recycled wood can be used to make furniture, flooring, and other products. Recycled metal can be used to make new building materials, such as rebar and steel beams. And recycled concrete can be used to create aggregate for use in new construction projects.

There are already some awesome companies in NZ doing some great stuff, for example the team at Critical Design are turning recyclable plastics back into building materials. Additionally companies like Terra Lana have a wool blend insulation that is 100% recyclable. Terra Lana are a great example of a company that understand sustainability and product life cycles. Terra Lana will happily accept offcuts from a building site back to their factory in Christchurch because it will go straight back into their closed-loop manufacturing process.

In addition to the environmental and financial benefits, recycling offcut materials can also help improve a company’s public image. By showing that they are committed to sustainability and responsible waste management, companies can enhance their reputation and potentially attract new customers who value these practices.’

Of course, recycling offcut materials is not without its challenges. One of the biggest challenges is the lack of infrastructure and facilities for recycling construction waste. This means that companies need to find a way to transport their offcut materials to a recycling facility. Additionally, there may be a lack of demand for some recycled construction materials in the market, which could make it difficult for companies to sell their offcut materials but if they are profiting off a product should they not be responsible for the lifecycle of the product? This could require companies to invest in marketing and education efforts to promote the use of recycled materials and create demand for them.

Despite these challenges, the benefits of recycling offcut materials far outweigh the drawbacks. By taking the initiative to recycle their offcut materials, construction suppliers in New Zealand can help reduce waste, save money, create new products, and improve their public image. It’s time for the construction industry in New Zealand to embrace recycling and take responsibility for its waste.

The problem is the cost of construction waist just gets passed on to the last person in the chain and that sadly is the home owner. The entire industry needs a shakeup as there is no accountability as it is about convenience as often nobody in the supply chain cares because somebody else is paying but now is the time to forgo the easy way out for a little bit of change. It can’t be that difficult for any supplier to take back their own product as most manufactures already have some form of recycling for their own offcuts at the factory so why not enforce it at a supplier level. If I can take an old car battery back to the local automotive car part retailer why can’t I take my timber offcuts and wallboard offcuts back to the merchant?

If children know how to recycle why doesn’t the construction industry?

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Jim Luhrs
Jim Luhrs

Written by Jim Luhrs

Web3, Startups, AI & all things tech. Based in Christchurch, New Zealand. Founder of a Web3 startup and passionate about supporting local

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