Sustainability series: Tackling the microplastics challenge

Plastic pollution is a critical environmental and sustainability issue which could threaten human health and consequently pose a liability threat for corporations. Learn more as we differentiate between various forms of plastics, discuss how microplastics pollution can be tackled from a sustainability risk management perspective, and provide an insurance industry perspective on microplastics.

The term plastic relates to plasticity, that is, the ability to deform irreversibly without breaking. This feature, along with its other attributes such as durability, flexibility, "lightweightedness", and low production cost, have contributed to its widespread use.

There are two major forms of plastic waste contributing to pollution: larger items of plastic debris and microplastics. There are also nanoplastics which, like any other nanomaterials, may have different effects on organisms as compared to microplastic particles.

Each year, more than 8 million tons of plastic ends up in the oceans and degrades to microplastics over time. While less obvious, microplastic itself contributes to global warming by interfering with the ocean's ability to absorb CO₂ by the following mechanisms:

• Photosynthesis: As photosynthesis is dependent on sunlight, the presence of microplastic adsorbs sunlight resulting in a lower rate of photosynthesis. Consequently, less CO₂ is 'fixed' and less oxygen is generated.
• Impact on phytoplankton: Microplastic could stick to phytoplankton and impair its ability to fix carbon through photosynthesis and thereby the release of oxygen.
• Impact on zooplankton: The presence of microplastic can reduce the metabolic rates, reproductive success, and survival of zooplankton that transfers carbon to the deep ocean.

Plastic production, its degradation as well as the presence of microplastic in the ocean contribute to global warming, not only now, but for many more years to come. A recent report by Beyond Plastics¹ states that as of 2020, the U.S. plastics industry is responsible for at least 232 million tons of CO₂ gas emissions per year. This is equivalent to the average emissions from 116 average-sized (500-megawatt) coal-fired power plants.

With the recent, close to 50 new plastic facilities under construction or in the permitting process, the U.S. plastics industry’s contribution to climate change is on track to exceed the CO₂ emissions of coal-fired power in the U.S. by 2030.

The versatility and advantages of plastic come with a cost. The durability and long lifespan of plastics, which are beneficial characteristics during use, become disadvantages at the end of their life cycle. Plastic materials breakdown very slowly, if at all, with most plastic ending up in the environment in some form, should they not be reused or recycled.

Today, microplastics are found almost everywhere in our environment. Not only in oceans but also in rivers, soils and even on arctic snow or glaciers of the alps. Millions of tons of plastic have made its way into the marine environment annually. As plastics deteriorate and break down, they end up as microplastics in the deep ocean, which acts as a sink for microplastics. 

Microplastic pollution on land can be even higher than in oceans and the extent of the pollution is dependent on the environment. On land, the particles could disintegrate into soils, sediments and freshwaters and find their way into the food chain.
Microplastics pose an environmental hazard because when ingested by marine organisms, these microplastics have been shown to negatively impact organisms’ growth, development, and reproduction. 

Environmental pollutants such as pesticides, pharmaceuticals, heavy metals, and polychlorinated biphenyls (PCB) which are typically used in paints, plastics, adhesives and more, tend to attach itself to microplastics. Therefore, even if the microplastic itself was not harmful to marine organisms, the contained chemicals or adsorbed contaminants can lead to adverse effects. Likewise, the added chemicals leak into the soil - potentially affecting the growth of plants - and further into the groundwater and into our drinking water.

Microplastics have been found in seafood but also in beer, honey, salt, drinking as well as mineral water. The study of microplastic contamination of food products and its impact on food safety and human health is an emerging field. The food and beverage (F&B) industry will be among the first that needs to prove that their risk management and quality management processes are suitable for mitigating this new exposure.

Challenges in assessing the current hazard and exposure of microplastics exists. These relate to the diversity in the size, shape and material composition of microplastics and the inappropriate sensitivity of the analytical methods applied.

Degradation of microplastic over time to nanoplastics poses even more hazard. This is because nanoplastics, given its size, tend to have far greater impact due to the increased surface ratio of its exposure. As science and analytical methods evolve, evidence of its adverse effects may be proven in the not-too-distant future, and potentially paving the way for liability claims for not just plastic manufacturers.

While it is advocated that plastic use is reduced, reused and recycled, unfortunately, new plastic is still far cheaper than recycled plastic. Consequently, this disincentivizes corporations from using recycled materials. The use of recycled plastics may also pose new risks as the ingredients used in its production are rarely tracked from origin to final product because of the costs involved.

Apart from tackling the pollution of secondary microplastic sources, there is also a need to reduce primary microplastic leakage from tire dust, textile fibers, and more. Companies can take action by substituting tire material to improve the durability, redesigning and shifting to textiles with lower loss rates, amongst others.

In recent years, plaintiffs in the US have shown a renewed interest in public nuisance claims with lawsuits involving lead-based paint, per- and polyfluoroalkyl substances (PFAS), climate change, and plastic pollution. While existing environmental regulations and health standards may not be enough to hold defendants liable in these contexts, the common law is increasingly seen as a viable avenue to limit economic activities linked to global pollution issues.

Causation of a damage or loss arising from microplastic pollution is currently difficult to prove. While it is well understood that microplastics are prevalent in the environment, in humans and in animals, the health risks of microplastics exposure to living organisms are still unclear. Therefore, until science can prove that microplastics are harmful to human health or the environment, plastic pollution litigation is likely to focus on macroplastic debris more than microplastics.

Changes about how plastics are dealt with by consumers, producers, or regulators are evolving. Meanwhile, it does not seem to be the lack of technical solutions that hinders the ability to address microplastic pollution. With potentially changing regulatory frameworks, business models, and funding mechanisms, a reduction of plastic production, an expansion of consumer reuse options, and more recycling models offer the biggest reduction method to microplastic pollution. At the same time, it provides an opportunity to achieve a reduction of greenhouse gas emissions. 

Regardless of the possibility and speed of such a change, the microplastic topic affects the risk landscape of corporations in the plastic value chain now and in future. Civil litigation surrounding secondary microplastics may emerge in coming years as the science evolves rapidly. Furthermore, growing public awareness on microplastic issues and regulation on plastic pollution raises the liability and reputational risks for these corporates. Consequently, they need to proactively address, closely monitor and adapt risk management practices to mitigate these new risks with support from the insurance industry.

^{1 Plastics Destined to Create More Emissions Than Coal in the US, Study Finds — Beyond Plastics - Working To End Single-Use Plastic Pollution}