The Government of Australia has reached a A$16m ($11.7m) funding agreement to boost Tasmania’s recycling infrastructure.

Environment Federal Minister Sussan Ley and Tasmania Environment and Parks Minister Roger Jaensch signed A$11m ($8m) joint funding agreement between the Commonwealth and State Government.

Additionally, minister Ley said another A$5.5m ($4m) under the Morrison Government’s $190m Recycling Modernisation Fund (RMF) will be used to further develop the state’s plastic recycling.

Waste Reduction and Environmental Management Assistant Minister Trevor Evans said: “Tasmanians need to know that their waste is a valuable product, not a problem that needs to be solved or put into the ground.

“Our Recycling Modernisation Fund recognises that and will make sure that Tasmania reaps the benefits.” In July this year, the Government of Australia announced a A$190m ($132m) commitment to a new RMF to boost recycling in the country and transform the waste industry.

The investment is expected to generate jobs and reduce pressure on the environment.

It will also help grow the state’s resource recovery sector and create a circular economy.

Ley said: “The Australian Government is investing in infrastructure to drive a $1bn transformation of our waste and recycling capability.

“Investing in the latest recycling technology just makes sense as Australia moves towards becoming a circular economy in which we shift the focus from ‘take, make, use and dispose’ to a more circular approach where we maintain the value of resources for as long as possible.”