Bega Valley Shire, NSW
Population: 35, 942
In the face of recent challenges such as the intense Black Summer bushfires and the impact of the COVID-19 pandemic on local tourism, the Bega Valley on the South Coast of New South Wales has embarked on an ambitious circular economy transformation to address climate change and build sustainability across the agriculture, aquaculture and tourism sectors, as well as to protect and restore the natural environment and build community wellbeing.
With a vision of making Bega Valley Shire the most circular regional economy by 2030, the area is beacon model for regional Australia, demonstrating how economic, environmental and social resilience can flourish.
Regional overview
Circular economy initiatives in the Bega Valley are primarily led by the Regional Circularity Co-operative supported by funding from the Bega Group, an Australian dairy corporation headquartered in Bega Valley. The Regional Circularity Cooperative has launched a collaborative circular program known as Bega Circular Valley (BCV). This 10-year program aims to identify, accelerate and implement enabling projects to enhance the delivery of circularity and stimulate a regional circular marketplace and a vibrant economy.
The Regional Circularity Cooperative has collated various initiatives from community, enterprise and local, state and federal governments into a cohesive, multi-year regional development program. Its goal is to create a more liveable Bega Valley Shire and establish a benchmark for other agricultural communities.
The Regional Circularity Cooperative has initiated an array of circular initiatives across fisheries and aquaculture, biodiversity connectivity, drought resilience and farm carbon.
The Circularity Cooperative’s flagship initiative is the National Circularity Centre, slated to open in early 2026. Located to the north of Bega, the centre will serve as a discovery centre and tourist attraction. It aims to represent BCV by featuring local products, programs, technology innovations and community history, thus connecting the past to the future. The centre will incorporate a visitor centre, a local providore, an ag-tech and business innovation hub and First Nations cultural information, serving as the epicentre of the circular economy concept. It will potentially offer research and development and training opportunities.
The BCV initiative is a testament to a successful transition towards sustainability, making the Bega Valley an exemplary model for exploring circular practices in a regional setting and offering valuable lessons for other Australian communities.
Key learning: Leadership is a significant driver
The Bega Group plays a pivotal role in spearheading circular economy initiatives across the Bega Valley. In an interview with Regional Australia Institute (RAI) researchers, a local resident said, “Without that leadership, I don’t think this would happen…we have that large organisation with its resources based in our town and such a strong leader, who had a lot of contacts within various sectors and banks.”
The spark for these pioneering efforts was ignited by Rabobank, a Dutch bank renowned for its commitment to sustainable banking, governed by European legislation. By initiating dialogue with Bega Group and offering funding for circular initiatives, Rabobank achieved its sustainable loan principles in the Bega Valley, which aligns with the Bega Valley and the Bega Group’s long-standing commitment to sustainability, both on farm and in the factory.
The Bega Group also sought to demonstrate how the Bega community could transition to a circular economy. An interviewee reflected on this ambition, “We had already done a lot of work in sustainability, and we’re probably considered reasonable leaders when it comes to on farm sustainability for dairy farmers. The Bega Group wanted to make a bigger difference for the whole community and economy.”
The partnership between the Bega Group and Rabobank highlights how individual champions and collaboration can drive regional progress towards circularity and sustainability.
Key learning: Collaboration
Anchored in the local community and supported by the local council and the NSW Government, the foundation members of the BCV 2030 initiative includes large businesses, corporations, financial institutions, universities and research organisations. They contribute significant knowledge, resources, and networking opportunities, greatly enhancing the acceleration of circularity projects within the region.
The Regional Circularity Cooperative and Bega Group have been central to coordinating this collaborative effort. The Bega Group has leveraged its community standing and extensive network effectively, facilitating key connections and fostering partnerships spanning academic, corporate and governmental spheres, including the Far South Coast Dairy Development Co., the Australian Agricultural Company (AACo), nbn co., Bega Valley Shire Council, the University of Wollongong, Charles Sturt University and KPMG.
Through regular workshops, participants engage in detailed discussion to coordinate efforts, exchange ideas and outline specific responsibilities and investment allocations. For example, universities contribute knowledge, expertise and technology, serving as catalysts for innovation and supporting the growth of small, innovative enterprises. Consulting firms such as KPMG offer standardised advisory services, enhancing the program’s professional guidance. Crucially, government support plays a key role. The Regional Circularity Cooperative has a close relationship with local and state governments, which have joined as steering committee members to provide policy and legislative advice. The NSW Government has also invested $14 million in the National Circularity Centre. Engagement with the Australian Government is also evolving, with initiatives like outreach to the Circular Economy Ministerial Advisory Group for federal backing.
As the project evolves, foundation members continue to grow. Collaboration is a hallmark of the Bega Valley’s approach to circularity. Despite potential competition between members, their shared commitment to sustainable development fosters an open-minded approach.
Collaboration extends outside shire boundaries through involvement in the Canberra Region Joint Organisation’s Regional Waste and Resource Recovery Program.
Key learning: Community at the core
Beyond the top-level collaboration led by the Bega Group, the circular economy in the Bega Valley benefits from widespread community engagement at the grassroots level. An interviewee highlighted the critical role of community involvement, noting this engagement not only fosters a sense of ownership and responsibility towards sustainable practices but accelerates the adoption of circular economy principles by embedding them in daily life. They emphasised that the company is deeply integrated with and forms a crucial part of the community: “Bega Group has a long-standing presence in the community, and the community is very cohesive behind Bega Group. Bega Group employs 800 or so people in the region. So, there’s already good engagement through the workforce, also the fact that those of us working on this circular economy initiative are part of the community. But there’s no doubt we need to do more on that community engagement.”
As repeatedly mentioned by our interviewees, Bega Valley boasts a unified and close-knit community culture, with a high level of consensus on sustainable development and environmental protection. Natural disasters, such as the Black Summer Bushfires, coupled with the Bega Valley’s relatively isolated geographical location, have galvanised the community around the idea of fostering a circular economy. Indeed, this strong sense of community cohesion lays the groundwork for the top-down initiatives promoting the circular economy in the Bega Valley.