It was only when José Manuel Moller began living on the outskirts of Santiago in a low-income neighbourhood that he experienced what is known as "poverty tax" – the extra costs people incur due to their economic circumstances.
A university student at the time, Moller was in charge of buying groceries for the house he shared with friends. Unlike in more affluent areas of the Chilean capital, there were few big supermarket chains in the area. So, most residents relied on local convenience stores that sold smaller quantities of essentials like cooking oil, beans and detergent – but at a premium.
Moller estimates he was paying up to 60 per cent more than if he had bought the same goods in bulk, and that plastic packaging was both inflating prices and creating an environmental problem.
"You realize that something unfair is happening," Moller told the United Nations Environment Programme (UNEP). "We are pushing lower-income consumers to pay more for packaging that ends up being a problem for sustainability and waste in the same neighbourhoods. The equation is wrong but to change this, you need to change the system."
To address what is a global issue, the 35-year-old founded Algramo (meaning "by the gram" in Spanish) in 2012. The social enterprise works with a range of retailers, from local shopkeepers to global brands, to encourage customers to use prefilled and refillable plastic containers for basics, such as dish soap and washing-up liquid. These household staples can be bought by the gram, with consumers paying the same per unit no matter how much or how little they buy.
Since 2020, Algramo customers have reused more than 900,000 pieces of packaging, keeping more than 100 tonnes of plastic from becoming waste.
For his efforts, Moller has been named the 2023 Champion of the Earth for Entrepreneurial Vision , one of the United Nations' highest environmental honours. Moller also works to galvanize the zero-waste movement through his role as vice chair of the United Nations Advisory Board of Eminent Persons on Zero Waste, an initiative set up in March 2023. The board helps raise awareness of the need to prevent, reduce and sustainably manage waste.
"How humanity produces, consumes and disposes of plastic has created a disaster," said Inger Andersen, Executive Director of UNEP. "José Manuel Moller's work shows us that reusing plastic can enable a range of economic, social and environment benefits, which is crucial to transforming our relationship with this material."
Driving the refill revolution
Less than10 per cent of plastic ever produced has been recycled. The rest is buried, burned or leaks into the environment, usually after just a single use. That plastic infiltrates land and sea and often makes its way into the human food chain.
To end the plastic pollution crisis , experts say it is crucial to find solutions that tackle the negative impacts of plastic products at all stages of their life cycle.
For Moller, encouraging consumers to make more sustainable choices is a key part of that process.
"The challenge around sustainability is not only about technology, it is also about consumer behaviour. I started thinking about how I could make people fall in love with an empty bottle,” Moller said.
In Chile, Algramo has partnered with convenience stores to allow shoppers to buy products in reusable bottles, with consumers returning their old containers when they do. At large retailers, Algramo has installed dispensing stations where customers can refill their own receptacles. The business is aiming to have more than 50 dispensing locations in the country by the end of the year.
Customers can also pay for orders via a phone app. Each container is fitted with a radio-frequency-based tag, a kind of smart barcode linked to an online account. The account tracks purchases and customers are rewarded every time the container is reused with a cash incentive. The money pops up in a virtual wallet, which can then be used as a discount on future purchases.
"Algramo believes that the solution to plastic pollution must not only be for high-income millennial vegetarians," said Moller. "This should be designed for everyone, who, at the end of the day, make decisions based on price. So, the approach of Algramo has always been affordability."
An ambition to change the world
For refill systems to become truly mainstream, Moller knows the importance of operating on a larger scale.
In recent years, Algramo has focused on expanding into other countries, including by providing expertise and software to other start-ups. Its greatest achievement, Moller said, has been convincing some of the world's biggest consumer goods companies to offer refill services for some products.
"Algramo has an ambition to change the world, not to offer detergent," Moller said. "I'm not excited about selling powder detergent or laundry detergent, I'm excited about changing the industry to move the needle on packaging and solving the poverty tax."
In Indonesia, Algramo is trialling a project in collaboration with Nestlé for two of its products, including a chocolate beverage. It is preparing to enter the Mexican market, having embarked on partnerships with Walmart and Target in the United States. It also has a partnership with a Lidl retail store in Birmingham, England, that allows customers to refill laundry detergent.
Despite the best efforts of social enterprises like Algramo, Moller admits there is a limit to what they can achieve. Ultimately, government regulation is needed to counter the rising tide of plastic pollution, he says.
"How do we push companies to do more than what the regulations are asking them to do?" Moller asks. "That is one of the main problems that we have today."
Moller says he feels an urgent need to shift consumer habits and make reusing plastics part of daily life. That drive stems from the fear that time is running out to avert the worst impacts of the climate crisis, he told UNEP.
In its latest report, the Intergovernmental Panel on Climate Change warned that if greenhouse gas emissions continue to grow at current rates, the planet would be on track to breach the most ambitious targets of the Paris Agreement between 2030 and 2035.
Addressing plastic pollution is critical to countering the climate crisis, experts say. The production, use and disposal of conventional fossil fuel-based plastics is responsible for more than 3 per cent of greenhouse gas emissions a year.
"Reducing plastic pollution is relevant, it is urgent, and we are running late," Moller said.
About the UNEP Champions of the Earth
UNEP's Champions of the Earth honours individuals, groups and organizations whose actions have a transformative impact on the environment. The annual Champions of the Earth award is the UN's highest environmental honour. #EarthChamps
About the #BeatPollution campaign
To fight the pervasive impact of pollution on society, UNEP launched #BeatPollution , a strategy for rapid, large-scale and coordinated action against air, land and water pollution. The strategy highlights the impact of pollution on climate change, nature and biodiversity loss, and human health. Through science-based messaging, the campaign showcases how transitioning to a pollution-free planet is vital for future generations.