Bioplastics offer a promising sustainable alternative to petroleum-based plastics due to their biodegradability as well as favourable thermal and mechanical properties. Among different types of biobased polymers, the production of polyhydroxyalkanoates (PHA) using purple phototrophic bacteria (PPB) and low-value substrates has gained increasing interest. Despite the momentum, challenges regarding the scalability and environmental feasibility of this biopolymer production pathway remain. In response, this study employs an exploratory LCA approach to quantitatively assesses the potential environmental implications of PHA production in powder form and the joint management of the organic fraction of municipal solid waste (OFMSW) through a novel photobiorefinery system that uses PPB mixed cultures. Environmental impacts were tested under multiple improvement scenarios and benchmarked against the production of conventional fossil-based granulate or unprocessed plastics, including low density polyethylene (LDPE), polyethylene terephthalate (PET) and polyurethane (PU). The photobiorefinery stage was found to have the greatest contribution to the impact categories, particularly due to direct emissions, consumption of electricity and production of extractive chemical agents used. These factors accounted for over 70% of the photobiorefinery impact in all cases. Avoided impacts provided net favourable outcomes in terms of carbon footprint and fossil resources when comparing PHA production to conventional plastics, especially PET and PU, with impact reductions ranging from 30% to 60%, respectively. However, when considering other impact categories like eutrophication, this situation was less favourable. The exploration of alternative scenarios offered significant impact reductions, especially when renewable electricity or an environmentally friendly extraction agent is used. Moreover, minimizing methane losses or co-producing hydrogen in the photobiorefinery had a notably positive effect on the carbon footprint, reducing the impact by more than 2 t of CO2 eq per t of PHA powder compared to the base case. Therefore, the implementation of feasible improvement measures in the short term can position PHA produced by mixed cultures as a sustainable alternative to petroleum-based plastics.