Addressing Weaknesses/ Barriers for Recycling Markets January 11, 2007

1. Addressing Weaknesses/Barriers for Recycling MarketsJanuary 11, 2007

2. Primary Aim of Recycling Market Development Efforts Increase the use of Pennsylvania-generated secondary materials in product manufacturing both in-state and beyond.

3. Healthy Markets • Sufficient quantity and quality of materials to meet demand, available at a price buyers and sellers both accept • Sufficient capacity for processing the materials into a form usable as feedstock • Manufacturing capacity adequate to absorb the processed material and produce recycled products • Adequate final product demand

4. Recycling Market Development Is... Any action in any of these four dimensions - supply, processing, manufacturing, or end use - that expands healthy secondary materials markets.

5. Types of Barriers • Both cross-material and material-specific Grouped into four categories: • Economic • Infrastucture/operational • Educational/informational • Regulatory/policy

6. Recycling Market DevelopmentBarriers/Inefficiencies • Imperfect flow of information regarding materials, pricing, and end products • Uncertainty about future market conditions • Investors’ and businesses’ risk aversion inhibiting business development

7. Recycling Market DevelopmentBarriers/Inefficiencies • Mispricing of materials and products due to undervaluing public benefits/costs • Inability of manufacturers to reach economies of scale • High transaction costs associated with converting feedstock or creating new products using secondary materials • Unrestricted nature of technical information, which can discourage research and development

8. Cross-Material Strategies • Feedstock Conversion • Technology Development & Commercialization • Support of Existing Recycled Product Manufacturing Businesses • New Recycled Product Mfg. Business Development • Buy Recycled • Collection/ Processing Best Practices & Technology Development • Identification of New Opportunities • Education and Outreach

9. Material-Specific Strategy Tools • Information and Education • Technical/Infrastructure • Facilitation • Financial • Procurement • Regulatory

10. Addressing Organics BarriersDEP Initiated • Expanded yard waste permit to 15 acres • Developed on-farm food waste composting permit • Evaluating PBR sites ability to utilize cafeteria and grocery store food waste

11. Addressing Organics BarriersDEP Initiated • Developed Compost Infrastructure Grant Program for private sector • Included source separated food waste programs into 902 grant program • Worked with PENNDOT to include compost specs in Pub 408

12. Addressing Organics BarriersPARMC Initiated • GIS project for compost facility locations • Held Organics Stakeholders Forum • Organized mid-Atlantic Food Waste Summit with ILSR • Supermarket food waste composting project • PA Food Merchants Association Program • Compost pellet development consortium

13. Addressing Glass BarriersDEP Initiated • Worked to change WQ policy to allow glass as a substitute for sand in on-lot systems • Awarded Act 198 grant to RecycAll to research glass use in concrete barriers • Worked with PENNDOT to encourage glass use in transportation projects

14. Addressing Glass Barriers PARMC Initiated • Recycled Glass Economic Development Forum • Triple mix glass Sand Mound Program • Glass Concrete Research Program • Assisting a number of entrepreneurs with establishing new non-bottle manufacturing facilities

15. Addressing Plastics BarriersDEP Initiated • DEP contacted all plastics processors/ endusers/brokers to update information for database and establish relationships • Have provided links between generators and processors/endusers • Created the Recycling Markets Infrastructure Development grant for private sector

16. Addressing Plastics BarriersDEP Initiated • Worked with City of Philadelphia to establish plastics collection • Use residual waste reports to identify sources of materials and recycling options for industrial plastics

17. Addressing Plastics BarriersPARMC Initiated • Plastic Film Collection/Recycling Program • Facilitation - Locating source material for new and established businesses and outlets for materials

18. Addressing Waste Tire BarriersDEP Initiated • Worked with PENNDOT for use in embankments and on roadways • Focus is on municipal tire cleanups

19. Addressing Waste Tire BarriersPARMC Initiated • Crumb rubber filter development assistance • Recycled Tire Economic Development Forum • Promotion, marketing support and review of tire cryogenics process

20. Addressing Electronics BarriersDEP Initiated • Assisted with the establishment of 10 permanent collection sites across the state • Worked with NERC to develop model legislation since introduced by Rep. Ross • Developed permitting policy to ensure CRT’s are not subject to HW rules in PA • Secured RCRA funds for community support for education/outreach

21. Addressing Electronics BarriersDEP Initiated • Worked with Dell to secure grants for 3 PA communities to cover collection costs

22. Addressing Electronics BarriersPARMC Initiated • Facilitate electronics recycling by connecting generator and recycler • Assisting entrepreneurs with information about the electronics recycling industry