The State of the Union: Electronics Recycling Infrastructure in the US

1. The State of the Union:Electronics Recycling Infrastructure in the US Jason Linnell Executive Director National Center for Electronics Recycling

2. Overview • NCER Background • Current Data: What is the State of Our Current Infrastructure? • The Future: What Infrastructure Do We Need? • Infrastructure Improvement Opportunities • Developments/Conclusions

3. National Center for Electronics Recycling • Mission: coordinate initiatives targeting the recycling of end-of-life electronics in the U.S. and support actions to move towards a national system • Offices in Polymer Technology Park in Davisville, WV • 501(c)3 organization working with all stakeholders • Major initiative with CEA called National Electronics Recycling Infrastructure Clearinghouse – Patchwork Study, BDMS

4. Some Big Questions • Since NEPSI, it has been common to refer to an electronics recycling "infrastructure."  • What does it mean? • # of collection points? Free or fee? • Other information needed for national system  • Management structure? • Where do we stand today? Are we close to having a “national infrastructure?”

5. What is “Infrastructure” • Infrastructure - assets of a community that include roads, sidewalks, water provision facilities, sewage removal mechanisms, alleys, street signs, pavement markings, traffic lights, storm water drainage facilities, swimming pools, museum structures, and other public buildings. • For e-recycling, we mean availability of collectors, transporters and recyclers; ability to function as a system • NEPSI Infrastructure Group: Base Level of Service, TPO, Performance Measures, Interim “System” /National Coordinating Entity (NCE)

6. What Is the State of Our Current Infrastructure?

7. Who is collecting? • Local Governments - i.e. at solid waste facilities, other public locations • Charities – limitations on acceptable equipment • Recyclers – contract w/local govt, run collection events or pickup from govt approved locations • Retailers – some pilot programs, some ongoing • Manufacturers – mail-back or recycler subsidies

8. Per Capita Collections • Massachusetts (2004) • 2.94 lbs./capita (average for the 197 towns/cities reporting to the MA DEP) • California’s first program year (2005) • 1.79 lbs/capita • Branford, CT (2004) • 1.61 lbs./capita (CRTs only) • Kirkland, WA (2004, curbside program) • 1.61lbs./capita • Snohomish County, WA (2004, transfer station) • 1.71 lbs./capita • Hennepin County, MN (2005) • 3.5 lbs./capita

9. Percent of Population Receiving “Free” Collection Services • About 19% of the U.S. • Currently or when legislated program is fully implemented • Includes non-legislated state/local collection opportunities such as: • Hennepin County, MN • Delaware • Fraction of MA localities not charging EOL fees

10. Percent of Population Covered by Disposal Bans • About 20% once current bans fully implemented • States with ban, but no mandated financing (yet) • MN, RI, NH, (AR)

12. Processing Infrastructure • E-Scrap News has identified hundreds of processors across the U.S. • Processing techniques and technologies utilized vary greatly • Markets for recovered materials are primarily off-shore

13. What National Infrastructure Do We Need?

14. Key Elements of the National Infrastructure • Collection Infrastructure • Processing Infrastructure • Information Infrastructure • Management Infrastructure

15. Collection Infrastructure • Viable collection opportunities exist in some parts of the U.S. • Outside of legislated states most utilize EOL fees or government grant funds • What percentage determines how you define “viable” • If municipal recycling volumes are to increase, more consumer collection opportunities need to be developed

16. Processing Infrastructure • At a high level, adequate capacity either exists or could be developed relatively quickly to manage national-scale volumes • E-Scrap News Survey Results: • “How long would it take to double your processing capacity?” • Average response time: 3 to 4 months • Existing/potential capacity not analyzed under different levels of processing standards, but numbers would probably change • Markets for recovered materials is a long-term challenge

17. Information Infrastructure • Information across all programs • How much is being collected? How are these data tracked and managed • Is it from a local/state source (not required for national program)? • How are used electronics being managed/processed and who qualifies to process these electronics? • Processing standards • Information management and reporting systems for complying with program requirements

18. Information Infrastructure (cont.) • For ARF systems at POS • Who is selling covered products • For PP/other systems based on market share • Who is producing covered products, and in what amounts? • For PR systems based on return share • What are the brands of returned products, and in what amounts? • What company is responsible for that brand? • What % of these returns are orphan? • For other financing systems…..????

19. Management Infrastructure • Could be done by government and/or private sector • California program infrastructure • CIWMB, BOE, DTSC • Maine program infrastructure • DEP, Consolidators • Washington State program infrastructure (under development) • DOE, WMMFA, Independent Plans

20. Private Sector Management • A Third Party Organization (TPO) can offer infrastructure management, way to implement program across state lines • Included in Northeast regional model, Region 5 policy statement, WA law • Pacific NW TPO project • 9 manufacturers on steering committee • Researched legal challenges, preparing business plan, gathering stakeholder input • Funding and legislative guidelines will determine TPO structure • Quasi-governmental or wholly private? • Board exclusively of OEMs, or multi-stakeholder? • Private sector management under the new Dell Policy

21. What is a TPO? • Other terms: • Producer Responsibility Organization (PRO) • Third Party Administrator (TPA) • Clearinghouse/Authority • In general, TPO understood to be: • Private, or semi-private organization, non-profit • Providing management of recycling system for a particular waste stream • Involving product manufacturers • But not necessarily associated with: • One type of financing mechanism, financial role • Control solely by manufacturers

22. TPO Role in Multi-State Programs • Multiple and very different state programs, lack of national program • How do we prevent/minimize duplicate costs and decreased efficiency? • TPO could theoretically run systems across state lines; but challenges: • Requires state legislatures to pass nearly identical legislation AND authorize possible out of state entity • Potential solutions: Interstate compact or tiered TPO model

23. Infrastructure Improvements: Projects and Opportunities

24. Projects and Opportunities • How can get an accurate measure of the national infrastructure? • Measurement challenges at the state level • What are the right infrastructure metrics? • Who develops the metrics • Who does the measuring • Kickoff discussion at E-Scrap Collaboration Workshop • Develop short- and long-term infrastructure development projects

25. Recent Infrastructure Developments • “Pilot fatigue” has set in, looking for permanent solution • More direct state/local govt involvement • Examples: Iowa, Chicago • Well-established programs see increasing volumes – ex Hennepin County • More retailer involvement – Wal-Mart pilots, new permanent program by Staples in WA counties

26. Conclusions • Not ready for a “drop-in” national program, more development needed • Any national program requires local involvement • Local experience with any program lacking some areas • Many disposal bans/financing programs too new to analyze • Next few years will determine effect and success • Need to work on common metrics to measure progress • Pounds per capita, per state?

27. Thank You! Jason Linnell NCER Phone: (304) 699-1008 jlinnell@electronicsrecycling.org