THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST WPA TODAY THE NEWSLETTER OF THE WESTERN PLASTICS ASSOCIATION

WWW.WESTERNPLASTICS.ORG FEBRUARY 2012

PRESIDENT’S ARTICLE: CONTINUING TO EVOLVE AS THE WESTERN PLASTICS ASSOCIATION BY JOHN PICCIUTO

My short tenure as president of cessfully got this legislation • Kept Plastic Bag Bans “at the Western Plastic Association enacted. bay.” As the San Francisco bag has made me realize how far we ban spread to other parts of the • Resin Pellet Containment. have come as a trade association Bay Area, CFECA members John Picciuto, President CFECA was the lead plastic of the Western Plastics over the last 35 years. I can stepped up and became the local industry association when the Association remem ber attending my first face in lawsuits against the City issue of resin pellets in the LA CFECA meeting back in 1988 of Oakland. CFECA members Basin hit the Los Angeles Water when Sally More was president, were instrumental in helping Resources Board. CFECA con- demonstrating the importance of other cities from banning bags vinced SPI and ACC that a resin supplier involvement in the in the late 2000s. IN THIS ISSUE: problem existed and teamed up organization. I was a 27-year-old with these groups to revamp My goal as president is to con- WPA President’s Article 1 junior salesman hoping to get a Operation Clean Sweep and con- tinue the tradition of successful chance to meet some of the indus- WPA Executive Director’s duct processor education about outreach established over the try leaders like Greg Gurewitz Update 2–3 keeping resin pellets out of the last 30 plus years. We will con- who soon took over as president waterways. CFECA also sup- tinue to be fiercely independent, Politics 4–6 of the group. His passion and ported state legislation that put grassroots, member-driven direction helped CFECA survive Bioplastics 9–10 a penalty on plastic processors organization that promotes its and grow during difficult times, Film Recycling 12–15 willfully discharging resin pellets. products and is willing to have and he is a great role model for constructive dialogue with its me as we increase our reach in • Ban on “Green Washing.” A s Recycling 16–19 critics. We will reach out to any the west and continue to evolve degradable additives were intro- Greenhouse Gas group who is as passionate as the Western Plastics duced and used in plastic bags, Reductions 20–23 about improving our industry Association. environmental groups started while being mindful of our Anti-Littering screaming about “green wash- The accomplishments of my environment. Campaigns 24–27 ing” when the bags were adver- • predecessors like Pete Grande, tised as “100% Biodegradable.” Robert Bateman, Cathy Browne CFECA sponsored legislation that NEW ADVERTISERS and Louis Chertkow have had a banned the use of the term Get your message positive impact on the industry: “biodegradable” and “biode - in front of 1500 targeted Next WPA Meeting: industry readers. March 13 • Heavy Metals in Packaging gradable in landfills” on plastic Banned. CFECA sponsored the film and bags. Author Susan Freinkel 916.930.1938 bill in California in 2003 and suc- [email protected] SEE DETAILS, PAGE 8

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WPA CONTINUES TO GROW: WPA TODAY FOCUSES ON ISSUES AND EDUCATION BY LAURIE HANSEN, WPA EXECUTIVE DIRECTOR

The Western Plastics Association March General Meeting: On about issues important to the continues to change and morph March 13 in Norwalk we will have plastics industry in the West and into an association that members Susan Freinkel, the author of nationally. Inside this edition you Laurie Hansen, Executive want to belong to and participate “Plastic: A Toxic Love Story” as will find articles on new plastic and Legislative Director for in. Our January meeting had the our speaker. In her book, film and recycling efforts, sus- Western Plastics Association biggest turnout in years and our Freinkel explores one of the most tainable business recycling prac- membership keeps growing on a transformative inventions of the tices, resources for questions on weekly basis. Thank you to 20th century — “plastic built the polystyrene, help on meeting everyone who has rejoined for modern world and yet it is so greenhouse gas emission re- 2012, and to our new members. utterly ubiquitous that we rarely quirements, political insights, OUR JANUARY A special thank you to Thomas stop and give much thought to and much more. Members are MEETING HAD MacMillan who is chairing our what it means that we are never encouraged to contact me to THE BIGGEST Membership Committee and more than three feet from some- submit articles and industry spending many hours recruiting. thing plastic.” Some interlocking highlights for future publications. TURNOUT IN themes that Susan focuses on is WPA Today advertisers should Meeting Sponsorship: Since YEARS AND OUR plastic waste and pollution and be encouraged by this new and the January meeting we’ve had the challenges of dealing with exciting newsletter format. We MEMBERSHIP several requests to sponsor more plastics at the end of their useful would like to get more advertisers GROWS WEEKLY. meetings, and we hope your lives and the future of plastics. so please contact WPA for more company will be interested. Many CFECA members were information on advertising. Meeting sponsors will be able interviewed by Freinkel and to spend a few minutes with the Anti-Litter Campaigns Featured: contributed to her observations audience talking about your com- One important section of this about plastic. We think you will pany, your products, and the newsletter is devoted to anti- enjoy listening but will also be benefits your company brings to litter and clean-up campaigns challenged by the information the table. Ship and Shore that are going on around the that Freinkel has published. Environmental sponsored the state in March and April. Keep Please be sure to attend this January meeting, and Anoosheh California Beautiful is sponsoring interesting meeting. Mostafaei made a short presen- clean-ups in many locations and tation on how the company can WPA Today Features: As you can taking the opportunity to educate help plastic manufacturers see by the banner, the Die-Line the public about the effects of reduce energy costs and install has been transformed into the litter. KCB is a material-neutral pollution control equipment to WPA Today to reflect the new organization that is interested in get in compliance with Califor- organization. In an effort to bring preventing litter and changing nia’s Greenhouse Gas emission interesting and timely articles to behavior—not blaming one type requirements and other tough air you, WPA has enlisted our own of material for the mess. The regulations. members and reached out to Friends of the Los Angeles River other trade associations to write (Continued, see Update, page 3)

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WPA UPDATE [CONT’D]

(FoLAR) has their LA River Clean- City of San Jose. These are impor- we want it to be an effective tool up in April and they have in- tant events, and any effort we can for our members. The Board is cluded an article and requests for contribute toward these clean- considering other activities and help from the industry. FoLAR is ups is well worth it. We seriously welcomes suggestions for mem- another group that has not taken encourage you to advertise these bers. Our goal continues to be anti-plastic positions, but rather clean-ups with your employees growing membership and provid- participated together with our and hope to get your teams out ing services to members that you westernplastics.org industry to prevent litter and to help stomp on litter and want. The legislative issues are change how Angelinos dispose change people’s behavior. heating up at the state and local of their trash—keeping it off the levels, and your involvement will Future: The WPA website OUR WEBSITE IS streets and out of the waterways. be key. www.westernplastics.org con- Another group of plastic industry STILL GROWING, tains a vast amount of informa- Thank you for being a part of the reps are helping do a clean-up in AND WE WANT TO tion on current topics and events Western Plastics Association. San Jose March 17. Company em- taken from publications and Please contact the WPA office at BE AN EFFECTIVE ployees from as far away as Bak- member companies. Please visit [email protected] and we TOOL FOR OUR ersfield and Fresno are going to this site for up-to-date reports. will be happy to assist you. MEMBERS. VISIT drive hours and devote a Satur- • The website is still growing, and day to cleaning up around the WESTERNPLASTICS. ORG FOR UP-TO- DATE REPORTS. POLYSTYRENE RESOURCE INFORMATION

As part of the WPA efforts to provide resource information to members, we would like for you to be aware of several good websites that can provide you and your customers with information on questions that may come up on polystyrene. Mike Levy, Director of the Plastics Foodservice Packaging Group (PFPG) of the American Plastics Council has provided a very good synopsis that is printed here. These websites can provide you with accurate information that you could find useful and educational for the industry and the public. SB 568 by Senator Alan Lowenthal, which would ban all EPS foodservice prod- ucts statewide, is still a viable piece of legislation in the Capitol. The bill is currently sitting on the Assembly floor and can be voted on anytime between now and September. Safety of Polystyrene Foodservice Products:

http://www.plasticfoodservicefacts.com/main/Safety/Safety-of-PS-Foodservice-Products Most recent food safety report on styrene/PS

http://www.plasticfoodservicefacts.com/Safety-of-Styrene-Based-Polymers-for-Food-Contact Update on the Safety of Polystyrene Products and California Proposition 65

http://www.plasticfoodservicefacts.com/main/Safety/Californias-Proposition-65 Q & A on Safety of Polystyrene Products

http://www.plasticfoodservicefacts.com/Q-and-A The Safety of Polystyrene Foodservice Packaging – the National Toxicology Program Report on Carcinogens

http://www.plasticfoodservicefacts.com/main/Safety/National-Toxicology-Program

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POLITICS: CHANGES IN THE AIR OR STATUS QUO? BY BRUCE MAGNANI, THE HOUSTON GROUP

California’s budget struggles deficit last year and succeeded cent. Another initiative spon- continue while the state is on the in cutting $14 billion of state sored by the California Federa- cusp of holding a historic elec- spending. tion of Teachers, titled “The tion. National politics are domi- Millionaire Tax to Restore Fund- In trying to balance the 2012 nating the media, which is not a ing for Education and Essential state budget, the Governor’s ini- surprise. Presidential elections Services,” will raise the tial proposal would cut $1 billion should hold the attention of the income tax rate on those earning from CalWorks and $842 million nation. This election will be a over $1 million a year. Histori- from MediCal. Additionally the highly contested race with candi- cally, when ballots offer compet- Governor is asking voters to dates outlining very divergent ing tax measures, voter fatigue increase in the state sales tax paths for the country’s future, and confusion will result in a fail- IN 2012 THERE a half cent and increase the and California’s budget struggles ure of all proposals. Early polling income tax on those earning over WILL BE A LARGE generate front-page headlines shows the electorate is inclined $250,000 a year. Both increases nearly every day. What may be to support his initiative, but NUMBER OF would last five years. There is a lost on the voting public is: Cali- “NO” campaigns are easy to run; RETIREMENTS strong debate about whether fornia’s 2012 election will show- it will be an intriguing fight. FROM CON- highly volatile income taxes are a case an open primary system and long-term solution to California’s California voters, dissatisfied GRESS, MORE be contested with new district budget mess. Recent data high- with partisan bickering by career COMPETITIVE boundaries drawn by a citizen’s lighting the fact that high-earn- politicians, implemented term commission, not the courts or DISTRICTS, ing Californians are an limits in 1990 hoping to change legislature. TERM LIMIT endangered species is adding how the state was governed. If IMPLICATIONS I certainly don’t want to minimize fuel to the debate. While the approval ratings are an indicator AND THE the importance of the fiscal mess Franchise Tax Board processed of success, and the current rating California struggles with every returns from 146,221 people that is nine percent approval, it is safe DYNAMIC OF year. The mess is real and the earned over $500,000 in 2007. to assume term limits didn’t AN OPEN Governor is projecting a deficit of Those earning over $500,000 in result in the desired outcome. $9.2 billion, while the independ- 2009 dropped to 98,610. Forty PRIMARY. Continued frustration fueled ent Legislative Analyst is offering percent of state income tax voters to approve an open pri- up a number closer to $13 billion. revenue is paid the top one mary and remove legislators from The funny thing about projections percent. Is raising income taxes having any responsibility in how is they can be horribly wrong, no the solution? legislative district lines are drawn matter how much data is pro- Adding to the uncertainty sur- and gave the responsibility to vided. In the state’s 2007 pre- rounding the Governor’s plan: his non-partisan commission. What recession Five Year Spending tax proposal will compete with does that mean to the average Plan, analysts predicted state two other initiatives that hope to voter? Voters can choose to vote revenue in 2012 would exceed increase state revenues through for any candidate regardless of $130 billion. The actual revenue an income tax increase. One ini- party and the top two vote get- is closer to $90 billion. What is a tiative, titled “Our Children Our ters in a primary will be placed few billion dollars among friends? Future,” proposes to raise income on the ballot in November, The fiscal situations sounds taxes on nearly all Californians regardless of party affiliation. bleak, until you realize the Gover- that pay income tax by one per- (Continued, see Changes, page 5) nor was facing a $26 billion dollar

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CHANGES OR STATUS QUO? [CONT’D]

District lines are now based upon the Legislature will likely see 40 primary election and November geographic criteria, using simple new faces, which would be a general election! Oh yeah, we are shapes and in a compact manner thirty percent turnover. Either choosing a new President, too. that avoids splitting cities, coun- scenario is historic and will Bruce Magnani is a lobbyist with ties or communities of interest. impact the state for years into The Houston Group, a firm in the future. Or at least until voter In 2012, there will be a large Sacramento that was founded frustration causes more reform. number of retirements from Con- by Robert Houston in the 1980s. Among the 42 ballot initiatives gress, more competitive districts, WPA’s Executive Director and Bruce Magnani, that have been approved for term limit implications and the legislative advocate, Laurie The Houston Group signature gathering, one initia- dynamic of an open primary. The Hansen, is affiliated with The tive would roll back the clock and perfect storm could bring close Houston Group. WPA utilizes the make California’s Legislature a to 60 new members to the 120- services of this firm and has had part-time body. Don’t miss the person State Legislature! That a long positive relationship with excitement and pay close atten- would be a fifty percent turnover. all of the firm’s principals. tion to what happens in the June • Even with modest projections,

BUSINESS LEADERS SAY STATE BUSINESSES ARE ON WRONG TRACK STILL HUNKERED DOWN, DOING BY JOCELYN A. MCCABE, APR WHATEVER OLYMPIA— More than three- “Although we have seen some online survey; 787 responded THEY CAN TO quarters of respondents in a positive economic signs in re- giving the survey a 13.5 percent SURVIVE… survey of Association of Wash- cent months, it is clear based on response rate. ington Business members this feedback from our members A majority of respondents de- believe Washington state is gen- that Washington state has a scribed their company as either erally going in the wrong long way to go before its econ- “fairly healthy” or “very direction, and more than half omy is truly thriving again,” healthy,” but a disconcerting don’t see things improving in the AWB President Don Brunell said. one-third said their business next 12 months. “Many businesses are still hun- is “not very healthy” or “not kered down, doing whatever Employers surveyed said healthy at all.” Nearly 70 per- they can to survive the com- the biggest issue facing their cent said they do not expect to bined impacts of a terrible businesses is complying with add employees in the next 12 recession, a growing thicket government regulations (25 months. of government regulation and percent), a lack of customers or spiraling health care costs.” Looking ahead, Washington clients (24 percent) and the cost business leaders don’t see of health care (21 percent). The online survey, conducted things improving soon. More between Dec. 19 and Jan. 6 by The survey results illustrate the than half of respondents said Moore Information, Inc., asked fragile state of Washington’s they expect business conditions AWB members to share informa- economy, and underscore the to be about the same a year tion about the health of their need for lawmakers to be mind- from now. Only one-third believe businesses, their opinion about ful of their decisions on the conditions will improve over the the economy and their outlook state’s private employers as they next year, and 14 percent say for the next year. AWB invited attempt to close a $1.5 billion they will be worse in a year. its 5,823 members with e-mail budget shortfall during the 2012 (Continued, see AWB Survey, page 6) addresses to participate in the legislative session.

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AWB MEMBER SURVEY [CONT’D]

Some additional findings: • Almost half (46 percent) of they go about their work, it’s im- look for other ways to eliminate respondents said their company portant that lawmakers keep in outdated or conflicting regula- • Most AWB members (78 per- absorbed the additional health mind the challenges that con- tions, and they must resist doing cent) believe government regu- care cost, and nearly as many tinue to face our state’s employ- things that will add costs to em- lations on their businesses (41 percent) either reduced ers, as well, particularly the ployers at a time when so many increased during the past five health care coverage and/or small and medium-sized are clearly afraid to bring on new years. In an April 2006 survey, passed along costs to employ- businesses that will fuel our workers. If they can do these 73 percent said government ees. “Our state’s political lead- recovery. things, maybe the next survey regulations had increased. ers are facing a big challenge will find the state is back on the “Passing the tax simplification again this session,” Brunell con- right track.” • Most AWB members (86 per- proposal put forward by Gov. • tinued. “Solving a $1.5 billion cent) provide health insurance Gregoire is one way they can re- Reprinted from the Association budget shortfall is an unenvi- to their employees, and most of duce the layers of bureaucracy of Washington Business, the able task, and it will require them (77 percent) have seen that weigh down employers,” leading manufacturing associa- making many hard choices. As health insurance premiums in- Brunell said. “But they can’t tion in Washington State. crease by more than 10 percent stop there. Lawmakers must January 26, 2012, www.awb.org. in the past year.

AWB MANUFACTURING REPORT HIGH- LIGHTS INDUSTRY CONCERNS BY JOCELYN A. MCCABE, APR

OLYMPIA—A new report issued Pasco, Spokane and Vancouver. • Changes are needed to Initia- ton state manufacturing em- today by the Association of The report was released in con- tive 937 in order for manufactur- ployee earned more than Washington Business and its junction with the association’s ers to remain competitive with $77,470 in salary and benefits. nonprofit AWB Institute under- Legislative Day at the Red Lion other states. We have a tremendous opportu- scores the value of the industry in Olympia. nity here to attract and • There is a lack of a skilled to the state’s economy while retain some of the brightest tal- “Washington state manufactur- workforce to meet demand. highlighting several key compet- ent in the industry, but as our ers play an integral role in our itiveness concerns. • Tax incentives play a vital role members pointed out time and economic recovery and our in the growth of the manufactur- again, we must retain our com- The report, “Challenges & Op- state’s overall economic well- ing industry and must be pro- petitiveness.” portunities for Manufacturers in being,” said AWB President Don tected. Washington State,” features the Brunell. “The goal of these ses- AWB is both the state’s chamber findings from a three-month, six- sions was to discuss the positive • There are serious regulatory of commerce and the manufac- city tour conducted by the busi- aspects of running a manufactur- issues with several state and turing association, and is a ness group, talking with ing business in the state of federal regulatory agencies proud partner with the National Washington state manufacturers Washington and what could be that must be addressed. Association of Manufacturing. about key issues affecting em- done to ensure the industry’s “If there’s one thing this tour AWB’s nonprofit, the AWB Insti- ployment and the general busi- continued growth and presence underscored is the value of this tute, tracks workforce and man- ness climate. Between August in the state.” industry to Washington state,” ufacturing issues in the state. and October of 2011, AWB repre- To download a copy of the re- Among the report’s key findings: said Amy Johnson, strategic con- sentatives met with 70 small, sultant to AWB and the AWB In- port, visit the AWB Institute’s • Power rates must remain com- medium and large manufactur- stitute. “Manufacturing jobs website. • ers representing approximately petitive to attract new manufac- accounted for almost 10 percent Reprinted from the Association 5,000 employees in Everett, turers and retain existing of the state’s employment in of Washington Business. Mount Vernon, Moses Lake, companies. 2009, and the average Washing- January 17, 2012, www.awb.org.

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7 UPCOMING WPA PROGRAM: SOCAL MEETING

A Toxic Love Story MARCH 13, 2012

Featured Guest Speaker: Susan Freinkel Author

PLASTIC: A TOXIC LOVE STORY Please join us to hear Susan Freinkel talk about her acclaimed book, Plastic: A Toxic Love Story. Freinkel writes about the intersection of science, culture, and the environment and the kinds of difficult issues that arise from our love affair with plastics. Where would we be without pacemakers, polyester, computers, cellphones, or sneakers? Each year we use and consumer more plastic and Freinkel treks through history, science and the global economy to assess the real impact of plastics in our lives.

THANK YOU TO MEETING SPONSOR: REIFENHAUSER GROUP The Reifenhäuser Group is the world’s largest leading provider of machinery for plasticizing thermo- plastic materials. It is headquartered in Troisdorf, Germany. Together with its subsidiaries Reifenhäuser EXTRUSION, Reifenhäuser KIEFEL Extrusion, Reifenhäuser REICOFIL, Reiloy Metall, Polyrema and Reimotec, the Group is able to meet national and international demands on the highest possible level. Reifenhäuser Group’s special strengths lie in the many decades of experience, the flexibility with which market developments are anticipated, the innovativeness which led to countless patents, and the 365/24 RQS service competence, which is always geared towards the needs of the customers.

EVENT SPONSORSHIP: Sponsoring an upcoming WPA program is a great way to increase WHEN: COST: your firm’s visibility to hundreds of decision-makers within our industry. Tuesday, March 13, 2012 RSVP by March 8, 2012 5:30 PM Registration & Networking WPA Members: $70 WPA would like to add your com- 6:30 PM Program & Dinner Guest of a WPA Member: $100 pany's name to our prestigious list of supporters! There’s a sponsorship option for every need and every WHERE: RSVP after March 8, 2012 budget. Norwalk DoubleTree Hotel WPA Members: $90 13111 Sycamore Drive, Norwalk, CA Guest of a WPA Member: $120 Contact Laurie Hansen for details on how your company can market its Tel: 562.863.5555 Walk-ins at the event: Add $10. services and products to key industry * If you require a hotel room for this meeting, contact Cancellation Policy: Cancellations must be made 48 professionals. the hotel directly—562.863.5555 hours prior to the event. Registration is non-transferable 916.930.1938 or to another event; send a substitute if you are unable [email protected] to attend. No shows will be billed.

RSVP today: [email protected] THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

BIOPLASTICS: NATUREWORKS ANNOUNCES JOINT VENTURE

NatureWorks, a new member of ation of AmberWorks, a joint cessing to produce renewable the Western Plastics Association, venture to bring new perform- chemicals. These renewable has just released news of a Joint ance bio-based polymer chemicals deliver high-perfor- Venture. compositions to market. mance, low-carbon-footprint building blocks that are cost Press Release: NatureWorks and The joint venture builds on the competitive with their petro- BioAmber Form Joint Venture to natural synergy that exists chemical equivalents. The joint Commercialize New Bio-based between NatureWorks and venture combines the best of Polymers BioAmber. Beyond its Ingeo PLA both companies into an entity Two industry-leading companies technology platform, Nature- tasked with developing a new join forces to expand the range Works brings to the joint venture family of bio-based compounded of low carbon-footprint, high-per- a global commercial presence, polymer solutions. NATUREWORKS formance, bio-based polymers established customer relation- ships, developed applications With the formation of the joint PLANS TO COM- NatureWorks, the bio-plastics across a breadth of industries venture, NatureWorks plans to MERCIALIZE A market leader with its commer- and deep experience in commer- commercialize a new family of cial range of Ingeo™ biopoly- NEW FAMILY OF cializing new-to-the-world poly- compounded Ingeo resin grades, mers, and BioAmber, a next- COMPOUNDED mers. BioAmber owns PLA/PBS and is immediately offering sam- generation chemicals company ™ compounding intellectual prop- ples of developmental grades INGEO RESIN and a market leader in the com- erty and applies award-winning aimed at thermoforming and GRADES… mercialization of bio-succinic biotechnology and chemical pro- injection-molding processes. acid, have announced the cre- (Continued, see page 10)

INDUSTRY GUIDES RELEASED BY BIOPLASTICS COUNCIL

In its ongoing efforts to educate about bioplastics, the SPI Bioplastics Council released two new guides last month: “Understanding Biobased Carbon Content” and “Life Cycle Analysis Primer - What, Why and How.” One of the WPA’s newest members is NatureWorks, an active member of the Bioplastic Council. NatureWorks produces PLA resin that is a major component of the compostable foodservice ware offerings used by restaurants. The two new Bioplastic Council guides are: Life Cycle Analysis Primer - What, Why and How The focus of the “Life Cycle Analysis Primer” is to provide the reader with a better understanding of Life Cycle Analysis (LCA) including the various phases of an LCA with explanatory comments and practical advice for the LCA sponsor. Understanding Biobased Carbon Content The focus of the “Understanding Biobased Carbon Content” guide is to provide the reader with informa- tion about biobased content, ASTM D6866, alternative approaches to reporting biobased carbon con- tent and other key points. The two guides can be found at www.plasticsindustry.org/BPC/Publications/content.cfm?Item Number=3603&navItemNumber=3604. To download either resource, visit www.plasticsindustry.org.

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NATUREWORKS JOINT VENTURE [CONT’D]

This new family of developmental “The new product range being president and chief executive of- Ingeo compounded resins is developed by the joint venture ficer, BioAmber. “Our novel PBS designed for foodservice ware enables NatureWorks to broaden compounding technology has applications, expanding the its existing product portfolio, enabled us to forward integrate Ingeo property range in terms allowing for bio-based product into polymers and our partner- of flexibility, toughness, heat solutions in applications that ship with NatureWorks, the resistance, and drop-in process- were previously difficult to ad- global market leader in biopoly- ability on existing manufacturing dress,” said Marc Verbruggen, mers, will strengthen and accel- equipment. Based on market in- president and chief executive erate market access for our terest, further formulated solu- officer, NatureWorks. “The prop- growing portfolio of renewable tions optimized for a number of erties of PLA and PBS are com- solutions.” different applications beyond plementary and making Ingeo In the USA, developmental sam- food service will be assessed compounds using both materials ples of the new Ingeo injection over the coming 12 to 24 months. will result in a broad and attrac- molding and thermoforming so- Compounded PLA/PBS resin tive property profile for a number lutions for the food service in- grades, developed and manufac- of different applications.” dustry are available from tured by AmberWorks, will be “The AmberWorks JV builds on NatureWorks, www.naturework- marketed exclusively through the BioAmber’s core business: the sllc.com, 800-664-6436, NatureWorks global commercial production of cost competitive, [email protected]. organization as new and distinct • renewable chemicals that include solutions within the company’s succinic acid and 1,4-butane- Ingeo portfolio of products. diol,” said Jean-Francois Huc,

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11 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

FILM RECYCLING: THE TIME FOR ACTION IS NOW! BY MARGO REID BROWN, FORMER DIRECTOR, CALRECYCLE

California leads the nation in recy- cate annual production of approxi- jobs and economic vitality, we cling and waste diversion. The mately 80 million metric tons. PE must look to the development of a recent legislative cycle has once film’s primary use is within pack- recycling infrastructure for film again set the stage for a robust aging, which is an expanding mar- plastic that is economical, conven- recycling growth period that we ket, due to increased demand ient and market-based. We sup- hope will create jobs, stimulate resulting from the movement of port consumer-oriented solutions. investment in infrastructure to many products from rigid to flexi- Consumers want a choice in the stimulate the California economy ble packaging. Many of these marketplace, recycling options, and create more environmentally materials currently end up in the and maintaining the environmen- responsible manufacturing. landfill waste stream unless con- tal hierarchy to reduce our usage sumers and industry are given of precious virgin natural resources, The recent increase in waste diver- the opportunity to recycle and reuse our products, and recycle all sion requirements to 75% on top reprocess their plastic film. materials to preserve a closed OUR COALITION of the AB32 measure of manda- loop environmental choice. FORMED TO tory recycling for all jurisdictions, Recycling of commonly used prod- INCREASE both are viewed as opportunities ucts has always been the focus of A coalition of producers, recyclers, RECYCLING OF to dig deep into the waste stream natural resource preservation. consumers, and end users aimed at identifying barriers and working PE PLASTIC FILM and capture more material, in- The creation of a closed loop sys- creased recycling of PE plastic film tem is the heart of effectively recy- collaboratively to foster wide- AND RAISE among the easily recyclable com- cling necessary products. Plastic spread recycling opportunities has AWARENESS modities available. One can ask, should be treated no differently. been formed. This coalition, in THAT PLASTIC why can’t PE film become as read- Increasingly, the discussion of concert with environmentally FILM CAN BE ily recycled as, say, paper or card- banning of products, packaging responsible producers seeking an board? It is the will, or willingness or material type has fostered an alternative to product selection RECYCLED to create the market based solu- attitude towards plastic that is and material bans, is developing a ECONOMICALLY, tions to meet the supply. littered with misinformation. new strategy to address the issue Nearly 75% of the plastic produc- of awareness and demand for PE So where do we go from here? tion in the United States is from post-consumer recycled resin and The PCR Plastic Film Recycling natural gas, NOT petroleum. products. Coalition of California formed to Domestically recycling PE film to increase recycling of PE plastic To support the effort to create a create post-consumer resin will film by raising awareness that sustainable PE film plastic recy- save an enormous amount of plastic film can be economically cling infrastructure, maintain job greenhouse gas. Today’s alterna- recycled through a convenient, growth, and create a more sus- tive is the exportation of these cost-effective recycling infrastruc- tainable environment, contact the materials to China to produce ture. The goal of the coalition is PE Plastic Recycling Coalition products to be sold and shipped the creation of PE film products about becoming a member. back into US markets. This does from domestically recycled and nothing to help preserve our natu- PE Plastic Recycling Coalition certified post-consumer PE ral resources or the environment. c/o Margo Reid Brown plastic. PO Box 160751 To truly preserve our natural PE films comprise around 25% of Sacramento, CA 95816 resources, create overall green- all plastics used worldwide. Poly- Click: www.peprc.org house gas reduction, lower our • ethylene is the most widely used carbon footprint, and maintain plastic. Industry estimates indi-

12 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

FILM RECYCLING: WHY THE INDUSTRY NEEDS TO EMBRACE PCR CONTENT BY ROBERT BATEMAN, ROPLAST INDUSTRIES

‘Polyethylene film products What has led us to this vision? sarily depend on depleting the in the United States will be First, something has to be done to world’s finite hydrocarbon made from domestically turn around the demonization of resources. It would show that our recycled and certified post- polyethylene film products. One industry is helping reduce the flow consumer plastic.’ obvious manifestation of this is of material into landfills. It would the ban on thin single-use grocery create jobs in our country, not in This is the vision of those of us in bags. This is spreading to non China where today much of the California who have got together grocery carry-out bags and to suitable scrap is sorted. Basically, to develop a PCR coalition, which heavy gauge reusable polyethyl- it could shift our industry, in the Margo Brown covers in a separate ene grocery bags. The momentum minds of the opinion formers, who article [see page 12]. IT COULD SHIFT will not be slowed down by the developed and now benefit from We do not mean that we should recitation of the environmental the anti-plastic movement, and OUR INDUSTRY, pretend that industrial scrap is advantages of plastic bags in com- the public, from an exploitive to a IN THE MINDS OF post consumer like the paper parison to the alternatives, nor by sustainable industry. Words are THE OPINION industry does. We do not mean stressing their convenience, effi- not going to cut much ice, and I FORMERS, FROM that the state government should ciency and value. Unless the cannot think of any other action be persuaded to pass meaning- AN EXPLOITATIVE momentum is arrested, the demo- that could. less laws that appear to be man- nization will spread systematically Embracing this objective is the TO A SUSTAIN- dating post-consumer content like beyond carrier bags to other film first step. The second is the estab- ABLE INDUSTRY. the California trash bag law. We do products. lishment of an independent certifi- not mean that messaging should Something has to be done to cation or verification process that be developed that encourages change fundamentally the image can be accepted by the industry, consumers to believe that a prod- of plastic film, and I cannot think customers, governments and the uct contains post-consumer resin of any alternative but to accept general public. Without such a when it does not. We do not be- the goal of including the maximum system, embracing the objective lieve that, no matter how much amount of PCR in our products is meaningless. We all know of money is spent, aggressively pro- wherever this is practical and can claims of PCR content that are moting recycling is the same as become economical. There are incredible to a knowledgeable developing a market for PCR that other necessary steps, such as person—my favorite is the claim can underpin the creation of a PCR addressing the ocean debris issue of 100% PCR content printed on a supply infrastructure. We do not –it is encouraging to note that the nonwoven polypropylene im- believe that appearing to be satis- global plastic industry appears ported reusable bag sold by a fied with the percentage growth in finally to be stepping up to the major grocery chain and distrib- post-consumer scrap recycling plate on this– but these will not be uted by a company which had lob- from a low single digit base is any sufficient to change the direction bied in Sacramento claiming that substitute for an increase of the of opinion. I believe that a serious it was not possible to include any base by an order of magnitude. commitment on PCR could cause recycled material, let alone PCR, in We do not believe that there such a change. nonwoven polypropylene bags. should be any opportunity for Where PCR is claimed, the honesty materials that have not served I believe this because it would of the claim must not be subject to their original purpose to be remove the basis for the anti - question. passed off as scrap for recycling plastic movement. It would show (Continued, see PCR, page 14) into PCR. that our products did not neces-

13 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

EMBRACE PCR [CONT’D]

The verification system must be since. Fifty years later the scrap- I am not dreaming. Roplast’s main independently managed. It should based mini mills in industrial German competitor in the global be open to all worldwide. Even countries are flourishing unlike carrier bag market is reported to though PCR producers and con- those based on iron ore. be expanding the capacity of their verters in other countries can PCR production facility from One day the plastics industry will qualify, a verification system 35,000 tons per year to 75,000 reach the size and maturity which accepted by governments, plastic tons. More and more global com- will justify a similar switch to converters and customers would panies are specifying PCR. For the scrap-based raw materials. The encourage a fair market. It would last few years, I have been work- main advantage to converters is a also, like the Green Dot system in ing with a solid waste collection new source of supply, not under Germany, keep out short-term and and recycling company in South- the control of a few global compa- irresponsible suppliers. In Califor- ern California on the development HOWEVER nies, with a cost structure not de- nia, we have developed the basis of a washing and recycling produc- pendent of the vagaries of global THE INDUSTRY for such a certification system as tion facility using agricultural and markets. There is also the possi- DEVELOPS, part of the Sustainable Plastic supermarket film waste. The re- bility of lower costs and prices THERE WILL Products program which is dis- sulting resin plant, with a capacity particularly if the externalities of cussed by Professor Joe Greene in close to that of a small polyethyl- BE MORE disposing of waste are included. a separate article [see page 15]. ene reactor, started production INVESTMENT However the industry develops, Other organizations in the indus- recently. It is early days, but the there will be more investment and AND JOBS IN try are considering ways of verify- resin looks to be good enough jobs in local markets. More of our LOCAL MARKETS. ing and certifying PCR production quality to be sold on the basis of money will stay at home. MORE OF OUR and claims, although there is a specification. Over the years, resistance from those more It can be argued that the condi- I have visited plants producing MONEY WILL concerned with short-term image tions for this development are PCR in many states and countries. STAY AT HOME. than long term results. More work already with us today. The annual This is the first time that I have needs to be done and the industry polyethylene production, like steel seen a plant that has the potential should combine to develop a production, is now measured in to compete with our traditional sound certification system within the hundreds of million tons and suppliers. 12 months. there are pockets of homoge- So, realizing our vision may be neous used material that can be PCR content provides a tool with closer than even I thought a year washed and made into high qual- which to address the anti-plastic or two ago. Anyone who shares ity resin. For the business to movement; but there is another, to our vision should consider joining develop, processing techniques me, compelling reason why the our coalition. Just contact Margo must be adapted, the design of industry should embrace PCR. Brown. consumer products needs to • My first real industrial job in the change—it would help if black 1960s was in the steel industry became fashionable—and there dominated at that time by huge must be improvements in collec- ore-based integrated steel mills tion and sorting infrastructure. located in industrialized countries. None of this will happen unless I visited one of the first European our industry is committed to creat- mini mills that made finished steel ing a market for post-consumer from scrap. My view of the indus- materials. trial world has not been the same

14 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

FILM RECYCLING: SUSTAINABLE PLASTIC PRODUCTS (SPP CERTIFICATION) NEWS BY DR. JOSEPH GREENE, SUSTAINABLE GREEN PRODUCTS, INC.

Sustainable Plastic Products™ • Reduced carbon footprint, and packaging, or bottles. The SPP (SPP™) was created to replace process can also help you obtain • Low pollution. Environmentally Preferred Rating carbon credits. (EPR) for plastic bags. SPP was SPP certification requires: SPP-certified companies have developed by several plastic bag • Energy audits, taken significant steps to ensure companies and Professor Joseph • Waste audits, and that environmental standards are Greene from the Mechanical adhered to in their manufacturing Engineering and Sustainable • Recycling audits for manu- facilities. Responsible companies Manufacturing Department at facturing companies. are choosing to purchase their Chico State University. SPP is the first nationally plastic products from manufac- CERTIFICATION SPP is described at the following recognized independent 3rd turers that have taken steps to REQUIRES website: http://sustainablegreen- party certified standard, audit make environmental protection ENERGY AUDITS, products.org/. and accreditation program for a key part of their corporate the plastics industry. SPP can culture. Sustainable Plastic Products WASTE AUDITS help your company be more (SPP) are plastic bags, packag- Your company can help lead the AND RECYCLING sustainable by reducing waste, ing, and bottles based on: way in establishing sustainable reducing pollution, reducing your AUDITS. green plastic bags for California • Recycled or biobased plastics, carbon footprint, and increasing and the nation. • • Heavy-metal free materials, recycling rates of plastic bags,

ACC LAUNCHES THE FLEXIBLE FILM RECYCLING GROUP

On February 6, ACC officially announced to the trade press the establishment of the Flexible Film Recy- cling Group (FFRG) as a new self-funded group of the Plastics Division. FFRG aims to become the leading champion of flexible film recovery in the nation and drive strong growth in polyethylene (PE) film recov- ery over the next five years. It will work to accomplish this ambitious goal by bringing together critical expertise and implementing essential programs to: • Expand the successful consumer bag and film recycling education campaign; • Engage with multi-stakeholders to develop a label for film products to help promote and increase their recycling; • Identify opportunities and barriers to commercial film recovery and develop a roadmap to remove these barriers. The founding members of FFRG represent the entire spectrum of the PE film value chain including resin producers Dow Chemical and ExxonMobil, film manufacturer Sealed Air, brand owner SC Johnson, and recyclers Trex and Avangard Innovative. FFRG is currently preparing to host its first quarterly strategic planning and membership recruitment meeting slated for late March. For additional information contact: Shari Jackson, 202.249.6616.

15 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

RECYCLING: RECYCLING: THE BUSINESS TERM PATRICK MONTOYA, SUSTAINABILITY MANAGER, NEW GREEN DAY; WPA BOARD MEMBER

When I first started working in program, but we were on our way there sit down and take a look at the recycling industry, I stepped to becoming a zero waste to the their waste hauling bills. Look at into a world that had more depth landfill facility. Now we have 15 the numbers you are dishing out than I ever would have thought. collection sites throughout our for trash. If you are satisfied and To most people, the word recy- building with labeled bins. All feel good about the recycling cling means collecting bottles recyclable materials are recycled program you have already imple- and cans or throwing paper and and the waste is incinerated (a mented, then great, keep it up. plastic into a blue bin. Rarely much better option than landfill). If you are dissatisfied with what does the average person get to In the months following the you find, start looking at your RECYCLING see any further into this world. implementation of the new pro- waste streams. What are you IS NOT A The landfills, the transfer gram, I saw a major drop in our throwing away? What can be stations, the grinders, the sorting waste expenses. We began reused? What has value? Try sep- ‘GREEN’ lines, the pelletizers: they are all saving thousands of dollars each arating or analyzing the different BUZZWORD, an integral part of this not so month by not dumping what was streams for a week, two weeks, IT’S A easy to explain industry. recyclable into a landfill. Not only or a month—I think you will be did it make sense environmen- surprised by what you find. BUSINESS When I stepped through the tally, but it made business sense WORD. doors at New Green Day, the Every time you send a load to the as well. That felt good. company where I work now, I dump, think of it as cash in your noticed something strange. We all know recycling is not a pocket that is being thrown away. Although recycling was their new idea. It happens in nature The sustainability of your busi- business, they did not recycle everyday, and in the U.S. it ness is not only about how you their own waste generated at the started becoming a buzzword in treat the planet, it is also about facility. I know it sounds weird, the 1990s. So why are there still saving money when you can. a recycling company that didn’t people out there that don’t do it? Recycling is not a “green” buzz- recycle, but it’s not. This is some- Well answering that question is a word, it’s a business word and thing I come across every day. whole other article for another until we realize that it can make A company that has all of the time, but it’s still important to a difference for both the planet means and motive to recycle, think about. Recycling is the and in our pocket, we will they just don’t do it. most well-known, easiest and continue to look past it. • beneficial path to being a leader I made it my first priority as an in environmental protection, and employee to start a recycling pro- can be extremely profitable for gram. I started by analyzing the manufacturers, yet millions of waste streams coming out of the tons of recyclable waste is facility and learning about each thrown into landfills every year. material. I then figured out the easiest and most beneficial way So what can we do? Well for of separating those materials. starters we can educate our- Within weeks, we were not only selves. I suggest that every on our way to having a recycling business owner or manager out

16 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

RECYCLING: APR ANNOUNCES NEW RECYCLING INITIATIVES FOR BOTTLE CAPS BY STEVE ALEXANDER, APR CEO/DIRECTOR

The Association of Postconsumer clers (APR) have partnered to want to assure recycling coordi- Plastic Recyclers (APR), the lead- increase the recycling rates of nators, MRF operators and other ing association on recycling plastic closures. The new pro- collectors of recyclables that issues, recently announced a gram, titled “Caps On” encour- plastics recyclers will process new initiative to recycle more ages communities to ask its these bottles and recover the plastic bottle caps. Steve Alexan- residents to include caps on plas- caps for recycling purposes,” der, the Executive Director of tic bottles at time of recycling. continues APR’s CEO/Director APR, provided this press release In addition to developing educa- Steve Alexander. to let WPA members know that tional resources, the groups are There are domestic markets for they should encourage their working with Material Recovery recyclable plastics, especially friends and relatives to keep the Facilities (MRF) and recycling APR MEMBER those types of plastics found in bottle caps on so recyclers can haulers to ask for their partner- COMPANIES bottles, containers, and their actually increase plastic bottle ship and support. closures. APR member compa- REPORT recycling. The groups stress the importance nies report growing demand for GROWING Press Release: Caps on Bottles of collecting valuable, recyclable recycled plastic resins such as DEMAND FOR for Recycling Groups Call for plastics. “We are committed to the polypropylene and polyeth- RECYCLED Partnership from MRFs, Haulers, increasing the available supply ylene commonly found in caps PLASTIC RESINS Communities and the actual amount of plastics and lids. “The marketplace is FOUND IN Washington, DC. The Closure and being recycled while at the same eager to consume caps as an Container Manufacturers Associ- time reducing litter and waste,” expanding source of material,” CAPS AND LIDS. ation (CCMA) and the Association explains CCMA Board of Directors says Alexander. of Postconsumer Plastic Recy- chairman Jack Hoscheit. “We (Continued, see Recycling, page 18)

PLASTIC RECYCLERS ANNOUNCE TESTING PROTOCOL

The Association of Postconsumer Plastic Recyclers (APR) announced today the release of its voluntary testing protocol for the effect of degradable additives on recyclable PET bottles. This protocol provides details for the general principles APR has presented throughout 2009. “In recent months a number of degradable additives have been promoted for PET water bottles, stated Scott Saunders, Chairman of APR and General Manager of KW Plastics in Troy, Alabama. “APR is con- cerned about the impact of such additives on the recycling process, the making of the next use of the postconsumer plastic, and on the service life of the next use of the reclaimed plastic.” APR as an association comprised of plastic reclaimers who represent more than 90% of the postconsumer plastic reclamation capacity in North America. “Basically, if plastic recycling is happening, it is happening with an APR member, added Saunders. The additives are designed to hasten the degradation of the PET polymer structure, resulting in conver- sion of the PET polymer to small fragments and/or methane and carbon dioxide. (Continued, see Testing, page 18)

17 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

RECYCLING BOTTLE CAPS [CONT’D]

While this change to keep clo- “This is the beginning of a con- practice. Studies show that the sures on bottles is an about-face tinued effort to increase the re- most effective way by far to from industry-based recycling covery of more plastic containers recover that valuable material is requirements of years before, it and closures,” continues CCMA’s by including it on the container is an indicator of long-lasting Hoscheit. “It will not be a quick itself as opposed to throwing market demand and technologi- shift, but boosting plastic recy- them loosely into recycling con- cal advances. “This call for caps cling rates is an important tainers. With approximately 1.5 on is here to stay. MRFs can trust ongoing commitment.” billion pounds of plastic closures in the ability to market bales of produced every year, there’s As consumer products companies containers with caps on,” says plenty material to be recovered, continue to reduce the environ- Alexander. CCMA and APR expect reprocessed, and recycled. mental impact of their packaging • that this shift will take time as and as recyclers work to supply Reprinted from the Association of communities work to adopt their growing demand for recycled Postconsumer Plastic Recyclers. communication methods and at materials, capturing caps on January 31, 2012. www.postcon- times, processing equipment. bottles will remain an important sumer1.ipower.com.

TESTING PROTOCOL [CONT’D] APR considers the degradation The biggest problem facing plastics industry is threatened serious for recycled plastics, APR of otherwise-recycled and/or reclaimers is that companies by these products.” strongly recommends testing recyclable plastics means lost using the additive are marketing per its protocol for product “Companies manufacturing and opportunities for the repeated the bottles with degradable applications which are likely to using these additives have said, use of molecules through recy- additives as recyclable. “We are be recycled to demonstrate that ‘give us a test’ to justify their cling. “Our understanding of the very concerned that these claims the polymer with additives does claims of recyclability,” said life cycle implications is that re- are being made with no test re- not adversely affect processing Alexander. “Here it is.” peated use of molecules through sults to justify such claims,” said or subsequent product recycling leads to less environ- Steve Alexander, Executive Di- The APR “Degradable Additives performance. mental burden than single use of rector of APR. “How can anyone and PET Recycling Technical Brand owners should remember molecules,” said David Cornell, make such a claim when no one Compatibility Testing Guidance” that they are responsible for APR’s Technical Director. “Re- has provided any data to show document offers a method to environmental claims made for peated use of molecules should that these additives do not af- examine the impacts of degrad- their products, including degra- lead to more efficient use of nat- fect the next use of a reclaimed able additives on PET recyclabil- dation and recycling. The Federal ural resources and complement plastic? Many second life appli- ity. The testing is intended to be Trade Commission has actively overall sustainability efforts. cations are in products designed useful with several concessions pursued “deceptive and unsub- Recycled plastics can be used to last 30 years or so, such as to practicality. For instance, test- stantiated” claims. The APR for almost all applications strapping, fiber and pipe.” ing is recommended to be con- voluntary testing protocol for original plastics serve including ducted on fibers rather than on According to John Burnes, Presi- the effect of degradable addi- many that stress durability and carpeting. The service life of car- dent of Marglen Industries, and tives on recyclable PET bottles physical performance. Buyers of pets is proposed to be simulated a major PET reclaimer whose provides a framework for recycled plastics want not only through demonstration of ef- customers use recycled resin in substantiating recyclability the sustainability features of fects with long term aging of new carpet applications, “These claims. APR encourages brand recycled material, but assurance fibers. Additive advocates may additive agents are a very bad owners to use the protocol to of performance. Degradable select, and are responsible for thing for plastics recycling. Their substantiate claims. additives that weaken products providing validation for, acceler- • presence can damage the entire or shorten the useful life of ated aging methods in lieu of Press release reprinted from the recycling stream and signifi- plastics would have a strongly real time aging. Association of Postconsumer cantly reduce the value and negative impact on postcon- Plastic Recyclers. Contact Steve markets in which recycled plastic Because the consequences of sumer plastics recycling.” Alexander, 202.316.3046. may be used. The entire recycled premature product failure are so

18 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

RECYCLING: CPIA OFFERS EDUCATIONAL WEBINAR BY CANADIAN PLASTICS INDUSTRY ASSOCIATION

The Canadian Plastics Industry Registration: Moderated by: Craig Foster, CPIA, Association is offering an educa- For full event details and BC Plastics Post-Use Recovery tion webinar on EPS recycling. registration info visit Consultant. This webinar notice is provided www.rcbc.bc.ca/CPIAWebinar Presented by: David Thomson, to WPA members for your Who Should Tune In: consultant to the CPIA on post- information and possible Waste & recycling service use plastics recovery, will share participation. providers – Stay in the changing CPIA’s collective PS Foam recov- Webinar: From Problem game, know what others know. ery learnings from projects to Opportunity—The New The world demand for post use across Canada. David’s expertise Paradigm for Polystyrene polystyrene is BIG and getter includes 5 years as president of THE NEW Foam Packaging Recycling bigger. the Canadian Polystyrene Recy- March 8, 2012 10:30 a.m. (PST) cling Association in Mississauga, DYNAMICS Stewards – Stewardship plans ON. Participants will have a WILL DEMAND British Columbia’s Recycling benefit from effective cost unique opportunity to draw on THAT EFFORTS Regulation will change the face control strategies; see one his experience. • TO RECOVER of the provinces’ material recov- proven technology that demands ery programs for printed materi- consideration. Reprinted from the Recycling PLASTICS als and packaging. The new Council of British Columbia, Industrial, Commercial, Institu- PACKAGING BE dynamics will demand that www.rcbc.bc.ca/CPIAwebinar. tional Operations – BC Recycling efforts to recover plastics pack- INTENSIFIED. Regulations will impact the man- aging be intensified to meet agement of in-house packaging regulatory objectives. That materials. Discover a low-cost means yesterday’s challenges solution to an expensive problem. are today’s opportunities. Advancements in technologies Governments – Under the and new markets are driving Recycling Regulation the level recycling of a broader range of of collection service will be an non-bottle rigid plastics packag- important consultation issue for ing. This webinar will focus on governments; know your options. Polystyrene Foam, a substantial Recyclers – Why does one East component of the commercial Coast recycler market tonnes of and residential non-bottle polystyrene foam monthly? plastics packaging stream. Profit. Learn where the markets In British Columbia informed are and what the markets want. stakeholders will be best posi- Also learn about the latest Cana- tioned to benefit from the new dian PS densifier programs and rules, implement new technolo- CPIA partnerships. gies, create productive partner- ships and broaden service offerings.

19 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

GREENHOUSE GAS REDUCTIONS: REDUCING THE ENVIRONMENTAL IMPACT OF PLASTIC PRODUCTS BY FRANK RUIZ, PRESIDENT, PLASTIMIN LLC

California’s implementation of The aftermath of Hurricane Kat- lb./ton. For the production of AB32 has focused everyone on rina and the petrochemical sup- reinforcement-grade calcium methods of reducing carbon ply disruptions experienced in carbonate it is 255 lb. CO2 equiv- dioxide and other greenhouse late 2005 heightened converters’ alent/ton. An 80% calcium car- gas emissions from their opera- interest in plastics and other raw bonate/20% LLDPE concentrate tions. Passed in 2006, AB 32 materials not derived from petro- has a final carbon footprint of requires the State of California leum or natural-gas (i.e. petro- 687 lb. CO2 equivalent/ton. Pro- to return to 1990 carbon dioxide chemical) feedstocks. In 2006 cessing a blend of 80% LLDPE + levels. The regulations go into this desire provided the impetus 20% HM10®Max (or equivalent effect in 2013 and the first indus- for more converters to evaluate, 80% calcium carbonate concen- MINERAL tries affected are cement, steel, then incorporate calcium carbon- trate) yields a carbon offset of utilities. These entities will be ate mineral reinforcement into 82 lb. CO2 equivalent/ton: INCORPORATION required to reduce emissions or their products. (0.8 x 1096) + (0.2 x 687) = 1014; ALSO REDUCES pay for pollution credits—to the Beyond the fact that these min - 1096 - 1014 = 82 lb. CO2 equiva- tune of millions of dollars. All THE ENERGY erals were not petrochemical- lent/ton. industries will eventually be REQUIRED FOR based raw materials, were there subject to this law and searching Mineral incorporation also POLYMER any other environmental benefits for ways to comply and avoid the reduces the energy required for to their usage in commodity plas- PROCESSING. huge cost of pollution credits is polymer processing, yielding tics? Energy is required to quarry a main priority of manufacturers another estimated 13 lb. CO2 the mineral and process into a in the state. equivalent lb./ton greenhouse powder form that can be used gas reduction, for a total of 95lb. Plastics processors are no excep- in plastics applications. Further CO2 equivalent/ton. Thus, for tion. Several methods are being energy is required to compound every 1 million pounds of film employed or considered to it into a carrier resin and a pellet produced with 20% calcium reduce emissions. The use of that can be utilized by convert- carbonate concentrate addition, energy from renewable resources ers. We asked our mineral suppli- a reduction of 47,500 lb. CO2 such as wind, solar, and geother- ers to conduct an environmental equivalent has been achieved mal is one method employed by audit of their processing to deter- by the converter. converters. The use of bioplas- mine their GHG emissions. We tics, or plastics derived from non- then added the environmental Production of fine-ground petroleum sources, is another. footprint of the compounding calcium carbonate releases Unfortunately, conventional of the mineral into the polymer significantly less methane than polymers based on renewable to determine the environmental that of LLDPE (0.09 lb. CO2 resources have limited availabil- impact of the finished pellet equivalent/ton vs. 426 lb. CO2 ity. New biopolymers often product. equivalent/ton). require processing changes at The answer to this question is an This analysis has been audited the converter, have limitations unqualified “yes.” and confirmed by Boustead and on their end-use performance, or Associates, and reveals that The industry-accepted value for have a price disadvantage com- calcium carbonate mineral CO2 emissions for the production pared to conventional petroleum- reinforcement indeed yields of LLDPE is 1096 CO2 equivalent based polymers. (Continued, see Calcium, page 23)

20 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

GREENHOUSE GAS REDUCTIONS: AB 32 IMPLEMENTATION DUE IN 2013 BY CORINNE MILLER, SHIP AND SHORE ENVIRONMENTAL

Under California's Landmark nitely increase energy costs These companies can help your Greenhouse Gas Reduction Act beginning next year. Utilities are manufacturing facility with cus- signed by Governor Arnold asking the Public Utilities Com- tomized engineering solutions Schwarzenegger in 2006, the mission for rate increases to that integrate various green tech- State of California is required to begin to develop the “hardware” nologies to reduce electrical return carbon emissions to 1990 in the ground to transmit the usage, natural gas consumption levels. This must be accom- renewable energy throughout the and associated GHG emissions to plished by 2020. The first seg- state’s power grid. Renewable lower energy costs and improve ments affected are those that energy sources are going to cost efficiency of operation. Our emit in excess of 20,000 tons per approximately 20 percent more company can provide manufac- THESE PROJECTS year. This includes the power than historical utility portfolio. turers with: companies, cement manufac - HAVE QUALIFIED The good news is that there are • Energy Surveys turers, refiners, steel and others. millions of dollars in incentives FOR THOUSANDS Under the cap-and-trade program • Energy Reduction Design that have been set aside to assist approved by the California Air Solutions OF INCENTIVE business with implementation of Resources Board (CARB), these DOLLARS. Energy Conservation projects this • Project Implementation entities will be required to pur- year in California and other areas • Financial Incentives chase pollution allowances to of the country. Businesses can lower their intensity factors and • Heat Recovery Systems tap into these resources by spend millions of dollars for participating in an energy audit, • Heat Exchanger Applications additional pollution control applying for incentives and equipment. If the companies can • Lighting Efficiency & Retrofit implementing the recommenda- reduce their emissions through Solutions tions. Energy audits are usually pollution control equipment available for a minimal charge • Solar Power Applications or improved efficiencies, they and will identify energy con- (Solar PV & Solar Thermal) will not have to purchase as sumers and recommend ways Ship and Shore has assisted many credits. to reduce consumption. many clients with the utility While the “top emitters” will be A company like Ship and Shore incentive application process hit in 2013, CARB will be lowering Environmental which specializes mentioned above and implemen- the emission levels eventually to in energy conservation and pollu- tation of reduction solutions. bring other industries into this tion control devices will become These projects have qualified for program. The plastic industry will a mainstay in the state’s quest thousands of incentive dollars eventually be covered by AB 32. to lower emissions and energy and can be as much as 40-50% Companies should begin to consumption. Pollution control of the energy efficient equipment consider their emission factors manufacturers can assist cost. In addition, the resulting re- earlier than later. manufacturers with meeting turn on investment usually be a In addition, the state’s utilities environmental regulations such only a few months with contin- are also under mandate to pur- as California’s AB 32 (carbon ued savings for years to come. chase 30 percent of their power footprint reduction) through For more information on AB 32, from renewable sources such as proactive development of energy reduction surveys, or how solar and wind. This will defi- energy-efficiency solutions. (Continued, see AB 32, page 23)

21 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

GREENHOUSE GAS REDUCTIONS: CA LEGISLATIVE ANALYST OFFICE REPORTS ON USE OF CAP AND TRADE AUCTION REVENUES BY CMTA CAPITOL REPORT

The California Manufacturers and for mitigation activities would the auction revenues could Technology Association is the also be illegal). The LAO sug- impact—positively and nega- leading association representing gests that the Legislature take tively—the effectiveness and a broad base of manufacturers more time to determine the best efficiency of the cap–and–trade from throughout California. WPA use of cap-and-trade revenues. program in meeting the goals of is reprinting this news report to AB 32. Thus, we believe it is Selected highlights of the report help educate members on the important that the Legislature include: issues associated with AB 32, have an opportunity to review the Green House Gas Reduction “Billions of dollars in revenues and approve an annual expendi- LAO SUGGESTS Program which goes into effect in from the auction of allowances ture plan regarding the allocation THE LEGISLATURE 2013. AB 32 requires the state to will likely become available as a of cap–and–trade revenues.” return to 1990 carbon emission result of ARB’s cap–and–trade TAKE MORE TIME “… any use of revenues (whether levels and further requires the program. The amount of rev- TO DETERMINE to initiate new programs or offset largest emitters to either reduce, enues could range greatly BEST USE OF the costs of existing programs) or purchase credits—i.e. “cap- depending upon the cost of di- will be subject to the Sinclair CAP-AND-TRADE and-trade.” Governor Jerry Brown rectly reducing GHG emissions, nexus test and, thus, must be REVENUES. has proposed in his 2012 budget the state of the economy, and used to mitigate GHG emissions. to use the revenue from cap-and- other factors. Using ARB's floor Based on our preliminary analy- trade for other general fund and ceiling prices for allowances, sis of GHG mitigation activities programs, including funding the the actual cap–and–trade rev- that are currently funded by the state’s high-speed rail line. enues from ARB's auctions for General Fund, we have identified 2012–13 could range from CA Legislative Analyst Office only a handful of programs— roughly $660 million to upwards Report: totaling around $100 million— of approximately $3 billion.” The Legislative Analyst’s Office that could potentially meet the issued a new report on the use of “Under the Governor’s (budget) above legal requirements.” cap-and-trade auction revenues proposal, the Legislature would “Given the state’s fiscal condi- and the governor’s budget pro- have little opportunity to review tion, we believe that the posal to use these revenues for a detailed plan on the use of the Legislature should first use the various purposes, including off- auction revenues. This is be- revenues in 2012–13 to offset setting up to $500 million in gen- cause the Legislature would only General Fund costs of existing eral fund costs for greenhouse be provided an expenditure plan programs designed to mitigate gas mitigation activities, which and notification 30 days before GHG emissions. Since the Legis- the Legislative Counsel has the administration allocates the lature will need to decide which opined would be a legal use of revenues to specific programs. General Fund costs to offset as such revenues. (CMTA believes Such an approach would make it part of the 2012–13 budget that CARB does not have legal difficult to ensure that the plan is process, such decisions are best authority to auction allowances aligned with legislative priorities. made this spring. In addition, the under the provisions of AB 32 This is particularly concerning (Continued, see Cap and Trade, page 23) and thus the use of the revenues given that the particular uses of

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CALCIUM CARBONATE [CONT’D] AB 32 [CONT’D] positive environmental benefits sumer product companies. CARB As these programs and other you can start taking advantage in addition to the raw material is looking at all sorts of schemes product stewardship regulations of these incentive programs cost savings often realized in to achieve compliance. You will progress, we will be telling you please contact Anoosheh today’s volatile commodity poly- be hearing more and more about more about ways to achieve Mostafaei at mer market. AB 32 and greenhouse gas emis- compliance and develop a sus- [email protected] sion programs in the future. And tainable option that companies (or at 562.997.0233). While AB 32 currently applies to this is not limited to just Califor- will be able to utilize to show a limited number of manufactur- There is also information avail- nia. Provinces in Canada have customers that the carbon foot- ers who emit more than 20,000 able on the Greenhouse Gas Re- already adopted GHG programs print of plastic products can be tons per year of CO2, the Califor- duction Program and the Cap and many western states were lowered in an economic and easy nia Air Resources Board (CARB) and Trade Program at the CARB poised to join California in processing manner. will be lowering those emission • website: http://arb.ca.gov/cc/ca- mandatory reduction programs levels and taking in thousands pandtrade/capandtrade.htm. before the recession hit in 2008. • more manufacturers and con-

CAP AND TRADE [CONT’D]

Legislature will need to begin as part of the 2012–13 budget the process of determining how process.” • effectively to allocate the remain- Reprinted from the California ing auction revenues on new or Manufacturers and Technology expanded programs. However, Association Capitol Report, these latter decisions, which February 17, 2012. require an array of information www.cmta.net. to make, do not need to be done

23 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

ANTI-LITTERING CAMPAIGNS: WHO IS HELPING KEEP CALIFORNIA BEAUTIFUL? BY CHRISTINE FLOWERS, KCB EXECUTIVE DIRECTOR

Anyone who works collabora- level, as the State Affiliate for ever impressive, has been limited tively, focused on maintaining Keep America Beautiful (KAB). by funding for staff and opera- the state’s natural landscape tions and remains a constant KCB functions in multiple part- through public partnership, vol- challenge. nerships and collaborates with untary resource conservation, individuals, communities, state KCB is currently working on a beautification and clean-up and local governments and cor- number of campaigns and pro- efforts is doing their part to Keep porate sponsors. Our biggest grams to aid litter prevention, California Beautiful. This fits our challenge has been the state’s source reduction and recycling motto, “Efforts of One Result in economic crisis which has lead to efforts of interest to plastics Power of Many,” said Christine funding shortfalls from many of manufacturers and their supply Flowers, Executive Director of OUR BIGGEST our major contributors as well as chain. Plastics and packaging Keep California Beautiful (KCB). CHALLENGE volunteer staff manager position manufacturers can play an KCB is a nonprofit organization loses at the local government important part in aiding KCB by HAS BEEN established in 1991, through a level. KCB partner organizations, supporting one or more of our Proclamation of then-Governor THE STATE’S their representatives, and the initiatives through sponsorships Deukmejian to steward non- ECONOMIC California KAB Local Affiliates and in-kind donations. The KCB partisan environmental leader- CRISIS. won 6 community-based and 2 approach is to promote material ship and beautification efforts individual awards at the 2011 neutral source reduction and through public-private partner- Keep America Beautiful National behavior modification education ships at both the state and local Conference. Our success, how- (Continued, see KCB, page 25)

MakeVOLUNTEER FOR a THE Difference GREAT AMERICAN CLEANUP The Plastics Foodservice Packaging Group of the American Chemistry Council is looking for industry volunteers to participate in this year’s Great American Cleanup in San Jose, CA. March 17 • 8:30–11:30 AM Plastics industry employees will join hundreds of other volunteers in cleaning up local creeks, parks, and roadsides. This event is a great opportunity for you or your fellow industry employees, as part of a company outing, to raise awareness of how the plastics industry can be part of the effort to rid our local communities of harmful and unsightly litter. All volunteers will receive a commemorative t-shirt!

To participate: contact Ryan Kenny of the American Chemistry Council 916.448.2581 or [email protected].

Deadline to register is Tuesday, March 13. Do your part and make a difference by signing up today!

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KCB CAMPAIGNS [CONT’D] tools for our outreach partners and public right of ways through K-12 CA School Recycling Chal- March and April. In November, and the public. This is possible the Plastics Too Valuable Too lenge, and Recycle.Goal. KCB is the State Leader for by partnering with communities WasteTM Partnership and a America Recycles Day. In 2012 we are working on many in eight of California’s ten largest partnership with Creative Out- The newest initiative is to pro- annual state wide events as cities and smaller volunteer door Advertising. Additionally, mote LitteringIsWrongToo.org primary coordinator. To com- driven community groups. To- we have partnered with Caltrans campaign as our new statewide memorate Earth Day in April, KCB gether we promote and educate and KAB to coordinate the first outreach for 2012-2013 [see ad and partner agencies Caltrans, the public about good steward- large pilot program which samples below]. Based on the California Highway Patrol, CalRe- ship practices, including promot- includes behavioral research most recent national litter behav- cycle, Department of Toxic Sub- ing best practices for individuals, and installation of ash/cigarette ior research, this campaign aims stances Control, CalEPA and businesses, industry partners butt receptacles in state highway to get the attention of men and California Department of General and governmental agencies. rest areas. Annually, in support women ages 18-34. So far the Services will celebrate the “Cali- of youth education and empow- campaign has helped spread For our ongoing program efforts, fornia Statewide Litter Collection, erment, KCB teams with Califor- awareness of the littering habits KCB promotes and develops the Enforcement and Beautification nia schools and its board to its intended audience. This infrastructure for California pub- Day” on April 19, 2012. McDon- member organizations, to oper- campaign is getting ready to lic space recycling opportunities. ald’s locations in northern ate several statewide programs launch in Southern California This includes placement of recy- California will be supporting that organize statewide school with focus in the San Diego and cling bins in State Park beaches, this effort with organized and youth and recycling contests Los Angeles media markets for Caltrans rest areas, and other e-waste/techno trash recycling including Recycle Rex Challenge, (Continued, see KCB, page 26) large community park systems events at selected locations in

I L OVE A

SAN DIEGO

25 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

KCB CAMPAIGNS [CONT’D]

KCB as part of a pro-bono media and shopping centers paid for At KCB we want Californians to Learn more about KCB and the placement by KAB. The campaign by KAB, but activation events in help take individual responsibil- LitteringIsWrongToo campaign will also launch in three other various locations and continued ity for where we live, work, and at keepcabeautiful.org. • markets including Washington- media exposure through radio, play and have a beautiful place Baltimore, New York City, and outdoor advertising and social to raise and leave our kids and Raleigh-Durham. media outlets is critical for its hope that you will be part of the success. Our fundraising target is effort. KCB is launching this campaign $1.8 million for complete activa- statewide with government and tion in four media markets (Bay NGO partners, and is looking for Area, LA, Sacramento, and San private-sector funding to lever- Diego.) The overall goal of this age the limited resources avail- campaign is to raise awareness able in and for California. This and help reduce litter, which is campaign is intended to be a 1–2 estimated to cost the local gov- year project. Initial implementa- ernments, state agencies and tion includes signage in bus businesses approximately $500 shelters, bus tails, bus interiors million annually to clean up.

26 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

ANTI-LITTERING CAMPAIGNS: JOIN THE 23RD ANNUAL GREAT LOS ANGELES RIVER CLEAN UP BY SHELLY BACKLAR, FRIENDS OF LOS ANGELES RIVER

Friends of the Los Angeles River of FoLAR’s trash sort data to for the Urban Waters Federal (FoLAR) will host the 23rd Annual date, was published in November Partnership, and Los Angeles La Gran Limpieza: The Great Los 2011. It reports that by volume, River Trails were highlighted as Angeles River CleanUp on April plastic film is generally found to one of two sites in California for 28, 2012. Four thousand volun- be the largest trash category in President Obama’s America’s teers are expected to fan across the Los Angeles River. Download Great Outdoors Initiative. Interior fifteen river locations to pull a copy of the report at Secretary Ken Salazar held a twenty-five tons of trash from the www.folar.org. press conference at the Los Los Angeles River at this massive Angeles River in January to cele- As part of the 2005 Plastics work-party celebration. This brate these two federal designa- Industry Task Force on the Los year, Keep America Beautiful has tions, which promise federal BY VOLUME, Angeles River, FoLAR partnered selected FoLAR’s La Gran Limpieza support for a clean, healthy river PLASTIC FILM with industry professionals to as one of ten events happening bordered by a greenway from the recycle plastic pulled out of the IS FOUND in cities across the nation for The mountains to the sea. Also, very Los Angeles River. This collabora- Great American Cleanup 2012. recently, additional funds were TO BE THE tion influenced the City of Los An- Corporate sponsorships are still allotted to continue the U.S. Army LARGEST geles to include plastic bags in available for the event by Corps of Engineers’ Ecosystem TRASH its curbside recycling program, contacting 323.223.0585 or Restoration Feasibility Study, which is the largest residential CATEGORY. [email protected]. which upon completion in 2013, curbside recycling program in the may result in habitat restoration FoLAR will continue its traditional United States. and the future removal of some Trash Sort during the cleanup, Revitalization efforts for the Los river concrete. The vision of a staffing stations at five river sites Angeles River have progressed swimmable, fishable, boatable with students opening every fifth tremendously in the past year. Los Angeles River is within our bag of trash and recording con- The Los Angeles River was chosen reach! Won’t you join us? tent data. FoLAR’s “A Trash Biog- • as one of seven rivers in America raphy,” a comprehensive analysis

PHOTO CREDIT: SOPHIA WONG

PHOTO CREDIT: RITA HAMILTON PHOTO CREDIT: BRIAN BINIMI

27 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

WPA LEADERSHIP FOR 2011/2012: OFFICERS JOHN PICCIUTO, PRESIDENT H Muehlstein & Co.

KEVIN KELLY, VICE PRESIDENT Emerald Packaging

MICHAEL HAILFINGER, TREASURER INX International Ink Co.

CHANDLER HADRABA, SECRETARY Bradley Packaging

WPA TODAY published by: BOARD OF DIRECTORS Western Plastics Association ADRIAN BACKER Signature Flexible Packaging 1029 J St., Suite 300 STEVE DESPAIN Reifenhauser Sacramento, CA 95814 MARK DANIELS Hilex Poly Company 916.761.2829 Cell STEPHEN SCHROEDER Sigma Plastics Group 916.447.9884 Office [email protected] COLIN FERNIE Western Concord Mfg. www.westernplastics.org DAVE SHEWMAKER Heritage Bag Editor: Laurie Hansen MARK DANIELS Hilex Poly Company Disclaimer: Western Plastics PAUL NEMECHECK Ampac Flexibles Association (WPA) does not PATRICK MONTOYA New Green Day endorse or recommend other than those officially endorsed by RAY HUFNAGEL Plastic Express WPA, any individual or company STEVEN JONES Jatco, Inc. that is mentions in this newsletter. Any business conducted is between the member and the individual or company. Any state- ments made in this newsletter are those of the authors and do not necessarily reflect the views of WPA or its Board of Directors.

@2012 Western Plastics Association