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Towards Zero Waste in Industrial Networks: Policy Recommendations from the Zerowin Project 3

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Towards Zero Waste in Industrial Networks: Policy Recommendations from the Zerowin Project 3 number 6, 2013 Overview ZeroWIN (Towards Zero Waste in Industrial Towards Zero Waste in Networks) is a five-year project (2009–2014) under the European Commission’s Seventh Research Framework Programme. The Industrial Networks: ZeroWIN project has developed effective strategies for waste prevention through industrial networks. Ten industrial case studies Policy Recommendations from in the automotive, construction, electronics and photo voltaic industries form the core of the project and exchange energy, water and the ZeroWIN Project materials in such a way that waste from one industry becomes raw material for another. This brief suggests what can be done to Industrial networking in European legislation advance the implementation of industrial networks in practice, based on first outcomes The ZeroWIN project has identified four key strategies for the realization of zero of the ZeroWIN project. The research lead- waste in industrial networks: industrial symbiosis, supply chain management ing to these results has received funding from (including collaboration of actors along the supply chain), product stewardship and the European Community's Seventh Frame- eco-design. A review of the current European policies has shown that “industrial work Programme FP7 2007–2013 under symbiosis” is the ZeroWIN strategy least addressed by European Union (EU) grant agreement n° 226752. policies. Relevant EU policies were selected based on their impacts on industrial networks along the product life cycle: raw material acquisition, manufacturing, Written by Claudia Luepschen, distribution, product purchase and use, and end of life. Only a few policies address Ruediger Kuehr and Federico Magalini the first phases of the life cycle; most policies and legislation predominantly regu- late the end of life of products and materials, with sector-specific policies having © United Nations University, 2013 ISBN 978-92-808-3107-8 the greatest combined impact on the high-tech sector. Sustainable procurement ISSN 1814-8026 (as part of supply chain management) is supported at the EU level only in a volun- Licensed under the Creative Commons tary way. For the construction sector, the EU appears to lack a concerted policy Deed “Attribution-NonCommercial- approach on resource efficiency. No dedicated construction and demolition laws NoDerivs 2.5” are in place in most countries, and most of the existing regulations concern general The views expressed in this publication waste only. are those of the authors and do not Consultation with industry stakeholders and desk research on policy measures necessarily reflect the views of the covering the electronics, photovoltaic, automotive and construction sectors have United Nations University. shown that most stakeholders consider the zero waste approach promising. However, various barriers were mentioned regarding its practical implementation, including lack of access to appropriate technologies and waste materials, lack of partners for establishing by-product/waste exchanges, high costs associated with the implementation of necessary new technologies and the transportation of wastes or by-products from one company to another, lack of economic incentives, barriers resulting from unclear definitions and non-harmonized standards and legislation, and lack of political support. It is important to emphasize that some (or all) of the www.unu.edu “barriers” on this list are “perceived” Overall, more research on recycling needed to bring the national measures, barriers from industries that may have and reuse technologies and the use of which vary considerably across Europe, a vested interest in retaining the status recovered materials must be encour- into closer harmony. Different inter- quo. aged. Accordingly, there must also be pretations among member states greater public investment to support should be avoided and policies should Standards are key these endeavours. be written in a way that limits the Feedback from the ZeroWIN indus- As the photovoltaic sector is still potential for alternative interpretation. trial case studies has shown that, across relatively new, specific guidelines for For example, the same collection all sectors, one of the major barriers for the inspection, control and repair of categories, targets or target setting stakeholders to engage in industrial broken photovoltaic (or component principles – e.g. the new Waste networks is the perception that prod- parts) or their decommissioning should Electrical and Electronic Equipment ucts of lower quality may result from be introduced. In this way, all complete (WEEE) Directive (2012/19/EU) the use of recycled and reused parts systems or parts at end-of-life can also introduced collection targets based on and components. A European standard be reused. In addition, with a sub- electrical and electronic equipment for second-hand components and prod- stantial share of modules expected to put on the market or waste generated ucts would help ensure the liability of become waste in the coming years, there in a national context – and reporting parts and components and counteract is a great need for research on recycling systems should be implemented in all this fear and scepticism. An equally technology and the issuance of reference EU member states, in particular for important issue, particularly for the IT documents for best available technolo- the electronics, photovoltaic and reuse industry when it comes to reverse gies for photovoltaic reuse and recycling. automotive industries. logistics, is the lack of information To support this harmonization of associated with returned products. Huge barrier to industrial definitions and policies, a stronger Producers should be required to networking: Unclear definitions focus on compliance and monitoring is provide information about the operat- of waste and by-products needed, which depends on sufficient ing life of the component to refur- One of the key stumbling blocks to funding to environmental agencies for bishers or reuse organizations, so that a realizing zero waste in industrial enforcement. Waste management warranty for the part or component can networks is a lack of clarity regarding plans, for instance, as a cornerstone of be issued accordingly. Some com panies the definition of the terms “waste” European waste policy and as required already have comparable standards on a versus “product” and an inconsistent by the Waste Framework Directive are voluntary level. Xerox, for instance, has inter pretation and implementation of not efficient if not enforced. Enforcing developed processes and technologies the Waste Framework Directive (and environmental laws and regulations is to ensure that all its prod ucts, regard- other Directives) across EU member an important ingredient in protecting less of their reused or recycled content, states. This lack of clarity often leads the environment and reducing envi- meet the same specifications for to significant administrative burdens ronmental harm caused by improper performance, appearance, quality and (and respective costs) associated with recycling or illegal waste disposal. In reliability, and carry the same guaran- turning waste materials into new some cases, enforcement agencies rely tees, warranties and service agreements production cycles. Legislation needs to on coercive powers to demand compli- as Xerox equipment made from all new impose a clear definition of waste and ance with environmental laws, while parts. To take this one step further, the end-of-waste status and simplify the others make use of educational strate- increased use of standardized compo- recognition of by-products to facilitate gies to persuade individuals, organiza- nents would gen erally increase the the legal exchange of materials. End-of- tions and governments to comply with exchangeability of items in the produc- waste criteria being developed – and environmental laws and regulations. tion, installation, repair, reuse and in some cases already published – in It is thus equally important to support recycling phases. Both the photovoltaic the context of the Waste Framework law enforcement agencies whose activi- and the IT industries, in particular, Directive will further promote ties and strategies are governed by would benefit from such standardi- common approaches and downstream legislative instruments and which need zation and exchangeability, among markets for recovered fractions. Such to be put in place and secured with others, of parts, plugs and interfaces. a clarification in definitions is also adequate supporting funds. 2 Policy Brief www.isp.unu.edu Not enough support for reuse should be required to guarantee reuse Reuse is integral to achieving the goal companies access to municipal collec- of zero waste. Reuse – whilst environ- tion points. Finally, a reimbursement mentally superior to recycling – is a policy would provide financial incen- necessary part of overall waste reduc- tives for consumers to turn in their tion; however, in particular for the reusable equipment, as would inclusion electronics sector, current legislation of reused products in green procure- does not sufficiently promote reuse. ment policies. However, one has to Furthermore, uncertainties regarding keep in mind that these measures the quality, timing and quantity of might imply higher costs and might returned products are a major stum- also increase compliance costs and bling block to the creation of a func- eventually turn into a discussion of tioning reuse market. This is essentially who pays what. This
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