Embracing Cradle to Cradle: Producer Responsibility This Presentation Covers…

• What is Extended Producer Responsibility • Who is CPSC • What is the Problem • Why EPR for and Saving $ • EPR Policy Applied… • Why EPR Done Right Grows Jobs • Latest and Greatest on EPR Policy • What You Can Do.. /Extended Producer Responsibility (EPR) Defined by CIWMB (now CalRecycle)

“the extension of the responsibility of producers, and all entities involved in the product chain, to reduce cradle-to-cradle impacts of a product and its packaging;

the primary responsibility lies with the producer, or brand owner, who makes design and marketing decisions.” Funded by a grant from the Department of Resources and Recovery (CalRecycle) CPSC Mission

To shift California’s product management system from one focused on government funded and ratepayer financed waste diversion to one that relies on producer responsibility in order to reduce public costs and drive improvements in product design that promote environmental sustainability.

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) EPR Resolutions (8/5/10)

Key to City & County Resolutions:

City has passed an EPR resolution County has individually passed an EPR resolution

County is a member of an association1 that has passed an EPR resolution or policy statement, but has not individually passed an EPR resolution

Three major local government associations have all adopted resolutions in support of EPR: • California State Association of Counties • League of Cities • Regional Council of Rural Counties

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) EPR Resolutions & Policies —

14 Local Government Associations (8/5/10)

1. California Council of Directors of Environmental Health (CCDEH) 2. California State Association of Counties

3. Central Contra Costa County Solid Waste Authority

4. Coachella Valley Association of Governments

5. Delta Diablo Sanitation District

6. Fresno Council of Governments

7. League of California Cities

8. Mojave Desert and Mountain Integrated Waste Joint Powers Assoc.

9. Regional Council of Rural Counties ESJPA

10. San Gabriel Valley Council of Governments

11. Southern California Association of Governments

12. Solid Waste Association of North America (SWANA)

13. West Contra Costa Integrated Authority

14. Western Placer Waste Management Authority

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) CPSC Pledge Signers —

30 Local Government Associations (8/5/10)

• Association of Bay Area Governments (ABAG) • Rural Counties’ Environmental Services Joint Powers – Bay Area Management Authority (ESJPA) Facility Allocation Committee • Sacramento Business Environmental Resource Center – San Francisco Estuary Project • Sacramento County Department of Water Resources • Bay Area Stormwater Management Agencies Association • Sacramento County Stormwater Quality Program • Calif. Council of Directors of Environmental • Sacramento Regional County Sanitation District Health (CCDEH) • San Gabriel Valley Council of Governments • California State Association of Counties • Santa Clara County Recycling and Waste Reduction • California Stormwater Quality Association Commission • Central Contra Costa Co. Solid Waste Authority • Santa Clara Valley, CLEAN South Bay • Coachella Valley Association of Governments • Solid Waste Association of North America (SWANA) • Contra Costa Clean Water Program • South Bayside Waste Management Authority • Delta Diablo Sanitation District • Southern CA Association of Governments • East Bay Municipal Utility District • Tamalpais Community Services District • Fresno Council of Governments • West Contra Costa Integrated Waste Management • League of California Cities Authority • Los Angeles County Integrated Waste Management Task • Western Placer Waste Management Authority Force • West Valley Clean Water (Campbell, Los Gatos, Monte • Mojave Desert and Mountain Recycling Authority Sereno, Saratoga)

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) CPSC Partners (9/20/10)

Platinum Partners

• Recology

• Republic Services

Gold Partners

• California Association

• Marin Sanitary Service

• Product Policy Institute

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) CPSC Partners (9/20/10)

Silver Partners

• Nortech Waste LLC • Peninsula Packaging Company • Waste Management Inc.

Bronze Partners

• Amador Disposal • Amazon Environmental, Inc. • California Waste Solutions • Clean Harbors Environmental Services, Inc.

• Ecology Action • Johnson's Environmental Products • PSC Environmental Services • Visions Paint Recycling

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Problem: Cost to Tax/Rate Payers FACTS Contra Costa County • 453 tons of HHW managed each year • $1,124 per ton cost to manage =$509,172 per year • If DDSD collected all batteries and lamps, it would consume 65% of budget Nevada County • 1,600% - increase in HHW costs in 9 yrs. • $1,637/ ton – Cost to manage household batteries • $1,477/ton – Cost to manage fluorescent/ mercury lamps Calaveras County • $800,000 – Deficit in the Waste Management Account City of Los Angeles • $1,000/ton – Cost to manage batteries in 2007 • $7,200/ton – Cost to manage fluorescent/ mercury lamps in 2007 Paint • $8/gallon - Average cost to manage leftover paint • $1.7 million – Cost for Santa Clara to manage paint generated in 2009 from less than 10% of households = $1 per pound • $27 million – Cost for CA local governments to manage less than 10% of leftover paint How Waste Has Changed

1900 – New York 1960 - USA 2000 - USA City Landfill

Mineral Food/Yard Products

EPA data from a report by the Product Policy Institute (PPI), Unintended Consequences: Municipal Solid Waste and the Throwaway Society. Permission for use of illustration granted by PPI. Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Product Waste Skyrockets

TOTAL

Products

Food & Yard

Mineral Million Tons Per Year Million Tons Per

EPA data from a report by the Product Policy Institute (PPI), Unintended Consequences: Municipal Solid Waste and the Throwaway Society. Permission for use of illustration granted by PPI. Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Landfilling Has Not Decreased Year

per

Tons

Million

Source: CalRecycle Statewide Goal Measurement at http://www. calrecycle.ca.gov/lgcentral/rates/Graphs/RateTable.htm includes organics. Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) A Simpler Time

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Disposable

By Design

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Illegal Disposal Today’s Linear Waste Management System

Manufacturers Retailers Consumers

Recycle & Garbage Local Government Recycling & Landfill Bins Funded Processes

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Tomorrow’s ) “Cradle to Cradle” System

Retailers Consumers

Manufacturers

Take Back Programs mail‐back, collection sites, Materials are recycled haulers, local governments into new products

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) CPSC Core Beliefs

• Private sector can manage discarded products faster and cheaper • Government should not manage funds • Government should not impose command and control systems: performance based systems • Private needs flexibility to design and operate systems • Shared responsibility Driver: Public Wants EPR! City of LA Plan Stakeholder Guiding Principles

1.Education to decrease consumption 2.City leadership to model zero waste practices 3.Education to increase recycling 4.City leadership to increase recycling 5.Manufacturer responsibility 6.Consumer responsibility 7.Convenience 8.Incentives 9.New, safe, technology 10.Protect public health & environment 11.Equity 12.Economic efficiency Drivers for Packaging EPR

CA Ocean Protection Council Resolution 4/24/09 Driver: Ocean Litter CA Ocean Protection Council Resolution 4/24/09

“The OPC resolves to support the establishment of extended producer responsibility (EPR) programs in California, provided the programs target the reduction of packaging…, and reduce the costs to local government of handling packaging waste” Belgium: Recycles 84% of all Household Packaging 2007

Corporate presentation EN‐V2008 • 17/01/2008 • 24

Belgium Packaging EPR: 2007 Results • 5 783 members (Packaging producers) • 117 kg/inhabitant collected • 41 million Euros proceeds from materials • 84 % recycling • 12 % valorization (WTE) • 4% disposed • 92% of the population participates actively • 2 ,500 jobs created

Corporate presentation EN‐V2008 • 17/01/2008 • 25

“We are partnering with a recycling company to ‘close the loop’ so our products can be recycled in California indefinitely and create green jobs at the same time.” —Ed Byrne, Owner and General Manager Peninsula Packaging Company, Exeter, CA

© 2009 by the California Product Stewardship Council (CPSC) MBA Polymers – Driver for EPR Options for metal recyclers

Photos from (BAN), www.ban.org

27 MBA Closes the Loop

Operate in geographic locations where durable goods are recycled in

large quantities

Procure plastics‐rich shredder Provide customers with unique residue from recycling partners global offering of PCR plastics

Utilize proprietary mechanical separation process to isolate and

purify high‐value

plastics

28 Economic Development Benefits High Tech “Above Ground Mining” of plastics is here today. Just not on a large scale in the US.

29 Economic Development Benefits

Europe and Asia are embracing this new business and its associated high‐tech jobs, energy savings and raw material conservation. Why isn’t the US?

30 The problem and opportunity are enormous A growing amount of end‐of‐life durable goods in the US are either discarded or exported. Only a part of the available valuable raw materials are recovered from those that are recycled. This policy creates environmental challenges and valuable resources. Tons of ASR/ ASR in tons Shredders shredder UK 800,000 35 23,000 Germany 460,000 46 10,000 France 600,000 45 13,000 EU ELV Legislation requires Netherlands 127,000 10 13,000 higher recycling rates of these Belgium 210,000 12 18,000 valuable materials Italy 450,000 20 23,000 Switzerland 80,000 6 13,000 Total 2,727,000 174 16,000

No Federal Legislation US 5,000,000 200 25,000

Sources: EU –Auto Recycling Netherlands From this 5 million tons, or over 10 BILLION pounds ofUS –estimate “residue”,s from various some sources residual metals and essentially all of the plastics are land‐filled.

Free end‐of‐life management for any Dell product from individuals, regardless of new purchase Michael Dell OpEd, San Francisco Chronicle January 14, 2007

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Return and recycling Printer here services in more than 40 countries.

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Supports individual producer responsibility which directly incentivizes eco‐design

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) “If the Sony name is on the product, then we will recycle it at no cost to the customer.”

Mark Small, Sony VP Corporate Environmental Safety and Health

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) What Canadian Industry Wants • To design and operate the program • Cost certainty • Time to implement • Level playing field • Common standards • Continuous improvement

Source: Neil Hastie, CEO, Encorp

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) British Columbia Pharma

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) B.C. Pharmaceuticals

• Mandatory, invisible fee • Producer management of funds, program, and operations, government oversight • Convenient to consumers – 945 pharmacies • Cost‐effective: $315,000/year in 2008 • One full‐time employee • One half‐time equivalent in government “The California Retailers Association supports EPR as a more workable and cost‐ effective alternative to mandatory in‐store take back, or point of sale fees.”

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) “Under producer responsibility, haulers will still be needed. We envision a system where haulers will sometimes be contracted by manufacturers instead of only by local governments, and we will provide more varied services as more products are returned for producer managed recycling programs instead of to landfills.”

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) “Making it easy for visitors to recycle old CFLs and purchase new ones in the same trip... turns visitors into customers.”

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Strategic Directive 5 February 2007

CalRecycle will … • “Seek statutory authority to foster cradle‐to‐cradle producer responsibility.”

• “Develop relationships with stakeholders that result in producer‐financed and producer‐managed systems”

* Formerly the California Integrated Waste Management Board

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle)

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5. 4. 6. 7. 3. 1. 2. A California EPR Legislation Product‐by‐Product ‐ CA • Disposal Bans: – U‐waste (Feb 2006) – Treated Lumber (July 2008 –special treatment) – Sharps (Sept 2008) – Pharmaceuticals: Are they next? Or Solar panels? • Product Legislation – E‐waste (2004 ‐ ARF) – Rechargeable Batteries (2006 – retailer take‐back) – Cell Phones (2006 – retailer take‐back) – Mercury Lamps (2007 & 2009) – Agricultural Pesticide Containers (2008 ‐ EPR) – Mercury Thermostats (2008 –EPR) – Sharps 2009 (weak EPR) Framework EPR

© 2009 by the California Integrated Waste Management Board (CIWMB) Voluntary Stewardship

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle) Golden Arrow Award for Excellence in Product Stewardship

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle)

Honorable Mention

for System and Design Innovations

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle)

Infinity Arrow Award for Service and Take-Back

Funded by a grant from the Department of Resources Recycling and Recovery (CalRecycle)

Net App – Infinity Arrow Award Get Connected – Support EPR! •Join listserv •Sign the Pledge •Attend workshops •Presentation support •Buy from “take‐ back” companies •Buy recycled

Funded by a grant from the Department of Resources Recyclingcontent and Recovery (CalRecycle) Contact CPSC

Heidi Sanborn Executive Director [email protected] 916‐480‐9010

www.CalPSC.org Funded by a grant from the Rose Foundation.

©Copyright 2010 by the California Department of Resources Recycling and Recovery (CalRecycle). All rights reserved. This publication, or parts thereof, may not be reproduced without permission from CalRecycle.