1. Mr Deputy Speaker, Sir, I Thank Members for Their Comments and Support of the Bill
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1. Mr Deputy Speaker, Sir, I thank Members for their comments and support of the Bill. I will now address the four broad areas brought up. First, the measures Singapore undertakes to meet our obligations under the Basel Convention. Second, the effects of the amendments on the industry. Third, our plans to develop our local recycling industry, particularly relating to plastics. Fourth, our plans to reduce excessive consumption of plastics and to close the plastic loop. Implementing our Basel Convention Obligations 2. Ms Anthea Ong asked about our progress in implementing the Basel Convention. Since 1996, when we became a Party to the Convention, we have issued an average of 150 Basel permits a year for the transboundary movement of wastes. In 2018, NEA issued 36 import permits, 50 export permits, and 70 transit permits. The main destinations for Basel exports were Korea, Japan, France and Thailand, with most of these shipments containing e-waste intended for recycling. 3. Ms Anthea Ong also asked how we ensure hazardous waste exported under the Basel Convention is properly treated. This is covered under the Prior Informed Consent procedure, or PIC procedure, which is well established under the Convention. When companies apply to NEA for a Basel export permit, they are required to provide information on the treatment facility which the shipment is destined for. This information is forwarded to the relevant authorities in the State of Import. NEA will not issue a Basel export permit to the company until the State of Import evaluates the proposal and consents to accept the shipment. 4. We take our obligations under the Basel Convention seriously, and have taken action against companies for violations. Under the Hazardous Waste (Control of Export, Import and Transit) Act, or HWA, companies that falsely declare such wastes, or export such wastes without a valid Basel export permit, can be fined up to $300,000. Individuals who commit such offences can be fined up to $100,000, or imprisoned for up to 2 years, or both. NEA works closely with Singapore Customs and the Immigration & Checkpoints Authority to enforce these regulations at our checkpoints. We also enjoy a close working relationship with international counterparts and cooperate with them to investigate any suspected illegal export of waste from Singapore. 5. NEA had in fact investigated the case of Virogreen, which Ms Anthea Ong raised. In this instance, the company had correctly declared the contents of the shipment as e-waste for recycling. The PIC procedure had been followed and NEA had received consent from the relevant authority in Thailand for the import. These clarifications were carried in the same Eco-Business article. 6. Similarly, in the case reported by Reuters, which Ms Anthea Ong cited, none of the containers had been exported from or transited through Singapore. No Singapore companies had contravened the Basel Convention in any way and the two Singaporeans had not violated the HWA. The case is currently under investigation by Indonesian authorities. 7. There are currently no plans to introduce extraterritorial offences in the HWA. The Basel Convention has nearly universal membership with 187 Parties, and all our neighbouring countries are members. Singaporeans or Singapore-registered entities who contravene the Basel Convention can be prosecuted in their country of offence. Effects of the Amendments on Industry 8. Mr Louis Ng and Dr Chia Shi-Lu asked about the impact of the amendments on our companies. NEA had consulted the industry prior to the introduction of these amendments. Our companies understood the need for the new measures and for Singapore to comply with our international obligations. 9. We do not expect these amendments to disrupt the operations of our plastic recyclers and traders. There will not be additional regulations on the movement of most clean and homogenous plastic recyclables as these are not subjected to PIC under the Basel Convention. Mixed plastic recyclables can also continue to be exported, as long as PIC is obtained from the State of Import. To help companies comply with the requirements, NEA will guide companies through the Basel permit application procedures, particularly in the initial period after the new regulations come into effect. 10. In fact, we hope that the local recycling industry will benefit from economic opportunities as clearer regulations on the flow of recyclables develop. This will facilitate the legitimate flow of recyclables and open up new markets for our local companies. As Mr Chia Shi Lu and Ms Anthea Ong have pointed out, there are opportunities to promote a regional circular economy, in line with the vision of our Zero Waste Masterplan. Developing the Recycling Industry in Singapore 11. Mr Deputy Speaker, I will now speak on the local plastic waste management landscape, and our plans to develop local recycling capability and capacity, which Dr Chia Shi-Lu, Mr Christopher de Souza and Mr Louis Ng asked about. 12. Plastic waste in Singapore is either recycled or incinerated. Such wastes are not landfilled. All general waste and recyclables must be collected by licensed collectors. Plastic recyclables that are segregated at source is sorted and sent for recycling either locally or overseas. On the other hand, plastic waste which is not source-segregated for recycling is incinerated with other general waste at our Waste-to-Energy plants. 13. In 2018, approximately 949,000 tonnes of plastic waste were generated in Singapore, which was about 12% of the total waste generated. 4% of the plastic waste generated was recycled. And of this, 7% was recycled locally, while the rest was sorted and exported for recycling. The plastics that are recycled are mainly post-industrial plastics that are clean and homogenous, or recyclables from households that have been sorted and baled at our Material Recovery Facilities. As we can see, packaging waste, including plastic, is generated in large quantities with a low recycling rate. As such, we have made packaging waste a priority waste stream in both the Zero Waste Masterplan and the Resource Sustainability Act. 14. As Mr Louis Ng has highlighted, we hope to further build up our local recycling capabilities to better extract resources from plastic waste. However, I would like to clarify that we are doing this not because we contribute to the global ocean plastics problem but because we want to reduce the amount of plastics that we incinerate. Singapore does not contribute in any significant way to the ocean plastics problem. We do not landfill our plastic waste but incinerate them at our Waste-to-Energy plants. Most of Singapore is a water catchment, meaning that our waterways are dammed up and plastics are removed from the waterways before they reach our reservoirs. We have been building up our waste management resilience, which is in line with the global movement towards proper treatment and management of waste. As a small country, in the face of carbon and resource constraints, we also want to enhance Singapore’s resource resilience by re-using resources for as long as possible. Hence, our vision is to close the plastic waste loop locally where feasible, and allow our plastic wastes to be recovered and converted into useful resources again. 15. At the same time, investing in new recycling technology and developing the industry will create economic opportunities and good jobs for Singaporeans. For example, McKinsey estimates a potential fourfold increase in plastics reuse and recycling by 2030, worth an estimated US$60 billion. 16. We are studying both mechanical and chemical recycling options. Mechanical recycling uses well established technology to turn waste plastics into plastic pellets. We already have mechanical recycling plants in Singapore which treat our industrial plastic waste. These are operated by companies such as A~Star Plastics, Plaspulp Union and Ravago. Chemical recycling can potentially complement mechanical recycling. Waste plastics that are not suitable for mechanical recycling, such as used plastic bags, can be recycled into chemical feedstock through chemical recycling. We will share more on our plans to close the plastics loop at the upcoming Committee of Supply Debate. 17. Based on our consultations with industry players, the main impediments to greater recycling locally are the lack of economies of scale, and low global demand. We will require further consultations with the local industry, and economic agencies, to determine the appropriate industry size and structure to suit the Singapore market. 18. Our intent to build up local recycling capability is also a key reason why Singapore has not ratified the Ban Amendment, which Ms Anthea Ong asked about. The Amendment was first introduced in 1995 to protect developing countries from the ill-effects of hazardous waste exported by developed countries. The Amendment bans all exports from developed to developing countries, hence its name. 19. We believe that the legitimate movement of useful waste material does not just present economic opportunities for our companies, but allows Singapore to play our part in the safe handling of hazardous material in the region. For example, e-waste recycling companies in Singapore import e- waste from countries such as Japan, South Korea and New Zealand, and treat them at our licensed facilities in an environmentally-sound manner. This would be curtailed if we ratified the Ban Amendment. In fact, many OECD countries have not ratified the Ban Amendment yet, including countries with strong recycling industries such as Japan and South Korea. 20. We are also investing in research and development (R&D) to develop local recycling solutions, as Dr Chia Shi-Lu and Mr Louis Ng spoke about. The S$45 million Closing the Waste Loop R&D Initiative supports research into new circular economy solutions. For example, it has funded a research project that is studying how plastic-embedded multi-layer films, such as potato chip packaging, can be recycled.