National Solid Waste Management Department Ministry of Housing and Local Government AA SSTTUUDDYY OONN SSCCRRAAPP TTYYRREESS MMAANNAAGGEEMMEENNTT FFOORR PPEENNIINNSSUULLAARR MMAALLAAYYSSIIAA FINAL REPORT September 2011 Prepared by: CHEMSAIN KONSULTANT SDN BHD (130904-U) No. 41, 1st Floor, Jalan USJ 10/1D, UEP Subang Jaya, Selangor Darul Ehsan, Malaysia Tel: 03-56370163 Fax: 03-56370385 Email: [email protected] A Study on Scrap Tyre Management In Peninsula Malaysia Final Report TABLE OF CONTENTS 1 INTRODUCTION ............................................................................................. 1 1.1 Background and Statement of Needs ............................................................. 1 1.2 Steering Committee and Study Team ............................................................. 2 1.2.1 Steering Committee ......................................................................................... 2 1.2.2 Study Team ..................................................................................................... 2 2 OBJECTIVES .................................................................................................. 4 2.1 Objectives of The Study .................................................................................. 4 3 SCRAP TYRE MANAGEMENT IN MALAYSIA; STATUS QUO .................... 5 3.1 Institutional Analysis ........................................................................................ 5 3.1.1 Government Agencies in Tyres and Scrap Tyres Management ...................... 9 3.1.1.1 Federal Level ................................................................................................... 9 3.1.1.2 State and Local Level .................................................................................... 12 3.1.2 Scrap Tyre Definitions ................................................................................... 17 3.1.3 Tyre Associations .......................................................................................... 19 3.1.4 Tyres Businesses .......................................................................................... 20 3.1.4.1 Tyre Manufacturers/ Importers ...................................................................... 20 3.1.4.2 Tyre Retreaders ............................................................................................. 20 3.1.4.3 Tyre Dealers (Workshops) ............................................................................. 21 3.1.5 Scrap Tyres Collectors and Traders .............................................................. 21 3.1.6 Scrap Tyres Treatment and Disposal ............................................................ 21 3.1.6.1 Scrap Tyre Treatment Facilities ..................................................................... 21 3.1.6.2 Scrap Tyre Disposal Facilities ....................................................................... 23 3.2 Inventory ........................................................................................................ 24 3.2.1 Inventories of Scrap Tyres - Methodology ..................................................... 24 3.2.2 Inventories of Scrap Tyres ............................................................................. 27 3.2.2.1 Data from Department of Road and Transport (DOT) ................................... 27 3.2.2.2 Estimation of Used Tyre Generation .............................................................. 28 3.2.2.3 Projection of Scrap Tyre Generated .............................................................. 34 3.2.3 Inventories of Scrap Tyres - Mass Flow Models ............................................ 36 3.2.3.1 Qualitative Findings, Feedbacks and Ground Observations ......................... 38 3.2.4 Limitations and Assumptions for Mass Flow Model ....................................... 54 3.2.5 Flow Analysis of Scrap Tyres (from tyre shops to disposal sites) .................. 55 3.3 Treatment and Recycling Options ................................................................. 61 3.3.1 Components of a Tyre ................................................................................... 61 3.3.2 End-of-Life Tyre (ELT) ................................................................................... 63 3.3.3 The Recycling and Treatment System for ELT .............................................. 64 3.3.4 Economic Evaluation of Technology Methodology ........................................ 65 3.3.5 The Recycling System Under Evaluation ...................................................... 66 3.3.6 Incineration of Used Tyres for Energy Production ......................................... 67 3.3.7 Shredding and Granulation ............................................................................ 88 3.3.8 Planning Analyses of Recycling Plants .......................................................... 95 TOC - 1 A Study on Scrap Tyre Management In Peninsula Malaysia Final Report 3.4 Incentive System ........................................................................................... 97 3.4.1 Perspectives in Scrap Tyre Management Incentives ..................................... 99 3.4.2 The Sarawak Used Tyre Economic Instrument ........................................... 100 3.4.3 Options in Economic Instrument – International Experiences ..................... 102 3.4.4 Incentive Model for Peninsula Malaysia ...................................................... 117 3.4.4.1 Operators for Scrap Tyres Collection and Treatment .................................. 124 3.4.4.2 Size of Levy on Scrap Tyres ........................................................................ 125 3.4.4.3 Regulating the Proposed Levy ..................................................................... 127 3.5 Brief Description of Legislation Requirement .............................................. 130 3.5.1 Administrative and Organization Structure .................................................. 130 3.5.2 Laws and Regulations ................................................................................. 134 3.6 Action Plan and Implementation Schedule .................................................. 136 TOC - 2 A Study on Scrap Tyre Management In Peninsula Malaysia Final Report LIST OF TABLES Table 1: The Team Members for the Study on Scrap Tyre Management in Peninsula Malaysia ............................................................................................. 3 Table 2: List of Primary Stakeholders and Their Primary Functions or Roles ................... 6 Table 3: The Institutional Capacity of Malaysian Governmental Agencies in the Management of Scrap Tyres .............................................................................14 Table 4: Proposed Sampling Size for Tyre Industries ..................................................... 27 Table 5: Estimated Annual and Daily Tonnage for Used Tyre Generation for 2010 ..................................................................................................................30 Table 6: Estimation of Annual and Daily Tonnage for Scrap Tyres Generation by Categories (Motorcycles, Cars, Trucks) for the Whole Peninsular Malaysia ............................................................................................................31 Table 7: Estimation of Annual and Daily Tonnage for Scrap Tyres Generation by State for the Whole Peninsular Malaysia .......................................................... 33 Table 8: Projection of Number of Registered Vehicle from 2011 - 2015 ......................... 34 Table 9: Projection of Annual and Daily Tonnage of Scrap Tyres (2011 – 2015) ........... 35 Table 10: Total Number of Survey Samples .....................................................................38 Table 11: Total Number of Interviewees According to State ............................................. 39 Table 12: List of Local Authorities Interviewed .................................................................. 39 Table 13: Total Number of Scrap Tyres Collectors Interviewed ........................................ 46 Table 14: Type of Treatment Facilities Visited .................................................................. 48 Table 15: List of Landfill and Transfer Station Visited ....................................................... 53 Table 16: Components of a Tyre, Legends and Definitions26 ........................................... 62 Table 17: Percentage of Main Components of Car and Truck Tyres ................................ 62 Table 18: Weightage of Different Type of Tyres ............................................................... 63 Table 19: ELT’s Treatment and Recycling Technology .................................................... 65 Table 20: Calorific Value and Emission Rate of Tyres in Comparison to Other Types of Fuel30 ..................................................................................................68 Table 21: List of Power Plants in the US That Use Tyre Derived Fuel (TDF) ................... 69 Table 22: Coal-Fired Power Plants in Peninsular Malaysia .............................................. 73 Table 23: Examples of Successful TDF Application in Cement Kilns in Foreign Countries ...........................................................................................................76 Table 24: Cement Kilns Operational in Peninsular Malaysia37 .......................................... 80 Table 25: Products of Scrap Tyre Pyrolysis .....................................................................