Boosting Recycling in Tennessee

August 13, 14, & 15, 2012

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SERDC Sponsor members

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What is recycling?

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How Does Recycling Work?a. Generator separation

i. We have tried the dirty MRF method, doesn’t work.b.Public collection

i. Here the material is at its lowest point in the value chain.ii.Today we will discuss how to keep these programs efficient

c. Initial processing, the MRFd.Marketing

i. Intermediate processorii.End user

e. End userf. Retailerg. Consumer/generator

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Part of the manufacturing process

Step one in material management.1. In the mines we separate the ore from the overburden 2. In recycling we separate the material from the waste

Only those items that we truly need get recycledIf there is a market, someone is willing to pay. They wouldn’t

pay unless they had a real reason to do so. Meaning, they intend to sell it at a profit. This may be after improving it or working with it, but the point is that it has value because it has a/many use(s).

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Recycling Provides the Manufacturer

Energy savingsTransportation savings

Competitive edge

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Recycling Saves Energy

• Aluminum 95%• Paper 64%• Plastic 50%• Steel 75%• Glass 50%

What do we expect energy prices to do in the next twenty years?

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Regional Collaboration = Increased Access to Markets

Summary of Region Wide Findings:• 206 manufacturers • 47,525 employees• $29.4 Billion sales revenue

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Tennessee Manufacturing

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Tennessee30 Manufacturing Facilities$4.3 Billion in yearly sales

6,500 Tennessee Jobs

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Material Recovery FacilitiesMRFs

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Recycling Provides the Community

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JobsPersonal incomeTax revenue

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Jobs4TN

Current capture 1.9 million tons

Potential 5.7 million tons

Potential increase

6,384 jobs

$300,200,000Personal income

$13,680,000State Tax Revenue

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How do we do it?

• Resources• Real Estate• Resolve

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Possible Steps to Take• Declare commodity status • Disposal restrictions• Tip fee surcharges• Mandate waste metering (PAYT)• Hub and spoke infrastructure development• Required participation

• Select industries (ABC permits)• General

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NC Plastic Bottle Recovery (tons)

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NC Plastic Bottle Recycling Rate

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States with Tip Fee Surcharges

“Pay-as-you-throw (PAYT) programs, also called unit-based or variable rate pricing, provide a direct economic incentive for residents to reduce waste. Under PAYT, households are charged for waste collection based on the amount of waste they throw away, in the same way they are charged for electricity, gas, and other utilities.”

Pay-As-You-ThrowWhat Is PAYT?

According to the EPA,

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Possible Steps to Take• Declare commodity status • Disposal restrictions• Tip fee surcharges• Mandate waste metering (PAYT)• Hub and spoke infrastructure development• Required participation

• Select industries (ABC permits)• General

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Today’s agenda

a.Hear from Industryb.Have lunchc. Look as cost efficiencies and some effective Tenn

programs

d.Discuss next steps

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Afternoon Session

Design for Success

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What is recycling?

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Efficiency/Cost Effectiveness

• Participation• PAYT• Total cost accounting.• Avoided disposal cost.

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Participation

• Key element in cost effectiveness• How much outreach is enough?• Voluntary vs mandatory• Incentives• EPA Toolkit• Earth 911

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Outreach by Design

• Design the program– Multifaceted– Targeted audiences

• Measure results– Radio Frequency Identification, RFID tags– What sectors perform?

• Web Site– Keep it current

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Strategies for Behavior Change• Mandatory Recycling• Disposal Ban• Disposal Surcharge• Grants • Bottle Bills• Recycling Goals• PAYT (Unit-Based Pricing)• Product Stewardship (e.g. Producer/Manufacturer

Takeback)• Advance Disposal Fees• Environmentally Preferable Purchasing Programs

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Mandatory RecyclingEffectiveness: Good to Great

Cost: Varies with enforcement methods

Pros: Communicates a strong message

Cons: Requires an infrastructure and can be difficult to enforce.

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Disposal Bans

Effectiveness: Good

Cost: Low to medium

Pros: Proven results

Cons: Difficult to enforce

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Disposal SurchargeEffectiveness: Good

Cost: Low to implement

Pros: Provides funding for infrastructure development, negligible impact on households.

Cons: Opposition from waste industry

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GrantsEffectiveness: Varies

Cost: Requires funding source, ie disposal surcharge

Pros: Can provide infrastructure development, also can target certain state wide initiatives

Cons: Requires indirect funding source

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Bottle BillsEffectiveness: Good to Great

Cost: Low for local government

Pros: High recovery of included containers

Cons: Costs transferred to different groups, can result in reduced recycling of other materials, very difficult to implement

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Recycling GoalsEffectiveness: Low

Cost: Low

Pros: States a clear mission

Cons: Generally ineffective

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Advance Disposal FeesEffectiveness: Good

Cost: Low administration expense

Pros: Provides program funding

Cons: Limited materials effected

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Preferred Purchasing PolicyEffectiveness: Fair

Cost: Low

Pros: Increases market demand for recycling materials, increases awareness for recycling participation

Cons: Little impact on diversion, markets have matured leaving lower need for development

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Extended Producer ResponsibilityEffectiveness: Varies

Cost: Born by Manufacturers

Pros: Removes burden from local government

Cons: Free riders. Unlikely to happen on the state or local level

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PATYEffectiveness: Good to very good, depends on unit of measurement

Cost: Low for select systems, high for subscription programs

Pros: Strong results, more material recycled, less waste to dispose, equitable and fair, easy to enforce

Cons: Resistance to change, theft of service, single stream contamination

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PAYT

WasteZero, a company that provides support for PAYT programs has

recorded recycling increases from 40% to 400% after implementation.

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Pay-As-You-ThrowProgram Variations

Measuring via: Variable rate

carts

Overflow containers

Tag affixed to bag

Specialized bag

PAYT Options

Collection at curbside or convenience center by:Municipalities

Private waste haulers

Recycling companies

Across Different Systems

Employing: Differing pricing

methods

Differing approaches to measuring results

Various means of sharing benefits with residents

Pricing and Benefit-Sharing

Options

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Feedback

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Contact Information

Will SagarExecutive Directorwill.sagar@serdc.org(828) 507-0123

Jenn CooperCommunications Coordinatorjenn.cooper@serdc.org(864) 214-5955