Improving the Life Cycle Management of Printing and Imaging Equipment

1. Improving the Life Cycle Management of Printing and Imaging Equipment December 7, 2006

2. An Overview • Federal Market Trends • Costs • Business • Environmental • Improving the Life Cycle Management of Printing & Imaging Equipment • Purchase Green • Maintain/Operate Green • End Green • Questions and Answers • Resources to Help You

3. Copiers Printers Fax Machines Scanners Multi Function Devices Printing & Imaging Equipment

4. Business 24% Business 19% Government 5% Commercial 30% Commercial 32% Government 3% Education 6% Education 3% Residential 40% Residential 38% 2000 2005 Printing & Imaging Equipment Market Share by Sector* * Based on research by Gartner Group conducted for ENERGY STAR®

5. Printing & Imaging Equipment Shipped in 2005 By Sector* (in millions) * Based on research by Gartner Group conducted for ENERGY STAR®. Numbers for Year 2005 are projections based on 2000 numbers

6. Federal Market Trends • Purchasing Trends* • Continued purchases of low-end desktop equipment • However, many agencies are moving towards strategies that view and treat printing as a managed service rather than an equipment buy * Federal Strategic Sourcing Initiative Copier/Printer Commodity Team, October 2006

7. Supplies or “Consumables” Associated with Printing & Imaging Equipment • Paper • Toner • Drum units • Ink Cartridges • Maintenance Kits

8. Costs • Printers, the supplies associated with them and the support required to keep them operating represent 5 percent of the typical IT budget* • Yet, few network managers and IT departments track printing costs at all* • Printing seen as a low-tech, commodity-based part of IT** • Printing was expected to fade in importance as the digital age evolved and the ‘paperless office’ took over** - paper consumption shows that this has not been the case • Purchase of printing supplies are often done by another department * Calculating the True Cost of Printing, see http://www.hp.com/cgi-bin/sbso/printable_oov.cgi ** See http://www.information-age.com/article/2006/february/hard_copy

9. Costs (Continued) • Organizations that actively manage their printing infrastructures stand to reduce their overall cost of printing by up to a third* • Typically, 1/3 of calls to IT helpdesks are print-related, ranging from paper jams and empty cartridges to IT-specific problems such as incorrect printer drivers installed on PCs* • Efforts by some agencies towards managed print services, cost-per- copy service contracts and similar approaches reflect a strategic decision to control their hardcopy costs * See http://www.information-age.com/article/2006/february/hard_copy

10. Environmental Impacts: The Other Cost • Indoor Air Pollution resulting from equipment emissions • Ozone • Dust • VOCs • Hazardous substances contained in components • The primary environmental impacts from printing and imaging equipment over their life cycle come from energy use and the associated consumables

11. Energy Impacts • There are 275 million imaging equipment products in use in the US today, consuming $3.6 billion in energy each year ($2.4 billion for US businesses and $1.2 billion for US consumers) • Imaging equipment accounts for 2% of US electricity use • More on energy trends and impacts later in the presentation…

12. Consumables Have Multiple Environmental Impacts • PAPER: • Resource Intensive • 10,000 sheets per office worker/year • The full cost can exceed the initial • price by as much as 10 times Almost 8 cartridges are thrown away every second in the United States

13. Improving the Life Cycle Management of Printing & Imaging Equipment: Purchase Green • Choose the right equipment or service to meet your organization’s functional needs whether it is through: • Digital Copiers • Multifunction Devices • Leasing • Cost-per-Copy Contracts • “Right-sizing” reduces both the business and the environmental costs

14. Improving the Life Cycle Management of Printing & Imaging Equipment: Purchase Green (Continued) • Include environmental factors in your equipment purchase or leasing contracts, such as: • Energy Consumption • Indoor Air Quality • Hazardous Substances • Paper Use • Recycled materials use and recyclability • Minimal packaging • End of life management • Remanufactured toner and inkjet cartridges • See list of resources for examples of specifications used by other organizations

15. ENERGY STAR® Imaging Equipment Specification Overview FEC Call, December 7, 2006 Katharine Kaplan, U.S. EPA

16. Overview • Energy Trends • Energy Impacts Associated with Imaging Equipment • Key ENERGY STAR Requirements for Imaging Equipment • Savings Estimates for Revised Requirements • Tier II and Collaboration with Partners

17. Trend: Rising Energy Costs • Average annual household utility bills have increased 48% since 1980. • Electricity costs continue to rise, with some utilities requesting rate increases of 35% or more. • Spending on electricity is the highest share of total consumer spending since the Energy Crisis of 2000.

18. Worldwide Energy Demand to Grow 50% by 2030 • Demand driven by population and economic growth • Population growth from 6.2 to 8 billion by 2030 • 80% of demand from non-OECD countries • Oil, gas and coal will still dominate • Fossil fuels will account for 85% of the increase in world primary demand • Worldwide natural gas consumption doubles by 2030 – implications for coal • Worldwide electricity demand doubles by 2030 • Mostly in developing countries • By 2030, power generation accounts for nearly half of world natural gas consumption • Projected market trends raise major concerns • Increased vulnerability to supply disruptions • Rising CO2 emissions • Huge energy investment needed to meet demands and emission requirements Source: International Energy Agency, World Energy Outlook, 2004

19. Trend: Growing U.S. Energy Consumption • Electricity consumed by the typical American household has more than doubled since 1980 • Expected to rise another 20% by 2015. • Miscellaneous consumption quickly increasing • Largest component of miscellaneous is electronics products • By 2015, electronics will comprise 18% of home electricity demand.

20. Typical Energy Consumption of Home OfficeSystems Note: Refrigerator based on top mounted model with auto defrost, 2001 standard model, from LBNL analysis. TV consumption calculated from CNET power data.

21. Key Requirements ENERGY STAR for Imaging Equipment-History • ENERGY STAR specification for printers in 1993. • By 1997, coverage for fax machines, copiers, multifunction devices (MFDs), and scanners. • Addressed low-power modes (e.g., sleep or off) and default delay times to low-power modes. • Imaging equipment specification revision began in 2003.

22. Key Requirements ENERGY STAR for Imaging Equipment-Goals • Continued market differentiation • Consideration of active mode consumption • Changes in technology and markets • One umbrella specification with consistent terms • Harmonization among organizations • Relevance and longevity • Simplicity • Universality

23. Key Requirements ENERGY STAR for Imaging Equipment-Features • Product Categories Covered: copiers, fax machines, mailing machines, multifunction devices, printers, scanners • Two Approaches: • Typical Electricity Consumption (TEC) • Looks at full duty cycle for standard-sized EP copiers, multifunction devices, and printers • Figure for the typical weekly electricity a product might use in all modes-duplexing, pm req • Operational Mode (OM) • Focuses on product energy consumption in various low-power modes (i.e., sleep and standby) for products such as ink jets and large format devices-based on femp, pm req • Accessories: 1) EPS: Imaging products with EPS must use ENERGY STAR qualified models or equivalent; 2) Digital Front Ends must meet ENERGY STAR computer specification.

24. Key Requirements ENERGY STAR for Imaging Equipment-More on TEC • Covers all states and activities • Reasonably reflects typical usage and provides a method of ranking • Provides an incentive to minimize low-power mode consumption • Rewards equivalent progress in active and ready • Allows for flexibility

25. The TEC Measurement Procedure

26. Duplexing Requirements

27. Savings Estimates for Revised Specification • For the first time, through TEC, ENERGY STAR will address active and ready modes • According to a 2004 Danish Energy Authority study, approximately 70% of the annual electricity consumption of EP office products takes place in the product’s ready mode, thus, ENERGY STAR will be capturing unprecedented savings for these products • US consumers will save more than $13 billion over the next five years and avoid greenhouse gas emissions equivalent to the emissions of more than four million cars.

28. Incremental Carbon Benefit of Imaging Specification

29. Incremental Monetary Benefit of Imaging Specification

30. Tier II and Collaboration with Partners • Begin work on scope of Tier II in early 2007. • Consider additional manufacturer data following the effective date of Tier I, to determine how these criteria may be revised to reach 25% qualification rate. • Engage stakeholders in development of Tier II in fall of 2007. All interested parties welcome to participate. • Tier II is scheduled to go into effect on April 1, 2009.

31. Contact For more information: Katharine Kaplan, U.S. EPA, kaplan.katharine@epa.gov (202) 343-9120 http://www.energystar.gov/products (search for product development archives to find all documents relevant to the revised Imaging Equipment specification)

32. Examples of Partner Actions: Purchase Green • Environmental requirements in Interior’s printer contract (Catherine Cesnik, The Department of the Interior) • Leasing Environmental Copiers (Jonell Allamano, EPA Region 10) • Cost-per-copy (CPC) service contract (Benjamin Hall, NASA) • Contract in place since 1996; requires ENERGY STAR equipment and use of recycled paper. • NASA-wide contract has saved millions of dollar • See case study at: http://www.epa.gov/epp/pubs/ppg/case/nasacopy.htm

33. Improving the Life Cycle Management of Imaging Equipment: Operate and Maintain Green • Reduce resource use • Enable power management features • Enable and use duplexing features • Use returnable or recyclable and re-manufactured toner or printer cartridges • Results in direct cost savings and reduced environmental impacts • Anticipated energy savings of $13 billion over the next 5 years • Duplexing can reduce paper needs by up to 40% • Use of remanufactured toner cartridges can result in 30 – 60% savings on a per copy basis

34. Examples of Partner Actions: Operate and Maintain Green • Resource use reduction strategies in EMS (Adrienne Priselac, EPA Region 9) • Employee education through duplexing days • Use of FinePrint software • Other technology-based and behavioral strategies to reduce overall use of paper

35. Federal Management Regulation (41 CFR Ch. 102) mandates that agencies use excess personal property, including electronic equipment, as the first source of supply in meeting agency requirements Follow environmental hierarchy for managing end-of-life electronics: Reuse Refurbishment Recycling Incineration or Landfilling This “environmental” hierarchy captures the specific end-of-life processes required by regulation and outlined by GSA Refer to FEC resources listed at the end Improving the Life Cycle Management of Imaging Equipment: End Green

36. Improving the Life Cycle Management of Imaging Equipment: End Green (Continued) • Refurbishment • Many imaging products are designed for disassembly and upgrade • Instead of replacing units, utilize all-in-one toner cartridges to replace worn parts and install upgrades, like duplexing units • Take-back • Require take-back in purchase, rental, or leasing agreements • Return equipment to manufacturer for disassembly, re-engineering or refurbishment • Contract for fee-based services or exchange sales • Data security issues at EOL • Hard drives and memory are frequently part of imaging equipment • These components should go through proper media sanitization, in accordance with your agency policies and procedures

37. QUESTIONS?

38. Contact Us • Jonell Allamano (US EPA, Region 10) (206) 553-2954, allamano.jonell@epa.gov • Cate Berard (US EPA, Headquarters) (202)564-8847, berard.cate@epa.gov • Catherine Cesnik (DOI HQ) (202)208-7554, Catherine_Cesnik@ios.doi.gov • Ben Hall (NASA) (301)286-4422, Benjamin.e.hall@nasa.gov • Eun-Sook Goidel (Full Circle Environmental) (206)855-2896, goidel@fullcircleenvironmental.com • Katharine Kaplan (US EPA, Energy Star) (202)343-9120, kaplan.katharine@epa.gov • Chris Newman (US EPA, Region 5) (312)353-8402, newman.christopherm@epa.gov • Adrienne Priselac (US EPA, Region 9) (415)972-3285, priselac.adrienne@epa.gov

39. References & Resources • Buy Green • Energy Star’s new specifications for imaging equipment (released May 2006) http://www.energystar.gov/index.cfm?c=archives.img_equip_spec • US EPA’s Environmentally Preferable Purchasing Program’s “Greening Your Purchase of Copiers” -- http://www.epa.gov/epp/pubs/copiers/copiers.htm • Department of Energy’s Federal Energy Management Program resource -- How to Buy an Energy-Efficient Copier, http://www.eere.energy.gov/femp/procurement/eep_copier.cfm • State of California Best Management Practices for copiers -- http://www.green.ca.gov/EPP/OfficeMach/copiers.htm • Commonwealth of Massachusetts. OFF16- Photocopiers, Printers, Fascimile/Multifunctional Equipment, Supplies and Services – http://www.comm-pass.com • NASA’s Cost-per-copy contract -- http://www.epa.gov/epp/pubs/ppg/case/nasacopy.htm

40. References & Resources • Operate & Maintain Green • “Remanufacturing is a Superior Choice”: http://download.101com.com/rec/Cartridge_Solutions2p.pdf • City of Seattle Paper Cuts Campaign: http://www.seattle.gov/papercuts/ (includes numerous tips and links to reducing use of paper) • End Green • NIST's Guidelines for Media Sanitization (See "SP 800-88") -- http://csrc.nist.gov/publications/nistpubs/ • GSA Procedure Fact Sheet:http://www.federalelectronicschallenge.net/resources/docs/gsa_eolfact.pdf • FEC Reuse Document: http://www.federalelectronicschallenge.net/resources/docs/reuse.pdf • FEC Recycling of Electronics Document:http://www.federalelectronicschallenge.net/resources/docs/recycling.pdf • Toner and Ink Cartridge Recycling Poster found at: http://www.federalelectronicschallenge.net/resources/eolmngt.htm (scroll down to bottom of “Recycling” section, poster can be downloaded and customized)

41. References & Resources • Other Resources • Recycling Alliance of Texas, Electronic Resource Recovery Council’s Guidance for Large Organizations with Substantial Electronic Resources: http://www.dnr.mo.gov/env/hwp/escrap/docs/bmps-lgorgv2.pdf • “Calculating the True Cost of Printing”: http://www.hp.com/cgi-bin/sbso/printable_oov.cgi • Hard Copy -- http://www.information-age.com/article/2006/february/hard_copy • EPA’s Waste Wise Fact Sheet on Electronics Industry:http://www.epa.gov/wastewise/pubs/elefact.pdf • Original Equipment Manufacturers’ websites

42. Federal Electronics Challenge Web site: • http://www.federalelectronicschallenge.net/ E-mail: • info@electronicschallenge.net • partner@electronicschallenge.net