Electronics Recycling Systems and Policies in the United States

1. Electronics Recycling Systems and Policies in the United States Jason Linnell Executive Director, NCER

2. NCER Background Electronics Recycling Issue Overview State Responses to Challenge Federal Activity 2006-07 Trends/Outlook Overview

3. The coordination of initiatives targeting the recycling of used electronics in the United States Participation in pilot projects to advance and encourage electronics recycling The development of programs that reduce the burden of government through private management of electronics recycling systems Non-profit 501c3 Located in Parkersburg, WV area (Davisville) Polymer Tech Park National Center for Electronics Recycling Mission:Dedicated to the development and enhancement of a national infrastructure for the recycling of used electronics in the U.S. through:

4. Technology Changes Internet access, computing power in last 10 years Analog to Digital TV, rollout of HDTV + Increasing Sales + Undesirable Materials (lead, mercury, cadmium) + Costs collect, transport, and recycle = Enormous Challenge How much is out there - ???? Growing Pile

5. State-Level Policy Activities

6. Four programs with mandatory financing CA, ME, MD, and WA 50 million US residents or 16% of US population Others with recent study commissions MO, IL, RI, LA Upcoming or recent disposal bans MN, NH, RI, AR (others MA, CA) Coordinated regional policy strategy Northeast States: CT, DE, ME, MA, NH, NJ, NY, PA, RI, VT Midwest States: MN, MI, IL, WI, IA How are states handling the challenge?

7. Law passed in 2003 Point of sale fee on for any purchase of certain products over 4 inches diagonal screen size $6, $8, or $10 depending on screen size Effective January 1, 2005 on: CRT devices (TVs & monitors) LCD devices (laptops and monitors) LCD and Plasma TVs added July 1, 2005 Portable DVD players added Jan 1 2007 But NOT desktop computers, other audio/video devices California

8. 20,000 retailers; 28,500 locations registered to collect fee 90% of fees from 300 large retailers filing monthly; 8-9,000 active quarterly filers 2005: Collected $73 million in fees 2006: Through Q3, collected $54.6 million in fees Projected 2006 total fees: $72-74 million Total gov’t admin costs through 6/30/06: $11.6 million 10.9% of fees collected CA Law Fee Implementation

9. Collected fees into state fund, administered by CIWMB Disbursements made to qualified collectors and recyclers at $0.48/lb 529 Approved Collectors; 55 Approved Recyclers In 2005: Paid out $31 million for 65 m lbs 1.79 lbs/capita Preliminary 2006: $60 million paid out for 124 million lbs 3.4 lbs/capita (191% growth from 1st year) CA Law Recycling Implementation

10. Passed in 2004: covers TVs and computer monitors (includes laptops) from Maine households Municipalities collect from household, send/contract to state-approved consolidators (facility or pickup) Collection from household not funded by system Consolidators count brands, follow ESM guidelines, bill manufacturers for actual count of claimed brands + orphan share Manufacturers submit compliance plans, file reports, pay invoices from all (6) consolidators Maine Law

11. Began 1/18/06 6 consolidators approved for 2007, 3 up and running 3 govt staff managing program, plus staff at consolidator – tracking brands, invoicing OEMs 1st 5 months of program estimates: 1,291,202 lbs collected, annualized = 2.42 lbs/capita 2006 current estimate: 2.85 lbs/capita Maine LawImplementation

12. Maine Orphan Pro-Rata Share Changes

13. Passed in 2005 Creates statewide computer recycling pilot program for 5 years Effective January 1, 2006, Ends 12/31/10 Registration and fee required for manufacturers of more than 1,000 computers per year 1,000 can be sold anywhere, not just in MD Computers defined as: “desktop personal computer or laptop computer, including the computer monitor” Maryland Computer Recycling Law

14. Initial Registration fee $5000, then: $5,000 if manufacturer does NOT implement a computer take-back program $500 if manufacturer DOES implement a program Registration money into state recycling trust fund Used to provide collection/recycling grants to local governments First year for education campaign/survey, not recycling grants Registered Manufacturers as of 2/2/07: 50 Companies for 2006 25 Companies for 2007 (January 1 deadline!) Maryland Recycling Law cont’d

15. Newest Law – signed March 2006 4th major state electronics recycling program Different than other 3 in significant ways Producer Responsibility with default Manufacturer responsible for “equivalent share” either on own or pay into State quasi-govt organization No collection goal, but must meet your % at year’s end or pay penalty (refund if collecting more than %) Covers CA/ME products + Desktop Computers Ban on exports to developing countries according to Basel Convention[VETOED] Programs must be effective Jan 2009 Washington Law

16. Manufacturer Administration Fee Registration and Fee required 1/5/07 for sale or penalty to manuf & retailer Based on market share: $23 - $48,900 So far, 113 manufacturers with 168 total brands Establishment of WMMFA Board Board Members for 2007: Apple, Deer Park Computer Sales and Service, Dell, HP, Lenovo, No Nonsense Computers, Philips, Samsung, Sony, Wal-Mart Return Share Sampling NCER Project for Dept of Ecology, with statisticians Sampling results used for “preliminary return shares” in June, final in August Standard and Independent Plans due Feb 2008 Washington LawImplementation

17. In effect California: CRTs and all consumer electronic devices Massachusetts: CRTs Maine: CRTs Minnesota: CRTs Upcoming Rhode Island: CRTs New Hampshire (video display devices) Arkansas: authority to DEQ in 2008 Disposal Bans

18. NCER initiative under National Electronics Recycling Infrastructure Clearinghouse www.ecyclingresource.org ID and quantify “dead weight” costs of differing state programs Sought input from all stakeholders Assumes 2 additional states by 2012 Findings Recurring costs per year: $25 million One time costs per new state: $3 million Patchwork Study A Study of the State-by-State E-Waste Patchwork An analysis of its economic and other effects on industry, government and consumers October 2006

19. Recent Proposed State Legislation

20. Over 25 states introduced Types of Bills Advanced recovery fees – at POS and Manufacturer/first point of possession Producer responsibility, many variations Studies, commissions & task forces Landfill &/or incineration bans California amendments (product scope, material restrictions)/Maine amendments Legislation in 2006

21. Currently 22 states with active bills 2 states already rejected bills (MS, VA) Types of Bills Advanced recovery fees – SC, NJ Producer responsibility, NERC/Midwest Models CT, HI, (MA),NE, NJ, NY, PA, UT, VT OR, MN SC, TN (no TVs program) Studies, commissions & task forces – KY, MI Landfill &/or incineration bans Existing law changes – CA, MD Tax credits, other – MT, IN, NM Legislation in 2007

22. Federal Activity

23. 2005: E-Waste Working Group formed – four House Representatives 2 Hearings in House, one in Senate Previous Bills in House and Senate, not moving 1 ARF, two based on tax credits for manufacturers and/or consumers Meetings held in late 2006 Some working on legislation for this session Congress

24. EPA Baseline Data Report forthcoming Department of Commerce Report – released July 2006 Government Accountability Office 2005 Report Other Federal Activity

25. More to learn in 2007 CA implementation compared to MD/ME Movement towards WA implementation More state programs? MA, MN, WI, MI, OR, IL Pressure on RI, NH from 2006 bills Will Regional models ensure harmonization? Will Congress move on legislation? Will increasing state differences lead to more national action? Look for update of Patchwork Study Conclusions/Outlook

26. Thank You! Jason Linnell, NCER Phone: (304) 699-1008 jlinnell@electronicsrecycling.org Visit us on the web: www.ncerwv.org