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Northwest Product Stewardship Council Delegation October 2, 2007 Northview Golf & Country Club 6857 168th Street Surrey, British Columbia Industry-Led Stewardship BC Government’s Approach Kris Ord Manager Community Waste Section BC Ministry of Environment Presentation Overview • Ministry’s role & regulatory framework – Outline the model, regulation and process • Why this Policy Approach? – Key drivers • National Overview • Current BC Programs – Stewardship Program Expenditures – Environmental Results • Future Direction on Process & Product Selection – What’s next in B.C. ? – Candidate Product List • Questions? Facts about British Columbia • Located on the west coast of Canada • Population is 4.3 million (Canada’s total population is about the same as California’s) • 3rd largest province in Canada • Produces about 12% of the country's total GDP • Future host of 2010 Olympic and Paralympics Winter Games Ministry of Environment’s Role… Ministry provides leadership in environmental management through: • legislation, • programs, and • compliance activities. Our Policy for Industry-led Product Stewardship • Based on OECD’s Extended Producer Responsibility (EPR) model… “A management system based on industry and consumers taking life-cycle responsibility for the products they produce and use” • Shift away from government-managed, taxpayerfinanced waste management programs Life Cycle Perspective Scope of conventional producer responsibility Design Manufacturing Distribution Use Scope of extended producer responsibility Producer: manufacturer/brandowner, first importer Slide courtesy of Karen Asp, Gartner Lee Waste Mngt Recycling Regulation (2004) • Results based regulation • Provides producers with flexibility to meet environmental outcomes • Industry must consult with stakeholder on their plan Why We Do It This Way • In line with government direction - move towards resultsbased legislation • Focus on environmental outcomes not operations • Create level playing field • Provide flexibility in planning – one size doesn’t fit all • Ensure transparency – require public consultation and annual reports on operational and financial aspects • Provide flexibility for producers – their design or option to follow prescriptive Part 3 section • Ensure everyone has input through public consultation Key Drivers • • • • • • • • Premier’s and Cabinet’s direction/goals Input from ENGOs, local governments and industry Willingness of industry Federal EPR initiatives – Canadian Council of Ministers of the Environment (CCME) EPR Task Force Other jurisdictional initiatives Toxicity Volume GHG Reductions National Overview • Across Canada… – BC leads the way with now 9 programs. – Alberta and Saskatchewan have 6 – Ontario and Manitoba have ambitious agendas • CCME Extended Producer Responsibility Task Group – Action Plan for EPR – Packaging Current Programs 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Batteries (gov’t program) Beverage Containers Pharmaceuticals Paint Pesticides Gasoline, Solvents and flammable liquids Tires Used Oil, Containers and Filters Electronics Batteries • Not regulated under the Recycling Regulation but under the Hazardous Waste Regulation • Products include vehicle lead acid batteries • Administered by BC Government • Recovery rates – 98%, (high recovery driven by high metal prices) Beverage Containers • • • • Products include alcoholic and non-alcoholic beverage containers Deposit-refund system Overall high recovery rates – 84% for 2005 – 2006 Agencies Responsible – Encorp. Pacific http://www.encorpinc.com/cfm/index.cfm – Brews Distributing Limited http://www.brewers.ca/ Cool Facts about Beverage Container Recycling • 50 % aluminium from cans is recycled at least once • 14 recycled PET bottles = 1extra large T-Shirt • 3700 recycled two litre beverage containers = 150 fleece shirts = one barrel of oil saved Electronics • Products include computers (and peripherals), desktop printers and televisions • Agency responsible – Electronic Product Association of BC Status http://www.epsc.ca/ Program Operations – Under Contract with Encorp. Pacific – Regulated in February 2006 – New plan submitted February 2007 – Program Implemented August 2007 • Recovery rates – to be determined… Paint – Product Care • Products include latex, oil and solvent-based paints and stains for commercial and household use • Agency responsible - Product Care Association http://www.productcare.org/ • Status – revised plan approved July 16, 2007 • 2005 recovery rates – – Paint – 2,164,042 L – Aerosols – 17,360 L Paint – Tree Marking • Products include paints and stains in aerosol containers but not industrial, automotive or marine anti-fouling applications • Agency responsible Tree-Marking Paint Stewardship Association (TSA) http://www.treepaint.ca/ • Status – submitted revised plan for approval • 2005 recovery rates – – 141,121 containers processed Pharmaceuticals • Products include all unused or expired drugs as defined in the Food and Drugs Act (Canada) • Agency responsible – Post-Consumer Pharmaceutical Stewardship Association http://www.medicationsreturn.ca/home_en.php • Status – submitted revised plan for approval • 2005 recovery rates – – Over 80% pharmacies participating – 18,012 kg unused medications collected Residuals • Products include pesticides, gasoline, solvent and flammable liquids • Agency responsible – Product Care Association http://www.productcare.org/ • Status – revised plan approved July 16, 2007 • 2005 recovery rates – – Flammable liquids/gasoline – 54,386 L – Pesticides – 7,656 L Tires • Products include pneumatic or solid tires designed for use on a motor vehicle, farm tractor, trailer or other equipment • Agency responsible – Tires Stewardship BC www.tirestewardshipbc.ca • Status – New plan approved September 2006 – Program implemented January 2007 (transfers government program to industry) • Recovery rates – over 90% Used Oil, Filters and Containers • Products include lubricating oil, oil filters and the empty oil containers • Agency responsible – BC Used Oil Management Association http://www.usedoilrecycling.com/en/province.aspx?prov=2 • Status – revised plan due October 2007 • 2005 recovery rates – – Oil – 73% – Filters – 81% – Containers – 51% Stewardship Program Expenditures – Saves Govt $ Province-wide Program 2005 Expenditures ($) Beverage containers – non-alcohol Electronics $ 55,676,237 no data yet Paint, Gasoline, Pesticides, Solvents & Flammable Liquids $ 4,527,517 Pharmaceuticals $ Tires 225,000 no data yet Used Oil, Containers & Filters $ Total 876,662 $ 61,305,416 Environmental Results • In 2005, some of what was diverted from the landfill includes… – 772 million non-alcohol beverage containers – 3.8 million tires – 48 Million litres of oil Vision for EPR Future • Our Ministry goal is to add two new products to the Recycling Regulation every three years • Work with other jurisdictions to harmonize EPR programs • Work with producers to foster design for the environment and reduce GHG emissions How Are New Products Added 1. Scoping phase - research 2. Policy intentions paper phase – develop, consult on and finalize policy 3. Drafting phase – draft legislation 4. Implementation phase – training, guidelines etc What’s Next in BC • Ministry Service Plan - add two new product categories every three years. • Select two products from candidate list • Fall 2007 - Release a policy intentions paper for public consultation on the selected products • Spring of 2008 - prepare amendment to the Recycling Regulation for government consideration • 2009 - Industry will develop a plan and launch program. Candidate List of Products New Product Categories • Antifreeze and hydraulic fluid • Batteries (alkaline, lithium, lead acid, etc) • Light Bulbs (fluorescent, incandescent, LED, etc.) • Mercury containing products (switches, thermometers, thermostats, medical equip., etc) • Packaging (paper, plastic, metal, glass)** • White goods (fridge, stove, cfc containing, etc.) • Pool and photographic chemicals • Furniture and textiles • Construction and demolition waste • Automobiles **phased approach Candidate List of Products (2) Expand Existing Product Categories • Electronics ** • Paint • Pesticides • Solvents and other flammables • Pharmaceuticals **phased approach Our Product Stewardship Team Kris Ord Manager, Community Waste [email protected] David Lawes Tires, Electronics, CCME Packaging [email protected] Bob Paul Waste Reduction Initiatives [email protected] Lyn Smirl Batteries, Oil, Tree-Marking Paint [email protected] Jenn Wilson Beverage Containers, Pharmaceuticals, Product Care (paint and residuals) [email protected] Thank you … Any Questions? Beverage Containers • Regulatory requirements - Schedule 1 of Recycling Regulation • Definition of beverage exempts milk/substitutes • Minimum Deposit/Refund legislated: 1L or less non-alcoholic beverages - 5 cents 1L or less alcoholic beverages -10 cents More than 1L for any beverage - 20 cents • Return-to-Retail limit of 24 containers/person/day of containers sold • Annual report requires independently audited financial statements for: • revenues and expenditures associated with visible fees, and • all deposits/refunds paid • Regulation states a 75% recovery rate for beverage containers Stewardship Agencies • • Stewardship Agency Containers Managed Approx. Market Share 2005 Recovery Rate Encorp Pacific (Canada) all non-alcoholic beverage containers 60% 73% Liquor Distribution Branch (LDB) wine, spirit, non-refillable beer, cider and cooler containers 10% 89% Brewers Distributors Ltd. (BDL) refillable glass bottles and aluminum cans for domestic beer, ciders and coolers 30% 93% Encorp manages LDB containers under contract LDB in process of transitioning producer responsibility to the remaining stewardship agencies Collection System • Consumers have choice of retail, depots or blue box/bag (forgo refund) • Stewardship plan identifies container redemption facilities • Encorp - 170 licensed depots (some also pick up from retailers) • LDB – retail stores (government liquor stores are transitioning to 24/person/day) and contracts with Encorp depots • BDL – retail stores and contracts with a few Encorp depots Fees and Deposits • • Three sources of revenue by category: – Sale of recovered materials – Unredeemed deposits – Visible container recycling fee (CRF), if revenue from first two sources is not enough to pay costs Producers pay deposits and CRF to agencies, pass on to retailers, who recover from consumers