ISRI CONVENTION: Electronics Recycling Emerges

Speakers address obstacles, opportunities in electronics recycling.

Speakers at the Institute for Scrap Recycling Inc.’s (ISRI) 2003 Annual Convention & Scrap Recycling Industry Exposition in mid-April discussed the challenges and opportunities that exist in the field of electronics recycling during a workshop titled “Electronics Recycling – Current and Future Challenges.”

The panel assembled looked at electronics recycling from a variety of perspectives, including those of retailers and scrap metals processors.

“The potential hazard caused by landfilled electronics makes electronics recycling programs an imperative need,” Joshua Turchin, vice president of California Metals & Electronics, El Cajon, Ca., said.

However, Turchin warned, “There is increased subjectivity associated with characterizing e-scrap,” which makes bidding on these items difficult without examining the items in person. He suggested that electronics be viewed as “black boxes of value,” while cautioning that the value is generally hidden from view.

Turchin explained that electronics recycling is less price sensitive than traditional commodity recycling. Instead, the focus is on environmental sensitivities.

Scott Miller, manager of environmental and legal affairs for Sims Metal, Richmond, Calif., discussed the company’s response to the development of the electronics recycling marketplace, echoing this variance with traditional commodity recycling.

In July 2002 Sims developed a fee-for-service program outlook that looks for opportunities in electronics recycling. The goal of the program is “to deliver technologically advanced, customer focused and cost effective end of life product solutions.”

Turchin suggested that electronics recycling requires marketing that is different from that of scrap metals recycling, stressing the services and the end-of-life management function provided.

He added that no hard and fast rule exists for the most pressing day-to-day question in electronics recycling: determining whether a computer or other electronic item is reusable or scrap. Turchin cautioned against dedicating too much time and labor to refurbishing and testing such items.

In regard to recoverable items, Turchin said, “Everything is usable. It’s just a question of how much money you can spend to find that market.”

Turchin said the current approach to electronics recycling is hampered by questions of liability and by public apathy. He added that he believes the electronics manufacturers should bear the responsibility associated with electronics recycling and that the European Union’s Waste Electrical and Electronic Equipment (WEEE) directive provides a positive role model for the future of electronics recycling.

The WEEE directive proposes environmentally beneficial changes in the production and disposal of electronic equipment within the European Union, from washing machines and televisions to computers and stereo equipment. The directive seeks to reduce pollution from the manufacturing process by eliminating certain hazardous materials and to reduce pollution created during disposal by increasing the degree of producer responsibility for recycling and reuse at the end of product life cycles.

Sims has been tracking opportunities created by changing regulations and legislation, Miller said. As a result, Sims built the first end-of-life facility for refrigerators in the U.K.

Currently, much of the focus regarding electronics recycling is on CRT (cathode ray tube)-containing devices, such as computer monitors. “I don’t know where the next generation of electronics recycling will be after CRTs,” Miller said.

“The e-waste covered by legislation dictates what is available for recycling,” he added. The legislation proposed in California is based on the WEEE directive, Miller said. The key component assigns the responsibility for program funding to the electronics producer. 

Miller says the WEEE directive sets forth a target of 75 percent recovery and 65 percent reuse by 2005. “They seem to be low numbers, but they are very hard to achieve,” he said.

He added that the marketplace for CRTs is very competitive, with people drawing materials from hundreds, if not thousands of miles. Prison labor and the export of CRTs are also impacting the market negatively.

“Those who want to get into the industry, please get motivated about prison labor,” he added. “It’s a very serious threat to this industry, ” Kevin McCarthy, director of electronics recycling for Waste Management’s Recycle American Alliance, San Leandro, Calif., said.

“We’re proud that we do this with people making real waste and in an environmentally friendly sort of way,” he said.

McCarthy offered a collector’s and processor’s perspective. Recycle America Alliance eCycling Services has a seven-year history with Waste Management. The division is headquartered in Phoenix, Ariz., and has facilities operating in five states with “service partner” operations, including Quicksilver Recycling Services and ElectroniCycle, in three states. 

Recycle America Alliance eCycling Services provides more than 70 collection depots throughout the country. Customers pay a fee to drop off their electronics at these locations.

Currently, McCarthy says, “We have to put people in parking lots to collect this material.” However, he hopes that curbside collection of electronics will catch on, as it is the “ultimate in consumer convenience.” Municipalities in California, Minnesota and New Hampshire currently employ programs that collect electronics curbside, he said.

Despite the increasing number of obsolete electronics, McCarthy said Recycle America Alliance is not seeing as much volume as one would expect. He also suggested that the public needs better education on how obsolete electronics are handled so consumers feel more comfortable paying recycling fees.

Brenda Mathison, environmental services retail facilities manager for Best Buy, outlined Best Buy’s resource management goal to provide positive, sustainable environmental stewardship. Best Buy’s goals include establishing a national program that is easy and convenient for its consumers and employees; shares the responsibility among consumers, government, manufacturers, retailers and recyclers; is environmentally sound; and is networked and sustainable.

Mathison said that the sustainability of Best Buys collection program depends on the company’s relationship with its suppliers and recyclers.

She claimed that Best Buy has increased awareness of electronics recycling using more than 15.1 million media impressions in more than 70 media outlets.

She acknowledged that while Best Buy has done a good job in building partnerships with its manufacturing vendors, such as HP, Samsung and Toshiba, recycling vendors are the “piece that has been missing. We realize that we need to bring more the to the table for you guys,” Mathison told attendees.

According to Best Buy’s figures, more than 500,000 pounds of electronics have been recovered for reuse or recycling thanks to its events. On average, customers brought in 90-pounds of electronics to collection events that they head about in newspaper or television ads.

Mathison added that “Customers are more than willing to pay $10 to $15 to recycle their products,” at these events.

However, she cited key challenges facing electronics recycling, including lack of consumer information on the importance of electronics recycling; the expense added by regulatory requirements and the lack of national regulatory relief; the expense associated with recycling logistics; and the development of manufacturing partnerships.

The ISRI annual convention took place April 9-12 at the Marriott World Center in Orlando.