WR3A Offers SB20 Advice

A trade group representing companies that export used, working computer equipment says California’s new system has done a commendable job eliminating “junk” electronics exports to Asia, but unfortunately the system has also destroyed millions of perfectly working units that could have been exported.

The World Reuse, Repair and Recycling Association (WR3A), Middlebury, Vt., says California’s SB20 law has eliminated the incentive to send junk cathode ray tubes (CRTs) as “toxics along for the ride.” Such shipments have led to the unsafe and environmentally damaging dismantling of CRT units in parts of China.

However, SB20 is also leading to good monitors, under five years old, in California being smashed for subsidies created by California’s SB20 rather than being exported for an extended life overseas.

WR3A is proposing a more efficient system, allowing reuse without abusing the export market. Robin Ingenthron, WR3A president, gave comments to the California Integrated Waste Management Board in May, requesting that SB20 processors be allowed to meet the WR3A’s purchase orders for good, working CRT tubes.

WR3A complimented SB20 for creating a “top shelf” niche of regulated e-waste companies, who have no excuse to send junk CRTs mixed in with legitimate reuse items. Unfortunately, the SB20 regulations cause good CRTs to be ruined before going back to the monitor factory.

The “cancellation” clause in SB20 costs Californians millions of dollars. The legitimate purpose of “cancellation” is to make sure the same monitor will not be redeemed twice in state for deposit.

WR3A presented state officials with a plan to allow used tubes to be remade into new monitors, through a manufacturer take-back program. There is no risk of over-redemption, since the monitors are rebuilt at the same factories as new monitors. The program requires that one key component of the CRT – the vacuum seal – be kept intact.

Unfortunately, CIWMB regulations specifically require California processors to break that vacuum seal, as opposed to testing the CRT to manufacturer specifications, or requiring that circuit board be removed, as required by environmental groups (BAN and SVTC), according to WR3A.

If the California recycler does not spoil the CRT, they must refund collector costs out of pocket. Easier to break the seal, and bill the state. WR3A estimates each broken seal costs California recyclers $10. This represents a loss of $1 million per month.

Another bad outcome arises from market corrections to the “supply vacuum.” To meet their requirements (estimated at 80,000 used CRTs per month), the Asian factories must buy from less reputable “recyclers,” WR3A contends. Worse yet, the monitor makers may mine Asian forests for more lead.

“California regulations take good monitors and break them prior to export,” says Ingenthron. “It increases mining, tilts the market to 'bad' exporters, and costs California millions.” Fair and open trade is better policy, he says.

Meeting legitimate demand with fair trade of inspected product is the best way to drive lowball exporters out of business, WR3A maintains. California is in a position to do that, by re-interpreting its cancellation subsidy, says Ingenthron.