W E & E Consulting 2012 June 2012 Managing Electronic Waste A toolkit for business

W E & E Consulting 2012 Introduction to W E & E Consulting Jeff Weeks - 17 years of WEEE experience Consultancy services provided for all sectors Main focus – Waste, Resource Management, Strategy & Business improvement

W E & E Consulting 2012 WEBINAR Agenda Hosted by E WASTE 2012 TO 2014 NEXT STEPS – CHALLENGES versus EXPECTATION WEEE TOOLKIT - STAY ONE STEP AHEAD IMPLEMENTING CHANGE The Global Community for Sustainable Business AGENDA

E WASTE 2012 TO 2014 W E & E Consulting 2012 Review of WEEE Legislation UK REGULATIONS WEEE RECAST ELECTRONIC WASTE

Review of WEEE Legislation W E & E Consulting 2012 First drafted in the early 90’s Originally 15 member states Previously included more emphasis on ROHS & Eco Design Explanatory memorandum key WEEE predicted to increase at a rate of 5% per year ELECTRONIC WASTE

Review of WEEE Legislation W E & E Consulting 2012 Extract from the FIRST DRAFT of the EC WEEE Directive PROPOSAL FOR A DIRECTIVE ON WASTE FROM ELECTRICAL AND ELECTRONIC EQUIPMENT Article 1 Objectives This Directive lays down measures which aim, as a first priority, at the prevention of waste from end of life electrical and electronic equipment and, in addition, at the re-use and recycling of end of life electrical and electronic equipment as well as the environmentally sound treatment of this equipment so as to reduce the quantity and harmfulness of waste destined for final disposal ELECTRONIC WASTE Extract from the WEEE Directive /96/EC Article 1 Objectives The purpose of this Directive is, as a first priority, the prevention of waste electrical and electronic equipment (WEEE), and in addition, the reuse, recycling and other forms of recovery of such wastes so as to reduce the disposal of waste. It also seeks to improve the environmental performance of all operators involved in the life cycle of electrical and electronic equipment, e.g. producers, distributors and consumers and in particular those operators directly involved in the treatment of waste electrical and electronic equipment.

Review of WEEE Legislation W E & E Consulting 2012 ELECTRONIC WASTE WEEE Recast 2012 More focus on Resource use & efficiency Sustainable Development Standards

Review of WEEE Legislation W E & E Consulting 2012 Now 27 Member States Complex negotiations Worldwide concerns India - a new e-waste law (into effect 1 st May 2012) E –Waste continues as a growing problem Crime, resource recovery & global trade – new focus Many differing solutions WEEE Directives 2002/96/EC & 2003/108/EC ELECTRONIC WASTE

UK REGULATIONS W E & E Consulting 2012 Implemented in 2007 Collective Producer Responsibility Multi Compliance Scheme approach Main focus on B2C WEEE Minimal amounts of B2B WEEE recorded UK meets targets as set out in the legislation BUT – Can achieve more High costs are a concern Call for evidence from Schemes & Recyclers evidence?cat=open Consultation next year – opportunities to improve the UK system WEEE Collected / inhabitant EC Target 7.9kg4kg ELECTRONIC WASTE Year / period Placed on the market Received at AATF’s 2012 / Q1 255,398 tonnes 124,381 tonnes Household WEEE EA Data – June 2012

WEEE RECAST W E & E Consulting 2012 Recast text agreed in January 2012 Approved by the Council of Ministers on the 7 th June Main changes Increase in the amount of WEEE to be collected Greater responsibility for retail outlets (>400sqm) More encouragement for Eco Design European Standards for Treatment Tighter controls on exports Quote from the European Environment Commissioner ‘’85% of WEEE recycled in 2020, 20kg per person’’ What’s missing? Targets for resource efficiencies & recovery of Critical Raw Materials ELECTRONIC WASTE YearAction 2012Directive likely to be published in OJ Up to 18 months later Directive to be implemented 2016Collect 45 tonnes for every 100 tonnes placed on the market 2019Collect 65 tonnes for every 100 tonnes placed on the market

OTHER ISSUES TO BE RESOLVED W E & E Consulting 2012 WEEE COMPLIANCE – How to improve & meet targets WEEE EXPORTS – Crime reduction Several intelligence led operations in progress Too many opportunists still trying to gain AE approval RE USE – Defining ‘fit for re use’ & the benefits of PAS 141 UNIFORM TREATMENT STANDARDS – Urgently required ELECTRONIC WASTE

OTHER ISSUES TO BE RESOLVED W E & E Consulting 2012 SUPPLY CHAIN MANAGEMENT – Engagement Partnerships and shared responsibilities If it can be achieved for plastic bottles – why not for WEEE? ACCESS TO INFORMATION – What is missing? Address the supply of product data (Article 11) CONTROLLING LEAKAGE – B2B & B2C WEEE Improve enforcement / ownership of WEEE / Shared responsibilities ELECTRONIC WASTE In order to facilitate the reuse and the correct and environmentally sound treatment of WEEE, including maintenance, upgrade, refurbishment and recycling, Member States shall take the necessary measures to ensure that producers provide reuse and treatment information for each type of new EEE put on the market within one year after the equipment is put on the market. This information shall identify, as far as it is needed by reuse centres, treatment and recycling facilities in order to comply with the provisions of this Directive, the different EEE components and materials, as well as the location of dangerous substances and preparations in EEE. It shall be made available to reuse centres, treatment and recycling facilities by producers of EEE in the form of manuals or by mean of electronic media (e.g. CD-ROM, online services).

OTHER ISSUES TO BE RESOLVED W E & E Consulting 2012 Implementing Individual Producer Responsibility (IPR) CAP - Change Acceleration Process Audit & Enforcement Process – key to delivering results DMAIC - Define, Measure, Analyse, Improve & Control ELECTRONIC WASTE

NEXT STEPS – CHALLENGES versus EXPECTATION W E & E Consulting 2012 CHALLENGES versus EXPECTATION

IMPROVING THE UK WEEE System W E & E Consulting 2012 MANAGING EXPECTATION – Customers, brands & the regulator CRITICAL RAW MATERIALS – Key concerns & actions (from WRAP research & the DEFRA / BIS Resource Security Action Plan) CHALLENGES versus EXPECTATION

IMPROVING THE UK WEEE System W E & E Consulting 2012 STANDARDS – Progress in the EU & UK WEEELABEX Draft Standards (Collection, logistics & treatment of WEEE) DEFRA Waste Policy Review BSI / BIS Waste Standardization Roadmap WEEE regarded as being too complex Or is it just a challenge waiting to be tackled? CHALLENGES versus EXPECTATION

IMPROVING THE UK WEEE System W E & E Consulting 2012 MATERIAL SEPARATION & SORTING TECHNOLOGIES – Stimulating increased demand for higher quality & exposure of benefits PARTNERING – Producer / Recycler relationships CHALLENGES versus EXPECTATION

WEEE TOOLKIT – Stay one step ahead W E & E Consulting 2012 WEEE Toolkit Many more available…. Experience Targets & stretch targets Standards Sustainable Business Commitment Technology Knowledge Training Research & data Fully assured compliance Investors & partners Cost & Quality focus Expertise Business improvement Management tools Model approach Audits & continuous improvement CAP LEAN

Application of Management Tools W E & E Consulting 2012 SUSTAINABILITY approach during the NPI Process WEEE by DESIGN – (Design for recycling / Design for disassembly / Resource Management / Design for life) etc… WEEE DEFINITION, MEASUREMENT & MANAGEMENT – what can standards offer? VERIFICATION VALIDATION WEEE ANALYSIS AND FEEDBACK – Trials to uncover opportunity WEEE Toolkit

Attention to detail W E & E Consulting 2012 CONTINUOUS IMPROVEMENTS & STRETCH TARGETS – QA / EMS How far are you prepared to commit? COMPLIANCE, ENFORCEMENT & CONTROL – Regulator actions versus self-regulation Does this present an opportunity under the Red Tape challenge? DUE DILLIGENCE – Investor support mechanisms “Eternity Capital is seeking to invest between £5m to £15m in individual waste projects” WEEE Toolkit

Attention to detail W E & E Consulting 2012 TRAINING WEEE is a complex waste stream to manage Ensure your people are regularly trained Cutting corners leads to non-compliance & puts the business at risk In the eyes of the law, individuals may also be liable Court action and fines = loss of business WEEE Toolkit

Managing WEEE & Implementing Change W E & E Consulting 2012 Managing WEEE BIS WEEE GuidanceEA WEEE Guidance WEEE EvidenceDuty of Care WEEE ProtocolsWEEE Sampling plan WEEE ExemptionsWEEE Guidance for PCS’s WEEE AmendmentsTreatment Guidance – BATRRT AATF ApprovalsHazardous wastes AE ApprovalsBroadly Equivalent guidance Audit ProtocolsDCF Guidance WEEE ReturnsCorrespondence guidance Complex set of guidance to Manage in addition to commercial arrangements

Managing WEEE W E & E Consulting 2012 INTRODUCTION TO LEAN A new approach for WEEE Businesses 5 Key areas Total Flow Management Total Productive Maintenance Total Quality Management Total Service Management Total Change Management People, processes, inputs & outputs Managing WEEE

W E & E Consulting 2012 INTRODUCTION TO LEAN A new approach for WEEE Businesses 5 Key principles Specify value from the point of view of the customer Identify the value stream Flow – make value flow Pull - respond to the customer’s rate of demand Perfection - produce exactly what the customer wants Managing WEEE

W E & E Consulting 2012 INTRODUCTION TO LEAN A new approach for WEEE Businesses Potential benefits Greater understanding of the customer’s needs Value stream is mapped – whole supply chain understood Focus on value add Reduce forecast uncertainty Minimise waste (e.g. inappropriate handling or processing) Managing WEEE

W E & E Consulting 2012 Driving Improvement CAP for WEEE – How to manage change & drive down costs Implementing change

W E & E Consulting 2012 Driving Improvement CAP for WEEE – How to manage change & drive down costs Product Take-back Service returns Procurement & supply chain Product Design Financial rewards = year on year WEEE costs reduced Requires commitment from the board Implementing change

Summary W E & E Consulting 2012 Many challenges ahead, prepare for change Several management tools available Critical to drive down costs & Improve efficiencies Opportunities to recover more value from WEEE Engagement & partnerships Standards New Approaches Toolkit essential Managing Electronic Waste - Summary

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