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Connecticut Department of Energy and Environmental Protection

2016 R3 Tom Metzner

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Page 1: 2016 R3 Tom Metzner

Connecticut Department ofEnergy and Environmental Protection

Page 2: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental Protection

Tires and the Benefits of Extended Producer Responsibility

March 29, 2016Tom MetznerMassRecycle R3 Conference, Quincy, Massachusetts

Page 3: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Current Northeast Market Situation for Tires• Most go to pulp mills in Maine for tire derived fuel

(prices paid for processed tires are way down)• Some crumb rubber (CRM in Albany)• Minimal product recycling • No long term contracts for CT processors• MA contracts more secure• Competition for existing tire capacity is

geographically large (Michigan sending tires to Maine)

Page 4: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Scrap Tire Management Options • Market Based – CT, VT, MA, 14 other states– Generator pays the market rate for disposal options

• State Run – 33 states– State operated program– License haulers– Financed by fee on the sale of tires or vehicle

registrations • EPR – no US states– Manufacturers assume financial responsibility for

managing scrap tires

Page 5: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Stockpiling versus Illegal Dumping

Example of Illegal Stockpiling, North Haven CT Tire Pond

Example of Illegal Dumping, Off I-95, Westport

Page 6: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Impact on Illegal Dumping • EPR – Virtual elimination of illegal

dumping in Ontario and British Columbia attributed to the EPR program

– Eliminating the tipping fee eliminates the primary reason for illegal dumping

Page 7: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Impact on Illegal Dumping

• State Run Program – Minimal impact on illegal dumping through

amnesty days– Designed to pay for cleanup of stockpiles, not

current illegal dumping• Market Based– No effect on illegal dumping and may encourage it

because illegal dumping is related to higher tipping fees. Higher fees means more illegal dumping

Page 8: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Private Sector Job Creation • EPR– Encourages recycling which

creates more jobs than incineration

– 200 jobs created in Ontario (TDF prohibited)

– 50 – 100 jobs projected for CT– Sends signal to investors that

recycling will have a level playing field with incineration

Page 9: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Private Sector Job Creation• State Run Program – While many state run programs invest in market

development, few jobs are actually created because of cheaper disposal options

• Market Based– TDF is the cheapest disposal so few recycling jobs

created– TDF keeps recycling investment on the sidelines

Page 10: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Impact on Recycling • EPR – Limits or prohibits TDF

which increases recycling

– Greater environmental benefits from recycling • Greenhouse gas

emissions• Energy use• acidification

Tom Metzner
Franklin Associates, 2010
Page 11: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Impact on Recycling

• State Run Program– Minimal through procurement, grants, assistance– Not able to create demand for products

• Market based– Favors cheapest disposal option which is TDF– TDF plants will describe their operations as

recycling, or seek renewable energy credits

Page 12: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Program Costs• EPR– Ontario charges $2.65 (US

dollars) per passenger tire, more for larger tires

– BC charges $3.85 per passenger tire

– Low administration cost - 6% (Ontario)

Tom Metzner
OTS budget
Tom Metzner
http://rethinktires.ca/2014-expenditure-breakdown-updated-november-2015/#sthash.F1vAx2BH.dpbs
Page 13: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

Summary• EPR as a scrap tire

management strategy– Eliminates illegal dumping– Creates private sector jobs– Promotes recycling with all

the benefits associated– Comparable in price to

other management options when including disposal costs

Page 14: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental ProtectionConnecticut Department of Energy and Environmental Protection

For More Information

• Ontario Tire Stewardship • British Columbia Tire Stewardship• Long Term Management Options for Scrap Tire

s Generated in Connecticut final 2-17-16.pdf

Page 15: 2016 R3 Tom Metzner

Connecticut Department of Energy and Environmental Protection

Contact Information

Tom Metzner

Email – [email protected]

Phone – (860) 424-3242