OEM Compliance News - Fall 2016

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OEM COMPLIANCE NEWS FALL 2016 Sims Participates in Fifth Basel Convention ESM Expert Working Group Meeting

Attendees of the Basel Convention’s Environmentally Sound Management of Hazardous and Other Waste Expert Working Group July meeting in Bratislava, Slovakia.

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atricia Whiting, senior international policy analyst at Sims Recycling Solutions original equipment manufacturer (OEM) compliance team attended the fifth meeting of the Basel Convention’s Environmentally Sound Management (ESM) of Hazardous and Other Waste Expert Working Group (EWG) on July 13-15, 2016 in Bratislava, Slovakia. The meeting was hosted by the Basel Convention’s Central European Regional Centre for Training and Technology Transfer (BCRC-Slovakia) in collaboration with the Secretariat of the Basel, Rotterdam and Stockholm Convention and with financial assistance from the European Union and the Government of Switzerland. Comprised of various experts representing Basel Parties, academia, non-governmental organizations, and the private sector the EWG was established by the Basel Parties to promote environmentally-sound management, particularly in developing countries. During the meeting, the EWG: Finalized • A set of practical manuals on terminology; general policies and legislation; permits, licenses and authorization; and certification schemes. • Fact sheets on electric or electronic waste; end-of-life vehicles; waste lead vehicles; medical or health care waste; waste oils; and waste pneumatic tyres [tires]. Advanced Work on • Draft manuals on extended producer responsibility and finance. 1

• Development of an ESM internet portal and an e-learning ESM tool. • A checklist for self-assessment of national ESM capacity, which included evaluating information received from parties on national initiatives to promote ESM in the informal sector. Reviewed • The progress of current ESM pilot projects and the development of new pilot activities. Finally, the EWG developed a road map of activities that must be accomplished in advance of the sixth meeting of the expert working group in January 2017 and the 13th Conference of the Parties in May 2017. Sims Recycling Solutions’ involvement in the EWG provides us the opportunity to interface with global experts from all paradigms and enhance our knowledge not only of the issues surrounding ESM, and materials and waste management in general, but also of the people and cultures where we do business. Bratislava is the capital of Slovakia and its political, cultural and economic center. Sims wishes to thank the BCRC Slovakia and in particular, the Director, Dana Lapešová, for hosting this successful meeting. A profile of Ms. Lapešová and what her organization does was featured in a previous edition of this newsletter. For more details about the work of the ESM Expert Working Group, please contact us at [email protected].

Legislative Updates:

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ims Recycling Solutions continues to regularly track legislative and regulatory activity pertaining to electronics take-back laws around the world. The following outlines current activity across the United States. For information about legislative activity anywhere in the world, email us at [email protected]. NEW YORK October Stakeholder Meetings to Kick Off E-Waste Regulation Development To address ongoing implementation problems with the state’s Electronic Waste Recycling and Reuse Act, the New York State Department of Environmental Conservation is hosting several informational stakeholder workshops in October regarding proposed rulemaking. The meetings are described as “pre-proposal” workshops set up to exchange ideas and provide stakeholders with important information on the Department’s rulemaking developments and clarifications, based on experience gained since the Act’s 2011 implementation. Some Recommendations the Department may try to address, as noted in their January 2016 Implementation and Results Report to the Governor and Legislature, include: • Crafting standards for reuse, e-waste acceptance credits, waivers of recycling surcharges and acceptable alternative methods for determination of OEM sales data. • Announcing OEM recycling obligations prior to a program year’s start versus 4-6 months after. • Developing a means to bring all individual or collective OEM waste acceptance programs into compliance or enact stronger enforcement measures. • Requiring all OEMs that sell covered electronic equipment into the state to register versus only those that sell 1,000 units or more. • Determining how to better handle the lack of no-cost recycling opportunities for CRT devices. PENNSYLVANIA Local Groups Looking for Legislative Change in 2017 At the annual Professional Recyclers of Pennsylvania (PA) conference in July, representatives of the PA Recycling Markets Center and the Electronics Recycling Association of PA outlined ongoing implementation problems with the state’s Covered Device Recycling Act and discussion points for consideration in any new amendments introduced in 2017. Two representatives from the PA House Environmental Resources and Energy Committee also spoke at the conference and acknowledged that a sense of urgency for an amendment was apparent, but there was currently no consensus between stakeholders on a path forward. Three bills aimed at amending the Act have been introduced into the legislature this year, but it is doubtful there will be any movement on them before the end of the legislative session on November 30. Discussion points brought up for consideration for 2017 legislation included: • Establishing clearly defined implementation criteria for the Act and not allowing too much interpretation by the State. • Giving equitable collection and recycling access to all counties statewide (minimum of one site per county) and basing the statewide collection goal on previous year collection rates. • Implementation of a statewide plan where recycling services are bid out at a county level and payment for service is facilitated by the state. The state would dictate what OEMs have to pay for and set parameters for how collection can occur. OEM run plans would also be allowed if certain parameters are met. • The state exploring and/or allowing broader options for CRT recycling.

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• Implementation of a $.30 per device consumer fee to support state administrative costs and help establish collection sites. NEW JERSEY NJ Holds Stakeholder Meetings on Changes to Senate Bill 981 After a series fall stakeholder meetings, the N.J. Department of Environmental Protection presented its proposed amendments to Senate Bill 981 to the N.J Senate Environment and Energy Committee on October 13. The bill aims to address the significant drop in no-fee manufacturer sponsored collection sites across the state by transitioning N.J.’s Electronic Waste Management Act from a manufacturer-managed, market-driven collection and recycling system, to a state-run collection program. The Department’s amendments would do away with the state-run program concept and raise OEM collection standards by requiring that each county have one collection site available to all county residents and then one site for every 40,000 people. Requiring OEMs to cover all collection costs (including packaging) and possibly including the weight of consumer material from collection sites not covered under an OEM collection plan when setting annual collection goals were also discussed. OEM representatives at the meeting testified in favor of the Department’s amendments while county representatives were opposed. An identical version of the bill passed the legislature in 2015, but was pocket vetoed by the governor. It was reintroduced in February, passed the Senate and is awaiting delivery to the Assembly. Senator Robert Smith, co-author of the bill, said the committee would take the information and testimony provided and advise the Assembly how they would like to see the bill proceed. Bills introduced in 2016 can carry over into the 2017 legislative session and it is not clear if the bill (with or without amendments) will pass through the legislature prior to the start of the new program year. DISTRICT OF COLUMBIA Washington DC Publishes Proposed “eCycle DC” Rules and Hosts Listening Session The District of Columbia’s Department of Energy and Environment (DOEE) published proposed rules for implementation of its new electronics take back law, eCycle DC, on July 29 and hosted a listening session on September 7 to explain the proposed rules and field questions from OEMs and recyclers.

eCycle DC and the proposed rules require a wide array of electronic equipment manufacturers to collect and recycle 40 percent of their market share in weight of electronic waste generated in the District starting in 2017. While not clearly stated in the law or proposed rules, the DOEE said at the meeting that their interpretation of both documents requires OEM collection obligations to be based on total sales to all District businesses, non-profit organizations, governments, schools and residents. In turn, collection and recycling of equipment from the same entities would be required by OEMs acting individually or in a partnership and service would not necessarily have to be free. OEMs working together as a Representative Organization (required to host specific numbers of permanent collection sites or events) would have to provide free service, but only to small businesses, non-profits and residents. Many meeting attendees were surprised by the DOEE’s interpretation as it is not typically used in other state take back laws. Such laws are set up normally to service residents, small businesses and non-profits - entities without easy access or the financial means to recycling services. Large business and government agencies are typically required to handle their electronic waste as hazardous or recyclable per the federal Resource Conservation and Recovery Act (RCRA) and usually have some type of recycling service already set up. The DOEE accepted written comments on the proposed rules for a time after the meeting, but they did not state when revisions, if any, will be published. OEM registration and collection plans for 2017 are due December 31.

The OEM Compliance Team: Who We Are and What We Do

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ims Recycling Solutions’ original equipment manufacturer (OEM) Compliance Team was initially formed in 2008 to address the expanding recycling needs of electronics manufacturer customers affected by a maze of new U.S. take back laws. Since then the Team has evolved into a full-service management and consulting group equipped to address an array of consumer electronics manufacturer issues. Sims’ global footprint, in tandem with its internal operations, engineering and legislative expertise gives the Team the capacity to provide a consistent solution for all of a manufacturer’s recycling, IT asset management and/or legislative compliance needs anywhere in the world.

• Technical expertise and/or direct involvement with existing and developing international end-of-life management regulations and policy initiatives. Customized Technical Solutions • Testing for product recyclability under EPEAT standards. • Customized recycling platforms or solutions designed, built, installed and operated by an in-house engineering and design team. To learn more about our OEM Compliance Team services email us at [email protected].

A sampling of services the OEM Compliance Team offers include: Management • Development of cost-effective national, regional and local compliance solutions for electronics product take back and recycling laws. • Preparation and submittal (where allowed) of annual manufacturer registrations, plans and reports to regulatory authorities. • Review and payment of manufacturer registration fees, and collection and recycling fees incurred through state-run take back programs (where allowed). • Design, implementation and management of customer-tailored electronics collection systems (i.e. collection sites, events, mail-back options, retail returns). • Secure and transparent recycling at a Sims facility or Sims-audited subcontractor in accordance with third-party certified industry environmental, health and safety best practices. Consulting • Timely updates and consultation on relevant legislative and regulatory activity. • Facilitation of relationships with state, national and international regulators, trade associations and policy stakeholders.

Sims Raises Funds to Support Baton Rouge Flood Relief

Sims Recycling Solutions, in collaboration with Resource Recycling, helped manage and staff the collection of pledge forms to raise close to $5,000 for Together Baton Rouge at the September eScrap conference in New Orleans. Together Baton Rouge is an organization created to provide flood relief and assistance to the Baton Rouge community. Pictured are Andriana Kontovrakis and Patti Whiting of the OEM Compliance Team, and Steve Skurnac, Sims Recycling Solutions president.

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