cip eco-innovation agreement number - eco/08/239011/si2 ... · project funded by the executive...

Project funded by the Executive Agency for Competitiveness and Innovation (2009-2011)

Dissemination level

PU Public

PP Restricted to other programme participants (including the Commission Services)

RE Restricted to a group specified by the consortium (including the Commission Services)

CO Confidential, only for members of the consortium (including the Commission Services) X

CIP Eco-innovation

Pilot and market replication projects

Call 2008

Agreement Number - ECO/08/239011/SI2.535202

RECTYRE

USED TYRES VALORISATION AS LIGHTWEIGHT FILLER FOR EMBANKMENTS

D 4.1. Analysis of EU Scenarios

Due date : 28/02/2011

Actual submission date : 07/03/2011

Start date of the project: 01/06/2009 Duration: 36 months

Lead contractor for this deliverable: D'APPOLONIA

Revision: 0

RECTYRE Deliverable 4.1

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Deliverable Administration & Summary RECTYRE D 4.1

No & name D4.1: Analysis of EU Scenarios

Status Final Due 28/02/2011 Date 07/03/2011

Author(s) Valeria Ferrando, Marta Muggianu, Alessandra Monero

Editor Valeria Ferrando

Document history

Version Date Editor Description

v0 21/02/2011 Valeria Ferrando 1st draft version

v1 07/03/2011 Valeria Ferrando Final document

Disclaimer

The information in this document is provided as is and no guarantee or warranty is given that

the information is fit for any particular purpose. The user thereof uses the information at its sole

risk and liability.

The document reflects only the author’s views and the Community is not liable for any use that

may be made of the information contained therein.


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TABLE OF CONTENTS

1. INTRODUCTION ....................................................................................................................................14

2. EUROPEAN SCENARIO ANALYSIS ................................................................................................15

2.1 European legislation regarding the management of end-of-life tyres ..........................................15

2.2 European data regarding end-of-life tyres management applications and related flows ..........16

3. Country-specific scenarios analyses..........................................................................................................18

3.1 Italy .........................................................................................................................................................18

3.1.1 National practices for the management of end-of-life tyres ..................................................18

3.1.2 Characterisation of the Acceptor Market..................................................................................25

3.2 France.....................................................................................................................................................32



3.3 Belgium ..................................................................................................................................................44



3.4 Luxembourg ..........................................................................................................................................54



3.5 Greece ....................................................................................................................................................60



3.6 Germany.................................................................................................................................................70



3.7 Austria ....................................................................................................................................................78



3.8 The Maltese Islands..............................................................................................................................86



3.9 The Netherlands ...................................................................................................................................93




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3.10 The Czech Republic........................................................................................................................ 102

3.10.1 National practices for the management of end-of-life tyres............................................. 102

3.10.2 Characterisation of the Acceptor Market ............................................................................ 106

3.11 Poland................................................................................................................................................ 111



3.12 Portugal ............................................................................................................................................. 121



3.13 United Kingdom.............................................................................................................................. 134



3.14 Ireland ............................................................................................................................................... 144



3.15 Slovenia ............................................................................................................................................. 152



3.16 Finland .............................................................................................................................................. 162



3.17 Sweden .............................................................................................................................................. 170



3.18 Cyprus ............................................................................................................................................... 179



3.19 Hungary............................................................................................................................................. 184



3.20 Bulgaria.............................................................................................................................................. 196



3.21 Romania ............................................................................................................................................ 205




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3.22 Denmark ........................................................................................................................................... 215



3.23 Latvia ................................................................................................................................................. 220



3.24 Lithuania ........................................................................................................................................... 228



3.25 Estonia .............................................................................................................................................. 235



4. identification of barriers and opportunities ......................................................................................... 242

4.1 Potential barriers to market entry ................................................................................................... 242

4.2 Potential opportunities and Evaluation criteria ............................................................................ 245

5. Conclusions ............................................................................................................................................... 247


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LIST OF FIGURES

Figure 1: ELT waste-life scenario template (from ETRMA, 2009).........................................................15

Figure 2: Recovery options in EU27 (ETRMA).........................................................................................17

Figure 3: ELTs management in Italy : key actors.......................................................................................20

Figure 4: ELTs uses in Italy (Source: Ecopneus) .......................................................................................22

Figure 5: Total freight traffic in Italy for 2007 (ton-km) (Source Ministry of Transport and Infrastructures).................................................................................................................................................28

Figure 6: Total passenger traffic in Italy for 2007 (pass/km)(Source Ministry of Transport and Infrastructures).................................................................................................................................................28

Figure 7: Italian territory.................................................................................................................................29

Figure 8: ELTs management in France........................................................................................................34

Figure 9: ELTs uses in France (Source: Aliapur)........................................................................................37

Figure 10: Total freight transportation in France for 2009 by mode (Gton-km) (Source Ministry Sustainable development)...............................................................................................................................42

Figure 11: Total passenger traffic in France for 2009 by mode ( pass/km) (Source Ministry Sustainable development)...............................................................................................................................42

Figure 12: ELTs uses in Belgium (Source: Recytyre annual report 2009) ..............................................47

Figure 13: Evolution of Belgian transportation network (railways, roads and water) from 1970 to 2007....................................................................................................................................................................51

Figure 14: Total passenger and freight traffic in Belgium for 2006 (Source UNECE).......................52

Figure 15: The recycling operations of tyres and rubber (2005) in Luxembourg .................................56

Figure 16: Luxembourg Public Investment in transport infrastructure by mode: 2000-2006 (Total investment of the period: €1,024 M) ............................................................................................................57

Figure 17: Freight transport by mode (2008) in Luxembourg .................................................................58

Figure 18:Passenger transport by mode (2008) in Luxembourg..............................................................59

Figure 20: Budget of Ecoelastika in 2007....................................................................................................62

Figure 21: ELTs uses in Greece in 2007 (Source: Ecoelastika)................................................................63

Figure 22: Existing and planned projects for new highways in Greece..................................................66

Figure 23: Total freight transportation in Greece for 2007 by mode (ton/km) (Source Eurostat) ...66

Figure 24: Total passenger traffic in Greece for 2007 by mode ( pass/km) (Source Eurostat) .........67

Figure 25: ELTs uses in Germany (Source: ETRMA report 2008).........................................................72

Figure 26: Total freight traffic in Germany by transportation mode in 2007 (Source Eurostat) ......75

Figure 27: Total passenger traffic in Germany for 2006 by mode ( pass/km) (Source Eurostat)......75

Figure 28: ELTs uses in Austria (Source: ETRMA) ..................................................................................80

Figure 29: Austrian Federal Road network..................................................................................................83

Figure 30: Total freight traffic in Austria by transportation mode in 2007 (Source Eurostat) ...........83


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Figure 31: Total passenger traffic in Austria for 2006 by mode ( pass/km) (Source Eurostat) .........83

Figure 32: Maltese Public Investment in transport infrastructure by 2000-06 (Total investment) ....90

Figure 33: Final applications for used tyres (2009) in the Netherlands ..................................................98

Figure 34: Freight Transport split by mode (2009) in the Netherlands............................................... 101

Figure 36: Statistics on the recovery application of used tyres (2007) in Czech Republic................ 105

Figure 37: Location of the sites for the recovery of used tyres in Czech Republic ........................... 105

Figure 38: Czech investments in Transport infrastructure by mode.................................................... 107

Figure 39: Freight Transport split by mode (2009) in Czech Republic ............................................... 109

Figure 41: Scheme of tyres disposal in Poland ........................................................................................ 112

Figure 42: Development of infrastructure in Poland.............................................................................. 116

Figure 43:Progress in construction of motorways in Poland as of 1 November 2010 ..................... 117

Figure 44: Total freight traffic in Poland by transportation mode in 2007 (Source Eurostat) ....... 118

Figure 45: Total passenger traffic in Poland for 2006 by mode ( pass/km) (Source Eurostat)....... 119

Figure 46: Used tyres flow in Portugal (Source Valorpneu website).................................................... 122

Figure 47: Valorpneu activities ................................................................................................................... 124

Figure 48: ELTs uses in Portugal for 2009 (Source: Valorpneu).......................................................... 125

Figure 49: Total freight traffic in Portugal by transportation mode in 2007 (Source Eurostat)...... 131

Figure 50: Total passengers traffic in Portugal for 2006 by mode (pass/km) (Source Eurostat).... 131

Figure 51: ELTs uses in UK ...................................................................................................................... 137

Figure 52: Capital projects planned by the National Infrastructure plan 2010 .................................. 139

Figure 53: Total freight transportation in UK for 2007 by mode (ton/km) (Source Eurostat) ...... 140

Figure 54: Total passenger traffic in UK for 2007 by mode ( pass/km) (Source Eurostat) ............ 141

Figure 55: Irish public investment in transport infrastructure by mode: 2000-2006 (total investment)......................................................................................................................................................................... 148

Figure 56: Total freight transportation in Ireland for 2007 by mode (Gton/km) (Source Eurostat)......................................................................................................................................................................... 149

Figure 57: Total passenger traffic in Ireland for 2007 by mode (pass/km) (Source Eurostat)........ 150

Figure 58: Quantity of end-of-life tyres collected and delivered for recovery (number of collected and recovered ELTs (tons) ......................................................................................................................... 154

Figure 59: Total freight transportation in Slovenia for 2007 by mode (Gton/km) (Source Eurostat)......................................................................................................................................................................... 159

Figure 60: Tyres recycling in Finland in the last three years in tons(source: Suomen Rengaskierrätys Ltd, quantities processed by North Re-tyre Ltd are not included )...................................................... 164

Figure 61: Finland's public investments in transport infrastructure by mode between 2000 and 2006 (source: Finnish Centre of Statistics)......................................................................................................... 166

Figure 62: Total freight transportation in Finland for 2007 by mode (ton/km) (Source Eurostat) 167

Figure 63: Total passenger traffic in Finland for 2007 by mode (pass/km) (Source Eurostat)....... 168


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Figure 64: Sweden public investments in transport infrastructure by mode between 2000 and 2006 (source: Swedish Centre of Statistics)........................................................................................................ 175

Figure 65: Total freight transportation in Sweden for 2007 by mode (ton/km) (Source Eurostat)177

Figure 66: Total passenger traffic in Sweden for 2007 by mode (pass/km) (Source Eurostat)....... 177

Figure 67: Collection network of OKU-GUM Ltd (Hungary) ............................................................. 186

Figure 68: ELTs’ management of HUREC Ltd (Hungary) ................................................................... 187

Figure 69: ELTs’ management of OKO–GUM Ltd (Hungary) ........................................................... 188

Figure 70: Total recovery rate and OKO-GUM Ltd performance (Hungary)................................... 189

Figure 71: Final Applications of used tyres in Hungary......................................................................... 190

Figure 72: InfrastructureInvestment by mode (2008) in Hungary ....................................................... 192

Figure 73: The road network in Hungary ................................................................................................. 193

Figure 74: Freight transport by mode (2007) in Hungary...................................................................... 194

Figure 76: Infrastructure Investment by mode (2007) in Bulgaria ....................................................... 201

Figure 77: Freight transport by mode (2009) in Bulgaria....................................................................... 203

Figure 78: Density of population in Bulgaria........................................................................................... 204

Figure 79: Collection network of Eco – Anvelope Ltd (Romania) ...................................................... 207

Figure 80: ELTs’ management of Eco –Anvelope (Romania).............................................................. 208

Figure 81: Applications of the used tyres in Romania............................................................................ 209

Figure 82: The road network in Romania................................................................................................. 212

Figure 83: Freight transport by mode (2009) in Romania ..................................................................... 213

Figure 85: Denmark's public investments in transport infrastructure by mode between 2000 and 2006 (source: Statistics Denmark).............................................................................................................. 217

Figure 86: Freight transportation in Denmark in 2009. ......................................................................... 218

Figure 87: Passenger transportation in Denmark in 2009...................................................................... 218

Figure 88: Actors of the tyres management system in Latvia................................................................ 222

Figure 89: Progress in construction of motorways around capitol of Latvia ..................................... 225

Figure 90: Modal split for freight transportation in Latvia .................................................................... 226

Figure 91: Passenger transport by mode in Latvia .................................................................................. 226

Figure 92: ELTs uses in Lithuania ............................................................................................................. 229

Figure 93: Lithuanian public investments in transport infrastructure by mode between 2004 and 2006 (source: Lithuania Ministry od Transport and Communication) ................................................ 231

Figure 94: Major highways in Lithuania.................................................................................................... 232

Figure 95: Modal split for freight transportation in Lithuania .............................................................. 233

Figure 96: Passenger transport by mode in Lithuania ............................................................................ 233

Figure 97: ELTs uses in Estonia ................................................................................................................ 236

Figure 98: Estonia's public investments in transport infrastructure by mode between 2000 and 2006 (source: Estonian transport Development and Investments Department)......................................... 238


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Figure 99: Modal split for freight transport in Estonia (Eurostat) ....................................................... 240


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LIST OF TABLES

Table 1: Costs involved in the collection/treatment of ELTs .................................................................23

Table 2: Categories and costs of major contracts assigned in 2007. Only major infrastructures have been reported. (Source: National Authority for the supervision of public contracts and services)...25

Table 3: Italian road network, 1998-2007 (Source: Ministry of Infrastructures)...................................26

Table 4: Italian railways network, 2000-2007 (Source: RFI group) .........................................................27

Table 5: List of major contractors of transport infrastructure works (Source: ANAS website, companies websites)........................................................................................................................................29

Table 6: Environmental contribution for 2010 for the different type of tyres......................................38

Table 7: Investments in transport infrastructures in billion euros. (Source: Service de l’observation et des statistiques of the French Ministry of Sustainable development).................................................40

Table 8: French road network in km, 1980-2009 (Source: Ministry of Sustainable Development)...41

Table 9: French railways network, 2000-2009 (Source: Ministry of Sustainable Development) ........41

Table 11: Environmental contribution for 2009 for the different type of tyres ...................................48

Table 12: List of major contractors of transport infrastructure works (source: regional construction confederations websites) ................................................................................................................................52

Table 13: Rubber and tyres collected (Tonnes) from 2000 and 2005 in Luxembourg ........................55

Table 14: Luxembourg public funding (€M)...............................................................................................57

Table 15: Total road network (Km)_Year (2001-2009) in Luxembourg................................................58

Table 16:Total Operative Rail networks_Year (2001-2009) in Luxembourg ........................................58

Table 17: National and International Freight traffic (thousand of tonnes)_Year (2004-2009) in Luxembourg .....................................................................................................................................................58

Table 18: Classification of tyres in Greece ..................................................................................................61

Table 19: Environmental contribution for the different type of tyres. Tyres exceeding 1.400 mm diameter are not subject to environmental contribution...........................................................................64

Table 20: List of major contractors of transport infrastructure works (Source: companies websites)............................................................................................................................................................................68

Table 21: List of major contractors of transport infrastructure works in Germany.............................76

Table 22: List of major contractors of transport infrastructure works in Austria ................................84

Table 23: Amount of used tyres collected in the Maltese Islands ...........................................................88

Table 24: Investment in Transport Infrastructure (2000 -2006) in the Maltese Islands ......................89

Table 25: Extension in kms of road network in Malta (1995-2005) .......................................................91

Table 26: Maltese population by region (2009)...........................................................................................92

Table 27:Number of enterprises in then construction field (2001-2009) in the Maltese Islands .......92

Table 28: Number of collected tyres (from 2004 to 2009) in the Netherlands .....................................96

Table 29: Fees for taking back tyres located in Stockpiles in the Netherlands......................................96


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Table 30: Final applications for used tyres (percentage variation from 2004 to 2009) in the Netherlands ......................................................................................................................................................97

Table 31: Dutch public funding (million euro) for transport infrastructure..........................................99

Table 32: Road Network (Km)_year (2001-2008) in the Netherlands ...................................................99

Table 33: Railways Network (Km) _year (2001-2008) in the Netherlands ......................................... 100

Table 34: National and International Freight Transport (Thousands of tonnes) _year (2003-2009) in the Netherlands............................................................................................................................................. 100

Table 35: Freight Transport (Million of tonnes/Km) _year (2001-2009) in the Netherlands......... 100

Table 36: Passenger Transport (million passenger/km) _year (2003-2009) in the Netherlands ..... 101

Table 37: Statistics on the production and collection of used tyres (2002-2007) in Czech Republic......................................................................................................................................................................... 104

Table 38: Czech public funding (million euro) for transport infrastructure ....................................... 107

Table 39: Road Network (Km)_year (2001-2008) in Czech Republic ................................................. 107

Table 40: Railways Network (Km) _year (2001-2008) in the Czech Republic ................................... 108

Table 41: National and International Freight Transport (Thousands of tonnes) _year (2003-2009) in Czech Republic ............................................................................................................................................. 108

Table 42: Freight Transport (Million of tonnes/Km) _year (2001-2009) in Czech Republic ......... 108

Table 43: Passenger Transport (million passenger/km) _year (2003-2009) in Czech Republic...... 109

Table 44: Binding levels of recovery and recycling of tyres in Poland ................................................ 114

Table 45: Plan of construction of motorways and express roads in the years 2008 – 2013 (according to the General Directorate for National Roads and Motorways)......................................................... 116

Table 46: Motorways in Poland as of 1 November 2010....................................................................... 118

Table 47: Eco-value since January 2009 for the different type of tyres............................................... 126

Table 48: National funding (budget allocation) by mode of transport, 1994-2004 (M€) ................. 127

Table 49: Breakdown by sub-sector and type of fund, 1994-2004 (M€) ............................................. 128

Table 50: Priority Infrastructure Investments Program, public and private budgets for priority projects (mln €) (Source: PIIP Report) ..................................................................................................... 129

Table 51: Length of road network in Portugal (1995-2004) in km (Source: Portuguese Statistical Office (INE), NOTE: in 1999 part of the highways were relabelled into regional roads)............... 130

Table 52: List of major contractors of transport infrastructure works in Portugal ........................... 132

Table 53: List of major contractors of transport infrastructure works (Source: companies websites)......................................................................................................................................................................... 141

Table 54: Investment In Transport Infrastructure By Source Of Funding: 2000-2006.................... 148

Table 55: List of major contractors of transport infrastructure works in Portugal ........................... 150

Table 56: National funding (budget allocation) by mode of transport, 2001-2004 (M€) ................. 156

Table 57: Investment in transport infrastructure (million euros) by source of Funding between 2004 and 2006......................................................................................................................................................... 157

Table 58: Slovenian motorways network length (Source: DARS)........................................................ 158


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Table 61: Recycling fee updated to 2009 (Source SDAB) ..................................................................... 173

Table 62: Investment proposal from the Transport Policy for sustainable development between 2004 and 2015. .............................................................................................................................................. 175

Table 63: Project road construction in Sweden....................................................................................... 175

Table 64: Investment in transport infrastructure by source of funding between 2000 and 2006 (Source Statistical services of the Republic of Cyprus) .......................................................................... 181

Table 65: Investment in transport infrastructure by source of funding (2000-2006) in Hungary... 191

Table 66: Lenghts of the road network (Km)_year (2001-2007) in Hungary..................................... 192

Table 67: Lenghts of the rail network (km)_year (2001-2007) in Hungary......................................... 193

Table 68: National and international Freight Transport (Thousand of tonnes)_year (2003-2009) in Hungary.......................................................................................................................................................... 194

Table 69: National and international Freight Transport_year (2003-2009) in Hungary ................... 194

Table 70: Passenger Transport (million passenger/km) _year (2003-2009) in Hungary .................. 194

Table 71: Processing facilities/end users of ECOGUMI Ltd (Bulgaria)............................................. 197

Table 72: Comparison between state product fee and memership fee to ECOGUMI Ltd (Romania)......................................................................................................................................................................... 199

Table 73: Capacity of some of the processing facilities located in Bulgaria........................................ 199

Table 74: Investment in transport infrastructure by source of funding (2007) in Bulgaria.............. 200

Table 75: Lenght of the road network (Km)_year (2001-2007) in Bulgaria ....................................... 201

Table 76: Lenght of the rail network (km)_year (2001-2007) in Bulgaria ........................................... 201

Table 77: National and international Freight Transport (Thousand of tonnes)_year (2006-2009) in Bulgaria........................................................................................................................................................... 202

Table 78: National and international Freight Transport_year (2006-2009) in Bulgaria .................... 202

Table 79: Statistics of collection and recovery in Romania (2007-2008)............................................. 209

Table 80: Lenght of the road network (Km)_year (2004-2009) in Romania ...................................... 211

Table 81: Lenght of the rail network (km)_year (2004-2009) in Romania.......................................... 211

Table 82: National and international Freight Transport (Thousand of tonnes)_year (2004-2009) in Romania ......................................................................................................................................................... 212

Table 83: National and international Freight Transport_year (2004-2009) in Romania................... 213

Table 84: Passenger Transport (million passenger/km) _year (2004-2009) in Romania.................. 213

Table 85: Danish road network between 2006 and 2008 (latest information available) ................... 218

Table 86: Danish raail network between 2006 and 2008 (latest information available).................... 218

Table 87: Investment situation on main roads......................................................................................... 225

Table 88: Railway network between 2007and 2009 in Latvia................................................................ 226


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Table 89: Investment in transport infrastructure by source of funding in Lithuania (2004-2006, source Lithuanian Statistics office) ............................................................................................................ 230

Table 90: Lithuanian road network evolution between 2007 and 2009............................................... 231

Table 91: Lithuanian railways network evolution between 2007 and 2009......................................... 232

Table 92: Investments in transport infrastructures for Estonia by source of funding...................... 238

Table 93:Potential financing sources and expected destination of funding........................................ 239

Table 94: Estonian road network evolution between 2007 and 2009.................................................. 239

Table 95: Evolution of the railways network between 2007 and 2009. ............................................... 239


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1. INTRODUCTION

The present document constitutes Deliverable D4.1 in the framework of the RECTYRE project titled “Used tyres valorization as lightweight filler for embankments” (Agreement Number - ECO/08/239011/SI2.535202).

This Deliverable aims at analyzing the macro-environment and competitive environment for the replication of the RECTYRE model, which foresees the application of end-of-life tyres for the construction of embankments, collecting relevant information for the upstream (end-of-life tyres supply) and downstream markets.

In this framework, the scenario of 25 European countries will be assessed, from the point of view of ELTs management system (players, model adopted, ELTs fluxes, etc.) as well as of the acceptor market (investments in transport infrastructures, quality of road and railways network, contractors, etc.). The countries considered have been divided into 4 groups (Eastern, Western, Central and Northern Countries) and have been analysed by different project partners, according to the share of responsibilities reported in the Description of Work.

The analysis of the collected information will allow to define the common barriers that threatens the replication of the RECTYRE model as well as the opportunities that may favour the replication of the model itself.

A list of barriers and opportunities to be evaluated for each country will be thus the main outcome of this Deliverable, together with an exhaustive overview of the country specific situation in view of future market replication of RECTYRE model.


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2. EUROPEAN SCENARIO ANALYSIS

2.1 European legislation regarding the management of end-of-life tyres

End-of-life tyres (ELT) are defined as tyres which can no longer be used on vehicles including passenger cars, trucks, airplanes and motorcycle tyres (after retreading or regrooving). ELT are classified as non-hazardous waste (75/442/EEC amended by Directive 91/156/EC). Based on a review of waste processing of ELT, several beneficial energy recovery or material recovery waste scenarios have been identified for inclusion in the M/I generic exposure scenario (Basel Convention, 2002; ETRMA, 2007; WBCSD, 2008).

The Directive on the Landfill of Waste (1999/31/EC) banned the landfill of certain whole and shredded tyres and it is effective since July 2003 and July 2006. Also, the End-of-Life Vehicle Directive (2000/53/EC) sets a target of 95% recovery by 2015 for vehicles below 3.5 tonnes and indirectly setting targets for a minor part of ELT in the EU (it is estimated that ELT coming from ELV as defined by 2000/53/EC represent a tonnage below 10% of total EU ELT). In Europe, three systems exist for collection of ELT, including the so called free-market (disposal like for any other nonhazardous waste), state/tax and a producer ‘take back’ approach named "producer responsibility" aapproach. Recovery and recycling rates in Europe have increased appreciably in the last 15 years.

A generic template for the waste life scenarios is shown in the next chart (Figure 1).

Figure 1: ELT waste-life scenario template (from ETRMA, 2009)


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Regarding technical aspects, there is no European Standards for civil engineering applications of tyre shreds as lightweight fill (such as the American ASTM D6270-98). The only European Standard related to the use of ELT is FprCEN/TS 14243: Materials produced from end of life tyres - Specification of categories based on their dimension(s) and impurities and methods for determining their dimension(s) and impurities.

2.2 European data regarding end-of-life tyres management applications and related flows

According to the last ETRMA annual report on ELTs1, in 2009 an estimated 2.6 million tonnes of ELTs were generated in EU27, potentially destined to recovery and recycling. In addition, the EU has millions of used tyres that have been illegally dumped or stockpiled. The current estimate for these historic stockpiles throughout the EU stands at 5.5 million tonnes (1.73 times the 2009 annual used tyres arising).

Ultimately, the improved economic performance of the end of life tyre business should mitigate in favour of an earlier and more effective approach to tackling historic stockpiles.

The annual estimate for used tyres from end of life vehicles amounts to 320.000 tonnes which represents around 10% of the annual used tyres arising. Not surprisingly the largest volumes of used tyres arising are in the biggest countries (Germany, UK, France, Italy, Spain and Poland) with a range between 250.000 and 600.000 tonnes per annum. All other countries have arising under 100.000 tonnes per annum and 6 countries have 15.000 tonnes or less.

In 2009, 18 of the EU27 countries (plus Norway and Switzer-land) recovered 90% and more of their annual used tyre arising. 15 of those 18 countries recovered 100% while a further 6 attained between 80% and 90%. Czech Republic is above 70% whilst two countries are still depending on landfilling. Countries where a producer responsibility system has been operating for over 10 years (e.g. Nordic countries) have recovery rates of 100% and stockpiles have been eliminated. Despite the heterogeneous nature of these rates, in 2009 the EU27 had an average used tyre recovery rate of 96% .

Since 1996, more than 20 million tonnes have been recovered through energy or material recovery. About 2.5 million tonnes of end of life tyres were collected to enter recycling and recovery processes. This represents a five-fold increase of the recovered quantities over the last 16 years and an average annual increase of 25%.

As for the recovery options, material and energy recovery in Europe share the market of ELTs, as shown in Figure 2.

1 http://www.etrma.org/pdf/20101220%20Brochure%20ELT_2010_final%20version.pdf


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Figure 2: Recovery options in EU27 (ETRMA)

It is worth noticing that the use of whole tyres in civil engineering applications (coastal protection, erosion barriers, artificial reefs, breakwaters, avalanche shelters, slope stabilisation, road embankments and landfill construction operations, sound barriers, insulation) is for the moment confined to single projects and therefore fairly small scale. It is an application which is under-utilised and that could represent a significant growth area for end of life tyres.


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3. COUNTRY-SPECIFIC SCENARIOS ANALYSES

In this section, the country-specific scenarios will be analysed in terms of supply market and downstream market, in order to identify barriers that may threaten the replication of the RECTYRE model as well as opportunities that may arise in a Country for an effective spread of the proposed model.

3.1 Italy

3.1.1 National practices for the management of end-of-life tyres

3.1.1.1 Legislation

� Legislation regarding Landfilling o Legislative decree n. 36/03 of 13 January 2003, transposition of directive

1999/31/EC : ban on the land filling of whole used tyres (from 16 July 2003), excluding tyres used as engineering material, and ban shredded used tyres three years from that date, so starting from 16 July 2006 (excluding in both instances bicycle tyres and tyres with an outside diameter above 1400 mm).

o The Ban on land filling of used tyres was first introduced by Decree 141/98. o Ministerial Decree of 3 August 2005 (repealing ministerial decree of 13th march

2003) which establishes criteria and procedures for the acceptance of waste at landfills, according to decision 2003/33/EC ).

� Legislation regarding End-of-life tyres management o Legislative Decree n. 209 of 24th June 2003 (art. 179 and 180), transposition of

directive 2000/53/EC about ELV. o Environmental Act 152/2006, section four, articles 228 and 237, identifies some

requirements for the proper management of tyres (except as provided by the Legislative Decree 209/2003 on ELV).

o Article 23, act 31 July 2002, n. 179, amendment of legislative decree 22/97: Introduction of the denomination “End-of-life tyres”, instead of “used tyres” to distinguish the recyclable tyres for their original function.

o “End of waste” regulation (impact on REACH regulation) and normative regarding the recycled materials and the product manufactured with the recycled rubber:

� Legislative Decree 4/08, transportation of directive Dir. 1998/2008/EC, amendment of Article 181 of 152/2006 (amendment of legislative decree 22/97).

� Ministerial Decree 8 May 2003. � Ministerial regulation 19 July 2005.

3.1.1.2 End-of-life tyres management model and responsibilities

3.1.1.2.1 Model

The Italian model for the management of end-of-life tyres (ELT) is quite complex, due to the fact that the “extended producer responsibility” approach, as stated in the new EU Waste Framework


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Directive (2008/98/EC), is still not fully operative and the country is experiencing a transition from the former free market regime to the producer responsibility model.

The Italian Government is currently working on drafting a legislative decree that should enforce the producer responsibility model. This decree, which is expected to be issued at the beginning of 2011, will promote the constitution of no-profit consortia of tyres producers that will be authorised to manage the whole end-of-life tyres value chain, similarly to what happens in other European countries where the same management model is in use.

The no-profit consortia will be in charge of rationalising the whole ELT value chain, maximising the recovery and encouraging new high added value applications, eliminating their landfill.

In this framework, the Italian situation is evolving very rapidly, representing a possible advantage for the penetration in the market of new recycling solutions. At the moment however, the scenario of end-of-life tyres is quite fragmented and complex, with many players involved at different levels.

3.1.1.2.2 Actors and responsibilities

In Italy, in the current situation, a large number of small and medium sized companies operates independently in the collection, transportation and processing of end-of-life tyres in a free market regime.

The first actors in the value chain are companies which collect the end-of-life tyres in the centres where they are generated i.e. tyres dealers, car repair shops or gas stations (“collectors” in the following). Collectors must be enrolled in a specific register, but no other requirements have to be satisfied. For this reason, also many one-man companies are present on the market, whose business is collecting tyres and transporting them to the treatment/recovery facilities. In this step, collectors have the responsibility over end-of-life tyres.

Often, companies operating in treatment/recovery of end-of-life tyres take care also of their collection, thus being the direct reference for tyres dealers, car repair shops or gas stations.

End-of-life tyres, once collected, are then put into the recovery process: collectors, if different from processors, have to pay for the tyres to be taken over from treatment/recovery companies. Together with the end-of-life tyres, these companies also take over the responsibility for the final destination of the end-of-life tyres.

There are about 60 treatment/recovery companies in Italy, which treat the end-of-life tyres producing shred tyres, granulate and powders; the distribution of such companies on the territory is not uniform and the majority are located in Northern Italy. Final products are then destined to the different applications thus delivered to the end users, which pay for them in case of refined material (granulate and powder), but are paid for taking over the material in case of shred tyres (mainly for energy recovery applications). Details on costs are included in the following paragraph.


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ECOPNEUS (management/administrative role)

X 000X 000

ELTs Collectors(companies authorized for ELT collection/transport)

30 00030 000

ELT generation sites (tyres dealers, car repair

shops, gas stations)

TYRES PRODUCERS(who has ELTs responsibility)

Temporary stocking platforms

ARGO 6060

ELTs recycling/processing companies

Figure 3: ELTs management in Italy : key actors

3.1.1.2.3 Other strategic players

In order to preserve the interests of the many actors involved in the end-of-life tyres collection and recovery chain, in the current situation, three main associations/consortia currently represent those companies at national and international level:

- ASSORIGOM, National Association for Rubber Collection, Recycling and Reuse (www.assorigom.com), is a recently constituted association aiming at participating to legislative activities on ELTs management as well as at helping the re-qualification of the sector. Recently (November, 2010) Assorigom has become a member of FISE-UNIRE, National Union of Recycling Companies.

- ARGO, National Volunteer Consortium for Rubber Recycling (www.consorzioargo.it), currently groups companies operating in the rubber recycling value chain, especially end-of-life tyres, from the collection to the treatment and use. The final goal of Argo is to promote and coordinate the collection, recycling and reuse of ELT and other rubber waste through industrial processes allowing their employ in production cycles or energy recovery. Argo was formerly a member of FISE-UNIRE, National Union of Recycling Companies.

- Federazione Gomma Plastica, National federation of rubber and plastic industries, is a recently constituted association which represents the interests of rubber and plastic sector towards Governments and Authorities, as well as towards trade unions. Major tyres producers are associated to Federazione Gomma Plastica.

Furthermore, as already mentioned, the legislative decree that will definitely enforce the producer responsibility approach in Italy, expected to enter in force in 2011, will promote the constitution of no-profit consortia authorised to manage the whole end-of-life tyres value chain. In principle, each producer or group of producers could create its own consortium, being in competition with others. However, the previous experience gained in other European countries, where the end-of-life tyres management model is more mature (e.g. France and Spain), has shown that having a single consortium, created by all the major tyre producers operating in the Country, is more efficient and convenient. The major tyre producers in Italy have thus financed the constitution of Ecopneus


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(www.ecopneus.it), which, as of the issue of the above enforcing decree, will be responsible for the management of the whole end-of-life tyres value chain, spanning from collection to recovery. Ecopneus is now working on the end-of-life tyres supply chain modelling and reorganisation, but without operative tasks on the current end-of-life tyres management.

3.1.1.3 End-of-life tyres management recovery options and related flows

3.1.1.3.1 End-of-life tyres generation and recovery statistics

According to Ecopneus, in Italy every year about 435.000 tons of end-of-life tyres are generated, resulting from replacement and demolition. About 85.000 of these are destined to re-use or are re-traded, while 350.000 tons/year are destined either to disposal or to recovery. Although official statistics are not available, this estimation is quite reliable, as it has been obtained taking into account data from many players involved in the sector.

Furthermore, of the 350.000 tons/year of end-of-life tyres, about 120.000 tons/year are processed towards either material or energy recovery in Italy, 150.000 tons/year are exported mainly for energy recovery and mainly to Northern Africa (Morocco in particular), and the remaining 80.000 tons/year currently have unidentified destinations such as illegal landfilling.

3.1.1.3.2 Landfill situation

In the European Union, as well as in European countries including Italy, tyres are banned from landfills. As such, their legal disposal route necessarily goes through recovery (either of material or of energy).

Despite of this, however, due to the actual (before not-for-profit consortia acting under the producers’ responsibility will be definitely empowered) lack of an established integrated system for end-of-life tyres management, still 80.000 tons/year of end-of-life tyres currently have unidentified destinations such as illegal landfilling.

According to Ecopneus, this situation, which shall change as of the issue of the legislative decree that will definitely enforce the producers’ responsibility in Italy, is due to:

- Lack of effective control on ELT fluxes; - Poor diversification and implementation of novel uses of ELT and their by-products; - Absence of a rationalisation of the ELT value chain (collection, transport, recovery and final

use).

3.1.1.3.3 Recovery options and applications of end-of-life tyres derived products

Today in Italy almost 50% of ELTs recovery is in energy production, especially in cement kilns, in Italy and abroad, through exports (mainly to Northern Africa, Morocco in particular).

Energy production is a well established application which uses whole tyres or shred tyres, reducing the treatment costs of ELTs thus maximising the revenues for recycling companies.

Granulates and powders, on the contrary, require careful maintenance of the apparatuses to ensure a good quality of the final material and are more time and resource consuming. They have thus mostly niche applications in Italy as:

- modified bitumen for noise reduction and drainage of rain water; - insulating materials (noise, humidity and vibrations);


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- construction and civil engineering, as lightweight and low vibrations materials.

These applications cover about 25% of the total ELTs generated each year.

The current scenario, together with the fact that the main revenue for processors originates from gate fees more than from the sale of products for final application, leads to a general negative attitude of the recycling companies towards new uses of end-of-life tyres; a well known, cheaper and established application is preferred instead of producing more refined material for new higher added value uses.

Although at the moment the fragmented situation in Italy does not encourage new uses of ELTs, in the near future, once the producers’ responsibility will definitely enter in force, and Ecopneus will be empowered to be responsible for the rationalization of the whole value chain, civil engineering applications of ELTs will be promoted, as a high added value alternative to energy production.

The ELT uses in Italy are summarized in Figure 4.

54%23%

23%Energy recovery(Italy and abroad)

Material recovery

Uknown destination

Figure 4: ELTs uses in Italy (Source: Ecopneus)

3.1.1.3.4 Processing facilities: production capacity, time of management and costs

While about 30.000 sites of generation of end-of-life tyres are estimated to exist in Italy, about 60 facilities are distributed over the Italian territory for the treatment of end-of-life tyres towards recovery. Usually, the production rate of a standard treatment facility (granulated tyres) is 2.000 kg/h. In case of shred tyres, this value can be larger.

Since end-of-life tyres have to be treated as a special waste, it is very important for the owners of used tyres (i.e. tyres dealers, car repair shops or gas stations, or any other site where ELTs are generated) to get rid of them in a very short time, as otherwise they have to follow specific norms for their stock in order not to incur in a financial penalty. For these reasons, they pay about 100-160 €/ton for a truck (about 7 tons) for the end-of-life tyres to be picked up. On average, a truck takes about two days to be filled up. In this step, the tyre dealer, gas station, etc., receives a receipt that confirms that ELTs have been collected by an authorised company, which is enrolled in the register. Part of this amount (1,50-2,50 €/tyre depending from the geographical location) is charged by tyre merchants to the client invoice when new tyres are bought, under a generic item called “other expenses”; in this way, they can return of the money spent for tyres disposal2.

In the next step, collectors pay about 80-120 €/ton to the treatment/recovery company in order to get rid of the collected end-of-life tyres. This fee is usually called “gate fee” as it represents the fee paid for the end-of-life tyres to enter the recycling and recovery value chain.

2 This amount has been calculated considering a car tyre weight of about 8 kg, 1 ton = 125 tyres


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Table 1 summarises the costs involved in each step. The actual price varies according to the location of the plants with respect to the collection points (in the case of collection costs) as well as according to the geographical coverage of processing plants in a certain region.

Table 1: Costs involved in the collection/treatment of ELTs

Step Cost (€/ton)

Additional notes

First collection (from tyre dealers, gas stations etc.) to the

treatment facility 100 – 160 This cost varies a lot from place to place (North-

South)

Gate Fee:

Shredding + second transportation

80 – 120

Cost paid to the treatment companies for shredding. Gate fee covers also the

transportation expenses from the treatment facility to the recovery/reuse places (e.g. cement

kilns)

3.1.1.3.5 Costs for the end user

In the current business scheme, costs vary according to the type of product, derived from end-of-life tyres, required for each application. In case of shred tyres, it is the recycling company that pays the end-user for the recovery of tyres (up to 30 €/ton), or takes them for free in the best case, in order to get rid of the large amount of material accumulated.

Even in this case, they have a revenue from the entire process, as the treatment costs are very low and the main gain comes from the fee paid from tyres dealers, car repair shops and gas stations.

In case of powders or granulates, that however represent today only 25% of the total products from ELTs, the end users pay the treatment company for the material to be used, for instance in modified bitumen or for material recovery.

Due to the fragmented situation and to the many actors involved in the value chain, it was not possible to retrieve a reliable indication of the costs of the different ELT products for Italy, that can have large variations depending to the location.

3.1.1.3.6 Contractual scheme and other information relevant to RECTYRE

In Italy, due to the temporary free market regime, at the moment to use ELTs in a new application the end user must contact directly one of the 60 treatment facilities distributed over the Italian territory and stipulate a contract with it, defining material specifications and delivery time and fluxes. As far as costs are concerned, this must be discussed and agreed with the treatment company as well, and it will depend on the type of material (shred tyres, granulates or powders) and on the quantities required (see previous paragraph).

The good quality of ELT derived products (shred tyres, granulates, powders) in terms of size uniformity and metal and textile impurities is usually ensured by the treatment company, who is in charge of the quality control before delivering the material. Furthermore, different kinds of tyres (from trucks, cars, agriculture vehicles…) are usually separated at the beginning by the treatment company, as specific applications could require only tyres of a certain type.


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Currently, there are no verifications or monitoring of the final use of ELTs after they are provided to the end-users.

3.1.1.4 Evolution in the short term

In view of the incoming issue of the legislative decree that should implement the EU directive and formalize the producer responsibility approach, Ecopneus is now working on a re-organization of the end-of-life tyres value chain, developing a new model that will ensure a more efficient, controlled and clear management of ELT collection, recycling and reuse process.

According to the proposed model, all material and money fluxes will be centralised and supervised by Ecopneus, who will be in charge of ensuring the quality, sharpness and efficiency of the end-of-life tyres supply chain, also promoting the diversification of their applications, for instance incrementing civil engineering applications.

The actors in the value chain will be almost unchanged except for the fact that the whole logistics will be supervised by Ecopneus. Ecopneus will create a list of contacts including collectors companies and treatment/recycling companies selected among those enrolled in the register according to their efficiency, quality and price characteristics. Ecopneus is also evaluating the possibility to impose the compliance with quality standards (ISO certifications) to the companies included in the list.

Each request for the collection of a batch of tyres will be managed through an ICT-based system directly by Ecopneus, who will select a company from this list taking into account geographical location and current tyre fluxes. In this way, Ecopneus will centrally monitor the amount of material that each collector or recycling company has in each moment, in order to ensure a balanced geographical and quantitative distribution.

The end-of-life tyres will be then grinded and treated in order to obtain the final products to be destined to the different uses. The end-users, differently from what happens now, will pay for the material, depending from its average size and quality characteristics.

Ecopneus will be also in charge of assigning the quotes of end-of-life tyres to the different final destinations taking into account the following criteria:

- Diversification; - Production costs of the material (shred tyres, granulate, powder…); - Price proposed by the end-user; - Feasibility, sustainability and eco-compatibility of the proposed project; - Established commercial relationship with the end-user; - Guarantee of fixed fluxes.

The end-user will stipulate a framework contract with Ecopneus together with contracts with the recycling companies, in order to formalize the collaboration. The agreed price, that will be paid to Ecopneus only and will be then divided among companies which have been involved in the service, will include transportation, quality assurance as well as the guaranteed fluxes.

In order to finance Ecopneus, which is a no profit consortium, an "environmental contribution" of 1€/tire for their recycling will be charged to the customer by the tyre producers in the invoice.

The possible profits that could generate from the whole process will be destined as follows:

- 30% to the Ministry of Environment and Natural Resources for the reclamation of illegal landfill sites.

- 70% to research and development activities devoted to the identification of new application and uses of end-of-life tyres.


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The role that Ecopneus is willing to have in the management of end-of-life tyres is a sort of supervision of the whole value chain, ensuring that all the processes involved are regulated by clear and standard criteria, so as to minimize illegal practices maximising the valorisation of this kind of waste.

At the moment, Ecopneus is working on the improvement of the model, that will be applied once the decree will be in force. In addition, Ecopneus is now active on the legislative side, in order to modify the norms that consider shred tyre as a waste. Differently from granulate and powder in fact, Italian law treats shred tyres as a waste, making difficult to apply them for example in construction worksites. In addition, public opinion is influenced by this fact and the use of shred tyres in civil engineering applications as for example as insulation materials is seen as dangerous by the majority of people.

3.1.2 Characterisation of the Acceptor Market

3.1.2.1 Potentiality of the Country

3.1.2.1.1 Investments situation

In the period 2005-2008, Italy has spent about 170 billion euros in civil engineering works, similarly to other European Countries. However, the poor growth of infrastructures in Italy can be mainly ascribed to the fact that the main investments are in retrofitting and maintenance of existing roads and structures, more than in new constructions. Only 46% of the money invested in infrastructures have been devoted to new engineering works compared to the 60% of France and Germany and to 80% of Spain. In recent years, about 20% of public works have been financed through Public Private Partnerships (PPP), although the works financed through PPP are mainly local works more than large works with a strategic character. According to ANCE (Italian Association of Construction Companies), between 2003 and 2008, 1.950 calls for tenders in project financing have been announced, for a total amount of 26.696 million euros, of which 16.489 millions for private enterprises and 10.205 millions for public tenders. Local authorities were the main commissioning bodies in 2008, with 90% of public tenders and 53% of the total costs.

Table 2: Categories and costs of major contracts assigned in 2007 (Source: National Authority for the supervision of public contracts and services)

Work type Number % Total cost % Average cost

Roads 4.031 32,37 3.203.560.277 24,31 794.731

Railways 155 1,24 1.311.280.017 9,95 8.459.871

Other transportation infrastructures 193 1,55 716.689.336 5,44 3.713.416

Works for environmental protection, soil protection and water resources

1.762 14,15 1.865.785.538 14,16 1.058.902

Urbanization infrastructures 703 5,65 449.285.856 3,41 639.098

Infrastructures for energetic sector 195 1,57 159.146.510 1,21 816.136


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Table 2 summarizes the types and cost of major contracts assigned in 2007 for infrastructures. As it can be seen, almost 40% of the total investments were for transportation infrastructures, as roads and railways. According to the Italian Ministry of Transportation and Infrastructures, in 2007 Italy has invested about 23 billion euros for transportation infrastructures, of which about 20% in roads. In the Italian budget for 2008-2010, the Government has allocated about 75 billion euros to transportation infrastructures, of which about 10 billion must be invested in expanding the highway network3.

3.1.2.1.2 Quality of infrastructures

Italy is at 54th place in the of World Economic Forum ranking on infrastructures for 2010-20114. Concerning the quality of roads, it is ranked 73rd, well below other European Countries as France, Germany, Spain and Greece. The gap between Italy and other European Countries has almost tripled in the last twenty years. For example, in Spain between 2000 and 2005 more than 2.300 Km of highway have entered in service, while in Italy only 50.

According to the Italian Ministry of Transportation and Infrastructures5, in 2007 the Italian road network was 182.136 km long, 6588 km of which were highways, 19.290 km were large national roads and 156.258 km were regional roads. Table 3 shows the evolution of Italian road network from 2002 to 2007. Highway network has increased only by 100 km in ten years, while the situation of regional and national roads has been influenced by the changes in regulatory and administrative organization of Italian regions, thus changing name and type in this period.

Table 3: Italian road network, 1998-2007 (Source: Ministry of Infrastructures)

Year 2002 2003 2004 2005 2006 2007

Highways (km)

6.487 6.487 6.532 6.542 6.554 6.588

National roads (km)

20.654 17.250 17.250 21.524 21.524 19.290

Regional roads (km)

143.468 149.106 151.570 147.364 147.364

156.258

Total (km) 170.609 172.843 175.352 175.430 175.442 182.136

Northern Italy has the largest density of highways per surface (2,8 km every 100 Km2), per habitant (1,2 km every 10.000 people) and per circulating vehicles (2,1 km every 10.000 vehicles). Southern Italy, on the contrary, has a considerably lower extension of highway network, also due to the situation in Sardinia, where no highways are present.

3 IGI, Italian Institute for Large Infrastructures, www.igitalia.com

4 http://www3.weforum.org/docs/WEF_GlobalCompetitivenessReport_2010-11.pdf

5 Ministero delle Infrastrutture e dei Trasporti, Ufficio di Statistica, "Conto Nazionale delle Infrastrutture e dei Trasporti Anni 2007-2008"


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For what concerns investments in road and highway network, according to CRESME6 in 2007 1.209 works have been financed by roads and highways managing companies, for a total worth of about 4 billion euros, 50% more in value than in 2006.

According to the Italian Ministry of Transportation and Infrastructures7, in 2007 the Italian railways network was 16335 km in 2007, only 4% more than in 1970; almost 70% of this network is electrified, and 43% is double-track. Table 4 shows the evolution of Italian railways network from 2000 to 2007.

Table 4: Italian railways network, 2000-2007 (Source: RFI group)

Year 2000 2001 2002 2003 2004 2005 2006 2007

Electrified network (km) 10.714 10.864 10.891 10.966 11.044 11.364 11.455 11.531

Non-electrified network (km) 5.260 5.171 5.094 4.999 4.871 4.862 4.840 4.804

Total (km) 15.974 16.035 15.985 15.965 15.915 16.225 16.295 16.335

With respect to other European Countries, Italy occupies a good position in terms of quality of the line, but in terms of extension it is well below other Countries as Germany and France.

Concerning the investments, in 2007 National Railways Group has invested about 7 billion euros, 5% less than in 2006. The works realised have been mainly dedicated to the development of national and international connections, as well as to the improvement and completion of High Speed line which connects Torino, Milano and Napoli.

About 45% of the new investments allocated in 2007, were finalized to the construction of new sections or to the improvement of existing ones: in 2007, 138 km of new railways infrastructures were put into operation, and 804 km of existing lines were renewed.

In Italy, road transportation is the most diffused way to move freight and passengers. In 2007, the total freight traffic has been estimated in 237 billions of tons-km, 4% more than in 2006.

Road transportation accounted for 61% of freight transportation in 2007, as shown in Figure 5, where the freight traffic as a function of transportation mean is reported.

6 "The market of public works in Italy", CRESME 2008

7 Ministero delle Infrastrutture e dei Trasporti, Ufficio di Statistica, "Conto Nazionale delle Infrastrutture e dei Trasporti Anni 2007-2008"


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1%

61%16%

22%

Air transportation Road transportation

Fixed stations Water transportation

Figure 5: Total freight traffic in Italy for 2007 (ton-km)

(Source Ministry of Transport and Infrastructures)

As for passengers transportation, according to the last available data on 2007, the total number of passenger-km has increased by 2,4% with respect to 2006. Road transportation is even more relevant in this case, accounting for more than 90% of the traffic (see Figure 6).

92%

6% 2%0%

Air transportation Road transportation

Fixed stations Water transportation

Figure 6: Total passenger traffic in Italy for 2007 (pass/km)(Source Ministry of Transport and

Infrastructures)

For what concerns railways traffic, in 2007 passenger traffic has decreased by 2,5% while freight traffic has increased by 1,6% with respect to 2006. Long and medium distance travellers were 72 millions, and the major demand for passenger railway transport is for distances larger than 600 km.

3.1.2.1.3 Geography and territory

Italy is covered by a majority of hilly areas (41,6% of the territory), while highlands and flat areas cover 35,2% and 23,2% of the Country respectively. However, according to the Italian Institute of Statistics, only 13% of Italian population lives in highlands, and cities in these areas are mainly small. The largest flat area is located in Northern Italy (Pianura Padana), which includes the most important industrial area and where important and strategic highways and high speed railways lines are present. This area offers good opportunities for the realization of embankments.

The rest of Italy is crossed from north to south by mountains and the majority of the territory are highlands. Only Tuscany and Puglia have quite large flat areas, making them interesting for the realisation of new road infrastructures like embankments.


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35%

42%

23%

Highlands

Hilly areas

Flat areas

Figure 7: Italian territory

3.1.2.1.4 Major players in the sector and commissioning bodies

According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the first most problematic factor for doing business in Italy and Corruption is the 7th.

Apart from few large construction companies, in Italy the construction sector, including companies dealing with road and transport infrastructures, is fragmented and mainly composed by small companies, differently from what happens in other European Countries. Although in the last years the average size of companies has slightly increased, the fragmentation of the enterprises working on infrastructures and construction represents a limitation for the realization of big public works, especially in Southern Italy. In addition, fragmentation encourages subcontracting, largely diffused in the construction sector due to the difficulty of small companies to have access to large public tenders, while ensuring to large companies the competence on specific activities to be carried out within the projects.

Due to this structural weakness, in the sector of public works and road infrastructures, especially in the small-medium scale, competition in tenders and bids is mainly based on the final price more than on other factors.

Table 5 shows a list of the major contractors of transportation infrastructures, according to ANAS website. For each company, the main activities are reported, together with turnover (where available) and main commissioning bodies.

Table 5: List of major contractors of transport infrastructure works (Source: ANAS website, companies websites)

Company name Main commissioning

bodies Main activities

Turnover (M€, where available)

Locatelli S.p.A. ANAS, Italferr, local

authorities

Civil engineering, road and railways works, recycling and

transport 101 (2002)

Aleandri S.p.A. ANAS, Società

Autostrade S.p.A., local authorities

Civil constructions, public tenders for infrastructures, road and

highways construction 30 (2008)

Impregilo S.p.A.

ANAS, Società Autostrade S.p.A.,

Tangenziali Milano, local authorities in Italy and

abroad

Large enterprise operating in many construction sectors, in particular railways, highways networks, other

infrastructures

2700 (2009)


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Rizzani de Eccher S.p.A.

Società Autostrade A.p.A., Ferrovie dello

Stato

Infrastructure costruction, including road and railways

infrastructures 405 (2009)

Oberosler S.p.A. ANAS, Società

Autostrade S.p.A., local authorities

Construction of roads, highways, bridges, tunnels

78 (2008)

Ricciardello costruzioni srl

ANAS, Società Autostrade S.p.A., local

authorities

Public works, transportation infrastructures

25 (2003)

Grandi lavori Fincosit S.p.A.

ANAS, Società Autostrade S.p.A.,

Ferrovie dello Stato, local authorities

Transport infrastructures, civil engineering

97 (2008)

Coestra S.p.A. ANAS, Autostrade

S.p.A., Ferrovie dello Stato

Large infrastructures, inccluding transport infrastructures (member

of Gruppo Consorzio Etruria) 81 (2007)

Co.Ge.Sud srl Local authorities, ANAS

(frequently acts as subcontractor)

Road works and other transport infrastructures

n.a.

LIS srl Local authorities Road works, civil engineering n.a.

Todini Costruzioni

Generali S.p.A.

ANAS, Società Autostrade S.p.A., RFI

Public works, transportation infrastructures, bridges, civil

engineering n.a.

Opere Pubbliche S.p.A.

ANAS, Ferrovie dello Stato, TAV S.p.A., ITALFERR S.p.A.

Road works n.a.

Vidoni S.p.A. ANAS, Società

Autostrade S.p.A. Civil engineering, road works n.a.

Cossi Costruzioni S.p.A.

ANAS, Società Autostrade S.p.A., Ferrovie dello stato

Infrastructures, tunnels, road works, civil engineering

134 (2008)

Itinera S.p.A. ANAS, Ferrovie dello

stato, Tangenziali Milano, SITAV

Transport infrastructures, tunnels, metro, public and private

construction works 443 (2006)

Unieco S.p.A.- Costruzioni Italia

Ferrovie dello Stato, Società Autostrade

Railways and road construction, transport infrastructures, civil

engineering

520 (2009, whole Unieco Group)

Pizzarotti & c. S.p.A.

Alp Transit Gotthard AG, Ferrovie Nord Milano SpA, local

Authorities

Insfarstructures, civil engineering railways, road works

736 (2007)


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SICS srl (Società Italiana

Costruzioni Stradali)

ANAS, local authorities Civil engineering, Public works,

transport infrastructures n.a.

For what concerns Commissioning bodies for road and railways works, that are of interest for our analysis, in Italy the most important actors are:

- ANAS, Italian manager off road and highway network; - Società Autostrade S.p.A., in charge of highways management; - Ferrovie dello Stato, in charge of railways network; - Local authorities, which often commission road works for improvement or updating of the

existing local network.

There are then a large number of other subjects involved in commissioning road and transport infrastructures, who manage specific sections of the highway network or ring roads across the major cities. Among them, the following can be recalled:

- Autostrada Pedemontana Lombarda S.p.A. - Tangenziali esterne di Milano S.p.A. - Milano Serravalle Milano Tangenziali S.p.A. - Autostrada Torino Ivrea Valle d'Aosta - Autostrada Torino-Milano - Autostrada Del Brennero - Autostrada Brescia Verona Vicenza Padova - Autostrada Torino-Savona - Società Autostrada Ligure Toscana - Autostrada Dei Fiori - Autostrada Tirrenica - Autostrada Venezia Padova - Sitaf S.p.A.

Usually, contracts are awarded through public tenders published by Commissioning Bodies, based on different parameters, including the nature of the work to be realised, its size, and other parameters defined by the administrative responsible of the tender. There are no limitations in the participation to public tenders in Italy, if the company has all the requirements for the execution of the work, both from the technical and financial point of view.

As already mentioned, the most important parameter is cost; however, before calling for a tender, a specific evaluation grid is defined by the Commissioning Body, which details the criteria of assignment of the bid. Thus the best offer is usually selected according to the following elements, in order of importance:

- Lowest price; - Technical value; - Estimated time for completion; - Management costs; - Other characteristics.

It is worth considering that also temporary partnership (ATI) can participate to a tender, in case that the work is particularly complex or the company alone does not have the required technical competence to carry out the work.


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3.2 France


3.2.1.1 Legislation

� Legislation regarding landfilling o Decrees of April 3rd, 2002, of December 31st, 2001 and of January 19, 2006,

which modify the ministrerial decree of September 9, 1997. o Ministerial circular of July 4, 2002 (ban on the landfilling of used tyres) and decree

of December 30, 2002 o Decrees of December 31st, 2004 and of March 15, 2006. o Ministerial circular of June 6, 2006 regarding the sites for stocking non dangerous

waste. o Decree of January 19, 2006 on the stock of dangerous waste.

� Legislation regarding End-of-life tyres management o Articles n. R 543 and from 137 to 152 of the Environmental Code regarding the

treatment of end of life tyres, which replaces the Decree n. 2002-1563 of December 24, 2002

o Decree of December 8, 2003 and Ministerial circular of December 23, 2003 on the collection of end of life tyres

o Circular of March 4, 2004 on authorizations for end of life tyre treatment facility owners".

o Decree of July 23, 2004 on the communication of information related to the commercialisation and recycling of tyres.

o Circular of November 8, 2005 on the treatment of end of life tyres landfill sites


3.2.1.2.1 Model

In France, the "extended producer responsibility" originated from a decree issued in July 2002, forbidding to put used tyres on waste disposal sites, and it is in force since 2004.

Before the “used tyres” decree was published, the tyres end-users (garages and waste disposal sites) called the collectors of their choice and paid them individually to collect and recover the used tyres. Competition between these very small companies was so intense that some of them could no longer guarantee sufficient profits for recovering, which resulted in some unsanctioned dumping.

It was as a solution to this dangerous situation that producers responsibility was introduced, asking all those who put new tyres on the French market to finance their collection and recovering upstream.

The French situation is now very well established, and the ELT management is regulated bu the French Environmental Code, which says that it is against the law to abandon or burn tyres in rural areas, and that each new tyre sold in France by any means must be recovered.


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The management of ELTs in France, form the generation to the collection, treatment and recycling is schematically depicted in Figure 8.

The process starts from the introduction of new tyres in the French market by the so called "producers", i.e. those who manufacture, import or introduce tyres in France, put tyres on the market under their own brand name, or import vehicles equipped with tyres. Besides producers, distributors are people who sell new tyres or vehicles equipped with tyres, as for example garage owners, repair and distribution networks that sell new tyres, or specialised distribution chains. Distributors are estimated to be about 40.000 in the French territory.

Producers are obliged to collect every year at their own expense, and in the limit of the tonnage that they themselves put on the national market in the previous year, the used tyres that the distributors or waste treatment stations have at their disposal. They must also annually inform the State of the quantities of tyres put on the market and eliminated and they can group together in order to satisfy their obligations collectively.

Distributors instead must take back, free of charge, used tyres in the limit of the tonnage and type of tyres that they themselves sold in the previous year. They can either hand over the used tyres to authorised collectors or bringing them to waste treatment stations or hand over the used tyres to people who run authorised installations or who use them for public works, as filling materials, for civil engineering or silage in accordance with the Environmental Code (section 8 "used tyres").

Collectors are companies who are responsible for collecting used tyres from distributors and waste treatment stations, grouping them together, sorting them or transporting them to elimination plants. Collecting used tyres is subordinated to have obtained an authorisation which is granted, for a maximum duration of five years, by decree of the Prefect of the Département where the applicant’s installation is located. Anyone requesting such authorisation must prove their technical and financial capacities for successfully completing the operations required for collecting used tyres. Collectors must give ELTs only to people or plants that use such tyres for public works, civil engineering or ensilage, as filling material, or persons who operate any other type of elimination plant, also in another Member State of the European Union, provided that it has a proper authorisation.

In order to select its service providers, Aliapur, the company in charge of ELT management in France, produces a call for candidates based on specifications defining both the mission and the professional criteria: conformity with the regulatory texts, experience, IT equipment, economic status and respect of social legislation. In addition, a specific certification (Qualicert Valorpneu) has been introduced for these companies, which represents as well a criterion for the selection. A call for tender is then made solely with the candidates retained, who must then submit their commercial bid. Markets are attributed for an area in which the collectors will be obliged to collect used tyres held at their disposition by distributors. At the moment, authorised collectors in France are 44.

After collection, ELTs are delivered to the treatment facility, where they are shredeed, granulated or reduced to powder. There are 11 treatment facilities in France, distribute over the whole territory, as their geographical distribution corresponds to a principle of proximity, with the aim of controlling logistics costs. Treatment facilities (also called transformation sites) are protected against intrusion and fire and equipped with apparatus for measuring and identifying the incoming and outgoing flow so as to guarantee total flow traceability. Tyres are stored there and prepared so as to satisfy the requirements of the revalorisation operators’ specifications through the preparation of whole tyres by size, sidewall removal, shredding into the three different grades.

Thanks to its storage capacities, the transformation site also plays a key role in regulating flow rates between arrivals from collectors and orders from recyclers in the Aliapur value chain.


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Companies in charge of ELT recycling, i.e. end-users of the treatment facilities products (shred tyres, granulate or powder) must be authorised, apart form those who use ELTs in public works, as filling material, in civil engineering or in silaging. Authorised recyclers are currently 26.

Figure 8: ELTs management in France


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In the framework of the producer responsibility approach, Aliapur is the company responsible for ELTs management in France. Aliapur is a Public Limited Company funded in 2003, whose founding members are Bridgestone, Continental, Dunlop Goodyear, Kléber, Michelin and Pirelli, that are also Aliapur’s main customers, making up approximately 70% of the annual yearly circulation of used tyres in France. Since December 2003, Aliapur has been chosen by more than 180 producers to collect and recover the quantities of used tyres they are bringing on to the French market.

Aliapur aims at neutralising the environmental hazards brought about by the presence of used tyres in France. In the long term, its purpose is to create a balanced industrial economy founded on environmental efficiency and economic balance. Aliapur is responsible for the quantity of ELTs put on the market by its customers on the basis of their declarations regarding sales of new tyres in the course of the preceding year.

Aliapur's missions

- To take on and ensure that the regulatory obligations of the company’s customers are well respected.

- To organise the sector at the most reasonable cost with the various operators involved, by contracting partnerships with certified Qualicert-Valorpneu collectors and recyclers, but also by accompanying them and supporting the key players in the sector.

- To develop and optimise new, sustainable and diversified recycling methods by supporting studies and tests to increase processing capacities.

- To preserve the trade in part-worn tyres in order to lower the overall cost of eliminating used tyres.

- To extract the arising from the non part-worn tyres on regrouping and preparation platforms.

- To be in regular contact with the authorities and consumers with regard to the sector’s results, compared with the quantities of new tyres put on the market.

- To obtain financial contributions from producers within the limit of the tonnage of their sales of new tyres, to finance the operations of which the sector is composed.

Aliapur devotes a significant part of its budget to industrial research and support of projects that require used tyres. The projects supported must be ecologically acceptable innovative, respond to the needs of the market, generate added value and be in line with the sector’s ultimate cost reduction logic. Aliapur has invested in computerised tyre monitoring systems for the quality control of the services provided and the products made from the tyres, as well as for the prevention of human and material risks.

Besides Aliapur, another strategic player in the French ELT management value chain is Recyvalor, a no profit association funded in 2008 from an initiative of French Ministries of Environment, Sustainable Development and Energy aiming at eliminating the existing stockpiles in France through a valorisation of ELTs in less than 10 years. Recyvalor members are the major tyres producers, garages and car dealers, specialised tyre distributors and professional associations.


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According to Aliapur, in France every year are collected about 300.000 tons of used tyres, excluding stockpiles, through more than 130.000 collection operations. 7000 tons/year are collected by Aliapur from local waste treatment sites. According to Aliapur's annual report, in 2009 there has been an excess of tyres collected with respect to the amount expected form the tyre sales of 2008. The actual percentage of recovered tyres in 2009 was thus 101%.

About 15% of the collected ELTs are destined to re-use or are re-treaded, while the others can be effectively defined as ELTs and are destined to recovery.


No landfill is present in France.

For what concerns stockpiles, although producer responsibility has entered in force in 2004, there is nothing in the official texts regarding the management responsibility of ELT stocks created before this date and abandoned. The number of tyres involved is estimated at around 200.000 tons.

61 old stockpiles have been currently counted in France, for a total amount of about 80.000 tons of ELTs. In order to achieve a revalorisation of this large amount of ELTs, in 2008 the French Ministries of Environment, Sustainable Development and Energy have supported the constitution of a no profit association, Recyvalor, that is in charge of reclaiming these stockpiles, with the final goal of achieving a complete recovery of these ETLs within less than 10 years. Aliapur has taken on the vice-presidency on behalf of its shareholders.

This operation is for the large majority funded by Recyvalor members; however, the French Government contributes with a funding of 170k€/year.

However, before the creation of Recyvalor, Aliapur was directly involved on behalf of its tyre manufacturer shareholders and was able to evacuate, voluntarily and free of charge, 12 abandoned stockpiles and fully recovered all the tyres obtained from them.


In France, the authorised revalorisation routes are, a part from re-use and re-treading, the use in public works, such as for filling material and in civil engineering, the use as a source of fuel, the incineration for energy recovery, the use by farmers in silaging, as well as the shredding or chopping for material recycling. Material recycling include realisation of absorbing floors, sports grounds and moulded objects.

According to Aliapur, 44% of the 255.000 tons of ELTs collected each year are destined to energy recovery, intended as using shredded tyres or whole tyres as substitute fuel for the production of energy.

About 37% are destined to material recycling in form of shred tyres, granulate or powders. Material recycling applications include the realisation of acoustic screens, car parts, concrete, equestrian floors, moulded objects, playgrounds, sporting areas, synthetic turf and tramways.

As for civil engineering applications, they absorb about 17% of the total ELTs collected every year and include drainage, infiltration basins, light embankments, quarries, retaining walls, retention basins and rubber asphalt. Aliapur has already light embankments within the foreseen applications for whole and shred tyres, and has developed a software (Visiopur®) that allows to characterise


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shred tyres. Furthermore, whole tyres are used to realise embankments with the Pneuresil® technique (company Ingeval, Lyon), to build light embankment for robust and shock-resistant structures. It should be noted that 57% of the used tyres allocated to civil engineering are used whole, while 43% in the form of shred tyres.

2% of the total ELTs collected every years are destined to carbon and iron recycling, which consists in processing the carbon black and steel contained in shredded tyres in electric steelworks or foundry furnaces, substituting them with other raw materials such as anthracite or foundry coke. These applications are Aliapur innovations that have allowed to start up the industry for this type of recycling.

The ELT uses in France are summarized in Figure 9.

37%

44%

17% 2% Material recovery

Energy recovery

Civil Engineering

Carbon & Ironrecycling

Figure 9: ELTs uses in France (Source: Aliapur)

Finally, it is worth underlining that Aliapur is constantly looking for new applications of ELTs, investing both financially and technically in projects that allow new recovering methods to emerge. This aspect accounts for 50% of the Aliapur's Research & Development expenditure.

It is worth noticing that Aliapur has exported in 2009 about 108.000 tons of ELTs, mainly to Morocco (cement industry), Sweden (urban heating), Germany (granulation) and Finland (public works).


In France there are 13 facilities coordinated by Aliapur for the treatment of ELTs, distributed all over France depending on the known repositories. Their geographical distribution corresponds to a principle of proximity, with the aim of controlling logistics costs.

Processing facilities are protected against intrusion and fire and are equipped with special apparatuses for the identification of the incoming and outgoing flow so as to guarantee total flow traceability. Thanks to its storage capacities, also in terms of different tyre typology and size, the transformation site also plays a key role in regulating flow rates between arrivals from collectors and orders from recyclers. Recycling companies will give to the processing facility which provided the shred tyres, granulate or powder a receipt indicating the amount received. Processing facilities must also monthly fill in an on line form summarising the amount of tyre-derived material that has been sold.

As for time of management, once a ELT generation point (distributor) has collected enough tyres, it contact an authorised collector to picked up the tyres, after having filled in a specific form provided by Aliapur indicating quantities and typology of tyre. Then the collector will collect ELTs within 5 working days since the collection request has been sent in the city area and within 10 days in the countryside.


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As for the costs involved, tyres collection by the Aliapur authorised company is free of charge for the distributor. Collectors are then paid by Aliapur when the ELTs are delivered to the transformation site after separation of tyres suitable to be reused.

Transformation facilities sell then the ELT derived material (shred tyres, granulate or powder) to the recycling companies according to specific quality standards and in the framework of contracts drafted periodically.

On average, Aliapur costs are divided as following: 47% for collection and transportation, 35% for treatment/transformation, 10% for recycling and 8% for R&D.

As in the majority of Countries adopting producer responsibility model, also in France an eco-contribution is foreseen which is quantified year by years and is charged to the customer when a new tyre is bought. Tyre producers give to Aliapur the equivalent of environmental contribution received for new tyres put on to the French market in the previous year, as a funding for the company operation.

Table 6 summarizes the environmental contributions for 2010 for the different tyres categories.

Table 6: Environmental contribution for 2010 for the different type of tyres


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In the current business scheme, the costs for the end users of ELT derived materials vary according to the type of product and specifications required for each application. The price is fixed in the contracts stipulated between Aliapur (which owns the material) and the end user.


In France, people who want to use ELTs in a new application already tested and established are clients of Aliapur transformation facilities and thus they must stipulate a contract directly with Aliapur, in which are agreed and indicated the material specifications, the quantities and all details of the supply.

The quality of the supplied material is guaranteed by the treatment facilities where tyres are stored and prepared so as to satisfy the requirements of the revalorisation operators’ specifications. Shred tyres are available in three sizes:

- Small - between 35 and 110 mm;

- Medium - between 40 and 140 mm;

- Large - between 50 and 200 mm.

The quality of the material is guaranteed by the use of a proprietary software (Visiopur®) that allows to characterise size, shape and volume of shred tyres, as well as by the fact that in France AFNOR standards for the products obtained from ELTs are already published, making France the most advanced European country in terms of standardisation in this field. Aliapur is in fact highly involved in the work conducted by the committees of the European Standardisation Centre and the work carried out in France is proposed as the basis for the definition of European standards.

Besides already established applications, Aliapur is constantly looking for new applications of ELTs, through direct R&D investments in research projects, also in partnership with other companies/research centres. In this framework, consortia and partnerships can be created to develop new ELT applications with the double aim of decreasing processing costs and putting the spotlight on the added value of tyres in relation to other materials, with the primary aim to diversify the recycling sector.

Each project is based on the creation of a consortium, grouping together (in addition to Aliapur) one or more reference laboratories for the topic in question, an end-user of the results of the project, a distributor / industrialist / preparer and an end user for the product.

Once the project team has been established, the aims are defined and the various partners are systematically covered by a multilateral contract (confidentiality agreement, intellectual and industrial property, etc.). At each stage of the project, the pilot committee formed validates that directions that need to be taken and confirms the need to continue the research.

Currently, there are no verifications or monitoring of the final use of ELTs after they are provided to the end-users.


Not required.


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France is at 4th place in the of World Economic Forum ranking on infrastructures for 2008-2009, referring to quality of infrastructures.

In the period 2005-2008, France has spent about 179 billion euros in civil engineering works, of which 67% were dedicated to new transportation infrastructures. According to the "Compte des transports 2009", the investments for transport infrastructures increased in 2009 (+2,1% with respect to 2008); of these investments, 65% were in new road infrastructures (12 billion euros). The major increase in expenditure has been observed in national roads, thanks to the 102 millions euros invested by the French Government within the "Plan de relance-Infrastructures routières (CPER)", while the private companies managing highways has decreased the investments (-3,8%), due to the financial crisis. Table 7 reports the investments in transport infrastructures for year 2000 and 2009.

Table 7: Investments in transport infrastructures in billion €. (Source: Service de l’observation et des statistiques of the French Ministry of Sustainable development)

Work type 2000 2009

Road network

Privately managed roads

Non-privately managed roads

10,5

8,5

2

12,6

10,8

1,8

Railway network

High speed

Main network

1,3

0,6

0,7

3

0,9

2,1

Other transportation infrastructures 2,8 3,4

As far as investments in the railway network, they are continuing to grow in France, although with a lower rate with respect to previous years (+12,6% in 2009 and +16,7% in 2008). In 2009, 3 billion euros has been spent, 1,2 billions of which were devoted to retrofitting and maintenance. This increase in investments has been fostered by the funding of the Government through the French agency for the infrastructures funding (AFTIF) and of the European Community.


According to the French Ministry for Sustainable Development8, in 2008 the French road network was 1.027.002 km long, 11.000 km of which were highways, 9.392 km were large national roads and about 1 millions km were regional and local roads. Table 8 shows the evolution of French road network from 2000 to 2009. Highway network has increased of more than 1.000 km in ten years, while about 18.000 km of national roads have become Department roads, due to the fact that they

8 Ministere de L'ecologie, de l'energie et du Developpement Durable, Observation et statistiques, "Compte des transports 2009".


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have lost their function of national transport link, also thanks to the improvement of the highway network.

Table 8: French road network in km, 1980-2009 (Source: Ministry of Sustainable Development)

2000 2007 2008 2009

National road network

Privately managed highways

Highways

National roads

36.576

7.180

2.446

26.950

20.638

8.279

2.612

9.747

20.449

8.423

2.577

9.449

20.476

8.474

2.610

9.392

Department Road Network 368.054 359.055 377.377 377.984

Local roads 609.635 594.149 628.987 629.000

Total 1.014.082 989.780 1.027.002 1.027.433

For what concerns investments in road and highway network, as already said in 2009 about 65% of all the investments in transport infrastructures were devoted to road network.

According to the French Ministry of Sustainable Development8, in 2009 the French railways network was 31.000 km long, the longest in western Europe, with almost 2.000 km of high speed lines. The total extension of the railways network was slightly decreased in the last 10 years, as many standards lines were disused at the advantage of high speed network. Table 9 shows the evolution of French railways network from 2000 to 2007.

Table 9: French railways network, 2000-2009 (Source: Ministry of Sustainable Development)

2000 2007 2008 2009

High speed network 1.281 1.876 1.881 1.881

Standard network covered by TGV 5.252 7.842 7.911 8.279

Other lines 24.864 21.436 21.249 20.779

Total (km) 31.397 31.154 31.041 30.939

Concerning the investments, in 2009 about 1,8 billion euros have been spent for the realization of railways infrastructures, with an important increase especially in high speed network (+15% in 2009 with respect to 2008).

The railway network is managed by RFF (Reseaux Ferré de France), that however does not invest in new infrastructure, but receive both public funding and funding from ATFIF:

In France, road transportation is the most diffused way to move freight and passengers. In 2009, the total freight traffic has strongly diminished (-15% of tons/km) also due to the financial crisis, going down to the levels of 2000.


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Road transportation accounted in 2009 for 88% of freight transportation in 2007, as shown in Figure 10, where the freight traffic as a function of transportation mean is reported.

10%

88%

2% Raylwaystransportation

Roadtransportation

Watertransportation

Figure 10: Total freight transportation in France for 2009 by mode (Gton-km)

(Source Ministry Sustainable development)

As for passengers transportation, according to the last available data on 2009, the total number of passenger-km has slightly increased (+0,4% with respect to 2008). Road transportation is even more relevant in this case, accounting also in this case for about 90% of the total passenger traffic (see Figure 11).

1%

88%

11%

Raylways transportation

Road transportation

Air transportation

Figure 11: Total passenger traffic in France for 2009 by mode ( pass/km)

(Source Ministry Sustainable development)

The passenger transportation through the railway network has slightly decreased in 2009, for the first time in the last 5 years.


France is covered for one sixth of its territory by the Massif Central, which reach a height of 1.800 m over the sea level. The other highlands are located at the borders, with Alps and Giura on the Eastern side and Pirenées on the south west of the Country. The rest of the Country (the majority) is covered by flat areas, which are the prosecution of the large Central Europe plain. The main plains are the Paris basin, and the Aquitaine basin in the South West. These flat areas, especially the Paris area, are strategic areas for the country, also from transportation point of view, and thus offer good opportunities for the realization of embankments.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, inefficient Government Bureaucracy is the fifth most problematic factor for doing business in France.


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In France, the sector of public works group 8.000 enterprises, with a total turnover of almost 42 billion euros. Of these companies, 35% is specialised in road works and transport infrastructures. Apart from few large construction companies and groups as Bouygues or Vinci, the majority of the companies involved in public works are small or medium enterprises. Usually the average company size depends on the type of works in which it is specialized, the companies involved in transportation infrastructures being usually larger than the average.

The main commissioning bodies for transport infrastructures are public, in particular:

- Local Authorities, as Cities (45%);

- The Government itself (5,5%, half of which are road infrastructures);

- Large public entreprises (21%).

Private companies, as the highway managers, commission 22% of the public works, mainly transport infrastructures. Among them, the following can be recalled:

- ADELAC

- ALIS APRR (Autoroutes Paris-Rhin-Rhône)

- ARCOUR (A19 Artenay - Courtenay)

- AREA (Les Autoroutes Rhône-Alpes)

- ASF (Autoroutes du Sud de la France)

- ATMB (Autoroutes et Tunnel du Mont Blanc)

- CCI du Havre (Chambre de Commerce et d'Industrie du Havre)

- COFIROUTE

- ESCOTA

- ROUTALIS (Société d’Exploitation de l’Autoroute de Liaison Seine Sarthe)

- Sanef (Société des Autoroutes du Nord et de l'Est de la France)

- SAPN (Société des Autoroutes Paris-Normandie)

- SE A14 (Société d’Exploitation de l’Autoroute A14)

Usually, contracts are awarded through public tenders published by Commissioning Bodies, in agreement with the rules of public bids. For the purposes of the RECTYRE project, it is worth noticing that before the realization of important transport projects (roads or railways infrastructures for example), the projects are evaluated by the Commission Nationale du Débat Public (National Committee for the Public Debates), which ensures the involvement of public opinion in projects with an important environmental or socio-economic impact, as the construction of large transport infrastructures. The French law (loi d’Orientation des Transports Intérieurs, LOTI, December 30, 1982) foresees also a socio-economic and environmental a posteriori evaluation of large transport infrastructures after 3-5 year since their start-up. The aim of this evaluation is to compare the results of the public debate with the real observations after the infrastructure operation.

The new transport infrastructures are funded by standard contracts between Government and local authorities, through concessions, as in the case of highways or through public-private partnerships. In all the cases, French government pays through the Agency for the funding of transport infrastructures (Agence de financement des infrastructures de transport de France, AFITF), constituted in 2004 as a public subject with financial activities.


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3.3 Belgium


3.3.1.1 Legislation

� Legislation regarding Landfilling

o Walloon Region: Wallonische Regierung (2003). Erlass zur Festlegung der sektorbezogenen Betriebsbedingungen der technischen Vergrabungszentren (Deponieverordnung), 27.02.2003. Moniteur Belge 13.03.2003 and Wallonische Regierung (2004). Erlass zur Untersagung der Zuweisung bestimmter Abfälle in technischen Vergrabungszentren (Deponieverbotsverordnung), 18.03.2004. Moniteur Belge 04.05.2004

o Brussels Region: Arrêté du Gouvernement de la Région de Bruxelles-Capitale concernant la mise en décharge des déchets, 18/04/2002 (MB 17/05/02).

o Flemish region: Besluit van de Vlaamse Regering houdende de algemene en sectorale bepalingen inzake milieuhygiëne, zoals herhaaldelijk gewijzigd en meer specifiek bij besluit van de Vlaamse Regering van 12.05.06 (B.S. 30.06.06)

� Legislation regarding End-of-life tyres management

o Walloon Region: Wallonische Regierung, et al. (2004). Umweltvereinbarung über die Bewirtschaftung von Altfahrzeugen 19.04.2004. Moniteur Belge 12.05.2004

o Flemish region Besluit van de Vlaamse Regering houdende de algemene en sectorale bepalingen inzake milieuhygiëne, zoals herhaaldelijk gewijzigd en meer specifiek bij besluit van de Vlaamse Regering van 13.07.01 (B.S. 19.09.01) e Besluit van de Vlaamse regering tot vaststelling van het Vlaams reglement inzake afvalvoorkoming en –beheer, 05.12.03. (B.S.30.04.04)


3.3.1.2.1 Model

In Belgium, the "extended producer responsibility" is in force since 2005 and it is now well established.

It originated from the "environmental agreements" stipulated between the Government and local authorities of the three Belgian regions (Brussels region, Walloon region and Flemish region) and the representative of the tyres industrial sector (tyre producers, distributors and importers), grouped under the company Recytyre.

The environmental agreements, based on existing regional laws in terms of waste, were negotiated with the aim of recovering used tyres in a sustainable way and describe in detail the objectives and the obligation of all the partners involved.

The existing regional laws which give the framework to the environmental agreements are the following:


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- Arrêté du Gouvernement Wallon du 23/01/2003 (parution au Moniteur Belge le 12/05/2003);

- Arrêté du Gouvernement de la Région de Bruxelles-Capitale du 18/07/2001 (parution au Moniteur Belge le 27/09/2002);

- Het Vlaamse Reglement inzake afvalvoorkoming en -beheer (VLAREA) du 05/12/2003 (parution au Moniteur Belge le 30/04/2004).


The management of ELTs in Belgium starts, as in all the Countries with producer responsibility regime, from the import/export of new tyres in the Belgian market. The following profiles are under the responsibilities of RECYTYRE system:

- Importers of new vehicles in the Belgian market (except for categories M1 and N19);

- Importers of new tyres designed the first mounting (except for categories M1 and N1) as well as to the market of replacement;

- Exporters of new vehicles or new tyres.

These people are responsible for the tyres once they reach their end-of life and become waste and can manage the end of life tyres in two different ways:

- Individually: the involved profiles can organise by themselves the collection and the revalorization of ELTs under their responsibility, but they have to introduce a waste management plan according to regional laws (Wallon region O.W.D.10, Bruxelles region: I.B.G.E.11, Flemish region: OVAM12).

- Collectively: the ELTs collection and revalorisation is managed collectively by Recytyre according to the regional environmental agreement and thus the involved profiles can delegate to Recytyre their obligations on ElTs.

All tyres producers and importers that are members of Recytyre must provide monthly the number of new imported tyres for which the environmental contribution has not been paid at the time of purchase, through a secured website. The collection and revalorisation of ELTs are financed through the environmental contribution coming from tyres subject to recycling.

Besides producers, distributors are people who sell tyres on the market, as wholesale dealers, or garage owners. They are responsible for the tyres once they reach their end of life, both in case of replacement and, since May 2009, in case of new tyres mounted on new vehicles. Distributors are obliged to collect free of charge the used tyres once new ones are bought, according to the "one by one" principle. Replacement of summer tyres with winter tyres is excluded from this principle. ELTs coming from illegal sites, historic stockpiles or from abroad cannot be collected as they are out from the responsibility of Recytyre.

9 Category M1 : vehicles aimed at the transportation of passengers with maximum 8 sits apart of the driver. Category N1: vehicles for the freight transport with a maximum mass not exceeding 3,5 tons.

10http://environnement.wallonie.be/cgi/dgrne/plateforme_dgrne/visiteur/v2/frameset.cfm?page=http://environnement.wallonie.be/administration/dsd.htm

11 www.ibgebim.be

12 www.ovam.be


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Distributors are allowed to take back used tyres also without a purchase of new tyres, for a maximum of 4 tyres per family. ELTs taken back by distributors must be maintained in specific conditions in order to be collected by Recytyre authorised companies for further revalorisation. In particular:

- They must be kept in a dry place before collection by Recytyre;

- Rims must be removed;

- They must be stocked in a container or in a watertight site.

Besides distributors, in Belgian ELT management system an important role is played by waste collection points, that can accept used tyres, although they are not obliged to. The waste collection points must be enrolled among Recytyre's registered subjects in order to exploit the free of charge ELT collection service.

The ELTs collected at distributors' premises or in waste collection points are further collected, treated and recycled by Recytyre through partner companies that must have specific characteristics:

- They must have sufficient and well equipped trucks in order to ensure the collection in every circumstance;

- Their infrastructure and facilities must be adequate to allow for the temporary stock and for delivery of tyres to treatment companies;

- The company must be able to collect ELTs during the opening hours of the collection points;

- The company is responsible for the agreements with the collection points in terms of amount of tyres to be picked up and frequency of collection, in order to minimise the logistics costs;

- ELTs must be identified and separated according to Recytyre's standards depending on their final use. The collector is asked to keep the sorting documents for the whole duration of the contract;

- ELTs must be destined to acknowledged treatment companies to achieve specific preliminary agreed objectives.

An external company is in charge of validating Recytyre's partner companies which have to comply with Recytyre standard. This standard, conceived according to EC and Belgian regional regulations, includes criteria for the validation of partner companies, rules for the collection and revalorisation of ELTs, quantification of ELTs collection and revalorisation fluxes.


In the framework of the producer responsibility approach, Recytyre13 is the main responsible for ELTs management in Belgium. Recytyre has been founded in 1998 by the six main tyre producers (Michelin, Pirelli, Bridgestone, Goodyear, Vredestein and Continental), tyres importers and other players represented by Federauto14 (Confédération du Commerce et de la Réparation automobiles et des Secteurs connexes), including, among others, automotive components and materials manufacturers, tyre importers and tyre sellers.

13 www.recytyre.be

14 www.federauto.be


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Recytyre's administrative committee is composed by 9 people including 5 representatives of tyre manufacturers and producers, 2 representatives of tyre specialists from Federauto, 2 representatives of car dealers and 1 representative for used cars sellers, repair shops and gas stations respectively.

Representatives of Belgian regions are permanent non-active members of the Recytyre meetings, with the main goal to ensure that the obligations in terms of ELTs management and recovery are accomplished. In particular, members of the following organisation for the three beligian regions are involved: representatives of O.W.D. (Office Wallon des Déchets), of IBGE (Institut Bruxellois pour la Gestion de l'Environnement) and of OVAM, (Openbare Afvalstoffenmaatschappij voor het Vlaamse Gewest).

Recytyre is funded by members' contributions.



According to Recytyre (annual report 2009), in Belgium every year about 69.000 tons of end-of-life tyres are generated, resulting from replacement and demolition. About 72% of these are destined to material recovery including granulation, civil engineering applications and steel industry, while 28% are destined to energy recovery (cement kilns) and urban heating. A very small amount of collected ELTs (about 400 tons) are located in temporary stock areas, waiting for revalorisation.

As for the types of tyres collected, about 94% of the recovered tyres are car tyres.


No data available.


Today in Belgium more than 72% of ELTs are destined to material recovery, as for example remoulding, construction and civil engineering, in form of granulate (56%) or powders, while 28% contributes to energy production, mainly through cement kilns. These percentages are well above the limits imposed by authorities (55% minimum of material recovery and maximum 45% of energy recovery on the total ELTs collected).

The Belgian scenario is well defined and no indications of new applications are reported on the RECYTYRE website. The ELT uses in Belgium are summarized in Figure 12.

28%

72%

Energy recovery

Material recovery

Figure 12: ELTs uses in Belgium (Source: Recytyre annual report 2009)


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In Belgium there are 6.000 collection points and about 60 Recytyre partners for the treatment of ELTs, distributed throughout the different regions. As Recytyre partners, these facilities have adequate infrastructures to allow for the temporary stock of tyres before revalorisation and are obliged to monthly fill in an on line form summarising the amount of tyres that they have received for further revalorisation.

As for time of management, once a ELT generation point (distributor) has collected enough tyres, it contact a Recytyre partner authorised to the collection, who picked up the tyres and bring them to a processing facility according to their type. Specific agreements have to be signed between collector companies and collection points to define the frequency of the service.

As for the costs involved, tyres collection by the Recytyre authorised company is free of charge for the distributor. All the costs involved in ELT collection and revalorisation sustained by Recytyre are covered by environmental contribution, which reflects the real cost of the whole supply chain, from collection to revalorisation. Specifically, environmental contribution is charged by tyres producers and importers to tyre dealers on each new tyre put in the Belgian market, and they will charge it on the customer invoice with a dedicated item. The environmental contribution is approved every year by Belgian authorities (OWD for Walloon Region, IBGE for Brussels region and OVAM for Flemish region) and it is subject to VAT (21%). Table 10 summarizes the environmental contributions for 2009 for the different tyres categories.

Table 10: Environmental contribution for 2009 for the different type of tyres


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In the current business scheme, costs vary according to the type of product, derived from end-of-life tyres, required for each application.


Since Recytyre is exclusively funded through environmental contribution that must reflects real costs for ELTs recycling and are approved by Regions, the ELTs management system in Belgium is quite closed and there is small room for new applications and uses of ELTs.

As for the quality of the supplied material, it is guaranteed by Recytyre, that asks to its associated companies to satisfy strict requirements for the storage, classification and treatment of ELTs.

Currently, as from the Recytyre website, there are no verifications or monitoring of the final use of ELTs after they are provided to the end-users.

It is worth mentioning that Recytyre manages a platform for the exchange of used tyres from agricultural vehicles, although these tyres are not subject to producer responsibility and thus to Recytyre obligations. According to Recytyre estimations, the ELTs from agricultural vehicles are more than 130.000 tons, almost twice the Belgian market of ELTs from other vehicles. In this framework, these ELTs represent an important resource if appropriate recycling and revalorisation routes are found.


No evolution in short term is expected.




In October, the European Investment Bank (EIB) and the Walloon Region’s Minister of Public Works signed EIB loan contracts worth 375 million euro for financing works in Belgium’s Walloon Region, in particular 250 million euro will be destined to the road network and the remnant to the development of the inland waterway system. According to EIB, transit traffic is extremely dense and has grown enormously on the Walloon road network, leading to the deterioration of communication links, urgently requiring major construction and upgrading works to be carried out on the roads and inland waterways across the region. The EIB will be a partner in these major works as part of its support for EU transport policy, a priority objective combining regional integration and economic development with the construction of modern, safe and sustainable transport infrastructure.

The 250 million euro loan for the regional road network will be devoted to rehabilitating and upgrading roads, motorways and bridges on the trans-European transport network (TEN-T) and/or in convergence areas, all of which also form part of the Walloon Region’s infrastructure network, which covers 1 800 km and accounts for 52.3% of road traffic on the regional network. To upgrade the whole network, 575 individual schemes were identified, of which 434 qualify for EIB support. Thanks to the EIB loan, it will be possible to implement nearly 75% of the “Roads Plan” within the next five years.


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Belgium developed an excellent transportation infrastructure of ports, canals, railways, and highways to integrate its industry with that of its neighbours. It is at 21th place in the of World Economic Forum ranking on infrastructures for 2010-201115. Concerning the quality of road and railways infrastructures, it is ranked 21st and 11th respectively. Furthermore, Belgium is at the crossroads of several major North-South and East-West transport arteries, and thus the quality of its transport infrastructures is crucial for the whole European mobility.

The growth of residential, commercial and industrial land went hand in hand with the growth of road infrastructure. Figure 13 shows that the number of km of road infrastructure increased significantly between 1970 and 2007, from 94.218 km to 153.076 km. This is an annual growth rate of 1.3 %, while during the same period the rail infrastructure decreased at a rate of -0.6 % per year.

This extension of road transport infrastructure can be ascribed to the position of Belgium in Europe. Belgium is located at the centre of western Europe and is an important centre of transit. The country’s economic activity, which is strongly export oriented, is based on a dense road and rail network (one of the densest in the EU)16. The road infrastructure density is very high in Belgium, with 4.99 km per km² of territory in 2005. After Malta, Belgium is the EU country with the second highest density of the total road network. The density of highways is also particularly high with 5.8 km/100 km² of territory in 2007 (11.59 km/km² in the Brussels region, 5.15 km/km² in the Flemish Region and 4.74 km/km² in the Walloon Region)17. Per thousand km², Belgium has four times as many motorways as the EU average.

The density of rail infrastructure is lower, with 0.12 km per km², but is very high in comparison with other European countries. Belgium has the second densest rail network in the EU (after the Czech Republic)18, about twice as dense as the EU average.


16 Eurostat, Federal Public Service Mobility and Transport, and Directorate-general Statistics and Economic information.

17 Studiedienst van de Vlaamse Regering. http://www4.vlaanderen.be/dar/svr/Cijfers/Pages/Excel.aspx. Data from Federal Public Service mobility and transport and Directorate-general Statistics and Economic information

18 Belgium's fifth national communication. Climate Change


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Figure 13: Evolution of Belgian transportation network (railways, roads and water) from 1970 to 200719

In Belgium, road transportation is still the most diffused mean for passengers and freight, although efforts have been made by government to increase other transportation means.

Overall freight traffic volumes have been increasing since 2005. and today 72% of freight is moved by road transport, 10% through railroad and 14% by inland navigation. The road transport is growing faster in Belgium due to two main factors

1. The recent choice of Belgium as European Distribution Centre for the logistics of a great number of multinationals, due to the exceptional location, road network and logistics-know how of the country;

2. The fast expansion of the port of Antwerp, a main gateway to Europe for container goods coming from overseas, especially China. For Belgium this trend means an expansion of road transport from 196 millions tons to 240 million tons by 2015;

Only road transport could react fast enough to these two new growth factors, though huge investments are planned in all modes. Railroad freight transportation instead is still quite low, notwithstanding efforts to increase the part of railroad transport in the modal split.

For what concerns passenger traffic, railways transportation is growing continuously, as all other forms of public transport, due to government efforts at a modal shift for commuters and a more attractive commercial attitude of the rail road company.

Figure 14 shows the freight and passenger traffic by transportation mode according to the last available data on 2006 by UNECE20.

19 "European road statistics" report, 2009

20 http://www.unece.org/trans/doc/transsitdocs/2006belgium.pdf


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14%

11%

75%

Raylwaystransportation

Roadtransportation

Inland navigation

Figure 14: Total passenger and freight traffic in Belgium for 2006

(Source UNECE)


Belgium has three main geographical regions: the coastal plain in the north-west, the central plateau, and the Ardennes uplands in the south-east. The coastal plain consists mainly of sand dunes and polders. Polders are areas of land, close to or below sea level that have been reclaimed from the sea, from which they are protected by dikes or, further inland, by fields that have been drained with canals. The second geographical region, the central plateau, lies further inland. This is a smooth, slowly rising area that has many fertile valleys and is irrigated by many waterways. The third geographical region, called the Ardennes, is a thickly forested plateau, very rocky, which extends into northern France and in Germany. Belgium's highest point, the Signal de Botrange is located in this region at only 694 metres.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, inefficient Government Bureaucracy is the second most problematic factor for doing business in Belgium.

In Belgium, the sector of public works group few large companies and many small and medium sized enterprises. Usually the average company size depends on the type of works in which it is specialized, the companies involved in transportation infrastructures being usually larger than the average.

Table 11 shows a list of the major contractors of transportation infrastructures. For each company, the main activities are reported, together with turnover (where available) and main commissioning bodies.

Table 11: List of major contractors of transport infrastructure works (source: regional construction confederations websites)




Colas Belgium Public bodies, road

managers Construction of roads and transport infrastructures 199 for Belgium in 2009

Aswebo NV Public bodies, road

managers

Construction of roads and transport infrastructures, from

foundations to pavement n.a.


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NV-D. Stadsbader- Flamand

Public bodies, road managers

Road works and construction, drainage n.a.

Eurovia (Vinci Group)

Private and public bodies Roads and highways, railway, light-rail, and subway lines, airport and

light-rail platforms 8000

BAGECI- CFE Private and public bodies Construction of bridges, roads, civil engineering infrastructures

n.a.

Entreprises Générales Louis Duchene

Private and public bodies Civil engineering works, railroads

and road works n.a.

The three Belgian Regions (Flemish region, the Brussels-Capital Region and the Walloon Region) have powers relating to public works and transports, except from railways. They are thus the main commissioning bodies for new transportation infrastructures, together with the companies who manage the road and highway networks in each region.

For example, the Walloon Region has started a close collaboration with SOFICO (Société Wallonne de Financement Complémentaire des infrastructures) and with the European Bank of Investments (Banque Européenne d'Investissement) for the realisation of new road infrastructures which require large economical and technical resources.

As an important player in the transportation infrastructure sector, it is worth mentioning the Belgian Road Research Centre (BRRC), a public utility research institute created in 1952 by application of a decree-law of 1947 aimed at promoting research in industry. BRRC has built a solid reputation at both the national and international levels as an impartial trend-setting centre for research in the areas of road design, construction and maintenance. It closely cooperates with all the actors involved in road construction and each Belgian or foreign accountable contractor for road works is required to contribute to BRRC a 0.8 % assessment on the total costs of the works he carries out in Belgium, regardless of whether those works have been awarded by open or limited tendering or are performed under private contracts.

For what concerns railways network instead, Infrabel, a limited liability company of public law part of the SNCB Group, is responsible for the management, maintenance, renewal and development of the Belgian railway network. In 2009, Infrabel invested about 150 M€ in new high speed and regional lines.

Usually, contracts are awarded through public open or limited tenders published by Commissioning Bodies, based on different parameters, including the nature of the work to be realised, its size, and other parameters defined by the administrative responsible of the tender. There are no limitations in the participation to public open tenders if the company has all the requirements for the execution of the work, both from the technical and financial point of view.


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3.4 Luxembourg


3.4.3.1 Legislation

� Legislation regarding Landfilling o Law of 17 June 1994 on the management and prevention of Landfill. o Regulation of “De Grand-ducal du Luxembourg”, 24th February 2003 concerning

the management of Landfill and applying the directive 1999/31/CE.


3.4.3.2.1 Model

The Regulation of “De Grand Ducal de Luxembourg”, modified in February the 24, 2003 and implementing Directive 1999/31/EC on the Landfill prohibits the deposit of whole used tyres in a landfill since July 16, 2001; tyres used as materials for the development of the landfill and shredded tyres are so far excluded from this ban.

Luxembourg has not defined a specific legislation for the disposition of ELT. So ELT are collected by the municipalities through their licensed collectors (“intercommunal union”) as the other waste listed in the category “other waste that are suitable for valorisation” such as paper, packages, or plastics.

The collected tyres are given mainly to private companies for energy recovery in the domestic market; another amount is given abroad for the processing. Some shredded tyres return in Luxembourg for energy recovery.

The system chosen for managing ELT in Luxembourg is the regime of “Government Responsibility”. It is organised and carried on by the government and the local authorities (that are responsible for the fulfilment of the legislation). It is financed thought a tax paid by who produces the waste (tyres in this case) in the moment it is originated.


Municipalities, through their licensed collectors, have a general obligation to ensure the collection of rubber and tyres generated by private citizen. They can also bring tyres and rubber to one of the “selective recycling centres”, located across Luxembourg.

The tyres of trucks, tractors or construction equipments as well as the tyres and rubber produced by business activities are not accepted in those centres and have to be given only to licensed collectors.

At the moment, in Luxembourg there is no processing facility for treating end of life tyres; the quantity of ELT generated does not allow achieving a minimum threshold of economic effectiveness to build a domestic facility that shreds tires. Thus, many tyres collected are exported to other countries for the grinding and the final recovery. The recipient countries are: Germany (87, 5%), followed by Belgium (7, 9%), France (4, 2%) and Austria (0, 4%).

However, the use of rubber as fuel consumes a larger amount of ELT than those exported for grinding.


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Each commune of Luxembourg is member of an intercommunal union responsible for one or more aspects of waste management. There are three "major" unions: SIDEC SIGRE. SIDOR.

Sidec: Founded in 1972, the municipal association SIDEC provides complete waste management for the 55-members located in the northern side of the country (half of the area of the country).

Sidor and Sigre are responsible for the collection and incineration of the waste respectively in the south west and south east of the country.

Other unions (Minett-Kompost, SIAS, SICA, SIVEC, STEP, SYCOSAL) work in the south as well but perform specific activities (as the value added processing).



The volume of rubber and tyres collected has remained relatively steady in recent years (Table 12).

Table 12: Rubber and tyres collected (Tonnes) from 2000 and 2005 in Luxembourg

Source: Plan general de gestion des dechets (January 2010, Luxembourg)


Information about present illegal dumping is not available, as well as about previous stock still to recover. However, the little amount of ELTs generated and the consumption rate of ELTs for energy recovery (that lead to importation of shredded tyres from other countries) suggested that there are little stocks, considering the temporary storage waiting to be processed.


In Luxembourg the recovery options of used tyres considered so far are:

- The reuse of used tyres according to its proper function: This is the case of second hand tyres (a limited practice for reasons of security) and retreaded tyres. That is the best possible recovery for the tyres of trunks, but it is not so common, nor interesting for the other type of used tyres.

- The valorisation of the rubber from used tyres as a "raw material": This is the case of:

o the crumb rubber: the aggregation of shredded tyres can be used in the manufacture of new products such as coatings soil, sealants or noise barriers;

o the regeneration of rubber: used rubber undergoes mechanical, chemical and other treatments to obtain a high quality raw material. This is then reintroduced into mixtures of new rubber.


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- The valorisation of the used tyres as whole tyres: the whole end of life tyres can be applied in road constructions: such as binder, reinforcing land or in landfills, in order to lightening the structure; they can be used to reduce the vibrations coming from the trains. Those applications are currently in an experimental stage though.

- The energy recovery: the incineration of rubber and used tyres in kilns exploits the calorific value of those materials. For this reason they can be used in the cement industry as an alternative fuel.

Figure 15 presents the recycling operations of tyres and rubber in Luxembourg:

65,2%

19,7%

3,0%12,1%

Energy recovery

Recovery of organic materials

Recovery of metal compounds

Temporary storage

Source: Plan general de gestion des dechets (January 2010, Luxembourg)

Figure 15: The recycling operations of tyres and rubber (2005) in Luxembourg

Since the market for the reuse of the crumb rubber is limited, the energy recovery is the most effective application for recovering ELTs.

CIMALUX (located in Rumelange) is the authorized (from 2005) private facility that use waste as secondary fuel and raw material for the production of clinker.

In recent years, Luxembourg imports also shredded tyres to be incinerated in cement kilns five times more than the amount exported. The properties of used tyres make them a very convenient alternative fuel. The amount of importation and exportation in 2005 were: 25.700 tons (import) vs. 23.900 tons (export).


The government has set an ECO contribution for tyres that is calculated according the quantity (from 1 euro). Private Citizens and business activities pay this levy when they leave the tyres to the collection sites or to the treatment site.

Other information is not available because there are no processing facilities in Luxembourg.


The information about the prices for purchasing/giving ELT for the recovery within Luxembourg (mainly energy recovery) or abroad is not available.


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This information is not available. For much information it needs to contact directly the processing companies.






Table 12 reports the data on public investment expenditure (Million Euros) in Luxembourg over the period 2000-2006:

Table 13: Luxembourg public funding (€M)

Source: Luxembourg National Budget; European Commission.

The vast majority of the funds for transport infrastructure came from the Luxembourg public sector. Little data is available on transport infrastructure funding to indicate the origin of the funds split between national and local levels. In general, since Luxembourg is a small country, nearly all decisions are taken at the national level and thus funding for infrastructure projects originates from the national level.

67,2%

22,4%

0,1%7,3% 2,9%Road Network

Railways

Waterways

Airports

Other modes of transport

Source: Source: Luxembourg National Budget.

Figure 16: Luxembourg Public Investment in transport infrastructure by mode: 2000-2006 (Total investment of the period: €1,024 M)


According to the World Economic Forum, Luxembourg occupies the 16th position in the world ranking for the quality of overall infrastructure; the 11th for the quality of roads and the 17th for the quality of railroads infrastructures.


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Table 15 and Table 14 shows the length of the road and rail networks has changed very little in the last ten years (2001-2009).

Table 14: Total road network (km) (2001-2009) in Luxembourg

Sources: Eurostat, Statec (lu)

Table 15:Total Operative Rail networks (km) (2001-2009) in Luxembourg

Sources: Eurostat, Statec (lu)

The freight traffic transiting in Luxembourg has diminished recently; the crisis affected each modes of transport. The railways and air transports have suffered more than the other two modes: road and waterways (Table 16).

Table 16: National and International Freight traffic (thousand of tonnes)_Year (2004-2009) in Luxembourg

Source: Eurostat

The air transport serves only for the international exchanges; not considering it, the road network is the principle mode both for goods (Figure 17) and passengers (Figure 18). The waterways is not used for the transport of passengers.

78%

10%

12%

Road Transport

Railways Transport

Waterways Transport

Source: Eurostat

Figure 17: Freight transport by mode (2008) in Luxembourg


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4%

96%

Railways

RoadNetwork

Source: Eurostat

Figure 18:Passenger transport by mode (2008) in Luxembourg

According Eurostat, in 2007 (before the decrease of transport due to the international economic crisis), the freight transport by road reached 57.874 million of tonnes per km (road) and by railways it was 8.266 million of tonnes per km (rail); the passenger transport were respectively 7.320 million passengers/km (road) and 316 million passengers/km (rail).


Despite its small size, Luxembourg has a varied topography, with two main features to its landscape. The northern third of the country, known as the 'Oesling', is formed by hills and a part of the plateau of the Ardennes, where the mountain heights range from 460–610 m high.

The southern two-thirds of the country, called the "Gutland", are made up of undulating countryside with broad valleys. The capital, Luxembourg City, is located in the southern part of the country.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the second most problematic factor for doing business in Luxembourg.

Before the examining stage in order to assign a contract for a public procurement, the government commission (within the ministry of public works) examining the bids assesses if they respect the minimum requirements for entering the selection stage. The commission requests more information in case of prices 15% lower than the mean of the all prices considered in the process; the analysis is facultative when the overall price or some components prise result suspicious considering the normal range in the market for that service/products.

Afterwards, during the selection stage, the examing commision considers many criteria (technical, financial, economic, environmental and social) for choosing a candidate; another important criteria involve the management as the duration of the work.

Those elements are weighted conveniently according the public procurement, but in many cases the price is the driving aspect.

More information about the procedures for taking part to a public procurement can be found in the website of the ministry for the public procurement in Luxembourg: http://www.marches.public.lu/


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3.5 Greece


3.5.1.1 Legislation

� Legislation regarding Landfilling o Ministerial decree number 29407/3508/2002 (1572B/2002 G.U.) - harmonization

with EU directive 99/31/EC. o Ministerial decree number 22912/1117/2005

� Legislation regarding End-of-life tyres management o N 2939/01 regulation number 2939/01) o Ministerial decree number Π∆ 109/04


3.5.1.2.1 Model

In Greece, the "extended producer responsibility" originated from the first forbidding to put used tyres on waste disposal sites in 2003, and it is in force since 2004.

The Greek situation is now well established and the ELT management is regulated by the Ministerial decree number Π∆ 109/04, which defines criteria for the recovery of used tyres.


In Greece, as in the other Countries where producer responsibility is in force, the ELTs management starts from the introduction of new tyres in the Greek market. Tyres producers and importers are thus the first subjects involved in the ELTs management system. They must introduce on the Greek market only certified tyres and, according to regulation n. 2939/01 and decree n.109/04, they must ensure their correct recycling once they reach their end of life, through energy recovery or material recovery. There are currently about 3.000 ELTs generation points in Greece.

ELTs producers (distributors and also end users) must hand them out to authorised collectors affiliated to Ecoelastika, the company in charge of ELTs management in Greece, or alternatively they can bring them to authorised collection points of the Ecoelastika network. Authorised collectors responsible for a specific geographic area can be contacted directly by ELTs producers or by collection points if they have stored at least 60 ELTs of type A, 10 ELTs of type B or 45 ELTs of type C. Description of different types of ELTs are reported in the following Table 17.

After each tyre load, distributors and collection points must release to the collector a receipt indicating the amount and type of ELTs collected and destined to revalorisation.

Collectors are authorised by Ecoelastika through national licenses and, between 2004 and 2006, Ecoelastika has further extended the network of collectors, that now cover the whole Grecian territory. Each region has an authorised collector for a total of 9 companies and collectors can serve more than one region if required by the ELTs flux.


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After collection, ELTs are first stocked in temporary stock centres and then delivered to the treatment facility, where they are shredded, granulated or reduced to powder or to energy recovery, where they can be used without further treatment. Treatment facilities must be certified by Ecoelastika.

Table 17: Classification of tyres in Greece

ELT type Description

Type Α

* Car tyres

* Tyres from commercial vehicles for the transportation of persons and goods with rim diameter lower than 17,5 inches

* Tyres from agricultural front-wheel drive vehicles

* Tyres from industrial vehicles (cherry pickers, etc), with rim diameter lower than 12 inches.

Type Β

* Tyres from commercial vehicles for the transportation of persons and goods with rim diameter larger than 17,5 inches

* Tyres from agricultural rear-wheel drive vehicles

* Tyres from industrial vehicles (cherry pickers, etc), with rim diameter larger than 12 inches..

* Tyres from vehicles used in civil engineering.

Type C * Motorcylce tyres


In the framework of the producer responsibility approach, Ecoelastika is the only qualified company for ELTs management in Greece, as stated in decreed n.ΦΕΚ 1145/28-07-2004) and ΦΕΚ 1916/24-12-2004). Ecoelastika has been founded in 2002 but started its activities in 2004 as a no profit organisation; it became then a joint-stock company for fiscal reasons. The main shareholders are tyres importers and vehicles importers who introduce tyres in the Greek market: at the moment, they are 116 tyre importers and 84 vehicles importers, corresponding to 98% of the whole Greek market for tyres and vehicles.

As shown in Figure 19, Ecoelastika resources are primarily devoted to transportation costs and to the payment of gate fees to recycling companies. To achieve a balanced budget, if revenues exceed costs or viceversa, Ecoelastika modifies fares proportionally.


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Figure 19: Budget of Ecoelastika in 2007

Ecoelastika devotes almost 2% of its budget to marketing activities and awareness campaigns addressing both public opinion and actors involved in the tyre market, to promote and diffuse knowledge on the management and recovery of ELTs in Greece. In particular, a specific initiative on field has been conceived to explain the Ecoelastika ELTs management system and to illustrate the location of the collection points.



According to Ecoelastika, the objectives reported in decree n. 109/2004 were achieved already in 2006, with the collection of 65% of ELTs and the recycling of at least 10% of them. Currently, in Greece every year are collected on average about 50.000 tons of used tyres and the actual percentage of recovered tyres can achieve 100%. According to ETRMA report of 2010, in 2009 Greece generated 59.000 tons of ELTs.


No data about landfill in Greece.


In Greece, the authorised revalorisation routes are, a part from re-use and re-treading, the use for energy recovery, as well as the shredding or chopping for material recycling. Material recycling include realisation of absorbing floors, sports grounds and moulded objects.

The ELT uses in Greece are summarized in Figure 20.


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7%14%

78%

1%

Temporary storage

Energy recovery

Material recycling

Export

Figure 20: ELTs uses in Greece in 2007 (Source: Ecoelastika)

According to Ecoelastika, the majority of ELTs are destined to material recycling (78%), mainly in form of granulate or powders. Energy recovery covers 14% of the revalorised tyres, while 1% is exported, for energy recovery applications as well.

It is interesting to note than in Greece 7% of collected ELTs are in temporary storage sites waiting for revalorisation. To address this problem, Ecoelastika is continuously looking for new applications and uses of ELTs, that could help to reduce this amount of non-valorised resources.

Considering that granulate and powders market is already saturated due to the predominant use of ELTs in material recovery, civil engineering applications represent a very good alternative as they require large quantities of (mainly) whole or shredded tyres, less expensive to produce. In this sector, some applications have been already realised as:

- Modified bitumen with tyres rubber; - Insulating materials for dumps, based on shred tyres layers; - Road pavements based on shred tyres; - Reinforcement of retaining walls with whole or shreddded tyres; - Acoustic panels for roads.

Within the project on modified bitumen, Ecoelastika has developed technical specifications customized for the Greek territory, in collaboration with other European Countries with similar geographical and climatic characteristics.

According to Ecoelastika, in order to further develop similar initiatives and new applications of ELTs, specific norms and regulations authorising the use of tyres in different contexts need to issued by the Greek government.


As already said, in Greece the majority of ELTs are used in material recovery applications, in form of granulate or powder. Processing facilities are thus mainly devoted to the production of these ELTs byproducts.

As for time of management, it depends on the amount of ELTs generated in a single generation point, as described in section 3.5.1.2.2. Once a ELT generation point (distributor) has collected enough tyres, it can contact an authorised collector to pick up the tyres, releasing a receipt indicating type and amount of tyres taken back.

Treatment facilities sell then the ELT derived material (shred tyres, granulate or powder) to the recycling companies according to specific quality standards and in the framework of contracts drafted periodically. .


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As in the majority of Countries adopting producer responsibility model, also in Greece an eco-contribution is foreseen which is quantified year by years and is charged to the customer when a new tyre is bought. Every three months, the importers or sellers of tyres must report to Ecoelastika the amount of new tyres put on the Greek market and pay the corresponding environmental contribution, which finances Ecoelastika's activities.

Table 18 summarizes the environmental contributions for 2010 for the different tyres categories.

Table 18: Environmental contribution for the different type of tyres. Tyres exceeding 1.400 mm diameter are not subject to environmental contribution.

ELT type Environmental contribution (VAT excluded)

Type Α € 0, 70 /tyre

Type Β € 4,00/tyre

Type C € 0,25/tyre


In the current business scheme, the costs for the end users of ELT derived materials vary according to the type of product and specifications required for each application. The price is fixed in the contracts stipulated between Ecoelastika and the recycling company (end user).


No relevant considerations to be mentioned.






According to Business Monitor International21, in spite of the recent financial and economic fallout, Greece’s infrastructure sector is one of the most attractive in Europe. The combination of opportunities for large greenfield (i.e. new projects and developments) and brownfield (i.e. existing

21 www.businessmonitor.com


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assets) deals, coupled with a positive track record on public private partnerships (PPPs), supports this view. The dire condition of Greek public finances has prompted the government to seek investments that can jump-start growth and therefore there is upside potential for the PPP and concession sector. The newly established Infrastructure Ministry is launching tenders for airports, motorways, metros and trams. The Country is carrying on an important programme of infrastructure projects with the support of European Union: as a result, every level of transport will be upgraded.

In July 2010, European Investment Bank (EIB) has announced a loan of two billion euros to Greece for infrastructure in the country, to help Greece, struggling with a huge debt crisis, to fund nearly half its four-billion-euro share of proposed transport, renewable energy, waste management, research and other development projects overall worth 21.5 billion euros. The other required resources are coming from the European Union and other sources. Half of the EIB loan has been earmarked to upgrade a railway from the southwestern port of Patras to the Bulgarian border and link it to the new container terminal of Neo Ikonio near the main port of Piraeus.


Greece is at 42nd place in the of World Economic Forum ranking on infrastructures for 2010-2011, referring to infrastructures. The same report indicates that it is at 57th and 64th places respectively for what concerns quality of roads and railroad infrastructure.

The Greek road network is 117.000 km long, including islands, about 110.000 km of which are paved roads. Highways were 1.600 km in 2010, but are expected to grow up to 2.800 km by 2015. National roads represent important connection lines between the most important towns of Greece, and are usually wide with emergency lane.

The Greek highways network is being expanded through the construction of new road sections, funded by private investors, PPPs or government and EU investments. The map in Figure 21 shows the existing and planned projects for the extension of Greek highway network.


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Figure 21: Existing and planned projects for new highways in Greece

At the moment, the Greek railways network accounts for 2.572 km, of which 764 are electrified. The majority of lines are standard gauge lines, while 1.000 km have narrow gauge. Investments are planned to extend the high speed lines network as well as the standard network. All projects included in the Modernisation Program of the Greek railway network are incorporated into the Trans-European Networks of high-speed or combined transport.

Although it is slightly decreasing in favour of railways transportation since 2004, road transportation is the most diffused way to move freight in Greece, accounting for 97% of the total transported freight, as shown in Figure 22, where the freight traffic as a function of transportation mode is reported.

3%

97%


Roadtransportation

Figure 22: Total freight transportation in Greece for 2007 by mode (ton/km)

(Source Eurostat)

As for passengers transportation, according to the last available data on 2007, the total number of passenger-km has increased (+4% with respect to 2005). Road transportation is also the most


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diffused transportation mode for passengers accounting for almost 90% of the total passenger traffic (see Figure 23).

2%

98%


Roadtransportation

Figure 23: Total passenger traffic in Greece for 2007 by mode ( pass/km)

(Source Eurostat)


Greece consists of a large mainland; the Peloponnese, a peninsula connected to the southern tip of the mainland by the Isthmus of Corinth, and around 3.000 islands. Greece has 15.000 kilometres of coastline. Eighty percent of Greek territory is mountainous, and the Country is one of the most mountainous countries of Europe. The Pindus, a chain of mountains lies across the center of the country in a northwest-to-southeast direction, with a maximum elevation of 2.637 m. Extensions of the same mountain range stretch across the Peloponnese and underwater across the Aegean, forming many of the Aegean Islands including Crete, and joining with the Taurus Mountains of southern Turkey. Central and Western Greece contain high and steep peaks dissected by many canyons and other karstic landscapes. Mount Olympus is the highest point of Greece, rising to 2.919 m above sea level. The Rhodope Mountains form the border between Greece and Bulgaria. Plains also are found in eastern Thessaly, in central Macedonia and in Thrace. These flat areas are strategic areas for the country, and thus offer good opportunities for the realization of embankments. Western Greece contains lakes and wetlands.


According to the “Global Economic Competitiveness” report (2010) published by the World Economic Forum”, Inefficient Government Bureaucracy is the first most problematic factor for doing business in Greece.

In Greece the sector of public works and infrastructures accounts for few large groups and small and medium sized companies, which have suffered from the financial crisis of the Country that have reduced investments.

The sector of infrastructures has been recently re-organised through the constitution of the new Infrastructure Ministry, in charge of planning and implementing national policy and creating the appropriate institutional framework for the development of top quality transport, mass-transit, telecom and postal services. The new Ministry has issued a new regulatory framework for the realization of public infrastructure works, which includes the implementation of a pre-construction phase. During this phase, issues that would typically cause delays and project cost overruns, such as land clearances, archaeological studies and environmental impact assessments, will have been settled before the project is awarded, allowing for the immediate beginning of the construction phase once contractors sign the agreement. This regulatory change has been seen form international investors as a very positive step which may induce a faster and more efficient turnaround of


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projects, very important in a country with such a heavy bureaucratic edifice as Greece, benefiting also SMEs of the sector.

The first infrastructure contract under the new regulatory framework has been awarded in April 2010: it involves construction of a dual carriage highway that will connect the western part of the under-construction Ionian Highway (Ionia Odos) at Amvrakia to Aktio, the first major infrastructure project to be awarded in Greece in over a year.


Table 19: List of major contractors of transport infrastructure works (Source: companies websites)




Ellaktor S.A. Public and private

subjects

Leading group in the Greek construction and infrastructure

sector (including highways, tunnels, bridges)

2000

GEK-Terna S.A. Public and private

subjects

Large group operating in construction and infrastructure

sector 416

J&P Avax Public and private

subjects Transport infrastructures, civil

engineering works and real estate 60

AEGEK Public and private

subjects Civil engineering, road and

railways works 15

Michaniki Group Public and private

subjects Civil constructions, public works road and highways construction

226

Ionios S.A. Public and private

subjects

Large enterprise operating in many construction sectors, in particular civil engineering works and road

works

n.a.

The main commissioning bodies for transport infrastructures are public, in particular:

- Local Authorities, as Cities ;

- The Government itself, through Ministries;

- Large public entreprises ;

- Private companies, as the highway managers, commission part of the public works, mainly transport infrastructures.

Usually, contracts are awarded through public tenders published by Commissioning Bodies, in agreement with the rules of public bids. For the purposes of the RECTYRE project, it is very


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important the new regulation for the realisation of public works described above, which may encourage new investments in transport infrastructures.


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3.6 Germany


3.6.1.1 Legislation


o Landfill directive99/31: Ordinance: Verordnung über Deponien und Langzeitlager, 24.7.2001, BGBl. I S. 2807 (Ordinance on Landfills and long term storages) which contains a ban of tyres landfilling.


o LAW: Gesetz über die Entsorgung von Altfahrzeugen, 21.06.2002, BGBl. I, Nr. 41/2002 (Act on the disposal of End-of-life Vehicles), which contains an obligation for ELTs recovery.

o ORDINANCE: Altfahrzeug-Verordnung, neugefasst durch Bek. v. 21.06.2002, BGBl. I, S. 2214 (Revised End-of-life Vehicle Ordinance)


3.6.1.2.1 Model

In Germany ELTs management is under the free market regime, which means that the regulations of handling, storage, import and export of end-of-life tyres are set by the legislation but are not allocated by it. With this method everyone in the system is working under free market conditions but acts at the same time under the legislation. Scrap tyres can be purchased at low price as long as all regulation is met, since there is no organization controlling ELTs management. The leading factors are companies, who are responsible for making a good reasonable price.

According to the German constitution, waste management belongs to the field of concurrent legislation. That means that the Federal Government has the right to adopt the waste management legislation and the competence of the provinces is restricted to the fields where no federal legislation exists. Two ordinances contain regulation about waste tyres:

- Ban of landfilling in the Ordinance on Landfills and Long Term Storages;

- Obligation for recovery in the Act on the disposal of end-of-life vehicles.

Import to Germany and the export of scrap tyres have to be submitted to authorisation.22


In Germany, scrap tyres can be collected directly by scarp tyres generation points which include tyre manufactures, firms which retail tyres, garages, vehicle wreckers and large transport companies. It is a voluntary return system and the generation points can charge a fee for taking the recycled

22 Kürsteiner, Jürg 2008, p.13 -18


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tyre from the end user in return. Used tyres can also be collected by the collector companies. About 60.000 sources of generation points are present in Germany, most of them being tyre collecting companies. After the tyres have been collected or brought to the tyre collecting company they get temporarily stored until they are sorted in:

- Part-worn tyres, which can be reused again for domestic or abroad use;

- Carcass tyres, which have to be reconditioned domestically or abroad;

- End-of-life tyres, which are recycled domestically or abroad.

After the tyres have been sorted into their classes part-worn tyres and carcass tyres are being resold to new customers. ELTs treatment (shredding, granulation, etc.) can be done either by collecting companies or directly by the end user. For example, usually shredding for the energy recovery use is done by collectors while ELTs destined to material recycling are stored until they are resold to end users companies, which then treat them to obtain the desired by-products.

In this framework, the competition within collecting companies is enormous and it is in general profitable for the customers and sellers. However, to secure consumers from corruption a list with certified tyre recycling companies or tyre collecting companies has been created (“Zertifizierte Altreifen-Entsorger – ZARE (Certified tyre recycler))23.


In the framework of the free market regime, in Germany there is not a single organisation responsible for ELTs management, but many collector and recycling companies are present in the German market, competing on quality, services provided and prices.

The most important recycling company is Genan24, the largest recycler of scrap tyres in the world. With its three large plants in Germany (two in operation and one under construction), Genan is able to recycle 30% of all German ELTs. Furthermore, the company is active also abroad, with a plant in Denmark which processes 90% of all Danish scrap tyres and a company office in USA. (Genan Inc.) selling finished products for artificial turf and playgrounds, and with the aim to build 4 large recycling plants in the near future. An important part of Genan’s strategy is to develop new applications for the end products and thus it invests many resources in this area. Genan aims to process by 2018 10% of the whole ELTs generated in the world. Genan’s end products are new raw materials of very high quality, mainly granulate and powders for material recovery purposes. The rubber powder and granulate are extremely uniform in size and clean and this makes them suitable for sophisticated and high-value applications.

Besides Genan, many smaller companies are operating in the German market in collecting, treating and recycling ELTs. Usually, they collect used tyres of different types (car, motorbike and truck tyres), classify them in partially worn and end of life tyres and sell them to be reused or to be destined to recovery/recycling. Some of these companies have also facilities to shred ELTs. The amount of ELTs that can be provided by these companies depends on their size, and the characteristics of the provided products have to be discussed case by case.

23 Mit vereinten Kräften gegen schwarze Schafe 2004, ZARE Zertifizierte Altreifen-Entsorger

24 http://www.genan.eu/


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According to ETRMA (annual report 2010), every year about 570.000 tons of used tyres are collected in Germany. The average annual amount of collected old tyres in year 2009 was approximately 571.000 tons, 443.000 of which were classified as end-of-life tyres. In Germany all produced ELTs are recycled and also a 1% more coming form other countries is recycled thanks to the expansion of the capacity of cement kilns and granulate facilities.


According to available official data, landfilling is not present in Germany.


Today in Germany about 67% of ELTs are destined to material recovery in form of granulate or powders (artificial turf, asphalt or modified bitumen, playgrounds) while the rest will contribute to energy generation, mainly in cement kilns.

The largest recycling company in Germany, Genan, is always investigating new high added values applications for ELTs, although it produces mainly granulate and powders to be used in numerous applications, currently the most important being modification of asphalt and bitumen, infill in artificial turf and industrial rubber applications.

No important civil engineering applications are mentioned in Germany, according to available information.

The ELT uses in Germany are summarized in Figure 24.

33%

67%

Energy recovery

Material recovery,including civilengineering

Figure 24: ELTs uses in Germany (Source: ETRMA report 2008)


Due to the free market regime, it is very difficult to describe in details characteristics of processing facilities, as they depend on the single companies, on their size and on their internal organisation. Small collectors and treatment companies are able to provide mainly whole or shred tyres in a very large range of prices and quantities, due to the fact that many of them are also selling used tyres good for retreading. For example, according to a market survey carried out by a Finnish company to evaluate the possibility to import tyres from Germany25, many of them can provide up to 10.000

25 Christin Walter and Milla Kemppainen Market Research – Tyre Recycling in Finland and Germany Case: Humuspehtoori Ltd


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tons of tyres at a price ranging from 10 to 200 €/ton. Some of them also pay the customer to take back whole ELTs (30€/ton) or give them for free if shredding is required.

Within this variegated scenario, more detailed information on processing facilities can be obtained from Genan, being a very large company recycling 30% of German ELTs. Genan has its own collectors which pick up ELTs from the generation points. When collectors arrive, the tyre quantities first have to be weighed and registered in order for the right settlement to take place. Automatic cranes above the tyre pit ensure that the tyres are removed continuingly from the part of the pit closest to the gates. The cranes also feed the assembly lines with tyres for the shredders to the extent they ask for them. The shredders step down the tyres in big pieces, also called chips of 25-50 cm.

Operating efficiency is achieved through the modular structure of the plant with parallel redundant units in all the important areas of the process, which avoid to stop production if one unit is out of operation. Furthermore, a fully automatic PC/PLC control and monitoring technique is used minimising staff and operating costs. Genan has its own engineering department, which is in charge of the development and preparation of for instance shredders, granulators and mills. Quality control analyses are carried out to ensure purity and homogeneity of the products (less than 50 grams of impurities per ton).

Genan only runs large plants with a very high product flows. This, together with the unique technology, ensures extremely consistent and uniform products. Genan operates with 3 standard plant sizes with input capacity scrap tyres between 35.000 and 100.000 ton/year and output rubber powder/granulate between 23.500 and 67.000 ton/year. As the configuration of a recycling plant is very flexible, all sizes of rubber powder and granulate can be produced in case of special orders. Normally the rubber granulate is produced ambient but in case of special orders we are also able to make rubber powder below 0.8 mm using the cold, cryogenic method.


As already recalled, in the current business scheme, costs for the end user vary from company to company and must be agreed at the moment of negotiation, according to many parameters as the type of product derived from end-of-life tyres required for each application, the required quantity, the time of management and the desired quality.

In certain cases, some companies provide whole tyres free of charge or even pay for the ELTs to be taken back. Otherwise, prices vary significantly between 10 and 200 €/ton.


Due to the free market regime, the quality of ELT derived material and the delivery times depends on the single company. To have an idea, it is worth referring to Genan, which is the leader in tyre recycling in Germany. Genan has a highly technological process for sorting and treating ELTs, developed and optimized through practical experience over more than 20 year. The technology is completely automated, without any manual operation of the workers, ensuring a consistent and high quality output product. The uniformity and purity of granulate and powders from Genan are guaranteed by accurate quality control procedures carried out at the end of each working cycle.

As for contractual schemes, specific agreements have to be taken with the single company on characteristics of material, quality, quantity required, delivery times and costs.


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According to the European Environmental Agency26, in 2007 Germany has invested about 16 billion euros in transport infrastructures, namely 10.160 M€ for road infrastructures and 4.716 M€ railways infrastructures. The following years 2008 and 2009 were characterised by the financial and global economic crisis and, to mitigate its effects, the Federal Government has taken comprehensive crisis management measures. Among them are the economic stimulus packages with a total volume of close to € 100 billion: the Economic Stimulus Package I (November 2008) and II (January 2009). The economic stimulus packages facilitated a faster implementation particularly of urgent investment in transport infrastructure – for this, an additional € 4 billion have been made available for developing the federal transport infrastructure in 2009 and 2010. These funds served to strengthen ongoing and new transport infrastructure projects, noise mitigation measures, passenger station programme for the acceleration of the refurbishment of train stations, construction of urgently needed HGV parking spaces on parking sites along federal motorways, upgrading of seaward approaches and of the hinterland connections of the ports.

As an example of investments made under the Federal Transport Infrastructure Plan27 over the period to June 2008 included:

- around 3.6 billion euros per annum in railway infrastructure in the past few years;

- a total of 19.8 billion euros for priority motorway and federal highway projects between 2001 and 2007;

- nine billion euros for around 900 km of new motorway since 2001;

- 6.1 billion euros in upgrading federal highways since 2001, including the construction of 210 new bypasses.

According to Business Monitor international 28, German infrastructure industry value is forecast to reach nearly 33 billions € in 2011, with a growth of 11%, thanks to the orders received from civil engineering sector.

Railway development was one of the major project news in 2010, as Deutsche Bahn announced plans to invest more than 40 billions € in capital expenditure on its transport network over the next four years. Around 75% of the amount into rail network and station modernisation the remaining 25% of funds will be put toward acquiring new trains. The company also announced it had signed a memorandum of understanding with Swiss Federal Railways (SBB) to develop a railway link, connecting Switzerland and Germany, to become operational by the end of 2014. BMI forecasts indicate that infrastructure will account for almost 30% of the total construction sector and gain ground in the coming years as the residential and non-residential building activity stagnates.

26 EEA, Investment in transport infrastructure, TERM-19, 2009

27 Federal Ministry of Transport, Building and Urban development

28 Germany Infrastructure Report Q4 2010, Business Monitor


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Germany is ranked 2nd in the World Economic Forum ranking on infrastructures for 2010-201129, with particularly good marks for the quality of its transport infrastructures. Concerning the quality of road and railways infrastructures, it is ranked 5th.

German inter-urban road network has a length of more than 231.000 km. Federal trunk roads account for about one fifth of this network, with motorways making up around 12.550 km, more than 25% of which consist of six or more lanes, and federal highways making up around 40.700 km. The federal trunk roads are of vital and continuously increasing importance for Germany due to the country's location at the heart of Europe. Although they only account for 23% of the total inter-urban road network, they absorb more than half of the total annual mileage.

The federal motorways are the central element of the trunk road network. Despite accounting for only 5% of all inter-urban roads, almost one third of total mileage is clocked up on the motorways.

As for the railways, Germany had a network of 41.315 km, of which half are electrified. The rail network in Germany is the largest and arguably one of the most developed in Europe, if not in the world. However, as with most networks, there is always continued development of new lines, improvements and in particular the issue of liberalisation

In 2007, Germany recorded a quarter of EU freight transport, with a significant increase compared to 2006 (+7%). Road transportation is the most diffused way to move freight in Germany accounting for 66% of the total transported freight, as shown in Figure 25, where the freight traffic as a function of transportation mode for 2007 is reported.

22%

66%

12%


Road transportation

Water transportation

Figure 25: Total freight traffic in Germany by transportation mode in 2007

(Source Eurostat)

As for passengers transportation, according to the last available data for 2006, road transportation is also the most diffused transportation mode accounting for more than 90% of the total passenger traffic (see Figure 26)

8%

92%


Roadtransportation

Figure 26: Total passenger traffic in Germany for 2006 by mode ( pass/km)

(Source Eurostat)



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The northern third of Germany lies in the North European Plain, with flat terrain crossed by northward-flowing watercourses (Elbe, Ems, Weser, Oder). Sandy Mecklenburg in the northeast has many glacier-formed lakes dating to the last glacial period.

Moving south, central Germany features rough and somewhat patternless hilly and mountainous countryside, some of it formed by ancient volcanic activity. The Rhine valley cuts through the western part of this region. The central uplands continue east and north as far as the Saale and merge with the Ore Mountains on the border with the Czech Republic. Upland regions include the Eifel, Hunsrück but Palatine Forest west of the Rhine, the Taunus hills north of Frankfurt, the Vogelsberg massif, the Rhön, and the Thüringer Wald. South of Berlin, the east-central part of the country is more like the low northern areas, with sandy soil and river wetlands.

Southern Germany's landforms are defined by various linear hill and mountain ranges like the two adjacent ranges of the Swabian and Franconian Alb and the Bavarian Forest. The Alps on the southern border are the highest mountains.


According to the “Global Economic Competitiveness” report (2010) published by the World Economic Forum”, Inefficient Government Bureaucracy is the fifth most problematic factor for doing business in Germany.

Similarly to what happens in France, the German sector of public works group few large companies and many small and medium sized enterprises. Usually the average company size depends on the type of works in which it is specialized, the companies involved in transportation infrastructures being usually larger than the average. BMI forecasts28 indicate that infrastructure will account for almost 30% of the total construction sector and gain ground in the coming years as the residential and non-residential building activity stagnates.


Table 20: List of major contractors of transport infrastructure works in Germany




Hochtief Public bodies, Private

subjects, road managers

building construction, civil engineering and infrastructure facilities. Service covering the

entire project value chain.

41.000

Bilfinger Berger AG and group

companies

Public bodies, privates, road managers

Industrial services, construction of buildings and infrastructures,

concessions 249

Dreers & Sommers

Public bodies, Private entities, road managers

Project management for infrastructure & transportation,

civil engineering, buildings construction

135


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Heitkamp Bauholding

GmbH Private and public bodies

Infrastructures, special construction, engineering services 350

Max Früh GmbH & Co. KG

Private and public bodies Construction of bridges n.a.

The Federal Government is responsible for the management of trunk road and highway network in Germany. It is therefore the commissioning body for new infrastructures in this area, including embankments. Funding can come from federal funds allocated under specific infrastructures development plans or from European funds to support regional development.

DB Netz AG is the railway infrastructure manager of Deutsche Bahn AG and thus it is the main commissioning body for what concerns railways infrastructures in Germany. A private siding funding programme was started in the second half of 2004 and extended in revised form until 31 August 2012 in 2009. On the basis of the private siding funding guideline, the Federal Government grants funding to privately-owned business enterprises for investments in the new construction, upgrading or the reactivation of infrastructure connections which are closed or no longer used. The level of funding is limited to a maximum of 50 % of all costs eligible for funding and is granted in the form of a non-repayable subsidy. To this end, the Federal Government makes available 32 M€ annually. Individual Federal States may also offer funding for private sidings. Relevant information can be obtained from the “Federal-State Authority for Railway Regulation”.

In Germany public procurement for large works is regulated mainly by federal law. The federal “Länder” have introduced only a few additional directives and decrees that apply above the thresholds. In particular, tender procedures for public works are regulated by the "Die Vergabe- und Vertragsordnung für Bauleistungen (VOB)" - Regulations on Tender Procedures for Public Works, which provides detailed rules for tender procedures. All procurement procedures that are foreseen on European level are mentioned in German public procurement law. Hence, German public authorities can choose between the ‘open procedure’, the ‘restricted procedure’, the ‘negotiated procedure’ and the ‘competitive dialogue’. Since the competitive dialogue is a rather new procedure it is, for the moment, not widely used in Germany.

For what concerns the award criteria applied, in principle the contract is awarded to the most economically advantageous tender. The most economically advantageous tender does not necessarily correspond to the lowest price. It is usually determined on the basis of price, quality and various criteria according to the contract in question. In Germany the weighting of the criteria is now obligatory, however, not always published in the tender notice. In addition the supplier is to be selected according to expertise, financial capacity and reliability. According to the principle of open competition, as many applicants as possible should have the chance to make a bid. All bidders (which of course includes suppliers from other EU member states and from third countries) must be treated equally. When public contracts that may have an effect on the environment are to be awarded, it will be determined whether and which environmental friendly solutions can be evaluated.


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3.7 Austria


3.7.1.1 Legislation


o Landfill decision 33/03 Ordinance on landfilling, Law gazette II No. 164/1996, amended 49/2004 which contains a ban of tyres landfilling.


o Federal Law Gazette II no.407/2002, End-of-Life Vehicles Ordinance (translation of the Directive 2000/53/EC on the collection, recycling and treatment of end-of-life vehicles, including dispositions on end-of-life tyres.

o Voluntary agreement on waste tyres (1990): continuous disposal of waste tyres as secondary energy source in cement kilns.


3.7.1.2.1 Model

ELTs management in Austria is subject to free market regime, which means that the regulations of handling, storage, import and export of end-of-life tyres are set by waste legislation but are not allocated by it.

Similarly to Germany, two ordinances contain regulation about waste tyres:

- Ordinance on landfilling;

- End-of-Life Vehicles Ordinance.


Similarly to Germany, in Austria end of life tyres can be collected directly in ELTs generation points which include tyre manufactures, tyre dealers, garages, vehicle wreckers and large transport companies. It is a voluntary return system and the generation points can charge a fee for taking the recycled tyre from the end user in return. Used tyres can also be collected by the collector companies. After the tyres have been collected or brought to the tyre collecting company they are sorted in:

- Part-worn tyres, which can be reused again for domestic or abroad use;

- End-of-life tyres, which are recycled domestically or abroad.

ELTs treatment (shredding, granulation, etc.) can be done either by collecting companies or directly by the end user. As scarp tyres are a type of waste, collection company must be certified according to the relevant national legislation on waste collection. Often, the recycling plant or cement kilns is paid to recovery ELTs.


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Specific records on the collected and recycled ELTs are mandatory only in the framework of end of life vehicles ordinance, which states the obligation to report on the collection and recovery of vehicles and their components by involved party (manufacturer/importer, initial collection centre, collection and recovery systems). The current situation (there are more than 200 initial collection centres that are responsible for quotas) inevitably requires a data collection of the extracted masses on an end-of-life vehicle level. In order to minimise the administrative expenditure for the data collection and allocation, the End-of-Life Vehicles Ordinance provides for the possibility of a joint collection and recovery system. Consequently, if there were just one obligated party (e.g. if all manufacturers/importers participated in one collection and recovery system), only one overall mass would have to be recorded for each recovery operator. All reports have to be presented electronically. To this end, either a direct report can be made to the register of the Federal Ministry of Agriculture, Forestry, Environment or Water Management or the online application "altauto.at" can be used. These reports include also scrap tyres from end-of-life vehicles.


In the framework of the free market regime, in Austria there is not a single organisation responsible for ELTs management, but several collector and recycling companies are present in the market, competing on quality, services provided and prices.

The largest recycling plant in Austria is located in Ohlsdorf and managed by ART Asamer Rubber Technology GmbH (formerly GVG), a young company of Asamer Group. The plant has a capacity of 30.000 tonnes of old tyres a year, from which either 15.000 to 18.000 t rubber granulate or 3.000 to 6.000 t rubber dust can be produced. With this annual capacity, theoretically all scrap tyres arising from the recovery of end-of-life vehicles in Austria (about 4.300 tons per year) could be treated in this plant. ART also developed its own reutilization tracks leading to new products for the steel and textile cord portions which arise during reprocessing.

Besides ART, many smaller companies are operating in Austria, as for example WIL AG which deals with tyre recycling, processing and converting tyres into new products. The company is continuously developing and improving new applications of ELTs derived products, mainly granulate. The tyre volumes treated by these companies are small, and they mainly produce granulate and powder.



According to ETRMA30 about 53.000 tons of used tyres were collected in Austria in 2008, 48.000 of which were classified as end-of-life tyres and about 96% of the collected used tyres are treated.

Due to the potential of scrap tyres with regard to the achievement of quotas in the recycling of end-of-life vehicle ordinance (about 4.5% per approx. 43 kg per end-of-life vehicle), recycling of ELTs became very important in Austria. Therefore, the decision between recycling and thermal recovery takes exclusively place on the basis of operational considerations.

30 ETRMA, EU national Treatment data 2008


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According to available official data, about 2 tons per year of ELTs are landfilled or follow an unknown destination.


Approximately 26.000 tonnes of ELTs are used annually in the Austrian cement industry for energy recovery, while about 21.000 tons are delivered directly to recovery enterprises for material recovery in playgrounds, sound-proofing panels and go-cart tracks. The cement works in Retznei, Gmunden, Gartenau and Vils use scrap tyres as energy carriers.

Apart from public waste prevention and recovery measures, there are voluntary agreements of industry on a national level regarding the collection, recycling and removal of tyres.

The ELT uses in Austria are summarized in Figure 27.

55%

45%

Energy recovery


Figure 27: ELTs uses in Austria (Source: ETRMA)

According to the available data, no important civil engineering applications are present in Austria.


Due to the free market regime, it is very difficult to describe in details characteristics of processing facilities, as they depend on the single companies, on their size and on their internal organisation. Small collectors and treatment companies are able to provide mainly whole or shred tyres in a very large range of prices and quantities. For example the plant of ART, the largest in Austria, can treat 30.000 tons of ELTs per year., from which either 15.000 to 18.000 tons rubber granulate or 3.000 to 6.000 tons rubber dust can be produced

As for the recycling costs, they are influenced by the costs of production costs to obtain the produced material flows (rubber powder and rubber granulates, but also steel and fibres) and by the percentage of utilisation of the plant production capacity. In Austria, in many cases, collectors, or who brings ELTs to the recycling facility or cement kiln pays for the tyres to be recovered.

To have an example, the ART treatment facility has an utilisation of about 65% leading to an acceptance price on delivery to be paid by who brings the tyres of approximately 70 € per ton, that can be reduced to 50 € per ton in the case of larger and/or regular deliveries.

Similar situation occurs in cement kilns, where a fee between 10 and 30 €/ton must be paid for recovering the tyres, although scrap tyres usually replace hard coal which costs about 80 € per ton. The mechanical treatment of ELTs before combustion costs to the facility about 30€/ton.


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Therefore, the acceptance of scrap tyres by cement works can currently take place on more favourable terms, compared to recycling. 31


In the current management model for ELTs in force in Austria, costs for the end-user vary from company to company and must be agreed at the moment of negotiation, according to many parameters as the type of product derived from end-of-life tyres required for each application, the required quantity, the time of management and the desired quality.

As an example, ART Asamer apply a minimum price of 199 €/ton for granulate with average size between 3 and 6 mm, with an extra charge of 20 €/ton for orders below 20 tons.


Due to the free market regime, the quality of ELT derived material and the delivery times depends on the single company. As an example, the ART Asamer recycling plant can provide high quality materials according to the customer requests.

As for contractual schemes, specific agreements have to be taken with the single company on characteristics of material, quality, quantity required, delivery times and costs.






Similarly to other European Countries, the Austrian government is implementing an economic stimulus package to support the labor market, stimulate investment, and finance infrastructure, in order to face the financial crisis. Specifically on transport infrastructures, although Austria has improved road and rail transportation links, e.g. to Bratislava, many transport links to Central, Eastern, and Southeastern European neighbors are still inadequate and therefore the government will continue to address and close these infrastructure gaps32.

Since 2007, Austria has had less access to funds from various EU structural and cohesion programs, primarily regional competitiveness and employment programs. The Austrian federal, state, and local governments also provide financial incentives within EU guidelines to promote investments in Austria. Incentives under these programs are equally available to domestic and foreign investors, and range from tax incentives to preferential loans, guarantees and grants. Most of these incentives are available only if the investment meets specified criteria (e.g., implementation

31 Evaluation of the Measures and Targets of the Austrian End-of-Life Vehicles Ordinance with regard to the Implementation of the Directive 2000/53/EC

32 http://www.ebusiness.com


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of new technology, reducing unemployment, etc.). Austria Wirtschaftsservice is the government’s “one-stop shop” institution providing financial incentives33.

Until 2014, the Austrian federal railways (ÖBB) plan to invest around 34 billion euros in the construction and operation of rail infrastructure. The study, presented in February 201034, indicates that this investment can bring benefits of up to Rail infrastructure investments function as an economic locomotive and create jobs, says newly published Austrian study 72 billion euros to the Austrian economy in the long term - due to positive effects on GDP and a multiplier effect on the economy. Particularly, ÖBB-Infrastruktur AG, the subsidiary of ÖBB-Holding AG is planning to finance railway infrastructure projects with a total investment volume of more than € 2bn a year until 2014. These investments will be mainly focused on:

- the four-track development of the Western line (Vienna – St. Pölten, Amstetten – Linz, Ybbs – Amstetten);

- the four-track development Kufstein – Baumkirchen (lower Inn valley);

- the railway line development Vienna – Bratislava;

- the development of the Southern line with the Koralm Railway Line and the Semmering Base Tunnel new;

- the Lainzer Tunnel as connecting line between the Western, Southern and Donaulände railway.


Austria is ranked 20th by the World Economic Forum ranking on infrastructures for 2010-201135, in particular it is ranked 6th for the quality of roads.

According to ASFINAG, the company in charge of the management of Austrian road network, the federal road network consists of more than 1.700 km motorways and 370 km express roads, for a total of about 2.175 km of roads with 426 junctions. 300 km of this network are tunnels and 300 km are bridges. In addition to this existing infrastructure, there are about 70 km of high speed roads under construction and 270 km planned in the next years.

As for railways, the Austrian network is operated by ÖBB-Infrastruktur AG and includes about . 1400 stations and stops (stations, station halts) and 11.000 km of track, of which 7.900 km are electrified by catenary. The route network counts also 260 tunnels and galleries, about 6.500 bridges and viaducts and about 6.000 rail junctions.

33 http://www.awsg.at/portal/

34 http://www.cer.be, February 2010



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Figure 28: Austrian Federal Road network

In Austria, freight transport remained almost constant since 2005, but the transportation by road decreased in favor of rail transportation in the last years. 61% of freight transport is road-based, as shown in Figure 29, where the freight traffic as a function of transportation mode for 2007 is reported.

35%

61%

4%Raylwaystransportation

Road transportation

Water transportation

Figure 29: Total freight traffic in Austria by transportation mode in 2007 (Source Eurostat)

As for passengers transportation, according to the last available data for 2006, road transportation is also the most diffused transportation mode accounting for more than 90% of the total passenger traffic (see Figure 30)

10%

90%


Roadtransportation

Figure 30: Total passenger traffic in Austria for 2006 by mode ( pass/km) (Source Eurostat)


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Austria may be divided into three unequal geographical areas. The largest part of Austria (62%) is occupied by the relatively young mountains of the Alps, but in the east, these give way to a part of the Pannonian plain, and north of the River Danube lies the Böhmerwald, an older, but lower, granite mountain range. At 3.797 m over the sea level, Großglockner is the highest mountain in Austria. As a general rule, the farther east the Northern and Central Alps run, the lower they become. The altitude of the mountains also drops north and south of the central ranges.

As a geographic feature, the Alps literally overshadow other landform regions. Just over 28% of Austria is moderately hilly or flat, with the Northern Alpine Foreland, which includes the Danube Valley, the lowlands and hilly regions in northeastern and eastern Austria, which include the Danube Basin, and the rolling hills and lowlands of the Southeastern Alpine Foreland.


According to the “Global Economic Competitiveness” report (2010) published by the World Economic Forum”, Inefficient Government Bureaucracy is the second most problematic factor for doing business in Austria.

In Austria, the sector of public works groups few large companies and many small and medium sized enterprises. Usually the average company size depends on the type of works in which it is specialized, the companies involved in transportation infrastructures being usually larger than the average. It is worth noticing that several German large enterprises have branches in Austria, as for example Hotchief.


Table 21: List of major contractors of transport infrastructure works in Austria




Strabag AG Public bodies, Private

subjects, road managers Construction of transport and

road infrastructures. 13.000

Alpine Bau GmbH (Road

construction East branch)

Public bodies, privates, road managers

construction of road surfaces, outside facilities, utility lines, waste

disposal technology and demolition work.

3.400 (construction output)

Pittel & Brausewetter


Road construction, civil engineering

n.a.

Held und Francke GmbH

Private and public bodies Infrastructures, special

construction, ecivil engineering, infrastructures

177


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Hotchief Construction AG Private and public bodies

Construction of transport infrastructures, civil engineering

works n.a.

Concerning commissioning bodies, ASFINAG36 is the manager of Austrian road network, and Bau Management GmbH is the company responsible for managing all essential construction projects on ASFINAG’s road network, including all activities from planning to local authority approval procedures, purchasing land to manage the execution of construction activities within the defined guidelines and legal framework conditions.

ASFINAG controls, operates and is responsible for the entire motorway and expressway network in Austria and invests in the development and expansion of Austria’s primary road network, using the majority of these investments for new construction and expansion activities on the network. ASFINAG provides operational assistance in R&D projects through the completion of a new R&D strategy, the installation of R&D coordinators for operation, and the implementation of an internal R&D platform facilitating communication and exchange of information among all of ASFINAG’s R&D players. The company is entirely financed by its users through sales of toll stickers, the tolling system for vehicles over 3.5t gross weight and special toll routes, which are exclusively reinvested in construction, operation and safety on the primary road network in Austria.

ÖBB-Infrastruktur AG is the competent point of contact regarding all aspects of ÖBB's rail infrastructure and it is thus the main commissioning body for railways works. The main role of the company is to ensure that the infrastructure is planned, constructed and financed with an eye on the future. It is a wholly owned subsidiary of ÖBB-Holding AG, which in turn is wholly owned by the Republic of Austria.

In Austria public procurement for large works at a federal level is regulated by a specific code (BVergG 2006)37 which transpose the EU procedures and is valid also for small contracts, although with a simplified procedure. The publication of tenders is regulated by BVergG 2006 and provides information about contracting entity, competent review body, technical specifications and award criterion. The time limit set for submission of applications varies between 14 and 22 days, with the possibility to shorten this limit in extraordinary cases.

The award criteria can be either the best price or the economically most advantageous offer and the Court of Auditors is responsible for the supervision on federal, state and municipal level.

36 www.asfinag.at

37 "The comparative survey on the national public procurement systems across PPN", Authority for the supervision of Public Contracts, Department for the coordination of EU policies


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3.8 The Maltese Islands


3.8.1.1 Legislation

� Legislation regarding Landfilling o Structure Plan (1990 – 2010) for the Maltese Islands published in 1992 by the

Planning Authority. o Management Strategy for the Maltese Islands, September 2001. o The Waste Management Plan for the Maltese Islands 2008-2012 o Eco-Contribution Act, 2004 (CAP.473 of the Laws of Malta), which was enacted

in September 2004.


3.8.1.2.1 Model

Since Malta joined the European Union on 1st May 2004, the country had to change many practices and legislations and tried to cope with many new requirements and regulations which are binding to member states of the European Union.

With effect starting from 2004 the whole tyres were no longer accepted in the landfill; since 2006 the ban has been extended also to shredded tyres.

WasteServ Malta Ltd.., the executive waste management in charge in Malta, has organized a separate collection and treatment/recycling system for used tyres, through private facilities in the island.

Malta has already introduced the regime of “Producer Responsibility” for many waste categories; the onus should lay upon importers, wholesalers and retailers (because the country imports the majority of the goods). For tyres this principle has not been implemented yet; so, in practice, the government manages the collection and recycling of tyres without any support from the producers.


Privates can bring used tyres in the “Civic Amenity Sites”, that are supervised facilities where citizens can discard a variety of household bulky waste such as: tyres, refrigerators, electronic products, waste from DIY activities and garden waste.

These facilities are manned by a trained workforce and have particular opening hours where people can enter with their car to dispose of waste separately in specific containers. There are 5 operational Civic Amenity Sites so far and are located at Maghtab, Mriehel, Hal Far, Luqa and Xewkija (Gozo).

The private householder can also contact their Local Council that offers a door to door weekly collection service. Many councils stipulate that not more than 3 bulky items can be collected at a time.

The waste collection service which is offered to Maltese households by their Local Councils is free of charge to the citizens. All costs are borne by the Government which fully supports this service from the general tax income.


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Companies can, instead, deposit used tyres in the area located in Ta’ Zwejra entrance (Interim facility), according to the instructions given on this site. The waste will be inspected and treated by specialised operators.

Since Wasteserv Malta Ltd is in charge for the waste management, it organises and performs directly the collecting activities, while it appoints private companies (through periodical tenders) for the processing activities. At the moment, only one company in the country, Metalco Ltd, has invested in machinery for shredding tyres in order to separate steel, rubber and fluff. The metal is exported for recycling, while the rubber is grinded into rubber powder which is also exported. The fluff goes to landfill.

Metalco Ltd. is a large producers and exporters of recycled scrap materials, using effective, modern and innovative methods and maintaining a fully environmental friendly plant. The company sells recycled materials processed at its facility to industry.

Malta has introduced also a system for waste control. The waste producers must have a valid permit and a consignment note (during transfer) in order to dispose of/transport their waste. These Notes must accompany any type of waste (hazardous, biodegradable or nonhazardous waste).

The consignment note procedure is divided into two stages:

1. Stage One: Waste Consignment Permit Application (CP);

2. Stage Two: Waste Consignment Note (CN).

The Waste Consignment Permit Application (CP) is used in order to obtain a permit for the disposal of waste while the Waste Consignment Notes (CN) must be used for the transfer of waste.

All Waste Consignment Permit Applications (CP) and Waste Consignment Notes (CN) have a unique number (code) allocated by the Competent Authority.


The Office of the Prime Minister and the Ministry for Resources and Rural Affairs: The implementation of waste management requires communication and close cooperation between the Office of the Prime Minister, who is responsible for waste policy, the Ministry for Resources and Rural Affairs, who is responsible for the implementation of this policy, and other ministries and Government institutions.

The Malta Environmental and Planning Authority: The Authority shall be the principal means whereby the Government shall implement its duties. The Authority shall advise the Minister in the formulation and implementation of policies relating to the promotion of sustainable development, protection and management of the environment and the sustainable management of natural resources, and on such other matters as may be necessary for the better carrying out of the provisions of this Act.’

WasteServ Malta Limited: WasteServ Malta Limited was established in November 2002. The company is responsible for organising, managing and operating integrated systems for waste management including integrated systems for minimisation, collection, transport, sorting, reuse, utilisation, recycling, treatment and disposal of solid and hazardous waste. An evaluation of this company must be carried out on an on-going basis in order to assess whether the resources currently in place are sufficient to service its increased responsibilities in a cost-effective manner.


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In Table 22: Amount of used tyres, the amount of used tyres collected in Malta between 2004 and 2009.

Table 22: Amount of used tyres collected in the Maltese Islands

Source: WasteServ Malta Ltd.


In a attempt to eliminate the illegal dumping, Government issued the Abandonment, Dumping and Disposal of Waste in Streets, and Public Places or Areas Regulations, 2005 (L.N. 344 of 2005), which is a new legislation that has significantly raised fines and will enable ‘green wardens’ to enforce these Regulations.

In spite of that many used tyres are still abandoned in illegal Landfill.

Waste management is partially financed by the Government with the overall tax system. This fact does not represents a strong incentive to recycle waste.

The Cleaning Services Department indicates that 20.000 tons of material illegally dumped across the Maltese Islands was cleared during 2004 and 10.000 tons between January and August 2005.


There is no facility available in Malta for energy recovery or thermal treatment (no cement kilns, which in many other countries use waste tyres as a secondary energy source and substitutes fossil fuel).

The whole tyres and the shredded tyres, produced in the country (from substitutions and from ELVs) are exported abroad (sea transport), although this system is very expensive. Some used tyres are processed in Maltese Islands; the rubber produced is grinded to obtain rubber powder which is also exported at the end.


In the first year of operation of the recovery plant (only a few months in 2004), approximately 1.000 tons of tyres were recovered and 500 tons of tyres have been processed for material recycling. This amount has increased significantly during these last years. The capacity of the plant is much higher and could recycle more tyres now.

In order to give an incentive for the recycling of tyres, according to the ECO-Contribution Law, in Malta the consumer has to pay an ECO-Contribution of 4.65€ for each new tyre. Then Wasteserv Malta Ltd. pays 2.28€ to the recycling companies for every recycled tyres.


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This information is not available. For much information it needs to contact directly the processing company.


This information is not available. For much information it needs to contact directly the processing company.


Logistics for collection and transport of used tyres have to be improved in the future. The Government will provide assistance for upgrading all waste collection practices to ISO accreditation.

Government aims to implement “the producers responsibilities” also to used tyres. So, the Ministry for the Environment, intends to conclude a series of agreements (preferably voluntary, but with a legislative backing if necessary) with industry/producer groups or trade associations representing the producers, importers and distributors.

The agreements will set out in detail the mutually agreed terms and arrangements for product waste management (including quantitative targets for reduction, recovery and recycling), the methods that have to be used for monitoring performance, and the sanctions or other consequences if the agreed targets are not met.

The introduction of a deposit refund system may be an effective mean to prevent illegal dumping. Producers who would prove recovery of waste arising from products for which they have paid eco-contribution should get a refund of 5 % of the paid contribution when having recovered more than 25% in weight of these waste products; this refund would increase more or less linearly until a maximum refund of 100% for recovering more than 80% of the waste products.




It can be observed from the Table 23 that the national investments in the transport sector have been considerably volatile38.

Table 23: Investment in Transport Infrastructure (2000 -2006) in the Maltese Islands

Source: European Commission, National Statistics Office of Malta

38 Source: http://ec.europa.eu/regional_policy/sources/docgener/evaluation/pdf/evasltrat_tran/malta.pdf


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In Malta there is neither special legislation nor practices for Public Private Partnerships (PPP’s) concerning road transport infrastructure. Nevertheless, the Government of Malta is examining the possibilities for cooperation of the private and public sector in financing infrastructure projects. Initiatives in this direction are the introduction of PPP for the operation of a Parkand- Ride system outside Valetta and a new system of road charging for access and parking in the city of Valetta39.

Also EU funding is concentrated in road transport and maritime transport. Phare funding has been used for upgrading road infrastructure in 2003. The EU contribution was 0.82 million Euro of a total eligible value of 1.47 million Euro.

In Figure 31 it is shown the Maltese Public Investment in transport infrastructure (2000-06). The government is committed to improving the road networks in order to fulfil the European Union requirements.

73%

13%

14%Investment in the Road Network

Investment in the Sea ports

Investment in the Air ports

Source: National Statistics Office of Malta

Figure 31: Maltese Public Investment in transport infrastructure by 2000-06 (Total investment)


The Maltese domestic traffic of persons and goods occurs mainly by the road network; the sea transport is used for linking the Maltese Islands. In the country there are neither inland waterways nor Railway, which was closed down in 1931 mainly due to the introduction of Trams and Motor Buses.40.

So for the domestic traffic, the road network have no competing means of transportation; while for the international movement the only possible means are the maritime and air transport41.

39 Source: http://ec.europa.eu/transport/infrastructure/index_en.htm 40http://maltarailway.com/ and Inland freight and passenger transport in the EU-27up to 2007. 41 http://epp.eurostat.ec.europa.eu/portal/page/portal/transport/data/main_tables


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Table 24: Extension in kms of road network in Malta (1995-2005)

Source: DG tren statistical pocket book 2007

The total extension of road network remained relatively stable in the period 1995- 2004, with a less than 5% expansion in ten years. The Transport Infrastructure Needs Assessment study (henceforth, TINA), prepared by the Ministry of Transport and Communication and concluded in 2002, identified 5 1kms of main roads and 45 kms of access roads (Table 24).

The overall road network length was 2.269 km (Malta and Gozo), including urban and non urban roads (paved and unpaved), arterials and access roads (paved and unpaved). There are no motorways42.

According to the Global Competitive network, the Maltese Islands occupies the 74th position for the quality of overall infrastructure in the world ranking and the 124th for the quality of roads.

First the road network was not suitable for heavy traffic. The main roads needed rehabilitation work because the technical characteristics of vehicles such as maximum allowed vehicle and axle weights were not adequately provided for. This problem was particularly evident in Gozo.

Then, while the expansion of the road network remained quite limited, both passenger and freight transport on the Maltese network increased, with high levels of car ownership and usage (525 cars per 1.000 inhabitants in 2004, higher than the EU15 average at 497 and the EU27 average at 452) as well as a substantial increase in the number of commercial vehicles (12% between 1995 and 2004).

In the period 1995-2005, both car and bus demand, measured in passenger kms, increased by 18% and 25% respectively. In the case of road haulage, the only available mode for land-based goods transport, Eurostat estimates a constant figure of 0.25 million of tonne-kms for the entire period 1995-2005.

Despite large investments in public transport and the implementation of traffic management policies (e.g. Valletta Charging Scheme), the increase in car ownership caused worrying levels of congestion. This was exacerbated by the presence of bottlenecks on some sections of the network.


The Maltese Islands is a country composed of three major inhabitant islands: Malta, Gozo and Comino, and the uninhabited islands of Cominotto and Filfla. The landscape is characterised by low hills with terraced fields, no mountains. The highest point is the Ta' Dmejrek on Malta Island at 253 m (Dingli).

42http://ec.europa.eu/transport/roadsafety_library/care/doc/profiles/pdf/countryprofile_mt_en.pdf


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Table 25: Maltese population by region (2009)

Source: NSO

The Maltese population in 2009 totalled 396,278 (96%citizen)43. The country is the most densely populated European Union Member State, with an average of 1,307 persons per square meter.

Disparities exist between the main islands. Malta hosts 92% of the total Maltese population, while only 8% of the population lives on Gozo1, and the population of Comino is negligible. It is often argued that Gozo suffers from “double insularity” 44. The Maltese population by region is shown in Table 25.


According to the “Global Economic Competitiveness” report of the World Economic Forum” (2010), Inefficient Government Bureaucracy is the first most problematic factor for doing business in the Maltese Islands.

The population of construction enterprises in Malta (NACE n.45) is grown steadily during the past ten years, as it shown in Table 26.

Table 26:Number of enterprises in then construction field (2001-2009) in the Maltese Islands

Source: NSO (http://www.nso.gov.mt/statdoc/document_file.aspx?id=2823)

In 2009, 98% of the construction enterprises are considered “Micro”; it means they employ less than ten units. Small enterprises (between 10 and 50 employees) were 108 (19 the medium enterprises and 2 the large enterprise).

Tendering in Malta is regulated by Malta tender legislation, a substantial part of which implements EU tendering law for public contracts. This legislation has encouraged competition between firms by establishing rules aimed at ensuring transparent selection tender processes and remedies against awarding authorities which do not fulfil their obligations under Malta tendering legislation.

A General Contracts Committee, appointed by the Prime Minister, is responsible for providing advice to the Director General (Contracts) on all matters pertaining to public calls for tenders and the award of the relevant contracts, in terms of Regulation of the Public Procurement Regulations (https://secure2.gov.mt/EPROCUREMENT/tenders?l=1).

43 Source: http://www.nso.gov.mt/statdoc/document_file.aspx?id=2840 44 Source: http://ec.europa.eu/transport/infrastructure/index_en.htm


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3.9 The Netherlands


3.9.1.1 Legislation

� Legislation regarding Land filling o Environmental Management Act (1993): Introduced an integrated approach to

environmental issues, taking account of their interrelationships. It is the Dutch implementation of the Waste Framework Directive (75/442), incorporating also the Waste Substances Act (1977) and the Chemical Waste Act (1976). It has defined the waste management as a hierarchy (based on Lansink’s Ladder and the Waste Framework Directive). The Act contains the Waste Decree (on Landfill Ban) that came into force in 1995 and has prohibited landfilling of waste if there is a possibility for reusing, recycling or incinerating the waste.

o The car tyre (disposal of ELV) decree (1995) – sets out requirements for the recovery of tyres

o The decree for the removal of tyres (1995)

� Legislation regarding End-of-life tyres management o The decree on the management of tyres of April 1st, 2004, amended on October

1st 2007, which established the rule for the implementation of the responsibilities of producers.


3.9.1.2.1 Model

In 1995 the government introduced a decree to solve the increasing problems caused by the used tyres to the environment. It set “the responsibility of producers of tyres”, including manufacturers and importers of car tyres, trailers and caravans.

In 1995, with the waste decree, the government also banned the used tyres from the landfill.

Despite this new legislation and the constitution of a dedicated subject, “the association for the tyres and the Environment”, a large part of the illicit traffic and dumping remained untouched; the system missed the targets of recycling established.

The government introduced a new decree in April 1st, 2004 in order to rule better the implementation of the regime of “Producer Responsibility” introduced in 1995. The decree defined also new strict objectives for the recovery.


According to the decree on the management of tyres, the producers and importers of car tyres, trailers and caravans are responsible for the recovery of as many used tyres as new ones they have introduced in the Dutch market (principle 'old for new').

They have to organise and finance a sustainable recovery system, from the collection to the application of the recycled materials, monitoring each phases and ensuring that the tyres are retrieved free of charged from the customers.


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� Point of sales (garages, service areas, retailers, wholesalers)

The points of sales are the place where used tyres are generated; they have the obligation to take back used tyres from their customers. When the customers buy as many new tyres as used tyres they leave in the point of sale, the used tyres have to be collected free of charge.

The points of sales have also the responsibility of registering the numbers of used tyres that have taken back in a certain period from their customers and that have been retrieved by the collectors. They have to report the registration to RecyBEM BV (the subject in charge of ELTs management in the Netherlands) for its approval.

� Municipalities

According the Environmental Act, the municipalities maintain the responsibilities to take back used tyres, produced by private households, without any charge.

Then RecyBEM BV takes the car tyres from the municipal collecting areas, also free of charge, provided the tyres are clean and separated from the others that are not covered by the Decree of tyre Management (e.g. truck, tractor, motorcycle, bicycle tyres etc.).

RecyBEM BV selects the BEM-certified collectors for this purpose. Currently Granuband BV Amsterdam is performing this activity. Each municipality can directly contact Granuband BV for the retrieving service.

The local and regional governments have also the obligation to manage used tyres coming from business activities such as agriculture and animal farm, applications for security purposes (racing circuits and kart tracks), and the tyres abandoned in illegal landfill.

RecyBEM BV is committed to process this material through its integrated system of recovery but it does not bear the costs coming from the collection and processing.

� Tyres customers

Consumers have the right to have taken back as many used tyres as they buy from a point of sales, without paying any fee for the service, according the principle 'old for new'.

Consumers can also deliver used tires to the municipal waste collecting areas (with or without a fee to pay). Many municipalities collect a maximum of five tyres at a time.

� Collecting companies

The network of certified collectors working for RecyBEM BV, consists of 25 companies that retrieve used tires from garages, manufacturers, tyre dealers and everywhere used tyres usually are generated.

The collectors assess and take back only the car tyres, to which the decree on the management of tyres is applied, that are car tyres from passenger cars and light commercial vehicles (up to 3.500 kg), trailers and caravans.

Through a manual sorting they separate the tyres eligible to be re use or retreaded, from the ELTs that are headed to the processing company. The re usable tyres are sold to specialised dealers and tyres repairers.

The collectors can choose only among the certified processing companies available. The contractual terms establish that at least 25% of ELT should be applied for the material recovery.

According to the agreement Recybem BV, the collectors have to send a monthly invoice stating the amount of tyres retrieved and the total costs for Recybem considering the fixed fee for each collected tyres.


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Then RecyBEM BV pays the invoice to the collectors through the financial recourses in the Fund for the environment and tyres.

List of certified collecting companies:

http://www.recybem.nl/inzamelaar/gecertificeerde-inzamelaars

Standard for the certification of the companies of collection:

http://www.recybem.nl/files/user/Beoordelingscriteria_inzamelingsbedrijf.pdf

� Processing companies List of certified processing companies:

http://www.recybem.nl/herverwerker/gecertificeerde-herverwerkers


The strategic players in the Netherlands for the collection and recovery of the used tyres are:

1. Ministerie van VROM: This is the Ministry of Housing, Spatial Planning and Environment (VROM). The ministry is involved in developing a pleasant environment for the living of all citizens and in managing social issues.

2. Vereniging Band en Milieu: The association for “the tyres and the environment” was founded in 1995 after the decree for the removal of tyres.

In 2004 the association assumed the responsibilities the legislation has attributed to the manufacturers and importers (“producer’s responsibilities” with a more ample sense) as regards the collection and recovery of the used tyres. 22 importers and manufacturers are now members of the association, which has collected and processed over 90% of used tyres since 1995.

3. Recybem BV: The private company Recybem L.t.d. is the operative subject that in practice implements the legislative obligations: it manages and monitors all the activities of collection and recovery of used tyres through certified collectors and processing companies. For this RecyBEM Ltd has obtained an ISO certification in July 18, 2006. Recybem performs also many promotion activities in order to increase the awareness of stakeholders, local and national communities, business and political world.

4. Stichting Fonds Band en Milieu: The fund for “the tyre and the environment” was created in 2003. It is involved in managing the fund that finances the operation for the collection and recovery of use tyres. The monetary resources of the fund consist of the contributions for the waste management from all members, who pay a fixed amount for every new passenger car tyre that is sold on the Dutch market.

The resources serve also for promoting the activity of the association and the correct use of tyres, in order to minimising the waste (re use and re trading is encourage when it is possible); Advertising campaigns are regularly organized and regular newsletters are issued. Vereniging Band en Milieu and Recybem BV follow the national and international developments regarding managerial and technological solutions that may affect the industry or the member companies.

They are also committed in creating standards about products, materials, applications and processing. They lead market researches or participate to external studies, such as the one about the risks for health and environment of using crumb rubber from recycled tires in artificial turf.


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Since the start of the activity of RecyBEM BV (April 1, 2004), the number of tyres collected each year has increased substantially. Instead of stabilizing the amount of collected tyres shows an unexpected decrease in 2009 (Table 27); the cause is unknown.

Table 27: Number of collected tyres (from 2004 to 2009) in the Netherlands

Source: RecyBem Ltd

The amount of end of life tyres (ELT) produced per year: 150.000 tyres/year.

3.9.1.3.2 Landfill and stockpile situation

Aside from the integrated management of used tyres, Recybem is committed also in processing the previous stockpile of car tyres and collecting all the other types of tyres, such as track and tractor tyres but the company applied a contribution fee in this case.

The Costs for taking back used tyres are shown in Table 28:

Table 28: Fees for taking back tyres located in Stockpiles in the Netherlands.

Source: RecyBem Ltd

Statistics suggests also some ELT could be imported or it is possible the recovery of old stockpile of used tyres.


So far RecyBEM BV has considered the following application for the recovery of used tyres:

- Retreading;

- Reuse;


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- Material Recovery.

RecyBEM BV establishes that at least 25% of the collected tyres are destined to material recovery. Those tyres are processed into granules for manufacturing other new rubber products such as: protection barriers.

This application has increased its weight in recent years, because of the high demand of granulates. Now, nearly 60% of the 8 million used tires collected in the Dutch market are utilized in this way.

Alternative Destinations

Alternative applications considered are in the civil engineering, for building different infrastructures such as embankments and protection for roads. This application is less common in Netherlands than in other countries.

Thermal recycling

The previous applications have been listed according the acceptability by VROM and Recybem BV.

With the introduction of the Decree for the removal of used tyres in 1995, VROM has set the policy goals for the recovery, defining that: about 60% of used tyres are destined to reuse and retreading, less than 20% for material recovery and 20% for energy recovery. Although it is less preferable applications, a quote of energy recovery is always necessary for balancing the system. The process for producing granulates requires many resources, technical and financial.

The statistics about market of recovery of used tyres before 1995 served to the VROM in order to set its policy. The product recovery (reuse and retreading) was between 40 and 50%, the material recycling was between 3 and 15% and 45% was the rate used in cement kilns and power plants.

In Table 29 the statistics of recovery by percentage of destinations are presented from 2004 to 2009:

Table 29: Final applications for used tyres (percentage variation from 2004 to 2009) in the Netherlands

Source: RecyBem Ltd

During the period considered material recovery has increased eroding the percentage of energy recovery.

The rising rate of recycling from 25% in 2004 to 58% in 2010 is considered positive by the strategic players, who encourage this trend. They expect the current rates will maintain at the same levels in the forthcoming years.


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18%

4%

18%58%

2%

Re use (exports)

Retreading (exports)

Energy Recovery

Materials Recovery

Alternative Destinations

Source: RecyBem Ltd

Figure 32: Final applications for used tyres (2009) in the Netherlands

The total amount of ELT destined for the production of granulates is about 100.000 ton/year.

The most important processing companies that produce this material are Granuband (www.granuband.nl); Rumal (www.rumal.nl); Jakobs Rubber Recycling (www.jakobsrubber.com); International tyre business (www.itbcasing.nl).


For financing the collection and the processing system producers and importers have to pay for each tyre sold in the Dutch market a fix sum as waste management contribution.

This is determined on the basis of the statistics, according the electronic registration about the activity managed by the manufacturers and importers. Periodical administrative controls from the government are performed.

Manufacturers and importers can charge this contribution on their customers (point of sales); those latter can also charge this cost to the final users (sometimes combine with their other costs), but only outside the principle “new for old”

The minimum quantity accepted by collectors is 75 tyres at a time. For smaller quantities, the points of sales have to wait.


No information regarding costs for end users is available. It needs to contact directly RecyBEM BV.


Any collection and processing company that cooperates with Recybem has received a specific BEM certification through SGS Netherlands BV, an independent certifying body, promoted by Recybem BV.

The certifications comply with ISO 9001:2008 and expire after three year. During the period of validity SGS Netherlands BV serves as an auditor that assesses if the certified companies are performing the duties in the agreement.


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The certified companies are recognizable for their special suit with the logo of the Recybem Bv and of the association for the tires and the environment.

In order to accept a new partner, RecyBEM BV requires: a description of the reason of this application; a description of the company business activities; a copy of the company documents at the Chamber of Commerce, not older than six months.

The final users of recycled materials can specify the purchasing conditions; the certified processing companies can set their production accordingly.






According to data of the European Commission (Table 30), Dutch public investment in transport remained stable in real terms over the period 2000-2006.

Table 30: Dutch public funding (million €) for transport infrastructure

Source: European Commission

The investments were shared equally among each mode of transport and for enhancing the intermodality of the system.


According to the World Economic Forum, the Netherlands occupies the 17th position in the world ranking for the quality of overall infrastructure; the 27th for the quality of roads and the 9th for the quality of railroads infrastructures.

Table 31 and Table 32 present the figures about the road network and the rail network, during the year (2001-2008) in the Netherlands. Data after 2008 are not available.

Table 31: Road Network (Km)_year (2001-2008) in the Netherlands

Source: Eurostat, CBS


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Table 32: Railways Network (Km) _year (2001-2008) in the Netherlands


Table 33 shows the National and International Freight Transport in Thousands of tonnes from 2003-2009 in the Netherlands.

For Eurostat (

Table 34) and DG tren (Europe Commission), the ratio tonnes/km, both in the case of road and train transport, is slightly increased from 2003 to 2005; in the following years the road transport is decreased, while the rail transport has consolidated its trend.

Table 33: National and International Freight Transport (Thousands of tonnes) (2003-2009) in the Netherlands


Table 34: Freight Transport (Million of tonnes/km) (2001-2009) in the Netherlands


For the national ad international freight, Netherlands is characterised by a high intermodality (Figure 33).



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Figure 33: Freight Transport split by mode (2009) in the Netherlands

According to the data from Eurostat (Table 35) and DG tren (Europe Commission), the ratio passenger/km, both in the case road and train transport, has increased from 2003 to 2005, remaining stable or slightly decreasing in the following years.

Table 35: Passenger Transport (million passenger/km) _year (2003-2009) in the Netherlands


Not considering the effects of the international crisis during the two year period 2008-2009, the competition of the other mode of transportations, in particular the maritime and air transportation, and the extension of the network, have reduced the transit pressure on the road network that remains more or less stable. The pressure on the rail network, instead, is increasing slightly due to more rail transport and in spite of the enlargement of the rail network.


The Netherlands surface is mostly low and flat. In the west and north of the country, the lands, including the reclaimed polders and river deltas, are less than 1m above sea level and the larger portion of them it is below the sea level. An extensive range of seawalls and coastal dunes protect it from the sea, and levees and dikes along the rivers protect them against river flooding.

Also the south and the east are mostly flat, but characterized by higher lands and minor hills.

In the extreme south of the country the lands raise to a significant extent, in the foothills of the Ardennes mountains. This is the highest point of the Netherlands (Vaalserberg) located at 322.7 meters above sea level.


According to the “Global Economic Competitiveness” report (2010) published by the World Economic Forum”, Inefficient Government Bureaucracy is the third most problematic factor for doing business in the Netherlands.The Dutch government is in the process of making a new public procurement law, that will be replacing the current framework law. It will be in force probably early in 2012.

Currently there is no additional national legislation covering public contracts below EC threshold.

The Minister of Economic Affairs is politically responsible for the definition of legislation and of the policy regarding Public Procurement. Each contracting entity is responsible for its own procedures, as long as they abide by the Public Procurement regulations. Audit Offices control a sample of public procurement procedures.

No information is available about restrictions of some sort in order to participate to a tender.


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3.10 The Czech Republic


3.10.1.1 Legislation

� Legislation regarding Landfilling o Decree No. 338/1997, on details of waste management, set the landfill ban for

tyres at 1st January 1998. o Act No. 185/2001 Coll. On waste and amending certain other Acts - § 38 the

return of certain wastes; o Decree No. 383/2001 Coll. On details of waste management, as amended; o Decree No 381/2001 Coll., Catalogue of wWaste, as amended; o Decree No. 237/2002 Coll. On the details of the method of taking back some of

the wastes, as amended; o Decree No. 294/2005 Coll. on conditions of land filling (storage of waste) and use

of waste on surface and below the surface and amendment of Decree No. 383/2001 Coll. - Annex 5 List of waste that is prohibited to land filling or dispose on and under the surface and waste landfill that can be stored only under certain conditions.


o Not yet implemented.


3.10.1.2.1 Model

The ban of discharging tyres in Landfill has been set, starting from 1st January 1998, by the decree No. 338/1997 Coll., on waste management.

The Act 185/2001 has introduced the principle of taking-back used tyres and established also the responsabilities of manufacturers, importers and municipalities.

According to this Act the first two subjects have an obligation to take back as many used tyres as they have introduced in the Czeck market, according to the regime of ”Producer Responsability” established in the country; the others have to accept used tyres from private citizens, if it is requested by them.

So far those obligations have not been implemented, due to the lack of a regulation for the practical management implementation (control system, documentations, communication and logistics) of the Act in the country.

At the moment manufactures and importers are not really committed in an integrated management system of collection and recovery and the principle of taking-back tyre is not part of the “waste management system” protocol used by the municipalities and the waste collection points.

Thus the legislation lets the practical fulfilment of the principle of “the producer responsibility” to the initiative of private businesses, tyres manufacturers and importers, municipalities.

According to ETRMA (website updated at the end of 2010), Czech Republic is living a phase of transition; during 2011 the country should finally define a regulation for the implementation of the Act 185/2001 and organise an integrated management system for used tyres.


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At the moment in the Czech market, many and different subjects are involved in the recycling process of used tyres.

The tyres manufacturers: Barum Continental, Michelin, Goodyear, Bridgestone, Pirelli, Nokian and Matador have organised and financially sustain respectively their own collecting and recovering systems through their sales networks.

They do not cooperate with each other and they could not cooperate also with the municipalities, since there is no legislation that allows the companies to use the municipalities’ facilities paid by the citizens’ taxes, nor a legislation that set an economic compensation payable by the municipalities for using the recovery network financed by the manufacturers.

The legislation does not oblige the final users of tyres to pay for the recovery.

Many municipalities that choose to recovery the used tyres in order to manage them environmentally have to pay private subjects for the collecting and recovering.

According the Act 185/2001 they have to dispose of the waste that they produced.

For the collection they spend about 80-90 € per tonnes, plus 6-8 € per tyres when the load is old and dirty because the tyres have to be clean manually in order to be recovered. For example the companies that produce cement do not accept dirty tyres.


Since there is no real central and integrated organisation for the management of used tyres, the strategic players in the market are all the subjects that have an interest in collecting and recovery used tyres.

Few private companies are committed in the practical processing and recovery of used tyres:

MONTSTAV CZ: MONTSTAV CZ, Ltd. is the larger user of used tyres in Czech Republic; it processes about 9.000 tones per year. The company accepts all kinds of tyres (car tyres, tractor cars...) and other rubber waste. It can collect tyres directly and provides a certification to its business counterpart, which needs to fulfil the legislation (The Act No. 185/2001). It produces loose granulates, high quality rubber surface made also of granulates and a special materials with a very power of absorbance. The company cooperated also with many international parties: manufacturers and scientific bodies involve in developing recycling machinery and realises also patent to international partners regarding recycling machinery and process. Recently it has signed an agreement with Cement Cizkovice for the procurement of 4.000 tonnes of shredded tyres, measuring 45 mm, as an alternative fuel.

TASY - Mokrá u Brna: TASY, Ltd. is a large specialised tyre dealer and repairer that offer also a vaste range of services in the supply chain of tyres. It involved in the sorting and processing of used tyres since 1991. The company itself provided the collection of tyres from the Czech Republic and Slovakia. The annual number of processed material is one of the largest in the domestic market. Since its existence the company has ensure that more than 250.000 tons of tyres were recovered environmentally (20.000 tonnes per year). After a selection of reusable tyres from ELT, used tyres travelled on standard semi-trailers in both directions of the motorways to reach their finally recovery destinations that, in the case of ELT, it is mainly the energy recovery.

DART Brod CZ is another company that produces granulate.

Cement Čížkovice is a company that produces cement and uses tyres for energy recovery.


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According to various estimation, 40.000 – 120.000 tons of used tyres are generated in Czech Republic each year. From Cenia data (Table 36), approx. 2/3 of this amount is collected (44.392 in 2007).

Table 36: Statistics on the production and collection of used tyres (2002-2007) in Czech Republic

Source: Cenia

The reason for the imbalance between the estimate generation data and the recorded amounts can be caused, for example, by the high fraction of temporary storage of used tyres or by illegal management, or overestimation of their production. The balance flows should also include, amongst other things, imports and exports of new and used cars and import, export and disposal of end-of-life vehicles.


About 15.000 tons of used tires disappear each year through an unknown destination (legal and illegal).

There are also temporary storages of used tyres that fluctuate during the year, for some plants import used tyres in certain periods of the year from other countries because of the lack of used tires in the domestic market, in order to maintain operative their facilities.


Treatment options considered in Czech Republic for used tyres are mainly:

- Re use and retreading; - Energy recovery (cement kilns); - Material recovery; - Roadway construction and other similar applications (e.g. preparing the sites for landfills).

According to Cenia (Figure 34), in 2007, approximately 73 % of all collected waste tyres (about 30.000 tonnes) were destined to energy recovery in cement factories, mostly for the production of clinker, about 15.000 tonnes were recovered as secondary raw materials and 23% were recovered in construction in different structures. The re-use and re-treading tyres are about 10.000 tonnes.


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73%

12%

5,00%9,50% 0,50%

Energy recoveryMaterial recovery Retreading (and re-use)

Other applicationsTemporary storage

Source: Cenia

Figure 34: Statistics on the recovery application of used tyres (2007) in Czech Republic

The material recovery is considered a good application for ELTs, even though the favourite option remains the energy recovery. Despite the many used tyres discharged in illegal landfill or waiting in temporary storage, Czech Republic imports many of used tyres from other countries that serve for the energy recovery.


The overall costs for collecting, handling, gathering, transporting and processing the used tyres are high; this affects greatly the system and discourages any improvement and virtuous practices.

There are few processing facilities in the territory (although with sufficient capacity as regards the domestic production of used tyres) and the distances to be covered increased a lot the transport costs. Figure 35 shows the locations of the sites and facilities where the used tyres are recovered in practice.

Source: Cenia

Figure 35: Location of the sites for the recovery of used tyres in Czech Republic


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No information regarding the prices for end users is available. It needs to contact directly the suppliers.


No information regarding contractual scheme with end users is available. It needs to contact directly the suppliers.


A new legislation is under study to create an organic and transparent collective system that involved all the responsible subjects (manufacturers, importers) and also the small entities, which can not fulfil independently the duties imposed by law on waste management.

The future legislation will define, first, the tyres to which the regulation will be applied (e.g. passenger and commercial vehicles of the category M1 and N1).

Also this legislation will establish the practical obligations the responsible subjects have to perform.

For each outlet markets of tyres they will:

- cooperate (signing an agreement) with the local communities (municipalities) for the development and management of an integrated system for collecting and sorting the municipal used tyres;

- organise suitable areas for the collection of used tyres in that municipalities;

- work through effective communication tools in order to enhance consumer awareness about the risks for environment and the new application of used tyres as well as the collection/recovery system;

- reduce unnecessary barriers that can restrain the collection (e.g. presentation of proof of purchase, bind the acceptance of ELT to the selling or buying of brand new tires, financial reimbursement, etc.).

Czech Environmental Inspection Agency and Czech Trade Inspection Agency will provide the necessary control to assess if all those dispositions are fully respected in the practice.




According to data from the European commission (Table 37) Czech Republic public investment in transport is increased notably over the period 2000-2006.


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Table 37: Czech public funding (million euro) for transport infrastructure


Figure 36 shows clearly that the main destinations of public funds between 2000 and 2006 were the road network and then the rail network, also in order to reach a minimum standard level determined by the European Union.


Figure 36: Czech investments in Transport infrastructure by mode

The Czech Government has adopted a policy introducing public private partnership ("PPP") as a standard tool serving the provision of public services and public infrastructure. In 2004 PPP Centre was formed to speed up preparation of legal environment and methodological procedures in relation to PPP in the Czech Republic.


According to the World Economic Forum, Czech Republic occupies the 37th position in the world ranking for the quality of overall infrastructure; the 80th for the quality of roads and the 22nd for the quality of railroads infrastructures.

Table 38 and

Table 39 present the figures about road network and the rail network, during the year (2001-2008) in Czech Republic.

Table 38: Road Network (Km)_year (2001-2008) in Czech Republic

Source: Eurostat, CSU – Czech Statistical Office


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Table 39: Railways Network (Km) _year (2001-2008) in the Czech Republic


Czech Republic has not yet finished the network of motorways and expressways. Despite the expansion of the road network in the past decade, it is still underdeveloped. Plans for enlarging it aim mainly at realising connections to the surrounding countries, in addition to the existing strong connection between Prague and Brno. Also the existing roads have to be modernized.

According to official transport policy, the need to construct new motorways and express way is very urgent: it is necessary: to establish a first-class transport connection for the development of individual regions and to take traffic away from the urban roads that are very congested at the moment.

The rail network is, instead, quite extensive but the quality of the network is still low.

Table 40 shows the National and International Freight Transport in Thousands of tonnes from 2003-2009 in the Czech Republic.

For Eurostat (Table 41) and DG tren (Europe Commission), the ratio tonnes/km for road transport is increased notably and steadily from 2003 to 2009; the opposite trend determined the decrease of the same ratio for the rail transport.

Table 40: National and International Freight Transport (Thousands of tonnes) _year (2003-2009) in Czech Republic


Table 41: Freight Transport (Million of tonnes/Km) _year (2001-2009) in Czech Republic


Road is so far the principal mode for freight transportation (Figure 37).The country is characterized by a low level of intermodality. For the Czech Republic the connection of sea and inland waterways is not of relevance, since there is no coastline within its sovereign territory. The system of regional airports is underdeveloped


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Figure 37: Freight Transport split by mode (2009) in Czech Republic

For Eurostat (Table 42) and DG tren (Europe Commission), the ratio passenger passenger/km for road transport is slightly increased from 2003 to 2009; the opposite trend determined the decrease of the same ratio for the rail transport. The decrease of the rail transportation of passenger can be directly linked to the growing motorisation in the Czech Republic.

Table 42: Passenger Transport (million passenger/km) _year (2003-2009) in Czech Republic


The road network is very important for Czech Republic. It has changed too little in this past decade, enhancing not enough considering the development of the freight and passenger traffic. Moreover the centrality of road is increased by the demeaning of the rail transportation as a mode of transportation and the general low intermodality.


Check Republic is divided in two regions, characterised by a variety of landscape. Moravia, located in the eastern part of the country, is mostly mountainous. It is drained by the Morava River and contains also the source of the Oder River.

Bohemia, in the west of the country, consists of an elevated basin drained by the Elbe and the Vltava rivers, surrounded by mostly low mountains, such as the Krkonoše in the range of the Sudetes. The highest point in the country, Sněžka at 1.602 m, is located here.

The ring of mountains than encircle rolling plains, hills, and plateaus (the Bohemian Plateau).


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the second most problematic factor for doing business in Czech Republic and Corruption is the first.

Every contracting entity is responsible for its own procurements, both locally and centrally. The association of more contracting entities is considered a sole contracting entity.


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Structures responsible for public procurement at central, local and regional level are also: the Office for the Protection of Competition performs the activity of control; the Ministry for Regional Development is involved in the legislative determination, the release of concessions and the control of the rightness of the procedures.

The Supreme Audit Office of Czech Republic controls, instead, the efficiency and the economy of the Public Procurement.

The Regional Court in Brno and the Supreme Administrative Court of the Czech Republic are responsible for the review procedures.



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3.11 Poland




o Act of 27 April 2001 on waste Journal of Laws of 2001, no. 62, item 628 introduces a ban on storage, which, in accordance with the so-called introductory Act, is valid for entire tyres from 1 July 2003 and for a part of tyres from 1 July 2004 (the Landfill Directive uses term "shredded tyres").

o Act of 11th May 2001 on economic operators’ obligations in the scope of managing certain types of waste (including tyres and lubricating oils) and on the product and deposit charges (J. of L. of 2007, No. 90, item 607, with later amendments) Regulation of the Council of Ministers of 14th June 2007 on annual levels of recovery and recycling of packaging waste and post-consumption waste (J. of L. No. 109, item 752) (period of implementation 2007-2010)

o Regulation of the Ministry of Environment on template statement about sizes of packaging and products introduced to the domestic market, the achieved sizes of recovery and recycling of packaging and post-consumer waste, and receipts from product fees, of 23 December 2003, Journal of Laws of 2003, No. 232, item 2342.

o Regulation of the Minister of Environment of 30 September 2004 on the determination of the template consignment note used in international waste trade – Journal of Laws of 2004, No. 215, item 2189.


3.11.1.2.1 Model

Primary changes in the Polish law with regard to waste management occurred in the period before accession to the EU structures. There were meant for increase in adjustment to legislation binding in the European Union so that disposal of waste produced in industry would be conducted in a controlled manner and in compliance with law. The act on responsibilities of entrepreneurs with regard to management of some waste, and of product fee and deposit fee, published in June 2001, imposes, among others, on manufacturers and importers of tyres the obligation to obtain a designated level of recovery of tyres introduced to the Polish market. Poland is thus under the producers responsibility model and "The Product Act" imposes on entities introducing tyres to the market an obligation to recover 75% of the mass of sold tyres.


Similarly to what happens in the Countries where producers' responsibility is in force, the main actors involved in ELTs management in Poland are:

- manufacturers and importers of tyres, who have the responsibility to correctly dispose of their products at their end of life;

- companies which collect the end-of-life tyres in the centres where they are generated i.e. tyres dealers, car repair shops or gas stations;


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- treatment/recovery companies (also called recycling companies), who are in charge to transform ELts in subproducts (shred tyres, granulate, powders) to be put on the market for specific applications.

The Polish ELTs management system was created with the goal to be transparent, simple and easy to become effective, and, at the same time, cheap throughout its whole operation. As a result, reporting obligations by the actors involved in the process and by public administration was limited as much as possible. A company manufacturing or importing tyres is obliged to submit annual statements and conduct unassisted calculations, and pay product fee to a separate bank account of the marshal's office competent for the registered office or place of residence. An entrepreneur is also obliged to keep additional off-book records allowing the determination of the obtained levels of recovery and recycling and calculation of product fee, in accordance with the regulations on accounting. The system of deposit fees was simplified, by placing it on the level of retail trade.

The treatment/recovery companies and consortiums either deal with collection on their own, or make use of the services of other specialized subcontractors, e.g. Recycling-Central Storehouse of Rubber Waste in Gralewo near Gorzów Wielkopolski, or the plant from Krosno Odrzańskie. These companies have mobile devices to shred tyres, which, as a result of significantly reduced cubature, reduces substantially transportation costs.

The following Figure 38 shows the ELTs management in Poland.

Figure 38: Scheme of tyres disposal in Poland


As a consequence of the introduction of the Product Act, the Centrum Utylizacji Opon Organizacja Odzysku S.A. (CUO) 45 was established in 2002 on initiative of the biggest tyre

45 www.utylizacjaopon.pl


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manufacturers in Poland in order to fulfill requirements of this act. Shareholders are Bridgestone, Continental, Dębica, GoodYear, Michelin and Pirelli, and they carry out their obligations and at the same time strongly support protection of environment.

One of the Company’s main achievements is elimination of the problem of illegal landfills. With respect to ecology, CUO performs a key role in solving the problem of rubber waste disposal in Poland. Besides, the Company is involved in educational programs, which aim, first of all, is drawing attention of Polish youth to problems of waste disposal, in particular – disposal of end-of-life tyres (ELT). Centrum Utylizacji Opon Organizacja Odzysku S.A. is the biggest company in Poland solving the problem of collection, transport and recovery of end-of-life tyres. The Company currently controls about 65% of the domestic market, recovering more than 85.000 tons of ELTs per year. The company's activities cover whole territory of Poland. The Company collects end-of-life tyres through its logistic network from the tyre exchange points, garages, car dismantlers, municipalities or private persons. Collected ELTs are segregated by types and delivered to recovery points such as cement kilns, power plants and recyclers, where they are burnt for energy recovery or shredded and converted into a new products. CUO is a representative of Poland in European Tyre & Rubber Manufacturers’ Association

Although the obligation to manage waste was subject to more detailed negotiations after introducing the Act on waste in 2002, it was not a completely new activity. An example may be PPUH Guma-Bolechowo, which as early as in 1948 began to retread tyres, namely extend their life. In July 2001, along with Arka Konsorcjum SA, an environmental company operating for more than 10 years, it formed ARGUM Sp. z o.o.

The Consortium had all necessary permits and local authorities' decisions, permitting complex solution of the problem of disposal of tyres and other rubber waste. In past years, it recovered about 3.000 tons of tyres annually, but after introducing new machines for their milling their output capacities increased up to 20.000 tons.

ARGUM Sp. z o.o. is one of the many companies involved in the treatment of end-of-life tyres. In November 2001, in Krosno Odrzańskie, plant ABC Recycling SA with output capacities of about 15.000 tons of tyres/per year began operations. Much less, as ca. 600 tons of tyres/annually, are shredded by Inter-Recycling from Trzebinia, located in the area of the former brickyard.

In June 2000, Ekoguma Association was established, associating five biggest competitors on the Polish market, two importers of tyres: Pirelli and Continental, and three producers: Michelin Group (Michelin and Stomil), Goodyear Group (Goodyear, Dunlop and Dębica) and Bridgestone/Firestone. Its statutory objectives include, among others, shaping the image of rubber industry, representing, promoting and lobbying of rubber industry in Poland, participation in creating legal grounds concerning rubber industry, in particular governing handling end-of-life tyres and safe management of end-of-life tyres and other rubber products. Representatives of the Association participated in legislative works concerning management of end-of-life tyres and other rubber products. The Association represents environment of manufacturers and importers of rubber products and companies involved in collection and recycling of rubber waste towards the local administration and state authorities. The Association is affiliated with the European Tyre Recycling Association ETRA and with the European Association of the Rubber Industry (BLIC), which represents organizations of manufacturers of rubber products from particular EU countries. It also participates actively in works of the so-called CEN Workshop Agreement, namely a working group directed by ETRA, appointed by the European Centre for Standardization (CEN), whose task is to prepare draft standards for materials being product of recycling of rubber products, such as e.g. rubber fines, granulated product, shreds, regenerated product, devulcanization agents, products of pyrolysis, etc.


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In the period 2002-2005, in Poland every year 5 million pieces of tyres, that is approximately 150.000 tons, were sold. A similar quantity is withdrawn from use every year. In the period 2006-2007, the mass of introduced tyres increased to about. 190 000 tons. The unquestionable majority of tyres introduced to the domestic market are new tyres (ca. 96%), while used and retreaded tyres have share of ca. 2% each46. According to ETRMA, in 2008 100% of ELTs were processed or recycled.


According to ETRMA report of 2009, in 2008 no ELTs landfill were present in Poland.


As a first consideration, it is worth mentioning that retreading is quite common in Poland and end-of-life tyres to be retreaded meet qualitative requirements of tyre retreading shops, impeding to a significant extent import of waste and made it possible to use production capacities to process waste generated in the country.

Polish legislation47 imposes levels for energy recovery and recycling of ELTs , as shown in Table 43.

Table 43: Binding levels of recovery and recycling of tyres in Poland

Period 2002 2003 2004 2005 2006 2007 2008 2009 Energy recovery, %

25 35 50 60 70 75 75 75

Recycling, % - - 6 9 12 15 15 15

According to available statistics from ETRMA, in 2008 the large majority of ELTs were destined to energy recovery (78%).

As for material recycling, granulate, after adding relevant binders, is applied most often as pavements of playgrounds, sport playfields as well as lining sound absorbing noise and absorbing impact. Rubber powder instead is added most often to rubber mixes, to make products such as car rugs, rubber mats, etc. It is worth noticing that in Poland, these are limited applications: according to evaluations of the Research Institute of Roads and Bridges, currently in Poland for the above applications it is sufficient to use the material obtained as a by-product of retreading process as rubber pulp created during removal of old tread.

46 Polish National Statistical Office (GUS), 2007

47 Journal of Laws of 2003, No. 104, item 982


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Usually companies involved in shredding use installations with efficiency from 10 to 20.000 tons per year. As for costs involved in each step, the only available information concerns energy recovery application, where cement plants must be paid to receive tyres as alternative fuel.


If the end user is an energy recovery facility, the collectors must pay it for receiving ELTs. No information where available for the other cases.


No information available on contractual schemes and guarantees on the quality of the final product.


In Poland, recycling of end-of-life tyres evolves slightly more slowly, but the mass of waste tyres managed in this way is growing systematically each year. A separate, quite important problem is a difference in legal regulations concerning recovery and in particular introduction to the Polish law, with regard to waste, of process R-14, which is not separated in other countries, nor in the EU law, but certainly this is determinant for the actual quantity of waste tyres subject to recycling. Process R14 consists in using end-of-life tyres entirely or in parts, to, among others: protect waste landfills, protect port quays (fenders), cover racing tracks or construction site at roads (buffers).




In order to accelerate the infrastructure investment processes required at the time of accession into the EU in 2004, the BGK (Bank Gospodarstwa Krajowego - National Economy Bank) set up the National Road Fund (NRF) which was in operation from 2004, to support for the government programme of road and motorway construction. In 2006, the income of the NRF was more than 1.5 B€ and a similar fund (The Railway Fund) was also created to collect financial resources for construction, renovation and maintenance of railway lines. It was also necessary to undertake an unprecedented investment programme in roads, rail and maritime transport whose priorities were the modernization of railway infrastructure , also through the reconstruction of railway lines (266.7 M€) and the improvement of the quality of national roads through the construction and reconstruction of national roads (452.5 M€)48.

48 Ex post evaluation of Cohesion policy Programmes 2000-2006. Work package 5a: Transport, August 2009


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under construction existing

Kilometers

Years

Motorway Express Road in Poland

Figure 39: Development of infrastructure in Poland

The program for construction of motorways in Poland was prepared in late 1990s, and, in spite of many modifications, it has been consistently implemented. Most changes introduced to the initial version of the program apply to dates of completion of different sections. The up-to-date version comes from the Regulation of the Council of Ministers of 15 May 2004 (Figure 39). The plan defines also the target motorway network with total length of approximately 2.000 km (Table 44). Until the end of August 2008, 812 km of motorways were commissioned. At various stages of progress, subsequent 578.7 km of routes are being built. Until the time of kick-off of the European Football Championships in June 2012, it has been planned to commission 1.633 km of motorways, including completion of the whole A4 motorway, A1 motorway, excluding section from Częstochowa to Pyrzowice, and section of A2 from the western border to Warsaw.

Table 44: Plan of construction of motorways and express roads in the years 2008 – 2013 (according to the General Directorate for National Roads and Motorways)

Type of road 2007 2013 Operating range

Motorway 675 km 1634 km 960 km

Express road 294 km 3032 km 2738 km

National road 16887 km 20880 km 3993 km

For many years, the issue of motorways has been a leading element of electoral campaigns of parties. The Prime Minister for the time being has recognized the issue of construction of motorways as his main priority. Over the past two years, the Ministry of Infrastructure signed contracts for construction of motorways with total length of more than 702 km. Contracts were concluded both in traditional system (together 534 km) and in the Public and Private Partnership system, fostered by the government(together 168.3 km).


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Figure 40:Progress in construction of motorways in Poland as of 1 November 2010


In spite of changes which occurred in Poland in the last 15 years, transport still remains a backward field, seriously under-invested and offering to entrepreneurs and citizens usually low quality services. The greatest challenges to be faced by transport in Poland are:

- Low level of road traffic safety;

- Outdated transport infrastructure, increasing costs of cargo transportation and reducing quality of transport services as well as restricting the mobility of citizens and discouraging foreign investors;

- Low effectiveness of organizations responsible for conducting investments;

- A high degree of wear of a considerable part of means of transport, constituting a serious threat to operations of many companies registered in Poland;

- Low standard of maintenance of the existing infrastructure;

- Basic problem of the Polish road network is lack of motorways and express roads.

This is a basic factor reducing transport accessibility of Poland and its particular areas. Throughput of connections between the main municipal agglomerations is already exhausted, which leads to traffic congestion on major national roads. Owing to the role performed by road transport in international exchange and in logistic deliveries for industry and trade, the lack of a network of roads with large throughput becomes one of the most important factors restricting economic development of the country.


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Currently, the length of network of motorways in Poland is 916.0 km (including marked as A: 893.5 km). The network of motorways is completed by express roads, similar in terms of parameters. Total length of motorways in Poland has been planned for approximately 2.000 km.

Table 45: Motorways in Poland as of 1 November 2010

As for the railways network, it was 19.507 km long in 2005. Its quality was also substandard at that moment, which resulted in lower competitiveness of rail transport. At the same time it absorbed large amounts of public funds. Only 2.300 km of lines allowed speeds in excess of 120 km/h.

The modernisation of the Polish State Railways was thuds a huge strategic challenge for the Polish government in the last years.

As for transportation of goods and passengers, road haulage represented the most important mode of inland freight transport: in 2007 its modal share when compared to other land based transport modes was nearly 74%, with rail accounting for 26%.

26%

74%


Road transportation

Figure 41: Total freight traffic in Poland by transportation mode in 2007

(Source Eurostat)

As for passengers transportation, according to the last available data for 2006, road transportation is also the most diffused transportation mode accounting for more than 90% of the total passenger traffic (see Figure 30).

Motorway Planned line Total length

Existing Advanced Under

construction Modernization

A1 Gdańsk (S6) –

Gorzyczki (border) ~568 km 134,7 km ~24% 281,1 km ~10,7 km

A2 Świecko (border) – Kukuryki (border)

~610 km 254,4 km ~42% 220,2 km ~13 km

A4 Jędrzychowice (border) – Korczowa (border) ~680 km 440,2 km ~65% 230,5 km 0 km

A6 Kołbaskowo (border) –

Rzęśnica (S3) ~29 km 21,7 km ~75% 0 km 0 km

A8 Bielany Wrocławskie

(S8) – Wrocław (DK8) 35,5 km 0 km 0% 35,5 km 0 km

A18 Olszyna (border) –

KrzyŜowa (A4) ~78 km

7 km, 71km (north street)

~54% 0 km 0 km

Total: ~2000,5

km 893,5 km ~45% 731,3 km ~23,7 km


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7%

93%


Roadtransportation

Figure 42: Total passenger traffic in Poland for 2006 by mode ( pass/km) (Source Eurostat)


Poland comes in 9th in Europe in terms of area and 8th in terms of population. Length of boundaries in Poland is 3511 km, including 440 is the Baltic sea border (line of the Baltic Sea coast not being line of the state border is 770 km). A vast part of the country is occupied by lowland of the eastern part of the Central European Lowland, and average elevation is 173 m above sea level. Geographic lands in Poland are laid parallel, running from lowland areas in the north and central Poland to upland areas and mountains in the south. The highest point in the country is Rysy, a peak in Tatra Mountains (2.499 m above sea level), the lowest point is depression Raczki Elbląskie in śuławy Wiślane (–1.8 m under sea level).


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the second most problematic factor for doing business in Poland and Corruption is the ninth.

In Poland, the central authority administering national roads and executing the state budget in this respect is the General Directorate for National Roads and Motorways, appointed in the Ministry of Infrastructure. It was established on 1 April 2002, as a result of merging the General Directorate for Public Roads and the Agency for Construction and Operation of Motorways. The head of the General Directorate for National Roads and Motorways is the Director-General of National Roads and Motorways. The Director manages the headquarters in Warsaw and 16 Provincial Branches as well Regions of National Roads administering roads in the area.

The central body of the government administration, competent for issues of national roads, carries out tasks of the administrator of national roads and executed the budget state with regard to national roads. The Director-General of National Roads and Motorways is also responsible for:

- co-participation in implementation of the transport policy with regard to roads;

- collection of data and preparation of information about the public roads network;

- supervision over preparation of road infrastructure for the needs of defense of the state;

- cooperation with road administrations of other countries and international organizations;

- cooperation with the local government with regard to extension and maintenance of road infrastructure;

- performance of tasks related to preparation and coordination of construction and operation or only operation of toll motorways;


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The main commissioning body for railroad network infrastructure improvement is PKP Group trough the controlled companies PKP Polish Railway Lines, PKP Power Engineering Ltd., Infrastructure Repair Company Ltd., CS Training & Consultancy sp Ltd., Nature Tour Co. Ltd., Polish Railways Rope Ltd., Printing House Cracow Ltd. and Railway Communications Works Ltd. Most of them were originated from PKP SA, according to the Act of September 8 2000 on restructuring and privatization of Polish State Railways.


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3.12 Portugal




o Strategic Plan for MSW Management (PERSU) was published in 1997 and revised ten years later, in 2007 (PERSU II). The Plans include a detailed characterization of the MSW situation, and define the strategic orientations for the future.

o Decreto-Lei n.º152/2002, de 23 de Maio, transposition of Landfill Directive 99/31.

o DL152/02, specifically in art. 23º and Annex III (Critérios e processos de admissão de resíduos), provides waste acceptance criteria49,50.


o National Environment Act, Lei nº11/87, de 7 de Abril ; Lei de bases do ambiente.

o Decreto-Lei n.º379/93, de 5 de Novembro, which regulates the private companies in the waste management sector.

o National Law for used tyres Decreto-Lei nº 111/2001, which sets obligations for producers by 2007 to separately collect min 95% of annually produced tyres and to recycle min 30% of tyres produced51.


3.12.1.2.1 Model

The extended producer responsibility system is the one used in Portugal and originated from Decreto-Lei nº 111/2001. The Portuguese government decided to apply the EPR concept to tyres, and producers were obliged to constitute an end-of-life tyres management system to promote the collection, recycling and reuse of ELTs. This required producers, distributors, recyclers and retreaders to be identified and characterized, and local processing infrastructures to be analyzed. The information was used to design an economically optimised ELTs management system while promoting the activity of all ELT operators in order for the imposed collecting and recovery targets to be fulfilled. The system is now well established.

49 http://www.compostnetwork.info/index.php?id=103

50 http://scp.eionet.europa.eu/facts/factsheets_waste/2006_edition

51 http://www.wbcsd.org/web/Tires-FrameworkForEffectiveELTManagementSystems-Final.pdf


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The management of ELTs in Portugal, from generation to collection, treatment and recycling is schematically depicted in Figure 43.

Figure 43: Used tyres flow in Portugal (Source Valorpneu website)

The Integrated Used Tyres Management System (SGPU – “Sistema Integrado de Gestão de Pneus Usados”) developed by Valorpneu starts with the introduction of new or used tyres in the national market. Any company importing new or used tyres must celebrate a contract with Valorpneu, so that the Ecovalue due on the imported tyres can be charged.

For distributors (or any individual holders of used tyres) to deliver their used tyres, there is a network of collection points distributed throughout the country, where any company may deliver their used tyres at zero cost (the only cost companies have to support is transportation until the nearest collection point). Later on, tyres are routed by Valorpneu from the collection points to the destination points, where they are processed according to the established goals (essentially recycling and energy recovery).

This structure privileges the existing working mechanisms of the market with a proven track record, and promotes the business and financial viability of activities/business agents which contribute to the achievement of the environmental efficiency goals proposed in Decree-Law 111/2001. Within this context, it is possible to identify and characterize the different intervenient parts in the end-of-life tyres management system and define their respective rights and responsibilities.

Distributors/holders may deliver their end-of-life tyres to the different collection points, free of charge. They may also assign them to retreaders. This situation is valid for any operators, companies or entities (workshops, service stations, specialized trade, dismantlers, large fleet companies, municipalities, private citizens, etc.) that, for whatever reason, hold used tyres. Tyre distributors are not allowed to refuse accepting used tyres against the sale of tyres of the same type


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and in the same quantity. Retreaders may deliver used tyres resulting from the triage of carcasses to retread to the collection points, free of charge. If they wish, retreaders may also acquire carcasses to retread at collection points.

Collection points are temporary storage places for used tyres and work as an upstream “reservoir” for Energy Recovery Agents. These operators are the first visible face of the SGPU and they accept any type of tyres, free of charge. The two main objectives of collection points are to control and quantify all used tyres flows directed towards energy recovery and other destinations and to provide an adequate collection network evenly distributed throughout Portugal.

For a financial offset and according to the existing legal goals, Recyclers and Energy Recovery Agents close the SGPU cycle, receiving the end-of-life tyres coming from collection points and processing them into rubber granulate for an adequate recycling destination (recyclers) or energy (energy recovery agents).

Transportation of end-of-life tyres from collection points to Energy Recovery Agents is provided by Transportation Agents, controlled and financed by Valorpneu.

The information management inherent to this complex data transmission network is supported by an online information system which ensures the interaction of the different operators within the SGPU, while simultaneously allowing Valorpneu to manage and control the whole SGPU. This information system, named “SGPU On-Line” is a restricted access system and works via the Internet.


In the aftermath of Decree-Law n°. 11/2001, where the producers responsibility model came into force, tyre producers came together with industrials from the tyre retread and rubber sectors and formed Valorpneu - Sociedade de Gestão de Pneus, Lda.52

Valorpneu is a non-profit private limited company, created on February the 27th, 2002, with the objective to organize and manage the system for collection and ultimate disposal of used tyres. The company was licensed, for the first time, on October the 7th, 2002, by the Ministries of Economy and Cities, Land Management and Environment, as the managing entity of the SGPU - Sistema Integrado de Gestão de Pneus Usados (Integrated Used Tyres Management System), which started production on February the 1st, 2003.

Valorpneu has a capital stock of 30.000,00 €, divided into three shares, which are distributed as follows: ACAP - 18.000,00 €, a 60% share of the capital stock; ANIRP – 6.000,00 €, representing 20% of the capital stock; APIB – 6.000,00 €, representing 20% of the capital stock.

52 http://valorpneu.webuild.pt/artigo.aspx?lang=ing&id_object=49&name=Who-We-are


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Figure 44: Valorpneu activities

Valorpneu, according to its licensing role as the used tyres managing entity, has as its main purpose to create and develop a system which enables to adequately manage and process the flow of used tyres generated on a yearly basis.

This context led to the creation of the SGPU - Sistema Integrado de Gestão de Pneus Usados – which can be defined as an articulated processes and responsibilities system, whose aim is the correct routing of end-of-life tyres, eliminating the need for landfill deposit and promoting collection, separation, retake and recovery. This system is financed through the collection of an Ecovalue (environmental contribution) which takes place whenever a tyre is sold in the national market (either new or used).

Valorpneu uses the Ecovalue to finance a system whose responsibility starts with the collection (via the availability of suitable areas for temporary storage of used tyres), continues with transportation (amongst the collection operators and energy recoverers) and ends at recovery (reuse, retread, recycling and energy recovery). The system also includes the promotion of its activities through the appropriate communication channels, as well as the financing of R&D activities which contribute to meet its objectives. Used tyres dispatched by Collection Points may have four different destinations: reuse, retread, recycling and energy recovery.

Other important players in the Portuguese market of ELTs are53, 54, 55:

- National Association of the Tyre Industry (Anip in the Portuguese acronym).

- Via Viva Ecopoints, operated by the mentally handicapped, people whose employability is highly limited, and their families.

- Biosafe is a tyre recycling company dedicated to producing high quality and low cost fine mesh crumb rubber.

- Recipneu is a company specialised for innovative used tyres recycling and rubber sintering process for eco-friendly urban equipment fabrication (eco rubber).

53 http://www.revistapesquisa.fapesp.br/site_teste/extras/imprimir_en.php?id=1444&bid=1

54 http://ec.europa.eu/cip/files/docs/report_beneficiaries_final_en.pdf

55 http://suppliers.cheaponsale.com/ms-recycled_tire_mulch/


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According to European Rubber Manufacture Association in 2009, Portugal generated 67.000 tons of end-of-life tyres, of which 100% were recovered.


According to official data from Valorpneu, there was no landifilling of tyres in 2009.


The Portuguese recovery net is essentially formed by recycling (material recovery) and energy recovery operators. Energy recovery covered 31% of ELTs generated in Portugal in 2009. As for material recovery, to which almost 70% of ELTs were destined in 2009 (see Figure 45), most of the production of rubber granulate is canalized to the filling of synthetic grass pavements. The construction of sport and child secure pavements has some expression. As for the utilization of rubber granulate on roadways construction, the numbers are not meaningful yet.

31%

69%

Energy recovery


Figure 45: ELTs uses in Portugal for 2009 (Source: Valorpneu)

However, shred tyres and fragments resulting from tyre grinding available in different sizes are sometimes used in Portugal as raw material for rubber granulate, inert replacement in Civil works soils preparation , embankment stabilizers and to bridge embankment in compressible foundation soils (similar application as RECTYRE). The recycling company Recipneu (www.recipneu.pt) for example sells Madre® - Material Agregado Derivado do Pneu, a product suitable for civil works, in replacement of inert materials and limited natural compounds whose extraction has a negative impact on environment. This product, resulting from chips, is an economically viable alternative technique to the traditional gravel. The incorporation of MADRE® in public works is an opportunity for its promoters to be part of the National strategy spirit for ecological Public purchases 2008-2010, promoting both the National Recycling Industry and the environment protection by means of the intrinsic economical and technical advantages of recycled products as opposed to natural resources.


Valorpneu’s recovery network is essentially made up of recycling and energy recovery operators. Once in a while there may also be some operators which recover used tyres through reutilization for other purposes (such as, for example, civil works construction, protection of marine piers, etc.).


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Recycling operators receive whole or shredded tyres and process them into rubber granulate (separating metal and textile materials incorporated into the tyres), which is then used for different purposes (rubber modified bitumen, synthetic football pitches, paving, children playgrounds, etc.). At present, Valorpneu works together with 3 recycling companies: Biosafe, located in Ovar, Biogoma, located in Tremês, and Recipneu, located in Sines. The first two operate through a mechanical process, while the third uses a cryogenic process. As an example, Biosafe facility is able to process 20.000 tons of ELTs per year.

The energy recovery operators utilize used tyres as an alternative source of fuel for energy production, benefiting from the excellent heating power of tyres. At present, Valorpneu works together with 4 energy recovery facilities: the three cement production plants from Secil Group, located in Maceira, Pataias and Outão, and the cogeneration facility of Recauchutagem Nortenha company, located in Penafiel.

As in the majority of countries adopting producers responsibility model, also in Portugal an environmental contribution is foreseen (Eco-value) which is charged to the customer when a new tyre is bought. Table 46 summarizes the environmental contributions valid since 2009 for the different tyres categories.

Table 46: Eco-value since January 2009 for the different type of tyres


In the current business scheme, the costs for the end users of ELT derived materials vary according to the type of product and specifications required for each application. The price is fixed in the contracts stipulated between the recycling companies and the end user.


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In Portugal, to have ELTs derived products as shred tyres, granulate or powders one must contact directly recycling companies associated to Valorpneu and define contractual details (amount and characteristics of material, delivery time, price) with them.

No information on the control and monitoring of the materials after the final use is available.


No special considerations required.




For what concerns investments, Table 47 provides an overview of the expenditures on transport infrastructure in Portugal from national (public) sources. The respective projects are all co-financed by the Cohesion Fund and ERDF; the data presented does not include projects fully financed by the national budget.

Table 47: National funding (budget allocation) by mode of transport, 1994-2004 (M€)

National public sources National private sources

Railways 1.490 0

Roads 2.152 3

Ports 261 8

Airports 275 0

Urban transport 18 0

Other 122

Total 4.319 11

Portuguese domestic public or equivalent expenditure is about € 4.3 billion, corresponding to own or borrowed resources of central, regional and local administration, public owned companies or entities entrusted with public interest (through a concession or according to own statutes, for example). Private resources are marginal although it should be said that part of the data considered as public is in fact private.

As for European funding, during the period 1994-2004, Portugal has received a total amount of almost € 6.2 billion to co-finance transport projects, of which 4.1 billion€ from the European Regional Development Fund (ERDF) and € 2 billion from the Cohesion Fund. With this assistance, it has been possible to carry out total investments amounting to € 10.5 billion, meaning


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that the global average rate of co-financing by the EU funds was just 58.8%. All these figures represent certified expenditure meaning that those amounts have been actually spent and paid during this period.

Around 33% of the whole expenditure co-financed by the EU in the transport sector over those 11 years has been paid by the Cohesion Fund. The remaining 67% of funding belong to the ERDF.

It is clear that the Cohesion Fund has had a share above the average in financing railways, ports, airports and urban transport; roads (more than half of total EU funds) are in fact the only sub-sector where CF financing is below the average. The main reason for this situation is the fact that projects are approved by the Commission, which has tried to reduce investment in roads and to increase investments in cleaner transports, mainly railways, ports and underground city transport.

Table 48: Breakdown by sub-sector and type of fund, 1994-2004 (M€)

ERDF CF

Railways 996 737

Roads 2.641 903

Ports 285 152

Airports 99 159

Urban transport 1 93

Other 127 0

Total 4.148 2.045

The road sub-sector has absorbed 57.2% of the EU funds and the ERDF has devoted 63.7% of its resources to roads. Even for the Cohesion Fund the road sub-sector has absorbed 44% of the assistance, roads being the first area of spending.

It should not be forgotten that smaller projects carried out by municipalities – a very significant part of the whole – have only access to ERDF and correspond mostly to roads and streets. If we would take only the Central Administration and agencies, the output would be more balanced between roads and railways.

Around 34.3% of the assistance has been devoted to the Lisbon and Tagus Valley Region while only 22.3% has been applied to the Norte Region (with a similar population but with a lower per capita GDP). The same applies to the relationship between Madeira and Azores: they have both similar population size; Madeira has a much higher development level and got 7.9% of the funds against 5.8 for the Azores. The Algarve Region received relatively less of EU funds: with almost 4% of the Portuguese population it has absorbed only 2.1% of the Funds.

European Investment Bank has been very active in Portugal, with a total loan portfolio of € 10.2 bnin the period 1994-2006. The overall distribution of loans is: 55% to the road sector, 20% to the urban public transport (metros), 17% to the rail sector, 7% to the aviation sector and 1% to ports. The support in the road sector mainly involves co-financing of the construction of toll motorways. The largest EIB loan was dedicated to the construction of Scut Beira Litoral/Beira Alta (PPP) in 2001 (470 M€).


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As for Public Private Partnerships, the first significant example in Portugal took place in the mid seventies with Brisa, a private company owned mostly by the State but with private shareholders, to which a concession had been awarded to implement the main motorway network in Portugal. In the nineties this policy has been further expanded and today includes not only motorways (Brisa but as well other private companies are involved in different concessions), but also sub-regional light train transport (construction and operation), the operation of specific parts of the railway network and seaport terminals.

Finally, it is considered by the Government that the endowing of immaterial inputs should preferably belong to the State. These include the promotion of R&D in the sector, innovation, signature of international agreements, finance, professional training and the creation of knowledge bases accessible to all agents.

The Government, in permanent interaction with the Ministry for the Environment, Territorial Planning and Regional Development, is preparing the Priority Infrastructure Investments Program (PIIP). A summary table was elaborated in the PIIP, including the priority projects. A list of representative projects is presented in Table 49.

Table 49: Priority Infrastructure Investments Program, public and private budgets for priority projects (mln €) (Source: PIIP Report)

Project Total public Total private Total

Road Infrastructure concessions (Lisbon area)

- 167 167

Amarante-Bragança connection

- 150 150

High-speed railway 1.400 100 1.500

New Lisbon Airport 220 430 650


Portugal is ranked 24th in the World Economic Forum ranking on infrastructures for 2010-201156. Particularly, it is ranked 8th and 24th respectively concerning the quality of roads and railroad.

The road network in Portugal has steadily improved from the time Structural and Cohesion support began in the late 1980’s. Throughout the 1990’s, many new roads and highways were created or upgraded, with the National Road Plan (which includes highways, national roads and regional roads) encompassing almost 12.700 km by the end of 2004, compared to about 9.700 km a decade earlier. Many of the older and smaller roads which existed prior to the accession have progressively been placed under the care of the municipalities or, in some cases, phased out. Total length of these roads has decreased from 8.700 km in 1995 to less than 8.000 km in 2004.



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Table 50: Length of road network in Portugal (1995-2004) in km (Source: Portuguese Statistical Office (INE), NOTE: in 1999 part of the highways were relabelled into regional roads)

1995 2004 % change

Motorways - Main Routes 2.558 1.985 -22%

Motorways - Complementary Routes 2.416 1.294 -46%

Other National Roads 4.768 4.910 3%

Regional Roads 0 4.500 -

Municipal Roads 8.703 7.987 -8%

Total 18.445 20.676 12%

The total length of the Trans-European Road Network in Portugal has hardly changed in the period 1995-2004 (2.378 km in 1995; 2.291 km in 2004). Nevertheless this infrastructure has been considerably improved with many road sections being upgraded from common roads to highways or expressways. For example, the road connection between Lisbon and Caia, linking the NUTS II PT13 Lisboa e Vale do Tejo and PT14 Alentejo to ES43 Extremadura, had only about 43% of its 226 km upgraded to motorway standards in 1995, while today it is fully upgraded. According to Eurostat, overall motorway density in Portugal (25 km per 1000 km2) is significantly higher than the EU15 and EU25 averages (16 and 14 km per 1000 km2 respectively).

Distribution of the road infrastructure is not uniform. The NUTS II regions of PT13 Lisboa e Vale do Tejo (the Lisbon region) and PT11 Norte (northern Portugal) has the greatest length of road per km2. The Lisbon region has the highest concentration of national roads in the Country, while the northern region has the highest concentration of municipal roads. These two regions are, by far, the most densely populated, encompassing about 3/4 of the national population and GDP.

For what concerns the railways network, important progresses have been done since the Nineties: about 85% of all railway lines in operation in 1993 was single track, a figure which dropped to under 79% by 2004, as more rail sections were upgraded to double or quadruple track (an increase of 35%, from 449 to 607 km). Total percentage of electrified rail rose from 29% to 46%, and practically all double / quadrupled track railway is now electrified (an increase of 45%, from 408 to 591 km). Over 200 km of single track railway were phased out as well. The total length of the railway track in operation amounts to 2.836 kilometres in 2004. However, according to Eurostat, the railway density in Portugal is substantially below the EU average (31 km per 1000 km2 compared to 67 km per 1000 km2).

The two largest NUTS II regions, PT14 Alentejo and PT12 Centro, have the greatest length of rail. Compared to the national average, these regions, as well as PT15 Algarve, have a considerable amount of rail per 100.000 inhabitants.

In freight transport, measured in tons-kilometre, road is also the dominant mode with a share of 95%, which is far above the EU average figures. However, this is not due to the low share of rail, since rail transport is almost equal to the EU15 average and slightly below the EU25 average. The main differences in the modal split in Portugal are caused by the negligible share of inland waterway transport and pipeline transport (Figure 46).


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5%

95%


Roadtransportation

Figure 46: Total freight traffic in Portugal by transportation mode in 2007 (Source Eurostat)

The share of car transport for passengers (94%) in 2006 in Portugal is substantially above the EU15 and EU25 averages (see Figure 47). In contrast, the share of rail transport is only half of the European average.

4%

96%


Road transportation

Figure 47: Total passengers traffic in Portugal for 2006 by mode (pass/km) (Source Eurostat)


Even though it is a small country, Portugal has a wide variety of landforms, climatic conditions, and soils. The major difference is between the mountainous regions of the north and, across the Rio Tejo, the great rolling plains of the south. Within these two major regions are further subdivisions that reflect the country's vast differences. The Minho and Trás-os-Montes are both mountainous, but whereas the former is green with abundant rainfall, the latter is dry and parched. The Beira Litoral and Estremadura are younger geologically and contain sandstone, limestone, and volcanic rock. Beira Alta (Upper Beira) is mountainous and forms a barrier across the center of Portugal, but Beira Baixa (Lower Beira) is dry and windswept, an extension of the Spanish plateau. The Alentejo consists of gentle hills and plains. The area is separated from the Algarve by two mountain ranges, the Serra de Monchique and the Serra do Caldeirao.

In addition to continental Portugal, the country's territory also includes the Azores and Madeira islands. The Azores consist of nine inhabited islands and several uninhabited rock outcroppings 1.280 km west of the mainland in the Atlantic Ocean. The archipelago has an area of 2.278 km2 and a population of about 250.000. The Madeira archipelago, located about 560 km miles west of Northern Africa, consists of two inhabited and several uninhabited islands.


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According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the first most problematic factor for doing business in Portugal and Corruption is the eigth.

In Portugal, the sector of public works groups few large companies and many small and medium sized enterprises. Usually the average company size depends on the type of works in which it is specialized, the companies involved in transportation infrastructures being usually larger than the average. It is worth noticing that some important Spanish large enterprises have branches in Portugal, as for example Cintra.


Table 51: List of major contractors of transport infrastructure works in Portugal




Teixeira Duarte Public bodies, Private


Infrastructure construction, concessions and road

management 1.200

Mota-Engil Group Public bodies, Private entities, road managers

Transport infrastructure concessions, construction of

infrastructures 2.130

Estradas de Portugal S.A. Public bodies

Road construction, concessions (management if highways) n.a.

Cintra Portugal Public bodies Road concessions and

maintenance, road (highway) construction

n.a.

CIVOPAL - Sociedade De Construçoes E

Obras Publicas Aliança, LDA.

Private and public bodies

Construction of transport infrastructures (roads, bridges)

n.a.

ALGARESTRADAS - Construcao De

Estradas E Obras Publicas, S.A.

Private and public bodies

Road and bridges construction, production of asphalt, large

building works n.a.

The main commissioning bodies for the construction of road infrastructures are EP - Roads of Portugal, SA, a public limited company wholly owned by the Portuguese government, which exercises its rights as a shareholder through the Directorate General of Treasury and Finance. EP - Roads of Portugal, SA has the mission to provide financing, maintenance, operation, rehabilitation


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and widening of roads that make up the National Road Network and secondly the conception, design, construction, financing, maintenance, operation, rehabilitation and widening of roads that make up the National Road Network Futura, with the exception of most of the county's motorways, which are run by Brisa SA.

Brisa – Auto-estradas de Portugal was created in 1972. In 38 years it has become one of the largest tolled motorway operators in the world and the largest transport infrastructure company in Portugal. Brisa’s main business area is the construction and operation of tolled motorways, both through direct investments in Portugal, as well as through its national and international subsidiaries. Brisa currently operates a total network of 1.100 km, made up of 11 motorways covering the country from North to South and West to East.

Finally, another important commissioning body is Transport Infrastructure Investment Company (SCA) SICAR (“TIIC”), which has been initiated by a group of experienced individuals (the “Management Team”) and supported by Brisa, Millennium BCP, a leading Portuguese financial institution, and La Compagnie Benjamin de Rothschild, a prestigious international Geneva-based financial institution.

Transport infrastructure works are generally assigned by public tenders and public procurement procedures, according to European Legislation, which has been transposed by Portuguese law. All the relevant information on open tenders must be published by the contracting authority on the Public Procurement website (www.base.gov.pt), including deadlines which vary from 9 days to 50 days depending on the size of the contract. All the tenderers must present a statement declaring that they comply with qualification criteria, but only selected candidates have to provide the whole documentation for the qualification. The contract award criteria are the lowest price with exclusion of any other award criteria, or the most advantageous tender, as long as the award criteria relate only to elements of the tender that are submitted to the market. The responsibility for public procurement in Portugal rests with the Government (Ministry of Finance and Public Administration and Ministry of Public works, transportation and communications, with the support of the Institute of construction works and the Estate sector. The National Agency for Public Purchase is also supporting governmental institutions in the definition and evaluation of tenders.


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3.13 United Kingdom




o Environmental Permitting (England and Wales) Regulations 2007, further revoked by the Environmental Permitting (England and Wales) Regulations 201 57 , which implement the European Landfill Directive (Directive 1999/31/EC on the landfill of waste) and Council Decision 2003/33/EC establishing criteria and procedures for the acceptance of waste at landfills.

� Legislation regarding End-of-Life tyres management

o End of Life Vehicles Directive (2000/23/EC). End of Life Vehicles (Producer Responsibility) Regulations 2005. Requirements for January 2006: Minimum 85 per centre use and recovery of ELVs. A minimum of 80 per cent reuse and recycling by average weight per vehicle rising to 95 and 85 per cent respectively by 2015. Authorised treatment facility (ATF) networks operational by January 2006. Free consumer take back by 2007, notwithstanding the existing targets for reuse and recovery set for January 2006. Producers must demonstrate they have created sufficient ATF contracts to meet their obligations under these aims.


3.13.1.2.1 Model

Although operating under a free-market regime and there's not a subject responsible for ELTs management, United Kingdom features an hybrid system as collectors and treatment operators have to report to national authorities on the quantities collected and recovered.

UK waste policies operate on the basis of "shared responsibility." Everyone generates some amount of waste, so everyone has a part to play in preventing further waste growth. All parts of society also have a responsibility to reuse, recycle and dispose of waste properly.


In UK, the ELTs management is subject to the duty of care, a legal requirement under the Environmental Protection Act 1990. The duty of care is applied to all the subjects who produce, import, carry, keep, treat, or dispose waste tyres and requires them to take all reasonable steps to ensure that waste tyres are not handled illegally and that they are only transferred to an authorised entity together with a waste transfer note. All these subjects act as generation points of ELTs and have the responsibility to transfer them to authorised collectors or recycling companies. The

57 http://aggregain.wrap.org.uk/waste_management_regulations/background/regulation_of.html


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collection of used vehicle tyres is made through a nationwide network of tyre distributors, vehicle dealer networks, contracted vehicle maintenance companies, end-of-life vehicle processors, and vehicle servicing and repair outlets. It has been estimated that at present there are around 100 specialist waste collectors of used tyres in the UK recycled tyre market. Collectors of used tyres are paid to take the tyres away. They in turn are charged a lower gate fee by recyclers. All authorised waste carriers are registered with the Environment Agency (Scottish Environment Protection Agency in Scotland) and have a certificate of registration. When handing waste tyres to an authorised carrier, a waste transfer note must be completed giving a written description of the transferred tyres. Waste transfer notes vary in appearance but must contain defined information. Copies of all waste transfer notes must be kept for a minimum of two years in case of inspection by the Environment Agency. It is an obligation of the generation point to verify that the waste carrier will transport ELTs to authorised facilities. Failure to comply with the duty of care is a criminal offence and who fails to comply with the duty of care could be fined an unlimited amount.

Collected used tyres can be either sent to companies which use them for energy recovery or taken to a centralised facility (often located within the main zones for used tyre production in the UK, e.g. the West Midlands) which may slice the tyre into several pieces making its onward transportation more efficient by increasing the volume/mass ratio. These tyre slices (in the category 300 mm) may be used directly for landfill engineering or processed further (potentially in a separate facility) for finer grade materials. Under the End-of-Life Vehicle (ELV) Directive, car manufacturers are obliged to set up networks of authorised treatment facilities to take in used cars at no cost to the consumer. In addition, there are independent facilities which are not contracted to vehicle manufacturers.

The major tyre collection companies and recyclers appear to influence the market significantly as their networks and relationships with recovery outlets pre-dispose the used tyres they handle to a certain route. A list of the numerous recovery and collection agents is available at: http://www.letsrecycle.com/equipment/tyre_recyclers.jsp.


In the framework of the free market regime, in UK there is not a single organisation responsible for ELTs management, but many collector and recycling companies are present on the market, competing on quality, services provided and prices. However, the main actors of the ELTs supply chain are grouped in associations, which play an indirect role in the whole ELT management. The most important are listed below.

Tyre Recovery Association (TRA)58 is a very recent newcomer to UK tyre industry. Formed in July 2004 its main goal is to support the Tyre Industry Federation's Responsible Recycler Scheme. All TRA members are fully accredited by the scheme, which guarantees that all tyres collected, recycled or reprocessed by them are disposed of or reused in environmentally friendly or acceptable methods. Today, TRA members account for about 80% of all the UK's scrap tyre arising a very high percentage compared to some other priority waste streams.

The Used Tyre Working Group (UTWG)59 is an industry/Government group established in 1995 to consider used tyres issues in the context of “producer responsibility” policy.

National Tyre Distributors Association (NTDA)60 is a democratically constituted trade association run by a full time directorate in Aylesbury, Bucks, whose main goal is to promote the interests of

58 http://www.tyrerecovery.org.uk/page/about-the-tra/

59 http://www.tyredisposal.co.uk/about.html

60 http://www.ntda.co.uk/


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tyres retailers, providing access to political decision makers and regulators in the UK and EU on all matters of relevance to the tyre and fast fit trade.

The ‘Tyre Advisory Group’ is made up of relevant Government organisations, tyre associations and leading industrial stakeholders and it is committed to optimising energy efficiency, reducing waste and promoting recycling and re-use. Members of the Tyre Advisory Group are

- Viridis - Waste Tyre Solutions - Continental Tyre Group - Environment Agency - British Rubber Manufacturers’ Association - National Tyre Distributors Association - Department of Trade & Industry - Biffa Waste Services Ltd - Forum for the Future - Highways Agency - Tyre Manufacturers Association



According to ETRMA (annual report 2010), about 479.000 tons of used tyres were collected in UK in 2009, 331.000 of which were classified as end-of-life tyres. About 95% of used tyres are treated.


In UK, 23.000 tons of used tyres generated in 2008 were still destined to landfill or to unknown destinations, accounting for 5% of the total amount of used tyres generated. However, it is worth noticing that a large proportion of the surplus of ELTs created by the ban of landfill in 2006 has been used in landfill engineering and did not increase existing ELTs stockpiles.

A survey was carried out by WRAP (Waste & Resources Action Programme) in Spring 2007 to establish the extent of use or storage of used tyres of farms. It is estimated from the survey that approximately 240.000 tons of tyres are used or stored on farms in England and Wales, 45.000 tonnes of which (19%) are no longer required and need to be disposed of. The survey found that the majority of tyres are either stockpiled on the farm or are in use on silage clamps.

Finally, it is important to underline that illegal tyre collection and disposal activities are still present in the UK market, as some collectors or processing companies do not comply with duty of care obligations and regulations, although declaring to do it.


According to the Waste Protocol Project, today in UK more than half of generated ELTs (53%) are destined to material recovery as for example in the realization of sports and play surfaces, brake linings, landscaping mulch, road asphalt, carpet underlay and shoe soles, while 28% contributes to energy production, mainly through cement kilns. According to the Used Tyre Working Group, cement kilns could provide a recovery option for up to half of the UK's total ELTs generated in UK.


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It is worth mentioning that an important part of ELTs (20%), both shred and unshred are used in landfill engineering, i.e. the preparation/construction of landfill sites, where ELTs are used as leachate draining systems. The use of tyres in landfill engineering applications, where the tyres are being recovered rather than disposed of is subject to gaining the necessary engineering approval of the relevant competent authority (e.g. the Environment Agency in England and Wales).

The ELT uses in UK are summarized in Figure 48.

53%

19%

28%Material recyclingLandifll engineeringEnergy recovery

Figure 48: ELTs uses in UK 61


Due to the free market regime, it is not easy to quantify the number of processing facilities in UK. According to information collected by Waste & Resources Action Programme (WRAP), there are 50 processors (shredders/crumbers) in the UK, of which:

- 20 installations carrying out shredding only;

- 20 installations carrying out shredding and crumbing;

- 8 installations carrying out crumbing only.

In 2004, shredding capacity in the UK was estimated to be 400.000 tons per year by major companies and about 80.000 tons per year by smaller companies (some of them with mobile shredding equipment). In 2007, a crumbing plant with the capacity to process 30.000 tyres annually has been opened. More recent data are not available. The processed tyre-derived rubber materials are then sold to various end markets.

As for costs involved, currently retailers are charging consumers Ł 1 or more per tyre to dispose of their old tyres, as an environmental fee. Collectors then are paid by them to transport ELTs to the processing facilities, but the cost is significantly lower than the environmental fee, and could be as low as 40 pence per tyre, suggesting that at the moment in UK the so-called green charge is becoming a way to make profit for retailers, more than covering the whole value chain of ELTs recovery. Finally, processors charge a gate fee to collectors to take used tyres, but it was not possible to quantify these costs as they depend on each single company.


In the current business scheme, costs vary according to the type of product derived from end-of-life tyres required for each application as well as from company to company. However, as an example, the average price for tyre-derived rubber material is sold for landfill engineering at around Ł10 (about 12 €) per ton.

61 Tyre-derived rubber materials - A technical report on the manufacture of tyre-derived rubber materials, Waste Protocol project 2007


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Due to the free market regime, the quality of ELT derived material and the delivery times depend on the single company. As for contractual schemes, specific agreements have to be taken with the single company on characteristics of material, quality, quantity required, delivery times and costs.






The Treasury62 estimates that Ł30 billion per year has been invested in the UK’s infrastructure over the last five years and from now until 2030, demand for infrastructure investment is estimated between Ł40 billion and Ł50 billion annually.

Today, the UK is one of the most expensive countries in which to build infrastructure. For example, civil engineering works cost some 60% more than in Germany. To address this issue, the Government plans to improve the UK planning system, bring down construction costs, improve the quality of data to inform decision taking, and initiate programmes to look at cross-sectorial independencies, resilience and engineering innovation. There are a number of drivers that will have a long term impact on the infrastructure need across all sectors, including:

- Obsolescence. All infrastructure has a limited life span and parts of the UK’s infrastructure are ageing and are becoming outdated.

- Globalisation. The UK is facing strong competition from other countries who are investing heavily in improving their infrastructure.

- Growing demand. Levels and intensity of usage of existing networks are increasing as the population grows, people use more resources, travel more and want to move goods and ideas faster and in a more reliable way.

In the National Infrastructure Plan issued in 2010, the UK Government plans that over the next five years, some Ł 200 billion will be invested in infrastructure, a step change from the past. The majority of investment will be in transport and energy.

One of the goals of the new investments in transport infrastructure will be to improve localism of funding providing over Ł 1,5 billion for local authority major transport schemes from now until 2014-15: from this over Ł 900 million will go on new schemes while committed schemes will receive over Ł 600 million.

The Government will realise transport priorities through public sector investment, regulatory change and leveraging in private sector capital.

Concerning road infrastructure, the Department for Transport settlement will include over Ł 10 billion for maintenance and investment in key road and local transport schemes across the country,

62 www.hm-treasury.gov.uk/


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including work on the A11, M1, M4/M5, Midland Metro, Tyne and Wear Metro and construction of the Mersey Gateway.

Concerning railways infrastructure, the Government will invest in more than 2.100 new rail carriages for Britain's railways by 2019 63 , plans aims to modernise the rail network, tackle overcrowding, improve reliability and speed up journeys and to invest in a high-speed rail network that would make rail increasingly the mode of choice for inter-city journeys within the UK, and for many beyond. Finally, Ł 14 billions will be invested to support capital maintenance and investment in railways over the next four years.

Figure 49: Capital projects planned by the National Infrastructure plan 2010

63 Department for Transport press release on railway investment, 25 November 2010


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United Kingdom is at the 33rd place in the World Economic Forum ranking on infrastructures for 2010-201164. Concerning the quality of road and railways infrastructures, it is ranked 35th and 19th respectively.

The road network, in 2006, consisted of 12.226 km of trunk roads (including 3.503 km of motorway), 38.085 km of principal roads (including 55 km of motorway), 114.657 km of "B" and "C" roads, and 233.383 km of unclassified roads (mainly local streets and access roads) for a total of 398.350 km65. The motorway system, which was constructed from the 1950s onwards, is stated by the British Chambers of Commerce66 to be well below the capacity of other leading European nations as Spain, France, Italy, Germany in terms of km/million population.

As of 2006, the UK railway system consists of 16.264 km of standard gauge lines (the 16th largest in the world), of which 5.361 km are electrified. These lines are single, double or quadruple track. In addition, a number of narrow gauge lines operate in parts of the country. The British railway network is connected with that of continental Europe by an undersea rail link, the Channel Tunnel, which opened in 1994. Despite its track length, it is one of the busiest railways in Europe with 20% more train services than France, 60% more than Italy and more than Spain, Switzerland, The Netherlands, Portugal and Norway combined.

Freight transport in UK has increased since 2004 and, although it is slightly decreasing in favour of railways transportation, road transportation is still the most diffused way to move freight. accounting for 82% of the total transported freight, as shown in Figure 50, where the freight traffic as a function of transportation mode is reported.

13%

82%

5% Raylwaystransportation

Road transportation

Pipelines

Figure 50: Total freight transportation in UK for 2007 by mode (ton/km)

(Source Eurostat)

Road transportation is also the most diffused transportation mode for passengers accounting for 94% of the total passenger traffic (see Figure 51). However, the percentage of passenger travelling by rail is substantially increased since 2004.


65 Transport Statistics Great Britain: 2007 Edition. UK Department for Transport. September 2007.

66 The ROAD to SUCCESS?: Transport Manifesto 2004. The British Chambers of Commerce. 2004.


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6%

94%


Roadtransportation

Figure 51: Total passenger traffic in UK for 2007 by mode ( pass/km)

(Source Eurostat)


The total area of the United Kingdom is approximately 245.000 km2 comprising of the island of Great Britain, Northern Ireland and smaller islands. The physical geography of the UK varies greatly.

The Highland Zone is characterised by rocky, rugged hills and eroded mountain faces, interrupted by valleys and extensive plains. The Pennine Mountain Range, Cumbrian Mountains and the mountains of the Lake District are included in the Highland Zone. The highest peak in all of England is Scafell Pike (Cumbria) which reaches 914 m above sea level. Devon and Cornwall are situated on a peninsula that is part of the Highland Zone, and is particularly rugged and bare.

The landscape in the Lowland zone boasts rolling hills that are not very high. The Lowlands include the Cotswold Hills, Chiltern Hills, North Downs and South Downs.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the forth most problematic factor for doing business in UK.

In UK the sector of public works and infrastructures employs around 250.000 personnel, from civil engineers and other construction professionals to general operatives. Well over 100.000 others are engaged in producing the materials and products that are incorporated in civil engineering works. They account for close to a fifth of all construction output of the Country, through large groups and small and medium sized companies.

Table 52 shows a list of the major contractors of transportation infrastructures in UK. For each company, the main activities are reported, together with turnover (where available) and main commissioning bodies.





Colas Limited (part fo the Colas

group)

Public and private subjects

Road construction and maintenance n.a.


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Envex Contractors Ltd


Construction of roads, bridges, civil engineering works n.a.

Thomas Bow Limited

Local authorities, Public and private subjects

construction, repair and maintenance of all types of

infrastructure including access roads and car parks

17

Collins Earthworks Ltd

Mainly private subjects, acting as subcontractor

Civil engineering works including infrastructures

n.a.

Stabilised Pavements Ltd

Local Authorities and Private companies

Road recycling and stabilisation contractor, servicing construction,

rehabilitation and maintenance n.a.

Derek Lewis Ltd And national public

bodies, private subjects Civil engineering works, road

surfacing , groundworks n.a.

Ovendens Earthmoving &

Civil Engineering Limited


Earthmoving works, including embankments, remediation works,

landscaping n.a.

For what concerns commissioning bodies for road and railways works that are of interest for our analysis, in UK contractors work for a wide variety of clients, in both the public and private sectors. Principal clients include the Highways Agency, Scottish Executive Roads Division, Welsh Assembly Government Roads Directorate, local councils, Network Rail, London Underground, etc. A brief description is provided in the following paragraphs.

Councils and local authorities are responsible for local roads and are thus the main commissioning bodies for construction and maintenance of such network.

Transport for London (TfL) 67 manages the Transport for London Road Network (TLRN), London's 580 km network of main roads (excluding motorways, which are managed by the Highways Agency). The rest of London's road network (smaller, local roads) is managed by the 32 London boroughs and the Common Council of the City of London.

The Highways Agency 68 is responsible for trunk roads and motorways in England. It is an Executive Agency of the Department for Transport (DfT), which is responsible for operating, maintaining and improving the strategic road network in England on behalf of the Secretary of State for Transport.

The Transport Directorate of the Welsh Assembly69 is responsible for trunk roads and motorways in Wales and works closely with local government and other bodies to improve and maintain roads throughout Wales. Around Ł 70 millions of the Directorate annual budget goes towards the construction of new roads or improvements to existing ones.

67 http://www.tfl.gov.uk/

68 http://highways.gov.uk

69 http://new.wales.gov.uk/topics/transport/roads/


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Transport Scotland70 is an agency of the Scottish Government and is accountable to Parliament and the public through Scottish Ministers, which is responsible for maintenance and management of rail and trunk road networks.

Usually, contracts are awarded through public tenders published by Commissioning Bodies, in agreement with the rules of public bids and public procurement. The Office of Government Commerce (OGC) is responsible for the Government's procurement policy and, at a regional level, also devolved governments of Scotland, Wales and Northern Ireland play a role. The Infrastructure Planning Commission 71 is the independent body that examines applications for nationally significant infrastructure projects, as the large projects that support the economy and vital public services, including railways, large wind farms, power stations, reservoirs, harbours, airports and sewage treatment works.

70 http://www.transportscotland.gov.uk/

71 http://infrastructure.independent.gov.uk/


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3.14 Ireland




o Landfill Directive (1999/31/EC) places a ban on the landfilling of whole used (other than bicycle tyres and tyres with an outside diameter greater than 1400 mm ) tyres by 16 July 2003 and shredded used tyres by 16 July 2006. This ban does not include tyres used in landfills as engineering material.

� Legislation regarding End-of-life tyres management o Waste Management Act 1996 of 20th May 1996 o Waste Management (Tyres and Waste Tyres) Regulations 2007, published

in“Iris Oifigiúil” of 5th October 2007, which came into operation on 1st January 2008


3.14.1.2.1 Model

Ireland is among the countries with a free market model: ELT enterprises operate independently. Where suitable infrastructure exists, these companies can arrange recycling and recovery of ELTs with commercial benefits. The legislation sets objectives but does not define how these are to be met. Therefore, all operators in the tyre recovery chain act in compliance with the legislation under free market conditions. Companies may cooperate on a voluntary basis to promote best practice. Tire manufacturers and others involved in the industry voluntarily participate in system.


Since the introduction of the 2008 Waste Management Regulations, any business of any size, with any involvement in the tyre supply chain, is prohibited from discarding waste tyres in any way other than transferring them to an authorised waste collector and compliance with such regulations is a legal requirement for retailers. The new scheme identifies a clear audit trail for tyre collection and recycling. The Regulations impose obligations on persons who supply tyres to the Irish market, whether as manufacturers, wholesalers, suppliers, traders, or retailers and on the collectors of waste tyres, including the submission of information as prescribed in the Regulations and in the format provided for in the Guidance concerning S.I. No. 664 of 2007 by the 10th day of each quarterly period. They will also be required to prepare and present waste management plans and reports when submitting applications for registration and submit a report to the Environmental Protection Agency by the 28th February of each year.

In this framework, the Irish Tyre Industry Association (ITIA) has set up a Tyre Recovery Activity Compliance Scheme (TRACS), a compliance scheme which allows to monitor the movement of tyres in Ireland. TRACS has received the full support of the Minister for the Environment,


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Heritage and Local Government as well as the tyre industry. TRACS members allow their waste tyres to be monitored and only allow the collection of waste tyres by licensed collectors. To make sure that tyre waste is properly handled, retailers and holders of waste tyres are also advised to ask their collector to produce proof of proper waste management such as a ‘Recovery Certificate’. Companies should be able to produce this when demanded by the relevant authority, to guard against having enforcement proceedings issued by their local County Council. By registering with TRACS and only giving waste tyres to authorised waste collectors, retailers will be fulfilling their obligations in abiding by the regulations and promoting the proper management of waste tyres in Ireland.

If retailers do not take their responsibility for tyre waste seriously, the alternative is the imposition of a scheme by the Minister for Environment, Heritage and Local Government, that requires additional information to be submitted, that will require a mandatory non-visible deposit charge to be passed down through the supply chain and administered by a scheme that will also control the waste flows. Under the Regulations, all companies are obliged to provide individually detailed and complicated information and reports on a regular basis to their local authority or on an annual basis to the EPA. However, compliance is much easier for TRACS members, as information is compiled and reported annually, collectively and in aggregate on tyres placed on the market, waste tyre collection and subsequent management.

Since TRACS was initiated, it has had an extremely positive impact on the Irish tyre industry. A database system has been created so all tyres can be traced from when they are imported to when they are sold, right though to when they are discarded and reused or processed for recovery.

More than half of Irish importers, manufacturers, retailers and waste collectors have registered with TRACS and industry practice has improved significantly with retailers changing their habits. Retailers are now only giving waste tyres to approved collectors.

Collectors must bring end-of-life tyres to processing companies that can then sell ELTs derived products on the market to end users for final applications.


In the framework of the free market regime, in Ireland there is not a single organisation responsible for ELTs management, but several collector and recycling companies are present in the market, competing on quality, services provided and prices.

Besides them, important players in the field of ELTs are:

- Irish Tyre Industry Association (ITIA)72 is the trade association representing members with interests in the tyre industry. Those represented include the manufacturers, importers, wholesalers, retailers, recyclers and equipment suppliers to the tyre trade in Ireland. ITIA represents the tyre industry by promoting the benefits of using our members to the consumer. It also makes representation to government and relevant organisations on behalf of its members on key issues.

- TRACS is a not for profit audited company that has been approved by the Minister as a compliance scheme. It has a required number of subscribers (trustees) and a Board comprising independents and some involved in the tyre industry. Subscribers and/or Board Members from the tyre industry have no involvement in the day to day management and operation of TRACS. This is the initial structure of TRACS but a wider representation and active participation from all members will be encouraged in the future.

72 http://www.itia.ie/


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- The Environmental Protection Agency (EPA) has responsibilities for a wide range of licensing, enforcement, monitoring and assessment activities associated with environmental protection. EPA licenses major waste facilities, and these licenses are enforced by their Office of Environmental Enforcement. Integrated Pollution Prevention and Control (IPPC) licensed activities are also obliged to prevent or minimise waste generation.



According to ETRMA73 about 32.000 tons of used tyres were collected in Ireland in 2009, 26.000 of which were classified as end-of-life tyres. Of these, only 22.000 were recovered.


Despite the 2008 Waste Management Regulations which ban tyre landfill, according to the last available statistics from ETRMA, in Ireland about 4.000 tons of used tyres are landfilled or sent to an unknown destination.


In Ireland, all the end-of life tyres which are recycled are destined to material recovery. In particular, shred tyres, granulate and powders are used as surfaces for gardens and playgrounds, golf courses, agricultural mats, sports pitches, equestrians and sport tracks.

According to the available data from ETRMA, the use of ELTs for energy recovery is not diffused.


Due to the free market regime, it is not easy to quantify the number of processing facilities in Ireland. From a survey on the internet, it resulted that some processing facilities offer also collection service and produce commercial products starting from ELTs derived materials.

For example, OM Tyre Recycling 74 is a processing facility associated to TRACS that accepts delivery of tyres at the Company gates but offers also collection service on request. Then it provides retreading of suitable tyres or recycles ELTs by shredding down to 20 mm. The company produces also tyre bales, commonly used in road foundations over soft ground, lightweight embankment fill, backfill to retaining walls, river erosion control, landfill cell engineering and road construction.

Crumb Rubber Ireland Ltd75 is another important processing and recovery company set up in 2003 to recycle end-of-life tyres, taking them completely out of the waste stream and turning them into new products This is the only facility producing a full range of rubber granulate in Ireland and produces also final products as agri-mats, equestrian mats, playgrounds.

73 ETRMA, EU national Treatment data 2008

74 www.omtyrerecycling.com

75 www.crumbrubber.ie


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No specific information on time of management or production capacity were available. As for costs, at the moment, the regulations do not impose a specific environmental levy but instead allow the market to decide the cost of collection and reprocessing. With increased competition, the tyre sector now has a low cost and efficient compliance scheme which does not levy a deposit or collect a tipping fee.


In the current business scheme, costs vary according to the type of product, derived from end-of-life tyres, required for each application as well as from company to company. Quotes must be asked directly to the companies.


No information regarding contractual scheme with end users is available. Suppliers need to be contacted directly.






Though vastly improved during the 1990s by grants of £6 billion in European structural funds, the Republic of Ireland's infrastructure is still coping with the country's unprecedented economic growth.

Concerning investments, the National Development Plan (NDP) 2000-200676 planned multi-annual investments in all the key areas of infrastructural national development, including transport. It analysed in more detail the specific objectives for the different areas of interventions set in the Statement of Strategy 2003-2005 and among its main strategies there were the upgrading and expansion of the national road network77. Furthermore, the NDP 2000-2006 identified PPPs as being essential in helping to deliver much-needed infrastructure required on the national road network. The NDP set a target of securing € 1,27 billions private finance for PPP projects on national roads which represented 23% of the planned total road investment programme under the NDP. This reflected the importance attached by Government to securing the injection of private finance in order to accelerate the delivery of the public capital programme designed to remedy Ireland's infrastructural deficit.

76 www.ndp.ie

77 "Ex post evaluation of Cohesion policy Programmes 2000-2006. Work package 5a: Transport", Intermediate report of DG-Regional Policy 2009


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Table 53 report the data on investment expenditure in Ireland over the 2000-2006 period by source of funding. Total expenditure increased by more than 50% in that period.

Table 53: Investment in transport infrastructure by source of funding: 2000-200678

Figure 52 sets out national expenditure split between the different transport sectors. Roads received the largest funding (72%) while only 5% were devoted to the improvement of rail infrastructure. Among rail investment it is worth citing the development of the Western Railway Corridor, redevelopment of a rail link from Navan to Dublin and the upgrading and extending suburban rail in Cork.

Figure 52: Irish public investment in transport infrastructure by mode: 2000-2006 (total investment)

The new version of National Development Plan for the period 2007-2013 was launched in January 2007; the document set out a comprehensive strategy for investment in the economy to build up Ireland’s physical infrastructure over the period 2007–2013. With due regard to the maintenance of economic and budgetary sustainability, the indicative allocations set out in the Plan amount to € 184 billion over the period to 2013. The first annual report on the NDP was published in July 2008 and gives a comprehensive picture of what has been financed and delivered under the Plan in its first year. The total outturn for 2007 was very close to that envisaged, at € 22,4 billion.

78 Public Capital Programme 2000-2008 and European Commission


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Among the investments for transport infrastructure improvement, it worth mentioning Transport 21, announced by the Minister of Transport on 1 November 2005, and including funding for heavy rail, light rail and metro projects in the period to 2015.


Ireland is at the 69th place in the of World Economic Forum ranking on infrastructures for 2010-201179. Concerning the quality of road and railways infrastructures, it is ranked 52nd and 42nd respectively.

Ireland is structured in two main regions: the Border Midland and Western Region and the Southern and Eastern Region. The Southern and Eastern Region, the wealthier of the two regions, has a higher motorway and “other road” infrastructure density as a percentage of the size of the region. However both regions suffer to some degree from congestion and capacity constraints especially within the major urban centres and are subject to an under-developed public transport system that limits the access to the some cities.

The Irish road network accounts for 117.318 km, of which 92.500 km are located in the Southern and Eastern regions and 24.818 km in the Northern Region. The motorway network is focused on Dublin and is currently under-going a major expansion programme, through construction of motorways and redesignation of existing dual-carriageway sections of National Primary routes. At present, there are over 350 km of new motorway under construction and more than 1.000 km of motorways, with further planned construction possibly leading to around 1.200 km of motorway by 2015.

As for the railways network, it accounts for about 2.000 km, of which 66 km are electrified and 513 km are double track; furthermore, there are 1.365 km of industrial railway operated by Bord na Móna. Ireland's railways are in State ownership, with Iarnród Éireann (Irish Rail) operating services in the Republic and NI Railways operating services in Northern Ireland. The two companies co-operate in providing the joint Enterprise service between Dublin and Belfast.

In Ireland, road transportation is the most diffused way to move freight and passengers. Since 2004, the total freight traffic has increased by more than 10%, with road transportation accounting for 99% of freight transportation in 2007, as shown in Figure 53 , where the freight traffic as a function of transportation mode is reported. The percentage of railways transportation has even diminished since 2004.

1%

99%


Road transportation

Figure 53: Total freight transportation in Ireland for 2007 by mode (Gton/km)

(Source Eurostat)



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As for passengers transportation, according to the last available data on 2007, the total number of passenger-km has increased by 10% with respect to 2004. Road transportation is even more relevant in this case, accounting for about 95% of the total passenger traffic (see Figure 54) .

5%

95%


Road transportation

Figure 54: Total passenger traffic in Ireland for 2007 by mode (pass/km)

(Source Eurostat)


The island of Ireland extends over 84.421 km2 , of which approximately five-sixths belongs to the Republic of Ireland (70.280 km2) and the remainder constitutes Northern Ireland. The west coast of Ireland mostly consists of cliffs, hills and low mountains. The highest point in the country is Carrauntoohil at 1.038 m, which situated in the Macgillycuddy's Reeks mountain range. The interior of the country is relatively flat land, traversed by rivers such as the River Shannon and several large lakes.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the second most problematic factor for doing business in Ireland.

Table 54 shows someimportant contractors of civil engineering works in Ireland.

Table 54: List of major contractors of transport infrastructure works in Ireland




John Sisk & Son Ltd Public bodies, Private


Construction of roads, tunnels other transport infrastructure

and civil engineering 1.000

BAM Contractors (BAM Civil)


Civil engineering works, public works and infrastructures

209 (BAM civil only)

Bowen Construction Ltd.

Public and private bodies

Civil engineering works, public works and infrastructures

300


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Farrans Ltd. Public and private

bodies Transportation infrastructures,

civil engineering n.a.

In Ireland, the Minister for Transport, acting through the Department of Transport, is responsible for the State's road network, rail network, public transport, airports and several other areas. Although some sections of road have been built using private or public-private funds and are operated as toll roads, they are owned by the Government of Ireland. The rail network is also state-owned and operated, while the government currently still owns the main airports.

The main commissioning body for the construction of road infrastructures is National Road Authority, which manages motorways and primary and secondary national routes. Tenders are published on a specific section of the website80 and specifications for road works are available for download.

The Chief Civil Engineer’s (CCE) Department of Irish rail (Iarnród Éireann) 81 is the main contractor for what concerns railway infrastructure maintenance and improvement. Irish Rail is a state owned company who manages the rail network and finances also maintenance and new infrastructure development.

Transport infrastructure works are assigned by public tenders and public procurement procedures, according to European Legislation, which has been transposed by Irish law through a series of regulations promulgated by the Ministry of Finance. A specific website (www.eTenders.gov.ie) has been developed as part of the Irish Government's Strategy for the Implementation of eProcurement in the Irish Public Sector, to be a central facility for all public sector contracting authorities to advertise procurement opportunities and award notices. The site is managed by the National Public Procurement Policy Unit (NPPPU) of the Department of Finance and displays, on a daily basis, all Irish public sector procurement opportunities currently being advertised in the Official Journal of the European Union (OJEU), as well as other lower-value contracts uploaded to the site from awarding authorities.

80 http://www.nra.ie/TendersRecruitment/TenderList/

81 http://www.irishrail.ie/about_us/our_infrastructure.asp


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3.15 Slovenia



� Legislation regarding Landfilling o The Environment Protection Act (OJ RS 32/92, 1/96). o Rules on Waste Management (OJ RS, No. 84/98). o Rules on Waste Incineration. o Rule on landfill waste tipping (OJ RS, No. 5/00) including ban of landfill for used

tyres.


o Decree on the management of end-of-life tyres (Official Gazette of the Republic of Slovenia, No. 63/09, entered into force on 22 August 2009).


3.15.1.2.1 Model

In Slovenia, the extended producer's responsibility/liability for the management of end-of-life tyres was officially implemented since the 1st of January 2010. The economic operators who first place the tyres on the market in the Republic of Slovenia are obliged to organise and finance the management of end-of-life tyres in accordance with the requirements of the Decree. The decree implements the “Directive 2008/98/EC of the European Parliament and of the Council of 19th of November 2008 on waste and repealing certain Directives” to a large extent. To make the system of end-of-life tyres management more efficient, environmental tax in the form of producer liability was introduced in the second half of 2006.


The decree on the management of end-of-life tyres ensures the environmentally sound management of end-of-life tyres, drafting rules for the collection and processing of used tyres, liabilities relating to the placing of tyres on the market and other obligations associated with the handling of ELTs. This decree defines the responsibilities of individual actors (producers) or groups (consortia) of producers towards the collection and processing of ELTs. They have to prepare so called “Plan or joint plan for collection and processing of ELTs”, which have to be approved by the competent authority, that is the Ministry of the Environment and Spatial Planning 82 . The consortia of producers can authorise competent organisations to implement their joint plan with the aim of rationalising the whole ELT value chain, maximising the recovery and encouraging new high added value applications. The funding for the whole system has to be provided by legal entities who produce rubber, produce or import and place tyres on the Slovenian market.

82 www.mop.gov.si


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In March 2010, one individual and one joint waste management plan have been registered in the register managed by the Ministry of the Environment and Spatial Planning. The no profit company SLOPAK ltd83 has been licensed (autorised) by the producers to manage and implement the joint plan for collection and processing of ELTs. The primary role of SLOPAK is to coordinate and ensure the efficient operation of the system and it is obliged to accept ELTs both from companies, individual people and public service waste management companies. More than 220 producers and importers of tyres who place tyres on Slovenia market joined the consortium. This consortium produces directly or indirectly more than 95% of ELTs. Two collectors registered in 2010, GET and SMETRA Ltd. and the other waste collectors which have appropriate technology and permits for waste management will apply in 2011. Specific online forms are available on Slopak website in the section devoted to used tyres84 to ask for the collection of ELTs.

Mandatory content of the plan also contains information about the name and location of the companies or facilities which will process/recover (recycling, energy recovery) the collected ELTs. The authorised institutions can contract the recovery of ELTs to companies which have appropriate technologies and required environmental and other permits both in Slovenia and abroad. In May 2010, the following three processors have been registered: Lafarge Cement Company (Slovenia), Lafarge Perlmooser GmbH (Austria) and Gumiimpex d.d. Varaždin (Croatia, material recycling).


As already mentioned, Slopack Ltd is the only subject involved in ELTs management in Slovenia at the moment. Slopak is a no profit company established in 2002 to ensure an environmentally conscious management and recycling of different types of packaging, and in 2010, it has been authorised also for the management of ELTs.

Another important player is the Ministry of the Environment and Spatial Planning, (www.mop.gov.si), who is responsible for the elaboration and implementation of the regulations in regard to ELTs management in Slovenia. The ministry is responsible for registration of producers who submit a plan or joint plan for collection and processing of ELTs. The Ministry also publishes on its web site the list or registered organisations and their plans for collection and processing of ELTs.

Environmental Agency of the Republic of Slovenia (www.arso.si) operatively supports the ministry in the implementation of the Decree on the management of end-of-life tyres. In the name of the ministry, the agency operatively manages the official register of the waste producers, including the ELTs (http://okolje.arso.gov.si/odpadki/ ).



Since December 2002, the public service of end-of-life tyres management has been performed by three concessionaires. Up until August 2006, the public utility service was paid by the users (the "generators" of end-of-life tyres), and the concessionaires annually collected around 2.5 kg of end-of-life car tyres per capita per year, well below the European average. However, in the last years the quantity of end-of-life tyres collected for recovery has increased significantly: in 2007, the collected

83 www.slopak.si

84 https://www.izrabljenegume.si/user_session/new


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amount of used tyres was above 16.000 tonnes, and in 2008, nearly reached 19.000 tonnes, of which 8.000 had unknown destination85.

Figure 55: Quantity of end-of-life tyres collected and delivered for recovery (number of collected and

recovered ELTs (tons)86


Although since December 2003, it is forbidden to dump whole used tyres in a landfill and after December 2006 the ban was extended to shred tyres as well, according to ETRMA about 8.000 used tyres had unknown destination in 2008 or were landfilled. Waste tyres are sometimes dumped together with other waste to illegal landfills by irresponsible citizens or small, illegal car repair shops, or car dealers but this behaviour is decreasing due to the system of collecting and processing the waste tyres.


The number of end-of-life tyres is growing proportionately with the increase in the number of registered motor vehicles. Used tyres are either recycled or incinerated with energy recovery, while a rather small quantity is returned for reuse or regeneration. Proportionately a greater collection of end-of-life tyres from 2006 onwards increased the quantities of end-of-life tyres delivered for recovery. In 2008, 47% of end-of-life tyres were recycled and 50% incinerated (in 2007, 55% of end-of-life tyres were recycled, and 43% incinerated).

In addition to recovery in Slovenia, end-of-life tyres are also sent to recovery in Austria, Hungary and Croatia, both for energy recovery and material recovery, as no sufficient treatment facilities are present on the territory.

85 ETRMA annual report 2009.

86 Ministry of the Environment and Spatial Planning, Environmental Agency of the Republic of Slovenia


p. 155 of 247


In May 2010, three processors have been registered in for the treatment of ELTs generated in Slovenia:

1. Lafarge Cement Company, (Slovenia, energy recovery);

2. Lafarge Perlmooser Gmbh (Austria, energy recovery);

3. Gumiimpex d.d. Varaždin, (Croatia, material recycling).

In addition to these, SALONIT d.d., the largest cement producer in Slovenia, has also the technology and environmental permits for energy recovery of ELTs. SALONIT imports the ELTs from abroad and will probably apply for registration in 2010/11. All mentioned cement producers have technologies for use (energy recovery) of whole ELTs, so shredding is not required. For this reason, there are at the moment no shredding services and facilities in Slovenia. Just as a reference, the annual processing capacity of the authorised facility Gumiimpex d.d., located in Croatia, is about 25.000 tons and all types of used tires are treated (car and truck tires, van and bus tires, agricultural machine, tractor and forklift tires, etc.).

As for the costs involved in ELTs management, according to non-official estimations, currently the costs of ELT management is approximately 105€/ton. In the framework of the producers responsibility model, costs are paid by the customer while purchasing new tyres as environmental contribution (corresponding to about 0,9 €/tyre). The clear interest of the producers and importers of tyres, which are responsible for implementation of the ELTs management plan, is to reduce the cost of treatment at a minimum. At the moment, this cost is approximately 40-45 €/ton while the other costs are related with the collection and management system.


As in Slovenia there are no facilities for ELTs processing (shredding, granulation, etc.) it was not possible to evaluate the costs for end-users.


Decree on the management of end-of-life tyres defines the requirements for recovery as follows (Article 27, paragraph 2):

Ministry shall specify the conditions of recovery (recycling) of used tyres into products, which cease to be waste, in the environmental permit for the recovery (recycling) of used tyres by taking into account the Commission Communication to the Council and European Parliament "Interpretation of the European Commission on waste and by-products (COM (2007) 59 final. dated 21st February 2007. "

Hence, the construction company or some other establishment or undertaking which wants to use the ELTs in enbankments (according to the RECTYRE model) should acquire (apply for) the environmental permit for the recovery (recycling) of used tyres.

According to the "Interpretation of the European Commission on waste and by-products” the applicant for the environmental permit will have to demonstrate to the competent body (ministry) that:

- The continued use of this material is safe and realible;

- The owner of the waste has benefits with its application;


p. 156 of 247

- The usage meets the requirements of the law that governs use of materials or products for the same purpose.

The applicant will also have to demostrate that the pre-processing (grinding) and the installation of this material or products (into enbankements) has no significant impact on the environment or safety compared with alternative or traditional materials, replaced by recovered (recycled) material.






Road accessibility in Slovenia is already high, although in some regions the road infrastructure is less developed and efficient, also due to the Country topography. Priority is recommended with respect to completing the missing links in the motorway network. These can most likely be financed in majority from European Investment Bank loans. This also includes the completion of missing border sections

Table 55 shows the split of National funding by mode of transport between 2001 and 2005 (latest data available).

Table 55: National funding (budget allocation) by mode of transport, 2001-2004 (M€)87

The budget allocation by modes clearly shows the high level of spending on motorway development in the past period and the more limited spending on rail. A similar approach is being adopted for the next years up to 2013, with priority given to the construction of additional 68 km of motorways (according to National Motorway Construction Programme in the Republic of Slovenia).

Investment in the railway infrastructure will improve rail service and hopefully reduce carriage of goods by road that in Slovenia accounts for well over 70% of all land transportation. The projects

87 Study on Strategic Evaluation on Transport Investment Priorities under Structural and Cohesion funds for the Programming Period 2007-2013 - Country report Slovenia


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under development are the enhancement of one third of Slovenia’s rail network infrastructure (428 km of the total length of tracks of 1228 km) and improved rail service. The route sections Trieste–Divača/Koper–Divača will increase the freight capacity of the line that continues via Ljubljana to Budapest and the Ukrainian border and is considered vital for positioning Koper’s port as the port of choice in the northern Adriatic Sea.

Regarding European funds, Table 56 summarizes available data on EU investments in transport infrastructure between 2004 and 2006. For these funds and also for EU investments up to 2013, priorities are:

- Railway upgrading and expansion on Koper-Hodoš corridor;

- Construction of a new north-south road corridor from Dravograd to Metlika, connecting the remote, relatively poor areas in the north and south to the backbone motorway network.

Table 56: Investment in transport infrastructure (million €) by source of Funding between 2004 and 2006


According to the Global Competitiveness Report of the World Economic Forum for 2009-2010, Slovenia is at 32nd place concerning the quality of overall infrastructure, and at the 42nd and 49th place respectively for the quality of roads and railroad infrastructure.

Currently, in Slovenia there are about 630 km of well-maintained motorways and around 1.050 km of major roads. Between 1994 and the end of 2008, almost 500 km of motorways, major and local roads have been built. The completion of the extended motorway network is scheduled for 2013. The reconstruction and modernization of some 215 km of roads (65 km of which will be part of the Trans-European Network) complements investments in the Slovenian port infrastructure in effort to promote motorways of the sea and the importance of inter-modal freight terminals.

The Slovene motorway route heading from East to West is in line with the V. European Transportation Corridor (Trieste, Koper, Postojna, Ljubljana, Budapest), the motorway heading in the direction North-South is also in line with the X. European Transportation Corridor. On the abovementioned lines, the National Motorway Construction Programme officially ended in 2010.


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Table 57: Slovenian motorways network length (Source DARS)

As an extension to the National motorway programme, there are approximately 170 km of motorways planned or under discussion in the responsible ministries – including the north part of the 3rd development corridor from Šentrupert to Dravograd. The works related with those extensions cannot start before 2013. Additional so called “regional development corridors” – 3rd (middle and south part), 3A corridor (south), and 4th corridor (NW of Slovenia) are under discussion and space planning.

In addition to motorways, due to topographic and geographic characteristics, Slovenia has a wide network of main and regional roads. Slovenian Road Agency operates 5.900 km of roads. More than half of them are in very bad or bad stage so these roads will have to be modernised or reconstructed in the near future. The basic reason for this situation is a large increase in passengers and more importantly, freight traffic in the last year; and a lack of investments in modernisation and improvements because the majority of funds have been spent on motorways construction.

According to statistical data of Slovenske železnice (SŽ)88, the company who manages railways in Slovenia, railways network is currently 1.228 km long, of which 73% are single-track and 27 % double-track. Electrified lines account for 503 km and there are about 3.348 bridges, viaducts and culverts for a total of 17 km. Up to 2023, Slovenia should upgrade and modernise its Public Railway Infrastructure according to modern standards, with the following objectives:

- rise of permitted axle loads at least to category D3 (225 kN/axle and 72 kN/m);

- electrification of Pragersko–Hodoš line;

- Triest-Divača-Ljubljana-Zid.most, and Zid. Most-Dobova; Zid. Most-Celje-Pragersko-Puconci – high capacity line;

- construction of second track on lines:

o Ljubljana–Jesenice, including the connection to Ljubljana Airport;

o Divača–Koper line;

o Maribor–Sentilj line;

- higher maximum speed on main lines up to 160 km/h or more.

In Slovenia, road transportation is the most used way to move freight and passengers because of geographical, economical and technical reasons, among them the under developed railways infrastructure. According to the Ministry of Traffic 89 , since 2001, the freight traffic done by Slovenian carriers has grown 16,3% per year.

88 http://www.slo-zeleznice.si/

89 www.mzp.gov.si


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Rail transportation of freight has decreased between 2007 and 2008 (from 22% to 21%), in favour of road transport, which accounted in 2008 for 79% of freight transportation, as shown in Figure 49, where the freight traffic as a function of transportation mean is reported.

21%

79%


Roadtransportation

Figure 56: Total freight transportation in Slovenia for 2007 by mode (Gton/km) (Source Eurostat)

As for passengers transportation, road transportation is even more relevant in this case, accounting for about 97% of the total passenger traffic.


Slovenia is situated in Central Europe and shares borders with Italy, Austria, Croatia and Hungary, only a couple hours from Venice or Vienna. The Country is mostly elevated. Outside the coastal area, its terrain consists largely of karstic plateaus and ridges, magnificently precipitous Alpine peaks, basins and valleys. The highest Alpine peak in Slovenia is Triglav (2.864 m).

Approximately 8% of the Slovenia's territory is protected nature area. The planning and implementation of road or rail infrastructure have to take into account the difficult topographical conditions and high level of environment protection. On the other hand this topography and good geological conditions influence the usage of on-site material resources (stone, gravel, sands) which are available on site and cheap to produce. In some areas (flat lands in NE of Slovenia, wet lands) these materials have to be transported to sites from gravel pits or stone quarries.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the second most problematic factor for doing business in Sloveenia and Corruption is the sixth.






SCT d.d. Public and private entities Civil engineering, road and

railways works n.a.


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Primorje d.d. Public and private entities Civil constructions, public works road and highways construction n.a.

POMGRAD d.d. Public and private entities Civil constructions, public works road and highways construction

n.a.

Ceste mostovi Celje, d.d

Public and private entities Civil constructions, public works road and highways construction

n.a.

Kraški zidar d.d. Public and private entities Civil constructions, public works road and highways construction

n.a.

Voc celje vzdrževanje in

obnova cest, d.d. Public and private entities

Civil constructions, public works road and highways construction

n.a.

As for road and railways commissioning bodies, the motorway network is operated by the motorway company in the Republic of Slovenia (DARS, Družba za avtoceste Republiki Sloveniji, www.dars.si), while municipalities are responsible for financing and operating local roads. DARS is a joint-stock company established in 1993. In accordance with the decisions of the National Assembly of the Republic of Slovenia, DARS d.d. is in charge of financial engineering, preparing, organising and managing construction and maintenance of the motorway network, and is responsible for the management of motorways in the Republic of Slovenia.

Slovenian Roads Agency (Direkcija RS za ceste90) is a body within the Ministry of Transport which undertakes professional-technical, developmental, organisational and administrative tasks relating to the construction, maintenance and protection of main and regional roads as well as some expressways. Other tasks of the Agency include the preparation of proposals for investment in state roads for which it is responsible, and coordination of project planning, construction and maintenance of roads and road structures. The Agency collects and processes various data required for assessment of roads investments, and undertakes tasks assigned by the National Assembly, the Government and the Ministry of Transport.

The agency for the Management of Public Railway Infrastructure Investment (Direkcija RS za vodenje investicij v javno železniško infrastrukturo91) is an organ affiliated to the Ministry of Transport and responsible for the organisation, handling, and management of investments in the public railway infrastructure at all stages. In addition, it revises project documentation, and concludes public service contracts on railway services, the management of the public railway infrastructure, and the management of railway stations, and supervises both the implementation thereof and the manager's other tasks.

All above agencies contract or subcontract via public tenders or direct orders the services of planning, engineering design and services (supervision), consultancy, construction, maintenance and

90 www.dc.gov.si

91 , http://www.dzi.si


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protection to different contractors. Some of the well known and competent engineering companies, contractors and other enterprises are presented below:

- DDC, Engineering Company for Public Roads (DDC Svetovanje inženiring, Družba za svetovanje in inženiring, d.o.o. www.ddc.si) provides consultancy and engineering services for various customers (amongst which are the Slovene Roads Agency and the Motorway Company of the Republic of Slovenia (DARS)).

- Slovenian National Building and Civil Engineering Institute (Zavod za gradbeništvo Slovenije, www.zag.si). ZAG Ljubljana is an independent, impartial and non-profit organization, which fulfils all the requirements of the EEC Council Directive No. 89/106 regarding approval bodies which carry out the testing and attestation of conformity of construction products.

- Building and Civil Engineering Institute ZRMK (Gradbeni inštitut ZRMK d.o.o., www.gi-zrmk.si) provides services in the fields of engineering design and services (supervision), consultancy, maintenance, monitoring and retrofitting.


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3.16 Finland



� Legislation regarding landfilling

o Ban on landfilling (Government Decision on landfills (861/1997) and Government Decree for revising the Decision on landfills (202/2006, amendments 59/2008 and 381/2008), which include ban of scrap tyres (except tyres of bicycles) landfill.

o Waste Act (1072/1993) and Waste Decree (1390/1993).

o Government Decision on landfill sites (861/1997).

o Government Decree on waste incineration (362/2003).

� Legislation regarding End -of-life tyres management

o Government Decision on the recovery and disposal of discarded tyres (1246/1995).

o Government Decree on end-of-life vehicles (581/2004).

o Government Decree on subsidies for the processing of end-of-life vehicles (582/2004).


3.16.1.2.1 Model

According to Council of State Decision on the recovery and disposal of discarded tyres (1246/1995), Finland adopted the producers responsibility system, setting an obligation for tyre producers to take responsibility for used tyres. To fullfill this obligation the major importers and domestic manufacturers in the tyre business along with Autonrengasliitto (The Tyre Association) voluntarily set up an administrative company, Finnish Tyre Recycling Ltd, for this purpose. The company's objective is to take care of the collection and utilisation of used vehicle tyres in Finland. The operational part in the recycling process is run by Kuusakoski Oy.


Similarly to the other countries under the producer responsibility model, also in Finland the main actors of ELTs management are:

- tyre producers, importers or individuals that carry out retreading of a tyre or vehicle or piece of equipment equipped with a tyre;

- companies carrying out the sale of a tyre or a vehicle or piece of equipment equipped with a tyre;

- tyre consumers that use tyres in their activity.


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According to the Council of State Decision of 1995, a tyre producer must arrange for the collection, storage, reuse or other utilisation or treatment of used tyres as well as the dissemination of publicity and information relating to them. The producer must arrange this collection over a sufficiently large region and even-handedly. This obligation applies to an amount that is considered to be reasonable having regard for the amount that the producer releases on to the market and to used tyres that correspond to the types released. Similarly, a tyre dealer must accept used tyres without compensation. This obligation applies to an amount that is considered reasonable having regard for the amount sold and to used tyres that correspond to the types on sale. The dealer shall notify the producer's representative when the appropriate amount of tyres has been accumulated.

Consumers can bring scrap tyres to different tyre dealers or to a place of reception arranged by the tyre producer free of charge. By using the databases of the two steering bodies responsible for end of life tyre management, for example Suomen Rengaskierrätys Ltd, it is possible to find the most suitable tyre dealer or registered collection point among the 2000 available.

As for reporting obligations, tyre producers or associations representing producers must give notice to the Finnish Environment Institute once a year before the end of April of the following information relating to the preceding year:

- the amount of new, used and retread tyres supplied to the domestic market;

- an assessment of the accrued amount of used tyres;

- the amount of used tyres as material and energy;

- information on the publicity and information work carried out.

Government Decision of 1995 does not provide specific obligations for the treatment facilities: for example, Finnish Tyre Recycling Ltd delegate the operational activities (ELTs collection and treatment) to another company working in waste recycling (Kuusakoski Oy).


In Finland there are more than one steering bodies dealing with ELTs management. In 2004 the legislation was modified in such a way that the manufacturers are obliged to register themselves into the producer database of the Centre for Economic Development, Transport and the Environment for Pirkanmaa. Manufacturers and importers can take care of their obligations by joining the producers’ association, to whom they will pay the recycling fee in order to cover the waste management costs. There are two producer associations in Finland; Suomen Rengaskierrätys Ltd Finnish Tyre Recycling Ltd, located in Helsinki and North Re-Tyre Ltd, located in northern Finland, in Tornio.

Suomen Rengaskierrätys Ltd (Finnish Tyre Recycling Ltd)92, is an administrative company set up by the major importers and domestic manufacturers in the tyre business along with Autonrengasliitto (The Tyre Association) with the objective to take care of the collection and utilisation of used vehicle tyres in Finland. Suomen Rengaskierrätys Ltd is owned by Autonrengasliitto Org, Bridgestone Finland Ltd, Continental Rengas Ltd, Goodyear Dunlop Tyres Finland Ltd, Nokian Renkaat Ltd, and Suomen Michelin Ab. The operational part in the recycling process is run by Kuusakoski Oy, an international recycling services company dealing with different materials (metals, plastic, etc), who takes care of the re-collecting, sorting, storing, needed handling (e.g. crushed tyre material processing) and delivering the material for utilisation.

92 http://www.rengaskierratys.com/


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Also North Re-tyre Ltd 93 contributes to improve the tyre recycling system in Finland, with operations concentrating on tyre material utilisation and recycling. The company operates on a smaller scale, concentrating mainly on the northern part of Finland. The company has been promoted by the Centres for Economic Development, Transport and the Environment, which manage the regional implementation and development tasks of the state administration. North Re-tyre Ltd focuses on tire shredding, recovery and reuse.



The annual amount of collected scrap tyres is approximately 40.000 tons in Finland, which corresponds to approximately 2.5 million passenger car tyres. Until mid 90’s most scrap tyres ended up at landfill sites, but nowadays almost all tyres are recycled and, according to ETRMA, also existing stockpiles are treated.


No ELTs landfilling is currently present in Finland.


ELTs are not used that much for energy recovery in Finland. Almost all ELTs are destined to material recovery, both shredded, unshredded and granulated. Figure 57 shows the amount of tyres collected by Suomen Rengaskierrätys Ltd (the largest organization for ELTs management) and their destination in the last three years.

Figure 57: Tyres recycling in Finland in the last three years in tons(source: Suomen Rengaskierrätys Ltd,

quantities processed by North Re-tyre Ltd are not included )

93 http://www.northretyre.com/


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At the moment, according to Suomen Rengaskierrätys Ltd, tyre material is mostly used in landfill site and noise barrier construction. Tyres make an excellent material for land fill site construction, both for building new ones and also closing down old dump areas. In addition it is good as a frost insulating material and as a lighter structure for noise barriers. Experiences with using the crushed tyre material in the ground structure of riding fields have also been good.

According to North Re-Tyre Ltd, especially in road construction shredded car tyres function really well as frost insulating material, and better than the commonly used light grit. Shredded car tyres are already used in road embankments, noise barriers and land fill site construction. Shredded tyres can be used as a replacement for turf, because the tyre material has high heat conducting capacity.

As an example of application, in the beginning of 2008, the biggest targets of utilisation were the storing field of imported cars in the port of Kotka and landfill site of UPM factories in Kajaani. The site in Kotka needs light and robust material and tyre material replaces the traditional, heavy piling material. The amount of material needed was approximately 55.000 tons.


Suomen Rengaskierrätys Ltd delegates processing of ELTs to Kuusakoski Oy, whose processing facilities are able to produce shred tyres from 50 to 300 mm and granulate of 2,5; 5; 8 and 25 mm in size. Specifications of ELT derived material produced by North Re-Tyre Oy were not available, as well as information on production capacity and time of management.

As for costs, tyre recycling in Finland is funded by a recycling fee, which is paid when new tyres are purchased. Thus it is possible for the consumers to bring their used tyres to their local tyre-dealers free of charge. This way the fee falls on the actual user of tyres instead of the whole population paying for the costs in the form of taxation, for example. The recycling fees vary from 1,85 € for passenger car and a motorbike tyres to 61,10 € for large machinery tyres.


No detailed data on costs ELT derived products for the end-users were available. Only a qualitive estimations of the costs per ton have been obtained from Humuspehtoori, a company which uses ELTs for landfill engineering. According to them, Suomen Rengaskierrätys Ltd charges about 10 €/ton including transportation costs.

3.16.1.3.6 Contractual scheme and othes information relevant to RECTYRE It was not possible to retrieve information on the quality of ELT derived products in terms of size uniformity and metal and textile impurities in Finland. As for contractual schemes, the two steering bodies present in Finland must be contacted directly. No information was available on verifications or monitoring of the final use of ELTs after they are provided to the end-users.

Two initiatives must be mentioned that could be relevant for the implementation of RECTYRE model.

- The Ministry of Environment in Finland commissioned in 2005 a study on the New Technology of Infrastructure Construction, UUMA, concerning the potential and development needs for the use of alternative materials in infrastructure construction. UUMA-inventory project was the prosecution of this initiative, focused on the development


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of product acceptance and usage control of alternative materials in soil construction. The Program was established in 2006, and ended in 200894 .

- The Government has approved the new national waste plan until 201695 , a nationwide strategic plan including the principles and objectives of waste management and waste prevention. The waste prevention program will promote waste prevention by the use of new steering methods to increase materials efficiency in production processes, construction and consumption, and by making the enforcement of current legislation more effective.


No special considerations to be mentioned.




Between 2005 and 2007, Finland spent almost 3 billions € for road and railways infrastructure96.

A very minor proportion of the investment came from European funding sources in 2000-2006. In the same period instead, there has been a gradual increase in the public funding of transport infrastructure, from 1.831 M€ in 2000 to 2.448 M€ in 2006, while the total public expenditure over the period was 14.652 M€. Looking at the changes over time in infrastructure investment for different transport modes, investments in road infrastructure has been increased by more than 200 M€ between 2005 and 2007, while those on railways infrastructure decreased, passing form 281 to 211 M€ .

Figure 58 shows the split of investments by the different transport modes. As it can be seen, the majority of the funding was provided to road infrastructure (69%).

Figure 58: Finland's public investments in transport infrastructure by mode between 2000 and 2006 (source:

Finnish Centre of Statistics)

94 (http://www.environment.fi/default.asp?contentid=200628&lan=en)

95 http://www.ymparisto.fi/default.asp?contentid=280989&lan=EN

96 Transport infrastructure investments from European Environment Agency


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For what concerns planned investments, Finland is planning to build a carbon-neutral motorway, placing filling stations for electric cars and cars on biofuel, then the so-called smart lighting systems and facilities for the production of clean energy along the route. Injunctions on the European highway E18, which connects the capital of Finland Helsinki with Vaalimaa near the Russian border, where the EU is the primary customs and border crossing with Russia, could become the world's first green highway. The preparatory phase will last until April 2011 and the implementation of the project, with costs estimated at 700 M€, will begin in April 2011 and will be completed by 2016. Project managers plan to apply for aid through the EU Trans-European Transport Network (TEN-T) initiative.


Finland is at the 8th place in the World Economic Forum ranking on infrastructures for 2010-201197 . Concerning the quality of road and railways infrastructures, it is ranked 13th and 7th respectively.

According to Finnish Road Statistics 2009 published by the Finnish Transport Agency98, the overall length of the road network is 78.161 km, consisting of 17 % of main roads (classes I and II), 17 % of regional roads, and 66 % of connecting roads. The road system provides quite good coverage for the present national infrastructure and foreseeable developments. There are 765 km of motorways, and 110 km of semi-motorways that are intended for motor vehicles only. Motorways length increased by almost 10% in the last 5 years.

According to the Finnish Railways Statistics 200999, the Finnish railways network was 5.919 km long in 2009, of which 3.067 km are electrified. The network has quite extended (about 200 km) since 2005, but no new tracks were built between 2008 and 2009. The network counts 43 crossings and 42 tunnels.

Currently there are 14 road projects and 5 railways projects underway.

Freight transport in Finland has slightly decreased since 2005, passing from 41.563 to 40.245 Mtons per km. Although it is slightly decreasing in favour of railways transportation, road transportation is still the most diffused way to move freight. accounting for 74% of the total transported freight in 2007, as shown in Figure 59, where the freight traffic as a function of transportation mode is reported.

26%

74%


Road transportation

Figure 59: Total freight transportation in Finland for 2007 by mode (ton/km)

(Source Eurostat)


98 http://www.tiehallinto.fi/pls/wwwedit/docs/26855.PDF

99 http://rhk-fi-bin.directo.fi/@Bin/a04cde9a0ba2fcb931e11dcbeccba7a0/1297337282/application/pdf/3056510/Finnish_Railway_Statistics_2009.pdf


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Road transportation is also the most diffused transportation mode for passengers accounting for 94% of the total passenger traffic (see Figure 60). However, the percentage of passenger travelling by rail is increased more than that of passengers travelling by car since 2005.

5%

95%


Road transportation

Figure 60: Total passenger traffic in Finland for 2007 by mode (pass/km)

(Source Eurostat)


The Finnish landscape is mostly flat with few hills and fewer mountains. Its highest point, the Halti at 1.324 metres, is found in the extreme north of Lapland at the border between Finland and Norway. The highest mountain, its peak being in Finland, is Ridnitsohkka at 1.316 m, directly adjacent to Halti. Finland is a country of thousands of lakes and islands – 190.000 lakes (larger than 500 m2) and almost 180.000 islands. Forest covers 86% of the country's area, the largest forested area in Europe.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the forth most problematic factor for doing business in Finland.

The major players in Finland for what concerns large transport infrastructures construction as roads, highways and railways lines are summarised in the following table.





Lemminkäinen Infra Oy

(Lemminkäinen Group)

Public and private entities

Civil engineering, construction and upkeep of road, street and rail

networks 800

Destia Ltd

Public entities, cities and municipalities, and industry and private

enterprises

Construction of roads, bridges, traffic environments, noise

barriers and energy infrastructure 600


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CC Infra Oy Public and private

entities Management and procurement of

large infrastructure projects n.a.

The main commissioning body for what concerns road and railways infrastructure in Finland is Finnish Transport Agency 100 , which started operation in January 2010 combining the Rail Administration (RHK) and parts of the Maritime Administration and Road Administration. The Finnish Transport Agency is a government agency operating under the Ministry of Transport and Communications, and it is responsible for the overall development of the transport infrastructure in Finland, promoting the effectiveness of the transport system, traffic safety and a balanced and sustainable development of the regions.

Both former Finnish Railway Administration and Finnish Road Administration invested in Research & Development, spending on average 6 M€ a year and 2% of basic road funding respectively for road research and development.

As for procurement policies, up to 2010 at Finnish Road Administration they were developed so as to encourage service providers to assume greater long-term responsibility for the service level and condition of roads. The goal was to make room for innovation and the further development of technical solutions and production methods. Another important issue is the development of new long term service contract models and a transition to electronic procurement, in which the entire chain of procurement from preparation of invitations for tenders to contract supervision is transferred into a web-based online environment. Road Administration specifies activities and desired quality requirements mainly by outcome-based requirements expecting that contractors use their innovations and best practices to meet the quality requirements, being also responsible for the quality control. The procurement model enables innovations from which all parties benefit. Finnish Road Administration monitores the functionality of the contractor's quality system and randomly audits the quality and the contractor's processes.

It is expected that Finnish Transport Agency will probably follow a similar approach.

100 http://portal.liikennevirasto.fi/sivu/www/en/


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3.17 Sweden




o Landfill Ordinance on landfilling (2001:512).

o EPA regulation on landfilling (NFS 2004:10).

o Law on waste tax(1999:673); Tax on waste being landfilled (43 Euro/tonne)


o Ordinance (1994:1236) on producer responsibility for tyres.


3.17.1.2.1 Model

According to the Ordinance 1236 issued in 1994, Sweden adopted the producer responsibility system, setting an obligation for tyre producers to take responsibility for used tyres.

Svensk Däckåtervinning AB (SDAB, the Swedish Tyre Recycling Organisation) is responsible for the obligations under the Ordinance (1994:1236).


The main actors of ELTs management in Sweden are:

- tyre producers, importers or individuals that carry out retreading of a tyre or vehicle or piece of equipment equipped with a tyre;

- companies carrying out the sale of a tyre or a vehicle or piece of equipment equipped with a tyre (generation points);

- tyre consumers that use tyres in their activity.

Anyone who professionally manufactures, imports or sells tyres and the manufactures, imports or sells other vehicles and equipment than cars equipped with new tires should be connected to SDAB, which organizes the collection and recycling of waste tyres.

Generation points (tyre dealers, garages, etc.) must have an agreement with SDAB in order to assure the quality of management and are obliged to take back ELTs free of charge. Garages that charge a fee for receiving waste tyres violate the regulation; a fee can only be applied if the rim has not been demounted. Swedish Tyre Recycling is responsible for managing the collection and recycling of ELTs as well as for reporting to the Environmental Protection Agency. Reports refer to all affiliated companies, without revealing any individual company's information to any third party.


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Orders for the collection, for the generation points with an agreement with SDAB are made on Ragn-Sells website.

In case of small generation points (e.g. small garages), there is the possibility to collaborate with larger garages that will be able to receive ELTs from them. However, the larger generation point assumes responsibility for the smallest one. All generation points are obliged, regardless of size, to accept waste tyres from individuals, although the amount should be small. Waste tyres from junk cars, tyres derived from dismantlers and imported frames, must not be left for collection for recycling without requiring agreement.

The minimum volume collected for recycling is 300 tyres or 2 tons, although special pick-up volumes con be agreed between the generation point and SDAB's contractor.

The generation point should notify SDAB's contractor via fax or e- mail when collection is required at least 14 days prior to pick-up date. The minimum time varies depending on season and location.

Generation points (tyre dealers, garages, etc.) must ensure that the collection point is easy to reach by the large vehicles required for tyres pick up. If the pick up is delayed by some barriers or obstacles, the SDAB or its contractor are authorized to apply special fee to the tyre dealer for the stop.


The most important player in Swedish tyre management is Svensk Däckåtervinning AB101, SDAB (the Swedish Tyre Recycling Organisation), set up in 1994 by the Swedish tyre industry. The first task of this new company was to participate in the process that led to the Directive concerning manufacturers' liability for tyres (1994:1236). This liability means that whichever company places tyres on the market must also accept liability for how they are dealt with at the end of their service lives.

SDAB represents the tyre industry vis-à-vis the authorities and is responsible for organising the collection and recycling of all used tyres. The company is run as a non-profit organisation and is owned by DFTF (the trade organization for tyre-, rim- & equipment suppliers) and DRF (The Swedish National Association of Tyre Specialists) which includes the retreading section, RS. The Board consists of five members - three from DF and two from DRF. Consumers accept their environmental responsibility by paying a special recycling charge when they purchase new tyres.

Concerning the management of ELTs, it is worth mentioning Ragn-Sells102, an Estonian company active in waste treatment, which is collaborating with SDAB in ELTs recycling, especially ELTs treatment. Ragn-Sells collect and take care of all the worn-out tyres in Sweden, 75.000 tonnes each year, collecting approximately 36.000 tyres per day. Ragn-Sells is planning to realise a treatment facility for ELTs in Sweden to be opened in autumn 2011.

Another important player is the Swedish Environmental Protection Agency, created in 1967, which is the national agency for environmental protection and nature conservation as well as outdoor recreation and hunting issues. Its key tasks are to present proposals for environmental policy and legislation to the Swedish Government and ensure that environmental policy decisions are implemented.

The Swedish EPA supplies expert knowledge and proposals to central government in its national, EU and international work on environmental issues. Nationally the Agency regulates, sets standards

101 http://www.svdab.se/

102 http://www.ragnsells.ee/index.php?page=354&


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and acts as a guide, coordinator and evaluator. Besides producing regulations and guidance on waste management, the Swedish EPA has a monitoring role in ensuring that waste management is environmentally acceptable, socially efficient, and straightforward for the consumer. The waste management statistics which are reported to the EU every two years are also produced.



Sweden generates about 70.000 tons of used tyres a year, of which 68.000 tons are classified as ELTs. All returned tyres are reused or recycled, either as material or energy recovery.


No ELTs landfilling is currently present in Sweden.


In Sweden today about 55% of all collected tyres go to energy recovery in heating plants and in the cement industry, and 45% to material reuse, e.g. in the manufacture of products like blasting mats, and material recycling where the rubber raw material is utilised or replaces other material (i.e. construction material). The trend is however to increase material recovery with respect to tyre combustion. Typical material recovery applications are insulation floor mats and flooring for barns, sports facilities, public environments, artificial turf, football fields, incorporation in asphalt in road surfaces and noise barriers for roads.

However, the greatest potential for the use of tyres is in geoconstructions. The amount of used tyres in Sweden roughly corresponds to the country’s need for lightweight filling. Geoconstructions use tyre material in the form of tyre shreds as drainage in, for example, landfills, frost blanket material (in roads), as lightweight filling material (in noise barriers) and as elastic underlay in equestrian sports (riding and trotting tracks). For these applications, a handbook is available published by the Swedish Geotechnical Institute (SGI). Its use is positive from a technological as well as an environmental perspective. Ragn-Sells are using tyre shreds as construction material in landfills, such as drainage material. The material is flexible, not cold and has good bearing capacity. SDAB together with Ragn-Sells and Luleå University studied the tyre shreds as "building materials" in various applications, as for example in road embankments.


Currently in Sweden there are no processing facilities for ELTs and the tyres are brought to the treatment facilities in Europe by truck. Ragn-Sells, the Estonian company in charge of collecting ELTs in Sweden, is now building the only treatment factory in Sweden, that is expected to start operation in autumn 2011. When the new plant will be in operation, the recycling rate increase from the current 45% to 65%. The combustion will be reduced proportionately.

With the new plant, environmentally harmful transport is expected to be greatly reduced. Thanks to its strategic location in western Sweden, the new factory to serve the whole of Sweden and also take care of the tyres from Norway, with minimum distances.


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As for costs, similarly to the other countries under producer responsibility, the recycling fee is paid when a new tyre is bought and it finances the collection, processing and final recycling of the discarded tyre. As collection of tyre is transportation intensive and the price of transport and fuel has risen sharply, recycling rates (environmental contributions) have been recently increased consequently. They are reported in the following table.

Table 60: Recycling fee updated to 2009 (Source SDAB)

Category Description Fee

Category I:

Passenger car tyres, all sizes (inc. imported retreaded tyres)

All moped, scooter and motorcycle tyres greater than or equal to 10", with the exception of the old bike tyre 16", 17 ", 18" and 19"

ATV tyres greater than or equal to 10 "

Truck tyres up to and including 16.5", with the exception of 7.50-15, 8.25-15" and 10.00-15"

Agricultural tyres from about 10 "to 12", and the other with width up to 255 mm regardless of aspect ratio

Truck and industrial tyres up to and including 12 "

Solid Rubber Tracks / press-on tyres up to 15 "(381 mm)

Tractor Tyres trailer with width up to 255 mm regardless of aspect ratio

16: SEK (1,8 €)-

Category I R Retreaded passenger car tyres, made in Sweden in all dimensions 10 SEK (1,1 €)

Category II A

Construction and industrial tyres larger than 22.5"and up to and including 29"

Tractor tyres driving on Agricultural larger than 28"and width greater than 9.14 or greater than 500/60, 480/65, 420/70, 380/80, 380/85, 380/90

Tractor Tyres larger than 24"

425 SEK (48 €)

Category II B Construction Tyres larger than 29 " 1000 SEK (113 €)

Category III

Tractor tyres freerolls, with width greater than 255 mm regardless of aspect ratio

Agricultural tyres larger than 12 ", with a width greater than 255 mm regardless of aspect ratio

Truck and industrial tyres larger than 12 "

Solid Rubber Tracks / press-on tyres bigger than 15 "

Construction and industrial tyres up to and including 22.5 "

Tractor tyres driving on Agriculture up to and including 28" regardless of width and from about 30" with a maximum width up to 09/14 or 500/60, or 480/65, or 420/70, 380/80, 380/85 or 380/90

100 SEK (11,3 €)


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Tractor tyres up to 24 "

Truck tyres larger than 16.5 "and 7.50-15, 8.25-15" and 10.00-15"

Bicycle tyres , all moped, map, scooter and ATV tyres less than 10" , "Old" moped tires 16 ", 17", 18 "and 19", aircraft tyres "Transport tires" (wheelbarrow tires, etc.) less than 10 " are exempt from recycling fees.

3.17.1.3.5 Costs for the end user The costs of buying end-of-life tyres is confidential. Lack of detailed data occurs.


No information regarding contractual scheme with end users is available. Suppliers need to be directly contacted.


No aspects to be mentioned.




Between 2005 and 2007, Sweden spent about 10 billions € for road and railways infrastructure103.

"Transportpolitik för en hållbar utveckling" (Transport Policy for sustainable development), published in 1997 remains central to national transport policy, and the programming strategy continues to be focussed on achieving these goals. In 2004, the Government announced major investment spending in rail and road projects in support of the transport policy. Table 61 sets out the proposed investment in the transport system between 2004 and 2015 proposed in the accompanying policy document.

103 Transport infrastructure investments from European Environment Agency


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Table 61: Investment proposal from the Transport Policy for sustainable development between 2004 and 2015

Figure 61 shows the split of investments by the different transport modes. As it can be seen, more than half of the investments were for road infrastructure. Also railways accounted for more than 30% of the total investments in transport infrastructure (13,3 M€).

Figure 61: Sweden public investments in transport infrastructure by mode between 2000 and 2006 (source:

Swedish Centre of Statistics)

Table 62 shows the projects for construction of new roads in Sweden, some of them already started while others are planned for this year.

Table 62: Project road construction in Sweden

Road Stretch Length (km)

Investment volume (SEK million)

Project start date

NH 50 Mjölby–Motala 28 1 330 Late 2009

E22 Hurva–Kristianstad 41(57) 1 100/1 360 2010

E4 Sundsvall Syd 22 2 500 2010


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Lv 259 Södertörnsleden 9 1 300 2009

E 22 Kristianstad – Karlshamn

53 1 430 2010

E 22 Karlshamn–Jämjö 69 1 840 2012

E 22 Söderköping 17 700 2010

E 6/45 New link over the Göta älv river (Gothenburg)

1,5 2 500 2010

E 20 Alingsås–Vårgårda 25 1 550 2011

E 4 Hjulsta–Häggvik 7 4 500 2010

E 4 Södertälje-Hallunda 15 3 300 2013

E 12 Umeå package 28 1 100 2009


Sweden is at the 7th place in the World Economic Forum ranking on infrastructures for 2010-2011104. Concerning the quality of road and railways infrastructures, it is ranked 18th and 14th respectively.

Sweden has 162.707 km of paved road and 1.428 km of expressways. Motorways run through Sweden, Denmark and over the Öresund Bridge to Stockholm, Gothenburg, Uppsala and Uddevalla. The system of motorways is still under construction and a new motorway from Uppsala to Gävle was finished on 17 October 2007. The public road network in Sweden is divided into three weight classes: Weight Class 1 (BK1), Weight Class 2 (BK2) and Weight Class 3 (BK3). The highest weights are permitted on the BK1 road network, whose weight regulations apply on some 94 % of the public road network.

The Swedish railways networks accounts for a total of 11.663 km of railways, including 3.594 km of privately owned railways and 9.227 km of national railways. In 2008, standard gauge railways were: 11.568 km, of which 7.531 km electrified and 1.152 km double track. Narrow gauge railways were 65 km.

The rail transport market is privatized, but while there are many privately owned enterprises, many operators are still owned by state. Operators include SJ, Veolia Transport, DSB, Green Cargo, Tågkompaniet and Inlandsbanan. Most of the railways are owned and operated by Trafikverket.

Freight transport in Sweden has always increased since 2005, passing from 60.250 to 63.847 Mtons per km. In particular, there has been a significant rise in land-based freight transport with increases of 9% in road haulage and 12% in rail-based freight transport. Road transportation is still the most diffused way to move freight, accounting for 63% of the total transported freight in 2007, as shown in Figure 62, where the freight traffic as a function of transportation mode is reported.



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37%

63%


Roadtransportation

Figure 62: Total freight transportation in Sweden for 2007 by mode (ton/km)

(Source Eurostat)

Road transportation is also the most diffused transportation mode for passengers accounting for 91% of the total passenger traffic (see Figure 60). However, the percentage of passenger travelling by rail is increased more than that of passengers travelling by car since 2005.

9%

91%


Roadtransportation

Figure 63: Total passenger traffic in Sweden for 2007 by mode (pass/km)

(Source Eurostat)


Situated in Northern Europe, Sweden lies west of the Baltic Sea and Gulf of Bothnia, providing a long coastline, and forms the eastern part of the Scandinavian Peninsula. To the west is the Scandinavian mountain chain, a range that separates Sweden from Norway.

At 449,964 km2, Sweden is the 55th largest country in the world, the 4th largest in Europe (excluding European Russia), and the largest in Northern Europe. The lowest elevation in Sweden is in the bay of Lake Hammarsjön, near Kristianstad at -2,41 m below sea level. The highest point is Kebnekaise at 2.111 m above sea level.

About 15% of Sweden lies north of the Arctic Circle. Around 65% of Sweden's total land area is covered with forests. Sweden consists of 39.960 km² of water area, constituting around 95.700 lakes. Gotland and Öland are Sweden's largest islands; Vänern and Vättern are its largest lakes.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the seventh most problematic factor for doing business in Sweden.


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The major player in Sweden for what concerns large transport infrastructures construction as roads, highways and railways lines is Skanska105. Main clients of Skanska are companies of varying sizes, authorities, investors as well as private persons. Skanska operates in the whole construction sector, with a special market for large infrastructure construction as roads, bridges and railways.

Since 1990 the National Road Administration has been responsible for road maintenance on trunk roads and some primary county roads, including those that pass through towns. Previously it was the municipalities that were responsible for these stretches of road.

Vägverket (The National Road Administration) and Banverket (The Swedish National Rail Administration) were recently put together into the Swedish Transport Administration (Trafikverket 106 ) which is responsible for the operation and administration of all transport infrastriuctures in Sweden. Trafikverket is responsible for long-term planning of the transport system for all types of traffic, as well as for building, operating and maintaining public roads and railways.

As for procurement policies, the Public Procurement Act (LOU) and the Act on Procurement in the Water, Energy, Transport and Postal Services Sectors (LUF) must be followed. Potential suppliers are treated in a similar and non-discriminatory way. Procurement is advertised in a publicly accessible database and on the Swedish Transport Administration website. A prequalification system is used for procurements over the threshold values and procurements in accordance with LUF; in these instances, the procurements do not have to be advertised either. Tenders are evaluated in accordance with the evaluation criteria set out in the enquiry documentation. The contract is continually followed up during the term of the contract.

105 http://www.skanska.com/

106 http://www.trafikverket.se/


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3.18 Cyprus




o Law on the Management of Solid and Hazardous Waste (No.215 (I)/2002) which provides the framework for ordinances on the management of hazardous and non-hazardous public waste, including old tyres.


o The law on the Management of Solid and Hazardous Waste (No.215 (I)/2002) includes also the introduction of producer responsibility for ELTs. However, actuating law for the regulation in regard of used tyres management is being prepared.


3.18.1.2.1 Model

Cyprus has accepted EU legislative framework regarding management of end-of-life tyres and landfills. The regulation for the management of the ELTs in being developed. However, there is no certain legislation about ELT yet, although there is a regulation that supposed to be ready the first semester of 2011 that uses the principle of the “producer’s responsibility”107 The producers and importers have to pay the management of ELTs. More that 70% of all collected ELTs should be managed on this way.


There is a request from the association of the importers of tyres to take a licence to run a non profitable organization to handle ELTs. This company is not yet licensed. So far, the used tyres are collected from the shops selling tyres from licensed collectors and transferred to the two facilities that manage ELTs, in a sort of free market regime. The two recycling companies operate both in energy recovery, one in cement industry and the other through pyrolisis.


Ministry of Agriculture, Natural Resources and Environment, Environment Service is responsible for the elaboration and implementation of the laws and regulation in the field of waste management.

107 http://www.moa.gov.cy


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Involved in ELT management issue is the Association of Importers of Tyre108, the Association of Tire practitioners and organizations to which they belongs, namely the chamber of commerce CCCI (www.ccci.org.cy) and the association of enterprises POVEK (www.povek.com) respectively.

Finally, impact on ELT management have the two companies that receive ELT determining the purchase price, affecting the cost of managing.

Vassiliko Cement Works Ltd109 was established in 1963, as a Public Company producing cement, on the initiative of Hellenic Mining Company. Vassiliko was chosen as the best possible location for the erection of the plant in view of the abundance of raw materials of excellent quality and the proximity to the sea. According to information from the ministry representative, they are using ELTs as additional fuel in the process of cement production. They also import ELTs from Italy. There is another company in Ypsonas industrial area which is called CBp (Cyprus) Ltd and recycle tires with a pyrolisis method making carbon black.

Vassiliko Cement Works is able to handle only small cars tyres but CBp is able to handle bigger tyres as well; however, none of the two plants can handle agricultural and industrial tyres.



Cyprus generates about 8.000 tons of used tyres a year, that are all classified as ELTs.


No specific data on landfill percentage. In the ETRMA report issued in 2010, the total amount of ELTs generated in Cyprus is indicated to have unknown destination or landfill due to lack of data. However, a part of ELTs are destined to energy recovery, in a cement kiln or through pyrolisis.


In Cyprus recycled ELTs are destined to energy recovery, in Vassiliko Cement Works Ltd or by CBp Cyprus Ltd which produces carbon black through pyrolysis and exportsabroad. No data are available about the percentages of the two uses.


The two processing facilities available in Cyprus are Vassiliko Cement Works Ltd, whose only limitation on the production capacity is represented by tyre size (it manages only car tyres) and the ability to store the shred tyres. The exact capacity was not available as it depends on the production rate.

The CBp Cyprus Ltd has a capacity of 6.000 tons per year for 24 hr operation. As mentioned earlier, the company has the ability to manage all types of tyres apart from industrial and agricultural.

108 http://www.ccci.org.cy/main.aspx?module=Item1&pageId=1143&itemId=313

109 www.vassiliko.com


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As for costs, both companies have fixed gate fee of € 40/ton. These costs decreased from 1,75 € per tyre to 1 € per tyre.


As mentioned above, the recycling and energy recovery companies charge 40 € per ton of ELTs, transported to the gate of the processing facility. Because of this, importers are looking for other options.


No information regarding contractual scheme with end users is available. Suppliers need to be directly contacted.


As already mentioned, before June 2011 is expected to start the ELT Management System. When the system will be in operation, the tyre importers will be forced to pay management costs for each tire before the import of the cargo by paying the equivalent to the system. Then ELT collectors will be paid by the System and will go through the generation points to collect ELTs free of charge.




Between 2000 and 2006, Cyprus has invested about 2,5 M€ in transport infrastructure, of which about half were private investments, as shown in Table 63.

Table 63: Investment in transport infrastructure by source of funding between 2000 and 2006 (Source Statistical services of the Republic of Cyprus)

About 90% of these investments were dedicated to road infrastructure. The current major transport projects are:

1. realisation of Paphos to Berlies (POLIS) highway, designed for two-way four lanes;


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2. completion of Kokkinotrimithia-Astromeritis-Euryhou highway construction;

3. construction of Nicosia high-speed outer ring;

4. construction of Nicosia to Palaaoli (Palechori) roads;

5. construction of Nicosia to Limassol highway;

6. construction of Limassol to Prates (Platres) road.


Cyprus is at the 31st place in the World Economic Forum ranking on infrastructures for 2010-2011110. Concerning the quality of road infrastructures, it is ranked 23rd. No railways network is present.

Cyprus's road infrastructure is generally of an adequate quality, but road congestion and lack of parking spaces has started to become a problem, particularly in the key towns such as Nicosia. This partly reflects increases in car ownership rates and insufficient investment in the public transport system.

Cyprus has developed a modern road network. Of the 12.118 km of roads in the areas still controlled by the Republic of Cyprus, 7.850 km were paved and 4.268 km unpaved roads.

The highway network is continuously developed.

Cyprus has no railway network. The whole freight and passenger inland transportations are by road, as no railways are present.


Cyprus is the third largest island in the Mediterranean (after the Italian islands of Sicily and Sardinia) and the world's 81st largest. Two mountain ranges, the Troodos Range and the Keryneia Range, run from east to west across the island separated by the central Messaoria plain.

The densely forested Troodos Range in the south-west is a dome-shaped highland dominated by the island's highest peak, Mount Olympus, at 1.953 meters above sea level. The entire Troodos massif takes up approximately one half the area of the island and constitutes the largest volume of ophiolite rock in the world.

The narrower Keryneia Range in the north, mainly of limestone, rises up to 1.024 meters and is also known as the Pentadaktylos - or Five Finger mountain. The central Messaoria plain has a low relief.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, inefficient Government Bureaucracy is the first problematic factor for doing business in Cyprus.

As for the major contractors of public works, they are mainly small-medium companies and they are listed below:

- TAKIS VASHIOTIS LTD, Building Contractors - Developers;



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- C&A TOUMAZIS CO LTD, Building & Civil Engineering Constractors;

- MARKIDES BROTHERS (CONSTRUCTIONS) LTD, Civil Engineering, Building Contractors / Developers, Land Subdivision, Road Construction & Paving;

- KYTHREOTIS COSTAS P & SON LTD, LIMASSOL – CYPRUS;

- Mari.Niko. Construction Ltd;

- Kythromak Asphalting Ltd.

As for the main commissioning bodies, the Public Works Department of the Ministry of Communications and Works has the responsibility for the maintenance, improvement and construction of motorways, the majority of rural and interurban road network and the main urban roads. Municipalities are responsible for the secondary and local urban roads and the District Administration Authorities are responsible for the paved and unpaved district (tertiary) roads and village roads. Forestry Department is responsible for the most of unpaved roads in forest areas in order to accommodate the administration and protection of forests.

Ministry of Communications and Works, Department of Public Works111 is also an important player; its main activities are:

- Design or management of designs that are carried out by the private sector, supervision and management of the contracts for the construction and maintenance of road works, including motorways and other primary and secondary roads.

- Laboratory testing (investigations, trials etc.) of construction materials both for projects carried out by the Department and the private sector, in accordance with the relevant specifications.

- Provision of technical advice to other Ministries, Departments, Services, Organisations as well as to private individuals.

- Participation and representation of the Department in various Technical Committees such as the Committee of Cypriot Standards, the Central Committee for Variations and Claims, the Rent Committee, Judging Committees for Architectural Competitions etc.

For what concerns procurement procedures, in Cyprus contract above thresholds are awarded through open tenders and evaluated by a 5 members tender board.

111 www.mcw.gov.cy


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3.19 Hungary



� Legislation regarding Landfilling o Act LVI of 1995 - on Environmental Protection Product Charges and the

Environmental Protection Product Charges of Certain Products. o Decree No. 10/1995. (IX. 28) KTM - on the Implementation of Act No. LVI of

1995. o Act XLIII of 2000 - on waste management. o 22/2001. (X. 10.) Declaration of Minister on the landfill of waste changed by

20/2006. (IV. 5.) Declaration of Minister on the landfill of waste and the conditions and rules of the waste deposition.

o 267/2004. (IX. 23.) Government decree on end-of-life vehicles.

� Legislation regarding End of life tyres management o Governmental Decree No 53/2003. (IV. 11.) - on exemptions from the

environmental product tariff and on conditions of reclaiming and taking over environmental product tariffs as well as on import conditions of used tyres.


3.19.1.2.1 Model

In 2006, Government prohibited the discharge of whole and shred used tyres in landfills (exceptions are: bicycle tyres and the tyres greater than 1400 mm of outer diameter).

In 2003 the regime of “Producer Responsibility” was introduced; it replaced the Eco Tax System, already existing for several waste streams (e.g. tyres, oils, packaging, electrical equipment) since 1995, because of its great ineffectiveness.

According to the new legislation (Decree No 53/2003), manufacturers and importers of tyres and motor vehicles are responsible for the share of tyres they introduce in the Hungarian market along their life cycle.

Those subjects have to take care of the collection and the recycling of used tyres generated in the country. For complying with this obligation, they can create no profit companies as coordinators of the recovery activities.

The steering bodies are compelled to operate after being registered and authorised by the National Inspectorate for Environment, Nature and Water (now within the Ministry of Rural Development): The registration has a validity of two years.

The law established also an Environmental Fee that the responsible subjects have to pay according the amount of tyres introduced in the Hungarian market. They avoid the payment when they prove to the National Inspectorate a recovery rate of at least 75% of the whole tyres introduced into the country. The exemption is determined by the Inspectorate during the renovation of the licence.

(Source: Országos Hulladékgazdálkodási Terv 2014- ig_OHT-II: Waste management plan of Hungary for the period 2008 - 2014).


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� Manufacturers and importers of tyres and motor vehicles

According to the legislation the manufacturers and importers of tyres have to manage and finance the recovery of used tyres and they are responsible for the amount of tyres that they introduced in the Hungarian market. They have to retrieve the used tyres free of charge from their customers.

Many subjects joined in steering bodies with the function of taking on their responsibilities and practically implementing the recovery system.

In Hungary, three coordinating bodies are active and authorized to operate by the National Inspectorate for Environment, Nature and Water (now within the Ministry of Rural Development): OKO-GUM Ltd, KOORKOR Ltd and HUREC Ltd.

They work for:

- Assuring the collection of the necessary tyres amount to achieve the total exemption of the environmental fee;

- Assuring the respect of the statutory obligation of the members, in particular the payment of the fee for the recovery operations, and the documentation required by the Inspectorate;

- Organizing the collection and recycling of end-of-life tyres from the generation points of used tyres that partake in the system;

- Coordinating and monitoring the activities of all partners (collecting and processing parties), also handling the necessary flux of documentation all along the process;

- Financing all partners through the fee paid by the members;

- Providing consultancy and information on legislative changes and on environmental issues to the members and the partners;

- Offering solutions to the members for specific problems.

Moreover, both OKO-GUM and HUREC are committed in enhancing public awareness in order to increase the number of used tyres collected and processed.

The former are involved also in collecting information on the field, utilizing organisms.

The fee paid by members is lower than the Environmental tax in order to stimulate the recovery.

� Point of sales (garages, service areas, retailers, wholesalers) There are currently more than 110 entities that required OKO - GUM services. In the HUREC management of used tyres, the selection between re-usable and re-treadable tyres are carried out before that the collecting companies retrieve the used tyres.


OKO-GUM Ltd, KOORKOR Ltd and HUREC Ltd. perform the collection of used tyres through domestic companies, as authorised partners. Their collecting network covers the whole Hungarian territory.

OKO-GUM Ltd coordinates more than 1.600 collection points, managed by collecting companies.

In those sites, a selection of all the tyres collected is carry out before processing; ELT tyres are dived from reusable tyres and re treading tyres (Figure 64).


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Source: OKO-GUM Ltd

Figure 64: Collection network of OKU-GUM Ltd (Hungary)

For the collection KOORKUR Ltd collaborates strictly with the municipalities.

HUREC finances the collecting companies considering mutually agreed conditions. Its collectors have to take back tyres, independently of the type or the brand, free of charge, from any point of generation of used tyres (e.g. tyres workshops).

� Processing companies

HUREC realizes the weighing, sorting, grinding activities through its partners. The company makes contracts with domestic and European companies both for the grinding and the final disposal of the recycled materials. It evaluates companies with recognized trade results in material and energy recovery and considering aspects such as location and efficiency. Those partners include, but are not limited to cement works, crushers, chipping breakers, manufacturers of elastic linings or pavements, users of steel and textile fraction of a tyre.

Also OKO-GUM stipulates contracts with processing partners.

Figure 65 and Figure 66 shows the ELTs’ Management system in Hungary, managed respectively by OKO-GUM Ltd and HUREC Ltd.


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Source: Hurec Ltd

Figure 65: ELTs’ management of HUREC Ltd (Hungary)


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Source: Oko-Gum Ltd

Figure 66: ELTs’ management of OKO–GUM Ltd (Hungary)


OKO-GUM KHT: OKO-GUM Ltd (http://www.okogum.hu) is a non-profit company created in 2003 (authorization N°88/2003). Its founding members are almost all the motor vehicles importers in the Hungarian market: Ford, Renault, Opel, Suzuki, Honda, Mazda, Porsche Hungarian, Citroen and others; and also many large producers and importers of tyres, such as: Continental, Marso, Matador, SnowFox, are involved.

The company was registered at the National Inspectorate for Environment, Nature and Water in 2003. In its authorization N°14/04714-6/2007 the authority fully exempted OKO-GUM from the environmental tax in the whole country. OKO – GUM is member of ETRMA.

KORKOOR KHT: Korkoor Ltd (http://www.korkoor.hu) is a no profit company registered at the National Inspectorate for Environment, Nature and Water in 2004 (authorization N°234/2004).


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Partners of the company are many importers of tyres and motor vehicles. The company is now fully exempted from the payment of tax: authorization N° 14/05220-5/2009.

HUREC KHT: HUREC Ltd (http://www.hurec.hu) is a non-profit company founded in 2005 by the subsidiaries of the top tyre manufacturers in the Hungarian market: Bridgestone, Goodyear-Dunlop, Michelin, Pirelli, Vredesteinblish, and by some tyres importers. Also many motor vehicles importers have joined the company or they intend to join it in the future.

The company started its activity in 2006 and now is fairly efficient in carrying out its responsibility for the benefit of its clients (manufacturers, tyres importers, car dealers). It actively provides support to the government for further legal improvements.

HUREC was registered by the National Inspectorate for Environment, Nature and Water in 2006. In its authorisation (N° 14/05044-4/2007), the authority fully exempted the company from the environmental tax in the whole country.



In the Hungarian market between 40 000 and 50 000 tonnes per year are generated each year. According the ETRMA, the steering bodies and other professional sources on internet all the used tyres generated are collected and destined to a legal application.

In Hungary OKO– GUM Ltd is the leader company in the Hungarian industry of tyres recycling. It is responsible of 65% of the whole new tyres introduced in the market and so for the same amount of used tyres (Figure 67).

Source: Oko-Gum Ltd

Figure 67: Total recovery rate and OKO-GUM Ltd performance (Hungary)


Both OKO – GUM Ltd and KORKOOR Ltd are involved in the recovery of existing stockpiles, through their own resources.

The former one has performed a survey to determine the presence of stockpiles of old tyres in the country; it collaborates with the company that is in charge of the service for the refuse collection and street cleaning (FKFV ZRt).


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A survey made by OKO-GUM in 2006 estimated that 86.000 tons of used tyres are abandoned in illegal landfills. The estimation of the Ministry of Environment (KVM) counted an amount of 200.000 tons of used tyres lying in the country.

The illegal dumping is also created by the illegally importation of used tyres from other countries.


The legislation established that up to 50% of ELT tyres could be applied to energy recovery and the other half have to be destined to material recovery or other applications. So far the energy recovery is the favorite application in Hungary because the costs for material recovery are high and this affects the final price of the products produced with recycled rubber. Moreover the applications of used tyres for material and other destinations are strictly checked by the authorities.

At the moment the market for recycled products and other application is underdeveloped; both OKO–GUM and HUREC are committed to create new opportunities and promoting those applications.

OKO-GUM destined the majority of the ELT to energy recovery. The process typically takes place in cement kilns under strict control. The company Duna-Drava Cement Kft performs mainly this application, draining approximately 15.000 tons/year of ELT of the collected tyres by OKO-GUM.

Other marginal applications carried out are: the civil engineering (foundations and other substructures, using shred tyres of 100-300 mm) and finally material recovery.

HUREC policy is open to all applications; the company evaluates each solution considering only the cost effectiveness criteria.

A small share of collected tyres are also exported, whole or shred, to other countries for re-use or recovery.

Figure 68 presents the percentage for each application of used tyres.

0% 8%

23%

65% 4%

Retreading

Reuse/Export

Energy recovery

Material recovery and otherdestinations (e.g. civilengeneering)

Temporary Storage Source: http://www.sze.hu/~horvbal/TR_gumi.pdf

Figure 68: Final Applications of used tyres in Hungary


The whole capacity of the Hungarian used tyres management system is estimated as 60.000-70.000 tons.


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This information is not available.


No specific guarantees and certification can be accounted at the moment. For the particular contractual scheme, one of the Steering bodies need to be directly contacted.


The government aims to improve the “Product Responsibility” regime that is already operative, in order to increase the rate of recovery of used tyres and reduce the illegal dumping. There are no other evolutions expected in the near future.




According to data from the European Commission (Table 64) Hungary's public investment in transport is increased notably over the period 2004-2006.

Table 64: Investment in transport infrastructure by source of funding (2000-2006) in Hungary

Source: EC - Strategic Evaluation on Transport Investment Priorities under Structural and Cohesion Funds

for the Programming Period 2007-2013 (October 2006)

Figure 69 shows clearly that the main destinations of public funds between 2004 and 2006 were the road network and then the rail network, also in order to reach a minimum standard level determined by the European Union.


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Source: European Environment Agency (http://www.eea.europa.eu/)

Figure 69: InfrastructureInvestment by mode (2008) in Hungary

PPPs are explicitly mentioned in the Community Strategic Guidelines as a possible appropriate method of financing investment when there is significant scope for involving the private sector. Apart from the financial leverage positive impacts are expected on implementation and management of projects.

Experience with private involvement in transport infrastructure in the form of PPPs has been limited until now.


For the World Economic Forum, Hungary occupies the 49th position in the world ranking for the quality of overall infrastructure; the 63rd for the quality of roads and the 43rd for the quality of railroads infrastructures.

The regional disparities in Hungary can be viewed from two aspects: Budapest compared to other regions (i.e. rest of the country) and western part against the eastern part of the country.

Table 66 present respectively the development of the Hungarian road (Figure 70) and rail networks between 2001 and 2007 (Source: Eurostat).

According to the Hungarian Government's Investment and Trade Development Agency (ITD Hungary Zrt), in 2009, the railway network measured 8.057 km (2.628 km electrified) and the road network was 160.680 km long:, including the 785 km of motorway.

Table 65: Lenghts of the road network (km/year) (2001-2007) in Hungary

Source: Eurostat


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Table 66: Lenghts of the rail network (km)_year (2001-2007) in Hungary

Source: Eurostat

Source: Hungarian Government's Investment and Trade Development Agency

Figure 70: The road network in Hungary

The road network of Hungary is quite well developed but needs modernisations. The density of the road network of highways, main and national roads is 323 km/1.000 km2, which is more than 3 times the EU-25 average (91 km/1.000 km2). Despite the strong expansion of the motorway in the past decade, the motorway network in Hungary is still relatively underdeveloped. The density in Hungary is well below the EU-25 average.

The 7.800 km long railway network, which used to have a dominant share in transport in the past, also has a radial structure with Budapest as its centre. The network density is significantly higher than the EU-25 average. The quality of the rail network is poor; on average the network is not in a good maintenance state. The network has a speed limit on nearly 40% of the lines due to the track condition, representing nearly 3.500 km of tracks.

The common 100 km/h speed is allowed only on main lines. Correction of this situation is not sufficient, though, to strengthen the position of the railways. Changes in marketing and operations of the lines will also be needed to make the railways more competitive with respect to the road sector.

Table 67 shows the National and international Freight Transport (thousand of tons), year (2003-2009) in Hungary.


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For Eurostat (

Table 68) and DG Tren (European Commission), the ratio tonnes/km for road transport is increased steadily and notably from 2003 to 2008; also the rail transport ratio is increased but less and discontinuously during the same period.

Table 67: National and international freight transport (Thousand of tons/year) (2003-2009) in Hungary

Source: Eurostat

Table 68: National and international freight transport (2003-2009) in Hungary

Source: Eurostat

Transport volumes are rising for each mode of transport; but the positive trend is not well supported by an adequate road and rail networks.

Road is so far the principal mode for freight transportation (Figure 71).The country is characterized by a low level of intermodality; however the Hungarian policy is involved in promoting the diversification, boosting inlands transports and revitalising rail transport, which suffers a slightly fall in the past few years.

Source: Eurostat

Figure 71: Freight transport by mode (2007) in Hungary

For Eurostat (Table 35) and DG tren (Europe Commission), the ratio passenger passenger/km both for road transport and rail transport remained stable or slightly is decreased from 2003 to 2009.

Table 69: Passenger Transport (million passenger/km) _year (2003-2009) in Hungary


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Hungary has three major geographic regions (which are subdivided to seven smaller ones): the Great Alföld, lying east of the Danube River; the Transdanubia, a hilly region lying west of the Danube and extending to the Austrian foothills of the Alps; and the Northern Hills, which is a mountainous and hilly country beyond the northern boundary of the Great Hungarian Plain.

Slightly more than one half of Hungary's landscape consists of flat to rolling plains of the Pannonian Basin: the most important plain regions include the Little Hungarian Plain in the west, and the Great Hungarian Plain in the southeast.

Most of the country has an elevation of fewer than 200 meters above the sea level. The highest point in the country is Kékes (1,014 m) in the Mátra Mountains northeast of Budapest. The lowest point is 77.6 meters, located in the south of Hungary, near Szeged.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, inefficient Government Bureaucracy is the sixth most problematic factor for doing business in Hungary and corruption is the forth one.

In Hungary the PP directives are transposed by ACT CXXIX of 2003 on Public Procurement.

The Ministry of National Development is responsible for the legislation related to the public procurement and Public Procurement Council is responsible for the public procurement policy.

Also the Central Service Directorate General is involved in the managing of the central public procurement policy; the proper use of aids are, instead, assessed by the National Development Agency.

Although each CA is responsible for its own procurements, local governments are entitled to use central purchasing in their territory.

Finally the State Audit Office and the Government Audit Office function as supervision bodies. Criteria of evaluation for choose an offerings are: first the level of price and the cost – effectiveness. No information is available about restrictions of some sort in order to participate to a tender.


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3.20 Bulgaria



� Legislation regarding Land filling: o Waste Management Act (WMA), 86/30.09.2003, amended SG N. 08.08.2008:

1. Art. 12, paragraph. A of the Waste Management Act on the ban of dumping on landfill, that enter into force since 2004.

� Legislation regarding End of life tyres management

o Waste Management Act (WMA), 86/30.09.2003, amended SG N. 08.08.2008: 2. Art. 11 part 1, on the responsibility of subjects that introduce tyres in the

market (manufacturers, importers and others subjects); 3. Art. 36, on the tax fee to pay by the responsible subjects; 4. Regarding the recovery of used tires: Art. 64, part 1 in conjunction with

Art. 62, part. 1 – authorization to operate in the field of tyres recovery and conditions to operate;

o Decree N. 120, 2008 on the conditions and criteria of calculation for the fee due to the government by the responsible subjects for the recovery of used products;

o Regulation on the treatment of used tires (NITIUG), 4th August 2010 and Decree N.183, 20th August 2010 on the treatment of used tyres (“Producer responsibility”).


3.20.1.2.1 Model

Since 1st January 2011, according the new Regulation on The Treatment of Used Tires (NITIUG), the responsible subjects (manufacturers and importers) can choose to pay the pre-existent state product-fee introduced in the WMA art. 36 or to finance a private recovery system, according the new established the regime of “Producer Responsibility”.

In the case of the state product-fee, the responsible subjects have to account the amount of tyres introduced in the Bulgarian market and then monthly pay a state product fee to the Environmental Protection Fund (within the Ministry of Environment and Water) for the recovery. The legislation (Decree n.120, 2008) set the conditions and the criteria of calculation for this payment. The fund obtained finances the separate collection, recovery and/or disposal of used tyres (WMA).

In the case of the auto-financed system, for the article 9 of this Regulation the liable persons (identified in Article 8) have to meet at least a recovery rate of 65% of the whole amount of used tyres placed on Bulgarian market either individually (1) or as members of a collective system (IUG) that takes over their responsibilities before the law (2) and that have to be authorised to operate by the Ministry of the Environment and Water.

For manufacturers and importers, the auto-financed system is economically more convenient than the payment of a state product-fee; the practice demonstrate that this system is also more effective for the management of used tyres. The actual legislation is promoting the transition to the “producer responsibility” regime, using the state product-fee as an incentive for the auto-financed system.


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Regulation on The Treatment of used Tyres is applied for types of tyres on the market including also the ones coming from End-of-life Vehicles, passenger station wagons and racing cars, buses or trucks, aircraft, motorcycles, construction and industrial vehicles; agricultural and forestry vehicles.


The responsibilities are set for each subject involved in the supply chain of the recycling but the system is not yet fully effective in the practice nor integrated, since the legislation is very recent. Moreover the final destinations market for the used tyres is now still limited and under developed.

The implementation of schemes for the separate collection of used tyres (and for many others types of waste) has been organized by the government on the basis of the “producer responsibility” principle: the producers and importers of goods that after use generate wide spread waste shall cover the costs for its recovery.

The responsible subjects can choose to pay the states for the recovery or auto-finance their own recovery system, individually or through a collective system.

ECOGUMI Ltd manages a collective system for the recovery of used tyres in Bulgaria, operating directly or through partners.

After colletion, ECOGUMI Ltd separated the re-usable/re-treadable tyres from ELTs. The former share is destined to its partners that retread tyres or sell second hand tyres. The latter part is headed either to the processsing facility managed directly by ECOGUMI Ltd for material recovery (e.g. grinding), or to the plants of other partners mainly for energy recovery.

Processing facilities involved in the collective system managed by ECOGUMI Ltd (Table 70):

Table 70: Processing facilities/end users of ECOGUMI Ltd (Bulgaria)

Company Activity

1 Consortium ECOGUMI (Консорциум “Гуми –еко”_ с.Габер общ. Драгоман)

Processing facility for material recovery (e.g. manufacturing new products)

2 “ZLATNA PANEGA CEMENT” Ltd (“Златна Панега Цимент”АД) Cement company – energy recovery

3 “BKS - VITOSCHA AD” (БКС - Витоша АД)

The company is involved in light construction work (e.g. Asphalt)

4 “ENERGY TRADE" Ltd. (Енерджи Трейд 2009 ООД)

The company is involved in in gas appliances, steam boilers, pressure vessels, steam and hot water piping as well as for supervision training of personnel on the items above.


The following are the major players in the Bulgarian market of tyres recycling:

Environmental Protection Fund (ПУДООС): it is a division of the Ministry of Environment and Water (MOEW). It is a no-profit organisations created by the Law on Environmental Protection, Article 60 paragraph 1 (2002), in order to implement the activity of the the Ministry of Enviroment and Water, managing a part of its founding.

ECOGUMI Ltd (ЕКОГУМИ): ECOGUMI Ltd was created in 2010 by the joint effort of the Association of tyres manufacturers, importers, traders and vulcanizers and the company: "2 P AIR LTD”. The company is authorization to operate by the Ministry of Environment and Water (authorization: № ООp -72 - 00/21.12.2010г).


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So far the founding member of this organization are: Fulda Bulgaria Trading Ltd (Фулда България Трейдинг ЕООД), Inter-Style Ltd (Интер-стил ЕООД), K.A.M.P Consult AD (К.А.М.П Консулт АД), MD Engineering Ltd (МД Инжинеринг ООД), Diyoma Ltd (Дийома ЕООД), Dalkia Motors Ltd (Далко Моторс ООД); 2 Pi Air Ltd (2 Пи Ер ООД) and other companies are involved at the moment.

The main objective of the company is to build and manage a long-term national system for collection and recycling of used tires (IUG) in the territory of Bulgaria.

It represents the interests of all its members: Bulgarian tyres manufacturers, retailers, traders and vulcanisers, regarding the obligations set by the law, in particular, the Waste Management Act (WMA).

The company does not distribute profits to its shareholders nor it creates privileges for its founders and it treats all members equally, in accordance with Article 62, paragraph 6 of the WMA.

It ensures the recovery targets set out in ”Regulation on the Treatment of Used Tires” (NITIUG) in compliance with all legal requirements (http://www.ecogumi.bg/, only in Bulgarian).

NORD AUTORECYCLING Ltd (НОРД АВТОРЕЦИКЛИНГ): Nordautorecycling (authorization № ООp -70 - 00/17.11.2010г) is involved in the recovery of end of life vehicles. The company manages the whole system from the collection to the recovery. It directly collects and sorts the materials in its own facilities; then for further recycling / rendering safe the recyclable waste is placed on the domestic or international market through agreements with specialized enterprises (in accordance with the legislation) (http://www.nordautorecycling.com/, available also in English).

Other subjects authorized by Ministry to operate are: ECOMEDIANA Ltd (ЕКОМЕДИАНА) – № ООp -73 - 00/14.12.2010г and ГУМИРЕК – № ООp -74 - 00/25.01.2011г . (No further information available).



Each year approximately 2 million tyres are placed in the Bulgarian market and about 40,000 tons of used tyres are generated, according to data from the Bulgarian Ministry of Enviroment and water. (http://www.government.bg/cgi-bin/e-cms/vis/vis.pl?s=001&p=0228&n=1264&g).

Data about the recovery rate of used tyres produced in Bulgaria are not available due to the underdeveloped system of recovery (from the collection to the final destionation). According the legislation, the minimum rate of recovery of an auto-finance system (e.g ECOGUMI Ltd) in order to avoid to pay the state product fee is 65%.


In the country the under developed collection system and market for the final application have generated many illegal landfill and temporary recovery. Moreover there are also previous stockpiles. Figures regarding the landfill situations are not available at the moment.


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The final destinations, practiced so far in Bulgaria, are: the material recovery for the manufactures of new products, the light construction works and the energy recovery (mainly in cement kilns). Figures regarding the applications of ELTs are not available at the moment.


According to ECOGUMI Ltd, manufacturers and importers save 50% of the overall costs if they choose to auto finance recovery system, instead of paying a state product-fee.

The responsible companies that sign an agreement with ECOGUMI Ltd, are charged of a membership-fee half the amount of the state product fee.

Both types of fees consider the amount of tyres introduced in the market; this have to be reported monthly by the companies, either to ECOGUMI Ltd or to the Environmental Protection Fund.

After each monthly payment, ECOGUMI Ltd releases a certificate to its members that proved they are exempted to pay the state product –fee.

If members fail to comply with the agreed terms and conditions (e.g. to send monthly reports and payment), they, instead, pay a monthly membership fee amounting to 55% of the state product fee.

Table 71 shows a comparison between the state product fee and the membership fees of ECOGUMI Ltd:

Table 71: Comparison between state product fee and memership fee to ECOGUMI Ltd (Romania)

Tyres introduced in Bulgaria State product fee

Decree N.183 (A. 6 p. 69) for 2011

Membership fee to ECOGUMI

for 2011

Membership fee to ECOGUMI

for 2011 + 5 % of Surcharge

Types Fee - euro/kg New 0.30 0.15 0.165 Retreaded 0.40 0.20 0.22 Weighing up to 20 kg Second hand 4.00 2.00 2.20 New 0.20 0.10 0.11 Retreaded 0.30 0.15 0.165 Weighing over 20 kg Second hand 2.00 1.00 1.10

Source: ECOGUMI Ltd

Before the promulgation of the Regulation on the Treatment of Used Tires in 2010, the Environmental Protection Fund finances ECOGUMI Ltd (then Consortium GUMI-ECO) for starting two processing lines of used tyres in 2003. Those facilities have a total capacity of 4 tons per hour and are located in the city of Gaber (Municipality of Dragoman). They are the only plants for the shredding of used tyres in Bulgaria.

The recycled material is used for the manufacture of finished products (e.g. insulation materials).

Table 72 shows the capacity of some of the processing facilities located in Bulgaria:

Table 72: Capacity of some of the processing facilities located in Bulgaria

Company Technology used for recovery Capacity

1 Consortium ECOGUMI (Консорциум “Гуми –еко”_ с.Габер общ. Драгоман) Material recovery 4 tones/hour

2 “ECOBAZA” Ltd (“Екопроцес”АД) Pirolysis 25 tones/hour


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3 “ZLATNA PANEGA CEMENT” Ltd (“Златна Панега Цимент”АД) Variable

4 “HOLCIM BULGARIA” Ltd (“Холсим България”АД)

Variable

5 “DEVNYA CEMENT” Ltd (“Девня цимент”АД)

Energy recovery

Variable

Source: WMA (http://www.moew.government.bg/recent_doc/waste/NWMP_2009-2013_FINAL.doc )


No information regarding costs for end users is available. It needs to contact directly ECOGUMI Ltd or another recovery subjects operating in the market of Bulgaria.


No information regarding contractual scheme with end users are available. It needs to contact directly ECOGUMI Ltd or another recovery subjects operating in the market of Bulgaria.


No evaluation in short term is expected in Bulgaria, besides of the practical enhancement of the existing system (from the collection to the final market) that is still underdeveloped, in spite of the legislation.




Table 73 presents the financial coverage, regarding the last Operational Programme (OP) for Transport in Bulgaria (2007-2013) approved on 7th November 2007. Considering only the Bulgarian Public Fundiing the major investment has been destined to the Road networks (Figure 72). The programme covers the main priorities concerning the transport infrastructure in Bulgaria.

Table 73: Investment in transport infrastructure by source of funding (2007) in Bulgaria

Source: European Commision (Info regio)


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31%

52%

8%6% 3% Railway infrastructure (TEN

& national)

Road infrastructure (TEN &national)

Inter-modal transport

Maritime & inland-waterwaynavigation

Technical assistance

Source: European Commision (Info regio)

Figure 72: Infrastructure Investment by mode (2007) in Bulgaria

Experience with private involvement in transport infrastructure in the form of PPPs is starting, but still limited until now. However, based on the experience in other countries logical sector for a more intense private sector involvement are: ports, airports and logistics centres.


According to the World Economic Forum, Bulgaria occupies the 120th position in the world ranking for the quality of overall infrastructure; the 135th for the quality of roads and the 54h for the quality of railroads infrastructures.

Table 74 and Table 75 present respectively the development of the Bulgarian road and rail networks between 2001 and 2007.

Table 74: Lenght of the road network (Km)_year (2001-2007) in Bulgaria

Source: Eurostat

Table 75: Lenght of the rail network (km)_year (2001-2007) in Bulgaria

Source: Eurostat

The density of the national road network is 0.17 km /km2, which is higher than the EU average (0.09 km/km2); the density of the motorway network is far below EU25 average, though.

The technical and operational condition of the national road network is poor, due to the chronic insufficiency of maintenance funds. Around one third of the network is in good condition, 30% is of average quality and 37% in poor condition. The length of good condition roads has reduced drastically in recent years. A considerable part of the national roads has not been repaired for more


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than 15-20 years. Over 12,000 km of roads need reconstruction, major or periodic repair (situation end 2003).

Main weaknesses of the road network are the insufficient number of bypasses/ring roads, which could shift traffic away from populated arras and settlement, and the bearing capacity of the road pavement which is mostly less than 11.5 tons per axle along the main international transport corridors.

Although the railway density is relatively high, the operational and technical condition of the railway infrastructure is poor. Considerable parts of the railway lines have been constructed more than 50 years ago. The average speed of the passenger trains along the main network was some 80 km /h and that of freight trains 70 km/h. The Bulgarian railway network is insufficiently connected with railway networks of neighboring countries like Turkey, Greece, Serbia & Montenegro, Romania. There is no railway link with Macedonia.

Table 76 shows the National and international Freight Transport (Thousand of tonnes), year (2006-2009) in Bulgaria.

For Eurostat (Table 77) and DG tren (Europe Commission), the ratio tonnes/km for road transport is increased slightly but steadily from 2003 to 2009; the rail transport, instead, remained stable or decreased during the same period.

Table 76: National and international Freight Transport (Thousand of tonnes)_year (2006-2009) in Bulgaria

Source: Eurostat

Table 77: National and international Freight Transport_year (2006-2009) in Bulgaria

Source: Eurostat

Road is now the principal mode for freight transportation (Figure 73).The country is characterized by a low ntermodality. The share of inland waterways is low, but Bulgaria is trying to make more use of the Danube network and the rail transportation is less importance comparing with the past.


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67,8%

6,1%

7,9%

10,1%8,1% Road Transport

Railways Transport

Waterways Transport

S ea Transport

Air Transport

Source: Eurostat

Figure 73: Freight transport by mode (2009) in Bulgaria

For Eurostat and DG tren (Europe Commission), the ratio passenger passenger/km for road transport is increased steadily and notably from 2003 and 2009; in the case of rail diminished considerably during the same period.

The data available indicate a growing share of road transport in passenger and freight movements, while both passenger and freight transport by rail is decreased significantly in the recent years.

However this trend has not been supported by relevant enlargement of the road networks that remained under developed.


Bulgaria comprises portions of the separate regions known as Moesia, Thrace, and Macedonia. More than two-thirds of the country is plains, plateaus, or hilly land at an altitude less than 600 m. Plains (below 200 m) make up 31% of the land, plateaus and hills (200 to 600 m) 41%, low mountains (600 to 1,000 m) 10%, medium-sized mountains (1,000 to 1,500 m) 10%, and high mountains (over 1,500 m) 3%. The average altitude in Bulgaria is 470 m.

Hilly countryside and plains characterize the southeast of the country along the Black Sea coast and the north along the Bulgaria's main river, the Danube.

Source: Countryreports


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Figure 74: Density of population in Bulgaria

The Two alpine ranges, Rila and Pirinand, and the lower but more extensive Rhodope Mountains occupy the east and the south east of the territory. The Balkan mountain chain runs west-east through the middle of the country, north of the Rose Valley; the Rila range includes the highest peak of the Balkan Peninsula, Musala, at 2,925 meters. Strandzha forms the tallest mountain in the southeast. Few mountains exist also in the northeast region of Dobrudzha.

Bulgaria counts a population of 7.5 million inhabitants; Figure 74 shows the density of population in the teritory (68 inh/km2). Since 1999, Bulgaria is divided in twenty-eight provinces. The largest cities are: Sofia (1,404,929), Plovdiv (380,130) and Varna (364,968).


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the third most problematic factor for doing business in Bulgaria and Corruption is the first.

In Bulgaria Public Procurement legal matters are regulated by the Public Procurement Act/PPA, promulgated SG N. 28/2004, amended in 2006 and 2009 and fully harmonized with the requirements of the European Union.

The state policy on Public Procurement is implemented by the Minister of Economy, Energy and Tourism. The Public Procurement Agency is an independent legal entity which supports the Minister with policy implementation in that area. The Public Financial Inspection Agency (PFIA) and the Bulgarian National Audit Office are controlling authorities regarding the adherence to public procurement legislation.

In general the overall activity of the Agency is intended to assure compliance with all the crucial principles of public procurement, including: optimizing public spending, promoting public openness and transparency, fostering competition, reducing administrative burdens, preventing irregularities.

The legality of any decision, activity or inactivity on the part of a contracting party in the course of public procurement procedures until contract conclusion is subject to an appeal with the Commission on the Protection of Competition. Its decision may be appealed with a three member committee of the Superior administrative Court.

No information is available about restrictions of any sort in order to participate.


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3.21 Romania



� Legislation regarding Land filling: o O.U.G. no. 78/2000 on waste regime approved by Law 426/2001, modified and

supplemented by Ordinance no. 61/2006. o Order of the Minister of Industry and Resources and the Minister of Public

Administration of Nr.265/503/2001 for the approval of the norms and procedures for the granting, renewal, suspension or cancellation of permit to collect and industrial waste for the recycling by individuals

o O.U.G. no.16/2001 waste management, approved by Law 465/2001. o H.G. 856/2002 on approving the list of records of waste management including

waste, including hazardous waste. o Nr.2/211/118/2004 Order of the Minister of Agriculture, Water and

Environment Minister of Transport, Constructions and Tourism and the Minister of Economy and Commerce for approval of the regulatory procedure and control of transport of waste in Romania.

o H.G. 228/2004 on the control of hazardous waste in the country placing in the importation and transit of inward, filled with GD 514/2005.

o O.U.G 195/2005 on environmental protection. o H.G. 349/2005 on waste disposal and O.U.G. No 95/2005 for the approval of

waste acceptance criteria and national lists of waste accepted in each landfill. O:U:G: No. 757/2004 for the approval of Technical norms regarding waste landfilling.

o H.G. 268/2005 amending and supplementing H.G. 128/2002 on waste incineration.

o Order of the Minister of Environment and Water Nr.549/2006 for approval of the form "Statement on the Environment Fund obligations" and instructions for completing and submitting it.

o Nr.578/2006 Order of the Minister of Environment and Water Management Methodology for calculation of contributions and fees payable to the Environment Fund.

o H.G. 895/2006 for the implementation of Romania's EU accession date of Council Regulation No 259/93 on the supervision and control of shipments of waste within, into and from the European Community, adopted on 1 February 1993.

o H.G. Nr.1061/10 September 2008 on hazardous waste and hazardous transport in Romania.

o Law 167/2010 - regarding the approval O.U.G. nr.15/2010 to amend Article 13 (2) of Ordinance nr.196/2005 Environmental Fund.

� Legislation regarding End of life tyres management o Government Decision No. 2406/2004 on ELVs Management. o H.G. 170/2004 - Waste tire management and implementing rules of Government o Government Decision No. 1470/2004 approving the National Strategy for Waste

Management (RNSWM) and National Plan for Waste Management.


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3.21.1.2.1 Model

The ban of discharging used tyres in landfills was established in 2001 (465/2001) and implemented in 2005 (349/2005).

In 2004, with H.G. 170/2004, the government introduced the regime of “Producer Responsibility” for the management of used tyres. According to the legislation, importers and manufacturers of tyres are obliged to dispose of the used tyres environmentally, in an autonomous way or jointly through the foundation of one or more steering companies, which have to be previously authorized to operate.

The legislation has set all the responsibilities and the duties, provided a regulation for the implementation and appointed an institutional body for the control. At the moment the system of monitoring is not well implemented in the practice.

So, besides to the only one authorized steering body existing in Romania, many unauthorized and unknown small subjects operate in the market.

Also many generation points often refuse to collaborate giving back the used tyres to the authorized collectors since they expect some sort of reward for the collection.

Some processing companies take ELTs for the recovery in order to receive the contribution and then abandon them in illegal landfill.

Finally, due to the lack of an effective control, it is not possible to determine the real amount of tyres introduced in Romania and the percentage of recovery; the statistics consider only the part handled by the authorized steering body.

Moreover, often the consciousness is not enough developed yet to make the customers bring their used tyres to the point of sales when they buy new ones. This is caused also by the little information regarding the system of used tyres recycling.


These are the subjects that take part in the supply chain of ELT recycling.

� Manufacturers and importers of tyres

According the legislation manufacturers and importers have to retrieve and process at least 80% of the overall tyres introduced in the market; they have to notify the steering body the minimum amount they have to be collected each year. Then, from this general objective, ECO ANVELOPE Ltd calculates the monthly goals and the goals of each partner.

If the collecting rates, set yearly, are not achieved by ECO ANVELOPE Ltd, importers and manufacturers have to pay a penalty to the AFM (Administrative fund for the Environment), which is three times higher than the costs of the services provided by the steering body.

For a car tire, which can be between 6 and 13 kg, this contribution can increase to 6 to 13 lei, compared to 2.4 lei / tire, in the case of the membership fee, that is 1.000 euro tonnes.

� Point of productions (garages, service areas, retailers, wholesalers)

For the collection of used tyres, the point of sales have to address straight to an authorised collecting company; also they have to fill in an order note and a delivery note for the retrieving.


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ECO – ANVELOPE LTD assigns other companies the task of retrieving the used tyres from the point of generations of used tyres (e.g. garage, service). When it chooses the collecting partners, ECO – ANVELOPE Ltd evaluates the fulfilment of defined criteria of management and operation in accordance with the legislation.

At the moment three companies are authorised for the collection: Ceta Srl.; Traian Company Srl., Ecopneu Grup Srl located in Bucharest; each collecting company covers different districts within the Rumanian territory (Figure 75).

Source: ECO - ANVELOPE Ltd

Figure 75: Collection network of Eco – Anvelope Ltd (Romania)

The tyres collected are brought to an authorized Sorting Platform, where the re-usable tyres (AUR) are separated from the ELTs (AUNR) and each groups are headed through its final destinations.

In Romania, there are 11 authorized sorting platforms sited in: Arad, Bacau, Bucharest, Constanta, Craiova, Cluj-Napoca, Galati, Satu-Mare, Suceava, TG JIU and Timisoara.

They are distant not more than 230 km from the processing facilities in order to enhance the cost effectiveness of the stream.

� Processing facilities/end users

ECO-ANVELOPE Ltd signs contracts with companies that apply the recycling materials in accordance with economic and technical requirements, specific for each destination. The purchasing of used tyres is a cost for those subjects.

At the moment the partners for the energy recovery are:

- Lafarge Ltd located in Hoghiz (BRASOV) and Medgidia (CONSTANTA); and

- Carpacement Ltd located in Deva (HUNEDOARA), Fieni (DAMBOVITA) and Bicaz (NEAMT);

and for the material recovery the Eco Anvelope partners is

- Artego.

Figure 76 presents the management system of ECO-ANVELOPE (Romania)


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1: Used tyres are generated in the point of sale: garages, dealers etc.; 2: Approved collectors retrieve the used tyres and bring them to the sorting platform; 3: There, re-usable tyres are separated from ELTs. After the sorted material is headed to its final destination; 4: The material recovery is one possible application: the recycled rubber is used to manufacture new products; 5: Another application is the energy recovery.

Source: ECO - ANVELOPE Ltd

Figure 76: ELTs’ management of Eco –Anvelope (Romania)


ECO-ANVELOPE S:A.: ECO-ANVELOPE Ltd was founded in 2004 by S.C: Continental Automotive products S.R.L., S.C. Goodyear Dunlop Tires Romania S.R.L, S.C: Michelin Romania S.A., S.C. Pneurom S.A., S.C. Tofan Grup S.A. http://www.ecoanvelope.ro/ (Only in Romanian).

In Romania the waste management are regulated and managed by:

The Ministry of Environment and Water Management that realize environmental permits, directly through the National Environmental Agency (NEPA), the Regional Environmental Protection Agencies (REPA: control the permits for the investments and activities there are under the IPPC Directive) and the local environmental Agencies.

Other subjects involved are:

- The Ministry of Economy and Trade for the revaluation of permits.

- National Authority for Public Services for the licensing;

- National Environmental Guard (NEG) for the enforcement;

- Local authorities for the work permit in order to operate.

NEPA (National environment protection agency) is involved in the setting up and administration of the ELV's database as well as for following up on the establishment of the collective network of the producers.


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3.21.1.3 End-of-life tyres manaitigement: recovery options and related flows


Table 78 presents the statistics of collection and recovery of used tyres for 2007 and 2008. In 2008 the recycled amount is increased of 10.000 tonnes.

Table 78: Statistics of collection and recovery in Romania (2007-2008)

Tyres 2007 2008 Collected (Tons) 55.000 53.694 Recycled (Tons) 9.500 19.570

Source: ECO-ANVELOPE Ltd

Due to the crisis that affected the sales of tyres in Romanian market, the amount of collected tyres in 2009 was slightly smaller in comparison to the amount in 2008.


The amount of used tyres abandoned in illegal landfill is unknown but it is supposed that the amount is quite large due to the lack of control on the recycling system by the public authorities.


According to data from ECO-ANVELOPE Ltd, 70 % used tyres recycled are applied in energy recovery and the 30% are destined to re-use/retreading or material recovery (Figure 77).

In Romania there is not an established policy concerning the final destinations of the recovery materials and the market is still under-developed.

Source: ECO - ANVELOPE Ltd (website: presa)

Figure 77: Applications of the used tyres in Romania

ECO-ANVELOPE Ltd is involved in creating favorable legislative and practical conditions in order to boost new different applications of the recycled material (considering also the civil engineering).

The company is less interested in sustaining the re-use and retreading applications. In fact often the collected tyres are not re-usable or suitable for retreading because the tyres have already been retreaded/reuse many times by the dealer itself, who offers this service together with the selling. The Re-use/re-treading tyres (the retreading are applied mainly for the tyres of trunks).


p. 210 of 247


ECO-ANVELOPE Ltd (website: presa) estimates the processing system, which starts with the retrieving in the point of generation of used tyres and ends with their final recovering, costs about 80 euro/tonnes (340 leu) and 0.50-0.70 euro per tyre (2/3 leu).

This expense are financed by the members of ECO –ANVELOPE Ltd through a membership fee; the steering body pays the invoice received from the partners (collecting company and final users/processing companies).

Importers and manufacturers shift the costs all along the supply chain, finally weighting on the tyres customers, who pay a charge when they purchase new tyres.

For the future ECO-ANVELOPE Ltd hopes that the management of used tyres could finance itself; in that case the membership fee could be eliminated.

In order to reduce the charges, ECO –ANVELOPE Ltd is involved in enhancing the effectiveness of recovery system. The company chooses its partners and organizes the collection and processing considering the criteria of proximity for lowering the costs of transport.

Used tire recovery capacity of each processing facilities is about 20.000 tons per year, which means that each year over 100.000 tons of used tires can be burnt. The market, however, introduced about 50.000 tons of tyres.

It seems that the amount of collected tyres will not increase in the future and this could affect the effectiveness of the system in terms of costs and the flux of used tyres available during the year.


No information regarding costs for end users is available. It needs to contact directly ECO-ANVELOPE Ltd.


No information regarding contractual scheme with end users is available. It needs to contact directly ECO-ANVELOPE Ltd.






Romanian authorities will launch EU-funded projects worth EUR 5.57 billion in 2011, announced on Sunday Transport Minister Anca Boagiu. This will include the construction of 289 kilometers of highway and modernizing 166 kilometers of railway.

The Government is going to apply EUR5.5 billion from the Transport Operating Program and 72 percent of the ministry's budget for next year, namely RON 8.3 billion, to co-finance these projects.


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The highway sections to be auctioned by the end of 2011 are Nadlac-Arad (38.8 km, EUR 234 million), Orastie-Sibiu (82 km, EUR693 million), Deva-Orastie (32.8 km, EUR 355 million), Timisoara-Lugoj (35.6 km, EUR 217 million), to be completed in 2013, and Lugoj-Deva (99.5 km, EUR 1.02 billion) to be completed in 2015.

The ministry also has plans to upgrade 943 kilometers of national roads for EUR 848.45 million, using a loan form the European Investment Bank. Projects for next year also include modernizing166.3 kilometers of rail, for a total EUR1.88 billion and 21 trains stations for EUR227 million.

Romania has to implement infrastructure projects as soon as possible in order to absorb EU funds estimated at EUR 5.7 Billion by 2013 against the state budget funds estimated at EUR 1 Billion. By the end of 2010, Romania should submit to approval projects worth EUR 2 Billion. Currently, approved projects are totalling EUR 1 Billion. Moreover, for the time frame 2014-2020, the Romanian Ministry of Transport is expecting a EU financing that would at least equal that of the 2007-2013 programme.

The railway infrastructure development projects in Romania require investments that exceed EUR 7 Billion. Over the next period, the infrastructure manager plans to attract EUR 2.7 Billion for infrastructure projects and for 2011, the Transport Ministry announced that the money necessary to finalize the modernization of Corridor 4 will be allocated.

Currently, the legal framework for PPP’s in Romania is not likely to allow for private sector participation. The status and content of the law for completing and amending the Government Decision no 16/2002 regarding PPP contracts needs to be studied. There is already a law on concession regimes (219/1998), however to what extend this allows for private sector participation also remains to be studied.


According to the World Economic Forum, Romania occupies the 163rd position in the world ranking for the quality of overall infrastructure; the 134th for the quality of roads and the 70th for the quality of railroads infrastructures.

Table 79 and Table 80 present respectively the development of the Romanian road network (Figure 70) and rail network between 2004 and 2009.

Table 79: Lenght of the road network (Km)_year (2004-2009) in Romania

Source: Eurostat

Table 80: Lenght of the rail network (km)_year (2004-2009) in Romania

Source: Eurostat


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Figure 78: The road network in Romania

The motorway network has a significantly lower density than in countries of the EU25 and other neighbouring countries. Furthermore, there is currently no motorway connection to the EU motorway network.

The railway density in Romania is above the EU25 average in terms of density per population and is slightly below the average in terms of density per 1,000 km2. The quality of the rail infrastructure is below average standard, leading to speed restrictions on several routes. On about 27% of the network maximum speed is 50 km/h, while on another 39% of the network the maximum speed is 80 km/h.

Table 67 shows the National and International Freight Transport (Thousand of tonnes), year (2004-2009) in Romania.

For Eurostat (Table 81) and DG tren (Europe Commission), the ratio tonnes/km for road is increased notably and steadily; in the case of rail transport the ratio remained stable from 2003 to 2009.

Table 81: National and international Freight Transport (Thousand of tonnes)_year (2004-2009) in Romania

Source: Eurostat


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Table 82: National and international Freight Transport_year (2004-2009) in Romania

Source: Eurostat

Road is the principal mode for freight transportation (Figure 79). The country is characterized by a low intermodality. Freight traffic on the Romanian inland water transport routes is very low and the rail is diminishing its importance.

68,5%

11,8%

5,8%

8,4% 5,5% Road Transport

Railways Transport

Waterways Transport

S ea Transport

Air Transport

Source: Eurostat

Figure 79: Freight transport by mode (2009) in Romania

For Eurostat (Table 83) and DG tren (Europe Commission), the ratio passenger passenger/km for road transport is increased steadily and notably from 2003 and 2009; in the case of rail diminished considerably during the same period.

Table 83: Passenger Transport (million passenger/km) _year (2004-2009) in Romania

Source: Eurostat


Romania's natural landscape is almost evenly divided among mountains (31%), hills (33%), and plains (36%). The Carpathian Mountains dominate the centre of Romania, with 14 mountain ranges reaching above 2.000 m, the highest point at Moldoveanu Peak (2.544 m). These are surrounded by the Moldavian and Transylvanian plateaus and Pannonian and Wallachian plains.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, inefficient government bureaucracy is the third most problematic factor for doing business in Romania.


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The Romanian legislation regarding the Public Procurement is fully harmonized with the EU legislation: GEO n. 34/2006 (approved by law 128/2007 and amended by law 128/2007) and GEO 94/2007.

National Authorities for Regulating and Monitoring Public Procurement (NARMP) is a public institution subordinated to the government has mainly the role to establish, promote and implement the public procurement policy.

The Unit for Coordinating and Verifying Public Procurement subordinated to the Ministry of Finance performs the control of all the procedures; while the National Council for Solving Complaints has the competence for solving the complaints regarding the awarding procedures.

The Operator of the Electronic System for Public Procurement (ESSP) is the national center for IT Management Society (Ministry of Communication and Information Society) and assures the technical support for the application of the awarding procedures by electronic means.

The Court of Account and the Audit Authority are responsible for the application of public funds and communities funds.



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3.22 Denmark



� Legislation regarding Landfilling o Statutory Order No 648 of 29 June 2001 on the revision of Statutory Order No

619 of 27 June 2000 on Waste. Collection and recovery of tyres is regulated by the Statutory Order on a Fee on Tyres and a Recovery Subsidy No 111 of 5 February 2000.

� Legislation regarding End-of-life tyres management o Statutory Order no. 144 of 3 March 1995, which is now replaced by Statutory

Order no. 111 of 5 February 2000 on fees and subsidies for recovery of tyres.Since January 1996 the support scheme has been administered by the Danish Tyre Trade Environmental Foundation.


3.22.1.2.1 Model

With Statutory Order no. 144 of 3 March 1995, Denmark has adopted the Tax System, where the country itself is responsible for the recovery and recycling of the end of life tyres. The system is financed by a tax levied on (tyre) production and subsequently passed on to the customer. This is an intermediate system whereby the producers pay a tax to the State, which is responsible overall for the organisation and remunerates the operators in the recovery chain.


On 20 February 1995, the Minister for Environment and Energy entered into an agreement with the tyre and motor trade associations, the Association of Danish Recycling Industries and municipal associations on a take-back scheme for discarded tyres. Through the agreement it is ensured that discarded tyres are collected and recycled or incinerated, thus avoiding landfilling and ensuring resource utilisation of waste tyres. The collection and treatment scheme is organised on the basis of the following order of priority: re-treading, rubber powder production, and incineration. The agreement requests enterprises to sell tyres to take back a corresponding number of discarded tyres without additional costs for the consumer. Professional collectors are required to receive all tyres from enterprises collecting or receiving discarded tyres, including municipal collection schemes, and to deliver these for recycling or incineration.

Further to the agreement, a fee was introduced on tyres for financing of collection and treatment costs, administration of the scheme, and information campaigns. Subsidies are paid to the tyre collectors that are registered in the Danish EPA. Registered enterprises must state in which municipalities tyres are collecting. On certain conditions, enterprises are required to collect tyres from waste producers. Subsidies for collection of tyres will only be given if the tyres are delivered to a reprocessing plant. No subsidies are granted for tyres delivered for reuse, including re-treading.


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Among other initiatives are information campaigns aiming at limiting faulty assembling of tyres and promote the sale of re-treaded tyres.


The most important players in Denmark concerning the management of ELTs are the Ministry of Environment and Energy (www.mim.dk), the Environmental Protection Agency (www.mst.dk) and the Association of Danish Recycling Industries.



According to the last annual report from ETRMA, Denmark generates about 40.000 tons of used tyres per year, of ehich about 38.000 are classified as ELTs. According to the same report, the whole amount of ELTS is recovered.


No landfill is reported for Denmark.


The total amount of ELTs generated in Denmark are destined to material recovery, both shredded and granulated.


No specific information were available on processing facilities, neither in terms of processing capacity nor in terms of time of management. As for costs, the ELTs management is funded by the tax paid by the producers/importers. In addition, In January of 2012, a tax of DKK 160 per tonne will be placed on landfilled hazardous materials. Until then, Danish ELTs processing companies will have paid no taxes for sending ELTs to the landfills, since hazardous waste is exempt from the existing landfill tax. In January of 2015, the fee will be increased to the same tax rate as non-hazardous waste, DKK 475 per tonne.

3.22.1.3.5 Costs for the end user The resale price of the recycled and recovered materials is heavily dependent on market price and local factors.




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No changes in the short term are foreseen.




Between 2005 and 2007, Denmark spent almost 4 billions € for road and railways infrastructure112, the majority invested in road infrastructure. There was no information whether this has actually included private sector participation. It is perceived however that investment in road and rail sectors is likely to be predominantly public, while private investment might have played some role mainly in airports investments.

Figure 80 shows the split of investments by the different transport modes. As it can be seen, the majority of the funding was provided to road infrastructure (69%).

Figure 80: Denmark's public investments in transport infrastructure by mode between 2000 and 2006 (source:

Statistics Denmark)

Investment in road infrastructure has nearly doubled in real terms between 200 and 2006. Overall nearly 90% of all public infrastructure investment over the 7 year period has benefited both road and rail sectors.


According to the World Economic Forum, Denmark occupies the 10th position in the world ranking for the quality of overall infrastructure; the 9th for the quality of roads and the 12th for the quality of railroads infrastructures.

Table 84 and Table 85 present respectively the development of the Danish road networkand rail network between 2004 and 2008.

112Transport infrastructure investments from European Environment Agency


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Table 84: Danish road network between 2006 and 2008 (latest information available)

Year (2001 -2009) 2006 2007 2008

Total Road Network (Km) 72.405 73.197 73.331

Motorways 1071 1111 1128 National Roads 71334 72086 72203

Table 85: Danish raail network between 2006 and 2008 (latest information available)

Year (2001 -2009) 2006 2007 2008

Total Operative Rail network (Km) 3139 3181 3181 Electrified lines 636 640 642 Non Electrified lines 2503 2541 2539 One tracks 2197 2235 2235 Double tracks or more 942 946 946

Freight transport in Denmark has decreased between 2005 and 2009 both by road and by rail, passing from 23.299 to 16.876 Mtons per km. Road transportation and air transportation are the most diffused diffused way to move freight. accounting for 38% respectively of the total transported freight, while rail transportation is not very diffused in Denmark (see Figure 81 where the freight traffic as a function of transportation mode is reported).

37,2%

1,5%

22,6%

38,7% Road Transport

Railways Transport

Sea Transport

Air Transport

Figure 81: Freight transportation in Denmark in 2009

Road transportation is also the most diffused transportation mode for passengers accounting for 91% of the total passenger traffic (see Figure 82).

9%

91%

Railways Road Network

Figure 82: Passenger transportation in Denmark in 2009.


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Denmark occupies 43.094 km2. and consists of the peninsula of Jutland and 443 named islands. Of these, 72 are inhabited, with the largest being Zealand and Funen. The island of Bornholm is located east of the rest of the country, in the Baltic Sea. Many of the larger islands are connected by bridges.

The country is flat with little elevation; having an average height above sea level of 31 metres. The highest natural point is Møllehøj, at 170 metres over the sea level. Other hills in the same area southwest of Århus are Yding Skovhøj and Ejer Bavnehøj.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the forth most problematic factor for doing business in Denmark.

As for commissioning bodies, the Danish Road Directorate113 constructs, runs and maintains the State road network . As of January 1, 2010 the State road network constitutes 3.788 km, which represents about 5 % of the entire road network in Denmark (73.574 km). However, though the state roads only represent around 5 % of the entire road network, the importance in terms of transport and society should be underlined as approximately 45 % of the entire road traffic in Denmark run on these roads

The largest railway operator in Denmark is Danske Statsbaner (DSB) — Danish State Railways. Arriva operates some routes in Jutland, and several other smaller operators provide local services.

As for public works assignation, works contracts are generally concluded on the basis of an open or restricted procedure. The award criteria can only be "lowest price" or "economically most advantageous tender".

113 http://www.vejdirektoratet.dk/


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3.23 Latvia




o Landfill Regulations of the Cabinet of Ministers No.474 "On Requirements for Sitting of Landfills and for Management, Closure and Recultivation of Landfills and Dumps"”, of 13th June 2006; Amendments 22.04.2008. (published Latvijas Vēstnesis 103 2006.07.04.).

o Incineration Regulations of the Cabinet of Ministers No. 323 “On requirements for incineration of waste and for operation of waste incineration plants”, of 17th July 2001, Amendments 04. 02.2003. (published Latvijas Vēstnesis ,110 2001.07.20.).

� Legislation Legislation regarding End-of-life tyres management

o Law „On End-of life vehicles management” (Law was adopted in Parliament on 29 January 2004 and is in force from 1 May 2004.).

o Regulation of the Cabinet of Ministers Nr.748 “Regulations on procedures vehicle can be declared to be an abandoned end-of life vehicle and the procedures for transferring of abandoned end-of life vehicles to a treatment establishment” (04.10.2005.).

o Regulation of the Cabinet of Ministers No. 243 “Requirements to the processing of end-of life vehicles and environmental requirements to the treatment enterprises”, of 6 April 2004, amendments 20 December 2005.

o Regulations of the Cabinet of Ministers No.365 „Regulations on types of waste recovery, regeneration and disposal” (20.04.2004.).

o Regulations of the Cabinet of Ministers No. 316 „Procedure on import of waste for recovery in territory of Latvia and on order to export and transit of waste” (15.04.2004.).

o Regulations of the Cabinet of Ministers No. 323 „On requirements for incineration of waste and for operation of waste incineration plants” (17.07.2001.).

o Regulations of the Cabinet of Ministers No. 404 “On order for relief from duties for payment of natural resources tax on goods harmful to environment” (tyres, batteries) of 16 May 2006.

o Statutory Order No. 480 of 19 June 2002 on management of waste in the form of motor vehicles and derived waste fractions.


3.23.1.2.1 Model

Latvia has adopted prododucer responsbility model for the management of ELTs. According to the legislative framework in Latvia this is done by paying the tax for natural resources from where the income is used for funding the environmental protection projects or by organizing the waste


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management system – separate collection, reuse, recycling or disposal in landfill by using best available technologies.

In Latvia in practice, the collection system is not functioning well – about 20% of tyres are not collected and end their life in the environment.


There are three different types of actors involved in the end-of-life tyres management in Latvia:

− Producers (creators) of the end-of-life tyres;

− Waste collectors and management companies;

− Processing and recycling organizations.

Producers of the used tyres in Latvia are basically users of cars that are individuals, companies and organizations like cargo and public transportation companies, public utilities etc. Imported tyres are also included in this category. As can be seen in Figure 83, a part of the end-of-life tyres are delivered directly to the waste management companies by car users, partly used tyres are left in the automobile service shops and some part are exported – mainly by big companies with a significant annual amount of waste tyres. Car services and tyre shops are intermediate bodies among car users, waste management companies and recycling organizations. When changing their old tyres to new ones car users can leave the old tyres at the auto service shops free of charge. Later tyres are collected by waste management companies or delivered directly to recyclers or exported.

There is a two-level tyre collection system in Latvia. The first collection level is represented by companies which are collecting tyres from waste producers and delivering them to hazardous waste management companies – i.e. the second level of collection. Hazardous waste management companies are contracted by producer responsibility organizations and therefore are obliged to collect used tyres free of charge, except the transportation costs that has to be paid by producers of used tyres.

During the processing and recycling stage, the end-of-life tyres are transformed into a new product or into energy. Almost all collected tyres except the exported amounts are now processed in a cement factory where the tyres are used as fuel. There are also a few tyre processing companies which mechanically treat used tyres (chipping or pressing) thus producing material that can be used for road construction or landfill covering works.


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Figure 83: Actors of the tyres management system in Latvia


Latvijas ZaĜais Punkts114 is the company that deals with the implementation and coordination of the producer responsibility system in Latvia.

Latvijas ZaĜais punkts was established on January 11, 2000, thus becoming one of the first organisations in the Eastern Europe, taking care of the management, recycling of waste packaging and other types of waste and the development of separate collection system.

In 2009, Latvijas ZaĜais Punkts signed an agreement with Latvian Environmental Protection Fund becoming the only producers’ responsibility organisation in Latvia, dealing with all waste products under producers’ responsibility approach.

Latvijas ZaĜais Punkts is a member of the global Green Dot association, uniting representatives of 30 countries - "Packaging Recovery Organisation Europe s.p.r.l." (PRO Europe). Latvijas ZaĜais Punkts holds the rights to use the Green Dot trade mark in the territory of Latvia.

114 www.zalais.lv


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According to the information from the organization Latvijas ZaĜais Punkts (first producer responsibility organization in Latvia) 15.000 tons of tyres are imported into Latvia each year. Respectively, the same amount of tyres is ending their life every year.

The exact numbers of used tyres are not available because only bigger companies have to declare and report their waste amounts. In order to assess the amount of used tyres in Latvia, an indicative calculation based on transport fuel consumption and the number of cars that have been actively used in this study was performed. The calculation shows that the annual amount of end-of-life tyres is 1.197.678 which corresponds to 10.180 tons/year.

3.23.1.3.2 Landifill situation

According to waste collection statistics, the amount of collected and recycled tyres in Latvia in 2006 was aroundds 8.000 tons meaning that at least 20% of used tyres are not collected and are ending their life in the environment.


In Latvia, more than half of car tyres are used for energy recovery, for instance at the cement factory Cemex in Broceni. Thanks to the construction of a new cement factory the tyre recycling capacity has recently increased. The cement industry is in principle able to use all tyres available in Latvia. However, other technologies for recycling tyres are also being developed, compressing them into blocks and using in road construction in swampy places.


There are few tyre processing companies which mechanically treat used tyres (chipping or pressing) thus producing material that can be used for road construction or landfill covering works. No information is available concerning processing capacity, time of management and costs.

As for the cement industry, in 2009 the recycling capacity of the cement industry in Latvia was 4.785 tons of end-of-life tyres per year.

In an extended recycling scenario the maximum tyre recycling capacity of the Latvian cement industry is considered. After construction of the new cement factory owned by the company Cemex, the total recycling capacity will be increased up to 25.000 tons per year. In case of this scenario an additional amount of end-of-life tyres will need to be imported from other countries.


The costs of buying end-of-life tyres is confidential. Detailed data are lacking.


No information regarding contractual scheme with end users is available. Suppliers need to be contacted directly.


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No evolution in the short term is foreseen.




The EU co-financing of road construction and reconstruction projects will continue in 2011. Cohesion Fund financing is planned for the development of roads of European importance. The financing from the European Regional Development Fund (ERDF) provides regional development and is attracted to the reconstruction of state regional roads, for example, paving of gravel roads with bituminous pavement originating from recycling.

The economic recession in 2009 seriously influenced the road sector. State budget funding was dramatically reduced. In general the year 2009 was an enormous step back and the road financing decreased to the level of 2006. At the same time tender prices decreased due to growing competition in construction market and construction works were performed for comparatively lower costs. The renewal of state roads continued during the crisis owing to the co-financing from European Union structural funds.

Since amount of the state budget and European Union financing is still not enough to improve state road network, protractedly maintained under conditions of insufficient financing, in the shortest possible time, it is necessary to attract additional funds. One of the possible solutions for improvement of state infrastructure objects is to attract private financial resources by signing a contract between government and private companies or investors (hereafter PPP).

Taking into account limited financing in the road sector and reposing on pace of state economic growth and expected increase of road users paying capacity, the Ministry of Transport of the Republic of Latvia has accepted application of PPP projects in implementation of several projects.

In compliance with the strategy of the Ministry of Transport of the Republic of Latvia for the time period until 2013 it is decided to begin work on implementation of three projects, by applying DBFM (design-build-finance-maintain) principles, signing long-term service contracts un attracting financing of private investors:

- road E77 section Riga bypass - Senite (pilot project);

- road E67 section A4 Riga bypass (Baltezers - Saulkalne);

- road E67 Kekava bypass.

After 2013 it is planned to implement the following projects:

- road E22 section Priedaine - Sloka;

- road E77 section Riga - Jelgava;

- road E22 section Riga bypass - Koknese.

Decision on implementation and financing model of 4th stage of Riga Northern crossing is not made yet.


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Table 86: Investment situation on main roads

No. Project

PPP evaluation and government decision

Preparation of tender documents, tender, contract Investment period

1 Riga bypass - Senite 2007 2007 - 2011 2011 - 2015

2 Riga bypass 2010 2011 - 2013 2014 - 2017

3 Kekava bypass 2010 2011 - 2013 2014 - 2017

4 Priedaine - Sloka 2012 2013 - 2015 2016 - 2020

5 Riga - Jelgava 2012 2013 - 2015 2016 - 2020

6 Tinuzi – Koknese (2nd stage) 2013 2014 - 2016 2017 - 2021

Project E77 Rīga bypass-Senite is a pilot project, its tender and contract documentation could form basis for the next projects.

The most characteristic feature of PPP projects corresponding to DMFM principles is project/contract long-lasting. Totality includes project research, preparation of documentation and tender.

Figure 84: Progress in construction of motorways around capitol of Latvia


Latvia is at the 51st place in the World Economic Forum ranking on infrastructures for 2010-2011115. Concerning the quality of road and railways infrastructures, it is ranked 98th and 33rd respectively.



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In general the condition of road network continues to deteriorate even if the traffic intensity and amount declines. Already one fifth of roads with bituminous pavement and one third of roads with gravel pavement are assessed as collapsed and various restrictions are implemented on 44 bridges. The main cause is continuously insufficient financing of state roads.

In 2010, Latvia's total public road network extended over 20.200 km. The main road transport corridor now being developed is the Via Baltica (running from Helsinki to Warsaw through Riga). EU structural funds are widening and improving long stretches of this corridor.

The transport sector is around 14% of GDP. Transit between Russia and the West is large. The Latvian State Roads is responsible for 932 bridges.

As for the railway network, it counted in 2009 1.884 km of lines, the majority of which are non electrified. The length of the operative railway network decreased since 2007, as shown in Table 87.

Table 87: Railway network between 2007 and 2009 in Latvia

Year (2001 -2007) 2007 2008 2009

Total Operative Rail network (km) 2.265 2.263 1.884 Electrified lines 257 257 257 Non Electrified lines 2.008 2.006 1.627 One tracks 1.962 1.960 1.571 Double tracks or more 303 303 313

Freight transport in Latvia has decreased since 2005. Railways transportation is the most diffused way to move freight, accounting for 50% of the total transported freight in 2009, as shown in Figure 85, where the freight traffic as a function of transportation mode is reported.

35.4%

50.2%

6.3%

8.1% R oad Trans port

R ailways Trans port

S ea Trans port

A ir Trans port

Figure 85: Modal split for freight transportation in Latvia

Road transportation is also the most diffused transportation mode for passengers accounting for 95% of the total passenger traffic. However, the percentage of passenger travelling by rail is increased more than that of passengers travelling by car since 2005.

5%

95%

Railways Road Netw ork

Figure 86: Passenger transport by mode in Latvia


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Latvia consists of low-lying plains, largely covered by forest, the highest point being the GaiziĦkalns at 311.6 m over the sea level.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, inefficient government bureaucracy is the second most problematic factor for doing business in Latvia.

No big players are present in Latvia in the sector of civil engineering and transport infrastructure in Latvia.

As for the commissioning bodies of transport infrastructure works, the Latvian State Roads116 is the main commissioning body for road works. It performs the management of the state road network, administration of the State Road Fund and organisation of public procurement in order to provide the publics with profitable, durable, safe and environmentally friendly state road network. Maintenance and development of parish, company and household roads is supervised, as well.

Quality Management System certified according to ISO 9001:2008 by "Bureau Veritas Quality International" ensures that the activities of LSR are well organised and meet international standards.

Since October 26, 2004, the Latvian State Roads is a State Joint Stock Company that operates according to Company Statutes and the Agreement “On Road Sector Management” signed with its main client – the Ministry of Transport of the Republic of Latvia. The State Joint Stock Company “Latvian State Roads” is 100% owned by the state. The shares are managed by the Ministry of Transport of the Republic of Latvia.

Latvian Railway (LDz)117 is the public usage railway infrastructure manager in Latvia. It is one of the biggest in the state and its economic activities make contribution to the whole state economics. Latvian Railway group comprises the holding company – State Joint Stock Company Latvijas dzelzceĜš and the following subsidiary companies: JSC LatRailNet, LDz Cargo Ltd, LDz infrastruktūra Ltd, LDz ritošā sastāva serviss Ltd, and LDz Apsardze Ltd. LDz Cargo created its own subsidiary company - LDz Cargo loăistika Ltd, which is indirectly subordinated to Latvian Railway.

As for the procedures to contract public works, the public procurement system is regulated by a specific Public Procurement Law as well as by a Public Private Partnership law, effective since January 2009118.

The award criterium is mainly the most economically advantageous tender, but also lowest price criterium is used.

116 www.ltvceli.lv

117 www.ldz.lv

118 "Comparative survey on PP system across PPN Countries", 2010


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3.24 Lithuania



� Legislation regarding Landfilling o Regulation of the Minister of Environment No. 217 on the Rules on Waste

Management, adopted 14/07/1999 with the last amendments in 2003. o Regulation of the Minister of Environment No. 444 on the Rules on Construction,

Operation, Closure and After Care of Landfills of Waste, adopted 18/10/2000 with the last amendments in 2004.

o Draft Regulation of the Minister of Environment on the Waste Acceptance Criterion.

o Regulation of the Minister of Environment No 342 on the Environmental Protection Normative Document LAND 19-99 the Main Requirements for Waste Incineration, adopted 27/10/1999.

o Regulation of the Minister of Environment No 699 on the Environmental Protection.

� Legislation regarding End-of-life tyres management o Law on Waste Management, 1998 (last amendments in 2005) o National Strategic Waste Management Plan, approved by the Resolution of the

Government of the Republic of Lithuania, 2002 (last amendments in 2005), o Regulation of the Minister of Environment No 710 on the Rules on the

Management of End of Life Vehicles, adopted on 24.12.2003 with the last amendments in 2005.


3.24.1.2.1 Model

Lithuania has adopted the producer's responsibility model for the management of ELTs above 3 kg. However, this model is not fully implemented yet.


Producers can implement their responsibility in waste management jointly (by setting up producer and importer organisations) or severally. The principle of the manufacturer’s responsibility in Lithuania is being implemented through application of mandatory legal instruments (setting waste management targets, defining precise limits of responsibility, providing for exemptions from liability, etc.), information tools (environmental labelling, etc.), economic instruments (collateral systems, environmental pollution charges for product and/or package waste, green procurement, etc.).

Tyre producers must jointly or severally organise and finance waste management (from collection to safe disposal) and comply with the waste management targets as set by the government.


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Waste management companies collect, transport, process, recycle or export waste. To work as a waste management operator for the municipalities, a waste management company must win the contract and sign an agreement with the municipality. On top of that, waste management companies must provide the municipality with data of waste collected, managed and disposed every year.


In order to optimally control and expand waste management, including tyres, guarantee affordability of the public waste management service, efficiently use financial assistance from the European Union, on the common consent of the municipalities within the region of Lithuania, legal entities (regional waste management centres) were set up and regional waste management systems are being developed further.

Lithuania is developing 10 regional waste management systems that have their implementation and development partially financed from the European Union cohesion fund, the national budget of the Republic of Lithuania and a loan to the company established by the municipalities (the regional waste management centre. At this time, investment projects to create waste management systems in the regions of Alytus, Šiauliai, Taurag÷, Klaip÷da, Vilnius, Kaunas, Panev÷žys, Marijampol÷, Telšiai and Utena are at the stage of implementation.



The annual amount of collected scrap tyres is approximately 7.000 tons in Lithuania. About 86% of tyres are recycled , according to ETRMA.


About 1.000 tons of ELTs have unknown destination in Lithuania, probably to temporary storage.

3.24.1.3.3 Recovery options and applications of end-of-life tyres derived products In Lithuania, of the 6.000 tons of ELTs recovered, 4.000 tons are destined to material recovery (e.g rubberized concrete) and the rest are used for energy recovery (see Figure 87)

33%

67%

Energy recovery

Material recovery

Figure 87: ELTs uses in Lithuania


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No information regarding this were available.


No information regarding costs for end users is available. It needs to contact directly the processing facilities.




The enforcement of Producer responsibility approach is expected.




The following tables report the data on investment expenditure in Lithuania over the period 2004-2006 by source of funding and mode of transport.

Table 88: Investment in transport infrastructure by source of funding in Lithuania (2004-2006, source Lithuanian Statistics office)

The average Lithuanian co-financing rate for allocated ERDF resources in Lithuania in the period 2004-2006 was 67%. From national co-financing funds 47.4 M€ has been made available for transport projects.

Figure 88 shows the split of investments by the different transport modes. As it can be seen, the majority of the funding were to road and rail infrastructure (69% total).


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Figure 88: Lithuanian public investments in transport infrastructure by mode between 2004 and 2006 (source:

Lithuania Ministry od Transport and Communication)


Lithuania is at 41th place in the World Economic Forum ranking on infrastructures for 2010-2011119. Concerning the quality of road and railways infrastructures, it is ranked 32th and 28th respectively.

There are 6,32 km of roads per 1.000 of population in Lithuania and 326.50 km of state roads per 1.000 km2 of its territory. The majority of its roads (62.01%) have asphalt pavement. Table 89 summarizes the evolution of Lithuanina road betwrok between 2007 and 2009.

Table 89: Lithuanian road network evolution between 2007 and 2009

2007 2008 2009

Total Road Network (Km) 80.725 81.030 81.331 Motorways 309 309 309 National Roads 80416 80721 81022

Thus Lithuania, even compared with economically stronger states, has a fairly well-developed road network. One of the main stimulus to develop the road network in the country is that Lithuania is a transit country with a number of roads crossing it from west to east and from north to south.



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Figure 89: Major highways in Lithuania

Lithuanian Railways' main network consists of 1.768 km of 1,520 mm broad gauge railway of which 122 km are electrified. They also operate 22 km of standard gauge lines. The Trans-European standard gauge Rail Baltica railway, linking Helsinki – Tallinn – Riga – Kaunas – Warsaw and continuing on to Berlin is under construction now and by the end of 2013 will reach Kaunas.

Table 90 shows the evolution of the railways network between 2007 and 2009: The length of the network remained almost constant.

Table 90: Lithuanian railways network evolution between 2007 and 2009

2007 2008 2009

Total Operative Railnetwork (Km) 1766 1765 1768 Electrified lines 122 122 122 Non Electrified lines 1644 1643 1646 One tracks 1384 1381 1385 Double tracks or more 383 384 383

Freight transport in Lithuania has decreased since 2005. Railways and road transportation are the most diffused way to move freight, accounting for 33 and 35% of the total transported freight in 2009 respectively, as shown in Figure 85, where the freight traffic as a function of transportation mode is reported.


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34,9%

33,3%

0,1%

26,8%

5,0%

Road Transport

Railways Transport

Waterways Transport

Sea Transport

Air Transport

Figure 90: Modal split for freight transportation in Lithuania

Road transportation is also the most diffused transportation mode for passengers accounting for 99% of the total passenger traffic. However, the percentage of passenger travelling by rail is increased more than that of passengers travelling by car since 2005.

1%

99%

Railways Road Network

Figure 91: Passenger transport by mode in Lithuania


The highest areas of Lithuania are the moraines in the western uplands and eastern highlands, with the maximum elevation being Aukštojas Hill at 294 metres above the sea. The main river, the Neman River, and some of its tributaries carry international shipping. The terrain features numerous lakes, Lake Vištytis for example, and wetlands; a mixed forest zone covers nearly 33% of the country.


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the first most problematic factor for doing business in Lithuania.

The publicly owned company Lithuanian Road Administration120 is responsible for all major road infrastructure planning implementation and development. However, they do delegate tasks to regional and city based companies for all work implementation.

120 www.lra.lt


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The Lithuanian Road Administration under the Ministry of Transport and Communications of the Republic of Lithuania is an enterprise founded by the Government of the Republic of Lithuania which is in charge of organizing and co-ordinating the reconstruction, maintenance and development of the roads of national significance. The Lithuanian Road Administration Tasks are:

- To implement the state policy regarding the road maintenance and development formulated by the Seimas of the Republic of Lithuania.

- To implement the programmes on road maintenance and development drafted by the Ministry of Transport and Communications.

- To organize the development, modernisation and functioning of the network of the roads of national significance.

As for railways network management, JSC Lithuanian Railways121 (LG) belongs to State and has three main new directorates established: Passenger Transport Directorate, Freight Transport Directorate and Railways Infrastructure Directorate.

Some regional contractors active in road infrastructure construction are listed below.

- SE “Alytaus regiono keliai“

- SE “Kauno regiono keliai“

- SE “Klaip÷dos regiono keliai“

- SE “Marijampol÷s regiono keliai“

- SE “Panev÷žio regiono keliai“

- SE “Šiaulių regiono keliai“

- SE “Taurag÷s regiono keliai“

- SE “Telšių regiono keliai“

- SE “Utenos regiono keliai“

- SE “Vilniaus regiono keliai“

- SE "Automagistral÷"

As for the procedures to contract public works, the public procurement system is regulated by Lithuanian Law on Public Procurement 122. The award criterium can be the most economically advantageous tender or the lowest price.

121 www.litrail.lc

122 "Comparative survey on PP system across PPN Countries", 2010


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3.25 Estonia



� Legislation regarding Landfilling o Waste Act (RT1 I 2004, 9, 52), 2004, Prohibition on deposit of used tyres in

landfills

� Legislation regarding End-of-life tyres management o Regulation of Government No 80, 17.07.2010 (requirements for take back and

collection of waste tyres) (replaces the Regulation of Government No. 352, 13.12.2004).

o Regulation of Government No 135, 23.07.2009 (Register of Product of Concern and registration of producers) (replaces the Regulation of Government No. 28, 30.01.2006).


3.25.1.2.1 Model

Tyres have been included in the list of problem products in Estonia since the state’s scrap regulations were updated in July 2005, and since then extended producer's responsibility also applies to them. Eesti Rehviliit (Estonian Tyre Association) is the no profit company in charge of managing ELTs in Estonia. Tyre recycling has been obligatory since 1 January 2006.


To implement producer responsibility principle, producers or importers add a recycling fee to the price of a new tyre, with the money collected in this way forwarded to the manufacturer’s liability organisation (Estonian Tyre Association). This organisation then arranges for the collection and recycling of the tyres, outsourcing services from the waste management sector.

At the beginning of each month, companies who import tyres for sale declare the total number of tyres sold (primary sales) in the previous calendar month to the Estonian Tyre Association. At the beginning of each month, companies who import tyres for retreading declare the total number of tyres sold (primary sales) in the previous calendar month to the Estonian Tyre Association. Retreaders do not need to declare sales of tyres which have been recycled from those collected in Estonia.

The Estonian Tyre Association issues invoices based on the declared number of tyres multiplied by the amount of the recycling fee. Members of the Estonian Tyre Association are given three months in which to pay their fees. Companies which are not members of the association must pay within two weeks.

When tyre companies (importers and retreaders) enter into manufacturer’s liability agreements with the association, declare the amount of tyres they sell and pay their invoices, the companies delegate the responsibilities placed on them by the Waste Act to the Estonian Tyre Association.


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The association accepts old and historical tyres from individuals, local governments, tyre workshops who have entered into agreements with us and cleaning companies throughout the country free of charge.

The Estonian Tyre Association has acquired a tyre shredder unique in Estonia for the recycling of its tyres. An international tender was organised for the procurement of the machine which was won by OÜ Weima Baltic. The shredder cost 6.995.000 EEK,with half of this sum financed by the Environmental Investment Centre.


Eesti Rehviliit123 (The Estonian Tyre Association) is the non-profit organisation and the oldest manufacturer’s liability watchdog in the country. Eesti Rehviliit organises the collection and recycling of old tyres and its members are Estonia’s largest producers and importers of tyres. It is in the best interests of all of these companies that tyres, as problem products, be reused as effectively and in an as environmentally-friendly a way as possible, as is required by the state’s Waste Act and scrap regulations.



The annual amount of collected scrap tyres is approximately 6.000 tons in Estonia. About 83% of tyres are recycled , according to ETRMA.


About 1.000 tons of ELTs have unknown destination in Estonia. It is worth mentioning that Estonian Tyre Association accepts also tyres form historical stockpiles.

3.25.1.3.3 Recovery options and applications of end-of-life tyres derived products In Estonia, of the 5.000 tons of ELTs recovered, 3.000 tons are destined to material recovery and the rest are used for energy recovery (see Figure 92)

40%

60%

Energy recovery

Material recovery

Figure 92: ELTs uses in Estonia

123 http://rehviliit.ee/web/eng/


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Estonia hass a single facility for tyre shredding. It consists in a machine (shredder) manufactured by the German company Artech and arrived in Estonia in early December 2005. The shredder sits on a trailer, making it easy to transport to collection points around the country and shred old tyres on site. The machine is capable of shredding between 5.000 and 8.000 tons of tyres per hour and operates on two 75 kW electric motors. It has a separate sifter, guaranteeing that the size of the shredded tyre pieces is 100 mm x 100 mm. The material produced can be used in road construction, as a raw material in the production of new tyres and for the building of waste disposal site infrastructure.

As for costs, the environmental fee to be paid for ELTs management is 800 EEK/ton or 51.3 EUR/ton.


No specific information on the costs for the end users.




No evolution in the short term expected.




Between 2000 and 2006 Estonia spent about 414 M€ in transport infrastructures. These figures underestimate national investments as they do not include those made towards the rail network, which is privately owned.


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Table 91: Investments in transport infrastructures for Estonia by source of funding

Estonia national public expenditure for transport during the period of 2000-2006 was basically focused on the road network (which accounted for approximately 94% of the total funds allocated during that period). This is partially explained by thefact that the rail network, and related investments, has been privatised. Most of the rest of national public funds was allocated to fund investment inport infrastructure (Figure 93).

Figure 93: Estonia's public investments in transport infrastructure by mode between 2000 and 2006 (source:

Estonian transport Development and Investments Department)

Within the road sector a priority is the further modernisation of Via Baltica (E67) that stretches from Tallinn to Warsaw. This road network is the most important national road and part of European corridor I. It will improve the connections with neighbouring countries. The objective is to create a European quality road and to facilitate trade and communications between Finland, Estonia, Latvia, Lithuania and Poland and to other eastern and western European countries.

The aim is to eliminate the current bottlenecks and reduce the number of road accidents by increasing the overall capacity of Via Baltica which is being developed on the basis of existing roads by gradually reconstructing and widening its sections, building bypasses, increasing the number of traffic lanes, constructing viaducts and intersections. The further improvement of missing sections of road infrastructure from Ikla - Parnu - Tallinn - Narva is the highest priority for Estonia. Most missing links on this road network can be financed through EIB loans. CF/ERDF involvement is


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needed for the construction and modernization of cross border connections (Lithuanian to Russian border Riga-Pskov road). Also the missing links connecting Via Baltica with the Estonian main ports (Tallinn, Parnu, Muuga, Kunda, Haapsalu, Paldiski) are important. For the rehabilitation of the national road sections, priority should be given to the roads in the region of Tartu with a slightly lower road accessibility (possibly through an EBRD loan) to improve the regional imbalance in road accessibility.

Table 92:Potential financing sources and expected destination of funding

Sub sector CF/ERDF EIB PPP

Road

- Via Baltica and Tallinn-Narva corridors √ √ √

- road connections Estonian ports √ √ √

- rehabilitation and modernization roads √

Legend: √ = relatively high potential as source of funding


Estonia is at 28th place in the World Economic Forum ranking on infrastructures for 2010-2011124. Concerning the quality of road and railways infrastructures, it is ranked 48th and 36th respectively.

The Estonian road network accounted for 58.400 km in 2009, of which only100 km were motorways. The extension of the road network has grown of 400 km since 207, as shown in Table 93.

Table 93: Estonian road network evolution between 2007 and 2009.

Year (2001 -2009) 2007 2008 2009

Total Road Network (Km) 58 012 58 399 58 400 Motorways 96 104 100 National Roads 57916 58295 58300

The total operative railways network was unchanged between 2007 and 2009, accounting for 1196 km of lines, the majority of which are non electrified (see Table 94).

Table 94: Evolution of the railways network between 2007 and 2009.

Year (2001 -2009) 2007 2008 2009

Total Operative Railnetwork (Km) 1200 1196 1196 Electrified lines 132 130 130 Non Electrified lines 1068 1066 1066 One tracks 1093 1089 1089 Double tracks or more 107 107 107



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Estonia is favourable geographical location, along with its developing infrastructure, offers good opportunities for all transport and logistics related activities. Rail and road transport dominate the cargo sector, carrying resèectively 34% and 22% of all goods, both domestic and international.

22.3%

34.0%

28.5%

15.2% R oad Trans port

R ailways Trans port

S ea Trans port

A ir Trans port

Figure 94: Modal split for freight transport in Estonia (Eurostat)

The road transport sector dominates passenger transport; almost 98% of all passengers travel by road.


Estonia lies on the eastern shores of the Baltic Sea, immediately across the Gulf of Finland from Finland on the level northwestern part of the rising east European platform between. Average elevation reaches only 50 meters and the country's highest point is the Suur Munamägi in the southeast at 318 meters. The number of islands and islets is estimated at some 1.500. Two of them are large enough to constitute separate counties: Saaremaa and Hiiumaa. A small, recent cluster of meteorite craters, the largest of which is called Kaali is found on Saaremaa, Estonia.

Estonia has over 1.400 lakes. Most are very small, with the largest, Lake Peipus, being 3555 km2. There are many rivers in the country. The longest of them are Võhandu (162 km), Pärnu (144 km), and Põltsamaa (135 km).


According to the “Global Economic Competitiveness” report (2010) published by the “World Economic Forum”, Inefficient Government Bureaucracy is the forth most problematic factor for doing business in Estonia.

Since 1 July 2009, the Estonian Motor Vehicle Registration Centre (EMVRC), Road Administration, Road Administration of the Northern Region of Estonia (a regional office of the Road Administration), Road Centre of the Eastern Region of Estonia, Road Centre of the Southern Region of Estonia, and Road Centre of the Western Region of Estonia (state agencies managed by the Road Administration) will be reorganised and merged into the new Road Administration and its regional offices.

From that day on, the tasks of the former Road Administration’s organisation and EMVRC shall be fulfilled by new Road Administration, and the tasks of the former EMVRC shall be divided between the Road Administration and its regional offices. The main tasks of regional road administrations shall be as follows:


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− arrangement of road management and creation of conditions for safe traffic on national roads;

− traffic arrangement;

− construction supervision over public road construction and repair works, owner supervision and supervision over requirements to road use and condition, organisation of state supervision over compliance with requirements arising from the legislation governing the administration’s area of activity and, if necessary, application of enforcement powers of the state;

− implementation of state policies and development plans in the domains of traffic safety, public transportation and environmental safety of vehicles, as well as keeping of appropriate account over vehicles entered in the Traffic Register, tachograph cards, driver’s licences and other documents provided for by legislation.

The Director General of the reorganised Road Administration is Tamur Tsäkko, former Head of the EMVRC.

New regional road administrations will be managed by the heads of former Road Centres: the Road Administration of the Southern Region of Estonia by Kuno Männik, the Road Administration of the Eastern Region of Estonia by Eugen Õis, and the Road Administration of the Western Region of Estonia by Enn Raadik. Erkki Mikenberg is to continue as the Director of the Road Administration of the Northern Region of Estonia.

The new organisation with its four regional offices administered by the central office will allow the new Road Administration to concentrate on planning of prospective tasks, co-ordination of the entire system’s activity, and searching for new solutions. This way, the regions will acquire greater decision-making rights regarding issues of regional importance and cost efficiency is achieved through concentration of the support services necessary for the offices’ activities.


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4. IDENTIFICATION OF BARRIERS AND OPPORTUNITIES

Starting from the European scenario depicted in the previous section, this chapter aims at identify barriers to market entry as well as opportunities for market replication of the RECTYRE model. Aspects which may represent barriers or opportunities have been identified analysing the common information collected for each country, and identifying all the possible impact that they may have on the replication of the RECTYRE model.

A specific condition has been defined a potential barrier whenever a cost implication (either tangible or intangible) was identified in relation to that condition. In other words, if a barrier stands, tangible or intangible costs have to be paid to enter the market, but the lack of a barrier does not generate any gain. Four categories of barriers have been identified, namely:

- Barriers originated from Legislation

- Barriers originated from the Supply

- Barriers originated from the Community

- Barriers originated from the Market

A specific condition has been defined a potential opportunity whenever a gain implication (either tangible or intangible) was identified in relation to that condition. In other words, if an opportunity exists, there is a possible gain involved, but the lack of an opportunity does not generate any additional cost (tangible or intangible).

In the following, barriers and opportunities will be described, taking into account the associated costs or gains and pointing out their influence on the application of the porposed model.

4.1 Potential barriers to market entry

1. Potential barriers originating from Legislation

1.A) Lack of national implementing measures for EU Directive on the landfill of waste (Council Directive 99/31/EC), imposing bans on the landfilling of tyres.

This condition may constitute a barrier to replication only in case landfilling of tyres would not be banned in some countries, as otherwise landfilling would be a preferred disposal option due to lower costs.

1.B) Lack of national laws providing specific provisions for the management of end-of-life tyres.

Though having implemented EU Directive on the landfill of waste (Council Directive 99/31/EC), a country may be in a condition of lacking national laws providing specific provisions for the management of end-of-life tyres. In such a condition, the country may suffer from not having a clear orientation towards managing end-of-life tyres, which may constitute a barrier to replication due to the lack of organizational as well as decision-taking schemes and mechanisms.

1.C) Lack of national enforcement acts on the management of end-of-life tyres.

Though having implemented EU Directive on the landfill of waste (Council Directive 99/31/EC) and also having implemented national laws providing specific provisions for the management of


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end-of-life tyres, a country may be in a condition of lacking enforcement acts on the management of end-of-life tyres. In such a condition, organizational as well as decision-taking schemes and mechanisms would have been already developed, but bodies appointed for the management of end-of-life tyres may not have been yet empowered to fully exploit their function, as well as procedures for the management of end-of-life tyres may not yet be applicable. This may constitute a barrier to replication as well.

1.D) Complexity of bureaucracy.

Complex bureaucracy may constitute a barrier to replication, as it may negatively affect different stages of a possible implementation of the RECTYRE model, such as worksite management, the obtainment of permits, etc. Furthermore, complexity of bureaucracy may result in fragmentation between national and local legislation, thus also posing difficulties to implementation.

1.E) Restrictions provided by national legislation on the management of public procurements.

Specific restrictions provided by national legislation on the management of public procurements, such as e.g. on the use of materials, the participation of foreign contractors, etc., may constitute a barrier to replication of the RECTYRE model, as they would reflect in all tenders for public works in a specific country, posing specific conditions, which may potentially limit or even hinder replication.

2. Potential barriers originated from the Supply

2.A) Lack of Steering Bodies appointed for the management of end-of-life tyres.

The lack of Steering Bodies appointed for the management of end-of-life tyres may constitute a barrier to replication, because of two major aspects: on the one side, this condition would reflect in not having an (or more) appointed responsible(s) or contact point(s) to refer to when attempting to source the shred tyres to be used as raw material for embankment construction, which may reflect in the need to carry out extensive and time-consuming searches for sourcing the shred tyres throughout the country; on the other side, this condition may reflect in lacking quality assurances on the supplied material. Furthermore, the presence of only one Steering Body in a country has been also considered as a potential, though minor barrier to replication, because of the fact that the availability of a single Body to refer to may lead to constraining supply conditions. On the other hand, having more than one Steering Body to refer to when attempting to source shred tyres, may enlarge options for raw material sourcing.

2.B) Lack of capillarity of the collection service on the territory.

This condition may constitute a barrier to replication, as a lack of capillarity of the collection service on the territory may result in a much higher cost of shred tyres due to the need to face longer transportation distances in order to collect and transport end-of-life tyres to the processing facilities, and hence result in the use of shred tyres not being competitive with conventional lightweight aggregate materials.

2.C) Lack of selection of the collected tyres before starting processing activities.

Given that the selection (concerning status and type) of end-of-life tyres is an important requirement for an optimal outcome in embankment construction, the lack of selection of the


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collected tyres before the shredding operation may constitute a barrier to replication, as it may lead to poor quality or even to inapplicability of the supplied material (the latter in case of excess material originating from truck tyres).

2.D) Insufficient quantity of end-of-life tyres generated in a year nationally.

Insufficient availability of shred tyre material to be used for embankment construction may easily result from an insufficient quantity of end-of-life tyres generated in a year in a given country, thus constituting a potential barrier to replication. This is especially the case for small countries.

2.E) Lack of a steady flux of end-of-life tyres generated over a year nationally.

The lack of a steady flux of end-of-life tyres generated over a year nationally may pose barriers to replication because this condition may result in the non-timely availability of shred tyres, hence possibly causing delays in the completion of construction works.

2.F) Lack of guarantees on materials and/or on processes to be provided by end-of-life tyres processing companies operating in a country.

The lack of guarantees on materials and/or on processes to be provided by end-of-life tyres processing companies operating in a country, normally resulting from the need to comply with standards e.g. on the material or on processing conditions on a national basis, may result in the supply of a material of poor quality, in the worst case being unsuitable for the intended use.

2.G) Poor and/or non-homogeneous coverage of end-of-life tyres processing companies over a country.

This condition may result in higher transportation costs associated to the need to face longer distances for the supply of the raw material, which may turn into a potential barrier to market replication.

2.H) Ownership on the material originated from end-of-life tyres limited to one single subject.

This condition may constitute a barrier to replication in case the specific subject would have a negative attitude towards the use of end-of-life tyres for civil applications. On the other hand, the existence of more than one subject having ownership on the material would provide a higher degree of freedom in negotiating supply conditions.

2.I) Existence of a consolidated preferential market for material recovery (i.e. in the form of rubber granules and/or powder).

The existence of an already consolidated preferential market for material recovery in a country may constitute a barrier, as it may limit the generation of new alternative markets for end-of-life tyres.

2.J) Existence of policies favouring material recovery (i.e. in the form of rubber granules and/or powder).


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The existence of policies in a country favouring material recovery may constitute a barrier to replication, because it may determine the preferential generation of markets for rubber granules and/or powder, rather than for shred tyres.

2.K) Existence of end users (i.e. business entities) taking over the most of end-of-life tyres quantities.

A barrier may exist in case many end users (e.g. cement kilns or other types of end users) already exist in a country, which, depending from the quantity of end-of-life tyres generated in a country, take over the most of such quantity, thus posing constraints on the availability of raw material for other applications such as the construction of embankments.

3. Barriers originated from the Community

3.A) Lack of civil engineering applications of end-of-life tyres already in place.

Due to the fact that a high number of countries was involved in the present study, it was difficult to assess the Community’s perception of civil applications of end-of-life tyres in each country by using direct methods. Therefore, in order to have a rough indication concerning the possible existence of this barrier, it was chosen to use an indirect indicator.

The fact that civil engineering applications of end-of-life tyres are already in place in a country means that any possible perceptional barrier would have been already at least partially overcome, thus paving the way to the introduction of other applications. On the contrary, a barrier may exist if no civil engineering applications exist at all in a country, as this may create a negative attitude in the Community.

4. Barriers originated from the Market

4.A) Wide availability and low cost of conventional/competing lightweight aggregate materials suitable for use as fillers in embankments.

The wide availability and low cost of conventional aggregate materials suitable for use as fillers in embankments may constitute a barrier to replication, as those materials would highly compete with shred tyres to be used for the same application. Nonetheless, the availability of such materials does not have a ‘national’ character, but rather a local character. Furthermore, cost of aggregates generally increases with transportation distance, and hence the impact of such condition on the possible choice of end-of-life tyres as an option for use in embankments has to be considered on a case-by-case basis.

4.2 Potential opportunities and Evaluation criteria

1. Potential opportunities originated from the development status and the condition of the road and railways networks

1.A) Need for renovation of the road and railways networks and/or the construction of new roads and railways.

The development status of the road and railways networks in a country may provide opportunities for replication of the RECTYRE model if there is a need for renovation, or alternatively for construction of new roads and railways (which may also include the construction of embankments).


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The number of passengers as well as the quantities of freight per kilometer in a country have been used as indirect indicators to assess whether opportunities for the renovation of the road and railways networks, or alternatively opportunities for the construction of new roads and railways may exist.

1.B) Need for modernization of the road and railways networks.

Despite the need to modernize the road and railways networks through renovation or new constructions due to a high number of passengers as well as freight per kilometer, there may be anyway a general need for modernization of the road and railways networks, and this may also provide opportunities for replication of the RECTYRE model.

1.C) Importance of road and rail in comparison with other transportation modes.

The fact that road and rail are important or even preferential modes of transportation in a country may also constitute an opportunity for the construction or the renovation of the road and railways networks (thus including for the construction of embankments).

1.D) High investment in infrastructure in the last 5 years (absolutely and also considering modality).

High investments of a country in infrastructural works (and more considerably for road and rail) may also provide opportunities to replication.

1.E) Existence of private investment.

The existence of private investment in a country for infrastructural works may provide more opportunities of constructing embankments, hence opportunities for replication of the RECTYRE model as well.

2. Potential opportunities originated from the Country's characteristics

2.A) Orography of the country.

The orography of a country may also provide opportunities for the construction of roads or rail embankments. Embankments may be more often constructed in relatively flat landscapes, where roads or railways, which would need to cross each other, would require one of the two paths being elevated above the other path’s level.

2.B) Size of the country.

The size of a country may also impact on the opportunity to have a major number of embankments being constructed in the same country.

All the above described barriers and opportunities will be evaluated according to commonly defined scores in Deliverable D4.2 "Model Adaptation for EU scenarios", allowing for a clusterization of the countries in order to simplify the model adaptation.


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5. CONCLUSIONS

In this deliverable, all the relevant information for upstream (end of life tyres supply) and downstream market have been collected for 25 European countries.

The information collected for each country included data on the ELTs management system, important actors and their responsibilities, statistics on ELTs generation and recovery, information on the downstream market, i.e. situation and evolution of transportat infrastructure.

The analysis of the collected information allowed to identify common barriers that threatens the replication of the RECTYRE model as well as opportunities that may favour the replication of the model itself, that will be evaluated and further analysed in Deliverable D4.2, where the RECTYRE model will be adapted to selected groups of countries.

cip eco-innovation agreement number - eco/08/239011/si2 ... · project funded by the executive...

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