SAIEE– Information SessionSection 18 EPR Regulations
and Notices
SAIEE Webinar
16 February 2021
Presented By: Patricia Schröder - Director
EPR Legislation
• EPR Regulations and Section Notices were Published on 05 Nov 2020 for implementation:
• Section 18 Extended Producer Responsibility Regulations (All Industries)
• Section 18 Sector Notices (EEE, Lighting & Paper & Packaging)
• Sectors not satisfied and requested amendments
• Amendment process granted by the Minister who subsequently issued amendment for implementation date to change to 05 May 2021
What is the Difference ?
• Applicable to EEE & Lighting Sectors• How implementation will be done• Products and Class of products
Identified• Sets Targets
• Applicable to ALL Sectors• Provides Framework for all
S18 EPR Schemes• Minimum Requirements for EPR
Schemes and PRO’s to operate
Section 18 – Definitions
“Producer” means any person or category of persons or a brand-owner who is engaged in the commercial manufacture, conversion, refurbishment or import of new and/or used product.
“Brand Owner”Means a person, category of persons or company who sells any product under a registered brand label.
"Producer responsibility organization" (PRO)means a non-profit company established by producers operating in any of the industrial sectors or waste streams covered in the Notice to support the implementation of their industry S18 Scheme
Definitions (cont.)
“ Extended Producer Responsibility”(EPR)means a producer’s responsibility for their product is extended to the post consumer stage of a products life-cycle
“Scheme”means a system that puts EPR obligations into effect
“Free Rider”means a firm or individual who benefits from the actions or efforts from another, in relation to an extended producer responsibility scheme, without sharing the obligations and the costs
WHAT IS EPR AND PRO ?
Extended Producer Responsibility (EPR) is a policy approach under which producers are given the end-of-life FINANCIAL and OPERATIONAL responsibility for their products put on market. This mainly involves a take-back scheme of post-consumer products for the collection, transportation, repair, refurbishment, management and treatment.
• Assigning such responsibility could in principle provide incentives to prevent waste going to landfill, promote environment protection and support the achievement of consumer recycling and materials management goals. It further extends to beneficiation opportunities, innovation, skills development and job creation.
A Producer Responsibility Organisation (PRO) is an organisation that assists producers meet their extended producer responsibility targets through various key stakeholders within the value chain in the country. The PRO is responsible for setting up and managing the value chain mechanisms for the targeted waste material and to create awareness for the recycling of all lighting, electrical and electronic waste.
PRO
Regulated Extended Producer Responsibility Scheme Models per the National Pricing Strategy for Waste Management
Main points on EPR Regulatory Requirements
• Regulations make all PRODUCERS fully accountable for compliance
• The Regulations make the PRODUCERS responsible and liable for the development and implementation of an EPR scheme plan and compliance against each product’s targets
• The process will be managed and financed by the PRODUCERS of EEE and Lighting Equipment through the payment of an EPR fee by the PRODUCER.
• Fees will be determined for each producer based on volumes of products or class of products put on market.
• The fees are dependent on weight and recyclability of each item on a rand per kilogram or per unit, depending on the product. The products that are more difficult to collect or recycle will attract a higher fee.
• PRODUCERS will be required to conduct life-cycle assessments, within 3 years for each product, accounting for changes in design, composition or production process in order to reduce the consumption of natural resources as well as toxicity and volume of waste generated. EPR will, in turn, promote design for recycling.
Main points of the PRO Regulatory Requirements• A producer must register with a compliant PRO. Non-registration means that the
Producer will be a “free-rider” and face the severe penalties (Imprisonment up to 15 years, Fines, or Fine and Imprisonment)
• PRO must be a registered non-profit company, be managed by a BoD
• The PRO must register with the Department (DEFF)
• Producers must register with DEFF (PRO will notify when this Registration process opens)
• PRO must be a registered non-profit company, be managed by a BoD, and comply with the Company’s Act, NPO Act and Corporate Governance Guidelines.
• PRO’s have the vital role in representing the collective interests of their respective sectors.
• The PRO is the vehicle to assist all producers to meet the regulatory requirements and the PRO represents all Producers in managing the EPR Scheme
• The regulations require that the PRO submits an EPR Scheme implementation plan on behalf of the Producers. The scheme implementation plan that will be developed along with the proposed EPR Fee, must be submitted for Ministerial approval by no later than the 5th November 2021, the development and operations must be funded by all the Producers.
• The Producers will be required to report performance measured against the individual targets and to submit verified data and performance audit reports to DEFF at various intervals annually. The PRO will fulfill this requirement for the Producers.
• Collect, administer and disburse the EPR fees collected from Obligated Producers
Main points on Lighting Sector Notice
• Must set up the procedures, processes, and invest resources to IMPLEMENT the EPR measures linked to:
a) Collection of products in post-consumer stage
b) Reuse
c) Recycling
d) Energy Recovery etc.
All the above must comply with the waste management act and other applicable regulations in terms of licensing and registrations of the post-consumer service providers
• Must set up a Producer Responsibility Organisation – Lightcycle SA NPC Established
• Targets are set for the products for a five-year period
TARGETS
Lighting Sector PRO – Lightcycle SA NPCApplies to Producers of Lighting Products or Class of Products to which extended
producer responsibility as per the Section 18 Notice
Normal Membership (Available to Producers and Other Stakeholders in the value chain)
❖ Tiered Membership which has a sliding scale membership fee structure• Patron Members• Small Enterprises• Medium Enterprises• Large Enterprises• National, Provincial and Local Government institutions• Academia• Individual Members
❖ Deliverables/Benefits (not limited to)• Communications on current legislation, industry news etc• Producers will be able to participate in the EPR Scheme development• Access to auditing and verification services for suppliers to meet Regulatory and PRO supply chain
requirements (certification)• Access to training and development programs• Knowledge sharing and consumer awareness campaigns• Marketing and advertising opportunities• Research and Development
Est. 2018
Lighting Sector PRO – Lightcycle SA NPCApplies to Producers of Lighting Products or Class of Products to which extended
producer responsibility as per the Section 18 Notice
PRODUCER EPR MEMBERSHIP (Available to Obligated Producers Only)
❖ Deliverables as per the regulatory requirement for PRO’s (not limited to)
• Provide compliant and transparent EPR Support to Producer Members• Collection and handling of the EPR Fees (market data etc kept confidential and not shared)• Ensure Producer compliance and reporting to DEFF as per the Section 18 Regulations• Disbursement of fees to the supply value chain to meet the targets and obligations of producers• Skills development Program development• Job creation in the sector• Support the recovery, recycling, waste reduction, beneficiation opportunities etc. • DEFF and other Government Liaison• Informal Sector Integration• Establishment of best practice and industry Norms and Standards• Embracing Circular Economy Principles
Customs/ SARS/DEFF
(Support)
Lightcycle SA Black Box Registry
Producers Pre-Consumer
Lightcycle SA NPCOperations
Lightcycle SA Post-Consumer Value
Chain/Other Social Services or Projects
DEFF (High Level Monitoring and
Policy/Enforcement)
DEFF (Target Reporting and Free
Rider Identification)
DATA(Aggregated)
ZAR
LIGHTCYCLE SA NPC BLACK BOX REGISTRY AND OPERATIONAL FUNCTIONS
NEXT STEPS
Register now to become a Member • Available on Lightcycle SA Website
https://lightcyclesa.org/register-with-the-pro/
Choose the correct menu to register as:
• Producer• Brand Owner• Service Provider • General Memberships (Individuals, NGO’s.
Institutions such as Academia, Government etc.
Communication and invoicing will follow once registered.
WWW.LIGHTCYCLESA.ORG
Email: [email protected]
Summary
• PRO’s will have a vital role in assisting producers to identify shared constraints and synergistic opportunities
• Along with stronger collaboration across the value chain, a mindset shift will be needed not only for legislative compliance, but also for the benefit of the consumer and environment.
• Intensive consumer awareness campaigns will also help to drive behaviour change
• EPR will see an investment in collection infrastructure, not only providing consumers with more convenient recycling facilities, but also a concerted recovery effort at the pre-consumer post-industrial phase.
• EPR will be about the journey, not the destination, and you cannot go it alone.
Contact:
Patricia Schröder – DirectorEmail: [email protected]: 0824927356
Electronic and
Electrical PRO
What is e-Waste
"e-waste" is an abbreviation of "electronic and electrical
waste". A key part of the definition is the word "waste"
and what it logically implies – that the item has no
further use and is rejected by the owner in its current
condition.
E-Waste is a term used to cover items of all types of
electrical and electronic equipment or component parts
(EEE), powered either by Alternating or Direct current,
that have been discarded by the owner as waste without
the intention of re-use.
Who is EWASA• The e-Waste Association of South Africa (EWASA) was established in 2008
to manage the establishment of a sustainable environmentally sound e-waste management system for the country
• EWASA is a Level 2 BBBEE NPC Producer Responsibility Organisation
• Since inception it has been working with manufactures, vendors and distributors of electronic and electrical goods and e-waste handlers (including refurbishers, dismantlers and recyclers) to manage e-waste effectively.
• Management of EPR funds, data clearance and controlling
• Quality control through independent technical experts and auditors
• Public Relations
• Education & Training
• Research & Development
• Skills transference
• Technology development
• Beneficiation of waste
• Job creation
• Social compacts
• Manage EPR schemes on behalf of Producers
Who is the customer?
◼ Institutional• Government at all levels
National DepartmentsProvincial DepartmentsLocal government
• Large private organisationsBusinessIndustry
◼ PublicSmall businessPrivate individuals
Producers Dismantlers Recyclers Academia
Samsung 2nd Life AST Vaal TVET
Canon AEW Refinery Wasteplan Durban TVET
Black& Decker Bolunga Oricol SATN
Stanley Dark Metals Gauteng Metal uYILO eMobility
Pick n Pay Newtech Green Office Nelson Mandela Uni
ConvaTec Partserv Just PC’s UN H2020
Accerio Shredmaster Reclite UNEP
Battcol Xperien Sindawoyne EMPA
SECTIONAL MEMBERSHIP/PARTNERSHIPS
Guiding Principles
•Responsibility Manufacturers/importers need to commit to the recycling of their products and ensure that the recycling solution operates smoothly.
•Simplicity Consumers, traders, manufacturers and recyclers, must easily understand and implement e-Waste recycling.
•Reliability Crucial steps in the recycling chain require independent, trustworthy control.
•Liquidity If the market value of the recycled material can’t pay for the process, additional funds have to be introduced, such as the Extended Producer Responsibility Fee on new equipment that allows for their return of all goods free of charge in a environmentally responsible manner.
SORTING/SEPARATION/GRADING
DISPOSALMATERIALRECYCLING
REFURBISHMENT
LOGISTICS
COLLECTION
VIABLENONVIABLE
Green E-Waste Channel
Structure of e-Waste Recycling Industry in
SA
Tier 1 – Cradle to Cradle Recyclers (WEEE Standards)
Tier 2 – First line Recyclers
Tier 3 – Entry level Dismantlers
Tier 4 – Informal Waste Collectors
CONTROL SYSTEM
Collection Transport
Entry
Recycler
Treatment Results
Comparison
•Quality Assurance
Planned outcomes
• Collection of all material (with or without value) is
governed by the solution
• Local dismantling and recycling can create jobs
• Local profit for metals that are not hazardous to
recycle
• Access to global materials market where
beneficiation options do not exist in South Africa
• Material to be channelled into local/appropriate
beneficiation, closing the material loop
Material Value
• E-Waste has elements that contain positive and
negative value
• Overall value is affected by collection and treatment
cost
• Manual process generates more value
• Manual process is more suited to lower wage
countries
• Material values can change over time from positive to
negative or neutral
Socio-Economic Value
• Currently the majority of e-waste collected and treated
holds value
• Non-valuable e-waste is stored or dumped –
appropriate treatment costs
• Extended Producer Responsibility (EPR) principles
enable all fractions to be treated appropriately at end of
life (Lifset 1993, Lindqvist & Lifset 2003, Kunz 2014)
• EPR becomes a financial safety net and creates a
market demand for material
• Consumers know the e-waste will always be collected
and treated.
• Government does not need to finance the
collection and treatment
Material supply chain growth
• Treatment capacity for all fractions is currently limited
• Valuable fractions including some plastics are
treated
• CRT displays, certain batteries and other
products need exporting for specialist treatment
• Expanding the treatment capacity is an
opportunity given EPR collections will need
treating
• Interdependency of neighbouring countries and
knowledge transfer will generate
sustainable growth
Consumer – Domestic and Industrial
Recovery
Organisation
(PRO)
WEEE FINANCING, COLLECTION ANDRECYCLING
Municipalities Retail trade
Collection Sites of
PRO
Treatment / Recycling
Material Flow
Financing
Reporting
State Authority
FINANCING OF RECOVERY AND
RECYCLING OF WASTE
Obliged companies through
“Extended Producer
Responsibility” principle
Cars BatteriesConstruction
Waste
Industrial
Waste
Packaging
Waste
Electrical and
Electronic
Equipment
Industry through
„Polluter Pays“principle
WasteType
Treatment
financed by
Environmental Sustainability
• Environmental sustainability must be the principal aim
of legislation
• The closing of ‘material loops’, ‘cradle to cradle’,
‘circular economy’
• Already in place for metals
• Producers actively working on plastics
• Its all about preserving South Africa for
generations to come
Enabling Legislation
Sta
nd
ard
s &
En
forc
em
en
t
Acce
ss to
E-W
aste
Co
ntr
ol &
Co
mp
etitio
n
Protect the Environment
PRO Governance
• Critical to ensuring a level playing field for all
stakeholders
• A control system is needed to ensure governance is
effective and appropriateKeith AndersonChairman & CEOE-Waste Association of South [email protected] 535 71460825530373
Question and Answer Session