Recycling Development Center Advisory Board Meeting - December 8, 2021 | 9am - 12pm (Pacific time) - EZview
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Recycling Development Center Advisory Board Meeting
December 8, 2021 | 9am – 12pm (Pacific time)
1
Participating in this meeting:
Anyone may use the chat box to ask questions.
Board members and presenters may unmute themselves.
We will have opportunities for public comments throughout the meeting.
Note: we are not recording this meeting, meeting notes will be posted on the Advisory Board website.
2
Agenda
9:10 am Board roundtable, agency updates
9:45 am Legislative update
9:55 am King County Re+ update
10:20 am Plastic presentations and discussion
11:55 am Wrap-up
3
Center updates
Board member roundtable
Ecology update
Commerce update
Attendee comments
4
Board roundtable:
Corinne Drennan Allen Langdon
Karl Englund Scott Morgan
Kyla Fisher Mike Range
Deb Geiger Derek Ruckman
Margo Gillaspy Tim Shestek
Nina Goodrich Jay Simmons
Sego Jackson Heather Trim
5
Agency updates:
Kara Steward
Rob Duff
6
LAST board meeting…
• Deb Geiger, Spokane County
• Margo Gillaspy, Skagit County
• Sego Jackson, Seattle Public Utilities
7
New board members….
• Ruby Irving-Hewey, Klickitat County
• Kris Major, City of Spokane
• Chris Piercy, Kitsap County
8
Attendee comments:
Anyone may use the chat box to ask questions.
Board members may unmute themselves.
We will read comments from the chat box or unmute attendees for brief comments.
9
Legislative update
Heather Trim, Zero Waste Washington
102022 • Packaging Extended Producer Responsibility • Organics/methane Legislative • Landfill Gas 2021 • Right to Repair (and Repairability Index) • Batteries Extended Producer Responsibility
NextCycle Washington
Emily Coleman – King County Solid Waste
Division
13NextCycle Washington Launches 2022!
Next Steps • Working with Ecology, Commerce, SPU and other partner jurisdictions to coordinate statewide approach • Co-design workshops and incorporating feedback • Building out communications strategy and developing communications assets • Refining the Re+ grants - King County specific funding
10 minute BREAK
19Plastic presentations
• Dan Weston, Ecology
• McKenna Morrigan, Cascadia Consulting
• Susan Robinson, Waste Management
• Tony Moucachen, Merlin Plastics
20Recycling Development Center
Advisory Board Meeting
Dan Weston
Statewide Recycling Coordinator
December 8, 2021Overview of Ecology Data • Ecology Data Sources • Annual Reports • Recycling Surveys • Waste Characterization • Plastics Study • External Data Sources • Recycling Characterization • Material Export Data • Recycling Market Data
Annual Reports and Surveys
23Materials Collected for Recycling (2018)
Annual Report 96,035 87,921
98,577
70,480
and Survey Data 1,021,153
C&D
Metal
Organics
Statewide summaries Paper
MRW
3,992,443
Other
1,377,111
Glass
County summaries Plastic
Sector breakdown
1,561,977
24MRF Data
25Plastics Collected for Recycling
90,000
80,000
70,000
60,000
50,000
Tons
40,000
30,000
20,000
10,000
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Mixed Plastics PET Plastics HDPE Plastics LDPE Plastics Other Recyclable PlasticsPLASTIC 13.1% 0.9% 692,798 45,145
PLASTIC PACKAGING 7.4% 0.6% 388,526 33,655
#1 PETE Plastic Bottles 0.7% 0.1% 36,210 4,818
#1 PETE Plastic Non-bottles 0.4% 0.0% 19,792 2,027
#2 HDPE Plastic Natural Bottles 0.2% 0.0% 9,520 1,526
#2 HDPE Plastic Jars and Tubs 0.3% 0.1% 14,344 2,897
#2 HDPE Plastic Colored Bottles 0.2% 0.0% 10,649 1,686
#3 PVC Plastic Packaging 0.0% 0.0% 48 41
#4 LDPE Plastic Packaging 0.0% 0.0% 85 58
#5 PP Plastic Packaging 0.7% 0.1% 38,636 4,677
#6 PS Plastic Packaging 0.1% 0.0% 5,387 650
#7 Other/Unknown Plastic Packaging 0.7% 0.2% 36,326 12,573
Expanded Polystyrene Packaging 0.6% 0.1% 29,835 5,137
PLA Compostable Packaging 0.0% 0.0% 1,355 485
Plastic Merchandise Bags 0.4% 0.1% 21,902 4,015
Packaging Film Plastic 2.4% 0.2% 123,992 12,869
Transportation Packaging Film Plastic 0.5% 0.1% 25,730 5,851
Overall Waste Disposed Flexible Plastic Packaging 0.1% 0.0% 5,124 1,316
PAPER PACKAGING 9.8%
R/C Plastic Packaging 0.2% 0.2% 9,590 8,224
PAPER PRODUCTS
PLASTIC PRODUCTS 5.8% 0.9% 304,271 45,757
6.9%
#1 PETE Plastic Products 0.0% 0.0% 59 65
PLASTIC PACKAGING 7.4%
#2 HDPE Plastic Products: 0.0% 0.0% 244 244
PLASTIC PRODUCTS 5.8%
#3 PVC Plastic Products 0.0% 0.0% 67 78
GLASS 2.3%
#4 LDPE Plastic Products 0.0% 0.0% 5 7
METAL 7.5%
#5 PP Plastic Products 0.0% 0.0% 98 61
ORGANICS 22.8%
#6 PS Plastic Products 0.0% 0.0% 840 215
WOOD DEBRIS 13.5%
#7 Other/Unknown Plastic Products 1.2% 0.2% 61,202 12,525
CONSTRUCTION MATERIALS 10.7%
PLA Compostable Products 0.0% 0.0% 385 181
CONSUMER PRODUCTS 7.4% Plastic Garbage Bags 1.3% 0.1% 67,626 7,671
HAZARDOUS AND SPECIAL WASTES 1.7% Plastic Non-bag Film Products 0.4% 0.2% 22,663 9,127
RESIDUALS 4.3% Bulky Rigid Plastic Products 1.9% 0.7% 98,194 34,318
R/C Plastic Products 1.0% 0.3% 52,888 18,023
0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000
Annual TonsPlastic Generation and Recycling Rates
Recycling Rates
PET: 25.8%
HDPE: 18.1%
LDPE: 17.1%
Other: 2.9%
28Recycled Plastic Prices in the PNW
50
40
30
Cents/Pound
20
10
0
-10
PET Colored HDPE PP #3-7
SOURCE: RECYCLINGMARKETS.NETWA Plastic Exports by Country
80,000
70,000
60,000
OTHER
ESP
50,000
VNM
TWN
THA
Tons
40,000 MYS
MOZ
KOR
30,000
IND
IDN
HKG
CHN
20,000
10,000
0
2015 2016 2017 2018 2019 2020Questions?
Dan Weston
daniel.weston@ecy.wa.gov
31Plastic Packaging Management Study Prepared for the Washington State Department of Ecology in 2020 Presentation to the Recycling Development Center Advisory Board – December 8, 2021
Plastic Packaging
“ …make
recommendations to
meet the goals of
reducing plastic
Evaluation &
Assessment Law packaging waste,
(Chapter 70A.520 RCW) including through
industry initiative or
plastic packaging
product stewardship,
”
or both.Assessing Plastic Packaging Waste (Report #1)
410,300 tons of plastic packaging waste is
generated annually by residents and
businesses in Washington State—roughly
112 pounds of plastic packaging waste per
person per year.
~50% is rigid and foam plastic packaging,
50% is plastic film and flexible packaging.• Lack of collection services in many parts of state Plastic Packaging Management Challenges
• Lack of collection services in many parts of state
• Low recycling rates even for readily recyclable
Plastic plastic packaging types
Packaging Material Total Tons Generated Recycling Rate
Management
Rigid & Foam Plastic Packaging 211,340 24%
#1 PET Bottles 55,730 34%
Challenges
#1 PET Other Packaging 35,950 18%
#2 HDPE Natural Bottles 22,260 35%
#2 HDPE Colored Bottles 19,870 33%
#2 HDPE/LDPE Other Packaging 9,580 15%
#5 PP Packaging 24,290 25%
Other Rigid Plastic Packaging 12,930 17%
Polystyrene Foam Packaging 23,350 3%
Plastic Composite Packaging 7,490 0%
Plastic Film & Flexible Packaging 198,960 10%
PE Plastic Bags & Film 89,030 22%
Other Plastic Film & Flexible
109,930 0%
Packaging
Total Tons 410,300 17%• Lack of collection services in many parts of state
• Low recycling rates even for readily recyclable
Plastic plastic packaging types
Packaging • Plastic packaging contributes to contamination of
recycling and composting streams
Management
Challenges
10% (by weight) of 29% (by weight) of
contamination in total
commingled contamination in
recycling curbside organics• Lack of collection services in many parts of state
• Low recycling rates even for readily recyclable plastic
Plastic packaging types
Packaging • Plastic packaging contributes to contamination of
recycling and composting streams
Management • Plastic packaging ends up in other commodity bales
Challenges
0.4% - 5.2% of typical
bales• Lack of collection services in many parts of state
• Low recycling rates even for readily recyclable plastic
Plastic packaging types
Packaging • Plastic packaging contributes to contamination of
recycling and composting streams
Management • Plastic packaging ends up in other commodity bales
Challenges • Plastic packaging is a substantial component of litter
5.7% of
roadway
litter• Lack of collection services in many parts of state
• Low recycling rates even for readily recyclable plastic
Plastic packaging types
Packaging • Plastic packaging contributes to contamination of
recycling and composting streams
Management • Plastic packaging ends up in other commodity bales
Challenges • Plastic packaging is a substantial component of litter
• Certain packaging design elements disrupt the
recycling system and interfere with recycling• Lack of collection services in many parts of state
• Low recycling rates even for readily recyclable plastic
Plastic packaging types
Packaging • Plastic packaging contributes to contamination of
recycling and composting streams
Management • Plastic packaging ends up in other commodity bales
Challenges • Plastic packaging is a substantial component of litter
• Certain packaging design elements disrupt the
recycling system and interfere with recycling
• The final destination of recyclable commodities and
what becomes of them is largely unknown.Managing plastic packaging waste costs Washington
residents and businesses $165 million per year.
The current recycling system for plastic packaging
in Washington cannot be said to reliably deliver
environmental benefit.• Demand for recycled plastics
What is needed to • Transparency to ensure no harm
manage plastic
packaging waste • Accountability for outcomes
through recycling
for environmental • Packaging design changes
benefit in WA?
• More effective separation
• Increased collectionRecycled Content Use in Washington (Report #2)
Manufacturers Reprocessors
50* identified 11 identified
12 interviewed 4 interviewed
*Likely still includes fabricators and distributors due to unresponsiveness.Lack of
supply
Key Barriers Relative
to Recycled
costs
Content Use Material Regulatory
quality requirements
Consumer
perceptionPotential
Solutions to Improved
collection, sorting,
%
Consumer
education
Increase
processing
Policies to Procurement
PCR Use
Recycled content
increase requirements
minimums
volumes
Industry R&D and market
initiatives development supportPlastic Packaging Management Programs
and Innovations (Report #3)
EPR Reusables
Disposal Bans - Recycle BC
- FreiburgCup
- France CITEO
- Nova Scotia landfill ban - Germany Der Grüne Punkt - Berkeley cup loan service, reusable
- Vermont recyclables/organics - Belgium Fost Plus & VALIPAC foodware ordinance
disposal ban - Ontario Blue Box - Portland GO Box pilot
- Norway DRS
- Oregon Beverage Recycling Cooperative
- California refillable sanitation law
Policy
Taxes & Fees Recycled Content
- California Integrated Waste
% - California AB 792 Multifaceted Measures
Management Fee - California Rigid Plastic - EU Single-Use Plastics Directive
- UK landfill tax Packaging Container Law
Technology
Mechanical Recycling Chemical Recycling
- 7 plastic to monomer facilities
- 33 mechanical recycling facilities
- 13 plastic to fuel facilitiesEven readily recyclable plastic is under recovered
Key Study
Takeaways Barriers exist for supply and demand of recycled resin
There is virtually no transparency about the final
destination of plastics sent for "recycling"
Many system failures are due to the disconnect between
packaging designs and recycling systems
Managing plastic packaging costs $165 million per yearPrimary Recommendations 1. EPR policy framework for all consumer packaging and paper 2. Deposit return system for all beverage containers 3. Recycled content requirements for all plastic packaging Interim Recommendations 4. Producer registry and packaging reporting 5. Recycled content requirements for plastic beverage containers Complementary Recommendations 6. Recycled content requirement for trash bags 7. Ban on problematic and unnecessary plastic packaging 8. Standard for customer opt-in for foodservice packaging and accessories Recommendations for Agency Action 9. Strengthen data collection on final destinations of materials sent for reprocessing 10. Support development and adoption of reusable packaging systems
EPR
18
16
14
Industry & Trade Associations
12
Waste and Recycling Service
10 Providers
Members of the Public
8
Nonprofit or Community-based
6
Organizations
Local Governments
Stakeholder
4
Positions on
2
Recommendations
0
Support Could Support Don't Support No Position
Mandatory Recycled Content
18
16
14
Industry & Trade Associations
12
Waste and Recycling Service
10
Providers
Members of the Public
8
Nonprofit or Community-based
6
Organizations
Local Governments
4
2
0
Support Could Support Don't Support No PositionGraphic courtesy of Senator Mona Das
For more information, please see the Plastic Packaging Study Reports:
• Report #1: Plastic Packaging in Washington: Assessing Use, Disposal, and
Management
thank you!
• Report #2: Recycled Content Use in Washington
• Report #3: Successful Plastic Packaging Management Programs and
Innovations
• Report #4: Plastic Packaging Stakeholder Consultation
McKenna Morrigan
mckenna@cascadiaconsulting.com • Report #5: Recommendations for Managing Plastic Packaging Waste in
WashingtonRecycling Update Washington State Recycling Development Center Susan Robinson December 2021
At-a-Glance: WM in Washington
Employees in WA: 1,330
Recycling Facilities: Fleet and Fuel:
• Cascade Recycling Facility – Woodinville • WM operates 696 collection truck in WA. 82%
• JMK Fibers – Tacoma are running on renewable fuel.
• Spokane Materials and Recycling Technology
Center (SMaRT) – Spokane
Renewable Energy:
Education and Outreach: WM’s PNW public • WM’s Renewable Energy Plant at Columbia
education team has earned national and state Ridge Landfill (Oregon) produces 12.8 MW –
recognition for innovation and tangible results. enough power for 12,500 homes for Seattle City
Wildlife Habitat Light.
WM’s Greater Wenatchee Regional Landfill has 80 acres • Columbia Ridge hosts 90+ wind turbines with
of habitat critical to bird migration and mule deer. The the capacity to produce 150 MW of electricity.
habitat is certified by the Wildlife Habitat Council, serving
as an outdoor classroom for students.
55 CONFIDENTIAL AND PROPRIETARY INFORMATION OF WMRecycling at WM
• National and state climate goals are
increasing the pressure to reduce
GHG emissions. Recycling will play
an important role in achieving U.S.
climate goals.
• WM recycling services help our
customers reduce their environmental
impact. WM will invest over $150 M
in recycling infrastructure 2021 and
$200 M in 2022, bringing our 5 - year
total to over $700 M.
• The company has added five new
materials recycling facilities (MRFs)
in the last two years and is upgrading
20 MRFs today.
• By 2023, roughly 95 percent of WM’s
tons per year will be recycled at
52 Single Stream
MRFs with the latest technology. 30 Commercial
56 DEPARTMENT NAME HERE PRESENTATION TITLE CONFIDENTIAL USE ONLY 12 Other
9 C&D2021 Recycling Highlights
• Since China’s retreat from the import market in 2018, domestic markets have slowly
come online – particularly for paper and plastic.
• The domestic recycling industry has adapted and grown stronger as a result of the
global market reset of 2018-2020 – and it is still growing.
• Recyclers are investing in processing technology to counter labor shortages on
collection routes and in MRFs, while ensuring that high quality recyclables are sold to
discerning end markets. This ensure long-term resiliency.
• Market growth is being supported by pressure on the packaging industry – and the
plastic industry in particular. Producers/Brand commitments to use post-consumer
content have helped push post-consumer plastic values to record high levels.
The combination of these market drivers are leading to growing interest in plastic collection and processing
across the U.S.
57 CONFIDENTIAL AND PROPRIETARY INFORMATION OF WMProduct Demand – Recycle Content Commitments
Manufacturers have made commitments to using post-consumer content in bottles to reduce GHG emissions and
marine debris, driving up the value of plastic.
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WMWhat is in the bin – by weight?
Residue
20%
OCC
Plastics 35%
5%
Glass
14%
Mixed Paper
23%
Aluminum
1%
Steel/Tin
2%
Plastic water and soda bottles (#1 PET), Milk jugs (#2 HDPE) and Polypropylene bottles and tubs (#5 PP)
make up less than 5% of the weight of all materials sold at WM MRFs.
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WMValue in the bin?
Plastics
28%
OCC
44%
Aluminum
10%
Mixed Paper
15%
Steel/Tin
3%
Currently, plastic water and soda bottles (#1 PET), Milk jugs (#2 HDPE) and Polypropylene bottles and tubs
(#5 PP) make up almost 30% of the commodity value of allCONFIDENTIAL
materials soldOF WMat WM MRFs.
AND PROPRIETARY INFORMATIONRecycling Commodity Markets Update
Prices have continued to increase in 2021 – 14 straight months of increased prices
• Overall, commodity values have recovered from the long-term low values of the past 4 years and are now
at or near record highs
• Plastic commodity prices continue to be at all-time highs and all 3 of the major plastic grades we recycle
61 (HDPE, PET, and PP) are in short supply. CONFIDENTIAL AND PROPRIETARY INFORMATION OF WMPET Generation and Recycling by Region
62
EPA Region (‘000 PET
PET Generation
tons) Recycling
NE 163 52
NY/NJ 406 133
Mid-Atl 399 70
SEast 893 172
Grt Lks 590 139
SCen 460 85
MidWest 152 29
MtnPln 153 27
PacSW 651 221
PacNW 118 40
CAN N/A N/A
Total 3,986 969
Sources: NAPCOR (2019 data); WM (2021 Jan-Aug annualized data)63
PET Markets
EPA Number PET
PET
Region of Reclamation
Throughput
(‘000 tons) Facilities Capacity
NE 0 0 0
NY/NJ 2 59 79
10 Pacific 5 Great Lakes 1 New
Northwest
8 Mountains
and Plains
England Mid-Atl 1 53 70
2 NY/NJ
SEast 6 321 429
9 Pacific
Southwest 7 Midwest 3 Mid-Atlantic Grt Lks 5 192 256
SCen 1 37 49
MidWest 0 0 0
4 Southeast MtnPln 0 0 0
PacSW 6 162 217
6 South Central
PacNW 1 11 14
CAN 4 123 164
In addition to the facilities shown above, there are 4 PET reclaimers in Canada that purchase
material from the U.S.
Total 26 956 1280
Sources: NAPCOR (2019 data), RRS End Market Database (2021 throughout and capacity data)WM PET Flow by EPA Region 64
PET Received from
Outside Regions
(tons)
SEast 67,441
PacSW 1,071
NE 177
AB 84
SCen 949
BC 1,147
Grt Lks 1,956
MtnPln 2,585
Recovered & Consumed Within Region Arrows show movement between regions
Recovered in Region and Exported with colors and quantities corresponding
to the above legend65
PET End Uses
End Markets for Recovered PET
End Use PET % ‘000 Tons*
Other (Inc. Engineered Resin) Non-
Non-Food Bottles
Packaging
packaging Fiber 41% 334
3%
7%
Food & Beverage
Strapping Non-
28% 228
packaging
7% Bottles
Sheet & Film 15% 122
Strapping 7% 61
Fiber Non-packaging
Sheet & Film Non- 41%
packaging
15%
Non-Food Bottles 7% 56
Other (Inc.
Food & Beverage 2% 22
Bottles Packaging Engineered Resin)
28%
Total 100% 821
*Accounts for import, export and yield loss
• Most food grade, bottle-to-bottle rPET is made from
deposit material.
• Biggest reclaimers in SEast focus on fiber
production.
Sources: NAPCOR (2019 data)66
HDPE Recycling, Disposal, and Reclamation by Region
600
500
400
'000 Tons
300
200
100
-
NE NY/NJ Mid-Atl SEast Grt Lks SCen MidWest MtnPln PacSW PacNW
Total HDPE Ccontainers and Packaging Recycling Total HDPE Containers and Packaging Disposal HDPE Reclamation Throughput
HDPE includes all containers and packaging. Does not include durable goods.
Note: When throughput tons are higher than recycled tons, there is a regional gap in supply / collection (they import tons into the region), and if throughput is below
the green line there is a regional gap in market infrastructure / demand (they export tons out of the region).
Sources: APR/ACC U.S. Post-Consumer Plastic Recycling Data Summary (2019 data); 2020 ACC Resin Review (2019 data); RRS End Market Database (2021
throughput)67
HDPE Markets
EPA HDPE HDPE
Number of
• Three largest reclaimers process almost 40% of all Region Reclamation Reclamation
Facilities Capacity
material. (‘000 tons) Throughput
• About half of the market processes both HDPE and PP NE 0 0 0
NY/NJ 0 0 0
Mid-Atl 4 110 148
10 Pacific 5 Great Lakes 1 New
8 Mountains England
Northwest and Plains
2 NY/NJ SEast 6 241 323
Grt Lk 4 74 98
9 Pacific
Southwest 7 Midwest 3 Mid-Atlantic
SCen 3 22 29
MidWest 2 67 91
MtnPln 0 0 0
4 Southeast
6 South Central
PacSW 2 35 48
PacNW 0 0 0
CAN 6 144 194
In addition to the facilities shown above, newly announced facilities include PreZero Polymers
in CA. There are also 6 HDPE reclaimers in Canada that purchase material from the U.S.
Total 27 694 930
Sources: APR/ACC U.S. Post-Consumer Plastic Recycling Data Summary (2019 data); RRS End Market Database (2021 throughput and capacity)WM NHDPE Flow by EPA Region
68
NHDPE Received from
Outside Regions (tons)
SEast 10,995
Grt Lks 1,315
MidWest 3,635
PacSW 182
BC 1,865
Mid-Atl 5
ON 8
Arrows show movement between regions
Recovered & Consumed Within Region
with colors and quantities corresponding
to the above legend
Recovered in Region and ExportedWM CHDPE Flow by EPA Region
69
CHDPE Received from
Outside Regions (tons)
SEast 4,039
Grt Lks 2,938
MidWest 11,057
PacSW 125
BC 2,491
SCen 149
Mid-Atl 162
ON 302
Arrows show movement between regions
Recovered & Consumed Within Region with colors and quantities corresponding
to the above legend
Recovered in Region and Exported70
HDPE End Uses End Use HDPE % ‘000 Tons*
Non-Food Bottles 37% 246
End Markets for Recovered HDPE Pipe 33% 219
Lumber, Decking 8% 53
Other Non-packaging
3% Crates/Buckets Packaging
Lawn/Garden 7% 49
Film/Sheet Non-packaging Pallets Non-packaging
0% 0%
3%
Automotive 7% 47
Automotive Non-
packaging
Film/Sheet 3% 21
7%
Other 3% 21
Lawn/Garden Non-
packaging Non-Food Bottles
7% Packaging Crates/Buckets 1% 2
37%
Pallets 1% 1
Total 100% 658
No updates since 2018
Pipe Non-packaging
*Accounts for import, export and yield loss
33%
• Most packaging uses NHDPE (except black)
Lumber, Decking Non-packaging
8% • Very little is processed for food grade
• CHDPE is used primarily for non-packaging
applications
Sources: ACC/APR US National Postconsumer Bottle Recycling Report (2018 data)PP Generation and Recycling
71
EPA Region (‘000 Tons) PP Generation PP Recycling
NE 66 19
NY/NJ 136 18
Mid-Atl 184 38
SEast 392 29
Grt Lks 245 22
SCen 229 31
MidWest 64 8
MtnPln 61 3
PacSW 338 59
PacNW 55 7
CAN N/A N/A
Total 1,770 236
Sources: APR/ACC U.S. Post-Consumer Plastic Recycling Data Summary (2019 data); 2020 ACC Resin Review (2019 data); WM (2021 Jan-Aug
annualized data)WM PP Flow by EPA Region
72
PP Received from
Outside Regions (tons)
SEast 6,389
Grt Lks 5
NE 65
PacSW 30
ON 1,215
Arrows show movement between regions
with colors and quantities corresponding
Recovered & Consumed Within Region
to the above legend
Recovered in Region and Exported73
PP End Uses
• Negligible amount of recovered PP • Application of recovered PP for packaging
goes to packaging end use due to end use is extremely limited.
high amount of mixed color in • Emerging technologies, such as
recovered PP. PureCycle, have potential to shift this, as it
• Common applications include can remove coloring and other additives to
• Automotive products create a virgin-like resin
• Crates
• Paint buckets End Markets for Recovered PP, 2019
• Pipe
• Lawn and garden products
• Other relatively thick-walled
injection products
• Composite products, such as
lumber and rail ties and other Paint Buckets, Pipe, Pallets, Crates, Caps,
Battery Cases, Limited Packaging, ect.
extruded products. 100%
Sources: APR/ACC U.S. Post-Consumer Plastic Recycling Data Summary (2019 data)74
PE Film Generators
Generator Fraction of Description Typical Bale Grades and Challenges
Recycled
Film
Commercial/ 80% Shrink wrap, shipping film, pallet • PE clear film Commercial film is high quality (Grade A). Grade A film
Industrial wrap, furniture wrap, car /boat • LDPE color film has a high market value, no significant problems
wrap, polybags, industrial films, • Agricultural film capturing that segment.
manufacturing trimmings, Agricultural film is of variable quality: Contamination of dirt,
agricultural film (e.g., ground cover rocks, wood, etc.
film, hay bale film)
Retail drop off 19% Retail bags, bread bags, packaging • PE retail bags and film Mostly Grade B. Retail bag and film market is not
wrap (often mixed with back of robust. There is one large end market and drop off
house clear film) model struggles to reach adequate participation and
• LDPE Color Film volume.
1% Film and flexible packaging not • MRF Film Lowest quality. Capturing at MRF requires specialized
MRF film accepted in most curbside equipment at numerous points in the facility – it is often
recycling programs. Often present identified as a contaminant as it causes operational
and is treated as contamination challenges by wrapping around equipment and causing
down time, and contaminating other streams (e.g.,
paper). Film in most MRFs ends up in residue. Markets
for MRF film are weak because of the high level of
contamination.75 Types of Residential Film Collection Programs
76 Bale specifications Polyethylene film bale quality and acceptability are impacted by the following factors: • The amount of natural vs color film • The extent to which it includes mixed resins (HDPE, LDPE, LLDPE) • The presence of labels or printing • The amount of non-ethylene film rigid containers or other contamination; and • The extent of post-consumer film and moisture Bales consisting primarily of commercial or industrially generated clear films have the highest market value, while mixed color post-consumer film (e.g., MRF film) struggles to find markets.
77 End Market Trends Historically, the largest end market for U.S. collected film was export
78
PE Film End Uses
End Markets for Recovered PE Film, 2018
Injection Molding
(pallets, crates,
buckets) End Use % ‘000 Tons*
12%
Other
8%
Lumber/Decking 46%
160
Film/Sheet 34%
118
Lumber/Decking
46%
Injection Molding
(pallets, crates, 12%
42
buckets)
Film/Sheet Other 8%
34% 28
Total 100%
347
*Accounts for import, export and yield loss.
Sources: ACC More Recycling 2020 Film Report (2018 data)PE Film Markets
79
Number ‘000 Tons PE Film
• Three Largest facilities represent 68% of the market EPA of PE Film Reclamatio
Region Facilities Throughput n Capacity
• Most PE Film sourced from commercial generators
NE - 0
0
NY/NJ 13 21
1
Mid-Atl 103 149
5 Great Lakes 1 New 2
10 Pacific 8 Mountains England
Northwest and Plains SEast
2 NY/NJ 1 4 5
Grt Lks 43 69
3
9 Pacific
Southwest 7 Midwest SCen 125 180
3 Mid-Atlantic 3
MidWest - 0
0
MtnPln - 0
0
4 Southeast PacSW 126 181
4
PacNW - 0
0
6 South Central
CAN 6 10
1
Total 15 418 614
Sources: APR/ACC U.S. Post-Consumer Plastic Recycling Data Summary (2019 data); RRS End Market Database (2021 data)80
End Market Insights
End market research conducted by RRS for the MRFF project yielded the following results:
• Most mechanical recycling end markets source post-industrial or post-commercial films for rail ties,
lumber, sheet, and film-to-film applications. The volume of recovered PE films on the market is
significant, and most was destined to export markets prior to National Sword (China’s 2018 ban on the
import of many grades of post-consumer plastic).
• The mechanical recycling markets for postconsumer films is limited to PE only and focused primarily on
composite lumber.
• Some reprocessors have wash lines for postconsumer PE films to make film-to-film grade pellet.
However, most film reprocessors do not have wash lines and so are very selective about feedstocks.
This is changing rapidly with the growth in interest and investment in mechanical film reclamation.
• There are no commercially operating mixed film plastic reprocessors in the U.S., but there were several
in start-up phase. Commercially operating mixed film plastic processors were identified in Canada,
Europe, and Australia.
• MRF film bales have limited markets due to contamination from other recyclables, organics and
moisture. They are not a target for mechanical reclaimers but if clean enough might be a good fit for
emerging chemical recyclers. Another end market option may be engineered construction and building
products.
Source: Material Recovery For the Future, 2021Recycling Capital Investments & Upgrades: $700M over 5 years
• Next Generation MRFs Completed and/or approved: WM’s is adding/replacing 8 new single stream MRFs,
or 17% of our facilities. These Next Gen MRFs will process 27% of our MRF tons
• Completed facilities: Chicago, Raleigh, SLC, Sun Valley
• Approved for construction: Houston, Elkridge, Woodinville, Cleveland
• Upgrades in SS MRFs: 23 facilities (49% of our MRFs) are being upgraded. They process 57% of our tons.
• Combined, we are investing in 31 facilities that process over 95% of our MRF tons.
WM is making commitments to grow its recycling business, with recycling playing an integral role in our growth
strategy.
Chicago, IL
81 Oakland, CA CONFIDENTIAL AND PROPRIETARY INFORMATION OF WMYOUR PLASTICS SOLUTION FOR THE FUTURE
PRESENTATION OUTLINE Merlin Plastics Overview – What We Do Merlin Plastics and the Pacific Northwest Demand for Recycled Plastics – Legislative support in Pacific Northwest and California Factors for Circular Success Thank you
RECYCLING IS OUR BUSINESS
• From curbside collection & recycling depots
• To sortation facility, largest on the West Coast
• Processing of plastic containers into recycled polymer that meet
or exceed the market demand
84OVERVIEW: THE MERLIN GROUP
• One of the ten largest post-consumer plastics processors in North
America
• Seven facilities in North America
• 400 employees
• Over 350 million pounds of discarded plastic packaging processed
annually
85OVERVIEW: THE MERLIN GROUP
• 30 years in business
• RCA “Outstanding Contribution to Recycling” award
• RCBC award “in recognition of ongoing commitment to the ideals of responsible
environmental stewardship”
• Founding member of the Canada Plastics Pact
• Member of the Association of Plastics Recyclers since its inception and presently a board
member.
• FDA LNO for HDPE natural and PET
• US and Canadian patents for:
– Label release and Separation System - registered in the US and in Canada:
– Briquette and Label Separation System - registered in Canada
86MERLIN PLASTICS AND THE PACIFIC NORTHWEST
• Population base of the Pacific Northwest:
– Washington – 7.8 million
– B.C. - 5.2 million
– Oregon – 4.3 million
• Where does Merlin’s Washington feedstock come from?
– MRFs from municipal curbside programs.
– Approx. same volume goes back into Washington to be molded into many
applications including injection molding and extrusion applications, thereby
displacing non-renewable resources such as virgin resin.
– Our incoming feedstock and outgoing supply includes HDPE, PP and PET.
• We buy sorted plastics, but we also provide sortation services if they are needed to
support other MRFs or municipal programs.MERLIN PLASTICS AND THE PACIFIC NORTHWEST
• Merlin has been supplying multiple
Washington state manufacturers with
PCR for many years including
‘McConkey Grower Products’ in
Sumner for use in their plastic garden
containers.
• In 2018, Merlin became a part owner
in McConkey which further solidified
our connection to Washington and our
circular goals in the state.
• 80 green jobs were created through
this investment and partnership.MERLIN PLASTICS AND THE PACIFIC NORTHWEST • Demand for PCR is increasing thanks to: – New minimum PCR content regulations announced in Washington – New PCR commitments from brand owners • We therefore expect to be even more active in Washington state • With our home and many facilities located in the Pacific NW, Merlin believes that it can be very effective and provide excellent service and quality to our Pacific NW customers at a competitive price.
DEMAND FOR RECYCLED PLASTICS – LEGISLATIVE
SUPPORT IN PACIFIC NORTHWEST AND CALIFORNIA
Legislative support has been enacted in California (2020), Washington (May 2021) and Oregon (August
2021)
Governor Newsom signed into law Assembly Bill 793 (Ting and Irwin, Chapter
115, Statutes of 2020) on September 24, 2020, which establishes recycled
content standards for plastic beverage containers subject to the California
Refund Value (CRV). The law requires a postconsumer plastic recycled content
standard of 15 percent beginning January 1, 2022, increasing to 25 percent on
2025 and 50 percent on 2030. This applies to all beverage containers sold in
California, whether manufactured there or not.
In May 2021, Washington state signed into law that says, starting in 2023, plastic
bottles will be required to initially average at least 15% post-consumer resin
(PCR), gradually increasing to 50%. In addition plastic trash bags are to start at
10% PCR and increases to 20%.
In August 2021, Oregon signed into law the Plastic Pollution and Recycling
Modernization Act. It will: modernize Oregon's recycling system; make recycling
easier for the public to use, expand access to recycling services, upgrade
. sortation facilities, and create environmental benefits while reducing
social/environmental harms, such as plastic pollution.USE OF RECYCLED PLASTIC IS ACCELERATING • Progress report from the Ellen MacArthur Foundation’s Plastics Pact indicates that there is much more growth in recycled plastics use to come. • Recycled content in packaging grew by 22% year on year, showing an encouraging trajectory towards 2025 post- consumer recycled content targets
The following tables
from the Ellen
MacArthur
Foundation’s “Plastics
Pact Progress Report”
illustrates the level of
recycled content that
has been achieved by
the major “Fast Moving
Consumer Goods”
(FMCG) companies as
of 2020.
• The center section of the tables (outlined by the yellow box) show the current recycled
content levels achieved versus the current commitments of each major consumer
packaged goods company.
• This indicates there is significant growth in demand yet to be realized.PYRAMID FOR CIRCULAR SUCCESS
1. We need to encourage design for
recyclability so that poor packaging
design does not create a road block on
our path to circularity. We believe it is
important to incentivize and work 3. PCR
together with brand owners to achieve content
better recyclability and circularity.
2. Once packages are designed to be 2. Recycling infrastructure
recycled, then programs and development
infrastructure need to expand to
capture the recyclable packaging. This 1. Design packaging for recyclability
will ensure the packaging does not end
up in our natural environment. (1) Strong base (Design for recyclability)
3. Once we have packaging that is designed + (2) Recycling infrastructure
to be recycled, and the needed
programs/infrastructure in place, then = (3) Successful & reliable markets
circularity will become an achievable (Poor design and/or poor infrastructure = pyramid crumbles)
reality.THANK YOU
www.merlinplastics.com
Vancouver Headquarters
109 – 917 Cliveden Avenue
Delta BC V3M 5R6
Canada
Phone: (604)-522-6799
email: tony@merlinplastics.comWrap up
Next meeting:
• Wednesday, February 9, 2021
• Topic: Plastic material (part 2)
Tasks from today:
• Notes from today will be posted next week
• Final glass summary
• Draft plastic summary
96See you at the
February 9 meeting
th
Link to the next ZOOM meeting will be
included in an email update next week
with today’s notes.
97You can also read
