Furthering the Circular Economy: The Basel Convention Paul Hagen, - - PowerPoint PPT Presentation

Thursday, October 4, 2018

Garden Court Hotel| Palo Alto, CA

ICT Environmental, Sustainability

and Supply Chain Counsel Roundtable

Furthering the Circular Economy: The Basel Convention

Paul Hagen, Beveridge & Diamond, P.C. Rick Goss, Information Technology Industry Council

Overview

• Parties to the Basel Convention have launched an ambitious

negotiation to review and revise the scope of the Convention

• Initial focus on:

– Waste classification of used electronics destined for reuse and repair – Hazardous waste classification of electronics, lithium-ion batteries – Control of waste plastics

• Active industry engagement will be required to preserve

circular economy business models

Quick History of Basel Convention

Global concern

• ver dumping of

hazardous waste in developing countries (1980s) Basel Convention signed in 1989, entered into force in 1992 186 Parties to the Convention United States signed but is not party Parallel agreement governs trade in recyclables among OECD countries

Basel Convention

• Global agreement covering waste shipped for

disposal or recycling

• Provides framework for “waste” and

“hazardous waste” classifications

• Covered shipments subject to prior notice,

consent, documentation

• Environmentally Sound Management
• Various trade bans
• Implications for repair, EPR programs, and

circular economy

Revisions to Convention Annexes

• When are used electronics wastes?
• Are waste electronics hazardous?
• Should movements of waste plastics be

controlled?

• Negotiations already underway with decisions at

COP-14 (May 2019) and COP-15 (2021)

• Legally binding – outcome will change national

waste laws world-wide

Electronics Destined for Repair, Reuse

Negotiations to Amend Annexes

• Parties established a new Expert Working Group (EWG) to review Convention Annexes and to

propose amendments – Annex I: Waste streams and constituents considered hazardous – Annex III: Hazardous characteristics – Annex IV: Final disposal and recycling operations (waste scope) – Annex IX: Waste entry for non-hazardous electronic waste (and related references to reuse and repair)

• Outcome will determine legal and logistical requirements for shipments for repair, reuse and

recycling world-wide

• EWG meeting held in March (Geneva); meets again in December (Buenos Aires)
• Discussions at COP-14 (2019) and decisions expected at COP-15 (2021)

Waste Classification for Electronics Will changes further the circular economy?

Non-Wastes No Basel Requirements Apply Annex IV and B1110 in Annex IX (and TGs) Presumptively non- hazardous Wastes in Annex IX No Basel Requirements Other Wastes in Annex II Subject to Basel controls U.S. non-party ban applies but not Basel Ban Amendment Hazardous Waste Annex I & Annex III with listing in Annex VIII Controls and trade bans apply

EWG-RA: Direct Reuse and Repair

• “Direct re-use” in Annex IV.B heading
• Waste operations listed in Annex IV.B

– Proposals to reference “preparation for reuse”

• Remove text in Annex IX B1110 waste listing for electronics

referencing re-use and repair

• Glossary and Technical Guidelines

Waste listings for electronics to be revised (hazardous/non-hazardous)

A1180: Waste electrical and electronic assemblies or scrap containing components such as accumulators and other batteries included on list A, mercury-switches, glass from cathode-ray tubes and other activated glass and PCB-capacitors, or contaminated with Annex I constituents (e.g., cadmium, mercury, lead, polychlorinated biphenyl) to an extent that they possess any of the characteristics contained in Annex III B1110:Electrical and electronic assemblies:

• Electronic assemblies consisting only of metals or alloys
• Waste electrical and electronic assemblies or scrap

(including printed circuit boards) not containing components such as accumulators and other batteries included on list A, mercury-switches, glass from cathode-ray tubes and other activated glass and PCB- capacitors, or not contaminated with Annex I constituents (e.g., cadmium, mercury, lead, polychlorinated biphenyl) or from which these have been removed, to an extent that they do not possess any of the characteristics contained in Annex III

• Electrical and electronic assemblies (including printed

circuit boards, electronic components and wires) destined for direct reuse, and not for recycling or final disposal

Proposals to Expand Hazardous Waste Classifications for Electronics

(Annex I - Presumptively Hazardous)

• Aluminium, aluminium compounds
• Brominated flame retardants
• Electrical and electronic assemblies
• Lithium/lithium batteries
• Wastes containing nanomaterials
• Wastes from production, use of plastic products
• Waste toners
• Other waste consumer items

Products with Lithium-Ion Batteries

• Different views on hazardous waste

classification

• EWG-RA to consider changes to Annex I

(constituents/categories)

• Priority for review (EU, Canada)
• Risk of hazardous waste listing
• Risk of Annex II listing?
• Guidance for national inventories (COP-14)

Plastic Waste Listing Negotiations

Hazardous Waste Other Wastes Annex IX

EU to propose changes to Annex I constituents and categories (EU) Negotiations on Annex III characteristics Proposals for threshold limit values on constituents Basel controls apply Non-party trade ban (U.S.) Ban Amendment Applies

Norway proposal for all plastics in Annex II Mixed reception at OEWG Narrower listing? Basel controls apply Non-party trade ban (U.S.) Norway proposal to delete current Annex IX listing for plastics Parties appear supportive

• f keeping some plastic

wastes on Annex IX COP-14 to consider revisions Outside Basel controls Beneficial to circular economy

Opportunities to Promote Circular Economy

• Proposals for concentration values or “limits of contaminants”

for Annex I constituents

• Clarify testing procedures for Annex III characteristics, in

particular H10 through H13

• New Annex IX listings (presumptively non-hazardous)

Other COP-14 Decisions

• Inventories and reporting for waste

cartridges and toners

• Future work on wastes containing

nanomaterials

• New guidance document for

governments on EPR and financing

• Coordination between Basel and

WCO on HS Codes

BRS MEAS https://www.flickr.com/photos/63284352@N08/4 4487973871/in/album-72157699400085271/

Basel “Ban Amendment”

• Adopted in 1995 but not yet in force
• Prohibits exports from OECD to non-OECD countries
• Applies to “hazardous wastes” defined under Art. 1(1)(a) (not to “other

wastes”)

• Already implemented by EU and others
• Likely to take effect within 12-24 months
• Outcome of Annex negotiations will define long-term impact

Comment and Meeting Timeline

• Sept 28, 2018: Comments due on Annex I and III
• Early Oct, 2018: Norway to release revised proposal for plastics listing in Annex II and IX
• Oct 31, 2018: Comments due on COP decision on marine plastics litter and microplastics
• Dec 5-8, 2018: Meeting of the EWG on ESM
• Dec 10-13, 2018: Meeting of the EWG on Annexes (Buenos Aires)
• Dec 17, 2018: Comments on terms of reference and work plan for plastics waste

partnership

• Jan 31, 2019: Comments on options for further work on wastes containing nanomaterials
• Feb 19, 2019: Comments due on Glossary of Terms
• April 28 – May 9, 2019: COP-14 (Geneva)
• Sept 2020: OEWG-11
• May 2021: COP-15

Optimizing Engagement and Advocacy

• Confirm working group participation of 8-10 companies
• Coordinate advocacy through ITI and other trade groups
• B&D to continue strategic advice and legal support

– Funded directly by participating companies?

• Monthly updates and strategy calls
• Comments on key documents and proposals – anticipate need

for more technical input

• Participation at COP, OEWG and EWG-RA meetings

Questions? Thank you!

Next Meeting

Data Centers

April or May 2019 Austin, TX

2018 Fall ICT Environmental, Sustainability and Supply Chain Counsel Roundtable

Russ LaMotte rlamotte@bdlaw.com Rick Goss rgoss@itic.org Paul Hagen phagen@bdlaw.com Ellen Jackowski ellen.jackowski@hp.com Lauren Hopkins lhopkins@bdlaw.com