I CT Environmental, Sustainability and Supply Chain Counsel Roundtable Thursday, October 4, 2018 Garden Court Hotel| Palo Alto, CA
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 Parallel Basel over dumping of agreement Convention United States hazardous waste 186 Parties to governs trade in signed in 1989, signed but is not in developing the Convention recyclables entered into party countries among OECD force in 1992 (1980s) 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 Other Wastes in Hazardous Waste Annex II Presumptively non- No Basel hazardous Wastes Requirements Subject to Basel in Annex IX Annex I & Annex Apply controls III with listing in No Basel Annex IV and U.S. non-party Annex VIII Requirements B1110 in Annex IX ban applies but Controls and (and TGs) not Basel Ban trade bans apply Amendment
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 B1110:Electrical and electronic assemblies: assemblies or scrap containing components Electronic assemblies consisting only of metals or alloys o Waste electrical and electronic assemblies or scrap o such as accumulators and other batteries (including printed circuit boards) not containing included on list A, mercury-switches, glass from components such as accumulators and other batteries cathode-ray tubes and other activated glass included on list A, mercury-switches, glass from cathode-ray tubes and other activated glass and PCB- and PCB-capacitors, or contaminated with capacitors, or not contaminated with Annex I Annex I constituents (e.g., cadmium, mercury, constituents (e.g., cadmium, mercury, lead, polychlorinated biphenyl) or from which these have lead, polychlorinated biphenyl) to an extent been removed, to an extent that they do not possess that they possess any of the characteristics any of the characteristics contained in Annex III contained in Annex III Electrical and electronic assemblies (including printed o 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 Norway proposal for all EU to propose changes to Norway proposal to delete plastics in Annex II Annex I constituents and current Annex IX listing for categories (EU) plastics Mixed reception at OEWG Negotiations on Annex III Parties appear supportive Narrower listing? characteristics of keeping some plastic Proposals for threshold limit wastes on Annex IX values on constituents COP-14 to consider revisions Basel controls apply Non-party trade ban (U.S.) Basel controls apply Outside Basel controls Ban Amendment Applies Non-party trade ban Beneficial to circular (U.S.) 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 Ellen Jackowski Rick Goss Russ LaMotte ellen.jackowski@hp.com rgoss@itic.org rlamotte@bdlaw.com Lauren Hopkins Paul Hagen lhopkins@bdlaw.com phagen@bdlaw.com
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