1. www.greentech.rs Challenges in PET waste separate collection in Serbia Mihail Mateski, MScME October 9th, 2014 - Bucharest

2. 100.000 tones PET bottles per year. 20.000 tones others types of plastic waste. East - European leader in PET bottle recycling www.greentech.ro www.green-group.ro www.greentech.rs

3. We provide a complete set of services, in the following business areas: Solid recyclable household waste collection biggest collector in Romania and Serbia of PET bottles waste, PE & PP packaging, WEEE (waste electrical and electronic equipment glass, wood, paper, etc. GLASS 110.000 tons/year WEEE 35.000 tons/year POLYERSTER FIBERS 50.000 tons/year PET Strap 5.000tons/year R-PET16.000tons/year PET 100.000 tons/year Mechanical treatment of waste East European leader for PET bottles and other polyolefin shredding and washing (100.000 tons/year), for WEEE recycling (including cables, batteries and lamps) (35.000 tons/year) glass waste recycling (110.000 tons/year). WOOD ongoing project www.green-group.ro

4. 2002. GREENTECH plastic recycling 2004. GREENFIBER producing PET fibers 2009. GREENWEEE WEEE recycling 2010. GREENLAMP luminaries recycling 2013. GREENGLASS glass recycling

5. Polyester (PET) fiber having wide application in furniture, textile, chemical and automotive industries.

6. Has a wide range of usage in construction industry, wood industry, paper and cardboard industry, metallurgy and pipes/cables manufacturing. The advantages of PET strap against the other strapping (Steel, PP) are in excellent shock resistance, repeatedly curving capacity and long period stability. PET strap band is designed to protect the workers from injuries while providing maximum load strength. Polyester (PET) strap band

7. R-PET granules, substituting strictly imported virgin PET granules, and are utilized for food and beverage industry PET pre-forms production.

8. REPUBLIC OF SERBIA Area 88.361 km 2 7.500.000 citizens GDP per cap.: 5,200 $ GDP projections for 2014: -0,5% Unemployment rate: 20%

10. Headquarters: Novi Sad, Serbia Factory: Mladenovo/B.Palanka Capacity: 8.000 tones/year Product: Hot-washed PET flakes Investment: 4 million Euro Number of Employees: 100 Market share: 60% Greentech D.O.O. is established in 2005.

11. The first 5 years (2005-2009) of Greentech’s operations in Serbia were caracterised by unfavorable business and legal environment: Non-existing collection infrustructure. Non-existing legal framework, set of Environmental laws voted only in 2009 and implemented from 2010. Public Utility companies not interested in separate waste collection. Small number of private collectors, many operating without licenses.

12. Developement of Greentech’s collection network and succesfull business model were resulting from: Significant investments in collecting infrastructure. Competitive and stable purchasing prices. Secured payments and sales of recycled products. Implementation of Know How in the collection and recycling. Cooperation with all sector stakeholders. Educational campaigns for school children.

13. Major Utility Companies in Serbia PUBLIC: JKP Gradska čistoća, Beograd JKP Čistoća, Novi Sad JKP Mediana, Niš JKP Čistoća, Kragujevac PRIVATE: PORR, Leskovac, Jagodina ASA, Kikinda, Lapovo Brantner, Novi Bečej, Kanjiža

14. Collective scheme operators in Serbia OperatorsMarket share * 1EKOSTAR PAK49,3% 2SEKOPAK41,3% 3TEHNO EKO PAK6% 4DELTA PAK3% 5CENEX0,2% 6EKOPAK SISTEM0% ** * Acording to Environmental Agency report for 2013. ** Established in December 2013.

15. 9%91% 2013

16. YEARTOTAL COLLECTED ton/year UTILITY COMPANIES ton/year COLLECTED PET WASTE SHARE COLLECTORS ton/year COLLECTED PET WASTE SHARE 2013 7.0006009%6.30091% 2012 5.8001.30022%4.20073% 2011 3.5001.60046%1.90054% 2010 2.7001.20045%1.50055% 2009 2.8001.00035%1.80065% Collected PET waste by source 2009 - 2013

18. Growth of collected PET waste

19. Source of PET waste in Greentech’s collecting network in 2012

20. Challenges in PET waste separate collection in Serbia (1) Insufficient collection infrustructure. Scavinging on large scale (informal scrap collectors). Non-existing insentives for the population to participate in waste separate collection, only few municipalities with such policy implemented. Insufficient public awareness campaigns. Missing inspection and control by authorities.

21. Challenges in PET waste separate collection in Serbia (2) Low national targets for collection and recycling of packaging waste. Non-existing State Environmental Fund (since 2013). Low investments in major collection infrustructure (sorting stations). Low landfilling charges (15-25 Euro/Ton). Utility companies usualy own/operate the landfield. High political involvement in Public Utility companies, from top management to strategies and operations.

22. THANK YOU FOR YOUR ATTENTION! Mihail Mateski, MScME General Manager GREENTECH D.O.O. Novi Sad, Serbia. mihail@greentech.rs www.greentech.rs