BOOMERANG ALLIANCE WASTE In A Changing Climate

Boomerang Alliance Objective… By… TO BRING WASTE BACK TO ZERO 1.Adopting Waste Levies to fully recover the cost of pollution; 2.Implementing EPR schemes on all problem and profligate wastes; 3.Shifting waste costs out of the tax base into the supply chain; 4.Developing local ‘3 rd stream’ collection infrastructure; 5.Incentivising local reprocessing and AWT

South Australia = Leadership QldNSWACTVicTasSANTWA Resource Recovery: Per Capita Recycled Recycling Rate  %  % %  %  % %  %  % Clear recovery targets  Has a WARR Bill  Legislation for EPR  Have introduced EPR Schemes  Utilises Waste Levies  Levy used for solutions  Embedded Polluter Pays Principle in leg’n  Investing in solutions AWT, biochar etc.  RANKING: 6 th 3 rd 2 nd 5 th 7 th 1 st 8 th 3 rd

Before we start on Greenhouse Degradable material landfilled today will still be releasing methane into the atmosphere in 2060; The major GHG emitted from landfill is methane; The IPCC estimates that methane’s Global Warming potential is 25 times higher than Co2; Recycling reduces GHG emissions in 2 ways: ‘Embodied Energy’ – The energy saved by reprocessing a material rather than using virgin material; & Avoided Landfill

Business As Usual Not an Option 2050: Maximum Australian Total GHG Emissions = 135 MtCo2e; Projected Waste BAU GHG Emissions = 46.9 MtCo2e.

Recycling: Capturing Bottled Energy Aluminium Embodied energy recovered by recycling Unrecovered embodied energy Cardboard PET HDPE LDPE Mixed Plastic Paper Steel Glass Residual MSW Recycling already saves Australia about 8.8MtCo2e The Embodied Energy contained in materials that Australian dump to landfill represents AT LEAST 32MtCo2e If we capture 75% of the products that are readily available for recycling we will reduce GHG emissions by 7.6MtCo2-e in embodied energy, and a further 7MtCo2e in avoided landfill.

Mission: By 2020 the waste & recycling sector will cut Australia’s GHG by a 5% cut THE ROAD MAP 1.Mandatory Gas Capture on all landfill; 2.Requirement that all major landfills generate renewable energy from captured methane; 3.Institute EPR schemes AND landfill bans on all materials with high embodied energy values (paper; cardboard; glass, metals etc. 4.All new waste treatment facilities need GHG capture processes. E.g. Dirty MRF’s, AWT, Biochar production etc.

Outcome: Overall reduction in GHG emissions = Est. GHG Emissions from waste as at 2008 = Approx. 15MtCo2e

BUT Perverse Penny’s CPRS suggests That recycling be excluded from the CPRS But in Asia you can already earn carbon credits via the Kyoto Clean Development Mechanism So how are we going to keep the infrastructure in Australia if recyclate is worth $200million more in China?

It Gets Even Worse The Greenhouse Mafia’s lobbying is proving effective; The aluminium, metals, glass, petrochemical, concrete, and ceramic industry are all going to get a 60-90% reduction in their GHG ‘liability’ because they are “Emissions Intensive – Trade Exposed” industries; These are the major competitors of the recycling industry.

LETS DO THE MATHS A major paper & pulp company makes cardboard boxes from ‘old growth’ timber; Every tonne of cardboard will produce 1.89tonnes of Co2e They are ‘trade exposed’ and emissions intensive. So they will get a 60% rebate on their liability via free permits So they will have to buy permits for every tonne of product they produce

MATHS (Cont’d) Visy Industries major competitive edge is their energy efficiency because they use a very high % recycled content; To produce 1 tonne of cardboard they produce 1.66tonnes of Co2e (about 15% more efficient); By buying cardboard that otherwise would be landfilled every tonne of cardboard also saves 2.08tonnes of C02e (mostly avoided landfill); They don’t get a credit for the recycling, and because they are more efficient they will miss out on the free permits

IMPACT If we assume a $20 a tonne carbon price: The polluter with poor business practice will incur a carbon liability of about $15.12 per tonne of cardboard produced (and emit 1.89tonnes of Co2e); The solution with an efficient business will incur a carbon liability of about $33.12 per tonne of cardboard produced, even though they have a negative carbon footprint (-0.42 tonnes of Co2e) This will mean that Visy’s paper packaging business is penalised by about $26.5million per annum

Thanks Minister Wong, Vietnam’s really nice this time of year…