Genuine Progress Index for Atlantic Canada Indice de progrès véritable - Atlantique The Business Case for Waste Reduction Waste Reduction Week Clean Nova Scotia Breakfast with Minister Halifax, 20 October, 2004

Waste and Sustainability How we manage waste is a significant indicator of community sustainability Capitalizing on use and reuse of waste as a resource is a key component of the efficient use of natural resources Resource conservation, materials efficiency, waste prevention, reuse, and recycling are all integral components of a sustainable economy

GDP & Waste Economic growth indicators do not place a value on reduced resource extraction and energy use, decreased landfill emissions and leachate contamination, or improving the quality of our air, water, and natural environment As long as economic growth measures remain the primary benchmark of wellbeing and prosperity, waste diversion will be seen as a cost and not as the investment that it is

GPI & Waste The GPI recognizes resource extraction, resource use, and spending to compensate for environmental damage as costs rather than gains to the economy The GPI counts the value of what remains in our forests, oceans and other resources, not just what we extract from them, and so recognizes waste reduction initiatives as gains rather than costs to the economy

Can we do it? Percentage Waste Diversion in Nova Scotia

Competitiveness and Genuine Progress

The Nova Scotia GPI Solid Waste-Resource Accounts Are the costs and benefits of the Nova Scotia solid waste resource system worth the investment? The GPI Atlantic Solid Waste-Resource report calculates for the first time the marginal economic, social and environmental costs and benefits of solid waste-resource management in Nova Scotia

The report compares the operating and amortized capital costs of the province’s solid waste-resource system in the fiscal year (April 1, 1996 to March 31, 1997) and the full costs of the solid waste-resource system in the fiscal year This is the first detailed independent evaluation of the Nova Scotia solid waste- resource system and the first Canadian evaluation of a solid waste system using the full-cost accounting principles of the GPI

Full Cost-Benefit Analysis Components: Costs Operating and amortized capital costs (including curbside pickup) Additional time of some citizens Nuisance (handling organic waste) Stewardship program costs HHW, beverage container recycling, used tire program costs RRFB admin and operating costs

Full CBA Analysis: Benefits Greenhouse gas and air pollutant emission reductions Extended landfill life Energy savings from recycling Direct and indirect employment (part) RRFB – diversion credits, programs Avoided siting and liability costs Export revenue from waste-resource goods and services Additional Tourism

Intangible Benefits Indicators excluded from analysis and therefore not explicitly monetized: –Aesthetic –Public health costs from pollutants emitted from extraction of virgin materials for manufacturing –Odours and noise –Social values such as health –Community pride (perception/self-image) and collective and community values

Intangible Benefits ctd. –Wildlife/nature (greater access to unspoiled, safe parklands and preserves) –Biodiversity –Reduced litter All above excluded from CBA due to challenges of assigning monetary value Yet value of these benefits should be acknowledged

Calculating Value & System Costs Cost-benefit assessment compares the ‘base case’ costs (“business as usual” costs prior to the inception of the new strategy) with a full cost accounting assessment of the solid waste-resource system FCA analysis determines the marginal costs and benefits between the fiscal year solid waste-resource system and the fiscal year solid waste resource system

Results Implementation of the Solid Waste-Resource Strategy led to an increase in operating and amortized costs from $48.6 million ($53/capita) in the fiscal year to $72.5 million ($77/capita) in the fiscal year. –An increased cost of $24 million ($25/capita) for implementing the changes

Results The new NS solid waste-resource system in produced net savings of at least $31.2 million, when compared to the old solid waste-resource system This translates into savings of $33 for each Nova Scotian, versus a cost of $25 as suggested when comparing strictly the operating and amortized capital costs of the two systems

Benefits Total benefits of system range from $79 million to $221 million =$84-$236 pp, incl: –$3.3 - $84.3 million in GHG emission reductions; –$9 - $67 million in air pollutant reductions –$18.8 million in extended landfill life –$28.6 million in energy savings from recycling –$6.5 - $8.9 million in employment benefits –$1.2 - $1.9 million in avoided liability costs –$1.1 - $1.7 million in export revenue of goods and services –$187,000 in additional tourism

Energy savings per tonne of waste recycled MaterialEnergy savings Paper8.5 million Btu Plastic20.1 million Btu Glass2.4 million Btu Steel Cans18.4 million Btu Aluminium Cans166.9 million Btu

Costs Total costs of solid waste-resource system were $ million: –$72.4 m. in operating and amortized capital costs –$14.3 m. for beverage container recycling prog. –$2.7 million for used tire management program –$1.6 million in RRFB operating and admin costs –$5 - $9.5 million to increase participation –$220,000 - $1.8 million in nuisance costs

Conclusions 1995 NS Solid Waste-Resource Strategy has led to a considerable net benefit, both in monetary and non-monetary terms: 1) The solid waste-resource system in , despite increased operating and amortized capital costs, provided a net savings of between $31 million and $167.7 million compared to the operating and amortized capital costs of the old system

Conclusions 2) Nova Scotia is a leader both internationally and nationally in solid waste diversion. 3) The accessibility, comprehensiveness, and levels of waste being composted and recycled have all improved since the introduction of the Solid Waste-Resource Strategy.

Genuine Progress – Access to curbside recycling in Nova Scotia jumped from less than 5% in 1989 to 99% today – 76% of residents now have access to curbside organics pickup – Both are by far the highest rates in the country

Access to curbside recycling, NS

Comparisons On a per capita basis, Nova Scotia disposes of 39% less waste than Canadian average HRM has the highest waste diversion rate of any municipality in Canada – twice the average. Nova Scotia’s overall waste diversion rate of 46% is also higher than any industrialised country. Nova Scotia's high diversion rate is due in large part to its composting system.

Organics Diversion

Challenges Back-sliding: NS: 1989 = 3% diversion; 2000 = 50%; 2003 = 46% HRM decreased from around 50% to 47%. Inadequacy of systems for household hazardous waste and construction and demolition waste (25-30% of the waste stream) Inadequate waste diversion in apartment buildings and businesses Need expansion of waste stewardship agreements with businesses

What can businesses do? Sydney Olympics demonstrated that compostable coffee cups can be successfully used on very large scale. In NS, Irving Oil, Just Us use biodegradable coffee cups. But biggest purveyors of coffee in Nova Scotia still don’t use recyclable or compostable coffee cups. Litter study found Tim Horton’s and MacDonald’s alone account for one-third of all litter in NS –22% and 10.1% resp. Efforts by the NS DEL to encourage Tim Horton’s to use compostable or recyclable coffee cups are ongoing

In the long term If we really want to reduce waste further, we need to reduce the amount of waste we generate in the first place – by re- examining consumption habits and reducing unnecessary packaging. A Zero Waste Council a good first step – with business, NGOs, government

How we manage our waste affects the kind of Nova Scotia we leave our children?

Genuine Progress Index for Atlantic Canada Indice de progrès véritable - Atlantique