1. Scavenging of Packaging Waste in Greece

2. HERRCO’s Mission “Extended Producer’s Responsibility Organization” Fulfilling the legal obligations on behalf of the affiliated packaging operators. Meeting the National Objectives according to the System’s Financial and Technical programming HERRCO operates at a non-profit basis

3. 19 Shareholders 325 Municipalities AYS SA (65%) Central Union of Greek Municipalities (35%) HERRCO SA (EPR ORGANIZATION) 1.780 CONTRACTED MEMBERS The System’s Structure Producers and importers of products Packaging producers

4. HERRCO’s Activities Blue Bin (Municipality) recycling Blue Bin (Municipality) recyclingprojects (commingled recyclables – in some areas multiple streams) Glass collection Glass collection Glass collection from professional venues (hotels, restaurants etc.) Glass collection from professional venues (hotels, restaurants etc.) ICPW and other activities ICPW and other activities  Recording and certifying recycling from Industrial and Commercial Packaging Waste (ICPW).  Other recycling sources (delivery from 3 rd parties directly to industry, energy recovery, etc.)

5. Blue Bin projects at a glance (October 2014) 87% population coverage 135 thousand Blue Bins in use 415 vehicles to the participating municipalities 29 Sorting Centers 2.200 jobs 442 kt of materials were recycled 2013 (1) (+5% increase for 2014) €260 mil. for investments and operating costs up to date National Targets have been met, except for glass (1): packaging and printed paper

6. “Unofficial Recycling”  Is it a problem? Yes!  Illegal activities  Environmental concerns  Negative impacts to the official (municipal) packaging waste recovery projects

7. “Unofficial Recycling” What is the driving force of the problem? It’s the economy, my friend! A profitable activity based on:  “Getting” the material for free  No environmental or safety standards are met  Usually a “tax free” activity

8. “Unofficial Recycling”  Are there any solutions? Well, yes!  Set up an effective immigration policy, (in Greece scavengers are mainly immigrants)  Raise the social and economic status of the groups involved  Decrease the secondary materials prices  Provide “decent” jobs for the scavengers None of the above lies within the EPR organization boundaries!

9. “Unofficial Recycling”  What else?  Secure the collected material or even collect it before they do it  Prosecute some hundreds (or thousands?) of people  Close down the illegal scrap yards Not easy solutions, if any not for the EPR schemes alone. The authorities should take the proper decisions!

10. What can the EPR schemes do?  Calculate and/or record the “missing” quantities at the lowest possible cost.  Then report the findings to the authorities.  The above ideally should be done in agreement with (…and on behalf of…) the authorities (procedures etc.)  Put the issue on the table as a problem which cannot be tackled by the EPR schemes alone.  Communicate the problem with the citizens.

11. Scavenging of packaging in Greece Scavenging of packaging in Greece  Especially after the start of heavy financial crisis since 2010, it happens on a massive scale  Potential source of income for unemployed people (mainly Roma and immigrants)  Acute problem in high density populated areas

12. Targeted materials Targeted materials  Cardboard-newsprint paper (mainly)  Easy to be removed from the bins  High priced material  Possible “heavy” loads with small trucks  Metals-Plastics (small scale)  Scavenging not at that large scale as in cardboard  Light weighted materials → inefficient transportation  Metals → mainly non-packaging equipment (steel, bronze, copper, aluminum etc.)  Plastics → very small scale

13. Packaging scavenging – Blue bins Common picture in the streets of Athens

14. Packaging scavenging – Blue bins

15. Impacts  Negative effects to the municipal packaging recycling results  Decreases the quality of the collected stream  Increases operating costs of the Sorting Centers (less incoming valuable materials)  Negative impact to participating citizens  Strong negative impacts to cities functionality and environmental image

16. Cardboard recovery from MSW project (Blue Bins)

17. Estimation of Market size reduction 2010-2013 Based on declared quantities at HERRCO: -20% (-35% since 2008) GDP per capita PPS (purchasing power standard) Index*: -16% (-19,5% since 2008) GDP growth rate*: -17% (-23,5% since 2008) So you would expect a 16-20% decrease in PW *source: Eurostat

18. Quantifying the annual losses (Per capita cardboard recovery rate 2010/2013) *Based on declared quantities to HERRCo But you get: - 40% Market size reduction* 2010-2013: 20% Because of Scavenging: 20% Scavenging quantities estimation: 20,000t – 25,000t per year

19. Scavenging materials trade route BLUE BINS Scavengers Small scale stockyards Big scrap traders Exports Domestic Recycling Plants ------------------------------- Recorded at ICWP results The materials end up to the same scrap traders which trade the ICWP and eventually are recorded by HERRCo

20. Scavenging materials trade route verified by HERRCo results Category 2012 - 2013 Results Rate (%)Share Total 2012 - 2013 Results Rate (%) 2012 - 2013 Market size rate (%) Blue Bin (MSW) -10%30% -2,5%-3% Industrial and Commercial+0,5%70% Total recorded quantities follow the market rate which means that the quantities missed in the official (blue bin) recycling reappear at the scrap traders.

21. Conclusions 1  Negative financial impact on the Sorting Centres (blue bin projects), Financial impacts (revenue losses) caused by the yearly loss of 25,000 t  Material sales: €2.4 mil.  HERRCo funding: €0.25 mil. €3,5 mil./year  Additional operating cost: €0.8 mil.

22. Conclusions 2  Negative effects to the municipal packaging recycling results  Disruption of the blue bin system  However, quantities from scavengers are being recorded by HERRCO, not via Municipal Solid Waste, but via Commercial and Industrial Projects (Scrap Traders activities)