Computer Crash – Different strategies and funding models to recycle or reuse old computer equipment

The flood of used and discarded information technology and telecommunication equipment (so-called “IT waste”) is a growing problem, and alternative strategies and funding models to safely collect, refurbish or recycle the equipment (and divert the toxic metals they contain from landfill) are highly controversial. Most of the debate centres on whether costs should be shared between industry and municipalities in a government-run system, or internalized by industry in a return-to-retail or return-to-depot scheme (or other combinations).



The problem — and the opportunity — is huge. Between 1992 and 2000 Canadians disposed of enough personal computers and monitors to fill approximately 1,000 Olympic size swimming pools, but only about 10 per cent was recycled or refurbished for reuse.



In 1999, the estimated quantity for disposal of this equipment was about 37,000 tonnes. The amount of computers generated and disposed is expected to almost double over five years, to an estimated 72,000 tonnes in 2005.



With Ontario’s recently passed waste diversion legislation, the Waste Diversion Act, it’s only a matter of time before computer waste becomes a designated waste. (See Editorial, page 4 and Final Analysis, page 62.) In addition, provinces such as Manitoba and Nova Scotia are looking at extended producer responsibility (EPR) schemes to manage this special waste stream.



IT equipment waste presents a number of processing challenges, including hazardous materials such as lead, cadmium, mercury, brominated flame retardants, and polyvinyl chlorides. Also, precious metals such as gold and copper need to be recovered properly in order to optimize their values.



According to a report prepared by the Canadian Environment Industry Association (CEIA) and Contemporary Information Analysis for Environment Canada, an estimated five per cent of a computer’s original sale value can be regained through the sale of secondary materials — which means computer recycling can be more profitable than automobile recycling. Also, due to the decreased cost of extraction, the precious metals in computers are approximately three times more valuable than metal ore.



“The potential is very large — this is a big business opportunity,” says Colin Isaacs, co-author of the report and chair of CEIA.



Keep an eye on ITAC



With the current lack of comprehensive provincial systems, the early bird may once again get the worm. A recently proposed national IT equipment recycling strategy that may start as soon as 2003 would completely alter the way Canadians dispose of computers.



Estimates indicate that by 2007 the program could divert 2,565,277 units of IT equipment (just under 50 per cent of total units available) representing 21,939 tonnes of waste. But critics of this proposed program say that it’s an attempt to get municipalities to cover costs that should instead be covered by EPR mechanisms.



The report, conducted by EnvirosRIS for the Information Technology Association of Canada (ITAC), “The Industry Roadmap — Overview of a National Action Plan for Management of End of Life IT and Telecom Equipment in Canada,” was released in March 2002.



Together with its partner organizations, ITAC represents 1,300 companies in the computing and telecommunications hardware, software, services, and electronic content sectors. This network of companies accounts for more than 70 per cent of the 542,000 jobs, $132.6-billion in revenue, $5.3-billion in R&D expenditure and $44-billion in exports.



ITAC’s proposed program will cost about $14-million, plus $800,000 for start-up. The program would use a “shared responsibility” model, with municipalities and consumers taking operational and financial responsibility for collection of IT and telecom equipment. The scheme would involve municipalities bringing the equipment to consolidation centres; industry would pay for the cost of transporta