EaP GREEN: Implementation of Extended Producer Responsibility Schemes in Ukraine
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EaP GREEN: Implementation of Extended Producer Responsibility Schemes in Ukraine

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    EaP GREEN: Implementation of Extended Producer Responsibility Schemes in Ukraine EaP GREEN: Implementation of Extended Producer Responsibility Schemes in Ukraine Presentation Transcript

    • Implementation of Extended Producer Responsibility Schemes in Ukraine Alexander Semenets Ministry of Ecology and Natural Resources of Ukraine
    • Resolutions of the Cabinet of Ministers of Ukraine have been passed: ∗No. 1136 of 27 July 2011 regarding some matters of collection, stockpiling, and recovery of used tyres ∗No. 843 of 3 September 2012 regarding some matters of stockpiling and recovery of end-of-life motor vehicles ∗No.1221 of 17 December 2012 regarding some matters of collection, disposal, disinfection and recovery of waste oils Implementation of Extended Producer Responsibility Schemes
    • Draft Government resolutions governing the following matters have been prepared and are being agreed: ∗Collection, stockpiling and disinfection/recovery of waste containing mercury or its compounds ∗Medical waste ∗Waste electrical and electronic equipment Implementation of Extended Producer Responsibility Schemes
    • The following laws of Ukraine were passed on 4 July 2013: On Recovery of Motor Vehicles; On Amendments to the Tax Code of Ukraine regarding environmental tax for recovery of end-of-life motor vehicles and improvement of some tax provisions. Implementation of Extended Producer Responsibility Schemes
    • Resolution of the Cabinet of Ministers of Ukraine No. 915 of 26 July 2001 on the implementation of the system of collection, stockpiling, and recovery of waste as recoverable resources Minimum packaging recovery rates were set as percentage of total quantities: 25% in 2009; 30% in 2010; 35% in 2011 and beyond. Economic entities can collect packaging individually or enter into a service agreement with state enterprise Ukrecoresursy. Implementation of Extended Producer Responsibility Schemes
    • Packaging material Tariffs, EUR/kg Cardboard, paper 0.031 Plastic 0.739 Glass 0.013 Metal: tin 0.035 aluminum, foil 0.095 other 0.017 Combined 0.108 Natural (wood, textiles) 0.017 Other 0.024 Tariff at half the rate is set for foodstuffs for children and medicines. Implementation of Extended Producer Responsibility Schemes
    • Consumers pay for the same service three times: ∗As imported products undergo customs clearance – to Ukrecoresursy or other entities ∗For actual recovery of waste packaging at production facilities or retailer – to specialized entities ∗For disposal of municipal solid waste – to local housing and utilities offices and services. In other words, consumers pay for the costs of customs clearance and recovery as part of the price of packaged products, and for MSW transportation services as part of housing and utility tariffs. Procedure in Force in Ukraine
    • Charges Paid by the Population in Ukraine From residential buildings in cities/towns From business entities engaged in: • public catering; • commerce, markets; • exhibitions, sports; • domestic services; • other. From spending institutions: • administrative • educational • health • other Through payments as part of tariffs set by local governments As part of prices for products and services As part of taxes/charges payable to the budget Municipal solid waste transportation services Population in Ukraine Waste packaging recovery services As part of product price As part of product price Ukrecoresursy or other entities that do not provide services Specialized firms that really provide waste collection and recovery services
    • ∗ Government Resolution No. 915 vested state enterprise Ukrecoresursy with the functions of setting up and ensuring the operation of collection and stockpiling of waste as recoverable resources. ∗ The enterprise was founded to engage in the economic activities in this sphere. ∗ It enters into contracts on separate collection, recycling and recovery of waste as recoverable resources with specialised enterprises. Extended Producer Responsibility: Implementation Challenges
    • ∗ As per the enterprise’s Charter, its activities also include participation in the implementation of state policy in the area of collection and stockpiling of waste as recoverable resources. ∗ Thus, it is obvious that one state enterprise combines the responsibilities of state governance and control, on the one hand, and economic responsibilities, on the other. Extended Producer Responsibility: Implementation Challenges
    • Failure to ensure fulfilment of waste packaging collection and recovery tasks: ∗Ukrecoresursy holds a monopoly in organising the collection and recovery of waste packaging ∗Abuse by economic entities: fictitious contracts, shadow turnover of funds, lack of actual packaging collection services ∗Setting up an efficient system for separate collection and treatment of waste packaging at the expense of economic entities and raising additional funds in this area should be governed by law. Extended Producer Responsibility: Implementation Challenges
    • ∗ Only producers can be owners. ∗ Paying direct or indirect dividends is prohibited, all the profits should be reinvested. ∗ Organisation is accredited/licensed by the state. ∗ Producers have a right to delegate their waste packaging-related responsibilities to the organisation. ∗ Local governments are obliged to cooperate with the organisation and develop jointly the most efficient packaging collection scheme for a specific local government. ∗ Producer organisation owns the collected packaging. Key Conditions for Effective Functioning of an Operator in the Scheme
    • ∗ Allows individual enterprises to control own costs related to the adverse environmental impact of waste packaging. ∗ Separate collection of waste packaging is funded by obligated entities. ∗ Provides for the incorporation of justified costs of separate collection, treatment, and transportation of waste packaging for subsequent recovery into the price of packaging and of packaged products. ∗ Creates conditions for continuous increase in the used amount of waste packaging as recoverable resources. Key Provisions of the Draft Law on Packaging and Packaging Waste
    • 14 Waste Packaging Treatment Scheme Obligations to recover and meet waste packaging recovery rates System operator organisation authorised to comply with packaging recovery rates System operator organisation authorised to comply with packaging recovery rates Distributors Distributors Wholesalers and retailers Wholesalers and retailers Obligations to organise separate collection and treatment Agreement: On compensation of costs related to separate collection of waste packaging Specialized firms engaged in collection of waste as recoverable resources Specialized firms engaged in collection of waste as recoverable resources Local governments Local governments Producers of packaging, packaged products Producers of packaging, packaged products Agreement: delegation of recovery rate obligations to scheme operator Importers Importers Ministry of Ecology & Natural Resources   - registration of obligated entities - operator accreditation - approval of five-year operator activity program Ministry of Ecology & Natural Resources   - registration of obligated entities - operator accreditation - approval of five-year operator activity program Waste recovery Recovery rate rate report enforcement Waste Law No.187/98Draft Law on Packaging and Packaging Waste   Obligated entities Ministry of Regional Development  approval of five-year operator activity program   Ministry of Regional Development  approval of five-year operator activity program  
    • Waste tyres: ∗Resolution of 2011 has been practically non-operational due to absence of approved tariffs for tyre collection services and tyre collection procedure Waste oils: ∗Importers and producers pay EUR 0.064/litre of oil ∗Reporting on obligations has not been approved ∗It is impossible to establish real volumes Challenges of Implementation of Laws on Other Waste Streams
    • Motor vehicles: ∗Resolution No. 843 of 3 September 2012 is being abrogated because the Law of Ukraine on Recovery of Motor Vehicles has been passed. ∗Law of Ukraine on Recovery of Motor Vehicles: ∗ 287 collection points and 88 stations for the dismantling of motor vehicles have been set up ∗ Monthly revenue from the environmental tax amount to about EUR 6.4 mln ∗ Allocation of revenues from the tax has not been determined Challenges of Implementation of Laws on Other Waste Streams
    • Thank you! Any questions?