AMEPS 20 TH Anniversary (Nov.5 ~ Nov.7) Country Report. Joo-Sub Choi Chairman, KPRC

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1 AMEPS 20 TH Anniversary (Nov.5 ~ Nov.7) Country Report Joo-Sub Choi Chairman, KPRC

2 CONTENTS 1. Extended Producer Responsibility(EPR) in Korea 2. Korea Packaging Recycling Cooperative(KPRC) 3. EPS Consumption & Recycling Result of 2013

3 1. Extended Producer Responsibility(EPR) in Korea - Extend the producer's responsibility for the product and packaging, from its production to its use and disposal of waste, aiming to promote the reduction, re-use, and recycling of domestic waste. - Recycling obligation is levied on producers of products or products involving packaging, regarding their waste product or waste packaging. - Recycling Dues equal to or exceeding the cost of recycling are levied on the producer, if a producer fails to comply with this recycling obligation. - The essence of EPR is who pays for, not who physically operates, the waste management system. The core of EPR is internalization of environmental costs into product prices. - Since January 2003, the EPR policy has been in effect in Korea.

4 1. Extended Producer Responsibility(EPR) in Korea The items are subject to EPR system in Korea Product (6) Tires, Lubricants, Batteries, Fluorescent Lamps, Electronics, Floating for fish farming Packaging, (Synthetic Resin Metal Can Glass Bottle Paper Pack) Food and Beverage products, Agricultural/ Fisheries/ Livestock products Detergents, Cosmetics, Pharmaceuticals Butane gas products, Pesticides and Anti-bacterial Garments, Paper products, Rubber gloves Anti-freeze, brake fluid and lubricants(of synthetic resin packaging) All kind of products(of synthetic resin packaging including film, sheet packing material, Expanded materials)

5 2. Korea Packaging Recycling Cooperative(KPRC) Grounds for establishment - Non-profit Corporation Aggregate under the Civil Law Act - Public Service Corporation under the Act on the Establishment and Operation of Public- Service Corporations - Packaging Recycling Cooperative under Article 27 of the Act on the Promotion of Saving and Recycling of Resources Purpose of establishment - Performing of recycling obligations of packaging materials on the behalf of producers, importers and sellers of products in packaging materials such as Metal Can, Glass Bottle, Paper Pack, Plastic Packaging - Promotion of recycling of packaging materials - Development of eco-friendly recycling technologies, and the performance of research or support for research related to such thing. - Fostering and progress of packaging recycling-related businesses

6 2. Korea Packaging Recycling Cooperative(KPRC) History - May. 22nd 2013, Amendment of The Law on conservation of resources and promotion of recycling Preparing the basis for the establishment of the cooperative etc. - Nov. 4th 2013, General assembly by the initiators of establishment of the KPRC Enactment of the Articles of Cooperative, establishment of Business Plan etc. - December. 2013, Licensed by MOE - January. 2014, First meeting of the Board of Directors - March. 2014, First General Meeting The BOD members of the KPRC Chairman Directors 10 KPRC Producers 6, Recycling business 1, KPRC 1, KORA 1, MOE 1 Inspectors 2 NGO 1, Academia 1

7 2. Korea Packaging Recycling Cooperative(KPRC) The organization : 38 persons Chairman Vice Chairman PR Div. General Business Div. Plastic Business Div. PET Business Div. Can & EPS Business Div. Glass Bottle & Paper Business Div.

8 2. Korea Packaging Recycling Cooperative(KPRC) Key businesses - Performance of recycling obligations of packaging materials Performing producers' recycling obligations of packaging materials on behalf of producers. Metal Cans, Glass Bottles, Paper Packs, and Plastic Packaging materials(including PET bottles and EPS). Every year, the KPRC has to submit recycling obligation compliance plans and compliance reports on behalf of members of KPRC(more than 3,600 producers, Aug 2014) to MOE. In order to accomplish the recycling goals, The KPRC co-operates with the KORA(Korea Recycling Service Agency), local governments and recovery & recycling businesses. The KORA checks the recycling status and support for the recycling and collection/sorting businesses.

9 2. Korea Packaging Recycling Cooperative(KPRC) EPR System in Korea Sale Collection Sorting Subsidy Recycling Producer Share KPRC Cooperation KORA MOE KECO

10 2. Korea Packaging Recycling Cooperative(KPRC) Recycling duty rate of packaging materials Package Types (To be recycled) Recycling duty rate/goal(%) (2014/2017) Share of Recycling Dues (KRW/kg) Steel Can 79.7 / Aluminum Can 79.1 / Glass Bottle 76.0 / Paper Pack 34.6 / PET Bottle 81.2 / ~ 290 EPS, EPP, EPE 79.0 / ~ 250 PSP 42.3 / PVC 69.0 / Singular material container/tray Synthetic resins(compounded material container/tray, Film, Sheet) 80.6 / / Synthetic resins(buoy for the sea farming) 28.0 /

11 2. Korea Packaging Recycling Cooperative(KPRC) - Project for the improvement of packaging materials and structure Encourages producers to facilitate the recycling of packaging materials from the design phase of products and packaging materials. The materials used for packaging containers, lids and labels are simplified, or the separation of different waste materials are made convenient. The use of materials that give rise to harmful materials in the recycling phase is discouraged. - Recycling compliance certification(rcc) The RCC mark is affixed to the product at hand, when a producer successfully recovers and recycles all shipped volumes, or joins the KPRC and shares the recycling dues for all shipped volumes. To encourage priority purchases of the products with RCC marks attached, cooperate with consumers orienting NGO, larger distribution companies, etc. while awarding points for product purchases made with green cards.

12 3. EPS Consumption & Recycling Result of 2013 Consumption of EPS packaging Materials 9% 13% 4% Cushion for E&E appliances General packaging 15% 59% Agricultural box Fishery box Floatings

13 3. EPS Consumption & Recycling Result of 2013 Record of EPS Waste Output and Recycling Classification Output Recycling Recycling Rate EPS Waste 44,614(M/T) 34,170(M/T) 76.6(%) Output(44,614) = General packaging(9,107) + Cushion for home appliances(36,183) - Export of home appliances(26,074) + Import of home appliances(7,437) + Agricultural/Fishery boxes (13,923) + Floating(2,524, consumption in 2010) + Others(45) + Imported EPS (420) + Imported Agricultural/Fishery boxes(1,019) The quantity of recycling was estimated through the recycling industries and local government.

14 3. EPS Consumption & Recycling Result of 2013 Recycling Goods Classification Recycled Resin Crushed Coating Agent Amount(M/T) 32,496 1, Rate(%) Synthetic wood - Light weight concrete - Adhesives Utilization - Art frame - Foothold in - Fireproof covering material of iron frame - Coating agent for fiber bathroom

15 3. EPS Consumption & Recycling Result of 2013 Status of Recyclers Civil Recyclers Local Large Volume Classification Government (Ingot) Dischargers (Ingot) Ingot PS Pellet Coating agent Fireproof covering material of iron frame, Crushed Numbers

16 Thank you

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