The only sustainability conference designed and presented by retailers, for retailers. Recycling in Retail: Innovation & Strategies

Transcription

1 The only sustainability conference designed and presented by retailers, for retailers. Recycling in Retail: Innovation & Strategies

2 Recycling in Retail: Innovation & Strategies t Turning Trash into a Commodity Karen Raines, Director of Corporate Sustainability Corporate Sustainability & Energy Group Costco Wholesale Corporation Tuesday, September 23, :30am 11:30am

3 Recycling in Retail: Innovation & Strategies t Waste stream reduction is a major focus of the Corporate Sustainability program at Costco Wholesale. Costco's s warehouse stores generate tons of trash each week, in the form of cardboard, plastic, unusable produce and more. Trash that we once discarded is now being renewed into usable products, recycled into biofuels or compost, and used as feedstock.

4 Recycling in Retail: Innovation & Strategies Waste reduction efforts.

5 Paper and Plastic Paper, Cardboard & Plastic 240,000 tons this year. (US/CN) Ex. OCC hits record high of $170/ton Domestic / $215/ton export in March 08. Ex. Shrink Wrap $300/ton West & East/Mid West $160/ton May 08

6 Trash Invoices Tracking Trash invoices & the amount of waste sent to landfill. Identifying store locations that need monitors. Auditing the invoices to catch mistakes, reduce hauls and save money.

7 Compactor Monitor Wireless monitors from OnePlus monitor compaction pressure. Increased service level. WasteView online reports. Decrease the amount of hauls and save money.

8 Recycling in Retail: Innovation & Strategies Costco Waste Audit Results An average of 5 tons of waste is disposed of twice a week from each warehouse store. Compostable material found in Warehouse waste: 44% Compostable material: Food Waste 37% Compostable Paper 7% Yard Debris & Wood Scraps <1%

9 Grease Separator We generate 5,350 tons of Chicken Grease Separates the water, soap and solids out of the Rotisserie grease. National contractor picks up the grease. Clean grease has an increased value in the Biodiesel market as well as others. Decreased need to clean the grease traps and eliminate barrel/bucket handling.

10 Organic Waste We produce approximately 30,000 tons a year. One NW location diverted 18 tons of Produce D&D from landfill in one month. Composting represents a 70% savings. 4 So. CA locations diverted 24 tons of produce D&D from landfill in one month. Ex. Trucking cost to cattle farm, $464 vs. Landfill cost at $ locations divert Produce D&D to a worm farm.

11 Recycling in Retail: Innovation & Strategies Waste Stream Bio-fuels Test Programs Renderings, Fats & Oils turned into Bio-diesel Damaged Fruits & Vegetables into Ethanol, Bakery Goods turned into Ethanol.

12 Tire Recycling 23.8 mil used tires processed in the last 5 years. Over 4.8 mil shredded tires sent to landfills in the last 5 years. Most of those tires were used for Landfill cover. 9.5 mil scrap tires were used for energy recovery in the last 5 years. 2.2 mil whole tires were resold in the export market in the last 5 years.

13 Aluminum Pie Tins Collecting the Bakery Pie tins. The Aluminum market at $.82 Lb in May 08. We estimate 650 tons or tin can be diverted from the landfill and recycled a year.

14 Recycling in Retail: Innovation & Strategies t Turning Trash into a Commodity Karen Raines, Director of Corporate Sustainability, Corporate Sustainability & Energy Group Costco Wholesale Corporation Tuesday, September 23, :30am 11:30am

15 Armen Derderian President

16 The Resource Management Group, Inc. Ranked Top 100 Recyclers in the USA In business since 1994 San Diego locally owned and operated

17 Change is before us We are witnessing a paradigm shift in the Waste Materials management sector that will have a profound impact on both the Generators as well as Disposal Companies who provide p p services

18 Turning Trash into a Commodity Commodity - - Something useful that can be turned into a commercial advantage. Article of trade or commerce, especially on agricultural l product that t can be processed and re-sold As defined by American Heritage Dictionary Ex. Cardboard, Shrink-wrap, Paper, Plastic Totes, Mixed Plastic, Scrap Metal, E-waste waste, etc.

19 Requirements: Increased Level of Awareness Worker Friendly Drive Process to Maximize Commodity Values CSU = Commodities Services Unit Change is necessary in order to cut costs, increase revenues, and appeal to share holders and customers by becoming Greener!

20 Increasing Commodity Value Pre-existing logistical opportunities should be piloted to eliminate costs that could increase commodity value. Economies of Scale Efficient Packaging Limit number of Handlers

21 Reverse Logistics

22 Service Provider's Role Quantifying & Documenting Activities Selling Commodities in a Global Arena - As opposed to selling to a single mill. Consolidating Specific Grades of Materials Creating Near Total Solutions Conducting Waste Audits

23 Comprehensive Reporting System Customized Comparison Reports based on: Volume Value Costs Diversion rates per location by; Accounting Period, District and Region. Tiered Management Reports Availability & Access: Reports should be run on-line, on-demand or prescheduled via in user-friendly formats.

24 Reporting Examples

25 Reporting Examples

26 Result Indications

27 Reporting System

28 In General Recyclable $ Most Efficient Cardboard Revenue Baled Paper Revenue Baled Shrink-wrap Revenue Baled Mixed Plastics Revenue Baled/Other Wood < Landfill Fees Open Top Scrap Metal Revenue Open Top E-waste Wash Palletized Universal Waste Cost Palletized Const. Debris Cost Open Top Depends on redemption Bottles & Cans Wash value aue

29 Questions? Armen Derderian President