Recycling and sustainability: comparing the Aluminium Stewardship Initiative with other sectors. Melanie Williams November 2014

Transcription

1 Recycling and sustainability: comparing the Aluminium Stewardship Initiative with other sectors Melanie Williams November 2014

2 Contents What is the ASI who is involved and what are its goals? Creating a Chain of Custody Standard in aluminium. How do these work in other sectors? How are recycling and trading treated? What are the possible impacts on operability? 2

3 Melanie Williams Consulting We work with organisations who would like to offer lower carbon or more sustainable products and those who wish to reduce their environmental impact. Sustainability Schemes Strategy Development Project Management Intellectual Property Management Business Development Marketing and Events 3

4 Who is involved in the ASI? Aluminium primary producers and transformers (Aleris, Constellium, Hydro, Novelis and Rio Tinto Alcan), Convertors (AMAG/Constantia Flexibles, Amcor Flexibles, Ball Corporation, Rexam and Tetra Pak) Commercial and consumer goods suppliers (AUDI, BMW, Jaguar Land Rover and Nespresso). 4

5 Aims of the ASI Improve the sustainability of aluminium production; Reduce energy consumption, GHG emissions; Minimise adverse environmental impacts of extraction and processing; Focus consumer attention on lightweighting and infinite recyclability of aluminium components; Develop a recognisable brand for sustainable aluminium. 5

6 Introduction to the ASI Standard Promotes responsible environmental, social and governance practices across the aluminium value chain. Built on work by International Aluminium Institute (IAI), European Aluminium Association (EAA) and the Aluminium Association (AA), to develop a single unifying Standard. IUCN invited to be the host and coordinator for the standard setting process. Draft Performance and Chain of Custody Standards published. stewardship.org/asistandard/asi standard overview/ 6

7 Applicability of the Production Standard 7

8 What is a Chain of Custody Standard? The Chain of Custody (CoC) Standard describes how material that conforms to the Production Standard is passed down the supply chain to the consumer. The CoC Standard needs allow the processing and handling of both sustainable and `business as usual` material. Chain of Custody Standard for all organisations which take legal and physical ownership of material; Customer needs to be confident that what they are buying is what it claims to be. 8

9 Creating a Chain of Custody Standard in aluminium Amass balance accounting system demonstrates that the quantities of sustainable material purchased are equal to those sold or in stock at the end of a fixed accounting period. Two types of material: ASI compliant and `eligible for mixing` EfM Mass Balance system with mixing of ASI and EfM material. `Business as usual` material to be kept separate. ASI will work on credits Accounting period will be a year and ASI operator can go `short` on ASI material as long as material is on order. Mass balance can be operated over more than one site. 9

10 What is EfM material? 10

11 Chain of Custody Models in other sectors High value solid products with little processing use segregation model conflict diamonds, ethical coffee and cocoa; Wood products (first sustainably branded commodity) use mass balance with controls on mixing material e.g. FSC `controlled wood`. Illegally logged wood needs to be kept out of the supply chain; Biofuels, vegetable oils, sugar use mass balance with no restriction on mixing material. 11

12 Traders Traders and scrap dealers e.g. LME, who do not carry out product transformation such as shredding mixing or cutting. ASI, EfM and other material cannot be mixed. Compliance documents remain with the material consignment. 12

13 Recycling; post consumer scrap Post consumer scrap, legally sourced* is ASI compliant *Verification of name, address and any license. No cash payment > 200$ 13

14 Recycling; post consumer scrap ASI scrap needs to be segregated from non eligible scrap 14

15 Recycling; pre consumer scrap Pre consumer scrap is classified in the same way as non scrap 15

16 Recycling; pre consumer scrap ASI and EfM pre consumer scrap can be mixed with legal postconsumer scrap 16

17 Recycling; pre consumer scrap No segregation 17

18 What are the possible impacts on operability? An easy practical way of mixing sustainable and business as usual material is needed for easy operability. Partial segregation at the recycling level may be difficult. Organisations further down the supply chain are key to successful implementation. Accounting periods and mass balancing over multiple sites provide more flexibility, which may offset the effect of restrictions on what can be mixed with ASI compliant material. Post consumer scrap which is `legally sourced` may become relatively more valuable than other scrap. 18

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