Recycling industrial waste

Sign at Mahabalipuram, Tamil Nadu, India

Although many government programs are concentrated on recycling at home, a large portion of waste is generated by industry. The focus of many recycling programs done by industry is the cost-effectiveness of recycling. The ubiquitous nature of cardboard packaging makes cardboard a commonly recycled waste product by companies that deal heavily in packaged goods, like retail stores, warehouses, and distributors of goods. Other industries deal in niche or specialized products, depending on the nature of the waste materials that are present.

The glass, lumber, wood pulp, and paper manufacturers all deal directly in commonly recycled materials. However, old rubber tires may be collected and recycled by independent tire dealers for a profit.

Levels of metals recycling are generally low. In 2010, the International Resource Panel, hosted by the United Nations Environment Programme (UNEP) published reports on metal stocks that exist within society and their recycling rates. The Panel reported that the increase in the use of metals during the 20th and into the 21st century has led to a substantial shift in metal stocks from below ground to use in applications within society above ground. For example, the in-use stock of copper in the USA grew from 73 to 238 kg per capita between 1932 and 1999.

The report authors observed that, as metals are inherently recyclable, the metals stocks in society can serve as huge mines above ground. However, they found that the recycling rates of many metals are very low. The report warned that the recycling rates of some rare metals used in applications such as mobile phones, battery packs for hybrid cars and fuel cells, are so low that unless future end-of-life recycling rates are dramatically stepped up these critical metals will become unavailable for use in modern technology.

The military recycles some metals. The U.S. Navy's Ship Disposal Program uses ship breaking to reclaim the steel of old vessels. Ships may also be sunk to create an artificial reef. Uranium is a very dense metal that has qualities superior to lead and titanium for many military and industrial uses. The uranium left over from processing it into nuclear weapons and fuel for nuclear reactors is called depleted uranium, and it is used by all branches of the U.S. military use for armour-piercing shells and shielding.

The construction industry may recycle concrete and old road surface pavement, selling their waste materials for profit.

Some industries, like the renewable energy industry and solar photovoltaic technology in particular, are being proactive in setting up recycling policies even before there is considerable volume to their waste streams, anticipating future demand during their rapid growth.

Recycling codes

In order to meet recyclers' needs while providing manufacturers a consistent, uniform system, a coding system is developed. The recycling code for plastics was introduced in 1988 by plastics industry through the Society of the Plastics Industry, Inc. Because municipal recycling programs traditionally have targeted packaging – primarily bottles and containers – the resin coding system offered a means of identifying the resin content of bottles and containers commonly found in the residential waste stream.

Cost-benefit analysis

Environmental effects of recycling

Material	Energy savings	Air pollution savings
Aluminium	95%	95%
Cardboard	24%	—
Glass	5-30%	20%
Paper	40%	73%
Plastics	70%	—
Steel	60%	—

There is some debate over whether recycling is economically efficient. Municipalities often see fiscallandfill costs. A study conducted by the Technical University of Denmark found that in 83 percent of cases, recycling is the most efficient method to dispose of household waste. However, a 2004 assessment by the Danish Environmental Assessment Institute concluded that incineration was the most effective method for disposing of drink containers, even aluminium ones. benefits from implementing recycling programs, largely due to the reduced

Fiscal efficiency is separate from economic efficiency. Economic analysis of recycling includes what economists call externalities, which are unpriced costs and benefits that accrue to individuals outside of private transactions. Examples include: decreased air pollution and greenhouse gases from incineration, reduced hazardous waste leaching from landfills, reduced energy consumption, and reduced waste and resource consumption, which leads to a reduction in environmentally damaging mining and timber activity. About 4000 minerals are known, of these only a few hundred minerals in the world are relatively common. At current rates, current known reserves of phosphorus will be depleted in the next 50 to 100 years. Without mechanisms such as taxes or subsidies to internalize externalities, businesses will ignore them despite the costs imposed on society. To make such non-fiscal benefits economically relevant, advocates have pushed for legislative action to increase the demand for recycled materials. The United States Environmental Protection Agency (EPA) has concluded in favor of recycling, saying that recycling efforts reduced the country's carbon emissions by a net 49 million metric tonnes in 2005. In the United Kingdom, the Waste and Resources Action Programme stated that Great Britain's recycling efforts reduce CO₂ emissions by 10-15 million tonnes a year. Recycling is more efficient in densely populated areas, as there are economies of scale involved.

Certain requirements must be met for recycling to be economically feasible and environmentally effective. These include an adequate source of recyclates, a system to extract those rebyclates from the waste stream, a nearby factory capable of reprocessing the recyclates, and a potential demand for the recycled products. These last two requirements are often overlooked—without both an industrial market for production using the collected materials and a consumer market for the manufactured goods, recycling is incomplete and in fact only "collection".

Many economists favor a moderate level of government intervention to provide recycling services. Economists of this mindset probably view product disposal as an externality of production and subsequently argue government is most capable of alleviating such a dilemma. However, those of the laissez faire  approach to municipal recycling see product disposal as a service that consumers value. A free-market approach is more likely to suit the preferences of consumers since profit-seeking businesses have greater incentive to produce a quality product or service than does government. Moreover, economists almost always advise against government intrusion in any market with little or no externalities.

Trade in recyclates

Computers being collected for recycling at a pick-up event in Olympia, Washington, United States.

Certain countries trade in unprocessed recyclates. Some have complained that the ultimate fate of recyclates sold to another country is unknown and they may end up in landfills instead of reprocessed. According to one report, in America, 50–80 percent of computers destined for recycling are actually not recycled. In 2008, the prices of recyclable waste plummeted before rebounding in 2009. Cardboard averaged about £53/tonne from 2004–2008, dropped to £19/tonne, and then went up to £59/tonne in May 2009. PET plastic averaged about £156/tonne, dropped to £75/tonne and then moved up to £195/tonne in May 2009. Certain regions have difficulty using or exporting as much of a material as they recycle. This problem is most prevalent with glass: both Britain and the U.S. import large quantities of wine bottled in green glass. Though much of this glass is sent to be recycled, outside the American Midwest  there is not enough wine production to use all of the reprocessed material. The extra must be downcycled into building materials or re-inserted into the regular waste stream. There are reports of illegal-waste imports to China being dismantled and recycled solely for monetary gain, without consideration for workers' health or environmental damage. Though the Chinese government has banned these practices, it has not been able to eradicate them.

Similarly, the northwestern United States has difficulty finding markets for recycled newspaper, given the large number of pulp mills in the region as well as the proximity to Asian markets. In other areas of the U.S., however, demand for used newsprint has seen wide fluctuation.

In some U.S. states, a program called RecycleBank pays people with to recycle, receiving money from local municipalities for the reduction in landfill space which must be purchased. It uses a single stream process in which all material is automatically sorted.