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RUBBER AND THE ENVIRONMENT

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UNCTAD/IRSG Workshop 1998 Joint Workshop Secretariat United Nations Conference Trade Development International Rubber Study Group Rubber Environment. Chairman: Dr Ulrich Hoffmann, UNCTAD Preface , joint UNCTAD/IRSG Workshop internalization environmental costs rubber, held 101st Group Meeting IRSG Liverpool, UK, June 1997. UNCTAD concluded natural rubber stands gain internalization environmental costs entire rubber industry. economic variables prevailing natural rubber market favour internalization: supply elasticity unity, price elasticity demand estimated significantly . , 70% international market share Thailand, Indonesia Malaysia coupled intermediate export dependence rubber accounts 3.5 % total exports. Unilateral attempts pass environmental cost increases feasible, concerted action main producers desirable cooperation producers manufacturers synthetic rubber . elastomer market dominated renewable natural rubber - renewable fossil-fuel-derived synthetic rubber: applications substitutes , complements. Tyre production accounts 50% elastomer consumption 60% natural rubber consumption. current share natural rubber total tyre production change . Rubber realistically replaced tyre production, tyres replaced product. general rubber products difficult displace replace. Phase 1 UNCTAD’ programme internalization prospects rubber economy emphasizes identification measurement malign benign environmental effects production, manufacturing, consumption synthetic natural rubber demarcate appraise environmental costs benefits. Phase 2 explore applicability internalization instruments country regional level, scope ways reflecting internalized environmental costs international rubber prices. Phase 3 focus capacity- building implement full-cost pricing countries progress. UNCTAD/IRSG Workshops provide opportunity inform involve producers, manufacturers, traders consumers natural synthetic rubber enhance transparency market agents. UNCTAD/IRSG Workshop 1998 ii Liverpool meeting considered generally internalization environmental costs, concluded important areas concern addressed present Workshop: () scrap tyre disposal recycling; (ii) opportunities likelihood international payments carbon sequestration services natural rubber producers ( carbon -set financing) context global warming. agreed continue joint Workshops part ongoing investigation UNCTAD factors affecting environmental aspects commodities. UNCTAD/IRSG Workshop 1998 1 Contents Preface …………………………………………………………………………….. Index ………………………………………………………………………………. 1 Chairman’ introduction …………………………………………………………... 2 Session 1 Internalization scrap tyre management costs ……………………………….. 3 review North American experience ……………………………………… 3 John Serumgard, Chairman, Scrap Tire Management Council, Washington, USA Malaysian experiences ……………………………………………………………. 33 Dr Yusof Aziz, Malaysian Rubber Board, Kuala Lumpur, Malaysia Dr Ian Wallace, Tun Abdul Razak Research Centre, Hertford, UK Discussion ………………………………………………………………………… 49 Session 2 Opportunities constraints international payments carbon sequestration services natural rubber producers ………………. 53 Chairman’ introduction ………………………………………………………….. 53 Opportunities constraints international payments carbon ……………. 55 sequestration services natural rubber producers Dr Wan Rahaman Dr Sivakumaran, Malaysian Rubber Board, Kuala Lumpur Discussion …………………………………………………………………….…… 65 Chairman’ concluding remarks ………………………………………………..…. 69 List participants ………………………………………………………………… 70 UNCTAD/IRSG Workshop 1998 2 Introduction Dr Ulrich Hoffmann: Ladies gentlemen, Joint UNCATD/IRSG Workshop Rubber Environment. , suppose, recall Workshop year. Workshop touched general issues internalization, opportunities arise, hurdles surmounted bypassed. summarize discussions year Liverpool, published full Secretariat International Rubber Study Group, refer information leaflet issued application form Workshop. summarizes year’ discussion points . suggested year’ Workshop, opportunity Indonesia dwell length specific aspects cycle rubber products. problems regarded valuable - depth analysis pros cons internalization , words, economic instruments giving signals producers, traders consumers. discussions fall parts. part deal aspects internalization scrap tyre management. pleasure listening paper North American experiences lessons learned , paper theme Malaysian point view. part, turn attention opportunities constraints arise international payments remunerating carbon dioxide sequestration services rubber manufacturers reduce Greenhouse Gas Emissions combat climate change. UNCTAD/IRSG Workshop 1998 3 Internalization Scrap Tire Management Costs: Review North American Experience John Serumgard Senior Vice President, Rubber Manufacturers Association, Scrap Tire Management Council, Washington, DC Introduction pneumatic tire common items contemporary world. 800 million tires produced annually, region world, dizzying array sizes types, serve equally dazzling multiplicity users vehicles kind description. important discussion, , countervailing fact virtually identical number removed service reaching life tires. tires put world, tires scrapped. countries confronting problems posed scrap tires, seeking identify economic regulatory techniques managing tires. main purpose paper provide examples United States Canada regulatory economic instruments, management marketing systems life management scrap tires. economic terms, waste material defined discarded material negative : disposal reuse costs money. present, world, basic fact life scrap tires waste material economic sense; , costs money removed point generation location processing, , disposal. markets scrap tires positively, transport scrap tire market. addition direct management costs, scrap tires generate indirect social costs consequences manner . result, major consideration discussing scrap tire management question bear costs, allocated pervasive answer, respect direct management costs, appears borne parties receive direct economic benefit consuming tire tire. costs internalized tire ownership consumption. North American jurisdictions utilized models cost internalization reviewed paper. addition discussing models cost internalization, regulatory market development techniques jurisdictions promote ensure disposal promote positive markets. discussion criteria jurisdictions evaluate scrap tire problems suitability management options. introduction US Canadian scrap tire systems, current generation levels scrap tires markets utilize scrap tires discussed. UNCTAD/IRSG Workshop 1998 4 Recycling tires question addressed discussing utilization scrap tires scrap tires recycled tires, scrap paper metals recycled paper metal. pneumatic tire remarkably elegant device superbly designed accomplish main purpose: work concert wheel air supports weight vehicle mounted. addition carrying vehicle’ weight, tire transmit forces vehicle accelerate, turn stop. tire complex composite materials including natural synthetic rubber; reinforcing fabrics, typically polyester, nylon, aramid, steel; steel wire woven reinforcing tread belts beads; carbon black silica reinforcing filling agents; chemicals, oils additives aid curing process, tire resist oxidation, serve purpose tire. Complex physics, chemistry engineering design construct outwardly simple-appearing tire. process vulcanization, discovered Charles Goodyear 1842, rubber temperature stable sets tire’ permanent shape. making rubber temperature-stable, thermoset material, vulcanization modifies rubber routinely returned virgin state. inability return vulcanized rubber virgin state, utilized tire construction place virgin materials. result, tire manufacture extremely limited, contemporary radial tires. research efforts underway increase utilization recycled rubber tires, .. manufacturers publicly announced original-equipment-qualified tires recycled content 5%, years significantly greater levels routine tire manufacture. Scrap Tire Management Council Scrap Tire Management Council established Tire Division Rubber Manufactures Association 1990 cornerstone industry efforts assist meeting challenges scrap tires. mission Council assist promoting scrap tires valuable commodity ways economically environmentally sound. main activity area market development, seeks expand sound markets utilization scrap tires scrap tire-derived materials. works collect disseminate information scrap tires, conduct research fill gaps existing knowledge scrap tires, work legislative regulatory agencies develop laws regulations dealing scrap tires, maintain liaison parties interested concerned scrap tires. goals expand scrap tire markets consume tires , promote sound management newly generated scrap tires promote remediation scrap tire time period practical. Council represent vested interest product derived scrap tires processing scrap tires. Scrap Tire Management UNCTAD/IRSG Workshop 1998 5 Council promotes concept scrap tires resource wide array applications. Magnitude scrap tyre volumes US Canada Calculating scrap tire generation rates methods calculate scrap tire generation rates United States Canada similar methods world. Scrap tires generated replacement tires purchased, vehicle scrapped. United States, scrap tire generation rates terms individual tire units. occasionally units translated ‘passenger tire equivalents’ rate 20lbs passenger tire, translated total weight. Market utilization figures generally simple calculation units. 1997, estimated 270 million scrap tires generated United States. Canada similar experience 1997 generated approximately 25 million scrap tires. majority scrap tires markets passenger, light truck bias ply truck tires. majority medium heavy truck radial tires, -road tires agricultural tires slowly coming market applications. differential percentage total number scrap tires generated weight tires, set table. Tire generation/weight differential Type tire Percentage units market Percentage total weight Passenger/Light truck 84 65 Medium/Heavy truck 15 20 tires 1 15 practice, worn tires initially removed vehicles continue tires. extensive national international markets tires sound casings retreaded returned service. retread market strong medium truck market segment. Light truck retread markets expanding. tire retreaded tire markets, assumption retreaded tire put service, tire scrap pile. Ultimately, , tires diverted tire retread market scrap stream, assumed tire scrap stream retreaded reused tire mounted. , replacement tire market figure remains estimate volume discarded tires. Individual state generation estimates range 700,000 year populated areas North Dakota Wyoming, 30 million year California. UNCTAD/IRSG Workshop 1998 6 Scrap Tire Generation, units 1990 1997 Passenger replacement 152,251,000 179,487,000 Light truck replacement 22,832,000 28,035,000 Medium, wide-base, heavy large --road 10,687,000 11,908,000 Farm 1,549,000 2,460,000 Tires scrapped vehicles 44,296,000 48,076,000 Total scrapped tires 231,615,000 269,966,000 US population 248,718,301 267,100,000 Rate scrappage 0.93 person 1.00 person Figures Tire Industry Facts, 1997, published Rubber Manufacturers Association Statistical Abstract United States, published .. Department Commerce Scrap tires stockpiles United States Canada, separate interrelated scrap tire management issues: dealing newly generated scrap tires; dealing legal illegal stockpiles tires residue ( current) methods handling scrap tires. Stockpiles created means disposing tires normal landfill destination solid waste. locations, tires landfills, states practice, shredded cut tires. Stockpiles alternate disposal option. Stockpile operators thought collecting ‘black gold,’ stockpiles contained highly valuable potential energy great . threat oil availability rising oil prices 1970’ 1980’, operators eventually wealthy. , tip fees collected dumped tires current income. Stockpiles resulted cost avoidance: landfills sought exclude tires, tire jockeys , illegal cost-free sites deposit tires. ravines woods sites illegal dumping, property owner’ knowledge. time illegal dumps thousand tires . Based surveys Scrap Tire Management Council, estimated US tire stockpiles 700–800 million scrap tires. Individual state estimates volume stockpiled tires borders range 100,000 Minnesota 100,000,000 Ohio. Individual stockpile size varies considerably. largest single stockpile estimated 60 million tires, 17 states report largest stockpile 1 million tires, state, Texas, reports largest stockpile exceeds 10 million tires. largest number stockpiles 100,000 tires . counting reduced estimated number stockpiled tires, continue represent major challenge ultimate goal developing sound markets scrap tires. UNCTAD/IRSG Workshop 1998 7 Remediating scrap tire stockpiles Efforts remediate stockpiles special problems. stockpiled tires limited possibility contamination materials dumped tire stockpile environmental exposure. problem flows tires stockpile remediation disrupt markets scrap tire flows annual generation stream. considered dealing stockpile clean . states substantial progress abating scrap tire stockpiles, including Illinois, Wisconsin, Minnesota, Maryland, Florida Virginia, . states, including Illinois, Maryland Florida, success feeding stockpiled tires market flow adversely affecting markets current generation tires. Illinois, , created market capacity 120% annual generation. development market capacity key success Maryland Florida . state clean- stockpiles substantial markets developed, result tires stockpiles displace current flow tires. turn, tires landfills ( allowed) stockpiles. Principal markets scrap tires: types volumes United States Canada continue recognized major markets scrap tires: tire-derived fuel (TDF), products recyclable rubber, civil engineering applications. lesser scrap tires – export, agricultural miscellaneous – fall preceding market areas. Markets scrap tires, 1994–1998, millions 1998 (est.) 1996 1994 Energy 140 152.5 101 Civil engineering 18 10 9 Ground rubber 12 12.5 4.5 Fabricated products 8 8 8 Export 15 15 12.5 Agriculture, misc. 3.5 4.0 3.5 Retread 31.1 32.5 33.0 Tire-derived fuel 1985, TDF largest single market segment scrap tires United States. Markets grown 24.5 million units 1990 estimated 140 million units 1998. ebb flow market users market depart variety reasons. specific components TDF market: UNCTAD/IRSG Workshop 1998 8 cement kilns, pulp paper mill boilers, utility boilers, industrial boilers, dedicated scrap-tire--energy facilities, municipal waste--energy facilities, copper smelters, iron cupola foundries, limekilns. combustion technologies set engineering considerations fuel requirements. technical issues involved market sectors fall scope report. , information topic reported 1990 1992 Market Surveys, obtained Scrap Tire Management Council (STMC). general, methods tires fuel employed United States: tires processed tire-derived fuel. tires cement kilns dedicated scrap-tire--energy facilities. Approximately 60 percent tires cement kilns tires. dedicated scrap-tire--energy facilities: accepts tires accept processed tires. fuel markets processed (cut shredded) tire-derived fuel, referred TDF. TDF sizes range 3"x3" chip - chip, 95+ percent steel removed. markets forms TDF generally increased period 1985– 1998. slippage, STMC projecting turn- continued increases market segment. Environmental considerations facilities seeking utilize tires TDF supplemental fuel secure revised permit state provincial air-permitting authorities. arduous process, involving extensive emissions testing, public hearings, permitting requirements. Basically, facility demonstrate tires emissions regulated pollutants excess current permit levels. fact tire fuel- facilities permitted 34 states Canadian provinces illustrates tires meet requirements. occasion Canada, provincial governments decided, policy issue, tire fuel . occurred Ontario years, , presently Nova Scotia Maritime Provinces. US state policy refused grant permits tire derived fuel. Scrap tire fuel cement kilns Cement kiln scrap tires supplemental fuel dynamic market. , 35 cement kilns TDF United States Canada, 20 kilns phase planning permitting process, TDF years. outlook suggests TDF supplemental fuel continue increase. Kilns scrap tires individual permitted volume capacities ranging 250,000 million scrap tires UNCTAD/IRSG Workshop 1998 9 year. driving forces current anticipated TDF : improved emissions; increased production; decreased fuel costs. Scrap tire fuel limekilns scrap tires supplemental fuel limekilns market niche tire derived fuel. Lime kilns, cousins, cement kilns, energy intensive process. present time, limekiln TDF production basis, consumes 10,000 tons TDF annually, 1 million tires. limekilns testing TDF permitting process. Scrap tire fuel pulp paper mill boilers Tire-derived fuel supplemental fuel pulp paper mill boilers, stoker grate units wood waste primary fuels. technology proven continuous US early 1980’ earliest TDF US. Consumption TDF US pulp paper mills tripled mid-1980’ approximately 35 million tires year. 19 mills TDF continuous basis. Mills TDF decrease total fuel costs, improve emissions improve combustion efficiency. Scrap tire fuel electricity generating facilities industrial applications types facilities covered category: large-scale utility boilers, industrial boilers, resource recovery facilities. TDF supplemental fuel, exceeding 10 percent total fuel mix. Utility boilers: utility market, TDF wet bottom, cyclone, stoker, fluidized bed boilers proven. 15 utility power plants TDF. utilities close starting TDF utilities TDF. Industrial boilers: Ten industrial power plants TDF. Municipal waste--energy facilities: Approximately 13 facilities, combust municipal solid waste generate electricity, TDF regular basis. TDF combined markets decreases fuel costs, improves emissions improves combustion efficiencies. combined markets consume 70 million scrap tire year, figure grow 85 million scrap tires years. Scrap tire fuel industrial applications types combustion facilities approved TDF. iron cupola foundries, copper smelters, rock wool plants. TDF markets involve facilities, represent significant potential - market. UNCTAD/IRSG Workshop 1998 10 Scrap tire fuel dedicated tire--energy facilities US facilities tires fuel produce electricity, Modesto Energy Limited Partnership (MELP) California Exeter Energy Project (EEP) Connecticut. facility, Chewton Glen facility built Ford Heights, IL ( Chicago), shut filed bankruptcy. development large-scale, dedicated scrap tire--energy facility appears due high cost facilities pending deregulation utility industry. Deregulation result downward pressure rates utilities pay electricity, hard facilities alternative fuel sources traditionally enjoyed preferential rate treatment. Current tire usage operating facilities 15 million tires annually. reduced 10 million year MELP forced close. Scrap tires civil engineering applications civil engineering market encompasses wide range scrap tire-derived material replace material construction (, dirt, clean fill, gravel, sand, ). potentially major market scrap tires fits tires pile clean-ups, presence dirt tires problem. order considered beneficial , performance scrap tire-derived material equal superior material replaces, / provide additional advantage project, cost. cases, advantage scrap tire-derived material avoidance additional costs disposal options scrap tires. potential civil engineering brings set technical, environmental economic constraints fully evaluated application accepted. Civil engineering applications encompass small large-scale projects, consideration persons seeking wide range . potential usage scrap tires civil engineering applications substantial, federally aided highway construction encouraged. ASTM guidelines major difficulty expanding market general lack published information physical characteristics scrap tires engineering material. American Society Testing Materials Committee 34.15, urging STMC, years work, published set guidelines fill . Guidelines Scrap Tires Civil Engineering Applications designated ASTM Document 6270-98 engineering professionals country world. UNCTAD/IRSG Workshop 1998 11 Tire-fill guidelines STMC instrumental developing promulgating set guidelines entitled Design Guidelines Minimize Internal Heating Tire Shred Fills. guidelines outgrowth incidents tires thick fills (greater 6 meters depth) experienced exothermic heating reaction destroyed fills. Design Guidelines limit tire-shred fills 3 meters depth establish design construction criteria. Guidelines issued US Federal Highway Administration states. 1998, thin-fill guidelines place, scrap tire civil engineering applications grow 18 million tires. Principal applications include landfill cover, leachate collection systems, road-bed fill, septic field leaching systems road insulation material. Reutilization product manufacture size-reduced rubber market size-reduced rubber continues grow, rapidly ability produce ground rubber. years, applications ground rubber developed expanded. addition, US auto industry, largest market rubber products, recycled rubber ingredient rubber parts purchases. years parts significant amount recycled rubber cars, rubber parts industry developing testing compounds ground rubber. market influx producers, greatly increasing potential material supply. , supply capacity continues exceed market demand, placing heavy pressure prices. market demand size-reduced rubber 450 million pounds 1997. compares 1992 market 160 million pounds size-reduced scrap tire rubber 1994 market volume 240 million pounds. Ground rubber principal sources: tire buffings processed, , scrap tires rubber scrap. total market volume 450 million pounds generated, 210 million pounds, 47 percent obtained tire buffings. balance 240 million pounds, 53 percent, obtained primarily scrap tires reduction. purposes report, estimate 12 million scrap tires reduced ground rubber. attempt differentiate buffing dust scrap tire rubber identifying markets, differentiate cryogenically produced ambiently ground scrap-tire rubber. Scrap tire processing source ground rubber future supply tire buffings, -product retread industry, limited slow growth retreading. general categories markets ground rubber. categories approximate volumes consume : UNCTAD/IRSG Workshop 1998 12 Ground rubber market share, % Bound rubber products: 10 tire manufacturing: 20 Rubber modified asphalt (RMA): 42 Athletic recreational applications: 17 Friction material: 2 Plastics/rubber composites 3 Molded & extruded parts: 6 technologies impact ground rubber industry: surface modification devulcanization. attempt deal basic problem encountered incorporate ground rubber rubber compounds: ground rubber chemically active material. longer-term outlook ground rubber segment suggests stable market, overwhelming market technological breakthrough radically alter market dynamics short-term. industry forecast continue sustained growth, 10–25 percent annually. Canadian ground rubber production Canadian provinces strong policy preference production ground rubber recycled products. Alberta Maritime Provinces, ground rubber producers receive significant assistance produce market ground rubber produced scrap tires, markets limited province. Cut, stamped punched rubber products process cutting, punching stamping products scrap tire carcasses oldest methods reuse tires. market encompasses dozen, hundreds, products, advantage toughness durability tire carcass material. basic process tire carcass raw material. Small parts die cut stamped, strips shapes cut tires. limitation market generally bias-ply tires fabric- bodied radial tires. number bias-ply fabric-bodied medium-truck tires produced decline, appears market segment increase substantially. , scrap tires cutting stamping increase slightly. demand market, virtually scrap bias-ply, medium-truck tires collected major truck casing dealers finding cutting stamping operation. market estimated million tires annually, --- percent market. segment expected remain stagnant, limited number bias ply tires. UNCTAD/IRSG Workshop 1998 13 Tire exports Export sound tires retreadable casings constitutes major market tires removed initial service. tires initially removed vehicle sound adequate tread depth tires. addition, tires proper tread usable candidate casings retreading. categories tires ready markets US North America parts world regularly sold markets. Virtually tire- producing countries participate world trade tires. tires casings exported United States assumed return US ultimate disposal. US exporters routinely ship million units month, 18 million tires year, based estimates participants markets. constitutes percent annual volume discarded tires. Tire retreading Council strong supporter retreading. Retreading economical North America medium truck segment. Data North American retread market : 1997 Retreading: North America Total sales retreaded tires: 30.9 million Sales : $ 2 billion Passenger tires 3.8 million Light truck tires 7.8 million Medium heavy truck tires 18.7 million 800 thousand Aircraft, -road, industrial/lift trucks, motorcycles, farm equipment Tread rubber 640 million pounds Number retread plants: North America 1,440 Source: Tire Retread Information Bureau Council strong supporter retreading, explained Council retreading market waste scrap tires. definition, waste scrap tire longer original intended purpose wear damage. retreadable tire hand capable original intended purpose. viewed market scrap tires, retreading properly continued tire. Manufacturers pressure trucking industry provide -longer-lived tire casings. produce tire casings expected life spans approaching 500,000 miles, produce 500,000-mile tread. , retreading casing part intended pattern designed manufacturer. retreadable casing waste tire, middle-aged tire lifetime . suggest, observers , ‘solutions’ scrap tire problems retread waste tires, solution . casing reach UNCTAD/IRSG Workshop 1998 14 life scrap tire. , retreading process tire owners recover economic built tires manufacturers. subsidize positive economic process. Scrap tire markets: conclusions section presented information markets scrap tires. general, continue major markets form basis demand scrap tires. markets tire-derived fuel, products, civil engineering applications. discussed tire exports; additional markets discussed include agricultural , thermal distillation (pyrolysis) miscellaneous , account small volumes limited growth potential. years continuing growth scrap tire markets. 1990, 11 percent annually generated scrap tires markets. 1992, 38 percent annually generated scrap tires markets. 1994, 55 percent annually generated scrap tires markets, 1995 69 percent annually generated scrap tires markets. 1996 markets grown 75.9 percent, 202 million 266 million scrap tires generated. markets enjoyed great growth year , maintained high level. STMC projecting renewed increases major markets scrap tires. factors impact markets suggest number scrap tires markets continue increase, market sustain rate increase sustained years. presumption major disruptions market place, reasonable conclude 2002, markets consume current flow scrap tires reasonable attainable. rationale assessment majority readily market, , potential fuel users, begun TDF. significant number potential fuel users permitting process, numbers equal entrants TDF markets years. , potential fuel users states arduous permitting processes. clear TDF continue significant market intermediate term. TDF proven environmentally sound cost effective. implementation Clean Air Act Amendment 1991, utilities competitive, indications TDF considered positively previously. scrap tires civil engineering applications, major problems apparently , increase significantly. optimistic market niche increase time. development industry guidelines construction practices assist greatly . size-reduced rubber scrap tires remains verge larger market segment. reasoning -fold. , finite limit quantity tire retread buffings , limit rapidly approached. , markets size-reduced rubber increase dramatically years, major source tire reduction. UNCTAD/IRSG Workshop 1998 15 markets scrap tires, indications export, cut, stamped punched products, agricultural increase great extent years. thermal distillation (pyrolysis) scrap tires technology impact market scrap tires. technologies monitored years. applications rubber devulcanization process. point, significant quantity scrap tire rubber manner. conclusions reached pyrolysis gasification technologies, including microwave, encouraging. technologies existence years, date, , close , commercial operation. outlook technologies significant markets scrap tires anytime years, current conditions, highly . limitations technologies, limitations thermal distillation, combination manner tires constructed nature -products generated respective technology. Finally, evident scrap tire industry entering era, processed products generated scrap tire specifications. level processing efficiency improved significantly, improvement expected boost productivity . positive indicators field, indications continue continued consolidation attrition scrap tire industry. hopeful business correction subsides, industry efficient, result stronger market place. Diversity US Canadian experience United States Canada organized federal systems. principal governmental subdivisions, states United States provinces Canada, retain substantial responsibility governing broad sectors public life. addition, instances national government enact broad legislation, legislation assigns substantial responsibility implementation administration states provinces. result broad range individual state provincial approaches problems region country. Lack national law regulation specifically dealing scrap tyres United States Canada, national laws specifically regulated scrap tire management. United States laws introduced Congress occasions, stand proposals, part broader legislative proposals, amendments Resource Conservation Recovery Act. legislative proposals, emphasis remain assigning responsibility states enact administer scrap tire programs meet minimum standards established legislation. bill introduced current session Congress UNCTAD/IRSG Workshop 1998 16 broad pattern, likelihood enactment small. , , reintroduced Congress reconvenes 1999. specialized scrap tire legislation enacted US Congress, federal statutes affect scrap tire management markets utilize scrap tires. include Resource Conservation Recovery Act, establishes standards municipal solid waste activities; Clean Air Act, establishes minimum air emission standards combustion facilities; Clean Water Act, establishes standards involving effluent discharges. Scrap tires fall purview CELCLA, Superfund Act, involved open-air fire site contaminated point falls requirements Superfund. laws administered federal Environmental Protection Agency. result substantial federal interest regulations promulgated acts technical policy issues raised scrap tires. addition, departments EPA conducted research published studies relating scrap tires. Congress attempt legislate scrap tire issues. 1990, Congress included federal highway legislation mandate states rubber-modified asphalt paving materials projects built federal assistance. intent legislation create demand scrap tire-derived materials. enactment, mandate met strong resistance state highway departments asphalt paving community. years opposition, mandate repealed 1995. state highway departments resisted legislation reasons. constituted mandated engineering requirement, enacted Congress 35 years federal aid highway programs, highway departments resisted engineering mandate. believed Congress place telling build roads. addition, lot experience nationwide rubber-modified asphalt. states test demonstration projects 1990–1994 time frame, projects failed performed poorly, largely result improper techniques poorly designed materials. related problem perception. original rubber asphalt paving, beginning 1960s, improve performance asphalt concrete, intent mandate solve solid waste problem. perception Congress convert roads linear landfills, desirable prospect highway departments. final problem rubber-modified asphalt paving generally expensive normal paving materials. asphalt paving community opposed, reasons, potent political force virtually states. Historical development specific scrap tyre legislation regulation virtually separate country states (individual US States Canadian Provinces) broad latitude enact laws deal matters warrant legislation, states provinces follow timetable. , legislation topic sweep rapidly countries. case scrap-tire legislation. efforts began late 1979 UNCTAD/IRSG Workshop 1998 17 Jersey. specific examples successful scrap-tire legislation, jurisdiction looked existing legislation regulation dealt scrap materials. proposal deposit system, similar type implemented soft-drink cans bottles. tire industry’ view, workable law. small deposit refund aid collection soft-drink cans, needed tires. problem leads indiscriminate dumping scrap tires initial collection, occurs retail tire vendor replacement tires purchased, subsequent stage collection handling scrap-tire hauler tire jockey. addition, structure tire sales distribution created substantial problems marking tires sold Jersey covered deposit system. addition, proposal assist market development clean existing stockpiles. Jersey legislation enacted. state legislation Minnesota 1985, Oregon . 1980s, movement enact scrap tire legislation full swing country. 1989, legislation enacted, verge enacted, 40 states. present time, 48 50 states specific legislation, specific regulation broad solid waste statutes, scrap-tire management. Canada’ foray scrap tire legislation fee provision enacted Ontario 1989 imposed $5 tire fee sale tires. intent utilize funds scrap tire projects, collections Provincial General Fund. money distributed grants, principally companies ground rubber business, largest share tire fees scrap-tire management purposes. provinces enacted scrap tire legislation early 90’, legislation place province, Ontario. issue driving scrap tire legislation issue United States concern regulation landfills. Resource Conservation Recovery Act, Environmental Protection Agency developed national performance standards municipal solid waste landfills, implemented state. Landfills common disposal site scrap tires years. greater regulation landfills, generally perceived greatly increase cost landfill air space, concern continuing accept scrap tires. important note federal regulations prohibit continued landfilling tires. state level, , concern landfill space valuable tires . feature scrap tire legislation prohibition landfilling tires. states step eventually prohibited landfilling shredded cut- tires. states, landfill ban specific scrap tire law enacted. Multiple approaches common problem features US Canadian federal systems multiple approaches common problems. country geographically diverse United States, widely differing attitudes common problems equally widely diverse solutions. attitude landfilling scrap tires illustrate split. states, noted, bans place UNCTAD/IRSG Workshop 1998 18 prohibiting landfill disposal , cases, shredded tires. states densely populated states limited landfill siting options, resulting desire material landfills . addition, populace view environmentally conscious accept limitations policy impose. contrast, sparsely populated western states tolerant landfilling, space , enjoy costs sending scrap tires landfill. Additionally, , states delegate responsibility smaller units government (counties solid waste management districts), states retain control responsibility state level. addition, , states substantially approaches generation revenues needed deal scrap tire issues utilization funds. Common regulatory economic instruments North American scrap tire management diversity North American scrap tire regulatory experience, common features comprehensive scrap tire regulation. elements states, consensus effective program include elements. features include: . Registration licensing haulers processors; manifests; financial assurance requirements. . Ban stockpiles; provision remediation. . Limitations landfilling processed tires. . Establishment dedicated taxes scrap tire related programs. . Assistance create expand scrap tyre markets. Registration licensing haulers processors; manifests; financial assurance requirements common features provision establishing regulatory control business entities deal scrap tires. mechanism registration licensing requirement. Businesses desiring engage scrap tire hauling processing required register state agency provide information agency requires. requirement addition general business licenses permits required secure. Continuation scrap tire registration license contingent compliance rules regulations established type operation. limited number states, scrap tire generators, tire dealers vehicle dismantling yards required register, registration intended assign generator number track scrap tire transactions. concurrent requirement scrap tire generators contract licensed permitted haulers secure collection services. Licensed permitted haulers, turn, deliver tires licensed processor, storage site user. limited exception permitting requirement UNCTAD/IRSG Workshop 1998 19 carrying minimum number tires, typically 10 , instances tire dealers hauling tires processors markets. states established manifesting requirements provide paper trail generator ultimate disposal. Manifests initiated generator scrap tires collected, travel scrap tires processor user, provide audit trail enforcement activities sentinel effect parties involved. common requirement processors, frequently haulers, required post financial assurance instrument favour state insure adequate funds remediate sites event fail . bonds, letters credit, insurance policies, instruments allowed state regulation. amount financial assurance calculated maximum number processed tires permitted processor’ site, number vehicles hauler operating. Ban stockpiles; provision remediation state programs prohibit scrap tire stockpiles created require owners operators existing stockpiles cease scrap tires develop plan eliminate existing stockpiles. Recognizing scrap tire processors require scrap tire storage, state laws require ground storage allowed accordance terms permit maximum tires allowed stored. processors required post financial assurance instrument . Typical financial assurance amounts $1 stored tires. states adopted standards outdoor storage scrap tires. standards typically follow guidelines adopted National Fire Protection Association (NFPA), principal fire safety standards development organization United States. guidelines contained Appendix NFPA Standard 231D, provide specific guidance physical size limitations stockpiles, minimum management requirements stockpile operations. related requirement treatment piles reduce eliminate disease vectors, mosquitoes rodents. Eliminating existing stockpiles major legislative regulatory concern. responsible party , party typically required comply storage regulations prepare follow plan eliminate stockpile. , , financially capable party present, stockpile public land. cases public scrap tire authority responsible stockpile remediation effort. specific mechanisms remediate stockpiles varied states. states funds counties local government units manage site clean-ups, states task state agency. complication access stockpile. states, agency direct legal powers enter property clean tire pile. states, involved legal process observed, adding extra time process. UNCTAD/IRSG Workshop 1998 20 State scrap tire funds usual source funding publicly supported clean ups, private property. site private property, state seek lien property recover funds expended. state, Maine, part proceeds public bond issue environmental projects dedicated scrap tire pile remediation. state begins undertake stockpile remediation efforts, results substantial voluntary remediation efforts private landowners expense. tend smaller piles, 50,000 tires, tend largest number piles , aggregate, substantial number tires. Limitations landfilling processed tires substantial majority states (35) banned scrap tires landfills, states banned scrap tires landfills. states allowed establishment scrap tire monofills, landfills accept scrap tires. Removing scrap tires landfills eliminates problems, including high volume tires occupy, fact easily compact, tendency move landfill break cap. Cut shredded tires remove problems. noted discussion scrap tire markets, shredded tires ways landfill construction operation. Pressure limit landfilling shredded tires people seeking build higher- markets tires. Landfill monofill disposal, shredded tires, lowest-cost option handling scrap tires. Higher- markets typically require higher tipping fees financial support. order develop higher- markets, states prohibiting landfilling shredded tires. caution order. landfill current destination scrap tires, imposition ban result increase illegal dumping. land fill ban phased alternate markets established. Establishment dedicated taxes scrap tire-related programs common feature US Canadian scrap tire programs dedicated fee tax imposed government support scrap tire programs. pointed mechanism intended internalize direct costs scrap tire management. fees vary basics point imposition, amounts, pattern utilization. common point imposition retail sales transactions involving tire purchases. US, states limit taxes replacement tire sales. states Canada, taxes imposed tires mounted vehicles retail sale level. states, Ohio Maryland, tax imposed wholesale level collected remitted wholesaler. Retail wholesale level taxes fixed amount tire. states, amount calculated percentage basis, cap maximum amount imposed. UNCTAD/IRSG Workshop 1998 21 states avoid tire sales transaction increase fees imposed vehicle ownership. states impose additional fees vehicle title transfers. state imposes separate environmental fee car sales, portion fee dedicated scrap tires. rationale approach avoids administrative burden establishing tax. existing collection system place, simple matter transfer funds state account. amount tax fee varies substantially reflects approaches internalizing management costs. Tax amounts imposed passenger tires range $0.25 tire $4.00 tire. United States, common figure $1 tire. States tax levels $1 unit intend money generated cover cost initial collection tire generators. Jurisdictions US Canada impose higher taxes, ranging $1.50 tire $4.00 tire, established programs taxes represent prefunded disposal collection costs. Fund utilization discussed greater detail portions paper, general funds utilized support staffing administer program, cleanup scrap tire piles, provide market development assistance designed create -sustaining markets, fund tire collection system. Assistance create expand scrap tyre markets key success effort divert recyclable reusable materials solid waste stream develop - markets. Diversion materials recycling, people participate programs . materials markets recycling reuse place. states provinces enact comprehensive scrap tire legislation, prominent features assistance create expand scrap-tire markets. Assistance programs forms detailed completely . point note successful programs strong market development features. Principal US Canadian models scrap tyre cost internalization, regulation market development stated subject paper discussion models cost internalization scrap tire management costs utilized United States Canada. Effective scrap tire management programs include distinct elements, including establishing sound collection practices, developing markets disposal alternatives, providing effective enforcement, remediating negative impacts earlier practices. issue cost internalization fundamentally determining pay costs --life management program funds collected disbursed. general, world consensus growing respect tires costs --life UNCTAD/IRSG Workshop 1998 22 management reflected product , methods developed include costs cost ownership. Direct indirect costs benefits Earlier mentioned sets costs scrap tire management utilization disposal. set direct costs collection, processing, reuse disposal, extended include cost governmental oversight management scrap tire industry cost remediating failures scrap tire management techniques, stockpiling. set higher order costs consequence scrap tire reuse. diffused social environmental burdens benefits result scrap tire management options. attempt quantify set direct costs set higher order costs. report effort, Tyre Recycling Europe: open borders waste hierarchy, EPCEM Study Report . 1998/2, (IVM, Institute Environmental Studies, Vrije Universiteit, Amsterdam, April, 1998), reflects ambitious attempt determine cost-benefit analysis life-cycle analysis beneficial method tire reuse. analysis, report relies heavily economic technical assumptions affect ultimate outcomes. , doubt, individual assumptions challenged. balance, , appears honest effort calculate higher level burdens benefits scrap tire options. point exception noted . report includes retreading analysis concludes retreading highest order method dealing waste tires. , outlined discussion tire retreading, properly method dealing scrap tires. , part intended initial life tire. IVM study evaluated markets scrap tires, including fuel , pyrolysis, material recovery market, grinding reclaiming. lack significant civil engineering applications Europe, market included. report’ analysis suggests options discussed positive social benefit, approximately order magnitude. social benefits options approximately equal, conclusion drawn market place mechanism determining ultimate destination scrap tires. Internalization direct costs United States Canada, approaches cost internalization direct scrap tire management costs developed. include: Free market activity: taxes fees imposed governmental jurisdictions tire sales fund life activities; increases vehicle-related levies dedicated scrap tire programs. UNCTAD/IRSG Workshop 1998 23 jurisdictions utilize approach, depending parts program. , initial collection cost set free market forces, tire tax system supports enforcement market development. addition cost internalization methods, North American jurisdictions developed regulatory structures scrap tire management. regard, United States Canada basically diverged. US models generally rely free market funding collection processing. Canadian provinces tending stewardship model establishes public-private board administering tire tax generated funds pay collection processing. US system shared product responsibility system. point ownership cycle tire, person possession tire bears responsibility proper handling disposition. tire life moves cycle includes manufacture, distribution, initial sale, , initial removal service, evaluation reuse retreading, subsequent sale, final removal service vehicle tire, processing markets, utilization markets, ultimate disposal. owner turn bears responsibility step life. major advantage shared product responsibility system level efficiency reduces cost handling tire point lowest level needed move level. level location, market establishes lowest cost options handling tires. , regulation needed eliminate illegal dumping harmful practices. , impose heavy administrative burden centralized control system impose. Cost internalization models: . Pure market-based system. . Minimal regulation. . County regional system. . Intermediate processor model. . Stewardship board model. . Pure market based system. US jurisdictions, costs scrap tire collection, processing set market place. Scrap tires left tire vendor replacement tires purchased. costs incurred tire vendors initial scrap tire management, including tip fees charged scrap tire haulers storage handling costs, cost business. tire vendor include costs setting product price tire, frequently occurs, explicitly charges customer fee tire disposal. case, total purchase price paid customer includes costs. hauler charge tire vendor tip fee reflects recovery hauler’ costs return investment, reflect ability maximize tires collected. fees reflect availability local -cost disposal options. state law , -cost landfill monofill options hauler. tire collection fees high local market, haulers undercut fees secure tire dealer’ business. UNCTAD/IRSG Workshop 1998 24 free market states, retail level tax fee imposed support state scrap tire program, state fee addition market-based fee pay collection scrap tires. subsequent costs scrap tire handling set market forces. tire fuel users, principally cement kilns, charging tip fees tires consumed fuel. cement kiln receives economic benefit tires avoided costs fuel replaced tires. market support tip fee kilns alternative destinations tires, landfills, charge tip fee. time future, markets tire develop, cement kilns forced reduce eliminate tip fees. Processors charge hauler tip fee based local market conditions competition. processor receive income stream sale final products, tire-derived fuel, civil engineering material, playground cover, ground crumb rubber. market set finished product. market-based system operates context regulatory system place state. Haulers, processors -users required registered permitted, posted financial assurance. Tire vendors permitted haulers. limits imposed processors -users. parties subject enforcement activities ensure state regulations . . Minimal regulation. jurisdictions rely minimal regulation. Essentially free market systems , minimal regulation jurisdictions major scrap-tire-specific legislation regulation. , tires solid waste dealt . Laws regulating dump-site locations invoked prohibit stockpiles formed, concern stockpiles. Landfills continue tires, utilize high tip fees drive . Litter laws punish persons responsible illegal dumping, . markets established based sound economics. General tax revenues governmental action needed scrap tire problems. , state nature initiation scrap tire legislation. , major problem led enactment intensive scrap tire regulation. remaining jurisdictions fall minimal regulation model, major fire outbreak mosquito borne disease frequent precipitating event intense regulation . locations tend sparsely populated areas major scrap tire problems developed. . County regional system. states established county regional district model responsibility scrap tire control. North Carolina Arizona, county responsible establishing scrap tire management system. Arkansas, similar responsibility regional solid waste management (SWM) districts, include county. model, state-imposed scrap tire fee imposed retail tire sales fact prepaid collection fee. state scrap tire program funding county SWM district. county district turn UNCTAD/IRSG Workshop 1998 25 establishes site jurisdiction scrap tire generators bring tires additional charge. Tire dealers transport scrap tires employees, pay parties actual hauling site. practice, county district contracts private party provide tire collection site services. contractor establish drop- site, establish route services pick tires individual dealer establishments. counties North Carolina, county elect service scrap tires, typically county-operated landfill disposes tires. county operate site money receives state, utilize excess purposes. major problem county responsibility model generally level expertise scrap tire management markets county level. addition, state agency control county decisions, poor. Arizona presents problem. 1993, Maricopa County, includes Phoenix, largest city state, counties contracted party collect scrap tires. contractor erect pyrolysis plant. state agency intervene, choice pyrolysis plant looked poor option. years collecting storing tires, permitted storage sites closed state fire marshal. contractor built pyrolysis plant bankrupt. major event arson fire storage site thousand tires. Clean fire site storage site mired charges counter charges parties bear cost. US Environmental Protection Agency entered dispute force parties clean site. related problem equitable distribution funding. funds distributed counties based population basis registered vehicles. reasons, reflect volumes tires managed district. Arkansas, SWM districts home major national trucking lines, major maintenance facilities district. result, district disproportionately large volume scrap truck tires deal , excess expected population model registered vehicle model. . Intermediate processor model. exception market-based model adopted states. , model state-imposed tax tires prepaid collection fee. , distributing funds local counties, program pays scrap tire processors collecting tires scrap tire generators processing size, allowed . processors collectors receive payments state agency. Originally enacted Oklahoma, model adopted Texas Louisiana; Texas allowed program expire 1997 Texas free market program. State scrap tire taxes $1.00 Oklahoma $2.00 Louisiana. Texas collected $2.00 replacement tire sale. Oklahoma program illustrates features program. Oklahoma, tire dealers scrap tires collected additional cost. UNCTAD/IRSG Workshop 1998 26 tires collected processed minimum size. collector/processor receive compensation, rate $0.85 18.6lbs. processed tire material payment coming state agency. Oklahoma, legislature wanted insure sections state receive collection service, law company participating program provide collection service counties state. establishes de facto monopoly, state generate scrap tires involve companies collecting tires state. company active scrap tire collection processing, state problem enforcing regulations. active company continue service competitor . addition, model contemplated processor undertake activities develop markets, practice limited effort create promote markets. model Oklahoma Texas required percentage tires shredded month existing tire stockpiles. provision intended abate tire stockpiles. Texas program stockpiles shredded , shredded Oklahoma. Texas program similar concept, major difference. Texas large state, area population, processor handle entire state. , state allowed permit participate program. Initially, forty processors received permits began collecting processing tires. Texas program encountered problems constantly amended state legislature. Initially, program promote markets. , legislation, markets improved. , reimbursement level set statute, processor community continually legislature seeking higher reimbursement levels modifications. legacy early failure develop markets 70 million shredded scrap tires stored state, hope . legislation introduced 1997 convert market development program user reimbursement system, competing factions, industry consensus. legislature disillusioned program allowed expire 1997. early 1998, Texas transition pure market based system, difficulty. , processor community, dwindled dozen companies, organizing seek processor reimbursement system year. . Stewardship Board model. Canada developed basic system internalizing scrap tire management costs. adopted province province basis, key features similar. key difference US Canada substantially higher scrap tire management taxes imposed Canadian provinces. Ontario set pattern imposed $5--tire fee. money generated scrap tire management purposes, repealed, set model Canadian jurisdictions. Presently Canadian provinces $3.00 tire tax, Alberta checks $4.00 tire levy. UNCTAD/IRSG Workshop 1998 27 tax levy prefunded collection fee. model varies slight ways, usual procedure establish stewardship board corporation, responsibility administer program. stewardship board typically composed stakeholders government, industry, environmental community general public. turn, contract private parties carry activities. funds typically provide tire subsidy processor producing selling product. processor, scrap tires collected additional charge scrap tire generators. cases, collectors contracted board provide services scrap tire generators. Tires stockpiles eligible subsidy payment remediated. key program high tire subsidies , vary depending product. markets scrap tires basically US, stewardship boards interested tire fuel resort . , focus producing crumb rubber recycling applications, markets material slow growing. Alberta undertaking investigation civil engineering spread market Canada. Market development models Market development earlier identified important feature scrap tire management program. US experience developed models create develop markets scrap tires. intent models promote markets eventually -sustaining. ultimate goal markets capable consuming virtually newly generated scrap tires. market development models : user subsidies. Grants loans. Intermediate stage subsidies. Tax credits. Buy Recycled requirements. user subsidies. market development model implemented, Oregon starting 1985. model, state program pays specific amount ultimate user scrap tires scrap tire-derived material. state develops tracking system certification tires collected tire establishments generators state. Payments monthly quarterly, allocation system state fund adequate money meet claims. states – Oregon, Idaho, Utah, Wisconsin Virginia – implemented system (Oregon, Idaho Wisconsin) allowed programs sunset. Canada, argued product stewardship model basically user subsidy, payment typically includes collection costs . Oregon, Idaho Wisconsin users subsidy $20 ton, Utah continues provide $65 ton subsidy, Virginia $20 ton subsidy annual flow tires $50 ton subsidy tires stockpiles. UNCTAD/IRSG Workshop 1998 28 intent subsidy system provide -user means recouping capital investment needed tires, tire derived materials. actual acquisition tires market-based activity. , tire dealers continue pay collectors tire collection services, processors sell TDF tire derived material users. experience completed programs mixed. Oregon experience users consume tire stockpiles, subsidy removed, users stopped tires. Idaho, small stockpile problem, subsidy served eliminate stockpiles. Wisconsin, appears subsidy fact - users recover capital costs. -users system subsidy place continued subsidy removed. Virginia, appears subsidy caused Virginia tires displace tires states. state good system tracking Virginia tires users. , Virginia tires states, markets existed Virginia program began, displacing tires form states. Utah highest level -user subsidy. tires consumed state, subsidy helps pay transportation cost - users states, notably California, cement kilns high percentage Utah state tires. Grants loans. states provide -cost loans outright grants scrap tire projects prospect -sustaining expanding scrap tires. states demonstration developmental grants, prospect market success remote. state grants local government entities purchase scrap tire-derived materials local government projects. state grant loan program rationale procedures. California grants scrap-tire-related demonstration developmental projects. addition, state grant funding technology transfer center asphalt rubber technology Illinois grant program investigate markets assist - users retrofit facilities scrap tires. Grants initial feasibility studies tests, production equipment. Florida funds county purchase tire derived materials county . intent local processor develop markets. states developed similar grant programs. market development models, grant loan model appears, , success. states robust, effectively implemented, appears build sustainable markets. akin helping build , longer pipeline users material pipeline economic , paying parties bribe material poor pipeline. Intermediate stage subsidies. previously discussed, states – Oklahoma, Texas Louisiana – adopted model payments state agency processors collect tires scrap tire generators process UNCTAD/IRSG Workshop 1998 29 size. payment covers collection processing, tax imposed states represents prepayment scrap tire collection. model intended payment processor assist developing markets. feature programs eventually processor receive payment tire material delivered market. , deadlines requirements continually extended. extent original intent model provide financial support tire processor assist developing ultimate markets, successful. markets developed financial support . success Texas program modified users receive financial support processors. Tax credits. common feature recycling development programs tax credits investment recycling equipment. covers investment tire recycling equipment equipment recycling materials. addition, state, Pennsylvania, established program limited tax credits fuel users began utilization tires legislation enacted, expand utilization tires. tax credits based number tires consumed limited total $1 million annually. difficulties administering program, discriminate facilities investment tires tax credit program began. Buy recycled mandates/recycled content mandates. governments subject ‘buy recycled’ mandates. typical mandate require governmental agency buy product minimum recycled content equal performance. times price premium allowed recycled product. programs started materials paper, increasingly extending products, including retreaded tires mats products recycled rubber content. US federal government requirement federal agencies state local government program receiving federal funds. Periodically, EPA publishes updated list products covered mandate. number products recycled rubber list. study determine federal government mandate impact market products recycled rubber. Stockpile remediation models Stockpile remediation major goals major state scrap-tire program. times, motivating force adoption scrap tire program fire scrap tire stockpile generated adverse publicity high level public awareness clean scrap tire stockpiles. , single model stockpile remediation programs. Stockpile remediation models include: Encouragement private action. County assistance. Intermediate stage subsidies; user subsidies. Trust Funds. UNCTAD/IRSG Workshop 1998 30 Direct state action. Encouragement private action Virtually scrap tire programs began encouragement private parties owning scrap tire stockpiles bring piles compliance storage regulations develop plan remediate stockpile stated period time. programs implemented, appears considerable response private parties remediate stockpiles. piles cleaned private action smaller size, collectively constitute considerable volume. Pennsylvania, stockpiled tires clean private parties year newly adopted state program. County assistance jurisdictions impose responsibility cleanup tire stockpile county governments. Oftentimes major tire Stockpile county owned landfill. instances, counties typically apply state grants assist remediation, state funds limited portion total; cost, high 90%. Intermediate stage subsidies; user subsidies discussed , features state programs Texas Oklahoma featured payments processors collection initial processing percentage tires shredded payment stockpiles. manner, programs eventually eliminate stockpiles tires remove disease vector threat piles presented. Texas program worked initial processors determined easier locate large pile shred run country collecting tires tire dealers. result, Texas virtually 50 million stockpiled tires reduced shreds. , remain stockpiled form. Virginia user subsidy program remediate substantial portion tire stockpiles. providing higher reimbursement rate tires ($50 $20 ton), state sought encourage processors handle stockpiles. succeeded easiest sites remediated, difficult sites remain dealt ways. Trust Funds trust fund, proceeds state bond sale, limited single state, Maine. bond issue intended environmental projects, including scrap tires. Direct state action common model stockpile remediation direct state action. Typically state inventory stockpiles, identify dangerous sites. Factors considered access difficulty, exposure watersheds, UNCTAD/IRSG Workshop 1998 31 proximity schools, hospitals sensitive populations, size stockpile. priority established, state undertake efforts identify landowner, notify remediate location, legal action secure access. states easier access sites determined potentially dangerous. site identified action, state typically advertises remediation services seeks identify qualified contractors. Contractors required identified material site. evaluation bids, contract awarded remediation undertaken. Typical costs vary substantially depending difficulty site. , remediation $70 ton, difficult sites reach $200 ton. Analysis recommendations framework analysis public private decision-makers face issues scrap tires, understanding specific facts circumstances surround scrap tires. Developing understanding result establishing preliminary set priorities action. , fuller information developed, analysis implications action priorities, parties review analyze priorities, change rearranged. initial decisions implemented, subject continuing evaluation determine achieving required results. , revised meet actual conditions encountered. concern policy makers, dealing utilization scrap tires, decisions based sound science. policy makers start markets scrap tires, encounter individuals groups opposed tires, based misguided view risks involved . occurs proposals utilize tires fuel. groups employ scare tactics imply public great risk, facts . employ junk science, bad science, science , attempt stir public opposition project. Policy makers stand firm sound science favour. substantial body scientific data tires built world wide respond legitimate public concerns. jurisdiction decisions type program seek implement, conduct analysis issues surrounding scrap tires jurisdiction. analysis include questions : problems scrap tires scrap tires handled realistic options exist scrap tires goals set program quickly reach goals economic social implications options UNCTAD/IRSG Workshop 1998 32 encourage options scrap tire costs borne public costs Depending options scrap tires, additional costs convert current public costs private costs additional costs public private , structures private costs parties involved scrap tire management role government tire consumers tire industry private sector parties measures judge success basic questions generate range additional questions, give feeling range issues considered. analysis simple, complex. policy response equally simple complex. expand outline bit, issue problems encountered: problems include presence stockpiles substantial illegal dumping littering lack landfill space scrap tire fires mosquito-carried disease traced tire piles absence market tires presence poor collection practices evaluate current collection practices: tires landfilled stockpiled, markets tires financially sound responsible tire collection services , good boys bad pick trucks respect options , fuel users easily utilize tires civil engineering implement potential users ground rubber reasonable induced enter market extended exercise, parties involved. Ultimately , basic decision . , jurisdiction simple route. conclude, , program seeks costly disposal options tires, , , seek control eliminate illegal dumping remediate existing scrap tire stockpiles, concern seeking divert scrap tires higher values markets competitive cost disposal. set decisions result program requires registration haulers processors, continues permit landfilling processed tires establishment properly permitted tire monofills. Costs handling current generation tires set marketplace, haulers free set tip fees collection. small tax imposed replacement tire sales fund remediation current stockpiles - ten- year period. Funds enforcement UNCTAD/IRSG Workshop 1998 33 cleanup activity, tire amnesty days. limited grant loan funding private public parties develop alternative markets, high priority. Efforts encourage markets, fuel existing cement kilns possibility competitive landfill exists. Success program simple. scrap tires handled program stockpiles eliminated tire littering reduced , program considered successful architects. US states, populations sparse land space plentiful, type program implemented. , , contemporary world, policy makers seek sophisticated analysis. view scrap tires simple solid waste problem, asset recovered form. analysis simple solid-waste management issues seek identify markets tires, evaluate encourage markets. states signal intention promote higher establishing future date prohibition landfilling processed tires. states spelled allowable scrap tires scrap tire legislation. typically include material recovery, energy recovery, civil engineering applications, listing specific applications rubber-modified asphalt septic drainage fields. addition, , establish process beneficial determination state regulatory agency task determining proposed tires beneficial . Recommendations Based United States experience, observations recommendations . • order reduce direct costs scrap tire management, collection management responsibilities lodged close point generation . • Effective control scrap tire collection transportation requires form registration haulers requirement registered haulers authorized collect transport tires. • Markets, , developed close points generation reduce transportation costs. • Market development efforts focus building sound infrastructure capable -sustaining, market-based operations. Overt subsidy scrap rubber contribute markets long term, absence subsidy. • Ultimately, scrap tire rubber, market place determine success failure. recycled rubber economic sense technologically effective, succeed. market sustained continued public sector imposed subsidies, fail removed. UNCTAD/IRSG Workshop 1998 34 • US experience, scrap tire management industry developed independent tire manufacturing industry. similar experience auto recycling industry. scrap tire industry fully mature auto recycling industry, making great strides allowed develop stand- industry. • Technological developments increase efficiency current potential scrap tires. Publicly privately funded technology development programs, including funded scrap tire management programs, provide targeted assistance effort, allowed open ended ‘research’ programs. efforts United States fully developed economy, experiences involving scrap tires . , US experience assistance developing economies evaluating possibility establishing scrap tire management program. room significant additional assistance, direct consultation, international agencies. kinds additional information assistance helpful greater accessibility technical information reuse recovery technologies additional conceptual analysis helpful evaluation management market alternatives seek input pledge continuing support establish sound management supportable markets scrap tires globe. UNCTAD/IRSG Workshop 1998 35 Internalization Scrap Tire Management Costs: Malaysian experience Dr Yusof Aziz Head, Industry Advisory Services Unit Malaysian Rubber Board, Kuala Lumpur, Malaysia. Introduction Rubber products reaching limit application discarded thrown waste. world today, problem rubber wastes accrued tyres readily biodegradable. Ways means reduce tyre wastes. tyres retreaded prolong life, ultimately , , discarded waste material. retreading process, powder waste generated buffing process tyre retreading. worn- treads buffed recapping, leads accumulation tyre buffing waste. Tyre buffings, finest , commonly reincorporated extent formulations tyre retreading. bigger crumbs polyurethane binder produce playground mats. diversity applications tyre/powder waste, plentiful amounts rejects/wastes disposed. Malaysia estimated millions units tyres disposed annually. Department Environment put stop open burning burying tyres/wastes air pollution land instability, . Wastes delivered specific incinerating areas cost rubber manufacturers. Scrap tyres artificial reefs breeding fish dock fenders. Garden furniture produced limited quantity. Waste tyres recovered processed reclaimed rubber subsequent rubber product manufacture. Reclamation technology utilising digester, reclamator steam pan process degrade rubber. reclaimed rubber added proportion 10–20% formulation higher level detrimental effect final vulcanizate properties. technology recycling, tyres buffed produce tyre crumbs/buffings process reclamation pursued. continuous search produce reclaimed rubber economically technology time consuming. technologies emerged years DELINK process. process claimed delink - bond vulcanizates. worldwide publicity, technology obscurity. Malaysian Rubber Board developed ‘’ technology recycle tyre buffings waste Malaysian rubber industry. paper. UNCTAD/IRSG Workshop 1998 36 Regulations present environmental law, tyres allowed buried, burnt dumped sea. municipality north peninsular Malaysia, tyres required deposited site recycling tyre crumbs. prohibition Department Environment law, tyres disposed indiscriminately. Tyre-derived fuel (TDF) tyres fuel substitute Malaysia hefty black smoke due incomplete combustion burning tyres. incinerator designed accommodate waste tyres fuel material . Cement kilns accommodate tyres supplementary fuel furnaces industry, furnaces redesigning. industry position shift cost involved. Binders road construction stipulated law requiring incorporation rubber road construction Malaysia market expansion tyre rubber powder. Recycling problem tyre disposal admittedly increasing problem future, current position Malaysia adhere recycling technology tyres. technology efficient, economic cost effective sought . big tyre-recycling companies Malaysia producing crumbs recycled rubber technological approaches. Economics thrust Malaysia product manufacturers reuse recycled rubber product manufacture economically stay competitive market place. Technology Fine tyre buffings passed -roll mill masterbatch chemical (RRIMREA) developed Rubber Research Institute Malaysia added 100 parts parts rubber (parts phr) crumbs mill temperature 90°. Due thermal, chemical mechanical action, sulphur-sulphur bonds UNCTAD/IRSG Workshop 1998 37 extent rubber chains (-) severed (Figure 1). form sheets, small amount virgin rubber . revulcanization recycled material curatives produces tensile strength 4MPa, addition activators curatives, tensile strength 7MPa achieved (Figure 2), comparable obtained DELINK, SURCRUM SIMAR processes (Figure 3). Figure 1. Theory crosslinking mechanism RRIMREC process. Figure 2. Rheometric traces RRIMREC. UNCTAD/IRSG Workshop 1998 38 Figure 3. Tensile strengths grades recycled rubber. Evaluation Studies recycled rubber (RR) obtained process earlier evaluated black NR tyre tread formulation 50 parts phr HAF black (Table 1). experiment recycled rubber polymer substitute filler. Table 1: Tyre tread formulation. Ingredients Parts weight. NR varied Recycled rubber varied HAF black 50 Stearic acid 2 ZnO 5 Oil 5 IPPD 1 Flectol 1 Sulphur 2.5 CBS 0.6 TMTD 0.1 UNCTAD/IRSG Workshop 1998 39 Recycled rubber 100% polymer material rubber industry common recycled rubber tyre buffings polymer substitute tyre tread formulation. experiment proportions illustrated Table 2. Table 2. Tread formulation variable proportions recycled rubber Ingredients Parts weight SMR 10 100 80 60 40 20 0 Recycled rubber - 20 40 60 80 100 ZnO 5 5 5 5 5 5 Stearic acid 2 2 2 2 2 2 IPPD 1 1 1 1 1 1 TQ 1 1 1 1 1 1 N330 50 50 50 50 50 50 Dutrex 5 5 5 5 5 5 CBS 0.6 0.6 0.6 0.6 0.6 0.6 TMTD 0.1 0.1 0.1 0.1 0.1 0.1 Sulphur 2.5 2.5 2.5 2.5 2.5 2.5 Processability Studies obvious phenomenon compound viscosity increases increase content recycled rubber (Table 3). Table 3. Compound viscosity increasing recycled rubber content Proportion - NR : RR Mooney Viscosity 100 : 0 61 80 : 20 61 60 : 40 96 40 : 60 211 20 : 80 211 0 : 100 84 UNCTAD/IRSG Workshop 1998 40 phenomenon demonstrated Rheometer traces compounds (Figure 4). Figure 4. Rheometer traces RRIMREC/NR. Physical Properties tensile strength elongation break vulcanizates decreased proportion recycled rubber increased (Figures 5 6). abrasion affected Table 4. Table 4. Abrasion Retention Index (ARI) vulcanizates. Proportion::NR:RR Abrasion Retention Index, % 100:0 94 80:20 90 60:40 82 40: 60 64 20: 0 44 0:100 63 UNCTAD/IRSG Workshop 1998 41 Figure 5. Effect NR:RRIMREC tensile strength. Figure 6. Effect NR:RRIMREC elongation break. UNCTAD/IRSG Workshop 1998 42 Recycled rubber filler Manufacturers rubber products reclaimed rubber replace virgin rubber tyre tread formulation utilised filler reduce cost compound. evaluation pursued. levels recycled rubber incorporated NR tread formulation (Table 5). Table 5.: Recycled rubber filler. Ingredients Parts weight SMR 10 100 100 100 100 100 100 100 Recycled rubber - 20 30 40 50 70 100 ZnO 5 5 5 5 5 5 5 Stearic acid. 2 2 2 2 2 2 2 IPPD 1 1 1 1 1 1 1 TQ 1 1 1 1 1 1 1 N330 50 50 50 50 50 50 50 Dutrex 5 5 5 5 5 5 5 CBS 0.6 0.6 0.6 0.6 0.6 0.6 0.6 TMTD 0.1 0.1 0.1 0.1 0.1 0.1 0.1 Sulphur 2.5 2.5 2.5 2.5 2.5 2.5 2.5 Processability studies Mooney viscosity compound increases 20 parts phr recycled rubber present compound increasing content 50 parts phr viscosity drops virgin rubber. input recycled rubber increases viscosity (Figure 7). Mooney scorch t5 120° compound scorchy 20 parts phr recycled rubber increase proportion recycle rubber increases (Figure 8). elucidated Rheometric studies (Figure 9). UNCTAD/IRSG Workshop 1998 43 Figure 7. Effect RRIMREC filler Mooney viscosity. . Figure 8. Effect RRIMREC filler t5. UNCTAD/IRSG Workshop 1998 44 Figure 9. Effect RRIMREC fillers t90 t95. Physical Properties 20 parts phr recycled rubber, shows reinforcement effect hardness increases. proportion recycled rubber increases hardness drop virgin rubber compound displaying dilution effect (Table 6). Table 6. Effect recycled rubber hardness. Proportion::NR:RR IRHD 100:0 62 100:20 86 100:30 81 100:40 70 100:50 64 100:70 64 100:100 62 Tensile strength Due phase stiffness effect, tensile strength drops 20 parts phr level recycled rubber (Figure 10). Increasing level recycled rubber increase tensile strength 20MPa. UNCTAD/IRSG Workshop 1998 45 Figure 10. Tensile strength hardness IRHD 65 ± 5. Elongation break stiffness effect 20 parts phr recycled rubber formulation illustrated elongation break results (Figure 11). Figure 11. Effect elongation break. UNCTAD/IRSG Workshop 1998 46 Target 65 ± 5 hardness exception hardness increases 20 30 parts phr recycled rubber, rest vulcanizates hardness range 65±5. extra oil levels added formulation shown Table 7 achieve hardness range ±5. Table 7. Addition oil maintain hardness 65±5. Ingredients Parts weight SMR 10 100 100 100 Recycled rubber 0 20 30 ZnO 5 5 5 Stearic acid 2 2 2 IPPD 1 1 1 TQ 1 1 1 N330 black 50 50 50 Dutrex 5 15 13 CBS 0.6 0.6 0.6 TMTD 0.1 0.1 0.1 Sulphur 2.5 0.3 0.3 tensile strength improved 12MPa 20MPa (Figure 12). recycled rubber behaves filler levels. extra processing oil soften render processible. elongation break increases (Figure 13). Figure 12. Effect tensile strength. UNCTAD/IRSG Workshop 1998 47 Figure 13. Effect elongation break. Tyre buffings filler levels buffings incorporated black compound (Table 8). Table 8. Tread formulation tyre buffings. Ingredients Weight (part phr) SMR 20 100 100 100 100 Tyre buffings 0 10 20 30 Zn0 5 5 5 5 Stearic acid 2 2 2 2 IPPD 1 1 1 1 TQ 1 1 1 1 N330 black 50 50 50 50 Dutrex 5 5 5 5 CBS 0.6 0.6 0.6 0.6 TMTD 0.1 0.1 0.1 0.1 Sulphur 2.5 2.5 2.5 2.5 UNCTAD/IRSG Workshop 1998 48 viscosity compound increases proportion tyre buffings increases (Table 9). Table 9. Effect tyre buffings compound viscosity. Tyre buffings Compound viscosity 0 38 10 47 20 58 30 67 physical properties vulcanizates illustrated Table 10. Table 10. Physical properties vulcanizates tyre buffings fillers. Properties NR/Buffing 100/0 100/10 100/20 100/30 TS, MPa 24 23 22 23 EB, % 500 500 500 500 M100, MPa 2.4 2.2 1.9 1.9 M300, MPa 11.4 10.3 9.6 10.2 Aged, 7d @ 70° TS, MPa 22 21 21 20 EB, % 400 420 430 430 M100, MPa 3.5 3.1 3.2 3.0 M300, MPa 11.7 13.8 13.7 13.5 ARI, % 88 84 82 71 . Resilience, % 63 62 63 61 increase proportion tyre buffings creates processing difficulty. Natural rubber:butadiene rubber (Buna): recycled rubber blends truck tyre sector, NR:Buna blends commonly provide synergistic properties tread portion depending severity . usual find tread recipe comprising 60NR:40BR evaluation pursued, recycled rubber added filler reduce material cost. formulation (Table 11) . UNCTAD/IRSG Workshop 1998 49 Table 11. Typical tyre tread formulation. Ingredients Parts weight (1) (2) (3) SMR 10 100 60 60 BUNA CB11 - 40 40 Recycle rubber 100 - 100 ZnO 5 5 5 Stearic acid 2 2 2 IPPD 1 1 1 TQ 1 1 1 N330 50 50 50 Dutrex 5 5 5 CBS 0.6 0.6 0.6 TMTD 0.1 0.1 0.1 Sulphur 2.5 2.5 2.5 results shown Table 12. Table 12. Physical properties NR:BR:RR tyre tread formulations. Properties 1 2 3 TS, MPa 18 14.6 16.2 EB, % 480 320 450 M100, MPa 1.9 3.4 2.0 M300, MPa 9.1 12.7 8.4 ISO abrasion, ARI% 70 140 120 Compression set 22h/70° 55 40 55 Hardness, IRHD 62 71 63 Dunlop Resilience % @ 23° 53 68 56 DeMattia Flex grade 20 140 47 Trouser tear, /mm 15 10 15 HBU (24lb/0.175"/100°) Time 25o temperature rise, min 40 19 34 Aged 7d/70° TS, MPa 19 13 15.5 EB, % 430 280 370 M100, MPa 2.5 4.2 2.7 M300, MPa 11.9 - 11.9 Hardness, IRHD 70 76 71 UNCTAD/IRSG Workshop 1998 50 important feature note 100 parts phr level recycled rubber incorporated NR60:BR40 blends, drop ARI 10% compared pure 60NR:40BR blend. compound cheaper, maintains ARI characteristics. hardness case NR:BR:RR blends tensile strength . compound RR, flexing characteristics inferior compared compounds recycled rubber. Conclusion present context environmental issues important aspect life, imminent , discarded vulcanized rubber considered reusable polymer. line manufacturing industry’ requirement reduce production cost reap profit. recycled rubber reduce material cost. process individual factory reutilize waste. reduces eliminates disposal cost transport waste material dump site. UNCTAD/IRSG Workshop 1998 51 Discussion Dr Hoffmann. Dr Yusof. suggest open discussion papers. giving opportunity raise questions, words objective dialogue afternoon. idea Workshop bit coffee-shop discussion. considered justifiable required – required means required Member Government industry association group companies – UNCTAD interested helping conducting pilot activities subjects discussed afternoon. discuss issues, attach importance suggestions lines. feel activities – Serumgard mentioned number areas empirical front general concepts – discuss pragmatic ways turning concepts action. floor open questions. Dr Tillekeratne. order start ball rolling, Serumgard precautions landfilling tyres prevent mosquito breeding. length time areas suitable cultivation building Serumgard: question asks precautions landfilling tires prevent mosquito breeding. issue function desire eliminate stockpiling method handling – postponing handling – scrap tire problems. oppose tire stockpiling. allowed, temporarily, urge anti-mosquito treatment required. tires landfilled, common requirement cut shredded hold water. eliminates mosquito breeding. addition, landfills require daily cover inert material. dirt include shredded tire . reduces possibility mosquito breeding, landfill tires tipped. respect landfill areas, affected presence tires landfill properly closed. landfill altered presence tires. situations tire monofilling allowed ( tire monofill landfill tires), limitations land closed covering layer dirt . settling occur, shredded tires monofill compacted, settling conclude -year time frame. settling affect cultivation. affect construction, roads. Jones. Serumgard suggested Europe, civil engineering applications developing. impression true. interesting projects place, rubber crumb material drainage channels highways. leaving read bullish paper suggesting tyres fuel transient phase Europe moving higher- grade outlets scrap tyres. UNCTAD/IRSG Workshop 1998 52 Serumgard. encouraged civil engineering applications extant Europe. respect fuel applications, transient phase. , submit technical problems respect performance rubber compounds recycled component slowly overcoming. – – encouraged US, Europe , significant period time fully displaces fuel applications. Fuel applications highest . , broad, large-volume consume substantial qualities tyres jurisdictions foreseeable future. Cain. important point raised area decisions . tyre identifiable waste source landfill reasons. energy source energy thrown . diversion tyre material loses identity material waste stream case. delaying appearance tyre- derived material landfill, wasting energy resource. Isn’ time decision environmentally sound disposing tyres Personally, considerations, route energy recovery fuel. Dr Hoffmann. observation comment. collaborated closely team students graduates Free University Amsterdam. 1997 early 1998, team attempted – word underline – framework basis evaluate private social benefits costs recycling disposal routes . courageous effort, limits limitations assumptions underlay variables model. , surprising , Serumgard flagged, social benefits social costs incurred disposal routes – excluding retreading – . , , variation order 30–40%. case, Cain’ point , carefully guidelines government provide industry encouraging discouraging number options. clear empirical picture intervention activities governments central local level foreshadow disposal costs scrap tyre successful. fact, schemes covered administrative costs. transaction costs underestimated. , lesson learned Serumgard’ paper worked, growth figures sober-minded , tyre-derived fuel. providing lion’ share market growth dynamics outpace disposal markets. good reasons . understood, Cain , tyre substitute fuel. scrap tyre fuel substitute replace costs incurred fuels, inherent saving disposal avenues natural substitute. user scrap tyre fuel saves costs account substitute function addition payment form tipping fee. tipping fee invention governments, common rule market. final disposer user scrap tyre fuel UNCTAD/IRSG Workshop 1998 53 additional costs shredding scrap tyre, removing -rubber components required transport costs, , . economic point view, works profitable . works point view social costs, include emissions created transport processing reflect material emission savings alternate scrap material replaces. read equation, conclude processing avenues social costs . orders magnitude . explains tyre-derived fuel success story United States , figures Serumgard , trend continuing. Europe , tyre-derived fuel hot iron touch, empirical evidence support reluctance. strong political sentiment option , difficult number European governments. discussion conducted light empirical evidence abatement technology meet highest emission standards point Dr Yusof Serumgard mentioned range options establish guidelines preference specific country. light economics, imply beginning anticipate hefty financial intervention cope disposal charges disposal costs -existent replacement substitute function case tyre-derived fuel. hand, cover additional costs development technology alternative markets, conceive hefty fee financially interesting. question opinions differ country country Europe. Cain. long time ‘’. Serumgard. comment. mentioned good science understand good science proves utilization safe. good science proves problems applications. countless sets slides Dr Yusof demonstrate attempt modify rubber compounds adding 20, 30 40% recyclate. rubber industry industry aware , tin newspaper, easy method recycling rubber rubber. bake tyre, baking bread impossible recover flour bread. technological problem afraid environmental world don’ care don’ understand. Frankly, don’ understand. realistic options , promote realistic options policy- makers. understand rubber tin melted returned tin stock beer . Rubber kind material focus utilization methods , fact, practicable, including fuel. Cain. good science, good science pointing wrong direction. Research scientists – – love spending time possibilities, commercial reality . People waste lot time, time approaching UNCTAD/IRSG Workshop 1998 54 governments ‘ good’. don’ expect governments decisions decision. time future governments ‘ good ’. stop lot good science pointed wrong direction. Dr Hoffmann. agree . pose question Dr Yusof mentioned tyre derived fuel play significant role country disposal route. reason foresee change opportunity install anti-pollution devices meet strict emission standards. , proportion scrap tyres markets exist tyre heaps. Dr Yusof. pollution control equipment installed burners tyres tyre-derived fuel. Malaysia design incinerators accept waste tyres fuel substitute smoke emitted burning. scrap tyre disposal, roughly 20% – substantial level small country Malaysia – recycled. hope government introduce legislative policy scrap tyres disposed sites disposal controlled reprocessed tyre-derived fuel future good anti-pollution control systems installed factories concerned. Dr Tillekeratne. Dr Yusof, waste tyres freely fuel observed degradation products sulphur dioxide acidity fumes environmental problems. tyres freely incinerator special precautions neutralize control quality smoke environmental problems Dr Yusof. , Penang incinerated tyres. design incinerator absorb gases emitted combustion rubber materials. UNCTAD/IRSG Workshop 1998 55 Opportunities constraints international payments carbon sequestration services natural rubber producers Chairman’ introduction Ladies gentlemen, pendulum interest swung internalization environmental costs internationalization environmental benefit. words, payment environmental service previously unrewarded. issue referred international environmental community ‘carbon offset financing’. paid carbon sequestration carbon-sink function rubber tree emitter greenhouse gases, carbon dioxide. Kyoto Protocol global emission cap, greenhouse gases frontiers. Protocol binding industrialized countries transition economies Eastern Europe. greenhouse gas emitter, power generating plant, developed country wishing expand permission government water-tight evidence emissions increase proportion expansion. emissions increase, emitter pay sequestration service, critically affecting profitability – productivity – natural rubber growing. background subject addressed Dr Wan Rahaman. UNCTAD/IRSG Workshop 1998 56 Studies carbon sequestration rubber Dr Wan Rahaman Dr Sivakumaran Malaysian Rubber Board, Kuala Lumpur Introduction Global awareness effects climate change resulted great deal interest management greenhouse gases. World Climate Conference 1979 highlighted seriousness problems attempted identify impact climate change humanity. World Climate Conference 1990 called framework treaty climate change , year, UN General Assembly green light start treaty negotiation. 1992 Rio Earth Summit signing United Nations Framework Convention Climate Change (UNFCCC) related agreements Rio Declaration, Agenda 21, Convention Biological Diversity. , commitments developed, developing underdeveloped countries related environmental issues. important pledge outlined Kyoto Protocol adopted December 1997 legally binding commitment industrialized countries reduce greenhouses gas emission 5%, (relative 1990 levels) 2008–2012. geared addressing climate change issues. paper attempts highlight role played rubber trees contribution environment effort manage greenhouse gases. Pertinent management CO2 efficient photosynthetic processes sustainable plantation agricultural practices. attempt project, technical point view, potential global rubber ecosystem carbon source/sink relationship. paper highlight issues addressed rubber ecosystem part greenhouse gases solution. paper, , address issues related forestry land change policy related matters pertaining Kyoto Protocol discussed . Kyoto protocol carbon offset activities 11th December 1997, delegates 160 countries agreed historic treaty, form basis -important climate change agenda. Kyoto Protocol, treaty supplement United Nations Framework Convention Climate Change agreed 1992 Earth Summit Rio de Janeiro. important element treaty binding commitment industrialized countries agreed target reduction green house gas emissions. essence, Kyoto Protocol calls : - carbon dioxide, nitrous oxide, methane, hydrofluorocarbons, perfluorocarbons sulphur hexafluoride identified gases limited; UNCTAD/IRSG Workshop 1998 57 - emissions greenhouse gasses 38 industrialized countries reduced 5% 1990 levels period 2008–2012. individual country' reduction dependent country' economic profiles. instance, USA reduce emissions greenhouse gases 7%, Japan 6% European Union 8%; - provisions 'emissions trading' country meet agreed emissions targets country exceeded emissions limit; - establishment 'Clean Development Mechanism' – mechanism permit corporations companies based wealthy countries initiate specific investment emissions-reduction projects developing underdeveloped countries. - Kyoto Protocol international -operation transfer emission reductions countries carbon-offset market. Industrialized countries defined Annex 1 Protocol obtain obligatory emission reductions credit financing greenhouse gas reduction activities countries economies transition developing countries. , case emission reduction transfer industrialized countries developing countries, activities carried Clean Development Mechanism. Carbon Offset Team World Bank1 identified requirements enabling carbon offset market: - commitment industrialized countries binding emissions reductions, compelling obligated countries search -cost emission reduction opportunities; - existence high marginal cost abatement carbon industrialized countries marginal cost abatement countries; - framework industrialized countries purchase carbon offsets countries economies transition / developing countries receive 'credit' offsets achieved borders reduction obligations; - verification offsets established authority order valid marketable. Forest plantation carbon sequestration Forest plantations defined Parks al2 include contiguous areas greater hectare planted trees purposes: reforestation; roundwood plantation; bioenergy; -wood purposes materials production. Forest plantations considered natural ‘sponges’ absorbing carbon dioxide atmosphere. Carbon sequestration achieved uptake CO2 atmosphere conversion cellulose plant organic compounds. amount carbon sequestered depends type forest plantation ecosystem type organic compounds assimilated result photosynthesis. stability resulting sequestered carbon remain sink depends nature organic products produced external ‘disturbances’ products exposed . Carbon wood, soil organic UNCTAD/IRSG Workshop 1998 58 compounds, coal petroleum stable carbon released respiration, combustion case coal petroleum extraction occurrence major .3 remain , number important critical issues resolved plant carbon sequestration projects accepted implemented. basic scientific data points fact photosynthetic processes convert CO2 plant carbon sink, uncertainty actual quantum carbon sequestered specific ecosystem question. data extrapolated basic laboratory experiments deduced assumption organic matter 50% carbon. pressing issues include tagging economic impact carbon sequestration. Van Kootan al ( cited Sampson Sedjo4) suggested tonne CO2 sequestered atmosphere obtained data damage created additional tonne CO2 released atmosphere developed. Sufficient scientific commercial data -established plantation crops rubber oil palm, support ecosystems sequestered potential sequestering carbon atmosphere. date, data specific carbon sequestration projects. lack interest effort, due uncertainties number conceptual issues relating carbon sequestration. Carbon sequestration Hevea Biomass produced rubber tree 30-year cycle Data Table 1 shows total biomass produced single rubber tree 30-year cycle 0.52 tonnes. bulk biomass contained branches roots, amounting 0.30 tonnes. Table 1. Oven dry weights components rubber trees. Weight, kg/tree Site Leaves Tertiary branches & twigs Secondary branches Main branches Crotch Trunk Roots Total 1a 2b 10.5 10.9 90.6 76.3 110.7 54.1 175.5 133.4 14.7 6.0 59.1 21.7 141.6 136.7 602.7 439.1 10.7 83.5 82.4 154.5 10.4 40.4 139.2 520.9 . Weights means polyclonal trees aged years. . Weights polyclonal trees aged twenty- years. Source: Reference 5. UNCTAD/IRSG Workshop 1998 59 Carbon sequestered hectare 30-year- rubber total biomass hectare 30-year- rubber 140,643kg 140.64 tonnes (Table 2). total amount carbon sequestered biomass 92,836kg 92.8 tonnes forms 66% total biomass. amount carbon removed logs harvested timber 36.2 tonnes, carbon residual timber left unharvested ground 56.6 tonnes. amount carbon returned soil burning practices adopted time replanting. Table 2. Carbon sequestered hectare 30-year- mature stand rubber. Item kg/ha Total biomass Total carbon sequestered Carbon sequestered logs removed timber production Carbon sequestered timber removed* 140,643 92,836 (66%) 36,206 56,630 * Released soil burning practised. Amount carbon released soil decaying rubber timber estimated 71% total biomass consisting branches, rootstock roots, removed time felling, 56.63 tonnes sequestered carbon hectare. carbon sequestered materials released slow process decaying soil burning methods land clearing preparation. rate release carbon biomass soil -year period Table 3. total amount released soil 25 months 48.57 tonnes 86% amount sequestered residual timber left removal logs felling. Table 3. Amount carbon released soil decaying rubber timber removed. Time felling, months Amount carbon released soil, kg/ha 3 8 12 18 25* 11,892 17,555 23,785 37,942 48,570 Stand ha: 270 trees mixed clones. Age rubber: 29 30 years. * 25th month felling, 48570 kg/ha carbon 86% released soil. UNCTAD/IRSG Workshop 1998 60 Potential amount carbon sequestered existing planted world hectarage rubber amount carbon sequestered hectare 30-year- rubber 92.8 tonnes (Table 4). Statistics breakdown world planted hectarage rubber terms age material precise calculation carbon sequestered age. , assumed 8 million planted hectares , age 30 years, 742.4 million tonnes carbon sequestered total biomass basis extrapolation figures hectare (Table 4). Table 4. Potential amount carbon sequestered existing planted world hectarage rubber 30 years age. Item Tonnes/ha 30 years Total carbon sequestered 1 ha 30-year- rubber Total carbon sequestered 8 million hectares rubber 30 years age 92.8 742,400,000 Potential total amount carbon sequestered rubber produced hectare annual average production rubber tree 25-year economic lifecycle 0.16 tonnes, 0.14 tonnes carbon (Table 5). total amount rubber produced hectare 25-year economic lifecycle 48 tonnes, 42.2 tonnes carbon. total carbon rubber produced 8 million hectares rubber twenty- year cycle 337,920,000 million tonnes. total carbon sequestered wood biomass rubber produced hectare 30-year- rubber 135 tonnes (Tables 4 5). Table 5. Amount carbon sequestered rubber (cis-polyisoprene) 25-year economic life cycle rubber tree. Tonnes/ha/25 years Item Total rubber produced Amount carbon** 1 Rubber tree 1 Hectare rubber (300 trees) 8 million hectares* (world planted area) 0.16 48.00 384,000,000 0.14 42.20 337,920,000 * Based annual production 1920kg/ha/yr. **Based assumption carbon 88% basic isoprene unit (mw 68). UNCTAD/IRSG Workshop 1998 61 Total carbon sequestered globally 8 million hectares rubber potential carbon sequestered wood biomass rubber produced globally 8 million hectares rubber billion tonnes (Table 6). 742.4 million tonnes carbon wood biomass 337.9 million tonnes rubber produced 25 years million hectares. Table 6. Total carbon sequestered globally wood biomass rubber produced 8 million hectares. Item Tonnes/ha (millions) Biomass 30 years Rubber produced 25 years Total 742.4 337.9 1080.32 Relevant carbon offset reforestation forest rehabilitation projects: technical similarities rubber section reports joint project large-scale enrichment planting dipterocarps alternative carbon offset.6 technical similarities potential carbon sequestration compared rubber. project chosen Innoprise - Face Foundation Rainforest Rehabilitation Project (INFAPRO), carried -operative venture Innoprise Corporation Sdn Bhd (Malaysia) Forest Absorbing Carbon-dioxide Emissions (FACE), Ulu Segama Forest Reserve, Sabah, Malaysia. FACE organization set Dutch Electricity Generating Board aimed promoting planting trees absorb carbon dioxide offset emissions gas power stations. ultimate objective INFAPRO carry enrichment planting dipterocarps forest fruit trees 25,000ha degraded forestland. Dipterocarps local tree species high timber . rubber, tropical species. targeted project potential sequestering 195 tonnes carbon/hectare rotation period 60 years. project sited 5oN, 117oE area receiving 2800mm rainfall annual temperature 26.7oC. site, rainfall annual temperature equally suitable rubber. main species planted Shorea leprosula Drypbalanops lanceolata. Planting materials produced seeds collected forest. Normal silviculture nursery practices adopted preparation planting materials. planting system adopted enrichment planting line 2- wide 3- intra-row planting distance. fertiliser application normal silviculture region rounds weeding carried years. planting system adopted project comparable agronomic practices adopted rubber plantation. years growth reported project gave average 1.2m height increment year annual diameter increment 0.95cm year. points fact forest enrichment program calls proper adoption cultural practices, contrary UNCTAD/IRSG Workshop 1998 62 belief forest plantation established planting leaving field unattended. requirement, rubber species carbon sequestration equally suitable. estimated carbon sequestration 195 tonnes ha 60 years cycle project comparable rubber. earlier, total carbon sequestration rubber 135 tonnes ha 30-years cycle. , noted carbon sequestration figure rubber calculated basis real rubber plantation situation planting materials widely planted. uncertainty case rubber respect impact carbon sink. materials bred selected rubber wood biomass productivity. addition, cultural practices nursery practices, field husbandry disease controls established. case majority tropical forest species, silviculture experience managing forest plantation basis infancy. Rubber, hand, cultivated 100 years plantation crop. carbon sequestration issues majority forest ecosystem require research input collect specific scientific, economic social data. Innoprise actively -operating England Electric Services (NEES) Massachusetts, USA reduced impact logging project aimed reducing damage residual trees soil logging. reduction damage minimize wood debris reduce decomposition rate result release radiatively active gases. carbon retained site. NEES interest project contribute enhancement carbon-sink process claim increased carbon sink carbon offset. Carbon offset rubber-producing countries cost production rubber rubber producing countries upward spiral due constantly rising wages inflationary pressures. increase costs absence marked upward climb prices raw commodity international markets meant incomes small growers farmers profitability hectare plantations steadily decline. resulted fact rubber smallholders growers generally remained poverty bracket subsistence level rubber producing countries. tremendous national impact social/economic scene countries considered bulk producers (80% ) rubber producing countries smallholders small growers. negative fall- effects depressed economic status rubber producers population basis huge total number people depend rubber livelihood consideration. resulted increasing trend rubber producing countries move rubber cultivation lucrative crops economic activities rewarding, order uplift economic status broad section population. aggravated lack adequate funds small growers smallholders replant rubber, difficulty sourcing funding cultivation rubber relevant authorities banking sector country. UNCTAD/IRSG Workshop 1998 63 apparent , potential carbon sequestration 1 billion tons 8 million hectares rubber worldwide, impact shift rubber cultivation global carbon balance significant. view , carbon offset financing play key role ensuring rubber continues cultivated current prevailing levels. mode financing lines studied logged- forests. mechanism modus operandi carbon offset financing established international rubber bodies operations -ordinated mutually beneficial parties. Constrains carbon sequestration carbon offset financing Differences opinion exist application carbon sequestration part Clean Development Project Actions Implemented Jointly Programme Kyoto Protocol. instance, details plan trading emission credits resolved . addition, carbon sink accounting purpose allocating carbon credit natural forest remains uncertain. theoretical understanding carbon credits activities resulted net increase carbon stocks, confusion arise , instance, 'reforestation' projects credits deducting emission result harvesting forest. developing countries reluctant accept forest carbon sequestration projects Clean Development Mechanism scientific uncertainties. Scientific issues quantum carbon sequestered specific forest ecosystem, natural plantation forest, resolved. Unavailability data natural forest decay classification forest carbon sink temporary sink complicates matter, addressing carbon credit debit issues. reservations raised developing countries understandable valid – insufficient information fully understand , , carbon sequestered natural forest. mathematical economic models put natural plantation forests set test models. discussed earlier rubber plantations, natural forest, accumulated 73 years scientific data aspect cultural practices basic applied sciences crop. proposed data experiences obtained 100 years rubber cultivation studied analysed perspective carbon sequestration leading formulation mechanism carbon offset financing. analysis genetic, physiology, agronomic economic data facilitate studies: 1. Optimal funding carbon offset Hevea plantations. 2. Economic environmental impact rubber carbon sequestration. 3. benefit/cost ratio carbon sequestration rubber. 4. Enhancing biodiversity rubber improved carbon sequestration. output studies strengthen case rubber candidates sequestering carbon atmosphere Clean Development Mechanism. UNCTAD/IRSG Workshop 1998 64 carbon offset financing, constraint unavailability acceptable mechanism put . World Bank prototype carbon fund (PCF) proposed Bank formulating mechanisms implementation prototype. mission PCF promote global market greenhouse gas (GHG) emission reduction serves client countries development . objectives PCF supply high quality offsets competitive price emerging market seek provide buyers suppliers offsets fair deal perspective share added. approach specific rubber international fund carbon offsets rubber established auspices existing rubber organization international bodies. proposed carbon tax imposed globally. event materialises, source funds carbon offset rubber carbon tax. incumbent industries develop technologies minimize carbon dioxide emission atmosphere result manufacturing processes. , parallel prudent beneficial industries purchase carbon credits financing carbon offsets natural rubber producing countries. Conclusion basis data, rubber equally, efficient, carbon sequester compared extrapolated data natural forest. data analysed line guidelines Clean Development Mechanism projects. Attempts cost charge services rubber plantation providing service reducing carbon dioxide atmosphere doubt influence producers decision remain rubber lucrative activities. special fund rubber offset financing, money fund respective rubber producing countries purposes replanting / sustaining current hectarage rubber. rubber producing country’ entitlement governed amount carbon sequestered rubber hectarage respective country. socio-economic implications funding countries tremendous. countries purchasing carbon credits carbon offset financing comfort fact contributed sustenance environmentally friendly, ecologically sustainable crop dual economic potentials rubber (latex) timber production world consumption, simultaneously contributing maintenance global carbon balance atmosphere. Acknowledgement authors grateful Director-General Malaysian Rubber Board giving permission present paper. Dr Yew Foong Kheong Crop Management Unit, Malaysian Rubber Board thanked providing data paper, UNCTAD providing travel grant senior author present paper Forum Bali, Indonesia. UNCTAD/IRSG Workshop 1998 65 References Barlow, .. Malaysia carbon offsets. Planter, 1994, 70 (819). Ley, . Sedjo, .., Carbon sequestration tree plantations: case study Argentina. : Critical reviews environmental science technology, 1997, 27, pp S185–S192. Moura-Costa, ., Yap, .., Ong, .., Ganing, ., Nussbaum . Mojium, ., Large scale enrichment planting diperocarps alternative carbon offset – Methods preliminary results. : Proceedings, -Table Conference Dipterocarps, Chiang Mai, Thailand 7–10 November 1994. Eds: Appanah, . Khoo, .. Parks, .., David, .., Kristrom, ., Masera, .., Moulton, .., Plantinga, .., Swisher, .. Winjum, .., economic approach planting trees carbon storage. : Critical reviews environmental science technology, 1997, 27, pp S1–S8. Sampson .., Sedjo, .., Economics carbon sequestration forestry: . Overview. : Critical reviews environmental science technology, 1997, 27, pp S95–S22. Sivanadyan, . Norhayati Moris. Consequence transforming tropical rain forests Hevea plantations. Planter, 1992, 68(800, November), 547– 67. Statistics Commodities 1997. Ministry Primary Industries Malaysia. World Bank Carbon Offset Team Report, 1997–1998. Yew, .. Personal communication, 1998. UNCTAD/IRSG Workshop 1998 66 Discussion Jones. speaker showing achieved, worth -examining rubber feedstock chemicals. fact produce rubber, – vast energy input – production derivatives worthwhile ecological terms. returning Professor Calvin, pushed hard energy crisis bio-materials feedstocks regarded petrochemicals. Dr Wan Rahaman. referring conversion bio-fuels, suggested Calvin 1975 Jones. part . Europe plans grow ash, , Scandinavia source fuel. setting plantations fuel sources. , gin case Hevea, output high material. modify output, rubber, turn petrochemical products , environmental terms, extremely significant. talking Hevea, -products , fuel. talking rubber chemical feedstock. Dr Wan Rahaman. Chairman, trend today, recall reported Eastern Economic Review 17th October , Asian Innovation Award Environment Toyota Green Model. 4-wheel drive Toyota, Toyota leaves, stems roots. manipulations plants efficient fixation carbon dioxide specific targeting usage biochemicals plant. fact, context global environment success basically improvement plants increase efficiency carbon dioxide uptake. case interest industrial sector plants working, mistaken reported award, Australia planting checks efficiency carbon dioxide uptake. stop , working production biochemicals plants. case rubber, instance, work Malaysian Rubber Board, obtained patent genetically engineering specific proteins rubber plant. process , put specific proteins fetch higher . patent February 1997. , idea long-term aspect, short-term. sequestration immediately obvious , agreeable associates , months suggested presentation data push rubber sequestor acceptance sequestor carbon dioxide. Dr Hoffmann. proposal, Dr Rahaman, refer optional subsidies carbon offsets. clarify Dr Wan Rahaman. realise word subsidy good word time connotation. talking UNCTAD/IRSG Workshop 1998 67 basically determine quantum put sequestration carbon dioxide. papers models. Sedu instance models plantation crops suggesting level, today’ level, investment fixation carbon oxide free, amount carbon dioxide fixed. optimum level input investment added rubber cultivation increase sequestration processes model involves fixing parameters model determine . add additional quantum investment increase sequestration. free today remain free economical increase amount additional investment. optimum level investments. word subsidy nature construed subsidy, inverted comas, cost production putting price discussed Workshop Liverpool year. difference, investment carbon credit cost production. Cain. interesting discussion reasons advanced sort ‘subsidy’ applied sort case. interesting remember moment Europe, farmers paid reasons. , paid produce food accepts. paid producing food protecting environment. , suggestion person owning rubber tree paid rubber produces commercially paid rubber tree crop sequestrates carbon dioxide essentially principle happening Europe . meeting idea picked glad hear Dr Rahaman . Dr Hoffman real view chances sort policy adopted, apparent rubber market pay lot rubber producers stay business. users rubber prepared contribute level future supplies sustainable, methods , unreasonable approach. Dr Hoffmann. question fall parts. part quickly calculate. financial benefit remuneration sequestration service rendered hectare conservative assumptions days negotiated Kyoto Protocol. rough calculation based yield hectare 1,200–1,300 tonnes, optimistic assumption, worth prevailing natural rubber prices. 8–900 US dollars, Dr Rahaman reckon sequestration potential 3–4 tonnes carbon annum hectare. reference 30 US dollars ( State Department reckons 50 excessively optimistic, calculate 30) roughly 100 US dollars. basis $8–900 yield, profit rate greatly embellish rate profitability. 100 US dollars basis 8–900 US dollars total sales rate profits bad, top usual rate profitability. put entire UNCTAD/IRSG Workshop 1998 68 method context. afraid moment position closer calculation , hypothetical assumptions sufficiently close making case. Turning aspect question, chances political point view lifting carbon offset financing financial mechanism ground major step direction week Buenos Aires Conference Parties Climate Change Convention Kyoto Protocol, carbon sequestration figure key issues. , , formal decision . reasons mentioned Dr Rahaman scientific uncertainties, , big uncertainty case forest fires, sequestered dissipates atmosphere. Dr Rahaman, risk confined quantity sequestered, understood presentation , question arises incinerated rubber plantations accounted. kind uncertainty. , good number, developing countries, object risk. easiest profitable area sink investment, distract harder investment-intensive projects, energy generation transport. sectors regarded valuable good number developing countries investment sectors technology skill transfer. , resistance – carbon sequestration – financial investment tandem technology skill transfer. , , group concerns articulated good number countries, sequestration property rubber trees rain forest crop. , crops environmental benefits problems cases, natural rain forest, exact species composition unknown difficult establish sequestration volume difficult establish base line. sort concerns brought . big problem, conceptual point view biggest hurdle surmount, mentioned discussion. Kyoto Protocol investments considered eligible addition normal trend, means investment normal circumstances. terms rubber, , , country Malaysia big producer rubber established plantations fall wayside principle. newcomers, Papua Guinea Vietnam, greatly expanding acreage, point planned , sequestration potential, realised benefit produced, register eligible project. -called additionality principle difficult accept, equally conceive situation Malaysia temporarily service - acreage rubber , years lapse diversification rubber, relaunch planting rubber register. fact matter , major producer penalised current circumstances reason logical view pragmatic point view accepting result remains . produce generate service, service qualitative, quantitative accounting point view remains unchanged. addressed policymakers. UNCTAD/IRSG Workshop 1998 69 final word political point view strong support America exceptions South America majority North Central Southern American countries favour sequestration projects. Asia, picture mixed. major rubber producers official positions concerned, put record favour. ASEAN member countries articulated concern. Europe, EU group official recommendation , individual countries statement US Central American countries favour. illustrates subject moot , open discussion. predict moment outcome. Kyoto Protocol concerned, sequestration referred Article 11 refers Clean Development Mechanism. mentioned, passing, Article 3 refers -operation Annex 1, developed, countries sequestration projects Annex countries. developing world concerned, -Annex countries, time written reference political point view difficult predict outcome . satisfactory, description situation moment. confusing, , – Dr Rahaman tremendous step direction – providing empirical information including socio-economic information information general agrochemical agricultural merits crop damaging environment. sort information needed illustrate case carbon sequestration potential. Unidentified speaker. issue additivity mentioned Dr Rahman , countries written wall trend [ rubber industry] downward. sequestration attractive , takes place [ industry] moving normal downward trend, push upward. additivity, Dr Hoffmann stop , qualify, moving . issue technology, instance, judging written negotiations, timeframe . pilot activity carried year 2000, 5% achievement reduction greenhouse gases achieved 2008 2012. , countries talking development technologies – transfer technology existing technology – transfer pilot project Middle Eastern countries. talking initiating research fund reduce GHGs technology supposed initiated transferred, time frame discussed materialise. issue agreed Kyoto Protocol, . global warming achieved 10,000 years happen 100 years 2100. temperature rise 2–3º 10,000 years. Kyoto Protocol push. today sequestration; falls risk technology. , complement technologies developed. UNCTAD/IRSG Workshop 1998 70 Chairman’ concluding remarks Dr Hoffmann turn point Workshop, summarize discussion afternoon. Starting subject, worth carefully suggestions Dr Rahaman analytical work required lines . , highlighted called optional subsidies carbon offset. addition specific sequestration service sink function basis estimates , agriculture - transformation land . suggestion work economic environmental impact rubber carbon sequestration. cost/benefit ratio carbon sequestration rubber, good idea pilot projects. fourth issue brought attention enhancing bio-diversity rubber improved carbon sequestration. areas, , merit work. IRSG Secretariat UNCTAD extent initiate activities twelve months preliminary results. influence activities political discussion. personally involved negotiations multilateral environmental agreements, Basel Convention Hazardous Waste -called PIC Convention, Prior Informed Consent Convention Export Hazardous Problematic Chemicals fertilisers. negotiators conventions key negotiators climate change context, Asia, negotiators. bring attention work carried respect liase extent official negotiations. negotiations , , Forum spillover effect sort bearing empirical information. Wrapping discussion scrap tyre management, UNCTAD discussed shortly Workshop good idea extend helping hand developing countries desired. check Government Malaysia government interested empirical analytical activities regard. Profiting accumulated information, launch pilot activity. consist studying situation detail respective country, organising seminar workshop discuss findings empirical work sharing management options remain: extent economic instruments full market drive market desirable direction. tune objective gradually involved specific activities turn concept gradually action benefit member country. active participation attention behalf UNCTAD IRSG safe journey home. UNCTAD/IRSG Workshop 1998 71 List Participants Australia Barry Cock, APRB Business -ordination Manager, Cabot Corporation Belgium Peter Claes, Counsellor, Royal Belgium Embassy, Jakarta George McDougall, Product Manager, Flexsys Colombia Luis Fernando Ceballos , General Manager, Cordicafe (National Federation Coffee Growers) ôte 'Ivoire Marceline Boni, Analyste Financier, Ministere de la Promotion du Commerce Exterieur Fulgence Koffy, President-Directeur-General, SOGB Vincent Niagne-Agnimel, Secretary General, APROMAC France Yves Banchi, Head, Rubber Programme, CIRAD Hugues de Livonniere, Rubber Technologist, CIRAD Patrick Laurain, Vice President, SAFIC-ALCAN Bruno Marostegan, External Relations Manager, SNCP Alan Tonning, Director Purchasing, Dunlop France Gabon Isaac Kwaku Yeboah, Chairman, Professional Association Natural Rubber Africa Germany Ingomar Tietz, Referent, Federal Ministry Economics Hans-Ulrich von Tippelskirch, Manager, Natural Rubber, Continental AG India Bharat Bhushan, Director, Ministry Commerce Zachariah George, General Manager, Development, MRF Ganapathy Kongettira Madappa, General Manager Plantations, Rubber, Harrisons Malayalam Limited Kuttaiah, President - Plantations, Harrisons Malayalam Limited Mathew, Chairman, Rubber Board Kamal Sharma, President & Chief Executive, RPG Enterprises Indonesia Ir Basuki Ajibrata, PTP Nusantara IX Ir Daud Husni Bastari, Chairman, Gapkindo Dr Budiman, Executive Director, Gapkindo Dr Asril Darussamin, Director, Indonesian Rubber Research Institute Soehandono Gurdi, Head, BPS Prop Bali Markus Hartanto, President Director, PT Chemindo Dr Suharto Honggokusumo, Head, Bogor Research Station Rubber Technology Suharyo Husen, Director, IBC, Ministry Agriculture Ngurah Swajaya, Ministry Foreign Affairs Ir Tony Indranada, PT Mahkota Bumi (Hasfarm Group) Frans Iwo, Director, PT Kirana Megatara Ms Ahsanal Kasasiah, Head, Int' Trade Organisation Div, Int' -operation Bureau, Ministry Agriculture Prabowo Kaslan, APBI Iskandar Khertadjaja, Director, PT Chemindo Interbuana Dede Kusuma Edi Idris, Deputy Director Industry Trade, Ministry Industry Trade Kusumandaru, Director, PTP Nusantara XIV Insyaf Malik, Director, PTP Nusantara VI Surya Mertjoe, Vice Chairman - Sumatra Branch, Gapkindo Marindo Nasution, Production Director, PTP Nusantara XIII Nogoseno, Director Programme, Directorate General Estate Crops Ms Irmia Nurandayani, Directorate General Estate Crops Drs Dadan Rusjad Nurdin, Director, PTP Nusantara VII Ir .. Pasaribu, PTP Nusantara VII Ir Sarikat Perangin-angin, Production Director, PTP Nusantara II Safiun, Vice Chairman, Rubber Gloves Manufacturer' Association Ibnu , Deputy Director Multilateral Economic -operation, Department Foreign Affairs UNCTAD/IRSG Workshop 1998 72 Maman Salman, Director, PTP Nusantara VII Nefretari Sari, Ministry Forestry Estate Crops Ir Edward Sitorus, President Director, PTP Nusantara II Situmorang, Director Production, PTP Nusantara Soebiarto, PTP Nusantara XII Soeharto, Int' Coorporation Bureau, Ministry Agriculture Madiun Sukaji, HR Director, PTP Nusantara (PERSERO) Mulyadi Sukandar, Directorate General Estate Crops Tiahsono Budiarto Tjandra, Asst Vice President/General Manager, Prasidha Group Fauzan Toha, Office Manager, Gapkindo Erwin Tunas, Assistant Executive Director, Gapkindo Imam Wahyudi, Director Human Resources General Affairs, PTP Nusantara VIII Ms Tri Wahyudiyati, Ministry Forestry Estate Crops Italy Giovanni De Vita, Head, Economic Section, Italian Embassy, Jakarta Japan Goro Miyabe, General Manager, Int' Dept Elastomers Div, JSR Corporation Jokichi Yamazaki, Executive Director, Rubber Trade Association Japan Malaysia Datuk Dr Abdul Aziz Kadir, Director General, Malaysian Rubber Board Arumugam, Senior Research Officer, ANRPC Jimmy Atherton, Asia/Pacific Business Development Manager, Cabot Corporation Jean-Christophe Dubois, Managing Director, Safic Alcan () Sdn Bhd Gnoh Chong Hock, Secretary-General, ANRPC Dr Mahmud Abdul Kadir, Chief Executive, Mardec Berhad Gerard Loyen, Deputy Executive Director, INRO Dr Ridwan Dereinda, Head, Div Economics, Statistics & Development, INRO Abidin Sharifuddin, Managing Director, Felda Enterprises Sdn Bhd Norasmah Shamsudin, Principal Assistant Secretary, Ministry Primary Industries Dr Sivakumaran, Malaysian Rubber Board Teo Huat, Acting President, Rubber Trade Association Malaysia Subkey Wahab, Deputy Secretary General , Ministry Primary Industries Dr Yusof Aziz, Head, Industry Advisory Services Unit, Malaysian Rubber Board Netherlands Dr Hidde Smit, Managing Director, Economic Social Institute, Free University, Amsterdam Nigeria Chief Bassey Edem, Managing Director, Pamol (Nigeria) Limited Dr Mustapha Moh' Nadoma, Director, Rubber Research Institute Nigeria Innocent Okechukwu Uwaleme, Federal Ministry Commerce & Tourism Philippines Ms Carolina Bautista-Batallones, Director, Department Agriculture Basilisa Ho, Director, Philippine Rubber Industry Association Singapore Leonard Beschizza, Trading Director, London Sumatra Singapore Pte Mia Chua, Senior Trade Officer, Singapore Trade Development Board Ms Mary Heathcote, Editor, Asian Chemical News Hong Shen, Reporter, Dow Jones Newswires, Satoshi Mori, Chief Representative, Yokohama Rubber Ng Chiew-Sum, Cabot Corporation Thiam Chye Lim, Merchant, Cargill International Trading Pte Toh Eng Lim, General Manager, Singapore Commodity Exchange Sheila Enicia Seow, Promotions Executive Asia Pacific, ICIS/LOR Dr John Shackleton, Regional Manager, Schill + Seilacher Peter Tan, Managing Director, Goodyear Orient Company Pte Jeffrey Wong, Managing Director, Continental Tyre & Rubber () Pte Tan Koh Young, Director, International Connex Holdings Pte Sri Lanka Upali Bandaranayake, Director, Forbes & Inalker Anura Edirisinghe, Asst General Manager – Exports, Mackie & Company Samarasinghe, Estate Manager, Agalawatta Plantation Dr Tillekeratne, Director, Rubber Research Institute UNCTAD/IRSG Workshop 1998 73 Switzerland Dr Ulrich Hoffmann, Economic Affairs Officer, UNCTAD Thailand Saengruksawong Chakarn, Director, Rubber Research Institute Thailand Jirakorn Kosaisawe, Director, Rubber Economics Division, Rubber Research Institute Thailand Somporn Krisanasap, Economist, Rubber Research Institute Thailand Pisan Luetongcharg, Minister Counsellor Agriculture, Royal Thai Embassy, Jakarta Suwapong Sirisorn, Secretary, Royal Thai Embassy, Jakarta Dr Wate Thainugul, Manager, Thai Rubber Association United Kingdom John Bastien, Rubber Trader, Guthrie Symington Cain, Secretary-General, International Rubber Study Group Roger Colnet, Managing Director, Lewis & Peat (Rubber) Paul Dawson, Assistant Statistician, International Rubber Study Group Howard Evans, Secretary-General, Association International Rubber Trade Martin Hampson, Chairman, Association International Rubber Trade Tim Hunt, Research Economist, LMC International Kevin Jones, Secretary, IRRDB Dr Prachaya Jumpasut, Chief Economist, International Rubber Study Group Dr Alastair Peace, Assistant Director, Chemicals, Department Trade Industry Dr Wan Rahaman, Vice Chairman, Tun Abdul Razak Research Centre Ashley Rosengarten, Chemicals Section, Department Trade Industry Barbara Seymour, Alternate Director, Lewis & Peat (Rubber) United States America Ms Melinda Mabry, Director, Corporate Strategy & Development, Hanna Company James McGraw, Deputy Managing Director, International Institute Synthetic Rubber Producers Gary Miller, Vice President Purchasing, Goodyear Tire & Rubber Robert Reiley, Director: Office Metals, Materials & Chemicals, US Department Commerce John Schremp, President, Firestone Natural Rubber Company John Serumgard, Senior Vice President, Rubber Manufacturers Association Donald Shea, President & CEO, Rubber Manufacturers Association Thomas , Manager Management Information, Goodyear Tire & Rubber Ms Jennifer Yoder, Industry Specialist, US Department Commerce IRSG Secretariat Ruth Lambert, Interpreter, IRSG Secretariat Ms Dominique Toulet, Interpreter, IRSG Secretariat Introduction Cement kilns Binders road construction Recycling Technology Figure 1. Theory crosslinking mechanism RRIMREC process. Evaluation Studies Table 1: Tyre tread formulation. Recycled rubber 100% polymer material Table 2. Tread formulation variable proportions recycled rubber Processability Studies Table 3. Compound viscosity increasing recycled rubber content Proportion - NR : RR Physical Properties Figure 5. Effect NR:RRIMREC tensile strength. Figure 6. Effect NR:RRIMREC elongation break. Table 5.: Recycled rubber filler. Processability studies Mooney scorch t5 120˚ Figure 7. Effect RRIMREC filler Mooney viscosity. Figure 8. Effect RRIMREC filler t5. Physical Properties Table 6. Effect recycled rubber hardness. Tensile strength Figure 10. Tensile strength hardness IRHD 65 ± 5. Elongation break Figure 11. Effect elongation break. Figure 12. Effect tensile strength. Figure 13. Effect elongation break. Tyre buffings filler Table 8. Tread formulation tyre buffings. Table 9. Effect tyre buffings compound viscosity. Table 10. Physical properties vulcanizates tyre buffings fillers. Natural rubber:butadiene rubber (Buna): recycled rubber blends Table 12. Physical properties NR:BR:RR tyre tread formulations. Conclusion Chairman’ introduction Dr Wan Rahaman Dr Sivakumaran Forest plantation carbon sequestration Biomass produced rubber tree 30-year cycle Table 1. Oven dry weights components rubber trees. Carbon sequestered hectare 30-year- rubber Amount carbon released soil decaying rubber timber Potential amount carbon sequestered existing planted world hectarage rubber Potential total amount carbon sequestered rubber produced hectare Total carbon sequestered globally 8 million hectares rubber References