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5 Overseas Initiatives

5.1 Manufacturing companies

Almost every cell phone manufacturing company has some form of recycling or take-back system in place. Below are three examples: Motorola, Nokia and Sony Ericsson.

Motorola

Motorola have recently launched their "Calling all schools! Race to Recycle" programme. It is being promoted as the first-of-its-kind, fund-raising programme for all accredited K-12 schools in the United States. Schools register for the scheme and receive postage prepaid packages for the cell phones. The scheme is a fund raising opportunity for the schools as Motorola buys back the collected used phones (currently USD 3 per phone). The collected phones are sorted and tested for either refurbishment of recycling.

Nokia

Nokia has a stated strategic intent to be a leading company in environmental performance. They have four key focus areas.

  • Design for environment, where environmental efficiency is taken into account when designing products.
  • Supplier network management, which aims to reduce the environmental impact of Nokia suppliers' activities.
  • Environmental management systems (EMS), a set of ISO 14001-certified environmental management systems for managing the environmental impacts of Nokia's own activities at production sites and facilities.
  • End-of-life practices, the take-back of equipment at the end of its service life so that materials and energy can be recovered and harmful substances properly disposed of.

At the moment, Nokia phones can be returned to Nokia's own service points or care centres, collection points for the industry sector's take-back schemes, or to municipal collection. Also, operators are organising campaigns for take-back. The mixture of take-back channels varies from country to country depending on the infrastructure and recycling culture.

 Nokia recylcing station

Since 1999 Nokia has offered its customers a take-back service of its cell phones through Nokia centres globally, from which collected phones are forwarded to approved recyclers. In May 2001 Nokia launched its New Zealand recycling scheme, "The Future is in Your Hands". The scheme encourages customers to dispose of their used or old mobile phones, batteries and accessories (any make or model) at designated Nokia recycling bins, to ensure that these obsolete products are properly recycled and disposed of.

Recycling arrangements are offered as part of commercial contracts with network operators and other organisations.

Working consistently and proactively with its suppliers, Nokia is well on its way to full compliance with the materials restrictions of the EU's directive on the Restriction of the use of certain Hazardous Substances (RoHS), which will apply to electric and electronic equipment put on the market from 1 July 2006. Nokia is actively following the preparation of similar restrictions in other markets.

Sony Ericsson

Activities in the field of environmental protection at Sony Ericsson are based on a life-cycle approach that takes into consideration design, manufacturing, product use (operation), and end-of-life treatment. A Banned & Restricted Substances List has been developed to ensure that only the best and most environmentally friendly materials are used for manufacture. Sony Ericsson has phased out nickel-cadmium batteries from its cell phone range and is also working to eliminate lead, halogenated flame retardants and hexavalent chromium. Product information includes environmental product declarations (which provide information on the most relevant environmental aspects of each product such as material content, energy consumption, batteries, packaging and recycling). Sony Ericsson participates in a range of industry-led phone recycling and take-back schemes.

5.2 Recycling schemes

Fonebak

Fonebak is the world's first and largest mobile phone recycling scheme, and operates with the backing of network service providers and the four major retail chains. Created by Shields Environmental and first launched in the UK in 2001, phones collected from the 10,000 collection points set up across Europe are sent to Fonebak's recycling centre, where they are either repaired, refurbished and packaged for resale in emerging markets, or broken down into core materials such as gold, copper, nickel, cadmium, lithium and plastic for recycling. Fonebak's target is to recycle up to 15 million phones per year.

Giveback

Giveback is a UK initiative whereby end-of-life cell phones are recycled to raise money for charities and community groups. The scheme is run by Corporate Mobile Recycling Ltd (CMR) who have been in operation since 2000 and now recycle more than 50,000 phones every month (600,000 per year).

TheGiveback scheme provides community groups such as schools, sports clubs, universities and rotary clubs the opportunity to hand in cell phones that are no longer used in exchange for funding (on average, £6.50 for every handset received). The founders of CMR have developed a number of innovative environmental schemes to encourage companies and individuals to support the scheme.

Australian Mobile Telecommunications Association (AMTA) - Mobile Muster

The Australian Mobile Telecommunications Association (AMTA) launched its national mobile phone recycling campaign, MobileMuster, in December 2005, with its aim to treble the annual collection of mobile phones, batteries and accessories over the next three years from 60 tonnes (approximately 200,000 handsets with batteries) to 180 tonnes per year by 2008.

It is estimated there are currently more than 12 million disused mobile phones cluttering people's homes and offices around Australia.

The Mobile Muster is a voluntary scheme where the participating members provide the necessary funding by paying a levy on each handset sold into the Australian market.

Participating industry members represent over 90% of the market and include handset manufacturers LG, Mitsubishi, Motorola, Nokia, NEC, Panasonic, Sagem, Samsung, Sharp, Sony Ericsson and RF Industries; carriers Hutchinson Telecommunications (3 and Orange), Optus, Telstra and Vodafone and service providers AAPT and Virgin Mobile.

Mobile phone handsets, batteries and accessories are collected through a network of over 1000 mobile phone retail outlets, government agencies and businesses.

The phones are then sent to MRI for sorting and recycling.

RIPMobile (United States)

RIPMobile (Recycle Inactive Phones) is an innovative scheme aimed at young people in the United States. A "customer" logs into the website and identifies their phone type and mobile. They are then sent a postage paid envelope and number of points that accumulate in an awards system. Points can then be exchanged for a range of new products for example, DVD players and iPods.

RIPMobile is a division of CollectiveGood Inc who operate a range of different charity orientated phone recycling schemes. A proportion of the funds received for the collected phones (which are on-sold to sorting, recycling and refurbishment operations) are directed towards charities.

Founded five years ago, CollectiveGood claims to be the United State's premier mobile phone recycling company.

CTIA

The United States-based CTIA (Cellular Telecommunications and Internet Association) is an international organisation that has just launched a new programme entitled Wireless ... the New Recyclable™. Through this new initiative customers are directed to a central website that provides information to common questions in regards to product stewardship from both consumers and product manufacturers of cell phones. It recommends that manufacturers encourage customers to recycle their products by directing them to the programme website. A large number of CTIA members have signed up to the "Wireless - the New Recyclable™" protocols and have schemes in place for recycling mobile phones. The protocol is a set of agreed commitments, listed as follows.

1. Promoting continued product and market innovations that provide consumers with more value and choice while minimising environmental impacts.

2. Promoting the recyclability of products and packaging.

3. Fostering responsible product stewardship practices among customers, suppliers, stakeholders and employees.

4. Informing customers of ways in which they can help ensure the environmentally sound disposal of used wireless devices.

5. Encouraging the collection and, where appropriate, reuse of wireless devices in accordance with applicable CTIA Guidelines.

6. Adhering to the CTIA Guidelines for Recycling and Materials Recovery from End-of-Life Wireless Devices in the selection of recyclers of wireless devices.

7. Striving for continued improvement in environmental performance related to the collection and disposal of used wireless devices.

8. Making publicly available information on the management of used wireless devices through Wireless ... the New Recyclable™.

9. Complying with all applicable regulatory and environmental requirements.

10. Integrating the CTIA environmental principles into business operations.

Key success factors

On the basis of the initial international review work carried out for this study, the key success factors for different phone take-back schemes are:

  • investing in high profile consumer awareness programmes;
  • providing a clear monetary incentive for customers to bring back phones;
  • targeting educational and incentive programmes to youth;
  • establishing sound commercial arrangements with phone end-users - that is the recycling or refurbishment companies.

5.3 Related overseas legislative developments

WEEE

New legislation comes into effect in the UK in 2006 called the WEEE (Waste Electrical and Electronic Equipment) Directive. Directives 2002/95/EC on the restriction of the use of certain hazardous substances in electrical and electronic equipment and 2002/96/EC on waste electrical and electronic equipment are designed to tackle the rapidly increasing waste stream of electrical and electronic equipment.

From August 2005, producers hold responsibility for taking back and recycling electrical and electronic equipment. Consumers can return their equipment "free of charge", though the cost of the scheme is presumably built in to the purchase price. This directive will provide the incentive to design electrical and electronic equipment in a more environmentally efficient way, by taking waste management aspects into account. Increased recycling of electrical and electronic equipment will limit the total quantity of waste going to landfill.

RoHS directive

The RoHS Directive stands for the Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment. This Directive complements WEEE and will ban the placing of new electrical and electronic equipment on the EU market containing more than agreed levels of lead, cadmium, mercury, hexavalent chromium, polybrominated biphenyl (PBB) and polybrominated diphenyl ether (PBDE) flame retardants from 1 July 2006. It is important that manufacturers understand the requirements of the RoHS Directive to ensure that their products, and their components, comply.

The RoHS directive will potentially divert non-compliant phones (for example, end-of-line product) out of Europe and into Australia or New Zealand. This is not an issue for Vodafone as phones are purchased globally and the company expects the same international manufacturing standard for all of its phones. It may not be a significant issue for Telecom as some US states are already producing RoHS-compliant phones.

5.4 Overseas ecolabelling schemes

There are a large number of overseas ecolabelling schemes and many of these have developed labels for telephones. Two of the better known labels are Sweden's TCO and Germany's Blue Angel.

Swedish TCO label

At the end of 2001 TCO Development launched TCO '01 mobile phones, a quality and environmental labelling system for mobile phones covering emitted radiation, usability and environmental factors. There are also ergonomics requirements concerning the design of the keypad, display and user manual as well as the external surface characteristics (allergy risk). Ecological considerations include restrictions concerning heavy metals and flame retarding agents, and certified environmental management systems for manufacturers. There is no specification for phone take-back.

Blue Angel scheme

Germany's Blue Angel scheme is a voluntary eco-labelling instrument introduced in 1977 to guide consumers in purchasing quality products with less impact on the environment, and to encourage manufacturers to develop such products. The programme has grown slowly but now includes more than 3500 products in 75 categories.

In order for the label to be awarded, the programme requires that products take into account all aspects of environmental protection, including the economical use of raw materials. Compliance with quality and safety standards is also required. Blue Angel products are thus characterised by a particularly high degree of environmental soundness when compared with other products. Criteria are re-examined by an independent panel every three years. According to an OECD Report on the Effects of Eco-labelling Programmes, the Blue Angel scheme is considered transparent and credible.

Blue Angel has developed an ecolabel for mobile phones. The label includes specifications for design and also product take-back (manufacturers to take-back at no charge to consumer). There are also specifications for batteries (no lead, cadmium or mercury).

5.5 Summary of overseas findings

In summary, there are a huge number of different mobile phone product stewardship initiatives occurring overseas. These range from:

  • manufacturer-led initiatives for improved product design and also commitments for take-back;
  • joint manufacturing/service provider/government initiatives covering all aspects of design, use and disposal;
  • not-for-profit sector initiatives focused on cell phone take-back as a means of raising money for charities, schools etc;
  • government-funded ecolabels for cell phones that include design and take-back criteria;
  • government directives that specify mandatory take-back and minimal hazardous material components.

The issue then becomes - what will work best in New Zealand? Before addressing this question, the following provides a brief overview of the main findings from overseas initiatives.

Phone manufacture

Throughout the whole process of handset design and manufacture, manufacturing companies are increasingly taking environmental factors into account. Network providers and distributors often have little say over these issues. Manufacturers are in many cases designing cell phones that are easy to disassemble and have minimal impact to the environment. They are phasing out the use of cadmium and lead in batteries. Product stewardship schemes and joint initiatives are encouraging information exchange amongst manufacturers, and may lead to greater environmentally related research, technology development and demonstration.

Phone take-back

The key obstacle to successful phone take-back schemes is the low consumer take-up of current return programmes, which is thought to stem from low consumer awareness and reluctance from customers to discard old phones. Getting people interested in returning their old cell phones can only be achieved through public outreach, education and awareness.

There is a need for research to determine factors that encourage or deter handset return to improve recovery rates (e.g. charity donations as incentives), and a need for high profile marketing direct to the consumer as well as promotion of recycling in-store. If product stewardship and its value to the environment is well publicised, customers will be more likely to return unwanted phones.

Governance

There is an enormous range of governance structures depending on the initiative. All government-approved product stewardship schemes require specific arrangements for their administration and governance. Monitoring a scheme's compliance is usually the responsibility of the product stewardship organisation administrating the scheme and its governance body.