Waste management regulation: policy solutions and policy shortcomings

A model of packaging waste management is presented to explore the policy options available to governments to implement waste regulation in light of the Extended Producer Responsibility (EPR ). Our model endogenizes the packaging design as an additional determinant for the overall amount of waste jointly with consumers’ sorting effort and producers’ output decisions. The model shows that the policies that yield the first‐best allocation may not find public support. Furthermore, if the set of available policy instruments is limited, production and consumption of the good is likely to settle on a sub‐optimal level even though the optimal allocation may be achievable. Finally, the model demonstrates that a landfill tax may actually increase landfill waste in the presence of tradable credits for recycling activities. The results shed light on some shortcomings of existing regulatory schemes such as the Producer Responsibility Obligations (Packaging Waste) Regulations of the UK .     

广西电子废弃物回收对策分析

广西经济的快速发展促进了电子产品的需求与消费增加,电子产品更新速度的加快,使得广西电子废弃物迅速增加,对广西循环经济和旅游业发展的影响开始凸显。通过实地调研了解广西电子废弃物回收渠道与回收政策法规的制订情况,根据广西1990年到2006年的电子产品拥有量数据的统计分析与处理,分析了电子废弃物规模扩张的主要原因。针对广西电子废弃物的回收处理现状,总结了广西电子废弃物回收处理存在的主要障碍：广西电子废弃物总量分布不确切;对电子废弃物的潜在价值和危害认识不足;民间作坊处理技术的落后以及相关政策法规的不健全。针对广西电子废弃物回收处理现状和存在的问题,在借鉴发达国家和台湾地区回收处理电子废弃物的经验基础上,提出广西电子废弃物回收处理的对策建议。     

Wasting Time? Recycling Incentives in Urban Taiwan and Japan

What makes recycling work? We study the factors driving household waste disposal and recycling in 18 cities in Taiwan and Japan in order to understand the impact of alternative waste management incentives. We show that this depends on the effect of distinct policies on the relative costs of the main alternative disposal methods: recycling, disposal to landfill and illegal dumping. The willingness both to recycle and to dispose to landfill depends on the relative costs of the waste collection regime, and these are dominated by the time cost of alternative disposal methods. The higher the frequency of waste collection, the less recycling and the more disposal to landfill there will be. This is because frequent collection reduces the marginal time-cost of disposal to landfill. Curbside collection of recyclable material, and the frequency of that collection, has a similar effect on the recycling rate. Although direct incentives, such as unit pricing are important in the waste disposal decision, recycling depends primarily on management of the time-costs it involves.     

浅谈新能源发展模式:园林废弃物生产乙醇技术

目前国内外关于园林植物废弃物的循环利用的主要处理方法,如焚烧、填埋、堆肥和粗加工等尚存在一定的缺陷和问题。为此,在对行道树的园林废弃物进行大量实验的基础上,提出园林废弃物生产乙醇的技术,既能有效利用园林废弃物,降低城市绿化维护成本,又能提供一种新能源发展模式,改善粮食生产乙醇的弊端,在一定程度上缓解我国的能源危机,具有巨大的经济、社会和生态效益。     

Differential Provision of Solid Waste Collection Services in the Presence of Heterogeneous Households

A model of household refuse production is presented in which individuals differ in their distaste for the waste stock and the supply of waste collection services is continuous in pick-up frequency. The inclusion of pick-up frequency into household solid waste management analyses has already been shown to have policy implications. In fact, even in the absence of the waste stock externality, a system of uniform consumption taxes and legal (or curbside) disposal and recycling subsidies has been found to be necessary (and sufficient) to induce households to socially optimally allocate their resources when illegal disposal (or simply dumping) incentives exist but a per unit punishment system for dumping is lacking. This policy is here concluded to be no longer feasible; instead, a system of differential consumption taxes and recycling subsidies and uniform legal disposal subsidies is found to be optimal (but possibly nonimplementable). In the presence of heterogeneous households, which are however identifiable on the basis of their relative location to the landfill site, an optimal and implementable policy is then shown to require a differential provision of collection services.     

Embedding landfill diversion in economic,geographical and policy settings

We analyse the process of landfill diversion embedding the dynamics in a frame where economic, geographical and policy variables enter the arena. We aim at investigating in depth what main drivers may be responsible for such a phenomenon. We exploit a rich panel dataset covering all the 103 Italian provinces. The case study on Italy is worth being considered provided that Italy is a main country in the EU, thus offering important pieces of information on the evaluation of policies. Evidence shows that the observed decoupling between economic growth and landfilling is driven by a mix of structural factors, as population density and waste management strategies. If on the one hand, the landfill tax is not arising as a significant driver of the phenomenon, other waste management instruments are associated with high significant negative effect on landfilled waste. In association to the features of the tariff system, we also underline the key role played by the share of separated collection in driving down landfilling of waste. Both the evolution of collection and tariff system are joint factors that may drive a wedge between the comparative waste performances of northern and southern regions.     

Explaining the variation in household recycling rates across the UK

Household waste recycling rates vary significantly both across and within regions of the UK. This paper attempts to explain the variation by using a new data set of waste recycling rates and policy determinants for all of the UK's 434 local authorities over the period 2006Q2 to 2008Q4. Our results suggest that the method of recycling collection chosen by policy makers is an important factor influencing the recycling rate. We also find an inverse relationship between the frequency of the residual waste collection and the recycling rate.     

Landfilling Versus ``Backstop' Recycling When Income Is Growing

The paper considers a dynamic model in which an income stream,growing over time, is optimally divided into consumption andexpenditures on waste disposal, the latter being optimally dividedbetween ``recycling'and ``landfilling.' Recycling is thoughtof as a ``backstop' waste disposal technology – it does notrequire landfill space but is a relatively expensive method ofwaste disposal. Landfilling uses up scarce landfill capacity. While conserving landfill space is the major reason themunicipality recycles, another motive for recycling might be thatrecycling itself generates utility. Our analysis suggests thatthe optimal recycling program varies considerably with bothlandfill capacity and initial income. For example, richermunicipalities are likely to introduce recycling much earlier inthe planning period than poorer municipalities. Thus whenlegislating recycling, national or regional governments must besensitive to the differences between municipalities.     

Municipal Waste Kuznets Curves: Evidence on Socio-Economic Drivers and Policy Effectiveness from the EU

Waste generation and waste disposal are becoming increasingly prominent in the environmental arena, from a policy perspective and in the context of delinking analysis. In general, waste generation is still increasing proportionally with income, and economic and environmental costs associated to landfilling are also increasing. This paper provides a comprehensive analysis of waste generation, incineration and landfill dynamics based on panel data for the EU₂₅, to assess the effects of different drivers (economic, structural, policy) and the eventual differences between Western and Eastern EU countries. We show that for waste generation there is still no Waste Kuznets Curve (WKC) trend, although elasticity to income drivers appears lower than in the past. Landfill and other policy effects do not seem to provide backward incentives for waste prevention, and in terms of landfill and incineration, as expected, they are respectively decreasing and increasing, with policy acting as a strong driver. Eastern countries appear to be performing generally quite well, thus benefiting from EU membership and related policies in terms of environmental performance. We can conclude that although absolute delinking is far from being achieved for waste generation, there are some first positive signs of an increasing relative delinking for waste generation and robust landfill diversion, and varying evidence of a significant role of the EU waste policies implemented in the late 1990s and early 2000s. Our evidence suggests that if while landfill diversion is currently associated to a delinking partly explained by EU policies, waste prevention must be the next objective of waste regulation efforts.     

Resource and Waste Taxation in the Theory of the Firm with Recycling Activities

The management of solid waste has become an urgent problem in nations with a great population density. Accordingly, waste reduction through source reduction and recycling has become increasingly important. Our purpose is to show how prevention, recycling and disposal of waste could be part of a theory of the firm. We first derive efficient production functions from production processes with waste as a by-product. Waste obtained as new scrap can partially be recycled by using additional inputs in order to cut back the purchase of virgin material. Waste not completely recyclable will leave the firm as disposal which also entails cost to the firm. We use the dual cost function approach to develop a theory of the firm under solid residual management.Since the producer does not bear the full cost of disposal, there will be a bias toward virgin materials and away from recycling. The goal of the government is to stimulate the firms to recycle with respect to the preservation of exhaustible resources. An incentive to recycle is a tax on resources or on waste. In order to determine the tax levels the government maximizes welfare subject to the dynamic constraint for decumulation of land fill for waste deposits. This gives the user cost and its time profile for taxing waste disposal or virgin material.In a comparative statics analysis we compare the effect of taxes on waste vs. virgin material on effort to produce in a resource saving manner, on the quantity of recycled material, on output, and on the reduction of waste. Since the impact of environmental regulation on employment is important, our model detects seven effects on labor demand as part of resource conservation policy. We finally carry out a comparative statics analysis of waste intensive firms operating in different market structures. Of interest is the impact of a resource or waste taxation on market volume, on the number of firms, on resource saving effort, and on profit.     

Study on the construction and operation for management system of municipal domestic wastes

In recent years, the quantity of our country＇s municipal damestic wustes increase rapidly, but the waste disposal still has problems, such as the simple way of processing, wasting the resources, the serious environmental pollution and so on. By holding waste minimization as the center, the developed countries have formed perfect waste management system, Based on analyzing the status quo and problems of processing in our country, on the principle of benefit, scale, waste minimization, reclamation and hazard-free treatment, according to the recycling model of processing, the article has constructed ant country＇s domestic wastes management system, proposed the meusures of promoting the operation of system. It has realized the traasformatian of waste management system from terminal disposal to source reduction. ewhieved the goals, including domestic wastes categorizing and reclaiming, industrialization and non-pollution processing, and finally brought sustainable development for resources, environment, economy and society.     

Economic Incentives and Residential Waste Management in Taiwan: An Empirical Investigation

This paper presents an empirical study of how three waste management policies have affected residential waste generation and recycling behavior in Taiwan over the past decade. The three policies are unit-pricing of garbage in Taipei, a mandatory recycling program in Kaohsiung, and a nationwide policy of charging for plastic bags. We estimate policy effects on total waste, total recycling, and recycling of four specific materials, all measured by weight per capita. Unlike prior work, we find that unit-pricing and mandatory recycling policies lead to significant increases in recycling of most materials, as well as increased levels of total recycling and garbage reduction. The “plastic bag” policy is generally found to lower material-specific and total recycling rates, as well as total garbage volumes.     

城市典型废弃物循环利用体系建设——日本的实践与启示

日本是循环经济管理理念和发展水平较为领先的国家之一,也是我国发展循环经济的一个重要借鉴和国际合作对象.文章从立法、全流程管理、分类管理和市场机制四个方面,系统而扼要地介绍了日本建设城市典型废弃物循环利用体系的主要做法和成效,包括:逐步推进建立和完善废弃物循环利用法律体系;结合责任分担制和延伸生产者责任制,实施全流程链条式管理;针对性地建立废弃物循环利用体系和处理方法,实现资源效用最大化;政府立法和规划引导,逐步形成以市场机制为主的废弃物循环利用体系.在此基础上,文章有针对性地提出了建立和完善我国城市典型废弃物循环利用体系的若干启示和建议,主要包括:理顺管理体制、完善现有体系、加大薄弱环节工作力度和调动利益相关者积极性四方面.     

Economic feasibility analysis for electrical generation from biogas in waste disposal sites in Mexico City

This article highlights the main aspects related to energy generation from biogas in a controlled landfill of Mexico City in order to determine profits and environmental benefits. The designed structures and public policies to provide waste management services in Mexico City have been exceeded. A significant increase in demand has led the government of Mexico City to base public services on rudimentary techniques using obsolete equipment. The modernization of waste disposal facilities and the diversification of services linked to waste treatment can offer several business opportunities to optimize energy generation from solid wastes. The use of landfills to dispose large amounts of waste enables the energy generation from biogas. The energy generated can diversify the electricity market and provide economic benefits to landfills managers to cover operational costs.     

The Feasibility of the Double‐Dividend Hypothesis in a Democratic Economy

The two dividends in the double‐dividend hypothesis are assumed to be independent. This assumption can be misleading when it comes to formulating policy. I construct a model where the pollution tax rate is voted for by heterogeneous people. In addition to the revenue‐recycling effect, the equilibrium pollution tax rate depends on two opposite forces: the tax‐cutting effect and the profit effect. The two forces show that an instrument that exploits a greater revenue‐recycling effect can cause a more severe environmental deterioration, thereby resulting in the infeasibility of the hypothesis. The introduction of the interdependence between the two dividends can also mean that non‐revenue‐raising instruments are more efficient than revenue‐raising instruments.     

A waste management model for optimal recycling-landfilling policies under macroeconomic conditions

This research provides a waste management model in the presence of macroeconomic conditions. An optimal control problem which integrates the recycling-landfilling decision with industry supply-demand dynamics is designed to achieve the value-maximizing objective. The model simultaneously considers idiosyncratic technical and aggregate demand shocks, while the stoppage time for landfill use is assumed to follow a Cox process with the intensity function of a firm's total waste collection. The closed-form solution of the optimal recycling ratio is also derived. The results suggest that when macroeconomic effects are neglected, optimal recycling ratios tend to be underestimated.     

Energy Taxes in the Netherlands: What are the Dividends?

In this paper the environmental and economic effects of the introduction of a unilateral energy tax in the Netherlands are analysed using an applied general equilibrium (AGE) model. The effects of a small user energy tax and a general energy tax are compared, while taking into account different tax recycling mechanisms. The model contains a great level of detail with respect to emissions and environmental indicators (greenhouse effect, acidification, eutrophication and waste), which is helpful for assessing environmental quality. The results show that the introduction of a small environmental tax reform not only improves the environment but also raises non-environmental welfare, which is due to an improvement of the efficiency of the tax structure.     

Heterogeneous Preferences for Community Recycling Programs

This paper examines household preferences for community recycling programs, which have both public and private good dimensions. The data come from a survey conducted in Seattle (WA) which elicited stated preference-contingent ratings for different recycling programs relative to status quo, with experimental variation in the overall community recycling rate achieved and expected household cost. The recycling rate is interpreted as capturing the public benefits of recycling programs and constitutes the most common measure used by policy agencies for setting waste management objectives and evaluating policy initiatives. The analysis begins with fixed parameter models that explore different ways of handling rating data and mixed logit estimations that capture household preference heterogeneity both within and across different recycling programs. This analysis yields unique estimates of willingness to pay for an increase in the community recycling rate. Predicted individual-specific utility parameters are then regressed on household background information to explicitly examine the nature of preference heterogeneity. Overall, this paper generates interpretable policy-relevant insights into the public and private good dimensions of community recycling programs.     

When does a carbon tax on fossil fuels stimulate biofuels?

A carbon tax is an efficient economic instrument to reduce emissions of carbon dioxide released from fossil fuel burning. If designed properly, it could also help significantly to promote renewable energy. Using a multi-sector, multi-country computable general equilibrium model this study investigates under what circumstances a carbon tax would help stimulate penetration of biofuels into the energy supply mix for road transportation in various countries and regions around the world. This study shows that a carbon tax cum biofuel subsidy policy, where a carbon tax is introduced to fossil fuels and part of the tax revenue is used to finance the biofuel subsidy, would significantly help stimulate market penetration of biofuels. On the other hand, a carbon tax alone policy, where the entire tax revenue is recycled to households through a lump-sum transfer, does not help stimulate biofuels significantly even at higher tax rates. Although the carbon tax cum subsidy policy would cause higher loss in economic output at the global level as compared to the carbon tax alone policy, the incremental loss is relatively small. The key policy insight drawn from the study is that if a carbon tax were to be implemented in an economy for the purpose of climate change mitigation, recycling part of its revenue to finance biofuel subsidies would significantly help stimulate biofuels.