FEATURED TOPIC – PRODUCT STEWARDSHIP
Tyre transition WITH THE EXPORT BAN ON WHOLE USED TYRES FAST APPROACHING, TYRE STEWARDSHIP AUSTRALIA HAS LAUNCHED A BALER TRANSITION PROGRAM TO SUPPORT MARKET EVOLUTION.
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n late May, the Council of Australian Government’s ban on waste exports was delayed due to COVID-19 restrictions. In a statement at the time, Environment Minister Sussan Ley said the effects of COVID-19 made it “impossible” for parliament to pass legislation in time for the 1 July deadline. However, Ms Ley assured industry that the Federal Government would not waiver on its commitment to the ban, with the delay set to solely impact the proposed timeline for unprocessed glass. Despite the pandemic’s effect on ban legislation, the waste and resource recovery industry has demonstrated great resilience and adaptability. Many, including Tyre Stewardship Australia (TSA) CEO Lina Goodman, are using the unprecedented global environment as a learning opportunity and time for reflection. “The impacts of COVID-19 have almost given us a sneak peak of what may eventuate when the ban comes into effect,” Goodman explains. “Today, we are seeing the detrimental impact reduced markets, both on-shore and off, are having on the sustainable disposal of used tyres.” When the ban was first announced, Goodman notes that some argued a ban on baled tyres could come into effect immediately. The reasoning: there is already enough local processing capacity, so the market would be fine. In Goodman’s view, however, this line of thinking is too simplistic. “Having the infrastructure and
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ensuring material gets to the gate at a competitive price to ensure it is processed safely are two very differing concerns,” she says. “Also, as the recent past has evidenced, you can process all you want, but you’re still in trouble if the product has nowhere to go.” As such, Goodman says domestic market demand is now more critical than ever. She adds that if foreign tyre derived fuel demand falters, Australia, and the global sector, will be critically exposed. “As global demand for used tyres shrinks, and nations close down manufacturing and grapple with the management of COVID-19, the consumption, collection and disposal of tyres continues,” Goodman says. As collectors start to emerge from the impacts of COVID-19 and the diminished value of their material, TSA hopes two things will happen. “Firstly, recyclers can survive the recent set back, secondly, there is enough will and determination to get back on to their transition plans in the lead up to the December 2021 deadline,” Goodman says. “TSA is concerned that a change in collection prices will encourage unscrupulous behaviour to enter the market, this may result in increased illegal dumping, stockpiles and unnecessary burden on reputable recyclers.” Presently, Australia, like many nations including the UK and parts of Europe, is finding it difficult to move
collected material to countries that were traditionally a home for these products. Late last year, India’s National Green Tribunal directed the Central Pollution Control to restrict the import of waste tyres. In 2018-19, India received 47 per cent of Australia’s tyre exports. “There is no easy fix to this problem – particularly as this may be a persistent trend with declines in oil and coal prices reducing demand for tyre derived fuel – which is often a substitute for such commodities,” Goodman says. “However, Australia does have something that many other nations lack – a growing market for crumb rubber across a range of sectors.” Since inception, TSA has committed $6 million to support projects designed to increase the use of used tyres in Australia. Goodman notes particular progress in the roads sector, with collaborative TSA projects seeing WA’s crumb rubber consumption double in two years. When the export ban on all whole used tyres commences, approximately 70,000 tonnes of material is set to be directly affected. According to the Phasing out Waste Exports Response Strategy, Australian businesses that rely on the export of whole baled tyres have expressed concerns about the impact of the ban on their viability. To support those operators, TSA began a new baling transition program in April. Open to all TSA and non-TSA participants, the program is designed to help operators engage more broadly on their current business model, and the
