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House Panel Revisits National E-Waste Approach

The wireless industry is pushing a voluntary cellphone reuse and recycling program, even as CE makers get pressure from Capitol Hill to agree on how to finance a national e-waste recycling system. At a hearing last week, House Environment & Hazardous Materials Subcommittee Chmn. Gilmor (R-O) indicated Congress will pick an e-waste recycling approach if CE makers don’t achieve consensus. Wondering why participants in the EPA-sponsored National Electronic Product Stewardship Initiative (NEPSI) dialog couldn’t come to terms, Gilmor asked the industry if it can reach agreement.

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After more than 3 years of talks, NEPSI folded last year without a recommendation for national legislation, mainly because of industry disagreement over financing e- waste collection and recycling. Computer majors such as Hewlett-Packard and Dell opposed the visible fee on products that TV makers and IBM favor. Last week’s e- waste hearing was the panel’s 2nd. At least 3 e-waste bills are pending in Congress.

Panel members also wanted to know if manufacturers are working to phase out lead, mercury and other toxins from their products. CTIA Pres. Steve Largent said industry has agreed that by mid-2006 it will phase out lead and cadmium from cellphone and other mobile devices. Opposing state oversight such as a Cal. cellphone recycling law as “counterproductive,” Largent said the wireless industry doesn’t believe a one-size-fits-all national approach will work for electronics: “Mobile phones and mobile devices demand a comprehensive, voluntary national program for reuse and recycling that takes into account the unique characteristics of mobile phones and mobile devices.”

A national approach based on an advance recycling fee has backing from the Electronic Manufacturer’s Coalition for Responsible Recycling. That group mainly comprises TV majors such as Panasonic, Sanyo, JVC and Sony and computer major IBM. Coalition representative David Thompson, Panasonic corporate environmental dept. dir, testified that his group acknowledges the need to compromise with backers of a competing approach. But, he said, any compromise should involve: (1) Engaging all involved in proportion to their ability to contribute. (2) Avoiding unfair burdens on small firms that lack extensive resources. Recent market entrants shouldn’t benefit from the fact that their products won’t hit the waste stream for years, Thompson said. (3) Emphasis on avoiding complex, contentious rules and enforcement.

Hewlett-Packard (HP) -- which with Dell wants to make each manufacturer responsible for recycling a share of its product -- said Congress should let HP and other firms with their own recycling facilities have “flexibility” on recycling. That will encourage them to “continue to focus on innovation,” said Renee St. Denis, dir. of HP’s Americas Product Take Back. As a first step to a national approach, Congress should provide incentives and remove regulatory barriers to recycling, she said. Congress should reject calls for new govt. recycling programs and taxes on technology, she said.

EIA said its members’ diverse capabilities and business models mean “any particular funding approach may result in competitive imbalance in this extremely competitive industry.” Proposals should factor in global competition and market balance by applying equally to all producers, while accounting for other stakeholders’ roles, said EIA Pres. Dave McCurdy. He said federal action should include: (1) Consistent, strict definitions of key terms and covered products. (2) Creating a 3rd-party entity to help with data reporting, compliance and financing. (3) Consistent labeling, product information and regulatory reporting requirements.

An emerging patchwork of state laws will put a needless burden on consumers and global technology companies, said Parker Brugge, CEA senior dir. and environmental counsel. He urged that a national recycling framework include: (1) Tax credits for all stakeholders, with the U.S. open to states opting for market-based solutions. (2) Promoting environmentally sound design through U.S. procurement policies embracing environmental criteria. (3) Creating a 3rd-party clearinghouse for product scope.