RFID Experts Group (REG)

eWaste: Environmental & Recycling Issues

27 October 2005

http://www.autoid.org/presentations/presentations.htm

Today’s REG Panel Craig K. Harmon, Q.E.D.

Systems, REG Chair Rich Vossel, Savi Technology Angela Leith, U.S.

Environmental Protection Agency

Clarke McAllister, ADASA

RFID Experts Group Craig K. Harmon, Chair Bert Moore, Secretary

Responsible for RFID Implementation Guidance

RFID Experts Group Formed in February 2004 to assist DoD

with RFID implementation Current Proposed Guidelines for the Use of

RFID - Enabled Labels in Military Logistics: Recommendations for Revision of MIL-STD 129

Under the AIM Global umbrella in July 2004 International collaboration (1st Intl Mtg -

9/15-16) Europe Japan Korea China

REG Terms of Reference (ToRs) ToR 5-I: Interrogator System Implementation &

Operations ToR 5-B: Back-up ToR 5-L: Enabled Labels & Packaging ToR 5-R: Recyclability ToR 5-Q: Tag Quality ToR 5-E: Education & Certification ToR 5-G: Global Operation (Regulatory) ToR 5-P: Privacy ToR 5-F: Safety (Public Policy) ToR: 5-C: Security ToR: 5-T: Sensors and Transducers ToR 5-S: Technology Selection ToR 5-M: Software & Middleware

ISO/IEC Implementation TRs

ISO/IEC 24729-1, Information technology — Radio frequency identification for item management — Implementation guidelines – Part 1: RFID-enabled labels

ISO/IEC 24729-2, Information technology — Radio frequency identification for item management — Implementation guidelines – Part 2: Recyclability of RF tags

ISO/IEC 24729-3, Information technology — Radio frequency identification for item management — Implementation guidelines – Part 3: RFID interrogator/antenna installation

RF tags & recycling How RF tags can assist in

recycling efforts The effect of RF tags in the

waste stream

Europe

Restrictions on Hazardous Substances (RoHS ) &

Waste Electrical and Electronic Equipment (WEEE)

RoHS EU’s Directive 2002/95/EC RoHS legislation calls for the removal of lead, mercury,

cadmium, hexavalent chromium, polybrominated biphenyls, and polybrominated diphenyl ethers

The National Safety Council estimates that 254 million home computers became obsolete in the U.S. between 1997 and 2003. Another 250 million are expected to become obsolete between 2004 and 2007.

The Gartner Group, expects Americans to replace or junk 133,000 PCs per day this year alone.

The electronics industry must fully comply with the RoHS directive by July 1, 2006

Companies that aren’t in compliance with the RoHS directive by the deadline will not be able to sell their products into EU countries.

China China’s Regulation for Pollution Control of Electronic

Products (RPCEP) Ministry of Information Industry (MII) has been working on

lead-free legislation, and its Article 11 requires manufacturers to restrict the use of the same substances targeted by Europe in certain consumer electronic products.

Six Chinese ministries have contributed to writing the Management Regulation on the Recycling and Treatment of Disposed Appliances and Electronics Products regulation, including the State Environment Protection Administration (SEPA). Significantly, the Chinese directive will cover all electrical and electronic products produced in, or imported to, China. Noncompliance could mean heavy fines and/or losing the right to do business in China.

Japan Electrical Appliance and Material Safety Law governs the use

and control of hazardous substances in products sold in the marketplace. Japan believes its environmental laws already comply with global directives, including the RoHS and WEEE, and isn’t expected to introduce any additional legislation. (In fact, Japanese manufacturers, particularly in the consumer electronics sector, started to place lead-free restrictions on its suppliers a few years ago.)

Japan already has several environmental laws in place, including the Promotion of Utilization of Recycled Resources, which regulates computers and other electronic products and rechargeable battery recycling. Most Japanese companies expect to be RoHS-compliant by March 1, 2006, four months before the EU-imposed deadline.

South Korea & Taiwan South Korea and Taiwan are also

working on RoHS-type legislation, and Mexico has proposed legislation with provisions similar to the RoHS

Rich Vossel AIM REG Recycling ToR Strategic Systems – Savi

Technology

RFID & Recycling

RFID & Recycling How Big a Deal is RFID? Supply Chain Mandates Walmart, DoD, Albertsons, Best Buy,

Metro, Tesco Walmart - $125 Billion in US.

Average Case sells for $502.5 Billion Tagged Case

Albertson,Target, etc. – Guess 10 Billion Tagged Case

Next - Guess 10X Items per Case 100 Billion Tags

RFID & Recycling

How Big a Deal is RFID? Healthcare

ePedigree – Rx Units of Sale 3 Billion Prescriptions per year Next - Medical Devices, Unit Dose,

Instruments, Staff

RFID & Recycling

Where will all these tags end up? In someone's trash . . . because

most are attached to PACKAGING

Supply Chain Mandates Pallets and Cases

ePedigree Bottles, syringe vials, blister

packs, tubes

RFID & RecyclingPassive Tag Components (.25-1gm/tag)

Face Polypropylene 26%Paper 41%

Adhesive Acrylate 12%IC Silicon 0.1%ACP Epoxy 0.3%ACPMetal Nickel TraceAdhesive Polyurethane 4%Antenna Copper 36%

Aluminum 6%Silver 4%Epoxy Carrier 2%

Substrate PET (Polyethylene Terephthalate)40%Adhesive Acrylate 16%

RFID & Recycling

What are the affected Waste Streams?

Corrugate, Carton Board Plastic Glass Steel Aluminum

RFID & Recycling What are the Issues with RFID tags and

Recycling? Tainting Existing Waste Streams

Recycle Materials are Raw MaterialsPurity and Quality = Price

Regulations focusing on eWastesEnough electronics to be eWaste?

Recycle Industry Game Changer Ownership Mark Automated Separation

RFID & RecyclingWhat are the issues?What are the issues?

Corrugate, Carton BoardClogging Filters, Residual Silver in Cellulose

PlasticDegrading all recycle plastic to park benches

GlassSilicon stones start cracks, Cu fouls furnaces

SteelCu/Al degrade the quality of scrap metal

AluminumLittle concern, especially with Al antenna

RFID & Recycling

What does the RFID Industry want relative to Recycling?

Create no negative impact on present recycling

Provide recycling improvement if possible How are some in the RFID Industry achieving

this?Use waste stream subject matter experts – trade associationWork a waste stream before tags are prolificKeep the regulators informed

RFID & RecyclingProcess Being Practiced by AIM

1. Theoretical Assessment of affect on present recycling processes

2. Pilot testing that present/proposed processes are sufficient.

3. Draft guidelines for tagging and waste recycle entities. Submit to a knowledgeable 3rd party to validate

4. Submit the 3rd Party reviewed guidelines to the EPA for approval

5. Issuance of guidelines to the RFID tagging community

6. Have some entity certify that particular RFID tags meet the guidelines

7. Ask the Fiber Box Association for their study as the best example

RFID & Recycling Are RFID Components eWaste? Readers and Printers Are eWaste

Local Disposal Regulations WEEE - RoHS

Passive Tags Generally Are Not eWaste Local Disposal Regulations

direct landfill thermal recycling with energy and constituent recovery, landfill ash mechanical/chemical separation for constituent reuse

WEEE

RFID & Recycling Can RFID Tagging Improve Recycling?

Mixed Consumer Waste SeparationWaste Stream Identifier

Waste Electrical and Electronic Equipment Directive in the European Union (WEEE)

Restriction of Hazardous Substances (addendum to WEEE) (RoHS)

End of Life Vehicle (ELV) in the European Union

Home Electronics Recycling Law (HERL) in Japan

Extended Producer Responsibility Program(EPRP) in Korea

Angela Leith U.S. Environmental Protection

Agency

Clarke McAllister ADASA RFID Tags in OCC* The Future of OCC Recycling Future Value of Tagged OCC Action Items

*OCC = Old Corrugated Cartons

Old Corrugated Cartons (OCC)

1. Internationally traded commodity.

2. Worth $40 to $60 per bale for the fiber.

3. Worth an additional amount for the RFID tags.

OCC bales contain up to ~1000 tags.

The Future of OCC Recycling

Problem: Billions of valuable RFID tags will be wasted: Filter Screens Sludge (Solid

Waste) Effluent (Liquids) Cumulatively into

paper products

Solution: A fifth vector – Recycled RFID Tags

OCC Recycling

Solid Waste Liquid Waste

Screens

Paper Products

RFID Tags

RevenueCost

Ten-Year OCC Futures Model

Conclusion: The total value mined from OCC bales will increase for ADASA-licensed paper mills.

Gen1

$ Gen 2

Gen 3

Gen 4

Percent of Tagged Cartons in OCC Bales

$ $ $

Value per Bale

2005

100%

Realizing the Benefits of Tag Reuse

You don’t have to waste billions of RFID tags

Consider buying recycled RFID tags Provide tag passwords to authorized tag

recyclers

Questions?

Thank You!