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Deposit System – Estonia (EPP)

28.01.2010 Vilnius, Lithuania

Various systems in the world

�Deposit�Non deposit or voluntary�Cash for cans�Green dot + cash for cans�Green dot + generic�Household and General mixedwaste stream�Combination of the above�None of the above

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Deposit Systems used

� Norway

� Sweden

� Finland

� Denmark

� Iceland

� Netherlands

� Germany

� Slovenia

� Estonia

� Various USA states

In Europe more than 100 million people live in deposit system

countries as grand total

Facts

Environmental view – deposit systems can collect between 80-95%, conteiner

systems 40-60% as average.

Quality view – material coming from deposit systems are of highest value and

therefor guarantee 100% reusage of collected material

Consumer view – gives clear message and motivation to consumers, even non-

environmental consumers contribute

Social view – significant “after collection”, income for less fortunate people

Economical view – yes a bit more expensive, though also more effective in

terms of results

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CAN recycling as an example

Material Quality issue –Deposit packaging PET

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Material Quality issue –Non-deposit PET

Glas- Deposit system

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Mixed glas from containers

Eesti Pandipakend (EPP) – since 2005

EPP is a producer responsibility organization

EPP organizes the nation-wide collection, reuse and recovery of

glass, plastic and metal packaging subject to deposit,

meaning packaging waste of soft drinks, beer, low-ethanol

alcoholic beverages, juice, juice concentrates and nectar

Acts in accordance with the accreditation of the Ministry of

Environment of Estonia (11.03.2005)

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EPP shareholders

The Estonian Association of Brewers

The Estonian Association of Brewers

The Association of Producers of Soft Drinks

The Association of Producers of Soft Drinks

The Association of Importers of Soft Drinks and Beer

The Association of Importers of Soft Drinks and Beer

The Estonian Trade Association

The Estonian Trade Association

25%

25% 25%

25%

System participants

PACKAGING COMPANIES140 producers/importers

RETAILERS870 collection points+300 HoReCa (hotels, restaurants, cateringTotal 1170 collection points

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EPP as a company

Started activities 01.05.2010 (5 years anniversary)

� 56 employees

�Main structural units

Administration (financials, client service, packaging

register,controlling) 9 employees

Production (counting, sorting and handling of

material, warehouse, transportation) 47

employees

� Shift policy for counting center Monday to Sunday

(8 AM – 8 PM)

� Placed 25 km out of the center of the city

Counting Center of Deposit system

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Counting Center of Deposit system

General data (1)

�Annual net revenue ca 17 million EUR (including deposit sum)

�Deposit values

1 EEK (glas, PET 1 l and more) ~ 0,064 EUR

0,50 EEK (CAN and 0,5 l PET) ~ 0,032EUR

�Collection structure

85% automated

15% manual

485 RVM machines, meaning reverse vending machines, meaning

package collection machines

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General data (2)

Within 5 years we have collected 818 million oneway

packages

Return rates 2009

Oneway package2009

preliminary

Requirement by

law 2009

Sales, million units 255

Return, million units 187

PET plastic bottle return rate 90% 75%

CAN metal package return rate 56% 40%

OWG oneway glass return rate 87% 75%

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Costs comparison

Conteiner collection multi-material recovery fees for sales packaging per kg

Material EEK/kg EUR/kg

Metal 4 0,2555911

Plastic 6,45 0,4121406

Glas 1,6 0,1022364

Service fees in Deposite sytem

If international EAN code used

Type of the Packaging/MaterialEEK per packaging

EUR per packaging

Average weight of packaging, kg

Service fee EEK/kg

Service fee EUR/kg

CAN metal 0,000 0 0,020 0 0

PET plastic bottle 0,470 0,030 0,037 12,702703 0,81167429

OWG-glas 0,470 0,030 0,300 1,5666667 0,10010650

Refill-glass 0,000 0,000 0,300

If country based EAN code used

Type of the Packaging/MaterialEEK per packaging

EUR per packaging

Average weight of packaging, kg

Service fee EEK/kg

Service fee EUR/kg

CAN metal 0,000 0 0,020 0 0

PET plastic bottle 0,390 0,025 0,037 10,540541 0,673517

OWG-glas 0,390 0,025 0,300 1,30000 0,0830671

Refill-glass 0,000 0,000 0,300

Main Keys to Success

Collection points – cooperation with retailers, RVM max useage (NB!

with efficient solutions, like pressing)

Packaging register – layer and foundation of the system, must be in

order and under constant work

Controlling – separate position, constant work through all the links of the

system (collection points, producer reports, transportation)

Production – automatization (minimum manpower, maximum

technology), constant optimization

Transportation – max efficient schemes, constant development, flexible

partners