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Construction and Demolition Waste Policy Report Use Less, Waste Less Build a Zero Waste Hong Kong

1 Executive Summary ....................................................................................................... 3

2 Introduction .................................................................................................................... 5

3 Background .................................................................................................................... 6

3.1 Hong Kongs Current Situation ................................................................................ 6

3.2 Hong Kongs Vision and Targets ............................................................................. 7

3.3 Summary ................................................................................................................ 7

4 Overview on Worldwide Situation ................................................................................... 8

4.1 C&D Waste Reduction and Recycling Targets ........................................................ 8

4.2 Key Drivers Adopted to Reduce C&D Waste ......................................................... 12

4.3 Summary .............................................................................................................. 14

5 Recommendations ....................................................................................................... 15

5.1 Reduce ................................................................................................................. 15

5.1.1 Review of Current Landfill Charges ................................................................ 15

5.1.2 Revitalisation of Existing Buildings to Reduce Demolition Waste ................... 20

5.2 Reuse ................................................................................................................... 20

5.2.1 Information Sharing Platform ......................................................................... 20

5.2.2 Fully Utilise Inert Materials from Public Fill Reception Facilities ..................... 20

5.2.3 Development of Trading Channels for Unused Construction Materials and Products

5.3 Recycle ................................................................................................................. 21

5.3.1 Green Procurement and Specification in Government Projects ...................... 21

5.3.2 Regional Sorting and Storage Facilities ......................................................... 22

5.3.3 On-Site Waste Management Plans and Reporting ......................................... 23

5.3.4 Government Funding Support ........................................................................ 23

5.3.5 Land Policy .................................................................................................... 24

5.3.6 Incentive Schemes for Reducing, Reusing and Recycling ............................. 26

5.3.7 Cross-Boundary Government Coordination ................................................... 26

5.4 Summary of Recommendations ............................................................................ 27

6 Likely Challenges to be Encountered ........................................................................... 27

6.1 Technical Challenges ............................................................................................ 28

6.1.1 On-Site Difficulties ......................................................................................... 28

6.1.2 Deconstruction ............................................................................................... 28

6.1.3 Communication and Training ......................................................................... 28

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6.2 Financial barriers .................................................................................................. 28

6.2.1 Economic Incentives ...................................................................................... 28

6.2.2 Fiscal Measures ............................................................................................. 29

6.3 Public Education Challenges ................................................................................ 29

6.3.1 Best Practice Training for the Construction Industry....................................... 29

6.3.2 Public Awareness Programme to Reduce Renovation Projects and Promote Reuse of Interior Works ............................................................................................... 29

6.3.3 Promote the Collection, Reuse and Recycling of Second Hand or Unused Construction Interior and E&M Materials and Products ................................................ 29

6.3.4 Training for Recycling Industry on Latest Technology .................................... 29

6.4 Summary .............................................................................................................. 30

7 Conclusions ................................................................................................................. 31

8 Appendix A - References for Table 1 and 2 .................................................................. 32

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1 Executive Summary

The Construction and Demolition Waste Policy Report is prepared by the Joint Working Group (JWG), formed by the Business Environment Council (BEC) and Hong Kong Green Building Council (HKGBC). The JWG aims to identify strategies and to provide solid and practical recommendations to the Hong Kong Government on initiatives that could increase the reduction, reuse and recycling of construction and demolition (C&D) waste in Hong Kong.

The report first provides a background of Hong Kongs current situation. Hong Kongs construction and demolition (C&D) waste problem is increasing in line with the citys economic growth. One of the main pressures to find a solution to reduce, reuse or recycle C&D waste is the lack of landfill space. Therefore, the JWG proposes a target of 95% of all C&D waste to be recovered for reuse or recycling by 2020 and 20% of inert materials to be recycled into secondary construction materials.

Chapter 4 gives an overview on worldwide situation. Countries and municipalities which set targets have the most impact in waste reduction or recycling. The findings indicate an interesting phenomenon; waste reduction tends to be driven by initiatives, while recycling (which includes reuse of materials) is mandated by legislation. In the majority of cases, C&D waste reduction has been achieved. C&D recycling targets are either mandated through wider directives (like the EU directive) or national waste management plans. Overall, 90% recycling levels are achievable. As for the key drivers implemented in other municipalities or countries listed, the following are pertinent to Hong Kongs needs:

a) Landfill charge b) Government procurement policies c) Specify/incentivise leaner construction d) Specification for recycled materials e) Waste and recycling facilities license f) Waste recycling law g) Demolition requirements h) Funding and grants for research and development i) Green building schemes

In Chapter 5, 12 recommendations are proposed, taking both the stakeholders views and worldwide policy reviews into account.

Recommendations Importance1 Timeline

Government projects green procurement and specification

Short

Information sharing platform on Demolition and Recycled Materials

Short

Cross-Boundary Government Coordination

Short

1 No. of symbols represents the degree of importance for the policy recommendations, i.e. is the most important in this case.

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Recommendations Importance Timeline

Governments Funding Support Short Medium

Development of trading channels for unused construction materials and products

Short Medium

Regional sorting and storage facilities Medium

Review of Landfill Charge Medium

On-site waste management plans and reporting

Medium

Land Policy Medium Long

Fully utilise inert materials from Public Fill Reception Facilities

Medium Long

Incentive schemes for reducing, reusing and recycling of C&D waste

Long

Revitalisation of old buildings to reduce demolition waste

Long

Chapter 6 presents likely challenges to be encountered from technical, financial and social aspects. From a technical perspective, the use of recycled materials on-site is constrained by non-standardised products, insufficient space, and a lack of confidence in using second hand or unused construction materials or products. From a financial perspective, contractors and sub-contractors have little financial incentive to minimise waste due to cost of transportation and storage of waste, cost of testing to verify and guarantee the physical properties (quality) of the recycled products, and if landfill tipping fees are not high enough to warrant the effort spent in separating and processing the materials. Lastly, public education and training of construction personnel are important steps for reducing and recycling C&D waste. Training for on-site separation by site staff effectively minimises waste at source, while the public can help reduce C&D waste if they echo the less waste living style advocated by the Government.

The underlying principle in all of these recommendations is that economically it must make sense to the industry to reduce or recycle C&D waste. The economic measures comprise charging a landfill fee to discourage the industry from disposal via this route and sufficient incentive for the recycling sector to take up the waste for re-use and recycling. Government should intervene as needed to correct market forces if the desired outcomes are not achieved. Moreover, it needs to cooperate with the Guangdong authorities to develop a closed loop economy between Hong Kong and the mainland so that a win-win situation can be developed with a buoyant building materials recycling industry in PRD servicing the needs of a healthy construction market in Hong Kong.

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2 Introduction

The Business Environment Council (BEC) and Hong Kong Green Building Council (HKGBC) have formed a Joint Working Group (JWG) to identify strategies and to provide solid and practical recommendations to the Hong Kong Government on initiatives that could increase the reduction, reuse and recycling of construction and demolition (C&D) waste in Hong Kong. A study on worldwide policies and waste management initiatives was conducted together with a series of interviews with industry stakeholders.

This report provides twelve recommendations proposed by industry stakeholders on strategies for minimising C&D waste quantities and maximising its recycling potential. It is important that the industry realises that all C&D waste, with appropriate sorting and treatment, can be readily recyclable.

The report is organised as follows:

Chapter 2: Background Chapter 3: Overview of Worldwide Situation Chapter 4: Recommendations Chapter 5: Stakeholder Requirements Chapter 6: Likely Challenges Chapter 7: Conclusions

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3 Background

3.1 Hong Kongs Current Situation

Hong Kong, like many other developed places, has seen its waste loads increasing in tandem with its economic growth. As of 2011, Hong Kong has been generating over 50,000 tonnes of C&D waste daily2, amongst which around 94% accounts for inert construction materials and the remaining is non-inert construction waste3. Inert materials are stockpiled in public fill reception facilities pending reclamation and site formation, whereas non-inert construction waste is disposed of in landfills. However, both the capacities of landfills and public fill banks are projected to be exhausted by no later than 20204, hence the urgency to identify solutions to managing C&D waste.

As stated earlier, the bulk of C&D waste in Hong Kong ends up in public fill. This comprises inert materials such as debris, earth, rubble and concrete. C&D waste which ends up in landfill are mainly packaging materials, paper, plastics and contaminated or broken building products.

Figure 1 (a) Distribution of overall waste disposal at landfill and (b) Distribution of the disposal of materials generated from construction activities

a

b

Since the setting of the Waste Disposal Ordinance in 1980, the Government has implemented a series of C&D waste-related policies5.

Notably, four policies are highlighted:

Production of G200 rock from public fill reception facilities for public projects (2002) Trip ticket system for transportation of waste (2004)

2 Environment Bureau. (2013). Hong Kong Blueprint for Sustainable Use of Resources 2013-2022. Retrieved from http://www.enb.gov.hk/en/files/WastePlan-E.pdf. 3 Environmental Protection Department. (2012). Monitoring of Solid Waste in Hong Kong: Waste Statistics for 2011. Retrieved from https://www.wastereduction.gov.hk/en/materials/info/msw2011.pdf. 4 Environmental Protection Department. (2013). An Overview on Challenges for Waste Reduction and Management in Hong Kong. Retrieved from http://www.epd.gov.hk/epd/english/environmentinhk/waste/waste_maincontent.html. 5 Lu, W, (2013). Construction waste management in Hong Kong: 10 years, no change? Building Journal, No. 5, pp.72-76.

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Construction waste charging scheme (implemented in December 2005) Implementation of BEAM Plus Standard in public projects (2012)

These will be further discussed in detail in Chapter 5 of this report. There are also other policies which are being developed, such as Producer Responsibility Scheme (PRS)6, and landfill tax for municipal waste7.

3.2 Hong Kongs Vision and Targets

Based on discussions with stakeholders from the construction and recycling industries, the JWG would like to propose the following Vision Statement to promote the reduction and recycling of C&D Waste:

Use Less, Waste Less Build a Zero Waste Hong Kong

The JWG proposes the following recycling targets for C&D waste:

Target 1: By 2020, 95% of all C&D waste will be recovered for re-use or recycling. Target 2: By 2020, 20% of inert materials8 will be recycled as secondary construction

materials

In Target 1, 95% is regarded as a reasonable goal as the re-use of C&D waste from public fill is feasible for purposes such as site formation and reclamation (although the latter has seen less and less activity in recent years). Composting is also included.

Target 2 is set in order to promote a market for secondary construction materials such as paving blocks and low strength concrete as well as recycled aggregates recovered from broken concrete for use as fill materials for earthworks (e.g. backfilling, pipe bedding, road sub-base, etc.). This is the ultimate prospect for C&D waste. In view of the pressing schedule to develop pioneering advancements in recycling technology before 2020, the JWG has set a prudent goal of 20% inert materials to be recycled as secondary construction products.

3.3 Summary

Hong Kongs C&D waste problem is increasing in line with the citys economic growth. The lack of landfill space is one of the main pressures to find a solution to reduce,

reuse or recycle C&D waste. The JWG proposes a target of 95% of all C&D waste to be recovered for reuse or

recycling by 2020 and 20% of inert materials to be recycled into secondary construction materials.

6 Environment Bureau. (2010). Consultation Document - Safe and Sustainable: A New Producer Responsibility Scheme for Waste Electrical & Electronic Equipment. Hong Kong: Environment Bureau; Environmental Protection Department (2013). Consultation Document on a New Producer Responsibility Scheme on Glass Beverage Bottles. Hong Kong: Environment Bureau. 7 Council for Sustainable Development. (2013). Waste Reduction by Waste Charging How to Implement? Hong Kong: Environment Bureau. 8 Inert materials to be recycled (other than for reclamation) for secondary construction materials include bricks, gypsum and concrete

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4 Overview on Worldwide Situation

There are different policies and strategies on waste management (in particular for C&D waste) adopted by governments worldwide. In this section, a brief overview of the targets defined by local governments and their policies and strategies adopted will be reviewed, while more detailed discussions on specific topics in Sections 4 to 6.

4.1 C&D Waste Reduction and Recycling Targets

Governments (national and municipal) often define clear waste reduction targets in their strategic waste management plans. Setting targets drives value creation and reduces the public burden of managing waste, especially C&D waste. Construction materials and infrastructure are significant consumers of natural resources and enormous amounts of embodied energy (and embodied carbon) hence management is part of driving a lower-carbon future economy.

Tables 1 and 2 below highlight countries and municipalities that have defined specific targets for the reduction and recycling respectively of C&D waste 9 . The findings indicate an interesting phenomenon; waste reduction tends to be driven by initiatives, while recycling (also including reuse of materials) is mandated by legislation.

Legend for Tables 1 and 2

Mandatory Prescribed in legislation [1]

Prescribed in national legislation which is transposed from the EU Directive [2]

Prescribed in the national waste management plan, which is drafted according to law [3]

Initiative Industry pledge [4]

Government blueprint (and implementation plan) [5]

Executive Order (but not intended to be legally binding to the municipal government) [6]

9 Please refer to Appendix A References for Table 1 and 2

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Table 1. Summary of Worldwide Examples for Overall C&D Waste Reduction Targets

Name Baseline Year C&D Waste Reduction Target Baseline Year Actual

C&D Waste Change Legend

Cou

ntrie

s

Austria - 7,395,000 tonnes, by 201610 2009 12.7% in 2010 [3]

Sweden 2004 50%, by 2010 - N/A [3]

Wales 2006-2007 60.2%, by 2050 - N/A [3]

Germany 1995 50% , by 2005 2009 +2.3%, by 2011 [4]

UK 2005 50%, by 201511 - N/A [4]

South Korea 2009 11.3%, by 201512 2005 +32% by 2010 [5]

Japan 2010 1,750,000 tonnes, by 201513 2006 -8.9%, by 2009 [5]

Denmark - N/A 2009 82.9%, by 2011 -

Taiwan - N/A 2007 10.2%, by 2012 -

Singapore - N/A 2011 +10.2% by 2012 -

Mun

icip

aliti

es

Flanders, Belgium - N/A 2009 2.4%, by 2010 -

Queensland, Australia - N/A 2009 47.9%, by 2012 -

South Australia, Australia - N/A 2009 +47.2%, by 2012 -

10 There is no percentage goal set by the authorities. However, a declining trend has been detected since 2007. By 2010, total C&DW amounted for 5,997,000 tonnes only. 11 This is aimed at halving the amount of C&D waste produced at site level (new build projects in particular). 12 This is based on the difference of estimated and actual quantities within the particular year. 13 This is targeted at mixed construction waste (most likely non-inert waste) which segregation is difficult.

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Table 2. Summary of Worldwide Examples for Overall C&D Waste Recycling Targets

Name Baseline Year C&D Waste Recycling Target Baseline Year

(1) Actual C&D Waste

Recycling % (2) Difference

(2)-(1) Legend

Cou

ntrie

s

European Union (EC Directive) 2008 70%, by 2020 - 46%, by 2006

14 - [1]

Austria - EC Directive 2006 92.6%, by 2010 +33.1% [2]

Belgium - EC Directive 1999 67.5%, by 2004 -6.3% [2]

Germany - EC Directive 2009 89%, by 2011 0% [2]

Norway - EC Directive - 57%, by 2011 - [2]

Netherlands 2006 95%, by 2021 2006 94%, by 2010 +4% [3]

Sweden - 70%, by 2020 - N/A - [3]

Denmark - 90%, by 2012 2009 91%, by 2011 -5% [3]

Finland 2006 70%, by 2016 - 26.3%, by 1999 - [3]

Wales 2006-2007 90%, by 2020 - 89.5%, by 2006 - [3]

UK 2008 50% of 2008 level, by 2012 - 64.8%, by 2006 - [4]

Singapore 2001 90%, by 2012 2008 99%, by 201215 0% [5]

South Korea 2009 98%, by 2015 2005 98.2%, by 2010 +1.5% [5]

14 C&D waste recycling target includes only material recycling (composting included). 15This is based solely on "construction debris". Energy recovery from incineration is calculated as well.

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Table 2. Summary of Worldwide Examples for Overall C&D Waste Recycling Targets (Continued)

Countries Baseline Year C&D Waste Recycling Target Baseline Year

(1) Actual C&D Waste

Recycling % (2) Difference

(2)-(1) Legend

Cou

ntrie

s Japan 2005 >94%, by 2015 2006 93.7%, by 2009 +1.5% [5]

USA - 50%, by 2015 - N/A - [6]

Taiwan - N/A 2003 91%, by 2007 +8% -

Mun

icip

aliti

es

California, USA - 50% - - - [1]

Brussels, Belgium - 90%, by 2020 - N/A - [3]

Flanders, Belgium - 90%, by 2020 2009 97.4%, by 201016 -1.3% [3]

New South Wales, Australia 2000 (65%) 76%, by 2014 2007 72.5%, by 2009 +5.5% [3]

Victoria, Australia 2005 (59%) 80%, by 2014 2005 83%, by 2011 +25% [3]

Queensland, Australia 2008 (35%) 75%, by 2020 2009 53%, by 2012 +16.3% [3]

South Australia, Australia 2009 (80%) 90%, by 2015 2009 80.2%, by 2012 +3.7% [3]

Western Australia, Australia 2010 (29%) 75%, by 2020 - 38%, by 2012 - [3]

New York, USA - - - 60% -

Florida, USA - - - 39%, by 2012 -

Massachusetts, USA - - - 80% -

16 This is based on all construction activities, and includes hazardous waste.

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4.2 Key Drivers Adopted to Reduce C&D Waste

Table 2 shows the many countries and cities that have moved forward and made significant progress. Various types of drivers have been adopted by countries and municipalities worldwide to reduce C&D waste and maximise material/resource recovery in the same context. The drivers are described below in Table 3 categorised into 13 key types:

Table 3. Summary of Key Drivers in Reduction of C&D Waste

1. Landfill Charge or Landfill Ban Also called waste tax, landfill tax or landfill levy, this is a common economic incentive to divert waste from final disposal (either landfill or incineration) to other treatments which helps to shift the burden and responsibility for waste management away from local government and towards industry. This is a way to raise revenue to provide funding for waste minimisation initiatives. Examples: EU Countries, United States, Canada, Australia, New Zealand, Hong Kong

2. Government Procurement Policies

These policies promote the reduction and recycling of C&D waste and expand the market for leaner construction methods and recycled content materials. Examples: Australia, the Netherlands, United States (varies with states), United Kingdom

3. Specify/Incentivise Leaner Construction

Change codes and use of precast, modular methods are encouraged. Also include the use of drywall and approval of recycled aggregate. Buildability score schemes are used. Example: Singapore

4. Specification for Recycled Materials

This promotes the recycling of C&D waste to expand the market for recycled materials. Examples: Germany, Australia, United Kingdom, United States (Florida and California), Japan and South Korea

5. Product Stewardship Schemes

Incentives and standards are provided for manufacturers in the monitoring and management of manufacturing process to minimise waste generation to incentivise the take back of products and packaging materials. Examples: United Kingdom (Forest Stewardship Scheme), and PVC Stewardship Scheme in Australia

6. Waste and Recycling Facilities License

Legislative framework established for promoting recycling infrastructure and business development for recycled C&D waste materials Examples: Australia (New South Wales), United States

7. Waste Recycling Law Mandatory requirement for the recycling of specific materials; usually implemented in conjunction with the ban of landfill for those particular materials Examples: United States (Florida and California), Canada, Japan

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8. Producer Responsibility Schemes

Also called polluter-pays instruments, these help to shift the burden and responsibility for waste management away from local government and towards industry. Such schemes are widely adopted for packaging and electronic products in different countries, and it is worth learning from their experiences. Examples (C&D waste-specific): Germany, Australia (New South Wales and Western Australia - mainly for packaging, PVC and treated timber), Canada (Ontario), Waste Electrical and Electronic Equipment (WEEE) Directive of the European Union for electrical and electronic products, the Netherlands

9. Demolition requirements Demolition contractors are required to separate and recycle specific construction wastes and to submit a site demolition plan together with the registration of demolition operators, noise regulations and countermeasures for hazardous waste such as asbestos for demolition projects Examples: Japan, United Kingdom, Hong Kong (Voluntary Guidelines for Selective Demolition and Onsite Sorting)

10. Funding and Grants for Research and Development Government supports development of waste management facilities and the technology of recycling as well as adoption of leaner, less waste producing, methods and materials. Example: The Netherlands

11. Eco-Tax Tax on products which pollute the environment which discourages the purchase of environmentally unfriendly products Examples: United Kingdom, France, the Netherlands, Denmark, Sweden, Australia, New Zealand

12. Green Building Schemes Green building schemes like BEAM Plus, LEED and others incentivise the adoption of precast, modular or other less on-site waste producing methods. Credits are given for recycled content materials and for recycling C&D waste, which encourages engaging the entire supply chain to meet the targets. Examples: Hong Kong, United States, China, Singapore, Australia, United Kingdom

13. Product Ecolabelling Scheme Ecolabelling schemes are designed to display the environmental performance of products to encourage purchasers looking for green products. Successful schemes often take a life-cycle analysis approach showing recycled content. Examples: European Union and Taiwan

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4.3 Summary

A review of worldwide situations on C&D waste shows that countries and municipalities which set targets have the most impact in waste reduction or recycling. The findings indicate an interesting phenomenon; waste reduction tends to be driven by initiatives, while recycling (which includes reuse of materials) is mandated by legislation.

In the majority of cases, C&D waste reduction has been achieved although in countries like Korea and Singapore and municipalities like South Australia C&D waste has increased this may be due to economic growth factors.

C&D recycling targets are either mandated through wider directives (like the EU directive) or national waste management plans. Recycling levels achieved are 57-99%, although there are some lower level exceptions like Finland, Western Australia and Florida. Overall, though, this suggests that 90% levels are achievable, assuming that the waste is sorted and that there are sufficient outlets for reuse or for recycled materials.

Of the key drivers listed, the following are pertinent to Hong Kongs needs:

Landfill charge Government procurement policies Specify/incentivise leaner construction Specification for recycled materials Waste and recycling facilities license Waste recycling law Demolition requirements Funding and grants for research and development Green building schemes

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5 Recommendations

In this chapter, we focus on the policies and regulations that need to be established to provide a solid C&D waste management framework for the industry. The technical aspects will be reported separately on the development of new materials derived from C&D waste and the use of these products in the design, engineering and construction industry.

The recommendations are categorised in their respective areas according to the 3Rs Principle.

Reduce avoid waste in the first place Reuse reuse whatever can be reused, preferably back to its original purpose Recycle where materials cannot be directly reused, find innovative ways to recycle

the waste back into resources

5.1 Reduce

5.1.1 Review of Current Landfill Charges

The Construction Waste Disposal Charging Scheme came into operation in December 2005. Table 4 shows the C&D waste charges for all government waste disposal facilities including public fill, sorting facilities, landfills and transfer facilities.

Table 4. Government Waste Disposal Facilities for Construction Waste and Charge Level17

Government waste disposal facilities Type of construction waste accepted

Charge per tonne

Public fill reception facilities Consisting entirely of inert construction waste $27

Sorting facilities Containing more than 50% by weight of inert construction waste

$100

Landfills Containing not more than 50% by weight of inert construction waste

$125

Outlying Islands Transfer Facilities

Containing any percentage of inert construction waste

$125

The charges for landfill and public fill have not been reviewed since its implementation.

17 Environmental Protection Department (2005). Construction Waste Disposal Charging Scheme. Retrieved from Construction Waste: http://www.epd.gov.hk/epd/misc/cdm/scheme.htm#d

16

As shown in Figure 2 below, the Charging Scheme had significant effect reducing the total amount of C&D waste going to both landfill and public fill reception facilities to almost half immediately after its implementation in 2006. It has also increased the proportion of materials going to public fill reception facilities to over 90%. The rising trend after 2007 is mainly attributed to the Ten Major Infrastructure Projects which were announced in the 2007-2008 Policy Address. As of 2011, four of these Projects have already commenced their works so the increase in C&D waste quantities in the last 5 years can be explained.

Figure 2. Statistics of construction waste disposal at landfill and public fill reception facilities (1991 - 2011)

The impact of a landfill charge is apparent as an economic instrument to reduce dependency on landfill and to increase the level of waste recovery. In Denmark, it has been shown that there is a correlation between the landfill tax rate and the recycling rate18.

Based on this evidence and from stakeholder views collected, an increment of the landfill charges to HK$125, HK$700 and HK$1,200 per tonne in 2015, 2020 and 2025 respectively is recommended. It is intended to progressively widen the price gap between charges of public fill and sorting facilities and landfills from 2015 onwards so as to divert C&D waste from landfills and encourage the industry to actively sort and recycle their waste. Assumptions are:

Base year is set in 2015 considering that the report may only be available for public consultation by 2014-2015. (*)

Transportation costs are not included in the calculations. Loading per trip would be 8 - 12 tonnes, using a 20-tonne truck, so an average

amount of 10 tonnes per truck is adopted. Landfill, sorting and public fill charges in 2015 are based on the current price setting

of Construction Waste Charging Scheme. 2020 and 2025 charges are based on

18 European Environment Agency. (2003). Case studies on waste minimisation practices in Europe. Copenhagen, Denmark: Henrik Jacobsen, Merete Kristoffersen.

2003 2004 2005 2006 2007 2008 2009 2010 2011Public fillfacilities 44982 49398 52211 25759 19945 24918 39063 35781 48164

Landfill 6728 6595 6556 4125 3158 3092 3121 3584 3331

0

10000

20000

30000

40000

50000

60000

70000

Tonn

es p

er d

ay

(Year)

Construction Waste Disposal Charging Scheme came into force

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proposed costs in Intermediate and Worldwide Benchmark Scenario (see Figure 3 below).

Cost-basis Scenario Intermediate Scenario

Public

Fill Sorting

Facilities Landfill

2013 27 100 125 2015 (*) 27 100 125

2020 200 400 600 2025 300 500 700

Public Fill

Sorting Facilities

Landfill

2013 27 100 125 2015 (*) 27 100 125

2020 400 500 700 2025 500 700 1000

Worldwide Benchmark Scenario

Public

Fill Sorting

Facilities Landfill

2013 27 100 125 2015 (*) 27 100 125

2020 400 600 900 2025 500 700 1200

It is projected that, in 2020, factoring in inflation, the price difference offsets the cost of recycled aggregates ($200-$300). However, in 2025, the price gap is expanded wide enough to drive the industry to turn to sorting facilities and allow sufficient room for revenues (>$200-$300) in the production of recycled products, such as recycled aggregates.

0

200

400

600

800

2013 2015 2020 2025

Public Fill

SortingFacilitiesLandfill

0

200

400

600

800

1000

1200

2013 2015 2020 2025

Public Fill

SortingFacilitiesLandfill

0

500

1000

1500

2013 2015 2020 2025

Public Fill

SortingFacilitiesLandfill

Figure 3. Three Proposed Scenarios for Landfill, Sorting and Public Fill Facilities (2013-2025)

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Figure 4 below summarises the projected price differences from 2015 to 2025. Figure 4. Projected Price Differences Between Sorting and Landfill Charges (2015-2020)

Base year is set in 2015 considering that the report may only be available for public consultation by 2014-2015. From discussions, stakeholders in general could not reach a consensus on the exact landfill charge rate but the common views expressed were:

a. Government should not solely depend on the landfill charge as the driver for reduction of C&D waste, instead an overall strategic plan is needed to include other policies, and support should be made available for the industry in a long run.

b. Transportation costs, which are not factored in the above proposed charges, should follow:

Transportation costs to public fill bank /recycling facilities plus the recycling cost

< Transportation cost to the landfill plus the landfill charge

c. The total cost of recycling should be significantly less than that of disposing in landfills in order to provide sufficient economic incentive to the industry to reduce and recycle construction and demolition waste i.e. with a difference of $300 to $500 per tonne of C&D waste.

d. The implementation process should allow a grace period or transition period for the industry to prepare for the significant cost change. For example, tenders awarded before the raising of landfill charge should be provided with trip tickets of the original cost as the additional cost has not been considered during the tendering process.

e. Increase in landfill charge may lead to increase in illegal dumping, thus the Government should consider enforcement action for the policy. Also, attracting new business to Hong Kong and licensing of recycling and alternatives to landfill need to be given priority.

f. The majority of C&D waste going to landfill is packaging materials, paper, plastics and contaminated or broken building products, which may be of similar material types to municipal waste. There are concerns whether the level of landfill charge for C&D

HK$0

HK$150

HK$300

HK$450

HK$600

HK$750

HK$900

HK$1,050

HK$1,200

2015 2020 2025

Cha

rges

per

tonn

e

Year

SortingfacilitiesLandfill

Cost-based Scenario

Intermediate Scenario

Worldwide Benchmark

Scenario

$200

$500

$25 (25%)

(40%)

(71.4%)

Price difference

LEGEND

19

waste should be related to municipal waste. If the landfill charges for C&D waste and municipal waste are of a significant difference, it may lead to adding practical difficulties enforcing the type of waste at the landfill reception. However, learning from the experiences of overseas, a large number of cities and countries endorsed different landfill charge rates for different types of waste.

g. It has been suggested that if the first review of the landfill charge to be conducted in 2014, the charge on public fill reception facilities, sorting facilities and landfill should be established on a cost-basis, so as to reduce the impact of the charge to the construction industry and the general public. However, after few years of the review (i.e. 2025), the industry should have sufficient time to improve their operation by then and more recycling facilities would be available. Then, the landfill charge rate would then be increased to an international benchmark level.

h. On top of transportation and labour costs, the Government should also consider the cost for inert materials processed into recycled aggregates when deciding the landfill charge and public fill charge rates. The estimated cost for further treatment of recycled aggregates will be $200 - $300 per tonne. If the public fill charge is too low, it will be very difficult for the recycling industry to collect sufficient concrete waste for instance to make recycled aggregates unless the Government wants to subsidise the aggregate recycling.

i. To magnify the effect of the escalated landfill charges, the Government should introduce an incremental Environmental Cost, on top of administrative and operational costs, at a certain percentage starting from 2016, as a sustainable source of financial support to the recycling industry. It would be allocated to a proposed C&D Waste Sorting Fund, subsidising acquisition of sorting equipment or machinery so as to boost for a more competitive recycling market, and supporting anti fly-tipping campaigns.

j. The revenue collected from the landfill charges should be used to subsidise or supplement the recycling industry, in order to ensure the long-term development of secondary (i.e. recycled) construction products from C&D waste. Provision of zoning and suitable land also needs to be subsidised by Government in order to enable quicker establishment of new businesses.

In summary, we recommend that landfill charges should be increased to HK$125, HK$700 and HK$1,200 per tonne in 2015, 2020 and 2025 respectively.

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5.1.2 Revitalisation of Existing Buildings to Reduce Demolition Waste

In overseas examples, many old industrial buildings and residential buildings have been revitalised and renovated instead of being demolished in order to minimise the environmental impact. In Hong Kong, the Government has already implemented several policies to promote the revitalisation of industrial buildings in the Kowloon East Area, for example waiver of Land Premium and relaxation of Building Ordinance requirements. However, the cases for successful revitalisation of buildings are still limited as it is found that there are a number of economic factors supporting rebuilding such as significant increase in plot ratio and flexibility in the design and use of new buildings. Nonetheless, we recommend that the practice of revitalisation be considered as a long term strategy.

5.2 Reuse

5.2.1 Information Sharing Platform

Some inert materials like sand from demolition sites can readily be reused as fill materials at other construction sites or public works. Such a strategy is now generally practiced at all Government works and public projects. Stakeholders suggested that an online information sharing platform could be a useful channel for the industry to find out where and when to source these materials for reuse and reduce the public fill load as well as helping to save logistics and storage costs for both contractors and the Government. We recommend the setting up of such an online platform which would be operated by the Government.

5.2.2 Fully Utilise Inert Materials from Public Fill Reception Facilities

The Government is currently using inert materials from Public Fill Reception Facilities to produce Grade 200 rocks in Tseung Kwan O Fill Bank for public works projects. However, since Grade 200 recycled rockfill is not specified in private sector development projects to avoid competing with the quarry products in the private market, only about 900,000 tonnes have been produced as of April 2013. This quantity is roughly 5% of the annual quantity of inert materials sent to public fill reception facilities. Stakeholders have requested the Government to consider allowing Grade 200 recycled rockfill to be used in certain types and scale of private projects to increase the demand.

Other than Grade 200 recycled rockfill, the Government set up a pilot recycling plant in Tuen Mun Area 38 in 2002 to recycle hard C&D materials into 40mm, 20mm, 10mm and 5mm size recycled aggregates for use in public works projects. Due to lack of demand, the plant was closed around 2004. At present, there is not enough space in the two public fill banks for setting up similar recycling facilities.

However, the Government may consider recycling broken concrete and other inert hard materials into recycled aggregates of different sizes for use as back filling materials, substrates, or raw materials for recycled aggregates. The cost of removing cement paste from the surface of recycled aggregates is high at the moment, and it is estimated that the cost of concrete (Grade 30 and above) made from recycled aggregates may be 40% to 50% higher than virgin aggregates. The recycling industry is seeking technology to achieve more economical removal of cement paste from waste concrete to produce recycled aggregates at

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a competitive price. Detailed discussion on the possible applications for these recycled materials will be discussed in the technical report.

We recommend the use of Grade 200 recycled rockfill in private sector projects and support for advancing the level of technology in producing recycled aggregates of varying sizes.

5.2.3 Development of Trading Channels for Unused Construction Materials and Products

Unused construction and materials can often be put to good use if the proper parties are engaged and channels established. In particular the reuse of second-hand furniture is viable due to the turnover of companies in commercial premises. Certain organisations in the civil sector have established operations in this area 19. We recommend that the Government support the establishment and operation of trading platforms for construction materials and products, and office/residential items like furniture and products. Although there are some concerns on the quality assurance and validity of materials and products to be reused, it is a possible means to support the underprivileged and to establish a culture for reuse and recycling in society.

5.3 Recycle

5.3.1 Green Procurement and Specification in Government Projects

Government procurement policy together with specifications on recycled products forms one of the crucial driving forces in the market to encourage the use of recycled materials in building and civil works projects. The joint green procurement circular issued by Environment Bureau and Development Bureau in January 2011 sets out the existing framework for procurement of new recycled and other green materials in public works projects. According to the joint circular, the existence of at least one supplier of recycled/green materials will suffice for trying out the use of the materials in public works projects. Wider use of the recycled/green materials will be considered when there are at least two suppliers in the market. If there are at least three suppliers in the market to meet the anticipated demand and the technical performance is confirmed, full implementation of priority use will then be considered in public works projects. Individual technical specification will be developed for any material/product once it is identified for the trial use.

Through the Development Bureau (DEVB), the Government has already laid down some specifications allowing the use of recycled materials. For example, in construction projects, Construction Standard CS3:2013 Aggregates for Concrete (May 2013) approves the use of recycled aggregates in non-structural applications. Other than using recycled aggregates in concrete, other specifications for using recycled aggregates in pipe bedding and general filling have been included. Furthermore, other recycled materials or products are covered in the current General Specification for Civil Engineering Works which includes:

19 Examples of NGOs and social enterprises collecting and distributing second hand furniture and products: Cross Roads http://www.crossroads.org.hk ; Chu Kong Plan

http://www.chukongplan.org.hk/2hand-shop.html; IRI - http://www.iri.org.hk/2nd_shop_team.html; and Green Dot Home http://www.green-dot-home.com.hk

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Recycled rock fill materials (i.e. recycled rock or inert C&D materials) Concrete paving blocks containing recycled aggregates and recycled glass Reclaimed asphalt pavement in wearing course and base course materials of

carriageways.

The next step for the Government to consider expanding the green procurement circulars scope to private projects to significantly increase the use of recycled materials in the market.

In reviewing the worldwide context on this area, it is found that the recycled materials are mainly specified in public works, like roads and bridge works and a few overseas examples of specification requirements can be found in Table 5. More details on the possible green specification for recycled materials and their applications in Hong Kong will be discussed in the technical report.

Table 5. Overseas Specifications on Use of Recycled Materials for Public Works

Country/City Specifications Recycled Construction Materials

United Kingdom

- Highway works - Roads and bridges

- Reclaimed asphalt - Recycled concrete aggregate - Recycled aggregate

United States Pavement construction for highway applications - Asphalt concrete - Portland cement concrete - Granular base - Embankment or fill - Stabilised base - Flowable fill

- Reclaimed asphalt pavement - Roofing shingle scrap - Reclaimed concrete

Australia (New South Wales)

Pavement, earthworks and drainage

- Crushed concrete, brick and reclaimed asphalt blends

Australia (Victoria)

Roadworks and bridgeworks - Crushed rock - Crushed concrete

for pavement sub-base

- Cementitious treated concrete

- Crushed scoria - Sands for sprayed

bituminous surfacing - Recycled asphalt

product

Apart from relaxation in procurement strategies allowing for the use of recycled materials in certain types of construction projects, we recommend that Government provide more comprehensive specifications detailing physical properties and green requirements so that the recycled product applications are standardised and can be regulated to strengthen the contractors and end-users confidence.

5.3.2 Regional Sorting and Storage Facilities

The existing centralised sorting facilities in Hong Kong are considered to be inefficient and insufficient in driving the recycling of C&D waste. It is recommended that there should be more extensive and careful sorting and storing practices at the public fill banks, so that different grades of concrete and rocks can be directly reused as near virgin materials for filling material, non-structural concrete products and recycled aggregates.

In order to minimise the burden on current public fill banks and landfill, more regional sorting facilities should be built in different districts. Areas where sea transportation is available

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should be exploited to reduce the need for road transportation thereby reducing the impact to the surrounding urban areas. Locations suggested by stakeholders for regional sorting facilities include:

Shek O Outlying Island (utilising water transport) Tuen Mun (next to recycling facilities and landfill)

It is recommended that the Government should set up strategic areas for C&D waste sorting & storage facilities and treatment (i.e. recycling facilities) in the above places such that the impact to the neighbouring environment can be minimised. This is further discussed in Section 4.3.5.

5.3.3 On-Site Waste Management Plans and Reporting

In order to set up on-site C&D waste policies and to drive on-site reduction and recycling of C&D waste, an onsite waste management plan is an effective tool. Since 2000, Waste Management Plans are a requirement in public works contracts according to Works Bureau Technical Circular 29/2000. The latest Government guidelines regarding Waste Management Plans were rolled out in 2006 in the Environment, Transport and Works Bureau Technical Circular 19/2005. Starting from January 2006, ETWB TCW No. 19/2005 states that contractors are also paid for the implementation of waste management measures (including arranging and conducting on-site sorting of C&D materials, and arranging recycling contractors to collect the sorted reusable and recyclable materials) under the Pay for Safety and Environment Scheme. For overseas examples, the UK20 and Japan cases 21 are worth considering. We recommend that Waste Management Plans be mandated for both private and public projects and that a requirement is imposed on contractors to submit detailed reports and quantitative information on waste generated on construction sites to substantiate achievements of the plans. More details on the waste management report and technical details involved in onsite sorting procedures will be discussed in the technical report.

5.3.4 Government Funding Support

Currently, there is only limited funding support for waste treatment and recycling facilities in Hong Kong. The application for environment-related funding usually involves complicated procedures and a long approval time. The Environment and Conservation Fund (ECF) is specifically for Community Waste Recovery Projects with the following application details:

20 The UK Environment Agency has the authority to enforce its applications through penalties and prosecutions. According to the Site Waste Management Plans Regulation 2008, all construction projects worth over 300,000 are required to submit a plan which includes: types of waste removed from the site; identity of the person who removed the waste and their waste carrier registration number; description of the waste; site where the waste was taken to; and environmental permit or exemption held by that site. 21 The Construction Material Recycling Law of Japan also promotes recycling by making it obligatory that designated construction materials used for construction of the specified size or larger are sorted and demolished at the construction site and resulting wastes are recycled.

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Only local non-profit making organisations (e.g. community bodies, green groups) are eligible to apply.

Normally, grants for each project will not exceed HK$500,000. Funds may be granted for full or partial support of projects.

Projects applying for grants exceeding HK$2,000,000 will need to be approved by the ECF Committee.

In order to speed up the development of the waste treatment and recycling industry in Hong Kong, we recommend that financial support should be provided by the Government for the industry to import new technologies, conduct research and development projects on the applications for the recycled products. Based on overseas research, we propose the following sources of support be set up.

Table 6. Summary Table of Financial Support Sources

Financial sources Details Extension and Enhancement of ECF

- The funding should be open to private companies in establishing waste recycling or sorting facilities.

- The funding should be increased to at least $1,000,000 per project, in the view of the cost of existing technologies in the treatment or recycling of construction and demolition wastes.

Setting up a Waste Fund from the revenue generated from the landfill charge

- With the increase in landfill charge, a significant amount of revenue will be generated and thus should be reinvested back to the industry to sustain the development of the local waste and recycling industry.

Operational subsidies for facilities

- Government should consider providing subsidies to the industry in terms of the total amount of waste treated within the facilities and use this as a measure to control and monitor the performance and work quality of the recycling facilities.

Research and Development Funding

- R&D is needed for recycling technologies and industry standards or specification for the use of recycled materials in order for the industry to adopt recycled materials. Government should consider setting up a specific R&D fund for this type of projects, which may be conducted by industry bodies or associations as well as academic institutes.

5.3.5 Land Policy

According to research 22 , the operation of a C&D recycling facility requires a minimum allocation of 4000 m for equipment and a similar area for processed materials. The EcoPark (Chinese: ) located in Tuen Mun Area 38 is first of its kind in Hong Kong and is more or less an industrial park exclusively for waste recycling and environmental engineering. The lots in EcoPark are tendered for specific use to recover materials and recycling of local 22 Peng, C. L., Scorpio, D. E., & Kibert, C. J. (1997). Strategies for successful construction and demolition waste recycling operations. Construction Management & Economics, 15(1), 49-58.

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wastes and comprise areas of 4,000 to 6,000 m for setting up recycling facilities, which are below the minimum operational requirements.

Learning from the past experience of Tuen Mun District 38, recycling facilities are usually labour-intensive and face difficulties to be financially sustainable. Table 7 below summarises the operational details of the Tuen Mun Area 38 recycling plant:

Table 7. Summary of Operational Details of Tuen Mun Area 38 Recycling Plant23

Recycling Plant at Tuen Mun District 38 Operation Period July 2002 to June 2005 Received waste 20% hard inert C&D waste for making recycled aggregate

Other 80% too fine or made up of mud that ended up in landfill Requirement of waste

Size of concrete waste limited to a minimum of 250mm or above

Applications New concrete (1%) as foundation, retaining wall, ground beam, pile cap

Drainage surround and haunching (15%) Rockfill / filter layer (over 50%) Subbase (15%) Paving blocks (20%)

Properties Differs from natural aggregate by: Higher water absorption rate Higher demand for water Longer mixing time Operational cost increased

Cost Operational cost: HK$40 per tonne (including testing, management and labour cost) Capital cost of the plant is about HK$25,000,000

Limitations 1. Intake from private sector normally needed for further sorting, which increased the cost of operation.

2. In demolition process, concrete waste is often dropped from height which significantly reduces the size of the concrete, thus not meeting the requirement of the recycling facility.

3. During the salvation of the reinforcing bars, the size of the concrete waste was often reduced to below 250mm.

Our recommendations based on collected views from stakeholders from the recycling industry and others on future land policy for recycling are:

The leasing period for such type of recycling facilities should be longer, i.e. at least 10 to 15 years.

The current rental rates for EcoPark are high. The Government should consider lowering the rate or to provide subsidies to the industry in order to ensure the sustainability of those facilities.

The designated areas should have adequate spacing for setting up large scale C&D recycling facilities.

The Government should consider providing different locations for recycling facilities.

23 Tam, Vivian W.Y. & Tam, C.M. (2006). Evaluation of existing waste recycling methods: A Hong Kong study. Building and Environment. 41. 1649-1660.

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Governments overall future land policy will be very important to ensure that the environmental impacts to different districts in Hong Kong will be kept at minimum. For example, strategic areas for C&D waste sorting and recycling should be in areas that are far away from urban areas and can be accessed via sea so that road traffic impacts are minimised.

5.3.6 Incentive Schemes for Reducing, Reusing and Recycling

From stakeholder discussions, there have been proposals that a quota system for the landfill charge of construction waste could be developed, in which construction sites would have a specific quota for waste generation (depending on site area). If construction sites do not \exceed the quota for the waste generation, a lower rate of landfill charge would be charged. However, practical difficulties may be encountered in the implementation of such an incentive scheme as there is no current benchmarking on the rate or volume of total waste generation per construction site.

Other possible incentives to the contractors and developers can be eco-tax and a corresponding tax credit scheme, which offers rebates after using a certain portion of recycled products in construction, so as to promote the use of recycled products in construction projects.

We recommend that Government consider these options as incentives for the industry.

5.3.7 Cross-Boundary Government Coordination

The HKSAR Government has established an agreement with the Mainland to deliver surplus materials to the latter for beneficial reuse known as A Cooperation Agreement between the State Oceanic Administration (SOA) and the Government since 2004. The HK Government is responsible for all preparatory costs, such as transportation and material unloading. Taishan, which is located in the Pearl River Delta, has been established as the first standing reception point of public fill by Hong Kong. In view of the fact that reclamation projects in Hong Kong in recent years have been reduced, about 10 million tonnes of unused public fill is expected to be delivered in 2013.

In the long run, the Government should address the externality posed in Mainland in a more sustainable approach. Therefore, we recommend that closed loop material recycling should be encouraged. It is intended to maximise resource efficiency and be mutually beneficial for both Hong Kong and the Mainland Governments. Instead of using the surplus public fill in Mainland reclamation projects, it should be recycled as green construction products, such as pre-cast faade for application in Hong Kong in construction projects. The Taishan model can be used as a reference to establish closer cross-boundary ties with the Guangdong Provincial Government to formulate supporting policies and subsidies to benefit both Mainland and local recyclers. Moreover, we recommend that the Government negotiate a relaxation of import limits of foreign waste, such as waste plastic, with the Guangdong Provincial Government to alleviate pressure on local recyclers.

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5.4 Summary of Recommendations

All the recommendations on policies and regulations are summarised in Table 8 below. Their corresponding importance to the C&D waste reduction strategies and possible implementation timeline are also proposed, based on the stakeholders discussion.

Table 8. Summary of Recommendations

Recommendations Importance24 Timeline

Government projects green procurement and specification

Short

Information sharing platform on Demolition and Recycled Materials

Short

Cross-Boundary Government Coordination

Short

Governments Funding Support Short Medium

Development of trading channels for unused construction materials and products

Short Medium

Regional sorting and storage facilities Medium

Review of Landfill Charge Medium

On-site waste management plans and reporting

Medium

Land Policy Medium Long

Fully utilise inert materials from Public Fill Reception Facilities

Medium Long

Incentive schemes for reducing, reusing and recycling of C&D waste

Long

Revitalisation of old buildings to reduce demolition waste

Long

6 Likely Challenges to be Encountered

In this chapter we look at the likely challenges to be encountered in three key areas:

Technical challenges Financial challenges

24 No. of symbols represents the degree of importance for the policy recommendations, i.e. is the most important in this case.

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Public education challenges

6.1 Technical Challenges

6.1.1 On-Site Difficulties

Considering the onsite or offsite reuse of building materials, the size and dimension of product components and material specifications are often not standardised, which makes the reuse of these products difficult. There is usually insufficient storage space for recovered products. Building contractors and engineers will also lack confidence in using second hand or unused construction materials or products from other projects due to the lack of detailed knowledge of the products properties and history of use (this may be important, for example, if the component has been subject to fatigue loading) and quality assurance.

6.1.2 Deconstruction

Due to the robustness of products in the deconstruction process, many lighter products would not survive the deconstruction process, or are significantly contaminated. Deconstruction as opposed to demolition has significant impacts on the health and safety precautions required. In addition, there are practical difficulties in deconstructing composite components. Overall, demolition programmes are too short to enable contractors to deconstruct buildings

6.1.3 Communication and Training

Often, within the tight timeframe for construction projects, there is reduced concern for environmental measures and waste reduction and an on-site Waste Management System which involves active participation from different parties (contractors and sub-contractors), will require extra time and efforts to ensure targets and best practices are communicated and implemented. Changes in design during construction phase can also lead to the generation of greater volumes of construction waste than expected. In general, there is a lack of environmental training for construction workers, designers, developers and other stakeholders in the construction process

6.2 Financial barriers

6.2.1 Economic Incentives

In tender or procurement requirements, requirements on material utilisation are generally not stated thus contractors and sub-contractors do not have any incentive to minimise waste. In addition, in private projects, the design and specifications of materials are often unique and the cost of transportation and storage of the waste is often high. Therefore, the reuse of some building materials and products is not economical. Space is also a cost factor as with limited size of construction sites, it is generally observed that the storage of reusable materials on site is not feasible.

The cost of testing to verify and guarantee the physical properties (quality) of the recycled products, if high, directly affects the incentive to use recycled products.

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6.2.2 Fiscal Measures

As stated in the previous section, C&D debris processing facilities charge a tipping fee, so they are generally only economically viable where landfill tipping fees are high enough to warrant the effort spent in separating and processing the materials.

To counter these disincentives for recycled materials, some governments (such as Australia and EU) have imposed tax for the use of virgin materials and policies to limit the extraction of resources, in order to promote the use of recycled products.

6.3 Public Education Challenges

6.3.1 Best Practice Training for the Construction Industry

In terms of reducing C&D waste generation in construction sites, all parties involved during the construction process need to be well-informed and trained to ensure that waste reduction policies and recycling targets can be reached. The most important step for recycling of construction waste is on-site separation. Initially, this will involve training of construction personnel. Once separation habits are established, on-site separation can be done at little or no additional cost.

In the current construction practice in Hong Kong, a large number of subcontractors are involved at different stages of the construction process. While the targets and policies are set by the developers (and/or the main contractors), training with continuous monitoring and information sharing is essential for such waste management systems to be successful.

6.3.2 Public Awareness Programme to Reduce Renovation Projects and Promote Reuse of Interior Works

On top of construction and demolition activities, renovation projects in commercial and residential sectors also contribute to a significant amount of C&D waste annually. On average, offices and homes undergo minor renovations every 1 3 years, and major renovations every 5 years. Therefore, if the buildings and interiors are designed for reuse, it will help the public to reduce large amount of waste from the renovation projects. The Government can also promote a living style of less waste, in particular for home renovations and reuse of furniture and building products.

6.3.3 Promote the Collection, Reuse and Recycling of Second Hand or Unused Construction Interior and E&M Materials and Products

The renovation habits of the public can contribute to a significant part of waste reduction in Hong Kong. There are already some NGOs and social enterprises collecting second hand products to help the less privileged in Hong Kong, but the promotion and support for this type of meaningful business are not sufficient.

6.3.4 Training for Recycling Industry on Latest Technology

There is a lack of new technology and research on waste treatment and recycling industry in Hong Kong. In order to enhance the productivity and quality of the recycling and waste treatment facilities in Hong Kong, the Government should consider cooperating with

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worldwide governments and industry experts to enhance the knowledge and improve or update the technologies used in the facilities so as to sustain the long-term development of the recycling industry.

6.4 Summary

From a technical perspective, the use of recycled materials on-site is constrained by non-standardised products, insufficient space, lack of confidence in using second hand or unused construction materials or products. The deconstruction process is complicated due to health and safety issues and time required. The involvement of all parties on-site is necessary to communicate and implement best practices and deal with changes in design during construction phase which can lead to the generation of greater volumes of construction waste than expected.

Contractors and sub-contractors have little financial incentive to minimise waste due to cost of transportation and storage of waste, cost of testing to verify and guarantee the physical properties (quality) of the recycled products, and if landfill tipping fees are not high enough to warrant the effort spent in separating and processing the materials.

The most important step for recycling of construction waste is on-site separation. Initially, this will involve training of construction personnel. Once separation habits are established, on-site separation can be done at little or no additional cost. Training with continuous monitoring and information sharing is essential for such waste management systems to be successful.

The public can help reduce C&D waste from the renovation projects if properly educated. The Government can also promote a living style of less waste, in particular for home renovations and reuse of furniture and building products.

In order to enhance the productivity and quality of the recycling and waste treatment facilities in Hong Kong, the Government should consider cooperating with worldwide governments and industry experts to enhance the knowledge and improve or update recycling technologies.

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7 Conclusions

Solid and practical recommendations have been developed for the Government on initiatives to increase the reduction, reuse and recycling of C&D waste in Hong Kong.

Our vision is: Use Less, Waste Less Build a Zero Waste Hong Kong

Based on the following recycling targets for C&D waste:

Target 1: By 2020, 95% of all C&D waste will be recovered for re-use or recycling. Target 2: By 2020, 20% of inert materials will be recycled as secondary construction

materials

In this report, we present 12 recommendations proposed by industry stakeholders on strategies for minimising C&D waste quantities and maximising its recycling potential.

The underlying principle in all of these recommendations is that economically it must make sense to the industry to reduce or recycle C&D waste. The economic measures comprise charging a landfill fee to discourage the industry from disposal via this route and sufficient incentive for the recycling sector to take up the waste for re-use and recycling. Government should intervene as needed to correct market forces if the desired outcomes are not achieved. This can be done through procurement policy, technical specification in works contracts, land policy for recycling facilities and investment in recycling technologies.

Whilst the industry can, and should, play a role in designing out waste prior to construction and maintaining best practices on-site involving on-site sorting and storage of waste, keeping reports and training of site staff, there will still be challenges that require the support of Government. The latter can facilitate waste exchange through online platforms and regional sorting sites, connect second-hand agencies with sites and make public fill material available for site formation and construction works. It is important that the industry realises that all C&D waste, with appropriate sorting and treatment, can be readily recyclable.

At another level, Government can educate the public to reduce C&D waste by promoting a living style of less waste, in particular for home renovations and reuse of furniture and building products. Revitalisation of old buildings rather than demolition should be encouraged.

Lastly the Hong Kong Government needs to cooperate with the Guangdong authorities to develop a closed loop economy between Hong Kong and the mainland so that a win-win situation can be developed with a buoyant building materials recycling industry in PRD servicing the needs of a healthy construction market in Hong Kong.

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8 Appendix A - References for Table 1 and 2

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Fischer, C., & Werge, M. (2009). EU as a Recycling Society: Present recycling levels of Municipal Waste and Construction & Demolition Waste in the EU . Copenhagen: European Topic Centre on Resource and Waste Management .

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Management/Construction-and-Demolition-Waste/ConstructionAndDemolitionWaste-by-Component-Measure

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1 Executive Summary2 Introduction3 Background3.1 Hong Kongs Current Situation 3.2 Hong Kongs Vision and Targets3.3 Summary

4 Overview on Worldwide Situation4.1 C&D Waste Reduction and Recycling Targets4.2 Key Drivers Adopted to Reduce C&D Waste 4.3 Summary

5 Recommendations 5.1 Reduce5.1.1 Review of Current Landfill Charges5.1.2 Revitalisation of Existing Buildings to Reduce Demolition Waste

5.2 Reuse5.2.1 Information Sharing Platform5.2.2 Fully Utilise Inert Materials from Public Fill Reception Facilities5.2.3 Development of Trading Channels for Unused Construction Materials and Products

5.3 Recycle5.3.1 Green Procurement and Specification in Government Projects5.3.2 Regional Sorting and Storage Facilities5.3.3 On-Site Waste Management Plans and Reporting5.3.4 Government Funding Support5.3.5 Land Policy 5.3.6 Incentive Schemes for Reducing, Reusing and Recycling 5.3.7 Cross-Boundary Government Coordination

5.4 Summary of Recommendations

6 Likely Challenges to be Encountered6.1 Technical Challenges6.1.1 On-Site Difficulties6.1.2 Deconstruction 6.1.3 Communication and Training

6.2 Financial barriers 6.2.1 Economic Incentives6.2.2 Fiscal Measures

6.3 Public Education Challenges6.3.1 Best Practice Training for the Construction Industry 6.3.2 Public Awareness Programme to Reduce Renovation Projects and Promote Reuse of Interior Works6.3.3 Promote the Collection, Reuse and Recycling of Second Hand or Unused Construction Interior and E&M Materials and Products6.3.4 Training for Recycling Industry on Latest Technology

6.4 Summary

7 ConclusionsAppendix A - References for Table 1 and 2