waste tire situations and markets in california denise kennedy, dk enterprises ciwmb waste tire...
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Waste Tire Situations and Markets
in California
Denise Kennedy, DK Enterprises
CIWMB Waste Tire Forum
Sacramento, California – March 9, 2006
Tire and Rubber Recycling Advisory Council (TRRAC) and
the Tire Industry Association (TIA) Working group of recycling professionals
• marketing, processing, collection, crumb rubber and manufacturing• one government liaison and advisor to TRRAC/TIA
Represent 5000 members in the Tire Industry Association• tire dealers and retreaders• commercial and retail markets• recyclers and suppliers
TIA’s history of services include government representation; training, education and certification; educational seminars and workshops
Tire and Rubber Recycling Advisory Council (TRRAC)
Mission: Ensure long term viability of tire and rubber recycling worldwide, while pursuing economic and environmental benefits
Goals: To address the unique needs of the rubber recycling segment of the international tire industry and
• Promote the reuse and recovery of tires and tire derived materials
• Increase marketability of rubber products and applications• Promote industry’s legislative, judicial and regulatory issues• Provide educational, training, and networking opportunities
Tire and Rubber Recycling Advisory Council – Representatives
Charles AstafanColumbus McKinnon Florida Doug Barr Barr Formulated Products Pennsylvania David Forrester Tires Inc. of Florida Florida Dick Gust Lakin Environmental Industries Illinois Denise Kennedy DK Enterprises Sacramento Allan Lassiter Virginia DEQ Virginia Monte Niemi First State Tire Disposal Minnesota Tom Secor Durable Corporate Ohio Mary Sikora Recycling Research Virginia
Marketplace – March 2006
GreenManLakin
Utah Tire Recyclers
McClanahanCRM
Socal/NorCal Break
CB Tyres
Golden Scrap Tire
West Coast Rubber
TRI-C
RB Rubber Products
BAS
NW Rubber (Canada)
WRW
WTP
CRM
USMX
WRW
Shamrock
WTP
TD&R
TDF
California Statistics
US Census Bureau No. of Generators Haulers
2004 Population Counties W/ TPID’s W/Permits
Southern 21,378,000 10 5,950 799
Northern 14,425,800 46 6,250 387
Total CA 35,803,800 56 12,200 1,186
Waste Tire UsesTransportation Agriculture & Landscape Parks & Recreation
Curbs Lumber (decks, tables) Animal beddingGuard rails or components Mulch or bark Equestrian arena surfacesRailroad ties Rubber drains Playgrounds (loose, tiles orSound barriers Soil amendment pour in place)Traffic safety products Tree care & wells Sidewalks/ramps/curbsWheel Chocks Weed abatement coverings Sports surfacing
Miscellaneous Civil Engineering (TDA) OtherAnti fatigue mats Backfill for foundation walls Devulcanized rubber productsDie cut products Landfill leachate collection New tires w/recycled rubberMats & extruded products Levee reinforcement Retread & buffingsOffice supplies & footwear Road construction Reusable tiresResilient flooring Septic field drainage Rubberized asphalt concreteRoof shingles Vibration attenuation Tire derived fuel (TDF)
Canvassing Barriers in California
Different dynamics between northern and southern California
Geographic proximity does not mean tire and product availability
Shortage of facilities in southern California that have equipment and capacity to handle the quantity of tires that currently go to the landfills
1
Canvassing Barriers in California
Tire processors compete with facilities and landfills that charge low tipping fees
Technology and markets must be supported by supply of tires
Subsidies by other states and countries influence collection, product and disposal
2
Canvassing Barriers in California
Generators, facilities, and registered and unregistered haulers of scrap and used tires that bypass the regulated system impact pricing and market share
Overregulation penalizes the businesses that abide by regulation
Enforcement activity of the unregulated players is limited
3
Canvassing Barriers in California
Difficult for many of the businesses to balance tire flow, seasonality, markets, and money
Insufficient and sustainable markets require overcoming market barriers
4
Canvassing Barriers in California
Research and development may be cost prohibitive
Education, advertising and marketing campaigns may not be cost effective
The cost of processing, manufacturing, equipment, land, and facility expansion capabilities impact decision to build business
5
Canvassing Barriers in California Lack of industry standardizations impacts ability to
expand technology and market development
• Definitions and language
• Industry weights and measurements (being prepared by the RMA & RCC)
• Material Survey Data Sheet (MSDS)
• Testing Certification
6
Canvassing Barriers in California
Interstate transport is market driven and cannot be controlled or regulated by state or local government
Impact of tires and feedstock being imported and exported can effect the balance of markets
Industry wants confirmation of authenticity of origination using California tires in CIWMB grant process
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Canvassing Barriers in California
Rubberized Asphalt Concrete growth is limited by understanding, education, and dollars
Board to review the importance TDF plays in diverting 20% of the tire flow in California and impact if divert tires away from facilities
Storage requirements for long term civil engineering applications projects using TDA are not always feasible
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Canvassing Barriers in California
Business Issues:• Workman’s compensation• Other insurance costs• High energy costs• Low-cost overseas rivals• RCC and EPA – will these programs help or
hinder growth in tire recycling• Air quality• Transportation costs
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California Waste Tire Activity
Grants will influence amount of income to processor, manufacturer and/or supplier
Focus on expanding existing ground rubber markets
Focus on developing civil engineering projects
Support TDF markets as they will continue to grow on their own
1
California Waste Tire Activity
Place more emphasis on research and development
Grant selection options in Five Year Plan
Utilize government programs to promote recycled materials including updating web pages
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California Waste Tire Activity
Companies buying other businesses
Jump start businesses with BAP
Provide business development, technical assistance, marketing assistance and product testing and certification
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California Waste Tire Activity
Utilize resources of the RMDZ• Provide technical assistance • Assist with marketing to state agencies• Promote recycled content• Assist with site location• Link businesses with public agencies
Utilize expertise of the RCC
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Contact Information
Denise KennedyDK Enterprises
3323 Watt Avenue, Suite 298Sacramento, CA 95821
PH: (916) 480-0443FX: (916) 480-0386MB: (916) 804-0931