APPENDIX: EXPLANATORY INFORMATION (SI
2007/3454)
Waste Electrical and Electronic Equipment (Amendment)
Regulations 2007 (SI 2007/3454)
1. This memorandum provides information supplemental
to that provided in the Explanatory Memorandum, accompanying the
Waste Electrical and Electronic Equipment (Amendment) Regulations
2007 and responds to the Committee's request to explain how things
have worked out since July 2007. It should be read in conjunction
with the paper published by the Department for Enterprise, Business
and Regulatory Reform (BERR) to accompany the amending Regulations
(already sent by the Department to the Committee).
2. Annex 1 to that paper [printed below]
outlined the progress made in developing a robust and effective
system for the separate collection, treatment and reprocessing
of waste electrical and electronic equipment (WEEE) in the UK.
3. The paper summarised the progress made in
developing the system including the development of the Distributor
Take-back Scheme, the network of designated collection facilities
(DCFs), approval of producer compliance schemes (PCS), registration
of producers, the approval of treatment facilities and exporters,
and projections (based on quarterly data) of the level of separately
collected WEEE under the 2006 WEEE Regulations.
4. The UK WEEE system is designed to allow producers
to discharge their obligations via approved producer compliance
schemes (PCS). Part of the criteria for PCS approval is that a
scheme must have in place viable plans to collect an amount of
WEEE equivalent to the collective obligations of its members (Schedule
7 Part 4 point 4).
5. As the system calculates obligations retrospectively
(i.e. at the end of the compliance period) based on the levels
of WEEE entering the system, it is difficult for any PCS to accurately
predict the exact amount of WEEE they need to discharge their
obligations. As a result it is anticipated that some schemes will
over collect and some will under collect, particularly in the
early compliance periods. To allow this position to be rectified
BERR established a trading mechanism (The Settlement Centre) to
allow PCS to "sell" any excess evidence of collection,
treatment and reprocessing to schemes that are unable to meet
their obligations through the physical collection of WEEE - in
effect creating a new market - allowing evidence to be traded
between schemes.
6. The dynamics of this market are still developing
and it was foreseen that it would take some time to mature. However,
it is clear that some schemes will have over collected WEEE in
excess of their obligations, whilst others have deficits. The
Regulations require all PCS to work together effectively for the
benefit of the UK WEEE system and the key to success will be the
agreements reached between those with surplus evidence and those
needing to purchase this evidence to demonstrate their compliance.
We are aware that these discussions are ongoing between the various
PCS with the aim of developing agreements for the trading of excess
evidence.
Department for Business, Enterprise and Regulatory
Reform
January 2008
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