Page 5 - Policy Brief on Designing a Business Model for Sustainable Management of End-of-Life Vehicles (ELVs) in India
P. 5
TERI Policy Brief

Table 2: Comparison of ELV management system between countries

Details Taiwan China Korea Japan Canada Singapore European Union India

Government Waste Disposal Statute 307 The act for End-of-life None Vehicle quota End-of-life vehicle No law ;
Involvement/ Act law on ELV resource vehicle (voluntary) system law; EU Directive CPCB
Act: recycling of recycling law 2000/53/EC on guidelines
electronics and ELV Sep 2000;
automobiles Revised I 2005LAW

ELV age 10 years 10 years or Not specified Minimum Not specified 10+5 or 10 No longer safe At the
500,000km three years to drive or does discretion of
inspection; not comply with the last owner
once every two emission standards
years

Recycling fees Manufacturer Market driven Market driven First owner, Market driven Market driven Producer incurs the Market driven
upon purchase (collector pays (collector pays recycling cost (collector pays
paid by and importer (collector pays (collector pays the last owner) the last owner) the last owner)

when purchased the last owner) the last owner)

Operator size 303 recycling 367 recycling 226 recycling 5,000 recycling – Number varies – Largely by
operators; five operators; one operators; seven operators; 140 across member unorganized
shredding and pilot recycling shredding and shredding and countries sector
sorting plants centre sorting plants sorting plants

Effectiveness: 95% 90% 85% 85% – – 85% low
recovery rate

Source: Adapted from Ahmed, S. et.al, 2014

Saman et al (2012) illustrates (Figure 2) that a 6R
framework when applied to the automotive Industry
will yield savings both for the manufacturer and the
consumer. The authors demonstrate that an elongated
use phase of the vehicle not only delays the death of
the vehicle but allows the reuse of parts which are in
working condition (and do not create any safety issues).
Moreover on effective disposal, recyclable material
can re-enter the production territory and assessment
against the recovery target is done. In presence of failure
to meet the target, manufacturers will have to consider
redesigning of the vehicle to enable easier and efficient
dismantling, thereby enhancing the recovery rate. Easy
and simple dismantling will also enhance the recovery
of parts which could be used for remanufacturing of
vehicles. The saving of energy, labour and raw material,
retaining of value and decline in waste will bring down
the costs for the consumers.

The vehicles, parts and components during end-of-
life vehicle management, can also be used in the market
for repurposing (e.g., electric car batteries used for wind
turbine electricity storage), upcycling (e.g., designers
producing consumer goods from parts), and downcycling
(e.g., shredding and mechanical separations of parts not

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