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UN unveils plastic treaty “zero draft”

  • Spanish Market: Petrochemicals
  • 05/09/23

The UN Environmental Programme (Unep) has released the "zero draft" of its legally-binding treaty to tackle plastic waste, including options to restrict virgin plastic production and mandate recycled content requirements.

The zero draft will be debated by participating states at the third session of the Intergovernmental Negotiating Committee (INC-3) in November.

It sets out a number of potential measures taking into account the range of opinions from the second INC (INC-2) session. These include proposed upstream restrictions on plastic production, which were more likely to be favoured by developing countries, and downstream measures focussed on circularity, design-for-recycling and waste management.

Many of the measures include options for targets to be decided unilaterally, or for states to be free to decide upon their own goals. At INC-2, the US, Saudi Arabia, India and China were reported by think-tank the International Institute for Sustainable Development's (IISD) to favour states having freedom to determine their own commitments while others — particularly developing countries — preferred strong global commitments.

In one example, the draft lays out three options for working towards a reduction of primary plastic production, feedstocks and pre-cursors. In the first option, states would be bound to work towards a set reduction of primary plastic supply within a certain time period, whereas the second option would give states freedom to develop their own reduction targets. A third option would see states bound to "manage and reduce" primary plastic production without a set reduction target.

In all cases the targets are still to-be-defined, although the draft recommends market and price-based measures and the removal of subsidies and other fiscal incentives as appropriate actions for states to take.

Proposed measures to set binding recycled content requirements for plastic products are likely to be particularly welcomed by the recycling industry. The draft refers to undefined "general and sectoral targets" for "minimum percentages of safe and environmentally sound post-consumer recycled plastic" in plastic products, with two options that appear to allow for unilateral and national implementation.

But the section relating to cross-border movements of plastic waste may be less welcomed within the industry. It proposes a strict series of controls to ensure the composition of the waste and the importing states' consent to manage the waste in an environmentally-sound manner, which aligns at least partly with the existing Basel Convention, but could increase the cost and complexity of waste movements. This could be seen as contrary to Unep's recommendations, published in May, that trade in plastic waste should be facilitated "to move waste to areas with surplus recycling capacity".

The draft makes no specific mention of different recycling technologies such as chemical recycling, including in its section referring to "plastics and plastic products with lower greenhouse gas (GHG) life cycle emissions" which gives bioplastics and bio-degradable plastics as the only examples. The May Unep report was supportive of chemical recycling, calling upon polymer and chemical producers to continue investing in the technology and suggesting that legislators should look at incentives to increase chemical conversion capacity for difficult-to-recycle plastics.

Other proposed measures refer to enforcing or encouraging states to enact extended producer responsibility (EPR) schemes, design-for-recycling guidelines, better waste-management practices and bans or restrictions on "problematic and avoidable" plastic products. The latter category includes cutlery, plates, carrier bags, straws and expanded polystyrene (EPS) food and beverage containers.

Environmental group Greenpeace said that the report includes the "necessary provisions" but called upon governments to "go much further and negotiate an ambitious treaty" in future discussions.


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Hong Kong unveils green maritime fuel action plan


18/11/24
18/11/24

Hong Kong unveils green maritime fuel action plan

Shanghai, 18 November (Argus) — The Hong Kong special administrative region government unveiled a green maritime fuel action plan on 15 November, aimed at making the region a top-tier centre for green fuel bunkering and reducing carbon emissions from the port of Hong Kong. According to the Action Plan on Green Maritime Fuel Bunkering, Hong Kong aims to curb carbon emissions in line with the International Maritime Organization (IMO), which targets 20% emissions reduction in international shipping by 2030 and a 70% reduction by 2040, compared with 2008 levels, before achieving net-zero emissions by or around 2050. The plan also targets to reduce carbon emissions from Hong Kong-registered ships by at least 11pc, compared with 2019 levels, and have 55pc of diesel-fuelled vessels in the government fleet switch to green maritime fuels by 2026. Hong Kong will target lower carbon emissions from the Kwai Tsing Container Terminals by 30pc, compared with 2021, and ensure that 7pc of its registered ships use green maritime fuels by 2030. Separately, the plan outlines that Hong Kong will have completed the development of the Code of Practice (CoP) on liquefied natural gas (LNG) and green methanol bunkering by 2025. The government will also invite industry expressions of interest by end-2025 for the conversion of a land parcel near the port in Tsing Yi South for green maritime fuel storage. Hong Kong is expected to achieve an annual sale of over 200,000t of green marine fuels by 2030, with over 60 LNG or green methanol bunkering services for ocean-going vessels a year, according to the plan. Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Cop: Korea’s Plagen plans Azeri green methanol plant


15/11/24
15/11/24

Cop: Korea’s Plagen plans Azeri green methanol plant

Baku, 15 November (Argus) — South Korean clean energy firm Plagen has signed an initial agreement to develop a green methanol production plant near the port of Baku, Azerbaijan. Plagen expects that the plant, which it described as Azerbaijan's first green methanol facility, will produce 10,000 t/yr of the fuel by 2028. It will use Plagen's technology, the firm said at a side event at the UN Cop 29 climate summit today. The methanol will be produced from agricultural waste and wood waste, including hazelnuts shells and almond shells, which will be sourced from Azerbaijan, Plagen chief executive officer John Kyung said. The production process yields 96t of methanol from 300t of biomass. The produced methanol will be used as bunker fuel, and contribute Baku port's goal to reach "carbon neutrality" by 2035 amid increased traffic through the Trans-Caspian International Transport Route, as ships seek alternatives to the fraught Suez Canal route. Kyung said today that the firm also has plans to produce green methanol at Indonesia's Batam to supply as bunker fuel to Singapore, the biggest bunkering port in the world. Plagen also expects 32,000 t/yr of green methanol production by 2027 at a plant in Taebaek, South Korea. This is up from 10,000 t/yr as previously planned . By Tng Yong Li Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Brazil starts US, Canada PE-dumping probe


14/11/24
14/11/24

Brazil starts US, Canada PE-dumping probe

Sao Paulo, 14 November (Argus) — Brazil's government has started an anti-dumping investigation into polyethylene (PE) produced in the US and Canada. The country's foreign trade committee Gecex launched the investigation on 13 November following allegations from the sole Brazilian PE producer, major petrochemical company Braskem, that these countries are exporting PE to Brazil at prices below what is considered fair market value. Overall imported PE prices into Brazil have been in a downward trend since July, pushing down Braskem prices in the domestic market. Gecex said it will analyze export prices and compare them with those in the domestic markets of both countries. If dumping is confirmed, corrective measures may be applied to protect the Brazilian industry. A preliminary analysis has identified significant evidence of dumping, justifying the continuation of the investigation, Gecex said. It added that there was a considerable increase in PE imports from these countries — especially from the US — during the period being investigated, which may have contributed to the decline in domestic prices and harmed the domestic producer. The preliminary analysis of dumping evidence covered 1 April 2023 to 31 March 2024. The damage analysis period extended from 1 April 2019 to 31 March 2024. The anti-dumping investigation into PE imports from the US and Canada was preceded by an increase in import taxes on a number of polymers and chemicals to 20pc from 12.6pc, including PE, polypropylene (PP) and polyvinyl chloride (PVC), effective since 15 October. Repercussions An international trader specializing in polymer imports into Brazil told Argus that if anti-dumping duties are applied, his company's PE imports from the US to Brazil could drop by 20-30pc. "The decision has a 10-month deadline to be presented, but I believe it will be implemented and possibly announced earlier," he said, adding that this is another Braskem maneuver to regain its traditional 70pc market share in the Brazilian market. If confirmed, the measure is expected to have a significant impact on the Brazilian economy, especially on the plastic products manufacturing industry, as imports of finished plastic products could rise substantially, the trader said. One US-based trader selling US and Canada PE into Brazil sees the possible application of anti-dumping measures on the products as a structural development. "We will need to source PE in different production regions such as Asia and the Middle East, developing new ways of logistics, cash flows, ways of payment, to make it work flawlessly as it currently works with North American PE," the trader told Argus . "Prices should go up and we will increase our margins on PE sales." Brazil's January-September PE production increased by 1pc to 1.7mn t from the same period in 2023, while domestic sales fell bu 2pc to 1.24mn t. In contrast, PE imports jumped by 45pc to 1.54mn t, resulting in an apparent consumption of around 2.8mn t, up by 20pc higher year-on-year and a record high. By Fred Fernandes Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Dutch PVC recycler to file for bankruptcy


14/11/24
14/11/24

Dutch PVC recycler to file for bankruptcy

London, 14 November (Argus) — Dutch PVC recycler Vinylrecycling will file for bankruptcy on 19 November after a legal battle with the Dutch government over clarifications regarding PVC waste exports. The company recycles 20,000-30,000 t/yr of PVC waste. Vinylrecycling has been in a prolonged legal battle with the Netherlands Human Environment and Transport Inspectorate (ILT) over exports to third countries including Guatemala, India and Algeria of what the ILT described as "PVC waste" but the company declared to be "raw material". The ILT then restricted exports for Vinylrecycling and fined the company. Vinylrecycling has been appealing this decision, with a judgment expected by 1 January, but the company said "some creditors no longer have the patience to wait," and the company will be filing for bankruptcy. "The Council of State is expected to issue its verdict, hopefully before January 1, but that might be too late for our company. No one will step in to take on the 20,000 to 30,000t of PVC we recycle, so I'm concerned it may all end up in a landfill," chief executive of Vinylrecycling Huib van Gulik told Argus . "Although rebuilding our company will be a complex task, we will speak with the trustee to explore whether a restart is possible or if we will contest the bankruptcy," the company added. "Vinylrecycling warmly invites potential investors, strategic partners, and other interested parties to discuss a restart and/or a contestation of the bankruptcy with us or, later, with the trustee," the company said. Vinylrecycling produces regrind, granulate and micronised powder rPVC. By George Barsted Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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