Modelling and developing a WEEE collection
network in the Oulu region in Finland
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Developing Social Entrepreneurship in the Field of Recycling
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Modelling and developing a WEEE collection network in the
Oulu region in Finland
Authors:
Kari Poikela, Elker Ltd
Ulla Lehtinen, University of Oulu
August 2006
1. Introduction
This study on a collection network of Waste Electrical and Electronic Equipment (WEEE) is part of
the Sytrim – project (see www.sytrim.fi; social enterprises and recycling 2005-2007) financed by
European Social Fund (ESR) Equal-programme and managed by Learning and Research Services of
the University of Oulu, Finland. The study is done in cooperation with Tervatulli Ltd
(www.tervatulli.fi), a social enterprise that is a local handling station of Elker Ltd (www.elker.fi)
and the Department of Industrial Engineering and Management at the University of Oulu. The
original research report (in Finnish) is at the homepage of Sytrim.
Retailers and other distributors of EEE have to accept WEEE from private households or indicate a
place for collection when a new equipment is bought. In Finland electrical and electronic equipment
producers and importers have formed producer co-operatives that act as coordinators of recycling
for its members. Five associations (Serty, SELT, Flip, ICT and Nera) operate in the following areas:
Flip is an association of lamp producers, Serty is an association for producers of household
appliances, SELT is for producers of lighting, heaters, surveillance and control equipment, ICT is
an association for IT and telecommunications equipment producers and Nera (Nordic Electronics
Recycling Association) is for producers of household appliances. We have studied the collection
network of three associations. This network studied is operating for Elker Ltd which is a company
established by SELT, Flip and ICT in March 2004 for the purpose of organizing the collection and
recycling of WEEE.
Because there has been overlapping between the stages of the collection process and the parties
involved in the collection network causing ineffectiveness and high costs, the SYTRIM –project
decided to include this study in its programme.
Kari Poikela carried out the study between 15.12. 2005 – 28.2.2006. First, the present stage of
WEEE collection was studied by identifying the best practices, problems, bottlenecks, volume and
waste as defined in the lean concept . The material and information flows between the actors of the
collection network were mapped out. Interviews were held with the main actors. The questionnaire
presented in appendix 1 was used in the interviews. The aim of the case study was, firstly, to
describe the present WEEE collection concept in the Oulu region. By mapping the collection
network we were able to identify the problems and overlaps. Secondly, a new, more efficient model
was introduced, and proposals for the future are made.
2. The implementation of the WEEE Directive in Finland
For the national implementation of the WEEE directive, several degrees options exist which means
different structural alternatives for the reorganisation of the treatment system are possible. In
Finland the new legislation came into force in 13.8.2005, when the collection points had also to be
set up. Pirkanmaa Regional Environment Centre was nominated as the responsible implementation
authority for Finland.
Finland’s legislation on waste provides that producers of electrical and electronic equipment shall
organise the recycling and waste disposal of waste ensuing from products that they have brought to
the markets and shall be responsible for the costs incurred. The producer must ensure that by 31
December 2006 an annual collection rate averaging at least four kilograms of waste electrical and
electronic equipment per inhabitant from private households is achieved (Government Decree on
Waste Electrical and Electronic Equipment 852/2004 ).
Furthermore, producers shall: -organize a separate collection of all waste electrical and electronic
equipment that can be collected, irrespective of whether the collection target has been achieved;
-organize the delivery of separately collected waste EEE to an authorized treatment facility unless
the appliances can be reused as a whole. Waste electrical and electronic equipment shall be
collected and stored in such a way that appliances and components thereof that are suitable for reuse
and recycling can primarily be reused or, as a secondary alternative, recycled as well as possible;
-organize the treatment of separately collected WEEE at a facility that has an environmental permit.
In making agreements with treatment facilities, producers shall give first priority to facilities that
have introduced an environmental management system certified within the European Community;
-ensure that any EEE that they put on the market after 13 August 2005 is labelled with the mark for
separate collection;
-ensure that any electrical and electronic equipment that they put on the market after 13 August is
labelled with the mark that indicate the names of the equipment producer that brought the
equipment marking must also indicate that it was put on the market after the enforcement of this
Degree;
-producers shall see to the provision of information and advice about the collection and recovery of
WEEE. In the information given, particular attention shall be paid to ensuring that users of EEE in
private households receive details about the obligation regarding separate collection, and instruction
for collection systems and facilities available;
-producers or treatment facilities acting on a producer’s behalf or another third party shall, by the
end of April each year, inform the Pirkanmaa Environment Centre annually of products introduced
to the markets and estimate the accumulated tonnage of WEEE, and the quantity of collected WEEE
and quantity in tonnes and if possible, the number of items reused, separately recycled and
otherwise recovered waste equipment;
-submit an application to the Pirkanmaa Regional Environment Centre for registration in the
producer data base and enclose information on the collection station network and agreements
related to arrangements for waste disposal;
-give sufficient security for equipment used in households to the Pirkanmaa Regional Environment
Centre, for example, recycling insurance or a blocked blank account to ensure the fulfilment of
waste disposal obligations.
The Pirkanmaa Regional Environment Centre has stated that collection points should separate
reusable equipment. The reusable equipment should be both suitable for reuse from both a financial
and technical aspect i.e. there should be markets for used equipment. There should not be any
harmful materials in those reusable equipment. The Finnish Decree also states that every consumer
should have a reasonable opportunity of returning WEEE. This means that collection should be
available in every rural municipality to some extent. One solution proposed for producers is that
they could source semi-mobile collection services. A semi-mobile collection means that a retailer or
local collection point have small collection points, which collection trucks empty on a regular basis.
The producer co-operatives source logistics services from regional operators; usually from social
enterprises or public institutions. As mentioned earlier, a private user or household can bring
products to a collection point free of charge. So far, there are about 180 collection points that are
mostly provided by the municipalities and, in some cases, private companies or social enterprises.
On the other hand, non-private users, such as industry and offices, are not allowed to return WEEE
to collection points and they are also charged. They should agree with the regional operator about
the collection or return the WEEE to sorting stations. The regional handling of WEEE includes the
sorting of EEE into re-usable and non-reusable ones. Also WEEE is divided into different product
categories. At the pre-treatment stage the reusable appliances, spare parts and those materials that
have reuse value are disassembled, stocked and delivered onwards. Figure 1, shows the main steps
of reverse supply chain of WEEE in Finland.
Figure 1. The stages of reverse supply chain of WEEE in Finland
3. The current stage of collection network in Oulu region
The current stage of the collection network was studied between 27.12.2005-26.1.2006. Six
collection points, two sorting points, and two handling stations were included in the study. The
current stage of the collection network studied is presented in Figure 2.
Collection points in rural districts
There are in total 13 collection points in the area situated within a 100 kilometre radius of Oulu.
Local municipalities maintained these points and each municipality has its own collection point.
The whole system is managed by Oulu Municipal Waste Management Company providing
containers to the collection points and taking care of transportation. At collection points the
returned equipments are put into containers or cages without any sorting. The equipment collected
by Elker Ltd is usually put into cages as per Figure 3. Only lamps are stocked separately. The
amount of WEEE brought to these collection points varies greatly; the containers are filled up from
one week to four weeks. When a container is full the personnel from the collection point orders the
transportation. It is highly recommended that the return of WEEE is documented and signed by the
user. In the collection point an acknowledgement receipt is provided (see table 2). In practice, the
documentation is often forgotten and users return their equipment without guidance.
The transportation from collection points to a sorting station situated in Oulu is done once a month
or when ordered. The main problem observed was that the cages were heavy and there was a lack of
proper equipment (forklifts etc) to handle the cages. Therefore, loading and unloading took a long
time. Additionally, the wrong handling and improper storage facilities, especially in wintertime,
easily damage returned reusable units and also open the possibility of theft. On occasions, the
workers have given away working equipment that legally belongs to the producer co-operative.
Figure 2. The present model of the WEEE collection network in Oulu region
Figure 3. Cages at a collection point
Sorting points
From the collection points, the WEEE is transported to the premises of the Municipal Waste
Management Company, which also operates as a local collection point. In the premises of the Waste
Management Company WEEE is separated for different product co-operatives. A private company
maintains the other sorting point, presented in the Figure 2.
Companies can bring fluorescent tubes to a sorting station, which they are then delivered further
with other hazardous waste. In figure 4, tubes are collected in a frame; although this is a difficult
system to handle by one person.
Figure 4. Collected tubes
Pre-treatment station
Tervatulli Ltd is a social enterprise situated in Oulu that reprocesses electrical and electronic
equipment and the materials that are generated by disassembling and sorting. Tervatulli Ltd picks
up Elker’s WEEE from sorting points in its own truck. In the pre-treatment station the WEEE is
sorted into 17 different product categories; the main categories are IT- and telecommunications
equipment (class 1 and 2) and equipment with cathode-ray tubes. The reusable equipment and
components are separated (see figure 5) The WEEE is stocked in a pre-treatment station until it is
delivered to treatments plants or disposed of. Information about the weight of numbered of cages is
sent to the Oulu Municipal Waste Management Company and Elker Ltd which pass this information
on to Pirkanmaa Environment Centre.
Figure 5. Pre-treatment in Tervatulli Ltd.
Some special features in the collecting system
The producer co-operatives and local operators are looking for the most economical practices to
organise the collection. The main challenges of WEEE collection rise from the contradictions in the
legislation and the benefits for the producers. One contradiction affecting collection is the reuse
value of EEE. For example, refrigerators have a negative value because they have few valuable
components, but high transportation costs. On the other hand, circuit boards have a positive value
because they contain many valuable materials. Thus, the transportation and handling stages of low
reuse value categories of WEEE should be minimised.
Earlier, waste and recyclable equipment were left in open containers or refuse dumps so that people
were able to pick up the waste they needed. Now it is difficult to explain why it is illegal to pick up
WEEE from containers belonging to producer’s associations. In order to avoid theft, the containers
must always be locked. The study shows that the information and guidance in collection points were
inadequate. In many cases consumers (i.e. users) are putting the returned equipment themselves into
containers which results in containers not being filled properly or equipment being left outside.
According to Elker’s instructions the user should also signed permission if he gives up working
equipment for reuse purposes.
The legislation highlights that a private consumer or household is able to leave WEEE without
charge. On the other hand, companies, industry in general, and communities have to for pay WEEE
collection. During this study, the computers brought to a pre-treatment station were randomly
checked. It was found out that many computers were stripped-down e.g. valuable components had
already been removed, which is quite common in business sectors. It seems be possible that
companies use free of charge channels and are not yet familiar with the legislation.
4. The new model
A proposal for a new model for collection network is presented in Figure 6. In this model the nonvalue added stages are removed. The main difference in the material flow is that the first sorting is
done already at the collection point from where the material goes directly to the pre-treatment
station. In addition, reusable or repairable equipment should be marked and handled differently in
sorting stations. It was evident that packages and handling systems should be designed to better fit
the different categories of WEEE. Moreover the current cages are very heavy between 400-700 kg
and more than one person is needed to lift them. For example, sorted WEEE should be kept in roller
cages instead of containers.
General guidelines for the collection process are needed. Instructions are especially needed. The
employees at sorting stations in general have low education and they need advice and education
concerning the legislation and documentation. The documentation of returned WEEE is currently
done manually. In future, a common electronic system should be introduced into all the stages of
the collection chain. A web-based system would considerable help reporting and production control
in the collection process.
Figure 6. The new model for collection network in the Oulu region
5. Further measures
It would be most cost-effective to do the sorting at the collection points. The legislation emphases
the reuse of WEEE. For clear reasons of efficiency, an examination of reuse potential should take
place as much upstream as possible, in order to send reusable appliances to adequate reuse channels
without damages. The case study shows that in the present system, incorrect handling and storage
easily damage returned equipment and also allow an opportunity for theft. In the collection points,
the personnel should always inquire from the user if the equipment works and is reusable.
Equipment should always be labelled and handled carefully. The transportation costs could be
reduced by outsourcing transportation to local carriers who are able to combine WEEE with other
freight.
The legislation demands that all the end users in the whole country shall have a reasonable to return
the disposed product. So far no decisions have been made concerning the collection policy in
Northern Finland where; for example, the distance from collection point situated in Lappish village
to a pre-treatment station could be hundreds of kilometres. Quite often users leave their equipment
at the retail store where a new appliance has been bought which caused a lot of problems for
retailers. One proposed solution is mobile collection points for WEEE. In this system collection
trucks are available at scheduled times, in identified areas of the municipality, so that citizens can
bring their discarded electrical and electronic appliances.
In order to increase the effectiveness of collection and to optimise the collection process,
cooperation and good communication between the actors of the network and between different
producer co-operatives is essential. To date, the responsibilities and roles of different parties have
been unclear which has increased the handling stages and logistics costs. Also, it is important that
different producer co-operatives could increase co-operation; by developing, for example, a
common collection system in the future.
Appendix 1.
A questionnaire for collection and sorting points
1. Describe the reception process of WEEE in your work place (process stages and operations in
practice)
2. How much WEEE is brought to collection point and is there seasonal variation?
3. How fast does the container/cage fills up in average?
4. When is the emptying of the container/cage ordered and how long have you to wait for it to be
emptied?
5. How is the emptying done?
6. Do you consider that the receiving process is operating well?
7. What problems (bottlenecks) or good points are there in the process?
8. Do you receive lamps and in what quantity?
9. What do you do with lamps?
10. How and to whom do you give reports?
11. From where have you got instructions?
12. Any suggested improvements?
13. Have you use some performance measures?
14. Haw you done any process charts of your processes?
15. What are the target, measures and follow-up practices? What instructions do you have?
16. Do you also collect WEEE for other producer associations?
• General description of the area and operations
• Special points
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