The Future of Material Recovery Facilities 2013

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Driving Forces Behind Tomorrow’s MRFs Dynamic Development of Opportunities (both New and Old) 1

description

This presentation was prepared for the Resource Recycling 2013 Conference in Louisville in late August. It is a Point of View (POV) presented by the RRS President, JD Lindeberg and represents the collective and collaborative work of many of RRS's senior thinkers.

Transcript of The Future of Material Recovery Facilities 2013

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Driving Forces Behind Tomorrow’s MRFs

Dyn amic Dev e lopm en t o f O p po r tu n i t i e s (b o t h New an d O ld )

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Materials/Market

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Materials/Market

Processing

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Materials/Market

Processing

Infrastructure

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Emerging Trends

Materials/MarketProcessingInfrastructure

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Materials & Markets:Market vs No Market

GREENFENCE

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Materials & Markets:Regional DifferencesGlass market access varies

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Materials & Markets:Material Mix Changes

Huge Decrease

Huge Increase

Huge Increase

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Materials & Markets: Market Timing

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Dynamic and strengthening material markets.

Materials & Markets: Wrap-Up

World growth drives commodities prices.

A Gold Rush is coming. Own the waste stream.

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Single Stream vs Something Else: Few Alternatives Scale Opportunities

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Single Stream vs Something Else: Market Pushback

CONTAMINATION

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Single Stream vs Something Else: Steward pushback in CA Price/Quality dilemma

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The MRF is the central feature of recovery.

Processing: Wrap-Up

Constant pressure to increase stream size is at war with quality.

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Infrastructure: Scale vs Diversity

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Infrastructure: Economics of Transfer vs Specialization

z

Cost if material was processed

locally=

$/ton availabl

e for Haul

Transfer Station Load Cost

Destination MRF Cost+( )-

Based on operating Model for MRF size likely for each region

Based on cost curve for tonnage at each aggregation point

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Infrastructure: Infrastructure Sufficiency (Tennessee)

ECONOMIC DEVELOPMENT IMPACT PER 10,000 TONS OF ADDITIONAL DIVERSION – SINGLE STREAM

$ 1,181,250CAPITAL INVESTMENT

MARKET EFFICIENCIES

$ 1,860,200

$ 678,95068JOBS

REV

$130 million total capital

7,480 total jobs

$180 million in market activity

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Infrastructure: Infrastructure Sufficiency (USA)

90 million tons=> Landfill

900 New MRFS=> $15.3B capital

Valuable Material=> $9.0B

2nd Shift all MRFS820 New MRFs

=> $13.9B capital

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Plenty of Unmet Need.Infrastructure: Wrap-Up

Huge Economic Returns Are Available.

Lowest Hanging Fruit for GHG Reduction.

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Emerging Trends: Silver Bullet vs Sophisticated/Flexible Solutions

• Still need picture or graphic

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Emerging Trends: Dirty MRF

HANDS ON

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Emerging Trends: Energy Recovery

DIRTYFUEL?

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CLEANORGANICS

Emerging Trends: Organics

CONTAMINATIONTROUBLES

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Emerging Trends: Innovation

WHATNOW?

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Emerging Trends: Wrap-Up

Highest and best use wins.

Energy recovery is only a gateway to higher and better use.

Flexible facilities accommodate change.

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CONTACT

JD Lindeberg, President

EMAIL: [email protected]

RECYCLE.COM 734.646.3303

Thanks: Aaron, Jason, Jim, Kerry, Marty and Elizabeth