Centre plans to start e-waste audit, impose penalty as environment compensation

Manufacturers adding to India's mountains of discarded smartphones, printers and circuit boards have trouble on their way, with the national pollution monitor set to crack the whip on those shirking their recycling responsibilities.

The Central Pollution Control Board (CPCB) will audit a range of companies in the next month and a half to ensure they follow standard operating procedures and recycle electronic goods, and impose penalties on those found lacking, two government officials said.

The penalties collected as environmental compensation (EC) will be used to finance environment protection efforts, the officials cited above said on the condition of anonymity. The E-waste (Management) Rules, 2024 issued in March empower the CPCB to monitor and fine violators.

“E-waste management amendment rules have already been notified. What is new in it is that CPCB will fix the range of the EC quantity or penalty. The penalty will be different for each industry, category-wise, depending on the electronic product. For example, the penalty for consumer products will be different from that for IT equipment," one of the two officials said.

e-Waste build-up

The explosion in electronics use and ever-shorter product lifecycles have combined with insufficient recycling infrastructure and lack of public awareness, leading to a build-up of hazardous e-waste in the country. The issue gains significance in the background of leaching chemicals polluting soil, water and air, besides posing safety hazards to numerous workers who collect, sort and dispose them. The rapid accumulation of e-waste also presents challenges in resource recovery.

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“Addressing e-waste requires strengthening regulations and enforcement, enhancing infrastructure for recycling, and increasing public awareness," said Anjal Prakash, research director, Bharti Institute of Public Policy, Indian School of Business. “Implementing take-back schemes and incentivizing manufacturers to design eco-friendly products can foster a circular economy. Encouraging formal recycling sectors and technological advancements for resource recovery can also help. International collaboration for best practices and supporting research in sustainable materials can further contribute to a sustainable e-waste management system," Prakash added.

Queries emailed to the spokesperson and secretary of the Union environment ministry and the CPCB chairman remained unanswered at press time.

Third largest e-waste generator

According to environment ministry data, India was the world's third largest e-waste generator in FY22 after China and the US, generating 1.6 million tonnes (mt). Of this, nearly 33% collected, dismantled and recycled or disposed, compared to 1.3 mt in FY21.

The e-waste rules issued in March introduced extended producer responsibility (EPR) certificates, a concept already in force in Europe. This means manufacturers either have to process and recycle the electronics goods they produce, or purchase the certificates instead. The certificates are compulsory for Indian manufacturers and those who import products, and highlight their commitment to environmental sustainability and responsibility.

"Panasonic in India engages only with CPCB-registered and certified recyclers, which are validated through technical audits," said Ritu Ghosh, associate director, corporate affairs at Panasonic Life Solutions India, which makes switchgear, home appliances, and LED lights. "The new regime moves from mere collection and recycling towards measurement and reporting of metal extraction from the recycled e-waste, which can further contribute towards the circular economy. This also encourages the adoption of better technology and recycling methodologies by the recyclers. The phased approach with market dynamics are two important considerations, to promote a cost-effective sustainable waste management regime in the country."

Panasonic has a programme called Harit Umang for outreach to the youth encouraging and educating them on the importance and technical aspects of responsible disposal of e-waste to enable safe and scientific recycling, Ghosh said. This ensures e-waste goes to the right channels, negating the adverse impact on air and human health.

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The CPCB will fix the highest and lowest price for exchanging EPR certificates, which will be equal to 100% and 30% respectively of the environmental compensation for failing the EPR obligation. Under this regime, the manufacturer, producer, refurbisher and recycler must register on a portal developed by CPCB. The new provisions facilitate and nudge the informal sector to turn formal and ensure recycling in an environmentally sound manner.

Globally, 62 million tonnes of e-waste was created in 2022, and the generation is growing five times faster than documented e-waste recycling, according to the UN’s fourth Global E-waste Monitor report released in March. The report estimates a drop in the documented collection and recycling rate from 22.3% in 2022 to 20% by 2030, because of the widening difference in recycling efforts relative to the staggering growth of e-waste generation worldwide.

Doubling SCSIT waste generation

According to a United Nations Trade and Development report released last month, India grew 163% globally in generating electronic waste from screens, computers, and small IT and telecommunication equipment (SCSIT) between 2010 and 2022. The report ‘2024 Digital Economy Report: Shaping an environmentally sustainable and inclusive digital future’ noted that India doubled its share in SCSIT waste generation in the world from 3.1% in 2010 to 6.4% in 2022. The report states that developing countries in Asia generated most of such waste in 2022, with China contributing almost half of it.

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Despite new regulations, e-waste remains problematic because of inadequate infrastructure for collection and recycling, low awareness among consumers, and informal sector dominance, which engages in unsafe recycling practices. Moreover, enforcement of rules is inconsistent, and there is a lack of incentives for manufacturers to adopt sustainable practices. The rapidly increasing volume of e-waste also outpaces the development of effective recycling facilities, posing ongoing environmental and health risks, according to environmentalists.