E-Waste Collection, Sorting and Upcycling
E-Waste Collection, Sorting and Upcycling
Business Model Description
Set up recycling plants for treating and recycling collected Waste Electrical and Electronic Equipment (WEEE), colloquially known as e-waste, and classified as hazardous waste due to the presence of substances such as mercury, cadmium, lead, hexavalent chromium, and polychlorinated biphenyls (PCBs). Recover materials within WEEE, including scarce metal resources, ferrous and non-ferrous metals, and printed circuit boards. Operate as a Producer Responsibility Organization (PRO) and an integral part of envisaged regulation on the Extended Producer Responsibility (EPR) for WEEE.
Expected Impact
Prevent dumping and burning of e-waste, promote recycling of valuable resources, and reduce environmental pollution.
How is this information gathered?
Investment opportunities with potential to contribute to sustainable development are based on country-level SDG Investor Maps.
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Country & Regions
- Mauritius: Countrywide
- Mauritius: Rivière Noire
- Mauritius: Port Louis
- Mauritius: Moka
Sector Classification
Infrastructure
Development need
Mauritius' fiscal leeway for infrastructural resilience risks falling short in addressing a multitude of climate-change related shocks (e.g., heavy rainfall, sea-level rise). Utility of country's unique marine assets and scarce water resources is menaced by inadequate industrial and domestic wastewater treatment, wide-spread water leakages and lack of storage facilities (3, 6).
Policy priority
Government of Mauritius allocated 40% of 2021/22 Budget, accounting to some USD 1.5 billion, for infrastructure development, including drainage and social housing projects, which is critical for Mauritius's objective of becoming a high-income country (HIC) (2, 47). USD 527 million financial assistance was received from the Indian government for the Metro Express project (48).
Gender inequalities and marginalization issues
In the context of Small Island Developing States (SIDS), application of circular economy principles and upgrading local infrastructure, especially in healthcare and education, are crucial for an ageing population with specialized needs and opportunities for youth and women (31, 15).
Investment opportunities introduction
For 2021-2022, MUR 2.8 billion (USD 62 million) are earmarked to infrastructure as part of the economic recovery program (2). The Government plans to invest MUR 190 billion (USD 4.3 billion) in social and economic infrastructure until 2026 (4). To stimulate private investment in infrastructure, 34 projects worth USD 1.5 billion are in the pipeline (5).
Key bottlenecks introduction
Being an island, Mauritius has limited land space, which experiences a strong competition between agricultural sector and private promoters (6), leaving little space for the development of infrastructure. Scale impedes profitable investments in circularity as waste segregation is limited and there is insufficient waste for closed loop (9).
Waste Management
Development need
Mauritius, with a population of 1.3 million, generates 1,488 tons of waste daily and 10.1 tons/person/year of e-waste, mostly being exported for treatment (5, 8, 32). Waste management is critical for government to abide by its vision for circular economy, to address overfilling of landfill and to prevent marine pollution caused by waste, including plastics (3, 33).
Policy priority
USD 17.8 million will be allocated for solid waste management by the government foreseeing 30% of waste generation increase by 2030, of which 80% will have recycling potential (2, 3). Implementing a National Solid Waste Management Strategy is envisioned, and the first composting and sorting facility will operate in Mauritius' northern or western areas by mid-2024 (12).
Gender inequalities and marginalization issues
Most employments in the subsector of waste are informal, increasing the vulnerability of people working in the sector (45). This is especially the case for women, who are disproportionately affected by exposure to dangerous goods and practices, particularly when they are working in e-waste recycling (25). People living in the vicinity of landfills also are facing health concerns (46).
Investment opportunities introduction
About 5% of municipal waste are recycled (39). The total annual cost of waste collection, transfer and disposal is about MUR 1.5 billion (USD 34 million) and is operated almost entirely by the private sector (39). There are investment opportunities for e-waste recycling (containing rare elements) and industrial symbiosis (9).
Key bottlenecks introduction
In Mauritius, an enabling environment is lacking, with no market for recycled material and coherent waste management policy and standards (9, 14). The only landfill of the island cannot process the growing waste and lacks waste segregation capacities (3, 39). Additionally, little public awareness on recycling and illegal dumping limit the recycling potential (9).
Waste Management
Pipeline Opportunity
E-Waste Collection, Sorting and Upcycling
Set up recycling plants for treating and recycling collected Waste Electrical and Electronic Equipment (WEEE), colloquially known as e-waste, and classified as hazardous waste due to the presence of substances such as mercury, cadmium, lead, hexavalent chromium, and polychlorinated biphenyls (PCBs). Recover materials within WEEE, including scarce metal resources, ferrous and non-ferrous metals, and printed circuit boards. Operate as a Producer Responsibility Organization (PRO) and an integral part of envisaged regulation on the Extended Producer Responsibility (EPR) for WEEE.
Business Case
Market Size and Environment
< USD 50 million
The potential direct gross output of recycling e-waste in Mauritius is approximately USD 8 million in 2022 and may reach USD 14 million in 2030 with GDP growth rate of 6%, according to UNDP projection (9).
In 2019, the value of the raw materials in e-waste generated in Africa is estimated to be USD 3.2 billion (20), while its worth was approximately USD 57 billion globally (19, 20).
Indicative Return
> 25%
BEM Recycling, specializing in the treatment of e-waste and active since 1992, generated a gross profit margin of 72% for the financial year ending in June 2020, generating MUR 5.2 million (USD 120,000) in revenue (41).
Investment Timeframe
Medium Term (5–10 years)
Setting up of a waste treatment/disposal facility will take 3-5 years (18) and generate return in 10 years considering the CapEx for dismantling and treating different types of e-waste, such as Cathode Ray Tubes (CRT) and Flat Panel Displays (FPD) monitors (52).
Ticket Size
< USD 500,000
Market Risks & Scale Obstacles
Capital - CapEx Intensive
Business - Supply Chain Constraints
Business - Supply Chain Constraints
Impact Case
Sustainable Development Need
Recycling of e-waste is low in Mauritius, reaching 2.2% recycling per capita in 2019 (22). During the 2019 E-Wastes Collection Campaign,11.000 units of e-waste were burnt out of 44,000 collected (10).
Mauritius often exports its e-waste for treatment, which represents a missed opportunity for wealth creation following principles of circular economy (9, 20). In 2019, 1,500 tons of e-waste were exported to South Africa for recovery (10).
Low public awareness and insufficient local treatment capacity result in improper e-waste management (3, 10, 19). A survey conducted by the University of Technology Mauritius, reveals that 86% of respondents are unaware of the harmful effects of e-waste on the environment (24).
Gender & Marginalisation
Worldwide, 12.9 million women work in the informal waste management sector (32). Additionally, they are exposed to hazardous materials that severely affect their fertility rate and put risks on their unborn children's health if the necessary precautions are not taken (25, 32).
Expected Development Outcome
Proper e-waste management reduces direct environmental harm caused by the release of hazardous substances while disposing e-waste, environmental pollution, and GHG emissions (20), contributing to Mauritius' objective to reduce waste emissions of 313 ktCO2eq by 2030 (19, 24, 26, 33).
Domestic e-waste management increases wealth originating from e-waste, in a logic of circular economy (value of e-waste's raw materials in Africa is estimated to be USD 3.2 billion) (9, 20), and saves public resources. In 2019-2020, the Government allocated USD 240,000 for e-waste exportation (23).
Gender & Marginalisation
Women empowerment will be supported by the development of e-waste collection and upcycling, since it will create employments (9). It will also formalize women employment and improve their working conditions, ensuring that the necessary precautions are provided to secure their health (20).
Primary SDGs addressed
12.5.1 National recycling rate, tons of material recycled
25% in 2013 (34). In 2019, 2.2% of e-waste were recycled per capita (26).
The government targets 50% of recycling in total by 2025 (34) and will establish a sustainable e-waste management system (11).
11.6.1 Proportion of municipal solid waste collected and managed in controlled facilities out of total municipal waste generated, by cities
10.5% (with 11.3% for rural areas and 9.5% for urban areas) in 2016 (22).
By 2030, the government aims to collect 80% of hazardous waste for treatment or export, which includes e-waste (13).
Secondary SDGs addressed
Directly impacted stakeholders
People
Gender inequality and/or marginalization
Planet
Corporates
Public sector
Indirectly impacted stakeholders
People
Planet
Corporates
Outcome Risks
E-waste contains toxic and noxious substances that may pollute the environment and be harmful to the workers' health if improperly managed (28, 30). The transportation of e-waste may also result in additional CO2 emissions (30).
Most portable consumer electronic devices contain lithium batteries that may cause fire incidents in the e-waste management chain (29).
Impact Risks
E-waste recycling facilities may not operate at the expected scale due to the low level of e-waste recycling awareness in Mauritius.
Impact Classification
What
E-waste collection, sorting and upcycling decreases environmental pollution by preventing e-waste dumping and burning, reduces exporting costs of e-waste, and provides value addition opportunities in the country.
Risk
E-waste collection, sorting and upcycling may not operate at the expected scale due to low e-waste recycling awareness in Mauritius, resulting in limited impact.
Contribution
In addition to reducing pollution, e-waste recycling contributes to resource efficiency and upcycling, complementing other treatment categories i.e. PET, plastic waste and glass waste.
Impact Thesis
Prevent dumping and burning of e-waste, promote recycling of valuable resources, and reduce environmental pollution.
Enabling Environment
Policy Environment
Maurice Ile Durable (MID), 2013: Provides necessary policies and strategies for sustainable growth in Mauritius. The document suggests the establishment of an environmentally sound manner and sustainable e-waste management system in Mauritius (3).
Government Programme 2020-2024, 2020: Focuses on the country's major strategic directions to become a high-income and green country. It urges for the introduction of a national waste management system for a cleaner and greener Mauritius (35).
Financial Environment
Financial incentives: The Government provides a tipping fee of MUR 300 (USD 7) per ton of waste taken from the transfer stations in order to be recycled by one of the 36 registered recyclers / exporters in Mauritius (39).
Fiscal incentives: In the Budget 2019-2020, it was announced that all recycling activities will be categorized as manufacturing activities, allowing them to take advantage of various fiscal and other incentive schemes (9).
Other incentives: The SUNREF program offers both financial and technical assistance for companies engagement in green economy, including e-waste management. The offered loan amount is up to MUR 200 million (USD 5.5 million) (40).
Regulatory Environment
Local Government (Registration of Recycler and Exporter) Regulations, 2013: Aims to legitimize the waste recycling sector and defines the conditions for a recycling facility's safe operation. E-waste is one of the waste categories in consideration (36).
Environment Protection Act (EPA), 2002: Provides the national structure for environmental preservation and sustainable development in Mauritius (37).
Environment Protection (Standards for Hazardous Wastes) Regulations, 2001: Defines and list hazardous wastes. The Ministry of Environment, Solid Waste Management and Climate Change is the enforcing agency for hazardous wastes under the act (38).
Regulations and legislations governing the environmentally sound management of electrical and electronic wastes are currently being drafted (39).
An Extended Producer Responsibility Regulations for electrical and electronic equipment are currently being drafted to regulate builder, supplier and consumer obligations concerning the electronic products life and end-of-life (43).
Marketplace Participants
Private Sector
BEM Enterprises Ltd., RVE Ltd., Green Impact, Green Ltd. Gran Massine, Neel Trading and Facilities Ltd., Polyeco, Sotravic, Super U, WeCycle, Atics Ltd.
Government
Ministry of Environment and Sustainable Development, Ministry of Environment, Solid Waste Management and Climate Change, Ministry of Local Government and Outer Islands, Mauritius Chamber of Commerce and Industry (MCCI).
Multilaterals
European Union (EU), United Nations Development Programme (UNDP), United Nations Environment Programme (UNEP), Global Environmental Facility (GEF).
Non-Profit
Non-Profit: Agence Française de Développement (AFD), We-Recycle Mauritius, Mission Verte Mauritius.
Target Locations
Mauritius: Countrywide
Mauritius: Rivière Noire
Mauritius: Port Louis
Mauritius: Moka
References
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