AN ANALYSIS OF THE DUTCH PAPER RECYCLING SYSTEM
Roland 0. Beijdorff
Danny R. Davies
John Q. Rade.
Introduction
About five years ago a semi-governmental firm, the VAM (Wuil Afvoer
Maatschappi j) formulated plans to extend their efforts to convert
domestle waste to compost to a real recycling industry. The idea was
to instal equipment to extract secondary paper pulp from domestic
waste and sell It to paper and board industry. The Union of Old Paper
Herchants opposed strongly: abundancy of low grade secondary paper
pulp could ruin the old paper market and times were bad just after
the of crisis.
A study was started to investigate possible consequences of the VAM
plans. In the four following years a System Dynamics model was built
to show the most important mechanisms of the problem.
The Model
Demand for (new) paper, the desired recycling percentage and the
availability of puip are exogenous variables. The model describes the
quality of produced paper, upgrading capacity and upgrading and material
losses. Depending on market forecasts and old paper stock of paper
Industry old paper is ordered on the old paper market. This free market
is structuraly unbalanced by hysterisis on the supply side: schools,
churches and citizens are sensitive to increasing old paper prices
but rather Insensitive to decreasing prices. The skill and experience
of old paper merchants is needed to maintain the necessary social
contacts and to select and allocate the 200 odd types of paper to the
right paper manufacturing plants.
Supply of paper pulp from domestic waste is contra cyclic and might
Increase existing instabilities.
Conclusions
a. Increase of recycling percentage without investing in upgrading
technique and capacity Is not recommended.
2-
b. To stabilize the socially Important old paper market and to
develop experience in extracting paper pulp from domestic waste
for future use new applications should be found for this pulp -
and abundant tow grade old paper.
€. Governmental subsidies should concentrate on the supply side
of the old paper market and not on Increasing Industrial old
paper stock.
Implementation
Suggestion b. was followed In a joint between the VAM and the Union
of Old Paper Merchants. A project is started. to convert secondary
paper to fuel pellets.
Appendix
The major structure of the Dutch Paper Recycling Hodel is described
in the following diagram:
pulp
shortage
impor t«———— pulp pup price
price ‘old paper
price
+ I»
_-——* pulp desired —__recycling old paper
Dutch “pulp available recycling percentage prices
production percentage
+
demand old paper
required
pulp old paper
5 needed in domestic
+ h twaste ane
paper collecting. +
production’
experience : aeleeeton
old paper citizeas
+ old paper
competition la \
(pe old + __soting® out
destred
quality paper , “of old paper
of paper i fractions
upgrading
loss
of
fiber technology
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