Economic instruments and the efficient recycling of batteries in Delhi and the National Capital Region of India

Abstract

Lead acid batteries generate hazardous lead waste with environmental and health implications. The deposit refund system for recycling in Delhi provides a discount to consumers on purchasing new batteries and returning used batteries to retailers for recycling. The retailers determine whether batteries are recycled in an environmentally friendly or unfriendly manner by selling them to manufacturers or to unorganized scrap dealers who then sell to unregistered smelters. This study finds that the economic instrument that brings used batteries into recycling works well. Organized recycling is limited, since retailers prefer selling used batteries to the informal sector because of higher prices, lower storage costs and taxes. In addition, we consider policy instruments like a green tax on batteries with a refund when the manufacturer ensures environment-friendly recycling and fiscal incentives to organized smelters to increase production.

Review of extended producer responsibility: A case study approach

“…The informal sector has an elaborate network of itinerant collectors (kabadiwalas) with a greater penetration and high frequency of visits to the retailers. The high price offered and frequent visits for collection of the ULABs provide incentives to retailers to sell the ULABs to the informal sector (Gupt, 2014). To deal with these issues, the amendment of the rules in 2010 requires manufacturers to sell the new batteries only to dealers registered with the SPCB/PCC, making them equally responsible along with manufacturers for non-compliance.…”

Perspectives and Challenges of Vehicle Electrification: An Academic Review

“…Exposure to the harmful effects of improper handling of lead-acid battery scrap is widespread in developing countries, where there is an illegal market for lead recycling. This illegal market and its harmful effects on the environment and public health are described in Paoliello and De Capitani (2007), Haefliger et al (2009), He et al (2009), Chen et al (2009), Trivelato and Paoliello (2009), Gupt (2014), Noguchi et al (2014), Gupt and Sahay (2015), and Daniell et al (2015). Among all the components of the lead-acid battery, lead is considered the most dangerous, because it is a potent neurotoxin that can affect the health and intellectual development of children and adults and can cause many neurological disorders (Van Der Kuijp et al, 2013).…”

Market-Based Instruments for Managing Hazardous Chemicals: A Review of the Literature and Future Research Agenda

“…Battery collection and recycling is poorly developed in both China and India [58][59][60][61]. China uses the command and control principle for lead acid batteries by only allowing recycling by certified enterprises, while no regulation is available to encourage collection and recycling of household batteries.…”

“…The system resembles the e-waste rules in India and relies on the EPR principle. Similar to the e-waste rules, it has succeeded in establishing a formal sector for recycling, but has failed to significantly shift recycling from the informal to the formal sector [58][59][60][61].…”