Abstract

This paper aims to explore the relationships of the performance of producer responsibility organizations (PROs) for waste oil, waste electrical and electronic equipment (WEEE), and end-of-life vehicles (ELV). The methodology consists in estimating the cointegration equations between the variables of lubricating oil production (SIG), electric and electronic equipment (EEE), and vehicle production (VP) using dynamic ordinary least squares (DOLS). Subsequently, elasticities are got based on estimates for Spain over the period 2007-2019 using quarterly data. The main results were that SIG and EEE were cointegrated variables. The elasticity of the SIG variable up to EEE was positive at 2, 4166. Additionally, the elasticity of the SIG variable up to VP was 2, 4050. However, SIG and VP are not cointegrated variables; subsequently, it was not a stable relationship between these variables. Results suggest it was because EPR was applied in WEEE PRO join with a deposit refund system (DRS); meanwhile, EPR in ELV PRO had been applied without subsidies to purchase cars.

Highlights

  • In the European Union, extended producer responsibility (EPR) means a set of measures that include accepting returned products and the waste that remains after those products have been used, and the subsequent management of the waste and financial responsibility for such activities1

  • This paper aims to explore the relationships of the performance of producer responsibility organizations (PROs) for waste oil, waste electrical and electronic equipment (WEEE), and end-of-life vehicles (ELV)

  • SIG and vehicle production (VP) are not cointegrated variables; subsequently, it was not a stable relationship between these variables. Results suggest it was because EPR was applied in WEEE PRO join with a deposit refund system (DRS); EPR in ELV PRO had been applied without subsidies to purchase cars

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Summary

Introduction

In the European Union, extended producer responsibility (EPR) means a set of measures that include accepting returned products and the waste that remains after those products have been used, and the subsequent management of the waste and financial responsibility for such activities. EPR includes organizational responsibility and responsibility to contribute to waste prevention and the reusability and recyclability of products. These obligations can be fulfilled by producers of products individually or collectively. Regarding waste oil, which in Europe applies to Directive 2008/98/EC, in Spain, Royal Decree 679/2006 on waste oils establishing EPR in managing waste oils. For this purpose, Spanish waste oil regulation set the ecological objectives of collecting 95% of the waste oils generated and valorizing 100% of the waste oils recovered in 2006 and regenerating 55% and 65% of the recovered oils in 2007 and 2008, respectively. The manufacturers of lubricants, to comply with the obligations arising from Royal Decree 679/2006, established in 2007 the Integrated Management System of Waste Oil (SIGAUS), by which the lubricant oil producers finance the management of waste oils through their contribution to SIGAUS of 0.06 euros per kilogram of the industrial oil they put on the market

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