How Amazon, American Airlines And Subaru Burn Waste To Make Energy

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Right next to a landfill in Northern California, just past a stack emitting methane from rotting garbage, there's an entirely different type of waste management facility that's burning trash instead of burying it. That crane picks up about seven tons of trash with each grab and it's slowly fed into the chute for combustion. This combustion is known as waste-to-energy or energy recovery because it's used to generate electricity. The intense heat converts water in 21 miles of pipes around the combustor into steam that turns a turbine. It also creates carbon and toxic ash. But unlike landfills, it doesn't emit any methane. 2,000 degrees Fahrenheit, very efficient burn, making 23 megawatts and we only use about three megawatts to operate the whole facility. Part of what's burned here is some 27,000 annual tons of waste from big companies like American Airlines, Quest Diagnostics, Sunny D and Subaru. They're part of a growing movement by companies and governments to send less to landfills. You can see there are some car seats and the like. This actually comes from an automotive manufacturer that doesn't want to send these materials to a landfill. Amazon and other retailers also use this combustion to dispose of returns they deem unfit to recycle, resell or donate. It is our absolute last resort, both economically as well as environmentally. We went to a facility run by Covanta, one of the biggest U.S. energy recovery companies to see the process firsthand and find out why big companies like Amazon and parts of Europe and Asia have embraced burning their waste while most of the U.S. keeps piling it up in landfills. With returns pouring in at record numbers, items like discarded clothes generate an estimated 5.8 billion pounds of landfill waste each year. With an estimated return rate over 20%, online purchases are more likely to be returned than those bought in-store. Yet Amazon says they send no items to landfills. We wanted to find out how that was possible. There are a number of items that we can't recover or are not recyclable, and for reasons such as legal reasons, or hygienic reasons, or even product damage. And in those cases, we do pursue energy recovery for those items. While Covanta says it doesn't handle Amazon returns, and Amazon wouldn't share who does, Covanta says about 10% of its business comes from corporate clients like Subaru, which likes to advertise it's building cars in zero-landfill plants. For us, we wanted to be zero landfill because we wanted to produce the car in a very environmentally friendly way. What's in it for us is we want to do the right thing. When a major car manufacturer like Subaru says they're zero landfill, they have done the reduce, the reuse, the recycle. And what's leftover they send to a facility like a waste-to-energy facility. It's the fastest growing part of the business because businesses are understanding sustainability. And they're understanding that one of the major elements of sustainability is waste management. It's a corporate marketing trick to say, ah, we're going to make energy from this. Well that always sounds good, right? We all need energy. And people don't realize what it means is we're actually burning it. But climate experts say the carbon-intensive process provides a net reduction of greenhouse gases for three reasons. It keeps waste out of landfills which emit far more harmful methane. 700,000 tons of metal is recovered by the process each year, reducing the need for mining. And it replaces energy that could otherwise be made by burning fossil fuels. For every ton of garbage that you burn, you save a ton of CO2 that you would otherwise create from, say, burning a fossil fuel or something. When you compare that to a landfill, every legitimate study shows that the environmental impact of a landfill is more than sending to a waste-to-energy facility. Landfills make up 17% of methane emissions and the global warming impact of methane is 86 times greater than carbon dioxide on a 20-year time frame. But the bigger problem is, why do we have so much waste in the first place? The U.S. is one of the most wasteful developed countries in the world, with some of the most trash generated per person, per day. Marco Castaldi of the City College of New York has been working in the combustion space for 20 years. We produce about four pounds per person per day. And to give you an idea of what that's like, that's, you know, your outfit that you're wearing today, instead of taking it off and putting it in the wash, you throw it away. In Europe, in Japan, the amount of waste that's generated is about half that. While it's indisputable that recycling and composting are far better, not all materials can go that route. So what do we do with the record 292 million tons of waste generated by Americans each year? More than half is landfilled, while about a third is recycled and 12% is incinerated at waste-to-energy facilities. There are approximately 70 to 80 waste-to-energy facilities compared to say 1,450 active landfills. In parts of Europe and Asia, those numbers are flipped. When you look at how much waste is actually combusted versus landfill, it's really kind of sad. Countries like Japan, Denmark and Germany rely on energy recovery far more than landfills. In the EU, waste incineration doubled from 1995 to 2019. But critics like Neil Tangri of the Global Alliance for Incinerator Alternatives argue some countries have over-added capacity for the carbon-intensive process. Denmark now realizes that it incinerates too much waste and if it is going to meet its greenhouse gas emissions targets it's going to need to reduce waste incineration. Sweden overbuilt waste incineration and now imports waste from other countries to keep its waste incinerators burning because you can't just shut them down. In the U.S., the first incinerator was built in New York in 1895 and by 1905, the city was using it to generate enough electricity to light the Williamsburg Bridge. More than half of U.S. states define waste-to-energy as a renewable energy source. And unlike landfills, many governments and NGOs consider it a source of greenhouse gas mitigation, including the Environmental Protection Agency, where Susan Thorneloe leads research on materials management. Is it better for clean electricity production to burn or bury waste, and it was hands down better to combust it because you get energy value from it, you get metals from it and you're not producing methane. To understand why many environmental scientists and more and more companies prefer combustion with energy recovery over landfill, let's take a look at how it works. In that big building is where the waste is combusted and steam is made from it. The steam then goes to a turbine that spins because of the steam, sort of like a jet engine. And that then turns the generator that makes the electricity. Paul Gilman runs sustainability efforts for all of Covanta's 40-plus facilities, which he says produce enough power for about a million homes. The Stanislaus facility was built in 1989. At this facility, we process about 270,000 tons of waste a year for the county. And that's enough to really run about 18,000 homes. This facility also recovers more than 5,000 tons of metal each year from the burned remains of the waste, like these chunks of unrefined valuable metals that will be sold and turned back into things like aluminum cans and copper pipes. You'd be amazed what people put in their garbage. It's everything from the occasional mattress, but we can go ahead and get the metal springs out and the like and recycle that, something that if it went to the landfill it'd be lost for the good. Tons of aluminum that's recovered from these facilities, tons of copper. And instead of extracting it out of the ground, okay, that's already been done. And now it's safe to use again. The steam can also be captured and used again, piped up to a mile away to heat or cool entire buildings. There's a waste-to-energy facility that's in Minnesota that uses the heat to heat the Minnesota Twins baseball field, and they run it underneath the grass to keep the grass alive in the wintertime. In Paris, 50% of the city's heating needs are met using three waste-to-energy plants. Landfills can also harness energy from the methane produced by rotting organic material, but far less efficiently. Landfill gas generates enough power for 810,000 U.S. homes per year, compared to 2.3 million homes powered by far fewer waste-to-energy facilities. We recover almost 10 times more energy from a given amount of waste than is recovered from a landfill. The EPA estimates that for every megawatt-hour of electricity generated, waste-to-energy emits an average of just over half a metric ton of carbon dioxide equivalent gases. Landfills emit six times that and coal plants emit nearly double. You don't see what people think might be soot or dark smoke because that's what the air pollution control system manages. Covanta's public data shows emissions coming out of the stack in Stanislaus are far below U.S. federal standards. That's because Covanta cleans toxins out of its smoke and combusted gases using an intense filtration process with activated carbon and limestone scrubbers before it comes out of the stack. The air pollution control systems that weren't present on old fashioned incinerators, the object of a lot of people's ire. But today this facility contributes less than 1% to the particulate matter in this county. Dioxin and mercury are some of the most dangerous emissions that concern critics like GAIA, who point to facilities like one in the Netherlands, which regulators found was emitting so much dioxin, it was contaminating grass and chicken eggs in the surrounding area. Despite the air pollution control equipments and the monitoring, there are still a lot of toxins in that smoke from particulates to heavy metals, lead, mercury, arsenic, cadmium, and you know, here in the U.S., our monitoring systems and our standards are much lower than in Europe. But other scientists say air pollution technology has come so far in the last two decades that most common toxins have largely been eliminated. Studies have been done that have shown the amount of, say, dioxin that's emitted from all waste-to-energy facilities in one year is less, is a fraction of what gets formed from forest fires. But the incineration process does still produce a lot of toxic ash. The environmental regulators require that we test our ash on a regular basis to see if we can leach out anything like a heavy metal, like mercury, or cadmium or leads. And happily, we've always passed our tests. In Europe, they separate the more toxic fly ash and use the safer bottom ash to make things like concrete for road construction. But in the U.S., the fly and bottom ash are usually mixed together, making it too toxic to be reused. So it's buried. So behind us is the ash fill that we use for all the ash that's come from this plant for the 30 years it's been in operation. It's all right there. There's probably more municipal solid waste ash that we can use. But because of the negative connotation, I just don't see that occurring. And waste-to-energy facilities, along with landfills, are infamous for being built in disproportionately poor communities. Nobody wants to live next to an incinerator, or really any waste facility. And wealthy communities and white communities generally had the political power to stop it. People ask, is it safe? And my immediate answer is yes. People asked me, would you live near one? My immediate answer is yes, I did for years before I knew anything about this industry. My town that my kids grew up in was a town that had one of these facilities. And yet, the U.S. has only 76 waste-to-energy facilities compared to 410 in Europe. The Covanta facility we visited is one of only two in California. There's a real question about why California, and why most of the U.S. for that matter, are so in love with our landfills. But it's a fact. It happens that we have a lot of land, something Europe didn't have that luxury with. It also comes down to the money. Landfills in the U.S. are big business. While waste-to-energy is a $10 billion industry, the overall waste management industry is at $208 billion. Landfill companies like Waste Management and Republic Services have outperformed the market since 2015, allowing them to keep prices down and keep business up. For a ton of garbage, how much does it cost to you know, make it go away? And if you send it to a landfill, the nominal average around the country is it's somewhere between $50 and $70 per ton. To send it to a waste-to-energy facility is somewhere between say $85 and $120. One of the reasons Europe is different is because they're imposing, basically, a tax on anything that would go to a landfill. But waste-to-energy is also a moneymaker, with the EPA estimating revenues at $20 to $30 per ton of waste. Covanta was on a big upward swing before it went private last year when a Swedish investment firm bought it for $5.3 billion. In fact, incineration is one of the most expensive commercial ways to generate energy and to handle waste. So why then are companies like Amazon burning their waste instead of burying it? If Amazon sends all of its returns to a landfill, somebody could go to the landfill and see them. And that would be a horrifying visual. And when you burn something, you hide the evidence. And in some scenarios, burning it for energy may be the better financial choice. When we think about negotiated rates, the fees could be closer and in other areas, in some cases the the waste-to-energy tip fees are reasonably competitive with landfill tip fees in part because of that restriction on landfill airspace or the lack of available places to take that. Another consideration is the carbon emissions from transporting waste. Sending it to waste-to-energy may be a 1,000-mile transport proposition. The closest waste-to-energy facility, we've got to haul it by rail halfway across the United States to get it there because you typically find most waste-to-energy facilities located in the northeast part of the United States, in Florida, in Minnesota. The reality is, both energy recovery and landfills are far less green than reducing, reusing or recycling. You're arguing for last place. We know that the important thing to do is to keep as much material and particularly organics out of the waste stream. If Amazon returns were being repackaged and sold to people at a discount instead of being disposed of, then we wouldn't have to have this question about whether it's better or worse to bury plastic or burn it. Amazon has indeed been adding programs to make sure more returns are resold as used, refurbished or liquidated and says it's working toward a goal of zero product disposal, although it wouldn't give a target date for that lofty promise. It also wouldn't share the breakdown for how many returns go to energy recovery. If you look in nature, there is no waste. Everything's used in some way. And so ideally that's the focus. That's the direction that EPA would like to go, but we're not there yet. And so how can we best manage the different materials? Until consumer behavior changes, waste-to-energy plants will continue to offer a landfill alternative for big corporations and local governments like Stanislaus County, where Covanta's most recent 15-year contract extends through 2027. Would we want to see no waste generation? Absolutely. But we're not there technologically yet. And we're not there policy wise yet. So if I can make heat out of it and use it to heat homes, or I can make electricity out of it and offset coal that's being mined, then that would be far better than that not happening at all.
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Channel: CNBC
Views: 1,048,747
Rating: undefined out of 5
Keywords: CNBC, business, news, finance stock, stock market, news channel, news station, breaking news, us news, world news, cable, cable news, finance news, money, financial news, Stock market news, stocks, ecommerce, burn waste, energy, landfill, trash
Id: pqX1D5AQFfo
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Length: 16min 28sec (988 seconds)
Published: Sat May 14 2022
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