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Transforming waste to value: Crafting a circular economy for India's burgeoning electronics sector

E-waste recycling in India may offer an important domestic supply of critical minerals, essential for the nation's needs.

Transforming e-waste to economic growth: Constructing a circular economy for India's burgeoning...
Transforming e-waste to economic growth: Constructing a circular economy for India's burgeoning electronics sector

Transforming waste to value: Crafting a circular economy for India's burgeoning electronics sector

India's electronics production has seen a significant surge, rising from US$48 billion in FY 2016-17 to US$101 billion in FY 2022-23, with mobile phone manufacturing and assembly being the primary drivers of this growth. However, this growth comes with challenges, particularly in managing the increasing volume of electronic waste (e-waste).

In 2021-22, India generated approximately 1.6 million metric tonnes of e-waste, making it the third largest producer globally. Alarmingly, only about 5% of this e-waste is recycled through formal channels, with approximately 95% being processed by the informal sector. This situation presents both environmental and health hazards, as well as supply chain integrity issues.

Recognising the urgency, the Government of India has formalised e-waste regulation through the Extended Producer Responsibility (EPR) framework under the E-Waste (Management) Rules, 2016, and its 2022 amendment. This move aims to integrate informal workers into the formal recycling system, ensuring sustainable practices and improved supply chain transparency.

To achieve this, India can adopt a multi-pronged strategy.

1. **Formal recognition and inclusion of informal workers:** Formalising the informal e-waste sector by recognising micro-entrepreneurs, ensuring fair wages, providing safety gear, and granting access to environmentally sound technologies is crucial. This will not only enhance sustainability but also improve supply chain transparency.

2. **Leveraging Extended Producer Responsibility (EPR) with informal sector integration:** The EPR framework mandates producer responsibility for waste collection and recycling. However, integrating informal actors into this system remains a challenge. Inclusion can be enhanced by registering informal collection centres and recognising their role within EPR compliance mechanisms, thus linking informal collectors to formal recyclers and producers.

3. **Public-private partnerships and infrastructure development:** Initiatives like Delhi’s upcoming e-waste eco park—a large-scale, state-supported facility with international green technology partners—demonstrate a model combining government backing with private expertise to process substantial volumes of e-waste under safe, efficient conditions aligned with circular economy principles.

4. **Technology and innovation:** Developing nationwide networks of refurbishers and recycling hubs employing cutting-edge technologies can extract maximum reusable materials, supporting longer-lasting modular device designs and reducing the need for virgin resource extraction. Informal workers should be trained and equipped to operate within such frameworks.

5. **Social enterprises and collaborative models:** Successful examples like Karo Sambhav highlight how strategic partnerships between social enterprises, the informal sector, and formal recyclers can build inclusive circular systems, improving worker livelihoods and environmental outcomes simultaneously.

6. **Policy enforcement and capacity building:** Strengthening monitoring and enforcement at central and state levels ensures compliance with environmental standards, while adapting regulations to evolving product categories and consumption patterns supports the transition towards a circular electronics supply chain.

By combining these approaches, India can transform its informal e-waste sector from a largely unregulated and hazardous practice into an integrated, sustainable component of the electronics circular economy. This will maximise material recovery, reduce electronic waste pollution, and promote equitable socio-economic benefits for informal workers within a formalised, technologically advanced framework.

Moreover, recovering materials from discarded electronics can reduce demand for virgin resources, cut emissions, and enhance material security. Achieving the E-Waste Management Rules (2022) mandate of recycling 80% of e-waste by 2028 requires integrating informal collectors into authorised recycling pathways. The government must prioritise capacity building, including training, financial assistance, and simplified registration for micro-enterprises to achieve this target.

India is projected to consume 15 billion tonnes of raw materials annually by 2030, with e-waste volumes expected to double. To meet its US$500-billion electronics production target by 2030, an estimated investment of US$150 billion is required. Integrating e-waste management strategies into this growth plan is essential for a sustainable and circular economy.

[1] https://www.thehindubusinessline.com/info-tech/itter-launches-national-e-waste-management-platform/article38731929.ece [2] https://www.dw.com/en/india-aims-to-double-its-recycling-rate-of-e-waste/a-59995928 [3] https://www.thehindu.com/sci-tech/energy-and-environment/india-s-e-waste-rules-2022-a-step-forward-or-a-step-back/article35167855.ece [4] https://www.thehindubusinessline.com/info-tech/itter-launches-national-e-waste-management-platform/article38731929.ece [5] https://www.dw.com/en/india-aims-to-double-its-recycling-rate-of-e-waste/a-59995928

  1. To ensure a sustainable transition in India's electronics industry, formalising the informal e-waste sector involves recognizing micro-entrepreneurs, providing fair wages, safety gear, and environmentally sound technologies, enhancing sustainability and supply chain transparency.
  2. The Extended Producer Responsibility (EPR) framework can be leveraged more effectively by registering informal collection centres and recognizing their role within EPR compliance mechanisms, linking informal collectors to formal recyclers and producers.
  3. Public-private partnerships and infrastructure development, such as the upcoming e-waste eco park, can provide a model for processing e-waste safely and efficiently, aligning with circular economy principles.
  4. Technological and innovative advancements, like nationwide networks of refurbishers and recycling hubs employing cutting-edge technologies, can maximize reusable material extraction, supporting longer-lasting modular device designs, and reducing the need for virgin resource extraction.
  5. Social enterprises and collaborative models, like those exemplified by Karo Sambhav, can build inclusive circular systems, enhancing worker livelihoods and environmental outcomes simultaneously.
  6. Strengthening policy enforcement and capacity building at central and state levels ensures compliance with environmental standards and supports moving towards a circular electronics supply chain, as the transition towards a sustainable and circular economy requires integrating e-waste management strategies into India's growth plan.

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