CLICK HERE to listen to Lee Harding speak on this and other topics July 17 on CKRM radio. CLICK HERE to hear Harding on John Gormley Live July 21 and the board chair from SWEEP respond.

In spite of current provincial policy, Darcy Moen continues to make a living as the biggest private electronics recycling company in Saskatchewan. His business, Regina-based Second Time Office Equipment, took a blow when the province created its electronic waste (e-waste) recycling program in 2007. What he fears, and what taxpayers should fear, is that it may soon get a lot worse.

In 2003, 16 electronics manufacturers combined to form Electronic Producers Stewardship Canada (EPSC). The belief was that if government-enforced recycling was inevitable, the industry should guide the process to suit its own interests.

Saskatchewan’s NDP government latched on to the idea. The Saskatchewan Waste Electronic Exchange Program (SWEEP) was formed in 2006. By provincial legislation, this non-profit organization was given the power to place Environmental Handling Fees (read: eco-taxes) on every computer, monitor, printer and television bought in Saskatchewan, with all the dollars going straight to SWEEP. SWEEP, in turn, would ensure that such products were recycled and stayed out of landfills.

As the largest e-recycler in Saskatchewan, Moen’s business was already recycling 60 tonnes of e-waste per month before SWEEP ever existed. Recycling was profitable enough without any government programs. Moen picked up unwanted electronics for free and refurbished what he could for resale. The rest was dismantled and the remaining gold, silver, lead, cadmium, mercury, ferrous metal and plastic was separated and recycled.

Yet, Moen’s company was shut out from SWEEP by the provincial government. Instead, SARCAN became the sole collection agency for the SWEEP program. SARCAN would have the computers dismantled, while all televisions and monitors would go to eCycle Solutions, an Alberta-based company. That company also recycles e-waste collected from other government-mandated recycling programs established in British Columbia and Alberta.

Moen’s competitive disadvantage in the current climate is made clear on the eCycle website. There eCycle admits, “Because we are government subsidized our services represent a significant cost savings for you.” Nearly $2.3 million was spent by SWEEP on collection, processing, and its environmental audit last fiscal year, almost all of which was sent to eCycle and facilities contracted out by SARCAN. Unfortunately for consumers, SWEEP collected more than twice as much ($6.2 million) in Environmental Handling Fees (read: taxes) during that time.

Even greater excesses could soon follow, to the harm of recyclers like Moen and consumers alike. By 2010, SWEEP expects to expand its application of eco-taxes. The EPSC has already identified a list of items to tax, including: copiers, palm pilots, scanners, telephones, cell phones, stereos, speakers, MP3 players, iPods and DVD players.

The worst part is that, unlike private sector recyclers such as Moen, SWEEP has had much talk but little action on refurbishing and re-using electronics. Not only is this worse for the environment, this leaves second-hand computer stores in Saskatchewan having to import products from out-of-province.

Of course, this is ideal for the EPSC who created the current program. Fewer used products means people are forced to buy new ones from EPSC member companies, who control 90 per cent of the market. In one fell swoop, the EPSC managed to divert the entire cost of eWaste onto consumers and become the de facto taxation authority for their own products.

SWEEP is an ill-conceived program launched with mixed motives that produces mixed results. E-waste may be staying out of landfills, but the re-use part of the equation remains missing. The electronics industry wins, while consumers, taxpayers and private sector recyclers lose. Unless SWEEP's approach changes, plans to expand the program should go straight to the recycling bin.