Page 34 - Plastics News March 2017

INTERNATIoNAL NEWS

Connecticut legislation could Engie sells British shale gas interests
disrupt recycling markets, says ISRI to petrochemicals firm Ineos

he Washington, D.C.-based Institute of Scrap Recycling rench energy company Engie has sold its British
TIndustries (ISRI) has provided written testimony to Fshale gas interests to petrochemicals firm Ineos for
the Connecticut General Assembly Joint Environment an undisclosed sum. Engie was one of the first big energy
Committee opposing a new product stewardship bill, HB companies to back Britain's nascent shale gas industry
7067, that the association says “could prove harmful to when it bought parts of
the recycling industry.” The legislation would give the Dart Energy's licenses,
commissioner of the state’s Department of Energy and a company since then
Environmental Protection (DEEP) “unbridled authority taken over by IGas, in
to set up extended 2013. The deal builds
producer responsibility on Ineos' position as
(EPR) programs” for Britain's largest shale
“any object or substance gas company as it now
identified in regulations has access to a shale gas area of more than 1.2
adopted pursuant to million acres.The company, which recently moved its
this section,” says ISRI. headquarters from Switzerland back to Britain, wants

“Stewardship programs make little sense for used and to invest 1 bln pounds into shale gas which it bets on as
end-of-life materials that are resold and processed into a feedstock for its petrochemicals business. Engie, on
commodity grade feedstock that supplies a strong reuse the other hand, said its retreat from British shale gas
and recycling market across the country,” ISRI has written was in line with its strategy to focus more on energy
in testimony submitted by Gregory Mitko, president of infrastructure, like gas pipelines, and services. As
ISRI’s New England Chapter. part of the deal, Ineos is taking over Engie's entire UK
onshore exploration license portfolio, that consists of
“ISRI is concerned that [the proposed] H.B. 7067 leaves interests in 15 licenses, including seven in which Ineos
open the possibility that government could move toward had a previous participation.
product stewardship programs for recyclable materials
that have a positive value and existing market already in EPA instructs Formosa for
place,” ISRI also has written. assessment for its cracker

The bill provides statutory authority for DEEP to add
products through legislative or regulatory action without The Environmental Protection Administration (EPA) has
the need for legislation, giving DEEP unrestricted instructed Formosa Plastics Group, to conduct another
permission to add products without consulting with environmental impact assessment report for an expansion
recyclers or being aware of the market implications of plan of its sixth naphtha cracking plant, located in Yunlin
their actions, says ISRI. “It is illogical to pursue discussions County. The decision came after an EPA environmental
on product stewardship programs without first consulting impact assessment committee ruling to turn down the
the recycling industry, which is the primary authority on company's original report, saying that it failed to meet
existing recyclable markets,” ISRI continues. The business EPA requirements. According to the EPA, the latest FPG
of recycling is best understood by those entrepreneurs report failed to address how the investment plan will cut
who have made recycling possible through their own hard air and water pollution and reduce toxic substances caused
work and ingenuity.”ISRI says it has adopted an official by certain petrochemical products such as butadiene. FPG
policy regarding producer responsibility that promotes a has long been planning to expand its sixth cracker plant
competitive, market-based system that assures the free but, local environmental protection groups have raised
and fair trade of recyclable and recycled materials. concerns over the impact on the environment.

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