Abstract: The
“value of waste” is not a novel concept. It has been acknowledged since
the 1970s, at least in the developed world, that managing urban waste
efficiently provides value for money. Recycling is a good example of
this not just because it might generate additional revenue but also
because it avoids disposal costs and negative externalities. This paper
measures the efficiency of Portuguese recycling companies. As required
by the EU law (the Packaging Waste Directive), recycling systems must
fulfil ambitious targets regarding packaging waste, which includes
glass, paper/cardboard, plastic, metal and wood packaging (targets are
set for each material individually and for the aggregate recycling
rate). Taking into account the legal targets, companies strive to
achieve higher benefits by optimizing the recycled quantities (and the
corresponding revenue) while trying to minimize their costs. Applying
several non-parametric models to all Portuguese recycling companies, we
found significant inefficiencies in their management. The results
suggest that the lack of incentives is one of the main reasons for the
low performance of the recycling systems.
Highlights:
►
This paper measures the efficiency of Portuguese recycling systems.
► EU laws require recycling companies to fulfil ambitious recycling targets.
► Companies strive to achieve these targets and try to minimise their costs.
► We applied several non-parametric models.
► We found significant inefficiency in Portuguese recycling systems.
► EU laws require recycling companies to fulfil ambitious recycling targets.
► Companies strive to achieve these targets and try to minimise their costs.
► We applied several non-parametric models.
► We found significant inefficiency in Portuguese recycling systems.
Fig. 1. DEA efficiency scores for models 1 and 2 (output orientation).
- Fig. 2. DEA efficiency scores for models 1 and 2 (input orientation).
- by Rui Cunha Marques
, Nuno Ferreira da Cruz and Pedro Carvalho; all of the Center for Management Studies (CEG-IST), Technical University of Lisbon, Av. Rovisco Pais, 1049-001 Lisbon, Portugal
- Resources, Conservation and Recycling via Elsevier Science Direct www.ScienceDirect.com
- Volume 67, October, 2012, Pages 34–43
- Keywords: Non-parametric frontier methods; Packaging; Portugal; Recycling; Waste management
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