Greenhouse Gas Reduction and Waste Management

Chuck WhiteDirector of Regulatory Affairs -- WM WestWestern Regional Air PartnershipDenver, Colorado – July 18, 2006

What is:

• $12.5 Billion, 48 states, 55,000 employees– Decentralized organizational structure– 429 solid waste hauling operations– 366 transfer stations– 21 million customers (residential, industrial, commercial)

• 289 Active Landfills– Most with landfill gas collection/destruction– 100 landfill gas-to-energy projects

• Wheelabrator: 17 Waste to Energy Plants

• Recycle America: 138 Recycling plants

?

Waste Management = Renewable Energy

• Landfill Gas: 470 MW– 400,000 homes

• Waste-to-Energy Plants: 650 MW– 600,000 homes

• Recycling Energy Savings: 920 MW– 848,000 homes

What is: ?

Why does Corporate America Care About

Climate Change?

. . . And to “Do

the Right

Thing” – Of

Course!

Investing in Solutions

to Climate Change

• Tightening Trend: U.S. will likely follow the global trend to constrain carbon emissions

• Legislative Activity: There is a lot happening!

• Investment Opportunities: Companies selling products and services that address climate change could benefit significantly

• The Clean Dozen: . . . (+ 11 Others)

Solid Waste Management GHG Sources and Sinks

Sink

Source

Source

Sink

?Source

Sink

Landfill Carbon Flows W

aste

CollectionEfficiency

Collected Gas

CH4

CO2

Fla

reE

ner

gy

Un-collected Gas

CH4

CO2

Aerobic Oxidation

in LF Cover

FugitiveEmissions

CH4 CO2 CO2

LandfillGas

SequesteredBiogenic

Inorganic Fossil

Solid Waste

Landfill

O2

12

3

4

CO2

Recycling Energy Savings

Recycling Energy Savings Translates into Indirect GHG Reductions !!**But who gets the credit?

Who gets GHG Credit for Recycling?

Govern-ment?

Consumers?

Collectors/Processors?Manufact-

urers?

Waste Management/Recycle America – 2005 Recycling

Benefits

In 2005, we recycled 4.1 millionIn 2005, we recycled 4.1 million

tons of cardboard and paper;tons of cardboard and paper;

967,000 tons of glass;967,000 tons of glass;

229,000 tons of plastics;229,000 tons of plastics;

57,000 tons of steel cans;57,000 tons of steel cans;

and 30,000 tons of aluminum.and 30,000 tons of aluminum.

70 Million Mature Trees1.6 Billion Gallons of Oil

19.3 Billion Kw-Hrs of Electricity

18.5 Million Cubic Yards Of Landfill

Airspace 29 Billion Gallonsof Water

100 Million Gallonsof Gasoline

Avoided 3.4 MillionMetric Tons

(MTCE) of GHGEmissions

Positive GHG Messages

for Waste Industry

• Waste-Related Emissions are small, < 1-3%

• Progress to date has been Significant – 50 – 80% reduction in GHG emissions– Increased recycling rates– Landfill Gas Controls (75% 90+% capture!!!!)– Increased conversion to energy– Alternative fueled vehicles

• Landfill Sequestration? We hope so!!!• Opportunities for further Waste-to-Energy

Overall GHG Reductions for Solid Waste Management –

All Sources

1974 1980 1990 2000

52 MMTCE Avoided

70

60

50

40

30

20

10

0

1974 Technology Path

Actual Technology Path

MM

TC

E

WM’s Contributions to GHG Reduction

1. Collection and Destruction of LF Methane2. CH4 Emission Oxidation in LF cover materials3. LFGTE and WTE Plants to displace fossil fuels4. Development of LFG to LNG Technology5. Development of Bioreactor Landfill Technology6. Development of Waste-to-Energy Partnerships7. Advanced Vehicle Technology for Alt

fuels/Hybrids8. Increased Recyclable Material Recovery9. Upstream Services Waste Reduction Services10.Carbon Sequestration and LF Forestry

What is WM Doing About GHGs Now?

• Federal Reporting – DOE 1605(b)– Total Emission reductions over 10 years =

197 MMTCO2E from >200 WM LFG projects– LFG emissions:

• Landfill Cover Methane Reduction? Yes, but how much?• Credit for Landfill Sequestration? Yes, but who gets it?

– New Rules: Entity-wide US -- not project specific– Future? May not participate

• Not ready for entity-wide US reporting yet

• Voluntary GHG Reductions – CCX– 6% reduction for 2003 - 2010

What is WM Doing About GHGs Now?

• Carbon Neutrality Donations– 2002 Winter Olympics– 2004 Houston Super Bowl– 2006 Harvard Business School – Offset Match !!

• Reporting to Shareholders– Report WM Initiatives to Carbon Disclosure Project– Dow Jones Sustainability Index for 2005 & 2006– 2006 Inaugural WM Social Sustainability Report

• California Climate Action Registry– WM first SW company to join– Pending Development of SW Protocols– First CA-wide report for 2006 by Aug. 2007

Climate Climate Neutral !!Neutral !!}

In Summary . . .

It’s going to be another busy and interesting

More Emphasis on GHGs

GHGs will Drive Recycling and Waste Reduction Initiatives

Protocol for Assessing GHG Recycling Credits?

New models for LFG emissions

GHG controls will maximize capture & use of landfill gas

Credit for LF sequestration?

Waste-to-Energy Revitalized

Push for alternative fuel trash trucks & LFG to fuel

All together now:“Think Green, Think Waste Management”