PACKAGING COUNCIL (SECRETARIAT)

Aluminium Sector

Recovery up by 6% over previous year

Aluminium recovery has risen to 88% as a percentage of consumption driven by a continued increase in recovered beverage and aerosol cans coupled with a decline in the slim-line can market. At the current recycling rate New Zealand is one of the world’s leaders in aluminium container recycling. However, the industry does not believe this is sustainable because in our low volume market (aluminium represents less than 1% of the total packaging consumed) any change in trends can make a big impact on the resulting mass balance.

In part, the 25% drop in consumption is attributed to the significant decline in the slim-line can market for ready mixed alcoholic drinks and energy soft drinks which had emerged in the previous year’s data . The mass balance data is calculated from information supplied by the two principal can manufacturers and the scrap-metal brokers and exporters who process the recovered metal. Recovery has increased by 253 tonnes which has been helped by an increase in kerbside collections, including increased tonnage coming through commingled collections.

Production has remained steady, suggesting that exports are holding up. However increased fuel costs are now having an impact on the export market because it is more cost effective to ship cans to the islands from Australia.

Aluminium prices per tonne rallied during the year with prices up by around 23% to US$3200 per tonne, providing an even greater incentive for recycling markets. With large amounts of energy used in aluminium production,higher power costs will continue to influence pricing.

New Zealanders recycled 4153 tonnes of aluminium, worth around US$13.2 million to the economy. The recycling of aluminium is, therefore, imperative for business and consumers. It requires only 5% of the energy and produces only 5% of the CO2 emissions that primary production does and reduces the waste going to landfill. Aluminium can be recycled indefinitely because reprocessing does not damage its structure. Aluminium is also the most cost-effective packaging material to recycle.

However, experience shows that considerable effort is required to maintain recycling rates through community education and the expansion and upgrading of services. In particular, there is an inconsistent approach by councils to collection of aluminium aerosols which account for about 4% of the total aluminium packaging consumed in New Zealand. Increased kerbside collections and the new Materials Recovery Facility in Auckland will help improve household recycling rates. Public-place recycling, as reported by Central Government, will assist with recovering cans that are consumed away from home.

Aluminium Can Lifecycle

One recycled aluminium can saves enough energy to run a television for three hours

Aluminium is produced from bauxite, a clay-like ore that is rich in aluminium compounds. The alumina compound is dissolved in a molten salt at a reduction plant and a powerful electric current is run though the liquid to separate the aluminium from the oxygen.

Recycling 1kg of aluminium saves up to 6kg of bauxite, 4kg of chemical product and 14 kWh of electricity.

PACKAGING COUNCIL OF NEW ZEALAND
ACTING AS THE NZ PACKAGING ACCORD SECRETARIAT
77 Greenmount Drive, East Tamaki, Manukau
PO Box 58899, Greenmount, Auckland
PHONE: 09 271 4044, FAX: 09 271 4041