Plastic Waste Recycling Methodology

Version 0.1
7 October 2020

CONTENTS
1 SOURCES ................................................................................................................ 2

2 SUMMARY DESCRIPTION OF THE METHODOLOGY .......................................... 2

3 DEFINITIONS ........................................................................................................... 3

4 APPLICABILITY CONDITIONS ............................................................................... 6

4.1 This methodology is applicable under the following conditions: ................................... 6
4.2 This methodology is not applicable under the following conditions: ............................. 8

5 PROJECT BOUNDARY ........................................................................................... 9

6 BASELINE SCENARIO ......................................................................................... 10

7 DEMONSTRATION OF ADDITIONALITY ............................................................. 10

7.1 Step 1: Regulatory Surplus ......................................................................................... 11
7.2 Step 2: Project Scale and Positive List ....................................................................... 12
7.3 Step 3: Penetration Rate of Recycling Activities ......................................................... 15
7.4 Step 4: Investment and Non-Compete Analysis ......................................................... 17

8 QUANTIFICATION OF PLASTIC WASTE RECYCLING ....................................... 21

8.1 Baseline Recycling ..................................................................................................... 22
8.2 Project Recycling ........................................................................................................ 24
8.3 Eligible Plastic Waste Recycling in the Region ........................................................... 25
8.4 Net Recycled Plastic Waste ....................................................................................... 25

9 MONITORING ........................................................................................................ 26
9.1 Data and Parameters Available at Validation ............................................................. 26
9.2 Data and Parameters Monitored ................................................................................. 28
9.3 Description of the Monitoring Plan .............................................................................. 31

1
 1 1 SOURCES
2 The approaches for demonstrating the baseline and additionality have been developed based on
3 the following methodologies:

4 ● CDM tool: Combined tool to identify the baseline scenario and demonstrate additionality,
5 2017, version 07.0

6 ● CDM tool: Tool for the demonstration and assessment of additionality, 2012, version 7.0.0

7 ● CDM tool: Demonstration of additionality of small-scale project activities, 2019, version 13.0

8 ● CDM tool: Investment analysis, 2019, version 10.0

9 ● CDM methodology: AMS-III.AJ. Recovery and recycling of materials from solid wastes,
10 2018, version 07.0

11 ● CDM methodology: AMS-III-BA. Recovery and recycling of materials from E-waste, 2018,
12 version 02.0

13 ● EUCertPlast Audit Scheme (Version 4.0)

14 The following have also informed the development of this methodology:

15 ● IPCC, Chapter 3, Solid Waste Disposal - 2019 Refinement to the 2006 IPCC Guidelines for
16 Natural Greenhouse Gas Inventories.

17 ● ISO 14040:2006 (E) - Environmental management - Life cycle assessment - Principles and
18 Framework

19 ● ISO 14064-2:2006 (E) (clause 4) - Greenhouse Gases - Part 2: Specification with guidance
20 at the project level for quantification, monitoring and reporting of greenhouse gas emission
21 reductions or removal enhancements

22 ● ISO 15270:2008 (en) - Plastics - Guidelines for the recovery and recycling of plastics waste

23 ● TE-101-V1.0-2019.10.01 - Terms and Definitions for Textile Exchange Standards and

24 Related Documents

25 2 SUMMARY DESCRIPTION OF THE METHODOLOGY

Additionality and Crediting Method

Additionality Activity and project method

Crediting Baseline Project method

2
 1 This methodology provides procedures to estimate the net plastic waste 1 recycled through
2 mechanical recycling activities, including the installation of new recycling facilities, capacity
3 additions or technology improvement to existing recycling facilities, recycling of material types
4 (including packaging) that have not previously been recycled at an existing facility, and
5 incentivizing or facilitating an increase in the collection of plastic waste.

6 Recycling activities may include sorting and/or processing of plastic waste material (i.e.,
7 production of recycled material) that otherwise would have been managed in a way that would not
8 allow for a second life of the material.

9 Projects that include both collection and recycling activities shall apply this methodology in
10 conjunction with the Plastic Waste Collection Methodology to demonstrate additionality and
11 quantify the plastic waste collected and recycled by the respective activities.

12 Sections that are not applicable to projects using the Plastic Standard only to account for the
13 results of their recycling activities and not to issue Waste Recycling Credits are marked as such 2.

14 3 DEFINITIONS
15 In addition to the definitions set out in the Plastic Waste Reduction Program (Plastic Program)
16 document Plastic Program Definitions, the following definitions apply to this methodology:

17 ● Capacity addition: An investment to increase the capacity of an existing recycling facility

18 through the addition of new equipment, replacement of existing equipment, modification of
19 existing equipment and/or modification of the process

20 ● Collected material: Plastics material that has been removed from the environment or
21 recovered, separated, diverted or removed from the solid-waste stream in order to ensure
22 suitable end-of-life, such as managed landfill, recycling or incineration with energy recovery
23 (adapted from ISO 15270:2008 (en) - Plastics - Guidelines for the recovery and recycling of
24 plastics waste). This can include post-consumer and post-industrial material.

25 ● Collection area: The geographical area from which plastic waste is collected, including
26 populated areas (e.g., landfill, waste aggregation center, sorting center) or more dispersed
27 sources of waste (e.g., households, businesses). In this methodology, where plastic waste
28 is collected from a landfill, waste aggregation or sorting centers, or other geographical
29 areas outside the project boundary (i.e., imported plastic waste), the collection area should
30 include the geographical areas where the waste was originally sourced to determine the
31 population density in that area.

32 ● Contaminant: Unwanted substance or material. Contaminants may include, but are not
33 limited to, liquids, organic matter, other plastic types and materials.

1 In this document, the term plastic waste refers to all waste that includes materials under t he scope of the Plastic
Program, including composite materials (e.g., used beverage cartons).
2 In this Plastic Waste Recycling Methodology v0.1, this is Section 7.

3
 1 ● End-products: The physical goods that result from the product manufacturing process.
2 Note that final products can be made from virgin (including both fossil and bio-based) or
3 recycled material, or a combination of both.

4 ● Energy recovery: The production of useful energy through direct and controlled
5 combustion (ISO 15270:2008 (en) - Plastics - Guidelines for the recovery and recycling of
6 plastics waste)

7 ● Input: Product, material or energy flow that enters a unit process (ISO 14040:2006 (E) -
8 Environmental management - Life cycle assessment - Principles and Framework)

9 ● Managed landfill: A waste disposal site for the deposit of waste onto or into land under
10 controlled or regulated conditions (ISO 15270:2008 (en) - Plastics - Guidelines for the
11 recovery and recycling of plastics waste). Waste that is disposed of at the managed landfill
12 is unlikely to leak into the environment over time. The landfill shall:
13 o Be government recognized or affiliated;

14 o Have restrictions on access to avoid waste scavenging;

15 o Have a well-defined boundary;

16 o Include at least one of the following: cover material; mechanical compacting, or

17 leveling of the waste (IPCC, 2019);

18 o Have daily cover application (with soil or other material) to remove plastic waste
19 from the influence of the outside environment;

20 o Have a leachate drainage system (IPCC, 2019) or other reasonable measures to

21 avoid soil and water contamination;

22 o Include sanitary lining or other reasonable measures to avoid waste being placed
23 directly on the ground;

24 o Be capped when it closes;

25 o Control placement of waste (i.e., to specific areas in the landfill) (IPCC, 2019); and
26 o Have measures to avoid fires (i.e., to avoid open burning) (IPCC, 2019).

Note to Reviewers: The definition of managed landfill has been developed using
established definitions, while being sensitive to the variation in local conditions that affect
the quality of accessible landfills, to avoid excluding projects that collect plastic in more
remote areas.
27

1. Question for consideration: Is the definition of managed landfill appropriate? Should

projects have to meet all of the above requirements, or are there top requirements that
should be included in a subset of priority requirements?

4
 1

2 ● Material concentration: A stage in the recycling process that occurs after collection and
3 may include one or more of the following activities: sorting, screening, basic contaminant
4 removal and baling. Material is still unprocessed at this stage, meaning it has not been
5 physically or chemically altered beyond basic handling (e.g., screening, crushing, or
6 washing).
Note to Reviewers: We included a definition of material concentration because it
aligns closely with the intended use of ‘sorting’ under the Plastic Program, and may
help to align existing recycling terminology to the Plastic Program.

7 ● Open burning of waste3: Uncontrolled waste combustion practices, including dump fires,
8 pit burning, fires on plain soil and barrel burning. Open burning is characterized by burning
9 at low temperatures (between 250°C and 700°C) and in oxygen-deprived environments
10 leading to incomplete combustion of waste. It also refers to burning conducted in such a
11 manner that combustion air is not effectively controlled and combustion products are not
12 vented through a stack or chimney. The following burning practices are included in this
13 definition:
14 o Residential open burning: Occurs primarily due to its convenience and insufficient
15 collection systems. Domestic open burning is the indiscriminate burning of waste
16 by individuals that is never collected or is collected and dumped away from
17 dumpsites. This can occur just outside the home or in places where waste is
18 illegally dumped such as roadsides or other open public spaces.

19 o Deliberate open burning in landfills and open dumpsites: Waste in landfills and
20 open dumpsites is often burned to reduce the quantity when these sites are filled
21 beyond their capacity or have an unknown, and likely insufficient, capacity due to
22 the lack of planning involved in the establishment of open dumps.

23 o Spontaneous open burning in landfills and open dumpsites: Fires can occur
24 spontaneously and unintentionally within open dumps and landfills in large piles of
25 trash. These fires are likely caused by the lack of waste treatment, apart from
26 burning, that occurs in these disposal areas.

27 ● Output: Product, material or energy flow that leaves a unit process (ISO 14040:2006 (E) -
28 Environmental management - Life cycle assessment - Principles and Framework)

29 ● Process: Set of interrelated or interacting activities that transform inputs into outputs (ISO
30 14040:2006 (E) - Environmental management - Life cycle assessment - Principles and
31 Framework)

3R20 - Regions of Climate Action (2019). Open Burning of Waste: A Global Health Disaster. Available at:
https://regions20.org/wp-content/uploads/2016/08/OPEN-BURNING-OF-WASTE-A-GLOBAL-HEALTH-
DISASTER_R20-Research-Paper_Final_29.05.2017.pdf

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 1 ● Recyclable4: For something to be deemed recyclable, the system must be in place for it to be
2 collected, sorted, reprocessed and manufactured back into a new product or packaging — at
3 scale and economically. Recyclable here refers to mechanically recyclable.

4 ● Recycled material: Material that has been reprocessed from collected material by means
5 of a manufacturing process and made into a final product or into a component (e.g., pellets)
6 for incorporation into a product (TE-101-V1.0-2019.10.01 - Terms and Definitions for Textile
7 Exchange Standards and Related Documents)

8 ● Recycling facility: A facility where the recycling process takes place. This can include
9 waste sorting facilities that prepare plastic waste for recycling.

10 ● Region: The spatial boundary covering at least the geographical area containing the raw
11 material sources and the product markets for the project proponent, and at most the
12 maximum region surrounding the project facility having similar technological, economic,
13 environmental and regulatory circumstances. By default, the region is the entire host
14 country (generally applicable for smaller countries). If the project proponent limits the
15 applicable geographical area to a specific geographical area (e.g., province, state) within
16 the host country (generally applicable for larger countries), then it shall provide justification
17 on the essential distinction between the identified specific geographical area and rest of the
18 host country, based on the aforesaid criteria.

19 ● Unmanaged landfill: A waste disposal site that does not comply with the definition of
20 ‘managed landfill’

21 4 APPLICABILITY CONDITIONS
22 4.1 This methodology is applicable under the following conditions:
23 Project activities that result in recycled plastic waste through mechanical recycling may
24 include any of the following, or combinations of the following:

25 1) Installation of a new recycling facility;

26 2) Capacity addition or technology improvement to an existing recycling facility;

27 3) Processing material types that have not previously been recycled at the existing
28 facility; and

29 4) Incentivizing and/or facilitating an increase in the collection of plastic waste (e.g.,

30 paying price premiums to collectors, establishing collection points at landfills).

4PEW & SYSTEMIQ (2020). Breaking the Plastic Wave. Available at: https://www.pewtrusts.org/-
/media/assets/2020/07/breakingtheplasticwave_report.pdf

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 2. Question for consideration: Recycling activities that include incentivizing or facilitating an
increase in the collection of plastic waste will likely rely on the actions of collection and/or sorting
entities outside the recycling facility. How best can the Plastic Program incentivize the flow of
finance to the relevant entities outside the recycling facility?
1

Note to Reviewers: Chemical recycling is not currently included in this methodology because a
more detailed assessment is required to develop appropriate guidance for chemical recycling
activities. A new methodology may be made for chemical recycling, or this methodology may be
expanded to include chemical recycling after the launch of the Plastic Program in January 2021.
2

3 The recycling activity may include material concentration of plastic waste, processing of
4 plastic waste into recycled material (e.g., pellets) and/or manufacturing of plastic waste
5 into end-products.

6 The plastic waste being recycled is either collected or diverted from:

7 1) The environment or an unmanaged landfill;

8 2) A managed landfill;

9 3) Open burning;

10 4) Incineration with energy recovery (co-processing, gasification, pyrolysis);

11 5) Incineration without energy recovery; or

12 6) Any other waste management option that does not allow for a second life of the
13 plastic material.

14 It is possible to directly measure and record the final output of the recycling facility (i.e., the
15 weight of materials leaving the recycling facility on a dry basis) segregated by material
16 type.

17 Credible evidence such as contractual agreements, receipts of sale of recycled material or

18 third party survey results shall be provided to show that the materials supplied from the
19 mechanical recycling facility will be used for processing or manufacturing of plastic
20 products, thereby replacing the use of virgin plastic material.

21 Exceptions are made for projects that recycle composite materials that contain plastic,
22 where the following can be demonstrated:

23 1) Plastic cannot be separated out from the composite material and recycled
24 independently (e.g., lack of accessible technology to separate the layers of the
25 composite material to independently recycle the plastic component); and

26 2) The project implements a suitable application for the recycled plastic waste that will
27 degrade as little as possible and allow the material to be further recycled. This can

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 1 include demonstration of an existing supply chain for further recycling of the end-
2 product containing the recycled plastic waste.

3 In all cases, credible evidence shall be provided to show that the waste materials are not
4 used as a source of fuel and do not present a high risk of leaking into the environment at
5 any stage in the recycling process. This includes leakage during or immediately after the
6 intended use of the end-product.

7 4.2 This methodology is not applicable under the following conditions:

8 The project processes plastic waste that has been collected in and imported from other
9 countries, except in the following circumstance:

10 1) The project processes waste (using sustainable waste management practices)

11 imported from a Least Developed Country (LDC) 5 or Small Island Developing State
12 (SIDS)6, where there is a robust and transparent audit trail ensuring the end
13 destination can be demonstrated.

14 2) Projects involving import of plastic waste from other countries for further processing
15 where the appropriate quality and quantity of the material type is not available in the
16 importing country. Project proponents shall demonstrate the same through primary
17 surveys or secondary literature available in the public domain and/or certified by a
18 competent authority7.

Note to Reviewers: The objective of this applicability condition is to discourage the

export of waste from developed and developing nations (except LDCs and SIDS) and to
encourage development of local waste management infrastructure and practices.

19
3. Questions for Consideration:
a) Is this approach of excluding transboundary movement of plastic waste, unless it
entails the collection of plastic waste in LDCs or SIDS and export to other countries
(LDC, SIDS or otherwise) for further processing, appropriate?
b) Should the import of materials be limited to semi-processed waste when the material
type is not available in the importing country?

20

5 United Nations Conference on Trade and Development (n.d.). UN list of Least Developed Countries. Available
at: https://unctad.org/en/Pages/ALDC/Least%20Developed%20Countries/UN-list-of-Least-Developed-
Countries.aspx
6 United Nations (n.d.). List of SIDS. Available at: https://www.un.org/ohrlls/content/list-sids
7 A competent authority denotes an entity that has been authorized by the concerned regulatory body or

overseeing local or national government body/department/ministry or an internationally recognized organizat ion to

execute and/or certify the task in question. The same is subject to verification by the project auditor.

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 1 Projects or facilities that include chemical recycling and/or energy recovery (e.g., thermal
2 and/or electric energy generation). This methodology is intended for recycling facilities that
3 operate mechanical recycling only.

Note to Reviewers: Our rationale is that there may be challenges to ensure that
recycling facilities that include both mechanical and chemical recycling (and/or energy
recovery) do not use the income from plastic credits (from mechanical recycling activities)
for chemical recycling (and/or energy recovery). For example, the sorting process could
be used by more than one activity, so it is not easy to distinguish the financial investment
at the additionality level.

Allowing recycling facilities with only mechanical recycling will reduce the burden of
demonstration on the project and the cost of auditing to check the flow of credit finance.

4
5 Projects that use waste plastic material for applications that have a high risk of leaking into
6 the environment during any stage of the recycling process, including during and after the
7 intended use of the end-product, or are harder to mechanically recycle as a result of their
8 application. This includes the use of plastic waste material for the purpose of road
9 construction as this does not allow for a second life of the recycled plastic material and the
10 other materials used.

4. Questions for Consideration:

a) Is the exclusion above sufficient to avoid recycled materials being used in applications
that have a high risk of leakage into the environment?
b) Are there any other materials or applications that should be explicitly excluded or
additional risks that should be addressed in this methodology?
c) Should the methodology include guidance on how to determine whether the material
application represents a ‘high-risk’ of leaking into the environment?

11 5 PROJECT BOUNDARY
12 The spatial extent of the project boundary encompasses:

13 ● The facility where plastic materials are mechanically recycled; up to the stage where
14 recycled materials are produced; and

15 ● The sorting facility, if separate from the recycling facility

16

17

18

19

9
 1 Figure 1: Spatial boundary of the project activity

3 6 BASELINE SCENARIO
4 The baseline scenario is that plastic waste would remain in the environment or other waste
5 streams without the plastic waste recycling activity. The methodology uses a project method to
6 determine the crediting baseline as outlined in Section 8.1.

7 7 DEMONSTRATION OF ADDITIONALITY
8 Project activities shall apply the stepwise approach to demonstrate additionality as shown in
9 Figure 2 and in accordance with the guidance in this section.

10 Note – The requirements in this section do not apply to projects that intend to use the Plastic
11 Standard solely for accounting purposes and not to issue Waste Recycling Credits.

12

13

14

15

16

10
 1 Figure 2: Decision-tree for demonstrating additionality

3 7.1 Step 1: Regulatory Surplus

4 The project proponent shall demonstrate that the project activity proactively exceeds the current
5 regulations or the regulatory compliance scenario and initiates a new recycling activity, or expands
6 an existing one, without being registered as a project activity under the Plastic Program. The
7 project proponent shall determine whether the applicable laws and regulations are enforced and
8 determine the compliance rate for those that are. The project proponent may demonstrate
9 widespread non-compliance in the project region by showing that the existing compliance rate is
10 less than 50 percent, and thus the project activity meets the regulatory surplus requirement.

11 Compliance with a law or regulation in a given region shall be measured by the total number of
12 relevant entities in the region complying with the law or regulation divided by the total number of
11
 1 relevant entities in the region to whom the law or regulation applies. For example, if two out of 20
2 mechanical recycling facilities in a state are in compliance with an applicable plastic waste
3 recycling regulation, then the compliance rate is 10 percent. The compliance rate may be
4 determined based on primary surveys or from secondary literature published and/or certified by a
5 competent authority.

6 The assessment shall include a list of all extended producer responsibility (EPR) and related
7 voluntary schemes relevant to the project activity and material type(s) in the applicable region. The
8 existence of relevant EPR and related voluntary schemes shall not be used to indicate an existing
9 legal requirement for the project activity unless the specific EPR scheme is required by law.
Outcome Step 1:

Outcome 1: There are no laws or regulations that enforce recycling of the relevant material
type(s) in the relevant country or region. Proceed to Step 2.

Outcome 2: There are legal and/or regulatory requirements for recycling of the relevant material
type(s) but they are not systematically enforced and noncompliance is widespread. Proceed to
Step 2.

Outcome 3: Recycling of some or all of the relevant material type(s) is enforced by law or
regulation. Recycling of these relevant material type(s) is not additional.

10
5. Question for Consideration: We note that there are many EPR schemes emerging globally
around plastic consumption, collection and recycling. Should EPR schemes be included as part
of the regulatory surplus assessment? If so, is the guidance provided sufficient to avoid
confusion of how EPR schemes should be treated when undertaking the regulatory surplus
assessment?

11 7.2 Step 2: Project Scale and Positive List

12 Step 2a: Determination of project scale

13 Determine the total installed capacity of the recycling facility, including all relevant material types
14 that will be recycled under ideal conditions given by the manufacturer’s equipment specifications.
15 If the recycling capacity depends on the mix of different material types, the highest possible
16 capacity shall be used as a conservative approach.

12
 Outcome Step 2a:

Outcome 1: If the total installed capacity is less than or equal to 150 tonnes per year, proceed to
Step 2b.

Outcome 2: If the total installed capacity is greater than 150 tonnes per year, proceed to Step 3.

1
Note to Reviewers: The proposed threshold was determined based on a rapid financial
assessment to identify the lowest capacity (tonnes of plastic per year) at which a project can
operate and recover the costs of project certification through Plastic Credits and at the same
time also generate some revenues for the project proponent. This financial assessment
considered the following costs and assumptions:
● The costs of project development for project registration and credit issuance (i.e.,
preparation of project documents for registration and issuance) under the Plastic Program.

● Registration and issuance fees under the Plastic Program (Note: The Plastic Program Fee
Schedule is under review and will be published in January 2021. In the interim we have used
the VCS Program Fee Schedule as recommended by Verra).

● Third-party audit fees for validation and verification of the project.

● A project operating under this threshold does not generate enough revenues to account for
all transaction costs involved for the project proponent. Therefore, efforts should be made to
reduce the cost burden on small-scale projects.

● Project development costs are assumed to be 33% lower for projects under the 150 tonne
per year threshold assuming simplified modalities and procedures for small-scale projects.

6. Question for Consideration: The intent of this threshold is to reduce the burden of
demonstrating additionality on small-scale projects that are likely to face higher financial
burdens than larger-scale projects who would be required to undertake in-depth financial
assessment. Does a threshold of 150 tonnes per year to distinguish between projects that may
have a streamlined process to demonstrate additionality seem reasonable?

3 Step 2b: Identify material types that are on the positive list for facilities with a total
4 installed capacity less than or equal to 150 tonnes/yr

5 The project proponent may skip Step 2b and directly proceed to Step 3 or Step 4, if the relevant
6 material type does not appear on the positive list.

7 For facilities with a total installed capacity that is less than or equal to 150 tonnes per year, the
8 material type(s) recycled by the project shall be assessed using Table 1 based on the country’s

13
 1 income level (HI: high income; UMI: upper and middle income; LMI: lower and middle income; LI:
2 low income8) and population density or cleanup, where the project is based.

3 The material types shall be defined within one of the following categories:

4 1) Rigid PET and HDPE (e.g., water bottles, cleaning product bottles, milk bottles, shampoo
5 bottles, trays, reusable shipping containers, buckets, jars);
6 2) Rigid mono-material (except PET and HDPE) (e.g., plastic bottles, pots, canisters, cups,
7 containers, trays, food service disposables, B2B packaging, household goods);
8 3) Flexible mono-material (e.g., films, carrier bags, pouches, pallet shrouds, B2B films); or
9 4) Composite materials (both rigid and flexible) (e.g., sachets, foils, envelopes, diapers, liquid
10 board packaging such as used beverage cartons)

11 Table 1: Positive list based on material type, population density or cleanup, and income leve l

Urban Rural Cleanup

population density of population density of plastic is being cleaned
>400 inhabitants/km 2 in <400 inhabitants/km 2 in the up after it has leaked into
the collection area of the collection area of the project the environment
project activity activity

HI - - all material categories

UMI - all material categories all material categories

except rigid PET and HDPE

LMI all material categories all material categories all material categories
except rigid PET and
HDPE

LI all material categories all material categories all material categories

12
Note to Reviewers: It is very difficult to get accurate data on which this table can be based. We
tried to come up with a conservative approach which should allow projects in low-income and
lower middle income countries to use a simple demonstration of additionality. The table will
undergo expert review. In particular, we are looking for project examples that would be deemed
additional according to the matrix but should not be deemed as additional in practice.

8World Bank (2019). Classifying Countries by Income. Available at: http://datatopics.worldbank.org/world-

development-indicators/stories/the-classification-of-countries-by-income.html

14
 The selected population density values in the table are aligned with the urban/rural definition of
most countries. We note that there may be cases where a project is sourcing plastic from a low
population density area that is near a densely populated area. However, we anticipate that such
cases will be uncommon and that the cost of collection from areas with low population density
would still be high.
The categories proposed for material type in the positive list are based on the PEW report
Breaking the Plastic Wave (2020), the Greenpace Circular Claims Fall Flat report (2020) and the
Ellen MacArthur Foundation New Plastics Economy Report (2017). These categories have been
chosen because they have a relatively higher likelihood of being recycled than other material
types. This categorization is less burdensome than alternative categorizations such as by market
value, and takes into consideration the fact that even most types of rigid mono-material plastics
are currently not widely recycled.

1
7. Questions for Consideration:
a) Are the proposals in the positive list reasonable?
b) Are the proposed plastic waste categories in the positive list table appropriate? Can this
information be easily obtained by a project?
c) Do you have suggestions of data sources that we should use to determine/validate the
categories in the positive list?

2
Outcome Step 2b

Outcome 1: The material type is listed in the positive list under the project’s income and
population density circumstances. In this case the recycling of this material type is additional.

Outcome 2: The material type is not listed in the positive list under the project’s income and
population density circumstances. Proceed to either Step 3 (penetration rate) or Step 4
(investment analysis) based on relevance for the project.

3 7.3 Step 3: Penetration Rate of Recycling Activities

4 The project proponent may skip Step 3 and proceed directly to Step 4 if Step 3 is not relevant for
5 the project.

6 The project proponent shall assess the penetration rate of the project activity in the relevant
7 geographical region. The penetration rate (percent) is given as the ratio between the total installed
8 recycling capacity in the geographical region (tonnes/yr) and the plastic waste production
9 (tonnes/yr). If this penetration rate is below 10 percent, the project activity including all material
10 types recycled is additional.

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 1 Any data or studies used in this Step 3 to determine either value shall be no more than three years
2 old for activities with a total installed capacity less than or equal to 150 tonnes/yr or one year for
3 activities with a total installed capacity greater than 150 tonnes/yr prior to the time of the
4 validation.

5
6 The relevant geographical region that the values are being determined for shall be the
7 same as the collection area of the project activity.

8 The total plastic waste generation, P (tonnes/yr), in the geographical region shall be
9 determined by one of the following options:

10 1) Publicly available information (e.g., government data, local authorities, third-party

11 studies); or

12 2) Based on population size in the geographical region and plastic waste generation rates
13 (kg/yr per capita). Where there is no publicly available data on plastic waste generation
14 rates, default values included in Table 2 may be applied.

15 Table 2: Default values for plastic waste generation rates (kg/yr per capita) 9

Urban Rural

HI 76 76

UMI 31 21

LMI 21 11

LI 18 9

16

8. Question for Consideration: Our approach is based on penetration rate for all
material types. We used the recently published report Breaking the Plastic Wave
(PEW & Systemiq (2020), Evaluating scenarios toward zero plastic pollution) to
determine the default values for recycling. Although we acknowledge that waste
generation and recycling rates may differ between material types, there is a lack of
publicly available data to make informed calculations per material type. Is the source
provided above suitable evidence for the default values? Are there other data
sources that you think we should use to determine these values?

17 Where significant plastic waste stocks from other sources (e.g., landfills) are available
18 for recycling, these amounts can be included in P proportional to the first crediting
19 period of the project (i.e., by dividing the total recoverable amount in the crediting

9PEW & Systemiq (2020). Evaluating Scenarios Towards Zero Plastic Pollution. Available at:
https://science.sciencemag.org/content/sci/suppl/2020/07/22/science.aba9475.DC1/aba9475-Lau-SM.pdf

16
 1 period by the number of years of the first crediting period). Evidence such as
2 inventories from the landfill operator or third-party studies shall be provided and
3 conservative assumptions shall be made.

4 Determine the total installed recycling capacity, C (tonnes/yr), of all legally recognized
5 recycling facilities in the geographical region based on data from local authorities or
6 independent market research, excluding other plastic recycling project activities
7 undergoing validation or that are already registered under the Plastic Program. In case
8 such data is not available, the project proponent shall demonstrate in a credible way how
9 this capacity is determined.

10 Only plastic wastes that can be realistically collected and recycled shall be accounted for.
11 Where a project activity includes a specific material type for which reliable publicly
12 available information indicates that the penetration rate for the material type is higher than
13 the overall penetration rate, the calculation shall focus on this material type only.

14 Determine the penetration rate, PR (percent), as the ratio between the total installed
𝐶
15 recycling capacity and the total plastic waste generation: 𝑃𝑅 = 𝑃

Outcome Step 3:

Outcome 1: If the project activity has a PR ≤ 10% the project activity is additional.

Outcome 2: For any other outcome proceed to Step 4.

16 7.4 Step 4: Investment and Non-Compete Analysis

17 The objective of this step is to demonstrate that the project activity is not economically or
18 financially attractive without the revenue from the sale of Plastic Credits (Step 4a). Further, it shall
19 be demonstrated that the project activity does not compete with other existing recycling activities
20 and that it leads to a net increase of recycled plastic waste in the region.

21 Step 4 only needs to be applied if the project’s additionality has not been demonstrated in Step 2
22 or Step 3.

23 Step 4a: Investment Analysis

24 Please note that the latest approved version of the “Methodological tool: Investment analysis”,
25 available on the UNFCCC website, shall be used when applying this step.

26 The project proponent can choose between a unit price comparison analysis (Option 1) and a
27 benchmark analysis (Option 2). For projects recycling composite materials, the project proponent
28 can only use a benchmark analysis (Option 2) for the recycling of the composite materials.

17
 1 Option 1: Apply unit price comparison analysis

2 Determine the unit price of the recycled plastic per material type in the project activity. The unit
3 price shall be the levelized cost of recycling per material type ($/kg) plus 10 percent. The market
4 price of virgin plastic for each type in the country or relevant region shall be determined by one of
5 the following:

6 1) Publicly available information;

7 2) Independent market research; or
8 3) The lowest value of three different providers of virgin plastic in the country or relevant
9 region.

10 To account for market volatility in oil prices, the average price of virgin plastic material over the
11 three-year period immediately prior to the time of decision making of the project activity shall be
12 used to determine the levelized cost of recycling.
9. Question for Consideration: Is the levelized cost of recycling per material type the
appropriate unit price? Is it reasonable to compare the unit price against the price of virgin
plastic for the same material type?

13
Outcome Step 4a - Option 1:

Outcome 1: If the unit price of the recycled plastic for a given material type is above the market
price of virgin plastic, the project activity is additional. Proceed to Step 4b.

Outcome 2: If the unit price of the recycled plastic for a given material type is below the market
price of virgin plastic, the project activity is not additional.

14 Option 2: Apply benchmark analysis

15 The benchmark analysis is based on the CDM tool “Tool for the demonstration and assessment of
16 additionality” with minor adjustments, as given in the following:
17 The IRR of the project activity shall be used as the financial indicator.

18 The financial analysis shall be based on parameters that are standard in the market and
19 not linked to the subjective profitability expectation or risk profile of a particular project
20 proponent.

21 All relevant costs (e.g., investment, operational and maintenance costs) and revenues
22 (excluding revenues from plastic credits, but possibly including, for example, subsidies or
23 other fiscal incentives, where applicable) shall be included.

24 Benchmarks shall be derived from one of the following options:

18
 1 1) Government bond rates, increased by a suitable risk premium to reflect private
2 investment and/or the project type, as substantiated by an independent (financial)
3 expert or documented by official publicly available financial data;

4 2) Estimates of the cost of financing and required return on capital (e.g., commercial
5 lending rates and guarantees required for the recycling activity), based on bankers
6 views and private equity investors/funds’ required return on comparable projects;

7 3) Government/official approved benchmark where such benchmarks are used for

8 investment decisions; or

9 4) Any other indicators, if the project participants can demonstrate that the above
10 options are not applicable and their indicator is appropriately justified.

11 The investment analysis shall be provided in a transparent manner and include all relevant
12 assumptions, preferably in the project description, or in a separate annex to the project
13 description, so that a reader can reproduce the analysis and obtain the same results. The
14 analysis shall refer to all critical techno-economic parameters and assumptions (e.g.,
15 capital costs, sales prices of the relevant material type(s), lifetimes) and justify and/or cite
16 assumptions in a manner that can be validated by the auditing body.

17 A clear comparison of the financial indicator for the proposed project activity and financial
18 benchmark shall be presented in the project description submitted for validation. If the
19 project activity has a less favorable indicator (i.e., lower IRR) than the benchmark, then the
20 project activity cannot be considered as financially attractive.

21 Where project activities include recycling of both PET and other plastic materials, the IRR
22 of the following two scenarios shall be determined and assessed under the benchmark
23 analysis:

24 1) Scenario 1: Recycling of all plastic wastes as under the proposed project activity:
25 The IRR of the proposed project activity shall be determined, including both PET
26 and the other material types that will be recycled.
27
28 2) Scenario 2: Recycling of PET only (alternative scenario)
29 An alternative scenario to the project activity shall be established to assess if
30 recycling of PET is financially attractive. This alternative scenario consists of the
31 recycling of PET only, without including any other materials. The following guidance
32 shall be followed to establish this scenario and determine its IRR:
33 a) The amount of PET that would be recycled under this alternative scenario
34 shall be reasonably established by taking into account PET availability in
35 the region, financial capacity of the project proponent and market demand
36 for recycled PET, among other relevant factors. For simplicity, it may be
37 assumed that the amount of PET recycled under this alternative scenario
38 would be equal to the amount of PET recycled by the project activity. The

19
 1 investment costs, costs for acquisition of plastic waste (e.g., purchase costs
2 or costs for collection), general O&M costs and any other relevant costs
3 (e.g., insurance policies, sales costs) shall be determined for this alternative
4 scenario based on the amount of PET established under Scenario 1.

5 b) The revenues from recycled PET shall be estimated in accordance with the
6 amount of PET recycled as per Scenario 1.

7 Further, it is mandatory to apply the most recent version of the CDM tool “Investment analysis”10
8 for the investment analysis in conjunction with the guidance above.
9
10 A sensitivity analysis shall be included that shows whether the conclusion regarding the financial
11 attractiveness is robust to reasonable variations in the critical assumptions. The investment
12 analysis provides a valid argument in favor of additionality only if it consistently supports (for a
13 realistic range of assumptions) the conclusion that the project activity is unlikely to be financially
14 attractive.
15
10. Question for Consideration: Are the two options provided for the investment analysis
appropriate?

16

Outcome Step 4a - Option 2:

Outcome 1: If the IRR of Scenario 1 (i.e., project activity) AND the IRR of Scenario 2 (i.e., PET
only) are below the benchmark in all realistic scenarios of the sensitivity analysis, the project
activity is additional. Proceed to Step 4b.

Outcome 2: If the IRR of Scenario 1 is below the benchmark in all realistic scenarios of the
sensitivity analysis and the IRR of Scenario 2 is above the benchmark in at least one of the
realistic scenarios of the sensitivity analysis, the recycling of PET in the project activity is not
additional, and the recycling of other material types is additional. In this case, crediting will only
be possible for the material types other than PET in the project activity. Proceed to Step 4b.

Outcome 3: If the IRR of the project activity is above the benchmark in at least one of the
realistic scenarios included in the sensitivity analysis of Scenario 1, the project activity is not
additional.

17 Step 4b: Non-Compete Analysis

18 The project proponents shall demonstrate that the project activity does not compete with
19 other recycling activities and leads to a net increase of the recycling rate of the material

10
CDM (n.d.). Investment Analysis. Available at: https://cdm.unfccc.int/methodologies/PAmethodologies/tools/am-
tool-27-v1.pdf/history_view

20
 1 types that were determined to be additional under Step 4a in the applicable geographical
2 region (as defined in Step 3), including the following proofs at a minimum:

3 1) Proof 1: Project activity does not divert plastic waste from any historically existing
4 legally recognized recycling activity, deliberately create plastic waste for the
5 purpose of recycling, or switch an existing source of plastic waste to an area within
6 the project boundary, even if this plastic waste was not previously recycled, without
7 an increase in capacity; and

8 2) Proof 2: The total installed recycling capacity in the relevant geographical region,
9 including (i) other project activities undergoing validation and that have already
10 been registered under the Plastic Program; and (ii) the recycling capacity of the
11 project activity, shall not exceed 100% of the total plastic waste available (as
12 determined in Step 3).

Outcome Step 4b:

Outcome 1: If the project does not lead to any diversion of plastic waste recycling (Proof 1) and
does not exceed 100% of the total plastic waste available (Proof 2), the project activity is
additional.

Outcome 2: For any other cases, the project activity is not additional.

13
11. Question for Consideration: Is the approach to overcome data deficiencies by allowing
assessments based on different categorizations within the decision-tree reasonable? For
example:
- Step 1 requires assessment based on the entire project activity
- Step 2 requires assessment based on total project recycling capacity and specific
material categorization (e.g., material type, waste valuation, material application)
- Step 3 requires assessment based on total regional recycling capacity and total waste
generation in the relevant geographical region
- Step 4 requires assessment based on plastic type OR total project recycling activity

14

15 8 QUANTIFICATION OF PLASTIC WASTE RECYCLING

16 Projects shall use the equations below to calculate the amount of plastic waste recycled at
17 baseline and the amount of plastic waste recycled by the project activity that would not have been
18 recycled otherwise. Projects that increase the total installed material recycling capacity are
19 considered as capacity additions.

21
 1 8.1 Baseline Recycling

2 Baseline recycled plastic waste is the amount of plastic waste that would have been recycled in
3 the absence of the project activity, determined as follows:

𝐵𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = ∑ 𝑃𝑟𝑒𝑐𝑦𝑐,𝑖,𝑦 × %𝑆𝐵𝑟𝑒𝑐𝑦𝑐,𝑖

(Equation 1)
𝑖

4 Where:

5 𝐵𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = Baseline recycled plastic waste in year y (tonnes)

6 𝑃𝑟𝑒𝑐𝑦𝑐,𝑖,𝑦 = Amount of material type i recycled by the project activity in year y (tonnes)

7 %𝑆𝐵𝑟𝑒𝑐𝑦𝑐,𝑖 = Share of baseline recycled plastic by material type i (%). This is the
8 percentage of plastic waste recycled by the project activity that would also have been
9 recycled in the baseline scenario in year y.

10 The amount of material type i recycled by the project activity in year y is determined as
11 follows:

𝑃𝑟𝑒𝑐𝑦𝑐,𝑖,𝑦 = (𝑃𝑜𝑢𝑡,𝑖,𝑦 + 𝑃𝑝𝑟𝑜𝑑,𝑖,𝑦 ) × 𝐴𝐹𝐶𝑖 (Equation 2)

12 Where:

13 𝑃𝑜𝑢𝑡,𝑖,𝑦 = Amount of recycled material type i leaving the facility in year y (tonnes)

14 𝑃𝑝𝑟𝑜𝑑,𝑖,𝑦 = Amount of recycled material type i used for onsite manufacturing of

15 products in year y within the recycling facility (tonnes)

16 𝐴𝐹𝐶𝑖 = Adjustment factor for composite material i (%). For non-composite

17 materials, this factor is equal to 1.

18 Adjustment factor for composite materials

19 Project activities that recycle composite materials may only issue Plastic Credits on the
20 portion of plastic within the composite material. The amount of plastic waste recycled shall
21 be determined by one of the following options:

22 1) Option A: Apply the default factors listed in Table 3 that correspond to the
23 composite materials recycled.

22
 1 Table 3: Default values for plastic waste fraction of composite materials

Composite application Plastic fraction (%)

Composite material (unspecified) 4
Used beverage cartons 2011
Paper cups (with Polyethylene) 512
E-waste 413

2 2) Option B: Sampling shall be applied to determine the fraction of plastics in the

3 composite material following the most recent version of the CDM methodology
4 “Sampling and surveys for CDM project activities and programmes of activities” 14 in
5 conjunction with the guidance below:

6 a) Projects shall use 90/10 confidence/precision to establish the reliability of

7 sampling efforts and undertake sampling of composite materials at least
8 every 6 months.

9 b) The sampling method shall be detailed in the monitoring plan.

10

Note to Reviewers: It is challenging to find reliable data sources of the plastic component within
composite materials. The default factors provided above are based on publicly available data.
Where a range of plastic fractions were found, the lowest fraction (percent) was used to identify
conservative default factors for each composite material application.

11
12. Questions for Consideration:
a) Is the proposed method for quantification of the amount of plastic in composite materials
reasonable?
b) Are the proposed default factors to determine the portion of plastic in composite materials
appropriate?
c) Are there other types of composite materials that should be included in Table 3?
d) Do you have any suggestions of data sources that could be used to determine and/or support
the default factors in Table 3?

11 A conservative default factor was identified using material composition of Tetra Pak beverage cartons from 2018
and 2020 sustainability reports. Available at: https://assets.tetrapak.com/static/documents/sustainability/tetra-pak-
sustainability-report-2018.pdf and https://assets.tetrapak.com/static/documents/sustainability/sustainability-
report2020.pdf
12 European Commission (2018). Life Cycle Inventories of Single Use Plastic Products and their Alternatives.

Available at:
https://ec.europa.eu/environment/enveco/circular_economy/pdf/studies/DG%20ENV%20Single%20Use%20Plastic
s%20LCA%20181213.pdf
13 Alassali et al (2019). Classification of plastic waste originated from waste electric and electronic equipment

based on the concentration of antimony. Journal of Hazardous Materials, volume 380. Available at:
https://doi.org/10.1016/j.jhazmat.2019.120874
14 CDM Methodology (n.d.). Sampling and surveys for CDM project activities and programmes of activities.

Available at: https://cdm.unfccc.int/Reference/Standards/index.html

23
 1
2 Share of baseline recycled plastic waste

3 The share of baseline recycled plastic waste %𝑆𝐵𝑟𝑒𝑐𝑦𝑐,𝑖 is given as follows:

4 1. New projects: SB recyc.i = 0%

5 2. Capacity addition:

𝑃𝐵𝐿,𝑖,𝑦
𝑆𝐵𝑟𝑒𝑐𝑦𝑐,𝑖 = (Equation 3)
𝑃𝐵𝐿,𝑖,𝑦 + 𝑃𝑟𝑒𝑐𝑦𝑐,𝑖,𝑦

6 Where:

7 𝑃𝐵𝐿,𝑖,𝑦 = Amount of material type i recycled in the baseline in the year y (tonnes)

8
9 For capacity additions, the amount of material type i recycled in the baseline in year y is
10 determined by one of the following options:

11 1) Average annual recycling rate of material type i over a three-year period prior to the
12 start of the project activity or average annual recycling rate of material type i since
13 the operational start date of the existing facility until the start of the project activity,
14 whichever is longer; or

15 2) Capped at the total recycling capacity of the existing facility given by the
16 manufacturer’s specifications. In this case, it shall be assumed that the recycling
17 capacity for each material type i is equal to the total recycling capacity of the
18 facility.

19 8.2 Project Recycling

20 Project recycled plastic waste is the amount of plastic waste that is recycled by the project activity:

𝑃𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = ∑ 𝑃𝑟𝑒𝑐𝑦𝑐,𝑖,𝑦 (Equation 4)

𝑖

21 Where:

22 𝑃𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = Total plastic waste recycled by the project activity in year y (tonnes)

23

24
 1 8.3 Eligible Plastic Waste Recycling in the Region

2 Net plastic waste recycling by the project activity shall not exceed the amount of recyclable plastic
3 waste in the region that is not recycled. The amount of plastic waste eligible for recycling in the
4 region shall be determined by comparing the annual amount of recyclable plastic waste generated
5 to the annual amount recycled in the region. The project proponent shall demonstrate this using
6 primary surveys or secondary literature available in the public domain and/or certified by a
7 competent authority.

8 Eligible plastic waste recycling is the amount of recyclable plastic waste in the region that is not
9 recycled and is calculated as follows:

10 𝐸𝑃𝑊𝑅𝑦 = ∑𝑖 (𝑊𝐺𝑖,𝑦 − 𝑊𝑅𝑖,𝑦 ) (Equation 5)

11 Where:

12 EPWRy = Total eligible plastic waste recycling in year y (tonnes)

13 WG i,y = Total amount of recyclable plastic waste generated in the region for material type i in year
14 y (tonnes)

15 WR i,y = Total amount of recyclable plastic waste recycled for material type i in year y (tonnes)

16 The annual amount of recyclable plastic waste generated and recycled in the region may vary over
17 time. Therefore, the total eligible plastic waste recycling may be re-evaluated during each
18 monitoring period.

19 8.4 Net Recycled Plastic Waste

20 The net recycled plastic waste is the amount of plastic waste recycled by the project activity that
21 would not have been recycled otherwise:

𝑁𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = 𝑃𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 − 𝐵𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 (Equation 6)

22
23 Where:

24 𝑁𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = Net recycled plastic waste in year y (tonnes)

25 If net recycled plastic waste is greater than the eligible plastic waste recycling for the region, the
26 amount of net recycled plastic waste shall not exceed that of the eligible plastic waste recycling.
27 This can be calculated as follows:

28 Where 𝑁𝑃𝑟𝑒𝑐𝑦𝑐,𝑦> 𝐸𝑃𝑊𝑅𝑦 , 𝑁𝑃𝑟𝑒𝑐𝑦𝑐,𝑦 = 𝐸𝑃𝑊𝑅𝑦 (Equation 7)

29

25
1 9 MONITORING
2 9.1 Data and Parameters Available at Validation

Data / Parameter 𝑃𝐵𝐿,𝑖,𝑦

Data unit tonnes /yr

Description Amount of material type i recycled in the baseline in year y

Equations Equation 3

Source of data Based on historical data of recycled material type i or capped

at the total recycling capacity of the existing facility as per
Section 8.1

Justification of choice One of the following options shall be applied:

of data or description
of measurement a) Average annual recycling rate of material type i over a
three-year period prior to the start of the project
methods and activity or average annual recycling rate of material
procedures applied type i since the operational start date of the existing
facility until the start of the project activity, whichever
is longer; or

b) Capped at the total recycling capacity of the existing

facility given by the manufacturer’s specifications. In
this case, it shall be assumed that the recycling
capacity for each material type i is equal to the total
recycling capacity of the facility.

Purpose of Data Determination of baseline scenario for capacity addition

projects

Data / Parameter %𝑆𝐵𝑟𝑒𝑐𝑦𝑐,𝑖

Data unit %

Description Share of baseline recycled plastic by material type i (%). This

is the % of plastic waste that would have been recycled in the
baseline scenario in year y.

26
 Equations Equations 1 and 3

Source of data Determined based on the procedure in Section 8.1

Frequency of For each monitoring period

monitoring/recording

Purpose of data Determination of baseline scenario

Comments For new projects, this parameter is fixed (ex ante).

For capacity additions, this parameter is not fixed at
validation, but calculated on a yearly basis (ex post).

Data / Parameter 𝐸𝑃𝑊𝑅𝑦

Data unit tonnes/yr

Description Total eligible plastic waste recycling in year y

Equations Equation 5

Source of data Primary surveys or secondary literature available in the public

domain and/or certified by a competent authority

Justification of choice Provide justification for the data sources used to determine
of data or description the annual amount of recyclable plastic waste generated and
of measurement the annual amount recycled in the region
methods and
procedures to be
applied
Project proponents may re-evaluate the total eligible plastic
Frequency of
waste recycling in the region for each monitoring period
monitoring/recording

Purpose of data Calculation of net recycled plastic waste

27
1 9.2 Data and Parameters Monitored

2 The following parameters shall be monitored and recorded during the crediting period.

Data / Parameter 𝑃𝑜𝑢𝑡,𝑖,𝑦

Data unit tonnes/yr

Description Amount of recycled material type i leaving the facility in year y

Equations Equation 2

Source of data Direct measurement at project facility

Description of Measurement with weight scales of each material type i

measurement before leaving the project site.
methods and
procedures to be
applied

Frequency of Each batch, with at least daily recording

monitoring/recording

QA/QC procedures to Calibration of scales shall be conducted according to the

be applied equipment manufacturer’s specifications.
Cross-checks with sales receipts to final buyer or other
equivalent third-party evidence.
Cross-checks with input plastic waste per material type i and
amount of recycled material type i used for onsite
manufacturing of products.
The output should be lower or equal to the input for each
material type.

Purpose of data Calculation of baseline recycled plastic waste

Calculation of project recycled plastic waste

Comments If plastic is washed it should be weighed after it has been

dried.

28
1

Data / Parameter 𝑃𝑝𝑟𝑜𝑑,𝑖,𝑦

Data unit tonnes/yr

Description Amount of recycled material type i used for onsite

manufacturing of products in year y within the manufacturing
facility

Equations Equations 2

Source of data Direct measurement at project facility

Description of Measurement with weight scales of each material type i being

measurement used for onsite manufacturing of products in year y
methods and
procedures to be
applied

Frequency of Each batch, with at least daily recording

monitoring/recording

QA/QC procedures to Calibration of scales shall be conducted according to the

be applied equipment manufacturer’s specifications.
Cross-checks with input plastic waste per material type i and
amount of recycled material type i leaving the facility. The
output should be lower or equal to the input for each material
type.

Purpose of data Calculation of baseline recycled plastic waste

Calculation of project recycled plastic waste

Comments If plastic is washed it should be weighed after it has been

dried.

Data / Parameter 𝐴𝐹𝐶𝑖

Data unit %

Description Adjustment factor for composite material i

29
 Equations Equation 2

Source of data Option A: Apply the default factors listed in Table 3 that
correspond to the composite materials recycled.

Option B: Sampling shall be applied to determine the fraction

of plastics in the composite material following the most recent
version of the CDM Standard Sampling and surveys for CDM
project activities and programmes of activities 15 as per section
7.1.

Description of The measurement method shall be detailed in the monitoring

measurement report. If available for the specific composite material,
methods and applicable standards or best-practice shall be applied.
procedures to be
applied

Frequency of Projects shall use 90/10 confidence/precision to establish the

monitoring/recording reliability of sampling efforts and undertake sampling of
composite materials at least every 6 months.

QA/QC procedures to N/A

be applied

Purpose of data Calculation of baseline recycled plastic waste

Calculation of project recycled plastic waste

Comments

15CDM Methodology (n.d.). Sampling and surveys for CDM project activities and programmes of activities.
Available at: https://cdm.unfccc.int/Reference/Standards/index.html

30
 1

Data / Parameter 𝐸𝑃𝑊𝑅𝑦

Data unit tonnes/yr

Description Total eligible plastic waste recycling in year y

Equations Equation 5

Source of data Primary surveys or secondary literature available in the public

domain and/or certified by a competent authority

Justification of choice Provide justification for the data sources used to determine
of data or description the annual amount of recyclable plastic waste generated and
of measurement the annual amount recycled in the region
methods and
procedures to be
applied
Project proponents may re-evaluate the total eligible plastic
Frequency of
waste recycling in the region for each monitoring period
monitoring/recording

Purpose of data Calculation of net recycled plastic waste

2 9.3 Description of the Monitoring Plan

3 The project proponent shall establish and apply quality management procedures to manage data
4 and information. Written procedures shall be established for each measurement task outlining
5 responsibility, timing and record location requirements. The greater the rigor of the management
6 system for the data, the easier it will be to conduct an audit for the project.

7 Record keeping practices shall include the following procedures:

8 ● Monitor and record all parameters listed in the Section 8.2 during the crediting period.

9 ● The amount of each material type recycled by the project is measured with weight scales
10 before being dispatched to the end-user and before being used for any manufacture of
11 products within the recycling facility. The amount of plastic waste recycled shall be cross-
12 checked by:
13 o Comparison against the maximum recycling capacity of the facility.

14 o Sales receipts to final buyer or other equivalent third-party evidence.

31
 1 o Mass balance of input plastic waste, recycled plastic sold/dispatched and recycled
2 plastic used for onsite manufacturing, where the weight of the total recycled plastic
3 is always less than or equal to that of the input plastic waste.

4 In case of inconsistencies, a conservative approach of correction shall be taken.

5 ● For plastic waste that enters the project recycling facility and is not recycled or lost through
6 the recycling process (e.g., plastic that was not able to be recycled due to contamination)
7 the final destination shall be provided to demonstrate appropriate end-of-life (i.e., reuse,
8 chemical recycling, mechanical recycling, incineration with energy recovery, managed
9 landfills and/or incineration without energy recovery).

10 ● The project proponent shall establish, maintain and apply a monitoring plan and information
11 system that includes criteria and procedures for obtaining, recording, compiling and
12 analyzing data, parameters and other information important for quantifying and reporting the
13 amount of recycled plastic waste in the project and baseline scenarios.

14 ● Monitoring procedures shall address the following:

15 o Data and information to be reported;

16 o Data units;

17 o Data sources;

18 o Monitoring methods (e.g., estimation, modeling, measurement and calculation);

19 o Monitoring equipment;

20 o Monitoring frequencies;

21 o QA/QC procedures; and

22 o Data management system, including the location, backup, and retention of stored
23 data.

24 ● For the weighing scales, the project proponent shall ensure the equipment is calibrated
25 according to current good practice (e.g., relevant industry standards or manufacturer
26 specifications).

27 ● Monitoring personnel shall be trained to ensure that monitoring requirements are carried out
28 in accordance with the monitoring plan.

29 ● Monitoring roles and responsibilities shall be clearly defined in the project description,
30 addressing training requirements.

31 ● All data collected as part of monitoring shall be archived electronically and kept for at least
32 two years after the end of the last project crediting period.

33 ● QA/QC procedures shall include, but are not limited to:

34 o Data gathering, input and handling measures;

32
 1 o Input data checked for typical errors, including inconsistent physical units, unit
2 conversion errors;

3 o Typographical errors caused by data transcription from one document to another,

4 and missing data for specific time periods or physical units;

5 o Input time series data checked for large unexpected variations (e.g., orders of
6 magnitude) that could indicate input errors;

7 o All electronic files to use version control to ensure consistency;

8 o Physical protection of monitoring equipment;

9 o Physical protection of records of monitored data (e.g., hard copy and electronic
10 records);

11 o Input data units checked and documented;

12 o All sources of data and assumptions documented.

13

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