Scrap Tires: Management and Economics
Publication: Journal of Environmental Engineering
Volume 119, Issue 6
Abstract
This paper provides a description of tire recycling conditions in the state of Wisconsin, a summary of the status of legislation affecting tire disposal in the United States, and a list of the major scrap‐tire applications. The paper also provides an evaluation of the economics of the scrap‐tire processing industry. The economics of the entire disposal cycle is examined in five steps, each addressed as a separate investment scenario. First, the economics of a licensed collection site is examined. Second, the economics of adding a shredding operation to the collection site (in order to free some of the escrow money held by the state) is considered. Third, the hauling of the shredded tires to a landfill (in order to recover the rest of the escrow and eliminate storage liability) is discussed. Fourth, the economics of hauling the shredded tires to an end user, eliminating landfill fees, is evaluated. Fifth, the ideal scenario of hauling of shredded tires to a buyer is examined. Under the assumptions used, the tire‐shredding industry can yield a rewarding return on investment. However, profitability of the investment is particularly sensitive to the amount of escrow required by the regulatory authorities. It is suggested that regulatory authorities reexamine the amount and distribution of escrow to encourage tire processors in completing the recycling process by finding an end user for the recycled materials.
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Information & Authors
Information
Published In
Journal of Environmental Engineering
Volume 119 • Issue 6 • November 1993
Pages: 1217 - 1232
Copyright
Copyright © 1993 American Society of Civil Engineers.
History
Received: Jan 16, 1992
Published online: Nov 1, 1993
Published in print: Nov 1993
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