“อะลูมิเนียม” พระเอกรีไซเคิล…ต้นแบบสังคมรีไซเคิลสู่เศรษฐกิจหมุนเวียน"Aluminum" The Recycling Hero... A Model of Recycling Society towards Circular Economy

To revisit the background of aluminum before delving into the narrative of "Aluminum, the Recycling Hero," I invite readers to briefly reflect on how aluminum became recognized. It is believed that few outside the industry know that aluminum is essentially a product that has been overshadowed by other materials. The timeline summarized in the image below illustrates the growth trajectory for the aluminum industry. Aluminum is the most abundant metal in the world, derived from three main essential processes. It begins with bauxite ore, which is rich in aluminum, undergoing a refining process to extract a powder known as alumina. This is followed by smelting to produce molten aluminum, which is then poured into molds to create pure aluminum bars (Virgin Aluminum) before being processed into various products. In Thailand, aluminum production primarily involves recycling aluminum scrap to create aluminum products for various industries, such as aluminum cans and construction materials. Due to the complex and costly nature of aluminum production, it has historically been more expensive than gold. Why recycle, and what is the real goal? Mr. Theerapat explained that the recycling process has been a long-standing companion of the aluminum industry, referred to as the recycling hero, but has not received much acknowledgment in the past, as all aluminum processes require high energy costs. Producers have therefore shifted to recycling processes as a means to reduce energy costs and also mitigate the carbon footprint that poses environmental challenges. It is well-known that Thailand's energy costs are high, affecting production expenses. Thus, the solution lies in recycling. Currently, recycling is gaining popularity within the aluminum industry as it can save up to 95% of energy, using only 5% of the energy typically required. Additionally, it helps reduce landfill waste and marine debris. The industry group has set a goal to increase recycling processes to at least 85% by the year 2030 (CE 2030) and aims for a greater emphasis on recycling to create sustainability for the future. Furthermore, the industry group is committed to following development goals that align with the "Sustainable Development Goals (SDGs)," addressing Goal 12 by ensuring sustainable production and consumption patterns, effectively managing and using natural resources. Goal 13 focuses on urgent action to combat climate change and its impacts, related to climate change and low-carbon development. Goal 14 aims to conserve and sustainably use the oceans, seas, and marine resources for sustainable development (Life below Water), addressing marine and ocean pollution. Goal 15 emphasizes protecting, restoring, and promoting sustainable use of terrestrial ecosystems, sustainable forest management, combating desertification, halting land degradation, rehabilitating land, and halting biodiversity loss (Life on Land). Where does aluminum go after disposal? The recycling cycle for aluminum involves various steps of varying complexity, which can be summarized briefly as follows: Step 1: Used aluminum cans are compacted and bundled into large rectangular blocks (Used Beverage Cans: UBC) to reduce storage space and facilitate transportation. Step 2: The aluminum cans are sorted to remove dirt and contaminants, cleaned thoroughly, and then de-lacquered to produce pellets or tablets. Step 3: The pellets or tablets are fed into a special furnace (Side Well Furnace: SWF), yielding molten aluminum, which is then adjusted according to specifications before being poured into molds to form slabs. These are subsequently rolled into large coils for packaging manufacturers. Step 4: Packaging manufacturers shape these into various products and packaging types. Step 5: Finally, the products are packaged for sale in the market. Is it true… that aluminum can be recycled endlessly without changing its properties? From the five steps outlined, it can be seen that aluminum can be recycled up to 100% without any issues, maintaining its properties and quality. Current facts indicate that aluminum is still circulating in the system 75% of the time since it was first mined over a century ago. The recycling of different products varies, with everyday packaging items such as aluminum cans having a recycling turnover of only 60 days and a recycling rate of 69% globally. Data from the Aluminum Association, founded by aluminum producers in the United States, lists nine grades of aluminum (as shown in the table above), which aluminum manufacturers worldwide still reference today. The table above supports the idea that recycling does not alter the properties of aluminum, as production of aluminum in the same grade does not necessarily require the addition of various materials or increased costs, unless there is a mix from different grades that requires some additional or blended materials to suit specific products. Importantly, one must recognize that this leads to increased costs and extended production times. Therefore, it is essential to match the right grades for recycling. Recycling can also be compared to how rice is processed into various products, such as noodle strands. The model for a recycling society leading to a circular economy: The recycling process can drastically reduce waste and lead to an effective circular economy, with an estimated value of 1,000-1,500 million baht per year. However, with aluminum being recyclable at 100%, there is no need for upcycling or downcycling like some other materials, as recycling is the most cost-efficient method. Aluminum has intrinsic value, making the market price for aluminum cans reach 40-50 baht per kilogram, indicating a very high value. It is rarely seen that aluminum cans are left discarded on the streets, as communities or low-income individuals typically collect them for resale, such as in the case of trash collectors. The trend toward environmental preservation is stimulating growth amid escalating global environmental challenges and is motivating aluminum producers to increase investments in recycling processes. It is quite possible that, by 2030, a 100% recycling rate will be achievable based on various data and forecasts indicating that global aluminum demand continues to rise, from 80 million tons to nearly 120 million tons. Addressing future crisis management calls for government support for sustainable industry growth as the major economic crisis—commonly referred to as the Perfect Storm—has impacted the aluminum industry by raising energy costs, leading to volatile aluminum prices. The industry group is highly alert, as energy is the primary production cost. They urge the government for support measures such as capping electricity prices for at least six months, providing cleaner, lower-cost energy sources, and encouraging investments in clean energy by purchasing excess electricity (Net Metering) from industries to foster competitiveness and incentivize more investments in alternative energy, such as solar farms. "The concept of recycling aluminum is one that the private sector values greatly because recycled aluminum can continuously be reused while maintaining the same quality. This adheres to the principles of the circular economy, helping reduce carbon dioxide emissions by up to 95% and saving electricity costs by up to 95% compared to using primary aluminum from upstream processes. However, it is also noted that a considerable amount of aluminum scrap is being exported. An analysis of export quantities between 2017 and 2021, especially in 2021, indicated exports exceeding 140,000 tons, with 56% going to South Korea, followed by China at 25%, compared to 14% in 2020, with opportunities for increased exports if the government facilitates a clear policy for recycling aluminum scrap domestically, enhancing internal utilization similar to Vietnam, which has set an export tax rate on aluminum scraps at 22%, and Malaysia at 10%." Mr. Theerapat concluded, "As aluminum producers in Thailand, we are committed to developing sustainability within our organizations, contributing to society, and playing a part in preserving the environment for future generations." ————————— Copyright by FTI 2022