The coal producers based in Kuzbass, or Kuznetsky Coal Basin, in Kemerovo Oblast, need to alter the contract terms while purchasing off-the-road tyres (OTR), so it could prevent the processing of these tires outside the region, said the deputy governor of Kemerovo Oblast, Ekaterina Kutilkina.

The official explained that in accordance with the current state’s environmental-protection law, importers or producers are required to follow one of the two options: to recycle tyres, or to choose paying the tyre utilization fee, which forms the federal budget.

Kutilkina advised that a tripartite contract with the tyre supplying organizations should be proposed by the local coal manufactures, and the regional recycling companies would serve in this agreement as a third party.

She also assumed that, in such case, the tyre utilization fee of $110 per metric ton won’t be collected, and tyre recycling plants operating in the region will be able to supply enough materials to satisfy the facility’s operational capacities. Additionally, the program should reduce spending on the shipping of tyres, as the suppliers avoiding the utilization fee, wouldn’t be required to withdraw those tyres for processing in different regions.

According to the statistics provided by the regional administration, Kuzbass is responsible for 60 percent of Russia’s overall coal production, which makes it the center of the state’s coal mining manufacturing. Therefore, 14,000-15,000 tonnes of OTR tyres are produced in the region per year. Now, Kuzbass has 10 licensed facilities for tyre recycling.

Kutilkina appealed to coal producers, tyre providers and tyre recycling facilities to create transparent program to successfully recycle all the OTR tyres that have been accumulated for years in the region. She also suggested that coal manufacturers would normally seek unloading of their warehouses and saving money, thus they will bring used tyres to the plants on a free will basis.

She said that claiming federal subsidies was among other factors why the utilization program for the used tyres was needed in the region. According to Russia’s law, the regions, which are the most successful in developing their recycling capacities, can be granted money, collected as the tire utilization fees. This law has resulted in a competition for the subsidies among the regions.

Kutilkina highlighted that the regional officials should take steps to avoid such common situations, when Moscow companies sell tyres to the Kuzbass-based coal miners and they arrange deals with the Moscow manufacturers to further process their tyres just in times when they are taken out service. Therefore, no used tyres are handed to the region and no subsidies, which normally accompany tire recycling, follow.

Nevertheless, the future of Kuzbass can be quite optimistic, as it has each and every opportunity to serve as the main center for recycling of OTR tyres in Russia. This attitude appeared after the group of private investors has unveiled their idea to develop Russia’s former set of plant for manufacturing of OTR tyres in Kemerovo Oblast. It is estimated that the investment cost of the project is US $650 million, however the operational capacities of the new facility are yet unknown.

The initiative is expected to considerably reduce the quantity of OTR tyres shipped to the country. It is beyond any doubt that the project will collaborate with the tyre recycling plants in the region to assist with the processing of the used tyres.

Article source: Tyre and Rubber Recycling