Since the European Unioin began drafting two directives on electronic waste a decade ago, the Government has worked with the waste management trade to assess the directives' impact and provide appropriate assistance, Secretary for Economic Development & Labour Stephen Ip says.

The Council of the European Union and the European Parliament published in 2003 the directives on 'Waste Electrical and Electronic Equipment' and 'Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment'. They aim to control disposal of waste from electrical and electronic equipment and restrict the use of certain hazardous substances in these products.

In the absence of the Secretary for Commerce, Industry & Technology, Mr Ip told legislators today local traders exporting the products concerned to the EU will have to comply with the requirements of the 'Waste Electrical & Electronic Equipment' directive upon its implementation.

These include setting up systems, either individually or on a collective basis, for the treatment and recovery of waste electrical and electronic equipment and financing the collection, treatment, recovery and environmentally sound disposal of waste electrical and electronic equipment.

He said manufacturers will also have to comply with the other directive on the restrictions of the use of certain hazardous substances in products concerned.

To fulfil the requirements, Mr Ip expected the industry - in particular small and medium enterprises - will have to inject additional resources to improve the design and manufacturing process of the products concerned.

Measures may include procuring or upgrading production facilities or technology, modifying the flow of manufacturing processes, re-evaluating and managing raw materials suppliers, conducting product verification tests, developing or improving management systems, providing staff training, estimating the cost for disposing of unwanted products and seeking professional advice, he added.

Initiatives have been put in place to help the trade prepare for the directives' implementation, Mr Ip said.

Enhancing trade awareness

The Trade & Industry Department and Hong Kong Trade Development Council have been disseminating information about the directives and the latest developments to the trade to enhance their awareness.

The council has published the Getting Green-Growing Demand in Overseas Markets report in March 2004 to provide analysis of the overseas market opportunities on green manufacturing for local companies. The second research report will be available later this year.

The council also provides professional advice to the Hong Kong Green Manufacturing Alliance, established in December 2004 to provide assistance to the trade in response to the directives.

It has co-organised or offered support for five seminars with the alliance this year, attracting more than 1,400 participants, including those from SMEs. Two more seminars have been scheduled for 2005.

The council has also promoted Hong Kong's preparation towards compliance with the directives through trade fairs, newsletters, briefings and promotional activities targeting overseas buyers or representatives of overseas organisations based in Hong Kong.

In early May, the SME Development Fund approved $2.29 million for two programmes undertaken by the Federation of Hong Kong Industries and the Hong Kong Electrical Appliances Manufacturers Association to enhance industry awareness and assist manufacturers in producing products which are up to the directives' standards.

To help local enterprises overcome the directives' challenges, the Hong Kong Productivity Council has launched a number of projects since 1995, and provided consultancy and training services in complying with the directives.

The council plans to conduct further research on the directives along the following directions:

* setting up a database of environmental materials suppliers to facilitate materials selection for enterprises;

* setting up a cost analytical tool for the industry to estimate costs;

* establishing a resource centre on the directives;

* launching a guidance scheme on compliance of requirements of the two directives for enterprises; and

* organising seminars and meetings for the industry to share relevant experience.

Mr Ip said the Government will continue to work closely with the trade to help ensure the compliance of computers and other electronic and electrical products with the two directives.