How to Comply with the Durable Reduction Credit: Sample Documentation for TRUE
Durable Reduction Calculations:
Needed:
- Average weight per type of reusable or per meal (clamshell, cup, utensils)
- Meals served for the month
- Avoided disposal cost
- Cost per item
What is the hardest part of all this? Typically getting the weights and meals each month.
Specifics for Month Calculations:
| Calculation | Amount |
|---|---|
| Average Disposable weight per meal | 0.567 kg |
| Meals served | 26,400 |
| Total weight | 15,004 kg |
| Cost per meal/container | Rs. 0.33 |
| Cost per durable | Rs. 27.5 |
| Expected reuse | 250 |
| Cost per meal | Rs. 0.11 |
| Estimated cost | Rs. 8,712 |
| Estimated savings | Rs. 223 |
| Cost per ton to landfill | Rs. 7,250 |
| Avoided disposal cost plus savings | Rs. 2,21,093 |
As shown in the table, the total weight of disposable items for the month was 15,004 kg. Assuming an average weight of 0.567 kg per meal, this equates to 26,400 meals served for the month. The cost per meal/container was Rs. 0.33, and the cost per durable was Rs. 27.5, with an expected reuse of 250 times. This means the cost per meal served with a durable item was only Rs. 0.11.
The estimated cost of using disposables for the month was Rs. 8,712, while the estimated savings from using durables was Rs. 223. When factoring in the cost per ton to landfill, which is Rs. 7,250, the avoided disposal cost plus savings for the month comes to Rs. 2,21,093.
By utilizing durable items, ABC Company was able to save money on disposables and avoid the environmental impact of disposable waste. With accurate documentation and reporting, these savings can be measured and tracked towards achieving TRUE certification.
Example: Laptop Reuse Program for Employees
In addition to pallet reuse, another common example of durable reduction is through the reuse of old laptops by employees. Rather than disposing of old laptops and purchasing new ones, companies can implement a program for employees to reuse these devices.
Laptop Reuse Guidelines:
- Laptops must be in good working condition
- Employees must sign an agreement to take responsibility for the laptop and return it when they leave the company
- The program should have clear guidelines and procedures for distribution and return of laptops
Documentation:
- Keep track of the number of laptops distributed and returned each month
- Calculate the cost savings by comparing the cost of purchasing new laptops versus the cost of refurbishing old ones
Assumptions:
- Cost of new laptop: Rs. 50,000
- Cost of refurbishing old laptop: Rs. 10,000
- 20 laptops distributed to employees
Sample Calculation:
- Cost savings per laptop: Rs. 50,000 – Rs. 10,000 = Rs. 40,000
- Total cost savings: Rs. 40,000 x 20 laptops = Rs. 800,000
In this example, implementing a laptop reuse program for employees resulted in a cost savings of Rs. 800,000.