Refurbishing License in India - Overview

A large quantity of e-waste is produced globally every year. Surprisingly, the count is expected to reach 52.2 million tonnes in a few years. Moreover, statistics reveal that India is a prominent producer of e-waste. Discarding e-waste sustainably is quite challenging. It has precious metals, plastics and minerals. Chemical additives are an added plus. Thus, by e-waste refurbishing, only one can responsibly discard such waste. Therefore, entities with refurbishing licenses in India are the need of the hour.

E-waste Management Rules, 2016, briefly describes the complete process to obtain the said license. Moreover, the rules also highlight the need for getting an EPR Authorisation for a refurbisher. Notably, the Central Pollution Control Board (CPCB) is the nodal authority and regulates most of the process. Scroll down to know more.

E-waste Management Rules, 2016

EWM Rules, 2016 apply to every refurbisher and other entities engaged in refurbishing and processing of e-waste or EEE listed in Schedule I, along with their parts/components/consumables/spares making the product operational but don’t apply to -

• micro-enterprises as highlighted in the MSME Development Act, 2006 ;
• radio-active wastes stated in the Atomic Energy Act, 1962 and guidelines created there under;
• used lead acid batteries as covered in the Batteries (Management & Handling) Rules, 2001, made under the Act.

EPR Authorisation does NOT apply to -

1. EEE manufacturers, if they are manufacturing/importing for selling, especially to EPR-authorised producers. Given that the manufacturer files the documents given below to Port/Customs Authorities -

• i. copy of EPR Authorisation of the producer(s) for whom it is manufactured or imported;
• ii. letter from EPR Authorised producers quoting that the EEE is manufactured/imported on his behalf; and
• iii. copy of agreements with EPR Authorised producers for whom it is imported/manufactured.

2. The EEE (including their parts/spares/consumables/components) not covered in Schedule - I of EWM Rules, 2016.

3. Import of spares (new/old) from original equipment manufacturers (OEM) by actual users for warranty replacement, given that an equivalent count of defective or non-functional parts is exported back within three sixty-five days as per the document verification by Custom Authorities as given in Schedule VIII (4-e) of HWM Rules, 2016.

EPR Authorisation is NOT required in the cases given below -

i. EEE import is purposeful for selling to EPR Authorised Producers. Given that the importer files the documents given below to Port Authorities/Customs;

• (a) letter from EPR Authorised Producers that the EEE importer is importing on his behalf;
• (b) copy of EPR Authorisation of the Producer(s) for whom the importer imports; and
• (c) copy of agreements with EPR Authorised Producers for whom the importer is importing.

ii. Consumers/bulk consumers if they import electronics for captive/self-use. Given that the consumer or bulk consumer presents self-declaration on stamp paper quoting that EEE items being imported are purposeful for captive/self-use and not for sale to Port/Customs Authorities.

Related terms

A collection centre is a centre/collection point or both established by producers individually or collaboratively to collect e-waste for channelising it to the recycler and play such role as stated in the EPR Authorisation granted to the producer. Moreover, the collection centre must have facilities as per CPCB’s norms. Also, the collection centre established by the refurbisher must be a part of their authorisation issued by the SPCB where the facility is established;

Refurbishment is repairing a used EEE to increase its working life for its actual intended use and giving it back to the owner or selling the same in the market;

E-waste means EEE, in part or whole, disposed of as waste by the bulk consumer or consumer and also rejected from manufacturing, refurbishment and repair processes;

Refurbisher is defined as any undertaking or firm registered under the Companies Act, 1956/the Factories Act, 1948 or both or a DIC (district industries centre) engaged in the refurbishment of used EEE;

Extended Producer Responsibility (EPR) is defined as any EEE producer's responsibility for channelling e-waste to guarantee environmentally sound management of such waste. EPR includes implementing a take-back system/establishing the collection centres or both, and having approved arrangements with authorised dismantlers/recyclers collectively or personally via a Producer Responsibility Organisation (PRO) acknowledged by producer/s in their EPR Authorisation.

The authorisation is permission for refurbishing, collecting, handling, storage, production, reception, dismantling, transportation, recycling, disposal, and treatment of e-waste issued to the refurbisher, dismantler, recycler, and manufacturer.

Extended Producer Responsibility Authorisation is a permission that CPCB gives to a producer to manage EPR with targets and implementation plans covered in such authorisation, in addition to information on an e-waste exchange and PRO, if applicable.

Responsibilities of a licensed CPCB Refurbisher

1. collect e-waste produced during refurbishing and channelise it to the authorised recycler/dismantler via its collection centre;

2. submit Form 1(a) as per the steps mentioned in sub-rule (4) of rule 13 to the respective SPCB for granting one-time authorisation;

• (a) the authorised CPCB refurbisher must furnish information related to the e-waste produced to the respective SPCB annually; and
• (b) the related SPCB must authorise the e-waste refurbisher on one time basis as per Form 1 (bb). The authorisation will be considered as deemed if not objected to within one month;

3. to guarantee that the e-waste refurbishing doesn't adversely affect the environment and people'speople's health;

4. to guarantee that no harm happens to the environment during the storage and transportation of electronic waste;

5. retain records of e-waste handled in Form 2 and file such documents for scrutiny by the appropriate authority;

6. to guarantee that the e-waste thus produced is securely transported to authorised dismantlers/collection centres/recyclers;

7. file annual returns to the specific SPCB in Form 3 up to the last day of June (30th) following the financial year to which that return relates; and

8. suppose there's an accident while transporting e-waste or at the facility processing it. In that case, the refurbisher must report immediately to the specific SPCB about such a mishap via e-mail and telephone.

9. A refurbisher must achieve the following targets as per the E-waste Rules 2022

Liability of Electronics EPR Refurbisher

The electronics refurbisher is liable for all damages. These damages are done to the third party or the environment. These are due to improper handling and e-waste management;

The person seeking to refurbish used electronics is liable to pay an imposed fine. This is the case when not adhering to the guidelines. These norms are under the rules framed by the SPCB. These are framed with the prior consent of the CPCB.

Procedure to grant EPR Authorisation to a Refurbisher

1. The entity must register on the official portal under the category of a refurbisher,

2. every e-waste refurbisher must apply in Form 1 (a) in triplicate, within four months, to the specific SPCB along with a copy of the documents given below for issuing or renewal of authorisation, namely:-

• (a) consent to establish (CTE) granted by the related SPCB;
• (b) certificate of registration issued by DIC or any other authorised government agency; and
• (c) proof of machinery and plant installed capacity issued by the DIC or any other authorised government agency.

3. Submit relevant documents like -

• CTO issued by SPCB
• Memorandum of Association (MoA)
• Information of EEE placed on the market in previous years - code wise
• Estimated collection target for the forthcoming year and estimated production of E-waste item-wise
• EPR Plans
• Certificate of incorporation
• The channelisation of E-waste and its flow-chart
• Agreement copies with dealers, collection centres, recyclers, TSDF
• Details for RoHS compliance
• Copy of the consent from the relevant Ministry/Department for selling their product
• Import Export Code
• Identity proof
• GST registration
• Copy of agreement with PRO [if applicable]
• Self-declaration regarding Reduction of Hazardous Substances provision;
• Copy of Directorate General of Foreign Trade (DGFT) license/permission as appropriate;
• Hazardous Waste Authorisation
• Information on the collection mechanism/centre, including the state-wise setup
• Website information
• Types & quantity of e-waste transported
• Types & quantity of e-waste stored
• Types & quantity of e-waste refurbished
• Types & quantity of handled or produced waste
• Types & quantity of e-waste sent to the collection centre

4. on being satisfied that the complete application complies with the CPCB's norms, the related SPCB grants one-time EPR authorisation for refurbisher in Form 1 (bb) stipulating therein mandatory conditions as regarded essential for doing refurbishing operations in the authorised place only;

5. the specific SPCB grants the authorisation within four months from the day of receiving the complete application;

6. the SPCB can cancel, suspend or refuse an authorisation if it has reasons to believe that the authorised e-waste refurbisher doesn't adhere to any authorisation norms or with any Act norms or rules made thereunder after giving a chance to the refurbisher to be heard & after recording the reasons after that;

7. The CPCB refurbisher must maintain records of the purchased and refurbished e-waste in Form 2 and file annual returns of the previous year's activities in Form 3 to the specific SPCB up to the last day of June (30th) annually.

Process for Storage of E-waste

Every refurbisher must store the e-waste for up to six months. S/he must then file a record of the waste sale, collection, transfer and storage. Moreover, the authorised refurbisher has to make these records available for inspection:

The respective SPCB can extend the said interval up to one year if the waste needs to be stored for process development for reuse or recycling.

EPR Certificate Generation for Refurbishing

• i. The e-waste is permitted for refurbishing only if the e-waste refurbisher registers on the website. Moreover, based on the information furnished, a refurbishing certificate is granted in favour of a CPCB refurbisher.
• ii. On producing the refurbishing certificates bought from the registered e-waste refurbishers, the producer's EPR is deferred by the duration as stated by the CPCB for the corresponding quantity of the waste. Moreover, it gets added to the producer's EPR on the expiry of the extended life of the refurbished electronic item.
• iii. To incentivise refurbishing, only 75% of the deferred quantity is added to the EPR of the producer for recycling upon the expiry of the extended life of the refurbished product.
• iv. The EPR obligation is terminated only after end-of-life disposal via a registered recycler and producing an EPR certificate, not by refurbishing certificate.

Transaction of Extended Producer Responsibility Certificates

(1) The producers must fulfil the EPR obligation by proportionately buying the EPR certificate every quarter.

(2) A producer may buy EPR certificates limited to its Extended Producer Responsibility liability of the present year (Year Y) and any excess liability of preceding years in addition to the 5% of the current year's liability.

(3) As soon as the producer buys refurbishing certificates, its EPR liability is automatically postponed for the relevant product quantity for the duration mentioned by the CPCB.

(4) As soon as the producer buys the EPR certificate, it must be automatically adjusted against its liability and priority in adjustment will be granted to earlier liability and the EPR certificate so altered will be terminated and cancelled automatically.

(5) The requirement, availability and other details on the refurbishing and EPR certificates for every refurbisher must be available on the portal.

(6) All the transactions under these rules must be recorded and submitted by the recyclers or producers on the portal while filing quarterly returns.

Environmental Compensation

Environmental compensation is imposed on unregistered refurbishers and any entity which helps or abets violations of the norms of these rules.

Verification and Audit

The CPCB, personally or by a delegated agency, can verify compliance with these norms by refurbisher. This is done via periodic audits and random inspection, as deemed fit, to take action against violations of these rules.

Refusal of EPR Authorisation

CPCB can refuse an EPR authorisation to an e-waste refurbisher. The application is returned if a refurbisher doesn't furnish the necessary information within forty-five days of receiving the letter from CPCB. However, a chance to hear from the refurbisher is given within one month of the application's return date.

Notably, in case of EPR Authorisation refusal by CPCB, the refurbisher forfeits his right to place any used electronics in the market till EPR Authorisation is issued.

Cancellation of EPR Authorisation

CPCB can cancel or suspend the EPR authorisation if the refurbisher fails to comply with any rules, instructions or norms during the authorisation period. If any refurbisher doesn't adhere to the regulations, CPCB issues a notice within 25 days. However, a chance will be given to hear from the e-waste refurbisher within one month from the date of issuance of notification.

Appeal

Any refurbisher, if discontented by the order of refusal/cancellation/suspension of authorisation or its renewal issued by the CPCB, s/he can appeal in Form 7 to the Appellate Authority in less than one month from the date on which the order is notified.

Frequently Asked Questions