In the face of a continually evolving mix of consumer packaging, MRF operators must make strategic investments to maximize profitability from their available material stream.
For Niagara Region, that meant installing a new Javelin Manufacturing L.L.C. eddy current separator system (ECSS) to reduce residue in its aluminum stream. With this change, the Region has been able to upgrade its used aluminum beverage container (UBC) bales to primary grade and secure pricing at $344/tonne more than the secondary market rate paid in 2015.
In 2015, with a $41,000 grant from the CIF, Niagara replaced an aging eddy current with a wider, more efficient version that features enhanced throwing capacities. The new ECSS has:
- Reduced UBCs in residue by 28%
- Increased total UBC marketed
- Increased UBC annual revenue in 2015 by $170,000
Niagara opted to leave its eddy current at the end of the container line so it processes materials after other non-UBC and fibres have been removed. Despite this decision, quality control through the use of a post eddy current sort team is vital to help maintain a non-aluminum contamination rate of 1% or less. Achieving higher revenues in this case did not result from labour savings.
As with any capital investment, the first step is always to gather data and review it closely to ensure it makes financial sense. Niagara analysed the composition of the UBC bales to determine if the proposed new system could meet its target quality level and achieve a justifiable payback on the investment. At a total purchase and installation cost of $117,994, the payback period was only 5.4 months and for Niagara, this upgrade has proven to be a resounding success.
Find out all about this project: View 821.3.3 Report
Thinking of making a change?
Projects that generate savings remain a key priority of the CIF’s 2016 Request for Expressions of Interest (REOI). If you are considering a MRF upgrade we invite you to contact CIF staff to discuss your project ideas and how they might fit with the objectives of this year’s REOI.