Recycling
Costs

The amount of money actually saved through recycling depends on the efficiency of the recycling program used to do it. The Institute for Local Self-Reliance argues that the cost of recycling depends on various factors, such as landfill fees and the amount of disposal that the community recycles. It states that communities begin to save money when they treat recycling as a replacement for their traditional waste system rather than an add-on to it and by "redesigning their collection schedules and/or trucks".

In some cases, the cost of recyclable materials also exceeds the cost of raw materials. Virgin plastic resin costs 40 percent less than recycled resin. Additionally, a United States Environmental Protection Agency (EPA) study that tracked the price of clear glass from 15 July to 2 August 1991, found that the average cost per ton ranged from $40 to $60 while a USGS report shows that the cost per ton of raw silica sand from years 1993 to 1997 fell between $17.33 and $18.10.

Comparing the market cost of recyclable material with the cost of new raw materials ignores economic externalities —the costs that are currently not counted by the market. Creating a new piece of plastic, for instance, may cause more pollution and be less sustainable than recycling a similar piece of plastic, but these factors are not counted in market cost. A life cycle assessment can be used to determine the levels of externalities and decide whether the recycling may be worthwhile despite unfavorable market costs. Alternatively, legal means (such as a carbon tax) can be used to bring externalities into the market, so that the market cost of the material becomes close to the true cost.
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