【Edition #20】Solar Panel Recycling Issues in Japan

This week's newsletter focuses on the current situation in Japan of solar module recycling. Currently, it is estimated that about 4,400 tons are discharged as end-of-life annually in Japan, of which 3,400 tons are reused and about 1,000 tons are recycled or landfilled.

Japan is confronting a significant challenge with the impending disposal of solar panels, many of which are expected to reach the end of their operational life in the early 2040. The Environment Ministry projects that by the mid-2030s, approximately 500,000 to 800,000 tons of solar panel waste will require annual management. This surge in decommissioned panels raises concerns about environmental hazards, as improper disposal could lead to the leakage of toxic substances such as lead and cadmium.

Mandatory Recycling system

Currently, Japan lacks a comprehensive recycling infrastructure for solar panels, resulting in most waste panels being disposed of as industrial waste. To address this issue, the Japanese government is preparing legislation to establish a mandatory recycling system, which is expected to be introduced during the parliamentary session starting January, 2025.

The proposed legislation will categorize used solar panels as industrial waste, mandating their recycling in a manner similar to the EU's Waste Electrical and Electronic Equipment (WEEE) directive.

1.??? Cost Sharing model

The cost-sharing model under discussion involves solar panel manufacturers and importers bearing the recycling costs, while facility owners would be responsible for demolition expenses. Funds for recycling and demolition are to be collected upfront—recycling fees at the point of sale and demolition fees before power generation begins. A third-party entity will manage the collected funds and ensure payments to certified demolition and recycling operators upon project completion.

This preemptive financial structure aims to prevent funding shortfalls that could arise if manufacturers, importers, or facility owners go out of business before their panels reach the end of their lifecycle.

2.??? Dismantling regulations

In addition to cost, there are concerns about the consistent supply of end-of-life panels to recyclers.? There is a possibility that facility owners may be reluctant to dismantle solar panels at the end of their useful life, which poses risks including the release of toxic substances such as arsenic and lead, and the risk of electrical fires.

Illegal dumping and abandonment of solar panels also pose significant risks. Effective cooperation between central and local governments will be crucial to monitor solar installations, enforce dismantling regulations, and ensure proper disposal practices.

Recycling technologies

Several technologies have already been established by the Ministry of the Environment and NEDO, as well as by businesses that have developed their own technologies, and recycling equipment is being introduced throughout Japan.

There are eight main technologies that specialize in the treatment of solar cell modules, and at least 28 units have been confirmed to be installed nationwide.? Here are some examples for the technologies being installed specifically for solar panel.

1.???? Tokuyama and AGC ; successfully demonstrated how glass from recycled solar panels could be repurposed to produce float glass, marking a significant advance in sustainable manufacturing practices.

2.???? Tokuyama and NEDO: Solar panels are heated at low temperatures in a pyrolysis furnace to dissolve the resin portion, allowing the glass and cells to be separated into individual components.

3.???? Kinki Kogyo: developed AI-equipped sorting robot for the separation of aluminum, copper, silver, and glass.

Though Japan has few domestic solar panel manufacturers remaining, initiatives like the Solar Panel Recycling mandate could stimulate innovation and industry collaboration. This approach may be crucial for sustaining the industry and advancing Japan toward genuinely sustainable solar energy practices.