In defense of Starbucks
By: Jacob Grier
Special to The Examiner
08/24/10 5:27 PM EDT
Starbucks takes a lot of heat from environmentalists for all the trash generated by the estimated 3 billion paper cups it goes through each year. Some of these are recycled, but most of them end up in landfills. What’s often unappreciated is that recycling paper cups is not easy. Separating them from other trash is just the beginning; the next step is finding paper mills willing to take them. An article in the Seattle Timesilluminates how challenging this can be:
The challenge is to convince mills that coffee cups are decent fodder for boxes and other products they make. So far, mill executives remain skeptical, saying coffee cups take longer, and therefore cost more, to process than do other recycled items like cardboard boxes.
"Any time you're asking an industry to change the way it does things — and they have multimillion-dollar pieces of machinery in their mills — they need it to be proved," said Jim Hanna, Starbucks' director of environmental impact. "Once we prove there's a value to our cups, it will create market pull."
"Any time you're asking an industry to change the way it does things — and they have multimillion-dollar pieces of machinery in their mills — they need it to be proved," said Jim Hanna, Starbucks' director of environmental impact. "Once we prove there's a value to our cups, it will create market pull."
The article notes that coffee cups end up in the mixed paper fiber stream, which most US mills can use at only about 10% of a fiber blend. Some Chinese mills can go higher, but they don’t like coffee cups either: The poly coating that prevents the cups from absorbing liquid also makes them harder to process. Starbucks faces an uphill battle trying to turn their garbage into a resource.
Regulations are an obstacle too. In 2006 Starbucks launched cups made with 10% recycled paper. It may not seem like much, but getting these to market required years of research and strict testing to meet FDA standards. From NPR:
George Matthews is executive VP at Mississippi River Corporation, one of Starbucks' suppliers. His pulp company had to prove to the FDA it was safe to drink from a recycled-content cup. That meant eliminating any potentially harmful substances from the high-grade office paper in recycled pulp.
MATTHEWS: The new regulations that the FDA had come out with required testing to be done to really infinitesimal limits. So we not only had to test to those limits but in many cases had to develop the test protocol itself, because it hadn't been done before.
So Starbucks deserves more credit for their work on recycling than many people realize. But is all this effort really worthwhile? Should we start carefully rinsing and sorting our latte cups each morning? While recycling feels good, it’s not always worth the effort and expense. Economist Michael Munger suggests we take price signals seriously:
There is a simple test for determining whether something is a resource (something valuable) or just garbage (something you want to dispose of at the lowest possible cost, including costs to the environment). If someone will pay you for the item, it's a resource. Or, if you can use the item to make something else people want, and do it at lower price or higher quality than you could without that item, then the item is also a resource. But if you have to pay someone to take the item away, or if other things made with that item cost more or have lower quality, then the item is garbage. [...]
"Recycle, regardless of cost!" doesn't solve a problem; it creates one. Laws requiring recycling harm me, the environment, and everyone else. We have to take prices into account, because prices are telling us that we can't save resources by wasting resources.
Obviously environmental externalities may complicate the picture, but he’s right that recycling without considering all the trade-offs is senselessly burdensome.
Fortunately we aren’t yet required by law to recycle our coffee cups, but it’s easy to imagine that happening. My co-blogger Jason Kuznicki notes at The League of Ordinary Gentlemen that Cleveland is installing RFID chips into residents recycling bins to track how often they’re taken to the curb; people who don’t recycle enough will be fined $100.
The costs that go into cleaning, sorting, processing, and finding markets for recycled coffee cups are real. Starbucks deserves credit for trying to overcome them, but if they fail that might be a sign that we shouldn’t waste resources recycling coffee cups. And if consumers want to be green they can take Munger’s advice and follow the price signals: Starbucks offers a 10 cent discount to customers who bring in their own reusable mug.