Disposing of electronic waste correctly as a company

Increasing digitalisation has made our lives easier in many ways, but it also brings new challenges. In 2024 alone, an estimated 60 million tonnes of electronic waste will be generated worldwide, and the trend is rising. Manufacturers, retailers and importers in particular have a duty to take back and recycle electrical appliances properly at the end of their life cycle. In Germany, the Electrical and Electronic Equipment Act (ElektroG) regulates these obligations; at European level, the WEEE Directive (Waste Electrical and Electronic Equipment Directive) ensures uniform framework conditions. Companies that place electrical equipment on the market or sell it online must be familiar with and implement the legal requirements in order to protect the environment and resources while avoiding fines. This article highlights the most important obligations and provides practical tips on the proper disposal of electronic waste.

What does the ElektroG regulate and why is it important? 

Das ElektroG ist die deutsche Umsetzung der europäischen WEEE-Richtlinie. Es legt fest, dass Hersteller und Händler Verantwortung für den gesamten Lebenszyklus ihrer Elektro- und Elektronikgeräte tragen. Ziel ist es, die Menge an Elektroschrott zu reduzieren, wertvolle Rohstoffe zurückzugewinnen und Umweltbelastungen durch Schwermetalle und andere Schadstoffe zu minimieren. Since 2018, an open scope of application has been in force; this means that all electrical appliances are covered by the law unless they are explicitly excluded. Companies that place these products on the market in Germany for the first time must register with the EAR Foundation and apply for a WEEE number. The obligations apply to both brick-and-mortar retailers and online retailers selling via platforms such as Amazon or eBay. Why is proper disposal so important? Why is proper disposal so important? Many electrical appliances contain heavy metals such as mercury, lead or cadmium, but also valuable raw materials such as gold, silver, copper and rare earths. If old appliances are not collected separately, these resources are lost or end up as environmental toxins in the soil and groundwater. Through professional dismantling and recycling, up to 90 per cent of the materials can be returned to the production cycle. Companies that fulfil their take-back obligations and register their equipment with the EAR are therefore making an active contribution to environmental protection and resource conservation.

Device categories according to the ElektroG

In order to define take-back obligations and recycling quotas, the ElektroG divides electrical and electronic equipment into six categories. This classification is crucial for companies, as it determines both the applicable recycling quotas and the type of take-back.

1. Heat exchangers: These include refrigerators, freezers, air conditioning systems, heat pumps and other appliances with integrated circuits that use cooling, heating or dehumidifying agents. These appliances often contain environmentally hazardous substances such as refrigerants and must be disposed of properly. Online retailers are subject to a 1:1 take-back obligation, i.e. when selling a new refrigerator, the old appliance must be taken back free of charge. 

2. Screens and monitors: These include televisions, computer screens, laptops, tablets and devices with a screen surface area of more than 100 square centimetres. Smartphones may also fall into this category if they meet the size requirement. Due to harmful substances such as mercury, strict take-back and recycling obligations apply.

3. Lamps: All replaceable light sources such as incandescent bulbs, LED lights, energy-saving bulbs and fluorescent tubes are classified in this category. They often contain mercury and must therefore be collected separately. Retailers must offer return options within a reasonable distance both when purchasing a new device (1:1) and without purchasing a new device (0:1).

4.  Large appliances (at least one external dimension > 50 cm): These include household appliances such as washing machines, dishwashers, electric cookers, large tools and photovoltaic modules. They are subject to a 1:1 take-back obligation and require a recycling rate of at least 85%.

5. Small appliances (no dimension > 50 cm): This includes vacuum cleaners, microwaves, toasters, coffee machines, hair dryers, toys and small photovoltaic modules. Retailers must offer both 1:1 and 0:1 take-backs; in the case of 0:1 take-backs, appliances with an edge length of up to 25 cm may be returned even without a new purchase.

6. Information and telecommunications technology devices (max. 50 cm): Smartphones, tablets, computers, routers, printers and GPS devices belong to this category. They often contain valuable raw materials such as gold and copper, which can be recovered through recycling. The 1:1 and 0:1 take-back obligation applies in the same way as for small appliances.

The classification of devices as B2C (for private households) or B2B (exclusively for commercial use) is also important. B2C devices require an insolvency-proof guarantee and extensive reporting obligations, while B2B devices only need to be reported statistically. However, since 2022, manufacturers of B2B devices have been required to submit a take-back concept that is approved by the EAR Foundation.

Registration requirement and WEEE number

Companies selling electrical appliances in Germany must register with the EAR Foundation for WEEE before placing their products on the market for the first time. This registration must be carried out separately for each appliance category and requires detailed information on the brand, appliance type and planned quantity. After successful registration, the company receives a WEEE number, which must be displayed on invoices, delivery notes and in online sales advertisements. Since 1 July 2023, marketplaces such as Amazon, eBay and Etsy have been checking whether sellers have a valid WEEE number; otherwise, they risk having their accounts suspended. Registration is a prerequisite for paying the statutory disposal costs (WEEE eco-fees).

The WEEE number must be displayed on the product or packaging together with the crossed-out wheelie bin symbol. This symbol informs consumers that the device must not be disposed of with household waste. This labelling requirement has long been in place for B2C devices and has applied to B2B devices since 2023. Stock produced before 31 December 2022 is exempt from retroactive labelling.

Companies not based in Germany or another EU Member State may only distribute electrical and electronic equipment here if they appoint an authorised representative. This authorised representative assumes responsibility for fulfilling the obligations under the ElektroG on behalf of the foreign company – in particular registration, reporting and the organisation of take-back. The appointment must be notarised and submitted to the EAR Foundation. For online retailers outside Germany, choosing a reliable authorised representative is therefore essential in order to secure legal distribution channels.

Take-back obligations: 1:1 vs. 0:1 take-back

The ElektroG distinguishes between two types of take-back that are relevant for retailers (including online retailers):

1:1-return: When a customer purchases a new appliance, the retailer must take back the old, similar appliance free of charge. Example: When purchasing a new coffee machine, the retailer must accept the old coffee machine. For large appliances such as refrigerators, the retailer must even organise collection; simply referring the customer to public collection points is not sufficient.

0:1-return: Without purchasing a new device, retailers must take back small old devices with an edge length of up to 25 cm free of charge. This right applies to up to three devices per return method. For online retailers, this means that they must offer return points within a reasonable distance or provide a free shipping option. Brick-and-mortar retailers with a sales area (online retailers: storage area) of more than 400 m² are obliged to take back devices.

The take-back obligation applies not only to new goods, but also to wholesalers who sell B2B equipment to commercial customers. In practice, companies often use service providers to handle collection and recycling. It is important that the take-back systems are approved by the EAR Foundation and that all relevant documentation requirements are met.

Common mistakes and risks in WEEE registration

Many companies underestimate the administrative effort involved in WEEE registration. Common mistakes include:

• Incomplete device description: Registration requires precise details regarding the type, model and brand. Incomplete data will result in queries and delays at the EAR.

• Incorrect category assignment: Some retailers assign their products to the wrong device category, e.g. smart watches or e-scooters are not clearly classified as "small ICT devices" or "LV battery devices". This can lead to incorrect recycling rates and additional claims.

• Unreported quantities: Companies must regularly report the quantity of devices placed on the market. Failure to report or incorrect reporting may result in fines of up to €100,000.

• Forgotten insolvency-proof guarantee for B2C devices: This guarantee ensures that take-back is guaranteed even in the event of insolvency. Without a guarantee, the EAR will refuse registration.

• Missing labelling: The crossed-out wheelie bin symbol and the WEEE number must be clearly visible on the product or packaging. If the labelling is missing, warnings from competitors and authorities may be issued.

Companies that sell internationally should also note that the WEEE Directive is implemented differently in each EU country. A device that does not require registration in Germany may well need to be registered in France or Poland. That is why it makes sense to seek the support of a full-service EPR provider when trading across borders.

Tips for the proper disposal of electronic waste

Compliance with legal requirements is an important step, but sustainable disposal begins with product development and business operations. The following tips help companies manage electronic waste professionally while reducing costs:

1. Designing durable and repairable devices: Even during development, manufacturers should focus on modular designs, easily replaceable components and a documented spare parts supply. This extends the service life of products and means fewer devices end up in the bin prematurely.

2. Offer repair services: Retailers can offer repair services in collaboration with manufacturers or local specialist companies. This allows customers to keep their devices longer, while companies strengthen customer loyalty and meet the requirements of the Ecodesign Directive, which calls for reparability.

3. Optimising return logistics: Online retailers are advised to work with specialised take-back systems or dual systems. These organise collection, sort the devices by category and deliver them to certified recycling companies. Zmart, for example, offers packaging licensing as well as a full WEEE service that supports companies with the entire WEEE registration and take-back process.

4.  Inform customers: Transparent communication is crucial. Companies should inform their customers about proper disposal, e.g. through notices on their website or on the packaging. An overview of the nearest collection points encourages customers to return their products. In addition, a take-back seal can be used to document compliance with obligations.

5. Leveraging synergies with packaging licensing: Those who already license sales packaging through a dual system such as Zmart can often bundle electrical and battery obligations as well. Comprehensive advice on the Packaging Act, Electrical and Electronic Equipment Act and Battery Act saves time and reduces administrative effort.

6. Regular training: The legal situation is constantly changing, as demonstrated by the amendment to the ElektroG 2022 and the recent tightening of the take-back obligation for online retailers (since July 2023). Regular training courses or webinars help to ensure compliance.

Penalties for violations

Companies that fail to comply with their registration obligations or do not take back old equipment properly face heavy penalties. The ElektroG provides for fines of up to €100,000 for missing or incorrect registrations. In addition, there is the threat of warnings from competitors and injunctions. Platform operators such as Amazon or eBay can block seller accounts if no valid WEEE number is available. Damage to reputation and loss of customer trust are also to be expected if environmental obligations are disregarded.

A real-life example: A medium-sized online retailer of household appliances failed to register its trademark with the EAR and sold several hundred vacuum cleaners. After a competitor noticed this, a warning letter was issued. The retailer not only had to pay a fine, but also had to recall all appliances and re-register them. The resulting costs far exceeded the fees that proper registration would have incurred.