The Norsk Gjenvinning Group (NG) is Norway’s largest provider of recycling and environmental services, delivering services to more than 40k commercial and municipal customers and managing 2.2 million tons of waste per annum, which is close to 20% of all waste in Norway. NG also has a growing presence in Sweden and Denmark.
Key business areas include commercial waste management, metals recycling, household collection, demolition services, industrial services, security shredding, downstream sales, waste trading and depot.
Key developments in 2019
NG grew its top-line with 9% in 2019, driven by solid volume growth in its main operating divisions and high activity levels across most business units. The Group also completed four add-ons: Øst-Riv, Norprodukter, KMT and Tenden. Through 2019, NG also received broad recognition for the important work the company does for Norwegian society and circular economy, underpinned by five major sustainability related awards and nominations.
Despite solid top-line growth, 2019 was characterized by plummeting downstream prices on paper and metals due to import bans to China. These challenges, however, were mitigated by NG’s focus on rebalancing contracts and increasing operational efficiency, which will gain effects in 2020.
The challenges we face
Global waste generation is expected to grow by 70% by 20501, while the supply of natural resources is scarce. With a rapidly growing population, we have no choice but to learn to recover and reuse materials through a circular economy.
What is the outcome?
NG is a critical part of Norwegian infrastructure and an enabler for the Norwegian circular economy. Through its activities, NG ensures recycling of materials and recovery of energy in waste, which conserves resources and reduces greenhouse gas emissions
Who are the stakeholders?
NG serves 40k private and public customers in both ends of the value chain, whom the company helps in two main ways:
- Providing superior services for recycling and reuse, which improves customer sustainability and profitability through efficient resource management, future proofing their products/services and gaining market share from less sustainable competitors
- Ensuring an efficient and smooth customer journey by delivering tailored customer concepts, hassle-free delivery models, and a digitalized customer interface
Other important stakeholders are employees (ensuring safe workplace and strong employer brand), and government and authorities (catalyst for circular economy).
How big is the effect, and does it last?
NG manages 2.2m tons of waste per year, at a recycling and recovery rate of 95%, of which 56% is recovered as raw materials. This is far above global figures of 19% recycling rate, as well as national figures of 73% total recycling and recovery rate and 33% material recovery rate. NG contributes to CO2-equivalent savings of 498k tons yearly, equivalent to 1,151k barrels of oil or taking 107k passenger vehicles off the road for a year.
If NG didn’t exist…
Without NG’s services and solutions, 2.2 million tons of waste could receive suboptimal treatment and largely end up in incinerators, landfills and unauthorized disposal sites, severely increasing CO2 emissions and the need for extraction of virgin raw materials. Moreover, commercial business as well as municipalities would lose a major contributor to ensuring true sustainability, and national and local authorities would lose a major contributor to the Norwegian circular economy and a critical part of the Nordic waste management infrastructure.
Impact risk: what can go wrong?
HSEQ is a top priority for NG, due to the risks related to working with heavy machinery and risks of fires in the processing plants. In order to mitigate these risks, NG has strict guidelines and safety routines to ensure a safe working environment. In addition, there is political risk related to NG’s business, as downstream prices remain global and can be affected by political decisions such as China’s import ban causing temporary external price shocks, impacting the competitiveness and profitability of recycled raw materials.
If you want to know more about Norsk Gjenvinning please contact Hannah Gunvor Jacobsen at: email@example.com