Samsung sues Indian government over e-waste policy mandating higher payments

General

India's new e-waste policy hasn't been well received by some of the world's leading consumer electronics companies that operate there. Some had gone so far as to sue the Indian government to roll back the policy.

Samsung had initially held out but it has now joined others in launching a legal challenge against the policy, which mandates that companies make higher payments to recyclers.

Samsung's not a fan of paying more to recycle old electronics

India's new e-waste policy introduces a floor price that companies like Samsung and LG must pay to recyclers that handle appliances such as refrigerators, TVs, ACs, and more. Four companies had already sued the government but Samsung sat on the sidelines until now. The lawsuits are set to be heard tomorrow.

The company had previously lobbied against the decision to impose a fixed floor price to be paid to recyclers. The government maintains that the floor price is necessary to get more formal businesses involved in the recycling process.

According to the government's estimates, only 43% of e-waste was recycled last year with more than 80% of the sector being accounted for by informal scrap dealers. It believes that a mandated price will encourage formal entities to enter this business.

The minimum payment has been set at 22 Indian rupees or 25 US cents per kilogram to recycle consumer electronics. Samsung argues in its 345-page court filing that this new policy is likely going to cause “substantial financial impact,” adding that this price was “5-15″ the price currently paid.”

Samsung thus joins other electronics companies in India who believe that these changes will almost triple their recycling costs and benefit the recyclers at their expense.

Adnan Farooqui - Executive Editor

[email protected]

First Samsung device: SGH-E900

Adnan Farooqui is a long-term writer at SamMobile. Based in Pakistan, his interests include technology, finance, Swiss watches and Formula 1. His tendency to write long posts betrays his inclination to being a man of few words.

General India Samsung Electronics

Samsung sues Indian government over e-waste policy mandating higher payments

Samsung's not a fan of paying more to recycle old electronics

Adnan Farooqui - Executive Editor

[email protected]

First Samsung device: SGH-E900

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