June 2019

ACCOUNTING OF E-WASTE OBLIGATION

DOLPHY D’SOUZA
Chartered Accountant

The E-waste (Management) Rules, 2016 (“Rules”), as amended, impose e-waste obligations on manufacturers of electrical and electronic goods who have placed any goods in the market in the current financial year. The collection, storage, transportation, segregation, refurbishment, dismantling, recycling and disposal of e-waste shall be in accordance with the guidelines published by the Central Pollution Control Board.

 

The purpose of this article is not to dive deep into the legislation, but to explain the accounting consequences with a simplified example.

 

Consider a refrigerator manufacturer that has been in manufacturing for many years; it has the following e-waste obligations under the Rules:

--->

Past Issues

Flip-Book

Obligation for financial year

(the measurement period)

Quantum of
e-waste obligation

Expected cost (Rs. million)

HTML View
Current Issue