Blog Post: Extended Producer Responsibility (EPR) for Packaging Webinar Highlights

EPR for Packaging ^{1, 2, 3, 4}

In 2021, Maine passed the first EPR for Packaging law in the US. There are now four states with active EPR packaging laws and more than a dozen with bills introduced. 

EPR, or Extended Producer Responsibility is “a policy approach that assigns producers responsibility for the end-of-life of products.” ²

EPR is not new—these have existed for decades across the United States and include regulations on products like paint, electronics, and/or appliances. EPR policies seek to systematically minimize waste by encouraging producers to maximize on the resources that are already in the system. EPR for packaging extends this idea beyond products to include packaging as well.  

The Recycling Supply Chain ^{5, 6, 7, 8, 9}

Recycling is a key method in minimizing waste and circulating resources. Unfortunately, the US has felt supply and demand constraints with recycled materials for years, where supply is either limited, not consistently available, or possibly contaminated which limits how the materials can be used. The solution here has been to sell materials to countries with an equivalent demand. Recent changes in global trade policies have severely limited this option and the supply chain is broken again. As a result, municipalities are quickly reducing or discontinuing expensive recycling programs. This perpetuates the cycle then, where supply begins to diminish. 

The goal of EPR is to restore this broken supply chain by increasing recycling rates, improving the quality of recycled materials, and increasing the use of material with recycled content in products and packaging, thereby making recycling a simple and economical decision for everyone in the supply chain. 

Understanding EPR Policies

While each EPR for packaging policy will be different, there are key elements and language used consistently.

“Producer of packaging” ^{5, 9, 10}

One idea that is consistent among Packaging EPR is that the primary “producer of packaging” will be the brand owner of the packaged product. This definition will vary by state, in a scenario where a brand owner as defined by the state doesn’t exist, producer responsibility could fall to the distributor or importer of the packaged good or the retailer selling the packaged good, or the packaging supplier

Regardless of which entity along the supply chain is responsible, Packaging EPR laws typically include exceptions for some producers. The most common are for:

• Low-volume producers—those who fall below a set threshold for gross revenue and/or the weight of packaging materials sold
• Government agencies 
• Non-profit organizations

Applicable Packaging ^{9, 10, 12}

The specific goal surrounding a policy will determine the definition of “packaging” under that policy. These definitions might describe the packaging based on the packaging material, where or how the packaging is used, or the levels of packaging. 

For example, applicable packaging may be described as:

• Plastic or paper packaging and products 
• Single-use or short-term packaging
• Packaging that is only intended for consumers.

While exempt packaging may include:

• Packaging intended for long term storage, like the setup box for a puzzle or pallets
• Packaging for hazardous materials
• Packaging that is already addressed with another state program (like Paint EPR or a Bottle Bill)

Sustainable Design ^{2, 9, 10, 11}

Most Packaging EPR includes targets for sustainable packaging design. These vary highly by state and could be mandated or incentivized and often change over time.

Targets might include:

• Recycling rates for each producer and/or state-wide
• The use of materials with recycled content
• Reducing weight
• Reuse and refill programs
• Consumer education, like including end-of-life instructions on packaging

EPR Structure ^{5, 8, 9, 10, 11}

Producer responsibility under EPR comes in two forms – financial and operational. 

Every EPR policy requires financial responsibility from producers. A Product Responsibility Organization (PRO) is a producer-led organization that collects producer fees and manages the overall program.  PROs are typically non-profit organizations and require advisory committees with a diverse representation of stakeholders.

Operational Responsibility for producers falls on a spectrum. 

On one end of the spectrum is Full Producer Responsibility where the PRO has full financial and operational responsibility for waste management and recycling of materials rather than local governments. In this model, the PRO would often contract these services out to other entities and therefore does not necessarily require an overhaul of existing programs or infrastructure since 

On the other end of the spectrum is the Municipal Reimbursement Model, also referred to as a Stewardship Model. Under this Model, producers only have financial responsibility. This model maintains the existing structure in place for waste management and producer fees are used to reimburse local governments for operational expenses. 

The middle of this spectrum is referred to as Partial Producer Responsibility because the PRO is only responsible for SOME recycling services. This responsibility is determined based on where each state finds a need for extra support from producers.

Most Packaging EPR models in the US, both active and proposed, lean more toward Reimbursement or Partial Responsibility Models, where producers have less operational responsibility.

EPR for products has been in the US since the 90s, but most of the existing policies are only about 10 years old. We can expect EPR for Packaging to evolve and grow even faster.  

Every part of the packaging industry will be impacted by EPR for Packaging as supply and demand for materials with recycled contents shifts. It’s important to understand your role in EPR for Packaging and the opportunities coming your way. 

RESOURCES

Extended Producer Responsibility (EPR) for Packaging Webinar

1. Quinn, M. (2021, August 13). What can EPR programs learn from more than a decade of PaintCare? Waste Dive. 
2. Coalition, S. P. (n.d.). Extended Producer Responsibility - SPC’s Guide.
3. Extended Producer Responsibility Bills Gain Momentum. (n.d.). 
4. Circular economy introduction. (n.d.)
5. Valentic, S. (2022, August 26). What’s Next for Extended Producer Responsibility - An Update from Colorado: Part 2. Waste360. 
6. Consumer Goods Association. (2020). Reduce. Reuse. Confuse.
7. Quinn, M. (2021a, February 11). 2021 could be year for packaging EPR, nearly a dozen state bills in play. Waste Dive. 
8. Zero Waste Scotland. (2021, June 9). Consultation on a new UK packaging Extended Producer Responsibility (EPR) scheme.
9. Coalition, S. P. (n.d.-a). EPR Guide to All Policies | Sustainable Packaging Coalition.
10. California Enacts EPR Law Aimed at Single-Use Plastic Packaging and Food Service Ware. (n.d.). The National Law Review.
11. Consumer Goods Forum. (2022). Building a Circular Economy for Packaging: A View from the Consumer Goods Industry on Optimal Extended Producer Responsibility [White paper].