The requirement for industry compliance is a familiar and ongoing process in all industries and new legislation for 2024 will see new obligations for packaging businesses across the board.
Are you ready? And what will the new regulations mean for the running of your business in terms of both cost and overall compliance?
Let’s take a look…
The Extended Producer Responsibility (EPR) Regulations 2024 will mean that businesses are obligated to report data on the packaging they handle and supply to the UK market.
The regulations aim to shift more responsibility for managing product lifecycle waste – especially packaging – onto producers. These laws, implemented globally in various forms, require manufacturers and importers to handle the environmental impacts of their products, from design through to disposal and involve producers standing the full net cost of the collection, sorting, recycling and disposal of household packaging.
The new EPR regulations will come into full force from 2025, replacing the 2007 Producer Responsibility Packaging Waste Regulations and represent a growing legislative trend requiring companies to take responsibility for the environmental impact of their products, particularly their packaging, throughout the product lifecycle. Their aim is to reduce waste, increase recycling, and promote sustainable packaging designs. Here, we’ll take a look at some of the ways that the new rules are expected to affect industries globally.
Producers must ensure their packaging is collected, recycled, or disposed of sustainably which could include financing recycling programs or joining Producer Responsibility Organisations (PROs) who can help manage these activities.
Companies will be required to pay fees based on the volume or recyclability of their packaging materials to help fund recycling programs and waste management infrastructure.
In preparation, in the US, states such as California and Oregon have set 2024 as the starting point for compliance activities like registration and initial fee payments.
Industries will face higher compliance costs, including new fees, redesigning packaging to meet recyclability standards and managing supply chain changes to meet reporting requirements.
The new EPR policies encourage the development of eco-friendly packaging materials, such as biodegradable or fully recyclable options, which has broad implications for worldwide industry as a whole. Companies may need better coordination with suppliers to ensure compliance and accurate reporting of material usage and compliance related costs will ultimately be passed on to consumers in some cases.
The legislation brings obvious challenges and complexities, for example, in the U.S., different states have unique EPR requirements, making compliance challenging for companies operating across multiple jurisdictions.
Companies will also face operational adjustments, such as adapting to new systems for tracking and managing packaging waste, which may require significant logistical and administrative changes.
As the regulations are implemented and expanded, industries will need to adopt more sustainable practices. This shift represents an opportunity for innovation in packaging and materials but also poses financial and logistical challenges. Staying ahead of compliance deadlines and leveraging partnerships with sustainability experts can help mitigate these impacts.
For industries, understanding and planning for EPR requirements is crucial to avoid penalties and contribute to a more sustainable future.
For businesses, proactive adaptations such as redesigning products for circularity and building systems for compliance will be critical to meeting EPR mandates while minimising disruptions and finding opportunities in sustainability-focused markets.