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An Overview of EPR

An Overview of EPR. NC SWANA Fall Conference October 14, 2014. What it Means for North Carolina, and What are Viable Alternatives. Jim Frey, CEO of Resource Recycling Systems.

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An Overview of EPR

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  1. An Overview of EPR NC SWANA Fall Conference October 14, 2014 What it Means for North Carolina, and What are Viable Alternatives Jim Frey, CEO of Resource Recycling Systems

  2. Providing solutions to meet sustainability, resource management and waste recovery goals of clients and their supply chains

  3. Extended Producer Responsibility • Some governments outside the U.S. have used Extended Producer Responsibility (EPR) programs to incentivize material recovery • EPR programs require those who design, produce, sell or a use a product to take responsibility for the package after consumers have used it • Producers pay into the program, and funds are used to manage the product’s end of life • Most are funded by a per package fee • Fees are assessed based on the amount of packaging as declared by producers

  4. Advantages of EPR • Provides funding for expanded recycling collection infrastructures • Shares responsibility for recycling management between government and private industry • Builds alignment, framework and funding • Builds a larger, more stable secondary materials market • Minimizes disposal costs to local governments • Encourages design of environmentally friendly packaging

  5. Disadvantages of EPR • Can be disruptive of well run public sector programs • Industry concern for cost burden can compromise program design in ways that might not fit local needs • Public sector may lose some control over how recycling services are presented locally • Industry cost is passed on to consumers • Mandates not popular in the U.S. • Complex system to implement

  6. House Bill 949: Market Based Recycling • Implements a producer responsibility program for packaging and printed paper used by households • Each producer, or a group of producers, must submit a recycling program plan for the collection and recycling of materials • Establishes mandatory recycling rate of 50% by weight by June 1, 2020 for all household packaging and printed paper sold in NC • Mandatory recycling rate is 60% by weight by June 1, 2023 • Producers are responsible for costs and may not charge households at the time recyclables are collected

  7. EPR in Canada • About 50 product stewardship programs • Programs are mandated • An NGO typically manages the program • Existing EPR for Packaging • EPR for Packaging Under Consideration

  8. EPR in Europe • Many EU countries employ EPR • Some mandated, some voluntary • Existing EPR for Packaging

  9. Voluntary Producer ResponsibilityBuilding Out for Maximum Efficient Recovery MAXIMUM EFFICIENT RECOVERY Public sector and industry VPR+ efforts are extended through voluntary collaboration and cross-sector public/ private governance tools to jointly fund and operate recovery systems Best practices in recovery with joint industry and public collaboration on programs, policy, governance and funding results in maximum efficient recovery Public sector supports industry VPR campaigns with effective policies (legislation, ordinances, rules, regulations, etc.) Voluntary producer investments begin to share responsibility for recovery of post consumer packaging

  10. Why do we need a voluntary producer responsibility model? • Provides industry an opportunity to help with current recovery challenges and increase the supply of valuable industry commodities. • Provides an alternative to the patchwork of state and local regulatory interventions that create risk for producers. • Offers a spectrum of potential entry points and outcomes that maximize flexibility and promote steady progress. 10

  11. Voluntary Producer ResponsibilityShared Collaborative Public/Private Recovery An integrated solution for a diverse marketplace

  12. RRS Vision for VPR+/++ Best Practices Needed in 6 Key Areas for Recovery Success 1 2 3 COLLECTION PROCESSING LOCALGOVT Efficient Local Collect and processing action capture. multiplies creates results. results. 6 4 5 EDUCATION STATELEVEL ENDMARKETS Consumers Manage Optimizing support thetools material solutions. forsuccess. markets.

  13. RRS Vision for VPR+/++ FormulaPushing Clients from Good to Great! Processing Education Local and State Policy Financial AMERIPEN-RRS

  14. RRS Vision for VPR+/++ FormulaSupporting Initiatives to Boost Recovery Processing • CARTS AND EDUCATION • Expanded access with rolling carts • Maximize types of packaging materials collected • Leverage hub and spoke models to drive supply • Optimize MRF utilization, technology adoption, overall capacity and efficiency of operation Education • INCENTIVES AND EDUCATION • Sustained incentive-type programs • Targeted community based social marketing/incentives • State Partnerships, CVP, KAB and Earth911 • Funding levels at or above $1 per household Local Participation • POLICIES AND AND EDUCATION • Unit based pricing programs • Local recycling ordinances • State level landfill bans/mandated recycling Government Engagement AMERIPEN-RRS

  15. Jim Frey RRS/CEO Frey@Recycle.com 734.417.4415 @recycle_com

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