Extended Producer Responsibility (EPR)
Non-compliance with Extended Producer Responsibility (EPR) can lead to sanctions that can go from product restriction and banning or severe reputational damage to meaningful monetary fines up to 100.000 euros, disqualification, and confiscation of merchandise.
The enforcement of this regulation is gaining strength as countries have ruled EPR a mandatory environmental policy. Non-compliance and inadequate measures to ensure waste management have significant consequences for producers, which vary depending on the severity of the violation and the size of the producer, resulting in impacts to their ability to do business and operate in the market.
What exactly is EPR?
Extended Producer Responsibility (EPR) is a type of environmental policy that was implemented for the first time in Sweden and has been adopted in numerous other countries, within and outside of Europe. This policy is based on the ‘’polluter pays principle’’ and therefore it regulates the producer’s responsibility for the products that they place on the market. Additionally, it contributes to the evolution into a more circular economy by means of better management of waste and avoidance of resources loss.
Its main objective is to manage waste adequately and contribute to the reduction of the negative effect caused on the environment by excess waste, as well as avoiding the loss processed materials and reducing dependence on new raw materials.
Under these regulations, producers are responsible for the entire life cycle of the products from creation to the end-of-life. Consequently, the legal obligations include dealing with the wastes produced by means of paying the fees for collection, recycling, reusing and disposing.
How to contact us?
Clients can contact us directly by reaching out to our Sustainability Expert, Marie. We have a team of consultants who can meet with you virtually (or in person, depending on location) to determine how we can best fit your EPR needs. While we are based primarily in Poland and Spain, we have experience with and work with clients across Europe, so don’t hesitate to reach out if you think we might be able to help!
Who is affected by EPR regulations?
In a nutshell, this legislation covers any person who places products (subject to EPR) on the market. In other words, any legal or natural person who develops, manufactures, processes, sells, or imports products professionally, regardless of the sales technique used in their introduction to the national market.
The requirements can differ for those companies selling directly to end consumers (B2C) and those selling to retailers or distributors (B2B). Obligations can also vary widely for those selling domestically versus those selling internationally. Therefore, it is important to consider your niche on the value chain to determine your responsibilities.
Who should get EPR Registration numbers?
Individuals and companies that produce products subjects to EPR are obliged to comply and obtain an EPR registration number
Sellers of products subject to EPR have to obtain the EPR registration numbers from their suppliers
What product categories are affected by EPR?
In an effort to reduce waste and contribute to a circular economy, the requirements on EPR have been strengthening since its beginnings and will keep increasing and updating. More products will be included under the scope of this regulations.
The most common categories are:
Packages
Batteries
Electrical and electronic equipment
Other categories considered under the scope of EPR are:
Used industrial oils
Tires
Vehicles
Furniture
What is a Producer Responsibility Organization (PRO)?
A PRO is a collective entity set up by producers, or through legislation, which becomes responsible for meeting the recovery and recycling obligations of individual producers. These are third parties that manage the collection, reuse, or recycling of different categories of waste. Producers pay a fee for the services of the PRO, which is usually calculated according to the amount of goods placed on the market. It’s important to note that each stream of waste and each country has its own PRO.
Obligations
Extended Producer Responsibility (EPR) laws can be different in every country and therefore it’s important to check and confirm which are the applicable obligations for the specific category of products your firm places on the market. Generally, a commonality is that there are financial and declaration obligations.
In the specific case of Spanish regulation, the main responsibilities that have to be complied with are the following:
- Obtaining the registration corresponding to the specific product category. These vary, but for instance, for packaging, this is done to the Registration of Product Producers (Registro de Productores de Producto) and for electrical and electronic equipment, the Integrated Industrial Register (RII).
- Entering into an agreement with a PRO
- Periodically declaring the amount of products placed on the market to calculate the applicable fees
- Paying the fees to the PRO covering all the cost related to waste management
- Complying with obligations related to the design in order to produce goods that consider eco-design principles to reduce its environmental impact and the production of waste.
- Complying with labelling obligations according to each product category
- Appointing an authorized representative, where necessary
What is the role of the Authorized Representative?
The Authorized Representative (AR) is an intermediary between foreign producer’s and Spanish authorities for the compliance of EPR obligations and to guarantee efficient communication.
Producer’s that are not stablished in Spain must have an AR who will be responsible of the compliance of the EPR obligations, such as registering the producers in the corresponding register, reporting as well as represent the producer in the PRO.
The AR can also offer relevant expertise on local legal and technical obligations, which is particularly useful when foreign actors are not as accustomed to Spanish legislative and administrative procedures. Thus, having an AR who is an expert in Spanish EPR can guide you as a company to fulfill these and associated requirements.
How can we help?
We support companies, producers and individuals placing electronic and electrical equipment, batteries, and packaging onto the market with a comprehensive service that can include:
Initial consultation to identify your needs and how we can help you
Study of your case
Compliance analysis
Calculation of estimated costs on EPR fees
Registration in the producers registration
Support for clients in case they need authorized representatives
Establishing contact with Producer Responsibility Organizations
Benchmarking and offering advice on best EPR practices
Regular mapping and monitoring on legislative changes
Consulting on labeling obligations
Do you want to implement ESG in your company?
Not knowing where to start?
Having trouble understanding the relevant legislation?
Marie Gomersall
Sustainability Expert