5 minute read
PLASTICS
from ReSource May 2021
by 3S Media
Establishing a Section 18 EPR Scheme for PACKAGING AND PLASTICS
The countdown to extended producer responsibility (EPR) scheme implementation commenced in May 2021 following the gazetting of Section 18 of the Waste Act in November last year. ReSource speaks to Anton Hanekom and Shabeer Jhetam* about the implications and opportunities for their sectors.
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ong before the latest round of EPR
Ldevelopments, various voluntary producer responsibility organisations (PROs) were already successfully spearheading change in the recycling sector. Within the plastic packaging segments, prime examples include PETCO for PET, Polyco for polyolefins (PP, HDPE, LDPE/LLDPE and multilayer), the Polystyrene Association for polystyrene, and the Southern African Vinyls Association for PVC. The Paper and Packaging EPR schemes also include the metals, paper and glass PROs.
“Overall, these PROs have done an exceptional job, achieving a collection rate of around 58% for all paper and packaging. The collection rate for plastics alone is around 45.7%. These are commendable results that compare with some of the better performing countries in the world,” says Jhetam.
“The new Section 18 regulations contained within the National Environmental Management: Waste Act (No. 59 of 2008) are a welcome step towards a more collaborative approach between government and industry,” he continues. In terms of Section 18, any company or brand that makes or imports any form of packaging will be required to pay an EPR fee per tonne, which will be different for the various material streams. In addition, strict collection and recycling targets have been established, which need to be met by industry over the next five years, starting from January 2022.
Managed scheme versus taxation
The initial Section 28 regulations proposed and subsequently withdrawn by government were going to be applied as an EPR tax. However, it wasn’t clear whether all the taxes collected would be effectively channelled back into EPR activities. In Hungary, for example, where a mandatory EPR tax was imposed, the collection rate fell by around 10% during the first year. This supports the viewpoint that an industry-managed EPR scheme is far more proactive and effective.
To date, the plastics industry’s voluntary PROs have been able to use the revenues they generate to support the collection, sorting and buyback of recycled materials via informal waste pickers, small and medium-sized collectors, and large-scale commercial recyclers. The regulation of an official EPR scheme simply formalises the process. It also ensures that‘free riders’ will be a thing of the past.
“As industry-affiliated bodies, we remain committed to working with the DFFE as this process unfolds. For those plastic producers who are not yet members of one of the four plastic industry PROs mentioned, or Fibre Circle for paper, The Glass Recycling Company for glass or MetPac-SA for metal packaging, we urge you to get in touch with the relevant organisation,” Jhetam advises.
Creating a Section 18 scheme
“As in the past, we believe that managing an EPR scheme through an industry PRO works best. In terms of the regulations, however, individual producers can establish their own independent EPR scheme, so a PRO is not a requirement,” Hanekom explains.
Education and infrastructure
For EPRs to work effectively, though, everyone across the value chain needs to get involved – from the raw material supplier to the end user. That requires a major mindset shift, making consumer education a very important component of successful EPR implementation. Plastics|SA’s drive to create waste ambassadors supports this, as do competitions like the annual Caroline Reid Award, which recognises eco-champions.
Adequate collection infrastructure also needs to be in place. Currently, for example, around 34% of South Africa’s population is not serviced by formal waste management services. Where domestic waste is sent to landfill, there is also no mandatory requirement at present for separation at source.
“Enforcing this is a key factor in increasing volumes and establishing a permanent shift from dumping to recycling,” says Hanekom. “We also need to make it easier for consumers to recycle. Among the more high-tech examples are the reverse vending machines you see at some shopping centres that pay out instant cash for various packaging waste deposits. We also need more buyback centres nationally.”
The industry waste management plan submitted in 2018 included a proposal for a municipal infrastructure fund, and the setting up of SMMEs, among other initiatives. “Hopefully a lot of this will be carried over into the EPR in terms of supporting community projects that can move informal waste pickers higher up in the waste value chain,” Hanekom continues.
Recycling or reuse
The implementation of the EPR schemes will influence how packaging is designed in future. Here, Packaging SA already has a design guideline for recycling.
“Some products are more easily collected and recycled. Others need more end-of-life research and development (R&D),” says Jhetam. “These factors will almost certainly influence how the future EPR fee scale is developed.”
Reaching a point where packaging is 100% recyclable will hinge on joint initiatives between brand owners and manufacturers. At the end of the day, the packaging needs to be fit for purpose. In some cases, that may result in an R&D breakthrough that extends the product’s
*Anton Hanekom is an executive director at Plastics|SA and Shabeer Jhetam an executive director at Packaging SA.
packaging life before it eventually needs to be recycled. A case in point is the development of returnable plastic soft drink bottles that can be refilled and resold up to seven times.
“The proven track record achieved by our voluntary PROs makes us confident that this is the preferred route for EPR implementation. We’ve helped grow members from disadvantaged communities into vibrant business owners. Now the formalisation of the EPR will enable us to grow and sustain these initiatives on a far broader and greater scale,” Jhetam concludes.
