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Overview of Packaging EPR Regulations in the US & Canada

Extended Producer Responsibility (EPR) is an environmental policy approach where producers are given significant responsibility—financial and/or physical—for the treatment or disposal of post-consumer packaging. This responsibility incentivises producers to design environmentally friendly products by holding them accountable for the end-of-life impact of their packaging.

Clarity has put together this helpful guide where we will be exploring what regions currently have Extended Producer Responsibility for Packaging in place and the regions that are in the process of implementing EPR for Packaging.

Throughout this guide we will be covering the rollout of EPR across North America. This may prove useful if you have colleagues managing EPR in other parts of your business or are interested in how the UK regulatory change management sits in a global context.

Minnesota

Minnesota Governor Tim Walz has signed the Environment and Natural Resources Supplemental Budget Bill into law, establishing separate statewide Extended Producer Responsibility (EPR) programmes for both packaging and boat wrap. With this legislation, Minnesota becomes the fifth state in the U.S. to implement EPR for packaging, following Oregon and Maine (2021), and Colorado and California (2022). Additionally, Minnesota is the first state in the nation to introduce an EPR programme specifically for boat wrap.

Minnesota’s newly implemented packaging EPR programme mandates that producers who sell packaging, paper products, and food service packaging into the state must contribute financially to support the enhancement and expansion of recycling programmes statewide.

Exemptions:

Producers are exempt if:

  • They introduce less than one ton of in-scope material into Minnesota annually.
  • Their global revenues are below $2 million.

Scope Exclusions:

The EPR system excludes packaging for:

  • Infant formula
  • Medical food and supplements
  • Drugs and medical devices
  • Petroleum gas (refillable)
  • Newspaper print publications
  • Hazardous or flammable products

Penalties:

First violation: $25,000 per day

Second violation: $50,000 per day

Third violation: Up to $100,000 per day

Maine

In July 2021, Maine became the first state in the U.S. to pass EPR legislation for packaging waste. The law establishes an EPR programme, which requires producers of packaged goods to bear most of the costs of recycling and waste disposal programmes in the state. Brand owners selling packaged goods will pay fees on all packaging materials based on the recycling costs for each material. The fee structure will include financial incentives for recyclable and more sustainable packaging.

While the law covers most consumer-packaged goods in Maine, some exceptions include beverage containers (covered by the state’s container deposit programme), long-term storage containers, paint containers, and other materials. The EPR programme will use producer payments to cover operational costs, pay department fees, and invest in consumer education, product collection, and recycling infrastructure to reduce future packaging waste in Maine.

Colorado

Enacted in June 2022, Colorado’s EPR legislation mandates that consumer packaged goods (CPG) companies pay annual dues to support a statewide recycling programme for packaging. These dues will be calculated based on the type and volume of packaging sold and distributed within the state.

Exemptions apply to companies with annual state revenues under $5 million and those that used less than one tonne of the covered packaging materials in the previous calendar year. Certain pharmaceutical products are also exempt.

Supporters of the legislation see it as a strategy to improve Colorado’s recycling and composting rate, which is currently at 15%, half the national average, and to expand recycling services to rural areas.

California

In the summer of 2022, California enacted the most rigorous EPR regulations in the United States. This law establishes a Producer Responsibility Organisation (PRO) and mandates that consumer-packaged goods (CPG) companies and plastic resin manufacturers fund enhancements in packaging recycling and measures to mitigate plastic pollution.

The legislation outlines a timeline for forming the PRO and sets phased recycling targets for plastics and other single-use packaging. It also aims to reduce single-use plastics by eliminating plastic packaging or adopting reuse and refill systems. Additionally, the law sets a goal for packaging to be recyclable or compostable.

Exemptions to this EPR legislation include PET beverages (regulated by the state’s bottle law), medical products, prescription drugs, medical foods, infant formula, and hazardous materials. Companies with less than $1 million in annual gross sales in the state are also exempt.

Oregon

In August 2021, Oregon enacted an EPR law that created a producer responsibility programme for packaging. Brand owners selling covered packaged products must pay fees to enhance and expand recycling programmes and infrastructure across the state. The fees will be influenced by factors such as recyclability, the use of post-consumer recycled content, and the life-cycle impacts of the materials.

The 25 largest producers, determined by market share, are required to conduct life-cycle assessments on 1% of their products sold in the state every two years.

Under this programme, payments from CPG companies will cover approximately one-quarter of the costs for an efficient recycling system. However, producers will not be responsible for the costs of collection, which will continue to be borne by residential and commercial customers.

Exemptions to Oregon’s programme include beverage containers under the state’s existing container deposit rules, as well as prescription drugs, infant formula, medical foods, and architectural paints.

Ontario

In 2002, Ontario made history as Canada’s first province to introduce a shared Extended Producer Responsibility (EPR) programme for packaging and printed paper. Implemented in 2004, the programme required the industry to cover 50% of the costs of operating the recycling system, with municipalities funding the remaining costs.

In 2021, Ontario announced significant changes to its EPR programme. These changes include expanding the programme to cover more communities, standardising the list of recyclable materials, and extending collection to additional facilities such as apartment buildings, retirement and long-term care homes, and schools.

These changes aim to transfer the financial responsibility of the EPR programme away from municipal taxpayers by holding producers fully accountable for managing the lifecycle of their products. This transition is expected to save municipalities an estimated CAD $156 million annually. The changes will be phased in gradually from 2023 through 2025.

Alberta

In December 2021, the government of Alberta enacted the Environmental Protection and Enhancement Amendment Act, establishing an Extended Producer Responsibility (EPR) framework for managing single-use plastics, packaging, and paper products.

This new framework transfers the responsibility and costs of collecting, sorting, treatment, and recycling packaging waste from local governments and taxpayers to the manufacturers and industries that produce these items. It also aids Alberta’s shift towards a circular economy for plastics.

Alberta’s EPR regulations were approved on 3rd October 2022 and came into effect on 30th November 2022. By 1st April 2024, producers of single-use products, packaging, and printed paper (PPP) must have their collection and management plans verified. The EPR systems for PPP must be operational by 1st April 2025.

Nova Scotia

In December 2021, the provincial government committed to EPR for PPP as part of the Environmental Goals and Climate Change Reduction Act, with specific regulations for the programme announced on 2nd August 2023.

Producers will be required to meet recycling targets, gradually encouraging the use of more environmentally friendly packaging and reducing single-use plastics.

This initiative aims to standardise recycling programmes across Nova Scotia, decrease landfill waste, and provide incentives for producers to minimise consumer packaging. Extended Producer Responsibility (EPR) shifts the responsibility for collecting, sorting, and processing kerbside recyclables from municipal governments and taxpayers to producers, both physically and financially.

Yukon

The Government of Yukon has taken significant steps to enhance waste management across the territory by approving a regulation that establishes general guidelines for developing and implementing Extended Producer Responsibility (EPR) programmes. This commitment aligns with Yukon’s strategy for climate change, energy, and a green economy, known as ‘Our Clean Future’.

In early 2022, the Government of Yukon engaged with key stakeholders to draft a legislative proposal for the Extended Producer Responsibility regulation. Between 1st November 2022 and 17th February 2023, the government conducted extensive public and stakeholder consultations, gathering feedback through stakeholder meetings, written submissions, and a public survey.

During the Autumn 2023 Legislature Sitting, Bill No. 28, Amendments to the Environment Act, was passed, paving the way for the implementation of the Extended Producer Responsibility Regulation.

Manitoba

In 2010, Manitoba introduced a shared Extended Producer Responsibility (EPR) programme for the recycling of packaging and paper. Under this initiative, the costs were divided, with industry producers shouldering 80% of the expenses and municipalities covering the remaining 20%. This approach aimed to promote collaboration between producers and local governments in managing recycling processes.

Currently, the government of Manitoba is considering a proposed plan to transition to a fully-fledged EPR programme, wherein the industry would assume complete financial and managerial responsibility. This new plan envisions a system where producers are entirely accountable for the costs and operations of collecting, sorting, treatment, and recycling packaging and paper waste.

Saskatchewan

In 2012, Saskatchewan passed The Household Packaging and Paper Stewardship Program Regulations, which required industry/producers to finance up to 75% of the cost of recycling programs for residential waste packaging and paper.

In May 2022, Saskatchewan released draft regulations proposing a transition to a full EPR packaging model, where the industry assumes total operational and financial responsibility for collecting and recycling packaging and paper products.

With the approval of the Program Plan, producers including retailers, manufacturers, and restaurants that provide packaging and paper to residents will now assume both operational and financial responsibilities for managing household packaging and paper, from collection through to recycling. The transition to the system will begin from 1st December 2024.

British Columbia

In 2011, British Columbia updated its recycling regulations to require businesses that supply packaging to manage the collection and recycling of their products. Implemented in 2014, this policy shifted the financial burden of recycling from taxpayers to producers, encouraging more sustainable packaging and waste reduction.

The introduction of Extended Producer Responsibility for residential packaging and paper led to an investment of over $45 million (CAD) into the province’s recycling infrastructure. Since 2014, producers have operated an effective recycling system, managing over 186,000 tonnes of packaging and paper materials annually.

As part of its EPR Five-Year Action Plan for 2021–2026, British Columbia is considering enhanced recycling initiatives and policies for industrial, commercial, and institutional packaging waste. This includes materials generated in office buildings, warehouses, stadiums, grocery stores, food service outlets, institutions, and agricultural settings.

Quebec

In 2006, Quebec initiated an EPR packaging system, where producers contributed to the costs, and municipalities managed recycling operations. Since 2013, the industry has covered all costs of curbside collection and recycling, while municipalities have retained operational control.

In 2020 Quebec announced revisions to its EPR for packaging legislation. Brand owners will now be accountable for the entire lifecycle of their products, including sorting, treatment, and recycling. They must meet performance targets for both collection and recycling. The transition to the new EPR model will take place between 2022 and 2024, with full implementation expected by 2025.

Summary

EPR programmes are gaining traction across North America, aiming to reduce packaging waste and encourage sustainable product design. The ongoing legislative efforts across this region signify a growing commitment to environmental responsibility and waste reduction in Northern America.

Need Further Support with EPR?

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If you have any questions about international compliance or would like to find out more about how our EPR solutions can work for your business please reach out to us on info@clarity.eu.com to discuss your needs.