With the final data submission under the shared responsibility system now completed, Extended Producer Responsibility (EPR) is in full swing and obligated packaging producers must prepare now. Through the ‘polluter pays’ model, Extended Producer Responsibility for packaging aims to reduce packaging waste and increase resource efficiency.
The mechanism to achieve the aims set out by Defra is in phase two of the implementation of EPR, where a modulated fee system based on the recyclability of the chosen packaging format will be introduced. Each material will be graded on its recyclability; the harder to recycle, the higher the fee it will incur.
In 2025, obligated packaging producers will be asked to provide much more granular data on their packaging format. This data submission will inform packaging producers’ Local Authority Waste Management fee for 2026 and will depend on the sustainability of their packaging.
Although Defra are yet to release the official modulation fees, it is crucial producers begin to prepare now to avoid financial turmoil in the future.
Clarity outlines 4 ways packaging producers can prepare for the modulated fee system: