Packaging EPR Series: How to Collect Data and Prepare for Reporting
For those unfamiliar, Extended Producer Responsibility (EPR) laws require Brand Owners to take responsibility for the entire lifecycle of their products, including packaging. This includes managing end-of-life processes such as collection, recycling, and disposal. Brand Owners pay compliance fees based on the volume of packaging they distribute.
EPR requirements vary by state, so it is important to review specific regulations to understand the designated Producer and assigned responsibilities. To comply with EPR requirements, Brand Owners must track and report the volume of products sold within each state that has an EPR law.
Collecting and reporting this data is crucial and complex, especially for Brand Owners selling in multiple states. Here’s an example to demonstrate how a Brand Owner would approach data collection and reporting in California:
Example: Producing and Selling Antifreeze Bottles
A company based in Texas manufactures antifreeze bottles at their Houston plant. The company sells these bottles to retailers in California. When the bottles are produced in Texas, they are filled with antifreeze and labeled with their brand. The bottles are then packed into cardboard boxes and placed on wooden pallets for shipping. According to EPR regulations, the company is considered the Producer because the packaging bears its brand.
The company ships the pallets to a distribution center in California. The distribution center removes the pallets and cardboard boxes and distributes the antifreeze bottles to retailers. The retailers place the bottles on their shelves for consumers to purchase. After consumers buy the antifreeze bottle, they use the product and dispose of the empty bottle in their residential recycling bin.
Who needs to comply with the EPR requirements?
The company in Texas, as the Brand Owner, must track the volume of packaging materials shipped to California.
What data is required to be collected?
The Brand Owner in Texas will be required to gather data on the antifreeze HDPE bottles, considering factors such as:
Packaging Material Types: Information such as the total weight and type of packaging material sold and shipped to be distributed in California.
Recycled Content: Detailed information related to the amount of recycled content used in the packaging.
Reusability, Composability, and Recyclability: Clarification whether the packaging is reusable, compostable, or recyclable.
Sales Data: Information on the quantity of packaging materials sold or distributed within California.
Reduction Efforts: Description of any measures taken to reduce the amount of plastic packaging used in the antifreeze bottles.
The California-based retailer will be required to gather data on plastic bottles and labels featuring the (manufacturer) Brand Owner’s brand, considering:
Packaging Material Types: Information on the total weight and type of packaging materials received and sold at their premises in California.
In this example, the two parties are required to regularly monitor and track the data to ensure the volumes sold in California are correctly reported to the Producer Responsibility Organization (PRO), and the responsible party for the manufacturing of the HDPE bottles (Brand Owner) is paying the fees when required.
To meet EPR obligations, Brand Owners such as the antifreeze manufacturer from the example can enhance their approach in three key areas: data management, regulatory compliance, and communication. Establishing systems to track product volumes and maintain state-level records, using inventory tracking software, and conducting regular audits can improve data accuracy and integrity. Investing in tools for legislative monitoring and keeping a current database of state-specific regulations can streamline compliance efforts. Effective communication with third-party packagers, reliable data-sharing channels, and employee training on EPR processes can further support accurate reporting and alignment. By focusing on these areas and building efficient reporting systems, companies are better equipped to meet EPR requirements in states like California.
The National Lubricant Container Recycling Coalition or “NLCRC” is an industry-led coalition funded by a committed consortium of value chain stakeholders focused on establishing solutions for the recovery and recycling of packaging for petroleum-based and related products utilized in the transportation and industrial applications Industry.
Members include Berry Global, Castrol (part of bp Group), Chevron, CKS Packaging Inc., ExxonMobil, Graham Packaging, Independent Lubricant Manufacturers Association, Lucas Oil, Nexus Circular, Pennzoil - Quaker State Company, Petroleum Packaging Council, Plastipak Packaging, RPM eco, Safety-Kleen, and Valvoline. For more information, visit https://www.nationallcrc.com
