EPR Compliance

As the Extended Producer Responsibility (EPR) landscape evolves, the NLCRC continues to track new legislation and adapt to changes in packaging laws through its Legislative Monitoring, Assessment, and Advocacy workstream.

After nearly two years of comprehensive assessment, analysis, and engagement with stakeholders across the petroleum packaging and related value chains, the NLCRC’s efforts led to the formation of
The Lubricant Packaging Management Association (LPMA), powered by Interchange 360. Created by Producers of petroleum and automotive products, the LPMA offers EPR compliance solutions for its members and supports circular material management initiatives.

Although the NLCRC and LPMA operate as separate entities, they collaborate to optimize EPR compliance and enhance the performance of collection and recycling initiatives.

The NLCRC And LPMA - What Is The Difference?

The LPMA is a regulatory compliance agency for Producers and Brand Owners (i.e., licensees, retailers, distributors of petroleum and automotive products and their associated packaging).

The NLCRC is a collaborative coalition representing the entire petroleum packaging value chain, uniting brands and key stakeholders in an equal partnership to accelerate the development of recycling solutions that drive circularity within the industry. 

By working collaboratively to address challenges related to legislation, packaging design, and collection efficiency, the NLCRC enhances recycling efforts, reduces industry risks, and maximizes the business value of circularity investments.

This collective approach ensures that solutions are efficient and sustainable, delivering long-term benefits for all involved.

What Is The Lubricant Packaging Management Association (LPMA)? 

The LPMA is a national non-profit EPR compliance agency founded by five lubricant Brand Owners with the purpose of providing Extended Producer Responsibility (EPR) compliance options for its members and supporting the development of circular material management solutions for their petroleum-based and related products and packaging. 

What Is Extended Producer Responsibility (EPR) 

EPR is a policy approach that shifts the responsibility for managing post-consumer packaging collection, logistics, and recycling from local governments to the Producers. This policy approach assesses fees based on the amount of packaging sold in the state in the U.S. where EPR applies. 

Under these EPR laws, Producers are legally obligated to pay compliance fees based on the total of the distributed (sold) packaging. To manage compliance with this initiative, state-approved Producer Responsibility Organizations (PROs) are tasked with collecting these fees and using them to improve recycling infrastructure. The specific fee structure is determined by each PRO or state’s regulations, ensuring an effective and sustainable approach to managing packaging waste.

As of September 2024, California, Colorado, Maine, Oregon, and Minnesota have passed packaging EPR laws, while Vermont has passed a household hazardous waste (HHW) EPR law. Each state is working through a policymaking process that further defines EPR program expectations. An estimated timeline for implementation has been developed, including key dates to assign or join a PRO, completion of state assessments, and timelines for when Producers must begin to pay EPR fees.

Producer / Brand Owner Responsibilities

The term “Producer” varies from state to state, but in general, it is defined as Brand Owners or their licensees. A Producer is defined as an entity that first brings “items sold in or with packaging” into the state, which includes both physical retailers and those selling through e-commerce, remote sales, or distribution channels. 

Additionally, Producers are those who package items for shipment to retailers or directly to consumers. If an item is sold with packaging that bears the manufacturer’s brand or lacks any brand identification, the manufacturer is considered the Producer. Conversely, if the packaging does not display the manufacturer’s brand, the Brand Owner of the item is deemed the Producer.

Producer Obligations And Timeline

These five states (CA, CO, OR, MA, MN) have passed packaging EPR laws, while VT has passed a household hazardous waste (HHW) EPR law. Producers across various states now face impending deadlines to join their respective PROs. In California, the requirement mandates their participation by 2027, while Colorado, Oregon, and Vermont expect Producers to be on board by 2025. Meanwhile, in Maine and Minnesota, the likelihood is that Producers will need to align themselves with the PRO by 2026.

How To Prepare For Extended Producer Responsibility Requirements

Complying with Extended Producer Responsibility (EPR) begins with collecting data related to product distribution in each state and material specifications on packaging. In some cases, this process can be complicated and time-consuming, potentially involving multiple internal resources, customers, and suppliers. Producers can prepare for EPR compliance by assembling the following information: 

  • List all products sold in EPR states (CO, CA, OR, ME, MN, VT).

  • List packaging formats used for each product and quantity of units sold.

  • Document materials used for each format and their weights.

EPR Compliance - Consider Joining The LPMA  

The LPMA is developing compliance plans and solutions for its members in each EPR state. To comply with the Colorado registration deadline, join by October 1, 2024. If you are a Producer or Brand Owner and intend to join the LPMA, please complete the Notice of Intent on the LPMA website.