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Extended Producer Responsibility (EPR) is more than a regulatory checkbox—it’s a strategic framework that holds producers accountable for the full life cycle of the products and packaging they introduce into the market. Below, we’ll examine EPR in three parts: 

  • what it is and how governments and businesses are currently approaching it, 
  • why organizations such as Plastic Bank view EPR as essential for long-term sustainability, and 
  • how partnering with socially driven innovators can unlock new avenues of purpose-driven growth beyond mere compliance.

1. Understanding EPR and current compliance trends

• Defining EPR

Extended Producer Responsibility (EPR) is a policy model designed to share the burden of waste management on governments and consumers with the producers themselves. By assigning post-consumer responsibility—funding collection, recycling, or disposal efforts—EPR encourages companies to design products and packaging with their entire life cycle in mind.

• Government mandates and compliance

Global landscape: While precise data can vary, the global recycling rate of plastics hovers around 9%, leaving a substantial gap between what is produced and what is responsibly managed.1 Recognizing this shortfall, many countries have introduced and are strengthening EPR regulations, particularly for plastic packaging.

European Union: The EU’s Packaging and Packaging Waste Directive targets a 55% recycling rate for plastic packaging by 2030.2 Some EU nations—like Germany—have reported relatively high overall packaging recovery rates, exceeding 90%.3 However, compliance varies by member states, reflecting different levels of infrastructure and enforcement.

North America: In the United States, EPR legislation for packaging is emerging at the state level. States like Maine and Oregon recently passed EPR laws for packaging, though nationwide standards remain inconsistent.4

Asia-Pacific: Countries such as Japan and South Korea have long-standing EPR programs, while others in the region are in earlier stages of adoption. Enforcement levels and infrastructure capacity vary widely, affecting overall compliance.5

These mandates aim to encourage sustainable product design, fund recycling systems, and reduce plastic pollution. However, compliance rates are not uniform. Some businesses lead the way, rethinking packaging and forging partnerships to go beyond minimal legal requirements, while others lag behind, viewing EPR as a cost burden rather than an investment in sustainability.

2. Why EPR is essential

The need for circularity

Despite growing awareness, the linear “take-make-dispose” model persists, resulting in millions of tons of plastic entering landfills, incinerators, and waterways each year. With less than 10% of plastic recycled globally, it is evident that our current systems and mindsets fail to close the loop. EPR is a powerful mechanism to bring about a paradigm shift: if producers are accountable for the ultimate fate of their materials, they have an inherent incentive to develop more circular, efficient, and less wasteful packaging.

Linking social and environmental good

Plastic Bank, as one of the organizations at the forefront of plastic pollution solutions, envisions EPR not just as a compliance measure but as a moral imperative and an economic opportunity. Emphasizing the idea of “gathering for prosperity,” Plastic Bank believes that businesses can—and should—prosper with communities and the environment, rather than off of them. EPR, when approached holistically, enables a chain reaction of positive outcomes:

  1. Preventing plastic pollution: By mandating accountability, EPR ensures fewer plastics end up polluting waterways and damaging ecosystems.
  1. Uplifting underserved communities: When EPR funds collection and recycling programs in regions without strong waste management infrastructure, it provides income opportunities to people struggling to pave their paths out of poverty.

Driving economic inclusion: Putting money into the hands of communities improves their quality of life and affordability. This stimulates local economies and builds overall consumer purchasing power—a win for both societal well-being and businesses seeking sustainable growth.

Governments as catalysts

Government EPR mandates are the clarion call for this fundamental shift. When laws and regulations specify clear obligations, they provide businesses with a roadmap, making it easier to align efforts, form partnerships, and track results. This structure also levels the playing field: if every business must comply, sustainability no longer feels like a disadvantage but becomes a baseline requirement and a springboard for innovation.

A Plastic Bank member in the Philippines buys groceries with the income earned from collecting plastic.
A Plastic Bank member in the Philippines buys groceries with the income earned from collecting plastic.

3. Beyond compliance: unlocking purpose-driven growth

The prosperity effect

The real power of EPR emerges when businesses see it as more than just mandatory reporting and fees. By partnering with mission-driven organizations like Plastic Bank, companies can transform the compliance exercise into an authentic story of impact:

  • Stop plastic pollution at its source: Plastic collection is funded in areas with inadequate waste management, preventing pollution from entering waterways.
  • Empower local communities: Collection community members receive additional income, improving their livelihoods and fostering a sense of community stewardship.
  • Foster eco-literacy: Regular engagement in responsible waste management encourages greater environmental awareness and aligns daily habits with sustainability.
  • Support circularity: Perfecting circularity with an environmental and social impact becomes a differentiator for businesses to attract a loyal and conscious customer base. This in itself is a model to emulate and grow with purpose.

This model exemplifies a broader notion of “prosperity”: one that transcends financial growth and includes the well-being of people and the planet. When consumers understand how their purchase choices fund tangible environmental and social benefits, it cultivates loyalty and goodwill. In an era where eco-conscious consumers are growing in number, such authenticity can set brands apart from competitors relying on commercial gimmickry, trendy marketing tactics, or low-value price promotions.

Telling a purpose-driven story

Brands that integrate EPR into their core strategy—and communicate it effectively—can tap into purpose as a true differentiator. Imagine shifting away from a constant “buy more” messaging toward sharing how each product sold contributes to preventing plastic pollution, alleviating poverty, and preserving nature. This approach:

  • Builds lasting goodwill: Customers prefer brands aligned with their values and are willing to reward them with long-term loyalty.
  • Inspires cross-industry collaboration: Genuine success stories encourage other businesses to invest in responsible solutions, amplifying the overall impact.

Transforms regulatory obligation into innovation: By seeing EPR as an opportunity, brands can invest in better packaging design, supply-chain transparency, and community engagement, strengthening both their reputations and bottom lines.

Converging on shared prosperity

Ultimately, government mandates for EPR provide the baseline conditions. Businesses, propelled by this framework, can either meet it at minimum compliance or embrace it as a path to shared prosperity—working with specialized organizations to close the gap between the plastic waste crisis and a thriving circular economy. This choice to “prosper with” communities and ecosystems marks a shift from mere accountability to genuine leadership in sustainability.

EPR is a tool to reshape the global approach to plastic, driving producers to reconsider the long-term impacts of their packaging. Amid differing compliance rates worldwide, one truth remains: EPR’s potential to spark innovation and shared prosperity is immense, provided businesses look beyond legal obligation toward collective responsibility and moral opportunity. This in itself necessitates a global implementation of EPR laws to enable a level-playing field for everyone.

Through strategic partnerships and thoughtful execution, EPR can become the first domino in a chain reaction of positive change—reducing plastic pollution, lifting communities out of poverty, and strengthening brand loyalty in an increasingly eco-conscious marketplace. Government policies set the stage, but it’s ultimately up to businesses to leverage EPR as a springboard to a more inclusive, regenerative future for all.


  1. “Single-use plastics: A roadmap for sustainability,” United Nations Environment Programme, March 26,2018, https://www.unep.org/resources/report/single-use-plastics-roadmap-sustainability
  2. “Circular Economy Action Plan,” European Commission, https://environment.ec.europa.eu/strategy/circular-economy-action-plan_en
  3. “Packaging waste statistics,” Eurostat, October 2025, https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Packaging_waste_statistics
  4. “Packaging EPR Laws in the U.S.,” Source Intelligence, August 7, 2024, https://blog.sourceintelligence.com/packaging-epr-laws-in-the-us 
  5. “The Role of Extended Producer Responsibility Schemes for Packaging towards Circular
    Economies in APEC,” The World Bank, https://documents1.worldbank.org/curated/en/099640003102239957/pdf
    /P1709940b3dbd3092083b208e60bcd5719a.pdf#

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