EPR compliance, made easy

The Philippine EPR Act of 2022 mandates Obligated Enterprises to recover their plastic packaging waste responsibly. This involves redesigning plastic packaging to enhance reusability, recovery, or recyclability. Additionally, it includes measures such as offsetting, redemption, or buy-back of plastic waste, as well as contributing to the collection and transportation of recovered plastic waste to appropriate recycling sites. By holding manufacturers accountable, the law aims to reduce plastic pollution and promote a circular economy.

These are its key objectives:

• Institutionalize Extended Producer Responsibility (EPR) mechanisms to minimize plastic waste through improving waste management focusing on recovery and recycling and extending the life cycle of a product for full circularity
• Encourage public-private cooperation in waste management at national and local levels
• Promote education and awareness on sustainable practices and ecological responsibility

The Philippine EPR Act of 2022 mandates producers to recover their product plastic packaging waste, promoting eco-friendly practices such as recycling to facilitate plastic recovery and foster a circular economy. It aims to minimize environmental harm by holding Obliged Enterprises responsible for the entire lifecycle of their goods, from production to disposal.

Obliged Enterprises (OE) must comply with the following:

• Submit EPR Program: Each OE must design and register an EPR program with the DENR. This should include plans to reduce, phase out, or offset plastic packaging, enhance recyclability, or achieve plastic neutrality.
• Undergo Third-Party Audit: Programs and OEs must be audited annually and submitted to the DENR. For the OEs, audits must be also conducted internally within their organization to validate their plastic footprint, either in totality or for the given compliance year
• Ensure Traceability: The system must trace plastics from where the plastic waste was collected as well as its next of life, and verified via a certificate issued by the Waste Diverter or Producer Responsibility Organization. The Certificate must also be notarized in accordance with the EPR Law
• Offset plastic based on these targets:

A. Product Redesign and Reduction:

• Minimize the use of non-environmentally friendly materials through redesign.
• Incorporate recycled content into products.
• Reduce overall plastic use.
• Implement information, education, and communication (IEC) campaigns.
• Improve product labeling for better consumer awareness.

B. Waste Recovery Programs designed to prevent plastic waste from leaking into the environment. These may include:

• Buy-back, redemption, or offsetting schemes to recover post-consumer plastic waste.
• Reintegration of recovered waste into value chains through recycling or other sustainable methods.
• Clean-up activities targeting coastal areas, public roads, waterways, and other affected locations.
• Collaborations with LGUs, communities, and the informal waste sector to enhance plastic recovery efforts.
• Proper transport of recovered waste to certified recycling, composting, or disposal facilities within the country.
• Development of waste diversion infrastructure, including recycling, composting, thermal treatment, and other environmentally sound facilities.

Plastic Bank enables obliged enterprises to meet their EPR obligations through plastic waste recovery and diversion programs designed to prevent waste from leaking into the environment. Our model combines community impact, traceability, and measurable plastic diversion so companies can comply with RA 11898 with confidence:

Here’s how we support EPR compliance:

a. Waste Recovery Schemes (Buy-Back, Redemption, and Offsetting)

Plastic Bank operates community-based collection systems where collectors can exchange plastic waste for financial incentives. This approach helps companies recover measurable volumes of post-consumer plastic to offset their footprint and meet mandated recovery targets.

b. Diversion of Recovered Waste into Circular Value Chains

Collected materials are processed into a certified, high-quality recycled material that is sold to companies to be reintegrated into new products and packaging, which helps reduce the demand for virgin plastic.

Transportation of Recovered Waste to Accredited Facilities

We facilitate the safe and compliant transport of recovered plastic to authorized recycling facilities to ensure responsible waste handling.

Obligated enterprises (OEs) violating the EPR Act of 2022 would be fined P5 million to P20 million (USD 90,000 – 181,000) and face the automatic suspension of their business permits on the third offense.

Obliged Enterprises are large enterprises that generate plastic packaging waste involved in manufacturing, importing, selling, distributing, and using products covered by EPR laws must comply in the Philippines with at least 100,000,000 Million Pesos in assets.

Micro, Small, and Medium Enterprises (MSMEs) are not mandated, but encouraged to participate voluntarily.

By the end of 2023, companies need to demonstrate recovery and diversion of 20 percent of their 2022 plastic packaging footprint; 40 percent by 2024, with 10 percent annual increase up to 80 percent by 2028 and onwards.

• Verified plastic collection and recycling solution
  Its blockchain platform allows tracking the plastic collection and recycling journey from collection to processing, ensuring verified data for audits and reports.
• Social impact for informal waste collection communities that collect plastic for recycling.
• Large, consistent collection capacity
  With a monthly collection capacity of 500 to 1,000 tons, it can ensure the fulfilment of large plastic recovery requirements.

Plastic Bank supports Obliged Enterprises in achieving EPR Compliance as a Waste Diverter and as a Producer Responsibility Organization (PRO).

As a waste diverter, Plastic Bank operates programs to collect and recycle post-consumer products and packaging.

As a Producer Responsibility Organization (PRO), Plastic Bank:

1. Tracks the volume of waste recovered and provides companies with verified collection to comply with government-mandated recovery targets
2. Manages partnerships by building networks with collector communities and recycling facilities
3. Provides auditable reporting and documentation on the entire waste recovery process to support regulatory submissions
4. Educates and engages stakeholders through awareness campaigns, provides training, and engages communities, brands and LGs to strengthen overall waste management systems.

Under the law, OEs may receive awards (monetary or otherwise) for outstanding initiatives in reuse, recycling, or reduction.

OEs and MSMEs may apply for tax and fiscal incentives under the National Internal Revenue Code, pending alignment with the Strategic Investment Priority Plan. Final guidelines are under development by the DENR and Department of Finance.

EPR compliance drives business growth by bolstering brand reputation, cutting waste management expenses, spurring product innovation, and ensuring legal adherence. This attracts eco-conscious consumers and investors, while mitigating environmental liabilities, fostering resource efficiency, and maintaining compliance, thereby nurturing sustainable business expansion.