Is EPR too harsh on Producers Importers & Brand Owners
Examining a stakeholder opinion based on current economics and future growth of EPR.
Extended Producer Responsibility(EPR)under Plastic Waste Management Rules, 2016 mandates Producer Importers and Brand Owners (PIBOs) to collect, transport and scientifically dispose of all the plastic that they introduce in the market. The mandate is perceived as a harsh measure by many of the PIBOs. There are a couple of reasons why EPR is perceived as harsh on the PIBOs:
- EPR result in an increase in expenses affecting the bottom line
- The product will become uncompetitive
- EPR increases the legal compliance
It is true that fulfilling EPR require money to be spent on creating logistics, sourcing, storage and disposal mechanisms. In case companies outsource the EPR compliance, the third-party agency must invest in creating these mechanisms.
But, how much does EPR really costs?