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The system thus creates a strong incentive to ensure that waste is segregated properly at source—as better segregated waste can earn more material value when sold to recyclers. A key factor in the success of this system is the legal mandate for all residents of Belgium to segregate their waste, and the subsequent enforcement of this law. In the absence of a source segregation law, the Belgian system cannot operate in this manner. This system has led to Belgium having a packaging recycling rate of 82% in 2015, surpassing the current EU mandatory target of 50% by 2020.
In the EPR systems used by both Japan and Belgium, the fee paid by producers is tied to the recyclability of the packaging material, with highly recyclable packaging having a lower fee than packaging that is difficult to recycle. Therefore, this also creates a strong incentive for producers to move towards more recyclable types of packaging and better design their products for recyclability.
The Benefits of Both Systems
The image above summarises the mechanisms through which PAYT an EPR can contribute to better waste management in a city. While PAYT focussed primarily on the consumer and collection parts of the value chain, EPR works at the producer, distribution, and collection levels. It is worthwhile to note that a common factor critical to the success of both these systems
A key factor in the success of this system is the legal mandate for all residents of Belgium to segregate their waste, and the subsequent enforcement of this law.
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Packaged goods in a typical supermarket.
Source: Fikri Rasyid on Unsplash
Schematic depicting the stages impacted by EPR and PAYT. Source: GA Circular
is the separation of waste at its source. It is waste segregation that enables residents to modify their behaviour under the PAYT systems to reduce the amount of general waste and increase the amount of recyclable waste. And in EPR models, it is segregation that enables the system to run efficient collection operations and sell greater amount of material to recyclers. Some countries, like South Korea, even implement both these policies simultaneously—taking a two-pronged approach to reducing waste.
As seen from these examples, each of these policies work through different approaches and require customisation to local realities. These examples offer valuable insight for approaches that have worked in the past and could be leveraged to develop future systems to move the world towards the circular economy.
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