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Australia plans major overhaul of packaging regulation

Australian Government proposes packaging regulation reform; options are, (i) strengthening existing frameworks, (ii) imposing mandatory national standards, or (iii) implementing an extended producer responsibility scheme; aims to ban problematic chemicals and materials; public feedback until October 28, 2024; Australian state of New South Wales also consulting on a plastics plan until November 4, 2024

The Australian Government launched a consultation process on September 28, 2024, aimed at reforming packaging regulation to minimize waste, increase recycling rates, and foster a circular economy for packaging. In Australia, 56% of all packaging was recovered in 2021-22, but “[p]lastic packaging is particularly problematic, with the lowest recovery rate (20%)” and the rest ending up in landfill and as litter.

The proposed reforms aim to strengthen recyclability standards, mandate recycled content, and provide consumers with clearer labeling. The goal is to incentivize manufacturers to improve packaging practices, including that “chemicals of concern in packaging are eliminated, phased-down or minimized.” The consultation paper also emphasizes the need for improved infrastructure to support collection, sorting, and recycling, as well as increased collaboration between government, industry, and consumers.

The current co-regulatory arrangement for packaging in Australia consists of the Australian Packaging Covenant, an industry-led stewardship scheme, administered by the Australian Packaging Covenant Organisation (APCO), and the National Environment Protection Measure (NEPM). NEPM, established in 2011, outlines regulatory requirements for used packaging materials, while APCO works with stakeholders to promote sustainable packaging practices. Each state and territory implements NEPM with their own policies. However, after 25 years, the scheme has been found largely unfit for purpose, citing unclear responsibilities, lack of performance indicators, and inconsistent data collection.

Options for reform

Three options for reform are being proposed by the Department of Climate Change, Energy, the Environment and Water (DCCEEW):

  1. Strengthen the administration of the existing co-regulatory arrangement, enhancing the current system without fundamentally altering its structure.
  2. Impose mandatory national requirements for packaging circularity, including bans on problematic materials and chemicals of concern such as carbon black, oxo-degradables, and PFAS. Under this option, all packaging placed on the Australian market would be regulated. Packaging must be designed to be recycled at scale, and bans would be placed on materials and additives that impede recyclability, with progressive bans of packaging that does not meet a minimum recyclability threshold would also be implemented. Clear and consistent recyclability labeling would be required, with an emphasis on consumer education.
  3. Develop an extended producer responsibility (EPR) scheme for packaging with financial incentives to drive change. Similar to option 2, this option would regulate all packaging types, mandate clear recyclability labeling, and introduce a recyclability grade label to further inform consumers. Unlike option 2, progressive bans would not be implemented, but financial mechanisms would be used to encourage compliance and improvements in packaging design.

Chemical additives and packaging standards

As stated above, the DCCEEW has proposed banning or phasing out multiple chemicals and materials that impede recyclability. Other design elements under consideration for restriction or to be disincentivized include:

  • Use of mixed or multiple polymers.
  • Inclusion of colors in plastic packaging.
  • Use of PVC/PDVC, EPS/PS, PETG, non-polyolefin bioplastics (PLA, PHA), PA, nylon, EVOH, AIOx, SiOX, rigid steel, and oxo-degradable polymers in packaging.
  • Overwraps, empty space (excess headspace, double walls, and false bottoms).
  • Additives that prevent or impede recycling.
  • Additives that reduce the value of the recyclate.
  • Chemicals of concern regulated through other frameworks to protect human health and the environment.
  • Use of carbon black.
  • Use of silicone, metal parts, wadding, padding, ties, cables, metals, thermosets, pump systems, swing tops with ceramic, and sealing foils not able to be completely removed in container closures.
  • Use of labels and sleeves where they impede recycling.
  • Use of inks that are toxic, bleed, or are metallic or mineral-based.
  • Use of adhesives that are not water soluble or cannot be easily removed in the recycling process.
  • Packaging that cannot be easily emptied by the consumer where the remaining product impedes recycling.

The consultation paper advocates for the use of chemical additives only if they provide a clear and necessary benefit, in line with statements made by the DCCEEW when they first announced this reform process in August 2023 (FPF reported).

According to reporting from Chemical Watch, Australia’s Waste Management and Resource Recovery Association (WMRR) has already called on the federal government to urgently fast-track and expand a planned ban on PFAS, which is set to take effect next year. Currently, three notorious PFAS – PFOA (CAS 335-67-1), PFOS (CAS 1763-23-1), and PFHxA (CAS 307-24-4) –  are being banned from import by July 2025, but WMRR CEO Gail Sloane warned that regulators will face ongoing challenges if all types of PFAS are not addressed.

Consultation

The potential reforms follow a 2021 review that identified significant failures in the implementation and enforcement of the current co-regulatory framework. Issues cited include unclear performance indicators, inconsistent data collection, and confusion around compliance responsibilities.

The consultation on DCCEEW’s proposals closes on October 28, 2024.

New South Wales Plastics Plan

The Australian state of New South Wales is also consulting on proposed actions to reduce plastic litter, reduce harmful chemicals in plastics and microplastics, and keep pace on plastic action. This includes actions directly related to food packaging:

  • Publishing a ‘green list’ of chemicals that can be used in food packaging below certain tolerable risk thresholds and a ‘red list’ of chemicals that are proposed to be phased out of food packaging within specified timeframes.
  • Supporting increased chemical testing capacity for packaging in New South Wales.
  • Introducing a voluntary chemical certification and labeling scheme for food packaging, to be made mandatory in five years.

The New South Wales proposal is open for comments until November 4, 2024.

 

References

DCCEEW (September 2024). “Reform of Packaging Regulation.” Australian Government

Kerry Hebden (October 15, 2024). “Australia must urgently fast-track and expand PFAS ban, says national waste body.” Chemical Watch News & Insight

New South Wales EPA (September 2024). “NSW Plastics: The way forward.” New South Wales Government. (pdf)

Read more

Kerry Hebden (October 9, 2024). “Australia calls for a ban on carbon black and PFAS in packaging reform options.Chemical Watch News & Insight

Kerry Hebden (October 3, 2024). “New South Wales proposes ‘green list’ and ‘red list’ of chemicals for FCMs.” Chemical Watch News & Insight

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