Washington State Recycled Content (PCR) Noncompliance Fines

Washington State Recycled Content (PCR) Noncompliance Fines

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Washington State Levies Fines for Failed Recycled Content (PCR) Requirements: Plans Audits to Uncover Noncompliance

Washington state environmental regulators have taken action under the Washington Plastic Packaging Reduction Law (SB 5022) to increase the use of post-consumer recycled content (PCR) in plastic products like beverage containers and trash bags, issuing the first set of fines this month.

This initiative, introduced as part of the Department of Ecology’s wider strategy to promote sustainable materials, mandates specific recycled plastic minimums for certain products. Failure to meet the minimums can result in punitive actions.

Regulatory Fines and Compliance Requirements

In October, the Department of Ecology announced a total of $416,554 in fines, distributed among 35 companies for failing to meet these recycled content thresholds. Fines ranged from $39 to as high as $67,196, with penalties determined by factors such as the volume of products sold and the shortfall in recycled content. Out of 310 companies that registered in Washington, 128 were subject to the new requirements due to their sales volume or revenue.

The department suspects significant noncompliance, noting that many obligated producers may not have registered their products, potentially leaving hundreds of plastic producers unidentified.

The Department of Ecology plans to conduct audits to pinpoint companies potentially missing from the registry, as well as any additional unreported data.

Reporting and Transparency Requirements

Producers covered by Washington’s law must report the weight of both new and recycled plastic materials sold in Washington, with the first reports due as of April 2024. These data reports aid the Department of Ecology in enforcing compliance and ensuring accurate fee assessments.

Given the importance of transparency in these data reports, Washington’s Department of Ecology has signaled that it may take additional steps, including regular audits, to uphold accuracy and adherence.

How To Track Post-Consumer Recycled Content (PCR) For Reporting or Audits

RLG has been assisting producers with tracking, reporting, and validating PCR (or post-consumer recycled content) for fifteen years. Our assistance touches every aspect of PCR reporting.

First, RLG can collect recycled content information from vendors and suppliers on our clients’ behalf. Secondly, we can track evidence of recycled content, including third-party certifications and audit results, in order to support producers in the event of an audit by a government entity or a Producer Responsibility Organization. Our system ensures that PCR certifications are always up to date so that our clients are not caught unaware and left to face the consequences of outdated evidence.

Finally, we are able to track PCR at an extensively granular level, including post-consumer recycled content in labels and laminates. Producers often encounter extreme difficulties in tracking PCR in laminates and labels, which can be lightweight but also comprised of composite (layered) materials. For example, a single label may be made of multiple material types, such as plastic film, paper, or glue—all of which could potentially be reportable under Extended Producer Responsibility (EPR) laws or PCR requirements.

For that reason, RLG’s Data Insight Platform tracks PCR data—as well as the data that is necessary for preparing packaging reports under EPR laws—at an incredibly granular level. We invite you to reach out to RLG to learn more about how we can assist with recycled content data gathering, tracking, evidence, audit support, and more.

Legislative Trends Across States

Washington’s recycled content legislation is part of a broader trend in state-level regulatory efforts targeting waste reduction and sustainable packaging. Other states, such as California and Washington, have also enacted requirements.

These regulations, alongside Washington’s, aim to stimulate demand for recycled plastics and foster a robust market for post-consumer materials, encouraging industries to shift toward more sustainable practices.

Enforcement and Remediation Opportunities

The Department of Ecology provided all companies subject to fines with the option to request corrective action plans. Some companies, including several beverage and packaging producers, have opted for such plans, which suspend half of their fines in exchange for a commitment to meet future compliance standards. Companies facing penalties are given a 30-day period to either pay the fines or file an appeal.

Broader Implications for Sustainable Packaging

Washington’s recycled content requirements reflect an increasing movement toward sustainable material use and the prioritization of resource conservation. By raising minimum standards, states like Washington, New Jersey, and California are hoping to create a circular economy that reduces landfill-bound waste and promotes the use of environmentally preferable materials in packaging.

For more information on recycled content laws and ongoing developments in US environmental regulations, visit:

  • Washington State Department of Ecology: ecology.wa.gov
  • CalRecycle’s Packaging Reform: calrecycle.ca.gov
  • New Jersey Department of Environmental Protection: nj.gov/dep
  • The Ellen MacArthur Foundation and PCR: The Global Commitment 2023

 

The Role of Data in PCR Reporting and EPR Compliance

It is widely agreed that data will play an increasingly central role in sustainability initiatives—and laws—in months and years to come. Businesses that aggregate data correctly and efficiently now will be better positioned to comply with forthcoming laws than those that do not, especially given that reporting requirements are expected to become increasingly unwieldy as more disparate territories implement reporting laws.

Contact RLG for assistance with your PCR and EPR reporting needs.

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This article is for informational purposes only and should not be regarded as legal counsel. Information is valid as of the time of publication and is subject to change. Always refer to primary sources for the most up-to-date information.

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Les Griffith - Speakers

Business Development Director
RLGA

Les Griffith is currently the Business Development Director at RLGA and is tasked with expanding the company’s data management offerings for packaging EPR in the Americas. Les has over 30 years of industry experience in Environmental Services, Extended Producer Responsibility and Reverse Distribution. Les has spent these last 30 years working with organizations to develop progressively more sustainable solutions to the management of end-of-life materials. Prior to joining RLG, Les spent eleven years at Covanta most recently serving as the Business Development Director for the Healthcare Solutions division. His group covered North and Central America and specialized in providing a suite of services to healthcare PROs, take-back services to retail pharmacy and law enforcement and environmental services to the healthcare sector and reverse distributors. Prior to Covanta Les spent 10 years at Waste Management Inc. as an Area Manager for their Healthcare Solutions group.

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Andriana Kontovrakis - Speakers

Director of Compliance Services
RLG

Andriana Kontovrakis is the Director of Compliance Services for Reverse Logistics Group’s US team.  She manages a team responsible for ensuring manufacturer and retailer customer compliance with EPR laws for electronics, batteries, packaging, household hazardous wastes, and other consumer products across the US. Along with RLG partner the Household and Commercial Products Association, she is spearheading the development of the Household Product Stewardship Alliance, a stewardship organization forming under the guidelines of Vermont’s HHW EPR law.  Prior to working with RLG, she was a Policy Analyst with the global electronics recycler Sims Lifecycle Solutions where she managed programmatic implementation and customer and supplier accounts for the US EPR compliance unit and the Deputy Director for Waste Prevention for the NYC Department of Sanitation.

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