US Extended Producer Responsibility Packaging Legislation

Extended Producer Responsibility (EPR) legislation is a regulatory approach that holds producers responsible for the cost of their product’s end-of-life. Producers are defined as brand owners or manufacturers who use and own products made from materials outlined in the legislation that are sold or distributed in that state. For CPG companies, EPR legislation will impact you directly or indirectly—whether you produce your own products or work with manufacturers.

The aim of EPR legislation is to drive sustainable packaging and improve recycling infrastructure by stabilizing the supply and demand for recyclable materials—and, ultimately, to create a more circular economy. EPR laws have been enacted in four states (California, Colorado, Maine, and Oregon) and are being considered in as many as ten more. This legislation impacts producers who use and own products made from the materials called out in these various bills and sold in these states. The legislation assists with recycling and waste management by shifting the responsibility and costs of managing packaging waste from municipalities to packaging producers.

Under EPR laws, producers are typically required to join a Producer Responsibility Organization (PRO), which is run by a third-party and assists with management and accountability. Producers pay an annual fee to the PRO (a fee that can be lessened based on what sustainable packaging options the producer may deploy). The PRO fee is then used for implementation and management of collection and recycling services. Producers are also generally required to annually report their production levels and material use. Each of the four states that has enacted an EPR law is in the rulemaking stage—so the final requirements of each are still being worked out.

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