PPWR : New EU packaging regulation - what do companies need to consider?

Recycling icon and European Union flag on background EU community circular economy concept 3d illustration.
© niroworld - stock.adobe.com

The Packaging and Packaging Waste Regulation (PPWR) is the EU’s new framework for packaging, set to take effect on 11 February 2025. It establishes rules on recyclability, minimum recycled content, ecomodulation, and mandatory recycling quotas, introducing significant changes for industry, trade, and policymakers. 

The PPWR seeks to curb the rising volume of packaging waste in the EU and aims to halt its increase by 2030 through an effective circular economy. Replacing the previous Packaging Directive, it will introduce stricter and more uniform regulations across all member states. The new requirements must be implemented within an 18-month transition period.

To achieve the planned targets, producers must step up their game, as Eva Müller-Axmann a circular economy expert and Managing Director at the international management consultancy RecyleMe, explains: „The circular economy must be transformed from a peripheral issue into a central component of corporate policy. The industry is increasingly being held accountable for demonstrating a commitment to sustainability and fair processes. The biggest challenge for packaging manufacturers concerning the PPWR is to switch to more environmentally friendly materials and designs to fulfil the requirements of the new regulation. In some cases, this also requires investment in research and development in order to develop new, sustainable packaging solutions and at the same time guarantee the functionality and safety of the packaged products. This can be particularly challenging for packaging that comes into contact with food.

But of course the new regulation also has an impact on the waste management industry. “Implementing the PPWR is a challenging task that will keep us all busy in the coming years”, says Harald Hauke, CEO of Altstoff Recycling Austria AG (ARA).  “In Austria, we can look to the future with comparative confidence thanks to the preparatory work of recent decades and an innovative packaging and waste management industry. Nevertheless, it is important to take measures at an early stage in order to be well prepared and avoid EU fines.”

>>> "The PPWR has the potential to revolutionise the way packaging is produced and managed"

According to Axmann the PPWR might also be beneficial for the waste and resources sector:  “Increased standardisation in the production and design of packaging will make it easier for the waste management industry to process this packaging. Sorting and recycling processes can thus be optimised. New opportunities may also arise in the processing of collected material, such as the continuous further development of chemical recycling, which should provide reliable, homogeneous material flows for the economy. The PPWR is expected to reduce the consumption of resources for packaging and help to reduce waste and pollution. Manufacturers will be encouraged to avoid unnecessary packaging and to design packaging in such a way that it is easily recyclable. This includes the use of recyclable materials and the labelling of packaging to facilitate correct disposal. The regulation will also hold manufacturers accountable by requiring them to participate in collection and recycling programmes and to bear the costs of disposing of packaging waste. This should incentivise the production of environmentally friendly packaging and support waste management. The regulation has the potential to revolutionise the way packaging is produced and managed and could create new business opportunities for companies specialising in sustainable solutions.”

>>> PPWR ready for adoption

Eco vendor go green packaging parcel carton box in net zero waste store asian seller retail shop. Earth care day small SME owner asia people wrap reuse brown paper pack gift reduce plastic free order.
The new PPWR also poses new opportunities for the waste management sector. - © ChayTee - stock.adobe.com

PPWR: The most important key points and deadlines at a glance

By 1 January 2028: Publication of Design for Recycling Guidelines

In the future, packaging should be designed to be recyclable - meaning that it can be sorted into defined waste streams and recycled effectively and efficiently. In addition, the quality of the resulting secondary raw materials must be sufficient to replace primary raw materials. As an incentive for companies, the PPWR creates a framework for ecomodulation. In the long term, recyclable packaging should be cheaper to dispose of than less recyclable packaging. The framework is to be published by the EU Commission in the Design for Recycling Guidelines by 1 January 2028. It will be up to each member state to decide on the specific design, which will be implemented 1.5 years later.

Packaging must be recyclable by 2030

If the recyclability of packaging is below 70% according to the criteria of the Design for Recycling Guidelines, it will be considered non-recyclable and will not be allowed to be placed on the European market from 2030 (from 2035, 'high volume recycling'* will be required as an additional criterion; further tightening of the recyclability limits is planned from 2038). This will be accompanied by a ban on certain types of single-use plastic packaging, for example for fresh fruit and vegetables or in the hospitality sector. At the same time, the Regulation sets binding quotas for reusable packaging, including for beverages and transport packaging, e.g. in online retail and industrial and commercial logistics (exceptions are planned, quota increase from 2040).

From 2030: mandatory minimum percentage of recycled material in plastic packaging

A minimum percentage of recycled material (between 10% and 35%, depending on the product) must be used in plastic packaging from 2030. From 2040, these rates will increase to between 25% and 65%. Exceptions include packaging for certain pharmaceutical or medical products and packaging containing less than 5% plastic. The EU Commission will define the method for calculating and verifying recycled content by 31 December 2026. As with recyclability, eco-modulation will apply: Higher recycled content can lead to lower licence fees, if determined by the member state. Ultimately, this should also promote a fair European recyclate market in terms of sustainability and circular economy and minimise price differences that distort competition, such as those that currently exist for PET between cheaper virgin material and more expensive recyclates," concludes Hauke.

 

* Definition of ‘on a large scale’: From 2035, packaging must also be ‘recycled on a large scale’ (‘Recycled at Scale’, RaS) in order to be considered recyclable. This means, for example, that certain recycling rates must be achieved for the individual categories of plastic packaging, such as packaging made from PET or plastic film. The methods for this assessment are still being defined by the EU Commission.

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