EU waste package

first implementation of EU regulations

Implementation of the EU waste package into Polish law can currently be divided into regulations which are already certain and we know that they will enter into force within a specific timeframe, and regulations whose legislative processes are underway and we do not know when they will end. Unfortunately, the latter are the most dangerous for Polish entrepreneurs, as they do not allow for proper preparation for what is inevitable anyway.

Regulations with finality on the legislative process

The first implementation of part of the EU waste package into the domestic legal system is already behind us. The Sejm has accepted the Senate's amendment on a wide-ranging amendment of environmental regulations which affects, among others, the Waste Act. The rather lengthy legislative process for the act, which began in April this year, is thus coming to an end. The passed regulation was directed to the signature of the President of the Republic of Poland and then to publication in the Journal of Laws. The act in question is part of the implementation of the EU waste package into the domestic legal system.

The amendment, the vast majority of which will come into force on 1 January 2022, introduces several key changes that will affect the majority of entrepreneurs. First of all, the amended regulations introduce a definition of the extended producer responsibility system and define new recycling levels for packaging waste to be achieved by 31 December 2030. There are other regulations waiting in the pipeline that will implement the EU regulations into Polish law.  

According to the amended legislation, the extended producer responsibility regime is: 

"... a set of measures taken to ensure that the introducers of products, including packaged products, bear either financial responsibility or financial and organisational responsibility at the life cycle stage of the product when it becomes waste."

The introduction of this definition is, despite appearances, very important. It directly defines the responsibility of the producer or the entity that imported the product into Poland for what happens to it after becoming waste. Of course, it can be assumed with some simplification that this responsibility will mainly come down to increased costs for businesses. And this is a good assumption. This amendment does not yet provide for additional fees that entrepreneurs will have to charge. This will take place in subsequent acts, which will soon be at more advanced stages of the legislative process. 

Therefore, it is made clear that the following waste management costs will be borne by those who place products on the market (in practice, producers or those who import products from abroad):

  • The costs of separate collection of waste arising from products and subsequent transport and treatment and the costs necessary to meet other objectives and targets, minus the proceeds from reuse, from the sale of materials arising from the treatment of that waste and, where a deposit system is introduced, from unclaimed deposits;

  • The costs of informing holders of waste from products about waste prevention measures, re-use and preparation for re-use facilities, collection schemes and ways of preventing littering;

  • The costs of collecting and reporting data on products placed on the market and the collection and treatment of waste from products, as well as reporting on it.

Obviously, the above obligations can be fulfilled collectively by marketers through a representative entity. The latter option is usually chosen as it allows for some cost savings. 

The amendment also defines new levels of packaging waste recycling, which is to be 70% for all types of packaging by 31 December 2030. The Act also clearly defines levels for individual types of packaging. 

A major change has also been introduced for construction and demolition waste, which will have to be collected and taken back selectively, divided into different types of fractions. 

Regulations that are still to come

Let us remember that there are still some regulations which have not been implemented into Polish law. These include the implementation of the Plastics Directive (in fact, the law in this respect should already be in force from the beginning of July 2021), specification of the extended producer responsibility system in detail, and the regulation which introduces a packaging fee. Most of these regulations introduce some form of additional fee that will be imposed on all or selected products. This is why it is so important for entrepreneurs to be familiar with precise regulations which will clearly specify when and how much they will be obliged to charge. At the moment, this is, in practice, a fortune-telling exercise. We should remember the sugar tax regulation, which was shelved for a while only to come back with a bang and be introduced quickly. At the time, entrepreneurs did not have much time to adapt. Now we can at least try to realise how big the changes are ahead of us.

 

 

PwC Retail Platform

 
 

Contact us

Mieczysław Gonta

Mieczysław Gonta

Partner, PwC Poland

Tel: +48 502 184 907

Krzysztof Wiński

Krzysztof Wiński

Director, PwC Poland

Tel: +48 519 506 434

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