PackUK has confirmed that there will be no change to disposal fees for Year 1 of the Extended Producer Responsibility for packaging (pEPR), following a reduction in reported tonnage contributing to a shortfall.
PackUK identified a shortfall in the funding originally calculated for Year 1, primarily due to a reduction in tonnages reported.
To address the shortfall, UK Government said it would “ensure local authorities receive the critical funding they were promised” by closing the funding gap, a one-time intervention to help mitigate increasing costs for producers and maintain stability during the first year of the scheme.
Local authorities across the UK will receive the payments they are expecting to invest in improved waste management and recycling services.
Government to cover shortfall on “exceptional basis”
Under the regulations, producer fees are calculated by dividing the total cost of efficient household waste management by the total tonnage of packaging placed on the market.
Consequently, a reduction in reported tonnage contributed to a shortfall, and to ensure local authorities receive the full level of funding committed under packaging EPR, the UK Government said it will cover this shortfall in Year 1 on an “exceptional basis”.
