Navigating the Regulatory Maze

Resin suppliers, converters, recyclers and brand owners must work together to develop innovative products and processes that enable recycled and recyclable packaging solutions. Image Courtesy of NOVA Chemicals

Collaborative Partnerships Will Help Brand Owners Prepare for Upcoming Recyclable Packaging Legislation

By John Thayer, Senior Vice President, Sales and Marketing at NOVA Chemicals

Regulations surrounding the composition, manufacture and disposal of plastic packaging are changing rapidly. Amidst growing concerns about consumer and environmental health, governments around the world are adopting a variety of tactics to combat unmanaged plastic waste. Many efforts are focused on creating a circular economy for plastics, in which plastic packaging is designed to be recyclable and can be collected and reprocessed into new products. Recycling regulations and available infrastructure vary greatly by region, however, with different countries, states and even cities taking different approaches to recycling system design.

Many legislative efforts are exploring options that shift the responsibility for recycling management to producers, and brand owners are faced with challenging requirements as different models and mandates attempt to fundamentally alter the way plastic packaging products are created. In this transformative period, as the world attempts to move toward a more circular model of production and consumption, collaboration across the value chain is more important than ever. Resin suppliers, converters, recyclers, and brand owners must work together to adapt to the ever-changing regulatory environment and develop innovative products and processes that enable recycled and recyclable packaging solutions.

Regulatory Trends

Recent legislation affects all aspects of packaging design, from the material structures themselves to how they can be recycled. The European Union (EU) Single-Use Plastics Directive introduced a requirement for tethered bottle caps to increase plastic recycling. To strengthen the market for recycled materials, post-consumer recycled (PCR) material mandates are being introduced, such as the Accelerating a Circular Economy for Plastics and Recycling Innovation Act of 2024 bill introduced in Congress last fall that would require a minimum of 30 percent recycled content in plastic packaging. PCR materials must meet stringent purity standards for high value applications like food packaging, and food-contact materials must also comply with recent EU and U.S. restrictions on certain substances such as PFAS and heavy metals.

Laws focused on producer responsibility are also gaining traction. The EU has had extended producer responsibility (EPR) programs in place since the 1990s, and the provisional Packaging and Packaging Waste Regulation (PPWR) stipulates that all packaging must be recyclable by 2030 in addition to other waste reduction, material transparency, and EPR requirements.

The majority of Canadian provinces have enacted producer responsibility laws over the last decade, with the 2019 Canada-wide Action Plan on Zero Plastic Waste calling for full EPR programs across the country with funding for waste collection and management from producers and producer responsibility organizations (PROs) such as Circular Materials and Recycle BC.

Multiple states have passed bills regarding recycled content mandates and EPR in the U.S. including California, Colorado, Maine, Oregon, and Minnesota.

There are different fee structures and management systems for EPR programs around the world, including for-profit and non-profit PROs and individual or collective producer responsibility. Typically, fees are determined by material type and recyclability.

Material Expertise

Many legislative efforts are exploring options that shift the responsibility for recycling management to producers. Image Courtesy of NOVA Chemicals

To be compliant with the necessary requirements, players at every stage of the value chain need to be well informed about current laws and proposed reforms. Choosing the right partners ─ companies that demonstrate a forward-thinking mindset and possess a global perspective ─ will be key to helping brands stay ahead of the game and smoothly navigate regulatory changes.

For EPR programs and recyclability requirements, producers must prioritize designing for recyclability. Designing plastic packaging for recycling requires in-depth knowledge about material performance, production processes, additives, and food contact chemicals. Resin suppliers, with their extensive experience in product development, have the necessary background and material expertise, particularly for highly regulated industries like food packaging.

Designing packaging for recyclability is meaningless if the recycling infrastructure remains inadequate, however. The expansion of recycling collection programs and recycling facilities is essential for circularity. A collaborative approach to recycling that involved brand owners, retailers, and recyclers could have expanded recycling capacity and supported improvements in processes and technologies to capture and recycle more plastic. Without collaboration and communication between producers, recyclers, and municipalities, consumers will still lack access to recycling streams that are capable of reprocessing plastic materials.

In the U.S., recycled plastic used in food packaging must meet the same standards as virgin materials. The U.S. Food and Drug Administration (FDA) examines the sourcing and production process for each proposed recycled material. If the process is expected to meet the material requirements, the FDA issues a Letter of Non-Objection (LNO). Although not legally binding, the LNO is an important step in establishing trust for recycled materials. In the past, recyclers did not need to be aware of the food contact material requirements laid out in the Code of Federal Regulations. Today, a thorough understanding of those regulations is crucial to produce quality feedstock that can be repurposed into high value applications.

Transitioning to a new type of material, such as PCR plastic, comes with its own difficulties. The incorporation of PCR resin often affects how the material is processed and can cause challenges during extrusion. Resin suppliers and converters can work together with virtual modeling software and improve process control at test facilities to develop recycled products that are suitable for existing packaging equipment.

Working together accelerates new product and packaging development by identifying opportunities, requirements, and capabilities, and designing customized solutions that are both functional and feasible. Resin suppliers can work with recyclers to design the appropriate collection and processing protocols to ensure the appropriate feedstock is available for specific materials. When brand owners involve resin suppliers and converters early in the process, they can more easily develop products that meet regulatory and consumer needs, and compliance experts can inform the design and suggest new possibilities for innovative solutions.

Investing in Innovation

New packaging regulations are coming, and ambitious companies cannot wait for laws to pass to start the process of redesigning their packaging and supply chain. Investing in early research and development is essential for success and consumer acceptance. Brand owners should seek out suppliers and converters who are committed to continuous research, innovation and new technologies that enable progressive designs, including mono-material packaging structures, oriented films for lightweighting and downgauging, and PCR material blends.

As regulations move toward a more circular economy, it is time for plastic packaging to be seen as the valuable resource it is and no longer as disregarded waste after use. Post-consumer packaging will be a core foundation of new packaging material, and the design of this new process requires input from across the value chain. Collaboration will help create the circular plastics of the future that not only comply with regulatory requirements, but match consumer preferences and reduce the environmental impact of the packaging industry.

About the Author

John Thayer is the Senior Vice President, Sales & Marketing, responsible for driving market leadership for the Polyethylene and Ethylene businesses for NOVA Chemicals. He has been involved with several industry associations where he has been an advocate for the value of plastics and circularity, including numerous positions at the American Chemistry Council (ACC) Plastics Division, including Chair and member of the Executive Leadership Team. Learn more at https://www.novachem.com