A plastic- EPR credit model is envisaged where a producer is not required to recycle their own packaging, but to ensure that an equivalent amount of packaging waste has been recovered and recycled to meet their obligation. However, producers are mandated to acquire evidence of recycling or recovery [PLASTIC-EPR CREDIT] from properly accredited processors [recyclers, W2E plant operators, cement co-processors, users utilizing plastic in the road] or exporters.
Producers and processors/ exporters may exchange plastic credits for a financial transaction at a price and other terms as negotiated between them. The producers can exchange credits from processors that have been specifically accredited for this purpose. The accredited processors, therefore, receive additional funding for every tonne of packaging waste they reprocess and have an incentive to acquire further tonnage, thereby driving up recovery rates.
By introducing a digital ecosystem that makes the process of buying or selling these plastic credit certificates quick, secure & equitable, EcoEx, in hindsight, is enabling the efficient nation-wide implementation of the EPR Plastic.
According to Plastic Waste Management (PWM) 2016, plastic has been categorized into three significant kinds; Flexi, Rigid and MLP, where MLP stands for Multi-Layer Plastic.
Multi-Layer Plastic: Multi-Layer Plastic (MLP) is kind of material that is used for packaging and which carries at least one layer of plastic as the main component in combination with one or more layers of materials
Flexi – Flexible plastic types are LLDPD, LDPE, PP,PE, PS, etc.
Rigid plastic types include PET, HDPE etc.
Based on plastic, the trade of plastic credit certificates is also divided into two different parts; Recycling Plastic Credit Certificate & End of Life Plastic Credit Certificate.
Recyclers of plastics can issue Recycling Plastic Credit Certificates for Non-MLP & sub-categories of Non-MLP plastic wastes to producers, importers, brand owners, and brokers. Basis the agreed price & quantity of plastic traded during the auction, the certificate will carry plastic credits which can be used by the buyer to comply with their Extended Producers Responsibility (EPR) obligations.
Waste to Energy Plants and Cement Kilns can issue Plastic Credit Certificate for MLP plastic waste to producers, importers, brand owners and brokers. Basis the agreed price & quantity of plastic traded during the auction, the certificate will carry plastic credits which can be used by the buyer to comply with their Extended Producers Responsibility (EPR) obligations.