Public consultation on Federal Decrees that establish the take back requirement systems for metal, paper and cardboard packaging

In brief

On November 3, 2022, the Federal Government issued two Public Consultations on Decrees that intend to establish the take back requirement systems for metal, paper and cardboard packaging, which were published in the Official Gazette. Comments on the decrees should be sent to the Secretariat of Environmental Quality of the Ministry of Environment through the online platform by December 2, 2022.

More details

Both texts of the recently published Public Consultations resemble in form and content that one of the Public Consultation on the take back requirements for plastic packaging.

The draft Decree of the take back requirements of metal packaging covers packaging made of aluminum, steel or other metal or metal alloy, intended for containment, conservation, handling, protection and transport of product.

On the other hand, the draft Decree on the take back requirements from paper/cardboard packaging covers packaging made of paper, cardboard, or similar cellulose-based material, intended for the containment, conservation, handling, protection, and transportation of products.

Both texts expressly revoke the Sectorial Agreement for General Packaging (2015) regarding metal, paper and cardboard packaging. The texts also authorize the issuance of new rules that aim to link environmental licenses and/or its renewal on the demonstration of compliance with the legal requirements of the take back requirement system.

The Federal Decrees also foresee two phases for the implementation of the obligations on the respective packages they seek to regulate:

• Phase 1 (which will begin with the decree’s publication and last for 180 days) will consist of (i) installing the Performance Monitoring Group (GAP), (ii) manufacturers and importers joining the management entity (or presenting their individual model to the GAP), (iii) traders and distributors joining the management entity (or presenting its individual system), (iv) developing of financial mechanisms to ensure economic sustainability in structuring the implementation and operationalization of the system, (v) preparing communication and environmental education plans, (vi) drafting the Basic Operational Manual and Operational Plan by the companies, and finally, (vii) structuring a mechanism that allows necessary data to be reported and monitored by the government through SINIR.

• Phase 2 (which will begin right after the Phase 1 finishes) deals with the execution of the take back requirements activities. It will consist of (i) installing reception and consolidation points, (ii) signing a legal instrument between cooperatives/associations and companies/managing entities, for services, (iii) guaranteeing the environmentally final destination of waste, considering the decree’s goals, (iv) executing the communication and environmental education plans, and (v) monitoring and evaluating the system.

Similar to the plastic sector, the new draft Decrees brought the provision of the black box system, which will allow the capture of anonymized information from the business sector and the obtaining, in a confidential and secure way, of the quantity of product or packaging masses made available in the market and returned to the productive sector.

Finally, the Decrees’ text also brought specific regional and national minimum targets for recycling disposable packaging placed on the domestic market, aligned with PLANARES — Federal Decree No. 11.043/2022.

With regard to metals, different targets are being set according to the type of metal in the package:

• For aluminum packaging, the goals for recycling at regional and national levels for 2023, for example, would be: North (9,82%); Northeast (14,11%); Center-West (14,11%); Southeast (38,04%); and South (19,02%); which totals a considerable sum of 95,10% nationwide.

• For steel and other metal or alloy packaging, the targets for 2023 would be: North (2.64%); Northeast (4.39%); Center-West (4.39%); Southeast (10.55%); and South (5.27%); to total 27,25% nationwide.

With regard to paper/cardboard, for the year 2023, for example, the goals for packaging recycling at regional and national levels would be: North (3.70%); Northeast (6.15%); Center-West (6.15%); Southeast (14.77%); and South (7.38%); a total of 38,15% nationwide.

In addition, both texts foresee annual goals until 2032 for the use of “recycled content” in packaging, that is, the proportion, in percentage, of the mass of recycled raw material that should be used in the manufacturing of the packaging in relation to the total mass of the packaging. For the year 2023, a national target of 77% for aluminum packaging, 21% for steel packaging and 21% for paper/cardboard packaging was set.

Our Environment, Climate Change and Sustainability team has extensive knowledge on the subject and is available to discuss the impacts of this new federal government proposals on the day-to-day operations of companies and to assist in preparing comments on the text.