European Bioplastics warns European Commission’s PPWD reuse targets could destroy fossil-free sector

29 Nov 2022 --- European Bioplastics (EUBP) is joining the rally against the European Commission’s (EC) planned revisions of the Packaging and Packaging Waste Directive (PPWD) – expected this week – saying the “ignorance” of the stipulations has “sent a shockwave” through the industry. The association warns the EC’s focus on reusable packaging targets could effectively shut down the bioplastics sector altogether in Europe.

Leaked last month, the PPWD revisions are set to enforce stringent reuse and refill targets, which critics fear will diminish the recycling industry throughout the EU. However, proponents argue this focus will slash material usage and ensure a path toward the EU’s Green Deal. 

The implications for the fast-developing bio-based and compostable packaging industry, which reportedly accounts for a market worth €51 billion (US$52.95 billion) to the EU economy and employs around 150,000 people, would also be heavily impacted. 

“In its current version, the regulation would shut down entire European businesses developing innovative, sustainable packaging solutions,” says EUBP in a letter to the EC. 

EUBP says bioplastics and compostable plastics are unfairly sidelined by the PPWD revisions.“A ban on compostable packaging, as well as the reluctance to support the uptake of bio-based polymers to substitute fossil-based virgin material, which will always be needed no matter how much the recycling processes may advance, would freeze any further research and investments into this new space and would in effect shut down this industry in Europe.”

Industrial exodus in Europe? 
EUBP is drawing renewed attention to the deindustrialization sweeping across European sectors. Four of the largest bioplastics producers – BASF, TotalEnergies Corbion, Novamont and Biotech/Sphere – have collectively invested €1.6 billion (US$1.66 billion) in plant construction and joint ventures, as well as further R&D. 

Furthermore, more than €100 million (US$104 million) of the €1 billion (US$1.04 billion) Biobased Industry Joint Undertaking fund was spent on R&D in this field. These investments are now under threat by EC legislation. 

Over 600,000 tons of compostable and bio-based plastics were produced in the EU in 2021 – this figure is estimated to reach 1.3 million tons by 2026, says EUBP. 

“The result of a potential ban on compostable plastics and the de facto adherence to fossil-based plastics may not only compromise our ability to reach our own targets and those set by the policymakers but would also jeopardize the EU’s current leadership role in the sector,” the organization continues.

“In consequence, this would shift important innovations to other parts of the world such as China, India, Australia and the US, where compostable packaging currently receives positive incentives and a favorable regulatory landscape.” 

Disproportionate measures?
The association says it has united behind a vision for concrete targets for a circular packaging economy for 2025. “We are fully aligned with the European Green Deal objectives to reach carbon neutrality by 2050 and are committed to reaching ‘100% reusable, recyclable and compostable plastic packaging’ by that date.” 

Leaving the industry open to employ these methods proportionally is essential, claims EUBP, while enforcing stringent reuse targets would contradict the EU’s original Green Deal mechanisms. 

“It is key for policymakers to provide an enabling regulatory and policy landscape. Addressing the plastic waste challenge and meeting ambitious targets requires us to be able to select and choose between well-established packaging materials and the best novel technologies,” reads the letter. 

“We need to expand and enhance existing recycling technologies as well as test, study and embrace promising new packaging materials and solutions. A wide scope ban on compostable plastic packaging would immediately close the door on such a technology, which was originally opened by the EU, creating new European industries and even an extended producer responsibility consortium in Italy.” 

“We, therefore, call upon the EC to respect its original political direction, the principle of proportionality and to ensure a level playing field for all circular technologies.”

Edited by Louis Gore-Langton

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