The new Packaging Act replaces the Packaging Ordinance
The Packaging Act will come into force on 1 January 2019, replacing the current Packaging Ordinance. The Packaging Act only applies to the German market. As it implements union law requirements, corresponding national implementation acts will come into force in the other EU member states. The Packaging Act is one of the results of many union law regulations designed to encourage companies to conduct their business in an environmentally friendly manner and to take responsibility for their products. The aim of the Packaging Act is to recycle more waste from private households and to encourage distributors to use recyclable packaging.
Major Changes
When the Packaging Act comes into force, a new authority, the “Zentrale Stelle”, will be set up. The Zentrale Stelle is to provide for a better execution of the law as well as for a fair competition.
In addition, the Packaging Act extends the obligations for online retailers: A new registration obligation will be introduced. Distributors, who for the first time commercially market so-called “packaging subject to system participation” must first register with the Zentrale Stelle. Packaging subject to system participation is packaging filled with goods which, after use, typically accumulates as waste at the private end consumer, such as shipping cartons or air cushion envelopes.
The existing obligation of distributors to participate in the system is also being extended. Already today, distributors may not organize the take-back and recycling of their packaging on their own, but must participate in so-called “dual systems”. Dual systems are private companies that coordinate the recycling of sales packaging in Germany, such as “Der Grüne Punkt”. From 1 January 2019, distributors will have to provide their registration number when participating in the system. In addition, they must also inform the Zentrale Stelle of all information they have already provided as part of their system participation in the dual system.
In addition, the mandatory deposit for one-way drinks packaging will be extended to other beverage types. In addition, online retailers must clearly indicate on their online platform the one-way or returnable nature of the beverage packaging. This is supposed to enable the consumer to make a conscious decision in favour of a (environmentally friendly) type of packaging.
Compliance Help for Online Retailers
The fulfilment of obligations under the Packaging Act requires considerable time and financial resources. This is why there are more and more private providers who have specialized in full-service solutions for distributors. But caution is called for here: Because the obligations for registration and data reporting according to the Packaging Act are personal, i.e. they must be fulfilled by the distributors themselves. This is intended to make distributors aware of their legal obligations.
Consequences of a violation of the Packaging Act
Violations of the Packaging Act are subject to a fine. For example, non-participation in a dual system can be punished with a fine of up to EUR 200,000. Failure to register can result in a fine of up to EUR 100,000.
In addition, there is the risk of receiving a warning notice by competitors. Since the register is open to public inspection, competitors will at least be able to easily find out whether a distributor has fulfilled its legal obligation to register.
(11 October 2018)