The government is reviewing a plan to reimpose a waste charge on items subject to the extended producer responsibility (EPR) system whose recycling rates have barely improved. EPR is a system that exempts waste charges in exchange for requiring corporations that make or import products and packaging to recycle a set percentage of their sales volume. The goal is to correct the conduct of corporations that meet only the mandatory amount and effectively neglect the rest of the waste.
According to the Ministry of Climate, Energy and Environment on the 25th, the government decided to push ahead with an EPR overhaul while setting long-term recycling targets for 2028–2032. Since the system was introduced in 2003, the overall recycling rate for all covered items rose 29 percentage points (p) over 20 years, from 59% in 2004 to 88% in 2024.
But the picture changes when you look by item. The recycling rate for paper cartons was cut in half, from 29% in 2004 to 14% in 2024, and glass bottles have hovered in the 60%–70% range for 20 years. PET bottles are stuck in the 80% range.
The core reason lies in a structure where corporations pay recycling contributions only for volumes corresponding to the mandatory amount. Typically, corporations fulfill their obligations by paying contributions to a mutual aid association and outsourcing recycling; if 70% of sales volume is set as the mandatory amount, they bear no recycling burden for the remaining 30%.
In response, the ministry is reviewing a plan to impose a waste charge on the remaining volume that is not subject to mandatory recycling. A proposal is also on the table to exclude items that fail to exceed a certain minimum recycling rate from EPR altogether and revert them to being subject to the waste charge.
A ministry official said, "The current system only requires meeting the set mandatory rate and leaves the rest unattended, so it does not motivate corporations," and added, "The intent is to overhaul the system so that the better producers recycle, the more advantageous it is."