LAW AND ECONOMY: POLLUTER-PAY - EXTENDED PRODUCER LIABILITY - PACKAGING WASTE - DE FACTO MONOPOLY

Benefits of an effective competition in the context of extended producer liability of packaging waste

Extended Producer Liability in the area of packaging waste is dominated in France by "Eco-Emballages", the only eco-organization or Producer Responsibility Organisation (PRO) approved to perform such activities. This situation has been largely criticized by many stakeholders, including representatives of contributors and local communities, which complain about the lack of alternatives. The article discusses the potential benefits of opening up the eco-organisation market to competition. It shows that competition among eco-organisations could bring benefits in terms of incentives and efficiency thanks to a yard-stick competition. Moreover, it shows that such a competition could significantly improve the conditions of operational and legal control of the EPR. Expanding the scope of eco-organisations’ intervention from the financial side towards the operational side, while modifying their regulatory status, could also enable additional efficiencies.

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. Introduction 1. The Extended Producer Responsibility (EPR) mechanism, a French initiative, was introduced in 1992 with a scope limited to household packaging consumed at home or away from home. Following the introduction of French EPR, the European Directive of 20 December 1994 [1] imposed recycling and recovery targets, but without any obligation to implement EPR. It covers all industrial, commercial and household [2]packaging. 2. This specific EPR mechanism consists of transferring all or part of the legal responsibility and all or part of the financial burden of waste treatment to the producer of the product that generated the waste, according to the

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Authors

  • Deloitte (Paris)
  • Comité des constructeurs français d’automobiles (Paris)

Quotation

Olivier Sautel, Gaël Bouquet, Benefits of an effective competition in the context of extended producer liability of packaging waste, February 2016, Concurrences N° 1-2016, Art. N° 77728, pp. 38-44

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