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Modulated fees for Extended Producer Responsibility schemes (EPR)

Author

Listed:
  • Frithjof Laubinger

    (OECD)

  • Andrew Brown

    (OECD)

  • Maarten Dubois

    (OECD)

  • Peter Börkey

    (OECD)

Abstract

One of the key objectives of Extended Producer Responsibility (EPR) is to instigate design for the environment. In collective EPR schemes, the fee schedule set by Producer Responsibility Organisations (PROs) is typically quite simple and provides weak incentives for design change by producers. Fee modulation, changing fees paid by producers in a collective EPR scheme based on product design, can provide producers with stronger design incentives, but adds complexity to the system. The paper defines a classification for fee modulation (by criteria and methodology) and discusses potential challenges and opportunities. It concludes with key policy insights that can further stimulate this emerging policy approach.

Suggested Citation

  • Frithjof Laubinger & Andrew Brown & Maarten Dubois & Peter Börkey, 2021. "Modulated fees for Extended Producer Responsibility schemes (EPR)," OECD Environment Working Papers 184, OECD Publishing.
    • Handle: RePEc:oec:envaaa:184-en
    DOI: 10.1787/2a42f54b-en
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    More about this item

    Keywords

    circular economy; extended producer responsibility; product stewardship; resource efficiency; sustainable consumption; waste management;
    All these keywords.

    JEL classification:

    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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