The Effect of EPR on the Markets for Waste

Abstract

Extended Producer Responsibility (EPR), a widely used policy tool, requires producers to assume financial and/or operational responsibility for ensuring their end-of-life products are properly collected and treated. EPR implementation in today’s economy, however, poses a change as some basic, underlying assumptions do not hold. Today’s economy challenges assumptions that (1) waste is costly to recover, (2) waste consists only of end-of-life products, and (3) waste is homogenous with respect to its geographic location, design, or condition. In this chapter, we discuss the impact of EPR on waste markets when these assumptions are challenged.