rigid plastic packaging container (rppc) informational update

Rigid Plastic Packaging Container (RPPC)

Informational Update

Permitting and Compliance Committee Meeting

February 17, 2009

Current RPPC Law Addresses:Resource conservationPlastic packaging diversionSupporting postconsumer material (PCM)

marketsSupporting plastic collection and processing

infrastructureCompliance and enforcement

Definition of a RPPCA RPPC

Plastic packagingRelatively inflexible, finite shape or formMinimum capacity 8 fluid ounces (or

equivalent volume)Maximum capacity 5 fluid gallons (or

equivalent volume)Capable of holding its shape while

holding other products

Definition of a RPPC (cont’d.)Regulated RPPCs do NOT include rigid plastic containers that:Are shipped outside California and remain

with the products shippedContain drugs, medical devices, or

cosmeticsContain food (including medical food and

infant formula)

Definition of a RPPC (cont’d.)Regulated RPPCs do NOT include rigid plastic containers that:Contain insecticides, fungicides and rodenticidesFederal law prohibits from containing used material and are used for shipping hazardous or toxic materials

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Definition of RPPC

NotRegulated Regulated

Maintains its shape while holding other products

“

Maintains its shape while holding other

productsDoes not maintain its shape while holding other products

Regulated

Compliance OptionsProduct manufacturers are responsible for

demonstrating compliance upon notification by the Board

RPPCs shall, on average, meet one of several compliance options:Be made from 25% post consumer

material; orHave a 45% recycling rate (using

methods specified in regulations); or

Compliance Options (cont’d.)Be a reusable package or refillable

package; orBe a source reduced container; orContain floral preservative and

subsequently be reused by the floral industry for at least two years; or

Meets the alternative compliance option for manufacturers under the same corporate ownership.

Typical Certification Cycle100 companies notified of certification cycle

and due date for certification forms.Staff analyzes submitted information.Companies notified of results of staff analysis.Board considers potential penalties for

companies that do not comply with RPPC requirements.

RPPC Enforcement

Certification Cycles Penalties

1997 - 2000 (Combined)

2001

2005

$67,859.00

$121,109.01

$126,375.84 (to date)

Background for Regulations Revisions

• Inequities in process/regulated products• Informal rulemaking stakeholder workshops held

in 2006 and 2007• Identified issues with existing regulations• Identified issues with statute

• Major stakeholder groups include:• Product manufacturers• Plastic recyclers• Container manufacturers• Environmental groups

Background for Regulations Revisions (cont’d.)

• In November 2007, Board directed staff to:• Start the formal rulemaking process; and• Delay new certification cycle until the Board

adopts revised regulations that address issues.

Issues/Concerns Being Addressed by Rulemaking

Modify key definitionsAdd 2006 statutory compliance option –

alternative container complianceAdd pre-certification notification processAdd process to obtain advisory opinions

on whether containers are regulated

Changes in Key Definitions

• Postindustrial plastic: Can no longer be credited as postconsumer plastic

• Product Manufacturer: Factors for identifying who is responsible

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Inequities in the Regulations:

The “Manufactured for...by....” statement can create an unlevel playing field for similar packaging:•Product manufacturers using this type of label transfer RPPC compliance responsibility to others;•Product manufacturers not using this type of label on identical/similar container are responsible for RPPC compliance;•Board cannot require overseas container manufacturers to meet requirements;•Increase in number of imported products/containers over time.

Changes in Key Definitions (cont’d.)• Definition of a RPPC

At least one closure vs. multiple closures

Caps, lids, handles may be non-plastic vs. all plastic containers

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Inequities in the Existing Regulations:

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Inequities in the Existing Regulations:

Changes in Key Definitions (cont’d.)

• Source Reduction: Resin switching not allowed as compliance

option

Alternative Container ComplianceMethods (Added)

2006 statute change -- California PCM used in other products or packaging may be credited toward the RPPC PCM content when it contains a minimum of 25% PCM

PCM generated in California is exported/used to make an equivalent product or packaging; or

Other plastic products or plastic packaging not subject to the RPPC law.

Pre-Certification Process (Added)

Product Manufacturers will be notified almost 2 years in advance of possible certification:• Allows companies time to review

requirements and achieve compliance without threat of immediate penalties

Advisory Opinions Process (Added)

Establishes a process for a manufacturer to request an advisory opinion from the Executive Director whether a container is a regulated RPPC

Stakeholder Issues/Concerns Regarding Statute

Stakeholders raised concerns regarding statute that are outside the scope of regulations revisions:Postconsumer material does not include postindustrial

material (materials generated from, and reused within, the original manufacturing process)

25% postconsumer material requirement is too stringent

Concentration of product(s) is included in the definition of source reduction

Current Status of Formal Rulemaking

High staff turnover has delayed development of materials to start the formal rulemaking process

Timeline

Conduct Economic and Fiscal Analysis• Survey/data

collection• Final analysis

February 2009February 2009

Timeline (cont’d.)Obtain Control Agency

Approvals of Economic and Fiscal Analysis• Air Resources Board• Cal EPA• Department of Finance

March 2009April 2009May 2009

Timeline (cont’d.)Submit formal

rulemaking package to Office of Administrative Law (OAL)

Begin 45-Day Comment Period

Hearing at end of 45-day comment period

June 2009

June-July 2009

August-September 2009

Summary•Proposed changes to regulations will:• Help “level the playing field”• Divert RPPCs from disposal• Support collection infrastructure and

markets for postconsumer material• Establish procedures to improve the

compliance process