Japan

In 1992, Japan enacted the Act on the Promotion of Effective Utilization of Resources, which initiated the implementation of Extended Producer Responsibility (EPR) by imposing the adoption of 3Rs (reduce, reuse, recycle) on manufacturers. This legislation encouraged producers to voluntarily collect and recycle their products by specifying items for recycling and set recycling targets, along with delineating implementation methods. 

The transition from voluntary to compulsory EPR policy occurred with the establishment of the Act on the Promotion of Sorted Collection and Recycling of Container and Packaging (“Container and Packaging Recycling Act”) in 1995. This law, effective two years after its promulgation, required producers of glass bottles and PET bottles, excluding small and medium-sized enterprises (SMEs), to recycle their post-consumer waste. Subsequently, the mandate expanded to include producers of paper and plastic containers and packaging through an amendment in 2000.

In the same year, Japan enacted the Basic Act on Establishing a Sound Material-Cycle Society, setting the fundamental framework for shifting from a linear society to one that promotes resource circulation. The law organizes priority for waste disposal methods, setting emphasis on reducing, reusing, recycling, heat recovery, and proper disposal. EPR is underscored as a fundamental principle in waste treatment, highlighting the shared responsibility between the national government, municipalities, businesses, and consumers in achieving the sustainable consumption of resources.

Table 1. Summary of policies and regulations regarding EPR for containers and packaging in Japan.

Policies and Regulations

Promulgation Date

Status

Act on the Promotion of Effective Utilization of Resources
(Act No.48 of 1991)

Came into effect in April 2001

26 April 1991

In force

Act on the Promotion of Sorted Collection and Recycling of Containers and Packaging (Act No. 112 of 1995) 

Came into effect in 1997

16 June 1995

In force

Basic Act on Establishing a Sound Material-Cycle Society
(Act No. 110 of 2000)
Came into effect in January 2001

2 June 2000

In force

Obligated Producers

Under the Container and Packaging Recycling Act, businesses that use, manufacture, or import the designated packaging  and meet the following conditions are subject to recycling obligations:

Table 2. The scope of businesses subject to EPR obligations in Japan.

Sector

Scope of businesses

Annual sales

Number of workers employed regularly

Retail, service, wholesale, etc.

More than 70 million JPY

More than 5

Manufacturing, incorporated bodies, incorporated foundations, educational foundations, etc.

More than 240 million JPY

More than 20 

Packaging Items Covered

The EPR policy requires producers to recycle various types of domestic waste, particularly the following materials:

Glass bottles
Glass bottles

As containers for beverages, cosmetics, etc.,

Pet bottles
Pet bottles

For general beverages, soy sauce, vinegar, noodle soup, etc., but does not include containers for oil and toiletries,

Paper containers and packaging
Paper containers and packaging

Which include boxes for washing powder, wrapping paper, paper boards,

Plastic containers and packaging
Plastic containers and packaging

Which include bottles and caps for shampoo, plastic bags, plastic caps for pet bottles, etc.

Mechanism of Implementation

One of the prominent features of Japan’s EPR policy is responsibility sharing among stakeholders across the value chain. Specifically for containers and packaging, the roles are distributed as follows:

  1. Consumers are responsible for reducing waste discharge and properly sorting waste for disposal.

  2. Municipalities are in charge of collecting sorted waste.

  3. Businesses are responsible for recycling.

Obligated businesses may fulfill recycling obligations through one of the three routes elaborated below. 

  1. Self-collection

    Directly collecting packaging waste from consumers for recycling, typically used for items such as refillable bottles and polystyrene, often through collection stations at supermarkets.

  2. Designated organization

    Outsourcing recycling responsibilities to a producer responsibility organization (PRO), the Japan Containers and Packaging Recycling Association (JCPRA), which recycles sorted packaging waste collected by municipalities. Producers are required to pay recycling commission to recyclers and contributory commission to municipalities through the JCPRA. This is the most commonly used route.

  3. Own recycling

    Allows businesses to recycle the collected packaging waste from municipalities either independently or through an organization other than the PRO, although this route has never been utilized.

Furthermore, designated business categories that use large volumes of packaging must report their activities in reducing packaging waste to the national government. If these efforts are deemed insufficient, the government can issue recommendations or directives.

Implementation Timeline

The annual implementation schedule of Japan’s EPR system is elaborated in the table below. It should be noted that PRO refers to the JCPRA.

Table 3. Implementation timeline of Japan’s EPR scheme for containers and packaging.

Year

Date

Stakeholder

Action

Previous year

(Y-1)

March

Government

Announce recycling amounts and rate of responsibility of designated producers

July

PRO

Announce call for application for recyclers to register

November

PRO

Announce recyclers’ registration examination results and announce call for bidding

December

Producers

Start applying for recycling contract to the PRO

Current year

(Y)

January

Recyclers

Bid for waste storage facilities

February

Producers

Deadline for recycling contract applications to the PRO

March

PRO

Deadline for concluding recycling contracts with producers and recyclers

Recyclers

Finish recycling operations from last year’s contract

April

Recyclers

Start recycling operations from this year’s contract

July

Producers

Pay recycling fee for recycling operation to the PRO

Targets

The targeted packaging recycling amount for designated producers is determined based on the Municipal Sorted Collection Plans which municipalities update every five years. Companies calculate their packaging waste proportion in relation to the total packaging waste collected by the municipality to arrive at their obligatory recycling amount. However, if the recyclers’ recycling capacity is below the amount of collected waste, the obligatory recycling amount is calculated by multiplying the recycling capacity by the company’s packaging waste proportion.

To fulfill these targets, the PRO designates the minimum yield for each recycling method which recyclers must adhere to. In addition to this, business associations also set voluntary collection and/or recycling targets for each item. 

Incentives and Penalties

Designated producers that fail to fulfill their recycling or packaging waste reduction obligations are imposed with penalties as outlined in the table below.

Table 4. Penalties imposed on producers who fail to meet their recycling and reduction obligations.

Penalty

Offense

Failure to meet recycling obligations

Failure to meet reduction obligations

1st offense

Issuance of a recommendation to fulfill obligations

2nd offense

Disclosure of producer’s name

3rd offense

Issuance of an order to fulfill obligations

4th offense

A fine of less than 1 million JPY

A fine of less than 500,000 JPY

Roles and Responsibilities

Table 5. Roles and Responsibilities under Japan’s EPR scheme for containers and packaging

Responsibility

Upstream

Downstream

Product Design

Collection

Recycling

Physical responsibility

Producer

Government (municipalities)

Recycler

Financial responsibility

Producer

Government (municipalities)

Producer (via JCPRA)

Product and financial flows

Source: JCPRA, 2020.

Japan

In 1992, Japan enacted the Act on the Promotion of Effective Utilization of Resources, which initiated the implementation of Extended Producer Responsibility (EPR) by imposing the adoption of 3Rs (reduce, reuse, recycle) on manufacturers. This legislation encouraged producers to voluntarily collect and recycle their products by specifying items for recycling and set recycling targets, along with delineating implementation methods. 

The transition from voluntary to compulsory EPR policy occurred with the establishment of the Act on the Promotion of Sorted Collection and Recycling of Container and Packaging (“Container and Packaging Recycling Act”) in 1995. This law, effective two years after its promulgation, required producers of glass bottles and PET bottles, excluding small and medium-sized enterprises (SMEs), to recycle their post-consumer waste. Subsequently, the mandate expanded to include producers of paper and plastic containers and packaging through an amendment in 2000.

In the same year, Japan enacted the Basic Act on Establishing a Sound Material-Cycle Society, setting the fundamental framework for shifting from a linear society to one that promotes resource circulation. The law organizes priority for waste disposal methods, setting emphasis on reducing, reusing, recycling, heat recovery, and proper disposal. EPR is underscored as a fundamental principle in waste treatment, highlighting the shared responsibility between the national government, municipalities, businesses, and consumers in achieving the sustainable consumption of resources.

Table 1. Summary of policies and regulations regarding EPR for containers and packaging in Japan.

Policies and Regulations

Promulgation Date

Status

Act on the Promotion of Effective Utilization of Resources
(Act No.48 of 1991)

Came into effect in April 2001

26 April 1991

In force

Act on the Promotion of Sorted Collection and Recycling of Containers and Packaging (Act No. 112 of 1995) 

Came into effect in 1997

16 June 1995

In force

Basic Act on Establishing a Sound Material-Cycle Society
(Act No. 110 of 2000)
Came into effect in January 2001

2 June 2000

In force

Obligated Producers

Under the Container and Packaging Recycling Act, businesses that use, manufacture, or import the designated packaging  and meet the following conditions are subject to recycling obligations:

Table 2. The scope of businesses subject to EPR obligations in Japan.

Sector

Scope of businesses

Annual sales

Number of workers employed regularly

Retail, service, wholesale, etc.

More than 70 million JPY

More than 5

Manufacturing, incorporated bodies, incorporated foundations, educational foundations, etc.

More than 240 million JPY

More than 20 

Packaging Items Covered

The EPR policy requires producers to recycle various types of domestic waste, particularly the following materials:

Glass bottles
Glass bottles

As containers for beverages, cosmetics, etc.,

Pet bottles
Pet bottles

For general beverages, soy sauce, vinegar, noodle soup, etc., but does not include containers for oil and toiletries,

Paper containers and packaging
Paper containers and packaging

Which include boxes for washing powder, wrapping paper, paper boards,

Plastic containers and packaging
Plastic containers and packaging

Which include bottles and caps for shampoo, plastic bags, plastic caps for pet bottles, etc.

Mechanism of Implementation

One of the prominent features of Japan’s EPR policy is responsibility sharing among stakeholders across the value chain. Specifically for containers and packaging, the roles are distributed as follows:

  1. Consumers are responsible for reducing waste discharge and properly sorting waste for disposal.

  2. Municipalities are in charge of collecting sorted waste.

  3. Businesses are responsible for recycling.

Obligated businesses may fulfill recycling obligations through one of the three routes elaborated below. 

  1. Self-collection

    Directly collecting packaging waste from consumers for recycling, typically used for items such as refillable bottles and polystyrene, often through collection stations at supermarkets.

  2. Designated organization

    Outsourcing recycling responsibilities to a producer responsibility organization (PRO), the Japan Containers and Packaging Recycling Association (JCPRA), which recycles sorted packaging waste collected by municipalities. Producers are required to pay recycling commission to recyclers and contributory commission to municipalities through the JCPRA. This is the most commonly used route.

  3. Own recycling

    Allows businesses to recycle the collected packaging waste from municipalities either independently or through an organization other than the PRO, although this route has never been utilized.

Furthermore, designated business categories that use large volumes of packaging must report their activities in reducing packaging waste to the national government. If these efforts are deemed insufficient, the government can issue recommendations or directives.

Implementation Timeline

The annual implementation schedule of Japan’s EPR system is elaborated in the table below. It should be noted that PRO refers to the JCPRA.

Table 3. Implementation timeline of Japan’s EPR scheme for containers and packaging.

Year

Date

Stakeholder

Action

Previous year

(Y-1)

March

Government

Announce recycling amounts and rate of responsibility of designated producers

July

PRO

Announce call for application for recyclers to register

November

PRO

Announce recyclers’ registration examination results and announce call for bidding

December

Producers

Start applying for recycling contract to the PRO

Current year

(Y)

January

Recyclers

Bid for waste storage facilities

February

Producers

Deadline for recycling contract applications to the PRO

March

PRO

Deadline for concluding recycling contracts with producers and recyclers

Recyclers

Finish recycling operations from last year’s contract

April

Recyclers

Start recycling operations from this year’s contract

July

Producers

Pay recycling fee for recycling operation to the PRO

Targets

The targeted packaging recycling amount for designated producers is determined based on the Municipal Sorted Collection Plans which municipalities update every five years. Companies calculate their packaging waste proportion in relation to the total packaging waste collected by the municipality to arrive at their obligatory recycling amount. However, if the recyclers’ recycling capacity is below the amount of collected waste, the obligatory recycling amount is calculated by multiplying the recycling capacity by the company’s packaging waste proportion.

To fulfill these targets, the PRO designates the minimum yield for each recycling method which recyclers must adhere to. In addition to this, business associations also set voluntary collection and/or recycling targets for each item. 

Incentives and Penalties

Designated producers that fail to fulfill their recycling or packaging waste reduction obligations are imposed with penalties as outlined in the table below.

Table 4. Penalties imposed on producers who fail to meet their recycling and reduction obligations.

Penalty

Offense

Failure to meet recycling obligations

Failure to meet reduction obligations

1st offense

Issuance of a recommendation to fulfill obligations

2nd offense

Disclosure of producer’s name

3rd offense

Issuance of an order to fulfill obligations

4th offense

A fine of less than 1 million JPY

A fine of less than 500,000 JPY

Roles and Responsibilities

Table 5. Roles and Responsibilities under Japan’s EPR scheme for containers and packaging

Responsibility

Upstream

Downstream

Product Design

Collection

Recycling

Physical responsibility

Producer

Government (municipalities)

Recycler

Financial responsibility

Producer

Government (municipalities)

Producer (via JCPRA)

Product and financial flows

Source: JCPRA, 2020.