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EPR Reference Database

Publication type: Book Chapter

Circular Economy and Extended Producer Responsibility (EPR)

Abstract/summary

The circular economy offers an opportunity to decouple economic growth from resource consumption by designing out waste and pollution, circulating products and materials, and regenerating nature. In doing so, the circular economy addresses interconnected global challenges, from climate change and biodiversity loss to material insecurity and pollution. Under South Africa’s 2025 G20 Presidency, the ECSWG is well-positioned to advance this transition through coordinated action, knowledge exchange, and policy alignment. Circular economy policy in G20 national policy frameworks is fragmented. While examples of circular policy innovation and best practices can be found across the G20, challenges remain around limited linkages to upstream design policies, underutilised fiscal and market levers, limited cross-ministerial coordination, and underdeveloped data and measurement systems. Addressing these barriers will require a comprehensive and coherent policy approach. The paper recommends that G20 members: • Strengthen international coherence by aligning circular economy frameworks through multilateral platforms and shared implementation pathways • Target high-impact sectors with tailored policy packages combining design standards, market incentives, measurement and monitoring systems, and infrastructure investment • Embed circularity in innovation and industrial strategies by advancing enabling technologies and public–private partnerships • Align fiscal and financial systems through subsidy reform and instruments like circular public procurement and blended finance • Support inclusive capacity-building and governance by investing in skills and multi-level mechanisms that foster cross-sector collaboration EPR is one of a suite of policy instruments available to support the broader circular economy transition. It shifts the financial and operational responsibility of end-of-life products to producers and can incentivise producers to design products for a longer lifespan. To maximise its potential, the paper recommends that G20 members: • Design EPR schemes around shared principles: mandatory, fee-based structures; eco-modulated fees; measurable performance targets; and transparent, multi-stakeholder governance • Promote inclusive implementation by recognising informal sector contributions • Strengthen global material traceability and enhance transboundary cooperation EPR is just one example of the policy instruments needed to drive systemic change within a broader circular economy policy mix. As stewards of over 80% of global GDP, G20 members have both the responsibility and opportunity to lead. By advancing aligned, inclusive, and ambitious policy action, the G20 can help shape a just, circular, and climate-resilient global economy that protects biodiversity and regenerates natural ecosystems.

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