Publication type: Report
Malaysia generates approximately 14 million tonnes of Municipal Solid Waste (MSW) annually, out of which 43.7% consists of dry recyclables such as plastic, paper, glass, metals and tetra pack. However, the recycling rate of municipal solid waste (MSW), despite increasing over the last seven years from 10.5% to 28.06% in 2019, is relatively low and most of the generated MSW is disposed of in landfills. Owing to ubiquitous plastic pollution globally and in Malaysia, an EPR scheme is proposed for better handling of packaging waste. EPR for packaging waste has been implemented in several countries including Japan, Germany, Austria, Taiwan and others. By following ‘polluter pay principle’, producers or importers of packaging would be charged for the packaging they put into the Malaysian market. The EPR fee would then be used for establishing and strengthening recycling infrastructure. However, another important aspect of EPR is the change in product design to increase its recyclability. After examining the Malaysian scenario of MSW management, dynamics between key stakeholders including Ministry of Housing and Local Government (MHLG), National Solid Waste Management Department (NSWMD), Solid Waste Management Corporation (SWCorp), Ministry of Environment and Water (KASA) and others, EPR systems implemented in other countries, this report compliments and builds on the findings of the WWF-Malaysia’s report on EPR and therefore recommends formulation of a dedicated regulation for EPR in Malaysia. As proposed by WWF-Malaysia’s report, the EPR scheme for Malaysia would have one, monopolistic and industry-led, producer responsibility organisation (PRO) for all types of packaging waste who will be responsible for collecting EPR fee from producers and contracting concessionary companies for collection, sorting and recycling of packaging waste. MGTC will monitor PRO in Malaysia. Moreover, it is recommended that definitive collection and recycling targets be set for the EPR system so that management of packaging is not confined to landfilling. In order to implement EPR scheme in Malaysia, a timeline of three years is suggested for formulating and passing the dedicated EPR regulation by bringing together all relevant stakeholders including packaging manufacturers, raw material suppliers, importers, fillers or consumer goods companies, waste management service providers, recyclers, public agencies and others. The dedicated regulation on EPR is recommended to be billed under the Solid Waste and Public Cleansing Management Act 2007 which has section 101 and section 102 promoting the concept of EPR. Moreover, a 5-year implementation plan for mandatory EPR is recommended where execution of EPR scheme will begin by registering producers, contracting waste management service providers and establishment of non-profit, industry-led, monopolistic PRO, to be implemented in Act 672 states first. The EPR system should gradually be made mandatory and will be applicable to non-Act 672 states as well.
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