Overview
California’s Plastic Pollution Prevention and Packaging Producer Responsibility Act (SB 54) is barreling forward and on track to incrementally reduce plastic packaging and foodservice products in the state by 2032. Signed into law in June of 2022, this aggressive legislation has ushered in a recycling sea change for California, mandating:
1. A 10% reduction of plastic material by 2027, 20% by 2030, and 25% by 2032;
2. That the state achieve a 65% recycling rate for all plastics by 2032; and
3. That all single-use packaging and food ware be recyclable or compostable by 2032.
The Act is an extended producer responsibility (EPR) bill, which means it shifts the primary burden onto producers and away from the government and consumers. “Producers” are defined broadly as brand owners and those participating in the manufacture of a product that uses or contains covered material. To sell covered material in the state, producers will be required to join what is called a Producer Responsibility Organization (PRO). The PRO will create plans for implementation and help producers meet the complex requirements of the law.
Tasked with drafting the regulations necessary to implement and enforce SB 54, CalRecycle has been making significant moves. On January 8thit appointed Circular Action Alliance (CAA) as the sole PRO for SB 54. CAA is comprised of 18 major brands, including Coca-Cola Co., Keurig Dr. Pepper, General Mills, Procter & Gamble, Nestle and Unilever. In late December, CalRecycle also released several documents relating to implementation of SB 54, including the following:
- Proposed Draft Regulatory Text – Draft rulemaking under Cal. Code Regs. tit. 14, § 18980 et seq. for implementation of SB 54. The draft text details a myriad of industry responsibilities, including everything from budgeting and data reporting, to enforcement.
- A draft list of materials covered under SB 54 (Allen, Chapter 75, Statutes of 2022) and potentially deemed “recyclable and compostable.” The initial list of actual covered material is slated for publication by July 1, 2024.
- A Status update to the Legislature outlining developments in the implementation process and status of covered material categories.
CalRecycle also announced that it plans to host a question and answer session in “early 2024” to present the complete draft regulatory text to the public and offer clarifications. It should also soon announce dates for a 45-day public comment period on the draft regulations, during which time interested parties may submit feedback. Steptoe will continue to monitor and report all developments and growing implications under this game-changing law.
