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From Compliance to Circularity: How EPR solutions is Shaping India’s Path to Viksit Bharat 2047

India CSR by India CSR
September 12, 2024
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By Abhishek Agashe

India stands at a pivotal juncture in its developmental journey and is rapidly advancing in its commitment to environmental sustainability, joining a global movement toward greener practices, as it aims to become a sustainably developed & Aatmanirbhar nation by 2047—an ambitious goal that marks the centenary of its independence. At the heart of this progress is the concept of Extended Producer Responsibility (EPR), a policy that ensures manufacturers are accountable for their products throughout their entire lifecycle, including managing post-consumer waste. This approach not only promotes responsible waste management but also drives manufacturers to consider the environmental impact of their products from inception to disposal.

Central to this vision, known as “Viksit Bharat 2047”, is a pivotal transition from a linear economy to a circular economy. This shift also involves fundamentally rethinking how resources are managed, products are designed, and waste is handled. A key catapulter for this transformation is Extended Producer Responsibility (EPR), a policy mechanism that is seen to be steering India towards a more sustainable future.

The Role of EPR in Driving Circularity

Extended Producer Responsibility (EPR) is a regulatory approach that places the responsibility for the end-of-life management of products on the producers themselves. Traditionally, waste management has been a reactive process, primarily focused on complying with environmental regulations. However, with the introduction of EPR, the focus has shifted from mere compliance to proactive waste management, emphasizing the role of producers in the entire lifecycle of their products. 

EPR mandates that producers, importers, and brand owners (PIBOs) take responsibility for the take-back, recycling, and final disposal of their products. This approach not only ensures that waste is managed more effectively but also encourages producers to design products that are easier to recycle, have a lower environmental impact, and are more durable. For instance, the use of materials that can be easily separated and recycled, the reduction of hazardous substances, and the design for reusability are now integral to the product development process.

Take-Back Programs: The Cornerstone of Circularity

One of the most significant aspects of EPR is the implementation of take-back programs. These programs enable producers to reclaim their products after they have been used by consumers, facilitating the collection and recycling of end-of-life products. This process not only reduces environmental impact but also fosters collaboration between producers, retailers, and consumers, ultimately strengthening the recycling infrastructure in India.

Take-back programs are expected to become more widespread as the EPR framework evolves. By encouraging producers to take responsibility for the entire lifecycle of their products, these programs are helping to close the loop in the product lifecycle, making the circular economy a reality. Moreover, these initiatives are also driving innovation in product design, as companies seek to create products that are easier to disassemble, repair, and recycle.

EPR and the Path to Viksit Bharat 2047

Achieving the goals of Viksit Bharat 2047 requires a multi-faceted strategic approach that includes economic growth, social development, and environmental sustainability. EPR solutions are crucial in this regard, as they provide a structured approach for managing waste, promoting sustainability, and reducing the environmental footprint of industrial activities.

A recent study by S&P Global cited that “India is poised to become the world’s third-largest economy by 2030, accounting for 8.5% of the global GDP”. The circular economy, driven by EPR policies, has the potential to fuel this growth by creating new business opportunities, reducing resource dependency, and minimizing waste. As India progresses towards 2047, EPR will play a key role in ensuring that economic growth is sustainable and inclusive.

Key Enablers to bolster circularity

The government’s ambitious targets for Viksit Bharat 2047 can only be achieved through a concerted effort involving multiple stakeholders, including government agencies, industry bodies, and startups. Startups, in particular, have emerged as key players in driving innovation and implementing EPR solutions. With their agility, technological prowess, and ability to innovate, startups are redefining the waste management landscape in India. They are seen to be perpetually developing new technologies for waste collection, processing, and recycling, which are essential for the successful implementation of EPR.

Collaboration and Innovation: The Way Forward

The successful implementation of EPR in India will require collaboration at multiple levels. Government bodies need to create a conducive regulatory environment that encourages businesses to adopt sustainable practices. Industry bodies must promote best practices and facilitate knowledge sharing among their members. Meanwhile, startups and innovators must continue to develop new technologies and business models that support the circular economy.

Moreover, public awareness and consumer participation are critical to the success of EPR. Consumers need to be educated about the importance of recycling and the role they play in the circular economy. Retailers can also contribute by providing easy access to take-back programs and promoting products that are designed for circularity.

Roadblocks ahead

 As per a recent study by Chase India, the global transition to a circular economy offers a value potential of $4.5 trillion by 2030 and India stands to capture 11% of this potential, equating to half a trillion dollars. However, the optimum potential is plagued with the prevailing linear economic model—characterized by resource extraction, production, consumption, and disposal, which has led to significant environmental degradation and hinders the achievement of this target. Furthermore, India is the third-largest emitter of greenhouse gases, contributing 9.2% to global emissions. 

Historically, EPR has covered e-waste, batteries, plastics and tyres. Recently the government has added used oil to the category and the draft on EPR for Non-Ferrous metals is also published. However, it does not yet apply to sectors like textiles or chemicals. Expanding EPR to these areas is key for advancing a sustainable and circular economy.

Road Ahead

The worldwide waste management sector, valued at USD 423.4 billion in 2021, is earmarked to reach USD 542.7 billion by 2026, growing at a compound staggering annual growth rate (CAGR) of 5.1% from 2022 to 2031, for which the efficient implementation of EPR solutions will play a role of gamechanger. It is welcoming to see Govt’s forward-thinking policies, like the Extended Producer Responsibility (EPR) exemplifies the crucial role of policy in shaping a sustainable e-waste ecosystem. The fundamental meaning of “EPR” at core could also be abbreviated as “Every Person’s Responsibility” as it captures the true essence of how everyone plays a role in achieving a sustainable future, and not only producers or manufacturers. By embracing the idea that waste management is “Every Person’s Responsibility,” individuals can collectively contribute to building a more sustainable future, where resources are conserved, waste is minimized, and environmental impacts are reduced and thus we can inch one step closer towards powering the circular economy and bolster sustainability efforts.

The journey to 2047 is long and challenging, but with EPR leading the way, India is well on its path to becoming a global leader in sustainability.

About the Author

Abhishek Agashe- Cofounder & CEO at elima

Abhishek Agashe- Cofounder & CEO at elima.

(India CSR)

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