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With its latest agreement on the new Multiannual Financial Framework (MFF) and coronavirus recovery fund, the European Council has also approved the implementation of the so-called plastic tax as of the 1st of January 2021. The plan foresees a €0.80/kg levy on non-recycled plastic packaging waste to be paid by member states into the EU budget.

 

 

While the tax has been presented by the European Commission as “contribution to the EU budget designed to incentivise member states to increase recycling from plastic waste”, the European plastics industry is warning that it might have the opposite effect. Further fiscal measures are not the most efficient tool to drive innovation and investments that are needed to meet the intended policy objectives of the Green Deal.

 

 

“As the revenues of the EU plastic tax are not earmarked to be invested into the waste and recycling infrastructure, it will not increase the recycling of plastic waste in Europe,” Said EuPC Managing Director Alexandre Dangis. ”Instead, it will further increase the cost of plastic recycling and encourage the shift to other packaging materials with a bigger environmental impact. To truly increase recycling rates across Europe and protect the environment, taxation of the landfilling of plastic packaging waste would be more efficient.”

 

 

Improving the recycling of plastics packaging requires considerable investment by the entire plastics value chain in innovation, new machinery, and the ecological design of plastic packaging. With expected revenues of around €6-8 billion per year flowing into the general budget of the EU, this money would not be available anymore to be invested in the transition towards a circular economy.

 

 

As a next step, further details on the tax will have to be worked out in a specific law and approved by the European Parliament and Council of the EU. While much of the details remain obscure up to now, it is already clear that the member states will have large freedom in the implementation of the measures to collect the funds to be transferred to the EU. The implementation and complexity of different schemes from country to country will lead to a host of heterogeneous measures destroying the single market.

Mrs. Tsvetanka Todorova, President of BAP attended a wide-format meeting at the Bulgarian National Assembly of which the Minister of Environment and Water Emil Dimitrov presented the MOEW policy in the Waste Management sector.

 

The meeting was attended by MPs from the Environment and Water Commission, the Ministry of Environment and Water and the Executive Environmental Agency, representatives of the National Association of Municipalities in the Republic of Bulgaria, ASECOB, employers and industry organizations. They discussed the MOEW’s current measures to strengthen waste management controls and upcoming legislative initiatives in this direction.

 

Deputy Minister Krasimir Zhivkov made an interactive presentation of the MoEW’s overall policy in the Waste Management sector with figures and data.  According to the Eco-Ministry, in 2018 each resident made 423 kg of rubbish, below the EU average. Bulgaria is growing in recycling and has reached 36% – against the European target of 55% by 2018 and 70% by 2020.

 

In the next programming period, up to 10% of the waste must be landfilled, 65% should be recycled and the rest should be recovered, which, according to the Minister, means incineration.

 

Representatives of the Bulgarian Chamber of Commerce, the Association of Environmentalists of Municipalities in Bulgaria (ASECOB) and the BSP Parliamentary Group also expressed doubts about the objectivity of the statistics submitted for exceeding the waste management goals.

 

The Earth Association rejected the minister’s argument that, beyond the mandatory minimum quotas for landfilling and recycling, waste should be sent to incineration. They referred to the 2021-2025 European circular economy policy and recalled the World Bank’s report to the Ministry of Finance, which highlighted Bulgaria’s poor track record in waste management and recommended processes for improving it.

 

”For Earth” and ASECOB, they also reminded of the need to reformulate the garbage tax in accordance with the “polluter pays” principle so that the tax paid would depend on the actual garbage created, rather than on the nominal area of ​​a dwelling or commercial premises. This would have a positive effect on the motivation of citizens and the actual achievement of the recycling and waste reduction targets.

 

Slaveya Stoyanova – Director of the Waste Directorate at MOEW presented initiatives already underway to improve processes. Among them, to prepare documentation for alignment with the more ambitious European targets after 2020, as a project for their synchronization in the Bulgarian legislation will be presented for public discussion at the end of next month.

 

The participants requested a working group to formulate changes to the Waste Management Act, but parliamentary committee chairman Ivelina Vassileva promised them they would have the opportunity to submit opinions – which is also the official procedure for each bill.

 

Deputy Minister Krasimir Zhivkov committed last year to the BAP to be included in a working group to the MoEW on the transposition of the European directive on the restriction of the use of single-use plastic products, but so far there is no feedback from the MoEW. It is expected that by mid-year the European Commission will issue guidance on the implementation of the Directive in all Member States.

 

 

Ban on plastic packaging slows down innovation – Recycling instead of landfill

 

In an interview in “Die Welt” the new EU Commissioner for Environment, Virginijus Sinkevicius, thinks aloud about a general ban on plastic packaging in Europe. The Associations representing the European polymer industry consider this idea to be counterproductive and calls on the EU Commissioner to do more to ensure that plastic packaging in Europe does not end up in landfills but is recycled.

 

 

After the EU already banned various disposable plastic articles and packaging last year, the new Environment Commissioner Sinkevicius considers it appropriate to impose further bans. In his view, it is important to generally ban plastic packaging.

 

 

The industryconsiders such statements to be dangerous because they question the future of plastic packaging in a circular economy. “The Commissioner should ask himself how his statement will be received by those who are about to decide on investments in recyclable packaging or recycling plants. If politicians exclude plastic packaging from the circular economy, these urgently needed investments will certainly not be made,” comments the  Managing Director of IK Industrievereinigung Kunststoffverpackungen.Dr. Martin Engelmann.

 

 

While a strict landfill ban has been in force in Germany since 2005, household waste may still be landfilled to a large extent throughout the EU until 2030. We see a faster end to landfill as the most important lever for the circular economy.

 

 

Moreover, the IK criticises the effect of such prohibitions on consumers. “Some politicians are currently suggesting to consumers and voters that blanket bans can be used to overcome the major challenges in environmental and climate protection. Unfortunately, they  forget to mention the contribution plastic packaging makes, for example, to CO2 savings and food safety,” complains Engelmann. If plastic is replaced by other materials in packaging, this usually results in increased energy consumption and significantly higher CO2 emissions.

 

 

The polymer industry associations and the companies they represent expect the new EU Commission to make decisions based on facts and not on trends of the zeitgeist.

Branch Association Polymers is a registered cluster of plastic converting and recycling companies in BG which also includes academic and research organisations in the field of polymers. The cluster is categorized by the Executive Agency for Promotion of Small and Medium Enterprises under procedure BG16RFOP002-2.009 “Development of clusters in Bulgaria” as developing.

 

Our focus is on strengthening cohesion, partnership and cooperation among cluster companies, research and academic institutions. We aim at an in-depth understanding of the whole of the value chain for polymers  production with a view to sustainable development and economic effectiveness and to contribute towards the development of companies and maintaining employment by anticipating changes and the emergence of new technologies.

 

We work to establish a structure where members can work in together on the creating synergies, implementing new products and technologies, introduce innovative product portfolios on the local and international markets, and develop successful cooperation by implementing common projects.

 

We aim to:

  • create a communications network in the industry (micro-companies, SMEs, large companies and groups), academic and private research and those involved in training, both initial and ongoing,
  • increase efforts to innovate through a pooled approach,
  • encourage and support the emergence and running of collaborative research and innovative product projects.

 

Our Mission is:

  • To provide technical and professional support to plastic and polymer branch, by dissemination of quality, technical and specialized information, leading collaboration between companies in sector, in order to promote innovation and improved competitiveness and networking.

INEOS Styrolution, the global leader in styrenics, today discloses first results of the ResolVe project. This project addresses research related to chemical recycling of polystyrene.

 

The ResolVe project team now has proof of concept of closed loop recycling. The process converts waste polystyrene back to pure styrene via a depolymerisation process, followed by a polymerisation process resulting in a quality identical to virgin polystyrene. Polystyrene is one of very few polymers that can be converted back into its specific monomer. The results show that polystyrene is very well recyclable.

 

Fundamental questions covered in the ResolVe project include the yield of styrenics in the chemical recycling process and the impact of non-styrenic waste contaminations. It turns out that the chemical recycling process for polystyrene is sensitive to PET contamination. On the other hand, it is hardly impacted by contamination with polyolefins of up to ten percent.

 

These findings not only allow INEOS Styrolution to address the next step of the project – the pilot phase. They also prepare the grounds for scaling the process for industrial use, and they allow to give guidance to waste sorters.

 

Norbert Niessner, Director Global R&D/ Intellectual Property at INEOS Styrolution, comments: “The ResolVe project gives us an insight into chemical recycling. As a result, we can clearly say: Polystyrene is indeed made for recycling. Together with today’s progress in sorting technologies of post-consumer waste, I am confident that there is no longer a reason for polystyrene not to be recycled.”

 

The ResolVe project, funded by the German Federal Ministry for Education, BMBF, is jointly executed by INEOS Styrolution together with Neue Materialien GmbH Bayreuth as well as with two institutes of the University of Aachen (RWTH) – the Institute for Processing and Recycling (Institut für Aufbereitung und Recycling, I.A.R.) and the Institute of Plastics Processing (Institut für Kunststoffverarbeitung, IKV).

On 20 September 2019 in Brussels, the Circular Plastics Alliance presented and adopted its declaration. The declaration describes the alliance’s vision for more recycled plastics in Europe, as well as their commitments for action to reach the EU target to incorporate 10 million tonnes of recycled plastics into products in the EU annually by 2025.

 

During the event, Alexandre Dangis, Managing Director of EuPC, signed the declaration on behalf of the European plastics converting industry. EuPC is one of the many private and public stakeholders involved in the plastics value chains that have joined together in the Circular Plastics Alliance, supported by the European Commission in the context of the European Plastics Strategy, to promote the use of more recycled plastics in Europe through voluntary action.

 

The over 100 signatories declare their commitment to work together along the plastics value chains, including all relevant public and private actors across Europe, to reach this objective whilst ensuring the functionalities of plastic products and packaging, not compromising on consumer protection, safety and hygiene.

 

All organisations, companies and public authorities willing to contribute to delivering the commitments of the alliance can co-sign the declaration. More information is available here. The declaration can be found here.

 

On 16 September 2019, Plastic Europe, together with 92 other European associations representing key European stakeholders in the field of research and innovation, signed a joint statement urging the EU institutions to make research, development and innovation (RD&I) a priority within the next financial framework 2021-2027.

 

The associations urge the Council of the EU to increase the budget allocated under Horizon Europe to at least EUR 120 billion, of which at least 60% should be earmarked for a pillar “Global challenges and European industrial competitiveness.”

 

The European innovation community is committed to be actively involved in a concrete co-creation process towards Horizon Europe’s successful implementation. However, the programme will need an adequate budget at the level of its ambitions. The European Parliament has already taken a stand to prioritise RD&I in the EU budget. Similarly, we encourage Member States to support a budget of at least €120 billion (in 2018 prices). This would ensure that Horizon Europe delivers on its promises to:

 

  • Boost Europe’s future growth, employment and competitiveness. As recognised in the European Industrial Strategy, RD&I is the real engine of growth. Getting a sufficient budget for Horizon Europe would not only mean the creation of up to 100,000 jobs in RD&I activities between 2021-2027, but also €11 of GDP in return for each €1 invested over 25 years.
  • Secure Europe’s seat amongst the frontrunners of the technological revolution. While the international competition for innovative solutions escalates, European RD&I expenditure remains relatively low compared to our global competitors. The target of 3% of GDP invested in R&D should now become a reality.
  • Develop and scale up the technologies that will power our continent in the 21st century. Horizon Europe needs to build on the successes of Horizon 2020 and scale up the investments made so far. As stated by the Lamy Group, we need a budget that paves the way for Europe to deliver on the key societal challenges of today and anticipate those of tomorrow.

 

For such promises to be fulfilled, excellent cross-border collaborative RD&I with impact needs to be prioritised within Horizon Europe. EU Members States should allocate a budget share of at least 60% of Horizon Europe’s total budget to its pillar II – Global Challenges and European Industrial Competitiveness. This pillar is the truly collaborative part of Horizon Europe, breaking silos to promote the flow of knowledge between public research and industry. This Horizon Europe pillar II is crucial to:

 

  • Build long-term trust-based partnerships amongst a wide variety of European RD&I actors, which is an indispensable element to strengthen Europe’s RD&I ecosystems and industrial value-chains. This would ensure the Industry’s uptake of novel technologies and scale up into new solutions, products and services, improving people’s well-being and quality of life, and increasing European competitiveness.
  • Reduce risk and uncertainty and stimulate business investment in Europe by demonstrating the EU’s support to technology-intensive sectors (including Key Enabling Technologies). This would give the right incentive to private innovators to invest in Europe, rather than abroad.
  • Join forces at EU level to better face the great challenges of today and deliver on the Sustainable Development Goals. The Horizon Europe pillar II, containing missions and partnerships, especially aims at this ambitious objective and therefore needs to be supported by an adequate budget.
Sreshta MOSV_BAP

On 27 August 2019 a meeting was held at the Ministry of Environment and Water (MOEW), between Deputy Minister Nikolay Kanchev and representatives of the Branch Association of Polymers (BAP), on the initiative of the MEP Andrey Slabakov.

 

The main topic was the transposition of the adopted Directive (EU) 2019/904 of the European Parliament of 5 June 2019 on reducing the environmental impact of certain disposable plastic products.

 

During the discussion Tsvetanka Todorova – Chairman of the Board of BAP emphasized that BAP insists that the deadlines for transposition of the Directive should be as light as possible for the polymer industry, so that plastics processors can be reconfigured, paying attention to: the imperative change on a legislative basis, and the construction of a sufficient number of composting facilities for disposable waste from biodegradable polymers, methods for reporting the fulfillment of the objectives of the Directive, the allocation of funds from the manufacturer’s extended liability, methods for certification of biodegradable and recyclable materials, and products, proving the percentage content and quality of recycling, insisting on the participation of BAP in the working group of the Ministry of Environment and Water.

 

Dencho Denev (Noviz AD, Plovdiv) offered a grace period for the articles in the prohibition list and paid particular attention to the lack of control over the sale of polymer products.

 

Rumen Ivanov (ZHU-BG EOOD, Gabrovo) spoke about the huge losses that Bulgarian producers will bear and raised the question of how they will be compensated.

 

Theodora Zhelyazkova (“ATE PLAST” Ltd., Stara Zagora) emphasized the need for dialogue between MoEW and BAP and stated that large trade chains should also be involved in the debate.

 

Deputy Minister Nikolay Kanchev asked for concrete proposals BAP invited to participate in the activities of the working group at the Ministry. He stressed that very soon, major legislative changes are ahead of the European Directive. He explained that due to the expected losses, it was suggested that Bulgarian producers receive interest-free loans.

 

In turn, MEP Andrei Slabakov emphasized the need for an information campaign for separate collection of plastic waste. He explained that he had begun the study of European funds and programs that could possibly support Bulgarian producers.

Българско знаме слято с Европейския флаг

A meeting of BAP representatives with MEP Andrei Slabakov was held on 17 August 2019 to discuss the impact on the polymer branch of Directive 2019/904 of the European Parliament and of the Council on reducing the environmental impact of certain plastic products.

 

Mr. Slabakov is committed to facilitating dialogue between the MOEW and BAP on the transposition and implementation of the Directive in Bulgaria, on which will discuss the expected adverse effects on polymer industry and the possibilities of  their overcoming.

 

Meeting with Andrei Slabakov

European union

On July 4 and 5, 2019 in Helsinki, a meeting will be held between the EU Ministers responsible for Competitiveness. Although the appointment of a special Vice-President for Industry is expected, the polymer industry in Europe remains united in a Joint call to the Heads of State and Government.

 

Branch Association Polymers supports this united initiative by signing the joint paper on the positioning of industry at the core of the EU’s future with a Joint call to the Heads of State and Government to:

 

• Urge the next European Commission to shortlist industry as a top priority of its 5-year Work Programme and appoint a dedicated Vice-President for Industry;
• Require the next European Commission to swiftly present an ambitious long-term EU industrial strategy, which shall include clear indicators and governance;
• Take stock, each year at the Spring European Council, of progress in the implementation of this EU industrial strategy, and provide political guidance to foster European competitiveness.

 

With the signing of this document, BAP, together with the rest of the polymer industry, relies on proactive and coordinated leadership to ensure that Europe remains a hub for a leading, smart, innovative and sustainable industry, that benefits all Europeans and future generations.

 

Please read the entire document here:   A Joint call to the Heads of State and Government