The Un-Waste Economy: Extending the Planet’s Life Expectancy One Product at a Time
John Hanselman, Chief Strategy Officer, Vanguard Renewables
In a previous article, I wrote about circularity and the importance of companies acknowledging the life cycle of their products. But I didn't touch on EPR, Extended Producer Responsibility, by which producers of products are given the responsibility financially and, in some cases, physically for the disposal of their post-consumer products - including packaging, which is one of the most significant aspects of our planet's waste problem. It begins when a company makes a product and sends it to market, but what really matters is how we deal with not just the packaging but also the product.
The United States still sees waste as just waste. We take no responsibility for the environmental, economic, or community impacts of our consumer economy. More products equal more packaging, and the packaging is sometimes more substantial than the product we buy. For example, I just purchased a new webcam, and if you look at the box, it's beautiful - heavy cardboard, coated, multi-colored, smooth, and about three times the size of the camera inside. The camera was around $19—a fair price. But what's the actual cost of that webcam when you think about its implications?
The $19 does not include the environmental impacts of the camera and what its packaging will undoubtedly have on our environment. What happens to the camera once it stops working? Is the box coated with a forever chemical or PFAS? Is the plastic shell that holds the camera in place recyclable or will it break down into microplastics? The cost of this webcam to the environment has ballooned, and we will bear that cost - not just at the register but for years to come as that packaging breaks down in a landfill or is burned in an incinerator. We all have a role to play, and as consumers, we have the upper hand. Is a webcam that comes in an envelope enclosed in a recycled box with no flare any better than one that is entombed in a bright and fun package? Or as consumers would we be willing to pay a few dollars more to help defray the cost of the lifecycle of the camera? We need to think and shop differently.
Changing Behaviors from Factory Floor to the Shopping Cart
As much as the manufacturer is responsible for the EPR of their product, the American consumer has to change their behaviors too. In a report published by McKinsey & Company in 2020, they noted that consumers from the U.S. who took part in their ten-country survey on consumers' attitude towards sustainable packaging "rank sustainability relatively low as a buying criterion among end-use factors." Yet, they also noted that "U.S. consumers are nonetheless highly concerned about the impact of packaging in general…Consumers are willing to pay more for green, but they would also buy additional sustainably packaged products if more of them were available and they were labeled differently."
This says that there is room to improve from company to the consumer. Just as companies have used branding to encourage consumers to pick its products, using sustainability as a tool for consumer engagement is one that can help increase profits and do less harm to the environment. We are all in this together.
The good news: companies are taking note, and those that don't are at risk of being left behind. Last year the Ellen MacArthur Foundation released a statement sharing that more than 100 businesses, NGOs, universities, and financial investment groups have committed to addressing EPR in their packaging and design. Notably, the list includes companies like Unilever, a founding member of the Farm Powered Strategic Alliance, as well as Nestlé, The Coca-Cola Company, and hundreds more of the world’s most recognized brands.
Leading the Way
Nestlé is a global brand leader in the food and beverage industry. In my previous article on circularity, I referenced an essay by Kenneth Goulding that referred to a linear economy as the "Cowboy" and the circular economy as the "Spaceman," and Nestlé is past the lift-off stage and is in orbit. They have fully embraced the need to move to a circular model for its business.
According to their website, they have outlined a list of goals to be achieved by 2025 in support of a waste-free future that includes:
- All of its packaging will be fully recyclable, reusable, or compostable
- Reduce the use of virgin plastic by one third
- Redesigning packaging that is more “fit for purpose” by removing packaging elements that are problematic or unnecessary
- Undertake ambitious actions to effectively recycle or compost 50% of plastic packaging
- Average recycled content or responsibly sourced bio-based content in plastic packaging will be 30%
Another company leading the way is The Coca-Cola Company. In August of 2021 they shared an article on LinkedIn about why they are supporting the EPR movement. They shared, "At The Coca-Cola Company we know it is OUR responsibility to help care for our planet. That is why we are working to lead the beverage industry by doing our part to address the global packaging crisis."
Their goals stated in their 2021 A World Without Waste Report include:
- Making all of their packaging recyclable by 2025 and making their bottles and cans with an average of 50% recycled materials by 2030
- Collect and recycle the equivalent of a bottle or can for everyone they sell by 2030
- Partner with organizations, governments, industry and their customers to create a debris-free environment
The Coca-Cola Company's latter goal really stands out because we can't save our planet if we are not all working together.
Final Thoughts
Companies have choices in how they bring their products to market, but consumers need to realize that their choices matter even more. Consumers can choose to buy products that are more sustainable and better for the environment, and they want to. We need companies to realize that value proposition, so they invest their advertising and marketing dollars in imploring that sustainability benefit because consumers are asking for it. When we discard packaging, and if we don't recycle it properly, where does it go? In the U.S., it likely ends up in landfills or, worse - incinerators.
Finally, there is a human toll on how we currently discard our waste. Individuals and families that live in proximity to a landfill (where according to the EPA, harmful chemicals can leach into the groundwater) or incinerator (that can emit lead, and according to the Roadmap on Carcinogens, an international NGO, lead exposure can lead to increased risk of serious health consequences.
Here's the dirty little secret about incineration that we don't often talk about, but it must be noted that nearly 80% of incinerators are located in marginalized and underserved communities. According to an article in The Guardian, that equates to roughly 1.6 Million Americans. If we want to address these enormous inequities, we need to do so as a collective.
Extended Producer Responsibility is more than just ensuring that we use every product at its highest value for the longest time. It's now a moral responsibility. If we don't all agree to change our ways and look at how we view waste and recycling - our planet's future is dim.
I choose to believe otherwise. We all want a planet where the air is breathable, the water is drinkable, and the soil produces nutritious and abundant food. The only path forward is by working together to build a more resilient climate for future generations.
-- John Hanselman, Chief Strategy Officer, Vanguard Renewables