Environment Ministry prepares regulation requiring producers to fund plastic waste management

The Ministry of Environment (KLH) is preparing a Ministerial Regulation on Extended Producer Responsibility (EPR) that will require producers to take greater responsibility for managing the plastic packaging waste they generate. Minister of Environment Muhammad Jumhur Hidayat stated during the Kali Sabi Festival in Tangerang that this policy will be implemented through the establishment of a Packaging Recovery Organization (PRO) as a collaborative waste management institution. This regulation is a strategic step to ensure plastic waste management runs sustainably with financial support from the industrial sector, rather than relying on the State Revenue and Expenditure Budget (APBN). According to him, nearly 10,000 large factories in Indonesia will participate in the scheme by allocating a portion of their budget to manage their product packaging waste. The funds will be managed through a PRO, which can be formed by foundations, communities, or community organisations engaged in environmental work. He explained that the PRO funding mechanism is sustainable because it comes from producer contributions for as long as the companies operate. The government will solely act as the regulator setting the governance and implementation mechanisms, while the management of funds will be carried out by the industry players in accordance with the stipulated regulations. The funds can be utilised for various waste reduction activities, ranging from door-to-door public education, provision of waste sorting facilities, to behavioural change campaigns aimed at stopping residents from dumping waste into rivers. He noted that the success of waste management heavily depends on increased public awareness, meaning educational approaches must go hand in hand with the provision of adequate facilities.