Why does the Bundesrat reject the suspension?
According to the Environment Committee’s assessment, a suspension would do little to reduce bureaucracy. The main burdens on producers and retailers would continue to arise from registration, reporting, and testing obligations, which remain in place even without Authorised Representatives. Therefore, a genuine alleviation for the economy cannot be expected.
What does this mean for producers and retailers?
The Committee still regards Authorised Representatives as an essential resource, especially for small and medium-sized businesses selling their products across several EU member countries. Without Authorised Representatives, companies have significantly higher organisational costs and legal risks. Without Authorised Representatives, companies would face increased organisational costs and legal risks as they would have to fulfil their legal obligations themselves in every country individually.
What risks does the Environment Committee see?
Without Authorised Representatives, enforcement problems are likely to arise regarding registration, quantity reporting, financial contributions, and technical and organisational obligations. Enforcing this for producers outside Germany would be especially difficult. In addition, the committee warns of an increase in free riders, especially in online commerce, which could lead to distortions of competition and rising costs for companies operating in compliance with the law.
What happens next?
The federal government should actively advocate, in the ongoing EU legislative process, for retaining the Authorised Representative requirement until a comprehensive reform of Extended Producer Responsibility is in place. At the same time, the Environment Committee calls for better coordination and interoperability of existing EPR systems to reduce duplicate and multiple registrations.
VERE e.V. appreciates the Bundesrat’s assessment
VERE endorses the assessment by the German Federal Council as it aligns well with the perspectives held by VERE members. Recently, VERE reported on its statement “Advantages of the Mandatory Appointment of Authorised Representatives in Extended Producer Responsibility Systems”, which the association vehemently opposes to protect its members. You can read the full background here: No Fair Competition Without Authorised Representatives.
VERE e.V. is in contact with the relevant parties and keeps its members informed about further developments via the “VERE Insider”.
Not yet a VERE member? Become a VERE member today!
