In: Operations Management
A movement within the European Union requires that a business take back its products at the end of their useful life. Can you learn the details of such laws? Discuss whether or not you believe such a law could be passed in the United States. Should the United States have similar laws?
There is a movement across the different economies in the
European nation that producers recall the product after the useful
life of the product. Broadly, this added responsibility transferred
to the producers are known as extended producer responsibility
(EPR) that involves producers and manufacturers to recall the
products after the useful life and recycle it. The movement is
growing fast as it transfers the burden of recycling and waste
management from the government bodies to the industry. Finally, the
cost of recycling of the product is already reflected in the price
of the products. So, there is a rise in price, but it becomes the
responsibility of the producers to manage the waste after the
useful life.
Regarding laws related to the EPR, it is the packaging ordinance,
1991 in the country of Germany that requires the firms to recall
and recycle the packaging waste so that burden of the local
government is shared by the industry. On a similar note, a law is
passed in the country of France, where the recycle of the products
and wastes are done by the jointly by the government and industry
and they share the cost. Such regulations in the Germany and France
is being endorsed by the European Union.
In the USA, such laws were tried to be passed in the past where the
EPR will be brought into the effect, but it could not be passed. In
1992, EPR was introduced for packaging materials as part of RCRA,
but could not be passed. But, in the future, the scenario can
change and the US lawmakers can take a clue from the European Union
and push for the laws that contributes towards the environmental
care. Therefore the USA can have the similar laws in the coming
future.