India, like other large economies, faces a significant plastic waste problem. According to a 2020-21 report by the Central Pollution Control Board (CPCB), four million tonnes of plastic waste are generated annually. Unfortunately, only a quarter of this waste is recycled or treated, with the rest ending up in landfills or being disposed of unsustainably. Since 2016, the Plastic Waste Management Rules have mandated that users of plastics are responsible for collecting and recycling their waste. These requirements, or the Extended Producer Responsibility (EPR) rules, were initially voluntary but are now enforced through an online EPR trading platform. The EPR system involves packagers, importers, and large industrial users of plastic packaging, as well as professional recyclers, registering with the CPCB. Recyclers, who have networks to collect plastic waste, recycle the waste and receive validated certificates for each tonne recycled. These certificates can be uploaded to a dedicated CPCB portal and purchased by plastic packaging companies that fall short of their annual recycling targets. In 2022-23, the CPCB estimated that certificates for nearly 3.7 million tonnes of recycled plastic were generated. However, it was discovered that not all of these certificates were legitimate — there were approximately 6,00,000 fraudulent certificates. Additionally, hackers reportedly stole several thousand certificates last year and sold them to companies. A criminal investigation is ongoing, and it remains unclear how much of the claimed 3.7 million tonnes was genuinely recycled.
In response, the CPCB has taken two significant actions. First, it commissioned an audit of nearly 800 firms, representing almost a fourth of the 2,300 registered recyclers who had traded certificates. Second, it undertook a comprehensive overhaul of the security features on the EPR trading platform, although this has delayed the process of filing returns for 2023-24 by several months. The CPCB has described these problems as “teething issues” associated with implementing a large-scale electronic system. While the audit is necessary, it should be a one-time initiative to avoid undermining trust in the system with annual, lengthy investigations. Although the CPCB has the authority to impose heavy fines, the process is lengthy and fraught with legal challenges. A market-driven approach to solving plastic waste has a significant but limited effect. Greater efforts must be made to curb plastic production and promote sustainable alternatives. Addressing the root causes of plastic waste and enhancing the effectiveness of recycling systems are crucial in mitigating India’s plastic waste problem.
