New Regulations Target Businesses to Tackle Electronic, Packaging and Food Waste
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Client Update: Singapore
2019 MARCH
Environment
New Regulations Target Businesses to
Tackle Electronic, Packaging and Food
Waste
Introduction
On 7 March 2019, Senior Minister of State for the Environment and Water Resources, Dr Amy Khor,
announced in Parliament that Singapore’s first Zero Waste Masterplan (“Masterplan”) will be introduced
this year, as part of efforts to create a more sustainable living environment and pave the way towards a
zero-waste nation. To effect the Masterplan, the Resource Sustainability Bill will be introduced this year
to pass regulations covering the management of three waste streams: electronic waste (“e-waste”),
packaging waste, and food waste.
The regulations when introduced will have significant impact on businesses, including the way they
manage their end-of-life products. This Update highlights some of the key plans to be introduced and
their impact on businesses.
Zero Waste Masterplan
E-waste
The Extended Producer Responsibility (“EPR”) framework will come into effect in 2021 and make
producers financially and physically responsible for the end-of-life collection and treatment of prescribed
products. The coverage is extensive and will apply to almost 90% of e-waste in Singapore. This includes
electrical and electronic equipment (“EEE”) that are categorised as information and communication
technology (ICT) equipment, batteries, lamps, solar panels and large appliances, as well as mobility
devices such as e-scooters and power-assisted bicycles.
Under the EPR framework, from 2021, producers of consumer EEE, such as laptops and mobile
phones, will have to finance a Producer Responsibility Organisation (“PRO”) appointed by the
National Environment Agency (“NEA”) to collect e-waste for recycling. Note that small producers
will however be exempted from the financing requirement, who may otherwise have to bear
disproportionately high costs. Producers of non-consumer EEE (for example, commercial and
industrial equipment such as solar panels and data servers) will also not be required to finance a
PRO. However, they will be required to take back all end-of-life products for free upon request.
Retailers must also offer free 1-to-1 takeback services during delivery. For example, a retailer must
take away an old refrigerator when delivering a new one. Further, larger retailers with a sales area
© Rajah & Tann Singapore LLP | 1
Client Update: Singapore 2019 MARCH Environment for consumer equipment of more than 300 square metres must provide in-store collection points to provide consumers avenues for recycling their e-waste. Packaging Waste By 2020, the mandatory packaging reporting framework for businesses will be introduced. Producers of packaging and packaged products (e.g. supermarkets, brand owners, manufacturers and importers) must report to NEA how much packaging they introduce to the market annually. Plans to reduce, reuse or recycle packaging waste must also be submitted. For a start, the rule will apply only to firms with an annual turnover exceeding S$10 million, whereas micro and small enterprises with an annual turnover of $10 million or less will be exempted. Food Waste From 2024, commercial and industrial premises generating large amounts of food waste are required to segregate it for treatment. Such premises include large hotels and malls, as well as industrial developments housing food manufacturers, caterers and food-storage warehouses. Significantly, existing premises have the option to choose the most appropriate treatment solution for their needs, such as off-site treatment. However, for new premises that generate large amounts of food waste, developers will be required from 2021 to submit building plans that cater for on-site food waste treatment. Other Waste Streams Currently, large hotels and malls are reporting their general waste data and waste reduction plans to the NEA. From 2020, the NEA will expand such mandatory waste reporting to prescribed factories, warehouses and convention and exhibition centres. Factories with gross floor areas over 20,000sqm, warehouses spanning more than 50,000sqm and convention and exhibition centres covering more than 8,000sqm will have to begin collecting data in 2020 and submit their reports from 2021. Public consultations on the Masterplan are ongoing and will end on 29 March 2019. Measures to move Singapore towards zero waste will form part of a new Resource Sustainability Bill set to be tabled in Parliament later this year. Our Comments The new regulations will affect many businesses in Singapore, including without limitation businesses producing consumer or non-consumer goods. We advise that businesses prepare for the upcoming changes by first identifying: (i) which of your existing or future operations will be affected by these new © Rajah & Tann Singapore LLP | 2
Client Update: Singapore
2019 MARCH
Environment
regulations; (ii) the waste streams being produced; and (iii) how the waste streams are being managed
or disposed of. Thereafter, businesses need to identify the gap between its current practice and what
will be required under the new laws. Note that compliance costs can be kept to their minimum with
proper and advance planning. While the year 2021 seems some way away, it is necessary for
businesses to start preparation now, if not already started. We would be happy to guide you on your
journey.
Should you have any questions or wish to discuss any of the above, please feel free to contact our team
below.
Contacts
Kala Anandarajah Alvin Tan
Partner Senior Associate
Head, Competition & Antitrust and Competition & Antitrust and Trade
Trade
Employment & Benefits D +65 6232 0904
F +65 6428 3497
D +65 6232 0111 alvin.tan@rajahtann.com
F +65 6428 2192
kala.anandarajah@rajahtann.com
Please feel free to also contact Knowledge and Risk Management at eOASIS@rajahtann.com
© Rajah & Tann Singapore LLP | 3Client Update: Singapore
2019 MARCH
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© Rajah & Tann Singapore LLP | 4Client Update: Singapore 2019 MARCH Our Regional Presence Rajah & Tann Singapore LLP is one of the largest full-service law firms in Singapore, providing high quality advice to an impressive list of clients. We place strong emphasis on promptness, accessibility and reliability in dealing with clients. At the same time, the firm strives towards a practical yet creative approach in dealing with business and commercial problems. As the Singapore member firm of the Lex Mundi Network, we are able to offer access to excellent legal expertise in more than 100 countries. Rajah & Tann Singapore LLP is part of Rajah & Tann Asia, a network of local law firms in Singapore, Cambodia, China, Indonesia, Lao PDR, Malaysia, Myanmar, the Philippines, Thailand and Vietnam. Our Asian network also includes regional desks focused on Japan and South Asia. The contents of this Update are owned by Rajah & Tann Singapore LLP and subject to copyright protection under the laws of Singapore and, through international treaties, other countries. No part of this Update may be reproduced, licensed, sold, published, transmitted, modified, adapted, publicly displayed, broadcast (including storage in any medium by electronic means whether or not transiently for any purpose save as permitted herein) without the prior written permission of Rajah & Tann Singapore LLP. Please note also that whilst the information in this Update is correct to the best of our knowledge and belief at the time of writing, it is only intended to provide a general guide to the subject matter and should not be treated as a substitute for specific professional advice for any particular course of action as such information may not suit your specific business and operational requirements. It is to your advantage to seek legal advice for your specific situation. In this regard, you may call the lawyer you normally deal with in Rajah & Tann Singapore LLP or e-mail Knowledge & Risk Management at eOASIS@rajahtann.com. © Rajah & Tann Singapore LLP | 5
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