According to the MoNRE’s Legal Department, the 2020 Law on Environmental Protection has introduced a legal framework on ERP, under which producers and importers hold two responsibilities – recycling products and packaging they produce or import, and managing and treating products and packaging that contain hazardous substances or are difficult to be disposed of.
They will be required to find a system to recycle their products and packaging; or make a financial contribution to the Vietnam Environment Protection Fund to support the process.
The regulations will be applicable from 2024.
Speaking at the event, Phan Tuan Hung, Director of the department, said the ERP is a new approach to seek a financial solution for managing waste and increasing recycling without raising environmental protection taxes and fees. It is also expected to give a push to the circular economy, he said.
If it is implemented well, Vietnam will be able to maintain closed circulation of resources in production.
Many enterprises have fulfilled their recycling obligations by contributing to the Environment Protection Fund in the first installments, Hung shared on the sidelines of the workshop.
He said that after August 20, all companies that fail or delay to make their financial contributions to the fund will be subject to fines of up to 2 billion VND (85,451 USD).