The industry bid widely seen as favourite to take on the running of the government’s controversial packaging tax is set to face an as-yet unknown number of rival bids, The Grocer has been told.
A bid drawn up by the FDF has won the backing of powerful bodies including the BRC and Incpen. There had been speculation that it would be the only one, similar to the recent appointment of the drinks industry/retailer-run DMO to run the deposit return scheme.
However, sources told The Grocer Defra’s deadline for expressions of interest next Tuesday (10 June) was set to see multiple groups come forward, with different industry bodies said to be “scrambling around for support”.
The government announced last month that PackUK, the body set up by Westminster to oversee packaging policies in the UK, would launch a formal process to appoint a producer responsibility organisation (PRO) in October to take on large parts of the running of the scheme.
Jim Bligh, director of coprorate affairs and packaging at the FDF, insisted that the “doors are open to anyone who wants to get involved” to join its bid.
He said the industry-led PRO bid was unique because it represented ”every element of the packagig supply chain”.
However, the concessions have sparked frantic discussion on who should take on the job, which some have described as a “power struggle”.
“The FDF may have assumed that this would be a shoo-in for their bid but what we understand is that there will certainly be other bids, at least one and possibly more,” a source told The Grocer.
“I think that healthy to ensure that what comes out eventually of this is a really good PRO that can do the function across what is a very complicated landscape of local authorities, materials organisations and producer schemes.
“All of those, ideally, would be engaged.”
Robbie Staniforth, innovation and policy director at Ecosurety, said: “Since the government released their process for appointing a single PRO there have been numerous conversations within industry about who is best-placed to form the new organisation. At this point, it is far from a done deal.
“The government appears to welcome expressions from any, and all, interested parties. However, as it is, the major brands and retailers who have been calling for greater influence on the management of EPR, given they are funding it, it seems probable that they will have a major say in the final organisation.
“For a PRO to be successful, it will also need to be mindful of bringing along the whole value-chain, including the recycling community.
“The commercial acumen of for-profit producers will need to be blended with the custodial role of compliance schemes and the organisational governance of NGOs. Broad collaboration across industry is urgently required to ensure that this opportunity is seized
“Although we have helped to set up small-scale voluntary PROs for coffee pods and flexible plastics in the UK, we do not see this issue as a power struggle, but rather an opportunity to lend our skills and knowledge to creating a large-scale PRO that truly delivers a circular economy.”
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