It is estimated that by 2030, 2 million metric tonnes of used batteries will be produced across the world annually.

In the digital age, our use of batteries is only increasing, and governments are actively investing in this growing industry. The main reason behind this is the pledge to move from diesel and petrol vehicles to electric, battery-powered vehicles. Although it’s fantastic to see so much investment into the sector, more needs to be done to make it sustainable. As a society, we need to become better at the disposal and recycling of the batteries we produce and consume.

It’s important to note that it’s not just the automotive sector that produces batteries. In fact, batteries are a vital part of our everyday life. Our phones are powered by batteries, most toys have batteries installed to make them interactive, and even lifesaving equipment such as defibrillators and fire alarms need a battery to operate.

Batteries are notorious for contributing millions of tonnes of harmful waste to our environment. They are filled with toxic chemicals that have traditionally gone to landfill, or even worse incineration, something that is now becoming illegal in many countries.

Battery producers, importers, and distributors are being advised to start looking at how they could become more responsible.

What is likely to change?

At the moment we do not fully know the outcomes of the anticipated Extended Producer Responsibility proposals which are due in early 2022, but they are likely to include:

• New schemes have been built to improve the design of new batteries. This is likely to mean that manufacturers must follow a more stringent set of rules.

• Sending batteries to landfill and incineration to become illegal in more countries across the world. Instead, companies will be able to pay to get batteries disposed of responsibly.

• It is likely that if you are a battery manufacturer or distributor, you will have to register new or incoming batteries with an environmental regulator. This will include accurately recording the tonnage and chemical makeup of the batteries entering the marketplace.

The above guidelines are likely to apply to portable, automotive, and industrial batteries. It is hoped that once the new proposals are adopted, that it will encourage consumers and businesses to recycle. The proposals will also lead to a reduction in reporting errors, and an increase in waste battery collection points.

There is also likely to be a crackdown on internet sellers of batteries who are not currently aware of or complying with new laws, and a change in battery labelling to improve recycling rates.

If you sell into certain countries such as Germany or France, you need to comply with local ERP (Extended Producer Responsibility) rules and regulations. Within these territories, there is often a mandatory recycling charge, and producer registration is required.

Who is this likely to affect?

The recommendations are largely aimed at battery manufacturers and distributors, but they will also impact importers and consumers. Producers and manufacturers should start to prepare for the changes so that they can quickly comply with any new extended producer responsibility requirements.

If your business produces batteries or supplies products with batteries included, then you are likely to be impacted by the proposals. TB Accountants specialise in extended producer responsibility within the eCommerce sector. We are offering ERP registration services to our clients, please get in touch to learn more.