On the evening of 14 March 2023, Government Decree No 80/2023 (III. 14.), containing detailed rules regarding the operation of the extended producer responsibility system beginning on 1 July 2023, was published in the Hungarian Official Gazette.

The new obligations apply to packaging, certain single-use plastic products, electrical and electronic equipment, batteries and accumulators, motor vehicles, tyres, office and promotional stationery, cooking oil and fat, certain textiles, and wooden furniture.

Based on the range of products, almost all economic operators need to examine the reporting, registration and declaration obligations that arise. The companies concerned will also need to indicate the extended producer responsibility fee obligation on their invoices.

Given the deadlines, the parties concerned have limited time to prepare.

Key elements of the new extended producer responsibility system:

  • Under the new system, MOHU MOL Waste Management Ltd. as a concession company will carry out the reception, collection, transportation, pre-treatment, trading and transfer for treatment of waste products from households and business entities covered by the municipal and extended producer responsibility system and operate the new extended producer responsibility system.
  • The so-called extended producer responsibility fee to be paid by the producer is set by the Minister of Energy in a decree on the basis of a proposal by the Hungarian Energy and Public Utility Regulatory Authority (MEKH).
  • National consultative bodies will be set up to ensure cooperation between the parties involved in the operation of the extended producer responsibility scheme, including producers, distributors, waste recyclers, municipalities and NGOs, to discuss issues related to the operation of the scheme, and the tariff councils will provide technical support to the tariff preparation activities of MEKH.

The Ministry of Energy points out that "further increasing the collection and recovery rates of waste will increase the supply of secondary materials from waste and reduce the use of primary raw materials, thereby helping to reduce landfilling and illegal dumping, as well as reducing the burden on the environment."

We would like to invite our clients to an online conference organized by KPMG on this topic, to be held on 30 March 2023. The event is open to all clients after pre-registering via the following link.

The language of the event is Hungarian.

Our consultants at KPMG are happy to discuss the expected advantages and disadvantages of the new extended producer responsibility system, as well as the challenges of its application and implementation. Should you have any questions or comments, we are at your disposal.

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