Turning policy into practice – delivering high-performance recycling in Europe

As Europe enters the implementation phase of its Packaging and Packaging Waste Regulation (PPWR) and prepares for the Circular Economy Act, the focus is shifting from ambition to execution.The question is no longer what a circular economy should look like - but how to deliver it in practice.

This was the central theme of the first panel at Steel for Packaging Europe’s recent event “Shaping Europe’s Circular Future”, where policymakers and industry leaders examined how to translate policy frameworks into real-world recycling performance.

A key priority, highlighted by Dr Wolfgang Trunk of the European Commission, is the development of robust Design for Recycling (DfR) criteria. While widely recognised as essential, Geza Nagy of Nestlé argued that current guidelines remain too abstract to drive consistent action, with other panellists agreeing that DfR must evolve into clear, operational tools that packaging designers can apply in practice.

Harmonisation of waste management at national level will be critical here. Without common standards across Member States, even the best-designed criteria will not help to ensure actual recycling at scale. Encouragingly, work is already underway at European level to develop aligned methodologies - but implementation will be key.

Beyond design, collection and sorting systems must also be optimised. The European Environment Bureau’s Marco Russo commented that high-quality recycling depends not only on whether materials are theoretically recyclable, but whether they are actually collected, sorted, and processed effectively.

This distinction - between design for recycling and real recycling at scale  -  emerged as a recurring theme. Some materials may meet technical recyclability criteria but fail to achieve meaningful recycling rates in practice. This raises important questions for policymakers: should all materials be treated equally, or should policy differentiate based on real-world performance?

Several speakers argued for the latter.

Materials that already demonstrate high recyclability and closed material loop systems should be recognised and rewarded. At the same time, policies must address underperforming clear materials without distorting competition or creating unintended consequences.

Data will play a decisive role in this process, as stated by MEP Bruno Tobback. Accurate, transparent, and audited information is essential to evaluate outcomes, identify gaps, and build trust. Yet current data systems remain fragmented and, in some cases, unreliable. Improving reporting and verification was widely seen as a priority.

Extended Producer Responsibility (EPR) schemes also came under scrutiny. While they are a cornerstone of EU waste policy, their effectiveness depends heavily on design and implementation. Adequate funding, clear incentives, and strong communication to end users are all necessary to ensure high participation and performance. Well-designed EPR systems define clear and designated roles for the different stakeholders, meaning the manufacturers of the material, the manufacturers of the products, the fillers (brand owners and retailers putting packed products on the market), the waste operators (in collection, sorting, and recycling), the legislator, the local authorities and the consumers/citizens. All are crucial to the EPR-system.

Another challenge is the risk of cross-subsidisation, where high-performing materials effectively finance the recycling of less efficient ones. This not only undermines fairness but can weaken incentives for innovation and improvement.

Whilst each packaging material should be responsible for covering its own cost of collection, sorting and recycling, panellists acknowledged that achieving full cost calibration across materials is complex. Balancing environmental goals, economic realities, and political feasibility will require careful policy design.

Despite these challenges, there was broad consensus on one point: collaboration across the value chain is essential.

From brands and packaging producers to recyclers and policymakers, all stakeholders must work together within a coherent and predictable framework. Fragmentation - whether in regulation, data, or infrastructure - remains one of the biggest obstacles to progress.

The implementation phase of PPWR and the development of the Circular Economy Act represent a critical opportunity to address these issues.

By aligning policy with real-world performance, strengthening data systems, and creating clear, harmonised rules, Europe can move from ambition to impact. Because ultimately, a circular economy is not defined by targets alone - but by the systems that deliver them.