Performance Indicators

The Covenant is based on the principles of Product Stewardship however to measure Covenant progress and to provide greater accountability performance indicators were developed including goals, targets and KPIs. Product Stewardship and the Environmental Code of Practice for Packaging also play an important role.

 

Goals

 

The objective of the Covenant is to reduce environmental degradation arising from the disposal of used packaging and conserve resources through better product design and production and the re-use and recycling of used packaging materials. Covenant performance against this objective will be assessed by reference to five specific Performance Goals that encompass environmental, social and economic performance.

 

Covenant Performance Goals

 

The Goals set out below address specific environmental, social and economic goals.

1.       Packaging optimised to integrate consideration about resource efficiency, maximum resource re-utilisation, product protection, safety and hygiene.

2.       Efficient resource recovery systems for consumer packaging and paper.

3.       consumers able to make informed decisions about consumption, use and disposal of packaging of products

4.       supply chain members and other signatories able to demonstrate how their action contribute to Goals (1) and (3) above.

5.       All signatories demonstrate continuous improvement in their management of packaging through their individual Action Plans and Annual Reports.

 

Targets

Overarching targets have been developed to provide a way to measure performance in key areas which will be able to clearly demonstrate whether the Covenant is meeting its goals and contributing to better lifecycle management of packaging. All signatories to the Covenant will work together to deliver these targets.

 

Target 1: Increased recycling of post consumer packaging

 

Signatories will work together to increase the amount of post consumer packaging recycled from its current rate of 48% (2003 baseline) to 65% by 2010.  Packaging made from specific materials will make a contribution to the overarching target at follows:

 

Paper & cardboard      70-80%           (currently 64%)

Glass                             50-60%           (currently 35%)

Steel                               60-65%           (currently 44%)

Aluminium                    70-75%           (currently 64%)

Plastics                         30-35%           (currently 20%)

 

Target 2: “Non Recyclable” Packaging

 

Industry signatories will work to increase the recycling of some specific materials that are currently either not recycled or recycled at very low rates due to their design, lack of collection/processing infrastructure or lack of markets. These materials are plastics coded (4) to (7) and non-recyclable paper & cardboard packaging. The recycling of packaging manufactured using these materials will be increased from the existing 10% recycling rate (2003 baseline) to 25% by 2010. Composite packaging is another packaging type with very low recovery rates. No baseline data is currently available for composites and the applicability of the 25% target to these materials will be considered following analysis of baseline data at the end of 2006.

 

Target 3: Packaging to Landfill

 

It is recognised that through increase consumption and population growth the amount of packaging disposed of to landfill could increase substantially.  To address this, a target has been established of no new packaging to landfill (against 2003 baseline data). This means that any additional packaging will need to be recovered for recycling and not disposed of to landfill.   
  

Key Performance Indicators (KPIs)

To assistance performance measures 29 KPIs were developed. Signatories are required to address those that are relevant to them and to establish their own specific base line data that will enable them to refine their individual performance goals and milestones set out in their Action Plan.

 

Specific KPIs and Explanatory Notes

Product Stewardship

The Covenant is based on the principle of product stewardship. This includes an ethic of shared responsibility for the lifecycle of products including the environmental impact of the product through to and including its ultimate disposal. Consequent upon this principle, all participants in the packaging supply chain, consumers, recycling service providers, reprocessors and all levels of government, share responsibility for the environmental impacts associated with their sphere of activity. Governments must recognise that they have a role in ensuring that legislation, policies and strategies facilitate the implementation of product stewardship. The signatories will take action as appropriate in all relevant areas outlined;

 

Design	Designing packaging for the minimum environmental impact, and being sure it is needed in the first place. Your marketing, product or production facilities may also need review
Production	Reducing unnecessary use of materials, energy or water in the production and use of packaging. Your suppliers may need to improve, and methods, equipment, materials or people may be an issue.
Distribution	Revising logistics to reduce material and energy consumption without threatening the product. The location of sites and weight of materials can impact on energy. Perhaps tertiary packaging can be avoided, reduced or reused
Disposal	Disposing of packaging through re-use or recycling rather than landfill, and using materials and designs that enable product users to do the same. Designing for re-use or recycling and logistics may impact here
Research	Finding waysto reduce the amount of packaging needed, the environmental impacts of packaging materials and new uses or markets for recovered materials
Market development	Looking for ways to enhance the uptake of re-used or recycled packaging/materials
Education	Educating staff and consumers to be able to play their role in reducing packaging’s impacts
Labelling	Providing reliable information to consumers to help them make informed purchasing choices
Wholesaling and retailing	Promoting reducing, re-using and recycling of packaging at the point of sale, and designing logistics to reduce impacts of secondary and tertiary packaging
Recycling and reprocessing	Using recycled material and making packaging so it can be recycled

 

 

 

Environmental Code of Practice for Packaging

The Environmental Code of Practice for Packaging (The Code) is designed to provide companies with guidelines to help evaluate the environmental impact of new and existing packaging. The Code is a statement of general principles for the design of environmentally responsible packaging. The more detailed Environmental Guidelines for Packaging (Guidelines) have been produced to assist to companies to implement the principles of the Code in their product developed process.   The bodies involved in preparing this Code recognise the vital role packaging plays in modern society by ensuring that products are protected and preserved, waste minimised and quality, health and safety assured. Packaging is also an integral element of retail self-service and stock security.  The Code is administered by a Management Committee that considers any complaints from signatories, the public and other interested organisations relating to conformance with the Code by any products sold in Australia.

To receive more information from the ECoPP Management Committee or to lodge a complaint about packaging which has been released or revised after June 2005, the ECoPP Secretariat can be contacted on ecopp.secretariat@afgc.org.au.

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