New regulations to reduce online shopping packaging will take effect tomorrow (July 1st). Fines ranging from NT$30,000 to NT$150,000 will be imposed if materials or weight exceed or fail to meet standards. The Environmental Protection Agency will work with local governments to target large businesses with capitalization exceeding NT$150 million for inspections. Well-known e-commerce companies such as PChome, MOMO, Uni-President, and Books.com.tw are reportedly on the Taipei City inspection list for the second half of the year. In response to the new regulations, some businesses have pioneered the development and upgrading of intelligent logistics systems, which can automatically recommend packaging materials and issue alerts for overweight packaging.
New regulations to reduce online shopping packaging materials take effect on July 1st, regulating both packaging material and weight.
According to the Environmental Protection Administration (EPA), Taiwan consumed 220 million online shopping packages in 2021, totaling 57,000 metric tons, and this number is projected to double by 2030. To prevent excessive packaging material consumption, the "Internet Shopping Packaging Restriction and Implementation Measures" were announced early this year (2023). Effective tomorrow (July 1st), online shopping cartons must contain at least 90% recycled paper, plastic bags must contain at least 25% recycled plastic, and PVC is completely banned.
To prevent waste caused by "heavy boxes packed with small, lightweight items," the EPA has also introduced "packaging weight ratio" standards, categorized by product weight, with the "packaging material weight" not exceeding 40%, 30%, and 15% of the "total packaging material + product weight," respectively.
According to the announcement, businesses using PVC packaging materials (including tape and cushioning materials) will be fined between NT$1,200 and NT$1,600. Failure to meet the requirements for the recycled content and packaging weight ratios in packaging materials will result in a fine of NT$30,000 to NT$150,000. Failure to comply by the deadline will result in daily fines. In serious cases, the company may be required to suspend operations, close down, or even close down. The new regulations for online shopping packaging materials only apply to businesses with dedicated online websites and do not currently apply to individual sellers on online shopping platforms.
The Environmental Protection Administration's new regulations on "Internet shopping packaging restrictions and implementation methods." Image source: Provided by the Environmental Protection Administration
Lin Qun-kai, an inspector with the Taipei City Environmental Protection Bureau's Resource Recycling Management Division, stated that Taipei City has a total of 152 large businesses, 63 medium-sized businesses, and over 5,000 other online retailers. Well-known e-commerce companies such as PChome, MOMO, Uni-President, and Books.com.tw are on the city's inspection list this year. Starting in the second half of this year, the Environmental Protection Administration's Recycling Foundation Management Committee will lead inspections of large warehouses, accompanied by the Environmental Protection Bureau. Starting in 2024 and 2025, local governments will be responsible for this, expanding the scope to include medium-sized businesses. Starting in 2026, all e-commerce companies will be covered.
PChome's intelligent packaging line system lights up a red light to warn of overweight items.
In response to the implementation of the Environmental Protection Administration's new "Packaging Weight Ratio" regulations, PChome (abbreviated as PChome), a member of the "Online Shopping Packaging Reduction Alliance", has made full preparations. In PChome's centralized warehouse, the length, width, height, and weight of each item are recorded in the database. The system uses "volume"[1] to find the most suitable carton for a single or multiple items. Although manual confirmation is still required, the accuracy rate can reach 60%.
Huang Yuchun, senior director of the warehousing and logistics department, said that the company developed an "automatic box number recommendation system" based on Amazon in 2019. Recently, it has been improved and updated to meet the new domestic regulations, incorporating intelligent systems such as weighing alarms. It can not only recommend suitable cushioning materials, cartons, and conveyor belt weight detection equipment based on the weight of the goods, but also determine the proportion of packaging in the total package box by box. "Overweight means a red light, and a green light means it can be released." Unqualified packages are handed over to packers for repacking.
Four years after promoting recycled packaging, usage remains elusive. The "Online Shopping Packaging Reduction Alliance" has been promoting recycled bags for four years. Huang Yuchun observes that public use and recycling has been lackluster because consumers haven't yet developed a habit. "Even if the convenience store downstairs has a recycling point, it's just one more step for consumers." However, the Environmental Protection Agency is now requiring an annual increase in the use of recycled bags, and businesses that fail to meet the standards will be fined. How can this dilemma be overcome? Huang Yuchun said the key lies in "incentivizing consumers to use recycled bags." He revealed that the PChome platform will offer discounts to consumers who choose to ship recycled bags, and hopes to establish an ecosystem in the future. Mr. Cai, a frequent online shopper in Taipei, agrees: "If this (recycled packaging) offered discounts like (bringing your own) reusable cups, I'd be more motivated to use it."
Source: Environmental Information Center (https://e-info.org.tw/node/237094)
