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Background and purpose
The NPC is clearly going to be a major driver for change in the packaging supply chain in Australia in coming years. Despite this, very little intelligence exists on the role of the NPC in adding value to business and how it could be further improved to maximise environmental and commercial benefits to industry and the community.
Outcomes and key learnings
Despite some weaknesses, most participants believe that the voluntary approach of the NPC has provided companies with a flexible approach to addressing the issues, allowing them to ‘tailor make’ activities to meet their specific needs and also to retain control of their activities and operations.They see this as one of the strengths of the NPC compared with more rigid and stricter regulations that focus on limited objectives (e.g. recycling); do not drive innovation; add to business costs; and entrench the status quo.
Weaknesses of voluntary agreements were also identified[1], for example:
- The lack of benchmarking/targets to measure achievements;[2]
- Lack of supporting documentation/material such as workbooks, training, information sheets for shop floor personnel, and mentoring;
- The issue of free riders (i.e., lack of enforcement of the NPC/NEPM);
- The low level of commitment by some companies (i.e., a minimum response in action plans with some companies not doing much)[3], while other signatories are at a competitive disadvantage because of their commitments;
- Lack of understanding of the status of technological change within industry.
The NPC was viewed by some companies as providing opportunities for value creation, for example:
- The opportunity to reduce waste and maximise value throughout supply chain.
- It encourages companies to look ‘upstream’ with a redesign of products and processes (which leads to innovation).
- Engagement with stakeholders to retain/gain support and also to understand their perceptions of ‘sustainable packaging’.
- It requires CEO and Board support, but also their increased awareness and understanding about sustainability issues.
- Marketing (not environmental managers) drive companies – the need to engage different departments within companies towards a common understanding and strategy – requiring leadership from the Board.
- The need to balance packaging functionalities (e.g., consumer safety, risk assessment).
Significance for SPA directions
The outcomes of this Roundtable were consistent with the later findings of the NPC evaluation. They contributed to the development of a range of tools to support the implementation of the NPC, for example SPA training courses and tools such as the Materials Selector, PIQET(c)and CLAC(c).
[1] The above weaknesses were also identified in an evaluation of the NPC that was undertaken in the last quarter of 2003, which led into a stakeholder consultation process in mid 2004 where input was received on how to strengthen the NPC.
[2] Suggested KPIs from the Packaging Council of Australia include amount of post-consumer recycled content in packaging, reduction in freight km traveled per tonne of packaged goods delivered, and reduction in the measured amount of packaging material found in litter (www.packcoun.com.au).
[3] This was also found in the later evaluation of NPC actions plans Lewis, H. and James, K. L. (2003), Appendix F: Action Plan and Annual Report Review.Report on the National Packaging Covenant Action Plans and Annual Reports from NPC Signatories (November 2003), Centre for Design, RMIT University, Melbourne. |
