Historically, profits of manufacturers' were maximized, contingent predominantly upon the number of goods produced and sold. None or very little focus was on the final disposal of the used good by the consumer or end of life products nor was any deliberation done on who is responsible for the pollution resulting due to use of the products produced. These responsibilities were presumed to fall within the domain of the government. In other words, these environmental considerations featured nowhere in the agenda of manufacturing firms or producers. Taking a holistic view, we now realize that it is these very firms which can improve the economy and efficiency of material use through product redesign, more reusable, remanufacturable as well as recyclable [UNEP, 1997; Schwartz and Gattuso, 2002]; moving towards less resource intensive production regimes.

This chapter explains the concept of “Extended Producer Responsibility” (EPR) and its importance as a tool to achieve cleaner production. A brief overview of the polluter pays principle and its extension, which shapes up as EPR is also given. The EPR model and its practical applications in some industries are cited. Lessons from its application and further analysis to develop the Design for Environment framework to achieve the goals of EPR are presented. The drivers for integration of the concept of EPR by industries and the advantages they derive are explained.

What Is Extended Producer Responsibility?

The Extended Producer Responsibility (EPR) principle, formulated in the 1980s, has emerged through analysis of experiences from recycling, waste management systems and implementation of policy instruments for promoting Cleaner Production [Lindhqvist, 2000].