The case is the first case in which a company has been fined significantly more than the costs they would have faced by complying with the Producer Responsibilities Obligations (Packaging Waste) Regulations 1997.
The fine, handed out by Isleworth Crown Court on Monday, saw the Uxbridge-based restaurant chain paying about 20,000 more than they would have paid by complying through the packaging waste recovery note (PRN) system.
”The Agency will take action against those who avoid their responsibilities while enjoying a commercial advantage over competitors. “
– Tina Lamont, Environment Agency
In the UK, any company that handles over 50 tonnes of packaging each year, or which has a turnover above 2 million, is obligated to pay for their share of UK packaging waste recovery and recycling. Businesses carry out this obligation by purchasing PRNs from accredited packaging waste reprocessors – either directly or through compliance schemes.
Obligation
Pizza Express was obligated to pay for the recovery and recycling of 1,676 tonnes of packaging waste in 2002, and had registered with compliance scheme Biffpack to carry out this obligation.
However, the company's membership with Biffpack was terminated in November 2002 because Pizza Express refused to pay for that entire year's packaging waste compliance – worth a total of 52,786.44. As a result of this refusal to pay, the Environment Agency took legal action against Pizza Express.
Commenting after the case, the Agency's investigating officer, Tina Lamont, said:
“The Agency will seek to enforce these regulations and take action against those who avoid their responsibilities while enjoying a considerable commercial advantage over competitors.
“Packaging waste not only depletes our natural resources but also creates a huge waste problem. Pizza Express could have avoided this legal action had it complied with its environmental obligations.”
Pizza Express did secure registration with Biffpack for its 2003 compliance.
Momentous
Experts in the packaging waste recovery sector welcomed the “momentous” court decision and said the case marked a precedent in UK law.
One analyst said: “This shows that the courts are now taking this more seriously, as they now understand the packaging waste legislation. From now on we can expect other companies to be really hit if they choose not to carry out their recovery obligations.”
Pizza Express is now the second company to be referred to the Crown Courts after banana importers SH Pratt & Co were fined 53,000 for failing to recover and recycle more than 4,000 tonnes of packaging waste and related offences in 1999-2000.
Experts said that the Pizza Express case increases the chances of the courts referring packaging waste recovery cases to the Crown Court in future.
For more information on PRNs and the UK packaging waste recovery system, see the letsrecycle.com packaging legislation section.
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