Interest fee

JTA re-secures role of WEEE compliance fee

The compliance fee system is fundamental to the whole WEEE system in the UK. It allows compliance programs and obligated companies that do not have sufficient evidence of recycling to meet their WEEE evidence collection targets for the year by paying a fee.

The system has its proponents and detractors, with the latter considering the levy a ‘soft’ option to buying evidence from WEEE recyclers.

Approval came this week for the use of the fee for the year 2021 from Recycling Minister Jo Churchill, responsible for WEEE. The JTA program has been running for four years and will continue to be organized by the audit and tax firm Mazars.

The government said: “There was strong support for a compliance fee across the industry. All respondents supported the adoption of compliance fees.

Alternative

An alternative proposal was submitted to the Department for Environment, Food and Rural Affairs by Valpak, part of the Reconomy Group, but respondents to a consultation on the fee system were broadly supportive of the Commission’s proposal. JTA.

The JTA program is coordinated by the Association of Manufacturers of Domestic Appliances (AMDEA), the UK trade association for manufacturers of small and large domestic appliances. The plan will continue to be administered by Mazars, an audit, tax and advisory firm.

He promised that ‘enhanced’ reports will be provided on how the money is spent from the WEEE fund to which the charges go. This is of interest to local authorities and others who benefit from spending the money generated by the fee.

‘Happy’

Commenting on JTA’s success in winning the Compliance Fee job again, Frank Thomas, current JTA Chairman, said, “JTA is delighted to have been selected to administer the 2021 Compliance Fee, we believe that our proposed methodology accurately reflects market conditions. that arose in 2021. We look forward to working with Defra, industry and Material Focus to make the 2021 compliance fee work for the entire WEEE sector.

Evaluation

Nigel Harvey is Managing Director of the Recolight Grower Compliance Program

Also responding to the announcement, Nigel Harvey, Managing Director of Recolight (who is also Chairman of the WEEE Schemes Forum) said: “The establishment of an annual compliance charge is an essential part of the UK WEEE scheme. Getting the level right is key – too high, and it just adds cost to the whole system. Too low, and it could actively discourage the collection of WEEE. JTA’s proposal seems to get it right, including as it does a realistic assessment of collection and processing costs, as well as overhead.

Mr. Harvey added: “The compliance fee also generates significant funds for WEEE awareness campaigns and technical research. This is just one of the reasons why maintaining a compliance fee in an evolved and updated WEEE system could make a lot of sense. It ensures that all WEEE systems contribute to the system, whether or not they have achieved their goals. It also acts as a vital safety valve on costs, preventing overcharging by those who access more WEEE than they need for their own purposes.

groundhog day

A more circumspect take on the announcement came from Robbie Staniforth, director of innovation and policy at compliance organization Ecosurety.

It seems to be Groundhog Day for the industry with the JTA proposal pick.

– Robbie Staniforth, Ecosurety

Mr Staniforth said: ‘Clearly the minister had no viable alternative but to award the costs. The system is organized in such a way that this annual decision is practically unavoidable. It seems to be Groundhog Day for the industry with the JTA proposal pick.

“The whole regulatory system needs an overhaul, so we welcome recent news that a public consultation will finally be published later this year. The latest WEEE reforms, almost a decade ago, have had an impact limited on improving environmental outcomes for electronics products We hope that the next regulatory tinkering will lead to more meaningful change.

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