What is the regulatory change?
For producers, the Hazardous and Special Products (HSP) Regulation takes effect on October 1, 2021. The new regulatory framework makes obligated producers individually responsible for achieving specified outcomes, whereas the existing framework is a collective responsibility model that places obligations on organizations operating approved waste diversion programs. The final HSP Regulation was issued on June 8, 2021.
What does the change mean for current AMS members?
The HSP Regulation introduces significant changes to how producers will meet their obligations for their materials. The implementation of individual producer responsibility (IPR) creates a new legal obligation. Producers will also have flexibility in how they collect and manage their products at end of life to meet regulatory obligations. Producers have the choice of meeting their obligations on their own or by joining a Producer Responsibility Organization (PRO).
Why is this change being introduced?
Ontario’s new approach began in 2016 with the introduction of the Resource Recovery and Circular Economy Act. The regulatory transition of the MHSW Program operated by Stewardship Ontario, of which the Industry Stewardship Plan (ISP) operated by AMS is a carveout, was initiated in August 2019 with a direction letter from the Minister of the Environment, Conservation and Parks. The objectives are to shift the province’s approach to waste management to make producers more responsible for the waste generated from their products and packaging and to make waste a resource that can be recovered, reused and reintegrated back into the economy. The transition of waste diversion programs is detailed in the Province’s Strategy for a Waste Free Ontario: Building the Circular Economy.
What is IPR?
Individual producer responsibility (IPR) replaces the collective responsibility for managing materials that producers have had under the AMS Industry Stewardship Plan since 2017 and under the MHSW Program operated by Stewardship Ontario since 2008. IPR requires that each producer obligated under the regulation meet individual targets and allows for them to do so by signing up with an authorized Producer Responsibility Organization (PRO).
What is a PRO?
Under the HSP Regulation, producers will have the option to establish their own recycling system or join a Producer Responsibility Organization (PRO) to carry out their individual responsibilities. Effectively, a producer has the ability to hire a PRO to deliver certain services that enable the producer to meet their regulatory obligations. The regulation defines a PRO as:
a person who has entered into an agreement with a producer for the purpose of carrying out one or more of the following producer responsibilities relating to HSP, but does not include an HSP processor retained solely for the purposes of processing HSP:
- Arranging for the establishment or operation of a collection or management system.
- Establishing or operating a collection or management system.
- Implementing a promotion and education program.
- Preparing and submitting reports
What is happening with AMS?
AMS as an organization continues and will operate as a PRO to support producers under the new HSP Regulation. The AMS Industry Stewardship Plan will end once the MHSW Program operated by Stewardship Ontario is finally wound-up upon the completion of the activities in the approved MHSW Program Wind Up Plan. Note this final wind up will occur sometime after the HSP Regulation takes effect on October 1, 2021. Participants in the ISP will need to remain in good standing with either the AMS ISP or Stewardship Ontario MHSW Program until the termination of the MHSW Program, which will create some parallel obligations for a period of time.
What about reporting and invoices for upcoming sales periods?
With the HSP Regulation taking effect October 1, 2021, reports for Q2 (April 1 – June 30) sales will be the final reports and invoices for the AMS ISP – they must be submitted by July 31, with invoices issued on August 1.
For customers of the AMS PRO, the quarterly reporting cycle will continue to help support a smooth transition. The table below summarizes the reporting cycle for sales periods to the end of 2021:
|Sales Data Period||Reporting Obligation Period||Report Due||Invoices Issued||Payment Due||Notes|
|Q2 (April 1 - June 30)||Q3||July 31||August 1||August 31||LAST ISP INVOICE|
|Q3 (July 1 - September 30)||Q4||October 31||November 1||November 30||FIRST PRO INVOICE|
|Q4 (October 1 - December 31)||Q1||January 31||February 1||March 2||SECOND PRO INVOICE|
What will I need to do?
AMS PRO is hosting a webinar on July 20, 2021, that will review your new regulatory obligations, advise producers how we can help you meet those obligations and provide information about making AMS your PRO. Questions can be directed to: firstname.lastname@example.org or 1-888-575-4870 ext. 325