The Environmental Protection Agency (EPA) has taken a groundbreaking step by addressing the deceptive use of mass balance accounting in the plastics industry. This method has allowed companies to market their plastic products as containing a higher percentage of recycled content than they actually do, often inflating claims of recycled material to 20-30% when the real content is less than 1%.
Environmentalists have long criticized this practice as greenwashing, arguing that it misleads consumers and undermines genuine sustainability efforts.
In a recent policy update, the EPA has now prohibited the use of mass balance for companies seeking approval under its Safer Choice program, which awards labels to products that meet specific environmental standards.
The program, which initially focused on reducing toxic chemicals in consumer products, has now expanded its criteria to include stricter requirements for sustainable packaging. Specifically, plastic packaging must now contain at least 15% post-consumer recycled content, calculated by weight, effectively closing the door on the use of mass balance accounting in these claims.
EPA Bans Mass Balance Accounting for Recycled Plastic Claims, Tightening Standards for Sustainable Packaging
This policy shift is part of a larger initiative by the Biden administration to tackle the plastic pollution crisis. The administration has already set a goal to eliminate the federal government’s use of single-use plastics by 2035 and is advocating for global limits on plastic production in international negotiations.
The EPA’s new rule also casts doubt on the future of chemical recycling technologies like pyrolysis, which rely heavily on mass balance to claim higher recycled content, despite their inefficiency in producing significant amounts of recycled material.
While the plastics industry defends mass balance as a legitimate accounting tool used in other sectors like paper and fair-trade products, the EPA’s decision emphasizes the importance of transparency and accuracy in environmental labeling.
The agency’s move aligns with growing concerns from activists and state officials, who have argued that mass balance is misleading and should not be used to determine recycled content. The EPA’s updated policy reflects these concerns, aiming to ensure that consumers are not misled by inflated sustainability claims.
Ultimately, the EPA’s action signals a significant shift in how recycled content in plastics is regulated at the federal level. By setting stricter standards for sustainable packaging and rejecting mass balance accounting, the agency is pushing for more honest and meaningful environmental claims.
This decision could influence future regulatory actions, including those by the Federal Trade Commission, which is currently reviewing its guidelines on environmental marketing, potentially setting a new standard for transparency in the industry.
