New Regulations on Solid Waste and Reverse Logistics - Management Entities, Auditors of Results for Reverse Logistics, and Other Developments

Brazil has recently seen significant updates to solid waste management regulations at the national level, in connection with the Federal Law No. 12,305/2010, which instituted the Brazilian National Policy on Solid Waste. These recent updates include new regulations which address: the qualification criteria of managing entities; the qualification criteria of auditors of reverse-logistics system results; the procedures for registering and qualifying associations of collectors of recyclable and reusable materials in the National Solid Waste Management Information System (Sistema Nacional de Informações sobre a Gestão dos Resíduos Sólidos, “Sinir”); and the creation of the Recircula Brasil Program, aimed at tracking and recording the reuse of plastics.

Ordinance GM/MMA No. 1,102/2024 establishes the criteria for qualifying managing entities and the method for submitting data from the technician in charge of reverse logistics systems for packaging in general. It also establishes the criteria for standardizing the operation of systems and parameters to be observed by the managing entities in the performance of their activities, regulating articles of Federal Decree No. 11,413/2023 - which instituted the Certificates of Reverse Logistics Recycling Credit, Structuring and Recycling of Packaging in General, and Future Mass Credit.

Among other issues addressed in this ordinance, to qualify, managing entities must: (i) be a legal entity with its own legal personality; (ii) be a designated entity by a valid instrument serving as a managing entity in a collective model reverse logistics system for packaging in general; and (iii) have national operations in reverse logistics for packaging in general. The results disclosed by a managing entity shall be based on results achieved by all stakeholders linked to the reverse logistics system, and be published on the managing entity website.

Ordinance GM/MMA No. 1,117/2024 regulates the aforementioned Federal Decree No. 11,413/2013 regarding the qualification criteria for auditors of results of reverse logistics systems, and institutes the first public call for the registration of legal entities for this purpose. Such qualification will be based on the following criteria: (i) a legal entity with legal personality; (ii) not a manufacturer, importer, distributor, trader linked to the reverse-logistics system, among others; and (iii) not engaged in activities that entail the provision of services to, or the maintenance of, a business that has an interest in its decision. Such entities will be responsible for auditing the reverse logistics systems in order to validate data, ensure compliance, issue reports and operate their activities independently and without conflicts of interest, providing credibility and impartiality to the reverse logistics system.

Ordinance GM/MMA No. 1,018/2024 establishes the procedures for the registration and qualification of cooperatives and associations of collectors of recyclable and reusable materials within the Collectors Module of Sinir, interfacing with Federal Decree No. 12,106/2024 which provides tax benefits for the recycling production chain. The registration and qualification of cooperatives and associations of collectors are intended to (i) assist in defining criteria for payment for environmental services; (ii) support states and municipalities in managing solid waste; and (iii) support those responsible for reverse-logistics systems with information for contracting cooperatives and associations of collectors. The cooperatives and associations of collectors of recyclable and reusable materials that are accredited in Sinir will be eligible to participate in the Citizen Selective Collection Program, which institutes selection and collection methods regarding recyclable waste discarded by federal public administration bodies and entities.

The registration phase in Sinir by the cooperatives and associations of collectors of recyclable and reusable materials involves providing information and documentation by means of the Collectors Module of Sinir, which is an ongoing process that allows interested parties to be registered at any time. The next phase of the process refers to the qualification of such entities, which aims to allow their participation in the abovementioned Citizen Selective Collection Program.

The Recircula Brasil Platform was launched by the Brazilian Agency for Industrial Development (Agência Brasileira de Desenvolvimento Industrial, “ABDI”) and the Brazilian Association of the Plastics Industry (Associação Brasileira da Indústria do Plástico, “Abiplast”) to enable the tracking and certification of plastic recycling in the country. The platform is part of the national movement to encourage recycling, regulated by Federal the Decree No. 12,082/2024, which established the National Circular Economy Strategy, being considered a pioneering tool in the sector once it helps to advance recycling actions as one of the main aspects of the circular economy, and allows mapping the production chain. In this context, the platform will use electronic invoices to monitor the cycle of recycled plastics, from origin to final product. It means that through the insertion of invoices in the platform, the users - recyclers and processors - will be able to obtain a mass balance of their operations, accredited by a third party, ensuring the reintroduction of plastic waste into the production process with material origin verification, transparency, legal security and compliance. Thus, the platform facilitates the accreditation of plastic waste circularity.