EU Parliament and Council Move Toward Relief from the Authorized Representative Requirement for Small Producers

On 20 October 2026, the European Parliament adopted its position on suspending the authorized representative requirement under extended producer responsibility (EPR) rules. MEPs backed the suspension for EU-based small and micro-enterprises until 2035, narrowing the Commission’s original proposal. According to Packaging Europe, the text on packaging and batteries passed with 616 votes in favour, 9 against and 39 abstentions. One day later, on 21 October, the Council adopted its own negotiating position, which takes a different approach. As covered in our earlier article on the SMEs’ request to suspend the requirement, the obligation has been one of the most debated parts of the PPWR for smaller companies.

 

What the Requirement Means

Under Article 45(3) of the PPWR, a producer that makes packaging available in a Member State where it is not established must appoint an authorized representative for EPR in that country. The representative handles the producer’s EPR obligations locally, including registration and reporting. Similar rules exist in the Batteries Regulation and in the directives on waste, electrical and electronic equipment and single-use plastics.

For a small company selling online to consumers in several Member States, this can mean appointing and paying a separate representative in each one.

 

What the Commission Proposed

On 10 December 2025, as part of its environmental omnibus package (Omnibus VIII), the Commission proposed suspending the mandatory appointment of authorized representatives until 1 January 2035. The proposal came in two parts: a regulation covering packaging and batteries and a directive covering waste, electrical and electronic equipment and single-use plastics.

The suspension applied to all producers established in the EU and selling in other Member States, who would be free to decide whether to appoint a representative. The rules for producers based outside the EU would stay unchanged.

 

 

The Parliament’s Position

Parliament limited the suspension to small and micro-enterprises, meaning companies with fewer than 50 employees and an annual turnover or balance sheet total of up to €10 million, in line with the EU definition in Commission Recommendation 2003/361/EC. Medium-sized and large companies would still need to appoint authorized representatives.

The exemption would apply until 2035, or until the planned Circular Economy Act sets new rules for EPR. The second text, covering single-use plastics, electrical and electronic equipment, textiles and footwear, passed with 612 votes in favour.

The suspension covers only the appointment of the representative. Small producers would still need to register in each Member State where their packaging becomes waste, report the packaging they place on the market and pay the applicable EPR fees. Parliament also called for better information exchange between Member States, interoperable systems and common reporting requirements.

 

Where the Council Stands

The Council had been more cautious. In June 2026, Member States did not agree a negotiating mandate on the two suspension proposals, citing strong reservations from a majority of delegations and a preference to address EPR as a whole in the Circular Economy Act.

The discussion has since moved quickly. On 21 October, one day after the Parliament vote, the Council agreed its negotiating position. Under the Council’s text, an EU-based producer would not need an authorized representative in another Member State where it places less than 1 tonne of packaging per year. The suspension would expire in 2032, with a Commission review of its duration by 31 December 2030 and a safeguard clause would apply to producers found in breach of their EPR obligations.

The two positions differ on both the criterion and the end date: Parliament uses company size and 2035, while the Council uses packaging volume per Member State and 2032. Negotiations between the two institutions can now begin.

 

Conclusion

With both institutions now having adopted their positions, small businesses have a clearer prospect of relief, but the requirement still applies today. The final scope will depend on how Parliament and the Council reconcile company size with packaging volume, and 2035 with 2032. Until an agreement is reached and published, producers selling packaging in other Member States need to keep their authorized representative arrangements in place. The Commission’s guide on the PPWR for small businesses, published on 19 October, also offers useful clarifications.