This comes ahead of Malaysia’s highly anticipated EPR law, which is scheduled to be tabled to in Parliament in early 2026 by the Housing and Local Government Ministry (KPKT).
Speaking at a Climate Governance Malaysia webinar on post-consumer packaging and EPR on Monday, Sri Umeswara, vice chairman of the Malaysian Plastics Manufacturers Association (MPMA), said that more convenient infrastructure and consistent collection systems are necessary for the country’s EPR model to succeed.
“There needs to be two-way communication and clearer consumer education, as many still ask which items are recyclable,” he said.
Sri, who is also a sustainability & recycling committee member and secretary general of Koperasi Pengusaha Kitar Semula Selangor Berhad, a cooperative representing small and medium recycling operators in Selangor, said that based on the organisation’s experience of collecting recyclables from over 46,000 households in Malaysia, locals are willing to take part in recycling initiatives, provided that the necessary systems are easily available.
Some brands have begun voluntarily using clearer recyclability labels that specify which components are recyclable, and improving the visibility of recycling symbols on packaging.
However, a mandatory front-of-pack recyclability label could be an effective next step in driving consumer action circularity in product packaging, he said.
“The Ministry of Health has made it mandatory for food producers to display clear sugar content labels on the front of their products – this kind of mandate could be applied to the recyclability of product packaging,” he added.
Currently, EPR laws in Malaysia are voluntary, with recycling activities collection and buy-back initiatives picking up over the past two years, though without formal accountability or reporting systems, said Sri.
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The goal is to make sure people don’t overthink the process.
Anis Haizad, senior sustainability executive, Aeon Berhad
KPKT, through the National Circular Economy Council (NCEC), is set to introduce a mandatory EPR law that will obligate selected companies to take responsibility for the management and recycling of post-consumer packaging waste starting next year.
The first phase of the EPR policy will start on a voluntary basis in 2026 and then transition to mandatory compliance by 2030. According to KPKT, the early phase will focus on six key materials such as plastic, paper, aluminum, glass, metal alloys, and cartons before expanding to other waste streams.
This approach aims to increase recycling rates and promote sustainable product design, easing the environmental burden of packaging waste.
Anis Haizad, senior sustainability executive at Aeon Berhad, one of Malaysia’s largest retailers, also highlighted on the need to create an environment that makes responsible consumer actions practical and easy for the public.
She shared that Aeon is achieving this through buy-back and recycling centres for polyethylene terephthalate (PET) bottles and other recyclables, in addition to the placement of recycling bins throughout high-traffic areas.
“Accessibility isn’t just about having bins, it’s about having systems that work, with clear signage and an easy, intuitive recycling experience for customers,” she said.
She added that awareness-building and easy-to-understand, actionable education on EPR should be made mandatory for all, including producers, retailers, consumers, and the wider public.
“You have to provide clarity. Use simple visuals and step-by-step guides. Communication must be visual and straightforward, using short phrases instead of lengthy messages. Because the goal is to make sure people don’t overthink the process,” she said, noting that compliance becomes more achievable and natural when everyone understands why and how to recycle correctly.
What Malaysia’s EPR model needs
Due to a rising population, growing incomes and rapid urbanisation, Malaysia currently generates more than 39,000 tonnes of waste every day. Each person discards nearly 1.2 kilogrammes of solid waste daily, posing immediate risks to exhausting the country’s landfill capacity by 2050, according to government data.
To address this, large industry players like Nestlé Malaysia have been working with local councils and waste collectors across the country to collect packaging waste from multiple other producers, said Tan Cheow Yam, head of sustainability at Nestlé Malaysia.
She said the country’s upcoming EPR law should adopt a practical and flexible approach, recognising the varying capacities and expectations of different industries and company sizes from large corporations to small and medium enterprises.
“The system can’t be too rigid. It must be flexible to encourage collaboration and innovation, as a one-size-fits-all approach could limit opportunities for industry participation,” she said.
Such an approach should leave room for open policy discussions that bring together all key stakeholders, including regulators, waste collectors, and concessionaires, to share experiences and build a more effective national recycling system.
Tan agreed that strong public awareness and education is crucial to ensure packaging waste is separated at the source, a key enabler for private sector participation in recycling efforts.
“Once the public understands how to recycle properly, it’s crucial that an effective collection system is in place to support that awareness,” she said.
For Aeon’s Anis, clear and realistic policy implementation guidelines are essential. She stressed that if regulations require malls to set up buy-back or collection centres, they should also clearly define operational standards to ensure consistency and compliance. This includes sizes, types of materials to be collected, and waste management criteria, among other things.
Sri noted that policy measures focusing on eco-design and designing packaging for recycling are already in the pipeline for Malaysia’s EPR law.
Malaysia can also take cues from developed countries like the European Union, Japan, and South Korea to test, refine and mandate new measures within a two-year timeframe to strengthen its EPR system, he said.
Sri also suggested that tax incentives or exemptions could encourage brand owners to adopt EPR practices more readily, while a deposit refund system could serve as a nationwide incentive model benefiting consumers, collectors, and retailers alike.
A deposit refund system requires consumers to pay a small deposit when purchasing packaged products, which is refunded when the packaging is returned for recycling, promoting higher collection and recycling rates.
