Document 58 - Amendment to the Act on End-of-Life Products – EU

Scope: Section 48; pages 1–5.

The amendment reduces the mandatory reserve for collective systems for electrical equipment, batteries, and tires from 50% to 25% of annual costs. At the same time, it repeals the proposed requirement to set aside a reserve of at least 10% of costs each year during the first five years. The goal is to free up tied-up funds, limit the growth of recycling fees and prices for consumers, and facilitate the entry of new collective systems into the market.

Scope: Sections 41–42; pages 1–3.

The amendment clarifies the rules regarding the independence of collective systems for end-of-life products and conflicts of interest. It grants an exception to the property, personnel, and organizational restrictions to businesses within a vertically integrated group that provide only collection, transportation, storage, or disposal of unusable waste. The exemption does not apply if the business operator or a person controlled by it operates a facility for processing the products in question; thus, the prohibition on links to the processing end of the chain remains in effect.

Scope: Section 3; pages 1–2.

The amendment clarifies the definition of a vertically integrated group in the waste management system. Restrictions against conflicts of interest between collective systems and waste management companies are now to apply only to relationships that allow for decisive influence, not to ordinary minority interests. Control is presumed, in particular, to exist where a share of voting rights exceeds 40% or where there is the ability to appoint a majority of the company’s governing bodies.

Scope: Section 3; pages 1–3.

The amendment repeals the provision in the committee’s proposal that was intended to introduce into the law a definition of an operator of an electronic marketplace. Consequently, online marketplaces will not now be subject to special liability for electrical equipment sold by other suppliers to Czech end users. The proposer recommends waiting for the upcoming European act on the circular economy to ensure that the Czech legislation does not conflict with future EU rules.

Scope: Sections 3–83a; pages 1–6.

The amendment introduces a definition of a clearing center as the state-operated CENIA unified data interface for the exchange and verification of data between collective systems and municipalities. Collective systems must connect to it and use it to provide the specified data to municipalities and the Ministry of the Environment; municipalities may use it for mass communication and contract management. The goal is to prevent smaller systems from becoming administratively dependent on dominant authorized packaging companies and to ensure a neutral public infrastructure.

Scope: Sections 41–42; pages 1–5.

The amendment revises the rules governing the independence of operators of collective systems for the management of end-of-life products. It maintains the prohibition on their affiliation with waste management companies at the level of corporate groups, management, employees, and decision-making.

However, unlike the committee’s proposal, it omits the new § 42: the blanket prohibition on equity participation by partners in a collective system in waste management companies—as well as the related possibility of restricting their voting rights—is repealed. The sponsors justify this by citing the disproportionate impact of a categorical ban on the economy and the waste management sector.

Scope: Part One–Part Four; § 2–§ 131; pages 1–19.

The amendment introduces extended producer responsibility for textiles, related products, and footwear in accordance with the new EU directive. Manufacturers will be required to register and mandatorily fund a collective system for nationwide collection, reuse, sorting, and recycling; generally effective April 17, 2028, and for micro-enterprises starting in 2029. Foreign online retailers must appoint an authorized representative, and platforms as well as logistics services will verify compliance with manufacturers’ obligations. The bill regulates cooperation with municipalities and social enterprises, the monitoring of the transport of used textiles, and new administrative offenses punishable by fines of up to 5 million CZK. The law also includes provisions concerning foreign nationals and their rights and obligations.

Scope: Sections 48–125; pages 1–4.

The amendment standardizes the mandatory financial reserve for collective systems for end-of-life products at 25% of annual costs, instead of the varying rate, which was to be 50% for electrical equipment. It repeals the new obligation for members of a collective system to make up for any shortfall in the reserve, as well as the related administrative offense; liability and penalties remain with the system operator. The administrative offense for failing to ensure take-back remains in place.

Scope: Section 54; pages 1–5.

The amendment introduces a disclosure requirement for operators of collective systems that hold a monopoly position for a specific type of product. The public would be able to request information on the system’s financial management, reserves, costs, contracts, and compliance with legal obligations under the Freedom of Information Act. The obligation is limited to activities regulated by law and preserves the protection of personal data and trade secrets.

Scope: Sections 41–48; pages 1–3.

The amendment establishes a transitional regime for older loans, credits, grants, and debt guarantees provided by collective systems prior to the effective date of the Act on End-of-Life Products. These relationships must be reported to the ministry, supported by an audit, and monitored on an ongoing basis; loans and credits may continue until their original maturity dates, but no later than 36 months after the amendment takes effect. Operators must not impair the enforceability of claims and must actively terminate other relationships and recover the funds. The returned funds must be transferred to the collective system’s reserve; an exemption from penalties applies only in the case of a proven objective obstacle.