We invite you to read the opinion column written by our senior associate in the Public Law and Regulated Markets Group, Gonzalo Bravo, on the difficulties that the implementation of the REP Law has posed for companies.
The implementation of the REP Law has not been easy for either the authorities or Chilean companies. The latter have had to react quickly to define how to address their obligations and what changes to introduce in their production and logistics processes.
Modifying operational structures is never easy: many organizations resist change and wonder how to comply, in practice, with the requirements imposed by the Supreme Decrees that regulate priority products. There are many ways to adapt processes, just as there is enormous diversity in the products subject to regulation.
However, the real difficulty lies not only in adjusting internal operations to continue functioning normally, but also in verifying that this adaptation is effective and sustainable over time.
If we view the REP Law as a central piece in advancing toward a circular economy model in Chile, its implementation represents good news. More and more companies are incorporating this discussion, evaluating their product design, innovating in packaging, strengthening their reverse logistics, and making decisions that look beyond basic compliance.
From this perspective, the REP Law acts as a driver of cultural and strategic transformation toward sustainability. However, when the analysis is done from a strictly regulatory point of view, it is clear that there is still a long way to go. Companies have struggled to comply, and the authorities have also found it difficult to implement, supervise, and enforce consistently.
To date, the Superintendency of the Environment has initiated sanctioning proceedings for non-compliance with reporting obligations or, outright, for not having waste management systems in place, and several companies have had to enter into environmental compliance programs to suspend such proceedings and regularize their situation.
It will be crucial to observe how the authorities evaluate and resolve these programs, as this will make it possible to identify the actual standard they are demanding in these matters and what level of diligence will be considered sufficient for regulatory purposes.
In this scenario, it is essential to strengthen training by the authorities. Although a website has been created to support regulated entities, this is not enough. It is essential to promote seminars, working groups, and meeting spaces with companies to identify specific obstacles, clarify criteria, and share best practices that facilitate more consistent and efficient compliance.
It is also essential that companies view the REP Law not only as an obligation, but as an opportunity to build real competitive advantages. Integrating more sustainable processes can become a differentiating factor when consumers choose who to contract with or which products to prefer.
Overcoming the logic of “complying for the sake of complying” and moving toward a strategy that captures value is the challenge of the present.
The REP Law represents significant demands, but it also opens doors to innovation, efficiency, and environmental leadership. That is why it is key for companies to promote a strategy today that allows them not only to comply but also to take full advantage of the opportunities that this transition offers.
Column written by:
Gonzalo Bravo | Senior Associate Public Law and Regulated Markets Group | gbravo@az.cl
