EU Implements Mass Balance Accounting for Recycled PET Under SUPD

The European Commission has unveiled its mass-balance accounting approach under the Single Use Plastics Directive (SUPD), following a vote on February 6, 2026. This implementing act, which is set to become law, stipulates that recycled polyethylene terephthalate (rPET) imports from outside the EU will only contribute to the 25% recycled content target for beverage bottles starting November 21, 2027.

The act adopts a ‘fuel-use excluded’ mass-balance accounting method, which is expected to serve as a framework for future EU recycling legislation. While primarily focused on rPET, the approach appears to be tailored towards pyrolysis processes, despite PET typically not being pyrolyzed.

Industry stakeholders in pyrolysis oil have indicated that the new regulations could stimulate investment and market interest in the medium term. However, uncertainties remain regarding broader regulatory frameworks, including end-of-waste status.

Under the new rules, materials processed into fuel or lost during processing cannot count towards recycled content targets. The act allows for free allocation of recycled material to outputs, provided certain conditions are met, including proof of feasible chemical transformation processes.

Additionally, mass-balance accounting will apply to dual-use materials, where the portion designated for fuel will not contribute to recycled content targets. Specific calculation methods are outlined for liquid materials entering steam crackers and those that do not, with stringent requirements for tracking and reporting within three months at each facility.

The SUPD, which came into effect in 2019, mandates a 25% recycled content target in PET bottles by 2025, alongside separate collection targets for plastic bottles of 77% by 2025 and 90% by 2029. It also bans various single-use plastic items and introduces extended producer responsibility schemes for certain products.

This regulatory framework marks a significant step in the EU’s efforts to enhance sustainability in food packaging and promote the use of recycled materials.