EXTENDED PRODUCER RESPONSIBILITY

(EPR) ELECTRONIC TRADING &

SETTLEMENT PLATFORM (EPRETP)

GUIDELINES ON AUTHORIZATION OF EPRETP OPERATOR

AND FUNCTIONING OF EPRETP

Central Pollution Control Board

Ministry of Environment, Forest & Climate Change
 Foreword

MoEF&CC has notified Amendments to existing EPR Guidelines for plastic waste, waste
batteries, E-waste, tyre waste and used oil for development of Electronic Trading and
Settlement Platform (EPRETP) for trading of EPR certificates for realising transparent pricing
mechanism in trading of certificates.
CPCB shall issue guidelines for authorisation of agencies for establishment of electronic
platform for trade of Extended Producer Responsibility certificates between obligated entities as
per Section 8.5 of EPR Guidelines (Plastic). Further as per Section 8.7 of the Guidelines the
operation of electronic platform shall be as per guidelines issued by Central Pollution Control
Board after approval of the Central Government.
In addition, E-Waste (Management) Rules, 2024 provide for establishment of one or
more platform (EPRETP) for exchange or transfer of EPR Certificates. As per Rule 15 (7) of the
E-Waste (Management) Amendment Rules, 2024, the Central Government may by, order,
establish one or more platform for exchange or transfer of extended producer responsibility
certificates in accordance with the guidelines issued by the Central Pollution Control Board with
the approval of the Central Government. Further as per Rule 15 (8) of the E-Waste
(Management) Amendment Rules, 2024, the operation of the platform, established under sub-
rule (7) shall be operated and regulated in accordance with guidelines made by the Central
Government on the recommendation of the Central Pollution Control Board.
Similarly, provisions for Electronic Trading Platform have been made in the EPR
framework for waste tyres and used oils, in the Hazardous and other Wastes (Management and
Transboundary Movement) Rules (2016) (as amended). As per Rule 29 (6) of the Rules one or
more trading platform for sale and purchase of extended producer responsibility certificates may
be established through agency accredited by the Central Pollution Control Board in accordance
with the guidelines issued by Central Pollution Control Board with the approval of the Central
Government. Further as per Rules 29(7) of the Rules, the operation of the platform established
under sub-paragraphs (6) shall be operated and regulated in accordance with the guidelines
made by the Central Government on the recommendation of the Central Pollution Control
Board.
Further, provisions for the Electronic Trading Platform has been made in Battery Waste
Management Rules, 2022 (BWMR). As per Rule 10 (15) of the Rules, one or more trading
platform for sale and purchase of Extended Producer Responsibility certificates may be
established through agency accredited and in accordance with the guidelines issued by the
Central Pollution Control Board with the approval of the Central Government. The operation and
regulation of electronic platform(s), so established under sub-rule 15 for trade of Extended
Producer Responsibility certificates between obligated entities, shall be as per guidelines
notified by the Central Government based on the recommendations of Central Pollution Control
Board for the purpose as per Section 10(16) of the Rules
In view of the above of the provisions of the said categories of Waste Management
Rules, these guidelines for authorization of EPRETP operator and the functioning of EPRETP
have been prepared after consultations with relevant stakeholders.

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 Contents

A. Guidelines for Authorization of Extended Producer Responsibility (EPR) Electronic

Trading & Settlement Platform (EPRETP) Operator ...............................................3
1. Background .........................................................................................................3
2. Eligibility Criteria for appointment of EPR Electronic Trading Platform (ETP) .....4
3. Grant of Authorization to operate ETP ................................................................5
ANNEXURE I - Application Form for EPRETP Operators ...........................................7
B. Guidelines for functioning of Extended Producer Responsibility (EPR) Electronic
Trading & Settlement Platform (EPRETP) ..............................................................9
1. Functions of EPRETP..........................................................................................9
2. Transactions on EPRETP....................................................................................9
3. Category of EPR Certificates ............................................................................. 12
4. Price Discovery Mechanism .............................................................................. 16
5. Mechanism for Settlement of Trades ................................................................. 17
6. Officiating Bodies .............................................................................................. 18
7. Information Technology Infrastructure and Trading System of ETP .................. 18
8. Registration Charge........................................................................................... 19
9. Electronic Trading Platform provider transaction fee ......................................... 19
10. Information Dissemination by ETP Operator .................................................. 19
11. Grievance Redressal Mechanism .................................................................. 20
12. Revocation of Authorization of ETP ............................................................... 20
13. Exit Scheme ................................................................................................... 21
14. Risk Management by ETP Operator .............................................................. 21
15. Annual Report ................................................................................................ 21
16. Renewal of Authorization to ETP Operator .................................................... 21
17. Bye-laws, rules and business rules of ETP .................................................... 22
Glossary .................................................................................................................... 23

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 A. Guidelines for Authorization of Extended Producer
Responsibility (EPR) Electronic Trading & Settlement
Platform (EPRETP) Operator

1. Background
MoEF&CC notified Amendments for EPR implementation in Waste Management Rules for
plastic waste, waste batteries, E-waste, tyre waste and used oil to streamline the
management of waste, enhance recycling, and ensure sustainable practices by
involving manufacturers, producers, importers, local bodies, brand owners and other
stakeholders in the Extended Producer Responsibility (EPR) framework
MoEFCC vide Fourth Amendment dated February 16, 2022 to Plastic Waste
Management (PWM) Rules 2016 notified EPR Guidelines as Schedule II of the Rules.
As per Rule 15 (8) of the E-Waste (Management) Amendment Rules, 2024, the
operation of the platform, established under sub-rule (7) shall be operated and
regulated in accordance with guidelines made by the Central Government on the
recommendation of the Central Pollution Control Board. This aims to streamline the
management of electronic waste (e-waste), enhance recycling, and ensure sustainable
practices by involving producers, importers, recyclers and refurbishers in the Extended
Producer Responsibility (EPR) framework.
Schedule IX of the Hazardous and Other Wastes (Management and Transboundary
Movement) Amendment Rules, 2022 inserted through paragraph 10 of the Rules,
provides the EPR framework for management of waste tyre.
EPR Framework for Used Oil has been notified as Chapter VII of Hazardous and Other
Wastes (Management and Transboundary Movement) Amendment Rules, 2022 on
September 19, 2023.
Battery Waste Management Rules, 2022 notified by MoEF&CC on August 22, 2022
introduced the EPR concept for management of Battery Waste.
In order to facilitate the obligated entities in meeting EPR targets by purchasing EPR
certificates from the waste processors, in transparent and fair manner, provision for
setting up of electronic trading platform has been made under the EPR Framework for
Plastic Waste, E-Waste, Battery & Tyre Waste and Used Oil.
As per the notified EPR framework for development of electronic trading platform (ETP)
for EPR certificates, authorization of the Operator of trading platform shall be as per
Guidelines framed by CPCB.
This document has been developed in accordance with the said provision of the EPR
Guidelines.

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2. Eligibility Criteria for appointment of EPR Electronic Trading
Platform (ETP)
2.1. General Criteria
a) The applicant is a company limited by shares incorporated or deemed to
be incorporated under the provisions of the Companies Act, 1956/2013
and shall include public limited companies and private limited companies
with proven track records in the field.
b) The main object clause of MoA of the applicant company should include
the business of establishing / running / operating of ETP/eMarkets.
c) The entity should have minimum ten-year experience of working in this
field.
d) The EPRETP Operator (ETP Provider/Operator) should have minimum 2
years existing and working national level online trading systems
associated with Public/Government institutions or programs.
e) The ETP Provider should not have been debarred/blacklisted by any Govt.
sector/ PSUs/ bilateral and multilateral agency in the past 5 years.
f) A wholly owned subsidiary (100% shareholding) by a parent company may
apply as an ETP operator provided that all the eligibility criteria are fulfilled
by the parent company only.
g) The subsidiary company shall not be able to sell their ownership partly or
wholly to any other entity for the next 5 years. After a period of 5 years, the
same shall be reviewed and permitted based on the fulfilment of the
eligibility criteria.
2.2. Financial Criteria; audited accounts/balance sheets of last three year
financial years to be submitted
a) The applicant should have an annual revenue turnover of minimum Rs. 50
crores as per the audited balance sheet for each of the last three years
from Trading Platform Business as quoted in 2.1 (b).
b) The ETP Provider should have positive net worth of an average of 10
crores for the last three years from Trading Platform Business as quoted
in 2.1 (b).
2.3. Technological Criteria
a) The ETP Operator shall have ownership of the proposed ETP system that
is operated and maintained by the entity.
b) The proposed ETP system shall have proven capability to handle at least
50,00,000 transactions in a year OR the proposed ETP system shall have
a proven track record of handling 1,00,000 users / participants.
c) The ETP Provider should have requisite functional expertise of trading
system particularly Participant and User Management, Price Discovery
(matching) Engines, Trading Engine, Funds Pay-in and Pay-Out Modules,
Risk and Settlement Management.
d) The ETP operator shall regularly upgrade the ETP technology to keep up
with advancements in technology and increasing user demands.

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 2.3.1. Conflict of interest
1. Organizations which are obligated entities, having EPR obligation, under
any rules notified under EP Act shall not be empanelled as ETP Provider.
2. Any organization having more than 50% ownership by equity, directly or
through common directors in any obligated entity, having EPR obligation,
under any rules notified under EP Act shall not be empanelled as ETP
Provider.
3. Any shareholder directly or indirectly, either individually or together with
persons acting in concert, shall not acquire or hold more than 25% of
shareholding in the Trading Platform.
4. An obligated entity, having EPR obligation under any rules notified under
EP Act, directly or indirectly, either individually or together with persons
acting in concert, shall not acquire or hold more than 5% of shareholding
in the Trading Platform.
5. Trading Platform can have a maximum of 49% of its total shareholding
owned by entities, which are members or clients, directly or indirectly,
either individually or together with persons acting in concert.
6. The number of independent directors shall not be less than the number of
Shareholder Directors on the Board of the Trading Platform
7. No obligated entity, having EPR obligation under any rules notified under
EP Act, shall be on the Board of Directors of the Trading Platform.
8. The applicant should be demutualized; meaning that the ownership and
management of the applicant shall be segregated from the trading rights,
in terms of these Guidelines.
2.3.2. Non-Functional Technology Requirements
1. ETP Operator should obtain and maintain robust technology infrastructure
with a high degree of reliability, availability, scalability and security in
respect of its systems, data and network, appropriate to support its
operations and manage the orderly execution of trades. The infrastructure
shall comply with international standards such as ISO/IEC 27001 for
Information Security Management.
2. The platform should provide real-time dissemination of trade information
within 1-5 seconds to ensure transparency.
2.3.3. Operational Execution of the ETP platform
1. The ETP Provider can execute the operations directly or through its
group company/associate company provided the group/associate
company is specialized in establishing/running/operating ETP/e-
Markets and adheres to all the guidelines and regulations stipulated.
3. Grant of Authorization to operate ETP
a) Entities have to submit the application (Format given at Annexure I) with
proof/ documents/ agreements/ certificates proving the above eligibility
criteria to Central Pollution Control Board, Parivesh Bhawan, East Arjun
Nagar, Delhi-110032 for grant of authorization to operate an EPRETP.

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b) CPCB can call for additional information as considered appropriate and the
applicant shall furnish such information within the stipulated time.
c) The applicants shall make a technical presentation before CPCB on the
subject as per schedule specified by CPCB.
d) The applicants found meeting the aforementioned requirements shall be
authorized to run the EPRETP by CPCB
e) CPCB, based on volume of EPR certificates and requirements, may authorize
more than one EPRETP Operators.
f) The authorized EPRETP operator is bound to stay in compliance of the
Guidelines for Authorization and Operation issued by CPCB and the orders
issued by CPCB, as the regulator of Electronic Trading Platform.

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 ANNEXURE I - Application Form for EPRETP Operators
PART A: Application form
1. Name of the Company:
2. CIN No.
3. PAN No. of the Company:
4. Name & Designation of the Authorized Person
5. PAN No. of the Authorized Person:
6. Email id & Phone No. of Authorized Person
7. Please confirm if the Company is incorporated in India: Yes/No
8. No. of years of experience
9. Experience Details: Please attach documents related to the ETP operated in the
country including national level online trading systems associated with Public,
Government institutions or programs; Functional expertise of trading system
particularly Participant and User Management, Price Discovery (matching)
Engines, Trading Engine, Funds Pay-in and Pay-Out Modules, Risk and
Settlement Management to be highlighted in the details of Experience provided
10. Please confirm if ETP Provider has ever been debarred/ blacklisted by any Govt.
sector/ PSUs: Yes/No
11. Annual revenue for last three years (₹ Crores):
12. Please confirm if the ETP Provider have positive net worth of an average of 10
crores for last 3 years: (Yes /No)
13. Please confirm if the proposed ETP system shall be owned, operated and
maintained by the entity: (Yes/No)
14. Maximum no. of transactions handled in the ETP system operated so far: (Please
attach supporting document)
15. Maximum no. of users handled in the ETP system operated so far: (Please attach
supporting document)
16. Please confirm that the ETP Operator is not an obligated entity, having EPR
obligation under any rules notified under EP Act: Yes/No
17. Please confirm that the ETP Operator does not have more than 50% ownership
by equity, directly or through common directors from an obligated entity, having
EPR obligation under any rules notified under EP Act: Yes/No
18. Please confirm that ETP operator fulfils the eligibility criteria laid down under the
Guidelines for Authorization of EPRETP: Yes/No

Note: Application form shall be considered valid only on positive confirmation of item
18 of the said form

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PART B: List of documents to be submitted along with the application

The applicant shall submit the following documents along with its application for
Authorization of EPRETP:
1. Memorandum and Articles of Association of the company;
2. The audited balance sheet shall be submitted for immediately preceding
completed financial year on the date of filing the application for grant of
registration showing the Net worth of the applicant;
3. Copies of the annual report and/or audited accounts of the applicant for the last
three years or such lesser period during which the applicant may have been
incorporated;
4. Project report containing the following details:
a. Constitution of the proposed ETP
b. Shareholding pattern for equity holders in ETP
c. Business plan, including funding sources, of the proposed ETP;
d. Management, administrative & governing structure of the proposed ETP
including qualification details of the Senior management team;
e. Infrastructural facilities available or proposed to be acquired by the ETP;
f. Details of the proposed technology to be adopted
g. Mechanism of operation of the ETP platform to be provided
5. The draft rules of the proposed ETP in general relating to constitution of the
proposed ETP and in particular relating to:
a. Management of the ETP and the manner in which its business is to be
transacted;
b. The draft bye-laws, draft rules and draft business rules of the proposed
ETP covering aspects specified in EPR Trading Guidelines notified by
CPCB.
PART C: DECLARATION
I declare that the details provided in the Application are correct to the best of my
knowledge. I understand that my candidature shall stand cancelled if any information
provided by me is found to be false/incorrect.

Date:
Place:

(Authorized Signatory)
Name & Designation

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 B. Guidelines for Functioning of Extended Producer
Responsibility (EPR) Electronic Trading & Settlement
Platform (EPRETP)
1. Functions of EPRETP
a) The EPRETP to provide the platform for trading of EPR Certificates between the
various registered entities in accordance with provisions related to EPR under
any rules notified under EP Act.
b) The generation and transfer of Certificates shall be done on the Centralized EPR
Portal developed by CPCB as per provisions related to EPR under any rules
notified under EP Act. The price discovery and trading (including financial
transactions) of EPR Certificates shall be on the EPRETP
c) The data (user information and certificates) shall flow to EPRETP through
secured APIs and these participants would be able to trade certificates. It shall
be ensured that EPR certificates whose validity period has expired, shall not be
reflected on the Trading Platform.
d) The EPRETP to allow direct trading between the Registered obligated entities,
having EPR obligation and recyclers/ waste processors under any rules notified
under EP Act as per the provisions of respective rules. No brokers to be permitted
on the trading platform
e) The EPRETP to provide transparent mechanism for price discovery of EPR
Certificates. Ensure best price of EPR Certificates based on the Demand /SuppIy
of EPR Certificates at any given point of time.
f) The EPRETP should have necessary provisions for funds transfer, maintaining
records of the transactions and settlement of the transactions.
g) EPRETP should ensure the financial integrity of the transactions between the
various entities and ensure that no financial irregularities occur on the EPR Portal.
h) EPRETP should operate in confirmation and validate its information with
Centralized EPR Portals developed by CPCB.

2. Transactions on EPRETP
2.1 Plastic Waste:
a) The following entities shall trade on the EPRETP in respect of plastic packaging
 Producer (P)
 Importer (I)
 Brand owner (BO)
 Waste Processors engaged in (a) recycling, (b) waste to energy, waste to
oil, and (d) industrial composting.
 Manufacturers of raw material
 Manufacturers of compostable and biodegradable
 Local Bodies (LBs)

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 b) The following EPR Plastic Certificate transfers / trading shall be permitted only
through the EPRETP.
 Recyclers/ waste processors can transfer / trade EPR Certificates to
PIBOs, LB and manufacturers of plastic raw material, manufacturers of
compostable and biodegradable plastics
 LBs can transfer / trade EPR Certificates to PIBOs and manufacturers of
plastic raw material, manufacturers of compostable and biodegradable
plastics
 Any obligated entity, having EPR obligation can transfer / trade EPR
Certificates to any other obligated entity as mandated under provisions of
the rules.

2.2 E-waste:
a) The following entities shall trade on the EPRETP for E-Waste
 Producer (PEW)
 Recyclers (REW)
 Refurbisher (RfEW)
b) The following E-Waste EPR Certificate transfers / trading shall be permitted
only through the EPRETP.
 Recycler of E-Waste can transfer / trade EPR Certificates to Producers
as defined under the E-Waste (Management) Rules, 2022
 Refurbishers of E-Waste can transfer / trade Refurbishing Certificates to
Producers as defined under the E-Waste (Management) Rules, 2022
c) EPR/ refurbishing Certificate exchange among Recyclers / Refurbisher of
E-Waste or among Producers of Electrical and Electronic Equipment is not
permitted.

2.3 Waste Tyre:

a) The following entities shall trade on the EPRETP for Waste Tyre
 Producer (PWT)
 Recycler (RWT)
 Retreader (RtWT)
b) The following Waste Tyre EPR Certificate transfers / trading shall be
permitted only through the EPRETP
 Recyclers of waste tyre can transfer / trade EPR Certificates to Producers
of tyre
 Retreader of waste tyre can transfer / trade EPR Certificates to Producers
of tyre

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2.4 Used oil:
a) The following entities shall trade on the EPRETP in respect of Used oil
management:
 Producers (Manufacturers and Importers of Base oil/ Lubrication oil)
 Used oil Importers
 Recyclers
 Co-processors (Energy recovery)
 Co-processors (Resource recovery)
b) EPR Certificate transfers / trading are to be permitted only through the EPRETP
between Recyclers/ Co-processors (Energy recovery)/ Co-processors
(Resource recovery) [i.e., entities who generate certificates]; and Producers /
Used oil Importers (i.e., obligated entities).
c) A producer may purchase extended producer responsibility certificates limited
to its extended producer responsibility liability of current year (Year Y) plus any
leftover liability of preceding years plus 10 per cent of the current year liability
d) There is no provision for exchange of certificates between the following entities.
i. Recycler to recycler
ii. Co-processors to recycler and vice versa.
iii. Producers/ Used oil Importers to Recycler/ Co-processors
iv. Producers to Producers/ Used oil importers
v. Used oil Importers to Producers/ Used oil importers
e) EPR Certificate exchange between two recyclers/refurbishers or waste
processors and transfer / trade of EPR Certificate by any obligated entity,
having EPR obligation to recyclers/refurbisher or waste processor is not
permitted.

2.5 Battery Waste:

a) The following entities to trade on the EPRETP-BWM
 Producer (P)
 Recycler (R)
 Refurbisher (Refurb)
b) As per the provisions of Rules, following EPR Certificate transfers /
trading are to be permitted only through the EPRETP.
 Recyclers can transfer / trade EPR Certificates to Producers
 A Producer can purchase Extended Producer Responsibility certificates
limited to its Extended Producer Responsibility liability of current year plus
any leftover liability of preceding years plus ten percent of the current year
liability)
 Producers can transfer / trade EPR Certificates to Producers
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  Refurbisher can transfer / trade EPR certificates to Producers

c) EPR Certificate exchange between two Recyclers / Refurbisher and transfer

/ trade of EPR Certificate by Producer to Recycler is not permitted.

2.6 Bilateral trading (of an entity which is registered both as obligated entity as well
as waste processor entity) can take place for a transition period of six months
from the date electronic trading platform becomes operational
2.7 All users such as any obligated entity, having EPR obligation as well as
recyclers/ waste processors under any rules notified under EP Act shall be
coded into different categories as per their role (Buyer/ Seller) on the EPR
Portal. All Users shall register on the Trading Platform and abide by operational
regulations as decided by the Regulator.
2.8 The users shall pay registration fees corresponding to 50% of the application
fees on the EPR Portal and an annual processing fees corresponding to 25% of
the registration fees on the ETP. Such fees may be reviewed by the regulator
from time to time, as per the requirement.

3. Category of EPR Certificates

EPRETP has the provision for generation and transfer of different categories of EPR
Certificates. The different categories of EPR Certificates which can be transacted include
the following in respect of
3.1 Plastic packaging:
a) Cat I (Recycling)
b) Cat II (Recycling)
c) Cat Ill (Recycling)
d) Cat I (End of Life (EoL))
e) Cat II (EoL)
f) Cat III (EoL)
g) Cat IV (EoL)
h) Cat I (Use of recycled content (UReP))
i) Cat II (URep)
j) Cat III (URep)
k) Cat I Reuse (0.9 - 4.9 L)
l) Cat I Reuse (> 4.9 L)
m) Cat V (EoL)- Biodegradable which can only be generated by registered ULBs
The End of Life / Recycling Certificates can be generated by the PWPs. The Use of
Recycled content and Reuse (Cat I) EPR Certificates can be generated by the PIBOs.
Besides, PIBOs can also generate EoL Certificates based on waste provided by them for

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Road Construction. The different categories of the EPR Certificates and the entities which
can generate them is given in the following Table:

PWP/PIBO & TYPE OF EPR CERTIFICATES GENERATED

S. PIBO/PWP Type of EPR Certificate

No.

1 PWP (Recycler) Recycling (Cat I, II, III)

2 PWP (Cement Co- EoL (Cat I, II,III, IV)

processor)

3 PWP (Waste to Energy) EoL (Cat I, II, III, IV)

4 PWP (Waste to Oil) EoL (Cat I, II & III)

5 PWP (Industrial EoL (Cat IV)

Composting Unit)

6 Local Body (LB) EoL (Cat-V)

(Biodegradation)

7 Producer UReP (Cat I, II & III), EoL (Road making)

(Cat I, II & III)

8 Brandowner UReP (Cat I, II & III) and Reuse (Cat I (>4.9

L and 0.9- 4.9 L); EoL (Roadmaking) (Cat
I, II & III)

9 Importer EoL (Road making) (Cat I, II & III)

The EPR Certificates are available in various denominations viz. 1 T, 10 T, 50 T,

100 T, 500 T & 1000 T. The EPR Certificates are valid for a period of three years
from the date of issue

3.2 E-Waste
The different metal-wise EPR Certificates and EEE code-wise Refurbishing which
can be transacted for E-Waste include the following:
a) Iron-Fe
b) Aluminium-Al
c) Copper-Cu
d) Gold-Au
e) Refurbishing Certificate (134 number of EEE items)
The EPR Certificates/Refurbishing Certificate can be generated by the
recyclers/refurbishers of E-Waste respectively.

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 The different categories of the EPR/Refurbishing Certificates and the entities
which can generate them is given in the following Table:

Recyclers/Refurbisher & Type of EPR/Refurbishing Certificates Generated

S. No. Entities Type of EPR Certificate

1 Recycler EPR certificate {(Fe), (Al), (Cu), (Au)}

2 Refurbisher Refurbishing (EEE code-wise)

The EPR Certificates are available in various denominations viz. 0.000001 Kg, 0.00001
Kg, 0.0001 Kg, 0.001 Kg, 0.01 Kg, 0.1 Kg, 0.5 Kg, 1 Kg, 10 Kg, 50 Kg, 100 Kg, 500 Kg,
1000 Kg. The validity of the extended producer responsibility certificate shall be two years
from the end of the financial year in which it was generated.

3.3 Waste Tyre

EPRETP has the provision for generation and transfer of different categories of
EPR/Retreading Certificates. The different end product-wise EPR Certificates and
Retreading Certificates which can be transacted for Waste Tyre include the following:
a) Reclaimed Rubber-ReR
b) Recovered Carbon Black-RCB
c) Crumb Rubber Modified Bitumen-CRMB
d) Crumb Rubber-CR
e) Pyrolysis Oil and Char-PO&C
f) Retreading Certificate
The EPR Certificates can be generated by the Recyclers of Waste Tyre. The Retreading
certificate can be generated by the Retreader of Waste Tyre.
The different categories of the EPR/Retreading Certificates and the entities which can
generate them is given in the following Table:

Recycler/Retreader & Type of EPR/ Retreading Certificates

Generated

S. No. Entities Type of EPR Certificate

1 Recycler EPR certificate (ReR, RCB, CRMB, CR, PO&C}

2 Retreader Retreading Certificate

The EPR Certificates are available in various denominations viz. 0.1 T, 1 T, 10 T, 50 T,

100 T, 500 T & 1000 T. The validity of the extended producer responsibility certificate shall
be two years from the end of the financial year in which it was generated.

3.4 Used Oil:

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 a) Recycling Certificates
b) Co-processing (Energy recovery) Certificates
c) Co-processing (Resource recovery) Certificates
The Recycling Certificates can be generated by the Recyclers. The Co-processing
(Energy recovery) Certificates/ Co-processing (Resource recovery) Certificates can be
generated by the Co-processors. The different categories of the EPR Certificates and the
entities which can generate them is given in the following Table:

Entity & Type of EPR certificates generated

S. No. Entity Type of EPR Certificate

1 Recycler Recycling

2 Co-processor (Energy Co-processing (Energy recovery)

recovery) Certificates

3 Co-processor (Resource Co-processing (Resource recovery)

recovery) Certificates

The EPR Certificates are available in various denominations viz. 100, 200, 500,
1000 and 10,000 kilograms.

3.5 Battery Waste

The different metal-wise EPR Certificates which can be transacted include the
following metals:
a) Lead (Pb)
b) Lithium (Li)
c) Cobalt (Co)
d) Nickel (Ni)
e) Manganese (Mn)
f) Zinc (Zn)
g) Copper (Cu)
h) Cadmium (Cd)
i) Aluminium (Al)
j) Iron (Fe)
 The EPR certificates can only be generated by the Recyclers / Refurbishers.
 The EPR Certificates are available in various denominations viz. 1 kg, 10 kg, 50
kg, 100 kg, 1 T, 10 T, 50 T, 100 T, & 500T. The validity of the EPR Certificate
generated is 7 years from the date of generation.

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4. Price Discovery Mechanism
a. Uniform Price and Double Side Closed Auction & Continuous Fixed Price
Market is to be adopted for discovery of price of EPR Certificates.
b. EPRETP should have provision for price discovery for different categories of
EPR Certificates based on the selling/ buying price quoted by the stakeholders,
based on Uniform Price Auction, which should be permitted for a fixed duration
during a week, which may be decided by CPCB based upon market
requirements.
c. The EPRETP should enable all sellers to put in orders specifying the type &
quantity (MT) of EPR Certificates as well as the limit price (minimum) at which
the they want to sell during the Uniform Price Period.
d. The EPRETP should enable all buyers to specify their requirements of different
categories of EPR Certificates (Type & quantity (MT)) as well as the limit price
(maximum) at which they are willing to purchase the said ERP Certificates
during the Uniform Price Period.
e. Uniform clearing price (UCP) shall be discovered based on demand and supply
and price constraints. Price discovery mechanism for EPR Certificates to adopt
the principle of maximization of economic surplus (sum of buyer surplus and
seller surplus), taking into account all bid types. The EPRETP to ensure fair,
neutral, efficient and robust price discovery.
f. A Matching of the auction will only take place if there are crossing prices (buy
price >= Sell Price) in the order book, that is, if the best order price is equal to
or higher than the best ask price. In that case, the equilibrium price is
determined according to the following criteria:
 Maximum Tradable Volume: The Equilibrium Price will be the price
at which there is maximum tradable volume.
 Minimum Unbalance: If there is more than one price with equal
value for maximum tradable volume, the price that leaves the least
volume untraded at its level is chosen as Equilibrium Price.
g. The UCP to be discovered for all categories of EPR Certificates
h. It should be able to generate Trade based between the buyers & sellers based
on First in First Out basis. In Uniform price discovery, Trades shall be matched
for all buy orders where buy price is higher than or equal to UCP and for all sell
orders where sell price is lower than or equal to UCP. Unmatched orders to be
automatically cancelled and matched trades would be sent to the settlement
system.
i. The EPRETP to allow Continuous trading on the UCP for a week, till the next
Uniform Price Auction is conducted.
j. The frequency of Uniform Price and Double Side Closed Auction & Continuous
Trading duration may be modified by CPCB based upon market requirements.
k. Floor Price and Ceiling Price of UCP shall be fixed by CPCB every quarter
based on the trades executed and UCP in the previous Quarter.
The Price Discovery Mechanism shall be reviewed by CPCB from time to time and
suitable modifications, as per requirement, shall be incorporated in the Mechanism.

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5. Mechanism for Settlement of Trades
a) Settlement Process
Communication regarding the obligations of the buyers / sellers along with the
settlement schedule shall be sent to the buyers /seIIers subsequent to generation
of trade as per Section 4.0.
Buyers and sellers can see both their pending and completed obligations along
with specific actions that they need to perform. Amounts payable and receivable
are computed along with taxes if any and transaction fees.
Bifurcation of settlement process for both seller and buyers are as follows:
 Seller Process
o Block the final traded quantity
o Once buyer validates, certificate inventory will
automatically get credited to the buyer
o Generate trade invoice to Buyer upon completion of
settlement process
 Buyer Process
o Buyers will make 100% payment of trade value in the
escrow account
o Validate the supporting documents of the Certificate
o Certificate inventory will be credited into the buyer
accounts
b) Buyer Pay-in
For trading, the buyer shall maintain adequate funds in his Ledger Account. The
pay-in amount would include value of the trade taxes and transaction charges
which would be transferred to the Escrow Account. Trade should not be generated
unless the buyer has adequate funds in his Ledger Account.
EPRETP should have an Escrow Account in which the buyer shall transfer pay-in
amount to purchase the EPR Certificates. Bank shall be the owner of the escrow
account and the operator shall be authorized to collect the transaction fee. The
operator shall subsequently transfer the regulator fee to the regulator.
Disputes arising out of such transactions shall be dealt with through arbitration
procedure laid under dispute resolution mechanism section of byelaws of ETP
operator and in case the disputes are not settled through dispute resolution
mechanism they shall be dealt with as per law.
c) Delivery In
The EPR certificate shall be transferred to the buyer on trade.
d) Buyer Confirmation and Delivery-out.
The Buyer can check the certificates transferred in their name in the order book.
Buyer may raise a dispute in case of any discrepancy and such disputes shall be

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 handled outside of the settlement system by the EPR Operator and results shall
be recorded in the system.
e) Seller Pay-out
Subsequent to trade generation, the amount payable shall be transferred from
the Escrow account to the seller Account within two days. The settlement process
shall credit the seller's ledger subtracting the transaction fees from the pay- out
amount and sends payment instructions to the payment module.
f) Settlement Schedule
The following timelines shall be specified on the EPRETP
 Pay-in (T) — T is the trade date
 Pay-out (T+x) – x is the settlement day
All buyers/sellers shall comply with the timelines specified on the EPRETP.
g) Trade Annulment
Trades generated as per Section 5.0 cannot be annulled or curtailed except due to
specific technical reasons, to be recorded in writing, and approval of Regulator.

6. Officiating Bodies
The following shall be the officiating bodies of the EPRETP
a) ETP Operator: The ETP Operator shall execute the activities related to
administration and system operations of the ETP. The ETP Operator shall be
authorised to collect the transaction fee from the Escrow account, and be
responsible for transfer of requisite amounts to the Regulator as regulator fee.
b) Regulator: CPCB shall be the Regulator for the trading platform and ensure that
the trading platform operates as per the prescribed guidelines and orders issued
from time to time by CPCB.
c) Third party Auditor: The Regulator may engage independent Third Party
Auditors empanelled by CAG for financial process audits and independent Third
Party Auditors for technical audits, identified based upon laid criteria, in order to
monitor the activity of the EPRETP. The Auditor shall submit quarterly Audit
reports on the integrity of the trading platform to CPCB.

7. Information Technology Infrastructure and Trading System of ETP

a) ETP shall use electronic trading system and telecommunication network;
b) The bids entered by a buyer of ETP shall be first checked against availability
of funds before being accepted in the bid book of the ETP. This ensures that
all transactions are backed by actual funds, reducing the risk of defaults.
c) Automated audit trail of bids, matching of bids and execution of transactions
shall be maintained.
d) The algorithm of the software application for price discovery shall be in
compliance with the methodology mentioned in the business rules of ETP. The
ETP shall get the algorithm audited before commencement of operations and

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 thereafter, once in every two years and submit the findings of the audit to the
Regulator. The resources employed shall have competence in audit of
algorithms and relevant industry certifications such as CISA (Certified
Information Systems Auditor) from ISACA or shall have empanelment with the
Standardization Testing and Quality Certification Directorate under the Ministry
of Electronics & Information Technology.
e) The Regulator may audit or appoint an agency to audit the software
applications used by the ETP for price discovery and market splitting on a
random basis. The ETP shall provide to the Regulator results of test cases and
scenarios given by the Regulator.
f) ETP Operator shall also carry out periodic IT system audit for data security,
data integrity and operational efficiency for every financial year and submit its
reports to the Regulator by 30th June following the end of the financial year.
g) ETP Operator shall formulate and implement a cyber-security and cyber
resilience framework to manage risk to systems, networks and databases from
cyber-attacks and threats with the approval of the Regulator and submit it to
the Audit for information. Security audit of the IT systems shall be carried out
each year from a CERT-In (Indian Computer Emergency Response Team)
empanelled organisation.
h) ETP shall establish and maintain a disaster recovery site and alternate trading
facility for business continuity in case of emergency

8. Registration Charge
a) ETP operator shall pay an annual registration charge as specified by the
Regulator
b) The annual registration charge shall be payable by 30th of April every year to
the Regulator

9. Electronic Trading Platform provider transaction fee

a) ETP shall charge a transaction fee equivalent to a total of 4% of the transaction
amount (2% of the transaction amount from each of the parties i.e. buyer and
seller) for the transactions conducted on the EPRETP
b) 30% of the transaction fees charged by the operator shall be remitted to the
Regulator.
c) The above limits for transaction fees can be modified by the Regulator based
on the requirements.

10. Information Dissemination by ETP Operator

a) The ETP shall display on its website links to all the relevant websites.
b) Prices, volumes, transaction fees and historic prices of EPR Certificates traded
shall be made available on the website of the ETP and should be in
downloadable format. In addition, the data shall be made available through
Application Programming Interface (API).
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 c) Maximum, minimum and average of the traded prices for the month and
average volume cleared for all type of contracts transacted on the ETP shall
be published on its website.
d) The ETP shall publish on its website, data tables with aggregate demand and
supply.
e) The ETP shall provide to the Regulator details of all transactions on a monthly
basis
f) The ETP shall submit to the Regulator, bids of all participants along with
required analysis, as and when directed by the Regulator.
g) The ETP shall create and maintain a document on its website providing
detailed description of the algorithm used for price discovery for all type of
contracts. The description shall include bid types, details of how the algorithm
results in maximisation of economic surplus taking into account which shall be
updated with every new version of the price discovery algorithm.

11. Grievance Redressal Mechanism

a) The ETP operator should provide for a robust grievance redressal
mechanism to address any issues or disputes that may arise in the operation
of the ETP.
b) The ETP shall constitute a Grievance Redressal Forum, headed by an
Independent Director.
c) ETP shall disclose, on their website, the details of complaints lodged by
members against ETP and by clients against its members and status of
resolution of the grievance.
d) ETP shall also disclose, on their website, the conflict resolution mechanism
followed and the result of grievance resolution.
e) The Regulator may call for information on redressal of any specific
grievance by the ETP Operator.

12. Revocation of Authorization of ETP

The Regulator may, for reasons to be recorded in writing and after giving the ETP
Operator an opportunity of being heard, revoke the registration Authorization granted to
the ETP in any of the following events:
a) If the functioning of the ETP is in violation of any terms and conditions of the
Contract awarded to the ETP Operator by the Regulator.
b) If the shareholding of the ETP is in violation of the terms and conditions of
Contract awarded to the ETP Operator by the Regulator.
c) If the ETP is found to be indulging in market manipulation;
d) In case the Net worth of the ETP gets negative at any point of time
e) In case the ETP fails to comply with any direction of the Regulator;
f) In case the ETP makes an application for revocation of registration;

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 g) Non-fulfilment of the conditions laid down in the guidelines for authorization
as well as operation of the electronic platform or orders issued by regulator
and matters related thereto
h) Notwithstanding revocation of the registration of ETP, contracts executed
prior to such revocation shall remain valid and their performance shall be
ensured by the ETP through Exit Scheme or as directed by the Regulator.

13. Exit Scheme

The ETP shall submit their exit scheme in the event of closure of the ETP or
revocation of registration of the ETP.
a) The exit scheme shall provide the manner in which: the running contracts
on the ETP shall be closed or the succession plan for all transacted
contracts; and
b) Any claims pertaining to pending arbitration cases, arbitration awards,
liabilities or claims of contingent nature and unresolved investors complaints
or grievances lying with the ETP Operator would be settled by the ETP
Operator.
c) The exit scheme shall include the following:
 Seamless migration of the existing data within a specified timeline.
 Demonstration of 100% data transfer
 Standby period for the operation of the existing platform / technology
 Other relevant aspects for the seamless operation of the whole system

14. Risk Management by ETP Operator

a) The ETP Operator shall develop and implement a prudent risk
management framework by adopting best practices, which shall be
dynamic based on the changing risk profiles of the market.
b) The ETP Operator shall constitute a Risk Assessment and Management
Committee (RAMC) headed by an Independent Director of the Board,
which shall monitor adherence to the risk management framework by the
ETP Operator.
c) RAMC shall also review the risk management framework on a six- monthly
basis in January and July each year. The six-monthly report of RAMC shall
be submitted to the Regulator.

15. Annual Report

The ETP Operator shall submit its Annual Report along with its audited balance
sheet by 30th September every year to the Regulator.

16. Renewal of Authorization to ETP Operator

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 a. The Authorization of a ETP operator shall be for a period of fifteen (15) years
from the date of grant of registration by CPCB unless such registration is
revoked or cancelled earlier.
b. An application for renewal of registration shall be filed by the ETP Operator at
least one year before the expiry of the period of registration.

17. Bye-laws, rules and business rules of ETP

The ETP shall function according to its bye-laws, rules and business rules as
approved by the Regulator, which amongst others, shall cover the following:
i. Management, administrative & governing structure of the ETP along with its
associates / Group companies involved in ETP operations including
qualification details of the Senior management team
ii. Provision for exclusion, suspension and expulsion of members of the
ETP;
iii. Rights and liabilities of its members
iv. Price discovery and matching mechanism,
v. Clearing and Settlement procedure
vi. Transaction fee;
vii. Timeline for publishing trading and settlement calendar;
viii. Transaction timelines;
ix. Risk management;
x. Penalty for deviation from contract;
xi. Procedure for handling default;
xii. Reporting of default (delivery of EPR Certificates or payment or both) and
penalty mechanism;
xiii. Dispute resolution mechanism;
xiv. Maintenance of records and accounts;
xv. Preparation of annual accounts and audit thereof;
xvi. Mechanism for redressal of grievances;
xvii. Exit scheme;
No amendment to the bye-laws, rules and business rules shall be carried out
without prior approval of the Regulators.

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 Glossary
Buyer: An entity who is engaging in buying certificates on the Trading Platform

Ceiling price: is the highest price that participants can bid in auction

Continuous Price Auction: The auction format that has sell and buy orders placed
independently of each other.

Extended Producer Responsibility (EPR): EPR means the responsibility of a

producer for the environmentally sound management of the product until the end of its
life.

EPR Certificate: An EPR Certificate is a document that confirms a company’s

compliance with the principles of extended producer responsibility.

Electronic Trading Platform (ETP): ETP shall mean any electronic system, other than
a recognized stock exchange, on which transactions are contracted.

Electronic Trading and Settlement Platform: The electronic trading on which

transactions are contracted and electronic payment settlement between participants.

Floor price: means a price below which bids at auction are not eligible to be accepted

MOA: Memorandum of Association

Waste Processors: Recyclers and entities engaged in using waste for energy (waste
to energy), and converting it to oil (waste to oil), industrial composting

Pay in: is the day when the participants shall make payment during trade

Pay out: is the day when payment is made after trade and is the settlement day

Recyclers: Entities who are engaged in the process of recycling of waste

Seller: An entity who is engaging in selling certificates on the Trading Platform

Uniform Price Auction: The auction format that has multiple buyers and sellers putting
in buy and sell orders at different prices determining a single clearing (trade) price

User: An entity who is engaging in buying and selling certificates on the Trading
Platform

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 A. Definitions w.r.t. Plastic Waste EPR ETP

Producer: A person engaged in manufacturing of packaging; and, includes a person

engaged in manufacture of intermediate material to be used for manufacturing plastic
packaging, and also the person engaged in contract manufacturing of products using
plastic packaging or through other similar arrangements for a brand owner

Importer: means a person who imports for commercial use, any plastic packaging or
any commodity with plastic packaging or like material,

Brand Owner: As per PWM Rules, means a person or company who sells any
commodity under a registered brand label or trademark.

B. Definitions w.r.t E-Waste EPR ETP

a. Producer: As per E-Waste (Management) Rules, 2022 producer’ means any person
or entity who, -

(i) manufactures and offers to sell electrical and electronic equipment and their
components or consumables or parts or spares under its own brand; or
(ii) offers to sell under its own brand, assembled electrical and electronic equipment
and their components or consumables or parts or spares produced by other
manufacturers or suppliers; or
(iii) offers to sell imported electrical and electronic equipment and their components
or consumables or parts or spares; or
(iv) who imports used electrical and electronic equipment

b. Recycler: As per E-Waste (Management) Rules, 2022, ‘recycler’ means any person
or entity who is engaged in recycling and reprocessing of waste electrical and
electronic equipment or assemblies or their components or their parts for recovery of
precious, semi-precious metals including rare earth elements and other useful
recoverable materials to strengthened the secondary sourced materials and having
facilities as elaborated in the guidelines of the Central Pollution Control Board made
in this regard.

c. Refurbishers: As per E-Waste (Management) Rules, 2022, Refurbisher, means any

person or entity repairing or assembling used electrical and electronic equipment as
listed in Schedule-I for extending its working life over its originally intended life and
for same use as originally intended, and selling the same in the market

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 C. Definitions w.r.t. Waste Tyre EPR ETP

a. Producer: Producer’’ means any person or entity who, -

i. Manufactures and sells new tyre domestically; or

ii. Sells domestically under its own brand, new tyre manufactured by other
manufacturers or suppliers; or
iii. Sells imported new tyre; or
iv. Imports vehicles fitted with new tyres; or
v. Automobile manufacturers importing new tyre for use in new vehicles sold
domestically; or
vi. Imports waste tyre;

b. Recyclers: “Recyclers” means any person or entity engaged in the process of

converting waste Tyre into following end products, in an environmentally sound manner
namely;

i. Reclaimed rubber;
ii. Crumb rubber;
iii. Crumb rubber modified bitumen (CRMB);
iv. Recovered carbon black, which is usable as raw material for manufacture of new
tyre; and Pyrolysis oil or Char, which is used only as a fuel and not as raw material
for manufacture of new tyre;

D. Definitions w.r.t Used Oil EPR ETP

a. Producer: Any person or entity, irrespective of the selling technique used such as
dealer, retailer, e- retailer, who, -

(i) manufactures and offers to sell base oil or lubrication oil domestically under its
own brand; or
(ii) offers to sell lubrication oil domestically under its own brand, using the base oil
manufactured by other manufacturers or suppliers; or
(iii) offers to sell imported base oil or lubrication oil domestically;

b. Recycler: Any person or entity engaged in the process of recycling of used oil

c. Used oil importers: Any person or entity who imports used oil

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