• Circular Rising
  • Posts
  • Opinion: What EPR enforcement means for small businesses

Opinion: What EPR enforcement means for small businesses

Source: Valyne Kinya

From the newsletter

As African countries roll out Extended Producer Responsibility (EPR) regulations, questions are emerging over whether enforcement can meet environmental goals without burdening small and informal businesses that drive their economies. Ahead of Kenya’s expected February 2026 enforcement, Valyne Kinya of EPROK emphasises the need for outreach and collaboration to ensure compliance remains inclusive.

  • Ms Kinya is a Communications Officer at the Electronic-waste Producer Responsibility Organisation of Kenya (EPROK), a Producer Responsibility Organisation (PRO) that promotes sustainable e-waste management and supports compliance under Kenya’s EPR framework.

  • She warns that while large companies are structurally prepared to comply, smaller enterprises risk being pushed to the margins if support systems do not keep pace with regulation. “Without deliberate outreach and collaboration, enforcement risks penalising the very actors who are least equipped to navigate regulatory transitions on their own,” she cautions.

More details

As Kenya accelerates its transition to a circular economy, the enforcement of the Extended Producer Responsibility (EPR) Regulations, 2024, marks a turning point, particularly for small and informal businesses that sit at the heart of the country’s retail and import ecosystem. Kenya is among a growing but still limited number of African countries that have moved beyond policy commitments to adopt binding EPR legislation. This positions the country as a regional leader in sustainable waste management and signals strong government intent to align environmental protection with economic growth.

The EPR Regulations were gazetted in 2024 under the Sustainable Waste Management Act, 2022, introducing a legal obligation on producers, importers, brand owners, and in some cases, retailers, to take responsibility for the post-consumer waste generated by their products. The intent is to shift the burden of waste management away from the public and onto those who place products on the market, thereby encouraging better product design, recycling, and environmental accountability.

Kenya’s bold intent to enforce Extended Producer Responsibility (EPR) regulations from as early as February 2026, has stirred anxiety across the retail and import landscape. These regulations, enacted under the Sustainable Waste Management Act, 2022, and formalised in the EPR Regulations, 2024, require producers, importers, and retailers to take responsibility for end-of-life management of products they bring into the market. However, while the policy direction is sound, the path to implementation has not been linear. In mid-2025, the regulations were temporarily halted following court orders issued during constitutional challenges. Those orders have since been lifted, and the courts have cleared the way for enforcement. As a result, the EPR Regulations, 2024 are now fully in force, with no legal barrier to implementation.

For large manufacturers and importers with compliance structures, this shift is manageable. For small and informal businesses, particularly informal retailers, micro-importers, and online sellers, the leap to compliance is enormous. To grasp what is at stake, according to the State Department for MSMEs Development, there are roughly 7.4 million micro, small, and medium enterprises (MSMEs) operating across the country, with the vast majority being micro businesses employing fewer than 10 people. These enterprises operate in wholesale and retail trade, manufacturing, services, and food sectors. Wholesale and retail trade alone accounts for the largest share of these businesses. MSMEs also collectively employ millions of Kenyans and contribute a significant portion of national economic output.

What these statistics tell us is that Kenya’s economy is driven from the ground up by small enterprises. Informality is far more the norm than the exception, a reality reflected in employment patterns: roughly 83 % of Kenyan workers are employed in the informal sector, predominantly in wholesale and retail trade and related services. For a micro-importer bringing in low-margin electronics accessories, or an online seller handling small quantities of imported goods, they may not even know what EPR means in practice, let alone how to comply. It involves registration, reporting, and financial contributions toward waste management processes that can feel complex and distant from day-to-day business survival. From the perspective of a small shop owner or micro-importer, the risk is clear. If a retailer is found to be stocking non-EPR-compliant products once enforcement begins, they risk being prevented from selling those products. This can disrupt supply chains that are highly sensitive to stock availability, erode customer trust, and reduce already-thin profit margins.

Without deliberate outreach and collaboration, enforcement risks penalizing the very actors who are least equipped to navigate regulatory transitions on their own. This moment, therefore, calls for collaboration, not confrontation.

One practical solution lies in the role of Producer Responsibility Organisations (PROs). PROs were established precisely to bridge the gap between regulation and operational reality. By pooling obligations, providing technical guidance, and coordinating compliance on behalf of their members, PROs offer a structured and affordable pathway for businesses to meet EPR requirements collectively rather than individually. For small retailers and importers unsure where to begin, PRO membership provides clarity, shared systems, and reduced administrative burden.

Equally important is the need for targeted awareness creation. EPR messaging must extend beyond formal industry forums and reach informal markets, online sellers, and micro-importers through channels they already trust and access. Strategic communication that uses simple language, practical examples, and sector-specific outreach will be critical in ensuring that businesses understand not only that EPR exists, but also how it applies to them and what steps they need to take.

Finally, multi-stakeholder coordination will determine the success of implementation. Regulators, industry associations, PROs, and waste actors must work together to align messaging, avoid confusion across the value chain, and support early compliance. When communication is consistent and support mechanisms are visible, compliance becomes achievable rather than intimidating.

The coming weeks should not be viewed solely as a countdown to enforcement, but as a final window for collective action. Regulators, industry associations, PROs, and waste actors all have a role to play in ensuring that EPR delivers environmental gains without unintended economic fallout. Kenya’s transition to a more sustainable waste management framework is necessary and commendable. However, sustainability cannot be achieved by inadvertently sidelining the informal and micro business sector that employs millions and supports entire families. Awareness, education, and support must accompany enforcement, not lag behind it.

Small business owners need to know what compliance entails, why it matters, and how to achieve it.