Calculation of the Annual Fee
Find out how the annual fee is calculated, which costs it covers, and what determines the fee rates.
If you are subject to producer responsibility, you are legally required to pay the fees prescribed by law. DPA is the registration authority in Denmark and issues invoices solely in accordance with applicable legislation. By paying the annual fee, you contribute to financing DPA’s administration of the six product areas subject to producer responsibility. This includes:
- operation and development of the Danish producer register
- administration of calculations relating to allocations and financial guarantees
- determinations as to which companies and products are subject to producer responsibility
- guidance for companies and collective schemes
The practical collection and management of waste are not included in these costs, as these activities are handled by the collective schemes.
You pay according to your share of the market
When calculating your annual fee, we look at your share of the total quantities put on the market within the relevant product area.
The larger your share of the market, the larger the share of the costs you are required to finance. For example, if you put 1% of the total quantities within a product area on the market, you also pay 1% of the total costs for that product area. In this way, the annual fee reflects your share of the market.
Why do the fee rates change?
DPA sets a fee rate for each product area. The fee rate is calculated based on the total costs for the product area and the total quantities put on the market. We calculate the fee rate as follows:
- Funding requirement ÷ quantities put on the market = fee rate
This means that the fee rate may change from year to year. If the costs for a product area increase or the quantities put on the market decrease, the fee rate will typically increase. Conversely, the fee rate will typically decrease if costs fall or the quantities put on the market increase.
This means that your annual fee depends not only on the quantities you put on the market, but also on changes in the total costs and quantities within the product area for which you are registered.
More predictable annual fees
We have changed how we allocate IT development costs for the Danish producer register. Going forward, only 25% of the IT development costs incurred in a given year will be included in that year’s fees, while the remaining 75% will be allocated over subsequent years. This means that these costs will no longer be financed solely by producers registered in the year in which the costs are incurred. Instead, the costs will be spread over several years, ensuring that both existing and future producers contribute to financing the development of the Danish producer register.