Building the Single Market for Green Products. Dr. Michele Galatola Product team leader DG Environment Sustainable Production and Consumption Unit



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Building the Single Market for Green Products Dr. Michele Galatola Product team leader DG Environment Sustainable Production and Consumption Unit

WHY? = Confusion, mistrust Free-riders win Costs More than 400 environmental labels in the world Only for GHGs, 80 leading reporting methods and initiatives Issues: What is green? How do I prove that my product or company is green? If I choose one approach, will it be accepted by everyone? Do I have to prove I'm green in different ways to different clients? Will consumers and business partners understand my claim? Does green mean more expensive? 2

A world of "similar-but different" requirements for green products 3

SMGP 4 Objective To improve the availability of clear, reliable and comparable information on the environmental performance of products and organisations How 3-year pilot 3-year phase Pilot phase PEF Commission Recommendation Communication: Building the Single Market for Green Products Communication principles OEF International dialogue UCPD Guidance

How was the PEF Guide Developed? Environmental assessment documents analysed: BP X 30-323 ISO 14044 ISO 14067 Product Standards, Greenhouse Gas Protocol (WRI/ WBCSD) PAS 2050 ILCD Ecological footprint

What are the differences between PEF and traditional LCA? Not that many!! PEF is a way of doing an LCA which enables to deliver more consistent, reliable and reproducible results. Moreover, compared to a traditional ISO 14040 compliant LCA, PEF includes features that make easier the communication of its results both in B2B and B2C. These new characteristics of PEF are possible due to: a limitation of methodological flexibility, more stringent requirements related to data quality, and the introduction of normalization and weighting

Simplification features ONE common methodology instead of VERY MANY Few and clear rules for product categories and sectors (PEFCRs/OEFSRs) Focusing on what really matters (e.g., 3 most relevant impacts for consumer products instead of the more than 200 we currently find in construction products EPDs) Great simplification "potential" for SMEs provided that the Commission will manage in the coming years to implement a number of supporting measures

LCA 1 cup of coffee 8 EXAMPLE - RESULTS Most important life cycle phase for a cup of coffee: USE Most important impact categories (relevant phases along the life cycle): Climate change (energy use in production and use phase) Water use (raw material and use) Resource depletion (mineral, fossil) COMMUNICATING RESULTS NO PEFCR (2012) WITH PEFCR (fictitious example; possible if PEFCR available) Environmental impacts Water Resources Climate E vs. vs. Verified by Performance level B Performance level C Performance level A

Next steps: The pilot/testing for PEF and OEF Pilots' objectives: 1. Test the process for the development of PEFCRs and OEFSRs 2. Test different approaches for verification systems (embedded impacts, traceability) 3. Communication vehicles Engagement of key stakeholders, including from outside EU Focus on simplification and applicability Call for volunteers is open at (until 26 July): http://ec.europa.eu/environment/eussd/smgp/index.htm

Pilot application package 10 It includes: Call for applicants Guidance for the implementation of the EU Product Environmental Footprint (PEF) during the Environmental Footprint (EF) pilot phase (ver. 3.0) Application form Letter of commitment

Challenges 11 Why a pilot phase? Life Cycle data (quality & availability) Need to develop consistent product and sector-specific rules Involvement of stakeholders (particularly SMEs and developing countries) Simplification The verification system Convergence of methods at EU level and internationally

Pilot phase 12 WHO can propose a pilot: 1. Single companies 2. Cluster of companies 3. National, European or non-european industry associations 4. NGOs 5. Member States or non EU governments 6. Universities, Research Institutions 7. International organisations 8. Any mix of the organisations mentioned above As leaders As proponents / participants The Commission will lead on a limited number of pilots

Representativeness 13 Major competitors or their representatives 75% of EU market invited (yearly turnover) All companies contributing to more than 10% of the market are invited 51% of the EU market actively participating Wide range of stakeholders (SMEs, consumers and environmental associations) involved

Work flow 14 Analysis of existing PCRs/EPDs/LCAs and scope definition Definition of the representative product PEF screening First draft PEFCR Most relevant life cycle stages Most relevant processes Draft benchmark Web consultation Physical consultation Final draft PEFCR PEFCR supporting studies Most relevant impact categories Final benchmark Classes of performance Web consultation Physical consultation Review of the final draft PEFCR Release of the final PEFCR

Timeline 15 Deadline of applications: 26 July, 12:00 CET Selection of product groups and sectors: September 2013 Start of the pilots (October/November 2013) End of the pilots (end 2016)

2 nd phase 16 Policy discussion Future policies Peer review of the pilot phase and of alternative methods tested under similar conditions (2017) Internal evaluation of the pilots 2017

17 For any further information http://ec.europa.eu/environment/eussd/smgp/ env-environmental-footprint@ec.europa.eu

Governance 18 Technical Advisory Board Steering Committee MS representatives Commission Representative from pilots Representatives of main stakeholder groups Approvals, monitoring and conflict resolution Tech. Secretariat 1 Tech. Secretariat 2 Tech. Secretariat n EF Technical Helpdesk NGOs SMEs NGOs SMEs NGOs SMEs PAs PAs PAs Ind. Ind. Ind.