The Ecodesign Directive 2009/125/EC[1] set out the rules and requirements that products must meet in order to be placed on the market in the EU. It focused in particular on energy consumption, especially for household appliances. In general, the impact of this Directive and related regulations on the energy performance of appliances is seen as positive in a global context. For non-EU manufacturers wishing to enter the European market, it was not worthwhile to produce different versions of products for different regions, which led to energy efficiency improvements in appliances outside the EU.
In April 2024, the Commission approved an extension of the Directive to include requirements for broader sustainability beyond energy consumption – the Ecodesign for Sustainable Products Regulation or ESPR[2] (hereafter referred to as the “ESPR” or just the “Regulation“).
The ESPR, which already entered into force on 18 July 2024, is a stepping stone for subsequent legislation (in particular a delegated regulation issued by the European Commission) which will further specify the rules. In the following article, we would like to give you an overview of the significant new features ESPR introduces and what new obligations to prepare for.
ESPR in general
The ESPR was adopted to promote production and consumption patterns that are consistent with the Union’s overall sustainability objectives, including climate, environment, energy, resource use and biodiversity.
The ESPR is intended to create a legislative framework that will contribute to making products fit for a resource-efficient, climate-neutral circular economy, to reduce waste and ensure that the results of sustainability pioneers gradually become the norm and should ensure the setting of new ecodesign requirements to improve product durability, reliability, repairability, upgradability, reusability and recyclability, and to improve product refurbishment and maintenance options.
Other important points of ESPR are to adequately and sufficiently communicate the presence of hazardous chemicals in products, to increase the energy and resource efficiency of products, including the ability to use strategic and critical raw materials, to reduce the expected amount of waste generated and increase the recycled content of products while ensuring their performance and safety, to enable remanufacturing and quality recycling, and to reduce the carbon and environmental footprint.
The Regulation itself does not set any specific ecodesign requirements, but it is a legal framework under which specific requirements for individual product categories will be set through delegated regulations issued by the European Commission. These so-called delegated regulations will be adopted after consultation and discussion with manufacturers of the products concerned, other interested parties, national authorities and, in particular, after a proper assessment of the potential impacts.
However, the boundaries and objectives of the ESPR for this clarifying legislation The ESPR spells out clearly. It introduces three categories of requirements – ecodesign, performance and information requirements.
In the first phase, the focus will be on product categories where significant scope for improvement has been identified, namely textiles, footwear, furniture, mattresses, tyres, cleaning products, paints, lubricants, chemicals, but also intermediate products such as iron, steel and aluminium. Over time, the ecodesign requirements will be extended to other product groups.
Ecodesign requirements
According to Article 5 of the ESPR, these requirements will focus on the following product features and characteristics: durability, reliability, reusability, upgradability, repairability, maintainability and renovation, presence of substances of concern, energy use and energy efficiency, water use and water efficiency, resource use and resource efficiency, recycled content, repairability, recyclability, recyclability of materials, environmental impacts, including carbon and environmental footprint, and expected amount of waste generated.
The Commission will then select or develop the tools or methodologies necessary to set ecodesign requirements.
Performance requirements
The performance requirements under Article 6 of the ESPR that products will have to meet, which will also be specified in subsequent implementing legislation, will include, as appropriate, a minimum or maximum level in relation to a specific product parameter or combination of parameters, or non-quantitative requirements aimed at improving performance in relation to one or more such product parameters.
Information requirements
In addition, the Commission will specify the information requirements under Article 7 of the ESPR. These will include, in particular, requirements relating to the newly introduced digital passport, including, where appropriate, information on product performance, information for customers and others on how to install, use, maintain and repair the product to minimise its environmental impact and ensure its optimum durability, or information for treatment facilities on dismantling, reusing, refurbishing, recycling or disposing of the product at the end of its life.
Digital product passport
The most technologically, administratively and financially demanding novelty will be the obligation for manufacturers to develop a digital product passport that will provide all participants in the supply chain as well as consumers and market surveillance authorities with information relevant to ensuring product sustainability (e.g. using a QR code, barcode, watermark).
The digital passport must be reliable, efficient and relevant to each market actor and their needs.
The values collected must have added value for producers, suppliers, supervisory authorities, consumers. The provider of the values must be responsible for their accuracy. At the same time, it will be necessary to ensure that sensitive information is not disclosed or leaked.
More news and efficiency ESPR
The Regulation also introduces a ban on the destruction of unsold consumer goods, namely clothing, clothing accessories and footwear, with effect from mid-2026. This ban may be extended to other categories of consumer goods in the future, based on an analysis of data on unsold goods that the new obliged entities will have to publish on a regular basis.
The new obligations will therefore not take effect until two years from now, i.e. mid-2026. The Ministry of Industry and Trade will organise a seminar for stakeholders during autumn 2024 to explain the content of the Regulation and to guide them towards the consultation that will precede the adoption of the individual delegated regulations. Information on the seminar will be published on the Ministry’s website as well as the methodology developed where appropriate.
Conclusion
Ecodesign will bring many changes and challenges. The regulation is intended to ensure a level playing field for sustainable products on the European market and to increase the competitiveness of the industry, including at global level. Businesses will have to invest heavily in finding, replacing, researching and developing greener and more energy-efficient products. This will undoubtedly trigger changes in production processes, the use of new raw materials and technologies. However, the higher costs of changing production processes, raw materials and technologies may make it more difficult for some companies to do business or to compete in the EU. How companies deal with this will also depend heavily on the wave of related legislation (notably implementing regulations and other delegated acts).
For more information on the adopted Regulation, please visit the European Commission’s website: Ecodesign for Sustainable Products Regulation.
If you have any questions about ecodesign or related issues, please do not hesitate to contact us.
[1] Directive 2009/125/EC of the European Parliament and of the Council of 21 October 2009 establishing a framework for the setting of ecodesign requirements for energy-related products (recast) (Text with EEA relevance).
[2] Regulation (EU) 2024/1781 of the European Parliament and of the Council of 13 June 2024 establishing a framework for the setting of ecodesign requirements for sustainable products, amending Directive (EU) 2020/1828 and Regulation (EU) 2023/1542 and repealing Directive 2009/125/EC (Text with EEA relevance)
Mgr. Jakub Málek, managing partner – malek@plegal.cz
Rachel Kouklíková, legal assistant – kouklikova@plegal.cz
Tereza Hrudková, legal assistant – hrudkova@plegal.cz
10. 10. 2024