The Ecodesign for Sustainable Products Regulation (ESPR) started as a proposal by the European Commission as an attempt to create a regulation for sustainable products in March 2022. The regulation will:
- Expand the scope and replace the Ecodesign Directive
- Impact all products groups in the EU market except for feed, medicinal goods, living animals and plants, and products of plants and animals relating to their reproduction
- Orchestrate a harmonised regulatory framework for a wider product range
- Introduce the requirements for digital product passports
The reason why the ESPR was proposed is to help businesses and consumers in Europe to make informed product decision choices, improve product transparency, and facilitate repairs and recycling in the EU. Sanctions are to be set in place for businesses that don’t comply with the ESPR.
The ESPR has a tremendous financial impact on everyone in the value chain. It sets out some requirements to ensure products are reliable, durable, upgradable, reusable, and repairable. The ESPR aims to extend the current Ecodesign Directive by covering almost all essential product groups, and broaden the scope of product requirements.
The implementation of the Ecodesign for Sustainable Products Regulation will be in accordance with the Circular Economy Action Plan (CEAP). The Regulation aims to set a baseline standard for all product industries in the European market. It will apply directly to all member states.
According to the Regulation, non-compliance with the ESPR, such as lack of digital passports, can result in a company’s products not being placed on the market. There will be national checks to ensure compliance to the regulation, with every member state setting out an action plan.
The European Commission will set up delegated acts to decide on the minimum number of checks that need to be performed by related authorities. Economic operators can also be investigated and certain actions can be sanctioned to make up for non-compliance.
The ESPR and Digital Product Passport
Digital Products Passports and the ESPR are closely related. DPPs are one of the essential plans the ESPR and CEAP have set in place to steer the EU’s products towards circularity. The digital passport shares product related information that is related to sustainability for all in-scope products.
The information will be accessible to everyone in the supply chain including authorities, customers, and the Commission. The digital information will be easily accessed through data carriers like QR codes. This will help to ensure the traceability and transparency of the sustainability requirements.
According to the ESPR, DPPs will be complementing and not replacing traditional information sharing tools like labelling. The DPP will have a registry that serves as a central hub for product information. This will streamline consumer inspections and enable easy access to product information.
A part of the portal will be publicly accessible for everyone, while there will also be a restricted section strictly for authorities. This structure helps to enhance the clarity, accessibility, and reliability of product information delivered through the digital product passports.
Main Features of The ESPR
The main features of the ESPR proposal are as follows:
- A framework to create requirements for how products should be made through delegated acts
- The requirements for the sustainability information required by digital product passports. DPPs will ensure that products can be linked directly to relevant information pertaining to their sustainability and circularity.
- Stopping the destruction of unsold consumer goods
- Promoting sustainable products
- Designed to work perfectly with existing and new legislations
Each product group in the ESPR has its own implementing act. The implementing acts are pieces of law that mandate the Ecodesign criteria. Under the provisional agreement reached by the European Parliament and Council the Ecodesign and Energy Labeling Work Plan will be adopted.
The Impact of ESPR on Companies
Any company or business that sells products in the European market must comply with the Ecodesign for Sustainable Products Regulation. Whether they are manufacturers, retailers, importers, or distributors, they have to follow the various rules of the ESPR.
Specific requirements for the product groups under the ESPR will be contained in delegated acts. Product groups that are of high importance are those that contribute positively to the climate and energy objectives of the EU. These product groups include textiles, furniture, tyres, paints, and chemicals.
The impact of the ESPR on different businesses will vary. Products that are presently under the existing Ecodesign Directive will most likely have a similar impact level. The best way for businesses to prepare for ESPR changes include: staying up to date on priority product groups, conducting life cycle assessments, and planning to change existing manufacturing processes.
Final Words
The implementation of the Digital Products Passports Eco-design for Sustainable Products Regulation is a pivotal moment for businesses and consumers in the EU’s market. Specific ESPR requirements will be contained in delegated acts, and all products entering the EU’s market will have to comply with the requirements.
The ESPR aims to foster a smooth transition towards a sustainable, eco-friendly, and resource-efficient region. Businesses can meet the ESPR’s regulatory standard by focusing on the recyclability, energy-efficiency, and durability of their products.
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