EUROPEAN COMMISSION Brussels, 13.5.2016 SWD(2016) 152 final COMMISSION STAFF WORKING DOCUMENT



IMPACT ASSESSMENT

Accompanying the document Proposal for a Directive of the European Parliament and of the Council amending Directive 2004/37/EC on the protection of workers from the risks related to exposure to carcinogens or mutagens at work

{COM(2016) 248 final}

{SWD(2016) 153 final}



TABLE OF CONTENTS Introduction7 1What is the problem and why is it a problem?8 1.1Main drivers9 1.1.1Exposure of workers to carcinogens is significant9 1.1.2The Carcinogens and Mutagens Directive is outdated10 1.1.3Inadequate OELs at MS level have negative consequences for workers and businesses across the EU16 1.2Who is affected by the problem and how?17 1.3How would the problem evolve?19 2Why should the EU act?21 2.1Does the EU have the right to act?21 2.2Why is EU action needed and what is its added value?21 2.3What are the EU instruments relevant to dealing with carcinogens at the workplace?22 2.4How does this initiative relate to the envisaged review of the OSH acquis?24 3What should be achieved?25 3.1What are the general policy objectives? What are the more specific objectives?25 3.2Are these objectives consistent with other EU policies and with the Charter for fundamental rights?26

4What are the various options to achieve the objectives?26 4.1Complementary measures26 4.2Discarded options27 4.3Options retained for consideration30 5What are the impacts of the different policy options and how do they compare?34 5.11,2 Epoxypropane37 5.21,3 Butadiene39 5.32 Nitropropane42 5.4Acrylamide44 5.5Hardwood dust46 5.6Chromium (VI) compounds49 5.7Ethylene oxide (EO)56 5.8o-Toluidine58 5.9Refractory Ceramic Fibres (RCF)61 5.10Respirable Crystalline Silica63 5.11Vinyl Chloride Monomer (VCM)70 5.12Bromoethylene (vinyl bromide)72 5.13Hydrazine74 5.14Summary of the retained options77 6Overall impact of the package of retained options78

6.1Impact on workers78 6.2Impact on businesses80 6.2.1Impact on SMEs81 6.2.2Impact on competition and competitiveness82 6.3Impact on Member States/national authorities83 6.4Impact on fundamental rights83 6.5How does the retained option conform to the principles of subsidiarity and proportionality given the size and nature of the identified problem?84 7How would actual impacts be monitored and evaluated?84 7.1Monitoring arrangements84 7.2Evaluation arrangements85 Annexes 87 8Annex 1 – Procedural Information87 8.1Lead DG87 8.2Consultation of the Regulatory Scrutiny Board (RSB)87 8.3Evidence used in the impact assessment89 8.3.1IARC Monographs89 8.4External expertise90 8.4.1Use of scientific expertise / Commission expert groups / SCOEL90 8.4.2Studies performed by external consultants90 8.4.3Study on chemical agents toxic to reproduction91

9Annex 2 - Stakeholder consultation92 9.1Social partner Consultation92 9.2Other consultation of stakeholders94 9.2.125 October 2006 - Workshop of setting OELs for Carcinogens94 9.2.2EU-OSHA - Exploratory survey of Occupational Exposure Limits (OELs) for Carcinogens, Mutagens and Reprotoxic chemical agents (CMRs) at EU Member States level (published in September 2009)94 9.2.3Consultation of the tripartite Working Party "Chemicals at the Workplace" (WPCs) of the ACSH95 9.2.4September 2012 - Workshop in Berlin96 9.2.5Consultation of the members of the ACSH on existing national OELs for chemical agents subject to the amendments96 9.2.6Meetings with Industry and Workers representatives97 10Annex 3 – Who is affected by the initiative and how?98 11Annex 4 – Analytical model used in preparing the Impact Assessment100 11.1Exposure estimation100 11.2Health impact – methodology for estimation of the current cancer burden (baseline) as compared with the policy intervention scenarios101 11.3Compliance costs109 12Annex 5 – detailed Information on the carcinogenicity of the chemical agents110 12.1Respirable crystalline silica110 12.1.1Identification110 12.1.2Synonyms110 12.1.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity:111 12.1.4Classification according to IARC111

12.1.5Recommendation of SCOEL111 12.2Refractory ceramic fibres (RCFs)112 12.2.1Identification112 12.2.2Synonyms112 12.2.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity112 12.2.4Classification according to IARC113 12.2.5Recommendation of SCOEL113 12.3Acrylamide114 12.3.1Identification114 12.3.2Synonyms114 12.3.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity:114 12.3.4Classification according to IARC114 12.3.5Recommendation of SCOEL114 12.4Vinyl chloride monomer116 12.4.1Identification116 12.4.2Synonyms:116 12.4.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity:116 12.4.4Classification according to IARC116 12.4.5Conclusions of SCOEL116 12.5Hardwood dust117

12.5.1Identification117 12.5.2Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity:117 12.5.3Synonyms117 12.5.4Classification according to IARC117 12.5.5Recommendations of SCOEL117 12.6Chromium (VI) compounds118 12.6.1Identification118 12.6.2Synonyms119 12.6.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity119 12.6.4Classification according to IARC119 12.6.5Conclusion of SCOEL119 12.71-3- butadiene123 12.7.1Identification123 12.7.2Synonyms123 12.7.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity123 12.7.4Classification according to IARC123 12.7.5Recommendation of SCOEL124 12.8Ethylene oxide124 12.8.1Identification124 12.8.2Synonyms124

12.8.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity124 12.8.4Classification according to IARC125 12.8.5Conclusion of SCOEL125 12.91,2 Epoxypropane126 12.9.1Identification126 12.9.2Synonyms127 12.9.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity127 12.9.4Classification according to IARC127 12.9.5Conclusion of SCOEL127 12.10o-Toluidine128 12.10.1Identification128 12.10.2Synonyms129 12.10.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity129 12.10.4Classification according to IARC129 12.10.5Conclusion of SCOEL129 12.112 Nitropropane129 12.11.1Identification129 12.11.2Synonyms129 12.11.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity129 12.11.4Classification according to IARC129

12.11.5Conclusion of SCOEL129 12.12Bromoethylene129 12.12.1Identification129 12.12.2Synonyms129 12.12.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity130 12.12.4Classification according to IARC130 12.12.5Conclusion of SCOEL130 12.13Hydrazine130 12.13.1Identification130 12.13.2Synonyms130 12.13.3Classification according to Regulation (EC) N° 1272/2008 with regard to carcinogenicity131 12.13.4Classification according to IARC131 12.13.5Conclusion of SCOEL131 13Annex 6 - Exposure Limit Values in EU Member States and some non-EU Countries133 14Annex 7 - Relevant EU legislation139 14.1Existing EU-OSH framework139 14.1.1Directive 89/391/EEC139 14.1.2Directive 98/24/EC139 14.1.3Directive 2004/37/EC140 14.1.4Directive 2009/148/EC140

14.2Internal Market legislation140 14.2.1REACH Regulation140 14.2.2CLP Regulation142 14.2.3Comparison of high level CMD and REACH provisions in relation to occupational carcinogens143 15Annex 8 – general information about the Classification systems referred to in the document145 15.1Carcinogens145 15.1.1Classification according to the CLP Regulation145 15.1.2Classification according to IARC146 16Annex 9 – Additional Graphical Material147 16.11,2 Epoxypropane147 16.21,3 Butadiene147 16.32 Nitropropane148 16.4Acrylamide149 16.5Hardwood dust151 16.6Chromium VI152 16.7Ethylene oxide153 16.8o-Toluidine155 16.9Refractory Ceramic Fibres (RCF)156 16.10Respirable Crystalline Silica (RCS)156 16.11Vinyl Chloride Monomer (VCM)158

16.12Bromoethylene (vinyl bromide)158 16.13Hydrazine159 17Annex 10 – Abbreviations used160



Introduction Exposure to some chemical agents in the workplace can cause cancer. To ensure that workers are protected against such risks, the EU has adopted the Carcinogens and Mutagens Directive (CMD). The Directive sets out steps to be taken to eliminate or limit exposure to carcinogenic chemical agents. It establishes under Article 16 that the Council shall set out limit values over which exposure is not allowed, on the basis of available scientific and technical data, in respect of all those carcinogens for which this is possible. The limit values create useful benchmarks for employers and enforcement authorities to decide on which protection measures should be taken. This adds to the general obligation in the CMD for employers to eliminate exposure of workers to carcinogenic substances and makes more explicit the general requirement of the over-arching Occupational Safety Health (OSH) Framework Directive to eliminate all risks. In order to fulfil the obligation under Article 16 of the Directive to set limit values in respect of all those carcinogens for which this is possible, the Commission has initiated a scientific and economic assessment of 25 priority chemical agents which have been classified as carcinogens by national and/or international authorities and institutions. In the EU around 20 million workers are exposed to at least one of these chemical agents. Following discussions by scientists, employers, workers, Member States' representatives and labour inspectors in a series of health and safety committees, suggestions for limit values have been developed. Introducing these limit values in the Directive would provide employers, workers and enforcement bodies with an objective measure to help to ensure that the general principles of the Directive are complied with. This should contribute to a reduction in exposure to these priority carcinogens with a consequential reduction in potential new cases of occupational cancer in the affected workers. It is estimated that under the baseline the considered carcinogens will lead to over 460,000 deaths caused by occupational exposure. Introduction of the proposed limit values could make it possible to avoid some 100,000 of them in the forthcoming 50 years. These figures are based on estimations made in a study contracted by the Commission. In certain cases introduction of limit values would impose some costs on enterprises to take the necessary protective measures such as installing ventilation systems and acquiring protective equipment where they do not exist. On the other hand, establishing compliance benchmarks for exposure control through these limit values would mean that businesses have clear minimum standards applied across the internal market. The calculations underpinning the analysis of costs and benefit for limit values are complicated due to a number of factors, not least that the time between exposure to a carcinogen and the onset of the disease can be up to 50 years. Calculating costs and benefits over such a long period is challenging and based on a number of assumptions regarding gradually reduced exposure in the baseline, production methods, medical knowledge etc. This impact assessment looks at the costs and benefits of introducing limit values for 13 of the 25 priority chemical agents. For the remaining chemical agents there is additional analysis of costs and benefits to be done. This analysis will be presented in a further impact assessment. 1What is the problem and why is it a problem? According to the World Health Organisation (WHO), cancer is the second largest cause of death in most developed countries. In the European Union in 2013 there were approximately 1.314 mln cancer deaths. In 2012, an estimated 2.7 mln new cases of cancer were diagnosed in EU Member States, and 7.2 mln people were living with cancer (within 5 years of diagnosis),. Cancer is the first cause of work-related deaths in the EU (see Figure 1 below). 53% of annual occupational deaths are attributed to cancer, compared to 28% for circulatory diseases and 6% for respiratory diseases. The number of deaths attributed to occupational cancer in the EU is reported to be 102,500 for 2011. Figure 1. Deaths attributed to work

Source: WSH Institute 2014





Figure 2. Problem tree PROBLEM DRIVERS CONSEQUENCES 1.1Main drivers 1.1.1Exposure of workers to carcinogens is significant

Different forms of cancer may be initiated or promoted by the exposure to carcinogenic and/or mutagenic chemical agents at work. In the EU 32 mln workers (23% of people employed) were exposed to chemical agents classified as carcinogenic or probably carcinogenic to humans by the WHO's International Agency for Research on Cancer (IARC) in 1990-93. In France, estimates from 2010 suggest that approximately 2 mln workers were exposed to at least one carcinogen in their most recent week of activity at work, approximately 10% of the working population. Workers in maintenance activities (42.6% exposed) and young workers (below 25 years of age) (15.2% exposed) were found to be particularly exposed, and many of them to several carcinogens, mutagens and reprotoxins at the same time. According to the EU Classification, Labelling and Packaging Regulation (CLP), 1017 chemical agents (and groups of chemical agents) have received mandatory 'harmonised classification' as 'category 1' carcinogens, attracting the label hazard statement 'may cause cancer'. If the assessment was based primarily on human evidence category 1A is assigned (this is the case for 336 agents), with category 1B assigned where animal evidence is primarily used (681 agents are in this category). Chemicals suspected to cause cancer in humans but where data is not sufficiently convincing for category 1 may be classified as 'category 2 carcinogens'. IARC has identified nearly 500 agents that are carcinogenic for humans (Group 1; 118 agents), probably carcinogenic to humans (Group 2A; 75) or possibly carcinogenic to humans (Group 2B; 288). Table 1 in the section 1.1.2. presents estimates of numbers of workers exposed to the carcinogens covered in this report. The numbers of exposed workers vary significantly across the agents. Some of the carcinogens, like Respirable Crystalline Silica (RCS), chromium (VI) compounds, hardwood dust or hydrazine, affect very high numbers of workers. For some others there are indications that use patterns may be lower. However, the agents are themselves important – for example the ratio between the number of exposed workers and cancer cases may be higher for some of these chemical agents. It is also important to recognise that use patterns change rapidly and for complex reasons. Market forces such as raw material and energy prices, developing technology, as well as regulatory changes can drive increases in use which are not easy to predict. This is the case for example for acrylamide, used for production of polyacrylamide, which is a growing sector. 1.1.2The Carcinogens and Mutagens Directive is outdated The current rules While cancer is a complex disease and some causal factors are difficult to identify, it is clear that cancers caused by work can be prevented by reducing or eliminating the exposures leading to the disease. The EU principles of worker protection from carcinogens are laid out in the over-arching Occupational Safety Health (OSH) Framework Directive 89/391/EEC and those Directives specifically dealing with chemicals risks – notably the Chemical Agents Directive (CAD) and the Carcinogens and Mutagens Directive (CMD). The latter includes a commitment to set Occupational Exposure Limit (OELs) values for all carcinogens or mutagens for which this is possible. Under the OSH framework risks to the safety and health of workers shall be eliminated or reduced to a minimum. In the case of carcinogens, CMD sets a number of concrete provisions. Employers must identify and assess risks to workers associated with exposure to specific carcinogens (and mutagens), and must prevent exposure where risks occur. Substitution to a non- or less-hazardous process or chemical agent is required where this is technically possible. Where carcinogens cannot be substituted they must, so far as is technically possible, be manufactured and used in a closed system to prevent exposure. Where this is not technically possible either, worker exposure must otherwise be reduced to as low a level as is technically possible. This is the so-called minimisation obligation under Article 5 of the CMD. This is a more strict standard than for other hazardous chemicals, where the duty to control risks is always qualified by an assessment of risk by the employer. CMD provisions apply to any chemical agent which is classified as a 'Category 1' carcinogen (or mutagen) under the EU CLP Regulation, thus to the 1017 substances above mentioned. They also apply – in full – to any chemical agent which would meet the criteria for such classification if it were placed on the EU market, which means that employers have a responsibility to identify occupational carcinogens to which workers may be exposed but which have not already been classified by their suppliers. This is the case for example of the so-called 'process-generated substances' (PGS). These are hazardous 'chemical agents' such as dust, fumes, and gases which may, for example, be generated during the combustion of fuel by diesel engines used for mining, or as by-products during production processes, etc. PGS have the potential to be major sources of occupational exposure to chemical carcinogens – but because they are never 'placed on the market' in the EU they are never subject to the CLP classification system. This can be confusing for employers, workers, and enforcers. It is clear that CMD controls apply to workplace carcinogens – but it may in some cases be unclear whether a 'process generated substance' is hazardous in this way. CMD therefore also includes a list of identified process generated substances in its Annex I. The aim of this list is to clarify for workers, employers, and enforcers whether a given chemical agent, if it has not otherwise been classified according to CLP, is in scope of the CMD controls. Currently, Annex I has 5 entries: 1.Manufacture of auramine. 2.Work involving exposure to polycyclic aromatic hydrocarbons present in coal soot, coal tar or coal pitch. 3.Work involving exposure to dusts, fumes and sprays produced during the roasting and electro-refining of cupro-nickel mattes. 4.Strong acid process in the manufacture of isopropyl alcohol. 5.Work involving exposure to hardwood dusts.

CMD also provides that, in any case, exposure of workers must be kept below 'binding occupational exposure limit values' (OELs). An OEL addresses the inhalation route of exposure, describing a maximum airborne concentration level for a given chemical agent above which workers should not be exposed, on average, during a defined time period. OELs can further be annotated with appropriate indications of additional non-inhalation hazard such as, for example, a 'skin' notation where the dermal route of exposure is scientifically considered to be relevant. OELs are set in Annex III of the CMD for some chemical agents which fall under the scope of the Directive - including some of the PGSs identified in Annex I. Annex III currently includes limit values for occupational exposure for three agents: benzene, vinyl chloride monomer (VCM) and hardwood dusts. As explained above, employers must prevent or minimise exposure to occupational carcinogens where risks occur. The principle of minimisation of the exposure is stated in article 5.3 of the CMD: 'the employer shall ensure that the level of exposure of workers is reduced to as low a level as is technically possible'. CMD OELs do not directly affect in theory the legal standard of control, which is in any case for minimised exposure. In practice, however, the existence of an OEL provides a clear benchmark that enables professionals to 'operationalise' the concept of minimised exposure, thereby allowing them to easily determine the level to which the exposure should at least be reduced. From a more general perspective, OELs promote consistency by defining a 'level playing field' for all users and a common objective for employers, workers and enforcement authorities. This leads to a more efficient system of protection of workers' health. It should be added that for most carcinogens and mutagens substances it is not possible to identify a safe threshold below which the adverse health effects of exposure can be prevented completely. The genotoxic mode of action of a substance entails that extremely low amounts of a substance reaching the appropriate target (deoxyribonucleic acid or DNA) may initiate a tumoral process. Therefore, although for a genotoxic carcinogenic substance the risk cannot be eliminated by setting an OEL, the probability that the effects occur can be lowered by complying with a limit value. In terms of population, it can be said that the percentage of workers affected by a cancer would be lower if the level of exposure is kept lower. This is the reason why the minimisation of the exposure is a basic principle set up in CMD and why OELs for carcinogenic substances are useful to prevent occupational cancer although for most substances (non-threshold substances) there will always be a residual risk that could only be reduced to zero by fully eliminating the presence/use of the substance in the workplace. The CMD includes a general obligation for the employer to reduce the use of a chemical carcinogen by, where technically possible, substituting to a less- or non-hazardous chemical agent or process and, when requested to do so by the relevant authorities, submit the findings of the associated investigations (CMD Article 4). The adoption of an OEL does not replace this obligation. The practical implementation of effective chemical substitution policies can deliver significant benefits in terms of protecting the health and safety of workers. Effective substitution is associated with a number of issues that are not always easy to evaluate in order to facilitate the decision making process. It requires judgment to take account of workers health and safety protection, process performance, the ease and cost of introducing substitutes, environmental considerations and other factors in making a substitution choice. Several approaches to substitution exist ranging from ad-hoc approaches to methods that are defined, structured and documented. Less sophisticated substitution approaches may be more suitable for smaller companies compared to larger better resourced organisations that have a high level of technical expertise. To make substitution happen in practice requires a raised awareness and involvement of all stakeholders. The European Commission recognises the multi-attribute challenges that substitution presents to individual employers and has published guidance to analyse and evaluate the practical implementation of the principle of substitution of hazardous chemicals at the workplace with a view to further enhance the protection of workers health and safety while taking into account the above-mentioned factors. Annex I and III of the CMD are not in line with scientific evidence. Firstly, there is important scientific evidence that the process-generated substance, respirable crystalline silica, is carcinogenic. Secondly, two of the three current OELs defined in Annex III of the CMD, namely on 'work involving exposure to hardwood dust' and vinyl chloride monomer are estimated to be too high to adequately protect workers. Available scientific evidence points also to the need to complete Annex III with OELs for several additional agents. As has been established, over 1000 chemical substances have been given 'harmonised' classification as category 1 carcinogens under the CLP Regulation. Many of these chemical agents are, however, almost certainly no longer used in Europe, having been superseded or otherwise phased out of use – and fewer again will be present as occupational carcinogens today. There are, however, many chemical carcinogens which are known to both be in current use in Europe and which pose a risk to workers. The Commission initiated work to amend or establish OELs for 25 priority chemical agents in 2004. The selection of these agents took into account the views of stakeholders, principally at MS authority level as communicated to the Commission during exchanges of views including at the meetings of the National Experts Working Group on OELs. In addition for the two of the three existing EU OELs (hardwood dust and VCM) the Scientific Committee on Occupational Exposure Limits (SCOEL) had adopted new/revised Recommendations, in 2003 and 2004 respectively that indicated a need to consider the revision of the existing OELs. Among hundreds of carcinogenic substances, these 25 chemical agents are considered as a priority for protection of workers and the choice is quite consistent with subsequent third party priority lists. For example, of the 25 chemical agents, 11 are listed among the 30 highest priority substances in a report published by the Netherlands National Institute for Public Health and the Environment, and 21 were included in a list of 65 candidates for OELs published by European Trade Union Congress in 2015. As shown by a study contracted by the Commission to evaluate impacts of introducing OELs for those 25 chemical agents (later on referred to as the IOM study), at least 20 million EU workers are considered to be potentially exposed to one or several of them. This report deals with 13 chemical agents from the original 25 for which data is available.

For the second group of 12 chemical agents, further information gathering and consideration is necessary. In the course of the preparatory work, the Commission considered also the possibility to extend the scope of CMD to apply also to chemical agents which are toxic for reproduction. However, as set out in more detail in annexes 1 and 2 (sections 8.4.3, 9.1, and 9.2.2-3) several policy and technical factors, including the already-adequate scope of the CAD, resulted in a conclusion that there is no need for further action at this time. The first 13 chemical agents and their key characteristics are presented in the Table 1 below. Table 1. Sectors, types of cancer caused and estimated exposure levels for 13 chemical agents under consideration Chemical agents, including CAS numbers where relevant Classification Relevant sectors Types of cancer caused/other illnesses No. of exposed workers CLP IARC 1,2 Epoxypropane 75-56-9 1B 2B Chemical manufacture; synthetic lubricants, oil field drilling chemicals; polyurethane systems. Lymphopoietic cancer, haematopoietic cancer, increased leukaemia risk 485-1,500 1,3 Butadiene 106-99-0 1A 1 Manufacture of refined petroleum products, manufacture of rubber products Lymphohaema-topoietic cancer 27,600 2 Nitropropane 79-46-9 1B 2B Manufacture of basic chemicals, manufacture of aircraft and spacecraft (downstream use) Liver tumours 51,400 Acrylamide 79-06-1 1B 2A Manufacture of chemicals and chemical products, education, research and development, other business activities, health and social work, public administration and defence. Pancreatic cancer 54,100 Bromoethylene 593-60-2 1B 2A Chemicals and allied production; rubber and plastic production; leather and leather production; fabricated metal production for wholesale trade Liver cancer n/a Chromium (VI) compounds 1B 1 Production and use of chromium-containing pigments, paints and metal (conversion) coatings. In terms of downstream use, chromate compounds, including barium chromate, zinc chromate, and calcium chromate, may be used as basic primers and top coats in the aerospace sector. Lung cancer and sinonasal cancer 916,000 Ethylene Oxide 75-21-8 1B 1 Extraction of crude petroleum and natural gas; service activities incidental to oil and gas extraction; Manufacture of food products, textiles, chemicals, chemical products, medical, precision and optical instruments, watches, clocks; Hospital and Industrial sterilization; R&D; Public Administration and Defence; Education; Health and Social Work Leukaemia 15,600 Hardwood dust n/a 1 Wood working industry, furniture manufacture sectors and construction. Sinonasal and nasopharyngeal cancers 3, 333,000 Hydrazine 302-01-2 1B 2B Chemical blowing agents; agricultural pesticides; water treatment Lung and colorectal cancer 2,124,000 o-Toluidine 95-53-4 1B 1 Manufacture of chemicals, chemical products and man-made fibres; Manufacture of rubber products; Research and development; Public administration and defence; education; health and social work. Bladder cancer 5,500 Respirable Crystalline Silica

(RCS) n/a 1 Mining, glass manufacturing, construction and electricity, gas, steam and hot water supply industries. Lung cancer, silicosis 5,300,000 Refractory Ceramic Fibres

(RCF) 1B 2B Manufacturing (fibre production, finishing, installation, removal, assembly operations, mixing/forming) Adverse respiratory effects, skin and eye irritation; possibly lung cancers 10,000 Vinyl Chloride Monomer

(VCM) 75-01-4 1A 1 Manufacture of chemicals and chemical products (VCM and PVC production) Angiosarcoma, hepatocellular carcinomas 15,000 Adoption of the proposal to review Annexes I and III of the CMD with regard to a first batch of carcinogens is envisaged for the first semester of 2016 in the Commission Work Programme. Preparatory work has been going on since 2004, and representatives of Member States authorities, employers' and workers' representative bodies within the framework of the tri-partite Advisory Committee on Safety and Health (ACSH) strongly anticipate a Commission proposal. In its Resolution of 25 November 2015 on the EU Strategic Framework on Health and Safety at Work 2014-2020, the European Parliament 'firmly reiterates its call on the Commission to present a proposal for a revision of Directive 2004/37/EC on the basis of scientific evidence adding more binding occupational exposure limit values where necessary'. 1.1.3Inadequate OELs at MS level have negative consequences for workers and businesses across the EU Under the CMD, Member States may adopt a national limit value that is lower (i.e. more stringent) than the EU value. They can also adopt OELs for chemical agents for which it has not been done at EU level. This is consistent with the ultimate objective of the Directive, which is to minimise the level of exposure, as it allows for further advances to take place at Member State's level in light of country-specific and industry-specific developments. One or more Member States have indeed set limit values for all of the agents covered in this IA. For example, most Member States have set limits for ethylene oxide and acrylamide. Less than half have done so for bromoethylene or o-toluidine. In the absence of EU OELs, national scientific committees and/or other national bodies need to independently evaluate each carcinogen leading to a repetition of identical tasks in several Member States. While the possibility to set national OELs is in line with the CMD provisions, in practice, where national OELs exist they vary considerably in some cases, leading to significantly different levels of protection.For example for 1,3 butadiene, the values range from 4.5 to 100 mg/m3.For ethylene oxide, values range from 0.84 to 90 mg/m3. A comprehensive overview of the national OELs for each of the chemical agents covered in this report is provided in Annex 9 and a summary overview table can be found in Annex 6. The lack of national OELs for some chemical agents, and the high levels of others, not only leads to inadequate protection for EU workers but can also have negative consequences for the internal market, because businesses located in Member States with less stringent levels (i.e. with absent or higher OELs) would benefit from an undue competitive advantage. For example, 1,2- epoxypropane producers in FR and RO have to comply with exposure limits 10 times higher (i.e. less constraining) than in other producing countries, such as DE, ES and NL (50 mg/m3 vs 5 mg/m3). Even if the minimisation obligation applies to all employers in Europe, these undue competitive advantages would continue to exist in the absence of an EU-wide OEL, because both employers and surveillance authorities would need to rely on their own judgement on what is "technically possible". Divergence in national OELs may be partially due to differences in the methodology used for the scientific evaluation of a carcinogen by the respective national limit setting committees. More recently established national OELs may be different (for example more stringent) than those set earlier as a result of improved scientific understanding or availability of data. Further, specific production process(es) used in one Member State may allow for lower OELs to be set compared to use of alternative production process (for example) in another Member State. Where Member States have, in the absence of EU OELs, set national OELs that vary from each other this has the potential to create uncertainty on what is expected of employers in terms of risk management. This may be perceived as inefficiency of the system, in particular by employers that operate in more than one Member State. EU-level OELs do not intend to completely eliminate the variation in national OELs but rather ensure that all Member States introduce a minimum level of protection which is considered appropriate in light of scientific knowledge and the state of technological development. Even if Member States retain the possibility to adopt stricter levels, EU OELs significantly reduce the scope of variation by introducing an upper limit for acceptable exposure levels. As explained earlier, employers have the obligation to achieve exposure levels as low as technically possible to be compliant with the minimisation principle under the CMD. What is technically possible, however, may be different for the same chemical agent, depending for example on the sector of the industry and the specific type of use of the chemical agents. Substances such as RCS, for example, can occur in very diverse workplace situations and therefore the possibilities to control exposures will differ. Without an EU-wide OEL, employers who would like to be sure to comply with the legislation ("minimisation to as low a level as technically possible") would need to embark on an extensive research into different practices existing across EU Member States and in different types of industries to arrive at an understanding of what might be the appropriate and feasible exposure limit review for their type of business. In that sense an EU-wide OEL, based on a generally accepted methodology and validated through tripartite discussions as a common denominator should be feasible for all uses of the carcinogen, which simplifies compliance for business. Similarly, for workers, in the absence of an OEL or where national OELs are too high, it would be challenging to collect evidence that exposure levels in a specific factory are higher than what should be possible. An OEL facilitates therefore discussions between employers and workers on this matter by setting an agreed benchmark for compliance. 1.2Who is affected by the problem and how?

As mentioned above, the total number of deaths attributed to occupational cancer in the EU is reported to be 102,500 for 2011. Epidemiological studies indicate that occupational exposures cause 5.3–8.4 per cent of all cancers. However, the rates are not the same for all cancers, for some, such as sinonasal cancer linked to wood dust exposure, work-related cancers are estimated in some countries to account for almost half of all cancers in some countries of this type. In 2012, cancers of the lung, colorectal, breast and stomach were the most common fatal forms of cancer in Europe. The most common cancer sites were cancers of the female breast, followed by colorectal, prostate and lung, which all together represent half of the overall burden of cancer in Europe. According to a UK study based on 2005 data, industries and occupations with high cancer registrations include construction, metal working, personal and household services, mining, land transport, printing/publishing, retail/hotels/restaurants, public administration/ defence, farming and several manufacturing sectors. 56% of occupational cancer registrations in men are attributable to work in the construction industry (mainly mesotheliomas, lung, stomach, bladder and non-melanoma skin cancers). The chemical agents subject to this IA have a direct impact on developing the above mentioned types of cancer and are relevant to the sectors with high rates of cancer registrations. For the workers and their families, cancer results not only in substantial quality of life losses, but also in direct health care costs and indirect loss of present and future earnings (net of taxes) both for the person affected and for the carers, in addition to the administration costs related to the time and expenses incurred claiming for benefits, waiting for treatment etc. Occupational cancer also impacts the economy at large, reducing labour supply (either temporarily or permanently) not only by the person affected but also by his/her carers, decreasing labour productivity, and increasing the burden on public finances through avoidable public expenditure on health care, disability benefits, pensions for early retirement, and other benefits. As an illustration, according to a study published in November 2013, around 8,000-8,500 deaths per year due to occupational cancer are estimated to occur in Italy alone, corresponding to 170,000 Potential Years of Life Lost and more than 16,000 Potential Years of Working Life Lost, leading to around 360 mln euros in indirect economic loss. To these add the direct health care costs of occupational cancer in Italy, estimated at around 456 mln euros. Another study conducted in Spain estimated direct costs for diagnosis and treatment of occupational bladder and lung cancer to be about 88 mln euros. This did not cover indirect costs such as costs of absences, production loss, loss of income and impairment. For Member States, occupational cancer leads to increased healthcare costs related to treatment and rehabilitation, as well as to higher expenditure on associated inactivity and early retirement and compensation for recognised occupational diseases. It also increases administrative and legal costs related to the handling of requests for benefits and dealing with recognized cases. Foregone earnings and income as a result of ill health also lead to tax revenue losses for social security systems. For business, occupational cancer also implies costs in terms of productivity, as they lose skilled workers and need to spend more in job search and training of new workers. Given the often long time lag between exposure and illness and the probability of workers changing employers during their work career, the risk of future productivity losses is unlikely to be internalised by companies, and therefore not factored into present businesses decisions. Depending on the relative strength of collective bargaining, some of the affected sectors/companies may also need to pay higher wages to compensate for the higher occupational risk, which would affect their competitiveness vis-à-vis otherwise similar companies which are confronted with less organised labour. Finally, businesses located in Member States with where national OELs are relatively stringent may be at a competitive disadvantage vis-à-vis enterprises in Member States with no or higher OELs. An indicative estimate of the direct and indirect health costs related to the agents covered in this impact assessment can be found in the following section. 1.3How would the problem evolve? Estimations on the numbers of deaths and health costs between 2010 and 2069 have been made in case no action is taken (baseline scenario) regarding the chemical agents subject to this IA. , These are summarized in the Table 2 below. Table 2. Estimated cancer deaths, cancer cases and related health costs in case no action is taken (baseline scenario), 2010-2069 Chemical agent Expected no. of deaths 2010 – 2069 Expected no. of Cancer cases 2010 – 2069 estimated health costs 2010 – 2069 1,2 Epoxypropane - - €2.5 mln - 10.7 mln 1,3 Butadiene 100 160 €41 mln - 167 mln 2 Nitropropane Not assessed Not assessed n/a Acrylamide 230 250 €156 mln - 326 mln Bromoethylene - 0 n/a Chromium (VI) compounds 17,000 24,000 €8.6 - 27 bln Ethylene oxide 0 0 None Hardwood dust 5,000 12,000 €3 bln - 16 bln Hydrazine 710 2,500 €0.5 bln - 3 bln o-Toluidine 150 490 €86 mln - 696 mln Refractory ceramic fibres (RCF) 50 60 €33 mln -83 mln Respirable crystalline silica (RCS) 440,000 470,000 €192 bln - 493 bln Vinyl chloride monomer (VCM) 300 300 €194 mln - 472 mln It is anticipated that there would be around 440,000 deaths from exposure to respirable crystalline silica (RCS) and a similar number of new cancer cases. The related health costs would range between 192 bln and 493 bln euro. The social partners, representing 18 European industry sectors signed in 2006 a European Multi-Sectoral Social Dialogue Agreement on Workers' Health Protection through the Good handling and Use of Crystalline Silica and its products (NEPSi). The impact of NEPSi on the reduction of cancer cases and deaths in those sectors implementing the Agreement is under evaluation – results are not available to inform this assessment. Exposure to hard wood dust, which potentially concern 3 mln workers in Europe, is expected to cause 12,000 cases of cancers and 5000 deaths over the next 60 years, with estimated health costs between 3 bln and 16 bln euro. On the other hand, relatively smaller effects are expected from exposure to o-Toluidine: 490 new cancer cases and 150 deaths before 2050. These estimates, derived from the IOM study, are based on the assumption that for many of the concerned chemical agents, past trends of declining exposures will continue. These trends were related to technological progress, changes in work organisation and relative weight of different industrial sectors but also to past legislative developments. It is difficult to predict whether such trends would indeed continue in the absence of further EU action. The 60-year time frame of the assessment poses also the challenge of anticipating future industrial developments whereby uses of the chemical agents under consideration could either decline or grow and where potential new uses could lead to new workplace risks. Another important assumption in the study is that for some of the chemical agents the industry has already achieved relatively low exposure levels, sometimes lower than the proposed OELs. As this varies across the chemical agents, more information will be provided in Section 5 of the report about the specific situation for each of the carcinogens as well as on the sources of the information. Generally speaking, however, even where it is estimated that current exposure levels are already very low, lack of EU OELs or too high EU OELs mean that it will still not be clear for employers and workers and enforcing authorities whether the achieved exposure level is satisfactory from the point of view of compliance with the minimisation principle of the CMD. Table 1 in Annex 6 presents the current limit values in the EU Member States. The information regarding existing national OELs was gathered through an extensive 2014 survey. Lack of EU action will most likely mean that there will remain Member States where no limit values exist for certain carcinogens or where those values are too high to ensure adequate worker protection. A minimum standard across the EU will not be ensured, to the detriment of both worker protection and the internal market.

2Why should the EU act? 2.1Does the EU have the right to act? The Treaty on the Functioning of the EU (TFEU) in Article 153 empowers the EU to support and complement the activities of the Member States as regards the protection of workers' health and safety, and to adopt by means of Directives, minimum requirements for gradual implementation. On this basis the CMD provides a specific basis for action. For more details regarding the full legislative framework see Annex 7. 2.2Why is EU action needed and what is its added value? Limit values under the CMD, which according to the Directive are regarded as an important component of the general arrangements for the protection of workers, should be established for all those carcinogens and mutagens for which the available information, including scientific and technical data, make this possible, and must also be revised whenever this becomes necessary in the light of more recent scientific data. One of the most important advantages of setting OELs is that they provide robust and objective benchmarks to help demonstrate compliance with the current legal framework. They establish ceiling exposure values above which exposure should not occur (in a weighted average over one working day). This enables the employer, based on the risk minimisation approach, to implement the OSH risk management measures that reflect the needs of their sector. In some cases it may be possible to achieve exposure reductions well below the level at which the OEL is set, for other sectors this may be less achievable. However, in all cases the resultant exposure should not exceed the OEL and over time, with developments in technology, there should be a trend for overall exposures to reduce to a minimum. The concept and use of OELs is well understood by all the main stakeholder groups. As such they are a common reference point that can be used as a practical tool by employers, workers and enforcers to assess compliance with the general CMD requirements. They can also be used by process plant and machinery designers when planning new, or considering alterations, to existing process plant. OELs therefore make an effective contribution to the practical implementation of the requirements in the legislation for prevention and reduction of exposure to chemical carcinogens. The continued support from stakeholders for OELs was restated during a meeting on 18th November 2015 of members of the tri-partite Working Party on Chemicals to discuss those aspects of the overall evaluation of the EU OSH acquis that are relevant to chemicals risk management. During this meeting the Members States', employers' and workers' representatives agreed that 'OELs are an important tool for chemical risk management at the workplace and there is a need to adopt values for more substances based on duly justified reasoning. For example an early focus should be on carcinogenic, mutagenic and reprotoxic substances'. In addition, during 2015, Commission services asked the Senior Labour Inspectors Committee, via its working group on chemicals (CHEMEX), to assess the utility of OELs from an enforcer's perspective, including the question 'Are OELs considered (by labour inspectors) to be critical/not important when carrying out inspections'? All respondents considered OELs to be essential and particularly valuable when carrying out inspections and enforcement. It can be concluded that OELs provide an added value as a common, and well understood, objective measure to better facilitate the practical implementation of the general requirements for prevention and exposure reduction. There is a clear support for their continued use from key stakeholders. For some sectors it may be that a given OEL is the best that can be achieved but in others sectors, or for specific uses, it is possible that much better exposure values can and should be achieved – this is taken into account in the minimum standard nature of OSH in general and OEL setting in particular. Data presented in this report indicate wide differences in the Member States regarding the setting of OELs for the identified carcinogenic chemical agents. Some Member States have already established legally enforceable OELs which are at the same value or lower than the value recommended by the Advisory Committee on Safety and Health at Work (ACSH). This demonstrates that unilateral national action is possible as regards setting an OEL for these chemical agents. However, as shown in Table 2 in Annex 6 there are also many cases where Member States have no OELs or ones which are less protective of worker health than the value recommended by ACSH. Under such circumstances a minimum basis of protection against the risks arising from workers' exposure to these carcinogens cannot be ensured for all EU workers in all Member States by an action taken by Member States alone. Table 4 in Annex 6 provides an overview of the proportion of potentially exposed workers who lack such legal protection and this factor is taken into account in the analysis of impacts of introducing an OEL for each of the considered carcinogens. It follows that an action taken at the European Union level to achieve this objective appears to be necessary and in line with Article 5(3) of the Treaty on European Union. Absent or too high OELs also provide a potential incentive for companies to locate their production facilities in Member States with the lower standards. This distortion of the internal market may be reduced by establishing clear minimum standard OELs at EU level. Amending the CMD can only be done by action at EU level and after a two-stage consultation of the social partners (management and labour) in accordance with Article 154 TFEU. 2.3What are the EU instruments relevant to dealing with carcinogens at the workplace? From the mid-1960s the European Union developed a legal framework addressing control of chemical risks under both social policy and internal market areas of EU policy. This framework places duties on authorities, businesses, and individuals to manage risks associated with the sale and use of chemicals. By the late 1990s a comprehensive and sophisticated system of interdependent Directives and Regulations had been established to protect humans and the environment from hazardous chemicals. To protect workers from chemical carcinogens both employers and authorities must apply the same three stages necessary for all risk control: i) identify what harm might be caused ('hazard identification'); ii) identify the likelihood and severity of the harm actually being caused ('risk assessment'); and iii) where necessary put in place measures to mitigate harm ('risk management'). Directives setting out an agreed system for chemical hazard identification (i) were developed – augmented where necessary by additional provisions in topic specific Directives. The outcomes of this hazard identification are then applied in Directives and Regulations focussed on the key areas of chemical risk – in the case of worker protection from chemical carcinogens these were laid down in the CMD.

A subsequent process of chemicals risk assessment (ii) by European authorities built on this to identify measures needed to protect the environment or humans as consumers, members of the public, or workers. This risk assessment resulted in recommendations for regulatory risk management (iii) from a suite of available options. The key EU risk management outcomes for the protection of workers from chemical carcinogens were CMD OELs (under social policy) and/or 'restrictions' on the placing on the market and/or use of certain chemicals (principally under internal market policy). The REACH Regulation, which was adopted in 2006, consolidated and evolved several parts of the EU chemical risk control system – principally those relating to risk assessment and internal market risk management measures. REACH further augmented these changes by establishing a new 'authorisation' risk management option. Both CMD and the REACH Regulation therefore protect workers from risks associated with exposure to carcinogens. The two legal acts are complementary. CMD is a more targeted measure intended for protection of those employed by others from occupational carcinogens, while REACH applies more broadly to protect the health of humans and also the environment and also offers mechanisms which can be used to target risk controls to protect workers. A chemical carcinogen may appear on both CMD Annex III and REACH Annex XIV without systematic conflict. The OSH ʻFramework Directiveʼ – under which CMD is made – applies without prejudice to existing or future national and EU provisions which are more favourable to protection of the safety and health of workers at workʼ. REACH in turn applies without prejudice to worker protection legislation, including the CMD. REACH is designed to integrate with the rest of the EU legal framework with which it co-exists – including CMD. As a key example of this, REACH does not include a mechanism to set EU OELs for carcinogens – these are properly established under social policy Directives where the social partners and co-legislators play a more prominent role. REACH generates information on chemical agents which are 'placed on the market' (above one tonne per year) and used in the EU. It also includes the 'authorisation' and 'restriction' mechanisms – both of which may, in some cases, be available as risk management options for occupational carcinogens. Carcinogens are one of several types of hazardous substance which can be added to Annex XIV to REACH, meaning they become subject to 'authorisation'. Once a given 'sunset' date is passed, these substances may only be placed on the EU market and/or used when an authorisation has been applied for and granted by the European Commission, taking into account the advice of the European Chemicals Agency, that either the risks associated with use are adequately controlled or that, if this is not possible, ongoing use of the substance is socioeconomically justified and there are no suitable alternatives. The Commission may make exemptions from REACH authorisation under certain conditions, including where specific Union legislation already exists which imposes minimum requirements relating to the protection of human health for the use of a substance. So far no exemption has been made for substances used at the workplace. Restrictions set conditions under which placing on the market and/or use of a chemical substance (or mixture or article containing it) may be permitted. These range from a near-total ban through to substance concentration specifications or established risk management measures to be observed by 'downstream users'. Restrictions are a flexible, targeted chemicals risk management option carried forward from the pre-REACH EU chemicals framework. Restrictions and OELs have long co-existed as different possible outcomes from the EU chemicals risk assessment process – indeed four of the five existing binding OEL values established at EU level under the OSH Directives (asbestos, benzene, lead, and vinyl chloride) are already partnered with REACH restrictions. As a result of their flexibility it is, conceptually, possible to establish an 'OEL-like' exposure limit via a REACH restriction – in 2013 the Netherlands REACH authorities proposed such a measure. In response, in November 2013, the lead Commission services for the REACH Regulation wrote to the European Chemicals Agency (ECHA), with the common Commission services' view that 'any proposal for adoption of an exposure limit value at the occupational premises should not be implemented under REACH and should only be set under the appropriate workers' protection legislation, which is specifically designed to establish and implement OELs'. In the same month the ACSH adopted an Opinion formally expressing the views of the Member States, employers, and workers' representatives that the OSH acquis is the more appropriate way to establish exposure limits for worker protection to chemicals. Clear synergies between REACH and worker protection legislation can be seen – including in particular that REACH 'registration' should result in more information being available to inform chemicals risks assessment. REACH 'authorisation' also both establishes, for a given chemical agent, a clear and renewed pressure to substitute for safer alternatives, and can drive applicants to improve their worker protection risk assessments and controls. At the same time, adoption of EU OELs can be useful inputs for REACH risk characterisation. The REACH status (authorisation and/or restriction) of the 13 chemical agents under consideration in this report is as follows: Out of scope of REACH: hardwood dust, process-generated RCS. On the Candidate List of 'substances of very high concern' potentially to be made subject to authorisation: acrylamide, hydrazine, RCF, o-toluidine. Currently subject to authorisation: some chromium VI compounds. Currently subject to restriction: acrylamide, restricted above a certain concentration for the placing on the market or use in grouting (REACH Annex XVII Entry 60); chromium (VI) compounds, restricted above a certain concentration for the placing on the market or use in cement, with certain exemption (REACH Annex XVII Entry 47); vinyl chloride, restricted (REACH Annex XVII Entry 2) for use as an aerosol propellant. All of the chemical agents in question, where placed on the market, are restricted for supply to the general public (REACH Annex XVII Entries 28 and 29). A more detailed list of REACH status of the concerned chemical agents can be found in Annex 7 (14.2.1). 2.4How does this initiative relate to the envisaged review of the OSH acquis?

The CMD is part of an overall OSH acquis, comprising the Framework Directive 89/391/EEC and 23 individual directives. The Commission is currently finalising an ex-post evaluation of the acquis, covering the period 2007-2012 and 27 Member States. This evaluation consists of a wide assessment of the legislation, including in terms of benefits, research and new scientific knowledge. It also falls under the remit of the Commission's Regulatory Fitness and Performance Programme (REFIT), which aims to ensure that the EU regulatory framework is relevant, coherent, effective, efficient, provides EU added value and targets ensuring the avoidance of any unnecessary regulatory burden. The results of the ex-post evaluation may lead to the further assessment of specific issues and potentially impact assessments covering possible initiatives to improve the operation of the regulatory framework. The Commission will be working throughout 2016 on the follow-up of the evaluation as regards collection of any necessary further evidence and justifications for the modernisation of OSH framework with the aim of increasing effectiveness and efficiency, reducing regulatory burden whenever possible without undermining the public interest objectives of the legislation. Within the framework of the overall ex-post evaluation the CMD was, along with the other individual OSH Directives, subject to a specific assessment through an external evaluation study. The conclusions of this study refer mainly to broader issues such as the interface between the CMD and REACH, or the possibility to merge the CMD with the Chemical Agents Directive (CAD). The former is discussed at section 2.3 in this report. As for the latter, no clear conclusions can be drawn as views of stakeholders at national and EU level are quite polarised. There is however consensus on maintaining the material provisions of the two acts. Secondly, concerning specifically OELs, experts discussions conducted in the framework of the evaluation confirmed that these are an important tool for chemical risk management at the workplace. It was indicated that the terminology used to describe different types of OELs (and corresponding procedures) should be aligned and guidance on the practical use of OELs should be developed. The fact that the evaluation did not question the existence of OELs and pointed to the need to revise them and adopt new ones, together with the further evidence and analysis gathered in the framework of the impact assessment, support the conclusion that the two technical annexes of the Directive should be updated. 3What should be achieved? 3.1What are the general policy objectives? What are the more specific objectives? The main general policy objective of this initiative is to ensure and maintain a high level of protection of worker's health and safety in the European Union. The specific objectives are: To ensure up-to-date protection from occupational exposure to chemical carcinogens in the European Union; To increase the effectiveness of the EU framework by updating it on the basis of scientific expertise; To ensure more clarity and create a better level playing field for economic operators. 3.2Are these objectives consistent with other EU policies and with the Charter for fundamental rights? The objectives of the initiative are consistent with the fundamental rights as set out in the EU Charter of Fundamental Rights, in particular article 2 (Right to life) and article 31 (Right to fair and just working conditions which respect his/her health, safety and dignity). Ensuring a safe and healthy work environment for over 217 mln workers in the EU is a strategic goal for the European Commission according to the recent Communication from the Commission on the EU Strategic Framework on Health and Safety at Work 2014 – 2020. One of the main challenges identified in the EU OSH Strategy is to improve the prevention of work-related diseases by tackling existing, new and emerging risks. Improving working conditions and preventing workers from suffering serious accidents and/or occupational diseases and promoting workers’ health throughout their working life, is a key principle in line with the ambition for a Triple A Social Europe rating set by the Juncker Commission. It also has a positive impact on productivity and competitiveness and is essential to promote longer working lives in line with the Europe 2020 strategy’s objectives for smart, sustainable and inclusive growth. The objectives of this initiative are also in line with and complementary to the ILO Convention no. 170, concerning safety in the use of chemicals at work. The Convention, adopted so far by six EU Member States, establishes minimum universal standards on OSH to be observed worldwide. CMD and CAD reflect these standards and go further, establishing more stringent and protective conditions that EU Member States are in a position to implement. They also provide a stronger motive for MS to enact national measures as they are legally bound to do so. ILO 170 is intended to complement and explicitly envisages, inter alia, (Article 13), that 'Employers shall: (a) ensure that workers are not exposed to chemicals to an extent which exceeds exposure limits or other exposure criteria for the evaluation and control of the working environment established by the competent authority, or by a body approved or recognised by the competent authority, in accordance with national or international standards (…)'. 4What are the various options to achieve the objectives? 4.1Complementary measures During discussions in the ACSH the need for further guidance was called for, in particular on:

the minimisation obligation under Article 5 of the CMD Directive; methodologies for the development of OELs for carcinogens; measurement methodologies regarding exposure to hardwood dust, taking account of mixed exposure to both hard- and softwood dust; how to take into account in the cost-benefit analysis the EU Charter of Fundamental Rights, in particular Article 1 (Human dignity), Article 2 (Right to life) and Article 3 (Right to integrity of the person). In the same vein, one of the conclusions of the Social Partners consultation was that there was a need for effective implementation of training and information requirements, which are a key aspect of the prevention policy. Workers called the Commission to set up a strategy to improve coordination and sharing of information at EU level. Employers indicated that there was an added value in the preparation of guidance documents with recommendations on workers protection against carcinogens and mutagens exposure. Most of these actions are ongoing or will be undertaken as complementary measures to this initiative. These are not alternative options to updating the CMD but are rather part of the baseline and will further reinforce potential positive effects of the considered options. Non-binding guidance cannot address the issues identified in the problem definition; only clear listing of chemical agents under the CMD and setting OELs will introduce the legal certainty needed for employers, workers and enforcers with regard to managing the exposure to carcinogenic chemical agents in the workplace. 4.2Discarded options Several other options which could be considered as alternative mechanisms to control and limit exposures to carcinogens in the workplace have been discarded as they were considered disproportionate or less effective in reaching the objectives of this initiative. A. Banning the use of the carcinogenic chemical agents As explained above, for most carcinogens even a very low OEL does not completely eliminate the risk of triggering a cancer. In that sense the risk could only be reduced to zero by eliminating the presence/use of the substance in the workplace. Indeed, substitution is the first option in the hierarchy of risk management measures under the CMD that an employer needs to consider. This means that if it were technically feasible, employers should have already replaced use of the concerned chemical agents with safer alternatives. Wherever substitution is a suitable alternative for use of the 13 chemical agents in question then the CMD already requires this, regardless of the existence or otherwise of an OEL. As this legal standard already establishes that these carcinogens should not be used in the workplace where alternatives are available, establishing a more strict prohibition in the form of a ban would constitute a disproportionate measure with a strong negative impact on businesses. Moreover, in the case of process-generated substances such as hardwood dust or RCS, banning is not only a counterintuitive option but it would also result in operational challenges which could result in closure of otherwise viable and compliant businesses – potentially across whole industry sectors. B. Self-regulation (industry voluntary agreements) The NEPSi Agreement, including the practical guidelines to risk management, contributes to the overall protection of workers health in the affected employment sectors. NEPSi was established in part as a self-regulatory alternative to measures reflected in the current proposal. Stakeholders implementing NEPSi have therefore indicated concern that the current proposal may pose a challenge to industry participation in self-regulation initiatives in the future. However, in addition to any recommendations of the NEPSi evaluation report, which shall be issued by the European Commission in Q2 2016, it should be noted that the effectiveness of this self-regulation initiative is hindered by the following: it does not apply to all sectors where exposure to RCS occurs, in particular not to the construction sector, which, has the largest burden of occupational cancer ; it is not binding and cannot therefore be enforced by national authorities. Consequently, the NEPSi agreement and any similar future initiatives would be an important complementary measure but could not be as effective as OELs in setting and enforcing the same level of minimum protection across the EU and in all sectors of industry.

C. Sector or industry specific OELs It could be envisaged that, where justified, sector, industry or use specific OELs could be set or derogations could be allowed for specific sectors, industries or uses for a defined time-period or subject to specific conditions. As a result of such an approach we would have different minimum standards of worker protection across the EU for the same type of work and the same chemical agent, which is not permissible in the context of binding OELs as established under the CMD. Further the process by which the tripartite ACSH agree their Opinion on appropriate EU OELs under CMD includes extensive consideration of socioeconomic and technical feasibility factors – including sector, industry and use-specific concerns. As a result these concerns are already reflected in the value supported by the ACSH and taken forward in the current proposal. This option, therefore, had to be discarded as the current legal framework does not provide a legal basis for such provisions. Where an EU OEL is established, Member States and employers retain the right to implement more protective values than the proposed minimum standards, also taking into account the general CMD duty to substitute, eliminate or otherwise minimise exposures. D. Providing industry-specific scientific information without setting OELs Another option could be for the Commission to collect and provide industry-specific scientific information to support employers in complying with the CMD obligations. Apart from the practical difficulties related to collection of relevant data for the multitude of sectors concerned, it is considered that this option would not be effective in achieving the objectives of the initiative for the following reasons: the way the information is used by employers would not be enforceable by surveillance authorities; such an option would not fit with the overarching legal framework of the CMD, which provides for general exposure management requirements to be specifically supplemented by EU-wide minimum standard OELs: in some cases, extensive industry- and chemical agent- specific information and guidance already exists and should be taken into account by employers during risk assessments – but this has not demonstrably addressed harmful exposures at EU level as identified in the IOM study. E. Market-based instruments Market-based instruments such as subsidies, tax breaks or reductions of social insurance contributions, are sometimes used by Member States to incentivise business to comply with health and safety rules. Such instruments can effectively support compliance with exposure limits. However, to be applied effectively in this context, such mechanisms would need to be linked (directly or indirectly) with the actual levels of exposure at firm level. These are generally not observed (as it also emerges from the analysis presented in Section 5 below), and improved data collection would likely result in being extremely costly and cumbersome. It should also be noted that these instruments remain in the hands of Member States and the extent to which they are used vary significantly. This option alone would therefore not be effective in ensuring the same level of minimum protection across the EU. F. Regulation under other EU instruments (REACH) As detailed in section 2.3, other EU regulatory options exist for managing risks to workers associated with exposure to some chemical carcinogens – most notably REACH 'authorisation' or 'restrictions'. As previously indicated, REACH is a relevant regulatory instrument for protection of workers from hazardous chemicals, including in particular chemical carcinogens. However, in the case of the present proposal CMD is the more appropriate regulatory instrument for the following reasons: Hardwood dust and respirable crystalline silica, which are process generated in the workplace, are outside scope of REACH. CMD covers worker exposure to carcinogenic agents released by any work activity, whether produced intentionally or not, and whether available on the market or not.

REACH sets directly-acting harmonised standards from which Member States cannot deviate except in exceptional (and possibly time limited) circumstances. CMD sets 'minimum standards' which allow Member States to maintain or implement more protective measures – which is appropriate in the interest of worker protection. OELs are an example of this. REACH places the onus of risk assessment on the supply chain, and is 'chemical agent specific'. CMD risk assessment is more likely to be workplace- and process-specific and should take into account aggregated exposure of workers to all occupational carcinogens. From the point of view of preventing exposure to carcinogens CMD offers therefore a more holistic approach to workplace risks. REACH authorisation is a risk management measure covering all risks arising from given intrinsic properties of a substance, including the risks for workers. In the absence of explicit derogations it applies to all placing on the market for a use and use of subject chemical substances and so is a less targeted measure than a CMD OEL, which applies in the long-established OSH regulatory context and relates specifically to the workplace. REACH authorisation can complement CMD, in particular by strengthening the substitution principle and its full implementation, as well as driving toward additional risk management. It should also be noted that, as it is based on social policy provisions of the TFEU, CMD reflects the role foreseen there for the social partners in establishing standards for worker protection. OELs are an important part of CMD and of the wider occupational safety and health approach to managing chemical risks. REACH, on the other hand, is not intended to set OELs. The concerned Commission services, Member States, and the social partners have all expressed their view that OSH Directives are the appropriate EU legislative framework to establish limit values for the protection of workers. A comparison table summarising key characteristics of the CMD and REACH approaches to risk assessment and control of occupational carcinogens can be found in Annex 7 (14.2.3). From the point of view of enterprises, it is important to note that compliance costs associated with workplace legislation (such as protective measures and equipment) directly contribute to better risk management, and that administrative costs triggered by workplace legislation are relatively small. In 2015 an ongoing collaboration of 40 European sectoral and cross-sectoral associations, nine national associations, and several corporations, all with interests in manufacturing, importing, and using chemical substances began actively engagement with the Commission services in order to ensure more efficient risk management measures that can combine OSH OELs in addition to REACH risk management options as the more proportionate measure where chemical risks identified during risk assessment relate principally to worker protection. The Commission services concerned are working with this 'Cross Industry Initiative' and to discuss the relevance of their proposals in the operation of EU chemicals policies regarding worker protection. Targeted CMD OELs are appropriate for protecting workers from occupational exposure to the chemical carcinogens subject to the present proposal. The synergies in the relationship between CMD and REACH provide further opportunities for regulatory measures as appropriate. It should be noted that this impact assessment does not aim to assess whether REACH risk management measures are proportionate and effective. The present proposal does not preclude relevant REACH measures from being proposed where this is justified, and in some cases a combination of CMD OELs and other regulatory (or non-regulatory) risk management measures, including under REACH, may be justified. 4.3Options retained for consideration Identification process Reviewing or setting new OELs under CMD follows a specific procedure involving seeking scientific advice and consulting the ACSH. Article 16 of the CMD, which states that scientific/technical data should be included in the basis on which OELs are set, does not determine which scientific body should be the source of such data. In practice, the Commission and the ACSH principally seek the advice of SCOEL, but can also refer to scientific information sourced elsewhere as long as the data is adequately robust and is in the public domain (e.g. IARC monographs or conclusions of national OEL-setting science committees). Figure 3. Simple representation of EU OEL setting procedure The SCOEL is an independent scientific committee, established by a Commission Decision and composed of 21 experts appointed in their personal capacity as leading experts in fields relevant for protection of workers from risks associated with workplace exposure to hazardous chemicals. SCOEL carry out scientific evaluation at EU level and as a result publish a single evaluation document (previously a "SCOEL SUM", more recently a Recommendation or Opinion) for hazardous chemicals where there is priority concern for worker protection. SCOEL procedures for the adoption of a Recommendation by SCOEL include an external consultation with identified contact points in all of the Member States; this ensures scrutiny of the scientific evidence and methodological approach used by SCOEL and ensures transparency of the process. The Advisory Committee on safety and health at work (ACSH) is a tripartite body set up in 2003 by a Council Decision (2003/C 218/01) to streamline the consultation process in the field of occupational safety and health and rationalise the bodies created in this area by previous Council Decisions. The Committee's remit is to assist the European Commission in the preparation, implementation and evaluation of activities in the fields of safety and health at work. The Committee is composed of three full members per Member State, representing national governments, trade unions and employers' organisations, also organised in three separate interest groups within the Committee. The ACSH is supported by working parties of experts on given topics of interest – also tripartite but with smaller selected expert membership. The Working Party on Chemicals (WPC) serves the ACSH according to a mandate agreed by the plenary Committee, and in particular undertakes detailed technical and policy negotiation of EU limit values as well as broader chemicals policy support for the ACSH and Commission. The ACSH discusses adopted SCOEL Recommendations (and/or other appropriate scientific evidence) and adopts a formal Opinion on what, in practice, is considered to be achievable by employers whilst ensuring that workers' health is adequately protected. In the case of the carcinogens considered in this report, SCOEL concluded recommendations on all but two., Table 1 in Annex 5 sets out the status of relevant adopted SCOEL recommendations.

While the aim of ensuring the protection of the health of workers is maintained, binding OELs set under CMD are usually based on factors beyond the independent scientific advice, because they must also reflect other factors such as 'feasibility' and taking into account the views of the social partners. Amending the CMD can therefore only be proposed after a two-stage consultation of the social partners (management and labour) in accordance with Article 154 TFEU. This consultation took place in 2004 and 2007 and addressed the following elements: the possibility of extending the scope of the Directive to include reprotoxic substances, the revision of existing OELs and the establishment of new ones for more substances, need to develop a EU-wide methodology for carcinogens and mutagens OELs setting, and the need to improve the training and information requirements for workers. Between 2009 and 2011 an external contractor evaluated, on behalf of the Commission, health, socio-economic and environmental aspects of the proposed amendments to CMD in order to inform impact assessment according to the regulatory procedures in place at that time. Between 2010 and 2013 the Working Party on Chemicals of the ACSH undertook detailed discussion on these issues in an increased work schedule, aiming to secure stakeholder engagement and agreement on values to propose for ACSH adoption. The consultation process resulted, amongst others, in the support of the following: to bring a limited number of so-called process generated substances (PGSs) under the scope of the Directive by including them in Annex I, to revise existing OELs in Annex III in the light of most recent scientific data, and to add additional OELs for a limited number of substances in Annex III where available information, including scientific and technical data supports this. The ACSH, in an Opinion adopted in December 2012, and in supplementary Opinions adopted in May 2013 and November 2013, confirmed (with a few dissenting opinions) the OELs initially developed by the SCOEL (where relevant) and approved inclusion of these into CMD. The three adopted ACSH Opinions include, where necessary, specific comments from the interest groups (the social partners and Member States) which broadly reflect the principal points maintained by each interest group throughout discussions of the Working Party on Chemicals (WPC). In many cases there are no specific comments as there was a consensus view of the three interest groups. As such, the final ACSH Opinions should be taken as representative of the views of stakeholder groups represented. In addition, the amendment of the CMD is routinely discussed at meetings of the tri-partite WPC. Following adoption of the three ACSH Opinions this discussion has primarily focussed on the state of play and timing of the next steps of the planned amendment of the Directive. They have not expressed additional views on the content of the adopted opinions. In principle, revision of the Annexes should be conducted on regular basis, as soon as new scientific data is available and the technical feasibility of introducing new or revised OELs has been established. The duration of the current preparatory work reflects that it is a first preparation of a proposal for a relatively large number of new/revised limit values. Appropriate modes of cooperation between all the concerned actors as well as working methods within the advisory bodies had to be developed. It is expected that the procedures and working methods described above and established in the course of the current exercise will give a good basis to complete preparatory steps leading to eventual future revisions of the CMD in a much shorter time. The fact that a second proposal for the introduction of OELs for additional chemical agents may be presented in the near future should be seen precisely as a step of a continuous, regular process of updating of the CMD, where necessary. Identified options The Table 3 below summarises options for different OELs for each of the 13 chemical agents. A baseline scenario of no further EU action is Option 1 for each chemical agent represented in this initiative. As explained above, for each of the chemical agents scientific and technical data has been considered and discussions at the ACSH have taken place, resulting in values to be proposed into co-decision as an OEL. Directly adopting the values agreed by the ACSH forms Option 2 for each chemical agent. Where appropriate and depending on specific characteristics of the agents, flanking options to either propose a OEL which, compared with the ACSH value, is lower (theoretically more protective of worker health) or higher (theoretically less protective of worker health) are also presented as Option 3 and/or 4 respectively for each chemical agent. These flanking values are drawn from the IOM Study, for which they were established by preference: i) from a SCOEL Recommendation if available; ii) as values reflecting available data (for example taking account of existing national OELs); or iii) on the basis of recommendations from the contractor (for example taking into account non-EU OELs). Where available data do not support setting a lower or higher OEL than the ACSH value, these options are discounted. Further detailed information regarding the source of these additional options may be found in the relevant IOM Study reports for each of the chemical agents in question. In the case of RCS, options 2, 3 and 4 include the possibility of inclusion in the Annex I of CMD along with OEL proposals under Annex III. In addition, for each chemical agent where SCOEL has identified significant risk of adverse systemic affects resulting from dermal uptake a 'skin notation' ('sk.') is indicated alongside the numerical OEL.

Table 3. Options matrix Name and CAS no. of the chemical agent where relevant Option 1 (baseline - existing OEL) Option 2 (ACSH opinion) (ppm – parts per mln, mg/m3 or f/ml - fibres per ml) Option 3 (more stringent) (ppm – parts per mln, mg/m3 or f/ml - fibres per ml) Option 4 (less stringent) (ppm – parts per mln, mg/m3 or f/ml - fibres per ml) 1,2 Epoxypropane (propylene oxide) 75-56-9 none 1 ppm (2.4 mg/m3) n/a 5 ppm (12 mg/m3) 1,3 Butadiene 106-99-0 none 1 ppm (2.2 mg/m3) 0.5 ppm (1.1 mg/m3) 5 ppm (11 mg/m3) 2-Nitropropane 79-46-9 none 5 ppm (18 mg/m3) n/a n/a Acrylamide 79-06-1 none 0.1 mg/m3 Sk. 0.03 mg/m3 Sk. n/a Hardwood dust 5 mg/m3 3 mg/m3 1 mg/m3 n/a Chromium (VI) compounds none 0.025 mg/m3 n/a 0.05 mg/m3 Ethylene oxide 75-21-8 none 1 ppm (1.8 mg/m3) Sk. n/a n/a o-Toluidine 95-53-4 none 0.1 ppm (0.5 mg/m3) n/a 1 ppm (5 mg/m3) Refractory Ceramic Fibres (RCF) none 0.3 f/ml 0.1 f/ml 1 f/ml Respirable crystalline silica (RCS) none Include in Annex I and establish an OEL of 0.1 mg/m3 in Annex III Include in Annex I and establish an OEL of 0.05 mg/m3 in Annex III Include in Annex I and establish an OEL of 0.2 mg/m3 in Annex III Vinyl chloride monomer 75-01-4 3 ppm (7.8 mg/m3) 1 ppm (2.6 mg/m3) n/a 2 ppm (5.2 mg/m3) Bromoethylene (Vinyl bromide) 593-60-2 none 1 ppm (4.4 mg/m3) n/a 5 ppm (22 mg/m3) Hydrazine 302-01-2 none 0.01 ppm (0.013 mg/m3) Sk. n/a 0.1 ppm (0.13 mg/m3) Sk. The next section presents an analysis of impacts of the different policy options for each chemical agent. For reasons of space the analysis for each chemical agent is contained in a table which is the basis of the comparison ratings presented. Unless otherwise specified all data in the agent-specific analysis comes from the IOM study, with reference periods as specified in that study. 5What are the impacts of the different policy options and how do they compare? Before looking at the comparison between different policy options, it should firstly be noted that the standards of legal control established in the CMD are strict for all in-scope carcinogens, whether or not entries in Annex I (process generated substances) or Annex III (OELs) have been established or amended. The proposed amendments are thus intended to enhance worker protection by improving clarity for employers and enforcers. The inclusion of chemical agents in Annex I (the list of 'process-generated substances') confirms that they fall in scope of the Directive control provisions. OELs set out in Annex III establish clear compliance benchmarks for exposure control. These considerations will be inherent in any investment decision, profit projection etc. and should be based on as much legal clarity as possible. Concretely, comparing the different policy options requires estimating the effects of introducing new or more stringent OELs for the chemical agents under consideration. The methodology followed can be summarised as follows: In general, the introduction of an OEL is expected to determine a reduction in the occupational exposure to the carcinogen concerned (as full compliance with the proposed new OEL is assumed). The extent of such reduction depends on the current levels of exposure, as well as on the projected future levels of exposure in the absence of the proposed OEL ("Baseline scenario", corresponding to Option 1). For a given reduction in exposure levels, it is then necessary to estimate the expected decrease in the incidence of cancer cases over a given timeframe attributable to the carcinogen in question. This requires estimates of the risk of carcinogenicity, which can be derived from the existing toxicological and epidemiological literature, as well as information about the actual level of worker exposure (numbers, level, duration and frequency of exposure). The health benefits of avoided cancer registrations and deaths can then be expressed in monetary terms by applying standard evaluation methods (value of life years lost, cost of illness, willingness to pay to avoid cancer). These monetised health benefits can in turn be compared to the expected monetary costs that would have to be incurred in order to comply with the proposed OEL. This methodology is further explained in Annex 4. A number of issues need to be taken into consideration in order to better understand the figures and conclusions presented in the following sections, which are mostly derived from the results of the IOM study. As set out above, the CMD requires employers to take measures to protect workers from occupational use of carcinogens. All stakeholders as consulted in the ACSH are in favour of the proposed legislative initiative albeit with some differences regarding appropriate OEL values. In terms of cost and benefit projection, this renders the updating of the CMD particularly complex; independent of further clarity under the CMD, employers will include more or less stringent protection of workers in their facilities, e.g. costly industrial ventilation combined with personal protective gear. Furthermore, Member States with substantial production involving a certain carcinogenic chemical agent are likely to introduce national OELs irrespective of EU action. In order to take proper account of the cancer latency period (which the IOM study assumes to be of 10-50 years for solid tumours and of 0-20 years for haematopoietic neoplasms), the future cancer burden is estimated over a 60 years period. Looking at the methodological challenges in more detail: First of all, for most chemical agents under consideration, data on the number of workers exposed is scarce and unreliable (especially for some sectors and/or for some Member States), and data on the current exposure levels across EU Member States is generally not available. Member States record statistics relating to cancer in different ways which cannot be readily aggregated. Where exposure data is available, its use as an evidence base for regulatory decision-making is often confounded by the sensitive and sometimes confidential nature of the information, and the potential for source bias. For many of the carcinogens, the baseline scenario taken from the IOM study foresees a constant reduction in average exposure levels (e.g. of 7% annually). This projection of future exposure levels is obtained by extrapolating past declining trends in average exposure levels. However, for some substances this (large) declining trend assumption is contested by other studies. In addition, even when declining trends in average exposure levels are observed, it may be misleading to regard these as exogenous. Recent reductions in exposure may have been precisely the result of OELs having been introduced or as an anticipation of those changes. With respect to the cost and benefit analysis, therefore, the projected decline in average exposure levels under the baseline scenario may bias the estimated health impacts downward.

The available epidemiologic evidence is scarce and not always sufficiently robust, inevitably affecting the reliability of the derived estimates for the number of cancer registrations and deaths. Among the factors contributing to the scarcity of reliable data are the complexity of cancer development and also of workplace exposures. Different carcinogens can, for example, result in the same type of cancer (e.g. lung cancer), and occupational exposure to hazardous agents is characterised by simultaneous exposure to multiple chemical agents. It can therefore be difficult to establish a causal relationship between cancer cases and exposure to a specific carcinogen. The cost-benefit analysis underestimates benefits as only the cancer-related health impact is considered. Exposure to the chemical agents under consideration is also associated with additional non-cancer health effects which can induce further health costs (such as for example neurotoxicity, severe skin damage, respiratory diseases or renal toxicity). When a declining trend exposure is considered under the baseline scenario, it would be incorrect to factor in among the costs of compliance with OELs based on the proposed OEL the full value of the investment required to reduce exposure: such investment would have occurred in any case also under the baseline scenario (in order to justify the decline in exposure), but possibly only later or more gradually over time. As a result the cost estimates of introducing an OEL reported in the IOM study would be overestimated. Finally, to allow for a comparison between the monetised health benefits and compliance costs, the net present values of the streams of costs and benefits over the 60-year period under consideration are computed. The values originally reported in the IOM study, based on a constant discount rate of 4%, have been recalculated applying a declining discount rate (4% for the first 20 years, 3% thereafter) in line with the most recent better regulation guidelines. Still, benefits estimates are disadvantaged as discounting reduces much more the present value of impacts taking place in the longer term (typically health benefits) than those happening at the beginning of the period (typically compliance costs). To allow for a better comparison between net health benefits and net compliance costs, as it was not possible to obtain new estimates of health benefits assuming a constant level of exposure under the baseline scenario for all chemical agents, the costs presented in the IA report are indicative estimates of the actual additional costs of compliance assuming some delay (e.g. of 10-20 years) in the realisation of the investment needed to achieve a certain level of compliance. The lack of reliable exposure data on both the numbers of workers exposed and on the levels of exposure is recognized. To address this data gap the Commission initiated a study in 2013. The outcome of this work is expected to contribute to a better definition of the baseline situation for possible future initiatives on developing OELs for other priority occupational carcinogens. Analysis of impacted Member States and proportionality For each of the 13 carcinogens, an analysis of the need for and benefit of action at the EU level is presented by chemical agent in the following sub-sections (and in Annex 9). The IOM study identifies the number of EU workers exposed to each chemical agent and, in most cases, also identifies exposed working populations by Member States. An illustration of the OELs currently in place at national level is provided in Annex 9, as well as the estimated number of workers potentially exposed by Member State. Similar information is also summarised in Table 4 in Annex 6, which identifies the population of workers occupationally exposed to each chemical agent and compares this to the overall EU population of exposed workers, resulting in the percentage of workers in the EU for whom legal protection would be improved by adoption at EU level of an OEL under CMD. This analysis bears the condition that reliable exposure data is scarce. In particular it should be noted that it is not possible to identify the proportion of workers in each Member State who may be employed in tasks where closed system or effective exposure controls are already either eliminating or reducing exposures below the level represented by the OELs recommended by ACSH. The probable over-estimation of exposed populations resulting from this data scarcity is likely to be mitigated by the converse inability to identify specific populations of workers who may experience exceptionally high exposures. 5.11,2 Epoxypropane This chemical agent is associated with lymphopoietic cancer, haematopoietic cancer and increased leukaemia risk. The major use of this chemical agent is to make 1,2 epoxypropane polymers that are used in the manufacture of polyurethane foams. Its second most important use is in the production of propylene glycol. About 5% of all 1,2 Epoxypropane production is used in a diverse range of applications such as the manufacture of surfactants and as a stabiliser for dichloromethane. The productive capacity within the EU is 2.75 mln tonnes per year and it is produced in 14 facilities in eight Member States (BE, FR, DE, NL, PL, SK, ES and RO). There are estimated to be 150-300 user facilities across the EU. Between 35-70 EU workers are estimated to be exposed to 1,2 epoxypropane during its manufacture and between 450-1,500 EU workers in the chemical industry. Table 4. 1,2 Epoxypropane – Types of impacts Impact Option 1

Baseline: No OEL Option 2

OEL of 1 ppm (2.4 mg/m3) Option 3

OEL of 5ppm (12 mg/m3) Economic - Costs of compliance not significant (€1-2k). Few if any enterprises would require some additional control measures to meet the OEL. Any enterprises that do not currently comply would need to implement relatively low-cost measures. No significant impacts v-à-v the baseline are expected as exposure is already largely below this OEL as the vast majority of investment required by industry to comply with this OEL already occurred. Social (incl. health) Health costs are estimated between 2.5-10.7 €mln. 100 attributable YLLs and 110 DALYs during 2010-2069 period., Small cost saving (e.g. a few €k) from avoided health care and reduced cost of illness due to reduction in YLLs. Expected health benefits mainly in the downstream use sector, which are expected to be a share of total health costs under baseline scenario. No additional health costs or benefits. Environmental There may be some environmental impacts related to humans exposed via the wider environment, rather than costs associated with damage to e.g. ecosystems. No change compared to baseline (measures relate to training and employee supervision rather than any additional engineering controls). No change compared to baseline.

Estimates of exposure levels were based on samples obtained during manufacturing and downstream use in 7 facilities. According to these estimates most companies already comply with a level of 1 ppm. For those that do not yet comply, the additional costs are expected to be very low. It is therefore assumed that the introduction of an OEL of 1 ppm would not imply any important costs associated with compliance, neither major social, macro-economic or significant environmental impact. During the ACSH discussions employers' representatives noted that in routine and manufacturing practices workers' exposures are already well below an OEL of 2 ppm and that a level of 1 ppm during maintenance and loading operations could be ensured through breathing personal protective equipment. Introduction of an OEL of 1 ppm can be expected to be more effective in reducing exposure to 1,2 epoxypropane compared to the baseline, however the monetised health benefits are minor. Table 5. 1,2 Epoxypropane – Comparison of options Criteria Baseline Option 2 (1 ppm) Option 3 (5 ppm) Effectiveness 0 ≈ ≈ Efficiency 0 ≈ ≈ Coherence 0 + ≈ Scientific advice (SCOEL) 1 ppm ACSH 1 ppm The scientific advice and the opinion of the social partn