COMMISSION STAFF WORKING DOCUMENT On the implementation of the Raw Materials Initiative Accompanying the document Communication from the Commission to the European Parliament, The Council, The European Economic and Social Committee and the Committee of the Regions on the review of the list of critical raw materials for the EU and the implementation of the Raw Materials Initiative
Date: 2014-05-26
Institutions: European Commission
Subjects: competitiveness, raw material, security of supply, sustainable development, third country, trade agreement (EU), transparency in decision-making, waste recycling













EUR-Lex - 52014SC0171 - EN











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52014SC0171

COMMISSION STAFF WORKING DOCUMENT On the implementation of the Raw Materials Initiative Accompanying the document Communication from the Commission to the European Parliament, The Council, The European Economic and Social Committee and the Committee of the Regions on the review of the list of critical raw materials for the EU and the implementation of the Raw Materials Initiative /* SWD/2014/0171 final */









1. INTRODUCTION
This document follows
the Communication of 24 June 2013 on the implementation of the Raw Materials
Initiative[1].
It is the second progress report on this Initiative which was launched in 2008[2]
and further developed in 2011[3]
summarising the work done under the three pillars and cross-cutting activities.
The Raw
Materials Initiative aims to improve European access to raw materials through a
range of actions under three pillars: 

 ensuring that there is a fair and
     sustainable supply of raw materials from global markets; 
 ensuring that there is a
     sustainable supply of raw materials within the EU; 
 boosting resource efficiency and
     increasing the amount of recycling. 

An expert group
— the ‘Raw Materials Supply Group’, with representatives from Member States,
other EEA and candidate countries and organisations representing stakeholder
interests — advises the Commission and oversees the Initiative’s
implementation. Since June 2013, this group has met in Brussels in September
and December 2013 and in March 2014.
2. FAIR AND
SUSTAINABLE SUPPLY OF RAW MATERIALS FROM GLOBAL MARKETS (PILLAR 1)
2.1. EU trade
strategy for raw materials
The Commission
has implemented the EU trade strategy for raw materials in line with the
priorities set out in its 2008 and 2011 Communications on raw materials,
promoting a sustainable supply of raw materials from non-EU countries. This is
a three-pronged strategy which involves the following:
- securing
agreement on international optimal trade disciplines and on export restrictions
in bilateral and multilateral negotiations;
- effectively
enforcing international rules and tackling restrictions, through dialogue, in
the market access strategy, and through the World Trade Organisation (WTO)
dispute resolution process;
- raising non-EU
countries’ awareness of policies on trade in raw materials and developing best
practice through bilateral dialogue and in international fora such as the
G8/G7, G20, OECD and the United Nations Conference on Trade and Development
(UNCTAD).  
The Commission
regularly reports on progress in the implementation of the EU trade strategy
for raw materials and participates in meetings and workshops involving Member
States, industry associations and Non-Governmental Organisations.
2.1.1. Outcome
of trade negotiations
For the first
time, raw materials have become a priority in negotiating trade agreements with
non-EU countries. This has produced significant results both in concluding
bilateral agreements and in the context of WTO discussions. 
As far as multilateral
negotiations are concerned, the EU has used the opportunity provided by WTO
accessions to secure commitments from acceding countries on export duties,
which are not covered by WTO basic rules. Negotiations with Tajikistan and Afghanistan resulted in a commitment not to impose export duties, except on a list of
specific products. Progress was made in negotiations with Kazakhstan on finalising an agreement on export duties. The EU will keep monitoring ongoing
and future WTO accessions and seek commitments from relevant countries. 
With the launch
of new free trade agreement (FTA) negotiations, the EU is negotiating on export
restrictions with a number of non-EU countries, including resource-rich
countries and countries that use export restrictions. The EU and Singapore initialled the text of a comprehensive FTA in September 2013, including a full
ban on export duties. In October 2013, the EU and Canada reached political
agreement on the key elements of a trade agreement including the prohibition of
export taxes and export restrictions, subject to specific exemptions.
Negotiations continued on other FTAs, including ones with India, Malaysia and Mercosur, and negotiations with Vietnam and Thailand began. The EU’s ambition
remains to eliminate export duties on industrial raw materials, but the first
rounds of ongoing negotiations show the increasingly difficult position taken
by EU counterparts, many of whom resort to export duties as part of their
broader economic policy. Economic partnership agreement negotiations are
ongoing with the East African Community and the Southern African Development
Community,
also taking into account the development needs of these economies. The
contribution of trade and investment to sustainable development, including
issues related to corporate social responsibility ("CSR"), is part of
these negotiations.
In the
transatlantic trade and investment partnership (TTIP) negotiations with the US, the EU advocates global rules on trade and investment for raw materials, to the extent
that these have not been fully covered by international trade and investment
rules. This will give a strong signal, alongside the US, of supporting open
trade and non-discriminatory access to raw materials.
2.1.2. Tackling
barriers: monitoring and enforcement
The Market
Access Advisory Committee (MAAC) and various working groups continued to focus
on monitoring and tackling export restrictions affecting trade in raw
materials. The committee is composed of Member State representatives who
identify and analyse market access barriers in non-EU countries. The EU has
identified and dealt with several export restrictions, particularly through
bilateral discussions.
- Russia’s plan to close the port in Saint Petersburg to scrap metal shipments, which would have led
to severe restrictions on scrap exports, was abandoned following numerous
interventions by the EU at bilateral level and in the OECD Steel Committee.
- Indonesia’s export ban on minerals and metal ores was discussed with Indonesia at various bilateral
and multilateral meetings. The measures have been reconfirmed by a decree in
2014. The EU is closely following the evolution of these rules and is
considering the most appropriate way to address this issue.
- South Africa’s export restrictions on scrap metal were last addressed at a MAAC meeting in October
2013, where the EU reported on its interventions with regard to South Africa.
- The EU,
together with the US and Japan, launched a second WTO dispute settlement case
in March 2012 against China's export restrictions covering 17 rare earths, as
well as tungsten and molybdenum. In March 2014, and in line with the
previous ruling on other raw materials, the WTO found that China’s export duties and quotas were in breach of China’s WTO commitments and were not justified
for reasons of environmental protection or conservation policy. The
Commission continues to monitor implementation of the first case, whereby China had to remove export restrictions on another set of raw materials (bauxite, coke,
fluorspar, magnesium, manganese, silicon metal and carbide and zinc). 
2.1.3. Outreach
activities
The EU held
regular bilateral dialogues with a number of key partners, including the US, Japan and China, to tackle systemic issues and specific cases of export restrictions. In March
2014, a regional dialogue between the EU and the Latin American countries
included fruitful exchanges on trade strategy for mining raw materials.
The Commission
also helped implement the OECD’s ambitious work programme on trade in raw
materials, including an update of the export restrictions inventory, an
analysis of the economic effects of export restrictions, case studies on
alternatives to export restrictions implemented by resource-rich countries to
develop an economy based on natural resources, and working on export
restrictions transparency, including a checklist of good practices.
Thanks to the
EU’s efforts, trade in raw materials remains on the G20 agenda. However, as the
engagement of some G20 Members remains limited and further contact will be
needed, the EU will discuss this issue with upcoming G20 presidencies to
determine the best way forward.
2.2. Raw
materials dialogues and diplomacy
So far,
cooperation partnerships and policy dialogues have been set up with the United
States, Canada, Japan, China, Russia, Argentina, Brazil, Chile, Colombia,
Mexico, Uruguay, Greenland, Southern Neighbourhood countries, as well as Peru,
Mongolia and Myanmar/Burma, of which the last three were set up in 2013.
Preparation for further dialogues is underway.
In December 2013
a US-Japan-EU workshop on critical raw materials was organised in Brussels. It provided an opportunity to exchange information on the review of the EU’s
critical raw materials list, inform participants about the review process and
compare it with American and Japanese analysis and data on critical raw
materials. It also explored areas for cooperation, especially in research, and
identified substitution as an area for cooperation with Japan.
The Commission
has also contributed to an EU-wide mapping exercise on raw materials diplomacy
and financial assistance, which is being led by the European External Action
Service.
2.2.1. United States
A US-EU workshop
on raw materials flow and data standards took place in November 2013 in Washington D.C., as part of exploratory talks to: 

 improve the exchange of information
     on criticality; 
 examine areas where materials flow
     information is insufficient; 
 improve the inventory of identified
     mineral resources; 
 expand knowledge of mineral supply
     chains and 
 improve end-use data in order to
     better understand mineral supply chains and potential sources of recycled
     materials.

In 2013, two
EU-US negotiation rounds on the transatlantic trade and investment partnership
(TTIP) were held, which also covers raw materials. Another round took place in
March 2014.
2.2.2. Japan
The Commission
and Japan's Ministry of Economy, Trade and Industry (METI) are holding annual
industrial policy dialogues, the last of which took place in April 2014 in Tokyo. The Commission provided information on the EU research and innovation programme Horizon
2020 and the state of play of the science and technology co-operation with
Japan, updated the Japanese side on the European Innovation Partnership on Raw
Materials and gave information on the revision of the list of critical raw materials
and on the proposal for a Regulation on conflict minerals. The Commission also proposed
to further co-operate to explore ways to better address raw materials in
international fora (e.g. G20, G8/G7). METI stated that any opportunity to
deepen the dialogue would be welcomed. They also stated that on conflict
minerals Japan would like to explore the possibility of mutual recognition with
the EU.
2.2.3. Canada
The Commission
has held discussions on raw materials with Canada’s Ministry of Natural
Resources, and took part in a workshop to exchange information on rare earth
elements research and development in Ottawa in June 2013. As they have strong
potential for mining rare earth elements and other critical raw materials, the
Commission invited Canada to the workshop on critical raw materials with
American and Japanese counterparts. Canada will also be welcome to attend a
future meeting of the European Rare Earth Competency Network (ERECON) as an
observer.
2.2.4. Latin
American countries
In December
2013, the Commission held high-level bilateral meetings on raw materials with Peru and Chile. An event was organised in March 2014 in Lima (Peru), with representatives from the
EU and the Latin American countries which are included in the dialogue (Argentina, Brazil, Chile, Colombia, Mexico, Peru and Uruguay). The event covered exchange of best
practice, sustainable mining, safety and the environment, corporate social
responsibility standards, labour rights, managing mining waste, reporting,
mining laws, trade and promoting investment. All participating countries showed
a clear will to deepen cooperation with the EU.
2.2.5. China
The Commission
and China’s Ministry of Industry and Information Technology (MIIT) are leading a
joint working group on raw materials. In November 2013, the working group met
for the third time in Brussels. Representatives from relevant industry
associations from both sides attended the meeting. The Commission provided
information on policy developments on raw materials and on the European steel
and aluminium industries, while the Chinese side gave an update on policies to
promote the development of advanced materials and to manage overcapacity in the
Chinese steel, aluminium and construction materials industries. There was also
a constructive discussion on China’s export restrictions on rare earth
elements. MIIT also stated that China was ready to work with the EU on setting
up an appropriate global governance structure for raw materials.
In addition,
dialogue on opportunities to deepen cooperation on tackling illicit trade in
waste began between China’s customs administration and the Commission.
2.2.6. Greenland
Greenland
− an autonomous community within Denmark − is among the overseas
countries and territories associated with the EU. It is one of the EU’s
resource-rich neighbours, possessing significant reserves of several natural
resources including rare earth elements. Its mineral resource and hydrocarbon
strategy is currently being revised and an amended strategy for the period
2014–18 is expected to be presented to and discussed with the Parliament of
Greenland during the spring session of 2014.
In 2013, a study
was launched to provide information on the EU’s and Greenland’s needs and to
identify policy options for cooperation on natural resources. The results of
the study are expected by the end of 2014. 
The
Commission also proposed to include Greenland in the Kimberley Process
certification scheme by extending the EU territory for this purpose to cover Greenland. The Regulation of the European Parliament and the Council was adopted in
February 2014.[4]
2.3. Development
policy
2.3.1. Joint
Africa-EU strategy and African, Caribbean and Pacific (ACP) framework
Cooperation
between the EU and the African Union focuses on three areas: 

 governance; 
 investment and infrastructure; 
 geological knowledge and skills.

In the field of
governance, the Commission launched a series of initiatives to promote
transparency in the EU and globally. ‘Structural transformation and natural
resources’ was chosen as the main focus of the 2013 edition of the 'African
Economic Outlook' report, supported by the EU. Partners from the Africa-EU
Strategic Partnership have also started preparing for a forum on mineral
resources governance, to be held in 2014.
The Commission
launched a study to examine how to strengthen cooperation between African and
European geological surveys. It aims to set up a programme to build the
capacity of African surveys and improve knowledge exchange and the
digitalisation of data on African deposits. It will build on a consultation
launched at a joint workshop involving European and African geological surveys
held in Ghana in September 2013.
The current
programming of EU external aid takes into account the importance of investment
and infrastructure. The issue of linking infrastructures with raw materials
deposits was addressed in June 2013 at the first meeting of the reference group
on infrastructure. This group was created with African partners under the
Africa-EU Strategic Partnership to jointly address all infrastructure-related
issues (transport, energy, ICT and transboundary waters).
The EU-African
Union summit on 2−3 April 2014 was preceded by an EU-African Union
business forum including a round-table discussion on raw materials.
The EU’s
intra-ACP strategy for using allocations from the tenth European Development
Fund was modified to incorporate mineral development among the priority
actions. A roadmap for developing the mineral sector in ACP countries was
drafted, identifying priority actions to be taken. This roadmap led to the
setting up and funding of a project to build capacity for mineral institutions
and small-scale private-sector companies operating in low-value minerals in ACP
countries, for a total of EUR 13.4 million. Its implementation is expected to
start in 2014.
The European
Parliament initiated a pilot project, implemented by the Commission, on recovering
critical raw materials through recycling. Two events were organised, the first
in Addis Ababa (Ethiopia) and the second in Brussels. They provided
opportunities to exchange best practice and identify common challenges and
future research and innovation needs. The project’s objective is to draw up a
joint European and African research and innovation agenda on waste management,
paving the way for creating mutually beneficial European-African partnerships. 
2.3.2. Promoting
financial transparency
The Commission
and EU Member States have supported a number of initiatives to promote
transparency and accountability in the use of natural resources and in the
extractive industry, with a view to ensuring that countries obtain a fair deal
from the use of their natural resources so they can reach development goals.
With the adoption of the revised Accounting and Transparency Directives[5]
in June 2013, the EU has taken a huge leap towards a global transparency
standard in the extractive and forestry sectors. This legislation will require
listed and large unlisted extractive and forestry companies to disclose their
payments to governments on a country and project basis. These provisions will
be effective from July 2015, putting the EU at the forefront of international
efforts on financial disclosure requirements.
The EU is also
active in international fora to encourage countries that host major extractive
companies to implement equivalent mandatory reporting rules, thus helping to
create a level playing field that places the same reporting burden on all
companies, regardless of the country in which they are headquartered. The
Commission also continued to provide financial and political support to the
Extractives Industries Transparency Initiative (EITI). The EITI is a global
coalition of governments, companies and civil society organisations working
together to make the management of revenues from natural resources more open
and accountable. Countries implement the EITI standard to ensure full
disclosure in an annual report of taxes and other payments made by oil, gas and
mining companies to governments. This allows citizens to see for themselves how
much their government is receiving.
With the World
Bank and the OECD, the Commission has also helped improve legislation on and
the implementation of transfer pricing rules, particularly in the extractive
sector. Building capacity in this area will help reduce the potential for tax
avoidance and evasion and improve business certainty.
2.3.3. Promoting
supply chain transparency
2.3.3.1.
Responsible sourcing of minerals originating in conflict-affected and high-risk
areas
On 5 March
2014,
the High Representative of the EU for Foreign Affairs and Security Policy and the
European Commission proposed an integrated EU approach to stop profits
from trading minerals being used to fund armed conflicts and promote
responsible sourcing of minerals from conflict-affected and high-risk
areas. As
part of the EU approach, the Commission proposed a draft Regulation setting up
an EU system of self-certification for importers of tin, tantalum, tungsten and
gold who choose to import responsibly into the Union. Self-certification
requires EU importers of these metals and their ores to exercise 'due
diligence' by monitoring and administering their purchases and sales in line
with the five steps of the OECD Due Diligence Guidance for Responsible
Supply Chains of Minerals from Conflict-Affected and High-Risks Areas. To
increase public accountability of smelters and refiners, which will enhance
supply chain transparency and facilitate responsible mineral sourcing, the EU
aims to publish an annual list of EU and global 'responsible smelters and
refiners'. 
A number of
incentives are also proposed to promote the taking-up of the certificate and
encourage supply chain due diligence by EU and global companies, such as EU
public procurement incentive for end users, financial support for SMEs, policy
dialogues and diplomatic outreach with governments in extraction, processing
and consuming countries as well as development cooperation. 
In the African
Great Lakes region, the EU supports the Regional Initiative against the Illegal
Exploitation of Natural Resources launched by the International Conference for
the Great Lakes as a means to curb the link between mineral revenues and
conflicts. 
2.3.3.2. Kimberley
Process certification scheme
The Kimberley
Process certification scheme is a global initiative between governments, civil
society organisations and industry, launched in 2000 under UN General Assembly
Resolution 55/56, to stop trade in ‘conflict diamonds’. The initiative’s
purpose is to ensure that trade in rough diamonds does not finance violence by
armed rebel groups. It currently has 54 participating members, representing 81
participating countries. The EU is a participant and is represented by the
Commission. In 2013, the Commission contributed substantially to the progress
made on the reform agenda under South Africa’s chairmanship, in particular in
terms of strengthening the implementation of the scheme within the current
mandate.
2.3.3.3. Forest
Law Enforcement, Governance and Trade (FLEGT)
In 2013, the new
EU timber regulation,[6]
laying down obligations for operators placing timber on the internal market,
came into force. It complements the voluntary partnership agreements (VPAs)
with timber-producing countries to ensure that only legally harvested timber is
imported into the EU from these countries. There are currently 18 countries
engaged in VPA processes, six of which have ratified agreements: Cameroon, the Central African Republic, Ghana, Congo, Liberia and Indonesia. The EU continues to
finance a number of development cooperation actions, including actions
promoting multi-stakeholder processes and the participation of civil society in
national processes for preparing, negotiating and/or implementing VPAs; actions
supporting implementation through private sector initiatives; actions helping
to improve governance in the forestry sector and actions improving the
transparency and capacity of relevant government institutions.
3. ENSURING THAT
THERE IS A SUSTAINABLE SUPPLY WITHIN THE EU (PILLAR 2)
3.1.
Facilitating the exchange of best practice
The Commission
facilitates the exchange of best practice and has set three objectives focusing
on promoting investment in extractive industries, namely:
1)      establishing
a national minerals policy;
2)      setting
up a land use planning policy for minerals;
3)      putting
in place a clear, understandable and streamlined process to authorise
the exploration and extraction of minerals.
To meet these
objectives, the three following actions have been put into practice.
3.1. Evaluating and exchanging good
practice to ensure the sustainable supply of raw materials within the EU
The ‘Good
Practice Project’ aimed to provide examples of good practice from
across Europe in implementing developments to increase the competitiveness of
the European raw materials sector. It ran until March 2014. As part of the
project, a study was prepared to: 
(a)    analyse
and compare the data collected (using a solid, coherent methodology), provide
plausible explanations for the findings made and draw substantiated
conclusions; 
(b)   take
into account the results of previous studies and evaluations and 
(c)    give
recommendations on which (type of) good practice policies/activities work best.

The 25 cases
chosen were grouped into five categories: 

 policy and legislative framework; 
 information and knowledge base; 
 governance; 
 land use planning; 
 permits and authorisation. 

3.1.2. Report on
national minerals policy indicators
The report on
national minerals policy indicators replies, based on input from 18 Member
States, was presented to the Raw Materials Supply Group. The data collected
offers solid ground for further in-depth enquiries. A second data collection
exercise could be undertaken in 2017. The indicators can help the Commission
and Member States to assess the current situation and identify areas for
improvement. On the basis of the replies received from the Member States, the
indicators will be refined and regularly populated with data. 
3.1.3. Competitiveness of the European
mineral raw materials sector
A
competitiveness study started in January 2014. The aim of the study is to have
a comprehensive, up-to-date and concise overview of the competitiveness of the
European mineral raw materials sector, divided into non-energy extractive
industries and recycling industries. Results are expected by the end of 2014.
3.2. Improving
the EU’s knowledge base
To improve the
EU’s knowledge in the field of raw materials, the Commission, in the short
term, works with Member States to evaluate the scope for increased synergies
between national geological surveys. This would make it possible to achieve
economies of scale, reduce costs and increase the potential for joint projects
(e.g. a harmonised minerals database, a European raw materials yearbook, etc.).
In the medium term, synergies with other EU initiatives, including the
development of Copernicus, the European Earth observation programme, could
improve the EU’s knowledge of raw materials. 
The following
initiatives will help achieve this.
3.2.1. Study on statistical information
on resources and reserves (‘Minventory’)
This ongoing
study is analysing the potential for a pan-European statistical database on
reserves and resources of non-energy non-agricultural raw materials. It will
identify the relevant bodies that would be involved in creating such a database
and explore ways of doing so. It will take stock of statistical data on
reserves and resources used in Member States, covering both primary and
secondary materials, and will make recommendations to be used in the
development of a European minerals yearbook. The final results of the
statistical analysis will be reviewed in 2014.
3.2.2. Study on data inventory for a raw
material system analysis
A new study on
data needed for a full raw materials flow analysis was launched at the
beginning of 2014, based on a 2012 study. It looks at key challenges, i.e. how
to fill data gaps and remove data flow bottlenecks by finding data sets or
developing appropriate modelling, and will provide complete data sets for 22
raw materials.
3.2.3. Lifecycle
data network on raw materials and critical raw materials
The Commission
continued to develop lifecycle data, methods and studies in order to improve
the knowledge base on (critical) raw materials. Life cycle data outline the
resources consumed, emissions, and social pressures associated with the supply
chains of raw materials.  They equally identify where raw materials are used in
supply chains and how they are managed at the end-of-their life for products
and services. The Life Cycle Data Network, officially launched in February
2014, is expected to host quality-assured life cycle data from European and
non-European public and private organisations.
3.2.4. Materials
Information System for Energy Technologies (MIS-ET)
The Commission
has developed a digital platform to gather, store and disseminate information
about materials used in low-carbon energy technologies using a user-friendly,
easily navigable web-based system, MIS-ET. The platform will become fully
operational in 2014.
3.2.5.
Collaboration with EuroGeoSurveys
Raw materials
are included, alongside other geology fields, in the March 2013 collaboration
agreement between the Commission’s Joint Research Centre and EuroGeoSurveys,
the association of EU national geological survey organisations. The agreement
covers the association’s strategic plan to build the European Geological Data
Infrastructure (EGDI). This collaboration may also be extended to cover participation
in the European minerals intelligence network, Minerals4EU.
3.3 Seabed
Mining
The 2012
Communication on blue growth[7]
identified five focus areas, including marine mineral resources. Seabed mining
is technologically feasible and is considered a part of the Raw Materials
Initiative, the European Innovation Partnership on Raw Materials and the
Horizon 2020 programme. Seabed and subsea floor represent the next tangible
source of raw materials, including for some critical raw materials. However, seabed
mining, particularly deep and subsea mining, is challenging from an
environmental and technological perspective. In December 2013, the Commission
launched a study to look into deep sea mining. The results of this study are
expected in 2014.
4. BOOSTING
RESOURCE EFFICENCY AND INCREASING THE AMOUNT OF RECYCLING (PILLAR 3)
4.1. Resource
efficiency
In December
2013, the Commission published a study report about material efficiency for
ecodesign. The study examines how products could be designed in a more sustainable
way using less material and fewer rare materials. It analyses a range of
possible materials-related indicators for use in ecodesign preparatory studies
and impact assessments. Four parameters were selected: recyclability benefit
rates; recycled content; product lifetime; a critical raw material index.
As part of the
European Platform on Lifecycle Assessment, the availability of data on critical
raw materials in the European Lifecycle Database was analysed. The analysis
identified knowledge gaps and priorities for broadening the availability of
data in product supply chain analyses and in macro-economic indicators for the
EU. The potential to provide information for EU lifecycle indicators was also
assessed. These indicators give an idea of direct and indirect flows of
critical raw materials in the EU economy, including domestic extraction and
imports.
The European
Resource Efficiency Platform (EREP)[8]
was set up to provide high-level guidance on the transition to a more
resource-efficient economy, stimulating growth and business opportunities. EREP
issued recommendations in June 2013 and in March 2014. They include: 

 moving towards a circular economy
     and promoting high-quality recycling; 
 improving resource efficiency in
     business-to-business relations, in particular sustainable sourcing
     standards and 
 putting a coherent,
     resource-efficient product policy framework in place.

Under the
environmental theme of the EU’s Seventh Framework Programme for research and
technological development (FP7), the Commission approved funding for 14
resource efficiency projects in October 2013. The projects involve over 140
partners from 19 European countries, research organisations and private
companies. They will tackle the challenges of recycling waste materials from manufactured
products and the agricultural sector. The funds for the projects are EUR 40
million.
4.2. Recycling
Secondary raw
materials are an important potential source of raw materials in Europe.
In 2013, the
Commission carried out intensive work to prepare for the waste target review.
The review, which will take place in 2014, will be guided by the objectives set
out in the EU’s seventh Environment Action Programme for waste management,
namely:
- to reduce the
amount of waste generated;  
- to maximise recycling
and re-use;
- to limit
incineration to non-recyclable materials;
- to limit
landfilling to non-recyclable and non-recoverable waste.
In 2013, the
Commission carried out a ‘fitness check’ of five waste-stream directives
including those on packaging waste, end-of-life vehicles and batteries. It
found that the directives by and large contain the elements subsequently set
out in the Raw Materials Initiative. However, it identified a need to
streamline issues such as methods for calculating targets.
The Commission
also asked European standardisation organisations to develop European standards
for the treatment of waste electrical and electronic equipment (WEEE)
reflecting recent advances in technology. This measure aims to ensure that any
European operator carrying out collection, recycling and treatment operations
complies with minimum standards to prevent negative environmental impacts.
To help 10
Member States that were lagging behind in waste management practices meet EU
targets, the Commission helped them optimise their policies through tailored
roadmaps with practical recommendations. Some of these Member States are now
making rapid progress towards meeting the EU targets.
The Commission
also developed a model to quantify the environmental and economic impacts of
waste management policy changes.
4.3. Waste
shipments
In July 2013,
the Commission proposed passing stricter legislation on national inspections of
waste shipments to ensure that all Member States have similar levels of checks.[9]
The proposal will, once adopted, amend the EU Waste Shipment Regulation by
requiring that:
- Member States
develop risk-based inspection plans which refer to, inter alia, human
and financial resources, the assignment of tasks, cooperation between
authorities and training needs, in order to support and steer Member States’
inspections to target the most problematic and high-risk waste streams;
- exporters
provide evidence on whether an item to be shipped is waste or not, and whether
exported waste will be managed in an environmentally sound manner.
To ensure a
harmonised approach to customs enforcement of the Waste Shipment Regulation,
the Commission is working with Member State experts from customs authorities
and environmental authorities to produce guidelines. They are expected to be
adopted in the first half of 2014. In parallel, the Commission made progress on
establishing a correlation table between waste codes and the customs tariff
codes (Combined Nomenclature codes), which should simplify checks.
The Commission
also supported participation by a large number of Member States’ customs
authorities in operation Demeter III, coordinated by the World Customs
Organisation in 2013. It focused on maritime shipments of hazardous and other
waste (in particular electrical and electronic waste, household waste and
industrial waste) covered by the Basel Convention on the Control of
Transboundary Movements of Hazardous Wastes and their Disposal.
The Countering
WEEE Illegal Trade (CWIT) project, funded by FP7, was launched in September
2013 and will run for two years. It is led by INTERPOL and targets
policy-makers, law enforcement agencies and the electronics and e-waste
industries. It aims to find regulatory, procedural and technical gaps which
criminals can exploit to illegally transport and dispose of e-waste, and to
recommend solutions.
In May 2013, a
study was published, examining the feasibility of applying a global
certification scheme/standard for recycling facilities to the export of waste
streams. It considered four options: (1) no EU certification scheme, (2)
voluntary EU certification scheme, (3) mandatory EU certification scheme, (4)
mandatory EU certification scheme including mandatory third-party verification.
The study recommended a mandatory certification scheme with mandatory third
party verification, while making sure that WTO rules are followed. A
stakeholder consultation meeting was held in June 2013 and an online
consultation was launched in December 2013, focusing on export data and trends
and the identification of key waste streams. The Commission is now analysing
the feedback received to identify options for policy action, including
voluntary approaches, and the scope of waste categories.
Internationally,
the eleventh Conference of Parties to the Basel Convention adopted a framework
on environmentally sound waste management in May 2013. In December 2013, it was
decided that an expert group should assess the role of certification schemes as
a tool to ensure environmentally sound management.
5. CROSS-CUTTING activities
5.1.
Sector-specific criticality analyses
The Commission
has examined critical metals for the energy sector, analysing a wide range of
energy technologies, including the main electricity generation technologies,
electric vehicles, lighting, fuel cells, electricity storage and energy
efficiency technologies. It also looked at future supply and demand projections
and identified 32 raw materials used in energy applications in significant
quantities compared to their supply. Most of these materials are used in
electric vehicles and for lighting applications. Solar and wind energy
technologies and fuel cells also use many of them in significant quantities.
Eight of these materials were considered critical for the energy sector, based
on a combination of market and geopolitical factors, while four others were
considered almost critical.[10]
As part of the
European defence sector action plan[11],
the Commission will carry out a new study to identify critical raw materials
for this sector.
5.2. European
Rare Earth Competency Network (ERECON)
ERECON is a
project the Commission launched in 2013 at the request of the European
Parliament. It aims to facilitate an open discussion among experts and create a
network of excellence and cross-disciplinary exchange to increase knowledge of
the most efficient use of rare earth elements and of their mining, refining,
recycling and substitution. Working group meetings were held in October 2013
and January 2014. The working groups produce draft papers for their respective
sectors and propose policy priorities for consideration by European
policy-makers.
5.3 Markets and
stockpiling
In the 2011
Communication on raw materials, and as part of its work on monitoring raw
materials defined as critical for the EU, the Commission noted that it was
‘ready to examine with Member States and industry, the added value and
feasibility of a possible stockpiling programme of raw materials’. This
examination took place between 2011 and 2012 and included extensive internal
and external consultation.
As a result, the
Commission currently does not envisage to set up an EU-wide raw material
stockpiling system.
5.4. European
Innovation Partnership on Raw Materials
The 2012
Communication proposing a European Innovation Partnership (EIP) on Raw
Materials[12]
asked EU and national industry, institutional stakeholders, academia, research
organisations and NGOs to come up with a plan to contribute to the mid- and
long-term security of the sustainable supply of raw materials in Europe.
Following the
first high-level steering group meeting in February 2013, a strategic
implementation plan, based on input from five operational groups, was adopted
by the high-level steering group on 25 September 2013.
A call for
commitments from external stakeholders to implement the plan opened on 31
October 2013 with a deadline of 7 February 2014. Following analysis by the
Commission, the high-level steering group identified a total of 80 ‘raw
materials commitments’. This recognition process provides a guarantee that they
are in line with the EIP, gives them visibility and encourages synergies.
5.5. Research 
Horizon 2020,
the programme
for research and innovation in the European Union for the period 2014–20,
plays a crucial role in putting the Europe 2020 strategy for smart, sustainable
and inclusive growth into practice by providing a common strategic framework
for the EU’s funding of excellent research
and innovation.
Raw materials
are a new research field under the Horizon 2020 programme and they are part of
Societal Challenge 5 in the chapter on ensuring the sustainable supply of
non-energy and non-agricultural raw materials. This chapter uses input from the
EIP strategic implementation plan.
Including raw
materials in the Horizon 2020 programme will help reach EIP targets, e.g. developing
innovative pilot actions, finding substitutes for critical raw materials
applications and creating an innovation-friendly regulatory framework.
Total funding
for all actions included in Societal Challenge 5 will reach EUR 3 081
million, of which around 20 % will be dedicated to raw materials.
The work
programme for 2014–15 contains seven raw materials topics for 2014. Five of
these — covering the production of primary raw materials, substitution and
policy support actions — are part of developing a low-carbon,
resource-efficient economy with a sustainable supply of raw materials. The
other two topics — covering recycling and a secondary raw materials inventory —
are part of the focus area on waste.[13]
There will also be a ‘cross-challenge topic’ under the SME Instrument of the
Horizon 2020 programme. In line with the EU's strategy for
international cooperation in research and innovation[14],
participation of relevant international partners in activities under these
topics is encouraged. The first calls for proposals under the
Horizon 2020 programme were published on 11 December 2013 and the first grants
will be awarded by the end of 2014.
[1]               COM(2013) 442, 24.6.2013.
[2]               Communication from the Commission to the European
Parliament and the Council: ‘The Raw Materials Initiative — Meeting our
Critical Needs for Growth and Jobs in Europe’, COM(2008) 699, 4.11.2008.
[3]               Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions: ‘Tackling the Challenges in Commodity Markets and on
Raw Materials’, COM(2011) 25, 2.2.2011.
[4] Regulation (EU) No 257/2014 of the European Parliament and of
the Council of 26 February 2014 amending Council Regulation (EC) No 2368/2002.
[5]               Directive 2013/50/EU of the European Parliament and
of the Council of 22 October 2013, OJ L 294, 6.11.2013.
[6]               Regulation (EU) No 995/2010 of the European
Parliament and of the Council of 20 October 2010, OJ L 295, 12.11.2010.
[7]               Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions: ‘Blue Growth opportunities for marine and maritime
sustainable growth’, COM(2012) 494, 13.9.2012.
[8]               The platform‘s members include Commissioners, members
of the European Parliament, ministers, business CEOs, academics and
representatives of NGOs and civil society.
[9]               COM(2013) 516, 11.7.2013.
[10]             ‘Critical Metals in the Path towards Decarbonisation of
the EU Energy Sector’, European Commission, Joint Research Centre, 2013       
(http://setis.ec.europa.eu/system/files/Critical%20Metals%20Decarbonisation.pdf).
[11]             COM(2013) 542, 24.7.2013.
[12]             Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions: ‘Making Raw Materials Available for Europe‘s Future Wellbeing
— Proposal for a European Innovation Partnership on Raw Materials’, COM(2012)
82, 29.2.2012.
[13]             ‘Waste: a resource to recycle, re-use and recover raw materials.
Towards a near-zero waste society.’
[14]             COM(2012) 497