CELEX: 51991PC0037
Language: en
Date: 1991-02-11
Title: PROPOSAL FOR A COUNCIL REGULATION (EEC) ON A COMMUNITY AWARD SCHEME FOR AN ECO-LABEL

COMMISSION OF THE EUROPEAN COMVIUNITIES
                                  C0M(91)  37 final
                                  Brussels, 11  February 1991
                        Proposal for a
                  ÇQUNCH REGULATION (EEC)
        on a Community award scheme for an Eco-label
                (presented by the Commission)
 ---pagebreak---                                           - 2 -
                                  EXPLANATORY MEMORANDUM
I.   INTRODUCTION
1.   Products    subject      to   mass    consumption      are   a    potential      source    of
     important     environmental         degradations        simply     because        they    are
     manufactured     and used      in great quantities.         The environmental          impact
     can   occur     at    all     stages     of    the   product's       life     cycle,     i.e.
     manufacturing, distribution, consumption/use and disposal after use.
2.   The   need   to    develop     a   policy    towards     "clean"    products       aimed   at
     preventing, reducing and as far as possible eliminating pollution at
     source and ensuring sound management of new materials resources has
     been emphasized       in the Fourth European Community Action Programme on
     the Environment       (1987-1992)C).         In particular, proposals            should aim
     "at   defining      criteria     for    'environmentally       sound     products',      i.e.
     products which       give    rise   to   little or     no waste     at    the   elimination
     stage".
3.   Accordingly,      the   Commission      announced     in   its   communication        to  the
     Council    and     the    Parliament      on   a   Community      Strategy      for    Waste
                   2
     Management^ ) the setting up of               a Community      framework     for    an award
     scheme for an Eco-label.
4.   The    Council      of     the    European      Communities,       in     approving      this
                                                                            3
     communication       in    its   Resolution      on  Waste     Policy^ ),       stated    that
     priority    should      be   given    to    prevention     or    reduction      at    source,
     particularly      by   the use of       clean    products.     Therefore,      the    Council
      invited the Commission to elaborate ecological criteria for products,
     taking   into account best available technology not entailing excessive
     cost and    including as appropriate the use of recyclable, reusable or
 (1) OJ No C 328, 7.12.1987, p. 1.
 (2) Doc. SEC(89)934, 14.9.1989.
 (3) OJ No C 222, 18.5.1990.
 ---pagebreak---                                           - 3 -
    biodegradable       materials.      Furthermore,        the    Council       invited    the
    Commission     to come forward with a proposal             for a Community-wide eco-
     labelIing scheme.
5.  The European Parliament has already supported a Community environment
     label    for   eco-products       in      its Resolution      on waste      and   landfill
     pol icy(*).
6.   It must    be underlined       that    the   award    scheme   for    the   Eco-label    is
     voluntary with full freedom to apply or not to apply for a label, will
     provide   incentives for the conception of products which will, beyond
     preventing     the amount     or   harmfulness of waste,         reduce     pollution or
     reduce nuisance such as noise or odour.
7.   Furthermore, the Eco-label will respond to the increasing awareness of
     consumers    throughout     the Community on environmental             issues and their
     claim to be guided        in deciding upon their purchases.               With regard to
     consumers,     the  award    scheme     for   the   Eco-label    will     complement    the
     development     of  an   integral     concept    of   consumer    information     on both
     product quality and behaviour in the environment.
8.   The   Federal    Republic    of Germany       introduced    in 1978      the Blue-Angel-
     Scheme    which    has    since     played     an    important     role     in   promoting
     environmentally       more     benign      alternatives      using      market     forces.
     Moreover,    the   Blue-Angel-Scheme        plays    a   leading    role    in  the   large
     sector of public procurement.
9.   Several    other    Member    States     are    currently    considering       setting   up
     environmental      label    schemes     i.e.    France,    the   United     Kingdom,    the
      Netherlands and Denmark.
 10. The Commission's view is that a plethora of national award schemes for
      Eco-label s would run the risk of fragmenting the Single Market and of
      creating distortion to competition            in the Community.        Furthermore, the
      setting up of national schemes as the Single Market nears completion
      would threaten the integration process of both economic and consumer
      policy.
 (4) OJ No C 190, 20.7.1987.
 ---pagebreak---                                     - 4 -
I I. SITUATION IN THE MEMBER STATES OF THE EUROPEAN COMMUNITIES
    Federal Republic of Germany
    The Federal Republic of Germany was the first country to introduce an
    official award system for an Eco-label and they still remain the only
    country in the Community to have done so.
    The interest in the Blue Angel among manufacturers developed slowly in
    the first years of the existence of the symbol so that after 3 years in
    operation only about 100 products were carrying the symbol and after 6
    years there were 500 products.       More recently    industrial    interest has
    grown    along   with   the  growing    environmental   awareness     of   German
    consumers.     In July   1989, the number of     products   carrying    the Blue
    Angel had risen to 3100 covering 57 product groups.           A great majority
    of the products bearing the label are manufactured by German companies.
    Only    some  10% of    the  applications    have  been   made   by   non-German
    companies despite the lack of restrictions for foreign companies.
    Denmark
     In the spring of 1989, a revised act of law on chemical substances and
    products was passed by the Danish Parliament.          A new section of this
    act    authorized   the  Minister   of   Environment   to   implement    a  legal
    environmental     label  concerning   the  sale of   chemical   substances    and
    products and articles containing or liberating chemical substances and
    products.
     Under   the provisions of    this act, the Minister       of  Environment    may
    establish rules for obtaining the right to use the label, the design of
     the label, and whom the Minister requires to administer the scheme.
     In addition    to this revision of the act on chemical         substances and
    products, the act on the Environment       is being revised, and the revised
    edition is expected to contain a section on an environmental label.
 ---pagebreak---                                      - 5
The Danish initiative is strongly linked to the recent                  introduction of
environmental       label    schemes    in   other    Scandinavian      countries,    and
particularly through the cooperation within the Nordic Council.
France
The French Council of Ministers decided on 4 January 1989 to develop a
policy towards the promotion of products which are as environmentally
friendly    as    possible.     A   study  group     was   set  up   to   examine   -   in
consultations with         other   groups concerned       -  the orientations      to be
followed, in particular encouragement through the "Eco-Product-Award",
the setting up of a           label   scheme and     fiscal   measures.     It has been
underlined     in the     Interim Report      issued by the Group on 27 December
1989 that all activities undertaken at Community                  level   in this field
should    be    taken    into   account.    At    the   same   time,   all   conclusions
 resulting from the preliminary study carried out                 in France should be
presented to the Community partners.
Pursuant to Article 145 of the Regulation of the National Assembly, the
 "Commission de la Production et des Echanges" presented a report on an
 Eco-label    in May 1990 to the National Assembly.              This report comes to
 the conclusion       that   an   Eco-label    in France     should   be based on      the
 existing    certification       procedure     in   creating    a  NF    mark  for   eco-
 products.     This    mark    or   label   should     be   operational     as  soon    as
 possible.     It would     be compatible with        the EC-Council      Resolution of
 21 December     1989 recommending mutual recognition of agreements                in the
 field of testing and certification.
  Ireland
 The Irish Government        is currently preparing a Bill on the "Environment
 Protection Agency" including provisions for a national Eco-label system
 which might be integrated into a Community scheme.
 ---pagebreak---                                         - 6 -
    The Netherlands
    The Dutch Ministries of Housing, Physical              Planning and Environmental
    Protection    and   Economic     Affairs    have   examined    the    feasibility    of
     introducing an Eco-mark in the Netherlands.             The initiative was taken
     in the light of the Dutch "National Environmental Policy Plan" of May
    1989 which introduced consumer information on product standards as part
    of environmental policy as well as the possibility of creating an eco-
    mark.
    The United Kingdom
    The UK Government has carried out a consultation exercise on an eco-
     label on the basis of a discussion paper             issued   in August 1989.      The
     consultation    has   shown    "that  there    is overwhelming      support    for  an
     official Eco-label scheme operating on a European Community-wide basis"
     as  stated   in a Press Release         issued on 9      January    1990 by    the UK
     Department   of   the Environment.       A   small   advisory   group    composed   of
     individuals with experience and knowledge relevant to the subject is
     currently   working     on   defining    details    of   the   scheme    and   on  the
     selection of product categories for priority consideration.
II I.COMMENTS ON THIS PROPOSAL FOR A REGULATION
A)   GENERAL
1.   The primary objectives of the award scheme for an Eco-label covered by
     this  Regulation     are   to encourage      undertakings     to   produce    products
     which   are  as   environmentally      friendly    as   possible    and   to   provide
     consumers with better       information on the environmental performance of
     products which      they   buy   and  use.    The  award   of   an   Eco-label    to a
     product will be a clear signal to consumers that the product is of high
     environmental     quality.     Products     bearing    the   label    are    therefore
     expected to be preferred by consumers, and manufacturers will respond
      to the resultant      demand.    The Regulation      therefore    puts   in place a
     market mechanism for achieving higher environmental quality.
 ---pagebreak---                                       - 7
2. The creation of the single market means that goods will be increasingly
   traded between Member States and           it is logical    that a Community-wide
   award   scheme   for an Eco-label       should be put     in place     to avoid    the
   confusion   associated with the development           of a plethora of national
   schemes.    The Regulation      therefore    sets up a Community        scheme which
   will ensure that uniformly high levels of environmental performance are
   achieved by products bearing          the Eco-label.     The scheme     is voluntary
   and   transparent,     and  designed     to  be  as  simple    as  possible     whilst
   achieving a high level of credibility.
3. The label will be awarded only to those products which meet the general
   and   specific   criteria    established     for a product     category,     in other
   words products which serve similar purposes and which have equivalence
   of   use.   In   establishing     these    criteria,   the   European     Environment
   Agency will carry out preparatory work in consultation with specialist
   scientific and technical organisations.
4. Member States must play a major role in the setting up and operation of
   the scheme     and   this  is provided      for  in the Regulation       through   the
   establishment     by   Member    States   of   Competent   Bodies    which    will   be
    responsible for proposing product groups for inclusion               in the scheme,
    for assessing    individual applications for a label and             for concluding
   contracts with successful applicants.
5. The regulation provides for          the setting up of a Jury which, on the
   basis of recommendations of the national bodies, shall decide on the
    award of the label to individual products.
   The decisions of the Jury are considered approved by the Commission if
    the Commission does not raise any objection.
6.  In addition it is recognised that a scheme for awarding the Eco-label
    which   is   based    on  voluntary      application    will    benefit    from    the
    participation     in the Jury of all         interested  groups,     i-e-   industry,
    retailers,      consumer      organisations,       environmentalists,         workers
    organisations and media, and a fair balance in the composition of the
    Jury between these various groups should be sought.
 ---pagebreak---                                       - 8 -
B) LEGAL BASIS OF THE PROPOSAL
1.  As mentioned above, products subject to mass consumption can contribute
    to important environmental degradations that might occur at all phases
    of the life cycle of the products.           The introduction of the Eco-label
    as a mearrs of changing the conception of products, taking fully into
    account the objectives of the scheme, aims at preventing and minimizing
    their    environmental       impact    during    the    manufacturing       process,
    consumption and use as well as during disposal after use.
2.  Existing    or   future   independent    Eco-label    schemes    for   'ecological'
    products might continue to exist.         However, care must be taken to avoid
    confusion among these different schemes.
3.   In view of the expected       improvements    in environmental performance of
    products    subject    to  mass   consumption    through    the   market    oriented
     instrument and its impact at source, the legal basis for the Regulation
    should be Article 130S of the Treaty.
4.  There are important reasons why this Regulation is proposed instead of
     a Directive.     Firstly, a Regulation will be         implemented more quickly
    which will enable a Community-wide Eco-label scheme to be established
     at   the    earliest    opportunity.     Secondly,    a   Regulation      will    be
     implemented   at the same time and         in the same manner       in all Member
     States without     any delay or     difference resulting      from   transposition
     into nat ional law.
 C)  COMMENTS ON INDIVIDUAL ARTICLES OF THE PROPOSED REGULATION
                                       Article 1
 1.  Article   1 describes     the objectives of      this Regulation.       As   already
     covered   in A.1    above, these     are   to encourage     business    to   produce
     products   which   are   as environmentally      friendly   as   possible    and  to
     provide   consumers    with   better    information   about    the   environmental
     performance of products.
 ---pagebreak---                                    - 9 -
2.  A Community-wide scheme is proposed so that the integrity of the single
    market can be ensured and uniformly high levels of protection for man
    and the environment can be achieved across the Community.
                                   Article 2
    This Article excludes certain specific product groups from the Scheme,
    such as food, drink and pharmaceuticals, which are governed by other
    regulations.    The initial intention is to cover consumer products, that
     is products which consumers      in the private or public sectors could
    normally have access to.      It is recognised that an Eco-label scheme
    might also be applied to other groups of products and services but any
    extension of     the scope of    the current   proposal would  add  to the
    complexity of the scheme and should only be considered at a           later
    stage.
    The scheme does not include the awarding of a label to packaging in its
    own right because of the potential confusion between the environmental
     performance of the packaging and that of the product itself.      However,
     it is envisaged that the packaging of a product will be one of the
     factors   taken    into  account    when . evaluating  the   environmental
     performance of the product as a whole.
                                    Article 3
 1.  Article 3 makes clear that the terms "substance" and "preparation",
     have specific meanings as defined in the Directive 67/548/EEC.
 2.  The Article also defines the term "product group" in the context of the
     Eco-label.  A product group needs to be carefully defined so that
     products within the same group are seen by the consumer as being true
     alternates.   Care must also be taken when defining products within a
     group to ensure that the operation of the scheme does not lead to any
     undue distortions of the market place.
 ---pagebreak---                                     - 10 -
3.  The establishment of specific criteria will         include consideration of
    the   phases  of   the    life  cycle   of   products,    i.e.   manufacturing,
    distribution, consumption and use as well as disposal after use, which
    is the definition of the "cradle-to-grave" approach.
                                     Article 4
    There    are  a   number    of   Community    provisions     relating    to  the
    classification,   packaging    and   labelling of   products,     in  particular
    dangerous substances and preparations, and this Article makes it clear
    that this Regulation has no effect on the application of these other
    provisions.
                                     Article 5
 1. Article 5 summarises some of the key points about the definition of a
    product   group  and   points  to the procedures      for  establishing    a new
     group.
 2.  Formal  proposals for new product      groups should     be made    through the
     Competent Bodies    in the Member States but      it   is important    that any
     individual, group or organisation in a Member State should be able to
     suggest new groups to the relevant Competent Body. This will help to
     contribute to the openess of the scheme.
 3.  In each case, the Competent       Body  in the Member     state   in which  the
     request originates shall decide if it wishes to forward a request to
     the Commission   for   the adoption of     a product    category    through the
     Advisory Committee procedure.      The request must be accompanied by all
     information necessary for the Committee to examine the request.
 ---pagebreak---                                     - 11 -
                                     Article 6
1.  This   Article   underlines   the    requirement     that,   regardless    of   the
    environmental   qualities of a product,         it must  also comply with all
    applicable health and safety standards if it is to qualify for a label.
2.   It is also clear that products which are manufactured using processes
    which do not conform to existing Community environmental               legislation
    should not be awarded a label.
                                     Article 7
     Article 7 outlines the approach to establishing specific environmental
     criteria for a product group.        It is clear that the Eco-label scheme
     must consider   the environmental      performance of a product       during all
     stages of its production, use and disposal.         Anything less would not be
     credible.  When    a   product   group     has   been   chosen    a    series   of
     environmental criteria need to be established for that product group
     against which   individual products can be assessed.          All the potential
     environmental   impacts at different stages of a normal product's life
     cycle are illustrated in the form of the matrix shown in Annex I.
     This matrix therefore forms a guide when establishing criteria for a
     product  group.   Judgements need      to be taken on      the main     individual
     environmental   impacts for which     levels of performance need to be set
     and these must be high enough to ensure a high level of environmental
     protection.   Taken   together    the   chosen    standards    form   the   agreed
     performance criteria for the product group.
      In establishing   criteria, the Commission will address           itself   to the
     European Environment Agency which, in accordance with the tasks which
     have been conferred on it by the Council regulation (EEC) 1210/90, in
     particular   in Article    20^5),   will    carry  out   necessary    preparatory
     work.
 (5) OJ No L 120, 11.5.1990.
 ---pagebreak---                                     - 12 -
4. In  setting    the  criteria    recognition    must   also   be   taken    of   the
   feasibility of business meeting the criteria.          The scheme is voluntary
   and   it  must   therefore    make   commercial    sense   for   at   least    some
   businesses to make the necessary design and/or process changes required
   before the firm has a realistic prospect of being awarded a label.
5. A further consideration       is that products bearing the         label must be
   visible and available to the consumer otherwise the scheme will not be
   effective as a market mechanism.         This is a complex      issue since the
   market penetration of products bearing the label will depend on many
   factors    other   than   the    performance    criteria    which    are   chosen.
   Nevertheless, when setting criteria, consideration will               need   to be
   given to this issue.
6. Applicants for a label need to have the confidence that, if granted,
   the label can be used for a known period of time.            The criteria for a
   particular product group will therefore be set for a fixed period which
   may be extended.     It is expected that the normal period of validity for
   criteria will be 3 years but this may be varied.            For instance, where
   the technology associated with a product is changing rapidly it may be
   desirable to shorten the period of validity.          Alternatively, it may be
   appropriate    to establish     criteria   which   require   an   improvement    in
   product performance over fixed periods of time.           It will clearly be in
   the applicant's     interests to apply for a label as soon as possible
   after   the criteria are published since this will maximise the time
   during which the applicant can use the label.
                                     Article 8
   Article   8   draws  attention    to  the procedure     for   adopting    specific
   criteria as defined in Article 9.
 ---pagebreak---                                     - 13 -
                                     Article 9
1.  Article  9   describes   the operation    of   the Advisory    Committee    which
    provides   advice   on the measures     prepared   by  the Commission.      These
    measures   include the establishment of new product categories and the
    definition of criteria referred to in Articles 6 and 7.            In preparing
    these measures, the Commission will be assisted by independent experts
    on the individual product groups.
2.  The Advisory Committee is established        in compliance with Article 2 of
    the Council decision 87/373/EEC.
                                    Article 10
1.  This Article describes the Eco-label         and summarises some of the key
    points covering the award of the label and its use.         It is an objective
    of  the scheme that the      label should achieve a high       level of public
    recognition in the Community and signify an official endorsement of the
    environmental performance of the products to which it is awarded.             The
    award of a label can be expected to have considerable commercial value
    and so business will be encouraged to design and produce products which
    will be able to qualify for the label.          The label represents a market
    mechanism for informing consumer choice and achieving an improvement in
     the quality of the environment by encouraging manufacturers to develop
    products with an improved environmental performance.
2.  Applications for the use of the label must be made to Competent Bodies,
     appointed  by   the Member   States, who are      responsible   for   evaluating
     applications from businesses.       The applications must contain all         the
     necessary information required to compare the environmental performance
    of the product whith the agreed criteria for the product group.                The
     procedure for awarding a label is covered in Articles 12, 13 and 14.
 3.  When a label is awarded to an individual product it provides consumers
     with  the   information   that   it  represents   a  product   of   the  highest
     environmental quality.     At the same time the consumer wishes to know
     the reason why the product is less harmful to the environment.           That is
     why the principle reasons for awarding the label will be stated near
     the label.
 ---pagebreak---                                       14 -
4.  The criteria    applicable   to a product     category   are adopted   at  the
    Community   level via the Advisory Committee procedure and remain valid
    for a fixed period dependent on the product category.        A label may only
    be awarded for a period during which the criteria applicable to the
    product group are valid.
5.   It  is clearly    Important  that   the use of     the  Eco-label  should   be
    strictly controlled and this is the responsibility of the Competent
    Body in the relevant Member State.
6.  The   label must also not be used       in a way which might mislead       the
    consumer.
                                    Article 11
     This Article provides for the establishment by Member States of the
     Competent Bodies which will be responsible for handling applications
     for Eco-label s and for concluding contracts for the use of labels once
     the necessary    procedures have been followed.        The Member  State may
     appoint an existing organisation as the Competent Body or may decide
     that a new body needs to be established.
                                    Article 12
 1.  Article 12 describes the process of awarding a label where a product
     group has already been agreed along with the associated criteria.
 2.  Manufacturers or importers may only make an application for a label to
     the  Competent   Body   of  the Member   State    in which    the product    is
     manufactured or     into which  it is imported      into the Community.    The
     applicant must provide the Competent Body with all            the information
     required to assess the environmental performance of the product.           The
     Competent   Body   is then responsible    for comparing    the environmental
     performance of the product with the agreed criteria for the appropriate
     product group. The Competent Body can also ask the applicant to provide
 ---pagebreak---                                  - 15 -
   samples of the product or its components for independent testing. This
   may be important where the Competent Body has doubts about a claim
   being made by an applicant.
3. The results of all product evaluations should be sent to the Jury for
   decision.
4. An undertaking may wish to withdraw an application for a label or stop
   using an existing label.     In these cases the relevant Competent Body
   should be notified of the reasons for such action.
                                 Article 13
1. Article 13 describes the functioning of the Jury which, on the basis of
   proposals   submitted   by the Competent    Bodies, awards   the  label  to
    individual  products which best meet     the requirements.   The Jury   is
   nominated by the Council.    The composition of the Jury should ensure a
    fair balance between the different     interest groups,    i.e. industry,
    retailers,    consumer    organisations,     environmentalists,    workers
   organisations and the media.
2.  The Jury will establish its own rules of procedure.
3.  The Jury communicates its decisions to the Commission which may raise
    objections within a period of two months if it identifies a clear error
    of judgement or in case of a major violation of procedures.
    In addition an appeal procedure is provided for in this Article.
 ---pagebreak---                                        - 16 -
                                       Article 14
This article describes the tasks of the European Environment Agency which
fall    into   two  main   categories.     It  operates   firstly   in carrying     out
preparatory work      in establishing specific criteria to be adopted           through
the    Advisory     Committee     procedure.   Then,    in   conjunction    with    the
preparatory work, the Agency recommends the form and scope of             information
necessary     to evaluate    individual   applications.    In this context     it also
assists the Jury       in the execution of      its tasks   in awarding  a    label  to
 individual products.
                                       Article 15
1.   Article 15 provides for the Competent Body to draw up contracts for the
     use of the Eco-label.       The contract will cover the conditions of use of
     the label including a specification of the period for which the label
     can be used.
 2.   It is intended     that the Eco-label     scheme will be self-financing and
     this will be achieved through the levying of fees for the assessment of
     product    applications    and   for   the use  of   the  label.  Fees    will   be
     applied uniformly throughout the Community and will be specified in the
     contract.     Care ought to be given that fees are fixed at levels which
     do not discourage small and medium sized enterprises from applying for
     a label.
                                        Article 16
     This Article deals with         the   issue of  confidentiality of     commercial
      information.     To evaluate an application for a label all        information,
     confidential or not, which         is necessary to evaluate the proposal may
     need    to be made available       to the Competent    Bodies, the Environment
     Agency and Jury.       Outside these bodies confidentiality of        information
     can be maintained subject to a full Justification being given and to
     agreement by the relevant Competent Body.
 ---pagebreak---                                       - 17 -
2. An  application     for   a   label   may   be   withdrawn    at   any  time    if  the
   applicant feels unable to comply with the requests for information from
   the Competent Body.
3. Certain   information     will    need   to   be   made  available     in   all   cases
   following the award of a label namely, the name of the product, the
   manufacturer or      importer of the product and the reasons for awarding
   the label.
4. However, all     persons     involved   in the assessment        process   should   not
   disclose any information to which they have gained access through the
   proceedings.
                                       Article 17
1.  Information about      the chosen product        groups and     associated   criteria
   needs to be made widely available and up-dated regularly.                  Article 17
   provides for this information to be published in the Official Journal.
   Similarly,    details     of   the    products     awarded   labels    will   also   be
   published in the Official Journal.
2.  It is also important that the identity of the Competent Bodies in the
   Member States is well known and their names will therefore be published
    in the Official Journal.
                                       Article 18
    This Article    covers     the steps which Member         States need    to take to
    publicise   the   Eco-label     scheme.    The   scheme must     be made    effective
    throughout the Community from the date of the launch.                This means that
    before the launch Member States will need to provide business and the
    consumer with    information about the objectives of the scheme and the
    way that   it will operate.        Business    in particular will need time to
    assess  the   implications of       the scheme and      to prepare     proposals for
    products to be included in the scheme.
 ---pagebreak---                                    - 18 -
2.  Once    the scheme has been    launched Member  States will   also need   to
     provide consumers with information about the product groups which have
     been selected, the criteria for the product groups and the products
     which have been awarded a label.
                                    Article 19
1.    It can also be expected that businesses will    include a mention of the
     award of a label in their product advertising.      Reference to the award
     of a label will need to be closely controlled to avoid misleading the
     consumer.
2.    In particular, any reference to the Eco-label     in promotional material
     must only be made once a label has been awarded and then only        in the
     context of the specific product for which the label has been awarded.
                                    Article 20
 This Article highlights the fact that Member States need to put        in place
 legal   or   other  measures,  if   they  do  not already   exist,  to  prevent
 infringement of the provisions of the Regulation covering the use of the
 Eco-label.    The Member States will inform the Commission of these measures.
                                    Article 21
 Article 21 covers the basic principle that the Award Scheme for Eco-Label
 must not be used as a way of restricting the trade or marketing of products
 within the Community.
 ---pagebreak---                                    - 19 -
                                    Article 22
It is recognised that after a period of time it may be necessary to modify
the  regulation    in order   to  improve  the  efficiency  of the   system   for
awarding   the  Eco-label.   Modifications may    prove  to be necessary    in a
number  of   areas  and  this Article   anticipates   that the Commission will
possibly propose provisions to this effect on the basis of a review which
it will carry out at the latest five years after the entry        into force of
the regulation.    The provisions will concern in particular the continuation
of the co-existence of national schemes with the Community scheme as well
as the field of application.     The Commission in accordance with Article 20
of the Council Regulation 1210/90 may equally propose to transfer the task
of determining the specific criteria to the European Environmental Agency.
                                    Article 23
Member States will need time to implement certain aspects of the Regulation
and  it  is proposed    that  it should come   into force 12 months after      its
publicat ion.
 ---pagebreak---                                    - 20 T
                                 Proposal for a
                            COUNCIL REGULATION CEEC)
                  on a Community award scheme for an Eco-label
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic Community,
and in particular Article 130s thereof,
Having regard to the proposal from the Commission,
Having regard to the opinion of the European Parliament,
Having regard to the Opinion of the Economic and Social Committee,
Whereas    the  objectives   and principles   of   the   Community's  environment
policy, as set out      in the European Community      Action Programmes on   the
Environment^), aim, in particular, at preventing, reducing and as far as
possible eliminating pollution, particularly at source, and ensuring sound
management of raw materials resources, on the basis also of the 'polluter
pays' principle; whereas the Fourth European Community Action Programme on
 the  Environment   (1987-1991)<2) highlights    the opportunity    to develop  a
policy towards clean products;
Whereas the Council Resolution of 7 May 1990* 3 ) invited the Commission to
submit as soon as possible a proposal       for a Community-wide Eco-labelIing
scheme   covering   the environmental   impact  during    the  life cycle of  the
product ;
Whereas the European Parliament, in its resolution of 19 June 1987 on waste
and landfill policy* 4 ), supported a Community Environmental Label for eco-
 products;
 (1) OJ  No C  112, 20.12.1973, p. 1.
     OJ  No C  139, 13.6.1977, p. 1.
     OJ  No C  46, 17.2.1983, p. 1.
     OJ  No C  70, 18.3.1987, p. 3.
 (2) OJ  No C  328, 7.12.1987, p. 1.
 (3) OJ  No C  122, 18.5.1990, p. 2.
 (4) 0J  No C  190, 20.7.1987, p. 154.
 ---pagebreak---                                       - 21 -
Whereas there     is increased public     interest  in information about products
which are environmentally      less harmful; whereas at least one Member State
has already     an award   scheme for such products and several         other    Member
States are considering the setting up of such a scheme;
Whereas a system to award an         Eco-label   for environmentally     less harmful
products    will   highlight  more   benign   alternatives    and  therefore   provide
consumers and users with guidance;
Whereas such guidance can best be achieved by establishing uniform criteria
 for the award scheme which apply throughout the Community; whereas existing
or future independent award schemes can continue to exist for a period of
 five years, and     at the end of this period the Commission should reexamine
 this solution in the light of the experience gained;
Whereas the award scheme should be based on voluntary application; whereas
 such an approach, in relying on the market forces, will also contribute to
 research and development, in particular of less polluting technologies, and
 therefore lead to innovation;
Whereas uniform application of the criteria and compliance with procedures
 should be ensured throughout the Community;
 Whereas   the award    scheme  for   the Eco-label   will    take  into account     the
  interests   of   all  groups   concerned,    industry,   commerce,   consumers     and
 environmentalist, and      therefore   should  provide   for   involvement   of   these
 groups in the award procedure to individual products which conform to the
 established criteria;
 Whereas   this   label  should complement    other existing or      future  Community
  labelling   systems    in  particular    those   giving    information    on    energy
 consumpt ion;
 ---pagebreak---                                  - 22 -
Whereas  the European  Environment  Agency should be made  responsible  for
certain tasks  in connection with the preparation of environmental   labels
and criteria for the award of such labels to products, technologies, goods,
services and programmes which preserve natural resources,
HAS ADOPTED THIS REGULATION :
 ---pagebreak---                                         - 23
CHAPTER I : OBJECTIVES AND FIELD OF APPLICATION
                                         Article 1
                                        Objectives
1.  This Regulation establishes a Community award scheme for an Eco-label
    with   a   view    to   promoting    products  which   are   environmentally     less
    harmful,      and     therefore     have   an   overall     environmental      impact
    significantly      less than that of other products           in the same product
    group.
2.  The award scheme is designed to :
         encourage manufacturers to design and produce products which have a
         reduced    environmental      impact  during manufacturing, distribution,
         consumption and use as well as during disposal after use;
         provide    consumers     with   better   information   on   the  environmental
         performance of products.
     These   environmentally      more    benign  product    alternatives    should   not
     compromise    product    or   workers' safety    nor   significantly    affect   the
     fitness for use of the product.
 3.  The  reduction of environmental          impact will    be achieved    through   the
     minimisât ion of :
         use of natural resources and energy resources;
         emissions into air, water and to soil;
         generation of waste and noise;
     and through     the maximisation of product         life and, where applicable,
     through    the   use   of  clean    technologies   to  ensure    a  high   level  of
     environmental protection.
 ---pagebreak---                                  - 24 -
                                  Article 2
                            Field of applIcation
This Regulation shall not apply to food, drink or pharmaceuticals
                                  Article 3
                                 Definitions
For the purpose of this Regulation:
(a) 'substance' means chemical elements and their compounds as defined in
    Article 2 of Council Directive 67/548/EEC(5> ;
(b) 'preparation' means mixtures or solutions as defined    in Article 2 of
                                   6
    Council Directive 88/379/EEC< >; .
(c) 'product group' means products which serve similar purposes and which
    have equivalence of use.
(d) 'cradle to grave' means the life cycle of a product from manufacturing,
    distribution, consumption and use to disposal after use.
                                  Article 4
                         Other Community provisions
The provisions laid down in this Regulation shall apply without prejudice
either  to  other  Community  provisions   relating to  the  classification,
packaging  and  labelling of  products or   to the provisions  laid down  in
                              7
Council Directive 83/189/EEC< ).
(5) OJ No 196, 16.8.1967, p. 1.
(6) OJ No L 187, 16.7.1988, p. 14.
(7) OJ No L 109, 26.4.1983, p. 8.
 ---pagebreak---                                      - 25 -
CHAPTER 11 : ESTABLISHMENT OF PRODUCT GROUPS AND CRITERIA
                                      Article 5
                                   Product groups
1.  Product groups shall be established         in accordance with the procedure
     laid down in Article 9.
2.   Each product group shall be defined in such a way as to ensure that all
     competing   products    which   serve   similar    purposes  and   which    have
     equivalence of use are included in the same group.
3.   General and specific criteria for each product group shall conform to
     the requirements of Articles 6 and 7.
4.   Requests   for   the  establishment    of   a  new   product  group   shall   be
     addressed   to  the Competent     Bodies  referred    to  in Article   11.   The
     Competent Body shall decide if it wishes to request the Commission to
     submit a proposal to the advisory committee referred to in Article 9.
                                      Article 6
                                 General principles
 1.  The Eco-label shall only be awarded to products which do not contravene
     Community health, safety and environment requirements.
 2.  The  Eco-label    shall  not   be awarded    to substances   and  preparations
     classified as dangerous      in accordance with Directive 67/548/EEC.        Nor
     shall  the Eco-label be awarded to products containing a substance or
     preparation    classified    as   dangerous   in  accordance   with   the   said
     Directive and likely to harm man and/or the environment.
 3.  The Eco-label    shall only be conferred on products manufactured by a
     process which do not contravene         Community   environmental   legislation
     and   is unlikely to harm significantly man and/or the environment.
 ---pagebreak---                                      - 26 -
4.  The Eco-label shall be awarded to products which meet the objectives
     set out   in Article 1 and represent a "state of the art" approach in
     contributing to an improvement in the quality of the environment.
                                      Article 7
                         Elaboration of specific criteria
     Specific   environmental    criteria   for   each   product   group   shall  be
     established using a "cradle to grave" approach including consideration
     of   the  objectives   set   out   in Article    1.  The   criteria   shall  be
     established by reference to the matrix format shown in Annex I, shall
     be based on the use of clean technologies where applicable and shall
     ensure a high level of environmental protection.
     The   European   Environment    Agency,   hereinafter    referred   to  as  the
      "Agency",   shall   undertake,     at  the   request    of   the   Commission,
     preparatory work of a scientific and technical nature necessary for the
     establishment of criteria.
                                      Article 8
                        Adoption of the specific criteria
Without    prejudice   to Article     22, the   specific   environmental    criteria
 referred to in Article 7 for each product group shall be adopted by the
 Commission in accordance with the procedure laid down in Article 9.
                                      Article 9
                                Advisory Committee
 1.  The Commission shall be assisted by a committee of an advisory nature
      composed of the representatives of the Member States and chaired by the
      representative of the Commission.
 ---pagebreak---                                   - 27 -
    The representative of the Commission shall submit to the committee a
    draft of the measures to be taken.       The committee shall    deliver   its
    opinion on the draft, within a time limit which the chairman may lay
    down according to the urgency of the matter, if necessary by taking a
    vote.
    The opinion shall be recorded in the minutes; in addition, each Member
    State shall have the right to ask to have its position recorded in the
    minutes.
    The Commission shall take the utmost account of the opinion delivered
    by the committee.    It shall inform the committee of the manner in which
     its opinion has been taken into account.
2.  The Commission may consult the committee on any matter related to the
    operation of the award scheme for an Eco-label.
CHAPTER I I 1 : AWARD OF AN ECO-LABEL TO INDIVIDUAL PRODUCTS
                                   Article 10
                                 The Eco-label
1.   To  achieve   the objectives   set  out   in  Article   1,  the  Eco-label,
     illustrated in Annex   II, shall be awarded to products best fulfilling
     the requirements of Articles 6 and 7.
2.   Applications for the use of the label shall be made in accordance with
     the procedures set out in Article 12.
     The decision   to award a   label  to  individual  products amongst    those
     which best fulfill the criteria referred to in Articles 6 and 7 shall
     be taken by the Jury established under Article 13.
3.   The main   reasons for granting the Eco-label     shall   be mentioned, if
     possible, in or near the label in code form and shall form an integral
     part of the label.    The code shall be adopted     in accordance with the
     procedure set out in Article 9.
 ---pagebreak---                                        - 28 -
4.   The label shall be awarded for a fixed period of time, dependent on the
     period   of   validity    of   the   criteria,    which    may   be   altered   where
     necessary after review.
5.   The   Eco-label   shall    not  be   used   under   any   circumstances     before   a
     contract on the conditions of use has been concluded with the Competent
     Body to which the product application was submitted.
6.   The Eco-label     shall   not be used      in a manner      likely   to mislead   the
     consumer.
                                        Article 11
                          Designation of Competent Bodies
Each Member State shall designate the body or bodies, hereinafter referred
to as the "Competent Body", responsible for carrying out the tasks detailed
 in Article 12 and inform the Commission thereof.             The Competent Body shall
be independent from industrial or commercial interests.
                                        Article 12
                         Requests for award of an Eco-label
 1.  Manufacturers    or    importers may     apply   for   award   of   a  label  to   the
     Competent Body in the Member State in which the product is manufactured
     or into which the product is imported.
     The Competent Body shall assess the environmental performance of the
     product   by   reference    to the agreed      general   principles and      specific
     performance criteria for the product group.
2.   The Competent Body may also request that applicants for a label submit
     all or part of the product for testing.
3.   After   the product     assessment    the Competent      Body   shall   decide   if a
      request   for  the   award   of   a  label   shall   be   submitted    to  the  Jury
     provided for in Article 13.
 ---pagebreak---                                    - 29 -
4.  If an application for a label       is rejected the Competent Body shall
    advise the applicant of the reasons for rejection.
    Member States shall'provide for an appeal procedure in such cases.
5.  An undertaking may withdraw an application for a new label, or cease to
    use an existing label, after notifying the Competent Body.
                                    Article 13
                                     Th$ Jury
A Jury is hereby established for the award of labels to individual products
amongst those which best meet the requirements of Articles 6 and 7.
1.  The Jury shall consist of 18 full members, there being for each Member
    State   one   representative   and  one   representative  of  the  following
     interest groups :
         industry
         commerce
         consumer organisations
         environmental organisations
         workers organisations
         media.
 2. An alternate member shall be appointed for each full member.
 3.  Full members and alternate members of the Jury shall be nominated by
     the Council on the basis of :
         a proposal from the Member States for the representatives of Member
         States
         a   proposal  from  the Commission     for  the  representative of   the
          interest groups.
     The Council   in nominating the members of the Jury shall endeavour to
     achieve a fair balance      in the composition of the Jury between the
     various interest groups.
 ---pagebreak---                                      - 30 -
4.  The list of the members and the alternate members shall be published in
     the Official     Journal   of  the  European   Communities    for   information
     purposes.
5.   The term of office of full members and alternate members shall be three
     years.   Their appointments shall be renewable.
6.   On expiry of their term of office, the full members and alternate
     members   shall    remain  in office until     they  are   replaced   or   their
     appointments are renewed.
7.   A member's term of office shall end before the expiry of the three year
     period with     his resignation or     following a communication from        the
     Member    State    concerned   indicating   that   the   term   of   office   is
     terminated.
     For the remainder of the term of office, a member shall be replaced in
     accordance with the procedure laid down in paragraph 3.
 8.  The Jury shall elect a chairman and an alternate and adopt its rules of
     procedure.
 9.  The Jury shall take all decisions on the basis of a two-thirds majority
     of the members.
 10. In considering the proposals from the Competent Bodies the Jury shall,
      in  awarding     labels,  select   those  products    which   best   meet   the
      requirements    set out in Articles 6 and 7.
 11. If the Jury decides not to award the label to an individual product,
      the reasons for the rejection shall be stated.
 12. The Jury shall communicate its reasoned decisions to the applicants and
      to the Commission.     The Commission shall publish them in the Official
      Journal of the European Communities to enable all interested parties to
      make their comments.
 ---pagebreak---                                     - 31 -
   The Commission may of its own initiative raise an objection to such
   decisions, within a period of two months, if it identifies a manifest
   error of Judgement or in case of          major violation of procedures.      In
   this case it shall return the matter to the Jury for reconsideration.
   Furthermore, any person for whom the decision of the Jury constitutes a
   grievance may within a period of 30 days from publication of                 the
   decision in the Official Journal notify the Commission of a request to
   revise the decision on grounds of manifest error or         major violation of
   procedures.    The Commission shall examine this request in the framework
   of the appeal     procedure    laid down    in the second subparagraph.      The
   Commission shall return the case to the Jury for reconsideration if it
   considers that the request should be accepted and shall              inform the
   applicant    accordingly.     If   the    request   cannot  be    accepted   the
   Commission shall notify the applicant of the decision to reject the
   request.
   The   decision    of   the   Jury   shall   be   considered  approved    by  the
   Commission    if the latter     has not made any objection within the two-
   month period.
                                     Article 14
                        The European Environment Agency
1.  The   Agency    shall    undertake,    in    consultation   with    appropriate
    specialized scientific and technical bodies, preparatory work necessary
    for  the  establishment     of   the  specific    criteria  as   laid  down   in
    Article 7(2).
2.  The Agency,    in cooperation with the Competent Bodies, shall provide
    suggestions on the format and scope of the information to be provided
    to the Competent Body by an applicant as set out in Article 12(1) and
    on the procedures to be followed by Competent Bodies when evaluating
    and transmitting the request for an Eco-label.
3.  The Agency shall assist the Jury in carrying out its tasks.
 ---pagebreak---                                  - 32 T
                                 Article 15
                                Terms of use
1.  The Competent Body shall   issue contracts for the terms of use of the
    label.
2.  The terms and conditions of the use for the label shall include the fee
    to be paid by the applicant for the use of the label.       This fee should
    be set at a level to cover all the reasonable costs         incurred by the
    Competent Body and the Jury.
    These terms of use shall also include provisions for withdrawing the
    authorisation to use the label.
3.  The duration of the authorisation for the use of the label shall not
    exceed the period of validity of the criteria for the product group.
CHAPTER IV : OTHER PROVISIONS
                                  Article 16
                               Confidentiality
1.   If the manufacturer or Importer considers the information obtained in
    pursuance of Article 12 to be confidential, commercially sensitive and,
     if released,   likely to cause his business     industrial   or  commercial
    harm, the applicant for a label may indicate what specific details of
     the information should be kept secret from all other persons other than
     the Competent Bodies, the Members of the Jury and the Commission.       Full
     justification must be given in such cases.
2.  The   Competent   Body receiving   the   application   shall   decide   which
     information should be kept secret     and  inform  the applicant    for the
     label.
 ---pagebreak---                                   - 33 -
3.   In all cases, the following information shall be made available :
         the name of the product;
         the manufacturer or importer of the product;
         the reasons and relevant information for awarding or refusing the
          label.
4.   Competent Bodies and the Jury members shall be required not to disclose
     information to which they have gained access through the proceedings.
                                  Article 17
                                  Pub 11cat ion
1.   The Commission shall publish the product groups and the associated
     specific criteria in the Official Journal of the European Communities.
2.   The Commission shall also ensure that      the list of products for which
     an   Eco-label   has  been  granted    and   the  name  of  the  relevant
     manufacturers or importers is published.
 3.  The Commission shall also publish the names of the Competent Bodies in
     the Off icial Journal.
                                   Article 18
                                   Information
 Member States shall ensure that consumers and undertakings are informed
 about the fol lowing :
 (a) the objectives of the Community Award Scheme for an Eco-label;
 (b) product groups which have been selected;
 (c) the general and specific criteria for product groups;
 (d) the products which have been awarded an Eco-label;
 (c) the procedures for applying for a label;
 (f) the Competent Body in the Member State.
 ---pagebreak---                                   - 34 -
                                  Article 19
                                  Advertising
1.  References to the Eco-label     in advertising shall only be made once a
     label has been granted and only in relation to the specific product for
    which the label has been granted.
2.   Any advertising or   labelling which might   lead to confusion with the
     Eco-label shall be prohibited.
                                   Article 20
                                 Implementation
Member States shall    inform the Commission on measures they have taken to
ensure compliance with this Regulation.
                                   Article 21
                    Free circulation within the Communities
The fact that an Eco-label has been awarded or refused to a product shall
not impede, prohibit or restrict the marketing of this product.
                                   Article 22
                                     Revision
 Not later than 5 years after the entry into force of this Regulation the
 Commission shall review the scheme in the light of experience gained during
 its operation, and in particular
      whether  it is appropriate that national     systems should continue to
      exist alongside the Community system
      the field of application of the scheme as laid down in Article 2.
 ---pagebreak---                                    - 35 -
The   Commission   shall,   if necessary,    propose  modifications   to  this
Régulât ion.
In   its  proposals  presented  in   accordance  with Article   20 of  Council
                     8
Regulation 1210/90^ ^ and not    later than five years after the entry     into
force of this Regulation, the Commission shall propose the transfer to the
Agency   of the task of determining     the specific criteria referred   to in
Art icle 8.
                                   Article 23
                               Entry into force
This Regulation shall enter into force on 1 October 1991.
 It shall apply from 1 October 1992.
This Regulation shall be binding in its entirety and directly applicable in
a I I Member States.
Done at Brussels,                               For the Council
 (8) OJ No L 120, 11.5.1990, p. 1.
 ---pagebreak---                                  - 36 -
                                                                     ANNEX I
                                 ASSESSMENT MATRIX
   Product 1Ife cycle      Product Ion   DlstrIbut ion   Uti1izatlon  Disposal
  Environmental fields
 Waste relevance
 Sol 1 pollut ion and
 dégradât ion
 Water contamination
 Air contamination
 Noise
Consumption of energy
Consumption of natural
resources
 For a simplified model the following criteria are suggested :
 0 almost none, negllble pollution-, "moderate pollution-,
 ••considerable pollution
 ---pagebreak--- - 37 -
       ANNEX H
 ---pagebreak---  ---pagebreak---                                                                              ISSN 0254-1475
                                                                  COM(91) 37 final
                                                     DOCUMENTS
EN                                                                                          14
                                 Catalogue number : CB-CO-91-064-EN-C
                                                             ISBN 92-77-69400-9
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