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Regulatory barriers for the circular economy

Regulatory Barriers for CE cover page

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Author: 
Technopolis Group, Fraunhofer ISI, Wuppertal Institute, thinkstep
Publication Date: 
November, 2016
Country: 
Germany

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Scope:

This report, commissioned by DG GROW and prepard by Technopolis and Franhofer ISI, identified major obstacles of regulatory nature or gaps within the existing legal framework where significant unlocked opportunities remain. The study includes an in-depth analysis of the identified obstacles and possible solutions through specific cases.

The analysis of specific regulatory barriers includes the full product lifecycle and focuses on the interfaces between different steps of the value chain (extraction/production, production/production internal loops, production/use, collection, waste-management/recycling/production). Barriers can be categorised within these 3 themes:

  • Several case studies identified regulatory barriers often related to lacking legislation that would allow the collection and pre-treatment of homogenous waste streams.
  • The second type of barrier refers to legislation that hinders the use of recycled materials in production processes
  • The third type of barrier is related to the lack of concrete and enforceable product requirements.

The analysis also highlights a variety of different generic types of barriers: in many cases waste legislation focuses on quantities (weight based collection or recycling targets) and not so much on the qualities of recycled materials. Inconsistencies between existing regulations, e.g. related to REACH or End-of-Waste criteria, have also been mentioned in a variety of case studies.

The study concludes that in general, high-quality recycling is definitely not prevented by regulatory obstacles, but by lacking or unclear legislation. Prime examples are End-of-Waste criteria or quality standards for secondary raw materials that create legal uncertainties for the industry that make it rational to continue to focus on primary raw material input.