The European Council is advancing efforts to balance environmental ambitions with practical realities in the proposed Regulation on End-of-Life Vehicles (ELVs). With the Polish presidency taking over in 2025, key discussions focus on extending obligations to more vehicle types, setting realistic recycled content targets, and reconsidering mandatory part removals. Stakeholders like SIGRAUTO advocate for a balanced approach that fosters a circular economy while maintaining automotive sector competitiveness.
Much of the draft Regulation proposed by the European Commission has already been analyzed by the Environment Working Party (WPE) under the Belgian presidency and later the Hungarian presidency. Four key issues have been elevated to the Council of Ministers for the Environment, which will likely be the focus of discussions under the incoming Polish presidency starting in January 2025.
On July 13, 2023, the European Commission published the proposal for the “European Regulation on Circularity Requirements for Vehicle Design and the Management of End-of-Life Vehicles (ELVs),” initiating the EU legislative process involving the Council and the European Parliament.
Given the European Parliament elections held in June, the Parliament’s Committee on the Environment, Public Health, and Food Safety postponed its analysis of the proposal until new members were appointed, and new committees were organized. Consequently, the Parliament has only recently begun its review, holding its first meeting on December 11, 2024, which included representatives from key associations involved in ELV management to present their positions on the proposal.
The WPE, however, has worked throughout the year on the proposal, holding numerous meetings where representatives of Member States analyzed the Commission’s text.
Work During the Belgian and Hungarian Presidencies
Under the Belgian presidency in the first half of the year, efforts focused on defining ELVs, distinguishing between used vehicles and ELVs, the collection and treatment of ELVs, and their export regulations. These discussions resulted in a partial compromise text with proposed amendments to the Commission’s draft.
The Hungarian presidency took over, posing questions to Member State representatives on various aspects of the proposal during WPE meetings. This process led to a new draft text with further modifications and the elevation of four key issues to the Council of Ministers for debate:
- Should the scope of obligations be extended to include heavy-duty vehicles, two- and three-wheeled vehicles, and quadricycles?
- To what extent can Member States support the proposed minimum recycled plastic content in Article 6? Should manufacturing scrap be included in its calculation?
- Can Member States support setting a minimum recycled steel content without awaiting the feasibility study outlined in Article 6(3)?
- Do Member States agree with the list of parts and components in Annex VII, Part C, requiring removal before vehicle fragmentation? Are changes needed?
Spain’s Position
In response to these questions, Spain provided the following feedback:
- Scope extension: Spain supports extending obligations to heavy-duty vehicles and motorcycles, as this would aid in achieving circular economy goals. Mopeds should also be included as they are registered like other vehicles in Spain.
- Recycled plastic content: Spain prefers a cautious approach, citing market uncertainty and the need for a robust ecosystem for recycled plastics. Spain proposes a 20% target with a review clause after 2-3 years. It does not oppose including production scrap in calculations.
- Recycled steel content: Spain considers it premature to establish a target without a comprehensive market evaluation.
- Annex VII, Part C: Spain finds the proposed list of removable parts appropriate but emphasizes advancing the regulation under the Polish presidency.
Outcomes of the Council of Ministers Meeting (December 17, 2024)
At the meeting, environmental ministers shared their views on the four issues. The incoming Polish presidency, along with the European Commission and the outgoing Hungarian presidency, assessed the situation.
The Polish presidency acknowledged the work of the Belgian and Hungarian presidencies, emphasizing that the text must not harm the competitiveness of the automotive sector and committed to finding a compromise.
The European Commission defended its original proposal:
- Gradual extension of obligations to heavy-duty vehicles and motorcycles was deemed appropriate.
- The recycled plastic target was considered realistic, envisioning vehicles produced from 2032 containing 60 kg of recycled plastic, with 15 kg derived from ELVs.
- Establishing a recycled steel target must await the feasibility study.
- No comment was made on mandatory part removal in Authorized Treatment Facilities (ATFs).
The Hungarian presidency concluded:
- Broad support exists for extending obligations to heavy-duty vehicles and motorcycles.
- Opinions on recycled plastic targets are divided, with some countries favoring lower goals.
- Mandatory part removal in ATFs requires further analysis.
- Several Member States called for discussions on cost-allocation mechanisms for ELVs exported to other countries.
- The Regulation should balance environmental ambition with practical realities.
SIGRAUTO’s Position and Actions
SIGRAUTO has closely monitored the process at both Council and Parliament levels, consistently conveying the consensus position of vehicle producers (ANFAC), dismantlers (AEDRA), and post-fragmentation facilities (FER) to Spanish representatives and European parliamentarians.
While the proposal has positive aspects, SIGRAUTO believes certain elements need modification or elimination. Progress made by the Council is encouraging, but more work is required under the Polish presidency, not only on the four issues discussed but also on other aspects requiring review.
Regarding mandatory part removal in ATFs, SIGRAUTO argues that this measure offers no environmental benefits since most parts eventually require recycling.
Post-fragmentation technologies can recover materials from components as effectively as manual or semi-automated disassembly. Mandating removal of parts without clear reuse demand would increase CO2 emissions due to transportation without environmental gains. SIGRAUTO advocates for allowing all parts to qualify for exemption to ensure technological neutrality and promote the development of advanced separation technologies.
SIGRAUTO will continue to defend the position of the ELV treatment chain in Spain and push for necessary amendments to achieve a balanced final text that enhances the automotive sector’s circular economy.
Source: www.linkedin.com
