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1 Impact Assessment Report for the Building the Single Market for Green Products: Facilitating better and credible information on the environmental performance of products and organisations Contents 1.

Introduction

4 2. Procedural Issues and Consultation of Interested Parties.5 2.1. Inter-Service Group.5 2.2. Consultations.6 2.2.1. Consultation with the EU Member States.6 2.2.2. Public Consultation

6 2.2.3. Ad hoc Consultations

6 2.2.4. Expert Studies

6 2.3. Impact Assessment Board.6 3. Problem definition, Baseline scenario and Subsidiarity.7 3.1. Background C Life Cycle Assessment (LCA) and the methodological context

7 3.1.1. Methodological landscape and the role of LCA.7 3.1.2. How methodologies to assess environmental performance are currently used....

8 3.1.3. On-going methodology development in the Commission.10 3.2. Problem definition.11 3.2.1. The underlying issue: the proliferation of methodologies is hampering the functioning of the market of green products

11 3.2.2. The scope and scale of the problem

12 3.3. How will the problem evolve? (Baseline scenario)17 3.3.1. Proliferation of methodologies.18 3.3.2. The inapplicability of the principle of mutual recognition

20 3.3.3. Expected effects on environmental and economic performance.21 3.4. Who is affected and how?22 3.5. Subsidiarity, necessity and EU value added

24 4. Objectives.25 4.1. Specific objectives

25 4.2. Operational objectives.25 4.3. Consistency with other EU policies.26

2 5. Policy Options.26 5.1. Option 1. Baseline scenario C no policy change

26 5.2. Option 2. A new mandatory product policy framework

26 5.3. Option 3. A mandatory Organisation Environmental Footprint reporting framework ..

27 5.4. Option 4. Integration of the methodologies for the environmental footprint of products (PEF) and organisations (OEF) in relevant policy instruments.27 5.5. Option 5. Recommending the application of PEF and OEF on a voluntary basis.....

28 6. Analysis of Impacts and Comparison of Options.30 6.1. General remarks and methodology

30 6.2. Analysis of impacts.31 6.2.1. New mandatory product policy framework (Option 2)31 6.2.2. Mandatory OEF reporting framework (Option 3)33 6.2.3. Integration of PEF and OEF methodologies in relevant policy instruments (Option 4)34 6.2.4. Recommending the application of PEF and OEF on a voluntary basis (Option 5)

37 6.3. Comparison of policy options related to environmental performance of products....

39 6.4. Comparison of policy options related to environmental performance of organisations

41 6.5. Comparison of options according to efficiency, effectiveness and coherence

41 6.6. The preferred option.43 7. Monitoring and Evaluation.44

3 Glossary CAP C Common Agricultural Policy CRR C Centre for Retail Research CSR C Corporate Social Responsibility CWP C Commission Work Programme DEFRA C UK Department for Environment, Food and Rural Affairs EAP C Environment Action Programme EESC C European Economic and Social Committee ELCD database C European Reference Life Cycle Database EMAS C Eco-Management and Audit Scheme ETS C Emissions Trading System GHG emissions C Green House Gas emissions GPP C Green Public Procurement GRI C Global Reporting Initiative HANPP C Human appropriation of net primary production IA C Impact Assessment IAG C Impact Assessment Guidelines ICT C Information &

Communication Technologies ILCD C International Reference Life Cycle Data System JRC C European Commission'

s Joint Research Centre LCA C Life Cycle Assessment LCC C Life Cycle Costing MED C Europe in the Mediterranean programme MS C Member State OEF C Organisation Environmental Footprint OEFSR C Organisation Environmental Footprint Sectoral Rules PA C Public Authorities PEF C Product Environmental Footprint PEFCR C Product Environmental Footprint Category Rules REACH C Registration, Evaluation and Authorisation and Restriction of Chemicals RERM C Resource Efficiency Road Map SCP C Sustainable Consumption and Production SCP/SIP AP C Sustainable Consumption and Production and Sustainable Industrial Policy Action Plan SME C Small and Medium Enterprises SRI C Sustainable and Responsible Investment UCPD C Unfair Commercial Practice Directive WBCSD C World Business Council for Sustainable Development WTP C Willingness to Pay