CONSSO OCT 97/2/.... Committee of North Sea Senior Officials Oslo: 16-17 October 1997 _______________________________________ Implementing § 17: Political Commitment vs. Product Stewardship Regulatory vs. Market-orientated Approach* submitted by the World Wide Fund for Nature (WWF) CONSSO is invited to take note of the attached discussion paper when considering the need for additional action to implement §17, in particular with regard to the relationship and interdependence between legal enforcement and voluntary measures. * This document is an amended summary of keypoints from WWF's contribution to the 2nd European Seas at Risk Conference, Bremen 24-25 April 1997 -1- World Wide Fund For Nature WWF International North-East Atlantic Programme Implementing § 17: vs. Product Stewardship Political Commitment Regulatory vs. Market-orientated Approach - A Discussion Paper 1. Product Stewardship From the point of view of marine pollution prevention, in particular with regard to § 17 of the Esbjerg Declaration, the term "product stewardship" is understood as the relevant industries' willingness and voluntary approach to eliminate hazardous substances, including endocrine disruptors from the entire life cycle of their products (cradle-to-grave). 2. Buying in to § 17 On the one hand, it is highly welcomed that the UK Government has revised its position with regard to the practicability of implementing the aims of § 17 Esbjerg Declaration (OSPAR Meeting, 2 September 1997). On the other hand, it has never been documented quite clearly whether and to what extent responsible industries are maintaining a reservation similar to the one that had been inserted into the Esbjerg Declaration by the UK as a footnote. Such industrial reluctance, however, would be a major stumbling block for any voluntary follow up to § 17. -2- 3. Key political commitments and strategies In the context of this paper, the 4th Ministerial North Sea Declaration (Esbjerg 1995), the draft OSPAR Objective with regard to Hazardous Substances as included in the draft OSPAR Ministerial Declaration (to be adopted in Lisbon, 1998) and the draft Strategy to Implement OSPAR's Objective with Regard to Hazardous Substances (to be adopted in Lisbon, 1998) serve as key documents for the definition and selection of hazardous substances which are detected in the marine environment or could reach the marine environment. Moreover, Annex 2 of the Esbjerg Declaration and the OSPAR strategy are regarded as crucial documents in order to make § 17 operational. 4. Indicators for the usefulness of a market-orientated approach In order to identify a suitable niche for effective implementation of § 17 via Product Stewardship within industrial community and the economic sector, one has to scrutinise the following indicators: • Which NSC / OSPAR commitments are relevant with regard to Product Stewardship? • Which type/level/sector of industry shows repercussions of § 17: primary, secondary and tertiary industries, federations, individual companies? Where are the major obstacles during implementation to be observed? • Are the relevant industries willing to accept the approach of Pollutant Release and Transfer Registers (PRTR)? Are they inclined to submit data into PRTR schemes in the future? -3- • Does industrial community properly respond to new aspects of hazardous substances eg. the threats from endocrine disrupting chemicals? • Does voluntary action come before legal enforcement or the other way round? 5. Manufacturers' attitude In the framework of the intergovernmental fora mentioned above, at least the umbrella federations of relevant industries and in particular those of the chemical and chlorine industry have repeatedly shown very late response to political commitments instead of pushing clean production programmes in their own proactive way. As far as voluntary measures were taken, this has mainly happened in reaction to pending legal measures concerning the phase out of hazardous substances (eg short chlorinated paraffins) whereas industry's own initiatives to establish substitution schemes at an earlier stage have been extremely rare. 6. § 17 in the light of other §§ of the Esbjerg Declaration Since 1995, federations of chemical industries have rather stressed the importance of § 18 Esbjerg Declaration (risk assessment) than of § 17. This might be understood as an attempt to detract attention from those §§ of the Esbjerg Declaration which contain provisions and proposals for industrial steps towards clean production and which clearly put obligations on the industrial community: § 24 iii) gives "priority to environmentally sound products taking into account the whole life cycle of substances or products". § 25 ii) addresses "economic instruments and effective voluntary agreements". § 24 iii) § 25 ii) § 17 ? § 18 Annex 2 § 2.2.1 § 26 -4- § 26 anticipates that industry welcomes the objectives of the Esbjerg Declaration and is willing to pursue them. Last but not least, Annex 2 § 2.2.1 claims that in industrial companies "a more proactive stance is required and the integration of environmental considerations in corporate policy is essential. Companies must continuously improve their enviromental performances." Esbjerg Declaration 1995 § 24 iii) ...further agree to take the necessary actions to fulfil the objective (see §17) including: ... to give priority to the development of environmentally sound products taking into account the whole life cycle of substances or product . § 25 ii) ...agree on the need to make the best use of the choice between legal instruments and economic instruments and effective voluntary agreements The Ministers... § 26 A.2 § 2.2.1 ...note with pleasure that the representatives of industry , agriculture and other sectors welcome the objectives and are willing to pursue at the national and international level agreement on instruments and tools for achieving these objectives between such sectors and authorities, involving the environmental NGO community ...recognize that a policy focused on environmentally sound production which poses new challenges is already spreading in the environmental management of companies. But still a more proactive stance is required and the integration of environmental considerations in corporate policy is essential. Companies must continuously improve their environmental performances. 7. Transparency - the starting point In line with this, the latest version of the draft OSPAR Strategy to Implement OSPAR's Objective with Regard to Hazardous Substances (5 September 1997) encourages producer responsibility, the development of environmentally sound products and the involvement of cleaner technologies. In particular, it is stated that " the Commission and Contracting Parties, individually or jointly will endeavour to maintain and develop further a constructive dialogue on the reduction of hazardous substances with all parties concerned, including producers, manufacturers, user groups, authorities and environmental NGOs. This should ensure that all relevant information, such as reliable data on production volumes, use patterns, emission scenarios, exposure concentrations and on properties of substances, is available for the work of the Commission in connection with this strategy." 8. Gaps in the implementation of previous commitments So far, there is a sharp discrepancy between the OSPAR 1992 Ministerial commitment regarding the elimination of organohalogens and the continued production, release and -5- bioaccumulation of organohalogens such as chlorinated paraffins, brominated flame retardants (CP & PBFR, see § 4.1 viii Annex 2 Esbjerg Declaration) and halogenated pesticides in the marine environment. The OSPAR 1992 commitment was only partially reiterated in § 22 of the Esbjerg Declaration where Ministers confirmed the goal of "...reducing by the year 2000, discharges and emissions of substances which are toxic, persistent and liable to bioaccumulate (especially organohalogen substances) and which could reach the marine environment to levels that are not harmful to man or nature with the aim of their elimination." Status Quo - Discrepancy PBFR CP marine mammals & seabirds >20.000 fish zooplankton -benthos phytoplankton -benthos water, sediment PBFR CP PBFR CP PBFR CP PBFR CP "... discharges and emissions of substances which are toxic, persistent and liable to bioaccumulate, in particular organohalogen substances, and which could reach the marine environment should, ..., be reduced, by the year 2000, to levels that are not harmful to man or nature with the aim of their elimination; ... to supplement reduction measures with programmes to phase out the use of such substances. " (OSPAR Ministerial Declaration 1992) -6- In spite of this discrepancy in the field, the primary industries concerned eg. manufacturers of the specific compounds mentioned have not yet committed themselves to voluntary phasing out and/or substitution policies. With some very few exceptions, they still appear to be tempted to postpone legal enforcement of phasing-out measures although one would have expected a quicker industrial response in the light of §§ 24, 25, 26 Esbjerg Declaration and/or § 2.2.1 Annex 2 Esbjerg Declaration (see above). 9. Endocrine disrupting chemicals - a challenge on top Since Esbjerg 1995, endocrine disrupting chemicals have been recognised by the North Sea states as a serious additional impact on the marine environment (see § 1 Annex 2 Esbjerg Declaration). Therefore, any measures relating to these compounds have to be regarded in conjunction with § 17 and its follow up. From § 4.1 xiii Annex 2 Esbjerg Declaration, it is obvious that the scope of the political agenda of the NSC goes beyond mere research into the problem of endocrine disruption ("...to invite OSPAR...to adopt the necessary measures"). However, instead of offering or publicly considering pilot agreements on a voluntary reduction of the production and release of hormon mimicking substances, relevant industries have so far only started spending a tremendous amount of money on further research into and/or risk assessment of the compounds concerned. Challenges: their "Stolen Future" - Endocrine Disruptors PCB etc dioxin various pesticides TBT APEOs, Nonylphenol phthalates Furthermore, pending OSPAR decisions concerning the phasing-out of nonylphenols and alkylphenolethoxylates (see § 4.1 viii Annex 2 Esbjerg Declaration) have been torpedoed by the manufacturers although such compounds are (suspected to be) endocrine disruptors. In a similar way, manufacturer associations have so far successfully prevented a serious discussion -7- about measures with regard to PVC processing industry, soft PVC as a product and phthalates which represent the most important group of endocrine disrupting additives in soft PVC. -8- There are clear signs to be seen at the horizon that secondary industries such as food, packaging, toy, textile and furniture industry etc. may play a more decisive role at the forefront of precautionary measures against (potential) endocrine disruptors than the primary manufacturers of the chemicals concerned. This is simply due to the importance attached to human health concerns whereas the need for marine ecosystem health and the rationale behind § 17 have been poorly communicated within the industrial community. 10. Test cases for a market-orientated approach Notwithstanding the overwhelming majority of negative observations, there are some promising examples of Product Stewardship concerning substances that have been identified as priority substances by the NSC. Market-orientated case studies such as the ÖKOPOL report Polybrominated Flame Retardants - A Case for Phase Out (commissioned by WWF in 1996) have revealed that certain processing industries and user companies are inclined to work towards a cessation of emissions and a voluntary substitution of hazardous substances: a considerable number of voluntary steps from all over Europe are referred to in this study such as bans, negative lists and limit values for the use of PBFR in computer products, casings and circuit boards as well as complete company guidelines for halogen-free flame retardants. Brominated Flame Retardants (1) 1-889 ng PBDE 320-1799 pg PBDF diffuse emission from running device / 3 days --> 1800 ng/g lipid 0,001 - 3 µg/l PBBin effluent; TBBA x 10, TBBA-derivative x 70 downstream production site PBDE, PBB --> 2100 ng/g lipid weight -9- Brominated Flame Retardants (2) E-NGO interventions Esbjerg Declaration Annex 2 OSPAR Action Plan 1993-1995 Draft Decision on Phasing Out of Decabromobiphenyl etc. ??? 1995/6 1997/8 CEFIC& French interventions Brominated Flame Retardants (3) Polybrominated Flame Retardants A Case for Phase Out 1996 Voluntary substitution activities: • EU wide voluntary agreement on PBB other than Decabromobiphenyl • "Blauer Engel", TCO, milieukeur label: PBDE, PBB free personal computers • ZVEI list of substitutes • EACEM limit of 10 ppm PBB/PBDE • PBDE on PHILIPS negative list • SIEMENS & BMW internal ban • German TELEKOM guidelines: halogen-free flame retardants • Swedish Institute of Production, Engineering & Research: halogen-free printed circuit boards Note: in the light of this, WWF-Germany is currently building a pilot project to cooperate with industries that feel committed to the voluntary implementation of § 17 of the Esbjerg Declaration. A scoring process to scrutinise and to rank the different industries according to their relevance, willingness and transparency has resulted in the conclusion that the plastic processing, electronic, carpet, furniture and detergent/surfactants industries may be the most promising sectors. Except the last one, these sectors are secondary and/or tertiary industries. - 10 - - 11 - 11. Product Stewardship within a pronounced regulatory framework In conclusion, it can be stated that addressing primary manufacturers with a view to building up a § 17 related Product Stewardship may end up in loss of effort and time. This type of business has to be governed stringently by legal enforcement of § 17 eg through mandatory phasing-out schemes and obligations to substitute hazardous substances by less hazardous or non-hazardous alternatives within a given time frame. At the same time, it seems likely that secondary and tertiary industry and in particular individual pilot companies may push the primary manufacturers of raw chemicals, plastics, detergents, biocides etc. towards cleaner production by going ahead with voluntary measures. For such pilot sectors and/or companies, it is important to receive positive signals and support from a public debate on § 17 via market needs, consumer concerns and economic incentives. A Niche for Product Stewardship legal enforcement Regulatory/legal frameworks OSPAR, EU, NSC, national legislation Primary producers eg. chemical industry federation level impact Consumer awareness, economic incentives, market needs Secondary producers processing industry manufacturers company level - 12 - Public debate facilitated by environmental NGOs etc