EU Ecodesign Regulation
Until recently, the EU Ecodesign Directive defined the requirements for the environmentally compatible design of energy-using products. It has now been replaced by the more comprehensive EU Ecodesign Regulation. This new Regulation entails significant consequences for Amazon sellers because it not only extends the previous provisions, but also introduces new requirements.
This blog post tells you everything that you as an Amazon seller need to know about the new regulations that replace the previous Ecodesign Directive. Let us go through the most important aspects together to see if and how these changes may affect your e-commerce business.
The old Ecodesign Directive and the Energy-Using Products Act (EBPG)
So far, the Ecodesign Directive constituted the basis for the environmentally compatible design of products in the EU. This Directive defined minimum requirements regarding the energy efficiency and environmental impact of products in order to reduce the consumption of energy and the environmental impact. Since it was only a Directive and not a Regulation, each EU country transposed the Directive into national law in their own way. In Germany, this Directive was implemented by means of the Energy-Using Products Act (Energiebetriebene-Produkte-Gesetz, EBPG). This law ensures that the EU provisions are complied with on the national level.
Key points of the EBPG include:
- Market surveillance: Checks are used to verify that the products comply with the requirements.
- Reporting obligations: Manufacturers and importers are obligated to report certain products to the market surveillance authority.
This means that as an Amazon seller, you have to make sure that your products comply with the provisions of the EBPG, including:
- Energy consumption label: Products have to be equipped with a clear label indicating their energy consumption. More information on this issue is provided in this blog post.
- Minimum energy efficiency requirements: Products have to meet certain efficiency standards.
- Information for end users: You are required to give customers comprehensive information about the energy consumption and other environmentally relevant aspects of the product.
The new EU Ecodesign Regulation
The new EU Ecodesign Regulation replaces the existing Directive and entails a number of important changes. Here are the most important points that Amazon sellers have to observe:
- Extended scope of application: The new Regulation expands the area of application of the eco-design regulations. In addition to the energy-using products that were subject to the Directive before, other groups of products are included now as well, such as:
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- textiles
- furniture
- smartphones and tablets
- software
- Circular economy and sustainability: The Regulation focuses more closely on promoting the circular economy. Products have to be designed in such a way that they can be repaired, reused, and recycled more easily. For you as a seller, this means that you have to ensure that your products are more durable and resource-efficient.
- Digital Product Passport: A new Digital Product Passport is being introduced that contains all relevant information about the product’s environmental impact, repairability, and recoverability. This digital passport is meant to help the customer make an informed decision to buy, and improve transparency along the supply chain at the same time.
- Stricter energy efficiency requirements: The Regulation increases the minimum requirements in regard to a product’s energy efficiency. You have to make sure that your products comply with these new standards to still be allowed to sell them on the European market in the future.
- Obligatory repair instructions: Manufacturers and importers are obligated to provide detailed repair instructions and spare parts for a defined period of time. This is meant to prolong the products’ service life and reduce waste.
Products that are excluded from the Regulation include food, animal feed, pharmaceutical products, live plants and animals, and certain types of vehicles that are subject to sector-specific EU legislative acts.
The specifications
The eco-design specifications apply for specific groups of products and may vary within the group. The European Commission is authorized to issue delegated acts to define these specifications. The specifications can refer to the following parameters:
- Functional durability and reliability
- Reusability, repairability and serviceability
- Avoidance of substances of high concern
- Energy and water efficiency
- Resource efficiency and recoverability
- Environmental impact including carbon and environmental footprint
- Waste reduction
Products may not be put into circulation or into operation unless they meet these specifications and have a Digital Product Passport providing all the requisite information. Compliance is verified by way of specified assessment procedures. Unsold consumer products must not be destroyed, and the volume of products that are disposed of has to be disclosed and justified. Member states are not allowed to restrict the distribution of products that comply with these requirements by means of national regulations, unless such regulations concern additional system and energy efficiency requirements for buildings.
The Ecodesign Regulation (EU) 2024/1781 came into force on July 18, 2024 , whereby with the new regulation itself only providing the framework. The European Commission will then have to define the specific product requirements for the product groups concerned in corresponding implementing regulations. The transition period is 18 months in general.
Short checklist for e-commerce sellers
What does all of this mean for you as an Amazon seller? Here is a short list of steps you should take to make sure that you comply with the new requirements:
- Check your product portfolio: Make sure that all your products comply with the new requirements. You may have to adapt the product design or find new suppliers.
- Learn about the Digital Product Passport: Make sure that you can provide all the information required for the Digital Product Passport. This can be challenging, especially if you sell a wide range of products.
- Improve energy efficiency: Work with your suppliers to improve the energy efficiency of your products. This can actually be a selling point because more and more customers tend to look for energy-efficient products.
- Prepare repair instructions and spare parts: Make sure that you can provide the requisite repair instructions and spare parts. You may need to implement new processes and systems for this purpose.
Conclusion
The new EU Ecodesign Regulation entails a number of important changes that Amazon sellers have to observe. By ensuring that your products fulfill the new requirements, you not only comply with the statutory provisions, but also contribute to a sustainable economy and strengthen your customers’ trust in you. Stay up-to-date and use this opportunity to improve your products and processes in order to meet the challenges of the future head-on.
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Who wrote this article?
As an author, Christina fills the blog section of our website with exciting and informative articles, so that our readers can always take care of product compliance in their company in the most well-informed way.