Select Committee on European Scrutiny Fifteenth Report



END OF LIFE VEHICLES

(21119)
7214/00
COM(00) 166
Amended draft Directive on End of Life Vehicles.
Legal base: Article 175 EC; co-decision; qualified majority voting
Document originated: 16 March 2000
Forwarded to the Council: 20 March 2000
Deposited in Parliament: 19 April 2000
Department: Trade and Industry
Basis of consideration: EM of 17 April 2000
Previous Committee Report: None; but see (20117) 8000/99: HC 23-xi (1999-2000), paragraph 11 (8 March 2000)
To be discussed in Council: In Conciliation
Committee's assessment: Politically important
Committee's decision: Not cleared; further information requested

Background

  5.1  The aim of this proposal is to harmonise measures adopted by different Member States to deal with the amount and the toxicity of waste from vehicles which have reached the end of their life (ELVs).

  5.2  A Common Position was adopted on this proposal on 10 September 1999[19]. On 29 February the Minister for Small Business and E-Commerce (Ms Patricia Hewitt) brought us up to date, describing amendments proposed by the European Parliament at Second Reading[20]. No Commission amended text was available at that time.

Conciliation and implementation

  5.3  As the Minister expected, the proposal was referred to the Conciliation Committee and she tells us in her EM of 17 April that the process started on 27 March. The six week period allowed is expected to be extended by the Council by two weeks.[21] Once the Directive has come into force, Member States will have 18 months to implement it. The timetable, therefore, remains as predicted and she expects the Directive to be implemented in late 2001/early 2002.

Commission document

  5.4  The Commission has issued an amended text which includes those European Parliament amendments which it can accept. The Minister summarises the difference between this proposal and the Common Position text, and comments on the UK view, as follows:

    "—   the Commission's proposal includes requirements for manufacturers to produce dismantling 'information' rather than dismantling 'manuals'. The UK could accept these helpful amendments, which make it clear that manufacturers could make information available electronically, as well as in traditional hard copy format;

    "—  it requires component manufacturers to take safety and environmental requirements into account when encouraging the re-use of components. This is acceptable to the UK. It also requires component producers to make information on dismantling, storage and testing of their components available to recovery facilities. Most delegations (including the UK) accept this, as does the Commission;

    "—   it states that the proposal shall apply to vehicles irrespective of how they have been serviced or repaired during use and irrespective of whether they have been fitted with spare parts made by companies other than their original manufacturer. This is a helpful clarification which the UK could accept;

    "—   it exempts Special Purpose Vehicles, such as ambulances, hearses and motor caravans, from the proposal's recycling and recyclability targets. Most, if not all, vehicles of this type would already come under the existing exemption for low volume producers, but the UK has no objection to this amendment;

    "—   it states that ELV collection points must be registered and that they may only issue Certificates of Destruction (CoDs) if they are licensed under the Waste Framework Directive. The UK is presently considering our approach on these amendments: our view is that collection points should be registered but that they should not have to be licensed, as they will not be carrying out any treatment operations;

    "—   it says that Member States 'shall' (instead of 'may') encourage treatment operations to introduce certified environmental management systems. The UK could accept this;

    "—   it introduces the latest appropriate comitology procedures and the UK could accept this;

    "—   the Commission has not accepted Parliament's amendments on producer responsibility and on heavy metals, although the Parliament is expected to press for these amendments during conciliation."

Regulatory Impact Assessment

  5.5  An updated Regulatory Impact Assessment (RIA), based on the amended text, is attached to the Explanatory Memorandum.

  5.6  The costs to the UK of the June 1999 Common Position text were estimated at £315 million per annum for 2006 and £391 million per annum for 2015, plus unquantified costs associated with redesign, heavy metals restrictions and coding of parts. Benefits of £31 million were identified. These costs were less than the estimates based on the Commission's 1997 first draft.

  5.7  This amended text would increase the costs from these estimated in June 1999 by between £2.7 million per annum to £13.4 million per annum. Part of the higher figure would depend on the amount of data the Environment Agency (EA) would require under amended Article 5.3, which provides that only ELV collection points which hold permits can issue Certificates of Destruction (CoDs). In addition, the EA might incur costs of "several millions of pounds" for monitoring additional collection sites, if these became part of the permit régime. If the 6,300 dealership outlets in the UK became collection points, but did not issue CoDs, the cost of registering with the EA is estimated to be some £0.3 million per annum.

Conclusion

  5.8  The Commission's amended text in some respects improves on the Common Position text, and, with the exception of the provisions relating to the licensing of collection points, it raises no new concerns. We thank the Minister for providing us with the updated RIA and ask the Government to inform us, by letter, of the outcome of the Conciliation. In the meantime, we are not clearing this document.


19  80951/1/99 REV 1. Not deposited, but copy made available. Back
20  See (20117) 8000/99. See headnotes to this paragraph. Back
21  Under Article 251(7) EC. Back

 
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