Select Committee on European Scrutiny Twenty-Fifth Report


11 DEPLETION OF THE OZONE LAYER

(24036)
14897/02
COM(02) 642 
Draft Regulation amending Regulation (EC) No. 2037/2000 as regards
critical uses and exports of halons, the export of products and equipment
containing chlorofluorocarbons and controls on bromochloromethane.


Legal baseArticle 175(1) EC; co-decision; QMV
DepartmentEnvironment, Food and Rural Affairs
Basis of consideration SEM of 28 May 2003 and Minister's letter of 4 June 2003
Previous Committee Report HC 63-ix (2002-03), paragraph 1 (22 January 2003)
To be discussed in Council Shortly
Committee's assessmentPolitically important
Committee's decisionCleared


Background

  11.1  In 1998, our predecessors considered a proposal[31] — now adopted as Regulation (EC) No. 2037/2000[32] — which would enable the Community to fulfil its obligations under the Montreal Protocol on Substances[33] that Deplete the Ozone Layer. The proposal involved various restrictions on the production, sale, use and export of these substances, and, as they appeared at the time to be relatively straightforward and consistent with the Community's international obligations, they were cleared without debate on 16 December 1998. However, they subsequently attracted significant attention, when it became apparent that the Government had failed to identify in advance the practical problems which would arise over the disposal of refrigerators.

  11.2  In November 2002, the Commission put forward the current proposal, current proposal which would make a number of essentially technical amendments to Regulation (EC) No. 2037/2000. These include the introduction of a time-frame for the eventual phasing-out of halon for critical uses;[34] allowing the export of bulk halon for critical uses; allowing the export of products and equipment, other than refrigerators and air-conditioners, containing foam blown with CFCs; and extending the controls applying to bromochloromethane, thus bringing these into line with the Montreal Protocol.

  11.3  Governments view In his Explanatory Memorandum of 20 December 2002, the then Minister of State (Environment) at the Department for Environment, Food and Rural Affairs (Mr Michael Meacher) said that the UK was broadly content with the proposal, and indeed had for some time been actively seeking some of the amendments proposed. He suggested that a Regulatory Impact Assessment might not be necessary as the amendment would not impose any additional costs on UK businesses, charities or voluntary bodies, but added that, if it would be helpful, an Assessment addressing savings could be produced within a reasonable timescale.

  11.4  In our Report of 22 January 2003, we said that, on the face of it, this proposal seemed reasonably straightforward, but that, in view of the unfortunate history of the proposal leading to the adoption of Regulation (EC) No. 2037/2000, we would like to take up the Minister's offer. We also said that we would find it helpful if he could at the same time give an assurance that the latest proposal did not contain any pitfalls comparable to those which had arisen over the disposal of refrigerators, and to let us know whether those earlier difficulties had been overcome.


Supplementary Explanatory Memorandum of 28 May 2003 and Minister's letter of 4 June 2003


  11.5  We have now received a letter and supplementary Explanatory Memorandum from the Minister addressing these two issues, and identifying one or two changes which have been made to the proposal in subsequent discussion.

  11.6  On the question of potential parallels between this measure and that on refrigerators, the Minister indicates that his Department has considered carefully the amendments proposed, but has not been able to identify any potential pitfalls. He adds that the issue of the disposal of refrigerators has now been resolved, with eleven fixed treatment plants operating in the UK and a mobile facility having been licensed to operate at three further sites. He says that local authorities have let contracts with these operators, leading to a decrease in the backlog of stored refrigerators, and that £46 million has been allocated to local authorities to cover the additional burden of dealing with this problem in 2002-03 (with a further provision for continuing costs in 2003-04). He also points out that his Department is continuing to work with local authorities and retailers to re-introduce the taking back by retailers of refrigerators, which would provide significant cost savings for local authorities. One retailer has already reintroduced this service for its customers at a charge of £15 per refrigerator, and a pilot-scale trial is to begin in the south of England on 1 July to see if the service can be reintroduced free of charge.

  11.7  So far as the current proposal is concerned, the Minister says that two significant changes have been made — the export of halons for critical uses would now be subject to the same time frame[35] as would apply to such uses within the Community, whilst the proposal to allow the export of products and equipment containing foam blown with CFCs would be amended to require the degassing of any equipment used as a refrigerant in second-hand ships, aircraft and vehicles.

  11.8  Finally, the Minister's supplementary Explanatory Memorandum has attached to it a brief Regulatory Impact Assessment. This suggests that there would be limited environmental benefits arising from the proposal, but that there would be an increased export potential for UK industry. No significant costs would be imposed.


Conclusion

  11.9  We are grateful to the Minister for this further information, in the light of which we are now clearing the proposal.






31   (19389) 10902/98; see HC 155-xxxviii (1997-98), paragraph 8 (28 October 1998) and HC 34-iv (1998-99), paragraph 8 (16 December 1998). Back

32   OJ No. L.244, 29.9.00, p.1. Back

33   Those covered by the proposal are chloroflurocarbons (CFCs), halons, carbon tetrachloride, methyl bromide, hydrobromoflurocarbons and hydrochloroflurocarbons. Back

34   Those for which no technically or economically feasible alternative exists. Back

35   i.e. there would be cut-off date of January 2010, with a review at the end of 2005 to see whether this date could be brought forward. Back


 
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