Select Committee on European Scrutiny Thirtieth Report


16 Management of waste from the extractive industries

(24613)

10143/03

COM(03) 319

Draft Directive on the management of waste from the extractive industries

Legal baseArticle 175(1)EC; co-decision; QMV
DepartmentOffice of the Deputy Prime Minister
Basis of considerationMinister's letter of 31August 2004
Previous Committee ReportHC 42-xxii (2003-04), para 16 (9 June 2004)
To be discussed in Council14 October 2004
Committee's assessmentPolitically important
Committee's decisionCleared, but information on progress requested

Background

16.1 Although the Community already has in place measures on waste management, the Commission has pointed out that there are a number of exclusions affecting that from mineral extraction and quarrying, and that certain of the landfill provisions are not readily applicable to this particular form of waste. Since the waste in question accounts for about 29% of the total generated in the Community each year, the Commission put forward in June 2003 this proposal, which seeks to set minimum requirements under which waste management plans would address the environmental and human health risks which may arise from the treatment and disposal of extractive waste,[35] and to encourage its recovery wherever possible by such means as recycling and re-use.

16.2 We noted in our Report of 10 July 2003 that the Government had identified a number of differences between the main sectors likely to be affected in the UK (metalliferous mining, china clay and slate extraction, the coal industry, and the construction aggregates sector), and that, although it believed that a common set of rules may well be helpful where items are traded either globally or widely within the Community, it was concerned that this would not be the case for sectors where there is an essentially local market. Also, there were dangers that excessively onerous regulation for sectors traded world-wide might lead to a closure of operations in Europe. In view of these concerns, and the fact that the potential costs and benefits had yet to be quantified, we decided to hold the document under scrutiny pending further information.

16.3 We subsequently received a supplementary Explanatory Memorandum of 20 May 2004, together with a partial Regulatory Impact Assessment. These confirmed that the main implications of the proposal as drafted would arise in the areas indicated above, the costs to business being likely to arise principally from the one-off need to prepare plans to deal with emergencies (about £2 million) and from annual costs of around £16 million for the provision of financial guarantees. In addition, there would be certain administrative costs involved, but we were told that, since the proposal largely reflects existing practice within the UK, it would not have a significant impact on the minerals industry here, which largely produces inert waste.[36] However, this conclusion appeared to be subject to the proviso that further clarification was needed on the precise impact of the proposal on inert wastes, and on the criteria which determine the circumstances under which the provisions for preventing major accidents would apply.

16.4 The supplementary Explanatory Memorandum also drew attention to the amendments adopted by the European Parliament at its first reading of the proposal on 31 March 2004, a number of which could affect adversely the balance of the proposal, and have subsidiarity implications. Concern was also expressed that the Parliament's amendments would extend the scope of the proposal beyond waste by seeking to regulate the extraction operation itself, further shorten the period for transposition into national law, require an inventory of all closed mining sites, rather than taking a risk-based approach, and attempt to reproduce provisions already contained in the Water Framework Directive.

16.5 In our Report of 9 June 2004, we noted that it now seemed as though the impact of the original Commission proposal on the UK would be fairly limited, but we said that we had two areas of concern. First, it was not entirely clear whether the uncertainties over the impact of the proposal on inert waste and in relation to activities likely to cause major hazards had been satisfactorily resolved. Secondly, the supplementary Explanatory Memorandum did not say whether other Member States shared the UK's concerns over some of the amendments put forward by the European Parliament; nor was it clear whether the Commission intended to adopt any of these in an amended proposal. We therefore said that we would continue to hold the document under scrutiny, pending further information on these points.

Minister's letter of 31 August 2004

16.6 We have now received a letter of 31 August from the Minister for Local and Regional Government, Office of the Deputy Prime Minister (Mr Nick Raynsford), providing an update, in the light of the hope of the Dutch Presidency that political agreement can be reached at the next meeting of the Environment Council on 14 October.

16.7 The Minister says that, although the Presidency has been generally supportive of the proposal, it has demonstrated similar concerns to those voiced by the UK about the European Parliament's amendments, and that these have to a considerable degree been shared by other Member States and the Commission. More specifically, he indicates:

  • that a large number of Member States are concerned that the Parliament's suggestion to extend the proposal beyond waste management to the extractive operation itself would alter its essential nature, and that, since that concern has been reflected in the Presidency's most recent compromise text, it seems likely that the proposal will not be amended in this way;
  • that there is also general concern at the Parliament's attempt to apply additional provisions to non-hazardous inert waste, unpolluted soil and waste from prospective operations, and that, although discussion at the Environment Council on 28 June did not provide a clear steer on this point, UK officials have pressed in the subsequent discussions for provisions which are appropriate and proportionate;
  • that the Commission and Member States are strongly opposed to the Parliament's wish to include additional prescriptive text on matters, such as the implementation of financial guarantees, best left to Member States, and that, subject to a need for some fine-tuning, the text now on the table provides flexibility on these issues; and
  • that there is strong resistance among all Member States and the Commission to the Parliament's suggestion that all closed mining sites should be included in an inventory, and that there is a shared understanding among delegations that any such provision should be on a risk-based approach; also, the UK is working to ensure that the proposed deadlines for implementing this provision are realistic and integrate effectively with the Water Framework Directive where there is overlap.

16.8 The Minister also refers to the main outstanding issue on the original Commission proposal, namely major accident prevention and information policy, which he suggests has the potential to hinder the prospects of achieving political agreement next month. He says that the UK is one of many Member States pressing for this provision to be focussed on those facilities where there is a significant risk of the loss of human life, and for this focus to be supported with clear and risk-based criteria. He adds that there is general agreement on the need to avoid regulation with no obvious benefits for the environment or safety, and that, although there is currently no agreement on an appropriate text, the latest draft represents a step forward from the original proposal.

16.9 The Minister concludes by saying that, although the timetable set by the Presidency may prove to be optimistic, he regards it as important that progress should be made in completing the parliamentary scrutiny process, and that, although he cannot provide a definitive response on all our points, he hopes he has reassured us that our concerns are shared by the Government and other Member States, and are being addressed in the negotiations on the proposal. He says that he is optimistic that the UK can secure a Directive which provides appropriate controls specific to this kind of waste, and that the Government's overall aim remains a regulatory framework proportionate to the risks involved and the costs to industry and public authorities.

Conclusion

16.10 We are grateful to the Minister for this further information, and, although a number of uncertainties remain over certain detailed aspects of the proposal, we have noted that the progress made so far, together with the momentum of the negotiations, seems likely to lead to an acceptable outcome. In view of this, and of the timing considerations involved, we are clearing the proposal, but we would be glad if the Minister could continue to keep us informed of the progress of discussions within the Council.


35   The proposal would exclude waste, such as unpolluted soil, which represents a low environmental risk, whilst only a limited set of requirements would apply to inert waste. It also excludes waste from offshore operations, as well as that generated in the course of mineral extraction or treatment but not resulting directly from it. Back

36   The main exception to this is the deep-mine coal industry, where a significant proportion of waste contains relatively high concentrations of iron sulphide. Back


 
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