The EU’s new Ecodesign for Sustainable Products Regulation sets ambitious goals and poses major challenges, especially for small and medium-sized enterprises (SMEs). In the third part of our ESPR series, we look at what information and action is needed now.
by Martina Metzner
The EU’s vision for the new Ecodesign for Sustainable Products Regulation (ESPR), adopted on 18 July 2024, seems almost too good to be true. This updated regulation promotes not only energy efficiency, but also resource efficiency, aiming to make products largely from recycled materials and designed for durability and repairability (see ESPR: Part 1 for more). A new digital product passport will provide consumers and recyclers with information on repairability and refurbishment. Notably, France has already introduced a similar repair index for products such as lawnmowers, washing machines, smartphones, televisions and laptops, similar to the EU energy label for large appliances.
A Boost for the Economy
The ESPR is at the heart of the EU’s 2019 Green Deal, which aims to transform the European economy towards circularity and ultimately climate neutrality by 2050. As well as having a significant positive impact on the environment, the EU expects it to boost the economy and make it more resilient by reducing dependence on increasingly expensive raw material imports. Consumers are also expected to benefit, as they will buy fewer new products and save money. ESPR aims to put an end to the throwaway culture and linear value chains, ushering in a green economy and a sustainable future for the EU.
Mixed Reactions
As discussed in our ESPR: Part 2 article, there are mixed feelings about the ESPR among designers, manufacturing executives and institutional representatives. Overall, there is a mixture of excitement, pragmatism and concern. Adrien Hobt of PCH Innovations sums up the mood: ‘We are only at the beginning’.
Special Rules for SMEs
Large companies have already started to prepare for ESPR, but established small businesses face greater challenges. Manfred Wolf of lighting manufacturer Serien Lighting fears that ‘this well-intentioned regulation – for a better world – could further accelerate the disappearance of small businesses’. Start-ups, on the other hand, tend to be more agile and often have sustainability built into their strategies. The EU recognises the challenge of integrating the ESPR for SMEs and promises special measures and funding to help.
Large Investments
Ecodesign is only the starting point. The regulation requires changes across the entire value chain, including sourcing, design, manufacturing, distribution, use and disposal – the entire product lifecycle. ‘These are very significant strategic changes for a company, taking years and requiring significant investment’, says Nico Janssen of carpet manufacturer Object Carpet, which has recently introduced ‘Niaga’, a circular manufacturing process for floor coverings. Some companies are evolving into new business models, such as Bosch Home Appliances, which has been leasing new and refurbished major appliances such as washing machines and dishwashers through its BlueMovement programme since 2017. ‘We see this as a model for the future’, says Florian Walbert from Bosch, citing usage rates that are doubling every year. Extending the life of products is challenging traditional business models, forcing companies to focus more on usage and maintenance.
Lingering Questions
Many aspects of the ESPR remain unresolved. ‘What does durability and repairability even mean?’ asks Max Marwede of Fraunhofer IZM, pointing out the lack of common standards for such criteria. In addition, there are potential conflicts between energy efficiency and resource efficiency measures in terms of reducing carbon footprints. ‘Attempting to tackle a big problem all at once could create an even bigger one.’ he notes.
Countless EU Policies
Another concern is the cumulative burden of recent EU sustainability legislation, including the Corporate Social Responsibility Directive (CSRD), Extended Producer Responsibility (EPR) and the Green Claims Directive, which bans unsubstantiated environmental claims by manufacturers. Both small and large businesses, as well as designers, will need to navigate these requirements in the coming years.
Prepare and Act Now
Designers and companies are advised to familiarise themselves with the new Ecodesign Directive, attend workshops, consult industry associations and initiate internal processes. The first product categories to be addressed by ESPR include furniture, iron, steel, aluminium, cleaning products, chemicals, electronics and communication equipment. In March 2025, the work plan for the following years will be presented, detailing the timelines for each product category. To develop specific requirements, the EU has established the Ecodesign Forum, which brings together stakeholders for collaboration and guidance. These EU regulations will then need to be transposed into national legislation.
Immediate Action Recommended
Consulting firm Indeed Innovation advises companies to conduct internal audits and assessments soon to kick-start these integrated processes. Lisa Cerny of the German Federal Environment Agency suggests that ‘companies should already be looking at their supply chains, even if the specific requirements for each product category are still to come’, particularly with regard to the digital product passport.
About the Author
Martina Metzner is a design and architecture journalist with a focus on socio-ecological transformation. For her, good design and sustainability go hand in hand. After studying journalism, Italian philology and psychology, she worked in editorial departments for eleven years, first at TextilWirtschaft and then at Stylepark. Since 2018, she has been working as a freelancer for leading trade and consumer magazines and is head of the editorial team at the German Design Club.
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