🌱 What is the aim of the regulation?
On 14 June 2023, the European Parliament approved “new rules to make batteries more durable, more sustainable, and better performing”. The regulation aims to ensure that the increased demand for batteries “is met by greener batteries with lower emissions, produced using recycled materials”. Through the regulation, the European Commission aims to “strengthen the functioning of the internal market”, by “promoting a circular economy and reducing the environmental and social impact” of batteries. The regulation is tied to the European Green Deal, the New Industrial Strategy, and the Circular Economy Action Plan.
🌱 What are the design requirements?
The new rules will apply to all types of batteries sold on the EU market and it “cover[s] the entire battery life cycle, from design to end-of-life”. Manufacturers will have to design “portable batteries in appliances in such a way that consumers can themselves easily remove and replace them”. Moreover, 8 years after enforcement of the regulation, manufacturers will be under “an obligation to use minimum recycled cobalt, lithium, nickel, and lead”.
🌱 What are the due diligence and reporting obligations?
Under the regulation, “[b]attery manufacturers will […] be subject to stricter environmental and due diligence requirements if they want to sell on the European market”. More specifically, manufacturers (apart from SMEs) “will have to check the origin of the raw materials they use and the working conditions in their supply chain”. For rechargeable industrial batteries “with a capacity above 2kWh” and batteries used in “light means of transport” (LMT) – such as electric bikes and scooters, manufacturers will have to declare and label the carbon footprint through a “digital battery passport”. The passport is expected to come into effect as of mid-2024.
🌱 What are the collection and recovery targets?
The regulation “set[s] out targets for EU countries to collect 63% of portable batteries by 2027 and 70% by 2030”. (The current target is 45%, and this was largely met already by 2020.) For LMT batteries, the collection target is 51% by 2028 and 61% by 2031. Moreover, the minimum levels of lithium to be recovered from waste batteries is 50% by 2027 and 80% by 2031. For cobalt, copper, lead, and nickel, the minimum levels to be recovered from waste batteries are 90% by 2027 and 95% by 2031.
🌱 What are the material reuse targets?
In the production of new batteries, at least 16% of the cobalt, 85% of the lead, 6% of the lithium, and 6% of the nickel used must be recycled material 8 years after the regulation is enforced. After 13 years, 26% of the cobalt, 85% of the lead, 12% of the lithium, and 15% of the nickel used in new batteries must be recycled material.
🌱 What happens next?
For the regulation to come into force, the European Council has to formally endorse the current text. Thereafter, it will be published in the EU’s Official Journal and can then enter into force.
Read more about the batteries regulation here:
- https://www.europarl.europa.eu/doceo/document/TA-9-2023-0237_EN.pdf
- https://www.electrive.com/2023/06/14/eu-parliament-approves-comprehensive-battery-market-regulation/
- https://www.geeky-gadgets.com/replaceable-phone-batteries-19-06-2023/