In Europe, out of several influential institutions, the European Council (EC) is one. Although it is not one of the EU’s legislating bodies and does not negotiate or adopt EU laws, it determines the EU’s general political direction and priorities – essentially setting the policy agenda for the EU.
The European Council generally adopts the conclusions from its meetings, which identify specific issues of concern and outline particular actions to take or goals to reach. The organisation usually sets a deadline for reaching agreement on a particular issue or for the presentation of legislative proposal.
Recently, the Council and Parliament negotiators have reached a provisional political agreement on phasing down substances that cause global warming and deplete the ozone layer. Let us now have a look at the major areas of their plan (final draft paper).
Action on fluorinated GHGs
F-gases or Fluorinated Greenhouse Gases (GHGs) are powerful gases that trap heat in the atmosphere and contribute to global warming. Artificially produced F-gases are stronger than naturally occurring greenhouse gases. Considering the harmful effects of F-gases, which constitute a family of gases containing fluorine, the council has recommended a number of steps to cease their use and production.
Contextually, according to the U.S. Energy Information Administration (EIA), several major greenhouse gases that result from human activity are included in U.S. and international estimates of greenhouse gas emissions. These include – Carbon dioxide (CO2); Methane (CH4); Nitrous oxide (N2O); and Industrial gases comprising Hydrofluorocarbons (HFCs), Perfluorocarbons (PFCs), Sulphur hexafluoride (SF6), and Nitrogen trifluoride (NF3). Other greenhouse gases not counted in U.S. or international greenhouse gas inventories are water vapour and ozone.
Water vapour is the most abundant greenhouse gas, but most scientists believe that water vapour produced directly by human activity contributes very little to the amount of water vapour in the atmosphere. Therefore, EIA does not estimate emissions of water vapour.
Ozone is technically a greenhouse gas, but ozone is helpful or harmful depending on where it is found in the earth’s atmosphere. Ozone occurs naturally at higher elevations in the atmosphere (stratosphere) where it blocks ultraviolet (UV) light that is harmful to plant and animal life from reaching the earth’s surface. The protective benefits of stratospheric ozone outweigh its contribution to the greenhouse effect.
According to the (ECs) provisional agreement, the consumption of hydrofluorocarbons (HFCs) will be completely phased out by 2050, and the production of HFCs, in terms of production rights allocated by the commission, will be phased down to a minimum (15%) as of 2036. Both production and consumption will be phased down based on a tight schedule of decreasing quota allocation. The agreement introduces a higher quota allocation for the first two periods compared to the Commission proposal. Semi-conductors will be exempted from the HFC quota allocation system, as proposed by the commission, and the feasibility of the phase-out of the consumption of HFCs and the need for HFCs in sectors where they are still used will be reviewed in 2040, taking into account technological developments and the availability of alternatives to HFCs for the relevant applications.
Introduction of a full ban
The EC conclusion includes acceptance of a full ban on placing several categories of products and equipment containing HFCs on the market, including certain domestic refrigerators, chillers, foams and aerosols. It has brought forward some deadlines for the ban – and extended it to products that use F-gases with a lesser Global Warming Potential (GWP).
The provisional agreement has introduced a full ban on small (<12kW) monobloc heat pumps and air conditioning that contain F-gases with a GWP of at least 150 starting in 2027, and a complete phase-out in 2032. With regard to split air conditioning and heat pumps containing F-gases, the co-legislators agreed on a full ban starting in 2035, with earlier deadlines for certain types of split systems with higher GWP. Exemptions are provided for in cases where this equipment is needed to meet safety requirements. The provisional agreement also includes the possibility to release a limited number of additional quotas for heat pumps if the proposed bans were to endanger the attainment of the heat pump deployment target required under REPowerEU.
The text (draft) has also laid down a new full ban on medium voltage switchgears relying on F-gases, with a gradual phase-out by 2030, and a ban on high voltage switchgears by 2032. It has introduced a cascading principle that allows for potential derogations from the bans depending on the bidding process for F-gas-free alternatives. It includes a possibility for high voltage switchgear to use the very potent greenhouse gas SF6 as a last resort under the cascading principle and added a number of safeguards in order to avoid the bans endangering the functioning of the electrical grids.
Ban on repair and service existing equipment
The provisional agreement has introduced a ban on some equipment needed to repair and service existing equipment. From 2025, servicing equipment for refrigeration equipment that uses F-gases with high GWP will be banned unless the gases are reclaimed or recycled, in which case they benefit from a derogation until 2030.
A similar ban has been proposed for servicing equipment for air conditioning and heat pump equipment for 2026, with a derogation for reclaimed or recycled gases until 2032. A servicing ban on stationary refrigeration equipment designed to cool products to temperatures below -50 °C using F-gases with lower GWP will be applied in 2032, with a permanent derogation where recycled or reclaimed gases are used.
HFC quota allocation price
The text has set the HFC quota allocation price at €3, adjustable for inflation. Part of the revenue will be used to cover the administrative costs of the implementation of the F-gas regulation, and the rest will go to the general EU budget.
Effective, proportionate and dissuasive penalties
The draft has set out a mandatory Extended Producer Responsibility (EPR) scheme from 1 January 2028 for F-gases in products and equipment that fall under the categories of electrical and electronic equipment.
The provisional text provides that member states will set rules on effective, proportionate and dissuasive penalties applicable to infringements. The penalties should include at least fines, confiscation of products, temporary exclusion of products from public procurement and temporary trade bans. They should be compatible with the Environmental Crime Directive and with national legal systems. They should be above a set minimum quantitative threshold if member states decide to set a threshold.
Ozone-depleting substances
The provisional agreement has confirmed that Ozone-Depleting Substances (ODSs) are prohibited in almost all cases, with only strictly limited exemptions. The text includes an exemption for the use of ODSs as feedstock to produce other substances. The commission will be tasked with regularly updating a list ODSs the use of which as feedstock is banned. An assessment of the availability of alternatives for feedstock is to be primarily done at international level, under the Montreal Protocol. However, as a safeguard, if the international expert panel fails to do so within a certain timeframe, the commission will make an assessment of viable alternatives.
The text will also allow, under strict conditions, ODSs used as process agents, in laboratories and for fire protection in special applications such as military equipment and airplanes.
The provisional agreement extends the requirement to recover ODSs for destruction, recycling or reclamation to include more than in the commission’s proposal. The requirement will cover refrigeration, air conditioning and heat pump equipment, equipment containing solvents, fire protection systems and fire extinguishers and other equipment if technically and economically feasible.
The text (draft) has also extended to all ODSs the requirement on undertakings to take precautions to prevent and minimise the unintentional release of ODSs and to ensure that any leakage detected is repaired without undue delay.
Way forward
Both provisional agreements will now be submitted to the member states representatives within the Council (COREPER – Committee of Permanent Representatives) and to the Parliament’s environment committee for endorsement. If approved, the draft will then need to be formally adopted by both institutions, before it can be published in the EU’s Official Journal and enter into force.
By P. K. Chatterjee (PK)
