The New ESPR: Paving the Way for a Circular Cosmetic Economy

Covalo X The Upcycled Beauty Company

In a landmark move towards a more sustainable future for the European Union (EU) (and hopefully beyond), the Ecodesign for Sustainable Products Regulation (ESPR) officially came into force on July 18, 2024. This regulation is a cornerstone of the European Commission's strategy to promote environmentally sustainable and circular production, which has significant implications for beauty and personal care.

Why ESPR Matters

The manufacture, use, and disposal of products have a profound impact on the environment. In the EU, consumption patterns are major contributors to environmental damage, biodiversity loss, climate change and pollution. To combat this, the ESPR is part of a comprehensive package of measures designed to fulfill the goals outlined in the 2020 Circular Economy Action Plan for a cleaner and more competitive Europe. These measures aim to help the EU reach its environmental and climate objectives, including doubling the circularity rate of material use and achieving energy efficiency targets, by 2030.

According to the Circularity Gap Report, the global economy is only 7.2% circular. And this is getting worse driven by rising material extraction and use. The current linear take-make-dispose economy relies increasingly on materials from primary sources. Over the last six years we have extracted and used more than in the entire 20th century.

In 2022, the rate of circularity of material use in the EU was 11.5% (down from 12.8% in 2021). The goal of initiatives like the ESPR is to significantly increase this rate.  As a fast and high consumable industry, beauty and personal care must continue to invest in the large-scale deployment of sustainable production, while curbing primary material demands in a move to improve cosmetic circularity. 

Key Objectives of the ESPR

The primary aim of the ESPR is to enhance the circularity, energy performance and overall environmental sustainability of products available in the EU market. This regulation is expected to:

• Better protect our planet
• Foster sustainable business models
• Strengthen the competitiveness and resilience of the EU economy

A sustainable product under the ESPR is characterized by several features:

• Uses less energy
• Lasts longer
• Can be easily repaired
• Parts can be easily disassembled and put to further use
• Contains fewer substances of concern
• Can be easily recycled
• Contains more recycled content
• Has a lower carbon and environmental footprint over its lifecycle

The Legal Framework

Replacing the Ecodesign Directive 2009/125/EC, the ESPR establishes a framework for setting specific ecodesign requirements across nearly all categories of physical goods (with some exceptions such as food and feed). These requirements aim to:

• Enhance product durability, reusability, upgradability, and reparability
• Improve energy and resource efficiency
• Address substances that hinder circularity
• Increase recycled content in products
• Facilitate easier remanufacturing and recycling
• Set rules for carbon and environmental footprints
• Provide better information on product sustainability

New Measures Under ESPR

The regulation also introduces several groundbreaking measures, including:

• Digital Product Passport: A digital record containing detailed information about the product's sustainability.
• Destruction of Unsold Products: Rules to prevent the destruction of unsold consumer products.
• Green Public Procurement: Encouraging public sector procurement to prioritize environmentally sustainable products.

Implementation Process

The ESPR acts as a framework legislation, meaning specific product rules will be developed progressively. This process begins with a prioritization exercise, followed by the publication of a working plan outlining the products and measures to be addressed over time. Product rules will then be developed through inclusive planning, detailed impact assessments, and regular stakeholder consultations via the Ecodesign Forum.

Implications for the Personal Care Industry

For the beauty and personal care industry, the ESPR presents both challenges and opportunities. Brands will need to innovate to meet the new ecodesign requirements, ensuring their products are more sustainable from production through to disposal. This will involve reformulating products to increase the percentage of upcycled materials present and to remove any potentially harmful substances. Packaging design will need to be focused on eliminating, reducing, reusing or providing better recyclability.

By embracing these changes, the personal care industry can play a pivotal role in driving the EU towards a more sustainable future. The ESPR not only aims to protect the environment but also encourages businesses to adopt more sustainable circular practices, ultimately fostering a more regenerative and resilient economy in the long term.

Circular Development Resources

Circle Economy - empowers decision-makers across industries, cities and nations with clear and actionable ways to make their spheres more circular. 

CircuLaw - accelerates the circular economy through more and better use of existing laws and regulations.

The Upcycled Ingredient Directory - search for circular, upcycled or Zero-Waste ingredients from global suppliers.

PlasticFree - the world’s first materials and system change solution platform built by creatives for creatives.

Packforward - helps stakeholders in the packaging chain move forward with sustainable packaging. Discover how you can benefit from European collaborations and events.

Arkive - on a mission is to rescue 1 billion products by 2030, Arkive has built the world’s first data-driven platform for end-of-life management where beauty brands can resell, repurpose and donate surplus inventory.

Covalo - browse through the world's largest ingredients platform to identify the right ingredients. Leverage the "Sustainability Claims" filters to get a view of which ingredients meet sustainability requirements, like "upcycled" and more. 

References:

1. https://commission.europa.eu/energy-climate-change-environment/standards-tools-and-labels/products-labelling-rules-and-requirements/sustainable-products/ecodesign-sustainable-products-regulation_en

2. https://environment.ec.europa.eu/strategy/circular-economy-action-plan_en

3. https://www.circularity-gap.world/2023

4. https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Circular_economy_-_material_flows