European Court of Auditors: Strengthening recycling markets in the EU

The European Court of Auditors is calling for measures to strengthen recycling markets in the EU. Without functioning markets, the objectives of the circular economy are jeopardised.
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In a recently published report, the European Court of Auditors emphasised the need to strengthen recycling markets in the European Union. This comes against the backdrop of the upcoming introduction of the Circular Economy Act in the autumn.

The report, which was discussed in the European Parliament's Environment Committee, emphasises that despite progress and stricter targets, considerable challenges remain.

The Court of Auditors has reviewed the national measures for the management of municipal waste on the basis of a sample of four Member States. A key finding is that a modern infrastructure and a market that generates sufficient demand are essential in order to achieve the recycling targets. Dr Andreas Bruckschen, Deputy Managing Director of the German Association of the Waste, Water and Recycling Industry (BDE), emphasises that the Court of Auditors' findings support the industry's long-standing demands. The European Commission should take these seriously and align its measures accordingly.

The need for a stable infrastructure

The Court of Audit's report recommends taking measures to make the circular economy more economically viable. Both demand-side and supply-side obstacles should be identified. The importance of well-organised separate collection and a suitable sorting and treatment infrastructure is particularly emphasised. Despite existing EU obligations, separate collection is still at a low level in some Member States. This applies in particular to biowaste, which can reduce the contamination of other recyclable materials through separate collection.

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Financial incentives and regulation

Another central theme of the report is the polluter-pays principle as a basic principle of European environmental policy. The Court of Auditors describes fee models that would ensure full cost recovery and recommends the harmonisation of landfill and incineration taxes at EU level by the end of 2026. Delays in infringement proceedings and staffing problems that prevent inspection visits are also criticised. Without effective enforcement of EU law, the stricter targets for the circular economy would remain ineffective.

Demands of the BDE

The BDE sees the findings of the Court of Auditors as a clear mandate for action. Without functioning recycling markets, the objectives of the circular economy could be jeopardised. The association is calling for reliable framework conditions that safeguard investments in sorting and recycling capacities and strengthen the demand for secondary raw materials. The EU Commission and the member states must ensure the economic viability of the recycling markets and address obstacles in the EU internal market for secondary raw materials. This includes minimum recycling quotas and requirements for prioritised public procurement of recycled materials.

Separate collection must be strengthened and the infrastructure expanded so that high-quality recyclable material streams are available. The polluter-pays principle and the cost recovery principle should also be consistently implemented in order to finance investments in collection, sorting and treatment in the long term. The design and implementation of extended producer responsibility systems are essential in order to generate a steering effect.

Source: BDE