Ukraine needs systemic European legislation on eco-labelling

Appeal

• To Mr Stefanchuk R.A., Chair of the Verkhovna Rada of Ukraine
• To Mr. Bondarenko A.V., Chair of the Committee on Environmental Policy and Nature Management
• To Mr. Solsky M.T., Chair of the Committee on Agrarian and Land Policy
• To Ms. Klympush-Tsintsadze I.A., Chairman of the Committee for the Integration of Ukraine into the European Union
• To the Members of Ukrainian Parliament – initiators of draft laws

• To Ms. Stefanishyna O. V., Deputy Prime Minister for European and Euro-Atlantic Integration of Ukraine
• To Ms. Svyrydenko Y. A., First Deputy Prime Minister of Ukraine – Minister of Economy of Ukraine
• To Mr. Strelets R.O., acting Minister of Environmental Protection and Natural Resources of Ukraine

• To Mr. Matti Maasikas, Head of the EU Delegation to Ukraine

Attention to eco-labelling is growing worldwide: consumers in many countries are choosing products that do not harm the environment, and producers are trying to convince consumers to buy products that are less harmful to the environment. Consequently, eco-labelled products are gradually becoming more competitive than non-labelled products.

Eco-labelling system – labelling of products and services – certifies that the product or service is environmentally friendly and meets specific environmental criteria; they cause less harm to the air, water, soil, and human health during their life cycle from-cradle-to-grave.

One can find goods and services with different labels on our market that attest to their environmental friendliness. These are, first of all, the official EU eco-label, the use of which is regulated by the European Commission, as well as popular private labels from around the world (e.g., “Nordic Swan”, “Green Key”, etc.). As for Ukrainian national labels, their number is narrow. Practically the only eco-label operating existing on our market is the private label “Green Crane”, developed and implemented by All-Ukrainian NGO “Living Planet” and provided by the Centre for Environmental Certification and Labelling NGO “Living Planet”.

Ukrainian consumers are poorly acquainted with the symbols and signs of eco-labels placed today on goods or listed in the description of services (e.g., travel). In order to protect the rights of our consumers, to avoid misleading them by unfair producers or sellers, to combat fraud and “greenwashing” (a marketing technique aimed at creating an illusion of ecological responsibility aimed at misleading the consumers), it is necessary to systematize the available information and introduce state policy approach to informing citizens through the eco-labelling system.

According to Article 293, paragraph 2, Ukraine has committed to making an effort to under the Association Agreement to promote and encourage trade and foreign direct investment in environmentally friendly goods, services, and technologies, the use of balanced sources of renewable energy, and energy-saving products and services, as well as environmental labelling of goods, including by removing related non-tariff barriers. Therefore, Ukraine needs to harmonize its legislation with key EU documents (Regulation (EC) No 66/2010 of the European Parliament and of the Council of 25 November 2009 on the EU Ecolabel. Environmental certification and product labelling are also defined as one of the main tools for implementing the national environmental policy (Basic principles (strategy) of the state environmental policy of Ukraine until 2030).

According to the official website of the European Commission (https://ec.europa.eu/environment/ecolabel) the EU Ecolabel is a label of environmental excellence that is awarded to products and services meeting high environmental standards throughout their life-cycle: from raw material extraction, to production, distribution and disposal. The EU Ecolabel promotes the circular economy by encouraging producers to generate less waste and CO₂ during the manufacturing process.

Today, two draft laws are proposed to the Parliament of Ukraine:

• draft law # 6446, “on introducing amendments to the current laws of Ukraine regarding the regulation of environmental labelling and declarations use”
• and the alternative draft law # 6446-1 “on introducing amendments to the current laws of Ukraine regarding the regulation of environmental labelling in Ukraine”.

They propose to introduce amendments to the Law of Ukraine “On Environmental Protection”, the Law of Ukraine “On Basic Principles and Requirements for Organic Production, Circulation and Labelling of Organic Products “, the “On Provision of Food Information to Consumers” and the Law of Ukraine “On Advertising”.

And while the alternative draft law № 6446-1 tries to outline logic and draw general principles and approaches to the process, the main draft law № 6446 lacks not only systematics and logic, but also adequate definitions.

In particular, introducing the illiterate and rather strange for legislative terminology concept of “more environmentally better products”, the draft law № 6446 actually creates corruptive risks, giving significant discretion to supervisory authorities to determine the existence or absence of such questionable characteristics. That primarily concerns the issue of the right to eco-labelling, as well as the possibility to provide state support to “operators of more environmentally better products within the frameworks of national and regional programs through and within budget expenditures to support the development of producers in the relevant industry sectors».

In addition, draft law № 6446 establishes a provision prohibiting eco-labelling in the absence of a certificate attesting the compliance of products (goods, services) with the requirements of environmental criteria. However, no criteria are given in the document text and no reference to the authority of the state body to establish these criteria. That makes the norm ineffective from the very beginning and, again, gives grounds for abuse by the regulatory authorities.

Obviously, it is time to develop adequate eco-labelling legislation in Ukraine, harmonized with EU standards and our declarations to join the European Green Deal. Yet we need to start from the beginning, not from a chaotic change of effective laws.

We believe it is necessary:

1. To develop separate systemic legislation in the field of eco-labelling (we propose to take the draft law № 6446-1 as a basis), which will be based on the state approach to legislation, protect citizens from fraud and deception, prevent corruption risks and provide support for fair producers/service providers.

2. The law has:

• to define the meaning of eco-labelling and its role is in implementing the principles of sustainable production and consumption and proper information consumers,
• to establish safeguards and liability for fraud and unfair marketing practices,
• to define the criteria for awarding the corresponding labels,
• to determine the procedure for compliance assessment (certification),
• to provide access to all interested parties/stakeholders to participate in the process,
• to determine the tasks, authority, and legitimacy of compliance assessment (certification) bodies,
• to establish responsibilities for producers, market operators as well as compliance assessment (certification) bodies,
• to ensure state regulation and responsible state bodies.

3. The law must be harmonized with EU standards in accordance with the Association Agreement, comply with the European Green Deal and the principles of the Aarhus Convention on public access to environmental information.

We are calling:

1. Do not introduce amendments to effective laws because at this moment:

• Amendments to the Law of Ukraine “On the basic principles and requirements for organic production, circulation, and labelling of organic products”, proposed by draft law No. 6446, contravene EU Regulations:
  • No. 834/2007 on organic production, which Ukrainian legislation has already being harmonized with in accordance with the Association Agreement;
  • No. 2018/848 on organic production, effective from January 1, 2022;
  • EU Regulation No. 66/2010 on eco-labelling.
• Amendments to the Law of Ukraine “On Environmental Protection”, proposed by draft law No. 6446, are not consistent with the content of this law and create additional controversy regarding the provisions already harmonized with the Association Agreement,
• Fragmentary changes to the four laws by no means solve the main problem – the need to create an environmental labelling system.

2. Use Ukraine’s positive experience in developing similar systemic laws indorsed by the EU (for example, the procedure and process for creating organic legislation).

3. Create a working group with experts and public activists (including the developers of the alternative draft law No. 6446-1, which provisions we propose to take as a basis).

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Original (Ukrainian) version of the Appeal and list of supporters.

Similar Appeals were agreed and sent to the recipients on behalf of the Ukrainian party of EU-UA Civil Society Platform and Working group 3 of Ukrainian National Platform of the Eastern Partnership Civil Society Forum.