With EU taking on a major task to achieve climate neutrality by 2050, many organizations are transitioning to zero-emission vehicles. It is estimated that around 30 million of these zero-emission vehicles may be in operation on-road by 2030. While this will significantly lower greenhouse gas emissions, there is also a drawback: these vehicles use batteries. Production of these batteries will have a negative environmental impact. Global battery demand will rise to 14' by 2030. Batteries will also have to be collected and recycled to limit carbon footprint. Hence The European commission has proposed a new EU Battery Regulation to replace the current one: the battery directive (2006/66/EC), which will amend Regulation (EU) No 2019/1020. The new Battery Directive will have implications for exports and importers of batteries and accumulators in the automotive industry.

Introduction

The battery directive (2006/66/EC), which would alter Regulation (EU) No. 2019/1020, is the new EU Battery Regulation that the Commission has proposed to replace the existing one. The Battery Regulation was intended to go into effect on January 1, 2022, according to the Commission. However, this was clearly not possible. The automobile industry's exports and imports of batteries and accumulators will be impacted by the new battery rule.

Novelties

The following novelties are among those that are introduced in the proposal for the new EU Battery Regulation:

• A battery passport will be required starting in 2026 for all batteries. The battery-related data will be connected to the passport.

• Member States must meet minimum objectives for the collection of used portable batteries. Unlike prior battery regulations, which permitted exporting trash batteries beyond the EU, used batteries may only be transferred outside the EU for recycling.

• Batteries and industrial rechargeable batteries may be required in some circumstances to be accompanied by technical paperwork that includes a carbon footprint statement. This statement includes details on the manufacturer, the battery, the location of the battery manufacturing plant, and the overall carbon impact.

These additional regulations are all subject to various deadlines. Effective control and enforcement procedures for the export of used batteries are also required by the new regulations. This will be required to prevent the export of those batteries in an unauthorized manner.

Conclusion

The plan will be in line with the EU's green pact, but it also intends to eliminate inconsistencies in the internal market brought on by inconsistent laws and information. They seek to level the playing field for everyone. However, several Member States claimed that the present draught sets the dates too soon for proper implementation during the consultation on June 10, 2021.

The deadlines are being accelerated, and some Member States are even requesting permission to impose even tighter regulations. Although the projection for the Directive was to apply from 1 January 2022, it will not come into force on that date, thus the deadlock should be addressed before the Regulation goes into effect. The MPs will vote on the in this year's January and February.

Reference: https://www.europarl.europa.eu/news/en/headlines/economy/20220228STO24218/new-eu-rules-for-more-sustainable-and-ethical-batteries