A Guide to Sustainable Business Practices
Companies are expected to take more responsibility for the environment and incorporate sustainable practices into their daily operations. For this reason, the EU has introduced a series of guidelines in recent years addressing the circular economy, environment, and sustainability. These guidelines aim to promote the reuse of materials and products to reduce environmental impact, especially relevant for the production and disposal of IT products.
The European Green Deal is a key element providing an ambitious roadmap for a climate-neutral Europe. Within this framework, the circular economy is gaining importance. The European Circular Economy Action Plan sets clear goals for sustainable product design, resource efficiency, and the promotion of reuse and repair. The “Right to Repair” plays an important role, granting consumers and companies the right to repair their electronic devices more easily and frequently, thus extending the products’ lifespan. This supports sustainable consumption while also strengthening companies specializing in device repair and the trade of used devices[1].
WEEE and Ecodesign Directive
The WEEE Directive (Waste Electrical and Electronic Equipment) deals with the disposal of electronic devices. It mandates that manufacturers of these products are responsible for their disposal and requires that products be designed to facilitate easy recycling. It sets standards for the collection, recycling, and environmentally friendly disposal of e-waste. Companies are thereby obligated to ensure their products are properly handled at the end of their life cycle[2].
Another important directive is the Ecodesign Directive, which aims to improve the energy efficiency of products. This directive sets minimum energy efficiency requirements and promotes the development of products that consume less energy, thus reducing environmental impact. These EU-level measures indicate that Europe will experience significant changes and legal adjustments in this area in the coming years. The EU Circular Economy Action Plan, adopted by the European Commission in March 2020, is one of the main pillars of the European Green Deal, providing the primary directions for sustainable development across Europe[3].
Germany and Its Laws
Germany also has several laws contributing to the implementation of EU circular economy guidelines. Two key laws are the Circular Economy Act (KrWG) and the Electrical and Electronic Equipment Act (ElektroG). Both laws implement EU circular economy guidelines and the WEEE directive for electronic waste. The Circular Economy Act aims to conserve natural resources, establishes a foundation for sustainable waste management, and mandates the avoidance, recycling, and environmentally friendly disposal of waste[4].
The Electrical and Electronic Equipment Act (ElektroG) specifies requirements for placing, returning, and disposing of electronic devices. Manufacturers bear greater responsibility for product disposal, and consumers have the right to return their old devices more easily and free of charge at collection points or stores. The law also defines collection quotas for e-waste collection and recycling, requiring that 65% of the average weight of electronic devices placed on the market over the previous three years be collected. This aims to reduce the environmental impact of e-waste and promote the reuse of raw materials[5].
The German government is also working on a National Circular Economy Strategy (NKWS), which will establish additional sustainability measures[6]. Germany already has important laws regulating the handling of used IT and advancing the circular economy. However, there is a gap between legislation and reality: in 2021, Germany recorded a low e-waste collection rate, achieving only 39% of the legally required 65%. These figures highlight the discrepancy between legal requirements and their implementation. There is an urgent need to improve the efficiency of e-waste collection and recycling. Reusing hardware is a key factor for sustainable business practices[7].
[1] https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/european-green-deal_de
[2] https://www.bmuv.de/gesetz/richtlinie-2012-19-eu-ueber-elektro-und-elektronik-altgeraete
[3] https://www.umweltbundesamt.de/themen/wirtschaft-konsum/produkte/oekodesign/oekodesign-richtlinie#umweltfreundliche-gestaltung-von-produkten
[4] https://www.gesetze-im-internet.de/krwg/
[5] https://www.gesetze-im-internet.de/elektrog_2015/
[6] https://www.bmuv.de/themen/kreislaufwirtschaft/kreislaufwirtschaftsstrategie
[7] https://de.statista.com/statistik/daten/studie/1463223/umfrage/elektroaltgeraete-sammelquote-in-deutschland/