EU vision for raw materials governance Raw Materials Conference 2017 Successful raw material governance 23 June 2017, Brussels Malwina NOWAKOWSKA European Commission. Directorate-General for Internal Market, Industry, Entrepreneurship and SME's (DG GROW) Unit C2 - Resource Efficiency and Raw Materials malwina.nowakowska@ec.europa.eu

Raw Materials Initiative EU Raw Materials Framework Raw Materials Initiative CRM European Innovation Partnership Strategic Implementation Plan Circular Economy Horizon 2020 funding tool Trade and Foreign policy The structure of the RMI, as the EU Raw Materials Policy is still valid, but: Many actions have been achieved New challenges have arisen in all three pillars of the RMI The framework for extractive / energy- intensive industries has evolved: Circular Economy, SDGs, COP21… The EIP should play a strategic role outlining actions that need to be taken to keep supporting raw materials policy. Post-2020 "FP9" may be a powerful funding tool to help to implement the actions to secure sustainable supply of raw materials. COP21 1. Raw materials used in several applications Essential ingredients for economy and society Importance for emerging technologies and “green applications” Renewable energy: solar cells, wind turbines Energy efficiency: hybrid and electric cars, LED lighting, batteries Electronics: flatscreens, mobile phones Aerospace: light weight alloys 2. Raw materials challenge Continued growth by emerging countries will keep pressure on demand for raw materials Demand also increasingly driven by demand for new technologies EU highly dependent on imports of important raw materials which are increasingly affected by market distortions Potential in Europe, but increased competition for different land uses and a highly regulated environment 3. EU initiative RMI 2008 - Commission Communication of 4 November 2008 "The raw materials initiative – meeting our critical needs for growth and jobs in Europe" RMI 2011 – Commission Communication of 2 February 2011 "Tackling the challenges in commodity markets and on raw materials" We need a really attractive long term vision We need the best experts to do that We need to mobilise all stakeholders who can help, while building on the existing community SDGs

Raw materials research and innovation coordination (2015) Horizon 2020 Societal Challenge 5 Work Programme 2014-2015 Raw materials in the next MFF/FP9 Improving coordination with the relevant EU, Member States and regional policies and initiatives in the area of raw materials – RMI, EIP… Improving both research and innovation collaboration among all the relevant European Technology Platforms and other industrial and research initiatives - ETPs, KIC, ERA-NETs, relevant H2020 projects… Engaging all the relevant players, particularly civil society and authorities at regional and local level, across the whole EU. The action should develop a common long term 2050 vision and roadmap for the relevant raw materials, including metals, industrial minerals and aggregates, wood and natural rubber-based materials. Bottom-up approach! Technology-focused policy areas WP1 - Exploration, extraction, processing, recycling … WP2 - Substitution, alternative functionalities and materials Non Technology policy areas WP3 - Improving Europe's raw materials regulatory framework conditions, knowledge base and infrastructure e.g. data interoperability and availability WP4 - Improving Europe's recycling regulatory framework conditions and excellence e.g. public procurement, private initiatives WP5 - International cooperation Promoting appropriate international cooperation various policy issues possible e.g. geology, research, trade, competitiveness and investment conditions

Raw Materials Initiative CRM Materials flows* Raw Materials Initiative Simplified Sankey diagram for Neodymium Study on Data for a Raw Material System Analysis: Roadmap and Test of the Fully Operational MSA for Raw Materials The challenge of securing access to metals and minerals has received recent public attention in Europe. Many of these materials are used in everyday applications and are essential for production of common goods, high tech products, or emerging innovations. To address this growing concern, the European Commission launched the European Raw Materials their economic importance and their risk of supply interruption. The present study aims to build knowledge and understanding of Europe's critical raw materials' flows. A comprehensive data inventory of these material flows in industry and society being crucial for decision-making of supply security, a Material System Analysis (MSA) for 28 materials (26 critical raw materials, lithium, and aggregates) is developed. * Study on Data for a Raw Material System Analysis, 2015: https://ec.europa.eu/growth/tools-databases/msa/content/report-summaries

Circular Economy Transition towards a Circular Economy The value of products, materials and resources is maintained in the economy for as long as possible Waste generation is minimised Brings economic, social and environmental gains "Economic actors, such as business and consumers, are key in driving this process." "Making the circular economy a reality will however require long-term involvement at all levels, from Member States, regions and cities, to businesses and citizens." "Industry has a key role to play by making specific commitments to sustainable sourcing and cooperating across value chains." - Possibility to make a "Commitment" within the European Innovation Partnership on Raw Materials

123 Raw Materials Commitments: European Innovation Partnership on Raw Materials Horizon 2020 123 Raw Materials Commitments: 980 partners, indicative budget ± EUR 2 billion European Commission: Horizon 2020 (600 MEUR over 2014-2020) Near 40 Projects on Raw Materials under SC5. EC Contribution > 200 MEUR in 2014-2016 Circular Economy Package Studies, reports, conferences, dialogues etc Launch EIT Raw Materials Since the adoption of the EIP's Strategic Implementation Plan (SIP) in 2013, significant progress has been made towards the implementation of the EIP's actions: The EIP can currently count on 123 Raw Materials Commitments, which are voluntary joint undertakings that commit to implementing the SIP's actions and targets. These Commitments include close to 980 unique partners from more than 50 different countries and have an indicative budget of close to €2 billion. They are found to be delivering tangible results such as innovative actions or pilots, strategic documents or knowledge sharing activities. The European Commission has taken many initiatives to implement the SIP's actions: It has directed €140 million of R&I funding to 28 projects that deal with raw materials through the Horizon 2020 programme; It has addressed many of the actions on waste management framework conditions in the Circular Economy Package; It has published a number of studies and reports and organised a series of conferences with the US and Japan on critical raw materials. The launch of the EIT Raw Materials will contribute to the further implementation and coordination of many of the EIP's actions. The EIT brings together 115 partners from 22 EU Member States, making it the biggest consortium of this kind in the world. The EIT applied for approximately €400 million in EU funding, a sum they commit to leverage by a factor of four over the period 2015-2022.

The EIP is well on track to achieving its targets European Innovation Partnership on Raw Materials The EIP is well on track to achieving its targets Target Outlook 1: Up to 10 innovative pilot actions  2: Substitutes for at least 3 applications of critical and scarce raw materials 3: Framework conditions for primary raw materials  4: Framework conditions for material efficiency and waste management 5: European raw materials knowledge base 6: Launch of a Knowledge and Innovation Community  7: Pro-active international co-operation strategy The EIP's Strategic Implementation Plan includes 7 concrete targets, which are the crystallization of the EIP's actions. Table 1 summarizes the state-of-play vis-à-vis these targets and the outlook until 2020. It shows that overall most targets are well on track. Target 1 on innovative pilot actions is and will mostly be addressed through Horizon 2020. During the first period of 2014-2015 new consortia have been formed and most promising technology solutions identified to be scaled up to in all the areas of raw materials production, incl. exploration, mining, processing, and recycling. The period 2016-2020 will be focused on identifying and launching pilot actions to move the available high-potential innovative raw materials solutions at advanced development stage closer to the market Target 2 on substitution is very well on track with EU-funded projects which have already delivered in the field of substitution of heavy Rare Earth Elements in magnets and for materials for electronic devices. With many other projects ongoing it seems very likely that the EIP target will be met by 2020, even though substitution is usually a long-term endeavour requiring at least 10 years to mature and to deliver new and competitive technologies. To improve framework conditions for primary raw materials Target 3 a number of projects are ongoing that will gather information on different aspects of the minerals policy framework in the Member States. To deliver on this target it will be important to engage with competent authorities at the EU, Member State, regional and local level as well as with all relevant stakeholders to explore ways to facilitate investment. To reach Target 4 on framework conditions on material efficiency and waste management work will continue on the co-decision process on the Waste Framework Directive, the Packaging and Packaging Waste Directive and the Landfill Directive and transposition into national legislation, a process that was launched via the Circular Economy Package. Next to that the Commission will be working on information or requirements on material-efficiency under the Energy-Related Products Directive. Further initiatives by all stakeholders identified in the SIP will also be necessary e.g. on innovative business models based on extension of product life-time, flows of information on (critical) raw materials contained in electrical and electronic equipment, the recovery of (critical) raw materials from e-waste, an industry-led voluntary certification scheme for treatment of e-waste and batteries based on European standards and identification and dissemination of good practices on the cascading use of wood. The launch of the Raw Materials Information System (RMIS), a web-based platform that provides a structured repository of quantitative and qualitative knowledge on raw materials, together with some (past and ongoing) EU funded and other projects from partners such as the EuroGeoSurveys, provide a good perspective for Target 5 on the establishment of an EU knowledge base on raw materials. Target 6, on the launch of a Knowledge and Innovation Centre has been completed in 2015. It is expected that it will significantly contribute to the further implementation and coordination of many other actions of the EIP in the future. Finally, concerning Target 7 the EIP has provided impetus to a pro- active international co-operation strategy. Since the adoption of the SIP the European Commission has launched a number of Raw Materials Diplomacy Dialogues through different co-operation modes – with the US, Japan, China, Canada, South-Africa, Greenland, Australia and some Latin American countries (Argentina, Brazil, Chile, Colombia, Mexico Peru and Uruguay) and a trilateral cooperation with the United States and Japan on critical raw materials.   Separately in the area of trade the Commission has adopted the "Trade for all" Communication, which foresees that the Commission will propose an energy and raw materials chapter in each trade agreement and also to "take into account sustainable development considerations in all relevant areas of FTAs (for example, energy and raw materials or public procurement)". It has also proposed a draft regulation on EU initiative on responsible sourcing from conflict-affected and high-risk areas, which may be adopted towards the end of 2016. The Commission has also intervened in several cases of trade restrictions on raw materials. In addition a number of Horizon 2020 projects were launched on dialogues and cooperation with industry and raw materials producing and technology advanced countries (e.g. INTRAW and STRADE). With regards to the future the Commission will continue its activities with third countries relative to raw materials. It will also continue ongoing trade negotiations with Philippines, Indonesia, Australia and New Zealand and Mercosur and in the context of TTIP. The Feasibility Studies (supported by Partnership Instrument) for the EU-Canada Mineral Investment Facility and for the EU-Latin America Mineral Development Network Platform are expected to deliver interesting insights that will further boost the EU's international co-operation on raw materials. 'Trade for all: Towards a more responsible trade and investment policy' - http://trade.ec.europa.eu/doclib/docs/2015/october/tradoc_153846.pdf 'Proposal for a regulation of the European Parliament and of the Council: Setting up a Union system for supply chain due diligence self-certification of responsible importers of tin, tantalum and tungsten, their ores, and gold originating in conflict-affected and high-risk areas', COM(2014) 111

Copernicus for raw materials 7 November: EU advanced mining country raw materials diplomacy dialogue EU critical raw materials event 8 November: 5th annual High Level Conference of European Innovation Partnership (EIP) on raw materials" 9 November: Horizon 2020: societal challenge 5 infoday & and brokerage event Reconciling biodiversity protection and extractive activities within Natura 2000 Network If you would like to add your event to the programme, please contact GROW-EIP-RAW- MATERIALS@ec.europa.eu

Thank you! EU raw materials: EIP on Raw materials: http://ec.europa.eu/growth/sectors/raw-materials/index_en.htm EIP on Raw materials: https://ec.europa.eu/eip/raw-materials/en/meetings-listing EIT Raw materials: www.eitrawmaterials.eu Horizon 2020 - Raw materials webpage: http://ec.europa.eu/programmes/horizon2020/en/area/raw-materials Raw Materials Week 2017: https://ec.europa.eu/growth/tools-databases/eip-raw-materials/en 9