1. Substitution of Hazardous Chemicals – Is New Legislation Actually Encouraging It? Anne-Sofie Andersson Director ChemSec The International Chemical Secretariat Helsinki Chemicals Forum 24-25th of May, 2012

2. 1.About ChemSec 1.Does REACH encourage substitution? 1.Future requirements on chemical producers in EU 1.Meeting the new environment Overview

3. About ChemSec

4. Striving to bridge gaps: science, regulation, business Strategy: show the good examples! REACH: To ensure efficient substitution of hazardous chemicals and transparency of information Offers SIN list and SUBSPORT to facilitate chemicals management Work with financial investors on how to estimate financial risks with producing hazardous chemicals ChemSec Vision: - a world free of hazardous chemicals

5. Does REACH encourage substitution?

6. REACH and Substitution Authorisation Candidate list

7. Very slow process and uncertain outcome: Relevance of third party contribution will depend on information available and the time available to contribute. - Transparency is needed! How easy will an authorisation be granted? Will chemical producers apply for uses in consumer articles? What about EDCs? Substitution and Authorisation

8. …and consumer pressure is a strong driver thanks to article 33: Progressive chemicals management among producers of consumer products is leading to voluntary substitution. Main drivers for not registering substances:* -Registration costs -Candidate list and retailers/producers requiring that suppliers do not use certain chemicals (role of SIN and other lists – business strategies) Substitution and Candidate List *Centre for Strategy & Evaluation Services, Interim evaluation, presented at "Workshop on competitiveness, innovation and REACH” EU Commission 6 th Dec 2011

9. Questions to P&G Future requirements on chemical producers in EU

10. REACH will require additional restrictions and authorisations of hazardous chemicals REACH: a model for other regions such as China, South Korea…  How will the global competitive situation look like if e.g. China would implement national bans on substances on Annex XIV? Future – legal requirements

11. Increased interest among investors: Will sustainability index reflect chemical products? Is it a financial risk to invest in companies with large turnover from substances on the candidate list? Future requirements- investors perspective

12. Increased consumer awareness about health impact from chemicals in everyday products: Increased demands on transparency from retailers Due to REACH these demands are moved up the supply chain to chemical producers.  Do you believe consumers would be persuaded by risk based approach? Future requirements - consumers perspective

13. The impact on our health of chemicals used in everyday products 40% Attitudes of European citizens towards the environment “From the following list please tell me the five main issues European Commission study 2011 assesses information transparency concerning environmental issues in the EU27

14. Producers of consumer products implement progressive chemicals management: SVHCs definition and candidate list have raised awareness on which chemicals to prioritize Benefits with less hazardous chemicals: reduced costs for waste, take back actions or bad reputations Collaborations to find alternatives to: Candidate - and SIN list substances substances with SVHC properties Future requirements - market perspective

16. 2006 - 2008 5-6 personer Vad är viktigast under REACH? SIN-listan aktivt arbete under 2007 och 2008 till release release i september 2008 Internationellt aktiva: Ryssland, Ukraina, Vitryssland och Afrika Meeting the new environment

17. REACH expands Producers of consumer products don't want SVHC Is SVHC production a financial risk? The environment is changing, it will require transparency and alternatives to SVHC.  Are the chemical producers ready for it? Concluding remarks

18. Thank you for your attention!