1. How the pilot project “Product Environmental Footprint Category Rules” (PEFRC) benefits the coatings industry Emilie Carasso 25 September 2014 1

2. Overview What are we talking about, and why are we talking about it? Didn’t we already work on that? What’s PEF about then? And what’s in it for us? 2

3. What are we talking about, and why are we talking about it? 3

4. Definitions LCA methodology Life Cycle Assessment (LCA): Compare the full range of effects assignable to products and services LCA (Life Cycle Assessment) 4

5. Life Cycle Inventory (LCI): Data of the various inputs and outputs within a certain system (energy/water consumption, CO 2 emissions, etc.) 5 LCA (Life Cycle Assessment) LCI (Life Cycle Inventory) Definitions LCA methodology

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7. Quote from CEPE’s Sustainability charter: CEPE members will be encouraged in future to also identify and analyse the broader environmental effects of their products (carbon footprint, water usage etc.) over the product’s Life Cycle (from cradle to grave). CEPE sustainability charter Voted in Seville in 2012 7

8. Why is it important? Pressure on the industry from various sides: Consumers (Ecolabels, etc.) Retailers (B&Q and Brico working on their green image) Legislators (e.g. France & Germany request EPDs in specific situations) Green building schemes 8

9. Didn’t we already work on that? 9

10. Goals CEPE LCI Project To get the coatings industry started with understanding and managing its products’ environmental footprints throughout the life cycle: Collect industry data on the paint production processes to define standard industry LCI data Jointly build an LCI database for the most common raw materials used in the industry, and make it the recommended database for paints Help CEPE members understand and answer Life Cycle / EPD / footprint questions 10

11. Input from all CEPE sectors Total of 290 RM identified Contacted RM associations 3 processes identified Collection of on-site information 11 Cradle

12. CEPE LCI Project deliverables Further utilization by: Sector groups Country organizations Individual companies Databases + documents CEPE Eco footprint tool 12

13. ? What about this part? 13 Cradle

14. Communication on environmental performance Discussion on labels, scorecards etc. (started in France) Other points not tackled yet 14 Environmental Product Declarations (EPDs) Construction VS Coatings needs; national requirements

15. What’s PEF about then? 15

16. Problem statement EU (April 2013) “A company wishing to market its product as green in several Member State markets faces a confusing range of choices of methods and initiatives, and might find it needs to apply several of them in order to prove the product's green credentials. This is turning into a barrier for the circulation of green products in the Single Market.” PEF (Product Environmental Footprint) is the European standard method to declare your environmental impact PEF pilot project to test the methodology on 27 real products EU Single Market for Green Products 16

17. Started in November 2013 2014 – 2016 PEF pilot decorative paints –2014: Write PCR’s (PEF calculation rules) –2015: Create PEF studies and background reports –2016: Communication of PEF study results to users 2017 – 2018: Evaluation of results by commission 2019 onwards: (if successful) Possible to use of PEF method in legislation and voluntary schemes PEF Pilot - high level planning 17

18. PEF – Technical Secretariat Paint manufacturers -AkzoNobel -Crown / Hempel -DAW -Jotun -PPG -ONIP (SME) CEPE VdL - German National Association 18 Suppliers -IMA – industrial minerals -PlasticsEurope

19. PEF – Other TS of interest Construction related: Decorative paints Hot and cold water supply pipes Metal sheets Photovoltaic electricity generation Thermal insulation 19 Chemicals related: Household detergents Other pilots Batteries and accumulators; Intermediate paper product (JRC); IT equipment; Leather; Non-leather shoes; Stationery; T-shirts; Uninterruptible Power Supply Beer; Coffee; Dairy; Feed for food-producing animals; Fish; Meat (bovine, pigs, sheep); Olive oil; Packed water; Pasta; Pet food (cats & dogs); Wine

20. Scope: decorative paints 84 % market represented a) ‘matt coatings for interior walls and ceilings' b) ‘glossy coatings for interior walls and ceilings‘ -> Together = 58% of 2012 EU market per volume c) ‘coatings for exterior walls of mineral substrate' -> 19% of 2012 EU market per volume d) ‘interior/exterior trim and cladding paints for wood, metal or plastic' -> 7% of 2012 EU market per volume PEF Pilot – Representative(s) product(s) 20

21. Decision to look at 6 real products for screening Indoor variations covered: colored/white + mat/glossy Trim variation: waterborne / solventborne At least one product per category 21 PEF Pilot – Representative(s) product(s)

22. Life Cycle Analysis : look at details of our supply chain : define average distances travelled, downstream scenario (typical paint job, emissions, end of life etc. ) Work on quality level of paint – which properties matter? Both decorative and protective parameters to look into, differences in geography etc. Discussions to get agreement between companies as scrutiny from European Commission afterwards PEF Pilot – work done 22

23. On average – 1 meeting / confcall per month since November Time consuming - Paints pilot project management done by CEPE, some pilots have hired consultants Different approach leading to shorter documents, “straight to the point” Dynamics are very positive – part of a group of people pushing for LCA, more attention on the topic (increase with food pilots) PEF Pilot – work done 23

24. And what’s in it for us? 24

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26. PEF – Benefits for us Creation of level playing field in sustainability -> Similar goal as CEPE LCI project Alignment of PEF methodology with Construction Products EN 15804 - > Currently, paint industry in between the construction / coatings world 26

27. Avoid multiplication of labels / schemes in EU 27 PEF – Benefits for us PEF = same calculation -> different ways to communicate

28. Future use of PEF in voluntary schemes (e.g. Ecolabel) If LCI data available generally, potentially in mandatory policy 28 PEF – Benefits for us Being a part of the pilot phase = making PEF work for us by influencing methodology and key parameters

29. Any question? 29