Ferma to advise risk managers on EC’s new ELD three-year plan

The European Commission will propose what it calls a “multi-annual rolling work programme” (MAWP) to member states’ experts and stakeholders this month, which it hopes will improve the interpretation of key concepts and definitions of the Environmental Liability Directive (ELD). Ferma CEO Typhaine Beaupérin told Commercial Risk Europe during last week’s AMRAE conference in Deauville that the federation is ready advise Europe’s risk managers about the impact of this programme and how they need to react. The good news is that there is unlikely to be a revised proposal for the ELD this year. This was made clear in the Commission’s Regulatory Fitness and Performance Programme (REFIT), published at the end of October. REFIT shows the current state of play in the implementation of 231 initiatives for “simplification and burden reduction” taken by the Commission. The programme is an attempt to cut red tape and make EU law more fit for purpose. But the Commission does want to see an alignment of national solutions and practices within the framework of the current ELD. Ferma explained that to help make this happen, it will propose the MAWP to member states’ experts and stakeholders this month. The MAWP will focus on three areas: an improvement in the evidence base for the evaluation of the ELD; better support tools and measures for a more even and active implementation of the ELD; and ensuring sufficient availability and demand for financial security to cover environmental liabilities, said Ferma. “We are waiting to see what actions Europe’s risk managers will need to take. We are following this closely. There may be further consultations. We will have to see,” Ms Beaupérin told Commercial Risk Europe. Ferma President Jo Willaert explained that Ferma committee member Carl Leeman, chief risk officer for Belgian logistics firm Katoen Natie, has been leading the Ferma effort in this area for the past two years. “We are looking at this and will need to inform people how to prepare themselves rather than doing a day-to-day action plan,” added Mr Willaert. In its latest up date on the ELD, Ferma points out on its website that the European Union Network for the Implementation and Enforcement of Environmental Law – the association of environmental authorities in Europe – is working on the financial security matter. An abstract for a funded project – called Financial Provision – Protecting the Environment and the Public Purse – was published on 19 October 2016. Ferma states that the abstract contains a description of a two-year project that is designed to produce guidelines on the principles of recommended financial provisions. This will include a workshop comprised of regulators from across Europe to share experience, and the development of a practical guide in support of good regulatory process and decision-making in the field of financial provision. “Ferma will monitor the progress of this project and ensure that the conclusions and recommendations are in line with business practices,” stated the federation. Ferma said it will also provide opinion and advice to the Commission on the proposal to develop an ELD register to collect data on environmental incidents, whether it is established EU-wide or by each national authority.

Ferma to advise risk managers on EC’s new ELD three-year plan

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