Oireachtas Joint and Select Committees
Tuesday, 18 June 2024
Joint Oireachtas Committee on Climate Action
Circular Economy as it relates to Consumer Durables: Discussion
Mr. Barry McGreal:
I thank the Chair and the committee for the opportunity to give an update on the directive of the European Parliament and of the Council on common rules promoting the repair of goods and amending Regulation (EU) 2017/2394, Directives (EU) 2019/771 and (EU) 2020/1828. As already outlined, I am accompanied today by my colleague, Ms Claire O’Brien, assistant principal officer.
The Department of Enterprise, Trade and Employment recognises the importance of giving consumers more choice, information and protection. The Department works to maintain an agile, efficient regulatory regime that promotes fair competition for both businesses and consumers and safeguards strong, transparent consumer rights to ensure value for money, quality customer care and protection from unsafe products. The Competition and Consumer Protection Commission is the statutory body responsible for enforcing consumer protection and competition law in Ireland and its mission is to make markets work better for consumers and businesses. It is an independent investigative and enforcement body under the aegis of the Department of Enterprise, Trade and Employment. I am representing the Department of Enterprise, Trade and Employment and our focus in the right to repair directive stems from this mandate I have just outlined, which is the protection of consumers and our desire to support consumers in the green transition by providing for sustainable consumption and aiding the circular economy.
On 22 March 2023 a proposal for a directive was published by the European Commission on the common rules promoting the repair of goods. The right to repair directive reached provisional political agreement at trilogues on the 1 February 2024. It was voted on and approved by the European Parliament on the 22 April and
it was adopted by the Council on the 30 May. It is expected to be published in the official journal in the coming days. It will then have a two year transposition period before it comes into operation.
I will briefly go through some of the key articles of that directive. Article 4 sets out details of a European repair information form. This is a form that repairers can choose to provide to consumers when the consumer enquires about a repair. The form will set out all the details of the repair, including the price, timelines and if a replacement good can be provided while the repair is being carried out. They are designed to enable consumers to compare repair offerings.
The main changes the directive brings in are in Article 5 - obligation to repair. This relates to goods that have to be repairable under European law. These are listed in annex II to the directive and include large household appliances as well as mobile phones and tablets. For these goods, once the directive comes into operation, the manufacturer will have to offer a repair service, either directly or sub-contracted. The manufacturer can offer the repair service for free or for a reasonable price. If a manufacturer offers spare parts to enable repair, then they need to do so at a reasonable price so as not to deter repairs. A manufacturer will have to provide the indicative prices for repair on a website so consumers will have access to information to help inform their decision-making around a repair.
Manufacturers will be forbidden from using any contractual clauses, hardware or software techniques that would impede the repair of the goods that have to be repairable. This will include a ban on impeding the use of any compatible spare parts, including 3D printed parts, once the parts conform with product safety or intellectual property law. This will enable independent repairers to make repairs more easily. Manufacturers will also not be able to refuse to repair a good because someone else has tried to repair it first.
Article 7 deals with the European online platform for repair. The EU will set up a website that will contain the details of repairers by country. Repairers, sellers of refurbished goods, purchasers of defective goods for refurbishment and community-led repair initiatives will be able to include their details on this site to enable consumers to find the most appropriate repair service.
What does this mean for consumers? It will ensure they will be able to get a repair for their appliances outside the liability period. Consumers will also be able to check the price of a repair by the manufacturer and to then compare it with the price of a repair by an independent repairer. The directive also maintains the consumer right to choose between a repair and a replacement if there is an issue with their goods during the legal guarantee period.
What does this mean for business? It will encourage the repair industry. It will allow small repairers to use 3D printed parts or parts other than those sold by the manufacturer to repair goods. Repairers will be able to see the price of a repair by the manufacturer to enable them to compete with this price.
It will allow repairers and those who purchase goods for repair or who sell refurbished goods to advertise their services on an EU website.
What will happen next? As I have said, there is a two year period for transposition of the directive. We are awaiting publication, which we expect in the next few days. As part of this process, we will be considering what body will be responsible for enforcement of the directive and if further public consultation is required. We will also be ensuring both businesses and consumers are aware of the changes this directive will bring. I am happy to answer any questions members have.