Fluorinated greenhouse gases

KEY POINTS

The regulation applies to:

• the F-gases listed in its Annexes I, II and III, whether alone or as mixtures;
• products and equipment containing or relying on F-gases.

Prevention of emissions

The rules:

• prohibit the intentional release of F-gases into the atmosphere; if release is technically necessary, emissions must be prevented to the extent possible and, if needed, the process documented;
• require that every precaution be taken to prevent the unintentional release of F-gases during their production, transport and storage;
• require the repair of any leaks from equipment or facilities without undue delay and verify later that the repair has been effective;
• require that operators of equipment:
  • ensure checks for leaks every 3 to 24 months for certain equipment, the frequency depending on the F-gas amount involved and if a leakage detection system is in place,
  • deploy a leakage detection system for stationary equipment above a certain size,
  • keep records of F-gas data in relation to each piece of equipment, including type and quantity of F-gas contained and added,
  • ensure that F-gases are recovered from decommissioned equipment are recycled, reclaimed or destroyed, unless the F-gases are contained in foams,
  • ensure that installation, maintenance, servicing, leak checks and gas recovery in relation to certain equipment is only performed by certified or appropriately qualified individuals;
• require, from 1 January 2025, that building owners and contractors avoid emissions as much as possible when building works involve the removal of foam panels and laminated boards containing F-gases; if this is not feasible, they must keep supporting documentation for five years.

EU Member States must:

• promote the recovery, recycling, reclamation and destruction of F-gases listed in Annexes I and II to the regulation;
• ensure that a mandatory extended producer responsibility scheme is in place by 31 December 2027 for F-gases in waste electrical and electronic equipment;
• establish certification and training programmes for individuals and undertakings working with different kinds of equipment containing F-gases and alternatives to F-gases.

Certified or suitably trained professionals are required for installing, maintaining, servicing, repairing, decommissioning, checking leaks in and recovering F-gases from equipment.

Restrictions related to use, placing on the market and trade

The rules:

• prohibit placing various products and equipment on the market after specific dates if they contain F-gases or F-gases with a global warming potential above a certain level; the products and equipment are listed in Annex IV to the regulation and include, for example, refrigeration equipment, air conditioners, heat pumps and personal care products;
• exempt military equipment from these prohibitions, including in some cases equipment with F-gases needed due to safety requirements or parts needed to repair and service existing equipment, provided that certain conditions are fulfilled;
• require that undertakings placing refillable containers for F-gases on the market confirm that arrangements are in place for returning them;
• require that undertakings placing F-gases on the market ascertain that any by-production of trifluoromethane during the manufacturing process of the F-gas has been destroyed or recovered for subsequent use;
• require a label with detailed information about the F-gas in certain products and equipment that contain F-gases;
• prohibit the use of sulphur hexafluoride (SF) in magnesium die-casting and vehicle tyres;
• prohibit the use of the inhalation anaesthetic desflurane from 1 January 2026, unless needed on medical grounds;
• prohibit from certain dates the putting into operation of different types of switchgears with F-gases or with F-gases with a global warming potential (GWP) above a certain level.

Production and placing on the market of hydrofluorocarbons (HFCs)

The rules:

• restrict the amount of HFCs producers may produce in the EU by allocating annual production rights that producers must respect;
• gradually reduce production rights to 15 % of the average production level in 2011–2013 from 2036 on;
• restrict the amount of HFCs producers and importers may place on the market by allocating annual quotas, with importers and producers required to have a sufficient quota at the time of placing on the market;
• gradually reduce the quota level and completely phase out the placing on the market of HFCs by 2050, subject to certain limited exemptions such as feedstock use, military use and use in the manufacturing of semiconductors;
• require that HFCs contained in certain equipment and products be covered by an HFC quota at the time of placing on the market, through authorisations to use quotas, for example;
• allow quota holders with a reference value to authorise importers to use their quota when placing certain equipment and products containing HFCs on the market;
• require that producers and importers be based or represented in the EU and have three years’ experience in the sector before being able to request a quota.

F-gas Portal

The Commission:

• establishes and operates the F-gas Portal, which is an electronic system to manage quotas, import and export licensing, and reporting requirements;
• establishes annual production rights for producers;
• establishes a quota reference value at least every three years for each producer or importer that has placed HFCs lawfully on the market in the past;
• allocates an HFC quota to importers and producers every year based on their reference values and potential declarations to obtain a higher quota;
• issues trade licences via the validation of registrations for importers and exporters;
• ensures that the portal interconnects with the EU single window environment for customs;
• makes publicly available a list of quota holders and companies subject to reporting requirements.

Companies must be registered in the F-gas Portal to carry out certain activities and to receive a quota.

Trade requirements

The rules:

• require that the importer or exporter have a valid import or export licence for F-gases and equipment containing F-gases, except those that are personal effects under customs rules;
• prohibit, from 12 March 2025, the export of foams, technical aerosols, stationary refrigeration and air-conditioning equipment and heat pumps with highly warming F-gases, if similar equipment and products are also prohibited in the EU as listed in Annex IV, except for military equipment;
• task customs and market surveillance authorities with enforcing the prohibitions and restrictions;
• prohibit, from 2028, trade in HFCs in bulk or equipment with countries or regional economic integration organisations and territories not covered by the HFC rules under the Montreal Protocol.

Additional measures

• Producers, importers and exporters of HFCs or F-gases must provide annual data to the Commission via the F-gas Portal on F-gas use and the quantities involved.
• Member States must establish reporting systems to collect emissions data.
• National authorities should:
  • cooperate with each other, counterparts in other Member States, the Commission and, if necessary, those in non-EU countries using the Customs Risk Management System;
  • carry out checks without prior warning to ensure that companies comply with the legislation.
• People reporting breaches of the regulation are protected under Directive (EU) 2019/1937 on whistleblowers (see summary).
• Penalties in Member States must take account of the gravity of the offence. Possible penalties include fines, the confiscation, seizure, withdrawal or removal of goods from the market or the confiscation of goods obtained illegally.
• The Commission has the power to adopt delegated acts to amend the legislation and implementing acts to make more detailed rules or to grant derogations.
• The Commission is to produce the following:
  • by 1 July 2027, a report on the feasibility of alternatives to F-gases in mobile refrigeration and air-conditioning equipment;
  • by 1 July 2028, a report on the impact of the rules on the health sector;
  • by 1 January 2030, a report on the overall effects of the regulation with, if appropriate, draft legislation;
  • before 1 January 2040, a review of the needs for HFCs in the sectors where they are still used.
• The regulation amends Directive (EU) 2019/1937 on whistleblowers and repeals Regulation (EU) No 517/2014 on fluorinated greenhouse gases (see summary) in three phases, the third one finishing on 31 December 2024.