Brazil "REACH" Now Law, EPR for plastics, lubricant oils, and electronics, Payments for Genetic Resources, GHG Offset Credits

Brazil “REACH” Law Enacted

As reported in a Special Edition of the newsletter, last week, Brazil finally enacted its long-awaited REACH-inspired chemical management law.? Law 15.022 will set the country on a new course toward a national inventory of chemical substances, prioritization and risk assessment of chemicals of concern, and eventually risk management measures for those priority substances.

??What does this mean for industry?

If you export to, manufacture in, or import into Brazil any type of chemical substances in quantities over one (1) ton per year, then you need to start the process of determining if this new scheme applies to you.? The Law sets out a list of exemptions that should be your first analysis.

If your chemicals are not exempt, then you have three (3) years from the implementation of the new IT system for online registration of covered substances to get do the initial registration.? Like the schemes in Chile, Colombia, and Peru, this registration is NOT a full REACH dossier but more like a notification – at least with regards to getting into the national inventory system.

??What’s next?

The Law has already gone into effect, but an implementing regulation with more of the details will be needed.? Government has 180 days to issue it.? At a regional meeting I attended two weeks ago, government officials noted that the all-important interdisciplinary committee – CONASQ – would form a working group to create that draft.?

Government also announced that it is in final stages of engaging a consultant to create the all-important IT for the registration platform.? Watch this space for updates because the finalization of that system will be what kicks off the three year timeline for chemical registration mentioned above.

??Good News for Foreign Manufacturers

Brazil is the first country in the region to allow an option akin to the Only Representative in the EU whereby a foreign manufacturer can register its own substances through a local appointed agent.? It is worth noting that the Brazil law calls for the local OR-analog to “assume the responsibilities and obligations imposed” on an importer. This high burden may dissuade some local consultants from stepping into this market.? It will be important to see whether the implementing regulation provides any further guidance on this issue.

??Regional Implications

As the biggest country in South America, Brazil’s adoption of a REACH-inspired law means that the trend is now firmly established.? Countries on the fence about their chemical regulatory future are more likely now to join the bandwagon.?

Need an English translation of the New Law?

The new law in Portuguese original version is available for free at the following link: https://www.in.gov.br/web/dou/-/lei-n-15.022-de-13-de-novembro-de-2024-596246409?

??Now you can purchase an affordable, trustworthy English translation of the law at the following link: ?? https://lnkd.in/gD-TRUpM

Need to learn about the chemical registrations regulations of Chile, Colombia and Peru? Take our online, on-demand video and written materials course: "Crash Course on Chemical Registration in Latin America". Sign up here: https://ambientelegalacademy.teachable.com/p/crash-course-on-chemical-registration-in-latin

EPR for Electronics: Ecuador

Those outside of the region are often surprised the Extended Producer Responsibility laws are not foreign to our countries.? In fact, at this point, the majority of the economies have adopted the concept of producer take-back for a half dozen or more priority products.? No surprise given the influence of the EU environmental agenda in the region, waste electric and electronic products (inspired by the EU WEEE Directive) are in that mix.?

Now, inspired in part by funding and support from the UN-backed Electronic Waste in Latin America Project (Spanish acronym “PREAL”), Ecuador (and 12 other countries) are shoring up their rules and practices.? Recently, at a national event on WEEE, Ecuador formally introduced the Information Guide on WEEE Management in Ecuador.? This Guide will be very helpful to those that place products on the market in that country.? Generally, if you sell electric or electronic products in Latin America, you should consider that the majority of countries have some obligations for you as producer, importer, merchant or distributor.

Link to Information Guide:

https://residuoselectronicosal.org/wp-content/uploads/2024/06/Maqueta-RAEE_una-pagina_en-baja_28-03-FINAL-fkqglg.pdf

Fruits of the Biodiversity COP in Colombia

As reported, Colombia hosted COP16 on Biodiversity in the last several weeks.? One of the important results of that global meeting was the establishment of the Cali Fund.? Under the new mechanism, industries that benefit from biodiversity – including pharmaceuticals, personal care, cosmetics, biotech, agriculture, and others – are expected (but not required) to contribute 1% of profits or 0.1% of revenue linked to their use of biodiversity genetic information – referred to as “digital sequence information” (DSI) – to the fund.? The fund itself would be managed by the UN.? The monies would be directed in part to indigenous peoples and local communities in the biodiverse countries where the DSI is obtained.

Plastics: Technical Regulations in Peru

The plastics agenda, getting lots of press with the emerging global treaty on plastic waste, is also top of mind for national and even subnational regulators across Latin America.? Peru is one of the countries that already has a national law to tackle certain single-use plastics.? Now, it has moved to the technical details by posting a draft technical regulation on recyclable plastic utensils and tableware for food and beverages.? The Draft, posted for a 90 day public comment period starting on October 21st, sets out everything from heavy metal content limits and recycled content requirements to evaluation of recyclability, labeling, and conformity assessment.? Interested parties should take advantage of this call for public input.

Link:

https://extranet.comunidadandina.org/sirt/sirtDocumentos/PEOTCP24010.PDF

Chile’s New Draft Resolution on Fertilizers and Biostimulants

Chile has enacted a law (Law 21.349) and an implementing regulation (Decree 61/2023) on composition, labeling, and sale of fertilizers and biostimulants.? Per the terms of Decree 61/2023, it will go into effect within three years on August 28, 2026.? In the interim, the government published a resolution in 2022 to regulate during the transition period.? Now, Chile has posted for public comment a revised resolution that would replace the 2022 measure.? Companies active in agricultural products in Chile should take note.

Link to Draft:

https://members.wto.org/crnattachments/2024/TBT/CHL/24_07500_00_s.pdf

EPR for Lubricants in Chile

Last week, Chile published the Extended Producer Responsibility Decree setting targets and other associated compliance obligations for lubricant oils sold in the country.? This new Decree means that producers are responsible for management systems to take-back recoverable lubricant oils (as defined).? The Decree sets out in detail what is required of all participants in the value chain: manufacturers, merchants, and consumers.? The “associated obligations” include reporting and even product labeling requirements.

The Decree goes into effect upon publication except for Titles III (Collection and Valorization Targets) and IV (Associated Compliance Obligations) which go into effect within 24 months of today- unless that is after October 1st in which case it means January 1st of the following year.

The Decree is quite detailed, calling even for additional implementing resolutions, and should be reviewed carefully to understand the requirements.

Link to new decree:

https://www.diariooficial.interior.gob.cl/publicaciones/2024/11/11/43995/01/2563930.pdf

Chile’s Climate Change Regulations

Landing the Paris Agreement national commitments often requires regulatory infrastructure.? Chile’s plans are no exception.? The country has posted for public comment a draft resolution on its Offset System for Greenhouse Gas Emissions and Short-Lived Climate Pollutants.? Under the country’s existing law, in order to comply with the emission standards, certificates may be used that accredit the reduction or absorption of greenhouse gas emissions obtained through the implementation of projects in Chile if the reductions or removals are additional, measurable, verifiable, permanent, have environmental and social benefits and comply with the Nationally Determined Contribution.? The draft standard sets out the details to make that emission offset system a reality.

Link to Draft:

https://www.diariooficial.interior.gob.cl/publicaciones/2024/11/14/43998/01/2569702.pdf