Transatlantic formula invaluable in push to reach Lisbon objectives

Date: 20/03/03

By Rockwell Schnabel

The European Commission can put key Lisbon Process principles into action as it finalises the design of its new chemical regulatory regime

THE spring European Council represents a chance to give new energy to the Lisbon Process - an ambitious programme of economic reform to propel the EU towards becoming the world's leading knowledge-based economy.

People ask me why I favour the Lisbon Process. Wouldn't it make Europe more competitive with the US? Well, yes, and that's the point: a more competitive and faster-growing Europe is not a threat to the US.

Structural reform and growth in Europe is good for Europe, good for the US and good for the world. Interested parties, both within and outside the EU, agree that the success of Lisbon will depend, in a large measure, on the reform of the regulatory system.

As an enthusiastic supporter of the Lisbon Process, I see a major opportunity for the EU to put its key principles into action in the coming months as the European Commission finalises the design of a new chemical regulatory regime, REACH (registration, evaluation and authorisation of chemicals).

The ideal result, in my opinion, will be to balance the simultaneous demands of an innovative and viable chemical industry with a high degree of public health and environmental protection.

I have worked hard to engage all US stakeholders - the administration, the business and environmental community at an early stage in the development of these new rules. My objective has been to offer the full range of constructive advice on how to best achieve the objectives of the REACH system while minimising trade impacts.

I have also felt it important to support the efforts of the Commission to promote better regulation by ensuring a transparent and inclusive consultation process and comprehensive impact assessments of all new legislative proposals.

Europe and the United States account for the overwhelming majority of chemical production worldwide. Working together to understand and reinforce the commonality of our two regulatory systems will have tremendous payoffs globally - by strengthening security against terrorism, protecting the environment and health of citizens worldwide, and providing goods consumers want.

As we know from working together for more than 20 years in the Organisation for Economic Cooperation and Development chemicals programme, cooperation has other important advantages: it can save industry and government money by reducing duplicative efforts and by lowering regulatory burdens that impede innovation and trade. It also helps to focus government science resources.

I have been quite pleased with the open-door approach of EU authorities in this matter. In Chicago last November, I participated in an exchange on the REACH proposals organised by the Transatlantic Business Dialogue with European and US industry leaders and top officials from the EU and Bush administration.

One immediate result was a December consultation with top officials of DG Enterprise, DG Environment and the US Environmental Protection Agency on outstanding priority issues and emerging global regulatory approaches. The commitment of Commission officials to hold an internet comment period on the results of two years of consultations is a strong statement of support for their better regulation effort.

In terms of its global impact, the REACH system has impact beyond our two continents. With chemicals making up 9 of world trade, it is certainly in every nation's best interest to assure that this flow is not hampered.

If finished products were covered by the new legislation, the trade impact of the proposed system would be considerable.

Not only would chemicals be affected, but so would all products using chemicals, including cars, textiles and toys. It seems a regulatory stretch to strictly control products whose chemical components won't be released into the environment.

We would encourage the Commission to ensure a manageable REACH by controlling its scope. Sound scientific risk assessment of chemicals should be the basis for such decisions.

Having observed the chemicals policy development process first hand, I am confident that the US and the EU will continue to collaborate. We appreciate very much the opportunity for dialogue and look forward to evaluating soon the results of the Commission's long deliberations. Overall, we need to continue the movement toward greater regulatory convergence.

I encourage the EU to look closely at our cooperative, voluntary programmes for ensuring the safe use of chemicals. It has been our experience that these programmes provide companies with flexibility and high-quality tools to meet policy goals and encouraging their use has paid unexpected dividends.

The Lisbon Process sets out an ambitious agenda for European reform and more rapid economic growth.

Its success is vital for a return to more robust global growth and will be achieved when European governments are successful in creating the right regulatory environment to promote competitive knowledge-based markets.

The Commission's final decisions on the emerging new chemicals regime will be an important indication of Europe's continued commitment to its competitiveness agenda.

• Rockwell Schnabel is the US ambassador to the European Union.

The European Commission can put key Lisbon Process principles into action as it finalises the design of its new chemical regulatory regime. Author is the US ambassador to the EU.

http://ec.europa.eu/environment/chemicals/index.htm http://ec.europa.eu/environment/chemicals/index.htm

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