When it comes to reducing emissions to air e g sulphur dio xide and water these mitiga tion techniques can lead to higher energy use and hence CO 2 emissions The REA CH authorization and restriction processes impact on the nonferrous metals indus try mainly pertains to administrative burdens additional costs for e xtra administration for authorisation applications investments in the development of substitutes or alternative production processes and constraints on production and supply of certain nonferrous met als compounds such as L ead In particular valuable and critical metals recyclers can be afected by this given their dependence on the production and use of carrier metals several of which are substances of concern lik e lead A dditionally the substitution of certain metals may result in metals losing their recovery potential or require much higher energy demand to maintain their recovery or recycling potential Furthermore restrictions on the use of certain substances are not implemented and controlled consistently across all Mem ber S tates including at EU borders with a risk to disrupt the level playing feld between EU and nonEU competitors by imported articles Product imports could contaminate EU waste streams and disadvantage European metals recyclers EU regulations related to endof life articles and waste e g waste framework directive WEE directive and the restriction on hazardous substances R oHS directive do impact the nonferrous metals industry The impact of these legislations is felt across the whole nonferrous metals industry in terms of additional costs 267 constrained recycling 268 and reduced efciency In some cases there can be real conficts between REA CH waste policies and circular economy objectives Metals recyclers are burdened by the lack of harmonised conditions for substances or objects to be recognised as byproducts not waste or even valuable material streams Member S tates declare byproduct status in diferent ways creating uncertainty For e xample certain metals slags fulfl the requirements of byproducts or even products They are therefore registered as substances under REA CH meaning they should be e x cluded from W aste legislation This is however not recognised by all authorities forcing recyclers to comply with both waste and product legislation requirements 267 Due to stringent technical provisions and costs e g for the landflling of hazardous wastes and in terms of pack aging and labelling of scrap material 268 Nonferrous industry is obligated to comply with stricter limit values amidst the concern that recycling of metals may fall under the coincineration defnition of the Directive Finally there e xist other nontarif issues such as technical barriers to trade TB T customs procedures restrictions on primary and secondary raw material e xports in third countries state support and competition policy and intellectual property rights IPR 266 Figure 44 Government support to aluminium production million USD period 20132017 Source OEC D 2019 7 4 Other regulatory challenges While this report focusses on the metals industry s contribution to a climate neutral econo my and the challenges of electrointensive processes in a global conte xt there is a broader regulatory environment to consider briefy The latter can impact the metals industry and in particular pose challenges towards higher levels of circularity or reductions of energy use and GHG emissions The nonferrous metals industry is subject to numerous environmental regulations on issues such as pollution control e g industrial emissions directive IED waste including treatment and recycling the protection from harmful substances for the environment and human health REA CH 266 Ecorys 2011 62882 145 189 222 851 3392 144 277 T otal government support to the aluminium sector 20132017 USD millions Others India A ustralia Norway Brazil Canada Gulf Council Countries China MET ALS IN A CLIMA TE NEUTRAL EUROPE A 2050 BL UEPRINT 72