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The regulation of eco-labelling in South Africa: A

comparative analysis.

Dissertation submitted in partial fulfilment for the requirements of the


degree Magister Legum in Import and Export law at the Northwest
University

EM VAN ZYL

11938110

Supervisor: LJ Kotze

November 2004
TABLE OF CONTENTS

1 Introduction ............................................................................................ 1

2 The Nature of Eco-labelling ................................................................... 3

2.1 Different types of Eco-labels.......................................................... 5

2.2 Some advantages and disadvantages of eco-labelling ...............7


2.3 Government and Corporate involvement in eco-labelling
programmes ....................................................................................9

3 The current regulation of eco-labelling in South Africa .................... 11

3.1 Introduction ................................................................................... I I

3.2 Environmental policies in South Africa ...................................12


3.3 Government Departments and accreditation institutions .........16

3.4 The Proudly South African Campaign.........................................17

4 International perspectives ................................................................... 19

4.I European eco-label

4.1.1 Introduction and background ......................................... 19

4.1.2 The EU eco-label legal framework and institutions ............19

4.1.3 Development of the EU eco-label ........................................24

4.1.4 Criteria ....................................................................................25

5 Conclusion............................................................................................ 27

Bibliography ......................................................................................... 29
1 Introduction

The Constitution of the Republic of South Africa, 1996 (hereafter the


Constitution) and the National Environmental Management Act 107 of 1998
(hereafter NEMA) provide for development and protection of the environment
that should promote sustainable development.' Sustainable development is
development that meets the needs of the present generation without
compromising the ability of future generations to meet their own needs.' The
South African government has a responsibility to establish structures and
adopt integrated laws and policies that promote sustainable deve~opment.~
Government alone may however not manage to provide the solutions needed
for environmental sustainable development. Therefore all stakeholders,
including the public and industry, are needed to achieve sustainable
deve~opment.~

Eco-labelling may serve as a tool to further sustainable development, as it can


be employed by industry in conjunction with government and the public to
promote environmental protection and facilitate sound economic product
development. When the latter draft a framework to achieve sustainable
development, they may employ eco-labelling as an instrument. An eco-label is
a voluntary trademark awarded to products deemed to be less harmful to the
environment than other products within the same product ~ a t e g o r y .It~ is
considered an attractive policy measure because of its market-driven
approach to achieve environmental g o a k 6 Hence eco-labelling, inter alia,
strives not to harm economic growth and social welfare whilst, at the same

1 Section 24 of the Constitution and section 2 of NEMA.


2 In this dissertation use is made mainly of internet sources as there is not much other
primary source material available relating to eco-labelling. Anonymous 2004
HYPERLINK htt~:llwww.sdqatewa~.netlinbosd/definitions.htm [Date of use 24 Aug
20041 and Our Common Future (1987) UN General Assembly Res 4221 186 11 Dec
1987 (Brundtland Report).
3 Section 24(b) of the Constitution states that everyone has the right to have the
environment protected by reasonable legislative and other measures.
4 Bray 1998 South African Journal on Environmentallaw Policies 13.
5 Anonymous 2001 HYPERLINK http://www.aela.ora.aulEcolabellinaresources.htm
[Date of use 12 Aug 20041.
6 Hanks J et a-1 2002 HYPERLINK
f r i d ~ e l e w [Date of use
~ : / ~ w ~ l a ~ ~ z ~ r e ~ h ~la.bel!~n~~lintroduction.html
12 Aug 20041. Reasonable legislative and other measues should be used to obtain
these environmental goals.

1
time, providing for solutions to protect the environment. This may arguably
correlate with the essence of sustainable development. It is argued that eco-
labelling may open up a whole new market for the South African producer,
and may additionally promote production of environmental friendly products.
Currently South Africa does not have an accredited eco-label of its own.
However there has been great success with the Proudly South African label
initiative7, which although not an em-label, may be developed to include this
function. It is also questioned whether South Africa has an established legal
framework by which domestic regulation of eco-labelling can be facilitated.

This dissertation accordingly aims to determine the possibility of implementing


eco-labelling in South Africa as a tool to achieve sustainable development.
This will firstly entail a comparative study of the European legal regime which
regulates eco-labelling. The European Union eco-label was established in
1992 and has developed and changed throughout the years.8 It is prudent to
consider the experience gained by the European Union (hereafter the EU) in
establishing, developing and implementing eco-labels. The EU eco-labelling
program was chosen for this study because the EU has, as will be discussed
in paragraph 3, a well developed structure in determining criteria for eco-
labels, the necessary legislative instruments and institutions to develop a
successful em-label.

Secondly this dissertation will analyse whether there is a possibility of


implementing eco-labelling in South Africa to further sustainable development
by analysing relevant domestic legislation, white papers, policy measures and
the Proudly South African label, to determine the possibility of implementing
em-labelling in South Africa.

7 This label does however not entail, as its main objective, the protection of the
environment. The label is an initiative aimed at promoting South African products and
services that achieve standards of good and responsible manufacturing practices,
thereby promoting job creation as well as economic growth in the country. See,
Hanks J et a12002 HYPERLINK
htto.//v...n n a c . o r a . z a l r e s e a r c n / f r i d ~ o n t e x t . h t m[Date of
use 12 Aug 20041. This label must be further investigated to ascertain whether it
could be used as a blue print for the development ofan eco-label
8 Council Regulation (EEC) NO. 880192 of 23 March 1992.

2
2 The Nature of Eco-labelling

A report by the Fund for Research into Industrial Development, Growth and
Equity defines eco-labelling as:

An eco-label is a market-driven environmental policy instrument used


by policy-makers with the aim of promoting environmentally preferable
goods and services. The label is applied to a product or service,
warranting that the product or service complies with certain pre-
determined environmental - and sometimes also social - criteria. The
eco-label makes a positive statement about the environmental aspects
of a product, and is a reward for the environmental leadership
embodied in such a product.'

For the purpose of this dissertation, eco-labelling is defined as:

An eco-label is a voluntary market driven instrument, which is utilised


by policymakers to protect the environment, by setting criteria for
obtaining this label and promoting the eco-label's environmental
qualities to the consumer.

An eco-label is also a market-driven environmental policy instrument aimed at


promoting the development of environmentally sound goods and services
through the power of consumer choice.I0 Eco-labelling is differs from setting
minimum standards for products." It is proposed that the key difference, is
that eco-labelling is intended to reward a business that shows environmental
leadership, whilst minimum standards are the prerequisites for a product to be
acceptable for consumption or use by the public, whether eco-labelled or not.
One of the essential tests of an eco-label is whether it leads to good long-term
environmental management which is a fundamental condition for sustainable
development in the production of goods and the delivery of service^.'^

The general aim of em-labelling may be formulated as follows: Eco-labelling attempts


to encourage the manufacturing of products that would reduce the impact they would
have on the environment, and to address public concerns about raw material scarcity,
shrinkina landfill sDace. and the i m ~ a cof
t ~ollutantson the air and water. See.
~ n o n ~ m ~k~s~ ~ ' H Y P ' E R L
&.lis.n&.aul-ecomartlwhatisecolabellin~.htm
INK
[Date of use 12 Aug 20041 and Anonymous 1998 HYPERLINK
www.envirolink.orq/resource.html?itemid=l005&catid=5 [Date of use 12 Aug 20041.
Hanks J et a12002 HYPERLINK
htt~:/lwww.nedlac.orq.zalresearchlfridaelecolabellinqlintroduction.html [Date of use
12 Aug 20041.
The definition of minimum standards according to the dictionary is: "It is the least
possible or attainable standard for a product that must be obtained to meet a certain
standard". See, The South African Pocket Oxford dictionary, 1998.
Font and Buckley (eds) Tourism Eco-labelling Xvii.
Eco-labels are awarded by a government or privately sponsored agencies to
voluntary applicants from enterprises. It is perceived as a market-oriented
instrument for environmental policy because it establishes no generally
binding requirements or bans.l3 The criteria for the award of eco-labels call for
an overall assessment of the ecological impact of a product during its life-
cycle including, production, distribution, use, consumption, and disposa~.'~

It is important to distinguish between eco-labels that are effective in


generating real benefits for environmental protection and sustainable
development, from those that are ineffective or misleading in their claims. A
consumer must have a clear understanding of the advantages of using such a
product, as well as the associated environmental benefits ensured by using
an accredited eco-label. Clearly a product must comply with certain criteria
before being awarded the exclusive label. This is because some
manufacturers may fraudulently claim their products are environmentally
friendly, despite their manufacturing methods not having been tested against
requisite environmental standards and criteria.'= The consumer must thus be
made aware of the difference between accredited eco-labels as well as
environmental initiatives that really benefit the environment and those
products that only claim to be environmentally friendly, without making any
positive contribution to the protection of the en~ironment.'~

Eco-labelling programs aim to protect the environment through raising


consumer awareness of the environmental effects of products, and hence
changing their behaviour as well as changing the manufacturing design of
products in favour of environmentally-friendly products and technologies."

13 Veena, Vossenaar and Zarrilli UNCTAD 1.


14 Veena, Vossenaar and Zarrilli UNCTAD 1.
15 Anonymous 2002 HYPERLINK htt~:llwww.eco-labels.orallabel.cfm?LabellD=lO9
[Date of use 5 Oct 20041 and Anonvmous 2002 HYPERLINK
htt~:llwww.defra.aov.ukienvironm&consumerorod/acc~elresearch/claims.htm[Date
of use 5 Oct 20041.
16 Wasik Green ~ a r k e t i 93-95.
n~
17 Anonymous 2004 HYPERLINK
htt~:/lwww.cercindia.oralindex.html?lenviswhatisecolbLhtm [Date of use 12 Aug
20041.
It is proposed that the voluntary nature of the eco-label scheme makes it more
special than any other environmental management tool. In other words, the
scheme is not one where all manufacturers are compelled to meet the
criteria." It only provides stakeholders, such as manufacturers, with
incentives to comply with specified environmental standards that are higher
than minimum standards. These incentives include, improved profits through
a possible capture of a greater market share through producing and marketing
more popular environmentally less harmful products. It is also clear that an
eco-label would only be successful if the stakeholders adopt the standards
required for the label. Even though it is voluntary, it may be attractive for
them to do so, because of the above-mentioned rewards attached to such a
label.

2.1 Different types of EGO-labels

There are many kinds of eco-labels and each have different characteristics
which are unique to the type of label. Eco-labelling programs can be
distinguished according to positive, negative or neutral chara~teristics.'~
Positive labelling programs usually certify that labeled products pose one or
more environmentally preferable attributes that help protect of the
e n v i r ~ n m e n t . Negative
~~ labeling warns consumers of the harmful or
hazardous ingredients contained in the labeled products.21 Neutral labelling
programs simply summarise a products' environmental information.
Consumers may as part of their purchasing decisions interpret the given
i n f o r m a t i ~ n .Another
~~ kind of eco-label is the so-called third-party eco-label.

18 IS0 14001(standards for environmental quality management) is based on the same


principle. This set of standards provides a prescriptive set of specifications that may
be objectively audited for certification of self-declaration purposes. See, Puri C
Stepping up 110.
19 Hanks J et a12002 HYPERLINK
htt~:llwww.nedlac.ora.zalresearch/fridoelecolabellinalintroduction.html [Date of use
12
-
Auo
- =20041.
- ~ ~ ,
20 U.S. Environmental Protection Agency Environmental Labeling 9.
21 U S . Environmental Protection Aaencv Environmental Labelina 9.
22 US. Environmental Protection z g e k y ~nvironmental~abe;"~ 9 and Naumann E
Policy Brief OllP19.
Usually eco-labelling programs rely on third-party ~erification.~~
Verification of
the label is carried out by an independent party that awards labels to products
based on certain environmental criteria or standards. In this way it is insured
that the eco-label will have some form of credibility. This means that when
consumers or purchasers see products with an eco-label, they know that
these products have been carefully and impartially assessed, and have been
found to be less environmentally adverse than other similar competing
products, some of which may bear misleading environmental claims. Third-
party environmental labeling programs can be further classified as mandatory
or voluntary labels.24 Mandatory programs include warning labels and
information disclosure labels, and require producers to attach these eco-
labels to their products before bringing the product to the market. It is thus a
set of minimum standards that have to be fulfilled. Voluntary labels are usually
positive or neutral, and encourage producers to apply for an eco-label. If they
meet the criteria set to obtain the label it would be awarded to them.25This
also means that the producer can take the initiative to ask that an eco-label be
awarded to hislher

The importance of choosing the right type of label when establishing an eco-
label should not be underestimated. The EU eco-label, as will be seen in
subsequent paragraphs, makes use of a voluntary label which is neutral in
nature and only gives the consumer the information necessary to choose
between products that are harmful to the environment, and products that
adhere to certain standards and are manufactured through environmentally
friendly production methods. Products awarded a voluntary eco-label may

23 Chana SW Journal of world trade 137 and Anonvmous 2004 HYPERLINK


htt~:~~.areenbiz.com~toolbox/essentials third.~fm?~inkdv1~=7839&~~1~=15682
433&CFTOKEN=98581544 [Date of use 17 Okt 20041.
24 Anonymous 2004 HYPERLINK ~ ~ ~ D : / / w . ~ D ~ . ~ o v / o D D ~ ~ ~ D D / D u ~ s / ~ ~ v ~ ~ ~ / s c o D ~ . D ~
[Date of use 23 Aua 20041 and Anonymous 2004 HYPERLINK
htt~:l/www.iri.ora.Ib/~co%%Labelina.html[Date of use 23 Aug 20041
25 Tews, Busch and Jorgens 2001 HYPERLINK
'htt~://www.essex.ac.uk/ECP~events/iointsessions/~a~erarchive/qrenoble/wsl/tews
etabdf [Date of use 5 Oct 20041.
26 Tietje Journal of World Trade 123. The focus of this dissertation is on the awarding of
voluntary eco-labels in South Africa that are subject to independent third party
verification. As mentioned above in paragraph 2, it is important to remember that the
eco-label is a voluntary label and that although it would be beneficial to be awarded
such label manufacturers are under no obligation to obtain it.
simultaneously promote environmental protection and sustainable
development. Consumers have the choice of buying products bearing the
accredited label, and in so doing promote the protection of the environment.
Should consumers show a clear preference for such labeled products,
manufacturers might be pressured to comply with the required criteria which
are of higher standards and use more environmentally friendly methods of
manufacture and distribution. Hence, it is suggested that it is worth South
Africa's while to use the voluntary eco-label, when deciding to implement it's
own em-label.

2.2 Some advantages and disadvantages of eco-label ling^

Eco-labels pose certain advantages and disadvantages. In considering the


viability, suitability, and possible environmental and other benefits of
implementing an eco-label system in South Africa, it is necessary that such
advantages and disadvantages be considered.

Firstly eco-labels informs consumers of their choices between products that


are harmful to the environment and those more in line with sound
environmental practices.27 Secondly, eco-labelling promote environmental
efficiency because it is generally more affordable than governmental
regulation.28 By allowing the consumer and the manufacturer to make
decisions that support the environment, the need for regulation is kept to a
minimum. Thirdly, consumers stimulate market development by influencing
the demand and supply of products through their choice to buy products with
an eco-label which invariably support environmental prote~tion.~~
Manufacturers who notice this trend, for competitive reasons, promote
environmental awareness and make products that are more environmentally
friendly. Fourthly, a market that encourages eco-labelling, may lead to
development and improvement of products' manufacture, and customers may

27 Anonymous 2002 HYPERLINK


htt~:l/w.bsdalobal.oralmarkets/eco label benefits.aso [Date of use 11 Oct 20041
28 Anonymous 2002 HYPERLINK
htt~:l~www.bsdalobal.oralmarketslecolabel benefits.asp [Date of use 11 Oct 20041.
29 Anonymous 2002 HYPERLINK
http:llw.bsdalobal.oralmarketslew label benefikaso [Date of use 11 Oct 20041.
expect to see negative environmental impacts of products decline over time.30
Environmental certification programs also have a seal of approval which
shows that a product meets a certain eco-label standard. It may provide
customers with visible evidence of the product's desirability from an
environmental p e r ~ ~ e c t i v e .Finally,
~' environmental claims with regard to a
product can be easily monitored and thus competitors and customers are in a
better position to judge the validity of a claim.32

A number of challenges are associated with eco-labels. Building trust is one


of the most important factors in the development of an eco-labelling
program.33The credibility of the program and the label must be above any
suspicion.34 Arbitrary claims made in advertising and labelling, may leave
customers confused and what inevitably follows is an inability to make a
preferential choice in favour of a labelled product over an unlabelled one.
Secondly, there must be an effort to ensure that all claims made on labelled
products are i n f ~ r m a t i v e .Labels
~~ that provide trivial or irrelevant 'green'
information do nothing to reduce environmental impacts, and might lead the
consumers to conclude that an eco-label is just another gimmick for the
producer to market its product and not to protect the e n ~ i r o n m e n tThirdly,
.~~
there is the possibility that some companies will, for competitive reasons,
fraudulently misrepresent that their production processes are pro-
environment, whilst in reality their processes are no different from any other

30 Anonymous 2002 HYPERLINK


htt~:/lwww.bsdalobal.ora/marketslecolabel benefits.as~[Date of use 11 Oct 20041.
31 Anonvmous 2002 HYPERLINK
htt~:liwww.bsdalobal.oralmarketslecolabel benefits.asp [Date of use 11 Oct 20041.
32 Anonvmous 2002 HYPERLINK
htt~:/iwww.bsdaloba~.oralmarketsleco label benefitsaso [Date of use 11 Oct 20041,
Miiller Federation of German Consumer Organisations 4, Folmer and Tietenberg The
International Yearbook of Environmentaland Resource Economics 107, Erskine The
Environmentalist 125-127, Mattoo and Singh KYKLOS 53 and Shams Intereconomics
143; Anonymous 2004 HYPERLINK
h t t ~ : / / ~ . D ~ r ~ ~ i t . ~ ~ . Z a / a r ~ hecolabels.htm
i~e/a~q~e [Date
D O of use 1 Sept 20041.
33 Anonymous 2002 HYPERLINK
htt~:l/www.bsdalobal.ora/markets/ecolabel benefits.aso [Date of use 11 Oct 20041.
34 Hanks J et a12002 HYPERLINK
htt~:llwww.nedlac.ora.zalresearchlfridae/eco labellinalintroduction.html [Date of use
12 Aug 20041.
35 Anonvmous 2002 HYPERLINK
htt~:liwww.bsdaloba~.ora~markets/eco label benefits.asD [Date of use 11 ~ c20041
t
36 Anonvmous 2002 HYPERLINK
htt~:l~www.bsdalobal.oralmarkets/eco label benefits.aso [Date of use 11 Oct 20041.
company's.37 This would amount to unfair competition to companies which
spend their time and money to adhere to the regulations for obtaining the
certified eco-label.

Environmentalists are sometimes critical of consumerism and consumer's


right to choose what products they want to buy. They feel that consumption
must be reduced and not just redefined.38 Since eco-labelling programs will
not cover the majority of goods, some critics point to regulation as a more
effective tool than the development of voluntary standards to ensure the most
effective compliance with environmentally safe production methods.39

Having compared the advantages and disadvantages of eco-labelling, it is


proposed that the advantages of eco-labelling outweigh the disadvantages.
Eco-labelling should have a positive impact on society as a whole. Not only
can it protect the environment but it may also lead to more environmentally
friendly production methods by manufacturers, as well as giving consumers
the choice to be more conscious of the environment. It may also empower
them to, by way of their retail choices, proactively help exert pressure for the
development of better environmental practices.

2.3 Government and corporate involvement in eco-labelling


programmes

Although eco-labelling is voluntary it still requires regulatory structures. These


would cover the requirements for awarding a label, the development and
enforcement of criteria, and the appointment of third party assessors to
evaluate products and determine whether such products comply with the
standards of a certain eco-label, as determined by a panel of experts.

While government is a necessary participant in all eco-labelling programs, the


extent of governmental participation varies across countries and programs. It

37 Sinclair R 1999 HYPERLINK htt~:/lwww.forests.ald.qov.auleducatlbtl/ecolabel.htrn


[Date of use 23 Aua 20041.

hnp/i~wwwbsda~obal.oralrna~sleco label benefits.asq [Date of use 11 Oct 20041.


39 Muller Federafion of German Consumer Organisat~ons16 and Folrner and Tielenberg -
The International Yearbook of ~nvironmentaland Resource Economics 107.
may vary from active participation in management of the programs to simply
providing financial support.40

The advantages of government involvement in eco-labelling programs are that


government may be in a better position to improve a programme's economic
stability, legal protection, and credibility in the eyes of manufacturers and
consumer^.^' It provides more dependable, long-term resources, and also
overcomes high start-up and compliance monitoring costs, thus allowing for
greater participation by different manufacturer^.^^ It also provides more
dependable, long-term resources.43 Furthermore it allows for the
incorporation of international standards and provides better accountability and
technical expertise. Finally it ensures public involvement in setting new
standards.44

Some governments already have the necessary structures and resources to


launch an eco-label and ensure its validity as well as the quality of such a
A government-supported label is more likely to succeed, than a label
that is only developed by private stakeholders. However, this would only be
the case if the government, itself and by implication the awarded label, is
deemed credible by the general

Corporate involvement in eco-labelling schemes is also important. As


mentioned above,47both government and private stakeholders have a duty to
contribute to the development of a cleaner environment and in particular,
private sector programmes aimed at the protection of the environment. These

40 Veena, Vossenaar and Zarrilli UNCTAD 9.


41 Anonymous 2002 HYPERLINK htt~:llwww.bsdolobal.ordmarketslecolabelina.asp
[Date of use 11 Oct 20041.
42 Anonymous 2002 HYPERLINK htt~://www.bsdulobal.oralmarkets/eco labelina.asp
[Date of use 11 Oct 20041.
43 Anonymous 2002 HYPERLINK htt~://www.bsdalobal.oralmarketslecolabe1ina.a~~
[Date of use 11 Oct 20041.
44 Veena, Vossenaar and Zarrilli UNCTAD 10, US. Environmental Protection Agency
Environmental Labeling: A Comprehensive Review of Issues, Policies, and Practices
Worldwide Government Institutes 53 and Folmer and Tietenberg The International
Yearbook of Environmentaland Resource Economics 107.
45 These governments include America, Germany, Denmark.
46 Veena, Vossenaar and Zarrilli UNCTAD 10 and Anonymous 2002 HYPERLINK
htt~://www.bsdulobal.comlmarketslecolabelinu.as~[Date of use 12 Aug 20041.
47 See paragraph 1 above.
schemes may be less vulnerable to shifting political priorities and budget
constraints. They may also, in some product sectors, be able to set more
stringent standards than government agencies would. This is because they do
not have to take into account employment impacts, and it may even be an
effective way of pressurising overseas companies to comply with
environmental regulations.48Corporate involvement may, furthermore, give
greater stability to an eco-labelling program, especially in countries where
political conditions are unstable. The involvement of corporate entities, or
even non-governmental organisations (hereafter NGO's) can be used to
convince the international community, and consumers that the label is judged
in strict compliance with uncompromising criteria set by a competent panel of
experts. Corporate involvement may also ensure that the knowledge the
members of the eco-labelling board have of production and manufacturing, is
taken into account when deciding the criteria for an em-label, and whether it
is possible for manufacturers to meet the set criteria. Private sector,
involvement is good because it considers everyday economic realities that
may be possibly detrimental to the economy.49

In light of the aforementioned, it is suggested that it would be essential that


both government and corporate entities be involved in the development of an
eco-labelling program. By utilising both entities' knowledge and resources the
creation of an eco-label may be greatly enhanced and expedited.

3 The current regulation of eco-labelling in South Africa

3.1 Introduction

It is necessary to look at the current regulation of eco-labelling in South Africa,


because although voluntary eco-labelling schemes are not typically regulated
by legislation (the exception being the EU flower, because of its trans-national

48 Anonymous 2002 HYPERLINK htt~://www.bsdqlobal.comlmarkets/eco labelinq.asp


[Date of use 12 Auq 20041.
49 Government on the other hand, in general, would have more knowledge of
environmental impact studies and would as a rule be better informed about the
environmental requirements needed for sustainable development.
nature), the legislative context within which an eco-labelling scheme functions
will have a certain relevance. The eco-label scheme may be a legitimate and
potentially effective mechanism for giving effect to, or furthering the aims and
objectives of, policy and legislation. Policy and legislative direction may have
a bearing on the relevance of creating the conditions that facilitate the
successful introduction of an eco-labelling system.50 In South Africa
considerable change in environmental policy has taken place since the
adoption of the Constitution. One of the main changes focuses on giving
effect to sustainable development and bringing South Africa's environmental
practice in line with international trends5' The following paragraph studies the
different environmental policies and different government and accreditation
institutions in South Africa. The Proudly South African label, although not an
eco-label, that is currently in existence in South Africa is also discussed.

3.2 Environmental policies in South Africa

After the adoption of the Constitution the approach to environmental


regulation and management in South Africa changed substantially. According
to the Constitution everyone has the right to the protection of the environment
through reasonable legislative and other measure^.^' There is thus a
constitutional mandate for the creation of legislative measures for eco-
labelling and there is an obligation on Government and interested parties to
develop the necessary legal framework.53 Presently South Africa does not
have any legislation on eco-labelling and the regulation thereof. There is,
though, NEMA, the environmental framework legislation.

50 Hanks J et a12002 HYPERLINK


htt~:l/www.nedlac.or~.zahesearch/fridae/ecolabellinalcurrent context.htm [Date of
use 12 Aug 20041
51 Hanks J eial2002 HYPERLINK
http://w.nedlac.ors.zahesearch/fridqe/e labellinqlcurrent wntext.htm [Date of
use 12 Aug 20041
52 Section 24(b) theconstitution.
53 The 5th environmental action plan of the EU placed the same obligation on the EU to
develop the EU eco-label.
The new approach to environmental management is reflected in the White
Paper on the Environmental Management Policy for South Africa, 1 9 9 8 . ~ ~
The White Paper sets out the basis of a fundamental policy shift to an
approach based on sustainable development as required by the
~ o n s t i t u t i o n The
. ~ ~ White Paper on Environmental Management only sets out
government's broad policy on environmental management. There are
separate policies that contain the detail of how certain objectives for
environmental protection will be reached.56 Many of the principles contained
in these policies, as well as the broad management approach to the
environment, have already been given legislative effect in the NEMA.'~

NEMA aims to give effect to the obligations relating to co-operative


government contained in Article 41 of the Constitution when dealing with
environmental matters5' and it should be viewed as a framework for the
integration of sound environmental management into all government
activities5' Although co-operative governance is important for the
implementation of certain environmental policies, it is proposed that the
development of an eco-label would not need to be co-ordinated on different
levels of government. If legislation for an eco-label were to be developed, it
would be administered by one central institution that would ensure the
credibility of the label. As framework legislation it must aim to define
overarching and generic principles in terms of which sectoral-specific
legislation is embedded, as well as to enhance co-operative environmental
governance amongst fragmented line ministries6' It must furthermore provide

The White Paper on Environmental Management Policy for South Africa GNR749,
GGI 8894 of 15 May 1998 and Glameski Environmental Law in South Africa 162.
Section 24 of the Constitution.
The White Paper on Integrated pollution and waste management GN Vol 417
b020978 of 17 March 2000.
Hanks J et a12002 HYPERLINK
htt~://w.nedlac.ora.za/research/fridae/eco labellinqlcurrent context.htm [Date of
use 12 Aug 20041.
Section 41 of the Constitution.
Hanks J et a12002 HYPERLINK
h t t ~ : / / w . n e d l a c . o r s . z a l r e s e a r c h / f r i dlabellinalcurrent
~ context.htm [Date of
use 12 Aug 20041 and Section 2(4)(1) of NEMA.
Bray South African Journal on Environmental law Policies 1-12.
general basic norms that may be used to introduce new environmental
legislation or to amend or maintain existing ~e~islation.~'

The principles contained in Article 2 of NEMA serve as a general framework


within which environmental management62and implementation plans must be
formulated, and guidelines set according to which any organ of state must
exercise any function when taking any decision in terms of a statutory
provision concerning the protection of the e n ~ i r o n m e n t . There
~~ are a few
principles which may be of particular relevance to the development of an eco-
labelling scheme. Firstly, social, environmental, and economic sustainable
development must be achieved.64 An eco-labelling program for South Africa
may achieve social, environmental and economic sustainable development,
by promoting South African products as being of a good quality that must
adhere to certain standards6' Not only would this promote environmentally
friendly production methods, but also increase the demand for South African
products, thus helping to produce products that can be exported without
draining the natural resources of the country. Secondly, the polluter pays
principle, requires that the cost of remedying pollution, environmental
degradation and consequent adverse health effects, must be paid for by those
responsible for harming the e n ~ i r o n m e n t If
. ~manufacturers
~ have to comply
with eco-labelling criteria, they would bear the cost involved and thus apply
polluter pays principle. The study of products through their entire life cycle is
also important." A product's life cycle must be determined. When developing
criteria for an eco-label, a products' whole production must be beneficial to the
environment. This same principle was followed in developing the EU eco-

61 Nel and Du Plessis SAJELP 1-33.


62 Section 2(4)(b) of NEMA.
63 Hanks J et a12002 HYPERLINK
htt!~:l/www.nedlac.ora.zalresearch/fridae/ecolabellinalcurrent wntext.htm [Date of
use 12 Aug 20041.
64 Section 2(2) of NEMA.
65 Article 15 of Council Regulation (EEC) No 880192 of 23 March 1992, basically set out
the same principle, relating to information to the public, that would inform them of the
valuable qualities of products with the eco-label. This principle in chapter 1 of NEMA
is important as it links South Africa's environmental policy firmly to the United Nations
Conference on Environment and Development plan for sustainable development on a
global scale, Agenda 21. See, Couzens E SAJELP 16.
66 Section 2(4)(p) of NEMA. The polluter pays principle is also mentioned in article
130s(5) of the Single European Act, 1987.
67 Section 2(4)(e) of NEMA.
labeL6' It would also be important to facilitate participation of consumers and
manufacturers, and this would include the development of capacity to facilitate
equitable and effective participation.69

The success of an eco-label depends to a large degree both on the way it is


perceived by consumers, and if manufacturers adopt it in their production
methods. It is thus important to ensure that manufacturers and consumers are
aware of the advantages of the label and why they should prefer products with
the label, rather than alternative products. Furthermore, people must be
empowered through environmental education and their environmental
awareness must be raised.70Only environmentally educated consumers may
consciously choose to buy a product with an eco-label. Therefore it is very
important to market eco-labels correctly. It may also be necessary to make
sure that more of the public are educated on the importance of protecting the
environment. Finally, there must be transparency in any decision, concerning
the environment and access to relevant information must be according to the
law.71The right of access to environmental information is the cornerstone of
public participation in environmental governance. It is important that people
be informed of the state of the environment and of issues which may affect
the environment. This is to facilitate meaningful participation in environmental
prote~tion.~'
To obtain the confidence of both manufacturers and consumers,
it would be necessary for the eco-label to be transparent and inspire
confidence. If information on the label and any decisions made in connection
thereto were freely available to the public, it would promote trust in the eco-
label.

It can thus be seen that some of the underlying principles of the NEMA
already create the basis for the development of a South African eco-label, and

68 Article 1, 3(d), 5(4) of Council Regulation (EEC) No 880192 of 23 March 1992.


69 Section 2(4)(d) of NEMA and Article 6(2) of Council Regulation (EEC) No 880192 of
23 March 1992.
70 Section 2(4)(f-h) of NEMA.
71 Section 2(4)(k) of NEMA and Article 15 of Council Regulation (EEC) No 880192 of 23
March 1992.
72 Kidd South African Journal on Environmental law Policies 26.
by using these principles in NEMA as basis, it may be possible to develop
legislation for implementing a voluntary eco-label.

3.3 Government departments and accreditation institutions

As will be seen in the EU eco-labelling program discussed below,73 it is


important for government to take part in developing an eco-label, even if it be
a voluntary i n ~ t r u m e n t Different
.~~ government departments in South Africa
could potentially play a role in the development of an eco-label for South
Africa. These include, for example, the Department of Environmental Affairs
and Tourism, the Department of Minerals and Energy, the Department of Arts,
Culture and Technology and the Department of Trade and
Representatives from these departments may form the South African
equivalent of the European Union Em-labelling Board (EUEB) which develops
product categories for the EU eco-label. These representatives would then
have the responsibility to decide whether criteria must be developed for
certain product categories or not. They may refer the chosen products to an
institution that determine the criteria for the product range. In South Africa this
could be any of the institutions under South African Standards, Quality
Assurance, Accreditation and Metrology system (SQAM).

Accreditation, certification, and the setting of standards are some of the most
important aspects of an eco-labelling scheme. In the South African context
this responsibility falls within the scope of the SQAM The SQAM
system is responsible for setting standards, developing and maintaining
physical standards, performing quality assurance tests, and guaranteeing that
role players are competent to carry out their tasks. Bodies that are sub-

73 See paragraph 4 below.


74 See paragraph 2 above.
75 Hanks J et a1 2002 HYPERLINK
htt~:~hhMRN.nedlac.ora.zalresearch/frideleco
labellinalcurrent context.htm [Date of
use 12 Aug 20041.
76 Hanks J et a12002 HYPERLINK
htt~:/lwww.nedlac.orq.za/research/fridqe/eco
labellinalcurrent context.htm [Date of
use 12 Aug 20041.
divisions of SQAM are the South African Bureau of Standards (SABS)~'and
South African National Accreditation Standards (SANAS)" The national
Department of Trade and lndustry is responsible for the SABS, the national
standards controlling body. The SABS formulates and implements standards
policy. The SABS also represents the South African government's viewpoint
at the International Standards Organisation (hereafter ISO). Thus, the SABS
was involved in the drafting of the new IS0 14000 series.79Determining the
criteria for products that have been selected to obtain eco-labels, can thus be
done by one of these institutions. It would thus not be necessary to develop a
separate body for this purpose and possibly resulting in less financial
expenses.

3.4 The Proudly South African campaign

The Proudly South African brand campaign was launched in October 2001
with the goal of encouraging economic transformation and job growth in the
country through the promotion of local products that achieve standards of
good and responsible manufacturing and ser~ices.'~Born out of the 1998
Presidential Job Summit, the Proudly South African campaign is driven by the
National Economic Development and Labour Council (NEDLAC). It enjoys the
support of the South African Chamber of Business as well as the Congress of
South African Trade Unions (COSATU)."

77 This is the official body for the development and publication of standard, with an
emphasis on products and services.
78 This is the single National Accreditation Body that accredits laboratories, certification
bodies, inspection bodies, and product conformity certification bodies and bodies
responsible for the certification of personnel and training.
79 ~ugA o 2004 HYPERLINK h t t p ~ . u n . o r a l d ~ c s d / e & s ~ m
[Date
~ of use 4 Okt
20041. IS0 are International Standards that contains guiding principles and pract~ces.
criteria procedures, and guidance for certification procedur&s for the development of
multiple criteria-based, third party environmental labelling programs See, Puri C
Stepping up 110.
80 Irwin R 2004 HYPERLINK htt~:lw.brandchannel.com [Date of use 9 Sept 20041
and Notice 404 of 2002 Department of trade and Industry First edition environmental
implementation plan (EIP) 2001.
81 Hanks J et a1 2002 HYPERLINK
htt~://w.~edlac.ora.zalresearch/fridq/ecolabellinalcurrent context.htm [Date of
use 12 Aug 20041.
Only member companies can use the Proudly South African logo on their
products to identify themselves to consumers. Membership criteria is based
on four factors. Firstly, a company's products or services must incur at least
50 percent of its production costs, including labour, in South Africa and be
"substantially transformed" in the country, meaning that a company cannot
merely import and repackage a product. Secondly a company's products and
services must also be of a consistently high quality. Thirdly, a company must
furthermore be committed to fair labour practices; and fourthly the company
must be committed to sound environmental

It can thus be seen that the Proudly South African label not only aims to
promote economic and job growth, but already requires sound environmental
policies. It is proposed that it may be possible to develop this aspect of the
label into an eco-label for South Africa.

One of the most challenging aspects of the development would be to convince


the consumer of the quality of the products bearing this label. In this regard
the administrators of the Proudly South African label initiated a strategic
partnership with the internationally respected South African Bureau of
Standards Holdings (SABS) to ensure quality on all Proudly South African
branded products. Proudly South African may assist SABS by offering the
Proudly South African brand on negotiated terms to SABS client companies.
At the same time, SABS may help the proudly South African brand members,
the biggest growing portion which hail from the SME (small to medium
enterprise) sector, adhere to global levels of quality.83

It is proposed that it is preferable that the environmental component of the


Proudly South African campaign must be further developed, rather than
developing a completely new and separate initiative. A separate eco-label
would need significant resources to establish a separate self-sufficient and
independent administrative structure and marketing programme. Furthermore

82 lrwin R 2004HYPERLINK htt~:lwww.brandchannel.com[Date of use 9 Sept 20041.


Hanks J eta12002 HYPERLINK
htt~:/lwww.nedlac.ora.zalresearch/fridae/ecolabellinalcurrent context.htm [Date of
use .- .
-- - 17 Auo
0
.- 70041
---
83 lrwin R 2004 HYPERLINK htt~:lwww.brandchannel.com[Date of use 9 Sept 20041.
it may lead to confusion on the side of the consumer if there are too many
indistinguishable eco-labelling initiatives, and they are not able to distinguish
between eco-labels with real benefits to the environment and labels that only
claim to be environmentally friendly.

4 International perspectives

4.1 European eco label

4.1.1 Introduction and background

It is necessary to look at the development of the EU's legal framework for their
environmental policy, with specific reference to legislation that relates to eco-
labelling. In doing so, it shall become clear whether South Africa has the
necessary framework to establish and implement an eco-label, and if not,
what should be done to create such a framework.

A Regulation was used to create the EU eco-label. The criteria, structure and
procedures were developed through decisions by the EU Commission
(hereafter Commission) and addressed to different member statesM Thus it is
prudent to discuss the relevant Regulation as a tool to implement the EU's

4.1.2 The EU eco-label legal framework and institutions

This paragraph shall take an in-depth look at the objectives of the Council
Regulation (EEC) N0.880192 of 23 March 1992 (hereafter EU regulation)86
which implemented the EU eco-label and study how criteria for certain
products were developed. The objective of the EU regulation was to promote
products with a reduced environmental impact throughout their whole life

84 Council Regulation (EEC) N0.880192 of 23 March 1992.


85 Another tool used to implement the EU's policies are directives. Directives are
mandatory legal instruments which are binding on all member states with regard to
the results to be achieved, but leaves the choice of form and methods to the national
authorities. See, Kramer Focus on European Environmental Law 7 and Craig and De
Blirca E U Law 109.
86 Council Regulation (EEC) N0.880192 of 23 March 1992.
cycle, compared to other products in the same product group.87 Thus the EU
eco-label was designed to promote products that have a reduced
environmental impact compared with other products in the same product
group. It provides consumers with accurate and scientifically based
information and guidance on products.88 The EU eco-label is exclusive in
nature since there are certain products (for example foodstuffs, drinks and
pharmaceutical products) that are excluded from the regulation's scope.89The
em-label may be awarded to products available in the EU which meet certain
environmental requirements and specific eco-label rite ria.^' Eco-label criteria
must be established according to the product group and may be based on the
product's prospects of market penetration, the technical and economic
feasibility of the necessary adaptations, and the potential for environmental
improvement.g' The criteria are set and reviewed by the EUEB, which is also
responsible for the assessment and verification of requirements relating to the
criteria. The Commission and the member states must promote the use of the
eco-label by means of awareness raising actions and information
campaigns.92

The EU regulation stipulated that no later than five years after its entry into
force the Commission should examine the scheme and propose any

Anonymous 2003 HYPERLINK htt~:lleuro~a.eu.inffscad~lusllealenllvbll28O2O.htm


[Date of use 11 Oct 20041, Anonymous 2002 HYPERLINK
htt~:llwww.ewindows.eu.oralManaaementConce~tslcommunicationl~arliament view1
Rea880 92.htm [Date of use 13 Oct 20041, Anonymous 2004 HYPERLINK
htt~:llwww.emcentre.com/textilelLT EU.htm [Date of use 13 Oct 20041 and Article 1
of Council Reaulation (EEC) No 880192 of 23 March 1992.
Anonymous 2003 HYPERLINK http:/leuro~a.eu.inffscad~lusllea/enllvblI28O2O.htm
[Date of use 11 Oct 20041.
knonymous 2004 HYPERLINK
~ l ~ ~ w w w d d e f r a ~ . u ~ e n v i r o n m e n f f c o n s u m e r ~ r o d l e c o[Date
~ t r o of
. huse
tm
13 Oct 20041 and Art~cle1 of Council Regulation . (EEC) No 880192 of 23 March 1992.
Anonymous2002 HYPERLINK
htt~:llwww.ewindows.eu.orolManaaementCon~tslmmunicationl~arliament view1
Re9880 92.htm [Date of use 13 Oct 20041 and Article 2 of Council Regulation (EEC)
No 880192 of 23 March 1992.
Anonymous 2003 HYPERLINK htt~:lleuro~a.eu.inffscad~lusllealenllvbll28O2O.htm
[Date of use 11 Oct 20041 and Article 4 of Council Regulation (EEC) No 880192 of 23
March 1992.
Anonymous 2003 HYPERLINK htt~:lleuro~a.eu.inffscad~lusllealenllvbll28020.htm
[Date of use 11 Oct 20041 and Article 5 of Council Regulation (EEC) No 880192 of 23
March 1992.
Anonymous 2003 HYPERLINK htt~:lleuro~a.eu.inffscad~lus/leqlenllvblI28O2O~htm
[Date of use 11 Oct 20041.
necessary changes. To implement those changes, this Regulation has been
repealed and replaced by Regulation (EC) No 1980/2000 of 17 July 2000g3
(hereafter revised EU regulation). According to the revised EU regulation the
objective of the Community eco-label is to promote products which have the
potential to reduce negative environmental impacts, compared to other
products in the same product group, thus contributing to the efficient use of
resources and a high level of environmental protection through their whole life
cycle. Furthermore the label must be promoted to the public through the
presentation of non-deceptive and accurate information about the qualities of
the labeLg4As earlier discussed above it would be important for the South
African label to be transparent and inspire confidence with consumers.
Therefore information about the label would have to be accurate.95

Article 2 of the revised EU eco-label determines that the Community eco-label


may be awarded to products which comply with the essential environmental
requirements and specific eco-label criteria. The label may be awarded to
products which contribute significantly to improvements in relation to key
environmental aspects.96

Specific eco-label criteria shall be established according to product groups.97


These criteria will set out the requirements for each of the key environmental
aspectsg8which a product must fulfil in order to be considered for the award of
an eco-label, as well as requirements relating to the products fitness in
meeting the need of consumers.99The process of identifying and selecting the
key environmental aspects, as well as setting the eco-label criteria include
the following steps: a feasibility and market study; life cycle considerations;
improvement analysis; and proposal of the criteria. The eco-label criteria must
seek to ensure that the consumers will choose the products which comply

93 Regulation (EC) No 198012000 of 17 July 2000.


94 Article 1 of Regulation (EC) No 198012000 of 17 July 2000.
95 See paragraph 3.2 above.
96 Article 3 of Regulation (EC) No 198012000 of 17 July 2000.
97 Product group means any goods or services, which serves similar purposes and are
equivalent in terms of use and consumer perception. See Article 2 of Regulation (EC)
No 198012000 of 17 Julv 2000.
98 Key environmental aspects that are important through the products whole life cycle
and must be taken into consideration when developing eco-labelling criteria.
99 Article 3 of Regulation (EC) No 1980/2000 of 17 July 2000.
with the em-labelling criteria and thus have greater prospects of market
penetration. The criteria must also take into account the technical and
economic feasibility of changes necessary to comply with the criteria. The
criteria must be developed to achieve the maximum potential for
environmental

The eco-labelling criteria are set and reviewed by the EUEB, which is also
responsible for the assessment and verification requirements relating to
The procedure for setting or developing em-label criteria must be
started by the Commission on its own initiative or at the request of the EUEB.
The Commission must give a mandate to the EUEB to develop and
periodically review the eco-label riter ria.'^' On the basis of the mandate, the
EUEB must draft the eco-label criteria by taking into account the results of
feasibility and market studies, and also the life cycle of the product through its
whole life.'03 The equivalent of the Commission should be developed in South
Africa. The body should compromise of different entities from the private and
government sector. This may be include, for example, representatives from
industry, representative from the Department of Trade and Industry. The
equivalent of the EUEB which would be responsible for the development of
eco-label criteria, could be the SABS, as it already has knowledge of the
working of the I S 0 14000 series.

In the EU manufacturers, importers, service providers, traders and retailers


may apply to a competent body in a member state to be awarded the eco-
label, if they comply with the criteria that is set out for their product group. The
competent body assesses whether the product conforms to the criteria of the
em-label and decides whether to award the label. A standard contract is then
concluded with the applicant, covering the terms of use of the label. '04 in
South Africa, the body which would be responsible for the awarding of the
eco-label should draft such a standard contract.

100 Article 4 of Regulation (EC) No 198012000 of 17 July 2000.


101 Articles 5,17 of Regulation (EC) No 198012000 of 17 July 2000
102 Article 6(2) of Regulation (EC) No 198012000 of 17 J U I 2000.
~
103 Article 613)
~ ~ , of e~~ ~.~
- Reoulation
- IEC)
~No 198012000
, ~ -...~. f 17
o - ,7nnn
. . JIIIV
104 Article 7 of Regulation (EC) No 1980/2000 of 17 July 2000.
Member states and the Commission shall in co-operation with the members of
the EUEB, promote the use of the EU eco-label by awareness raising actions
and information campaigns for consumers, producers, traders, retailers and
the general public, thus supporting the development of the EU eco-~abel.'~~
As
earlier indicated,'06 one of the principles of NEMA is to empower the people of
South Africa through environmental education to raise their environmental
awarene~s.'~'The eco-labelling legislation that may be drafted for South
Africa should contain a provision that would fulfil this requirement.

Applications for the award of an eco-label are subject to payment of a fee.


The use of the label is also subject to the payment of an annual fee by the
user.lo8In South Africa it would also be necessary to charge a fee for the use
of the eco-label. These fees would ensure that the quality of the product
criteria is up to standard, and would help to finance the creation of all the
structures needed to administer the eco-labelling scheme.

Implementation of Community norms by member states involves adapting


national legislation, administrative structures, and procedures so that they
conform to regulations and directives, and putting EU norms into practice.'0g
The Commission implements the measures set out in the revised EU
regulation through decisions. A decision is binding in its entirety on those to
whom it is addressed.l1° EU institutions remain free to proceed by way of
decision in many areas."' The EU Council is free to delegate power to the
Commission to take decisions, which are within the competence of the
Council itself.'12 Many decisions relating to the EU eco-label have been
made. For instance the Commission Decision of 10 November 2000
establishing the application and annual fees of the Community em-label. The
Decision sets minimum and maximum fees, and the reductions granted in

Article 10 of Regulation (EC) No 198012000 of 17 July 2000.


See paragraph 4.2 below.
Section 2(4)(f-h)of NEMA.
Article 12 of Regulation (EC) No 198012000 of 17 July 2000.
Shaw Law of the European Union 298.
Vincenzi and Fairhurst Law of the European Community 38, Craig and De Burca EU
Law 109 and Krarner Focus on European Environmental Law 229.
Craig and De Bljrca EU Law 109.
Article 202 EC Treaty.
certain cases.113The EU em-label was thus created by a regulation, but all
the criteria, structures, and procedures for the development of the label are
created by decisions taken by the Commission and are addressed to
individual member states.

Different government departments in South Africa could potentially play a role


in the development of an eco-label for South Africa. For example, the
Department of Environmental Affairs and Tourism, the Department of Minerals
and Energy, the Department of Arts, Culture and Technology and the
Department of Trade and Representatives from these
departments may form the South African equivalent of the European Union
Eco-labelling Board (EUEB) which develops product categories for the EU
eco-label. These representatives would then have the responsibility to decide
whether criteria must be developed for certain product categories or not. They
may refer the chosen products to an institution that determine the criteria for
the product range. In South Africa this can be one of the institutions under
South African Standards, Quality Assurance, Accreditation and Metrology
system (SQAM).

4.1.3 Development of the EU eco-label

It is necessary to look at the further development of the EU em-label, and


characteristics that make it distinctive. The European Commission introduced
a European-wide eco-labelling scheme,"5 known as the EU Flower, on 23
March 1992''~as part of its fifth Environmental Action ~ l a n , "the
~ focus of
which was sustainabi~ity."~The EU eco-labelling scheme is a voluntary
scheme, which aims to promote products with reduced environmental impacts

113 Decision 20001728lEC - Official Journal L 293 22.1 1.2000.


1I 4 Hanks J et a12002 HYPERLINK
htt!~://w.nedlac.or~zalresearchlfridqelecolabellinqlcurrent context.htm [Date of
use 12 Aua 20041.
115 European Cornmission (hereafter EC).
116 Council Regulation (EEC) N0.880192 of 23 March 1992
117 ~non~mou s HYPERLINK htt~:l/www.fern.ora/~ubslarchivel5ea~.html
1998 [Date of
use 4 Oct 20041.
118 in July 2000 it was revised to streamline the scheme and widen the scope to include
services, introduce a decreased fee structure, and increases the transparency of the
scheme and to improve stakeholder involvement. Another date for revision is set
before the end of September 2005.
throughout their life cycle and to provide consumers with better information
about the environmental impact of product^."^ The scheme is voluntary and
independently approved, with an award being made to those products which
incur the lowest environmental impact within any particular product group."0
The development of the EU eco-label was to coordinate the application of
environmental criteria across member states of ~ u r o ~ e . ' ' ' The EU eco-label
that was developed through using the common EU policy is thus the
environmental reference for establishing criteria for consumer goods. This
however does not mean that national eco-labels and EU eco-label cannot co-
exist. However it would be necessary for member states and the European
Commission to ensure there is coordination between the EU eco-label and
other national schemes, particularly in the selection of product groups and the
development and revision of criteria."' It is suggested that the EU eco-label
is popular because of its European character. It can be used throughout the
EU and eliminates costly and multiple eco-label applications to different EU
countries.

4.1.4 Criteria

It is necessary to have a more in-depth look at the practical criteria needed by


a product to be awarded an EU eco-label, and especially at institutions
needed to develop the criteria for the eco-label.

The EU eco-label can be awarded for a period of up to three years according


to criteria, based on life cycle assessment (hereafter LCA).''~ TO apply for a

Camilla, Erksine and Colins The Environmentalist 125-133, Jordan et a12003


HYPERLINK www.europa.eu.int?wmm.lenvironmenffecolabel/ [Date of use 8 Sept
20041
Erksine and Colins The Environmentalist 125-133.
Anonymous 2004 HYPERLINK
http://www.defra.aov.uk/environmenffconsumerrod/ecoabel/intro.htm [Date of use
13 Oct 20041.
Hanks J et a12002 HYPERLINK
htt~://www.nedlac.ora.za/research/fridae/ecolabellinalspecific analvsis.htm [Date of
use 12 Aug 20041.
Life cycle assessment is a systematic tool of assessing the environmental impacts
associated with a product or service to: build an inventory of those inputs and outputs
and identify the most significant aspects of the system relative to the objective of the
study. LCA considers the environmental impact along the continuum of a products life
from raw materials acquisition to production, use and disposal. See IS0 14031-
EU eco-label certain criteria must be fulfilled and steps followed. At a general
level, the EUEB administers the EU eco-labe~.'~~
It consists of the various
competent bodies and members of the Consultation oru urn.'^^ At national
level, a competent body, located in each EU member state, undertakes the
administration. The competent bodies are the national points of access to the
scheme and are responsible for receiving and assessing applications,
concluding contracts with successful applicants, handling enquiries and
contributing to the development of the criteria.Iz6 The selection of product
groups and the development of ecological criteria for the EU eco-label, are
initiated by the European Commission or by the EUEB, in consultation with
the competent bodies. The application for the development of criteria for a
product group to be awarded a label, must first be made to the national
competent body (which would differ from country to country). Then
lZ7 the
application is considered by an advisory committee made up of officials from
the different competent bodies and chaired by the EU omm mission.^^^ If the
advisory committee cannot agree on pmduct criteria through majority voting,
the decision is left to the EU Council of ~ i n i s t e r s .Criteria
'~~ for a EU eco-label
are established as follows. First the advisory committee works out the product
groups and criteria. One member state is then assigned as the lead country.
The lead country forms an ad hoc working group involving the relevant parties
(retailers, industry and consumers) to draft the product gmup criteria.I3O

Guidelines on Environmental Performance Evaluation and Article 8(5) of Council


Regulation (EEC) No 880192 of 23 March 1992.
EUEB will contribute to the setting and reviewing of eco-label criteria.
The Consultation Forum represents five interest groups at EU administrative level,
namely industry, environment, consumers, commerce and trade unions.
Article 10 of Council Regulation (EEC) No 880192 of 23 March 1992.
Certain designated EU member states have a national competent body that consists
of government and private stakeholders and Tietje C "Voluntary Eco-labelling
programmes 124.
The Commission consists of 20 Commissioners. Only nationals of the member states
are eligible as Commission members, and the Commission must include at least one
national of each of the member states with no more than two. (Article 213 EC Treaty).
The Council consists of member of the governments of the member states authorised
to commit the government of that member state' (Article 203 EC Treatv).
Jordan et a12603 HYPERLINK www.euro~a.eu.int?comm.lenvironmeii/ecolabell.
[Date of use 8 Sept 20041.
It can thus be seen that the EU has a well-developed structure for developing
product groups and criteria for the EU eco-label. This may be the biggest
challenge in implementing South Africa's own eco-label. If South Africa
cannot use some of its present structures to implement its own em-label, the
investment needed to develop such structures might be too large. South
Africa would also have to establish the necessary bodies to develop these
criteria.

5 Conclusion

The Constitution and the NEMA provide for development and protection of the
environment that should further sustainable development. The development of
an eco-label may assist in reaching objectives designated by the Constitution.
An eco-label intrinsically encompasses certain advantages that could
contribute towards the success of realising sustainable development. The
Constitution concurrently also provides for the implementation of legislative as
well as other measures so as to successfully implement the principle of
sustainable development.

Currently there is no legal framework to regulate eco-labelling in South Africa.


Despite such lack of statutory structure as it relates to em-labelling, South
Africa does have at its disposal, environmental framework legislation and the
Constitution, both of which may be utilised to facilitate the development of an
eco-label coupled with the necessary ancillary legislation. The existing
framework legislation should be further explored and developed to create an
administrative framework for the development of an eco-label. Because of the
concomitant advantages of eco-labelling there rests an obligation on
government, industry and the public to seriously consider the development
and establishing of a South African em-label. Guidance in this regard should
be derived from the EU, with its well established framework in regard to the
administration and development of an eco-label. As previously mentioned,
South Africa has its own framework dealing with environmental legislation and
when drafting its own legislation for an em-label, notice should be taken of
the EU regulation and the revised EU regulation. The environmental
component of the Proudly South African campaign could be further developed
into a South African em-label. A South African eco-label, if established, may
contribute to the achievement of sustainable development, which in turn may
positively contribute to protection of the environment.
Bibliography

1 Journals

Bray E "Towards Sustainable Development: Are we on the right track?"


(5) South African Journal on Environmental law Policies 1998 1

Bray E "Co-operative governance in the context of the national


Environmental management Act 107 of 1998" 1999 (6) SAJELP 1-12

C
Chang SW "Eco-Labelling and the W O Agreement on Technical Barriers
to Trade" Journal of World Trade Vo1.31 No 1 February 1997 137-159

Couzens E "NEMA - A step closer to coherence?" 1999 (6) SAJELP 13-19

E
Erksine CC and Colins L "Eco-labelling: success or failure?" The
Environmentalist 17, 125-133 (1997)

F
Folmer H and Tietenberg T (eds) "Economic Aspects of Environmental
Labeling" The International Yearbook of Environmental and Resource
Economics 199912000

K
Kidd M "The National Environmental Management Act and Public
Participation" 1999 (6) South African Journal on Environmental law
Policies 21-31

M
Mattoo A and Singh HV "Eco-labelling: Policy Considerations" KYKLOS,
VOI47 1994 53-65
Miiller E "Environmental Labelling, Innovation and the Toolbox of
Environmental Policy lessons Learned from the German Blue Angel.
Program" Federation of German Consumer Organisations August 2002

N
Nel J and Du Plessis W "An evaluation of NEMA based on a generic
framework for environmental framework legislation" South African Journal
on Environmental law Policies (8) 2001 1-33

S
Shams R "Eco-labelling and Environmental Policy Efforts in Developing
Countries" lntereconomics Vol 30 JanuarylFebruary 1995 143-149

T
Tietje C "Voluntary Eco-Labelling programmes and Questions of State
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2 Internet Sources

Anonymous 2002 Em-labelling [Found on internet]


htt~:l/www.bsd~lobal.mmlmarketslem
1abelinq.a~~
[Date of use 11 Oct
20041

Anonymous 2002 The benefits of eco-labelling


http://www.bsd~lobal.orqlmarkets/em label benefkasp [Date of use 11
Oct 20041

Anonymous 2002 What is eco-labelling?


www.lis.net.au1-emmartlwhatisemlabellina.htm [Date of use 12 Aug
20041
Anonymous 2002 Environmental Instruments: Eco-labels [Found on
internet]
htt~://www.ewindows.eu.ora/Mana~ementConce~ts/mmmunication/~arlia
ment view/Reu880 92.htm [Date of use 13 Oct 20041

Anonymous 2002 A Survey of Environmental Claims and Declarations


made on Consumer Products [Found on internet]
http://www.defra.aov.uWenvironment~consumer~rod/acc~e/research/claim
s.htm [Date of use 5 Oct 20041

Anonymous 2003 Activities of the European Union: Summaries of


legislation [Found on internet]
http://europa.eu.int/scadplus/leg/enllvb/l2802O.htm [Date of use 11 Oct
20041

Anonymous 2003 Em-labelling Resources [Found on internet]


htt~://www.aela.or~.au/Emlabellinqresources.htm[Date of use 12 Aug
20041

Anonymous 2003 Eco-labels: Environmentally friendly [Found on internet]


htt~://www.em-labels.or~~label.cfm?LabellD=l09
[Date of use 5 Oct 20041

Anonymous 2004 Cercindia [Found on internet]


http://www.cercindia.or~lindex.html?lenviswhatisemlbl.htm [Date of use
12 Aug 20041

Anonymous 2004 The European Union Eco-label [Found on internet]


http:l~www.euro~a.eu.int?comm.lenvironment/emlabel/[Date of use 23
Aug 20041
Anonymous 2004 Environmental Labelling [Found on internet]
[Date of use 23 Aug
htt~://www.e~a.qov/op~t/epp/~ubs/envlab/sco~e.pdf
20041

Anonymous 2004 What is the status of eco-labelling in the European


Union? [Found on internet] htt~://www.emcentre.com/textile/LTEU.htm
[Date of use 13 Oct 20041

Anonymous 2004 Greenbiz [Found on internet]


www.areenbiz.com/toolboxl essentials third,cfm?LinkAdvlD=7839 [Date of
use 1 Sept 20041

Anonymous 2004 What are Eco-labels? [Found on internet]


htt~://www.iri.orq.lb/Eco%20labelinq.html [Date of use 23 Aug 20041

Anonymous 2004 Global eco-labelling network [Found on internet]


www.envirolink.or~/resource.html?itemid=l005&catid=5[Date of use 12
Aug 20041

Anonymous 2004 Eco-labels: Frequently asked questions answered


[Found on internet]
htt~:~~www.~ursuit.co.za~archive/auase~03
ecolabels.htm [Date of use 1
Sept 20041

Anonymous 2004 Introduction to Sustainable Development [Found on


internet] htt~://www.sdaatewav.net/introsd/definitions.htm[Date of use Aug
20041

B
Irwin R 2004 South Africa makes it local [Found on internet]
htt~:/www.brandchannel.com[Date of use 9 Sept 20041
Barquin W 2004 South Africa Country Commercial Guide FY 2004: Exec
Summary [Found on internet] htt~://strateais.ic.ac.ca/e~ic/internet/
ri.nsf/enl~rl23193e.html[Date of use 5 Okt 20041

H
Hanks J, Naumann E, Kothuis B, Hall J 2002 Fridge: Global Review of
Eco-Labels: Implications for South Africa [Found on internet]
htt~://www.nedlac.or~.za/research/fridae/ecolabellinql [Date of use 12
Aug 20041

S
Sinclair R 1999 Eco-labelling - The role of Independent certification
[Found on internet] http://www.forests.ald.aov.auleducat/btl/ecolabel.htm
[Date of use 23 Aug 20041

T
Tews, Busch and Jorgens 2001 The Diffusion of New Environmental
Policy Instruments
htt~://www.essex.ac.u~ECP~~events/iointsessions/~a~erarchive/arenoble/
wsl/tews etal.pdf [Date of use 5 Oct 20041

3 Books

C
Craig P and De Blirca G EU Law Text, Cases, and Materials 2nd ed
(Oxford Publishers Oxford 1998)

F
Fitzgerald P, McLennan A and Munslow B (eds) Managing Sustainable
Development in South Africa 2ed (Oxford University Press Cape Town
1997)
Font X and Buckley RC (eds) Tourism Eco-labelling: Cerfification and
promotion of sustainable management (CAB1 Publishing Wallingford 2001)
G
Gallagher KP and Werksman J (eds) International Trade & Sustainable
Development (Earthscan, London 2002)
Glazewski J Environmental Law in South Africa (Butteworths Durban
2000)

K
Kiss A and Shelton D Manual of European Environmental Law 2nd ed
(Grotius Publications Cambridge 1997)
Kramer L Casebook on EU Environmental Law (Hart Publishing Portland
Oregon 2002)
Kramer L Focus on European Environmental Law (Sweet & Maxwell
London 1992)

Jordan A, Wulzel, Zito A and Bruckner L Consumer Responsibility-taking and


EGO-labellingSchemes in Europe. (2003) In: M. Micheletti, A. Follesdal and D.
Stolle (eds), The Politics Behind Products: Using the Market As A Site for
Ethics and Action. Transaction Publishers: (in press)

P
Puri SC Stepping up to I S 0 1400 Integrating environmental quality with
I S 0 9000 and TQM (Productivity Press Portland 1996)

R
Russel T (ed) Greener Purchasing opportunities and innovations
(Greenleaf Publishing Sheffield 1998)

S
Shaw J Law of the European Union 3rded (Palgrave Great Britian 2000)
v
Vincenzi C and Fairhurst J 3' ed Law of the European Community
(Longman Harlow Essex 2002)

W
Wasik JF Green Marketing and Management: A Global Perspective
(Blackwell Publishers Oxford 1996)

4 Legislation

European

Council Regulation (EEC) N0.880192 of 23 March 1992

Our Common Future (1987) UN General Assembly Res 4221186 11 Dec


1987 (Brundtland Report)

The Rio Declaration on Environment and Development adopted June 14,


1992 at Rio de Janeiro, UN Doc. AICONF.151I5IRev.I (1992) 31 ILM 874

Single European Act, June 29,1987,1987 OJ No. L 169 , as amended by the


Treaty on Economic Union, Maastricht, February 7, 1992

South African

The Constitution of South Africa, 1996

National EnvironmentalManagement Act 107 of 1998

Notice 404 of 2002 Department of trade and Industry First edition


environmental implementation plan (EIP) 2001
5 Policy documents

Naumann E (2001). Eco-labelling: Overview and implications for


Developing Countries, Policy Brief No OllP19, Development Policy
Research Unit, University of Cape Town

U S . Environmental Protection Agency Environmental Labeling: A


Comprehensive Review of Issues, Policies, and Practices Worldwide
Government Institutes

Veena JHA, Vossenaar R and Zarrilli S "EcoLabelling and International


Trade" No. 70 October 1993 UNCTAD/OSG/DP/70

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