Digital product passport in short
What is the digital product passport
- Digital Product Passport (DPP) is a unique product tag that allows any interested party to access product information. It considers a product’s full lifecycle, across the whole value chain.
- This increases transparency and traceability of products for all stakeholders, thereby stimulating circularity and sustainable design.
- The Digital Product Passport will apply to all products entering the European market, even those coming from outside the EU. Excluded sectors are food, animal feed, and pharmaceuticals.
- The entity that introduces the product to the European market is responsible and must ensure that a passport is available with the product.
- If this party is not from Europe, then the responsibility shifts to the retailer or party that markets the product in Europe.
When do digital product passports become obligatory
- The DPP is part of the Ecodesign for Sustainable Products Regulation (ESPR), that went into force the 18th of July 2024.
- The first categories of products that will have to face ESPR-requirements are high resource & energy consuming products: iron & steel, aluminium, textiles (garments and footwear), furniture (including mattresses), tyres, detergents, paints, lubricants, chemicals, energy-related products (including new measures and revisions of existing ones) and ICT products, as well as other electronics.
- The first product groups are expected to be covered by DPP regulation in 2026: these are textiles and shoes and batteries.
- By 2030, most of the legislation for all relevant products should be in place.
EU Digital Product Passports
Digital Product Passports (DPPs) form part of the Ecodesign for Sustainable Products Regulation (ESPR). The digital product passport is a particularly innovative aspect of the regulation that will provide consumers with the information they need to make more sustainable choices.
Digital product passports are unique product tags (e.g a QR code) that allow any interested party to access the information about the product’s sustainability across the whole value chain. This can be a consumer, an importer, or a regulatory body.
Digital product passports will improve the transparency of products’ value chains. This makes it easier for relevant authorities to oversee and enforce adherence to the regulations. It also allows for consumers to make better informed choices about their purchases.
Additionally, the European Commision anticipates that the ESPR will help avoid sustainability-related misinformation from producers and retailers. This is known as greenwashing. With its implementation, a company will have to substantiate any claims on the environmental performance of their product with supporting documents.
What information must be included on the digital product passport?
This digital product passport will contain information about the product's environmental impact, such as its carbon footprint and its potential for reuse and recycling. This information will help consumers make informed choices and encourage manufacturers to design products with sustainability in mind.
What information exactly has to be disclosed will be specified in so-called Delegated Acts for each product group. But the following information must be included for sure on the digital product passport:
- Information on sustainable performance
- Traceability
- Declaration of conformity
- Technical documentation
- User manuals
- Information about the manufacturer, importer, or authorised representative.
The information would be stored in a registry set up by the Commission and accessible via a data carrier on the product, its packaging or documentation.
Information in the passport is not static and will be constantly up-dated. In the supply chain, other parties—from delivery to the consumer and thereafter by those who repair or recycle—can add data to the passport as well.
Context: Ecodesign for Sustainable Products Regulation
On March 30th, 2022, the European Commission proposed a new regulation that aims to establish a general framework for ecodesign requirements of sustainable products. The proposed regulation replaces the existing rules, that primarily focus on energy-related products.
The goal of the new regulation is to make all products in the internal market more environmentally friendly by making them more durable, reusable, repairable, upgradable, and recyclable.
In addition to the digital product passport, the proposed regulation also includes rules for green public procurement. This means that public authorities will be encouraged to prioritise environmentally friendly products when making purchasing decisions. The regulation also aims to prevent the destruction of unsold goods by imposing a ban on this practice.
Overall, the proposed regulation is a step towards a more sustainable future. It introduces new rules that will help reduce the environmental impact of products, and encourages manufacturers to design products with sustainability in mind.
Read more in our article Ecodesign for Sustainable Products Regulation (ESPR): context, consequences and how to comply - Hedgehog Company (hhc.earth)
Product sectors first in line in ESPR
The initial focus of the digital product passport is on the product sectors consumer electronics, batteries, and textiles. For most of these sectors, there already exist environmental regulation frameworks. The ESPR is planned to work in tandem with the current relevant legislation.
The digital product passport will be implemented across companies of all sizes. From large corporations to SMEs, from B2B to B2C companies.
This creates clear expectations and full transparency for all supply chain actors. However, it could put extra pressure on SMEs and might slow down implementation. As an alternative, the European Commission is considering applying DPPs to large corporations first, followed by SMEs in a later stage.
Early action for your digital product passport
To prepare for the upcoming Digital Product Passport, companies can already take several steps.
- First and foremost, you can start gathering and organising information about your products, including details on their composition, energy efficiency, and especially on environmental impact. These insights are eventually the content of your digital product passport.
This process requires close collaboration between different teams within the company, including product design, engineering, and sustainability. It can be beneficial to find support from LCA consultants.
- You can start exploring different digital platforms and technologies that can help you manage their Digital Product Passports. You can leverage tools such as blockchain and Internet of Things (IoT) sensors to ensure the accuracy and transparency of this data.
Additionally, you can work with industry associations and standard-setting organisations to ensure that product information is consistent and compatible with upcoming regulatory requirements.
- Another critical step is to engage with customers and other stakeholders to understand their expectations and priorities regarding sustainability and transparency.
This can help you tailor your product information and communication strategies accordingly. You can also use this feedback to identify areas for improvement and innovation in your product offerings.
- And you can invest in employee training and education to build internal expertise in digital product passports and related sustainability topics.
This will help ensure that all team members have the knowledge and skills needed to create and manage digital product passports effectively.
By taking these steps, proactively, you can position yourselves for success in a rapidly evolving regulatory and market landscape focused on sustainability and transparency.
