As the first signs of spring brightened Brussels, EU policymakers were planting seeds for the next phase of the circular economy. Read on for progress on packaging reuse rules, streamlined sustainability requirements, and key debates shaping the future of recycling in Europe!
Parliament committees and Council endorse End-of-Life Vehicles Regulation agreement: On 25 February, the European Parliament’s Committees on the Environment (ENVI) and the Internal Market (IMCO) voted to endorse the trilogue agreement on the End-of-Life Vehicles Regulation (ELVR), with 96 votes in favour, 20 against and 4 abstentions.
Pallet wrapping and straps exempt from reuse target under Packaging Regulation: On 25 February, the European Commission adopted a delegated act exempting pallet wrappings and straps from the 100% reuse requirement under the Packaging and Packaging Waste Regulation.
Commission to propose derogations under Batteries Regulation: On 19 February, in a response to a parliamentary question concerning Article 11 of the Batteries Regulation, the Commission confirmed that it will adopt a delegated act in the second quarter of 2026 introducing new derogations on the removal and replacement of portable batteries.
Council signs off simplification of sustainability reporting and due diligence: On 24 February, the Council signed off the political agreement on the omnibus amending the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CS3D), following trilogue negotiations with Parliament at the end of 2025. On 26 February, the omnibus law amending the CSRD and CS3D was published in the Official Journal. The revised directives will enter into force on 18 March and must be transposed by Member States by July 2028.
Packaging industry calls for single market legal basis for Circular Economy Act: On 24 February, 70 organisations across the packaging value chain sent a joint letter to the Commission and Member States urging that the future Circular Economy Act be based solely on the internal market legal basis.
Commission official presents circularity package: On 25 February, DG Environment Director Aurel Ciobanu-Dordea presented the circularity package to the European Parliament’s ENVI Committee, highlighting the complementary role of chemical recycling alongside mechanical recycling.
Parliament debates ‘28th tax regime’ options for EU competitiveness: On 24 February, the European Parliament’s FISC Subcommittee held a public hearing on the feasibility of a ‘28th tax regime’ and how it could support EU competitiveness ahead of an expected Commission proposal in early 2026.
EEA calls for stronger circularity in energy-intensive industries: On 25 February, the European Environment Agency published a report highlighting the role of circular economy measures in reducing emissions from sectors such as steel, chemicals and paper.
Commission responds to Ombudsman on transparency in sustainability omnibus: On 20 February, the Commission responded to the European Ombudsman’s finding of maladministration concerning the due diligence omnibus, acknowledging the need to better record and justify urgency in future legislative work.
Public consultation on draft General Block Exemption Regulation (GBER): On 25 February, the European Commission launched a public consultation on the draft revision of the General Block Exemption Regulation (GBER), which allows Member States to grant certain categories of state aid without prior Commission approval.
European Court of Auditors warns on environmental spending in EU budget: On 24 February, the European Court of Auditors published its opinion on the proposed Multiannual Financial Framework for 2028–2034, warning of risks in estimating environmental expenditure.
Bruegel calls to ‘defragment’ EU climate policy: On 24 February, the Brussels think tank Bruegel published a policy brief arguing that the EU’s ‘fragmented’ climate architecture across ETS/ETS2 and non-market instruments reduces efficiency in cutting emissions.
Competitiveness Council: On 26 February, the Competitiveness Council discussed the 2026 single market and competitiveness report, emergency plans for industrial resilience and the European Competitiveness Fund among other topics. Ministers also adopted conclusions on the 2030 consumer agenda.
