Demystifying Digital Product Passports

In March 2022, the European Commission put forth a transformative proposal: the Eco-design for Sustainable Products Regulation (ESPR). This initiative outlines a comprehensive framework to champion sustainability, emphasising durability, reusability, and circularity. A significant component of ESPR is the introduction of Digital Product Passports (DPPs) that aim to revolutionise transparency and decision-making from stakeholders when buying products.

In this blog, we delve deeper into the concept of Digital Product Passports, exploring how they use data from Life Cycle Analysis to inform stakeholders about a product’s environmental impact. We discuss the information DPPs should include, current proposals by the European Commission, and the overarching requirements for DPP implementation.

What are Digital Product Passports?

Digital Product Passports are digital records accessible via Quick Response (QR) codes, Radio-Frequency Identification (RFID) tags, or similar technologies. Their primary goal is to enhance transparency, support circular economy practices, and empower stakeholders like consumers, businesses, and public authorities to make more sustainable decisions.

Digital Product Passports include data on:

• Product materials
• Environmental impact
• Repairability of the product
• End-of-life disposal.

You can learn more about circularity and the circular economy by reading our blog!

The link between Digital Product Passports and Life Cycle Analysis (LCA)

A Life Cycle Analysis (LCA) involves the analysis of the environmental impacts associated with a product’s lifecycle stages, from raw materials extraction to disposal. LCAs generate extensive data on environmental impacts, which provide standardised information on a product’s environmental performance. In doing so, LCAs promote transparency by disclosing the environmental impact of products, allowing more sustainable decision-making by stakeholders.

Below is an example of how data is captured in the life cycle of a product throughout the supply chain. Discover how companies like Ocean Bottle and KMI Brands conducted life cycle analyses by reading our case studies!

Image Credit: Circularise, 2022

A Digital Product Passport (DPP) utilises data derived from Life Cycle Analyses to inform stakeholders about a product’s environmental impact. The DPP can integrate this environmental data with additional information on repairability, recyclability, and end-of-life options. As a result, DPPs empower consumers, businesses, and policymakers to make informed choices that align with sustainability goals.

What information must Digital Product Passports include?

As of now, the specific data requirements for Digital Product Passports are still being decided upon. These requirements will vary for each product category and will be established through consultations with stakeholders.

Image Credit: Circularise (2022)

However, the European Commission has put forward some key proposals regarding the information that DPPs should encompass. These include:

1. Product Information: details about where the product comes from, what it’s made of, and options for repairing and disassembling it.
2. Recycling and Disposal: information on how the product can be recycled or disposed of properly.
3. Sustainability Features: insights into the product’s sustainability characteristics.
4. Compliance Documentation: specifications regarding the type of data carrier used, whether the information is specific to the model, batch, or item, and how the DPP is accessible to customers before purchase.
5. User Manuals and Safety Information: ensuring that essential user manuals and safety information are included.
6. Unique Product Identifier: a unique identifier tailored to meet the needs of different stakeholders, specifying who has access to what information.

Additionally, there are some general requirements that all DPPs must meet, including:

1. DPPs should be linked to a unique identifier for each product.
2. The data carrier containing the DPP must be physically present on the product, its packaging, or accompanying documentation.
3. Both the data carrier and the unique product identifier must adhere to the ISO/IEC 15459:2015 standard.
4. All information included in the DPP should be based on open standards making it machine-readable, structured, and searchable.
5. Information in the DPP should be specific to the product’s model, batch, and individual item.

Furthermore, depending on the type of product, Digital Product Passports may include information about product provenance and authenticity, descriptions of materials and components used, recycled contents, product history, certifications, and environmental footprint profile according to the regulations of ESPR.

Image Credit: Kezzler (2022)

Environmental Aspects to Include in Digital Product Passports

For each phase of the product’s life cycle, the following environmental aspects must be assessed where relevant:

• Predicted consumption of materials, energy, and other resources such as freshwater
• Anticipated emissions to air, water, or soil
• Anticipated pollution through physical effects (noise, vibration, radiation, electromagnetic fields)
• Expected generation of waste material
• Possibilities for reuse, recycling, and recovery of materials and/or energy

ESPR also sets requirements for the environmental sustainability of products, which may include information on:

• Resource use or efficiency
• Energy use or efficiency
• Minimum recycled content
• Ease of disassembly, remanufacturing, and recycling
• Life cycle environmental impact, including carbon and environmental footprints.
• Preventing and reducing waste, including packaging waste
• Presence of substances that inhibit the circularity of products and materials.

How are Digital Product Passports (DPPs) Different from Environmental Product Declarations (EPDs)?

Digital Product Passports and Environmental Product Declarations serve distinct purposes in evaluating product sustainability, but each emphasises different aspects of a product’s lifecycle.

Environmental Product Declarations primarily conduct comprehensive environmental impact assessments, providing quantitative data on factors like global warming potential, water consumption, and waste production. They are commonly used by manufacturers and supply chain sectors to understand and communicate a product’s environmental footprint, typically following the guidelines of ISO14040 for life cycle analysis methodologies.

In contrast, Digital Product Passports prioritise circularity and sustainability aspects over purely environmental impact assessments. They delve into details such as repairability, recyclability, and end-of-life options, catering to the needs of both consumers and manufacturers.

While EDPs focus on environmental data, DPPs offer a broader perspective encompassing factors essential for fostering a circular economy.

Which countries are affected?

Initially, as DPPs and the ESPR are implemented by the EC, these regulations will affect the 27 companies that comprise the EU. While initially targeting EU member states, these regulations will expand globally as the EC plans to enforce the regulation also on imported products, mandating compliance throughout global value chains and potentially inspiring similar initiatives worldwide.

Introducing Digital Product Passports to Different Industries

Digital Product Passports have started gaining traction, especially with initiatives like battery passports leading the way. Now, with the upcoming Eco-design for Sustainable Products Regulation, DPPs are set to become even more important. The European Commission plans to introduce DPPs to different types of products, starting with certain industries like electronics, textiles, plastics, construction, furniture, and chemicals.

Currently, the European Commission is deliberating on a framework to prioritise these product groups based on factors like environmental impact. However, a definitive framework is yet to be established.

One approach under consideration involves regulating product groups within specific industries consecutively. For example, within the electronics sector, laptops might be the initial focus, followed by smartphones, and so forth. This approach allows for a set of rules for one product group to serve as a template for another product group in the same industry. This would provide initial guidance for companies operating in that industry, whilst creating alignment between products and speeding up regulatory processes.

When will DPPs become mandatory?

The European Commission aims to finalise Digital Product Passports regulations by 2024, with the product groups expected to comply by 2026/7. Batteries will be the first product categories to be legally required to comply with Digital Product Passports in 2026, with apparel and consumer electronics following shortly thereafter. This timeline aligns with the broader Eco-design for Sustainable Product Regulation (ESPR) framework.

What companies are providing DPP as a service to their clients and to what extent?

Several companies in Europe are actively providing DPP services to clients. These services often include a range of functionalities, including collecting and measuring data, creating the DPP, and storing the data. Below are some examples of these companies and the extent of their services.

EON

EON offers a platform that powers DPPs for global retail brands, aligning with the data requirements of DPP legislation. EON Product Cloud provides a unique, cloud-based Digital ID for each item, powers all product capabilities, and manages all interactions. Find out more about the EON Cloud platform here.

Avery Dennison

Avery Dennison has launched Digital Product Passports as a Service (DPPaaS), an on-demand end-to-end service. The service provides consultancy, hardware, software, digital ID technology, physical labels, and support services to connect the physical and digital worlds through Avery Dennison’s intelligent labelling and atma.io, a cloud platform developed by Avery Dennison. Find out more here.

PSQR

PSQR provides software solutions that support the implementation of DPPs. PSQR has developed a solution that allows customers to take full control of their product supply chain. This, in return, gives businesses the ability to have end-to-end traceability across the supply chain and provide data enabling transparency and visibility required by the new regulations. Find out more here.

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