EU Plans to Simplify Regulations on Industrial Emissions, Circular Economy, Waste Management
The European Commission announced the release of a new Call for Evidence, seeking input on a planned upcoming “environmental omnibus proposal” aimed at simplifying environmental legislation and reducing administrative burdens for companies in areas including circular economy, industrial emissions and waste management.
The initiative forms part of a major simplification push in the EU, and follows the release by the Commission in January of its “Competitiveness Compass,” outlining its new roadmap aimed at boosting Europe’s productivity and global competitiveness, which included goals to reduce reporting burdens by at least 25% for all companies, and 35% for SMEs.
The first major package under the simplification process was “Omnibus I,” launched by the Commission in February 2025, aimed at significantly reducing the sustainability reporting and regulatory burden on companies, with proposals for major changes to a series of regulations including the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD), as well as the Taxonomy Regulation, and the Carbon Border Adjustment Mechanism (CBAM).
By effectively re-opening the sustainability reporting and due diligence obligations, Omnibus I could potentially lead to much more significant reductions than those proposed by the Commission, with some lawmakers, for example, proposing much higher thresholds for the size of companies included in the scope of the regulations.
The Commission has also come under scrutiny for its approach to Omnibus I, with the EU’s Ombudsman recently asking for information following complaints that the Commission rushed the package, skipping required public consultations and impact assessments.
Under the new call for evidence, areas being assessed by the Commission for the new omnibus package for measures to reduce administrative burden include legislation in the areas of circular economy, industrial emissions and waste management. Specifically, the Commission said that measures under consideration for the initiative include rationalizing reporting obligations under the Waste Framework Directive as well as harmonizing rules under the directive’s extended producer responsibility (EPR) requirements. Additional measures could include streamlining reporting obligations in the areas of circular economy, industrial emissions and waste management, and addressing permitting challenges relating to environment assessments.
According to the Commission, the planned policy measures aim to reduce the costs for companies for reporting, monitoring, notifying, and auditing, among other administrative burdens, adding that “policy measures will be devised to reduce administrative burden without undermining the environmental objectives pursued by the concerned legislation.”
The Commission said that it plans to adopt the new proposals in Q4 2025.
The Commission said:
“Reducing the administrative burden of environmental laws will help make them more effective and ensure better environmental protection in the long run.”