Manufacturers must adopt the toughest laws as best practice if
manufacture and supply is not to be disrupted, said Meike
Escherich, the principal research analyst at the firm. A green
computer law, the Restriction of Hazardous Substances (RoHS)
Directive, came into effect in July this year.
The RoHS Directive regulates the dismantling and recycling of
waste electrical and electronic equipment by restricting the use of
hazardous substances used in their manufacture. (The UK
implementing laws came into force on 1st July 2006 and, since that
date, products put on the market in the UK must not contain any of
six listed hazardous substances, measured against prescribed
concentrations.)
Escherich says that because of the increasingly international
nature of manufacture, companies could find themselves breaching
some laws in the assembly of computers unless they adopt the most
stringent laws as their basic requirement.
“Failure to transition products on time can lead to high
inventories and dramatic price cuts, similar to the effect we saw
in western Europe as the RoHS came into effect,” said Escherich.
“Non-compliant components will be gradually removed from the global
supply chain and force manufacturers to discontinue products that
contain them.”
A spate of new green manufacture legislation is due to be
enacted across the world. China's law, which Gartner says is
stricter than Europe's, comes into force in March next year. Japan
has had an active law for six years, and Gartner says that South
Korea, China, Australia and California will soon adopt even more
green manufacturing legislation.
Escherich said that the best way for companies to insure
themselves against supply chain disruption and legal trouble is to
adopt the most stringent laws in the world as their standard
practice.
“European organisations should be prepared to specify products
free of lead and other hazardous substances in requests for
proposals now, and we recommend that global and multi-regional
companies plan for an orderly transition to compliant products in
2007,” said Escherich. “Good record-keeping is important to
demonstrate compliance to enforcement agencies if required.”
In addition to the regulations on hazardous waste, the EU's
Waste of Electrical and Electronic Equipment (WEEE) Directive will
take effect in the UK in July 2007. The long-delayed implementation
makes manufacturers responsible for the disposal of electrical and
electronic goods.
Escherich says that soon green legislation will have an impact
on every manufacturer in the world. "Not far from now, ‘non-green’
parts will be assigned end of life status and green legislation
will come to impact every single PC manufacturer,” said Escherich.
“The worldwide market should expect to see longer lead times, part
shortages and rising prices for non-compliant parts over the next
two years.”
