EU Plans for REACH Fees

The European Commission wants to raise the REACH fees for larger companies by 19.5% and so relieve the costs for small or mid-sized (SME) companies. The EU intends to discuss the draft when the members of the competent authorities for the REACH and CLP regulations (CARACAL) next meet on February 27 and put it to a vote.

Inflation as a cause

The EU justified its initiative and said that the increase compensates for inflation-related cost increases since 2021. At the same time, the EU wants to change the procedure for determining SME status and hopes that doing so will reduce costs for smaller companies.

Application for SME status

But exactly this plan had caused a stir earlier. If the EU has its way, companies must apply for their SME status at least six months before a REACH submission. They can then claim a discounted fee when submitting their proposal. The ECHA then reviews the application and issues the correct invoice.

Association criticizes proposal

According to the European umbrella organization for skilled crafts and small and mid-sized enterprises (SMEUnited), the proposal does not ease the burden on SMEs. It finds that six months for review is too long, and that the proposal does not align with the Commission's promise to reduce reporting requirements.

How it's going so far

Under the current procedure, SMEs indicate their size when submitting a registration dossier or applying for authorization for substances of very high concern. The ECHA then checks the information and charges an additional fee if the company is actually larger than stated. However, this procedure is very time-consuming because it requires checking each REACH application.

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