Honeywell offers “use it or lose it” scheme
BELGIUM: As the supply of refrigerants tightens under the EU F-gas regulations, Honeywell is offering to purchase any excess import quota or assist quota holders with their imports.
Despite recent reports suggesting that there is now a surfeit of refrigerant in Europe, Honeywell has launched a range of services which the company says will make it easier “for companies around the world to maximize the value of their European Union F-gas refrigerant quota”.
“As a world leader in the manufacture, supply and importation of refrigerants, we are ideally positioned to help incumbents and new entrants use their quota,” said Julien Soulet, vice president and general manager, Honeywell Fluorine Products Europe, Middle East and Africa. “Our services encapsulate years of know-how that can help relieve the stress and complexity of the F-gas quota management process, saving companies considerable time and money.”
The service is directed at both new entrants and incumbent quota holders. Their offer includes options to purchase excess quota and assistance for quota holders with importing refrigerant into the EU. As part of this service, Honeywell says it will manage all practical aspects of importation, including REACH registration, customs clearance and delivery.
New entrants, of which there were more than 1,100 allocated reserve quota for 2018, face losing their quota if they do not use it. These new entrant quotas cannot be sold, the refrigerant has to be physically traded. For those without supply chain links or experience of buying and selling refrigerant – and no logistical support for shipping refrigerant – trading new entrant reserve quota can appear on the face of it to be fraught with difficulty.
This includes companies not having registered the substances under REACH; not having enough quota to clear product in bulk containers; and not having the health, safety and environment permits and/or capability to handle, store or deal with refrigerants. Additionally, Honeywell says the process for exercising quota can be administratively burdensome, logistically difficult and costly.
Fellow refrigerant supplier A-Gas launched a similar service earlier in the year.