7th Feb 2025
The Urban Wastewater Treatment Directive's Impact on Medicine Availability: A Call to Action to
include the Directive in the Omnibus Package to protect major impact on patient’s access to
medicines
Dear Governmental Officials,
I am writing on behalf of Teva Pharmaceuticals, a strategic partner in Estonia healthcare landscape.
Our commitment to patient health is deeply rooted, as our company works toward providing better
health to our patients daily through Teva’s diverse portfolio of medicines. As a testament to our
leadership, we are one of the largest pharmaceutical manufacturers in Estonia, with data showing that
one in every 11 patients relies on and benefits from a Teva product for their care.
We are reaching out to you about the Urban Wastewater Treatment Directive (UWWTD) and its
negative impact on the availability of medicines in Estonia.
The newly adopted UWWTD is a piece of legislation that urgently needs improvement. While Teva
supports the Directive’s environmental goals, the text is unfair and contradicts the “polluter pays
principle” by placing an excessive financial burden solely on two sectors (pharmaceuticals and
cosmetics) to fund the modernization of urban wastewater treatment systems through an extended
producer responsibility (EPR) scheme.
The EPR fees will have profound consequences on the availability of medicines. Given generic
manufacturers’ inability to systematically adjust prices, these fees will force manufacturers to phase
out a significant number of generics medicines used every day by patients. Due to long manufacturing
supply chain planning cycles this phase out may already happened starting 2025. Consequently, the
burden of EPR fees will shift to the remaining medicines, whose increased volumes will render
additional generic medicines economically unviable. This will create significant uncertainties for
physicians and patients regarding the availability of treatments and unfortunately contradicts the
shared ambition to secure supply diversity and healthcare resilience.
Sixteen Member States have issued concerning statements on the need to ensure that the law does
not have dire consequences for the availability of medicines.
We acknowledge the importance of the implementation of this Directive, particularly in relation to the
Extended Producer Responsibility (EPR) scheme. While Estonia has not yet posted an official statement
regarding this matter, we invite the Estonian Government to share its position on the Directive. Your
insights on the challenges posed by the EPR system, especially in the context of pharmaceuticals and
wastewater management, would be invaluable and play a crucial role in shaping informed decisions
moving forward.
However, we are concerned that critical warnings regarding the potential consequences of this
Directive have been disregarded. Despite numerous alerts, these severe consequences have been
overlooked in the legislative process, driven by a misguided political trade-off that prioritizes financial
support for the water industry over patient access to medicines, supported by a biased impact
assessment.
Simplification and reduced burden are crucially needed
7th Feb 2025
While there is a valid reason to legislate for clean water, the poorly evidenced and highly flawed EPR
system fails to target other sources of pollution, such as chemicals from textiles, cleaning and
household products, metals, biocides, pesticides, sweeteners, and veterinary medicines. This will
undermine the supply of critical medicines, leading to divestment in manufacturing, which will, in turn,
undermine supply security, jobs, manufacturing, and growth.
In addition, 3 critical elements must be addressed via the Omnibus process:
1. Highly Unpredictable Cost the Impact Assessment predicts a quaternary treatment cost of
€1.18 billion annually. However, our model shows this would already undermine the economic
viability of many essential or critical medicines. The true cost, according to the German
government and the European water industry, ranges between €5 billion and €11 billion per
year. As an example, the Extended Producer Responsibility (EPR) scheme for the Netherlands
is estimated to cost €64,774,361, while the Dutch government projects a broader EPR cost of
at least €400 million per year. This massive cost would create a tsunami of generic medicine
withdrawal and shortages, with catastrophic consequences for patient access to medicines
and the sustainability of healthcare systems in Europe.
It is critical for the EU Commission to delay the implementation of this legislation and
thoroughly reassess the impact on medicines, in particular generic, as soon as possible.
2. Burdensome Producer Responsibility Organization (PRO) System The legislation requires
manufacturers to establish at least 27 Producer Responsibility Organizations (PROs), each
tasked with collecting EPR fees based on the quantities and hazardousness of medicines and
cosmetics from thousands of companies. Estimating the quantities and hazardousness of
cosmetics and pharmaceuticals will be a hugely complex exercise, resulting in disagreements
and legal challenges. This will add significant administrative and financial burdens, increasing
complexity and lack of harmonization across the single market.
3. Unclear Fees Allocation Under the EPR, levies must be calculated based on the quantities and
hazardousness of medicinal and cosmetic products. However, it is not specified how
hazardousness will be determined and how both criteria will relate to each other. While this
grants flexibility to the PROs, it also creates legal uncertainty, making it impossible for
companies to assess the precise fee on their products. The pharmaceutical and cosmetics
industries only have until 31 December 2028 to set up the PROs and the EPR schemes in all
member states.
We therefore urge the EU Commission to include the UWWTD in the EU Simplification Omnibus to
Protect Patient Access to Medicines, by reassessing the full impact of the legislation and working out
an economically viable solution.
There are many ways to improve water treatment without compromising public health,
competitiveness, and simplification objectives.
Considering all the above arguments, we urge you to raise these concerns at the level of the EU
Commission, enabling us to continue manufacturing and supplying high-quality, affordable medicines
to the patients we serve in Estonia and Europe.
We deeply appreciate your attention to this pressing matter, and as a pharmaceutical company and a
member of the Association of Pharmaceutical Manufactures in Estonia, we are ready to consult and
cooperate on this topic.
7th Feb 2025
However, we wanted to flag the opportunity to include the UWWTD into the Omnibus simplification
package already now as the window of action is very short.
Looking forward to your favorable response and the opportunity to contribute to enhancing the
healthcare landscape in our country.
Kind regards,
Agita Birnbauma
General Manager of Teva Baltics
Saatja: "Teva Estonia" <
[email protected]>
Saaja:
[email protected],
[email protected],
[email protected], "RAM Info"
Teema: Asulareovee puhastamise direktiiv_Urban Wastewater Treatment Directive (UWWTD)
Kuupäev: 2025-02-07 13:01
Tähelepanu! Tegemist on välisvõrgust saabunud kirjaga.
Tundmatu saatja korral palume linke ja faile mitte avada.
Tähelepanu! Tegemist on välisvõrgust saabunud kirjaga.
Tundmatu saatja korral palume linke ja faile mitte avada.
Tere
Teva Baltics'i nimel soovime juhtida tähelepanu asulareovee puhastamise
direktiivi võimalikule mõjule kriitilise tähtsusega ravimite
kättesaadavusele Eestis ja kogu Euroopas.
Palume Teil pöörata tähelepanu lisatud dokumendile, milles on esitatud
täpsemad üksikasjad selles küsimuses.
Best regards,
Inge Loik
Office Administrator | Marketing Assistant
Tel: <tel:+372%206610801 %20> +372 6610801 Cell:
<tel:+372%2053022681> +372 53022681
<mailto:
[email protected]>
[email protected] <http://www.teva.ee/>
www.teva.ee
<https://www.linkedin.com/company/teva-pharmaceuticals/>
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