Dutch to auction 40 tonnes of seized HFC refrigerant
14th September 2024NETHERLANDS: The Dutch Ministry of Finance is to auction the 3,500 cylinders of illegal HFC refrigerants seized on the German border in March.
The shipment totalling nearly 40 tonnes of refrigerant, which was en route from Turkey, did not have the correct permits and quotas.
The seized goods, which include R410A, R134a and R407C, will now be sold by online auction under the requirements of the European F-gas regulation 2024/573. This requires the buyer to have a registration and sufficient quota in the EU F-gas portal. In addition, the buyer must submit evidence showing that it will comply with regulations regarding cylinder returns for refilling.
The refrigerant is being sold in three separate lots: 1,000 10kg cylinders of R410A, 250 10kg cylinders of R407C and 2,250 12kg cylinders of R134a. Starting bids are €25,000 for the R410A, €5,500 for the R407C and €65,000 for the R134a.
Qualifying bidders will have a choice of three options: to release the goods for free circulation in the Netherlands, transport the goods under T1 regulations to another EU country or export the goods outside the EU. The latter option will not require registration in the EU F-gas portal.
Before allowing free circulation in the EU, the buyer will be required to make an import declaration to customs. This will include checking whether the buyer meets the requirements of the F-gas regulation and payment of the associated customs duties.
The bidding will open on 17 September at 16:00 (EST) and close on 1 October at 20:30. There will also be the opportunity for viewing on 26 September.
Further details from the auction website Onlineveilingmeester.nl.
While the black market in illegal refrigerants has created an imbalance in the legitimate refrigeration and air conditioning industry, sparking calls for the customs authorities to act, the seized material creates a dilemma for the European member states. If they are unable to send it back to the country of origin, they have the option of either selling the refrigerant in compliance with the F-gas regulations or to destroy it through high temperature incineration.
Incineration is not available in every country and is very costly. It is estimated that the Dutch seizure could cost around €400,000 to incinerate.
In 2020, the United Nations Environment Programme produced advice to enforcement authorities on correct procedures for dealing with seized product. Publication of the document, Checklist on Auctioning of Seized Refrigerants – How to Get it Right, was produced after the Cooling Post revealed plans by Bulgarian customs authorities in 2019 to auction over 10 tonnes of seized refrigerant.
While the Bulgarian Customs Agency insisted that any buyer was obliged to comply with the applicable EU and national legislation, the seized material was in illegal non-refillable cylinders.
Related stories:
Dutch seize more than 40 tonnes of refrigerant – 6 June 2024
NETHERLANDS: Dutch authorities recently seized more than 3,500 cylinders of HFC refrigerants at the Venlo border with Germany. Read more…
UNEP advises on dealing with seized refrigerant – 16 July 2020
FRANCE: With European authorities cracking down on illegal refrigerants, the United Nations Environment Programme has produced advice to enforcement authorities on correct procedures for dealing with seized product. Read more…
Bulgarian customs to auction illegal refrigerant – 21 June 2019
BULGARIA: Over 10 tonnes of seized refrigerant, imported outside of the EU quota system in illegal disposable cylinders, is to be auctioned to the general public by Bulgarian customs authorities. Read more…
Auction of seized refrigerant set to go ahead – 23 June 2019
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Illegal refrigerant will be destroyed – 24 June 2019
BULGARIA: The Bulgarian Customs Agency has announced that the seized refrigerant it was seeking to auction will now be destroyed. Read more…