EPD: a complete guide

Environmental Product Declarations (EPDs) are standardized and transparent documents that communicate the environmental impact of a product or service throughout its entire life cycle. They are based on Life Cycle Assessment (LCA) and are Type III eco-labels according to ISO 14025.

[INDEX]

1. Why an EPD is useful and who the main recipients are
2. Regulatory framework and standards
3. Main types of EPDs
4. What are the tools for developing an EPD?
5. What does an EPD contain?
6. EPD creation process
7. Business benefits of EPDs
8. The EPD Tool
9. Regulatory evolution and future mandates
10. EPD and CAM (Minimum Environmental Criteria)
11. In conclusion

Eco-labels communicate the environmental performance of a product or service. There are three main types, each with a different level of control and verification. Type III represents the highest category, which includes EPDs.

Type III labels are distinguished by their transparency and scientific accuracy. They provide specific numerical data on the product’s environmental impacts, all derived from a scientific Life Cycle Assessment (LCA). Furthermore, the information on the label is reviewed and approved by an independent external verifier, ensuring its credibility.

An international standard that defines the principles and requirements for Type III eco-labels. It provides a common framework for the creation and publication of EPDs, ensuring that the data are comparable and reliable.

EPDs are particularly beneficial for specific groups:

• Manufacturers: to measure, analyze and optimize the environmental impact of their products and transparently communicate carbon emissions.
• Sustainability managers and engineers: to select sustainable products.
• Product designers: to improve environmental analysis of materials and implement eco-design.
• Consumers, regulators and industry stakeholders: to access essential and comparable environmental data.
• Public procurement bodies: to assess the environmental footprint of products, especially in the EU and EEA, where EPDs are increasingly requested or even mandatory.

Moreover, EPDs support carbon reduction goals by allowing the comparison of environmental impacts across different materials and products, helping to select the most sustainable opinion for buildings or infrastructure.

EPDs are generated according to specific international standards to ensure consistency and compatibility. The main reference standards for EPDs, particularly in the construction sector, include:

• ISO 14040/14044: relating to LCA methodology
• ISO 14025: defines the principles and procedures for Type III environmental labels, of which EPDs are a part
• EN 15804/ISO 21930: standards specific to construction products

Environmental Product Declarations (EPDs) are based on Product Category Rules (PCRs), which are specific guidelines for each product type, designed to ensure consistency and comparability among similar products. Selecting the appropriate PCR is the first crucial step in the EPD development process. Additionally, compliance with the EPD Regulation, published by the Italian Program Operator EPDItaly or EPD International, depending on the chosen system, is mandatory.

• Product EPD: this is the environmental “identity card” of a specific product, detailing the type and amount of its environmental impacts from production to disposal.
• Average EPD: this is a representative Environmental Product Declaration, meaning it does not refer to a single product but to a group of similar products within the same category. In short, it summarizes the average environmental impact of a product family, using averaged or weighted data.

• LCA Tool: a software tool used to conduct a life cycle assessment of a product, process or service. It allows for the collection and management of environmental data, models the product’s life cycle and serves as support for preparing the EPD.
• EPD Tool: this is also a software tool designed to facilitate the development of an EPD. The EPD Tool enables quick and compliant calculation of a product’s environmental impacts, following the required technical rules and automatically generating the Environmental Product Declaration.

We have repeatedly ephasized that EPDs are a crucial tool for assessing product sustainability, as they provide a clear and standardized overview of environmental impacts. But what does an EPD actually consist of?

General Information

This section introduces the product and its context. It includes essential identification data, such ad the manufacturer’s name and the specific product to which the EPD refers. Additionally, specifying the Product Category Rules (PCR) is a key element, ad PCRs define the specific rules for conducting an LCA and creating an EPD for a given product (e.g., cement, glass, photovoltaic panels). This ensured that different EPDs for similar products are comparable.

Product Life Cycle Information

This part defines the boundaries of the studied system (system boundaries). Modules A1-A3, for example, are commonly used and refer to the “cradle-to-gate” phase, which includes raw material extraction, transport and product manufacturing. However, a complete EPD may also include modules B (product use), C (end of life) and D (benefits and loads beyond the system boundary). An EPD covering a full life cycle (cradle-to-grave) provides a very comprehensive view of environmental impacts.

Life Cycle Assessment (LCA) Methodology

The methodology section provides a detailed description of the study that led to the creation of the EPD. It specifies the reference standards used, such as the ISO 14040 and ISO 14044 series, which govern the conduct of LCA studies. Additionally, it provides information on the assumptions made during the study, which are essential for accurately interpreting the results.

Environmental Impact Data

This is the core section of the EPD, where the LCA results are presented and impact indicators are grouped into categories. In addition to the Global Warming Potential (GWP), which measures the carbon footprint, there are several other crucial indicators, including:

• Ozone Depletion (ODP): potential for stratospheric ozone reduction
• Acidification (AP): potential for soil and water acidification
• Eutrophication (EP): excessive growth of algae and aquatic plants
• Photochemical Ozone Formation (POCP): potential for ground-level ozone formation
• Resource Use (ADP): depletion of biotic (e.g., timber) and abiotic (e.g., minerals) resources
• Water Use (WDP): freshwater consumption

All these indicators are expressed in a Declared Unit, which serves as a reference for quantifying the impacts.

It is a measure that indicates how much a greenhouse gas contributes to global warming compared to carbon dioxide (CO2). It is particularly useful because it allows the impacts of different greenhouse gases (methane, nitrous oxide, etc.) to be summed and expressed in a single unit, namely kilograms of CO2 equivalent (CO2e).

A unit of measurement that serves as a reference point for calculating and communicating the environmental impacts of a product in an EPD. It is the simplest way to specify “how much” of the product is being considered. Additionally, it ensures that environmental data always refer to a specific, standardized quantity; without this unit, it would be impossible to compare the environmental impact of two different products.

The importance of verification

The Verification Statement is an essential element that lends credibility to the EPD. This document certifies that the data and procedures used have been reviewed and validated by an independent third-party organization. The verifier ensures that the LCA has been conducted in accordance with international standards and that the EPD complies with the rules of the PCR. Without this verification, an EPD cannot be considered valide or reliable.

The process of creating an EPD is a rigorous and standardized procedure, essential for ensuring the transparency and reliability of a product’s environmental information.

This phase forms the foundation of the entire process. It is not just about collecting data, but doing so systematically and in accordance with precise rules.

Goal Definition: first, it is necessary to clearly define the objective of the study. Which environmental impacts do we want to measure? What are the system boundaries? What is the declared unit (e.g., 1 kg of product, 1 m² of material)? This preliminary step guides the entire data collection process.

Identification of the PCR: the Product Category Rules (PCR) are the guiding documents that set the specific rules for conducting a Life Cycle Assessment (LCA) and the subsequent creation of an EPD for a particular type of product. PCRs ensure comparability between similar products and are essential for later verification.

Data Collection: data is gathered from various sources for each stage of the life cycle covered (e.g., cradle-to-gate). These include:

• Input data: raw materials, energy, water and other consumption
• Output data: emissions to air, water and soil, as well as waste generated

Primary data (collected directly from the manufacturer) is preferred, but it can be supplemented with secondary data from standard environmental databases.

Once all the data has been collected, the calculation phase begins. The LCA is a scientific methodology that quantifies the environmental impacts of a product throughout its entire life cycle.

The process starts with system modeling, where the collected data is entered into specialized LCA software. The software then creates a model of the production process and the flows of materials and energy.

Next comes the Life Cycle Inventory (LCI) analysis, in which all input and output data (raw materials, energy, emissions) are converted into a detailed inventory – a kind of “environmental recipe” for the product.

Finally, the Life Cycle Impact Assessment (LCIA) is conducted. The LCI inventory is processed to calculate various environmental impact indicators. For example, CO2 and other greenhouse gas emissions are combined to determine the Global Warming Potential (GWP). Other indicators, such ad acidification, eutrophication and resource use, are also calculated.

This is the internal document that supports the EPD. It is not publicly released, but it serves as proof of all the calculations and assumptions made during the LCA. The report comprehensively describes the LCA methodology used, specifying the reference standards (e.g., ISO 14040/14044), key assumptions, study limitations and the justification for data selection. Furthermore, the document ensures full traceability of all data and calculations and it will be the primary reference for the external verifier.

This is a crucial phase for the EPD’S credibility. An independent verifier, accredited by a program operator, proceeds to examine the entire process. The verifier checks tha LCA and the draft EPD are fully compliant with the product-specific PCRs (Product Category Rules). Additionally, the accuracy and quality of the data collected and used in the calculations are verified. Finally, the correctness of the calculations is reviewed to ensure that the final results are accurate and reliable. Only after successfully passing this verification can the EPD be considered valid.

Once verified, the EPD is officially registered and published by a Program Operator (e.g., EPDItaly, Environdec, etc.). It is then entered into the Program Operator’s database, where it is assigned a unique identification number. This step ensures that the EPD is public and accessible to all; it is subsequently also published on the Program Operator’s website. At this point, it can be used by companies, industry professionals and consumers to compare products and make more informed and conscious purchasing decisions. The entire process, although complex, ensures that EPDs are reliable and transparent tool, fundamental for the circular economy and environmental sustainability.

Although voluntary in most cases, the EPD offers numerous benefits:

• Market differentiation: positions products and projects as more sustainable
• Regulatory compliance: helps meet legal and public procurement requirements
• Credits and certifications: EPDs are recognized by building certification schemes like LEED and BREEAM, contributing to credit achievement (or earning credits)
• Operational efficiency: the underlying LCA analysis can identify waste and inefficiencies, leading to process optimization and cost savings
• Increased Transparency and Brand Trust: provides clear and verified communication of environmental impacts
• Decision support: EPD data supports strategic decisions for improving corporate sustainability
• Access to Green Markets: adresses the growing demand form customers and supply chains for products with a low environmental impact

The EPD Tool is an innovative instrument that simplifies and automates EPD production, especially for ranges of similar products. Once certified by a certification body, the tool can automatically generate EPDs when inputs change, thereby reducing time and costs. This instrument makes it possible to increase operational efficiency, improve information management and transparency, streamline compliance and strengthen competitive positioning.

The demand for EPDs is growing and they are becoming mandatory in certain contexts. For example:

• The new CPR Regulation 2024/3110 (Construction Products Regulation in the EU), effective January 7 2025, introduces mandatory environmental criteria and Life Cycle Assessment (LCA). Starting January 8 2026 it will be mandatory to include environmental information such as carbon footprint, resource efficiency, recycled content and recyclability/reusability. While this does not make EPDs mandatory per se, possessing them constitutes a significant advantage as you already hold the required environmental data.

The interaction between EPDs and CAM (Minimum Environmental Criteria) is a crucial point for understanding their importance in the context of public procurement in Italy. While EPDs are a voluntary tool, their relationship with the CAMs effectively makes them a strategic requirement for many companies.

An EPD is a voluntary and standardized environmental declaration that provides quantifiable and verifiable data on the environmental impacts of a product throughout its life cycle. It is not an absolute sustainability certification, but rather an environmental identity card for the product, based on a Life Cycle Assessment (LCA) study. Companies autonomously decide whether to invest in creating an EPD; the main motivation driving this choice is transparency and competitiveness, especially in markets that reward sustainability. Furthermore, as previously mentioned, the EPD is a document verified by an independent third party. This verification ensures the data is accurate and that the LCA study was conducted in compliance with international standards.

CAM, on the other hand, represent a set of mandatory environmental requirements established by the Italian Ministry of Environment and Energy Security. They are included in the tendering specifications (or tender documents) of the Public Administration and serve to direct public purchasing toward products, services and works with a lower environmental impact. Public administrations are required by law to include CAM in their calls for tender, based on the Public Contracts Code. The primary goal is to promote a more sustainable economy through public purchasing power, fostering low-environmental-impact practices and technologies and incentivizing innovation.

When EPDs are contextualized within the scope of the CAMs, their additional value emerges: they become a fundamental tool for demonstrating compliance with the CAM requirements.

Practical example: construction tendering

Let’s consider a public tender for the construction of a building. The call for tender will require, through CAM, the use of building materials with specific environmental characteristics. Often, one of the requirements is the availability of a valid EPD for the construction products (e.g., insulation, cement, bricks). In fact, CAM may require that products have a carbon footprint below a certain threshold, or that they are made with a minimum percentage of recycled material. For this reason, the EPD can provide the verifies data (e.g., the GWP value) that allows the company to objectively and transparently demonstrate that its product complies with the required criteria: it is not the EPD that makes the product compliant, but the data it contains.

Companies that have EPDs for their products gain a significant competitive advantage in public procurement. If a company does not have an EPD, it could be excluded from the tender or receive a lower technical score, even if its product meets the environmental requirements. While EPDs are not a mandatory requirement for all products, possessing them is often essential for successfully participating in public tenders that incorporate CAM. This mechanism drives the market toward greater transparency and sustainability, making EPDs a key factor for business growth and the ecological transition.

The business world is changing and sustainability is no longer an option, but a fundamental requirement for competition. EPDs are the tool that allow companies to demonstrate their commitment objectively and verifiably.

This is not a simple green label, but a document based on a scientific study: the Life Cycle Assessment (LCA). An EPD provides a competitive advantage from several perspectives: in a market where greenwashing is a risk, a third-party verified EPD offers maximum transparency. It provides clear, comparable data on a product’s environmental performance, from production to disposal.

Furthermore, with the rise of environmental regulations, the EPD often becomes a prerequisite for participating in tenders. Having an EPD, in fact, positions companies as preferred partners for public administrations and sustainability-focused clients. The underlying EPD study enables companies to identify critical points in their production process. This allows for the optimization of resource use, reduction of costs and increased production efficiency, with a positive impact on both the environment and the bottom line.

EPDs are not just for large corporations. Regardless of a company’s size, an EPD is an investment that pays off in terms of brand image, commercial opportunities and innovation. The time has come to transform commitment to the environment into a business opportunity.