PEPSIT
Source: Commission modelling inventory and knowledge management system (MIDAS)
Date of Report Generation: Thu Mar 06 2025
Dissemination: Public
© European Union, 2025
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Overview
Acronym
PEPSIT
Full title
Product Environmental Policy Stock and Impact Tool
Main purpose
To model stock and impacts of products, in the context of environmental product policy formulation. To perform objective, quality-controlled socio-economic analyses of technology options of, products and processes to support eco-design, energy label, ecolabel, green public procurement (GPP) policies.
Summary
The Product Environmental Policy Stock and Impact Tool– PEPSIT is a quantitative tool developed to support EU environment and sustainability policies through socio-economic analyses of technology options of products and processes,at EU-level.
The tool has three main goals:
- To carry out techno-economic characterization of products
- To estimate the sales and stocks of given products over time, in the EU
- To perform quantitative environmental and economic impact assessments of different technology options
The tool is based on a bottom-up stock and cash flow model, that provides the quantitative information underpinning the impact assessments for product policies. It integrates calculations at the unit level (i.e. one unit of a product) such as the product lifetime, utilities consumption and cost breakdown, life cycle costing and life cycle impacts. This is extrapolated to EU-level using the stock and sales information, allowing the estimation of economic or environmental impacts at EU level.
The policy areas of potential use of the model are eco-design, energy label, ecolabel, green public procurement (GPP) extended product responsibility and product end of life policy. It has been successfully used in a number of EC impact assessments.
Model categories
EnvironmentEnergy
Model keywords
stock modelsustainable consumptionecomodellingeco-designenergy labelecolabelgreen public procurement
Model homepage
Ownership and Licence
Ownership
Third-party ownership (commercial companies, Member States, other organisations, …)
Ownership details
Licence type
Non-Free Software licence
The license has one or more of the following restrictions: it prohibits creation of derivative works; it prohibits commercial use; it obliges to share the licensed or derivative works on the same conditions.
Details
Structure and approach
- To start the modelling of a new product, one can start from scratch, introducing all parameters, or use default values. A dashboard intro sheet describes the main step of the model and the parameters and calculations to be used
- The main results are presented in an output sheet
Input and parametrization
For each new product analysed, the Inputs are:
- Sales, or stock, or ownership ratio of the population of the product
- Lifetime of the product (stochastic or deterministic: average lifetime, Weibull parameters
- Information on End-of-Life (EoL) (percentage reused, recycled, disposed of)
- Sales distribution of different subtypes of the product
- Utilities consumption (energy, gas, water, etc) per subtypes of the product (e.g. energy efficiency class)
- Categorization of technologies (mature or emerging)
- Manufacturer production cost or the base case
- Increase pf the Manufacture Production Costs (MPC) per energy efficiency class
- Breakdown of the Manufacture Production Costs (MPC). Learning curve parameters
- Sales mark-ups
Main output
The tool can calculate for each product one or more of the following outputs:
- Average product lifetime
- Average product utility consumption
- Sales and stock in the EU
- Life Cycle Costing (LCC) at unit level and at EU level :
- Installation costs
- Repair & maintenance
- Operation costs (auxiliaries)
- Operation costs (utilities (energy and water)
- Purchase price (ORP)
Spatial & Temporal extent
The output has the following spatial-temporal resolution and extent:
| Parameter | Description |
|---|---|
| Spatial extent / country coverage | EU Member states 27 |
| Spatial resolution | World-regions (supranational)Entity |
| Temporal extent | Long-term (more than 15 years) |
| Up to 2050 | |
| Temporal resolution | Years |
Quality & Transparency
Quality
Model uncertainties
Models are by definition affected by uncertainties (in input data, input parameters, scenario definitions, etc.). Have the model uncertainties been quantified? Are uncertainties accounted for in your simulations?
- response
- yes
- details
- To a limited extent. The model is deterministic. Simulation of ranges of inputs is possible, but not an intrinsic part of the model. Only the calculation of lifetime of products is stochastic, but it is a separate module that does not carry the stochastic nature to the rest of the model.
- url
Sensitivity analysis
Sensitivity analysis helps identifying the uncertain inputs mostly responsible for the uncertainty in the model responses. Has the model undergone sensitivity analysis?
- response
- no
- details
- The model is deterministic. Simulation of ranges of inputs and of scenarios and options is possible, and an essential part of the use of the model.
- url
Have model results been published in peer-reviewed articles?
- response
- no
- details
- url
Has the model formally undergone scientific review by a panel of international experts?
Please note that this does not refer to the cases when model results were validated by stakeholders.
- response
- no
- details
- url
Model validation
Has model validation been done? Have model predictions been confronted with observed data (ex-post)?
- response
- no
- details
- url
Transparency
To what extent do input data come from publicly available sources?
This may include sources accessible upon subscription and/or payment
- response
- Based on both publicly available and restricted-access sources
Is the full model database as such available to external users?
Whether or not it implies a specific procedure or a fee
- response
- no
- details
- Data are directly visible in the model.
- url
Have model results been presented in publicly available reports?
Note this excludes IA reports.
- response
- no
- details
Have output datasets been made publicly available?
Note this could also imply a specific procedure or a fee.
- response
- no
- details
- Follows the same availability rules as IAs from the Commission.
- url
Is there any user friendly interface presenting model results that is accessible to the public?
For instance: Dashboard, interactive interfaces...
- response
- no
- details
- url
Has the model been documented in a publicly available dedicated report or a manual?
Note this excludes IA reports.
- response
- no
- details
- Data and calculations are directly visible in the model
Is there a dedicated public website where information about the model is provided?
- response
- no
- details
- url
Is the model code open-source?
- response
- no
- details
Can the code be accessed upon request?
- response
- yes
- details
The model’s policy relevance and intended role in the policy cycle
The model is designed to contribute to the following policy areas
- Business and industry
- Consumers
- Energy
- Environment
The model is designed to contribute to the following phases of the policy cycle
- Formulation – such as ex-ante Impact Assessments
The model’s potential
The model is designed for use in policy formulation , specifically for economic and technical characterisation of policy options, and for impact assessments.
Previous use of the model in ex-ante impact assessments of the European Commission
Use of the model in ex-ante impact assessments since July 2017.
2019SWD/2019/0347 final
Impact assessment accompanying the document Commission Regulation (EU) .../... laying down: ecodesign requirements for household dishwashers pursuant to Directive 2009/125/EC of the European Parliament and of the Council amending Commission Regulation (EC) No 1275/2008 and repealing Commission Regulation (EU) No 1016/2010 and COMMISSION DELEGATED REGULATION (EU) .../... supplementing Regulation (EU) 2017/1369 of the European Parliament and of the Council as regards energy labelling of household dishwashers and repealing Commission Delegated Regulation (EU) No 1059/2010
- Lead by
- ENER
- Run by
- European Commission
- Contribution role
- baseline and assessment of policy options
- Contribution details
The model helped to assess the following impacts:
- Sustainable production and consumption
2019SWD/2019/0349 final
Impact assessment accompanying the document Commission Regulation (EU) .../... laying down: ecodesign requirements for household washing machines and household washer-dryers pursuant to Directive 2009/125/EC of the European Parliament and of the Council, amending Commission Regulation (EC) No 1275/2008 and repealing Commission Regulation (EU) No 1015/2010 and COMMISSION DELEGATED REGULATION (EU) .../... supplementing Regulation (EU) 2017/1369 of the European Parliament and of the Council with regard to energy labelling of household washing machines and household washer-dryers and repealing Commission Delegated Regulation (EU) No 1061/2010 and Commission Directive 96/60/EC
- Lead by
- ENER
- Run by
- European Commission
- Contribution role
- baseline and assessment of policy options
- Contribution details
The model helped to assess the following impacts:
- Sustainable production and consumption
2019SWD/2019/0340 final
Impact assessment accompanying the document Commission Regulation laying down: ecodesign requirements for welding equipment pursuant to Directive 2009/125/EC of the European Parliament and of the Council
- Lead by
- GROW
- Run by
- European Commission
- Contribution role
- baseline and assessment of policy options
- Contribution details
The model helped to assess the following impacts:
- Sustainable production and consumption