Proposed new environment liability laws have been submitted to the Czech Parliament, and are expected to become law in Summer 2008.
The laws aim to implement the Environmental Liability Directive. The Czech Republic missed the 30 April 2007 deadline for implementation. The Directive should provide a minimum framework within the EU for future environment related damage to water, land and biodiversity.
Key measures introduced are:
- a broad concept of environment liability without changing traditional civil liability for damages,
- measures requiring operators to undertake preventive and remedial actions and to cooperate closely with the relevant authorities in this,
- enforcement measures, emphasising the “polluter pays” principle and ultimately making operators responsible for costs incurred by third parties undertaking preventive and remedial actions.
Businesses whose activities pose a risk to the environment should carefully assess their potential exposure under the new laws.
Insurers may be interested in how they can develop their policies to cover their risks.
Law: EU Directive 2004/35 on Environmental Liability with regard to the Prevention and Remedying of Environmental Damage; draft Environmental Liability Act submitted to the Czech Parliament
