The industrial emissions directive combines the Integrated Pollution Prevention and Control (IPPC) Directive with provisions from six sector directives. Its aim is to simplify administration processes and make it easier to issue permits, saving industry and regulators up to £190m (€255m) a year in costs.

It will tighten up emissions limits and promote the use of "best available techniques" and is predicted to reduce premature deaths as well as offer environmental benefits.

Environment commissioner Stavros Dimas said: "Industrial emissions in the European Union remain too high and are having detrimental effects on human health and the environment. Clearer and stricter rules are needed to ensure that industrial installations comply with the necessary high environmental standards across the EU. The EU must ensure that companies meet their obligations and use the best available techniques."

The EC said that some EU members had not made enough progress with issuing permits and had failed to apply the "best available techniques" in the past.

However, the UK responded well to the IPPC directive, having issued 95% of permits by the end of October 2007, according to the Environment Agency.

For the paper industry, this resulted in a 9% reduction in waste and a 75% reduction in the use of tributyltin, used to prevent fungal growth.

Although the EU has formally adopted the directive, it is unlikely that it will become part of national law among EU member states for several years.