The IPPC Directive was adopted in the EU in 1996 in order to set a common rules for permitting and controlling industrial installations across the union. The Directive requires both the existing and new facilities to acquire an environmental permit from designated authorities. Approximately 52 000 installations are covered by the Directive.

An important element of the IPPC Directive is that the permit conditions, including the Emission Limit Values (ELVs) are required to be based on Best Available Techniques (BAT). Sector specific BATs that are compiled through extensive stakeholder consultation and published as reference documents by the European IPPC Bureau, form the foundation of permit issuance or renewal. Permit applicants are required to provide an assessment of BAT applicability for their plants as well as a plan for the adoption of relevant BATs. As of November 2010, IPPC Directive is part of the recast Directive on Industrial Emissions.

Cement industry is among the industries covered by the IPPC directive, and the Directive is believed to have facilitated the adoption of energy efficiency and emission reduction measures in this sector.