EN    EN EN 
EN    EN  EUROPEAN COMMISSION 
Brussels, 1.10.2010 
SEC(2010) 1143 final 
  
COMMISSION STAFF WORKING DOCUMENT 
SITUATION IN THE DIFFERENT SECTORS  
  
Accompanying document to the  
 
REPORT FROM THE COMMISSION 
 
27th ANNUAL REPORT ON MONITORING THE APPLICATION OF EU LAW 
(2009) 
COM(2010) 538 
 SEC(2010) 1144 
EN 3   EN TABLE OF CONTENTS 
1. ENTERPRISE and INDUSTRY............................................................................. 18  
1.1. General introduction................................................................................................ 18  
1.2. Automotive Industry................................................................................................ 21  
1.3. Chemicals.................................................................................................................. 25  
1.4. Pharmaceuticals ....................................................................................................... 30  
1.5. Medical devices......................................................................................................... 34  
1.6. Cosmetics .................................................................................................................. 35  
1.7. Mechanical, electrical and tel ecommunications equipment................................. 37  
1.8. Gas appliances, pressure equipment and legal metrology ................................... 38  
1.8.1.  Gas appliances........................................................................................................... 38  
1.8.2.  Pressure equipment.................................................................................................... 39  
1.8.3.  Legal metrology ......................................................................................................... 40  
1.9. Construction products ............................................................................................. 42  
1.10.  Textiles/clothing, footwear and wood..................................................................... 43  
1.11.  Toys........................................................................................................................... .4 4 
1.12.  Cultural goods .......................................................................................................... 44  
1.13.  Late payment ............................................................................................................ 45  
1.14.  Weapons.................................................................................................................... 45  
1.15.  Product liability........................................................................................................ 46  
1.16.  Defence goods ........................................................................................................... 46  
1.17.  Non-harmonised area............................................................................................... 47  
1.18.  Preventive rules of Directive 98/34/EC .................................................................. 51  
2. COMPETITION ...................................................................................................... 52  
2.1. Current position ....................................................................................................... 52  
2.1.1.  General Introduction.................................................................................................. 52  
2.1.2.  Work done in 2009 ..................................................................................................... 53  
2.2. Evaluation based on the current situation............................................................. 58  
2.3. Priorities and planned action .................................................................................. 59  
3. EMPLOYMENT, SOCIAL AFFAIRS AND EQUAL OPPORTUNITIES ....... 59  
EN 4   EN 3.1. Free movement of workers and coordinati on of social security schemes ........... 61  
3.1.1.  Current Position......................................................................................................... 61  
3.1.2.  Evaluation of the current situation ............................................................................ 67  
3.1.3.  Evaluation results....................................................................................................... 68  
3.1.4.  Summary..................................................................................................................... 70  
3.2. Labour Law .............................................................................................................. 71  
3.2.1.  Current position ......................................................................................................... 71  
3.2.2.  Evaluation based on the current situation ................................................................. 74  
3.2.3.  Evaluation results....................................................................................................... 75  
3.2.4.  Summary..................................................................................................................... 76  
3.3. Health and safety at work........................................................................................ 76  
3.3.1.  Current position ......................................................................................................... 76  
3.3.2.  Evaluation based on the current situation ................................................................. 80  
3.3.3.  Evaluation results....................................................................................................... 80  
3.3.4.  Summary..................................................................................................................... 82  
3.4. Antidiscrimination and gender equality ................................................................ 83  
3.4.1.  Current position ......................................................................................................... 83  
3.4.2.  Evaluation based on the current situation ................................................................. 85  
3.4.3.  Evaluation results....................................................................................................... 85  
3.4.4.  Summary..................................................................................................................... 86  
4. AGRICULTURE AND RURA L DEVELOPMENT............................................. 87  
4.1. Current position ....................................................................................................... 87  
4.1.1.  General introduction.................................................................................................. 87  
4.1.2.  Report of work done in 2009...................................................................................... 89  
4.2. Evaluation ............................................................................................................... 104  
4.2.1.  General evaluation................................................................................................... 104  
4.2.2.  Sector based remarks ............................................................................................... 105  
4.3. Evaluation results................................................................................................... 107  
4.3.1.  Priorities and action planed 2010............................................................................ 107  
4.4. Summary................................................................................................................. 111  
5. ENERGY , MOBILITY and TRANSPORT........................................................ 112  
EN 5   EN 5.1. ENERGY - Internal electricity and gas market.................................................. 112  
5.1.1.  Current position ....................................................................................................... 112  
5.1.2.  Evaluation of the cu rrent position............................................................................ 113  
5.1.3.  Evaluation results..................................................................................................... 114  
5.1.4.  Sector summary........................................................................................................ 114  
5.2. ENERGY - Coal and Oil........................................................................................ 114  
5.2.1.  Current position ....................................................................................................... 114  
5.2.2.  Evaluation of the cu rrent position............................................................................ 116  
5.2.3.  Evaluation results..................................................................................................... 116  
5.2.4.  Sector summary........................................................................................................ 117  
5.3. ENERGY - Renewable energy sources ................................................................ 117  
5.3.1.  Current position ....................................................................................................... 117  
5.3.2.  Evaluation of the cu rrent position............................................................................ 118  
5.3.3.  Evaluation results..................................................................................................... 119  
5.3.4.  Sector summary........................................................................................................ 119  
5.4. ENERGY - Energy efficiency of products ........................................................... 120  
5.4.1.  Current Position....................................................................................................... 120  
5.4.2.  Evaluation of the cu rrent position............................................................................ 121  
5.4.3.  Evaluation results..................................................................................................... 121  
5.4.4.  Sector summary........................................................................................................ 122  
5.5. ENERGY - Energy performance of buildings..................................................... 122  
5.5.1.  Current position ....................................................................................................... 122  
5.5.2.  Evaluation of the cu rrent position............................................................................ 123  
5.5.3.  Evaluation results..................................................................................................... 123  
5.6. ENERGY - Energy end-use efficiency and energy services ............................... 123  
5.6.1.  Current position ....................................................................................................... 123  
5.6.2.  Evaluation of the cu rrent position............................................................................ 124  
5.6.3.  Evaluation results..................................................................................................... 124  
5.7. ENERGY - Combined heat and power generation (CHP, cogeneration)......... 125  
5.7.1.  Current position ....................................................................................................... 125  
5.7.2.  Evaluation of the cu rrent position............................................................................ 125  
EN 6   EN 5.7.3.  Evaluation results..................................................................................................... 125  
5.7.4.  Sector summary........................................................................................................ 126  
5.8. ENERGY - Nuclear Energy .................................................................................. 126  
5.8.1.  Current position ....................................................................................................... 126  
5.8.2.  Evaluation of the current situation .......................................................................... 132  
5.8.3.  Evaluation Results.................................................................................................... 132  
5.8.4.  Summary by Sector................................................................................................... 132  
5.9. MOBILITY and TRANSPORT - Passengers' rights.......................................... 133  
5.9.1.  Current position ....................................................................................................... 133  
5.9.2.  Evaluation of the cu rrent position............................................................................ 135  
5.9.3.  Evaluation results..................................................................................................... 135  
5.9.4.  Sector summary........................................................................................................ 136  
5.10.  MOBILITY and TRANSPORT -  Inland Waterway Transport....................... 137  
5.10.1.  Current position ....................................................................................................... 137  
5.10.2.  Evaluation of the cu rrent position............................................................................ 138  
5.10.3.  Evaluation results..................................................................................................... 138  
5.10.4.  Sector summary........................................................................................................ 138  
5.11.  MOBILITY and TRANSPORT - Logistics and co-modality............................. 139  
5.11.1.  Current position ....................................................................................................... 139  
5.11.2.  Evaluation of the cu rrent position............................................................................ 139  
5.11.3.  Evaluation results..................................................................................................... 140  
5.11.4.  Sector summary........................................................................................................ 140  
5.12.  MOBILITY and TRANSPORT - Inland Transport .......................................... 140  
5.12.1.  Current position ....................................................................................................... 140  
5.12.2.  Evaluation ................................................................................................................ 145  
5.12.3.  Evaluation results..................................................................................................... 146  
5.12.4.  Summary by sector ................................................................................................... 147  
5.13.  MOBILITY and TRANSPORT - Air Transport ................................................ 148  
5.13.1.  Current position ....................................................................................................... 148  
5.13.2.  Evaluation of the current situation .......................................................................... 154  
5.13.3.  Evaluation results..................................................................................................... 158  
EN 7   EN 5.13.4.  Summary by sector ................................................................................................... 160  
5.14.  MOBILITY and TRANSPORT - Maritime Safety............................................. 162  
5.14.1.  Current position ....................................................................................................... 162  
5.14.2.  Evaluation of the cu rrent position............................................................................ 163  
5.14.3.  Evaluation results..................................................................................................... 164  
5.14.4.  Sector summary........................................................................................................ 164  
5.15.  MOBILITY and TRANSPORT - Maritime Security......................................... 165  
5.15.1.  Current position ....................................................................................................... 165  
5.15.2.  Evaluation of the cu rrent position............................................................................ 166  
5.15.3.  Evaluation results..................................................................................................... 167  
5.15.4.  Sector summary........................................................................................................ 168  
6. ENVIRONMENT................................................................................................... 168  
6.1. Nature Conservation.............................................................................................. 168  
6.1.1.  Current position ....................................................................................................... 168  
6.1.2.  Evaluation based on the current situation ............................................................... 172  
6.1.3.  Evaluation results..................................................................................................... 173  
6.1.4.  Sector summary........................................................................................................ 174  
6.2. Waste Management................................................................................................ 175  
6.2.1.  Current position ....................................................................................................... 176  
6.2.2.  Evaluation based on the current situation ............................................................... 179  
6.2.3.  Evaluation results..................................................................................................... 180  
6.2.4.  Sector summary........................................................................................................ 181  
6.3. Environmental Impact Assessment & St rategic Environmental Assessment .. 182  
6.3.1.  Current position ....................................................................................................... 182  
6.3.2.  Evaluation based on the current situation ............................................................... 186  
6.3.3.  Evaluation results..................................................................................................... 188  
6.3.4.  Sector summary........................................................................................................ 189  
6.4. Protecting Water Resources.................................................................................. 190  
6.4.1.  Current position ....................................................................................................... 190  
6.4.2.  Evaluation based on the current situation ............................................................... 196  
6.4.3.  Evaluation results..................................................................................................... 197  
EN 8   EN 6.4.4.  Sector summary........................................................................................................ 199  
6.5. Air quality and environmental noise.................................................................... 200  
6.5.1.  Current position ....................................................................................................... 200  
6.5.2.  Evaluation based on the current situation ............................................................... 203  
6.5.3.  Evaluation results..................................................................................................... 203  
6.5.4.  Sector summary........................................................................................................ 205  
6.6. Industrial installations........................................................................................... 205  
6.6.1.  Current position ....................................................................................................... 205  
6.6.2.  Evaluation based on the current situation ............................................................... 209  
6.6.3.  Evaluation results..................................................................................................... 210  
6.6.4.  Sector summary........................................................................................................ 212  
6.7. Chemicals and Biocides ......................................................................................... 212  
6.7.1.  Current position ....................................................................................................... 212  
6.7.2.  Evaluation based on the current situation ............................................................... 217  
6.7.3.  Evaluation results..................................................................................................... 218  
6.7.4.  Sector summary........................................................................................................ 220  
6.8. Governance and Environmental Liability ........................................................... 220  
6.8.1.  Current position ....................................................................................................... 220  
6.8.2.  Evaluation based on the current situation ............................................................... 223  
6.8.3.  Evaluation results..................................................................................................... 225  
6.8.4.  Sector summary........................................................................................................ 226  
6.9. Climate change ....................................................................................................... 226  
6.9.1.  Current position ....................................................................................................... 226  
6.9.2.  Evaluation based on the current situation ............................................................... 235  
6.9.3.  Evaluation results..................................................................................................... 238  
6.10.  Ozone-depleting substances and Fluorinated greenhouse gases........................ 240  
6.10.1.  Current position ....................................................................................................... 240  
7. INFORMATION SOCIETY AND MEDIA......................................................... 242  
7.1. General Overview................................................................................................... 242  
7.2. Electronic communications ................................................................................... 242  
7.2.1.  Current position ....................................................................................................... 242  
EN 9   EN 7.2.2.  Changes underway................................................................................................... 249  
7.2.3.  Evaluation based on the current situation ............................................................... 250  
7.2.4.  Evaluation: priorities and pl anned action (2010 and beyond)................................ 251  
7.3. The Audiovisual and Media .................................................................................. 251  
7.3.1.  Current position ....................................................................................................... 251  
7.3.2.  Changes Underway .................................................................................................. 252  
7.3.3.  Evaluation based on the current situation ............................................................... 253  
7.3.4.  Evaluation results: prio rities and planned action (2010 and beyond) .................... 253  
7.4. Public Sector Information ..................................................................................... 254  
7.4.1.  Current Position....................................................................................................... 254  
7.4.2.  Evaluation based on the current situation ............................................................... 255  
7.4.3.  Evaluation results..................................................................................................... 255  
7.4.4.  Sector summary........................................................................................................ 256  
7.4.5.  Measures in force..................................................................................................... 256  
7.5. Electronic Signatures............................................................................................. 256  
7.5.1.  Current Position....................................................................................................... 256  
7.5.2.  Evaluation ................................................................................................................ 257  
8. MARITIME AFFAIRS AND FISHERIES.......................................................... 257  
8.1. Current situation.................................................................................................... 258  
8.1.1.  General introduction................................................................................................ 258  
8.1.2.  Work done in 2009 ................................................................................................... 259  
8.2. Evaluation ............................................................................................................... 260  
8.3. Evaluation results................................................................................................... 261  
8.3.1.  Priorities .................................................................................................................. 261  
8.3.2.  Planned action (for 2010 and beyond)..................................................................... 261  
8.4. Summary................................................................................................................. 262  
9. INTERNAL MARKET AND SERVICES........................................................... 262  
9.1. General overview.................................................................................................... 262  
9.1.1.  Efficient and effective en forcement of Community law – achievements in 2009 ..... 262  
9.1.2.  Enforcement priorities and key challenges for 2010 - 2011.................................... 266  
9.2. Analysis by sector................................................................................................... 268  
EN 10   EN 9.2.1.  Freedom to provide services  and freedom of establishm ent (other than Financial 
Services) ................................................................................................................... 268  
9.2.2.  Financial Services.................................................................................................... 279  
9.2.3.  Free movement of capital (Articles 63 et seq. TFEU) ............................................. 296  
9.2.4.  Public procurement.................................................................................................. 299  
9.2.5.  Regulated professions (qualifications)..................................................................... 303  
9.2.6.  The business environment ........................................................................................ 309  
9.2.7.  Protection of rights .................................................................................................. 318  
10. REGIONAL POLICY ........................................................................................... 321  
10.1.  Current situation.................................................................................................... 321  
10.1.1.  General introduction................................................................................................ 321  
10.1.2.  Report of work done in 2009.................................................................................... 323  
10.2.  Evaluation based on the current situation........................................................... 326  
10.2.1.  Assessment of the current situation (satisfact ory or problematic nature of the current 
situation) .................................................................................................................. 326  
10.2.2.  Importance of the impact of the identified problems on th e objectives of the acquis
............................................................................................................................... ... 327  
10.2.3.  Underlying reasons for problematic areas .............................................................. 327  
10.2.4.  Responsibility for the problems and their correction .............................................. 328  
10.2.5.  Corrective action required (priorit y character, timing and scale).......................... 328  
10.3.  Evaluation results................................................................................................... 328  
10.3.1.  Priorities .................................................................................................................. 328  
10.3.2.  Planned action (2010 and beyond) .......................................................................... 329  
11. TAXATION AND CUSTOMS SERVICES......................................................... 330  
11.1.  Situation in the sector of CUSTOMS ................................................................... 330  
11.1.1.  Current position ....................................................................................................... 330  
11.1.2.  Evaluation based on the current situation ............................................................... 332  
11.1.3.  Evaluation results..................................................................................................... 333  
11.1.4.  Sector summary........................................................................................................ 334  
11.2.  Situation in the sector of INDIRECT TAXATION ............................................ 334  
11.2.1.  Current position ....................................................................................................... 334  
11.2.2.  Evaluation based on the current situation ............................................................... 341  
EN 11   EN 11.2.3.  Evaluation results..................................................................................................... 341  
11.2.4.  Sector summary........................................................................................................ 343  
11.3.  Situation in the sector of DIRECT TAXATION................................................. 343  
11.3.1.  Current position ....................................................................................................... 343  
11.3.2.  Evaluation based on current situation ..................................................................... 346  
11.3.3.  Evaluation results..................................................................................................... 346  
11.3.4.  Sector summary........................................................................................................ 347  
12. EDUCATION AND CULTURE ........................................................................... 347  
12.1.  Current position ..................................................................................................... 347  
12.1.1.  General introduction................................................................................................ 347  
12.1.2.  Report of work done in 2009.................................................................................... 352  
12.2.  Evaluation based on the current situation........................................................... 353  
12.2.1.  Education and training ............................................................................................ 353  
12.2.2.  Sport ......................................................................................................................... 3 53 
12.3.  Evaluation results................................................................................................... 354  
12.3.1.  Priorities .................................................................................................................. 354  
12.3.2.  Planned action (2010 and beyond) .......................................................................... 354  
13. HEALTH AND CONSUMERS ............................................................................ 355  
13.1.  Introduction............................................................................................................ 355  
13.2.  Public Health .......................................................................................................... 356  
13.2.1.  Current position ....................................................................................................... 356  
13.2.2.  Evaluation, Priorities & Perspectives...................................................................... 359  
13.2.3.  Summary of Sector ................................................................................................... 359  
13.3.  Consumer Affairs................................................................................................... 359  
13.3.1.  Current position ....................................................................................................... 359  
13.3.2.  Evaluation, Priorities & Perspectives...................................................................... 371  
13.3.3.  Summary of Sector ................................................................................................... 371  
13.4.  Food safety .............................................................................................................. 372  
13.4.1.  General Introduction................................................................................................ 372  
13.4.2.  Work done in 2009 ................................................................................................... 372  
13.4.3.  Food Hygiene........................................................................................................... 375  
EN 12   EN 13.4.4.  Food Labelling......................................................................................................... 378  
13.4.5.  Nutrition labelling.................................................................................................... 380  
13.4.6.  Nutrition and Health Claims.................................................................................... 381  
13.4.7.  Dietetic foodstuffs..................................................................................................... 384  
13.4.8.  Food Supplements and addition of vitamins and minerals and of certain other 
substances to foods................................................................................................... 386  
13.4.9.  GMO Food and Feed ............................................................................................... 387  
13.4.10.  Novel Foods ............................................................................................................. 389  
13.4.11.  Food additives.......................................................................................................... 390  
13.4.12.  Food Flavourings..................................................................................................... 392  
13.4.13.  Food Contact Material............................................................................................. 393  
13.4.14.  Plant Protection Products – Pesticide Residues...................................................... 394  
13.4.15.  Contaminants in food ............................................................................................... 396  
13.4.16.  Zoonoses and antimicrobial resistance.................................................................... 399  
13.4.17.  Transmissible Spongiform Encephalopathies.......................................................... 401  
13.4.18.  Animal Health – Non Zoonotic Diseases ................................................................. 402  
13.4.19.  Zootechnics .............................................................................................................. 406  
13.4.20.  Animal by-products .................................................................................................. 407  
13.4.21.  Feed.......................................................................................................................... 4 08 
13.4.22.  Animal welfare ......................................................................................................... 412  
13.4.23.  Plant Health ............................................................................................................. 417  
13.4.24.  Seeds and Plant Propagating Material.................................................................... 418  
13.4.25.  Plant Variety Rights ................................................................................................. 419  
13.4.26.  Enforcement of the rules applicable  to the food and feed chain.............................. 420  
13.5.  Overall evaluation .................................................................................................. 421  
13.5.1.  Better application of the health and consum er acquis is everyone's concern ......... 421  
13.5.2.  Prevention ................................................................................................................ 421  
13.5.3.  Regular review of legislation ................................................................................... 423  
13.5.4.  Audits, Inspections and market surveillance............................................................ 423  
13.5.5.  Processing and prioritisati on of infringements........................................................ 424  
13.5.6.  Challenges................................................................................................................ 424  
EN 13   EN 14. JUSTICE, FREEDOM AND SECURITY ........................................................... 425  
14.1.  Immigration and integration................................................................................. 425  
14.1.1.  Current position: gene ral introduction.................................................................... 425  
14.1.2.  Current position: Report on work done in 2009 ...................................................... 426  
14.1.3.  Evaluation based on the current situation ............................................................... 427  
14.1.4.  Evaluation results: Priorities................................................................................... 428  
14.1.5.  Evaluation results: Planned action (2010 and beyond)........................................... 428  
14.1.6.  Summary................................................................................................................... 429  
14.2.  Asylum..................................................................................................................... 429  
14.2.1.  Current position: Report on work done in 2009 ...................................................... 429  
14.2.2.  Evaluation based on the current situation ............................................................... 431  
14.2.3.  Evaluation results: Priorities and planned action (2010 and beyond).................... 432  
14.2.4.  Summary................................................................................................................... 432  
14.3.  European visa policy.............................................................................................. 433  
14.3.1.  Current situation: Report on work done in 2009..................................................... 433  
14.3.2.  Evaluation based on the current situation ............................................................... 433  
14.3.3.  Evaluation results: Planned action (2010 and beyond)........................................... 433  
14.4.  Document Security (European passport and residence permits) ...................... 434  
14.4.1.  Current situation: Report on work done in 2009..................................................... 434  
14.4.2.  Evaluation based on the current situation ............................................................... 435  
14.4.3.  Evaluation results: planned action (2010 and beyond) ........................................... 435  
14.5.  Border management and return policy................................................................ 435  
14.5.1.  Current position: General introduction................................................................... 435  
14.5.2.  Current position: Report on work done in 2009 ...................................................... 435  
14.5.3.  Evaluation based on the current situation ............................................................... 436  
14.5.4.  Evaluation results: Priorities................................................................................... 438  
14.5.5.  Evaluation results: Planned action (2010 and beyond)........................................... 438  
14.6.  Free movement of persons..................................................................................... 439  
14.6.1.  Current position: General introduction................................................................... 439  
14.6.2.  Current position: Report on work done in 2009 ...................................................... 439  
14.6.3.  Evaluation based on the current situation ............................................................... 440  
EN 14   EN 14.6.4.  Evaluation results: Priorities................................................................................... 441  
14.6.5.  Evaluation results: Planned action (2010 and beyond)........................................... 442  
14.6.6.  Summary................................................................................................................... 442  
14.7.  Citizenship .............................................................................................................. 442  
14.7.1.  Current position: General introduction................................................................... 442  
14.7.2.  Current position: Report on work done in 2009 ...................................................... 443  
14.7.3.  Evaluation based on the current situation ............................................................... 443  
14.7.4.  Evaluation results: Priorities................................................................................... 444  
14.7.5.  Evaluation results: Planned action (2010 and beyond)........................................... 444  
14.7.6.  Summary................................................................................................................... 444  
14.8.  Fundamental rights................................................................................................ 445  
14.8.1.  Current position: General introduction................................................................... 445  
14.8.2.  Current position – Report on work done in 2009 .................................................... 445  
14.9.  Protection of personal data ................................................................................... 445  
14.9.1.  Current position: Report on work done in 2009 ...................................................... 445  
14.9.2.  Evaluation based on the current situation ............................................................... 446  
14.9.3.  Evaluation results: Priorities and planned action (2010 and beyond).................... 446  
14.10.  Judicial cooperation in civil matters .................................................................... 446  
14.10.1.  Current position: Report on work done in 2009 ...................................................... 446  
14.10.2.  Evaluation based on the current situation ............................................................... 448  
14.10.3.  Evaluation results: Priorities................................................................................... 449  
14.10.4.  Evaluation results: Planned action (2010 and beyond)........................................... 449  
14.11.  Judicial cooperation in criminal matters ............................................................. 450  
14.11.1.  Current position: Report on work done in 2009 ...................................................... 450  
14.11.2.  Evaluation based on the current situation ............................................................... 451  
14.11.3.  Evaluation results: Priorities and planned action (2010 and beyond).................... 452  
14.12.  Data Retention Directive ....................................................................................... 452  
14.12.1.  Current position: Report on work done in 2009 ...................................................... 452  
14.12.2.  Evaluation based on the current situation ............................................................... 453  
14.12.3.  Evaluation results: Priorities and planned action (2010 and beyond).................... 454  
14.13.  European Programme for Critical  Infrastructure Protection........................... 454  
EN 15   EN 14.13.1.  Current position: General introduction................................................................... 454  
14.13.2.  Current position – Report on work done in 2009 .................................................... 455  
14.13.3.  Evaluation based on the current situation ............................................................... 455  
14.13.4.  Evaluation results: Priorities and planned action (2010 and beyond).................... 455  
14.14.  Third pillar instruments – police and criminal justice cooperation.................. 455  
14.14.1.  Current position: Report on work done in 2009 ...................................................... 455  
14.14.2.  Evaluation based on the current situation ............................................................... 457  
14.14.3.  Evaluation results: Priorities and planned action (2010 and beyond).................... 457  
15. TRADE.................................................................................................................... 457  
16. ENLARGEMENT.................................................................................................. 458  
16.1.  Current position - Most important legal  instruments and related work and 
reporting on 2009 ................................................................................................... 458  
16.1.1.  General instruction .................................................................................................. 458  
16.1.2.  Report of work done in 2009.................................................................................... 458  
16.2.  Evaluation based on the current situation........................................................... 459  
16.3.  Evaluation results................................................................................................... 459  
16.4.  Summary by sector ................................................................................................ 459  
17. EUROSTAT............................................................................................................ 459  
17.1.  Current position-.................................................................................................... 459  
17.2.  Report on 2009........................................................................................................ 460  
17.3.  Evaluation Results.................................................................................................. 461  
17.3.1.  Priorities .................................................................................................................. 461  
17.3.2.  Planned action ......................................................................................................... 461  
18. HUMAN RESOURCES AND SECURITY ......................................................... 462  
18.1.  Current position – Most important legal instruments and related work and 
reporting on 2009 ................................................................................................... 462  
18.1.1.  Existing measures in force ....................................................................................... 462  
18.1.2.  Report of work done in 2009.................................................................................... 462  
18.2.  Evaluation based on the current situation........................................................... 463  
19. BUDGET................................................................................................................. 463  
19.1.  Current position – relevant legal instru ments and related work and reporting 
on 2009..................................................................................................................... 463  
EN 16   EN 19.1.1.  Existing measures in force ....................................................................................... 463  
19.1.2.  Report of work done in 2009.................................................................................... 464  
19.2.  Evaluation based on the current situation........................................................... 465  
19.3.  Evaluation results................................................................................................... 465  
19.3.1.  Priorities .................................................................................................................. 465  
19.4.  Summary................................................................................................................. 465  
Annex I - List of measures in force and oth er relevant instruments re ferred to in the text 
of the document ...................................................................................................... 466  
I.  ENTERPRISE AND INDUSTRY........................................................................ 466  
I.1. Chemicals................................................................................................................ 466  
I.2. Pharmaceuticals ..................................................................................................... 466  
I.3. Medical devices....................................................................................................... 467  
I.4. Cosmetics ................................................................................................................ 467  
I.5. Textiles/clothing...................................................................................................... 467  
I.6. Non-harmonised area............................................................................................. 467  
II.  EMPLOYMENT, SOCIAL AFFAIR S AND EQUAL OPPORTUNITIES .... 467  
II.1. Free movement of workers and coordinati on of social security schemes ......... 467  
II.1.1.  Free movement of workers....................................................................................... 467  
II.1.2  Social Security.......................................................................................................... 468  
II.2. Labour Law ............................................................................................................ 468  
II.2.1.  Working conditions .................................................................................................. 468  
II.2.2.  Information and consultation of workers................................................................. 469  
II.2.3.  Protection of workers............................................................................................... 470  
II.2.4.  Implementation and application reports.................................................................. 471  
II.3. Health and safety at work...................................................................................... 471  
II.4. Gender equality and anti-discrimination............................................................. 475  
II.4.1.  Gender equality........................................................................................................ 475  
II.4.2.  Anti-discrimination .................................................................................................. 476  
III.  ENERGY................................................................................................................ 476  
III.1.  Legislation in force................................................................................................. 476  
III.2.  Legislation adopted in 2009................................................................................... 478  
EN 17   EN III.3.  New measures proposed or in preparation in 2009............................................. 481  
IV.  ENVIRONMENT – Climate sector ..................................................................... 482  
V.  INTERNAL MARKET AND SERVICES.......................................................... 483  
V.1.  Existing and in force acquis .................................................................................. 483  
V.2.  Recently adopted measures ................................................................................... 483  
V.3.  New measures already proposed and due to be adopted.................................... 484  
V.4.  Other relevant legal documents adopted in 2009 by the Commission .............. 485  
VI. TAXATION AND CUSTOMS UNION ............................................................... 485  
VI.1.  CUSTOMS.............................................................................................................. 485  
VI.2.  INDIRECT TAXATION ....................................................................................... 486  
VI.3.  DIRECT TAXATION............................................................................................ 488  
VII. EDUCATION AND CULTURE ........................................................................... 488  
VIII.   HEALTH AND CONSUMERS ........................................................................... 489  
VIII.1.  Public Health .......................................................................................................... 489  
VIII.2.  Consumers .............................................................................................................. 491  
VIII.3.  Food Safety ............................................................................................................. 493  
GENERAL ............................................................................................................................. 49 3 
FOOD  .............................................................................................................................. .... 494  
ANIMAL HEALTH ............................................................................................................... 499  
ANIMAL WELFARE ............................................................................................................ 503  
FEED  .............................................................................................................................. .... 504  
PLANT HEALTH .................................................................................................................. 505  
SEEDS – PLANT VARIETY ................................................................................................ 507  
IX. EUROSTAT............................................................................................................ 511  
X. BUDGET................................................................................................................. 511  
EN 18   EN SITUATION IN THE DIFFERENT SECTORS 
1.  ENTERPRISE  AND INDUSTRY 
1.1. General introduction 
Responsibility for ensuring the free movement of goods within the Single Market is entrusted 
to the Directorate General for Enterprise a nd Industry which manages a large part of the 
Community acquis consisting of Articles 34 to 36 TFEU in th e non-harmonised area and a 
large quantity of subordinate Community legisla tion (regulations, directives and decisions) in 
the harmonised area. The acquis of the Eu ropean Union under the management of DG 
Enterprise and Industry” (the latest version of the “Pink Book”) is on the internet at  
http://ec.europa.eu/enterp rise/dg/files/pink_book_2008_en.pdf 
As ‘harmonising’ rules are adopted in more a nd more sectors of the Single Market, the non-
harmonised area is gradually shrinking. But some 25% of the market is still not subject to 
harmonised rules and, here, Articles 34-36 TFEU  ensure the easy cross-border exchange of 
goods. 
Generally speaking, the Community acquis govern ing the free movement of goods is stable 
and effective, although the highly te chnical nature of much of th e legislation means that there 
is always considerable activity adapting it to technological progress. St eps are being taken to 
streamline this activity, for exam ple in the automotive sector where a framework instrument 
lays down fundamental principles while techni cal specifications are established through 
comitology. In the cosmetics sector , the principal legislation has b een recast in the form of a 
regulation, adopted by the legislature in N ovember, which will apply from 11 July 2013. 
Future technical adaptations will be made by directly applicable Commission regulations. 
The Commission's legislative activity in the "E nterprise and Industry" sector is fully in 
accordance with Better Regulation principles with preference being given to regulations 
which require less effort in relation their tr ansposition. This sect or also regards the 
simplification and codification of existing legi slation as important tools in achieving better 
implementation of EU law. For example, prep aratory work continue d during 2009 for a recast 
of the medical devices legislation. 
The REACH Regulation continues to be phased in  with the Directive governing restrictions 
being repealed and replaced on 1 June. The pharmaceutical package continued its progress 
through the legislature under th e co-decision procedure and meas ures were also adopted to 
simplify the systems governing variations and the classification of pharmacologically active 
substances regarding maximum residue limits. 
In relation to the “goods package”, adopt ed in 2008, the first national reports on the 
application of the regulation on procedural aspects of the mutual recognition principle  are due 
in May 2010 which will enable an assessment of its initial impact to be made. Work is ongoing to align 10 existing new approach directiv es1 with the ‘new legislative framework’, 
                                                
 
1 The 10 directives are- 
EN 19   EN created by the package. This will simplify the application of EU harmonising legislation.  
Crucially, the package will stre ngthen rules on market surveillan ce to protect consumers from 
unsafe products, shelter business from unfair co mpetition from operators not complying with 
the law and reduce the risk for enterprises that their products do not gain access to the market 
of the Member State of destin ation. Efforts continued during 2009 to enhance the quality of 
market surveillance by the Member States. 
In May 2009, the Council and the European Parliament adopted directive 2009/43/EC 
simplifying intra-EU transfers of defe nce-related products (OJ L 146, 10.6.2009, p. 1–36). 
This directive is the first internal market inst rument dealing with the circulation of defence-
related products. The directive will enable de fence industries to benefit from smoother and 
more predictable supply chains while improvi ng security of supply for EU armed forces 
relying on cross-border deliverie s. The Directive must be transposed before 30 June 2011 and 
will fully apply from 30 June 2012.  
                                                                                                                                                         
1. Low Voltage Directive : Directive 2006/95/EEC on the ha rmonisation of the laws of 
Member States relating to electrical equipm ent designed for use within certain voltage 
limits; 
2. Simple Pressure Vessels Directive:  Council Directive 2009//105/EC on the 
harmonisation of the laws of the Member Stat es relating to simple pressure vessels;  
3. Non-automatic Weighing Instruments Directive:  Council Directive 90/384/EEC on 
the harmonisation of the laws of the Member States relating to non-automatic 
weighing instruments;  
4. Civil Explosives Directive : Council Directive 93/15/EEC on the harmonisation of the 
provisions relating to the placing on the market  and supervision of explosives for civil 
uses; 
5. ATEX Directive:  Directive 94/9/EC of the European Parliament and the Council on 
the approximation of the laws of the Me mber States concerning equipment and 
protective systems intended for use in  potentially explosive atmospheres;  
6. Lifts Directive European Parliament and Council Di rective 95/16/EC of 29 June 1995 
on the approximation of the laws of the Member States relating to lifts  
7. Pressure Equipment Directive:  Directive 97/23/EC of th e European Parliament and 
of the Council on the approxi mation of the laws of the Member States concerning 
pressure equipment; 
8. Measuring Instruments Directive : Directive 2004/22/EC of the European Parliament 
and of the Council on measuring instruments;  
9. Electromagnetic Compatibility Directive : Directive 2004/108/EC on the 
approximation of the laws of the Memb er States relating to electromagnetic 
compatibility and repealing Directive 89/336/EEC  
10. Pyrotechnic articles Directive 2007/23/EC on the placing on the market of 
pyrotechnic articles  
EN 20   EN The proposal to recast th e late payment directive was adopted  on 8 April 2009. This  is part of 
the Small Business Act which introduced a co mprehensive SME policy framework for the EU 
and its Member States. 
The Commission provides also guidance and ot her assistance to help Member States to 
transpose and implement new directives on ti me. Assistance is given using a variety of 
different tools (e.g. interpretative documents, bilateral meetings and Committee meetings). 
A very valuable tool for dealing in advance  with possible technical  barriers to the free 
movement of goods in the non-harmonised area is Directive 98/34/EC, which requires the 27 
Member States, the EFTA countries and Turkey  to notify all national technical regulations 
concerning products and Info rmation Society Services at the draft stage .  The steady high 
number of notifications ( 736 in 2009) and reactions from  the Commission (173) and the 
Member States (217) underlines the importance of Directive 98/34/EC  as a tool for the 
prevention of barriers to intra-Community trad e - and indeed for bett er regulation since it 
provides a forum for making suggest ions to improve the quality of  national legi slation. Its ex 
ante operation means that time-consuming and sometimes controversial infringement 
procedures can be avoided. 
In addition, the Commission monitors  the correct application of the acquis  under its 
responsibility and opens infringement procedur es against Member Stat es if necessary. In 
2009, the Commission registered 50 new complaints in this sector.  
The Commission services attach great importa nce to resolving problems coming to its 
attention as quickly as possi ble and support the use of methods other than infringement 
proceedings such as the EU Pilot project, de signed to clarify and solve problems with the 
application of EU law in c ooperation with the participating Member States. They also 
organise “package meetings” and bilateral meeti ngs with the Member Stat es to provide advice 
to national authorities to help ensure th e correct application of the EU law.  
In the framework of infringement proceed ings, non-communication cases and article 260 
TFEU cases are dealt with as quickly as possibl e, given their automatic priority status under 
the September 2007 Communication. In accordance w ith the other criteria set out in the 
Communication, since 2009 priority status in this sector has been given to the following 
cases:  
Non-harmonised area 
• The failure by a MS to notify national techni cal rules in draft unde r Directive 98/34/EC. 
Such failure renders the rules liab le to be declared null and void. 
• Breaches of Articles 34-36 TFEU raising horizo ntal questions about the functioning of the 
market (e.g. the registration of vehicles). 
Harmonised area 
Breaches of key directives, in particular new legislation which is adopted in response to a 
clearly identified need to correct/enhance mark et performance and should be enforced in a 
manner commensurate with the risk of failing to achieve that aim. 
The considerable share of the Community ac quis dealt with by the Commission services 
responsible for the "Enterprise and Industry" sect or covers a wide vari ety of product domains, 
EN 21   EN in relation to each of which are set out belo w a description of the current state of the 
legislation in force, an evaluation of the effec tiveness of regulatory framework in the domain 
concerned and an indication of plans for the future. Information is also provided about 
infringement proceedings pursued in each product domain.  
1.2. Automotive Industry 
Current position The harmonized regulatory framework in the automotive sector
 covers motor vehicles, 
motorcycles (two and three-wheel vehicles as we ll as certain quadricycles), and agricultural or 
forestry tractors. The legislation, which lays  down common requirement s designed to protect 
environmental and safety objectives, is based on a system of whole- vehicle type approval 
which allows manufacturers to have a vehicle "type" approved in one EU Member State and 
then to be able to market vehicl es of that type in a ll other Member States without further tests. 
It deals with a multitude of detailed technical specifications for different vehicle systems and 
components which are frequently modified to ad apt them to technical progress while reducing 
the regulatory burden on industry.  
In relation to type-approval of new vehicles , there are three main framework Directives: 
Directive 2007/46/EC establishing a framew ork for the approval of motor vehicles 
and their trailers, and of systems, co mponents and separate  technical units 
intended for such vehicles; 
Directive 2002/24/EC relating to the type-approval of two-or three-wheel motor 
vehicles; and  
Directive 2003/37/EC relating to the type-approval of agricultural or forestry 
tractors, their trailers and interchangeab le towed machinery, together with their 
systems, components and se parate technical units.  
While the latter two directives still allow a national approval system to operate for certain 
vehicle categories in parallel , Directive 2007/46/EC in principle provides for the phasing-in of 
obligatory EC-whole vehicle type  approval (and in particular the phasing out of national 
whole vehicle type approval for hea vy-duty vehicles and their trailers).2 In addition to the 
framework Directives, separate  regulatory acts lay down harm onized technical requirements 
for the type-approval of individual parts and characteristics of a vehicle.  
In line with better regulation and simplification principles and to increase the competitiveness 
of EU industry on the global market, in the wa ke of the CARS 21 ex ercise the regulatory 
framework in the automotive sector has been  reformed along the following lines: (i) the 
introduction of the ‘split-level’ approach: the co-decision ‘framework’ act is intended to lay down fundamental provisions while the techni cal specifications are set out through 
comitology; (ii) the use of Regulations inst ead of Directives; an d (iii) international 
                                                
 
2  From 29 April 2009, the national legi slation transposing Directive 2007/46/EC 
became applicable, and the repeal of its pr edecessor, Directive 70/156/EEC, took effect. 
EN 22   EN harmonisation: whenever possibl e, EU acts are replaced by UNECE Regulations compliance 
with which is made mandatory.3  
Report of work done in 2009 
During 2009, various steps were taken to im plement, simplify and update the technical 
legislation in the sector . In particular, in early 2009 Regul ations were adopted on the type-
approval of motor vehicles with regard to pedestrian protection4 and on the type-approval of 
hydrogen-powered vehicles5. This was followed in June by a Regulation adopted by the 
Council and the European Parliament laying down  stricter exhaust emission levels for heavy-
duty vehicles (Euro VI).6 Shortly thereafter, in  July, the Commission adopted a Regulation on 
type approval requirements for the general safety of motor vehicles.7 By virtue of this last 
Regulation, UNECE regulations adopted in accordance with the 1958 UNECE Agreement 
will become compulsory for the majority of items currently the subject of EU type-approval, thereby significantly simplifyi ng the regulatory system. Prepar atory work was also begun on 
the revised regulatory framework for type-approva l legislation in rela tion to two and three-
wheeled vehicles and tractors,  notably the impact assessmen ts for the two proposals and a 
very specific comitology approval for so me aspects of the tractor legislation. 
In October 2009, the Commission decided to establish the Type-Approval Authorities Expert 
Group  (TAAEG) - a consultative body composed of  representatives of all national type-
approval authorities. Bearing in mind that EC whole vehicl e type-approval will gradually 
become mandatory by October 2012 for all ne w types of motor vehicles, the aim of the 
TAAEG is to ensure uniform application of the relevant technical requirements within the EU 
type-approval system. This will involve several tasks, including monitoring the enforcement of EU legislation by national authorities and so lving the issue of dive rging views concerning 
type-approval in order to ensure mutual recognition. 
                                                
 
3 UNECE Regulations are harmonized tec hnical regulations regarding new motor 
vehicles and motor vehicle equipment that are adopted pursuant to the 1958 Agreement under 
the auspices of the United Nati ons Economic Commission for Europe ( www.unece.org ). As a 
contracting party to the 1958 UNE CE Agreement, the European Union can decide to apply a 
Regulation.  
4 Regulation (EC) No.78/2009 of the European  Parliament and of the Council of 14 
January 2009 on the type-approval of motor ve hicles with regard to the protection of 
pedestrians and other vulnerab le road users (OJ L 35, 4.2.2009, p.1). 
5 Regulation (EC) No.79/2009 of the European  Parliament and of the Council of 14 
January 2009 on type-approval of hydroge n-powered vehicles (OJ L 35, 4.2.2009, p.32).  
6  Regulation (EC) No.595/2009 of the European  Parliament and of the Council of 18 
June 2009 on type-approval of motor vehicles a nd engines with respect to emissions from 
heavy duty vehicles (Euro VI) and on access to vehicle repair and maintenance information 
(OJ L 188, 18.7.2009, p.1).   
7 Regulation (EC) No.661/2009 of the European  Parliament and of the Council of 13 
July 2009 concerning type-approval  requirements for the genera l safety of motor vehicles, 
their trailers and systems, components and sepa rate technical units in tended therefor (OJ L 
200, 31.7.2009, p.1).  
EN 23   EN The Commission has also taken steps to provide  practical guidance to Member States. In 
particular, it became clear in early 2009 that many Member States had introduced or were 
planning to introduce scrapping sc hemes for vehicles.  In light of this, a seminar on best 
practices on scrapping schemes was organized for Member St ates in February 2009.  This was 
followed by the publication of guidance on scrapping schemes.8 Member States also 
introduced or have announced thei r intention to introduce financia l incentives for vehicles that 
fulfil pollutant emission limits that are stricter th an those currently in force. Consequently, in 
November 2009, a Commission staff working docu ment, "Guidance on Financial Incentives 
for Vehicles" was published with a view to providing practical guidance for Member States 
wishing to introduce such incentives.9  
Thirty-two infringement cases were opened during 2009 in relation to EU legislation in this 
sector (compared to 29 cases in 2008). All but one of thes e cases resulted from late 
communication of national measur es transposing EU Directives  (which generally contained 
technical updates of the acquis ). The Member States most at fault were Austria, Latvia and 
Portugal (with four proceedings each). The major ity of these cases were closed after national 
implementation measures were communicated by the Member States. In around two-thirds of 
these closed cases, communication took place before the Commission issued a Reasoned 
Opinion. The Commission opened one own-ini tiative infringement case in 2009 concerning 
the conformity of national fina ncial incentives with the harmoni sed Euro 5/Euro 6 legislation 
for light-duty vehicles. 
During 2009 the Commission services continued to  deal with a steady number of questions, 
complaints and queries in relation to legislation in the automotive sector. Complaints or requests for information were also periodically se nt via the petition proced ure.  Most inquiries 
were submitted by individuals or SMEs. In many cases, the issues raised could be dealt with by giving guidance on the Commission's interpreta tion of the relevant EU legislation. Where 
the complaint turned out to be unsubstantiated, the matter was closed and the reasons for 
doing so were explained.  
Evaluation 
Through the CARS 21 process, the Commissi on has developed a medium to long-term, 
coordinated and predictable policy framew ork for the automotive industry based on 
continuous dialogue and consultation with all main stakeholders. In the preparation of 
legislative proposals and policy initiatives, the Commission is assisted by two types of 
advisory bodies: comitology committees and working groups. In the case of technical amendments to legislation, the Commission acts in close cooperation with Member States in 
comitology on implementation issues. The informal working groups, which may consist not only of national experts but also experts or stakeholders from industry, NGOs, trade unions, 
academia, etc., provide expert advice to the Commission. 
                                                
 
8              http://ec.europa.eu/enterprise/s ectors/automotive/competitiveness-
cars21/competitiveness/index_en.htm  
 
9  SEC(2009)1589 final/2  
EN 24   EN As a result of this close c ooperation between the Commission a nd Member States, significant 
problems regarding conformity or incorrect ap plication are a relative ly rare occurrence. 
Nevertheless, the complexity of the legislation in this sector and the constant development of new technologies (and the corres ponding adaptation of legislation) mean that problems of 
interpretation are an ever-present risk. On  occasion, the Commission has had to give its 
interpretation of the legislation in order to  maintain a harmonized approach. In addition, 
Member States may take measures which ri sk compromising the harmonized approach.  
In many cases, due to the techni cal nature of the legislati on, Member States resort to 
transposing technical amendments by reference to  EU acts. However, this is not always the 
case.  Where this occurs, the use of corre lation tables is particularly helpful. 
Finally, the approach taken in co-decision le gislation on the harmonization of vehicle 
standards now favours the adoption of Regulati ons rather than Dir ectives (one exception 
being the framework Directive 2007/46/EC on the type-approval of motor vehicles). 
Consequently, there is no transposition of these acts and this should increase overall efficiency by lowering the overall number of infringement cases based on non- or late 
communication of national transposition measures.  
Consequences of evaluation 
The main priority in the au tomotive sector continues to be the proper implementation, 
management and enforcement of legislative acts . This is unchanged over the last 12 months.  
In particular, there has to be long-term regulator y clarity as well as accu rate quantification of 
the costs and benefits of legislative activity, no tably by recourse to impact assessments where 
appropriate. Given the impact of the current ec onomic crisis, the Commission will weigh up 
the costs and benefits of new legislative initia tives and seek, as far as possible, to avoid 
creating new economic burdens.  
A significant proportion of the work in the automotive sector in 2010 and beyond will be 
focused on recasting the legislative framework, its subsequent completion and the 
implementation of new technical legislation.  
In particular, regulatory framework for type-app roval legislation in relation to two and three-
wheeled vehicles and tractors is  to be revised.  New legisla tion will update and replace the 
present framework Directive and separate Dire ctives. The Commission is also working on 
various proposals to complete the framework Directive 2007/46/EC for the type-approval of 
motor vehicles and trailers (e.g. a Commissi on Regulation to harmonize the administrative 
and technical provisions regard ing individual approvals) as well as implementing measures 
for the type-approval of hydrogen vehicles, Eu ro VI and general safety.  A number of 
Directives due for partial repe al through the application of th e General Safety Regulation and 
for which there is no equivalent UNECE Regulation will be the subject of a recast and where possible simplified. Finally, preparatory work is ongoing to make mand atory the application 
of UNECE Regulation No.100 for the type-a pproval of electric vehicles.    
Summary 
The current situation regarding compliance by Member States with the acquis  in the 
automotive sector is generally acceptable. Nevert heless, there are delays in the transposition 
of certain Directives (for example, framewo rk Directive 2007/46/EC, where only 15 Member 
States communicated national tr ansposition measures before the deadline).  The constant 
EN 25   EN evolution of technical legislation means that it  is important to pay close attention to timely 
transposition and effective enforcement to ensure that objectives are met.  
1.3. Chemicals 
1.3.1. REACH 
Current position 
Regulation No 1907/2006 (REACH) is the cornerstone  of the EU’s new chemicals legislation, 
which began to apply on 1 June 2008.  REACH deals with the registrati on, evaluation, authorisation and restriction of chemical 
substances. Registration of chemicals with the European Chemicals Agency (“ECHA”) is 
designed to obtain information on manufactured and imported subs tances to establish whether 
industry is taking adequate measures to ensure  their safe use. Subsequent evaluation by 
ECHA may include a compliance ch eck on registration files and the examination of testing 
proposals. Certain substan ces may undergo ‘substance ev aluation’, whereby national 
authorities may request from industry further in formation on a given substance, taking a risk-
based approach, and consider furt her regulatory measures. In rela tion to substances giving rise 
to very high concern, it may be necessary to obtain Commission authorisation before they can 
be placed on the market or used, under stipulat ed conditions. Finally, the manufacture, import 
and use of substances that pose unacceptable risk s to human health or the environment may be 
partly or totally restricted.  
 Report of work done in 2009  
The REACH system is supplemented by a comp rehensive package of technical guidance 
documents that was already in place by mid 2008, to ensure its uniform and consistent interpretation. Throughout 2009, the Commission assisted ECHA in developing further 
guidance and reviewing and updating existing gui dance, actively partic ipated in various 
ECHA committees and organised workshops for industry stakeh olders with a view to 
ensuring that REACH functions properly. Many implementation problems were resolved in 
collaboration with ECHA, which has developed various tools to help operators fulfil their 
REACH obligations (guidance package, Naviga tor tool, helpdesk, FAQs etc.). National 
REACH helpdesks are also functioning well.  
The Commission also carried out a review of Annex II of REACH (compilation of the safety 
data sheet), with the main aim of aligning it with the new “CLP” Regul ation (Regulation (EC) 
No 1272/2008). With regard to restrictions , REACH replaced Directive 76/769/EEC on 1 
June 2009. Until then, amendments to Directive 76/769/EEC were being enacted as decisions 
instead of directives, as they did not requi re transposition. A number of decisions on 
restrictions were adopted: Decision No 455/ 2009 of the European Parliament and of the 
Council on Dichloromethane, Commission D ecision No 2009/424 on lamp oils and grill 
lighters and Commission Deci sion 2009/425 on organotin compounds. The Commission 
reviewed Annex XVII of REACH, clarifying the drafting to facilitate implementation when 
the text is directly applicable. It was also adapted to definitions contained elsewhere in 
REACH and to the “CLP” Regula tion, and to ensure coherenc e of the restrictions under 
REACH with other EU legislation. In addition, Annex XVII was completed with recently adopted restrictions not included in the existing text which reflected the situation in mid 2006: 
Directive 2006/122/EC on perfluorooctane su lfonates (PFOS), Directive 2006/139/EC on 
EN 26   EN arsenic, Directive 2007/51/EC on mercury in measuring de vices and Decision 1348/2008/EC 
on 2(2-methoxyethoxy)ethanol, 2-(2 -butoxyethoxy)ethanol, methyl enediphenyl diisocyanate, 
cyclohexane and ammonium nitrate. 
 
The Commission actively participated at three meetings of the Forum for the Exchange of 
Information on Enforcement, comprised of representatives of national enforcement 
authorities, with a view to iden tifying joint enforcement strategies and priorities. The first EU-
coordinated enforcement project was carried  out by Member States during 2009 and more 
than 1000 inspections were  carried out. The results  of this project are expected by the end of 
the first quarter of 2010. In addition, the Forum is deve loping an electronic information 
exchange procedure.   The Commission continued to hold regular dial ogues on various implementation issues with 
Member States, competent authorit ies and other stakeholders in three meetings of its expert 
group “Competent Authorities for the REACH and CLP Regulations (CARACAL)” and its 
subgroups, notably the Subgroup on nanomaterials.  In 2009, the Commission dealt with a very limited number of enquiries regarding REACH 
compliance. Following a public announcement by the enforcement authority of one Member 
State that it would enforce a certain REACH oblig ation (related to substances in articles) 
differently, the Commission took ac tion to have that statement w ithdrawn, without recourse to 
infringement proceedings.  National provisions on penalties for infri ngement of REACH had to be notified by 1 
December 2008.  As not all Member States fulf illed this obligation on time, the Commission 
launched 8 infringement proceedings for non-notif ication. Two are still open (at the stage of 
reasoned opinion). In this respect, the Commissi on also contracted out a study to analyse and 
compare types and levels of notified national penalties and assess their effectiveness, 
proportionality and dissuasiveness.  
 
Three infringements proceedings were laun ched for non-implementation of Directive 
2006/122/EC on PFOS. One petition (139/2009) was rece ived concerning the fact that articles 
containing asbestos are still being sold in Portugal. The Commission confirmed that, on the 
basis of EU legislation (Directive 76/769/EEC  before 1 June 2009 and REACH from 1 June 
2009) and national law, the sale of products cont aining asbestos fibres has been illegal in 
Portugal since June 2005 and that responsibilit y for the enforcement rests with Portuguese 
national authorities. The Commission had invited the Portuguese authorities to report on the 
inspections carried out, which Portugal had don e. The Commission awaits further details and 
facts from the petitioner in or der to provide the Portuguese authorities with more specific 
information.  
Evaluation 
As REACH is a Regulation, directly  applicable in Member States , its enforcement is primarily 
ensured by the Member States through a system of official c ontrols and other appropriate 
activities.   It needs to be stressed that, at this stage, the main REACH obligations are still being phased-
in and so enforcement is still at an early stag e. The pre-registration of substances by industry, 
which was the first main phase was completed successfully in 2008. Around 2.75 million pre-
EN 27   EN registrations were made by 65,000 compan ies for 143,000 different substances. Pre-
registration allowed the vast majority of busine sses to benefit from extended deadlines for the 
fulfilment of the main registra tion obligation. The first registration deadline for high volume 
substances and the most dangerous substances is 30 November 2010 (furth er deadlines are in 
2013 and 2018) and enforcement of registration w ill begin thereafter. This is also why the 
Commission has not yet received complaints regarding Member States’ enforcement of 
REACH.   Obligations related to the provi sion of information in the suppl y chain are already applicable 
and should be enforced by Member States. The Commission has not received any complaints 
about this.   
The enforcement of restriction obligations came under the umbrella of REACH in the second 
half of 2009. The change from Directive 76/769/EEC to REACH will allow more coherent implementation of restrictions in the Member  States. The volume of enquiries relating to 
restrictions under Directive 76 /769/EEC has always been hi gh. There are still a lot of 
enquiries concerning restrictions  under REACH as new restricti ons continue to be adopted. 
But a set of Frequently Asked Questions has been developed over the years and is published 
on the website of the Commission. It is regular ly updated. With the replacement of Directive 
76/769/EEC by the REACH Regulation, fewer infringeme nts are expected in the future as less 
transposition will be required.  
 
The Member States will submit to the Com mission their first re port on the operation of 
REACH, including evaluation and enfo rcement aspects, by 1 June 2010.  
Consequences of evaluation 
(1) Priorities 
As REACH is based on a completely new regul atory approach and has shifted much of the 
burden for ensuring the safe use of chemicals onto industry, the Commission needs to monitor 
closely whether its implementation is effectiv e and consistent throughout  the EU. In 2010, the 
Commission will continue to monitor the enfor cement by Member States of pre-registration, 
registration obligations (including obligatory data sharing within “substance information 
exchange forums”), information in the supply chain and restriction provisions. 
(2) Planned action (2010 and beyond) The Commission will need to closely monitor how Member States enforce REACH in order 
to ensure transparency, impartiality and cons istency in enforcement throughout the EU. To 
this end, the Commission will in particular conti nue to work closely with the Forum for the 
Exchange of Information on Enforcement wh ich co-ordinates a network of national 
authorities responsible for enforcement. The Commission will, in particular, review Member 
States’ reports on the operat ion of REACH by 1 June 2010.  
 Concerning registration obligations, 2010 is a cr ucial year for industry. The Commission will 
continue meeting industry stakeh olders, resolving inte rpretation problems a nd participating in 
workshops to ensure timely implementation of REACH. A “Director  Contact Group” has 
been created by the Commission involving the ma in industry stakeholders to help resolve 
urgent issues.   
EN 28   EN The Commission will discuss with Member St ates the results of the study on national 
penalties with a view to ensuring a consiste nt approach throughout the EU. If necessary, 
appropriate follow-up action ma y be taken by the Commission. 
 The Commission will prepare itself for one of its main roles unde r REACH - granting 
authorisations for the placing on the market and th e use of substances giving rise to very high 
concern. This will become the Commission’s  main role under REACH in the future. 
 In 2011, on the basis of Member  States’ and ECHA’s reports on the operation of REACH, the 
Commission will prepare the first general repor t on the operation of REACH and will review 
its scope by June 2012.  The Commission will also continue to work to enhance good cooperation, coordination and 
exchange of information with national authorities and ECHA. 
Summary 
REACH, as a new horizontal regulatory framew ork for chemicals, has the long-term objective 
of providing a high level of protection of huma n health and the environment while ensuring 
the free circulation of substances on the internal market and enhancing competitiveness and innovation. This objective should be progressive ly attained over the next decade and beyond. 
The correct implementation of RE ACH is vital to the chemical industry sector in the coming 
years. We are still at the early phase of its implementation and it will only be possible to evaluate to what extent its objectives are being fulfilled ov er the coming years, whereupon 
corrective action will be taken if necessary. 
Links to legislation 
REACH and its implementing legislation ar e available through the following link: 
http://ec.europa.eu/ente rprise/sectors/chemicals/ documents/reach/index_en.htm
 
REACH and its links to prev ious legislation on restrict ions is available here:  
http://ec.europa.eu/enterprise/sectors/c hemicals/documents/reach/archives/market-
restrictions/index_en.htm  
 1.3.2. Other chemicals legislation  
Current position 
Drug precursors  are chemicals used in the illicit ma nufacture of drugs such as cocaine, 
heroin, ecstasy or methamphetamines. However, these chemicals also have a wide variety of 
legitimate uses, for example in the production of plastics, pharmaceuticals, cosmetics, 
perfumes, detergents or aromas. Effective control of the legitimate trade of these chemicals is therefore required to fight against their dive rsion into illicit drug manufacture. Work 
continued on infringement procedures against Member States for non transposition of national 
implementing measures. Out of 8 infringement cases opened in 2007, 3 were still pending at 
the Court of Justice of the Eur opean Union. Activity continued at  national level with a view to 
bringing these remaining cases to a close. 
EN 29   EN The purpose of Regulation (EC) No 2003/2003 on mineral fertilisers  is to allow the free 
circulation within the internal market of 'E C fertilisers’. In 2009 the Regulation was adapted 
to technical progress to include new types of fert ilisers that can be marketed as 'EC fertilisers' 
and to introduce new CEN test methods that wi ll facilitate compliance w ith the provisions of 
the Regulation. The adoption of Regulation (E C) No 764/2008 on mutual recognition raised a 
lot of interest in the fertiliser area. The Re gulation was discussed wi th national authorities 
responsible for implementing the fertiliser legisl ation to ensure that the recently introduced 
measures were fully understood and avoid potential situations  of non compliance. 
Regulation (EC) No 648/2004 on detergents  ensures that only detergen ts with surfactants that 
are fully biodegradable are placed on the market and that laundry detergents are appropriately 
labelled to protect the health of consumers, es pecially against allergies.  The Regulation was 
adapted to technical progress to grant a de rogation for the placing on the market of a 
surfactant that does not fulfil the requirements of ultimate biodegradabili ty in line with the 
criteria foreseen in the Regulation. 
Additionally, progress was made on a Court case against Luxembourg for the non-
implementation of the detergents Regulation.  In its judgment of 24 March 2009 (C-184/08) 
the European Court of Justice held that Luxe mbourg had failed to implement its obligations 
pursuant to Regulation EC No 648/2004 by not adopting the relevant penalties. The national 
authorities are drafting legislation to comply with the Court ruling. 
Directive 2007/23/EC protects consumers by requiring that pyrotechnic articles  must meet 
essential safety requirements. It also creates an  internal market for t hose articles that meet 
these essential safety requirements. In 2009, the Commission continued discussions with 
Member States to ensure the co rrect application and coherent im plementation of the Directive, 
which has to be transposed by Member States in  2010.  In future, the Dire ctive will be recast 
to align it with the New Legislative Framework. 
In the explosives  sector, the Commission monitored progress and difficulties with the 
transposition of Directive 2008/43/EC setting up a system for the identification and 
traceability of explosives for civil uses.  The Directive harmonises the safety requirements for 
civil explosives at a high level of protection in order to protect the general public from illicit 
uses. Infringement procedures were la unched against 10 Member States for non 
communication of national transposition measur es. Work is on-going to ensure that all 
Member States have the required measures in place by 2012, when the Directive must be 
applied. 
Directive 93/15/EEC on the harmonisation of the provisions relating to the placing on the 
market and supervision of explos ives for civil uses will be reca st to align it with the New 
Legislative Framework. 
Evaluation and consequences 
In 2009, the Commission adopted a report to th e European Parliament and the Council on the 
implementation and functioning of Regulatio n (EC) No 273/2004 on drug precursors, which 
identifies key areas where Community action is  recommended to improve the functioning of 
this area of the internal market. This action consists mainly of striving for better implementation of existing legislation to achieve  immediate gains from the use of established 
best practices, but does not exclude amendment of the legislation subject to  further analysis of 
the impact of various options for both co mpetent authorities and economic operators. 
EN 30   EN Work is expected to continue in order to in clude additional types of fertilisers in Regulation 
(EC) No 2003/2003 and replace some national st andards by common ones across the EU.  As 
recommended in the Risk Reduction Strategy on  Cadmium established in the framework of 
Regulation (EC) No 793/93 on the evaluation of  the risk of existing chemicals, the 
Commission has started to asse ss the possibility of reducing the content of cadmium in 
phosphate fertilisers. Meetings have been or ganised with stakeholders and Competent 
Authorities to understand the impact of poten tial measures and gather information for the 
required impact assessment. 
Pursuant to Article 16 (1) of the Regulat ion, in 2007 the Commission had submitted a report 
to the Parliament and the Council on the use of  phosphates in detergents. In the wake of this 
Report, a study was carried out to obtain scientif ic evidence on the cont ribution of detergents 
to the eutrophication of EU waters. The st udy was completed in 2009 and reviewed by the 
Scientific Committee of Health and Environmen tal Risks (SCHER). The Commission is in the 
process of preparing an impact assessment for a range of policy options  regarding the use of 
phosphates in detergents and if legislative action is to be adopted, a legislative proposal will 
be prepared by the Commission in 2010.  
Article 16 (2) of the Detergents Regulation re quires the Commission to  review and report on 
the environmental impact of detergent ingredients other than surfactants, and where justified, to prepare a legislative proposal. The Comm ission prepared reports on the anaerobic 
biodegradation of surfactants a nd the main non-surfact ant organic de tergent ingredients. The 
conclusion was that there are currently no risks th at require additional le gislative restrictions. 
Further investigation will be done  on certain issues (e.g potent ial environmental effects of 
certain detergent ingredients) in collaboration with industry and any new scientific evidence 
will be evaluated by the Commissi on Working Group on Detergents.  
Summary 
The acquis in these sectors is stable and e ffective overall and does not  require significant 
modification. 
Links to legislation 
Legislation and documents related to the sp ecific chemical sectors are available at: 
http://ec.europa.eu/enterprise /sectors/chemicals/documents/ specific-chemicals/index_en.htm
 
1.4. Pharmaceuticals 
Current position Over the past decades the pharmaceutical sector has been increasingly regulated at EU level 
with the result that nowadays many aspects concerning safe, effective and high-quality 
medicinal products are harmonised. EU legislat ion specifically focu ses on authorisation 
requirements for human and veterinary medicine s by establishing the prin cipal procedures and 
the substance of the scientific assessment; but it also covers surrounding aspects like clinical 
trials, orphan medicines and advanced therapie s. Such legislation is mainly based on the 
internal market competence of the Union, but also partly on health competencies. 
As regards compliance with the acquis , in 2009 the Commission received fewer new 
complaints than in 2008, but had to launc h more proceedings for non-communication. 
EN 31   EN By the end of the year, severa l infringement cases were closed following agreement between 
the Commission and the Member States on solu tions to the problems. However, it was not 
always possible to reach agreement in the pr e-litigation stage and the Commission decided to 
refer one case against Poland to the Court of Justice (C-349/09). It concerns a failure to 
implement parts of Directive 2005/28/EC laying down principles and detailed guidelines for 
good clinical practice as regards investigational medicinal products for human use, as well as 
requirements for authorising the manufact ure or importation of such products. 
In 2009, the Commission continued to use preventiv e techniques to ensure  the correct, timely 
and coherent implementation of the pharmaceutical acquis . Nevertheless, ten new cases had 
to be opened in November for non-communicati on in relation to Directive 2009/9/EC, which 
replaces Annex I to th e veterinary medicines Directive.  However, the exceptionally short 
transposition period of seven mont hs must be taken into account. 
There is constant dialogue with Member Stat es and competent agencies on regulatory matters 
in the pharmaceutical sector. This is mainly done through working parties dealing with the 
general interpretation of European pharmaceu tical legislation, in preparation for its 
transposition and implementation by the Member States, namely the Pharmaceutical Committee and the “Notice to applicants” group which examines the need to update 
guidelines on the requirements for marketing authorisations. In 2009, th e activities of this 
group were rather limited due to other priorities . Nevertheless, those two forums are important 
tools used by the Commission to find pro-activ e solutions outside, or in parallel with, 
infringement proceedings under Article 258 TFEU.  
If necessary, the Commission also establishes ad -hoc groups on specific subjects, such as the 
development of guidelines on the implementati on of Directive 2001/20/E C relating to good 
clinical practice in th e conduct of clinical trials on medicinal products for human use. 
The Commission took part in various forums, such as those organised by the European 
Medicines Agency or the Member States, to present guidelines on the transposition and 
implementation of legislation. Th e Commission also participated in the regular meetings of 
the heads of the national medicines agencies. 
Preliminary rulings of the Court of Ju stice help clarify the pharmaceutical acquis . In 2009 the 
Court of Justice gave rulings in the following cases: 
• C-140/07 and C-27/08 on the concept of medici nal products by function in relation to 
dosage and content of the active ingredient in the product concerned (Articles 1 and 2 of Directive 2001/83/EC on human medicines).
10 
• C-527/07, confirming that reference products us ed in generic applications must be 
authorised in accordance with Union law.11 
• C-421/07, clarifying that the advertising rules of Directive 2001/83/EC may in 
principle also apply to the dissemination of  product information by third parties, even 
if such third parties are not connected to  the manufacturer or seller of the product.12 
                                                 
10 Case C-140/07 Hecht-Pharma; Case C-27/08 BIOS Naturprodukte. 11 Case C-527/07 Generics (UK). 
EN 32   EN As regards legislative developments, Directive 2 009/53/EC on variations entered into force in 
2009. The Directive is part of a revision of the legal framework on variations to make the 
overall system clearer, simpler and more flexib le. After the adoption of the Directive, the 
Commission published two guideline documents on its implementation. 
2009 also saw improvements in the implementation of advanced therapy provisions. Directive 
2009/120/EC adapted Annex I to Directive 2001/83/EC to new advanced therapy specifications by updating the definitions and deta iled scientific and technical requirements 
for gene therapy medicinal products and soma tic cell therapy medici nal products, and by 
establishing technical requirements for ti ssue engineered products, advanced therapy 
medicinal products containing devices and combin ed advanced therapy medicinal products. In 
July a Commission regulation wa s adopted, laying down provisions  for the certification of 
quality and non-clinical data for SMEs devel oping advanced therapies.  It is intended to 
facilitate access to finance for SMEs at an early stage of the produc t development cycle. 
Legislative discussions on the so-called “pharmaceutical packag e” continued in 2009 within 
the co-decision procedure. That package contains: 
• Two legislative proposals on pharmacovi gilance, involving amendments to 
Regulation (EC) No 726/2004 and Directive 2001/83/EC; 
• Two legislative proposals on the provision of  information to patients , also involving 
amendments to Regulation (EC) No 726/2004 and Directive 2001/83/EC; 
• A legislative proposal on counterfeit medici nes, involving amendm ents to Directive 
2001/83/EC. 
Finally, at the end of the year, the Commission adopted a Commission Regulation (EU) 
37/2010 on pharmacologically active substances a nd their classificati on regarding maximum 
residue limits. It aims to simplify and clarif y Community procedures and ensure consistency 
with international standards. 
The legal basis for future pharmaceutical legi slation has been slightly accentuated by the 
addition to the health chapter of the Treaty on the functioning of the European Union of the 
specific competence to set high standards of quality and safe ty for medicinal products. To 
date, measures in this regard have been solely based on intern al market competence but it was 
a specific aim of the Lisbon Treaty (see Article s 2-6 TFEU) to define competences more 
clearly and Article 168(4)(c) TFEU seems to be the result. This change is not expected to 
have a large impact on the conten t of future harmonisation measur es but in some instances the 
legislator may opt for a dual legal basis, together with the internal market competence of the Lisbon Treaty (Article 114 TFEU). 
Four petitions were dealt with in 2009. 
Evaluation and consequences 
The pharmaceutical sector remains a highly dyna mic sector, which is subject to frequent 
change. In this environment, questions of tim ely and correct implemen tation of EU law are 
                                                                                                                                                        
 
12 Case C-421/07 Damgaard. 
EN 33   EN crucial to achieving the public health goals of the legislation and guaranteeing a level-playing 
field for the operators invol ved. In this resp ect the priorities remain unchanged. 
Summary 
Experience over the years shows that in ge neral the legal framework is well respected. 
Implementation and compliance by Member States  is satisfactory. Important contributors in 
this regard are the various working groups, committees and networks in the pharmaceutical sector which are useful forums for raising, discussing and resolving various issues and 
questions. At the same time they provide th e impetus for tightening up or clarifying the 
acquis , where necessary. 
Legislation: see Annex 1- point I.2. 
The Transparency Directive
 
In accordance with the Treaty, pharmaceutical pr icing and reimbursement policies fall within 
the responsibility of the Member States. However, Directive 89/105/EEC - commonly 
referred to as the "Transparency Directive" - la ys down a series of pro cedural requirements to 
ensure the transparency of national pricing a nd reimbursement measures. Its provisions do not 
affect the capacity of Member States to dete rmine the organisation and financing of their 
healthcare systems. In particular, each Member St ate is free to set the pr ices of medicines and 
to decide on their reimbursement status in the framework of national or regional health 
insurance schemes.   Directive 89/105/EEC is a peculiar instrument under Community law because it lies at the 
interface between EU competences (free movement  of goods within the internal market) and 
national responsibilities (organis ation of social security syst ems). The directive only provides 
for partial harmonisation, based on the underlying principle of minimum interference in the 
organisation by Member States of their domestic  social security policies. In other words, 
Member States are at liberty to establish their own regulator y framework, provided that the 
rules and procedures chosen incl ude certain guarantees of transpar ency. This specificity is not 
without consequences for the management of in fringement procedures: the investigation of 
complaints always requires a case-by-case analysis of complex national systems and the exercise is often complicated by the repeated reforms or adjustments of social security 
schemes introduced by many Member States in orde r to curb rising public  health expenditure. 
The specific features and the legal complexity  of each national system , together with the 
constant evolution of pricing and reimbursement  rules in many EU countries, make it difficult 
to manage infringement procedures in the same  way and within the same timeframe as with 
other directives. Where compliance issues aris e, Member States must implement their own 
solutions because they remain competent for the or ganisation of their social security systems. 
In addition, pharmaceutical pricing and reimburse ment is a politically sensitive area in all 
Member States due to the impact of national measures on healthcare budgets. Consequently, 
the resolution of infringement cases always requires dialogue and su stained cooperation with 
the competent national authorities.  The Commission has significantly st epped-up its efforts to ensure the enforcement of the 
Directive in the last five years. It became a pparent that several Memb er States - both old and 
new - had adopted pricing and reimbursement m easures at odds with th e principles of the 
Transparency Directive. Different issues rela ting to compliance with time-limits and other 
procedural obligations were identified by th e Commission on the basis of complaints from 
EN 34   EN economic operators. A majority of these issues  were resolved thr ough constructive dialogue 
with the competent national authorities. This enabled the Commission to close infringement 
proceedings in a dozen cases between 2005 and 2008. In 2009, two additional infringement 
cases - one against Slovenia and one against Au stria - were closed fo llowing the adoption of 
national legislation compatible w ith the requirements of the Dir ective. Austrian legislation, in 
particular, was amended to comply with the ju dgment of the European  Court of Justice in 
Case C-311/07. Discussions with the Member Stat es on the application and interpretation of 
the Directive also took place in the Transparency Committee which convened in July 2009. In 
addition, three on-going cases (respectively agai nst the Czech Republic, Slovakia and Poland) 
are being closely monitored as the competent authorities are preparing new legislation to 
ensure compliance with the Directive.  Given the rapid evolution of health insurance systems and the recent multiplication of cost-
containment measures in many Member States, the compatibility of national measures with 
Directive 89/105/EEC continues to require cons tant scrutiny. The Commission will therefore 
continue to investigate complaints pointing to potential incompatibilities of national measures 
with the Directive; priority  will be given to cases where insufficient or incorrect 
implementation of the procedural requirements of the directive into national law could entail significant barriers to trad e in medicinal products 
 
1.5. Medical devices 
Current position The medical devices sector is  regulated by three main directives: Directive 90/385/EEC 
relating to active implantable medical devi ces, Directive 93/42/EEC concerning medical 
devices, and Directive 98/79/EC on in vitro diagnostic medical devices.  
The first two directives have been amended several times, most recently by Directive 
2007/47/EC which was due to be transposed  by the Member States by 21 December 2008. 
However, transposition was slow and in 2009 the Commission initiated 22 infringement 
proceedings for non-communication of transposition measures. At the beginning of 2010, seven cases remain open, six of which are at th e reasoned opinion stage,  while in the seventh 
the Commission is awaiting notification of a transposition measure adopted in 2009.  
The Commission has been able to check the c onformity of national measures transposing 
Directive 2007/47/EC in more than  half of the Member States. No  substantial deviations have 
been identified so far. Correlation tables were extremely helpful in the performance of that 
task, in particular where provisions of the Di rective(s) were transposed by amendment of 
different legal acts of the Member States. In  connection with the transposition exercise, 
various guidance documents were developed to facilitate the task of  the Member States. 
Four infringement cases based on non-conformity with medical devices di rectives or incorrect 
application of national trans position rules were still open at the end of 2009. Two cases 
should be closed in 2010. One new complaint was received in 2009 concerning an issue (i.e. 
registration requirements for medical devices in  Italy) for which th e Commission had already 
started proceedings based on thr ee complaints received in 2007.  
In 2008, the Commission had launched a public c onsultation concerning the recast of the 
medical device directives which elicited 200 responses. In 2009, preparation for the recast 
continued, inter alia through intensive bilateral stakeholder consultations, exchanges of views 
EN 35   EN with the Member States and analysis of a number of topics emerging. The Commission 
intends to enhance patient safety by ensuring a uniformly high level of control of medical 
devices, facilitate market access for innovative technologies and maintain the competitiveness 
of the industry by providing a clear, predicta ble and appropriate legal framework.   
Article 168(4)(c) of the Treaty on the Functioning of the European Union creates a new Union 
competence to set high standards of quali ty and safety for medical devices. 
Evaluation and consequences 
The last revision of the medi cal devices directives was im plemented too slowly by many 
Member States. The quality of transposition is, however, good. There are few infringements 
by Member States (apart from the initial non-communication).  
Summary 
The present regime in the medical devices sect or must be continually  adapted for a broad 
range of products and issues in order to ensure  a high level of safety for patients, users and 
third parties, to further improve safety standards and market surveillance in the light of technical and scientific progress,  to ensure the smooth functioni ng of the Internal Market and 
to simplify the legislation in accordan ce with better regulation principles. 
Links to legislation 
Regulatory Framework:  
http://ec.europa.eu/enterprise /sectors/medical-devices/reg ulatory-framework/index_en.htm
 
1.6. Cosmetics 
Current position The Cosmetics “acquis” consists of Counc il Directive 76/768/EEC, which was amended 
seven times by the European Parliament and the Council and modified for the purpose of 
adapting to technical progress 59 times13. It  will be replaced by Regulation (EC) No 
1223/2009 on cosmetic products. 
In 2009, there were three meetings of the Standing Committee on Cosmetics Products (a 
regulatory comitology committee) , and three meetings of the Working Group on Cosmetics, 
which includes Member States, representati ves of the Industry a nd the Consumers. The 
agenda of the Standing Committee always included a point on th e transposition of directives. 
In 2009, seven directives adapting the Cosmetics Directive to t echnical progress were adopted 
by the Commission, three with transposition de adlines in 2009 and four in 2010. After the 
adoption of each directive, the Commission sent a letter to the Member States reminding them 
of the deadlines and offering support with the transposition. The inclusion of an obligation on 
the Member States to provide correlation ta bles was not necessary for the above-mentioned 
                                                
 
13 The consolidated text of Council Directive 76/768/EC and the adaptations to technical 
progress are available on: http:/ /ec.europa.eu/enterprise/cosme tics/html/consolidated_dir.htm. 
EN 36   EN directives because of the nature of their cont ent (technical changes to annexes) and the fact 
that Member States use the original text of  the directive for their transposition measures. 
National transposition measures are systematically checked to ensure that the text submitted 
relates to cosmetic products, that the reference of the directive transposed is mentioned and 
that all of the substa nces concerned by the adaptation are mentioned. 
The Commission launched 15 infringement proceedings for non  communication of national 
transposition measures rela ting to Commission Directiv es 2008/88, 2008/123 and 2009/6 on 
the adaptation to the techni cal progress of Council Direc tive 76/768/CEE on cosmetic 
products, whose transposition deadlines were in  2009. 11 of these proceedings were closed 
within the same year. 
One complaint was received for alleged incorre ct application of Di rective 76/768/EEC, which 
is currently being investigat ed, and one non-conformity case reached the stage of reasoned 
opinion. 
Regulation (EC) No 1223/2009 of the European Parliament and of the Council on cosmetic 
products was adopted on 30 November 2009. Th is new (recast) Regulation aims at 
guaranteeing the safety of co smetic products in the light of innovation and simplifying the 
legislative environment. It will apply from 11 July 2013.  
Evaluation and consequences 
By its very nature, the cosmetics sector is subject to continuous innovation and technical 
progress and so the legislation will continue to be dynamic. In this context, the Commission 
acknowledges the very fruitful cooperation enjoyed not only with  the Member States but also 
with all stakeholders. 
The recast of the principal legislation in the form of Regulation (EC) No 1223/2009 will 
improve the efficiency with which the internal market for cosmetics functions. After the date 
of application of the Regulati on, all future technical adaptati ons will also be adopted by 
regulation. This will lead to a single identical legislative framewo rk as the sole reference for 
operators on the internal market; in addition, it will allow resource savings by removing the 
need to adopt and monitor transposition measures and by avoiding infringement proceedings for non-communication. During the transition period between the adoption of the Regulation 
and its application, the Commission will continue  to adopt technical adaptation directives to 
update the Annexes to Directive 76/768/EEC, wh ich will be repealed on 11 July 2013.  
Summary 
The current legislative regime on cosmetic pr oducts is solid and dynamic. The new Cosmetics 
Regulation is an attempt to reinforce the safety  of cosmetic products in the light of innovation, 
and to simplify the legislative environment a nd the Commission looks forward to its entry 
into force to assess whether it has been successful. 
Links to legislation 
Cosmetics Regulatory Framework: 
http://ec.europa.eu/enterp rise/sectors/cosmetics/regul atory-framework/index_en.htm
 
EN 37   EN 1.7. Mechanical, electrical and telecommunications equipment 
Current position The Machinery Directive 2006/42/EC, published on 9th June 2006, began to apply from 29th 
December 2009, replacing Machinery Directiv e 98/37/EC. The new Directive does not 
introduce any radical changes compared with  98/37/EC but aims to consolidate the 
achievements of the Machinery Directive in terms of free circula tion and safety, while 
improving its application. However, the scope of the new Directive is extended, since 
construction-site hoists and por table cartridge-operated fixing and other impact machinery, 
designed for industrial or technical pur poses only, will no longer be excluded. 
The new Directive has already been amended to  introduce into the Di rective environmental 
protection requirements for new m achinery placed on the market for use in the application of 
pesticides. 
Eight infringement proceedings for non-communication of national measures implementing 
the Directive were closed following receipt of the measures.  Reasoned opinions were addressed to Greece, Italy and Luxembourg whic h had still not notifie d their transposition 
measures.  By the end of 2009, these three Member States are the only ones not having 
communicated their transposing measures. 
Two cases brought under the old Directive (98/37 /EC) were closed a nd another was referred 
to the Court since the required changes to th e national legislation ha d not yet taken place. 
With respect to Directive 2004/ 108/EC on the approximation of  the laws of the Member 
States relating to electromagnetic compatibility  and repealing Directive 89/336/EC, following 
notification of the national transposition measures, the Commission decided to withdraw the case against Luxembourg that had been referred to the ECJ the previous year.  In the course of 
2009, all national transposition measures were communicated by Member States.   
Two other cases were closed, one under Directive 1999/5/EC on radio equipment and 
telecommunications terminal equipment and one under Directive 2000/9/EC on cableways, 
following modification of infr inging national legislation. 
Finally, with regard to the lifts Directive,  95/16/EC, one case was closed and a reasoned 
opinion was issued in a case where the Member  State must amend its national legislation. 
Evaluation 
Compliance by Member States with the law in this  sector is satisfactor y.  The existing acquis 
is relatively long-standing and we ll established and has not requi red (and is not expected to 
require) much substantial development.  The situ ation is stable, manageable and acceptable.  
The volume of problems arising is reasonably limited and stable and no special corrective 
action is required. 
Consequences of evaluation 
 Priorities
 
As in 2008, priorities were the non-communi cation cases.  In 2008, Directive 2004/108/EC 
and Machinery Directive 2006/4 2/EC had been the main focus. In 2009 Directive 
EN 38   EN 2004/108/EC was fully transposed and the prio rity non-communication cases remained those 
relating to the Machinery Directive. 
 Planned action  
Following adoption of Decision No 768/2008/EC on a common framework for the marketing 
of products, and repealing Council Decision 93/ 465/EEC, some existing di rectives must be 
revised, in particular Direc tive 2006/95 relating to electri cal equipment designed for use 
within certain voltage limits, Directive 2004/108 /EC on the approximation of the laws of the 
Member States relating to electromagnetic compatibility, Directive 94/9/EC regarding equipment intended for use in potentially expl osive atmospheres and Directive 95/16/CE on 
lifts.  It is intended to start this revision process in the course of 2010.   
An increase in work on the amendment of ex isting legislation is  therefore expected.. 
An amendment is planned for 2010 to Directive 97/68/EC on the approximation of the laws of 
the Member States relating to measures agai nst the emission of gaseous and particulate 
pollutants from internal combustion engines to be installed in non-road mobile machinery. 
The changes to be made are an adaptation to technical progress, relating to type approval 
testing procedures for certain larger diesel engi nes, and a revision of the “flexibility scheme”. 
Summary 
Planned work will include the revision of some directives, in order to align them to Decision 
No 768/2008/EC on a common framework for the marketing of products.  However, the 
acquis is relatively well established and the situ ation is stable.  The sectors of mechanical, 
electrical and telecommunications  equipment function smoothly.   
 
1.8. Gas appliances, pressure equi pment and legal metrology 
Gas appliances, pressure equipment, and metr ology are technically complex sectors that are 
regulated by EU law to a certain extent. Legislati on in the sector is designed to protect health 
and safety in relation to risk s posed by high pressure and co vers goods ranging from simple 
pressure cookers to the larg est chemical installations. 
1.8.1.  Gas appliances 
Current position The gas appliances sector is regulated by Directive 2009/142/EC re lating to appliances 
burning gaseous fuels
14 which codifies one of early New Approach Directives. It has the dual 
purposes of ensuring the free movement of ga s appliances through technical harmonisation 
with regard to hazards due to gas and guarantee ing a high level of protec tion of health, safety, 
                                                 
14 Directive 2009/142/EC of the European Parl iament and of the Council of 30 November 
2009 (OJEU L330, 16.12.2009, p.10). This Directive is the codification of Directive 
90/396/EEC relating to applianc es burning gaseous fuels. 
EN 39   EN the environment and consumers. It defines ma ndatory essential requirements and sets up 
mandatory conformity assessment procedures. 
The final Report on a “Competitiveness study on the EU gas appliances sector” has been 
published. The study was intended  to provide information to the Commission, the Member 
States and stakeholders on the current situation in the gas appliances se ctor and to highlight 
future prospects and developments in the sector. 
A case against Germany was closed as following a letter of formal notice Germany modified 
the contested provision. A letter of form al notice was sent to Greece for incorrect 
implementation of the Directive. 
Summary 
The Directive has been operating satisfactoril y for more than fifteen years. However, 
experience of its implementation and technical progress and innovation led to an examination of the need for revision by the Commission toge ther with the Member States Working Group 
on Gas Appliances. A subgroup was created to presen t specific proposals, and to facilitate and 
accelerate the preparatory phase. In this contex t, the Directive will also be aligned with 
Decision 768/2008/EC on a common framework for the marketing of products.   
The management of the Direct ive and its correct and effec tive implementation, including the 
infringement procedures and safeguard clauses, will continue in 2010, together with discussions and preparations for the revision of the Directive. 
1.8.2.  Pressure equipment 
Current position Until 2009, the main EU legislation in the area  was the harmonising Directives 87/404/EEC 
on simple pressure vessels and 97/23/EC on pressure equipment, covering design, 
manufacture and conformity assessment. Directive 87/404/EEC has been replaced by 
Directive 2009/105/EC of the Eu ropean Parliament and of the Council of 16 September 2009 
relating to simple pressure vessels (codi fied version), (OJEU L 264, 8.10.2009, p.12), in the 
interests of clarity and rational ity, as it had been previously  substantially amended several 
times.  The legislation is being aligned with the new legal framework for the marketing of 
products, in particular Decisi on No 768/2008/EC of the Europ ean Parliament and of the 
Council on a common framework for the marketing of products. 
Directive 75/324/EEC on aerosol dispensers covers  the safety and labelling requirements that 
aerosol dispensers must satisfy in order to be  placed on the market.  Directive 2008/47/EC of 
8 April 2008
15, modified Directive 75/324/EEC to adap t it to technical progress. Member 
States had until 29 October 2009 to transpos e it and it will a pply from 29 April 2010. 
Infringement proceedings were begun against 13 Member States for non communication of 
transposition measures. Following up these procedures will be  a priority in 2010. 
                                                 
15 Directive 2008/47/EC amending, for the purpos es of adapting to technical progress, 
Directive 75/324/EEC on the approximation of th e laws of the Member States relating to 
aerosol dispensers (OJ L 96, 9.4.2008, p.15).  
EN 40   EN The four old Directives on pr essure vessels (framework directive 76/767/EEC and three 
specific ones on gas cylinders, namely  Directives 84/525/EEC, 84/526/EEC and 
84/527/EEC), would be repealed by a proposal  adopted by the Commission on 18 September 
2009, for a Directive of the European Parliament  and of the Council on transportable pressure 
equipment (COM(2009)482). 
One case against Spain concerning solar pane ls used for the production of hot water was 
closed, as it concerned insta llation aspects rather than desi gn requirements relating to the 
product itself. 
Infringement procedures and issues relating to  the correct implementation of the Directives 
will be priority issues for the Commission servic es in the pressure sector in 2010, as well as 
the alignment of Directives 97/23/EC and 2009/105/EC to Decision No 768/2008/EC. 
Summary 
The pressure sector functions smoothly and ther e are no major problems.  Managing this part 
of the acquis  is largely a matter of enforcing trans position on time.  This will be pursued 
rigorously where required. 
1.8.3.  Legal metrology 
Current position Legal metrology  covers units of measurement and th e metrological requirements to be 
satisfied by pre-packed products and measuring instruments before  they may be legally placed 
on the market and put into service. 
The main Directives relating to the design a nd manufacture of meas uring instruments are 
Directives 71/316/EEC on the common provisi ons for both measuring instruments and 
methods of metrological control, 90/384/EEC  on non-automatic weig hing instruments and 
2004/22/EC on measuring instruments. 
Directive 71/316/EEC was replaced by (recas t) Directive 2009/34/EC of the European 
Parliament and of the Council of 23 April 2009 relating to common  provisions for both 
measuring instruments and methods of metrologi cal controls, as it ha d been substantially 
amended several times (OJEU L 106, 28.4.2009, p.7). It  has also been adapted to the new 
regulatory procedure with scrutiny, esta blished by Council D ecision 1999/468/EC laying 
down the procedures for the exercise of im plementing powers confe rred on the Commission, 
as amended by Decision 2006/512/EC. 
Directive 2004/22/EC was modi fied by Commission Directiv e 2009/137/EC of 10 November 
2009 in relation to maximum permissible errors and the instrument-specific annexes MI-001 
to MI-005 (OJEU L 294, 11.11.2009, p.7).  Member St ates must transpose these changes by 1 
December 2010. The new Directive will apply fro m 1 June 2011. Timely transposition will be 
a priority for the Commission services in 2010. 
Discussions in the Council and European Parl iament continued on a Commission proposal for 
a Directive of the European Parliament a nd of the Council repeal ing 8 old metrology 
EN 41   EN Directives (COM(2008)801)16. These Directives were a dopted under the old framework 
Directive 71/316/EEC and co-existed aside with  national provisions. However, in practice 
adaptation of the regulatory framework to techni cal progress and innovati on in relation to the 
measuring instruments concerned was effected by the voluntary application of European or 
international standards, or of national provisi ons implementing such new specifications. In the 
specific case of tyre pressure gauges, the existing Directive on Tyre Pressure Gauges for Motor Vehicles (Directive 86/217/EEC) is virtually obsolete in terms of technology and, in the absence of an up-to-date international standa rd, a standardisation mandate has been issued 
to the European Standardisation Organisations. Mo re generally, it was considered that the free 
circulation within the internal market of the products concerned could be adequately ensured 
by Articles 34 to 36 TFEU and the mutual recognition principle.  
Transposition of Commission Di rective 2007/13/EC of 7 March 2007
17 modifying Annex II 
to Directive 71/316/EEC to includ e drawings of the distinguish ing capital letters of some 
Member States (used in the initial verificatio n mark affixed on a meas uring instrument to 
show conformity) has been co mpleted. Four remaining cases were closed by the Commission 
following communication of nationa l transposition measures.  
Directive 90/384/EEC was repla ced by Directive 2009/23/EC of th e European Parliament and 
of the Council of 23 April 2009 on non-automatic  weighing instruments (codified version), 
(OJEU L 122, 16.05.2009, p.6) in the interests of cl arity and rationality  as it had been 
substantially amended.  
With regard to pre-packed products, Direc tives 75/106/EEC on pre-packaged liquids and 
80/232/EEC on ranges of nominal quantities and nominal capacities for certain pre-packaged 
products were repealed on 11 April 2009 when Dir ective 2007/45/EC came into force. As of 
that date, Directive 76 /211/EEC contains the metrological requirements for all pre-packaged 
products as defined in its amended scope.  Directive 2007/45/EC will liberalise nominal 
quantities of pre-packaged products  within the EU in line with C ourt of Justice jurisprudence, 
with the exception of wine and spirits for which nominal quantities will continue to be defined 
at Community level. Transposition (due by 11 October 2008) is almost complete - only one 
infringement procedure remains open, against Italy.  
Units of measurement are harmonised by Dir ective 80/181/EEC which creates a harmonized 
regulatory framework throughout the EU, elimina ting trade barriers betw een Member States. 
Directive 80/181/EEC was modified by Directiv e 2009/3/EC of the European Parliament and 
of the Council of 11 March 2009 to  allow the use of supplementary  indications to legal units 
of measurement on a permanent basis, to adapt th e Directive to technica l progress and, in line 
with the subsidiarity principle, to allow the United Kingdom and Ireland to continue to use the 
mile for road signs/speed indications, the pint for milk in returnable bottles and for beer and cider on draught and the troy ounce for transactions in prec ious metals. Keeping these local 
and limited exemptions does not lead to barrier s to the free circulation of products. Member 
                                                
 
16 The Directives that are proposed to be repealed are Directives 71/317/EEC, 71/347/EEC, 
71/349/EEC, 74/148/EEC, 75/33/EEC, 76/ 765/EEC, 76/766/EEC and 86/217/EEC.  
17 Commission Directive 2007/13/ EC amending Annex II to Council Directive 71/316/EEC 
on the approximation of the laws of the Memb er States relating to  common provisions for 
both measuring instruments and methods of metrological control (OJ L 73, 13.3.07, p.10). 
EN 42   EN States had until 31 December 2009 to transpose it and it applied from 1 January 2010. 
Enforcing transposition where national meas ures have not been communicated will be a 
priority in 2010. 
Summary 
The sector functions smoothly and no  serious problems are encountered. 
1.9. Construction products 
Current position Directive 89/106/EEC on construction products (“the CPD”) has not been amended recently, 
which has allowed its steady implementation within Member States’ national systems. 
Harmonisation through European standards, published in the OJEU has continued and 
conditions for businesses operating in the sect or, whether as manufacturers or users of 
construction products, have experienced stab le progress during 2009. However, certain 
fundamental problems with the implementation of the CPD remain unsolved, resulting in 
different transposition in the Member States and thus causi ng deficiencies in regulatory 
framework. 
The constant enlargement of the sphere ha rmonised and its inherent complexity have 
exacerbated these difficulties. This situation is reflected in the number and variety of 
infringement cases currently underw ay in the construction sector. 
The revision of the CPD has proceeded duri ng 2009 more or less as expected: after the 
adoption of the Commission proposal for a Re gulation (“the CPR”) on 23 May 2008, the best 
case scenario was first reading in the European  Parliament based on a compromise with the 
Council before the 2009 elections, with a doption of the CPR during 2009 and the new 
legislation entering into force in mid-2011. Ho wever, developments in the co-decision 
procedure before the elections made this impossi ble; instead after a first reading vote in the 
plenary in late April 2009, the proposal was le ft to be dealt with by the newly chosen 
Parliament. This, together with differences in the positions of the Member States in the 
Council, hampering agreement on key issues of the proposal, has considerably  delayed the 
adoption and the entry into force of the CPR. 
Evaluation 
Infringement procedures (both current and future) must be seen in the c ontext of the revision 
of the CPD. One of the main reasons for revisi ng the CPD is the confusion caused by different 
approaches taken by the Member States to its tran sposition (in particular as regards the use of 
CE marking).  It is difficult to pursue cases  under the CPD where th e approach taken under 
the CPR will be different.  Yet, the opinion of the Court of Justice would be helpful in formulating certain aspects of the CPR and it must  be borne in mind in this regard that the 
CPR will not come into force in 2010 or even 2011.  
Consequences of evaluation 
The emphasis will continue to be on the legislative process for the CPR which will 
monopolise resources. Yet, since the new legislati on will not be in place in the next two years, 
we will continue to be confronted with lega l uncertainties deriving from the CPD and its 
various interpretations in Member States.  
EN 43   EN However, the intention is to reduce the num ber of pending infringements. Looking forward, 
the focus will be on dealing with complaints, present and future, more swiftly than before, 
with greater use being made of the new procedures such as the EU Pilot in the case of new 
complaints against participating Member States . Contact with all Member States must be 
intensified with a view to the introduction of  the CPR to promote discussion of necessary 
adjustments to their current practices.. On certain occasions duri ng 2009, this approach 
appears to have contributed well towards us  avoiding the necessity of registering new 
infringement cases in this field for this whole year.  
1.10. Textiles/clothing, footwear and wood 
Current position Textiles and clothing  are regulated by Directive 2008/ 121/EC on textile names. This 
Directive was adopted on 14 January 2009 as a recast Directive and repealed Directive 
96/74/EC on textile names. Directive 2008/1 21/EC incorporates Commission Directives 
97/37/EC, 2004/34/EC, 2006/3/EC and 2007/3/EC which amended Directive 96/74/EC. 
Directive 2008/121/EC was it self amended by Commissi on Directive 2009/121/EC. Other 
legislation on textiles is Dire ctive 96/73/EC (adapted to technical progress by three 
Commission Directives 2006/2/ EC, 2007/4/EC and 2009/122/EC) and Directive 73/44/EEC 
specifying testing methods for sampling and anal ysis of fibre mixtures to determine the 
conformity of information supplied on a label in accordance with Directive 96/74/EC. Due to 
the technical nature of the textiles directives, the Committee for textile names and labelling (composed of experts from Member States and other interested parties) assists the 
Commission in their adaptation to technical progress.  
One ongoing infringement case was closed in 2009, but there no new in fringement case was 
launched during the course of the year.  
In the footwear  area , the legislation (Directive 94/11/EC on the labelling of materials used in 
consumer footwear) is well-established and stable - , unlike the clothing and textiles 
legislation, it is not necessary to amend this legislation ofte n in the light of technical 
developments. There is no committee work in this area.  
In the wood sector , there is no EU legislation. 
Changes underway (only concer ns textiles and clothing) 
Due to the length and cost of the procedure for the technical adaptation of  textiles Directives 
on the adoption of a new fibre name (involvi ng the introduction of new fibre names and 
testing methods by Commission Dir ective) it was proposed that th ey be revised and replaced 
by a regulation which would simplify this proc edure and create a single directly applicable 
legal instrument.  The Commi ssion adopted a Proposal for a Re gulation on textile names and 
related labelling of textile products [COM(2009) 31 final] on 30 January 2009.  
In accordance with the ordinary legislative procedure, this Proposal is currently under 
discussion in the relevant Counc il Working Party and in the In ternal Market and Consumer 
Protection Committee of the Eur opean Parliament. It has alr eady received the favourable 
opinion of the European Economic and Social Committee.  
Evaluation and consequences 
EN 44   EN The major legislative effort in the textiles sect or is going to be the c ontinuation of work on the 
Proposal for a Regulation on textile na mes and related labelling. Monitoring the 
implementation and application of the legal instruments already in force will continue as necessary. 
Summary 
Stable acquis  posing few enforcement difficulties. 
Links to legislation 
The relevant legislation can be  found at the following webpage: 
http://ec.europa.eu/enterprise/sectors /textiles/single-market/textiles-names-
legislation/index_en.htm  
1.11. Toys 
The new toy safety Directive was adopted  on 18 June 2009 and published on 30 June 2009. 
Member States must adopt and publish impl ementing provisions by 20 January 2011 and 
apply them from 20 July 2011. The later date of 20  July 2013 is laid down for the application 
of chemical requirements. 
The objective of the new Directive is to ensure  a high level of safety of toys, ensuring the 
health and safety of children, whilst guarantee ing the functioning of the internal market by 
setting harmonised safety requirements for t oys and minimum requirements for market 
surveillance. The Directive applies to pr oducts designed or intended, whether or not 
exclusively, for use in play by children under 14 years of age.  
The main changes to the current legal framewor k concern: enhanced requirements, especially 
in relation to the use of chemicals in toys, ma ndatory safety assessment prior to the marketing 
of toys and stringent obligations  for economic operators.  
In July 2009, the Commission issued a mandate to CEN (European Committee for 
Standardisation) and CENELEC (European Comm ittee for Electrotechnical Standardisation) 
to review the existing harmonised standards an d adapt them to the requirements of the new 
directive. The process is under way and revise d standards should be available before the 
directive becomes applicable.  
General and specific guidance documents aimed at facilitating the application of the new 
directive are currently being prepared and w ill be available on the Commission website over 
the course of 2010. 
1.12. Cultural goods 
In 2009, the acquis  in this area remained stable.  
The proposal to codify Directive 93/7/EEC on th e return of cultural ob jects was part of the 
Codification exercise of the Commission. Howeve r, this proposal was withdrawn from the 
Codification exercise in June 2009 because, in the light of the Court’s decision in case C-
133/06, it was concluded that Article 16(3) of th e Directive constitutes a second legal basis 
and therefore the European Parliament must be  involved in the procedure. As no changes of 
substance can be made on codification, the proposal to codify was withdrawn.  
EN 45   EN  
On 30 July 2009, the Commission adopted its thir d report reviewing the application of the 
Directive by the Member States over the period 2004-2007. The Commi ssion concluded that 
amendment of the Directive should be consider ed and that the impact of any proposal to 
amend should be analysed in depth by the na tional authorities responsible for implementing 
the Directive.    To that end, the Commission service responsible  for the Directive suggested to the Committee 
on the Export and Return of Cultural Goods that a working group be set up to identify 
problems associated with the appl ication of the Direct ive and suggest soluti ons with a view to 
its possible amendment. The "R eturn of cultural goods" working group held its first meeting 
in November 2009.   A second meeting will be organised during the fi rst half of 2010. The intention is to proceed 
with a recast of Directive 93/7/EEC in 2012.  
1.13. Late payment 
Despite the entry into force of  Directive 2000/35/EC, late paymen t in commercial transactions 
is still a general problem within the EU. Late payment affects the competitiveness and 
viability of companies, notably SMEs. This ri sk strongly increases in periods of economic 
downturn when access to financing is particularly difficult. 
On 8 April 2009, the Commission adopted a legisl ative proposal to strengthen the existing 
rules combating late payment in contracts between businesses or between businesses and 
public authorities. It is essential to introduce additional tools to reduce the number of late payments in commercial transactions, to shorte n payment periods for public administrations 
and to substantially reinforce incentives for public administrations to pay on time. The new 
proposal amending and recasting Directive 200 0/35/EC should have a direct and positive 
effect on the cash flow of enterprises, facilitating their day-to-day business. 
The proposal, which is now under the ordinary le gislative procedure, would improve remedies 
for late payment by introducing an entitlement to the recovery of administrative costs and 
compensation for internal costs incurred as a c onsequence of late payment. In the case of 
public administrations, the proposal would s horten payment periods by harmonising periods 
for payment by public authorities to businesses. Finall y, it would also abo lish the possibility 
to exclude claims for interest of less than €5. 
In 2009, four new complaints were received. One case dating back to 2005 was closed and 
two others were closed in Janua ry 2010.  Two cases remain open. 
1.14. Weapons 
Council Directive 91/477/EEC on control of the acquisition and possession of weapons has 
been amended by Directive 2008/51/EC of the Eur opean Parliament and of the Council of 21 
May 2008, which is to be trans posed by Member States by 28 Ju ly 2010. The rationale of the 
amending directive is twofold: to comply w ith the requirements of the United Nations 
Protocol against the illicit manufacturing of and trafficking in firearms (signed by the 
Community in 2001) and to enhance security in firearms-related issues. On 11 May 2009, the 
Commission held the first meeting of the "Contact Group on Firearms" created by the 
EN 46   EN amending directive, and provided the Member Sate s with assistance to facilitate appropriate 
and timely transposition of the Directive. 
1.15. Product liability 
Directive 85/374/EEC on the approximation of the laws, regulations and administrative 
provisions of the Member States concerning liab ility for defective products is a consolidated 
instrument that fairly apporti ons risk between citizens and pr oducers, assuring citizens of the 
safety of products put into circul ation in the internal market.  
 In 2009, the Court of Justice gave two preliminar y rulings. In the first, where the Appellate 
Committee of the UK House of Lords had requested  clarification of the meaning of “instituted 
proceedings against the producer” in article 11 of the Directive 85/374, th e Court ruled that:  
"Article 11 of Council Directiv e 85/374/EEC precludes national le gislation, which allows the 
substitution of one defendant for another duri ng proceedings, from being applied in a way 
which permits a ‘producer’, within the meaning of Article 3 of that  directive, to be sued, after 
the expiry of the period prescribed by that arti cle, as defendant in proceedings brought within 
that period against another person. 
However, first, Article 11 must be interprete d as not precluding a na tional court from holding 
that, in the proceedings instituted within the period prescribed by th at article against the 
wholly-owned subsidiary of the ‘producer’, with in the meaning of Article 3(1) of Directive 
85/374, that producer can be substituted for that s ubsidiary if that cour t finds that the putting 
into circulation of the product in question was, in fact, determined by that producer. 
Second, Article 3(3) of Directive 85/374 must be interpreted as meaning that, where the 
person injured by an allegedly defective prod uct was not reasonably able to identify the 
producer of that product before exercising his rights against the s upplier of that product, that 
supplier must be treated as a ‘producer’ for the purposes, in particular, of the application of 
Article 11 of that directive, if it did not in form the injured person, on its own initiative and 
promptly, of the identity of th e producer or its own supplier."  
 
In the second, on the scope of Articles 9 (concep t of “damage”) and 13 (“rights of an injured 
person under the rules of the la w of contractual or non-contra ctual liability or a special 
liability system”) of the Dir ective, the Court ruled that: 
"Council Directive 85/374/EEC of 25 July 1985 on the approximation of the laws, 
regulations and administrative provisions of the Member States concerning liability for 
defective products must be interp reted to mean that it does not preclude the interpretation of 
domestic law or the application of settled domes tic case-law according to which an injured 
person can seek compensation for damage to an item of property intended for professional 
use and employed for that purpose, where that injured person simply proves the damage, the 
defect in the product and the causal link  between that defect and the damage".  
 
In 2010, the Commission will begin to prepare th e fourth report on Directive 85/374/EEC.  
 
1.16. Defence goods 
In May 2009, the Council and the European Parliament adopted directive 2009/43/EC 
simplifying intra-EU transfers of defe nce-related products (OJ L 146, 10.6.2009, p. 1–36). 
EN 47   EN This directive is the first internal market inst rument dealing with the circulation of defence-
related products.  
The directive aims to:  
• support cross-border industria l cooperation, requested by industry, by enabling 
defence industries to benefit from smoot her and more predictable supply chains. 
SMEs, often operating as defence subcontractors, will much more easily be able to join cross-border programmes manage d by large system integrators.  
• improve security of supply for EU armed forces relying on cross-border deliveries.  
Directive 2009/43/EC must be transposed before 30 June 2011 and will fully apply from 30 
June 2012.  
During the transposition period, the Commissi on will pay particular attention to the 
certification of European defence companies that  wish to reap maximum advantage from the 
EU simplified transfers regime. Certification w ill establish the reliability of the recipient 
undertaking, in particular as regards its capacity to observe export limitations of defence-
related products received under a transfer licence from another Member State. The 
Commission is considering the pr eparation of a recommendation or  guidelines on the practical 
implementation of certifica tion at national level. 
1.17. Non-harmonised area 
Current position Articles 34-36 TFEU (ex-Articles 28-30 EC) ensu re the easy cross-bord er exchange of goods 
within the Internal Market in areas that are not subject to harmonisa tion by EU legislation. 
The Commission monitors the correct applicati on of these rules and related Regulations and 
opens infringement procedures agai nst Member States when necessary. 
In 2009, the Commission dealt with fewer complain ts and infringement cases in the various 
non-harmonised fields covered by Article 34-36  TFEU – 65 in 2009, compared with 73 in 
2008 and 85 in 2007.  In 2009, 29 new complaints were received and 3 own-initiative cases 
begun, compared to 27 and 1 respectively, in 2008. 
The main areas of concern remain national rule s on registration of vehi cles, obstacles to the 
free movement of food supplements  and restrictions on the parall el imports of medicines and 
plant protection products. A new area of concern might be the resurgence of systematic border 
checks on individuals and their goods. Today’s restrictions on the free movement of goods 
often relate to requirements im posed on products in one Member State that are additional to, 
or more stringent than, those imposed in anot her. Market access for imported products can 
also be hampered by complicated and tim e-consuming administrative procedures. 
The majority of complaints (a round 2/3) are still brought by SMEs. This confirms findings 
that, in contrast to large ope rators who have been very su ccessful in benefiting from the 
opportunities of the internal market, SMEs often find it fragmented and difficult to penetrate. 
In 2009, several infringement cases were closed  after the Commission and the Member States 
found solutions to the problems:  
EN 48   EN • Finland modified its legislatio n to remove obstacles to th e registration of vehicles 
previously registered in  other Member States. 
• Latvia suppressed the excessive custom formalities applied to the sending of 
packages within the EU.   
• France inserted a mutual recognition clause in its legislation relating to products and 
processes for the treatment  of water intended for hu man consumption, allowing 
products legally marketed in other Member States to be marketed in France.   
• Italy adapted its legislation to remove obstacles to the use of venturimetric 
diaphragm gas meters. 
The Court of Justice delivered the following judgments confirming the position taken by the 
Commission, thereby further clarifyi ng the scope of Articles 34-36 TFEU: 
In case C-88/0718, it was held that the Spanish administrative practice of withdrawing from 
the market products based on medicinal herbs legally  marketed in other Me mber States if they 
included herbs not included in a limitative  list was in breach of Article 34 TFEU. 
In case C-100/0819, the Court held that Belgian legisl ation imposing restri ctive conditions on 
the import, keeping and sale of specimens of  birds born and bred in captivity and legally 
brought to the market in another Member State, contravened Article 34 TFEU.   
In case C-109/08, the Commission had brought  second proceedings against Greece under 
Article 260 TFEU for not implementing the Court of Justice's d ecision on amusement 
machines20. On 4 June 200921, the Court ordered the Helleni c republic to pay into the 
European Union own resources’ account a pena lty payment of EUR 31 536 for each day of 
delay in implementing the measures necessary to comply with the judgment in Case C-65/05 
applying from the date of delivery of the judgmen t. It further ordered the Hellenic Republic to 
pay a lump sum of EUR 3 million.  
However, in one judgment relating to Italian legislation22 prohibiting ‘motorcycles’ from 
towing a trailer, the Court dismissed the proc eedings brought by the Commission as it found 
that, even though the national measure was a trade restriction, it wa s justified for the 
protection of road safety.  
The Commission continued to find pro-active solutions outside or in parallel with 
infringement proceedings under Article 258 TF EU EC through the SOLVIT problem-solving 
network, the preventive mechanism of Dir ective 98/34/EC (whereby Member States are 
                                                 
18 Judgment of 5 March 2009, Case C-88/07, Commission v. Spain 19 Judgment of 10 September 2009, Case  C-100/08, Commission v. Belgium 
20 Judgment of 26 October 2006, Case C-65/05, Commission v. Greece 21 Judgment of 4 June 2009, Case C-109/08, Commission v. Greece 22 Judgment of 10 February 2009 , Case C-110/05, Comm ission v. Italy 
EN 49   EN obliged to notify new national technical rules to  the Commission at the draft stage), the EU 
PILOT23 mechanism which facilitates contacts with  Member States and helps resolve some 
complaints more swiftly and through bilateral meetings organised with  Member States to 
discuss active complaints and infringement cas es as well as various horizontal issues.   
Regulation (EC) 764/2008 (the so -called “Mutual Recognition Re gulation”) began to apply on 
13 May 2009. This Regulation sets out the pr ocedural requirements for denying mutual 
recognition and defines the rights and obligations  of national authorities on the one hand and, 
on the other, enterprises wishing to sell in one Member State products lawfully  marketed in 
another, when the competent authorities intend to  take restrictive measures in relation to the 
product. It is a crucial tool in facilitating enterprises’, in part icular SMEs’, access to other 
national markets. In 2009, attention focused mainly  on ensuring the correct application of this 
regulation: the Committee created by the regula tion was set up and its first meeting organized, 
the list of national “Product Contact Points” to  inform enterprises about national technical 
rules was established and published, an indi cative list of products not covered by EU 
harmonisation was set up and work on a databa se incorporating this data has advanced. 
Some petitions were dealt with in 2009. Tw o of them (1087/2002 a nd 1374/2002) concerned a 
request for information of case C-109/08 agai nst Greece. The Commission explained that 
several letters have been sent  to Greece during 2009 asking for the payment as established in 
the Court' judgment. The Commission also clar ified that this case only related to amusement 
game machines where no gambling is involved.  
In petition 488/2006 the petitione r asked for information on Gr eece's ban on the use of 
electronic games in Internet cafés, in part icular law 3037/2002, which had been subject to 
proceedings before the Court in case C-65/05. The Commission ex plained that it has taken a 
decision on 17 October 2007 to refer Greece to  the Court given th at Greece has not yet 
complied with the judgment delivered in case C-65/05. 
Petition 578/2007 concerned a complaint about the French legislation regarding the dossier 
requirements to place on the market either a product or a process to treat water for human 
consumption. The Commission explained that the new legislation seemed compliant with Art. 
34 TFEU. 
Finally, in petition 721/2009 the petitioner informed the Commissi on that some of the herbal 
products that his online company sells have been banned by Germany and confiscated by the 
police. Having also contacted directly the Comm ission services, these explained to him that 
neither the ban nor the confisca tion of stocks containing pr oducts suspected to infringe 
national narcotic law amounted to an  infringement of Community law. 
 
Evaluation 
Articles 34-36 TFEU remain essential to tacklin g cross-border obstacles to trade. As these 
provisions apply only to the non-h armonised area, their ambit fl uctuates in accordance with 
developments in secondary Community legislation. 
                                                 
23 16 complaints or requests for information were handled through the EU-PILOT which has 
proved, in some cases, to be a useful tool to  provide very quick solution to problems.   
EN 50   EN In 2009, a further slight decrease in the numbe r of open infringement cases was observed, 
conforming to a longer term trend. This is  due to the quicker handling of cases and 
importance given to the pursuit, when possible,  of alternativ e solutions through dialogue and 
cooperation with the Member Stat es outside the infringement procedure. Nevertheless, the 
volume of infringement cases and the volume of new cases remain substantial and show that 
there is still a significant degr ee of non-compliance with the prin ciple of the free movement of 
goods and a lack of understanding of the concept of mutual recognition, resulting in practical 
barriers to cross-border trade in goods.  The main sectors c oncerned evolved slightly even 
though car registration cases still trigge r a lot of complaints from citizens. 
As regards mutual recognition, Regulation (E C) No 764/2008 should reduce the number of 
problems and complaints occurring as a resu lt of Member States incorrectly applying 
recognition procedures and thereby denying access to their markets.  
As regards the specific sector of vehicle registra tion, which is one of the priority sectors, new 
framework Directive 2007/46/EC which was to be transposed by the end of April 2009 should 
create more legal certainty, whic h ought to facilitate the re-registration of used vehicles in 
Member States and hopefully decrease the number of infringement cases. 
Consequences of evaluation 
On the basis of the evolution observed in the main sectors of complaints as well as the 
anticipated effects of Directive 2007/46/EC, prio rity cases are to be  re-focused on cases 
relating to free movement of food supplements , parallel imports of medicines and plant 
protection products and obstacl es which, on a case by case anal ysis, have the greatest 
economical impact on internal trade. When a pa ttern of complaints reveals a similar issue 
arising in several Member States, all Member St ates may be asked to explain their particular 
approaches by means of a horizontal enquiry.. 
In the light of positive results observed so far, the Commission is encouraged to engage in 
dialogue with Member States with a view to reaching quicker solutions  to free movement of 
goods issues.   
To raise awareness of the free movement of goo ds principles among Me mber States and their 
officials, an updated version of the ‘Guide to  the application of Tr eaty provisions governing 
Free Movement of Goods (Articles 34-36 TF EU)’24 has been prep ared which will be 
distributed to all national officials concerned.  
The first national reports on the application of  the “Mutual Recogniti on Regulation” are due 
in May 2010.  The impact of the regulation on the application of the mutual recognition principle by national authorities will then be assessed together with the anticipated effect on 
the volume and type of infringeme nt cases brought by Commission.  
Summary 
                                                
 
24 This Commission staff working docum ent has been adopted on 12 May 2009 
http://ec.europa.eu/enterprise/policies/single-market-
goods/files/goods/docs/ar t2830/new_guide_en.pdf   
EN 51   EN Monitoring the application of the free moveme nt of goods principle in the non harmonised 
area remains a substantial task as a constant fl ow of complaints and requests for information 
arrives at the Commission.  Many solutions are found in non-litigious dialogue with the 
Member State but sometimes referral to the Court is inevitable. The Treaty and related regulations are adequate tools to ensure that  the fundamental freedom of free movement of 
goods is safeguarded. While any breach of this  fundamental freedom must be pursued, the 
priorities are and will continue to reflect the emergence of problematic cases and areas having 
the greatest impact on intra-EU trade.  
Legislation 
Treaty Articles: 
http://ec.europa.eu/enterprise /policies/single-mar ket-goods/files/treatie s/tfeu_en.pdf#page=15
  
Regulation Mutual recognition regulation http://eur-lex.europa.eu/LexUriServ/L exUriServ.do?uri=OJ:L:2008:218:0021:0029:en:PDF
 
1.18. Preventive rules of Directive 98/34/EC 
Current position In 2009, preventive action continued under Dire ctive 98/34/EC thro ugh the provision of 
information, advice, interpretation and guidan ce with regard to national draft technical 
regulations of the 27 Member States, the EFTA  countries and Turkey concerning products 
and Information Society Services. 
In 2009, fruitful collaboration between the Memb er States and the Com mission took place on 
several levels. Firstly, three meetings of  the Committee on “Standards and Technical 
Regulations” were held to discuss current pr oblems connected with the implementation of 
Directive 98/34/EC. These meetings not only pl ay an important role  in supervising the 
operation of the 98/34 procedur e and in the examination of policy issues raised by the 
notifications, but also remind the Member States to notif y regularly to the Commission all 
their draft techni cal regulations. 
Secondly, seminars were held in Ireland, Ital y, Slovenia and Portugal on the operation of the 
notification procedure. The seminars were atte nded by representatives of national authorities 
and industry. These seminars are an excelle nt opportunity for the Commission to present 
Directive 98/34/EC as a key instrument of the Internal Market, which prevents problems ex-
ante and avoids infringement proceedings. Mo reover, the seminars strengthen relations 
between the Commission and representatives of the national authorities. The opportunity to 
present information about the obligation to no tify national technica l regulations and the 
notification procedure it self, as well as discussions and exchanges of views on all problems 
connected with the operation of  the 98/34 procedure, are all very important. The awareness 
campaign of national authorities on the need to respect the requirements of the 98/34 
notification procedure yielded good  results and a higher number of  notifications was made in 
2009 than in 2008. This upward trend seems to be continuing at the beginning of 2010.  
In addition, following a conference with Memb er States and economi c operators that took 
place in 2008 a working group with representati ves of the Member States was set up which 
EN 52   EN will meet three times in 2010 to evaluate the results of the 98/34 notif ication procedure and 
see whether improvements can be made.  
Changes underway 
There were 2 new complaints  in 2009 concerning failures to notify national technical 
regulations under Di rective 98/34/EC. 
Evaluation 
The steady high number of notifications (736) and reactions from the Commission (173) and 
the Member States (217) underlin es the importance of Directiv e 98/34/EC as a tool for the 
prevention of barriers to intra-Community trade - and for better regulation since it also leads 
to improvements in the quality of national legi slation. Its ex ante operation means that time-
consuming and sometimes controversial in fringement procedures can be avoided. 
2. COMPETITION 
2.1. Current position 
 2.1.1.  General Introduction 
The infringement-related work in the competition sector focuses on: 
•  the monitoring of Member States' behavi our in relation to liberalized network 
industries and financial services;  
• non-compliance with Commission recovery decisions; and  
• the correct transposition and implem entation of secondary legislation.  
 
Most of the infringement cases handled by the Co mmission services in this sector have their 
origin in a complaint submitted by undertakings or citizens that are based on a breach of Article 86(1) EC in conjunction with Articles 81 and/or 82 EC or Articles 81, 10, 3(g) EC by 
the Member State concerned. The Lisbon Trea ty entered into force on 1 December 2009. 
Since then, the numbering of the articles has ch anged. For antitrust, Articles 81, 82 and 86 EC 
have become respectively Arti cles 101, 102 and 106 TFEU. The pr ovisions are in substance 
identical. Articles 10 and 3(g) EC have been  replaced with 4(3) EC-new TFEU. Throughout 
this document, references to the old numbering have been maintained when they relate to 
proceedings taken before 1 December 2009. Also  since 1 December 2009, the European Court 
of Justice (ECJ) is renamed the Court of Justice of the European Union (CJEU).  
Out of a relatively stable number of so me 30 pending infringe ment cases, 73% are 
complaints, 7% of the cases concern the wrong transposition or non-communication of Directives, and 20% of the cases deal with the no n-recovery of State aids pursuant to Art. 260 
TFEU. The relatively low number of infri ngement cases dealt with by the Commission 
services in the competition sector can be explained, on the one hand, by the very stable acquis  
– no new Directives in the field of competiti on law have been adopted in 2009 – and, on the 
EN 53   EN other hand, by the fact that most cases in the co mpetition field derive from the infringement of 
Treaty provisions by undertakings (a ntitrust, mergers) or by Memb er States granting State aid, 
none of which constitutes an infringe ment covered by this Annual Report. 
As in 2008, the control of the transposition of Directives in 2009 focused on: 
• the Financial Transparency Directive in  the field of Stat e aid (80/723/EEC as 
subsequently amended); and 
• the field of electronic communi cations, particularly with re gard to the Directive on 
Competition in the Markets for Electronic Communications and Services (2002/77/EC). 
Proceedings pursuant to Art. 260 TFEU constitute another important component of the 
Commission infringement work as they not only seek to remedy an infringement of 
competition rules by the Member State but also b ecause the recovery of incompatible state aid 
is necessary to remove the distortion of competition resulting from the granting of incompatible aid. These proceedings are init iated where a Member State does not comply 
with a Commission decision requiring the recovery  of incompatible state aid. In a first step, 
the Commission may refer the Member State dire ctly to the CJEU pursuant to Art. 108(2) 
TFEU in derogation of Art. 258 TFEU. If the Member State still fails to recover the aid 
although the Court has found that this failure constitutes an infringement, the Commission 
may refer the Member State again to the CJEU , this time pursuant to Art. 260 TFEU. This 
Annual Report only covers the last  stage of the recovery proceed ings, i.e., from the sending of 
the Letter of Formal Notice pur suant to Art. 260 TFEU onwards. 
2.1.2.  Work done in 2009 
In 2009, the priority in competition policy in relation to State conduct was to improve 
competitive conditions in liberalised network industries (e.g., post and telecommunication, 
electricity, electronic comm unications) and financial services and to ensure non-
discriminatory access to infrastructure, as well as full and proper transposition of legislation. 
The implementation of these priori ties is reflected in the infri ngement cases dealt with in 2009 
on which significant progress has been made over the year.  
For instance in the energy sector, the Commi ssion handled a number of complaints based on 
Art. 106 in conjunction with Art. 102 TFEU and investigated an infringement of Article 21 of 
the Merger Regulation with a view to opening up national energy markets allowing 
companies to enter and compete with incumbents . In the same vain, the Commission services 
have actively pursued infringement  cases in the field of electr onic communications to open up 
the recently liberalised broadcasting markets and allow competitors to benefit from the technological developments. A more detailed ac count of the cases hand led in 2009 that have 
entered the formal infringement procedure can be found below. 
Postal sector 
The European Commission has continued with th e infringement proceedings under Article 
258 TFEU against the Slovak Republic for th e non-implementation of the Commission 2008 
decision
25. In its decision, the Commission found  the remonopolisation of the hybrid mail 
                                                 
25 OJ C 322, 17.12.2008, p. 10–11.   
EN 54   EN sector to the benefit of the postal incumbent Sl ovak Post to be in breach of competition rules. 
Hybrid mail is a service whereby the content of a communication is electronically transmitted 
from the sender to the service provider, which then prints, envelopes, processes and delivers 
the postal item to the final addressee. As a result of the Slovak postal law amendment, 
alternative postal operators were no longer a llowed to deliver hybrid mail items, an activity 
previously open to competition. Following the Commission's decision, Slovakia has not 
informed the Commission of any measures which would have put an end to the infringement. 
As a result, on 29 October 2009, the Comm ission adopted a Reasoned Opinion26. Should 
Slovak Republic fail to comply with the Comm ission Decision, the Commission may refer the 
matter to the CJEU. In the mean time, the alternative operators may rely on the Commission's 
decision.  
Energy sector 
In its efforts to promote competition in the recently liberalised energy markets, the 
Commission adopted a decision 4 August 2009  pursuant to Artic le 86(3) EC by which it has 
accepted commitments made by Greece to ensure fair access to Greek lignite deposits27. The 
commitments have been given in order to co mply with the Commission's decision of 5 March 
2008 on the granting and maintaining in force by Greece of privileged access to lignite in 
favour of Public Power Corporation S.A. (PPC)28. Currently competitors of PPC in the 
electricity market cannot compete effectively with PPC because they are denied access to 
sufficient quantities of lignite. Greece has specif ically committed to gr ant exploitation rights 
to four lignite deposits through public tenders ex cluding PPC, to ensure that competitors of 
PPC in the Greek electricity ma rket get access to lignite and to lignite-fired generation. The 
Commission's decision makes the proposals le gally binding on Greece and requires the 
commitments to be implemented within one year. On the basis of Greece's proposals, competitors of PPC will potentially access a bout 40% of all exploitable Greek lignite 
deposits. The Commission is satisfied that th e implementation of the proposed measures 
would remove the anticompetitive problems id entified in the Commission's decision of 5 
March 2008. 
On 31 January 2008, the European Commission se nt Spain a Letter of Formal Notice for 
failure to comply with a Commission decisi on of 5 December 2007 finding that Spain had 
breached Article 21 of the Merger Regulation29 by subjecting the approval decision of the 
                                                                                                                                                        
 
 26 IP/09/1632
.   
 27 OJ C243, 10.10.2009, p. 5.   28 OJ C92, 15.4.2008, p. 3.  29  OJ 2004, L 24/1, available  at: http://eur-
lex.europa.eu/LexUriServ/LexU riServ.do?uri=CELEX:32004R0139:EN:NOT   
EN 55   EN acquisition of control over Endesa by Enel an d Acciona to a number of conditions, thereby 
unduly interfering with the Commission's exclusiv e competence to decide on a concentration 
with Community dimension30. As the Spanish au thorities' reply to the Letter of Formal 
Notice did not remove all the Commission's concer ns and as Spain did no t take any measures 
to comply with the Commission decision of 5 December 2007, the Commission sent Spain on 15 May 2008 a Reasoned Opinio n asking it to withdraw th e conditions imposed on the 
takeover31. On 17 July 2008, the European Court of Justice declared unlawful the Spanish 
legislation (Royal Decree n 4/ 2006) on the basis of which Sp ain imposed its conditions. 
Following this judgment, Spain declared its wil lingness to (i) modify the Royal Decree in line 
with the ECJ judgment and to (ii) withdraw all the illegal conditions based on the Royal 
Decree. Consequently, negotiations started between the Spanish authorities and the 
Commission services concerned (namely in the sectors of competition, internal market and 
energy) on both issues. On 13 Novemb er 2009 the Spanish authorities withdr
ew all the illegal 
conditions. Discussions on the modification of the draft Decree are still ongoing.  
Electronic communications 
In the context of an infringement procedure in the broadcasting sector against Italy for failure 
to comply with the EC regulatory framework  on electronic communi cations, the Commission 
continued in 200932 to closely monitor the transi tion (switch-over) from analogue to digital 
terrestrial broadcasting. Following close contac ts with Commissioners Kroes and Reding in 
the beginning of 2009, the Italian au thorities adopted new criteria  for the "digitization" of 
terrestrial television networks in Italy aimed at ensuring that more frequencies would be 
available to newcomers and to smaller existing broadcasters (AGCom Delibera  n. 
181/09/CONS and legge comunitaria  2008). At the same time, it was agreed that asymmetric 
measures would be taken in favour of non- integrated third part y independent content 
providers wishing to access the digital infras tructure of major TV  broadcasters. On 17 
September 2009, the Italian Authority for Co mmunications (AGCom) concluded a public 
consultation on draft tendering rules for the al location of the frequencies. The tender is 
expected to be launched in  2010. 
                                                 
30  This case is linked to another infringemen t action concerning the takeover of Endesa 
by E.ON which was also made subject to a nu mber of conditions imposed unilaterally by 
Spain. In this case, after sending a Reasoned Opinion on 7 March 2007, the Commission decided on 28 March 2007 to refe r Spain to the Court of Justic e pursuant to Art. 226 EC. In 
its judgment handed down on 6 March 2008 (C-196/07), the Court declared Spain to be in violation of Community law by not lifting the co nditions and thereby not complying with the 
Commission's Article 21 decision. 
31  On 17 July 2008, the European Court of  Justice delivered its judgment on the 
infringement action brought by DG MARKT ag ainst Spain concerning the Royal Decree n. 
4/2006, which was the legal basis for imposing the conditions on the acquisition of Endesa. 
The Court declared the Decree inco mpatible with Community law. 
32  A Reasoned Opinion in this cas e was sent to Italy on 18 July 2007. 
EN 56   EN On 2 February 2009, following up on the infringement  proceedings initiated in the course of 
200833, the Commission sent a Reasoned Opinion34 to the Slovak Republic requesting it to 
bring the Slovak Competition Act into confor mity with EU law. The Reasoned Opinion 
concerned in particular Section 2(6) of th e Slovak Competition Act, which excluded the 
applicability of the Act in situations where the conduct of the undertakings  is at the same time 
subject to sector specific ex-ante regulat ory obligations (such as in the electronic 
communications, energy or postal sectors), thus limiting the ability of the NCA to effectively 
apply Article 101 and 102 TFEU to anticompetitiv e behaviour which would also fall within 
the competence of regulatory authorities. In the Reasoned Opinion the Commission 
considered this provision of the Competition Act to be incompatible with Article 10 EC 
(repealed now Article 4(3) EU -new) and Regulation 1/2003 and enjoined the Slovak Republic 
to take the necessary measures  to put an end to the infringement. Following the Reasoned 
Opinion, the Slovak Republic repealed the conteste d provision in its entirety with effect from 
1 June 2009. On 25 June 2009 the Commission th erefore adopted a decision to close the 
infringement procedure35. 
Financial services 
On 10 May 2007, the Commission a dopted a decision on the basi s of Article 86 (3) EC 
finding that the exclusive right for the dist ribution of a savings book product (Livret A) 
granted by France to three banks (Banque Post ale, Caisses d’Epargne and Crédit Mutuel) 
constituted an infringement of Article 86( 1) EC in conjunction with the freedom of 
establishment and the freedom to provide se rvices (Articles 43  and 49 EC) due to the 
resulting obstacles for French and foreign comp etitors to enter and develop the market for 
liquid savings in France. The deci sion also set a deadline to ame nd the legislation within nine 
months. As no such amendment was adopted within the prescribed period, the Commission 
sent a Letter of Formal Notice on 5 June 2008 w ith a view to obliging France to end the 
infringement. As a result of the infringement  proceedings, France opened up the distribution 
of Livret A on 1 January 2009. Since then, a si gnificant number of new "livret A" accounts 
have been opened in banks wh ich are now enabled to dist ribute these accounts and the 
brokerage fees have been cut by nearly ha lf. On 8 October 2009 the European Commission 
therefore adopted a decision to cl ose the infringement procedure. 
Article 260 TFEU cases  
On 31 January 2008, the Commission issued a Reas oned Opinion against Italy for failure to 
comply with a judgment of the ECJ36 condemning Italy for non-execution of the 
Commission's recovery decisi on of 11 May 1999 regarding em ployment aid. The Reasoned 
Opinion informed Italy that the measures it ha d taken to implement th e Commission decision 
                                                 
33  The Commission sent a letter of formal notice to the Slovak Republic on 6 June 2008. 
The Slovak Government replied to the le tter of formal notice on 14 August 2008.   
34  See IP/09/200.  
35  See IP/09/1182.  The successful resolution of this cas e follows a previous infringement 
procedure against the Czech Republic where simila r problematic legislation was also repealed 
in 2007.  
36  C-99/02, Commission v Italy. 
EN 57   EN were insufficient, also due - to a very significant extent - to th e willingness of domestic courts 
to suspend the execution of recovery orders. Subs equently, Italy adopted a series of legislative 
measures aimed at speeding up the recovery for cases pending before national judges. In spite 
of these new provisions, the progress made in th e recovery continues to  be unsatisfactory. On 
25 June 2009, the Commission has ther efore decided to refer this case to the ECJ pursuant to 
Art. 260(2) TFEU and to propose the imposition of financial penaltie s against Italy. The 
Commission's Legal Service has in the mean time filed this case with the ECJ37. 
In a similar case, which concerns the non-recove ry of aid granted to publicly-owned utility 
companies ("municipalizzate"), the Commission has sent a Reasoned Opinion to Italy on 1 
February 2008. This was based on the fact that  the ECJ had condemned Italy on 1 June 2006 
for failure to comply with the obligations st emming from the Commission's recovery decision 
of 5 June 200238. Following the judgment, Italy had still not managed to implement the 
recovery successfully. In recent months, Italy ha s made considerable progress in the recovery 
proceedings vis-à-vis a number of beneficiaries. For some of the aid still to be recovered, Italy 
is facing difficulties related to the suspension of recovery orders by domestic courts, which 
are slowing down further progress. 
On 20 November 2009, the Commission issued a r easoned opinion against Spain for failure to 
comply with the judgment of 20 September 20 0739 in which the ECJ confirmed that Spain 
had failed to fulfil its obligations under thre e Commission recovery decisions of 20 December 
2001 concerning fiscal aid schemes implemente d in the three Basque provinces. Although 
progress has been made in the recovery of th e incompatible aid, the decisions are still not 
fully implemented40.  In six other fiscal meas ures implemented in the Basque provinces, a 
Reasoned Opinion against Spain had already been issued on 26 June 2008 (for failure to comply with the judgment of 14 December 2006 41). Although progress has been made in the 
recovery of the incompatible  aid, the decisions are still not fully implemented42. The 
Commission services in the competition se ctor are currently assessing the detailed 
information recently submitted by Spain. 
On 20 November 2009, the Commission sent a lett er of formal notice pursuant to Art. 260 
TFEU against Spain for failure to comply with a judgment of the ECJ of July 200243 
                                                
 
37  Case C-496/09, Commission v Italy.  38  C-207/05, Commission v Italy. 39  Case C-177/06, Commission v Spain.  
40  Among others, the Commission services in the compe tition sector  have requested a certification by an 
independent body that the lists of beneficiaries are completed and that the amounts recovered are correct. This certification ha s not been submitted to date.
 
41  Joined Cases C-485/03 to C-490/03, Commission v Spain. 
42  Among others, the Commission services in the compe tition sector  have requested a certification by an 
independent body that the lists of beneficiaries are completed and that the amounts recovered are correct. This certification ha s not been submitted to date.
 
43 Case C-499/99, Commission v Spain. 
EN 58   EN condemning Spain for non-execution of the Commission's recovery decision of 20 December 
1989 as regards of the Magefesa Group. Tw enty years after the negative Commission 
decision, Spain has failed to fully and effec tively recover the illegal aid from all the 
beneficiaries. In addition, Spain has not provi ded a clear timeline for the completion of the 
recovery.  
In the area of recovery of incompatible state aid, the Commissi on has made significant 
progress with respect to the execution of recovery decisions  by Member States. The amount 
of illegal and incompatible aid recovered has increased from € 2.3 billion in December 2004 
to € 10.4 billion at 31 December 2009 (i.e., 88%  of the total amount to be recovered). 
Accordingly, the percentage of il legal and incompatible aid still to be recovered at the end of 
2009 has fallen from 75% to 12%. This is due to the efficient enforcement of recovery 
decisions by the Commission prompting Member St ates to recover incompatible aid from the 
beneficiaries.  
2.2. Evaluation based on the current situation 
Against the background of the stable acquis  in the competition law field and the relatively 
constant if not decreasing numbe r of pending infringement cases in this sector, the situation 
can be described as stable and satisfactory, no t indicating any particular problems that would 
require urgent attention or the modification of the DG's priorities. Likewise, there are no new 
measures due to be adopted in the near future  nor relevant implementation plans, guidelines, 
expert group meetings, transposition workshops or management networks.  
The current financial and economic crisis has no immediate impact on the infringement work 
in this sector as it cannot constitute a justific ation to delay recovery because the beneficiary 
became insolvent or otherwise entered into  financial difficulties. On the contrary, 
Commission services will continue  to pursue its infringement ca ses on the basis of Art. 260 
TFEU and see to it that all inco mpatible aid is recovered. This is necessary to ensure a level 
playing field between competitors and a mark et of undistorted competition – a requirement 
which becomes all the more important in the current economic circumstances where 
companies struggle to stay on the market even  in conditions of undistorted competition. As 
already explained before, the Commission has achieved a very good track record in the 
recovery field. The enforcement action of th e Commission services can therefore focus on 
those instances where Member States have still not shown the desired resu lts in their recovery 
efforts, mainly because of national legislati on creating obstacles to effective recovery.   
The priorities for 2009 as set out in the 26th Annual Report - the improvement of the 
competitive conditions in the liberalised markets and in financial servi ces - have been fully 
taken up in the infringement work of the Comm ission services in the competition sector . The 
infringement procedures in the energy, postal and financial services  sectors have made 
important progress which have resulted in either the closing of the cases or have already led to 
the sending of a Reasoned Opinion in 2009. In fringement action on th e basis of Art. 106 
TFEU complaints thereby has to be seen as  a complementary tool to, firstly, Community 
legislation aimed to liberalise certain sectors of the economy (which is mainly adopted by 
other Commission services) and, secondly, to th e direct application of Articles 101, 102 and 
107 TFEU (the assessment of which falls outside the scope of this Annual Report). The 
infringement cases dealt with by the Commissi on services in the context of liberalisation 
therefore concern the residual problems of th e granting of special or exclusive rights by 
Member States, i.e., instances of such rights  which "survived" the liberalisation and which 
have not been tackled on the basis of the di rect application of Ar t. 101, 102 or 107 TFEU.  
EN 59   EN In the field of electronic communications and the correct implementation of the Directive on 
Competition in the Markets for Electronic Co mmunications and Services (2002/77/EC), the 
Commission services have actively monitored cha nges to the relevant provisions in the Italian 
broadcasting market and maintains its efforts to  ensure effective competition in this sector. 
With respect to the transposition of the Financial Transparency Directive (80/723/EEC as 
subsequently amended), the Commission closed infringement proceedings against Germany that fully implemented the Directive and sent  Reasoned Opinions to UK and Belgium for not 
having fully transposed or communicated all the national transposition measures to the 
Commission. Belgium has not pr ovided sufficient information on the full implementation of 
the Directive in its entire  territory. It is therefor e envisaged to proceed with the referral of this 
case to the Court of Justice in the first half of 2010.  
2.3. Priorities and planned action 
For 2010, the draft Management Plan envisages infringement action in sectors that have 
recently been liberalised or are in the proces s of liberalisation, such as energy or postal 
services, as well as in the media sector. The priorities for the year 2010 therefore follow 
closely the priorities establis hed for 2009: the Commission servic es will continue to focus on 
these sectors by, for instance, proceeding with the infringement procedure against Slovakia 
for closing a part of the postal market to competition. 
Another area of priority action in 2010 concerns the continued monitoring of the transposition 
of the Financial Transparency Directive and the Electronic Communications and Services 
Directive by Member States. The former will  result in Commission services pursuing the 
cases against the UK and Belgium for the non-co mmunication of measures to implement the 
Transparency Directive co rrectly and in time.  
In the field of complaints-handling, the curr ent economic crisis will require the Commission 
to ensure that Member States do not viol ate Art. 106(1) TFEU by  granting special or 
exclusive rights to thei r own companies in an effort to  protect national markets from 
competition.  
Finally, long standing non-recovery cases will if necessary in 2010 be referred to the CJEU 
pursuant to Art. 260 TFEU with a view to im posing a lump sum and daily penalty payments 
on the Member State concerned to ensure effective recovery of the aid granted. 
 
3. EMPLOYMENT,
 SOCIAL  AFFAIRS  AND  EQUAL  OPPORTUNITIES 
The overall strategy for the monitoring of the a pplication of European law in the field of 
employment, social affairs and equal opport unities throughout 2009 was a problem-solving 
and dialogue-based approach. Priority was given to identifying pr eventive options to 
infringement proceedings, based mainly on:  
– Strengthening the cooperation with national  authorities to fost er the prevention of 
problems of application of EC law   
The Commission continued its practice of bilate ral meetings with national authorities to 
facilitate implementation of Directives. For in stance, in the area of anti-discrimination and 
EN 60   EN gender equality the Commission set up in 2009 a working group composed of representatives 
of Member States and stakeholders to di scuss the implementation of the Directive 
2004/113/EC. A similar approach is envisaged for 2010 for the transposition of the new 
Directive on Parental Leave.  
In the area of labour law, an Expert Co mmittee on Posting of Workers provided for an 
excellent opportunity to discu ss, with Member States and Social Partners concerned, a 
number of implementation, application and enfo rcement issues related to Directive 96/71/EC. 
In addition, an informal Gove rnmental Experts Group provided va luable technical assistance 
in the process of transposition and implem entation of the Directives 2008/104/EC and 
2009/38/EC. This helped addressing the prob lems at an early phase and prevented 
infringement proceedings. Moreover, the Com mittee of Senior Labour Inspectorates assists 
the Commission by focusing on problems of en forcement of European Union law, in 
particular, by encouraging a closer coopera tion between the natio nal labour inspection 
services.  
– Making use of all possible alternativ e options to infringement proceedings  
The recourse to problem-solving mechanisms such as EU PILOT was streamlined in 2009, 
and, therefore the number of cases treated by the Commission in EU PILOT and CHAP has increased significantly. The Comm ission has also made extensiv e use of external expertise 
(Equality Bodies, Networks of Independent Lega l Experts) to develop informative reports and 
guides used by legal practitioners across the EU.   
– Raising citizens’ awareness regarding their rights  
Substantial effort has been put into improvi ng communication tools to inform the citizens 
about their rights deriving from EU law particularly in the fiel d of free movement of workers, 
social security coordination, he alth and safety at work as well as anti-discrimination and 
gender equality. This will furtherm ore continue in 2010 as the entry into force of the Lisbon 
Treaty which made the Charter of Fundamental Rights legally binding opens new possibilities 
for citizens to defend their rights. 
That overall strategy has obvious ly prevented the opening of infringement procedures but 
nevertheless, there were domains where non co mpliance with specific Directives remained 
and those domains were linked to very sensitive political issues. Therefore, the reconciliation 
between the legal and political considerati ons proved to be very  difficult and led to serious 
challenges :  
– With regard to working conditions,
 a key issue was how to purs ue the considerable number 
of registered working time complaints/infringements related in particular to the SIMAP-Jaeger44 rulings whilst negotiations on a Dir ective proposal were ta king place in Council 
and Parliament on the same issue and had to be  ended without success. In that context, it 
was not possible for the Commission to adopt the comprehensive report on the 
transposition and application of the Working Time Direc tive in all Member States, 
although the report was completed in 2008 a nd submitted during 2009 to Member States, 
social partners and experts for comments.  
                                                
 
44 Judgment of 3.10.2000 in case C-303/98 and judgment of 9.09.2003 in case C-151/02 
EN 61   EN – In the area of posting of workers , the challenge was to have a clear picture of the 
implementation of Directive 96/71/EC and a numb er of initiatives were taken in order to 
assess the impact of that Directive, with th e launch of a feasibility study on a European 
platform of cooperation for la bour inspectorates, of a study on legal aspects and of a study 
on the economic and social aspects. Along w ith the impact assessment and the study on the 
protection of workers’ rights in subcontracting chains to be launched in 2010, these 
instruments should provide the Commission with the necessary information to establish the 
content of a forthcoming legisl ative proposal in this area.  
– In the area of anti-discrimination  a main challenge was how to  advance with the proposal 
for a Council Directive on implementing the pr inciple of equal treatment between persons 
irrespective of religion or belief, disability, are or sexu al orientation outside the labour 
market. The key issue was how to muster th e agreement of all Member States in the 
Council given that the proposal is based on ar t. 19 TFUE (ex. art. 13 TEC) and unanimity 
is required in the Council.  
Against the complexity of matters, the Commission nevertheless obtained commendable 
achievements in the area of employment, social affairs and equal oppor tunities. It is therefore 
worth mentioning the following:  
– On 30 November 2009, the Council reached an agreement on the proposal for a Directive 
on the parental leave  intended to replace Directive 96/34/EC. The proposal for Directive 
extends the right to parental l eave from three to four months per child. At least one of the 
four months cannot be transferre d to the other parent, offering thus incentives to fathers to 
take the leave. The Framework Agreement on parental leave, on which the Directive is based, was signed by the European social partners (BUSINESSEUROPE, ETUC, CEEP 
and UEAPME) on 18 June 2009. 
– On 27 July 2009, the Council and the Parliament  reached an agreement on Regulation (EC) 
No 987/2009  laying down the procedure for impl ementing Regulation (EC) No 883/2004 
on the coordination of social s ecurity systems. The agreemen t concluded over a decade of 
negotiations on the new modernis ed EU social security coor dination rules and started the 
countdown to 1 May 2010, the date of the entry into force of the new legislative package 
(Regulation (EC) No 883/2004, as ame nded by Regulation (EC) No 988/2009, and 
supplemented by Regulation (EC) No 987/2009). The modernised coordination rules will 
make the system work more efficiently. Centra l to the modernisation is the introduction of 
the electronic exchange of so cial security information. 
3.1. Free movement of workers and coordina tion of social security schemes 
3.1.1.  Current Position 
3.1.1.1.  Introduction 
In the field of free movement of workers and coordination of social security schemes, the 
Commission deals with problems lin ked to an incorrect applicati on of the relevant provisions 
of the EC Treaty and of regulatio ns existing in that area. Over the years, problems have been 
brought to the attention of the Commission through individual complaints, petitions of 
citizens to the European Parliament and Parliamentary questions which has led the 
Commission to increase its recourse to problem-solving mechanisms and it intensifies communication to prevent problems. 
EN 62   EN 3.1.1.2.  Report on progress made in 2009 regarding free movement of workers 
The Commission carried out a systematic review  of the legislation of all Member States 
following two preliminary judgments of the ECJ regarding the nationality condition for posts 
of master and chief mate of ships  where the prerogatives of pub lic authority are exercised by 
private sector workers. Out of 20 procedur es opened on this issue in 2004, 3 were still 
ongoing in 2009. After the Court of Justice confir med its previous judgments also against 
Spain45 (in 2008) the Commission has started the pr ocedure to ensure the correct reform of 
the Spanish rules (Article 260 TFEU); the refo rm is ongoing and the Spanish authorities have 
announced that new rules would be adopted by May 2010. After the Czech rules had been brought into line with Community law, the Commission decided to withdraw its case from the 
Court. In December 2009, the Court confirmed its jurisprudence also in relation to Greece46 
and the procedure to ensure the correct reform  of the Greek rules (A rticle 260 TFEU) has 
been initiated immediately afterwards.  
The Commission services have received many queries and complaints concerning the 
residence rights
 of migrant workers in the host Member Stat e. It is still part ly due to the fact 
that in May 2006, Directive 2004/3 8/EC effectively entered in to force and introduced new 
residence formalities and some important new rights (such as the right of permanent residence). With a view to en suring the respect of the provisi ons of Directive 2004/38/EC, the 
Commission services have been organising bila teral contacts with Member States to make 
sure that the Directive is correctly transposed and applied across the EU.  
In the situation of economic crisis, more and mo re replies had to be provided concerning the 
rights of jobseekers
 and people retaining the status of a worker and their family members – 
e.g. questions on how long they ar e entitled to stay in the hos t Member State, whether they 
have access to social benefits and social assistance, and whether they are protected against expulsion if they are unsuccessfully seeking employment for a long time in another Member 
State.  
The Commission closed the infringement pro cedure against Denmark concerning the working 
conditions of Polish Seafarers on Danish Ships. In fact the new legisl ation adopted in March 
2009, Act N° 214 of 24 March 2009 amending sec tion 10(2) of the Act on the Danish 
International Shipping Regist er together with the expl anatory memorandum met the 
Commission's concerns about the Danish legislation, expressed in  the letter of formal notice 
of 13 October 2004. The Commission services c onsider that the new legislation is in 
conformity with EU law on free movement of wo rkers. It provides guarantees for seafarers 
from other Member States working on board of a ship flying the Danish flag, insofar as they 
have, in accordance with the Case law of the European Court of Justice, "a sufficiently close link to Denmark", to be consider ed in resident in Denmark and consequently to benefit from 
collective agreements that are concluded by a Danish trade union. 
A recurring topic of queries was again th e application of transitional arrangements
 for 
workers from EU8 and EU2. There were request s for information and complaints about the 
                                                 
45 C-89/07 (Commission v. France) ECR [2008] I-00045; C-447/07 (Commission v. 
Italy) judgment of 11.09.08, not yet published; C-94/08 (Commission v. Spain) judgment of 
20.11.08, not yet published. 
46 C-460/08 judgment of 10.12.09, not yet published 
EN 63   EN existence of restrictions as such (by citizens) and calls to end them (parliamentary questions). 
On this basis, the Commission services identified an incorrect application of transitional arrangements: it concerns eligibility for be nefits and is linked to  a wider problem of 
compatibility with EU law in a Member State' s legislation which is under investigation. The 
Commission also examined the notifications of three Member States in April 2009 of serious 
labour market disturbances, pre-condition to co ntinue to apply nati onal conditions on labour 
market access for EU-8 workers for two more  years after 1 May 2009, and accepted them as 
meeting the requirements of the transitional arrangements. 
Employment in the public sector
 represents in many Member States an important part of the 
labour market. Therefore, the action of the Commi ssion in this field has a significant effect on 
the migrant workers' rights; in pa rticular there is a lo t of labour mobility in the public teaching 
and health sectors. 
The Commission dealt in particul ar with the following issues: 
– abolition of nationality  conditions access for em ployment in the public sector in line with 
the jurisprudence of th e Court on Article 39 (4) EC. In 2009 an infringement procedure 
against Bulgaria was closed after the reform of the Bulgarian rules for access to posts in the civil service. Some ot her cases are still pending. 
– the follow-up of the Burbaud-judgment47 has led to the opening of the internal recruitment 
competition for many posts in the French public  sector to fully qualified migrant workers 
with a certain length of work experience.  
– the issue of taking into account  periods of employment acqui red in another Member State 
for the purposes of access to the public sector and for determining working conditions (e.g. 
salary, grade) in the same way when comparable experience is acquired in the host Member State. 
– Other complaints regarding public sector co ncerned: discriminato ry working conditions 
(unrelated to the issue of recognition of professional experience) , absence of equal 
treatment in relation to the ta king into account of foreign diplomas for the purpose of 
access to the public sector (e.g. additional point s awarded in a recruitment procedure) and 
for determining working conditions, dispropor tionate language requirements in access to 
posts. 
Sport
: for many years the Commission has been dealing with the i ssues of EU law related to 
free movement of professional sportsmen and sportswomen. In 2009, the Commission services, in particular, fo cused on the following points: 
– The quotas on nationality applied in professional  sport: in the follow-up to the Bosman's 
ruling48 the Commission undertook extensive action, in order to assure the respect of EU 
law. The Commission analysed and discusse d proposals of European and international 
sport governing bodies, which were aiming at th e establishment of quotas on nationality or 
regulating the transfers of players. However, given the fact that infringement proceedings 
                                                
 
47 C-285/01 48 C-415/93. 
EN 64   EN for breach of Community law in accordance with Article 258 of the TFEU can only be 
initiated against a Member State of the Eu ropean Union, the Commission services have 
sometimes encountered difficulties in enfo rcing EU law in Member States where a 
behaviour of private actors viol ating EU law could not  be attributed to the State. To this 
end the Commission services ordered to an in dependent expert a co mparative study on the 
State responsibility for prof essional sport activities which was received in November 2009 
and illustrates the role of Member States in  the organising and functioning of professional 
sport activities. 
– The Commission was also closely involved in the analysis and the discussions surrounding 
the FIFA's proposal rule on 6+5 and its confor mity with the EU law free movement rules. 
At present there is a cons tructive dialogue with foot ball stakeholders on possible 
alternatives respecting the EU acquis in the area of free movement. 
A case concerning the access to social advantag es in the Netherlands (study grants for 
children of migrant workers) has been transferred to the Court49. 
Regarding the issue of equal trea tment of third country nationals , citizens from countries with 
which the European Union has signed an in ternational agreement, the Commission has 
prepared and ensured the follow-up of the case-la w of the Court of Justice, namely in the 
cases Kolpak50, Simutenkov51 and Kahveci52. Th e follow-up has consisted in answering 
individual requests as well as disseminating information on the obligation for professional 
sport clubs to treat equally third country nati onals, coming from countries with which the 
European Union has signed an international ag reement containing an equal treatment clause. 
Citizens' complaints concern also the viol ation of their rights  as migrant workers  by private 
employers such as discriminatory treatment in access to work or working conditions. However, as in this case the Commission cannot intervene, it can only limit itself to provide 
the information about the migrant's rights and a dvise them to seek solutions through means 
available at the national level. The Commissi on notes however that enforcement of these 
rights at a national level is often problematic. 
3.1.1.3.  Report on progress made in 2009 in the fi eld of social security coordination 
In the field of social security coordinati on, the Commission services  have received many 
queries and complaints concerning the appli cation of Regulation (EEC) No 1408/71 and its 
implementing Regulation, in particular, from mi grant workers about their social security 
rights, e.g. which legislation applies to them, th eir entitlement to sickness insurance benefits 
and family benefits, how to apply for a pensio n. Complaints concerned residence clauses in 
national legislation for various ki nd of social securi ty benefits, incorrect application of the 
principle of aggregation of insurance periods , cumbersome or incorrect administration of 
cases involving an EU element. 
                                                
 
49 C-542/09 50 C-438/00. 51 C-265/03. 52 C-152/08. 
EN 65   EN Major issues concerning si ckness insurance benefits  in 2009 were the following.  
In 2004, the Commission started infringement procedures against Finland, the UK and 
Sweden concerning benefits for disabled pers ons. In its judgment of 18 October 2007, the 
Court stated that the benefits concerned must be  qualified as sickness cash benefits (therefore 
exportable) and not as special  non-contributory benefits. As the Member States involved 
confirmed their willingness to abide with this judgment and the necessary preliminary steps were made, the infringements were closed  in 2008. However, during 2009, more than 50 
persons contacted the Commission services to signal the application of a so called "past 
presence test" which in most cas es prevents the exportability of  these benefits from the UK. 
The Commission services analysed the national rules of transposition of the ECJ ruling and 
considered that a problem still existed. The Commission has therefore started infringement procedures in that respect. 
Following the introduction of a general sickne ss insurance scheme in the Netherlands on 
1.1.2006, the Commission services received more  or less four hundreds complaints from 
Dutch pensioners residing in another Member State, who suddenly fe ll under the scope of 
Regulation 1408/71, in partic ular article 28 or 28a  stipulating that a pe rson in receipt of a 
legal old-age or invalidity pensi on and who resides in another Me mber State than the one that 
pays the pension, is entitled to sickness benefi ts according to the legi slation of the Member 
State of residence on behalf of the Member State that pays the pension. The latter may 
withdraw sickness insurance contributions fr om the pension paid. The Dutch pensioners 
claimed that they could not be obliged to pay Dutch sickness insurance contributions and that 
they were entitled to opt-out. The Commission examined the Dutch legislation and concluded 
that it was in line with Regulation 1408/71. 
Another sensitive issue dealt with by the Comm ission concerns a decision of the French 
sickness insurance institution to exclude EU na tionals residing in France, who are non-active 
but not yet in receipt of a state old-age pension, from acce ss to the Couverture Maladie 
Universelle (CMU). According to the French legi slation, all persons re siding for more than 3 
months in France and who are not covered by a French or foreign legal sickness insurance 
scheme are obliged to join the CMU (which is a contributory sickness insurance scheme). The 
exclusion of non-active persons from this regime  constitutes an infringement of article 3 or 
Regulation 1408/71. To this effect, the Commissi on opened an infringement procedure, which 
is ongoing, against France in 2008.  
As in the previous years, the Commission serv ices received many queries  about the European 
Health Insurance Card (EHIC), namely how to  apply for it or how to use it. In 2009, the 
Commission closed infringement  procedures against Cyprus, as regards the eligibility 
conditions for receiving EHIC and against Italy where EU students who are studying 
temporarily in Italy were required to present a form E-106 instead of EHIC. The two Member 
States concerned agreed to take necessary actions  to comply with the EU  legislation (Art. 22 
of Regulation 1408/71). A new infringement pr ocedure was opened ag ainst Spain in 2009. 
Contrary to article 22a of Regulation 1408/ 71, several Spanish Autonomous Communities 
refuse to issue EHIC to EU nati onals residing in Spai n who are entitled to sickness benefits as 
regional benefit provided by the Autonomous Communities because under Spanish legislation 
such benefits are not provided under social securi ty legislation. 
As regards pensions
, the Commission received various complaints about the payment of 
pensions into the beneficiary's bank account in his or her Member State of residence. It seems 
that certain Member States have problems w ith such payments. The SEPA (Single Euro 
Payment Area) should be the answer to  this problem. The Commission opened an 
EN 66   EN infringement procedure against Belgium, where legislation does not allow the payment of the 
pension directly to an account without having the foreign bank gua rantee that it will repay the 
amount, should payments have been wrongly ma de. An infringement procedure was opened 
against Greece, where persons, in order to have  their pensions exporte d, are obliged to open a 
bank account at the Greek national Bank, which is in  an alleged breach of EU social security 
coordination rules and EU payment rules (Regulation (EC) No 924/2009). 
With regard to unemployment benefits , in view of the economical  recession and the rise of 
unemployment rates, the Commission services rece ived a large number of  queries concerning 
the right of migrant worker s to unemployment benefits under Community law. Migrant 
workers were in particular asking in which State they can claim unemployment benefits, 
method of calculation of the be nefit's rate, special regime for frontier workers and the 
possibility to have benefits exported in case th ey were interested to look for work in other 
Member States. Some of the migrants compla ined about the cumbersome and time-consuming 
administration of cases involving an EU aspect. 
Several complaints were received by the Commission services from EU-8 nationals 
previously employed or self-employed in the UK who were not granted certain special non-
contributory benefits  by the UK authorities as a consequence of their failure to pass the "right 
to reside test". Under the UK national legislat ion the eligibility to certain categories of 
benefits is linked to the condition that the claimant needs to have a right to reside in the UK (a 
condition derived from Directive 2004/38/EC). At the end of 2009, the Commission services 
started to analyse the compatibility of those re quirements with Community law, in particular 
their compliance with the principle of equal tr eatment with regard to  the award of social 
security benefits as stipulated in Article 3 of Regulation 1408/71. The "right to re side test" is 
also applied under the UK national law to eco nomically non-active pe rsons who intend to 
settle in the UK when they apply for social security benefits in question. 
Although there are no complaints, some Member States are still hesitant when exporting 
family benefits  and paying differential supplements. 
Social security coordina tion legal framework: 
In 2009, significant progress was made in view of the entry into ap plication of the new 
Regulations 883/2004 and 987/2009 (Impl ementing Regulation) on the 1st May 2010, which 
involved: 
– The Regulation (EC) No 987/2009 of the Europ ean Parliament and of the Council laying 
down the procedure for implementing Regulatio n (EC) No 883/2004 on the coordination of 
social security systems was adopted on 16 September 2009. 
– The Regulation (EC) No 988/2009, ame nding Regulation (EC) No 883/2004 and 
determining the content of its Anne xes, was adopted on 16 September 2009. 
– The Administrative Commission on social se curity for migrant workers (CASSTM) 
adopted a package of interpre tative decisions and recommenda tions for the application of 
the new Regulations.  
– The only drawback is that Commission's proposal (COM(2007)439) aimed at extending 
the provisions of Regulation 883/2004 and its implementing Regulation to third country 
nationals who are not yet covered by thes e provisions solely on the ground of their 
nationality, did not meet agre ement within the Social Question Working Party of the 
EN 67   EN Council in 2009. Discussion of the proposal will continue under the Sp anish Presidency in 
2010. With the entry into force of the Lisbon Treaty, the legal basi s has become Article 
79(2)(b) TFEU, meaning that the ordinary legi slative procedure – with involvement of the 
European Parliament and qualified ma jority vote in Council – will apply. 
The coordination rules require an exchange of social security information between the 
national institutions. The implemen tation of the Regulations requi res that the transmission of 
data between institutions should be carried out by electronic means under a common secure 
network: electronic exchange of  social security information ( EESSI). The EESSI system is a 
tool of e-administration and will enable 31 countries to exch ange electronically social security 
information between their administrations thereby fulfilling the ultimate aim of strengthening the protection of mobile citizens' social security  rights. This will in turn facilitate and speed 
up the decision-making process for the actual calc ulation and payment of benefits to citizens 
who move around Europe. 
In order to assist institutions in the Member St ates to prepare for the entry into force of the 
new system of EU social security coordination  rules, the Commission held 5 thematic training 
seminars on the different social security risk s for institutions between June and October 2009. 
3.1.2.  Evaluation of the current situation 
In 2009, the services of the Commission received for both sectors (free movement and social 
security coordination) an impressive number of letters and petitions of  European citizens and 
Parliamentary Question of Members of the European Parliament (around 3000), 
approximately balanced between both sectors.  Globally, the volume of incoming queries and 
complaints is relatively stable. 
The nature of the queries remains more or less identical but obviously takes into account new 
legislation such as Directive 2004/38/EC a nd the development of the economic crisis. 
It should be expected that the en try into application of  the new provisions in the field of social 
security coordination (Regulations  883/2004 and 987/2009) as from the 1
st of May 2010 will 
temporarily increase the number of queries and infringement procedures due to interpretation 
problems in subsequent years.  
The infringement procedures dealt with by th e Commission services in  relation to the EU 
rules on free movement of workers concern th e non-conformity of national legislation with 
EU law and systematic bad application of corr ect national rules by na tional authorities. In 
relation to coordination of so cial security coordination, th e infringements concern the 
incorrect application by the national author ities of Article 48 TFEU and of existing 
Regulations in that area, namely Regul ations 1408/71 and 574/72 on social security 
coordination. 
At the end of 2009, the Commission services we re dealing with 46 infringement procedures 
(compared to 38 procedures at the end of 2008) : 18 in the field of free movement and 28 in 
the field of social security coordination. 
In the field of free movement of workers , the current infringement procedures deal mainly 
with problems linked to access to posts (e.g. nationality condition for access to posts of 
captains and first officers of ships, language  requirements), residence rights of migrant 
workers, transitional arrangements, sports issues, access to social advantages (e.g. study grants for children of migrant workers) and em ployment in the public sector (e.g. nationality 
condition for access to posts; recogni tion of professional experience). 
EN 68   EN In 2009, one judgment was rendered, 8 infringeme nt procedures were closed, one case was 
withdrawn from the Court and 7 new infri ngement procedures were registered.  
In the field of social security coordination , the infringement procedures deal with problems 
linked to sickness insurance benefits, includ ing the European Health Insurance Card, 
residence clauses for eligibility for social s ecurity benefits, calculation and payment of old-
age pension, discriminatory practices for the pa yment of certain social security benefits.  
In 2009, 6 infringement procedures were cl osed, while 17 new procedures were open. 
A number of complaints have be en dealt with succe ssfully through EU Pilot. This has enabled 
to solve problems raised by complainants without initiating an infringement procedure. It is 
complemented by a system of filtering of letters  concerning social security in cooperation 
with the representatives of the Member Stat es in the CASSTM put in place in 2005. Solving 
problems mechanisms are privileged tools to favour quick and rapid solutions to citizens' 
queries and complaints. 
The Commission services also use in their mo nitoring task the work done by networks of 
academic experts, whose reports on the applica tion of Community law in the field of free 
movement of workers and coordination of so cial security are published on a website53.  
In view of the very high number of queries, substantial effort was made in terms to 
supplement monitoring with improved communi cation tools to better inform the citizens 
about their rights as regards fr ee movement of workers and so cial security coordination. In 
particular, a brochure on rights  of migrant workers "Do you wa nt to work in another EU 
Member State? Find out about your rights! (U pdate 2007)" has been made available on the 
website.54 In the field of social security th e brochure "The Commun ity provisions on social 
security. Your rights when moving within the European Union" and the brochure "Moving in 
Europe. Your social security ri ghts", containing information about national social security 
rights of 25 Member States, were made available on the website55. 
3.1.3.  Evaluation results 
Priorities set up for 2009 have in general been  met. Many infringements procedures were 
successfully closed and many issues resolv ed through problem-solving mechanisms. The 
forthcoming years should follow the same trend with the positive impa ct of the preventive 
approach based on administrative cooperati on and on an increased communication towards 
citizens and national authorities.  
                                                 
53 Network of experts on free movement of workers: 
http://ec.europa.eu/social/m ain.jsp?catId=475&langId=en  
 Tress network: http://www.tress-network.org/TRESSNEW/   
54http://bookshop.europa .eu/eubookshop/downlo ad.action?fileName=KE3008406ENC_002.pdf&eubp
hfUid=10049296&catalogN br=KE-30-08-406-EN-C  
55http://ec.europa.eu/employment_social/socia l_security_schemes/national_schemes_summa
ries/index_en.htm   
EN 69   EN The monitoring work presented above cannot be st rictly planned as it depends largely on the 
number and type of complaints sent to the Commission. However, in or der to set priorities, 
the importance of the file, from the point of view  of its political impact  is taken into account. 
The problems which seem to be widespread in se veral Member States are also given priority. 
As described above, the horizontal exercise re garding the nationality condition for posts of 
masters and chief mates of ships was very successful.  
However, due to diversity of problems brought up c onstantly to the attention of the services of 
the Commission, it is not easy to concen trate on only one particular issue.  As during the last 
year, in 2010 particular attenti on will be paid to the ongoing infringement procedures which 
have been opened more than 3 years ago. 
To supplement monitoring activities and in resp onse to the calls by the EPSCO Council56 and 
European Parliament57, the Commission will also  step up its efforts to provide better 
information to citizens on their rights as migrant workers.  
3.1.3.1.  Priorities regarding fr ee movement of workers 
In addition the Commission sees all infringe ment procedures concerning the transitional 
arrangements as a priority and will pay part icular attention to infringement procedures 
concerning sports and public s ector issues. To finalize the sy stematic evaluation concerning 
the issue of nationality condition for access to posts of master a nd chief mate of ships the two 
remaining open infringement procedures (against Spain and Greece) will also be treated as a 
priority.  
Another primary focus for the Commission services will be to ensure the respect of provisions 
of the Directive 2004/38/EC regarding migran t workers and their family members. The 
Commission will keep working together with th e Member States to make sure that the 
Directive is correctly transposed and implemen ted across the EU. In or der to achieve this 
result, the Commission will fu lly use its powers conferred to  it by the Treaty and launch 
infringement procedures when necessary. 
The Commission intends to a dopt a Communication on the rights of migrant workers – 
updating and reviewing the Communi cation of 2002 (COM (2002) 694).  
The Commission intends to adopt  a Commission Staff Working Document on issues related to 
free movement of public sector workers (in pa rticular nationality condition; recognition of 
professional experience for the purposes of access to posts and for determining working conditions [e.g. salary; grade]; other legal aspect s of free movement of public sector workers 
[e.g. language requirements]; taking into account of diplomas in the recruitment process etc). It will follow-up a report of an independent expert on these issues summarising, analysing and 
comparing up-to-date information requested  by the Commission from Member States 
(members of the Technical Committee on free movement of workers) on this issue.  
                                                
 
56 Conclusions of the EPSCO Council of 9 May 2009. 57 Vălean report on the application of Direc tive 2004/38/EC and Gace k report "Problems 
and prospects concerning European citizenship". 
EN 70   EN 3.1.3.2.  Priorities regarding soci al security coordination 
The objective in the area of social security, with regard to the in fringements, is to monitor the 
correct application of the new Regulations 883/2004 and 987/2009 which come into force on 
the 1st May 2010 by the national institutions. In particular, the Commission will focus on the 
new aspects of coordination rules. 
Therefore, the Commission published on the DG  Employment website in January 2010 a set 
of Explanatory notes, which give some backgr ound and explanation of certain new provisions 
and key concepts in the new rules. These notes are aimed at both the citizen and social security institutions. The Commission is also  planning a major information campaign on the 
new social security coordination rules targeti ng on the one hand the European citizens and on 
the other hand the social security institutions of the Member States which have to apply the new provisions. 
To enable the implementation of the new coordination rules, the Commission will focus on 
finalising the development of the system for electronic exchange of social security 
information (EESSI). The EESSI system will en able countries to exchange electronically 
social security information between their admini strations thereby fulfilling the ultimate aim of 
strengthening the protecti on of mobile citizens' so cial security rights.  
In 2010, discussions will continue on the proposal  concerning the extension of the provision 
of Regulations 883/2004 and 987/2009 to third country nationals.  
The Commission intends to follow up, as a priori ty, the Member States' responses to the Court 
judgment C-229/05, in which the Court ruled that  Disability Living Allowance was a sickness 
benefit. Sickness benefits can be exported within the EU in certain circumstances.  
3.1.4.  Summary 
In 2009, the services of the Commission received for both sectors (free movement and social 
security coordination) an impressive number of letters and petitio ns (around 3000) from 
European citizens, approximately balanced be tween both sectors. Generally, the volume of 
incoming queries and complaints is relatively stable. 
Nevertheless, in view of the forthcoming entry into force of Regulations 883/2004 and 
987/2009, and during the period of adjustment for na tional authorities, it  can not be excluded 
that more complaints will have to be dealt with and will increase the already workload in that area of social secu rity coordination.  
The forthcoming years should follow the trend presented above with the positive impact of 
the preventive approach based on admini strative cooperation and on an increased 
communication towards citizens a nd national authorities. The obj ective for 2010 is  to monitor 
a correct application of the new system of coordination by the Member States, with a focus on 
the new aspects of the Regulations. 
EN 71   EN 3.2. Labour Law 
3.2.1.  Current position 
3.2.1.1.  Introduction 
The Directives applicable  in the area of labour law cover a variety of is sues and subjects, such 
as collective redundancies, European Works Council, information and consultation of employees, posting of workers in the context of th e provision of services, fixed term and part-
time work, temporary agency work, transfer of  undertakings, employer insolvency, protection 
of young people at work, and working time.  
At present, in the area of labour law, the deadline for tran sposition has expired for all 
directives in force, with the exception of the following three: 
– Directive 2008/104/EC on temporary agency work58, for which the transposition deadline 
will expire by 5 December 2011; 
– Directive 2009/38/EC on the establishment of a European Works Counc il or a procedure in 
Community-scale undertakings and Community -scale groups of undertakings for the 
purposes of informing and consulting employ ees (Recast)59, for which the transposition 
deadline of the new or modified provisi ons will expire by 5 June 2011, as well as  
– Council Directive 2009/13/EC implementing th e Agreement concluded by the European 
Community Shipowners' Associations (ECSA)  and the European Transport Workers' 
Federation (ETF) on the Maritime Labour Convention, 2006 and amending Directive 
1999/63/EC60 for which the transposition deadlin e will expire not later than 12 months 
after the date of entry into force of the Maritime Labour Convention, 2006. 
3.2.1.2.  Report of work done in 2009 
Monitoring the application of labour law implies the management of infringement procedures, 
the preparation of monitoring reports and the setting up and activation of various expert 
groups. 
1. Management of infringements 
Along the lines set out horizontally by the Commission for 2008, giving priority to the 
handling of procedures under Article 260 of th e TFEU and of non communication procedures, 
increased efforts continued in order to close a considerable number of open infringements for 
non communication and non conformity. As a re sult the overall number of outstanding 
infringements and complaints decreased from 76 (31.12.2008) to 59
 (31.12.2009), i.e. a 
reduction of 22 %. It should also be pointed out in th is respect that, alth ough the total number 
of outstanding infringements for non communication  increased slightly, the still outstanding 
                                                 
58  OJ L 327, 05.12.2008 59 OJ L 122, 16.05.2009 60 OJ L 124, 20.05.2009 
EN 72   EN ones relate to one single Dire ctive (2005/47/EC), whereas on  31.12.2008 they related to three 
directives (2003/72/EC, 2006/109/EC  and 2005/47/EC); the so called fragmentation factor 
therefore has decreased by 66%. 
The significant decrease in the total number of ou tstanding cases, as well as the considerable 
shortening of delays in handling these, were ne vertheless counterbalanced by the fact that still 
a considerable number of "old registered comp laints" (19 in total 61), in particular, on the 
application of the working time Direct ive 2003/88/EC, following the SIMAP-Jaeger 
rulings62. These cases have been pending since the Commission proposed amendments to this 
Directive in September 2004, which could not  be agreed upon by the Council and the 
European Parliament in Spring 2009.  
With regard to the non communication cases , the infringement proceeding against 
Luxembourg for non transposition of Direc tive 2003/72/CE (due for transposition by 18 
August 2006), pursued under Article 228 EC followi ng the ruling of the C ourt of Justice63, 
could be closed following the adoption of  the necessary transposition measures. 
The only other outstanding infringement pr oceedings against Member States which failed to 
notify  the national measures concern Dire ctive 2005/47/EC64 of 18 July 2005 on the 
Agreement between the Community of Euro pean Railways (CER) and the European 
Transport Workers’ Federation (ETF) on certain aspects of the working conditions of mobile 
workers engaged in interoperabl e cross-border services in th e railway sector, due to be 
transposed by 27 July 2008. Of the 17 infrin gement proceedings for non communication 
launched against Member States that had failed to take the necessary transposition measures 
within the required time limit, 8 could be cl osed following the adoption of the necessary 
national measures in 2009 and two will be cl osed in the periodical exercise M03/2010.  
As regards problems of non-conformity  of the national transposition measures of Directives in 
the area of labour law, a number of proceedings in progress continued. For example, the case 
against Luxembourg for incorrect  transposition of Directive 96/71/EC ('posting of workers') 
was continued under Article 260 TFEU following the judgment of the Court of Justice65 and 
an Article 260 TFEU letter of formal notice was sent. The case against France for incorrect and insufficient transposition of  Directive 80/987/EEC, and in pa rticular Articl e 8 (concerning 
old-age benefits under supplementary company or inter-company pension schemes), could finally be closed.  
2. Monitoring reports 
                                                
 
61 However, it should be recalled that the num ber of outstanding working time cases did 
decrease considerably in comparison to prev ious years: a number of the SIMAP-Jaeger 
complaints could be closed, and a letter of form al notice was notified in  the cases concerning 
annual paid leave (BE) and doctors  in training (BE, IE and PT). 
62 Judgment of 3.10.2000 in case C-303/98 and judgment of 9.09.2003 in case C-151/02 63 Judgment 9.10.2008, case C-70/08 64 OJ L 195, 27.7.2005, p. 15–17 65 Judgment 19.6.2008, case C-319/06, Commission vs Luxembourg. 
EN 73   EN In order to have a comprehensiv e picture regarding labour law in  Member States, a series of 
studies were commissioned, with a view to taki ng stock of the state of play regarding the 
transposition and ap plication in the national le gal orders of EU 10 memb er States of all labour 
law directives. The final output of  this exercise, launched in 2005, consists in a series of 
reports, which was completed with reports conc erning Bulgaria and Romania in the second 
semester of 2009. 
The contents of these reports have in the m eantime started to be used in the drafting of 
implementation reports required by Directives a nd the analysis has enabled the Commission 
to identify a number of outstanding issues wh ere correct and full transposition of the 
Directive's requirements by Member States may be  at stake, necessitatin g further clarification 
or verification. These issues rais e either questions of interpre tation of the Directive or doubts 
as regards the compliance of implementing measures with the Directive. However, in 
comparison with 2008, when five implementing re ports could be finalis ed in the area of 
labour law, in 2009, the activity concentrated in providing adequate follow-up to new, 
recently adopted legislation and in preparing initia tives that will be launched in the future. By 
the end of the year, three draft reports were prep ared to be submitted to Member States and to 
social partners for comments, in view of their adoption in 2010. As regards the working time 
Directive , a comprehensive report on the transposition and application of this Directive in 27 
Member States completed during 2008, cross-checked  against expert reports, and provided to 
member states and social partners for comments,  still awaits its final adoption by the College.  
As a follow-up to a Staff Working Document66 examining the implementation of Article 8 
(concerning old-age benefits  under supplementary compa ny or inter-company pension 
schemes) and related provisions of Direc tive 80/987/EC ('employer's insolvency'), the 
Commission services pursued th eir investigation in 2009 th rough bilateral contacts with 
Member States, by sending a hori zontal questionnaire to all Me mber States and launched a 
further evaluation study on the following issues: 
– how to protect employees and retired pers ons against the risk of under-funding of the 
pension schemes, and to what extent;  
– how to guarantee any unpaid contribu tions to the pension schemes;  
– how to deal with cases where the supplemen tary pensions scheme is managed by the 
employer himself. 
3. European network of legal expe rts in the field of labour law 
To complete the horizontal analysis of confor mity of labour law, the European Network of 
Labour Law Experts was created as of 23.1 2.2007 and produced quarterly flash-reports 
providing information on recent key legal developmen ts in the area of labour law, particularly 
in those areas that are most relevant for the control of EU legislation. This systematic 
reporting and monitoring of recent developm ents, carried out under Commission supervision 
allowed the Commission services to identify problems encountered  in the nationa l legislation, 
its application and administrative practice, and to act in a preventive manner, if necessary.  
4. Strengthening pro-active co-ope ration: committee of experts 
                                                 
66 SEC (2008) 475 of 11 April 2008. 
EN 74   EN Four new expert groups were created and star ted their activities in 2009. Two are informal 
groups whose aim is to assist Member States in the transposition of Directives 2009/38 (' 
European Works Councils') and 2008/104 ('temporary agency work'). They shall end their mandate in 2011. Another informal group was creat ed with the aim of discussing the issues 
raised by the conclusion and implementati on of transnational company agreements. 
Moreover, as regards the posting of workers Directive , a formal expert committee was set 
up67 with the purpose to enhance administrative cooperation between the different authorities 
in the Member States in the area of the posti ng of workers and to examine any questions and 
difficulties which may arise in the implementati on, application and enforcement of the posting 
of workers Directive in practice.  It held its first meetings in  2009 and adopted a rolling work 
programme for its future activities. 
3.2.2.  Evaluation based on the current situation  
The importance of labour law for workers in Member States, as well as its importance for the 
perception of the European Union as a whole, has justified a horizontal anal ysis of the 
implementation of the Directives in Member St ates. Thanks to that systematic, horizontal 
analysis of the implementati on of all labour law Directives , launched in 2005, and to the 
contribution of the experts' network and othe r expert groups, the Commission has a fairly 
good view of the legal situation in all Member States as rega rds the implementation of those 
Directives. While, by and large, all Directives are now transposed in all Member States, and 
the responsible Commission services have con tinued to make visible progress in 2009 to 
prioritise and accelerate the handling of open infringements (see above), there are still a 
number of areas where the appl ication of Community law is not  yet satisfactory and needs to 
be improved.  
First and foremost, this is the case with the Working Time directive, where the law or legal 
and administrative practice in many Member Stat es does not comply with jurisprudence or 
certain provisions of the Directive 2003/88/EC  (in particular as regards on-call time, 
compensatory rest, multiple contracts, doctors  in training, public sector workers and the 
individual opt-out). A very subs tantial action is needed in order to clarify the application of 
the Directive, to ensure  effective conformity across the EU  and to provide a response to the 
numerous complaints introduced by citi zens or professional organisations.  
Moreover, the implementation of Directive 96/71/EC concerning the posting of workers in the 
framework of cross-border servi ce provision has raised  some critical issu es, given the variety 
of industrial relations systems, particularly in the li ght of recent case-law (Viking-Line, Laval, 
Rûffert and Commission vs. Luxembourg) which will be necessary to be closely followed. 
The analysis of the implementation of Direc tives 99/70/EC on fixed-term work and 97/81/EC 
on part-time work, both resulting from agreements  between social partners, revealed a number 
of deficiencies which are being addressed via EU Pilot or administrative letters.  
Finally, the current economic crisis has put to a se vere test those legal provisions which aim at 
providing protection to workers in  the event of major restructuri ng operations. This is the case 
in particular of the Directives on informa tion and consultation of workers, collective 
dismissals, transfer of undertak ings and the protection of employ ees in the case of insolvency. 
                                                
 
67  Decision setting up the Committee of Expe rts on Posting of Workers of 19 December 
2008, OJ 2009 L8/26 
EN 75   EN It seems justified to inquire whether the objectives of such provisions have been effectively 
reached in 2010.  
3.2.3.  Evaluation results 
Four implementation reports, curre ntly under preparation, are exp ected to be adopted in 2010. 
Such reports may identify situations in Member States deserving further examination and eventually may justify the launch of in fringements: a Commission Report on the 
implementation of Directive 94/33/EC (Young People at Work ), of Directive 91/383/EC 
(Health and Safety of a-typical  workers), of Directive 2003/72 /EC (Employee Involvement in 
the European Cooperative Society) as well as  of the Article 25 of Directive 2003/88/EC 
(working time of fishermen). 
The Commission will continue it s efforts to bring further cl arity to the implementation, 
application and enforcement of the Directive 96 /71/EC on posting of work ers. It has launched 
a study on the legal aspects and another on the economic and social impact of the Directive in 2009 (results expected to be r eady by end 2010, and will promot e exchange of information 
and debate on the implementation of the Directive in the framework of the Expert Committee which was launched in line w ith the Commission Decision of  19 December 2008. It will also 
monitor closely the legal change s implemented in some member  States in response to the 
recent Court rulings.   Actions undertaken on the ba sis of the contents of the implementation reports drafted 
following examination of the legal situatio n in the Member States after the 2004 
enlargement, follow-up actions of cl arification with respect to the fixed term  Directive 
99/70/EC, as well as part time  Directive 97/81/EC will be continued through bilateral contacts 
(via EU-PILOT or administrative letters).  It is also the intention to proceed, in 2010, to fu rther analysis and examin ation of a number of 
problems/issues identified in the contex t of Directive 2002/14/EC (information and 
consultation). Moreover, in the conclusions of the Communication on the review of the 
application of Directive 2002/14/ EC (information and consultati on of workers) in the EU68, 
and an accompanying Staff Working Document69, th e Commission indicated that it intends to 
take further action aimed at facilitating correct enforcement of the Directive.  
 Knowledge by management and labour of their resp ective rights and obligations in the area of 
information and consultation is an indispensa ble prerequisite for the full and effective 
exercise of these rights in the workplace. Ther efore the Commission also intends to undertake 
action geared to awareness-raisi ng, as well as to promote excha nge of best practices and to 
enhance capacity-buildin g of all stakeholders, by way of seminars, training courses, studies 
and financial support for projects submitted by representatives of employers and employees. 
 
In addition, in 2009, an expert working grou p was established to discuss a number of 
outstanding issues regarding the application of the insolvency  Directive (Council Directive 
80/987/EEC and its codified successor Eur opean Parliament and Council Directive 
                                                
 
68 COM (2008) 146 final, 17.3.2008 69 SEC (2008) 334 
EN 76   EN 2008/94/EC) in transnational situati ons, to take into considerati on the clarifica tions given by 
the ECJ in its judgment in the Holmquist case (C-310/08), as well as to address the issue 
of administrative cooperation requi red by the Directive. The prot ection to be provided to 
employees and retirees of insolvent companie s where these are covered by complementary 
pensions deserves special attention and will be  the subject of an evaluation study launched in 
2009. 
The Commission will strengthen preventive measures by providing technical assistance to the 
Member States in the process of transpositi on and implementation of the recently adopted 
Directive 2008/104/EC on temporary agency wor k. A group of governmental experts has been 
set up for this purpose. The Commission has also  established a group of experts to assist 
Member States in the implementation process of the recast European Parliament and Council 
Directive 2009/38/EC on European Wo rks Councils adopted on 23 April 2009.   
3.2.4.  Summary 
With all the ongoing initi atives, including the establishment and running of several expert 
groups, the Commission has increased its capacity to analyse and identify problematic issues, 
pursue its activities of control of European legi slation as well as to strengthen the range of 
preventive measures available. 
This should further improve the implementation, application and enforcement in practice of 
the acquis in labour law, with a special focus on  the critical ar eas identified above. However, 
the sensitive and often highly controversial na ture of the issues at stake may hamper 
achieving effective progress. 
It is expected that the launc hing of new procedures, including through EU-Pilot, may increase 
the workload considerably, which may require further prioritization. 
3.3. Health and safety at work 
3.3.1.  Current position 
3.3.1.1.  Introduction  
Health and safety at work is the most deve loped corpus of legisl ation in the field of 
employment and social affairs. Its application ov er the last 15 years contributed to, inter alia, 
a substantial reduction of the accidents at work and thus to an improveme nt of the quality of 
work . 
3.3.1.2.  Report of work done in 2009 
Monitoring the application of health and safety at work legislation implies different activities 
at various levels such as initiating and follow- up of infringement procedures, management of 
complaints, involvement of committees and expe rt groups, drafting and adoption of practical 
implementation reports and non-binding good practic es guides and initiating legal measures if 
necessary. 
The monitoring of the conformity of transpositi on of EU legislation an d the evaluation of its 
effective implementation continued during 2009, pur suant to Article 17 of the Treaty of the 
European Union. The treatment of infringement  procedures continued and progress was made 
in several cases. Moreover, the progress in the implementation of the acquis  on health and 
EN 77   EN safety at work by candidate and potential candi date countries was eval uated with particular 
emphasis as regards the modification of th e Croatian law transposing the Framework 
Directive with a view to mee ting accession criteria on chapter 19. 
(1) Management of infringements: 
Along the lines set out horizontally by the Commission for 2009, giving priority to the 
handling of Article 260 of the Treaty on the F unctioning of the European Union (ex Article 
228 of the EC Treaty) procedur es and non communication proced ures, efforts were stepped 
up in order to make considerable progress as regards the Article 260 procedures. In addition 
to this priority, work was focuse d on the priorities iden tified for the sector, e.g. the analysis of 
the conformity of the transposition of Fr amework Directive 89/391/EEC and of the 5 
individual directives related to the highest risk sectors. 
– Non-communication infringement cases: 
Following the closure of all non-communicati on cases, in 2009 no new such cases were 
opened as no new directive was due for transposition in this year. 
– Non-conformity infringement cases: 
Given the persistent problems of non-conformity of the tran sposition of the framework 
directive 89/391/EEC and of its individual di rectives, many proceedings in progress have 
continued in 2009. Some of them, such as for example the cases against Sweden on Directive 
92/57/EEC (construction sites) and Poland on the Framework Directive 89/391/EEC were 
closed further to the adoption of national legislative measures  that brought into compliance 
the national legislation. In the cas e against France concerning th e application of the provisions 
of Directive 89/391/EEC to RATP and SNCF, fo llowing the Court of Justice ruling in favour 
of the Commission70, the proceedings continued and a reasoned opinion ex Article 228 (now 
Article 260 TFUE) was sent. As a result, France modified its legislation in the beginning of 
2010 and the case will be closed. In the cas e against Italy on Di rective 92/57/EEC on 
construction sites, following the Court of Ju stice ruling in favour of the Commission71, a 
letter of formal notice ex Article 228 (now Article 260 TF UE) was sent to Italy, which 
modified its legislation in orde r to bring it in line with the Court's ruling. Consequently, the 
case could be closed in January 2010. In the case against Austria on Directive 92/57/EEC, a 
reasoned opinion was sent. In addition, infringe ment proceedings were opened against Ireland 
(Directive 92/57/EEC on constr uction sites), Spain (Directiv e 93/103/EEC on fishing vessels) 
as well as against UK on the conformity of th e transposition of Di rective 2003/18/EC on 
asbestos.  
The analysis of the national measures transp osing Directive 93/103/ EEC (fishing vessels) 
continued and Italy (through the EU Pilot project) was asked to provide clarifications. 
Clarification was also requested on the transpos ition of Directive 92/29/EEC from France and 
the Netherlands (the latter through the EU Pilot project). This also applies to the UK regarding Directive 92/57/EEC, and Germany and the Netherlands as regards certain 
provisions of the Framework Directive 89/391/EEC. 
                                                
 
70 Case C-226/06, judgment of 5 June 2008. 71 Case C-504/06, judgment of 25 July 2008. 
EN 78   EN (2) Complaints management  
The management of complaints c ontinued concerns cases of app lication of national legislation 
transposing the health and safety  directives that should be deal t with, at first instance, at 
national level. Some of the complaints revealed  violations of Health and safety EU law and 
therefore infringements pro cedures have been launched. 
In this context, as regards the complaint agai nst Sweden in respect of the implementation of 
Directive 89/391/EEC, a reasoned opinion was prepared and was notified in January 2010.  
Concerning the complaint against Denmark regard ing several points of Annex IV to Directive 
92/57/EEC, following the complementary letter of formal notice, a bilateral meeting was held 
with Denmark and it resulted from the meeting that the Danish authorities were committed to modify national legislation according to  the concerns of the Commission.  
Following the letter of formal notice sent to the UK in January 2009, co ncerning a complaint 
concerning the transposition of Article 3 of  Directive 2003/18/EC, a bilateral meeting was 
held with the UK to allow exchange of view s on the complex technical issues concerned. 
In addition, during 2009 different corre spondence was received (through CHAP since 
September 2009) drawing the attention of the Co mmission to the application of EU law, for 
example in Cyprus as regards the requirement s regarding manual handling of loads laid down 
in Directive 90/269/EEC. In none of these cases circumstances were established which would 
give rise to infri ngement procedures. 
(3) Practical Implementation Reports 
The Commission has, in the Communication Improving quality and pr oductivity at work: 
Community strategy 2007-2012 on health and safety at work 72, undertaken to assess the 
implementation of the regulatory framework with a view to improving it. This is inter alia 
accomplished by presenting reports on the practical implementation of the health and safety at 
work directives. These reports are mainly based on the national re ports supplied by the 
Member States and a study done by an independ ent expert, analysing the implementation of 
the directives in the economic sectors concerne d. They are an important source of information 
as regards the practical implementation of the Directives and in order to decide on possible 
preventive action.  
During 2009, two such reports were presented to  the Council, the Euro pean Parliament, the 
European Economic and Social Committee and the Committee of Regions:  
On 3 September 2009 the Commission adopted a re port on the practical implementation of the 
provisions of the Health and Safety at Wo rk Directives 92/91/EEC (mineral-extraction 
through drilling) and 92/104/ EEC (surface and underground mineral extraction) 
(COM(2009)449). 
In addition, on 29 October 2009 the Comm ission adopted a report on the practical 
implementation of the provisions of the Health  and Safety at Work Directives 93/103/EEC 
(fishing vessels)  and 92/29/EEC (medical treatment on board vessels) (COM(2009)599).  
                                                
 
72 COM(2007) 62 final. 
EN 79   EN (4) Management of the acquis through committees and experts groups 
The Committee of Senior Labour Inspectors (SLIC) assists the Commission on problems 
relating to the enforcement of Community la w on health and safety, and encourages its 
effective enforcement, notably by means of a closer cooperation between the national labour 
inspection services.  
One mechanism to fulfil its tasks is the rapid exchange of inspection-related problems and 
solutions amongst the EU-27 Member States and EFTA countries. The Committee developed 
further its use of the Commission's CIRCA extr anet to exchange information on fields of 
enforcement responsibility and practice, inci dents with lifting machines and chemical 
substances.  
(5) Information and risk awareness raising ca mpaigns of Senior Labour Inspectors 
Committee (SLIC) 
The European campaigns launched under the in itiative of the Committee of Senior Labour 
Inspectors (SLIC)73 largely contribute to better compliance with EU legislation in that field. 
European campaigns are indeed an effective means by which the labou r inspection services 
can cascade a common message to stakeholde rs. In 2009, the Committee published 2 reports 
evaluating pan-European campaigns on two wo rk place hazards, asbestos and the manual 
handling of loads74, 75. For the latter, the in spectorates reached dire ctly more than 10, 000 
workplaces in 2 target sectors: construction and re tail trade. A strength of such joint actions is 
the opportunity to share good practice solutions  on risk management amongst stakeholders 
which can be promoted through new le gislative proposals and guidance.  
SLIC initiated a new campaign designed to enhance risk management of dangerous 
substances in small- and medium-sized enterp rises. It concentrates on 4 workplace activities: 
motor vehicle repair, furniture making, bakeries  and cleaning, all widespread activities which, 
if not properly controlled, pose risks of seri ous ill-health e.g. from respiratory and skin 
disorders.76  
(6) Enlargement 
During 2009, works continued as far as health and safety at work issues are concerned in EU 
candidate and potential candidate  countries. A substantial amount  of work was performed to 
bring Croatian national legislat ion into line with the Framew ork Directive, which involved 
detailed analysis of national legislation, organisa tion of bilateral meetings etc. In addition, a 
mission to Croatia was carried out in 2009 to ev aluate the administrativ e capacities of the 
Labour Inspectorate with input from the SLIC. As an application for EU membership was 
received from Iceland, questions were prepar ed concerning Health and Safety at work. 
Replies were evaluated accordingly and an assess ment was made on the situation in this area. 
                                                 
73 Commission Decision 95/319/EC of 12 July 1995, OJ L 188, p. 11 (as amended). 
74  http://osha.europa.eu/en/campaigns/asbestos 75  http://www.handlingloads.eu/en/site/ 76  To be launched (21 January 2010) 
EN 80   EN As regards candidate and potential candidate count ries, contributions were provided, twice in 
2009, to the Annual Progress Reports as well as to bilateral meetings organised by the Commission on the progress made by these count ries. Questions were prepared for Albania 
and Montenegro concerning health  and safety at work, appli cations for TAIEX funding to 
organise study visits and workshops and a pr oject under Instrument of Pre-Accession 
assistance were evaluated and assessment made  on their eligibility. Participation was ensured 
in bilateral meetings with Croatia and Montenegro  to cover the aspects of health and safety at 
work.  
The overall goal of these activities is to ensure  that the candidate an d potential candidate 
countries make progress in transposition and effective implementation of the EU acquis  on 
health and safety at work with a view to reach ing the level of the EU Member States in this 
area and, in the future, to fulfil the EU accessi on criteria if and when requested to do so. 
(7) Non-binding guides 
In 2009, two practical non-binding guides were made available in 22 language versions – a 
non-binding Guide on good practices for implem enting Directive 2002/44/EC (on vibrations 
at work) and a non-binding Guide on good practic es for implementing Directive 2003/10/EC 
(on noise at work).  
Such non-binding guides, several others being cu rrently available, aim at facilitating the 
implementation of EU health and safety legisl ation. The guides contain practical information 
addressed to employers and workers, in an easily understandable way, to encourage a better 
application of the EU legi slation at the workplace. 
3.3.2.  Evaluation based on the current situation  
It is essential that the European Union acquis  is implemented effectively in order to protect 
the lives and health of workers and to ensure that the companies operating within the large 
European market are placed on an equal footing. 
Accidents at work and work-related diseases  are a heavy burden in social and economic 
terms, and action to improve health and safety standards at work offers great potential gains 
not only to employers, but also to in dividuals and society as a whole. 
The implementation of the EU directives, in the fi eld of health and safety at work, is bearing 
fruit at European level. Between 2000 and 2007 a reduction trend of 32.6% in the incidence of 
fatal and 28.7% in non-fatal accidents at work  in the EU-15 was observed according to the 
harmonised data on accidents at work that are collected in the framework of the European 
Statistics on Accidents at Work (ESAW)77. Howe ver, the latest statis tics of 2007 show that 
around 3.8 million accidents at work resulting in more  than three days of absence from work 
occurred in the EU-15.  
3.3.3.  Evaluation results 
Priorities set for 2009 were larg ely met but it should be borne in mind that the work planning 
has to be constantly adapted to new priorities  introduced during the year which has an impact 
                                                
 
77 http://epp.eurostat.ec.europa.eu/cache/ITY_SDDS/en/hsw_acc_work_esms.htm  
EN 81   EN on the priorities set regarding the control and monitoring of the application of Community 
law. 
While all health and safety at work Directives  are transposed in all Member States and the 
Commission has made visible progress, in 2009, to accelerate the handling of open 
infringements and to go further w ith the priorities set, major effo rts should still be deployed to 
progress with the priorities established. 
As examples of progress obtained may be men tioned the legislative amendments adopted in 
Austria, France, Italy, Poland , Sweden and the commitments by some other Member States to amend the legislation with a view to bringing their national law in compliance with the EU directives. Consequently, some of the infringements could be closed in 2009. 
Moreover, practical implementa tion reports were adopted in  2009 as regards Directives 
93/103/EEC (fishing vessels)  and 92/29/EEC (medical treatment on board vessels) and 
Directives 92/91/EEC (mineral-extraction th rough drilling) and 92/104/EEC (surface and 
underground mineral extraction)78. 
Following the adoption of Directive 2007/30/EC harmonising the reporting requirements for 
the health and safety at work Directives, a common structure and questionnaire for future reports were prepared. During 2010, the Commi ssion intends to prepare guidelines, which 
will give practical information with examples to  help Member States prepare the reports in 
such a way that these provide adequate in formation for the Commission to assess the 
implementation of the EU acquis  in the field of health  and safety at work. 
As previously mentioned, the analysis of the conf ormity of all the health and safety at work 
directives should continue to be  indicated as a prio rity issue as an in correct transposition 
could be a source of occupational accidents or diseases, with particular serious negative 
consequences in terms of human lives or physical integrity and/or important economic impact for the society and the concerned enterprises. Mo reover, such analysis is also required due to 
the fact that often Member States are legislati ng in the fields covered by these Directives and 
there is a need to constantly follow-up the legislative developments that, sometimes, are not 
notified to the Commission. 
As the analysis of the transposition of all provi sions and annexes of the health and safety at 
work directives is a highly time-consuming ta sk requiring highly specialised human resources 
(not only lawyers but also doctors, chemical engi neers, mining engineers, etc.), a prioritisation 
was essential and the development of preventive actions was intensified such as the adoption of non-binding guidelines. In this  context, also with a view to avoiding court proceedings, 
bilateral meetings with nationa l authorities took place in 2009 on six occasions79. As a result 
of those meetings, amendments to national legisl ation have been foreseen to bring it into line 
with the acquis.   
The analysis of the conformity of the tr ansposition of Framework directive 89/391/EEC, 
which establishes the main principles of prev ention of occupational risks that apply to all 
                                                
 
78  COM(2009) 449 and COM (2009) 599. 79  Bilateral meetings with  DK, CZ, EL, IE, IT and UK 
EN 82   EN sectors of activity, continues to be a major pr iority for 2010, in part icular as regards the 
correct transposition in the 12 new Member States. 
The Commission intends to continue in 2010 the analysis of the confor mity of 5 individual 
directives related to the highest risk sectors:  construction (directive 92/57/EEC), the maritime 
sector (directives 92/29/EEC and 93/103/EC) and ex tractive industries (d irectives 92/91/EEC 
and 92/104/EEC). In addition, it is also the intention in  2010 to further analyse the 
transposition of the Asbestos Di rective 2003/18/EC as an exposure to asbestos is  still a major 
concern for the protection of the workers' health. 
These priorities are in line w ith the main objectives of th e Community Strategy 2007-2012 on 
Health and safety at Work80 in particular those of reducing occupa tional accidents and 
diseases and guaranteeing the proper implementation of EU legislation. 
As preventive action for 2010 is foreseen for instance the adoption by  the Plenary of the 
ACSH of a practical non-bindi ng guide on the construction si tes Directive 92/57/EEC which 
will contribute decisively to the dissemination of good practices, being an assistance tool for 
better application of  the EU legislation, with  a view to improving application and consistency 
of the EU Directive among Member States.  
A major priority for 2010 relates to the fo llow-up of the respec t of the deadline for 
transposition of Directive 2006/ 25/EC (artificial optical radi ation) in April 2010 and the 
resulting non-communication infringements. 
3.3.4.  Summary 
The Commission has continued to develop severa l initiatives to strengthen the preventive 
measures with a view to significantly improving the level of effective and complete implementation, application and enforcement of the EU health and safety at work acquis. This 
has given successful results as for exam ple the closing of all non-communication 
infringements or the reduction tr end in the accidents at work.  
The limits of the priorities fi xed should however be highlighted  as national legislation is 
constantly being adopted in the field of Di rective 89/391/EEC and its individual directives, 
requesting the Commission to focus on the new changes that often are not officially 
communicated to it. This makes the conformity analysis a never ending exercise. On the other 
hand, the dialogue established w ith the national administrations  determines the follow-up and 
calendar of the procedures. Moreover, complain ts, petitions, Parliamentary questions or mail 
from the citizens in certain cas es raise non-conformity issues that need to be urgently 
investigated, requesting an adaptation of the work plan.  
Further to the Resolution of the European Pa rliament of 15 January 2008 on the Health and 
Safety Strategy 2007-201281, which expressly reque sts to the Commissi on to intensify its 
works on the monitoring of the transposition of the health and safety at work directives, 
progress in this area has been intensified and th e prioritising approach above indicated as well 
                                                
 
80 COM(2007) 62 81 Resolution 2007/2146 
EN 83   EN as the preventive initia tives undertaken, should allow to deal with a workload which is 
constantly increasing and therefore requesti ng major efforts to adequately manage it. 
3.4. Antidiscrimination and gender equality 
3.4.1.  Current position  
3.4.1.1.  Introduction 
The legislative acquis in the field of gender equa lity and anti-discrimination is composed of 8 
Directives, based mainly on the specific Treat y provisions: Article 157 TFEU (former Article 
141 TEC) for gender equality and Article 19 TFEU (former Article 13 TEC) for 
antidiscrimination.  
The number of infringement proceedings concer ning this legislative domain was important 
owing to the combination of non-confor mity and non-communication cases. In 2009, 
following an intensified dialogue with the MS, the number of infringement proceedings has 
substantially decreased, essentially due to the fact that many Member States have changed 
national law to comply with the Directives or have communicated their national measures to 
transpose the most recently a dopted Directives. Subsequently, the number of cases decreased 
from more than 100 at the end of 2008 to 74 at  the end of 2009. The handling and monitoring 
of all these cases remains nevertheless a challenging workload.  
3.4.1.2.  Report of work done in 2009 
(8) New legislation in preparation 
In the area of gender equality and anti-discrimination, four legislative proposals were under 
discussion:  
– a proposal for a Directive implementing the principle of equal treatment between persons 
irrespective of religion or beli ef, disability, age or sexual or ientation outside employment, 
– a proposal for a Directive implementing the revised Framework Agreement on parental 
leave concluded by BUSINESSEUROPE, UE APME, CEEP and ETUC and repealing 
Directive 96/34/EC, 
– a proposal for a Directive amending 92/85/EEC on the introduction of measures to 
encourage improvements in the safety and health  at work of pregnant workers and workers 
who have recently given birt h or are breastfeeding, and 
– a proposal for a Directive on the application of  the principle of equal treatment between 
men and women engaged in an activity in a se lf-employed capacity and repealing Directive 
86/613/EEC. 
The Council reached a political agreement on th e adoption of the proposal on parental leave 
on 30 November.  
On the same date, the Council reached political agreement on its first reading opinion on the 
proposal for a Directive on the application of the principle of equal treatment between men 
and women engaged in an activity  in a self-employed capacity.  
EN 84   EN The proposal for a Directive amending Directive 92/85/EEC is in the first reading procedure, 
with possibly a plenary vote in the European Parliament in autumn 2010. 
Finally, concerning the proposal fo r a Directive implementing the principle of equal treatment 
between persons irrespective of religion or belief,  disability, age or sexu al orientation outside 
employment, on April 2009 the European Parliame nt adopted a resolution  on it, endorsing its 
main features (grounds covered and material scope), while proposing amendments in detail. 
Negotiations in Council progressed satisfactor ily during 2009, essentially  during the second 
half. While significant progress has been made in  the attempt to clarify the scope, the division 
of competences, the disability provisions, and the implementation calendar, Member States 
still have strong concerns with re gard to costs an d legal authority. 
(9) Monitoring of infringements 
All Member States have transposed Di rectives 2000/43/EC, 2000/78/EC and 2002/73/EC. 
Two procedures for non communication of na tional measures to transpose Directive 
2004/113/EC and seven for Directive 2006/54/EC remain open. 
The work in 2009 to monitor national law can be summarized as follows: – With regard to ensuring the conformity with art. 157 TFUE, the Commission sent a 
reasoned opinion to one Member  State (FR), while for anot her one (IT) it was analysing 
the conformity of the new le gislation sent to Commission, ba sed on which a decision shall 
be made during 2010.  
– Concerning Directive 2000/43/EC, two Member States received a reasoned opinion (NL 
and DE), and eleven cases were closed. At the end of 2009, twelve cases for incorrect transposition remained open. 
– Concerning Directive 2000/78/EC, one Member State received a letter of formal notice 
(EL), three received reasone d opinions (IT, UK and DE) while  seven cases were closed 
(DK, EE, FI, SK, MT, FR and AT). 
– Directive 2006/54/EC had to be transposed  by Member States by 15 August 2009 at the 
latest. Immediately after, th e Commission took action against seven Member States (AT, 
BE, EE, IT, LU, PL and UK), which had not notified national laws to transpose the 
Directive.  
– Concerning the cases for non communication of national measures to transpose Directive 
2004/113/EC, two Member States have not yet notified their national measures to fully 
transpose the Directive (PL and UK). In bot h cases, the Commissi on has referred the 
matter to the Court of Justice. On the ot her hand, Cyprus, the Czech Republic, Estonia, 
Latvia and Greece notified transposition laws and the cases have therefore been closed. 
– As regards the monitoring of the conformity of national measures transposing Directive 
2002/73/EC, during 2009, five cases were closed, the Commission being satisfied with the 
amendments introduced or the explanations gi ven (AT, FI, CY, EL and FR), while five 
Member States received a reasoned opinion (DE, PL, DK, LV and UK). 
(10) Main actions taken to monitor the correct application of the law 
EN 85   EN On 29 July 2009, the Commission adopted the Report on the application of Directive 
2002/73/EC82. The Report focuses on transposition problems, the impact of the Directive on 
national law and practice of the Member States, the enforcement of rights and obligations, and 
the role of equality bodies, social partners and NGOs. 
One of the conclusions of the Report is th at considering the far-reaching changes to 
legislation required in a number of Member States and th e substantial progress most Member 
States have made in implementing its provisi ons, the transposition of Directive 2002/73/EC 
can generally be regarded as satisfactory. Howeve r, effort is still needed in some Member 
States to achieve full an d correct transposition. 
3.4.2.  Evaluation based on the current situation  
Considering that the legal acquis is transposed in all Member States, with the exception of 
seven procedures open for non communication of na tional measures to tr anspose the two most 
recently adopted Directives, the situation as fa r as transposition is concerned is satisfactory. 
The monitoring of the transposition of the tw o Directives on antidiscrimination adopted in 
2000 and of the gender equality Directive from 2002 gave rise to a high number of 
infringement cases, involving almost all Member  States. This was due to two main factors: 
the high standard applied by the Commission in a field linked to human rights and the novelty 
and complexity of the legal texts, involving di fferent areas of the legislative framework.  
In the near future, it is expected that the num ber of cases open and the number of grievances 
will decrease substantially, due to amendments to national laws and to a better understanding 
of the overall legal framework. 
3.4.3.  Evaluation results 
3.4.3.1.  Priorities 
The number of legislative proposals on the tabl e and the high number of infringement cases 
open impose a prioritisation of the work in that field. On that ba sis, while not disregarding the 
overall application of the EU law in the field of gender equality and anti-discrimination, the 
main priorities for 2010 will be: 
– Cases under Article 260 TFEU; 
– Follow-up of the proceedings for non-communication of national measures to transpose 
Directives 2004/113/CE and 2006/54/EC.  
– Monitoring of the conformity of national measures transposing Directive 2004/113/EC. 
For the remaining cases which do not fall within  one of the above cate gories, the treatment 
will take into consideration the date of the last Commission's decision, the stage of the 
procedure and the importance of the grievances raised. 
                                                 
82  COM(2009) 409 final 
EN 86   EN 3.4.3.2.  Planned action 
In the area of gender equality and anti-disc rimination, the negotiatio n of the legislative 
proposals on the table is a priority. The Co mmission will have to play its role in the 
procedures in order to facilitate adoption by the Council and by the two co-legislators.  
Thus, as regard the proposal for a Directive on the application of the principle of equal 
treatment between men and women engaged in an activity in a self-employed capacity, the 
second reading will start in 2010, once the fina l text is transmitted to the European 
Parliament. As far as the proposal for a Directive amending Dir ective 92/85/EEC is 
concerned, the European Parliament has sche duled adoption of its first reading opinion on 
March 2010. 
With regard to the management of infringements, in order to manage the remaining high 
number of infringement proceedi ngs, it is envisaged to concentrate on the priorities set above, 
while making utmost efforts to treat the remaining cases in accordance with the internal rules.  
Since the deadline for trans posing two Directives (2004/1 13/EC and 2006/54/EC) expired 
recently and it is necessary to ensure that they are transposed in all Me mber States as soon as 
possible. The non communication proceedings will con tinue to be a top priority in this area. 
Now that almost all Member St ates have transposed Directive 2004/113/EC, the monitoring 
of the conformity of national laws will start and is  likely to lead to an increase in the number 
of open cases. 
On the other hand, it is expected that more  cases will be closed concerning Directives 
2002/73, 2000/78/EC and 2000/43/EC, as many Member States are engaged in the review of 
their national law.  
Finally, following the entry into force of th e Lisbon Treaty, the Commission will also give 
special attention to complaints and petitions con cerning the rights enshrined in the Charter in 
the area of gender equality and non discrimination. 
3.4.4.  Summary 
The Commission will continue it s practice of bilateral meeti ngs with nationa l authorities 
whenever this seems useful to better unders tand the complexities of the national legal 
framework. 
The Commission will also try to anticipate fu ture infringement proceedings by the setting-up 
of expert groups in order to discuss the im plementation of the new Directives by Member 
States, as soon as they are adopted. This will be  the case to prepare the transposition of the 
new Directive on Parental Leave. 
In general, it is expected that national Equali ty Bodies will contribute to a reduction in the 
number of complaints concerning this area of  EU law, in the areas in which they are 
competent (so far gender and race). 
The Commission will continue to make use of pr oblem resolution alternatives to infringement 
proceedings (EU Pilot, CHAP) but also exte rnal expertise (Equality Bodies, Network of 
Independent Legal Experts). Th ese tools coupled with the pr ioritisation set above, should 
facilitate the management of the heavy work load which is not expected to decrease. 
EN 87   EN  
4. AGRICULTURE  AND  RURAL  DEVELOPMENT 
4.1. Current position 
4.1.1.  General introduction 
Since 1962 the Common Agricultural Policy (CAP) has established a comprehensive legal 
framework for European agriculture aiming to ac hieve the objectives set out in the Treaty. As 
a fully integrated common policy it replaces a significant amount of  national legislation. It has 
largely accomplished its objectives while allevi ating the social impact of agricultural 
restructuring. As a corollary, farmers and admini strations have to deal with a complex set of 
rules and measures contained in 1372 acts of sec ondary law currently in force. Most of those 
acts are Council or Commission Regul ations that are "binding in their entirety and directly 
applicable in all Member Stat es". Access to agricultural legislation has been improved by 
developments in IT tools. All EU legislation is now freely available via the EUR-Lex website. 
Consolidation and codification of legal texts both make the "acquis" more accessible to 
citizens and improve legal certainty. 
The CAP is unique in the extent to which it is regulated and financed at EU level. Its common 
approach, in particular, to the single market, makes it possible to guarantee the functioning of 
an internal market of agricultural products. An  EU framework ensures that rural development 
programs are carried out under common rules w ithout creating unfair competitive advantages. 
Basic standards in the field, for example, of  organic farming and labelling are settled on a 
common basis. This requires robust legislat ion, and effective financing and monitoring 
mechanisms to protect the public in terest and ensure  accountability. 
Taking into account the significant volume of agricultural law a nd the 50 years history of the 
CAP (Stresa Conference dated July 1958), it may be considered as a quite stable "acquis" that, 
on the one hand, is subject to frequent tech nical modifications under the Comitology 
procedure, and on the other hand, undergoes on a regular ba sis, much more profound 
modifications. The last one of these, the 2003 reform, brought about radical change to the 
CAP, especially its in come support policy. It established the single payment scheme and the 
single area payment scheme where direct inco me support for farmers is largely decoupled 
from production and introduced the cross-comp liance system (see Council Regulation (EC) 
No 1782/200383 repealed by Regulation (EC) N° 73/ 2009). It also established comprehensive 
common rules for direct support in most sect ors. The effect of these reforms has been 
reviewed in the "Health Check" 2008, on which basis the Council decided on adjustments in 
policy and budgetary priorities. 
The policy is divided into two pillars: the firs t pillar consists of a framework for supporting 
the income of farmers through the payment of  direct aid and a sy stem for managing and 
                                                 
83 Council Regulation (EC) No 1782/2003 of 29 September 2003 establishing common 
rules for direct support schemes under the co mmon agricultural policy and establishing 
certain support schemes for farmers and am ending Regulations (EEC) No 2019/93, (EC) No 
1452/2001, (EC) No 1453/2001, (EC) No 1454/ 2001, (EC) 1868/94, (EC) No 1251/1999, 
(EC) No 1254/1999, (EC) No 1673/2000, (EEC) No 2358/71 and (EC) No 2529/2001. 
EN 88   EN supporting agricultural markets. The second pi llar of the CAP provides a framework to 
support the development of rural areas of the EU . The first pillar is 100%  financed by the EU 
budget, whereas the second pillar  is co-financed by the UE budge t and those of the Member 
States. Beginning on 1st January 2007 the prog rammes for rural development have been 
implemented on the basis of a new strate gic planning model based on a Community 
framework position and national strategic pl ans (see Council Regulation (EC) No 
1698/200584). 
To these two principal pillars  could be added another impor tant element of the policy 
consisting of the quality policy: notably f our specific EU quality schemes have been 
introduced to develop geographical indications, organic farming, traditional specialities, and 
products from the outlying regions of the EU. These schemes identify to consumers products 
having specific qualities resulting from a particular origin and/or farming method. 
Since the 2007 financial year the financing of  the CAP is regulated by Regulation (EC) No 
1290/200585 , which introduced two distinct funds.  The first pillar is now financed by the 
European Agricultural Guarantee Fund (EAGF) a nd the second pillar (rural development) is 
financed by the European Agricultural Fund for Rural Development (EAFRD). 
The implementation of the CAP is a joint responsibility of Member States and the 
Commission, referred to as shared management. While the Commission is responsible for the 
overall legal framework and for implementation of the budget, under the shared management concept, the responsibility for implementation at  the level of final be neficiaries has been 
delegated to the Member States. The extent of the responsibilities of the Members States may 
in particular be considered very extensive as regards the implementation of the measures of the second pillar for which a "bottom up" appr oach has been followed that leaves to the 
Member States, regions and Local Action Gr oups much more latitude in adjusting the 
programmes to local needs. 
Since the Green Paper of 1985, the CAP has been  the subject of a co ntinuing and regular 
process of reform. This policy also contributed significantly to the regulatory simplification 
process notably in 2007 - 2008 by the adoption of the single Common Market Organisation 
regulation. A common market organisation (CMO) in the agricultural sector governs 21 
                                                 
84 Council Regulation (EC) No 1698/2005 of  20 September 2005 on support for rural 
development by the European Agricultural Fund  for Rural Development (EAFRD) – See also 
Commission Regulation (EC) No  1974/2006 of 15 December 2006 laying down detailed rules 
for the application of Council Regulatio n (EC) No 1698/2005 on support for rural 
development by the European Agricultural Fund for Rural Development (EAFRD) and 
Commission Regulation (EC) No 1975/2006 of 7 December 2006 laying down detailed rules 
for the implementation of Council Regulation (EC) No 1698/2005, as regards the 
implementation of control procedures as well  as cross-compliance in respect of rural 
development support measures. 
85 Council Regulation (EC) No 1290/2005 of 21 June 2005 on the financing of the 
common agricultural policy. 
EN 89   EN sectors which until 2007 were individual CMOs. It provides a single legal framework 
governing the domestic market, trade with thir d countries and rules regarding competition86. 
4.1.2.  Report of work done in 2009 
4.1.2.1.   New legislation 
If 2008 ended with the successful outcome of the "Health check" reflection process on how to 
improve the efficiency of the Common Agricu ltural Policy in the future, 2009 has been 
characterised by a very active legi slative activity dedicated to the formalisation of the political 
agreement reached. 
Implementation of the "Health check" 
The political agreement reached on 20 November 2008 on the "Health Check" has been 
formalised by the adoption of three Council Regulations (Regulations (EC) N° 72/2009, 
73/2009 and 74/2009) and implementation rules through the Comitology procedure. The 
changes concern the main areas of the CAP: di rect aid system, market instruments and rural 
development policy (new challenges). Amon g a range of measures, the Health check 
abolishes set-aside, provides for a gradual pha sing-out of milk quotas leading up to their 
abolition in 2015 ("soft landing"),  and converts market interventi on into a genuine safety net. 
The Health Check also had the effect that the rules for direct payments  have been reviewed 
and simplified and led to an increased degree of modulation, whereby direct payments to 
farmers are reduced and the money tran sferred to the Rural Development Fund. 
Reform of specific market instruments 
As well as the legislative implementation of the Health Check quoted above, 2009 saw several 
other legislative initiatives adopted regarding sp ecific sectors or horizon tal rules. Concerning 
the latter, the single CMO provi des a sound basis for grouping similar market management 
procedures applicable in differe nt sectors in horizontal Commi ssion Regulations. It offers the 
opportunity to reconsider and harmonise the different  variations in so far as this is considered 
to be useful, thereby achieving a degree of si mplification. In 2009 two important initiatives 
were taken: 
– Rules on buying in, storage, a nd selling under public interventi on for all eligible products 
have been summarised, and where feasible  harmonised, in Commission Regulation (EU) 
No 1272/200987.  
– Communications between Member States an d the Commission on market management 
measures has been streamlined in one Commission Regulation (EC) No 792/200988 that 
                                                 
86 Council Regulation (EC) No 1234/2007 of  22 October 2007 establishing a common 
organization of agricultural markets and on specific provisions for certain agricultural 
products (Single CMO Regulation). 
87 Commission Regulation (EU) No 1272/2009 of 11 December 2009 laying down 
common detailed rules for the implementati on of Council Regulation (EC) No 1234/2007 as 
regards buying-in and selling of agricu ltural products under public intervention. 
EN 90   EN provides the legal framework for the simultane ous creation and introduc tion of an IT tool 
for the purpose (ISAMM). 
Besides simplification of CMO rules, the " acquis"  concerning several sectors was modified to 
a greater or lesser extent in 2009.  
In the wine sector, the single CMO project was continued. Regulati on (EC) No 479/2008 on 
the common organisation of the market in wi ne was incorporated, as  expected, in Council 
Regulation (EC) No 1234/2007 - the single CMO Regulation by Council Regulation (EC) No 
491/2009. 
Moreover, the adoption of three regulations completed the implementation of the wine 
reform: 
- as regards the vineyard register, compul sory declarations and the collection of 
information to monitor the wine market, as well as the documents accompanying consignment of wine products and the registers to be  kept; Commission Regul ation (EC) No 436/200989 
was adopted. 
- as regards the categories of grapevine products and oenological practices; Commission 
Regulation (EC) No 606/200990 was adopted. 
- as regards protected designations of orig in and geographical indications, traditional 
terms, labelling and presentation of certain  wine sector products; Commission Regulation 
(EC) No 607/200991was adopted. Th e latter two items were subj ect to consultation of WTO 
partners under the Agreement on Te chnical Barriers to Trade (TBT). 
                                                                                                                                                        
 
88 Commission Regulation (E C) No 792/2009 of 31 Augus t 2009 laying down detailed 
rules for the Member States' notification to th e Commission of information and documents in 
implementation of the common organisation of the markets, the direct payments' regime, the promotion of agricultural products and the regi mes applicable to the outermost regions and 
the smaller Aegean islands. 
89 Commission Regulation (EC) No 436/2009 of 26 May 2009 laying down detailed 
rules for the application of Council Regulation (EC) No 4 79/2008 as regards the vineyard 
register, compulsory declarations and the ga thering of information to monitor the wine 
market, the documents accompanying consignments of wine products and the wine sector registers to be kept. 
90 Commission Regulation (EC) No 606/2009 of 10 July 2009 laying down certain 
detailed rules for implementing Council Re gulation (EC) No 479/2008 as regards the 
categories of grapevine products, oenological pr actices and the applicable restrictions 
91 Commission regulation (EC) No 607/2009 of 14 July 2009 laying down certain 
detailed rules for the implementation of C ouncil Regulation (EC) No 479/2008 as regards 
protected designations of origin  and geographical indi cations, traditional terms, labelling and 
presentation of certain wine sector products 
EN 91   EN Together with the first implementing regula tion, Regulation (EC) No 555/200892, this quartet 
of regulations provides a stable and clear legal framework for th e sector for the coming years. 
They will contribute to improving competitivenes s, increase subsidiarity by enabling Member 
States to select the measures in their na tional support programmes most suited to their 
conditions. They also set out clear rules as re gards PDOs, PGIs and TTs as well as on annual 
verification to be carried out by Member States to ensure th e technical specifications are 
respected and on labelling and presentation of wine products. The national authorities 
carrying out assessments and checks have to be  competent, objective and impartial. The 
authorization of wine-making practices will be simplified – in general taking over those 
recommended by the International Organisation of Vine and Wine (OIV). The analytical 
methods of the OIV will likewise be used for an alysis in the European Union. The collection 
of information to monitor the sector has also been adequately provided for to ensure early 
detection of market changes and trends. 
In the fruit and vegetable sector, the implem enting rules for the School Fruit Scheme (SFS) 
laid down in Commission Regulation (EC) N°288/200993 were adopted. The scheme is 
operational as from the current  school year 2009-2010. It aims  to encourage healthy eating 
habits in young people, thus contributing to th e campaign against obesity which has a serious 
impact on health. The SFS makes available €90 m illion of EU funds per year to provide fruit 
and vegetables to school children and this mone y is matched by national, private funds and in 
certain cases parental contributi ons (co-financing). 23 Member Stat es out of 27 have opted to 
participate in 2009-2010, which is an excellent take-up. Moreover, the fruit juice Directive 
(2001/112/EC) has been amended by Directive 2009/106/EC94. Adaptation was needed to take account of technical progress and developmen ts in relevant international standards, in 
particular the Codex Standard  for fruit juices and nectars (Codex Stan 247-2005) which was 
adopted by the Codex Alimentarius Commissi on during its 28th session on 4- 9 July 2005 and 
the Code of Practice of the Eu ropean Fruit juice A ssociation (AIJN). A second amendment of 
this Directive is scheduled fo r 2010. Finally, for the smooth func tioning of the "acquis" in the 
fruit and vegetable sector a recast of the implementing rules (Commission Regulation 
1580/200795) which incorporated interpretative notes, was launched. Several issues are 
                                                
 
92 Commission Regulation (EC) No 555/2008 of 27 June 2008 laying down detailed 
rules for implementing Council Regulation (E C) No 479/2008 on the common organisation of 
the market in wine as regards support prog rammes, trade with th ird countries, production 
potential and on controls in the wine sector 
93 Commission Regulation (EC)  No 288/2009 of 7 April 2009 la ying down detailed rules 
for applying Council Regulation (EC) No 1234/2007 as regards Commun ity aid for supplying 
fruit and vegetables, processe d fruit and vegetables and ba nana products to children in 
educational establishments, in the framework of a School Fruit Scheme. 
94 Commission Directive 2009/106/EC of 14 August 2009 amending Council Directive 
2001/112/EC relating to fruit juices and cer tain similar products  intended for human 
consumption. 
95 Commission Regulation (EC) No 1 580/2007 of 21 December 2007 laying down 
implementing rules of Council Regulations (EC) No 2200/96, (EC) No 2201/96 and (EC) No 1182/2007 in the fruit and vegetable sector 
EN 92   EN addressed such as price reporting, the new crisis prevention and management tools for 
producer organisations. 
In the animal products sector, various measures were adopted pursuant to the reforms 
introduced by the Health Check of the PAC and with a view to improving the effectiveness in 
the application of certain measures. Fo r instance, Commission Regulation (CE) n° 
149/200996 concerning the detailed rules of the arrangement of intervention on the skimmed 
milk powder market simplified certain provisi ons, integrated the new rule of content of 
proteinaceous matters decided by the Council, a nd adapted the rules of management of the 
invitations to tender in order to ensure the resp ect of the intervention ceiling decided under the 
Heath Check. Also the school milk programme  has been modified by Commission Regulation 
(EC) No 966/2009 to enlarge the game of elig ible products and increas e its efficacy. In the 
field of meats, legislation was adopted in accordance with the Health Check, so to remedy 
certain crisis situations or pursuant to certain agreements with the third countries. For 
example, public intervention in the pigmeat se ctor was abolished pursuant to the Health 
Check (Article 4 (2) of Regulation (EC) n° 72/200997). This abolition seeks to simplify the "acquis" by the removal of an obsolete measure for this market which had not been applied 
since 1971. Also, Council Regulation (EC) No 1047/2009 adapted the legal base on marketing 
standards for poultry meat; it assu res the correct coverage for cer tain poultry preparation (the 
modification of the implementing rules will be adopted in 2010). 
Direct payments and cross compliance 
An intense legislative activity took place in 2009, as a consequence of the agreement reached 
in 2008 on the Health Check of the Common Agricu ltural Policy, as well as in the context of 
the on-going simplification programme.  
Council Regulation (EC) No 73/2009 adopted on 19 January 2009 provided the revised 
general legal framework for direct support schemes for farmers98 This Regulation was 
amended in November 200999 in order to introduce  a number of technica l adaptations and to 
                                                
 
96 Commission Regulation (EC)  No 149/2009 of 20 February 2009 amending Regulation 
(EC) No 214/2001 laying down detailed rules for the application of Council Regulation (EC) 
No 1255/1999 as regards intervention on th e market in skimmed milk powder. 
97 Council Regulation (EC) No 72/2009 of 19 January 2009 on modifications to the 
Common Agricultural Policy by amendi ng Regulations (EC) No 247/2006, (EC) 
No 320/2006, (EC) No 1405/2006, (EC) No 1234/2007, (EC) No 3/2008 and (EC) No 479/2008 and repealing Regulations ( EEC) No 1883/78, (EEC) No 1254/89, (EEC) No 
2247/89, (EEC) No 2055/93, (EC) No 1868/94, (EC) No 2596/97, (EC) No 1182/2005 and 
(EC) No 315/2007. 
98 Council Regulation (EC) No 73/2009 of 19 January 2009 establishing common rules 
for direct support schemes for farmers under the common agricultural policy and establishing 
certain support schemes for farmers, ame nding Regulations (EC) No 1290/2005, (EC) No 
247/2006, (EC) No 378/2007 and repealing Regulation (EC) No 1782/2003. 
99 Council Regulation (EC) No 1250/2009 of  30 November 2009 amending Regulation 
(EC) No 73/2009 establishing common rules for di rect support schemes for farmers under the 
common agricultural policy and establishi ng certain support schemes for farmers.  
EN 93   EN allow Member States to decide specific support  measures for farmers in the dairy sector 
before 1st January 2010.  
The Commission's implementing rules were re cast and simplified through the adoption of 
Commission Regulations (EC) No 1120/2009100, (EC) No 1121/ 2009101 and (EC) No 
1122/2009102.  
This recast and simplification included the de letion of obsolete provisi ons, e.g. those related 
to compulsory set-aside or to the establishment of the Single Payment Scheme in the EU-15, the introduction of transitional rules for energy crops and the voluntary set-aside scheme as 
well as the integration of th e provisions on specific support  under Article 68 of Regulation 
(EC) N°73/2009, previously introduced by Commission Regulation (EC) N° 639/2009103. 
The improvements for cross compliance included  simplification of rules concerning checks 
and sanction as well as adaptation of the system of maintenance of permanent pasture to better 
reflect reality. The text and the structure of the implementing rule s were also revised in order 
to improve their readability. 
As regards in particular the provisions on sp ecific support under Article 68, detailed rules are 
laid down for each of the measures listed in Article 68(1) of Regul ation (EC) No 73/2009. 
Due to the diversity of choices offered for im plementing specific support, the responsibility of 
ensuring consistency between specific support and other Community support measures or 
measures financed by state aids is left to the Member States. Provision is made in the 
implementing rules to prevent similar measures  being financed twi ce under both specific 
support and other Community support scheme s. Specific support measures must not 
compensate for complying with legal requirements. The timing and the content of the information to be notified to the Commission are specified. Member States must lay down 
eligibility criteria for specific support measures and ensure  that the measures they implement 
are verifiable and controllable.  
                                                
 
100 Commission Regulation (EC)  No 1120/2009 of 29 October 2009 laying down detailed 
rules for the implementation of the single paymen t scheme provided for in Title III of Council 
Regulation (EC) No 73/2009 establishing comm on rules for direct support schemes for 
farmers under the common agricultural policy and establishing certai n support schemes for 
farmers .  
101 Commission Regulation (EC)  No 1121/2009 of 29 October 2009 laying down detailed 
rules for the application of  Council Regulation (EC) No 73/2009 as regards the support 
schemes for farmers provided for in Titles IV and V thereof.  
102 Commission Regulation (E C) No 1122/2009 of 29 Octobe r 2009 laying down detailed 
rules for the implementation of Council Re gulation (EC) No 73/2009 as regards cross-
compliance, modulation and the integrated admi nistration and control system, under the direct 
support schemes for farmers provided for that Regulation, as well as for the implementation 
of Council Regulation (EC) No 1234/2007 as regards cross-compliance under the support 
scheme provided for the wine  sector provided for in C ouncil Regulation (EC) No 479/2008. 
103 Commission Regulation (EC)  No 639/2009 of 22 July 2009 laying down detailed rules 
for the implementation of Council Regulation (E C) No 73/2009 as regards specific support, 
repealed by Regulati on (EC) No 1120/2009. 
EN 94   EN Rural development 
The results of the 2008 political agr eement on "Health Check" were  formalised by Council 
Regulation (EC) No 74/2009104 amending Regulation (EC) No 1698/2005 and by 
Commission Regulation (EC) No 363/2009105 amending the implementing Regulation (EC) 
No 1974/2006. Increased modulation was part of the agreement and the corresponding funds 
are transferred to the Rural Development F und (EAFRD) to be used for new challenges. 
These new challenges were identified to be re lated to climate change, renewable energies, 
water management, biodiversity, measures accompa nying restructuring of the dairy sector and 
innovation linked to the four fi rst challenges. A higher Comm unity co-financing rate on 
increased modulation funds is available for these new challenges and also for the amounts 
from unspent funds from the 1st pillar (standard rate 75%, convergence regions 90%). 
Another substantial change in 2009 was the in troduction of the European Economic Recovery 
Package (EERP) responding to the financial and economic crisis. The Commission succeeded 
in establishing the legal framework to allow Me mber States to use the amount of EUR 1 020 
million, by the adoption of Council Regulation (EC) N° 473/2009106, in line with the amendments introduced by Council Regulati on (EC) No 74/2009 which enables Member 
States to use amounts resulting from increas ed compulsory modulation and unused funds 
generated under Council Regul ation (EC) No 73/2009 on direct support schemes on 
operations related to the new challenges. Both these changes led to a need to revise all 
national strategy plans and rural development pr ogrammes, except national networks, in all 
Member States. 80 programmes were revise d in 2009 and the remain ing 7 programmes in 
January 2010 using the Comitology approach. 
The implementing rules for cont rols on rural development, Co mmission Regulation (EC) No 
1975/2006, was amended to clarify some provisi ons and to take into account recent 
amendments of the corresponding regulation providing for controls under the 1
st pillar, 
Regulation (EC) No 796/2004, to which th ere are lot of cross-references. 
Quality policy 
Quality 
Quality being one of the EU's strengths to compete on a global market and respond to 
consumer demand, the Commission decided to  launch a reflection process to improve 
                                                 
104 Council Regulation (EC) No 74/2009 of 19 January 2009 amending Regulation (EC) 
No 1698/2005 on support for rural development by the European Agricultural Fund for Rural 
Development (EAFRD)  
105 Commission Regulation (E C) No 363/2009 of 4 May 2009 amending Regulation (EC) 
No 1974/2006 laying down detailed rules for th e application of Council Regulation (EC) 
No 1698/2005 on support for rural development by the European Agricultu ral Fund for Rural 
Development (EAFRD)  
106 Council Regulation (EC) No 473/2009 of  25 May 2009 amending Regulation (EC) 
No 1698/2005 on support for rural development by the European Agricultu ral Fund for Rural 
Development (EAFRD) and Regulation (EC) No 1290/2005 on the financing of the common 
agricultural policy 
EN 95   EN European quality policy. In order to be in a position to do so, the Comm ission wished to first 
have the benefit of being appraised of the opinion of stakeholders. For that reason, the 
Commission released, on 15 October 2008, a “ Green Paper on Agricultural Product Quality 
Policy: product standards, farmin g requirements and quality schemes ” (COM (2008) 641 
final), opening a public cons ultation exercise until 31.12.2008. 
More than 500 contributions received from stak eholders during this public consultation on 
quality policy were analysed in detail and provided the basis for the Commission Communication on agricultural product quality policy adopted in May 2009 
((COM(2009)234)). The Communicatio n lays down strategic orient ations for a coherent and 
comprehensive food quality policy, aimed at improving the communication between farmers 
and consumers on the quality of agricultural products. 
The Communication is based also on the out comes of the High Level Conference on Quality 
held in Prague in March 2009 and the Impact  Assessment exercise carried out in 2009. The 
Impact Assessment accompanying the Communicat ion was the result of a comprehensive 
reflection and analysis exercise le ading to identify for each field ( production requirements 
and marketing standards, EU quality schemes and certification schemes ) covered by the 
Green Paper and the subsequent Communication the following elements: the policy context, 
the underlying causes of problems, the policy's objectives and the policy options envisaged 
and those retained. 
The Communication announces a seri es of actions of different kinds (including guidelines and 
possible legislative proposals) to be taken by the Commissi on in respect of  existing EU 
quality schemes, quality certification schemes and marketing standards. 
Following the Communication, new Impact Assessment exercises (including the 
establishment of an Impact Assessment Inte r Service Group) commenced at the end of 2009, 
in order to have the prospect of legislat ive proposals in the second semester of 2010. 
Moreover, in 2009, the “Standing Committee  on Protected Geographical Indications (PGI) 
and Protected Designations of Origin” (PDO) (Art. 15 of Regulation (EC) No 510/2006) and 
the “Standing Committee on Traditional Speci alities Guaranteed” (TSG) (Art. 18 of 
Regulation (EC) No 509/2006) ga ve favourable opinions respec tively on a number of Draft 
Commission Regulations entering names in th e Register of PDOs-PGIs and of Draft 
Commission Regulations entering na mes in the Register of TSGs. 
Organic 
The Community organic farmi ng legislation underwent a pr ofound revision process based on 
the European Action Plan for Organic F ood and Farming (COM (2004) 415 final). A 
milestone of this process is the new Council Regulation (EC) No 834/2007 on organic 
production and labelling of organic products 107, supplemented by implementing regulations 
                                                
 
107 Council Regulation (EC) No 834/2007 of  28 June 2007 on organic production and 
labelling of organic products and repealing Regulation (EEC) No 2092/91 . 
EN 96   EN adopted in 2008 (Regulations (EC) No 889/2008108 on production, labelling and control and 
Regulation (EC) No 1235/2008109 on import of orga nic products). These Regulations replace 
the old Regulation (EEC) No 2092/91 as from  1 January 2009 onwards. They were further 
developed in 2009 with the adoption of  amending Regulation (EC° N° 710/2009110, 
establishing common rules for organic aquaculture and seaweed production.  
4.1.2.2.   Preventive measures and actions taken to control the correct application of the law 
In the field of prevention the Commission con tinues to be active as the following actions 
demonstrate. 
Meetings with the Member States on a bilateral basis in the context of 
Comitology 
The Commission makes use of the manageme nt and regulatory committees, advisory, 
permanent and temporary groups of experts to  promote better implementation and identifying 
and addressing potential probl ems as early as possible. 
In order to contribute to the smooth applicatio n of sectoral regulations, bilateral meetings 
were organised regularly with Member States . Where needed, missions to MS capitals to 
receive a global view of proce dures and practices at national level were also organised. 
“Bilaterals” with MS provided the competen t services of the Commission with the 
opportunity to deal positively with some recurrent problems encountered by MS in the drafting of applications as well as in the inte rpretation of a number of  legislative provisions. 
The Commission also provided prac tical suggestions to improve the quality of applications, 
for instance in the quality sector, for registration and amendments. This contributed to reducing time-consuming formal exchanges concerning Commission requests for additional 
information, in particular in the agricultural quality policy sector.  
In that same sector, as the supervision of oblig ations of Member States  under Regulation (EC) 
No 510/2006 has been identified as an important  issue in need of attention, in 2009 the 
Committee meetings provided th e opportunity to keep Member  States informed on the 
developments in the implementation of the EU legi slation relevant to checks. In particular, the 
official food and feed control Regulation (E C) No 882/2004 was presented in the Committees. 
The monitoring requirements for PDO/PGI/TS G and the link with Regulation (EC) No 
882/2004 were also presented to the MANCP Netw ork (representatives of the CA of Member 
States). The integration of PDO/PGI/TSG monitoring provisi ons in the MANCP and Annual 
                                                
 
108 Commission Regulation (EC)  No 889/2008 of 5 September 2008 laying down detailed 
rules for the implementation of Council Regu lation (EC) No 834/2007 on organic production 
and labelling of organic products with regard to organic production, labelling and control . 
109 Commission Regulation (EC) No 1235/2008 of 8 December 2008 laying down 
detailed rules for implementation of Counc il Regulation (EC) No 834/2007 as regards the 
arrangements for imports of organic products from third countries. 
110 Commission Regulation (E C) No 710/2009 of 5 Augus t 2009 amending Regulation 
(EC) No 889/2008 laying down detailed rules fo r the implementation of Council Regulation 
(EC) No 834/2007, as regards laying down deta iled rules on organic aquaculture animal and 
seaweed production 
EN 97   EN Report was discussed. 
The accreditation requirements and the state of pl ay of the implementation of Regulation (EC) 
No 765/2008 setting out the requirements for accredit ation and market surveillance relating to 
the marketing of products were also presented in the Committees. 
The Commission services informed the MS rega rding the interpretative note (No 2009-01) on 
administrative protection of registered names by  the competent monitoring authorities of the 
Member States concerning names registered under Regulation (EC) No 510/2006. It applies 
mutatis mutandis  also to Regulation (EC) No 509/2006 on TSG. 
In the spirit drinks sector, guidelines relating to Articles 9, 10 et al of Regulation (EC) 
No 110/2008 of the European Parliament and of the Council on the definition, description, 
presentation, labelling and the protection of ge ographical indications of spirit drinks were 
provided to Member States in the Spirit Drin ks Committee and to the stakeholders in the 
Advisory Group on Spirit Drinks with a view  in particular to ensure consistent 
implementation of the rules throughout th e EU and prevent deceptive and misleading 
practices. 
Moreover, a register of interpretative notes on agricultural law (called RIPAC) has existed for 
a long time and new interpretative  notes are regularly being crea ted and put in that register 
which is accessible for the Member States. Th e notes are usually drawn up as a result of a 
written or oral question posed by a Member State. 
Technical standards Directive (Directive 98/34/EC) 
Directive 98/34/EC of the European Parliame nt and of the Council of 22 June 1998 laying 
down a procedure for the provision of informa tion in the field of te chnical standards and 
regulations requires Member States and Member s of the European Free Trade Association 
who have signed the Agreemen t on the European Economic Area plus Switzerland and 
Turkey to give each other and the Commission pr ior notification of all draft rules containing 
technical standards or rules in order to avoid creating new barriers to trade in the internal 
market. As such, this directive can be consider ed as an ideal preventive instrument enabling 
the filtering of any national technical rule that could jeopardize the functioning of the internal market. 
In this context, in 2009 the relevant departme nts of DG AGRI were formally consulted on 94 
notifications relating to the agricultural sector. Examination of these draft texts subsequently led to the issuing of five comme nts and five detailed opinions. 
Furthermore, concerning the obligatory indica tion of origin for olive oil in Italy the 
Commission issued a "blockage" on a notified draft national measure intended to replace a decree which is the subject of on-going infri ngement proceedings. The notified measure was 
therefore subject to both a detailed opinion and a blocking decision  by the Commission until 
1
st May 2009. The services were subsequently  notified of a new decree by the Italian 
authorities on 11th November which appears satisfactory. 
Simplification 
The Commission strategy for simplifying the regulatory environment [COM(2005)535] set 
out an ongoing simplification programme of m easures to be adopted between 2005 and 2008 
with a view to improving the quality and eff ectiveness of the "acquis". As far as the 
EN 98   EN agricultural sector is concerned, the Communi cation on Simplification and Better Regulation 
for the Common Agricultural Policy [COM(2005) 509] set out an ambitious programme for a 
significant simplification of the CAP. The Comm unication: "A simplified CAP for Europe - a 
success for all  (COM(2009) 128 final) takes stock and looks at what has been accomplished. 
It highlights the activities that have been carried out since 2 005, and gives indications of the 
resulting reduction in the administrative bur den for farmers and administrations. The 2005 
Communication led to the creation of the rollin g Common Agricultural Policy Simplification 
Action Plan, which is used to identify, plan and monitor the implementation of simplification 
projects within the agricultural sector. Launche d at the end of 2006, it has evolved from 20 to 
around 62 projects; 46 projects have already been implemented. (removal of the obligation to have a licence for beef exports without export refunds, end of th e obligation for a farmer to 
have a plot of land at his dispos al for at least 10 months in orde r to apply for direct payments, 
for imports, licence requirements were redu ced from 500 to 65 and for exports, only 43 
licence requirements remain, etc. On technical aspects, it is interesting to mention that in 
order to increase the transparency  of EU law, which is an essential element of the better 
lawmaking strategy that the Institutions ar e implementing, Council Regulations (EC) 
No 1128/2009 and 1139/2009 repealed 33 Council acts  that had become obsolete, whereas 
almost 300 Commission acts that equally had become defunct were removed from the 
"acquis". The adoption of the single CMO replaces 21 individual common market 
organisations with one, reducing the number  of articles from around 1080 to around 350 and 
repealing 86 Council acts. At  the end of 2009, the Commission' s services presented a Staff 
Working Document SEC(2009)1601, on the assessm ent of 39 simplifi cation suggestions 
submitted at the Agricultural Council of April 2009. The document provides an assessment of every simplification suggestion and, where possible,  presents a solution to  the problem raised. 
Some of the solutions have alre ady been incorporated in the new implementing regulations for 
direct payments. 
Organic farming legislation – monitoring guidelines 
Regarding the implementation of the Community  rules regarding organic products, the new 
legislative framework clearly  delimitates competences between the Commission and the 
Member States. In particular re garding checks, the re sponsibility lies with the Member States. 
They are logically placed under the responsibi lity of the Official Food and Feed Control 
(OFFC) established by Council Regulation (EC)  No 882/2004. To foster more efficient 
monitoring systems, a first document of monitoring guidelines was presented by the 
Commission to the Member States with a vi ew to disseminate knowledge and appropriate 
guidance to the competent authorities, and possibly the monitoring bodies, clarifying the 
relationship between the monitoring requirements deriving the OFFC and those deriving from 
the organic regulations. This will also help  the Commission in its supervisory role. 
Clearance of accounts  
EAGF and EAFRD expenditure is implemented under shared management through a 
comprehensive management and control syst em based on four levels consisting of111: 
                                                 
111 For more explanations on the management  of the agricultural budget and its audit 
tools, see: http://ec.eu ropa.eu/agriculture/fin/cl earance/factsheet_en.pdf.  
EN 99   EN – A compulsory administrative structure at the level of the Member States: 
management and control of expenditure is entrusted to dedicated paying agencies, 
which prior to their commencement of opera tions must be accredited by the Member 
States on the basis of a comprehensive set of accreditation cr iteria laid down in 
Community law; 
– Detailed systems for ex-ante controls and dissuasive sanctions: These systems are to 
be applied by the paying agencies and c ontain some common features and special 
rules tailored to the specificities of each  aid regime. The systems generally provide 
for exhaustive ex-ante administrative contro ls of 100% of the aid applications, cross-
checks with other databases where this is considered appropriate as well as pre-
payment on-the-spot checks of a sample of transactions ra nging between 1% and 
100%, depending on the risk asso ciated with the regime in  question. If  the on-the-
spot checks reveal a high number of irregul arities, additional checks must be carried 
out. 
In this context, by far the most important system is the IACS (Integrated Administration and 
Control System). To the extent possible, the IA CS is also used to manage and control rural 
development measures relating to parcels or livestock. 
– Ex-post checks: in addition to the ex-ante co ntrols, all aid measures other than direct 
payments covered by the IACS are subject  to ex-post checks under either Council 
Regulation (EC) No 485/2008 or, for rural developmen t measures, Commission 
Regulation (EC) No 1975/2006. Moreover, th e paying agencies' annual accounts and 
the functioning of their internal control pro cedures are verified a nd certified on an ex-
post basis by the certification bodies. 
– Clearance of accounts: the clearance of acc ounts through the Commission consists of 
both an annual financial clearance a nd a multi-annual conformity clearance. 
Taken together, these four levels are designed to ensure the legality and regularity of 
transactions at the level of the final beneficiar ies. In the current cont ext of the report on the 
application of Community law, the conformity  clearance mechanism is  particularly worth 
mentioning as it pertains to the correct applic ation of the legislation establishing the common 
agricultural policy. 
Indeed, while the financial clearance covers the integrality, accuracy and veracity of the 
paying agencies' accounts, the conformity clearance relates to the legality and regularity of the 
underlying transactions. It is designed to ex clude from Community financing expenditure 
which has not been executed in compliance w ith Community rules, thus shielding the 
Community budget from expenditure that should not be charged to it (financial corrections). 
In contrast, it is not a mechanism by which irre gular payments to benefi ciaries are recovered, 
which according to the principle of shared manage ment is the sole responsibility of Member 
States. Financial corrections are determined on the basis of the nature and gravity of the 
infringement and the financial damage caused to the Community. Where possible, the amount 
is calculated on the basis of the loss actually caused or on the basis of extrapolation. Where 
this is not possible, flat-rates are used which take account of the severity of the deficiencies in 
the national monitoring systems in order to re flect the financial risk for the Community. 
Where undue payments are or can be identifie d as a result of the conformity clearance 
procedures, Member States are required to follow them up by recovery actions against the 
EN 100   EN final beneficiaries. However, even where this is not possible because the financial corrections 
only relate to deficiencies in the Member Stat es' management and monitoring systems, financial 
corrections are an important means to improve these systems and, thus, to prevent or detect 
and recover irregular payments to final bene ficiaries. The conformity clearance thereby 
contributes to the legality and regularity of the transactions at the level of the final 
beneficiaries. 
In 2009, the Commission adopted two conformity clearance decisions: 
– Ad hoc  Decision 30: Commission deci sion No 2009/253/EC of 19 March 2009 
excluding EUR 214.2 million fr om Community financing. 
– Ad hoc  Decision 31: Commission decision No  2009/721/EC of 24 September 2009 
excluding EUR 128.9 million fr om Community financing. 
In 2009, the Commission also adopted D ecision C(2009)810 final of 13 February 2009 
excluding from Community fi nancing, in respect of 5 Member St ates, sums lost as result of 
irregularities, which it was cons idered, the Member States had not  acted with due diligence in 
recovering. 
Moreover, in 2009, the Commission carried out 187 on-the-spot missions in the Member States 
and launched 138 desk checks. 
While the financial consequences will only be determined at the end of the conformity 
clearance procedures, the results of the audi ts are already known. Most of the audits 
performed in 2009 have not revealed any defici encies in the monitoring systems which would 
suggest that those systems are ineffective in de termining the eligibility of  claims or preventing 
irregularities112. The main exception concerns direct payments for Bulgaria and Romania 
because of the serious deficiencies in their re spective IACS and the ensuing high error rates. 
However, for both Member States, action plan s have been developed for the period 2009-2011 
and were accepted by the Commission in July 2009. In parallel, DG AGRI is protecting the 
EU financial interests through conformity clearance procedures which are expected to result 
in significant financial corrections. 
4.1.2.3.   Management of the "acquis" th rough committees and experts groups 
In the legal context prevailing in 2009, before the Commission a dopts legal acts in the area of 
the Common Agricultural Poli cy, based on powers confe rred upon it by the Council, it 
normally has to consult with Member State repr esentatives and may also consult with experts 
coming from non-governmental organisations. 
In the case of consultations with the Memb er States representa tives (Comitology) the 
Commission proposes the draft measure to a co mmittees established by Council legislation 
and which are composed of representatives of the EU Member States. Committees give their 
opinion to almost every implementing act dr afted by the Commission. This process gives 
                                                 
112 For a more detailed description of the c onformity clearance activities, see DG AGRI's 
2009 Annual Activity Report. 
EN 101   EN multiple possibilities for consultation on different solutions for the implementation of 
agricultural law. It also has the effect that  Member States are re minded of their duty to 
comply with Community law. Comitology has a long tradition in the agricultural sector, 
especially in the system of the management of the agricultural markets but comitology also 
applies to the implementation of rural developm ent and direct payments. In relation to the 
CAP, the management committee procedure is th e type of procedure that applies almost 
exclusively and only in very few cases is the regulatory procedure applied with or without 
scrutiny by the EP. 
In 2009, 164  meetings of  14 management and regulator y committees presented the 
opportunity to discuss the implementation of CAP legislation with the representatives of the 
Member States. It should be noted that as of  1st January 2008 the application of the “single 
CMO Regulation” (EC) No 1234/2007 was graduall y phased in to the extent that the 
previously existing sector-based management committees for the common organisation of the 
markets were replaced step by step by one single management committee for the Common 
Organisation of Agricultural Markets (cf. Article 195 of that  Regulation). The transition was 
finalised in October 2008. The “single CMO-committee” replaced 19  sectoral management 
committees. 
The Commission therefore cooperates with Member  States in a sophisticated manner which 
presents the opportunity to di scuss and prepare the implemen tation of common rules and to 
prevent or solve problems related to their application at an early stage. 
In addition the Commission administrates around 70 expert and Ci vil Society Dialogue 
groups dedicated to agriculture policies. Th ese groups are not only composed of national 
administration experts but also by agricultur al organisations, academics and independent 
experts. A major proportion of these groups  are advisory groups  where the Commission 
consults on measures with stakeholders such as producers, exporters, importers, wholesalers, 
retailers, nature preservation NGOs, cons umers and other concerned parties. 
In 2009 the Commission was assisted by a number of advisory and working groups, as well as 
permanent and temporary groups of experts (in total 112) with a view  to better adapting 
policies and implementing rules to the real s ituation. Above all, th ese groups provide the 
Commission with agricultural markets da ta and current production circumstances 
4.1.2.4.   Enquiries, problems and complaints management 
The examination of complaints from citizens and companies and internally detected cases 
gave grounds for the Commission to intervene with  the Member States on the basis of Article 
258 TFEU (ex 226 TEC) in the various fields of  the Common Agricultural Policy. In several 
cases the Commission referred questions relati ng to the application of Community law to 
Member States using the EU Pilot system. In 2009, 31 cases were dealt in EU Pilot system 
and concerned different sectors of the CAP. 
Particular attention was drawn to  the correct application of the Community legislation in the 
field of direct payments, orga nic production and quali ty policy. The cases concerned inter alia 
undue reduction of agro-environmental measur es in certain Länder in Germany, delayed 
payment of direct support in Portugal, insu fficiencies of control systems for organic 
production in Italy and in Portugal. 
Furthermore 2009 saw the entrance in opera tion of the new database, called CHAP 
(Complaints handling – Accueil des Plaignants), for registeri ng and managing enquiries and 
EN 102   EN complaints about the application of Comm unity law by Member States. In 2009, DG AGRI 
dealt with 33 CHAP files as responsible service (and was associated service for 8 files). 
4.1.2.5.   Petitions 
In 2009 the Commission received 8 petitions rela ted to agriculture which covered a wide 
range of issues. Three petitions to keep the ban on blending red and white wine to produce 
rosé (from an Italian petitioner and a petitione r resident in France and Spanish, French and 
Italian confederations of wi ne growers), on changes to packaging regulations and the 
introduction of standard quantities in Germ any, on denomination of fruit preserves in 
Germany, on the Polish authorities' alleged disr egard of the provisions underlying the Sectoral 
Operational Programme 'Restructuring and m odernisation of the food sector and rural 
development 2004-2006' and on the on eligibility for EU rural development subsidies for 
mixed fruit orchards in Germany. 
4.1.2.6.   Management of infringements 
In the area of agriculture and rural developm ent, monitoring the application of Community 
law under the Article 258 TFUE (ex Article 22 6 TEC) procedure concentrates on two main 
objectives: removing barriers to the free movement  of agricultural produce and ensuring that 
the more specific mechanisms of agricultural re gulations are applied effectively and correctly. 
In respect of removing of barriers to the fr ee movement of agricultu ral products, in 2009 the 
Commission issued a reasoned opinion against th e Czech Republic for th e use of the sales 
designation "Pomazánkové máslo" (EN butter sp read) for a dairy product wich does not 
comply with the requirement s laid down in the Annex XV to Council Regulation (EC) 
No 1234/2007. In view of the persistent refusa l of the Czech authorities to amend the 
legislation so as to put an end to this  infringement, a reasoned opinion was issued. 
In the context of ensuring that the specific me chanisms of the agricultural regulations are 
properly applied in the Member St ates, specific attention conti nued to be paid in 2009 to the 
application of the milk quota regi me. Particular attention was devot ed to its application in new 
Member States. Furthermore, the Commission al so examined the compatibility of certain 
national rules on the obligatory indicati on of origin for olive oil in Italy. 
Within the framework of the initiative to pr omote transparency on all funding deriving from 
the Community budget, the Commission gave partic ular attention to the enforcement of the 
Community requirements concerning the publicati on of details of the beneficiaries of CAP 
payments made from the agricultural funds  (EAGF and EAFRD). A new EU law provided a 
uniform framework for the publication of detail s of the beneficiaries of CAP payments and 
the amount of the sums received. Detailed im plementing rules have been set in Commission 
Regulation (EC) N° 259/2008 obliging Member Stat es to provide on a single website a search 
tool allowing the users to s earch by beneficiaries by name, m unicipality, amounts of subsidies 
received from the agricultural funds or a combination thereof and to extract all the corresponding information as a single set of data. The availability of the information is limited 
to two years from the date of their initial publication.  
The first publication was to be made by 30 September 2008 (for EAFRD payments made 
between 01/01/2007 and 15/10/2007) and the next publication was the date of 30 April 2009 
for the payments made under the EAGF and th e EAFRD for the financial year 2008. All the 
Member states published the information within  the deadlines except Germany that justified 
EN 103   EN its failure on account of legal proceedings by beneficiaries opposed to publication. The 
Commission took the necessary step s to convince Germany to comp ly with the rules with the 
initial result that Germany finally proceeded  with publication on 16 June 2009. Nevertheless, 
the publication was still not complete as it di d not cover the whole te rritory of the Federal 
Republic of Germany and the Commission had to reinforce its measures to force Germany to 
fully comply with the rules. As a result of this action, Germany published the required information for the whole of its territory. Wh ile Member States were on the whole providing 
the information as requested by the Regulation, it has to be pointed out that there were some 
shortcomings as regards either the content or  the form of the information provided, this 
applying both to publication under EAFRD as under EAGF. Hence the Commission has kept 
a close monitoring of the situa tion and wrote reminding letters to Member States asking for 
the necessary changes whenever deemed necessary. 
In the context of the monitoring of the correct  implementation of the new Community organic 
farming legislation, the Comm ission insisted with to two Member States on remedying 
deficiencies identified in their monitoring systems. The problems were solved by the 
competent authorities within a reasonable peri od and the performance of their supervisory 
systems was subsequently improved. 
Particular attention has been pa id to the treatment of instan ces of non-compliance with Court 
judgments. In 2009, this resulted in following th e progress made by Portugal to implement a 
judgment of the Court in which the Court decl ared that, by levying ch arges on beneficiaries 
during the programming period 1994-1999 which were neither voluntary nor optional and 
which did not constitute remuneration for serv ices rendered by the admi nistration, but rather 
served to finance tasks for which the Portuguese  State is responsible, the Portuguese Republic 
failed to fulfil its obligati ons under Council Regul ation (EEC) No 4253/88, as amended by 
Council Regulation (EEC) No 2082/93113 . The Commission considered that by limiting, for administrative reasons, the reimbursement of the illegal charges to beneficiaries introducing a 
request within the final deadline of one mont h, Portugal did not fu lfil its obligation to 
implement the Court's judgment correctly in vi ew of the principles of effectiveness and 
proportionality. For this reason the Commi ssion opened Article 260 TFEU (ex 228 EC) 
infringement proceedings against Portugal in  2007. Portugal presente d a plan programming 
the reimbursement of the amounts resulting fro m the charges illegally collected from the 
beneficiaries, the execution of which has been followed by the Commission. 
Furthermore the Commission continued monitoring the application of the so-called "Breakfast 
directives", which lay down particular compos itional and labelling requirements for products 
including honey, chocolate, jams and fruit juices 114. In line with the other priorities defined 
                                                
 
113 Judgement of 5 October 2006 in case C-  84/04, Commission v. Portuguese Republic, 
Rec 2006, p.I-9843. 
114 The list of products is not exhaustive. The products refe rred to above due to their 
nature and constant consumpti on require particular supervisi on of the applic ation of the 
following directives: Council Directive 2001/ 110/EC of 20 December 2001 relating to honey  , 
Directive 2000/36/EC of the European Parliame nt and of the Council of 23 June 2000 relating 
to cocoa and chocolate products intended for human consumption ,Council Directive 
2001/113/EC of 20 December 2001 relating to fr uit jams, jellies and marmalades and 
sweetened chestnut purée intended for human consumption and Council Directive 
EN 104   EN in the communication "Europe of results", the Commission monitored the transposition of one 
agricultural directive.  Following the adoption of the C ouncil Directive 2007/61/EC115, which 
provided for the deadline for transpositi on of 31st August 2008, the Commission, taking 
account of its priorities, closely scrutinised the communication of the national transposition 
measures. In October 2008 th e Commission opened infringement proceedings against 
Belgium, the Czech Republic, Greece, Italy, C yprus, Luxembourg, Portugal and Romania for 
non-communication of national transposition measures of Council Directive 2007/61/EC. 
These cases were closed because the Memb er States concerned communicated national 
transposition measures, with the exception of  Italy. In June 2009 th e Commission issued a 
reasoned opinion to the Italian government, followi ng the failure of the Italian Government to 
comply with the letter of formal notice. Consequently , Italy communicated national 
transposition measures, which enabled the Co mmission to close the infringement procedure 
against Italy. The Commission, therefore, mana ged to ensure full transposition of Council 
Directive 2007/61/EC by all Member  States within one year fr om the date of deadline for 
communication of national transpositi on measures set by the Directive. 
More specifically, concerning chocolate (D irective 2000/36/EC), the Commission decided to 
refer Italy to the Court of Justice for failing to amend its legislation on the labelling of 
chocolate products. Infringement proceedings  were opened against Italy because the 
Commission considered that th e indication "pure chocolate" cannot guarantee accurate and 
impartial information for the consumer. In fact, this system of labelling creates a situation in 
which chocolate containing vegetable fats othe r than cocoa butter may be perceived by the 
consumer as being a lower-quality product th an "pure chocolate" – which contains fat 
exclusively in the form of co coa butter. But in its judgment of 16 January 2003 in Case C-
14/00 Commission v Italian Republic  the Court of Justice considered that the addition to 
cocoa and chocolate products of vegetable fa ts other than cocoa butter did not entail 
substantial alteration of their composition or nature. In order to comply with the mechanism 
introduced by Directive 2000/36/EC for providing the consumer with neutral and objective 
information, the Italian rules should refer either to the absence of vege table fats other than 
cocoa butter or to the sole presence of the fat concerned, namely cocoa butter. 
4.2.  Evaluation 
4.2.1.   General evaluation 
Taking into account the volume of  Community law currently in force in the agricultural 
sector, the "acquis" in the agricultural sect or may be considered as globally stable and 
manageable subject to technica l up-dating or clarification e ffected through Comitology (see 
above). This updating is not gene rally expected to be controve rsial or difficult to implement 
due to the well-established and well-understood framework in which this will take place and 
in the light of previous expe rience of the relatively smooth adoption and timely entry into 
effect of this type of measure. 
                                                                                                                                                         
2001/112/EC of 20 December 2001 relating to fr uit juices and certain similar products 
intended for human consumption. 
115 Council Directive 2007/61/EC of 26 September 2007 amending Directive 
2001/114/EC relating to certain partly or wh olly dehydrated preserved milk for human 
consumption. 
EN 105   EN In the agricultural sector it may be consider ed that preparatory working contacts between 
experts, review of problems arising and multilate ral and/or bilateral exchange of information 
constitute proportionate and sufficient means to  ensure correct implem entation. Furthermore, 
besides its role in the adoption of implemen ting rules, the Management Committees, which 
meet regularly, are a privileged forum for th e exchange of informat ion and best practise 
between MS and the Commission. 
In any case, as already explained, the agricu ltural sector makes use of the clearance of 
accounts mechanisms to monitor through its audits  the application of secondary agricultural 
legislation and in particular the mana gement and control systems thereof. 
4.2.2.   Sector based remarks 
4.2.2.1.   Market instruments 
As regards the functioning of this sector-based "acquis" , no major problems were encountered 
in 2009 as regard the application of the existing rules. The "acqui s" can be considered as 
stable providing a generally  satisfactory situation. 
The simplification of horizontal regulations cont ributed to the aim of harmonised application 
and interpretation of Community law in all Me mber States. The discussions in the Committee 
on legal and technical issues and on the annual  report on physical checks contributed to 
realising these aims as well. 
In line with the priori ties defined in the 26th report to EP for agricultural sector, the priorities 
indicated in the wine sector were realised na mely by adopting the implementing regulations of 
the reform. The grubbing-up scheme in the wine sector met with considerable success in 
2008/09 and in 2009/10. Only half the demand could be satisfied by the available budget. The national support programmes budgets were also almost completely allocated, indicating the 
attainment of many of the objectives set out. 
Member States fully used the possibility provided in the wine reform in 2008/2009 to 
establish their national support programmes with the measures necessary for the modification 
of their own wine sector. The budget execution reached 94% of the available funds for 2009. 
4.2.2.2.   Direct payments and cross compliance 
Direct payments scheme 
The "acquis" in the direct payments sector is stable and its application by the Member States 
in 2009 was generally satisfactor y. However, a few specific impl ementing issues have raised 
questions for Member States, for example regardi ng the assessment of the eligibility of certain 
marginal areas. 
The legislation defines the agricultural area eligible for payments under the single payment 
scheme (SPS) and the single area payment scheme  (SAPS) as well as what is considered 
agricultural activity. Foll owing the principle of decoupling introduced by previous reforms, 
no production is required on the elig ible hectares. This has led to  certain grey zones where it 
can be difficult for both farmers and national aut horities to determine in practice whether the 
area in question is actually agri cultural or whether the character and main purposes of the area 
are rather to be considered nature, recreation or forest. 
EN 106   EN To help Member States face this  challenge and also in reply to  a request raised by the Member 
States in the scope of the simplification exercise , the issue of eligibility is being examined in 
the Management Committee for Direct Payments. It takes the form of a number of presentations by the Member Stat es and discussion sessions to allow for an exchange of views 
and experiences as regards challe nging situations as well as th e best practices and methods to 
deal with such situations. In  support of the discussions and to provide a more complete 
picture, the Member States have provided writte n descriptions of their practical approach to 
the issue. The discussions will be finalised in the first half of 2010. 
During the year 2009, the Commission services have worked in close cooperation with 
Member States to ensure the correct applicat ion of the rules governing the specific support 
(Articles 68 to72 of Regulation (EC) No 73/2009).  Article 68 includes a range of measures for 
which there is on the one hand a potential ove rlapping with possible measures under other 
instruments of the CAP and on the other hand th ere is the need of ensuring the consistency 
with those measures and/or th e related requirements. Consequently, Member States had the 
obligation to notify to the Commission the measur es they were intending to apply under this 
provision as from 2010. The Commission services  examined these notifications and, where 
appropriate, sent observations to the Member States in order to ensure a correct application of 
the EU legislation. Those notified measures wh ich are subject to a Co mmission's approval are 
assessed by the Commission services with a vi ew to their approval by the Commission. This 
work will be continued in 2010. 
Cross compliance 
Regarding cross compliance, which was identified as a priority in the 25
th and 26th report to 
the EP on monitoring the applica tion of Community law, the ma in effort during 2009 was an 
extensive exercise of simplif ication of the system of ma nagement and monitoring. The 
Commission has carefully assessed the simplifi cation proposals made by Member States and 
accepted the majority of them (11 out of the 15 concerning cross compliance). The accepted 
proposals had to be translated into legislative or quasi-leg islative initia tives and the 
Commission started the work without delay. In this respect a first set of amendments of Commission Regulation (EC) No  796/2004 were adopted as early  as November 2009 in the 
framework of the recast of this Regulation (now Commission Regula tion (EC) No 1122/2009 
in order to improve checks and sanction rules as well as to adapt the system of maintenance of 
permanent pasture to better reflect reality. A second set of amendments of the same 
Commission Regulation is being finalised in early 2010 with the Management Committee for 
Direct Payments in order to better take in to account the certification schemes in the 
monitoring system and to better make use of specific monitoring systems. Certain 
simplification initiatives concern Working Docu ments which are being modified accordingly.  
The European Court of Auditors issued also in 2008 a report on cross compliance116 
recommending inter alia  that Member States better define obligations at farm level and 
recommends further streamlining of the function ing of the system of cross compliance. The 
Commission has followed up on this  report, apart from the simp lification proposals referred to 
above by organising discussions in an experts gr oup with Member States with the purpose of 
helping them better to define obligations at farm level under cross compliance. The outcome 
                                                
 
116 Special Report 8/2008. 
EN 107   EN of these discussions is a Working Document for national authorities providing guidelines on 
the definition of obligations at farm level. 
4.2.2.3.   Rural development 
All programmes are up and runni ng and have been updated in the context of Health Check 
and EERP. However, experience has shown that there have been substantial delays in the 
accreditation of some measures in a number of programmes and these measures have started 
to be applied only towards the end of 2009, i.e.  two and half years since the programming 
period started. Otherwise, the experience is not enough to base clear conclusions on the 
possible problems. 
4.2.2.4.   Quality policy 
Quality 
Whilst Community agricultural product quality legislation could be described as a fairly 
stable "acquis"  characterised by a globally satisf actory situation, nonetheless, the 
Communication has clearly shown the need for a more cohere nt overall food quality policy. 
Moreover, the existing  EU quality schemes (geographi cal indications and traditional 
specialities) and measures are in need of amen dment to make it easier for farmers, producers 
and consumers to understand the various schemes and labelling terms. 
Organic 
The overall application of the organic production rules may be considered as stabilised and on 
the whole satisfactory. The entry into force on 1st January 2009 of the new set of rules has not 
created particular difficulties as most of th e new legislation is di rectly inspired by the 
previous one. Difficulties in th e accreditation of control bodies  at the beginning of the year 
were solved by the relevant competent aut horities of the Member States, under close 
monitoring exercised by the Commission. 
4.2.2.5.   Technical standards direc tive (Directive 98/34/EC) 
Following the information available to the Co mmission the functioning of Directive 98/34/EC 
in the agricultural sector appears to be sa tisfactory. In 2009 there were, for example, no 
infringement procedures launched against th e Member States for not following detailed 
opinions. 
4.3.  Evaluation results 
4.3.1.   Priorities and action planed 2010 
 Legislative and management priori ties and action programming 2010 
As a general matter, one of the main priorities for the Commission as regards legislative 
activity in the agricultural sector will be to  implement the important changes introduced by 
the Treaty on European Union (TEU) and the Treaty on the Functioni ng of the European 
Union (TFEU) and in particular the extension of the ordinary legislative procedure (co-
decision) to agriculture a nd the adoption of new rules on the Commission's delegated and 
implementing powers ( Comitology). The TFEU contains  two provisions (Articles 290 and 
EN 108   EN 291 TFUE) which entail modifications of the ex isting Comitology procedures, which govern a 
wide range of decisions and meas ures which are particularly im portant for the management of 
agricultural markets and policy.  Pursuing the adoption of th e Commission Co mmunication of 
09/12/2009 on the Implementation of Article 290 TFUE (COM (2009) 673 final), the 
Commission will align progressively agricultura l legislation with the new mechanisms of 
delegated acts and implementing acts. 
Market instruments 
Beyond the ongoing pursuit of legal and opera tional simplificati on, including ,the 
simplification of the voluntary labeling  system  of beef and beef products117,  the continuation 
of efforts to achieve simplification of the hops regime by eliminating the burdensome requirements to register cultiv ation contracts which requires a modification of the Council 
single CMO regulation N° 1234/2007 as well as furthe r work in the field of licences and trade 
mechanisms, the Commission will continue to wo rk on the improvement of the "acquis" in 
order to be ready to adapt to the challenges it faces notably regarding the animal products 
sector where the ongoing work of the Milk High Level Group should lead to proposals as well 
as the modification of the implementing rules as regards the marketing standards for poultry 
meat118. As concerns the wine sector, the following actions are foreseen: to continue to monitor the implementation of the wine re form: the results of the national support 
programmes, the grubbing-up scheme, and progress towards closing, to the extent possible, 
the illegal plantings files, to make change s in the regulations on these programmes where 
necessary, to address the low pri ces of wine and the continuing very high stock levels in the 
wine sector and finally to encourage the sales of the remaining stocks of wine alcohol in 
intervention. 
As the codification/recast of Council Regulation (EEC) No 1601/ 91 laying down general rules 
on the definition; description and presentation of aromatized wines, aromatized wine based drinks and aromatized wine product cocktails in itiated in 2007 was not finally adopted in the 
co-decision procedure, the outcome was that  a new proposal should  be prepared by the 
Commission. This proposal is foreseen for the 3
rd quarter of 2010. 
As regards horizontal rules, revision of existin g horizontal Regulations will be initiated in the 
field of Tariff Rate Quot as, Licences, and Export Refunds / Trade Mechanisms. 
The financial and economic situation in Member States and globally are having an impact on 
agricultural products. An additional priority for the moment is to  monitor the market situation 
for each of the products. Price volatility, in partic ular in the milk sector, requires close market 
monitoring and quick reactions by using the exis ting market measures as reviewed under the 
"Health check". 
                                                 
117 Regulation (EC) No 1760/2000 of the European Parliament and of the Council of 17 
July 2000 establishing a system for the identifi cation and registration of bovine animals and 
regarding the labelling of beef  and beef products and repea ling Council Regulation (EC) No 
820/97. 
118 Commission Regulation (EC) No 543/2008 of 16 June 2008 laying down detailed 
rules for the application of Council Regulation (EC) No 1234/ 2007 as regards the marketing 
standards for poultrymeat,  OJ L 157, 17.6.2008, p. 46–87.  
EN 109   EN Direct payments and cross compliance 
The proper application of the newl y revised legislation in the c ontext of the Health check has 
required the adoption of detailed implementing rules, particularly for Regulations (EC) 
N°73/2009 and 74/2009. New implementing regulati ons have included recasts of Commission 
Regulations (EC) No 795/2004, 796/2004 and 1973/ 2004 to establish the implementing rules 
of Regulation (EC) No 73/2009 needed for 2009 a nd a cleaning up of obsolete rules as well as 
implementing rules needed as from 2010 (especia lly regarding Articles 68 to 72 of Regulation 
(EC) No 73/2009). Moreover, the Commission conti nues providing advice to Member States 
regarding the implementation of these regu lations. Finally the simplification proposals 
concerning the Council Regulations (EC) N° 73/2009 and 1698/2005 will be dealt with under 
the Lisbon Treaty procedures in the course of 2010. 
Rural development 
The implementing rules for controls in rura l development, Regulation (EC) No 1975/2006, 
will be recast in order to clarify and simplify it and to take into account changes made to 
Regulation (EC) No 796/2004 which has now be en recast by Regulation (EC) No 1122/2009 
and to which there are cross-references. 
Regulation (EC) No 1975/2006 alre ady sets out an application deadline for payment claims 
for area-related measures. This deadline is in accordance with that one set for the first pillar and aligns the system with IACS. In order to guarantee better cash flow for the beneficiaries and to further streamline the checks of area an d animal-related measures under the first and 
second pillar and to guarantee the quality of ch ecks, a payment deadline for these measures is 
proposed to be set in Council Regulation (EC) No 1698/2005. 
Quality policy 
Quality 
The Communication on agricultural product qua lity policy, adopted in May 2009, sets out 
strategic orientations offeri ng a new framework for the subj ect and commits the Commission 
to a number of actions, such as developing guide lines for agriculture product quality schemes; 
preparing the ground for possible le gislative initiatives on geogra phical indications, traditional 
specialities guaranteed, and marketing standa rds, including optional reserved terms; 
investigating the potential for using the CEN standard setting body; improving the recognition 
of EU quality schemes in non-EU countries. 
The Communication has thus opened the way to EU initiatives such as the provision of 
guidelines and legislative proposals, the latter also requiring the carrying-out of specific 
impact Assessments. 
Moreover, the efforts made in accelerating the rate of reaching the final decision on 
applications - while ensuring the respect of sectoral EC legislation - will continue. The scrutiny of third-country applications will cont ribute to the finalisa tion of international 
agreements on the protection of geographical in dications. The assessment of the Food Quality 
legislations of candidate countries and asso ciated countries against EC legislation will 
continue.  
Organic 
EN 110   EN The objectives for 2010 are to finali se the revision and the extension of the organic legislation 
with the adoption of a new logo for organic pro ducts and with the inclusion of the definition 
of organic wine-making rules.  
Clearance of accounts 
For 2010, the annual work plan foresees 120 confor mity audits with missions and several desk 
checks of which the number is estimated to be  around 30 based on last y ears' experience. For 
the conformity audits, the work program is based on a central risk analysis in which all the 
Directorate auditors were actively involved. 
39 audits are planned of various market meas ures including the sugar restructuring fund, 
Article 69/68, wine, POSEI and fru it and vegetable operational funds. 
22 audits will take place for area aids of whic h 2 each to BG, RO and GR all of which have 
action plans in place for the IACS. 11 cross-comp liance audits will take  place. For non area 
coupled aids, 9 audits will be carried out c overing animal premium schemes, Article 69 and 
entitlements. 
36 audits will be carried out on Rural Developm ent measures of which 15 cover Axes 1 and 3 
and measures with flat rate support and 14 c over Axis 2 focusing on the "Agro-environment" 
and "Natural Handicaps" measures. Furthermor e there will be a reinforced follow-up (7 
audits) in certain Member States of their control statistics due to the high error rates reported 
for Axis 2 measures under Rural Developm ent. 3 audits will follow-up outstanding 
irregularities cases. 
 Enforcement priorities 
As already mentioned, in the area of agricu lture and rural development, monitoring the 
application of Community la w under the Article 258 TFEU (e x Article 226 TEC) procedure 
concentrates on two main objectives: removing ba rriers to the free movement of agricultural 
products and ensuring that the mo re specific mechanisms of agricultural regulations are 
applied effectively and correctly. 
In the use of the infringement procedure, priority will be granted to cases which raise issues 
concerning the compatibility of Member States ' legislative, regulatory or administrative 
measures with Community agricultural rules and to cases where Member States concerned 
refrain from applying the common rules re ferred to above, thereby jeopardizing the 
effectiveness of important mechanisms of the common agricultural policy, particularly 
regarding the 1st pillar. 
For the years 2010 and 2011, the Commission will in particular be vigilant in pursuing 
infringements of the type described in the prev ious paragraph challeng ing the application of 
EN 111   EN the CMO's reform in the fruit and vegetable an d wine sectors and thos e which would affect 
the application of the direct payment regi me , and in particular "cross compliance"119. 
4.4. Summary  
Taking into account the significant volume of agricultural law and its 50 years history, it may 
be considered as a quite stable "acquis " that, on the one hand, is s ubject to frequent technical 
modifications under the Comitology procedur e, and on the other hand, undergoes, on a 
regular basis, much more prof ound modifications. The last one of these was the 2003 reform 
that was subject to the "Health ch eck" process. The policy is divi ded into two pillars: the first 
pillar consists of a framewor k for supporting the income of farmers through the payment of 
direct aid and a system for managing and supporti ng agricultural markets. The second pillar of 
the CAP provides a framework to support the de velopment of rural areas of the Community. 
The implementation of the CAP is a joint re sponsibility of the Me mber States and the 
Commission, known as shared management  under which the responsibility for 
implementation at the level of the final benefici aries has been delegated to the Member States. 
In the agricultural sector, preparatory working contacts between experts,  review of problems 
arising and multilateral and/or bilateral exchange  of information all help to ensure correct 
implementation. Furthermore, the Management  Committees, which meet regularly, are a 
privileged forum for the exchange of inform ation and best practice between the Member 
States and the Commission. 
The detailed overview of the implementation of EU law in the agricultural sector shows that it 
can generally be considered as satisfactory wh ile any problem with the implementation of the 
rules in the Member States is  closely followed through the audit mechanisms and clearance of 
accounts procedure which acts as a di rect incentive to Member States  to comply with EU law.  
Still, the agricultural "acquis" is regularly subj ect to reforms and/or modifications in order to 
adapt the CAP to its new challenges. In 2009, th e main challenges that prompted action from 
the Commission as regards this "acquis" consiste d of the adoption of the legislative acts for 
the implementation of the "Health check" wi th a view to updating and adapting the 2003 
reform, the proposals by the Commission of legi slative acts in response to the general 
financial and economic crisis (" recovery package") as well as their implementation and the 
improvement of transparency of CAP payments to beneficiaries as well as the deepening of 
simplification.  
Nevertheless deficiencies and infringements in application of Community law by Member 
States in the agricultural sector occur and can  be dealt with through infringement proceedings. 
The use of these proceedings concentrates on two main objectives: rem oving barriers to the 
free movement of agricultural pr oducts and ensuring that the mo re specific mechanisms of 
agricultural regulations are app lied effectively and correctly. 
In the use of infringement proceedings, priority  will be afforded to cases which raise issues 
concerning the compatibility of Member States ' legislative, regulatory or administrative 
measures with Community agricultural rules and to cases where the Member States concerned 
                                                 
119 The use of the infringement procedure will be favoured in cases where the absence of 
financial consequences of the infringement woul d not allow for recourse to the clearance of 
accounts procedure. 
EN 112   EN refrain from applying these common rules, thereb y jeopardizing the effectiveness of important 
mechanisms of the common agricultural policy, particularly  regarding the 1st pillar. 
For the years 2010 and 2011, the Commission will in particular be vigilant in pursuing 
infringements of the type described in the prev ious paragraph challeng ing the application of 
recently reformed important CMO's (fruit and vegetable and wine sectors) and those which 
would affect the application of the direct payment regime, and in particular "cross 
compliance"120. 
In the agricultural sector, the Commission will make an intensive use of the clearance of 
accounts procedure to convince Memb er States to adapt their le gislation in cases where an 
infringement could be detected through conformity audit mechanisms. 
 
5. ENERGY  , MOBILITY  AND TRANSPORT 
5.1. ENERGY - Internal electricity and gas market  
5.1.1.  Current position 
5.1.1.1.  General introduction  
Relevant legislations for the in ternal electricity and gas market  are Directives 2003/54 and 55, 
of 26 June 2003 concerning common rules for the internal market in electricity and gas, 
respectively,  Directive 2005/89 of 18 January  2006, concerning measures to safeguard 
security of electricity  supply and infrastructure invest ment, Regulation 1228/2003 of 26 June 
2003, on conditions for access to the network for cr oss-border exchanges in electricity, and 
Regulation 1775/2005 of 28 September 2005 on c onditions for access to the natural gas 
transmission networks.  
5.1.1.2.  Report of work done in 2009 
Enquiries, problems and complaints  
Several complaints were received in 2009.  Problems reported mainly refer to the 
malfunctioning of cross-border tr ade, the preferential treatm ent of national suppliers and 
network access in the electricity  sector. In the gas sector, pr oblems were reported as regards 
the access to the gas network and generall y the malfunctioning of the gas market.  
Very little progress was registered in 2009 in  the regulated market: few Member States 
reduced the scope of their legi slation to households and SME wh ile more than half of the 
Member States still have regulated prices for household and business customers which raise doubts with respect to the complia nce with the electricity and ga s Directive. Therefore, new 
infringement cases were started in 2009. Thes e measures may have a negative impact on the 
                                                
 
120 The use of infringement proceedings will be favoured in cases where the absence of 
financial consequences of the infringement woul d not allow for recourse to the clearance of 
accounts procedure. 
EN 113   EN proper functioning of the internal energy market. The European Court of Justice has given its 
judgment in the Federutility case (C-265/08) wh ich has allowed further clarifications on the 
issue of regulated prices. 
Management of infringements 
In order to complete the internal electricity  and gas market and prepare the ground for the 
implementation of the third package, it is essential that the rules of the current Directives are implemented correctly. In June 2009, the Eu ropean Commission initiated infringement 
procedures against 25 Member States for elect ricity and against 21 Me mber States for gas. 
The key violations identified were: lack of transparency, insufficien t coordination efforts by 
transmission system operators to make maxi mum interconnection capacity available, absence 
of regional cooperation, lack of  enforcement action by the comp etent authorities in Member 
States and the lack of ade quate dispute settlement procedures for consumers.  
In October 2009, the Commission launched furthe r infringement proceedings against two 
Member States on gas transit and storage. 
As regards Directive 2005/89, in 2009 all Member States notified complete transposition and 
all open infringement cases for non comm unication started in 2008 were closed. 
New legislation 
On 14 July 2009, a third package of legisla tive measures was adopted, including two 
Directives replacing the electricity and ga s Directives, two Regul ations replacing the 
electricity and gas Regulations and a Regulation establishing an  Agency for the Cooperation 
of Energy Regulators (ACER). The third packag e entered into force on 3 September 2009. 
The two Directives have to be  transposed into national la w until 3 March 2011. The gas and 
the electricity Regulations shall apply fr om 3 March 2011. The Regulation on ACER is 
applicable since 3 September 2009 with the excep tion of the chapter on its tasks which applies 
from 3 March 2011. 
5.1.2.  Evaluation of the current position 
In 2009 a great deal of effort was put into enhancing competition on the wholesale market; 
significant progress was made th rough the regional initiatives, which focused on improving 
congestion management allocation and calculati on, harmonising transparency and integrating 
market balancing in the electr icity sector and concentrated on new interconnection capacity, 
access to pipeline capacity, transpar ency, interoperability and s ecurity of supply in the gas 
sector.  
In the context of developing ga s and electricity infrastructure  significant initiatives were 
taken: the European Energy Programme for Rec overy (EEPR) was adopted to help securing 
and speeding up investments in the energy sector , and thereby has a direct impact on the EU 
economy and employment. It made a sum of  EUR 2.365 billion available for gas and 
electricity interconn ection projects.  
However in spite of some encour aging results and the benefits of the liberalisation process, 
the full potential of liberalisation has not yet been  realised. While the situ ation in more mature 
markets is demonstrating the potential benefits of energy market liberalisation, there are still a 
number of areas and Member States where signi ficant obstacles to the efficient functioning of 
the electricity and gas market persist. A majo r concern is the incorrect implementation of 
EN 114   EN European electricity and gas legislation. For this reason, during 2009 the Commission has 
taken actions to ensure the correct implementati on of EU legislation at  national level through 
the application of infringement procedures in particular as regards the electricity and gas 
regulations and Annexes to the electricity and gas directives. The Commission will closely 
supervise the transposition of the third libera lisation package by the Member States. It has 
published several interpretative notes facilitating its correct implementation by the Member States.  
5.1.3.  Evaluation results  
Infringement proceedings initiated in the gas a nd electricity sector have been successfully 
carried out and will be continued in 2010. In 2009 the European Court of Justice censured 
Sweden and Belgium for having incorrectly implemented the provisions concerning the 
competences of the national regulatory authoritie s with regard to network electricity tariffs; 
Belgium was also censured for having failed to designate a gas TSO.  
The third energy package responds to most of  the problems identified in the failure of 
application of the second package and an action pl an to facilitate the tr ansposition by Member 
State of the third energy p ackage is under preparation. 
5.1.4.  Sector summary 
While the situation in more mature markets is demonstrating the potential benefits of energy 
market liberalisation, there are still a number of areas and Me mber States where significant 
obstacles to the efficient functioning of the electricity and gas market persist. The need for new legislation was evident and led to the adoption of the third energy package. 
The Commission's efforts concentrated and w ill continue concentrating on an efficient 
implementation of the existing and new legislat ion in both electricity and gas sectors, by 
combining three actions: 
- Remedial action: Continue to pursue infri ngement procedures so as to ensure proper 
implementation of the electricity and gas Direct ives and Regulations in the main areas where 
failures were registered such as: penalties, tr ansparency and capacity allocation of networks; 
third party access and consumer protection, all in both sectors. This action will  continue in 
2010 for both sectors. 
- Preventive action: In the light of the adopti on of the third energy pa ckage prepare an action 
plan in order to facilitate its transpositi on by Member States. This action will also be 
undertaken in 2010. 
5.2. ENERGY - Coal and Oil 
5.2.1.  Current position 
5.2.1.1.  General introduction 
With regard to the legislation in the domains  of coal and oil, the largest part of the 
Commission's work in EU law management in  2009 consisted of the preparatory tasks and 
negotiations which lead  to the adoption by the Council of Directiv e 2009/119/EC (Council 
Directive 2009/119/EC of 14 Se ptember 2009 imposing an obligation on Member States to 
maintain minimum stocks of crude oil and/ or petroleum products; OJ L 265, 9.10.2009, p. 9).  
EN 115   EN Although Directive 2009/119/EC repeals Dire ctive 73/238/EEC, Directive 2006/67/EC and 
Decision 68/416/EEC it does so only with effect from 31 December 2012. Therefore currently 
applicable legislation still include Council  Directive 2006/ 67 (Council Directive 2006/67/EC 
of 24 July 2006 imposing an oblig ation on Member States to maintain minimum stocks of 
crude oil and/or petroleum products – C odified version ; OJ L 217, 8.8.2006, p. 8), Council 
Directive 73/238/EEC of 24 July 1973 on measures to mitigate the effects of difficulties in the 
supply of crude oil and petroleum products  (OJ L 228, 16.08.1973, p1-2) as well as Council 
Decision 68/416/EEC of 20 December 1968 on th e conclusion and implementation of 
individual agreements between Governments rela ting to the obligation of Member States to 
maintain minimum stocks of crude o il and /or petroleum products (OJ L 308, 23.12.1968, 
p.19). 
In 2009, tasks were also executed in relation to  Directive 94/22 (Directive 94/22/EC of the 
European Parliament and of the Council of  30 May 1994 on the conditions for granting and 
using authorizations for the prospection, expl oration and production of hydrocarbons; OJ L 
164, 30.6.1994, p. 3). 
As regards coal, regular monitori ng of the coal sector and market continued as foreseen in the 
applicable legislation (namely Regulation 405/ 2003) and information on import price indexes 
as well as coal import, production and consumption volumes were collected, analyzed and discussed with stakeholders through the Natio nal Coal Experts committee and in the annual 
Coal Dialogue.  
The half-yearly price indexes a nd annual market report were pub lished in 2009 as foreseen. In 
line with SER2, the issue of indigenous coal production has been introduced in discussions 
with stakeholders in view of analyzing possible policy initiativ es for making the best use of 
EU's coal resources.  
5.2.1.2.  Report of work done in 2009 
Infringements 
With respect to Directive 94/22, Commission se rvices continued to welcome publication 
demands received from Member States pursuant to the provisions of the Directive but also 
followed the implementation of  these provisions by the Member States. Infringements 
procedures were pursued in 2009: as regards th e obligation of Member States to duly notify 
competent authorities and on the basis also of other grievances, Commission services 
maintained contact with Belgiu m, following the issuance in 2008 of a letter of formal notice 
and of a reasoned opinion; in a file concerning  Poland, which had also reached the stage of 
the reasoned opinion in 2008 and where the Commission asked Poland to correct its 
procedures for granting rights over oil and gas re sources, contacts were also maintained in 
2009 ; however, no decision in favour of a referral to the Court of Justice had yet been taken 
for any of the 2 files by the end of the year. 
As regards Directive 2006/67, co mpliance became more and more actively monitored during 
expert meetings of the Oil Supply Group; the overall situation in 2009 with respect to oil 
stock levels required under the Directive can be on considered as acceptable in spite of some 
situations of non-compliance that were expected to remain occasional. In the context of the 
legislative review and of improved national stoc k levels, the Commission decided to close the 
case of the Belgian oil stocks, without prejudice to the earlie r ECJ decision in favour of the 
Commission (case C-510/07). 
EN 116   EN New legislation 
The March 2007 European Council underlined the n eed to enhance the security of supply for 
the EU and highlighted the need to review EU oil stocks mechanisms. 
Consequently and with respect to oil, the activities of the unit were focused in 2009 on the 
collaboration with the Council and adoption of th e new oil stocks directive; the Commission 
proposal of late 2008 was examined and modified  in the Council under the Czech Presidency 
and a political agreement was reached by the Council in June. 
The new legislation was subsequently adopt ed in September as Directive 2009/119. The 
legislation foresees a transition period until 31/12/2012 by which date al l Member States shall 
have to ensure compliance with  the Directive and the curren tly applicable Directive 2006/67 
will – effectively - be repealed. Directive 2009/119 will sign ificantly improve the system of 
emergency oil stocks by bringing EU rules much  closer to IEA practices  and providing better 
assurances of the availability and verifiability of the stocks. The legislation also reinforces the roles of the EU in handling possible supply di sruptions and entrusts the Commission with 
suitable roles on behalf of the EU . Finally, the legislation also foresees improved reporting on 
the levels of oil stocks in the EU, including commercial ones.  
5.2.2.  Evaluation of the current position 
Work has started on amending the current oil st ocks reporting procedures and instruments in 
cooperation with Eurostat and the IEA to provid e for the use of a singl e reporting tool by the 
end of the transition period. Furthermore, a speci fic analysis of the feasibility of increasing 
the frequency of commercial oil stocks reporting to weekly has been launched in mid-2009, and should conclude in 2010.  
Besides the attention paid to emergency prepar edness in oil and petrol eum products supplies, 
a study has been completed in cooperation with external consultants on the competitive aspects of EU's petroleum products market a nd sector. While the study has not identified 
specific failures of competition in the field in the EU, it highlighted the importance of 
continued investments in refining and of regular monitoring and improvements of the 
transparency of operations in the production, sale and distributi on of petroleum products in 
the EU.  
In oil upstream, compliance with  Directive 94/22 on hydrocarbon licensing can be regarded as 
acceptable despite two ongoing infringement pro cesses which were pursued in 2009 with 
respect to the inadequate application of sp ecific provisions of the directive or for non-
conformity of the national tr ansposition measures. Some 40 publications of notices from 
Member States were arranged in 2009 unde r the provisions of the directive.  
5.2.3.  Evaluation results 
The Commission's resources will need to remain  concentrated on the implementation of the 
new oil stocks legislation, both at EU le vel and at the level of Member States. 
The main tasks that will deserve atte ntion and follow-up in 2010 will be: 
– the revision of the Monthly Oil Stock (M OS) questionnaire to serve reporting: this 
questionnaire needs some update/streamlining in order to be suitable for the purposes of 
the new Directive; on the other hand, using MO S, whose data are alr eady available through 
EN 117   EN EMOS, would mean that no specific new repor ting instruments/proce dures would need to 
be established by ENER services; 
– an appraisal concerning the reporting frequency of comm ercial stocks; the reporting 
frequency for commercial stocks  was changed from weekly to monthly in the final version 
of the directive ; this implies as much as possible that data available through MOS should 
also be suitable and sufficient to ensure the implementation of the relevant article of the 
directive ; COM should also complete the in tended assessment of the possibilities for 
weekly reporting in the EU; 
– the examination of further Emergency Planning methodologies/procedures, given the more 
active and central role given by the new Dir ective to the Commission in case of supply 
disruptions; 
– the preparation of an electronic tool to allo w systematic consultations within the Oil Study 
Coordination Group; 
– the examination of methodologies and standa rds for reviewing emergency preparedness 
and stockholdings of/in Member States. 
5.2.4.  Sector summary 
Analysis of the current system for the security  of supply in oil and petrol revealed some 
weaknesses that justified the revi ew of the existing legislation. 
The newly adopted Directive will constitute a ne w stepping stone towards security of supply 
improvements in the EU and, for the countries concerned, will more effectively encourage 
compliances to both the EU st ockholding system and the IEA system. The new Directive will 
replace the current three pieces  of EU legislation on emerge ncy stocks and pays special 
attention to the provisions a ddressing the availability of stocks, the administrative 
arrangements needed for proper stocks mana gement and the rules setting up EU crisis 
mechanisms that will be comple mentary to the IEA rules. Simultaneously, the new provisions 
should contribute to simplify some of the Member States’ admini strative procedures. 
The Commission's efforts are consequently fo cussed on ensuring a proper implementation of 
the new legislation by: 
– using to the fullest extent and improvi ng all the necessary reporting tools; 
– preparing actively its reinforced role in the coordination of emergency procedures as well 
as concerning the reviews of emergency prep aredness, and related stockholding, of the 
Member States. 
5.3. ENERGY - Renewable energy sources 
5.3.1.  Current position 
5.3.1.1.  General introduction 
Main pieces of Community acquis are: 
EN 118   EN – Directive 2001/77/EC of the European Parliament and of  the Council of 27 September 
2001 on the promotion of electricity from re newable energy sources in the internal 
electricity market 
– Directive 2003/30/EC of the Eu ropean Parliament and of the Council of 8 May 2003 on the 
promotion of the use of biofuels or other renewable fuels for transport. 
– Directive 2009/28/EC of the Eu ropean Parliament and of the Council of 5 June 2009 on the 
promotion of the use of energy from rene wable sources and amending and subsequently 
repealing Directives 2001/77/EC and 2003/30/EC. 
5.3.1.2.  Report on the work done in 2009 
Following the publication of the renewa ble energy progress report in April 2009 
(COM(2009)192) the Commission sent six letters asking Member States to provide 
explanations on the insufficient measures ta ken to reach the 2010 targets under Directive 
2011/77/EC. new infringement cases under Directive 2001/77/EC  
Complaints continued to be received and on e of these has resulted in the Commission 
initiating infringement proceedings. Ten Member States failed to submit reports in accordance 
with the requirements of Directive 2003/30/EC. Thus th e Commission also launched 
infringements for non reporting ag ainst these Member States.  
Overall, currently 15 cases are still open as infr ingements (in NIF) and 4 cases as complaints 
(in CHAP). 
Directive 2009/28/EC entered into force on June 25th 2009. To facilitate Member States' 
implementation of Directive 2009/2 8/EC (required by December 5th 2010), the Commission 
has published a template for the renewable energy national action plans (C(2009)5174) and 
has, in 2010, produced a number of Communica tions and guidelines on implementing certain 
aspects of the Directive rela ted to biofuels sustainabil ity scheme121. The Commission has 
also launched several analytical studies to provi de information that will help Member States 
take action to remove barriers to  the growth of renewable energy, as required by the Directive.  
5.3.2.  Evaluation of the current position 
When preparing the new renewable energy fr amework (establishing particularly the 2020 
targets) of Directive 2009/28/EC, the Commission in sisted that it would continue to enforce 
rigorously the existing framework and the 2010 targ ets. The infringement cases launched for  
failure to submit reports will thus  continue  to be pursued.  
The new legal framework of Directive 2009/ 28/EC will eventually replace Directives 
2001/77/EC and 2003/30/EC which have been partially repealed as of April 1st 2010. The 
Commission is firmly committed to close monitoring and enforcement of this Directive. 
The need to pursue Member States for non repor ting and the inflow of complaints received 
suggests that several Member States are not implementing the relevant Directives in a 
complete or appropriate manner. Continued failures of this nature would eventually put at risk 
                                                 
121 OJ C 160, 19.6.2010, p. 1-7; OJ C 160, 19.6.2010, p. 8-16; OJ L151, 17.6.2010, p. 19-41 
EN 119   EN the 2020 targets and thus the Community's wh ole energy and climate strategy. Continued 
close monitoring and enforcement action by the Commission is therefore warranted. 
5.3.3.  Evaluation results 
5.3.3.1.  Priorities 
Strong and rapid measures to encourage Member States to properly implement and apply the 
acquis continue to be needed.  
5.3.3.2.  Planned action 
During 2010, the Commission will publish the Re newable Energy Progress report, required 
under Directives 2003/30/EC and 2001/77/EC, a ssessing the measures taken by Member 
States and the progress done in increasing their shares  of renewable energy in electricity and 
transport.  
The reporting requirements and implementation of Directive 2009/28/EC will be closely 
monitored in the course of 2010. 
The Commission continues to do its utmost to  assist Member States in implementing the 
Directive. In addition to the national action plan template published in 2009, in 2010 a range 
of communications, guidance notes and studies will be produced to help ensure Member 
States implement the Directive fully and appropri ately. Steps have also been taken to launch a 
"Concerted Action" project in the framewor k of the Intelligent Energy for Europe 
Programme. It is expected that this project will begin by fall 2010. 
Member States' reporting requirements for 2010 include submission of "forecast documents" 
and national renewable energy action plans. The Commission will thoroughly evaluate all 
these reports and take action ag ainst those Member States th at fail to provide credible 
roadmaps or to take adequate measures  for reaching their 2020 targets under the renewable energy acquis. 
5.3.4.  Sector summary 
The Commission continues to enforce the existing and the new acquis on renewable energy. 
The Commission's progress reports over the year s, the non reporting of several Member States 
and the complaints received from industry stake holders all indicate that there continue to be 
problems hampering the development of renewa ble energy and failures to take sufficient 
measures, in accordance with the acquis . Removing barriers and encouraging the growth of 
renewable energy by the Commissi on will continue to be an important priority of the 
Commission, as renewable energy development is  a crucial and integral element of the 
Community's whole energy and climate strategy. In 2010 it will continue to monitor and help Member States in implementing the acquis , notably the new Directive 2009/28/EC.  
EN 120   EN 5.4. ENERGY - Energy efficiency of products 
5.4.1.  Current Position 
5.4.1.1.  General Introduction 
The main pieces of legislation in this field are the following: (i) Directive 2009/125/EC of 21 
October 2009 establishing a framework for th e setting of ecodesign requirements for energy-
using products; (ii) Directiv e 92/75/EEC of 22 September 1992 on the indication by labelling 
and standard product information of the consumption of energy and other resources by household appliances, and (iii)  Decision 2006/1005 on the coordi nation of energy-efficiency 
labelling programmes for office equipmen t in the EU and USA ("Energy Star"). 
5.4.1.2.  Report of work done in 2009 
The work covered four distinct areas: On eco-design, the recast of framework Di rective 2005/32 was adopted as Directive 
2009/125122. Furthermore eight detailed measures to  implement the Directives were adopted 
in 2009 as regards: 
− simple set-top boxes (Commissi on Regulation (EC) No 107/2009123). 
− non-directional household lamps (Commission Regulation (EC) No 244/2009124); 
and 
− fluorescent lamps without integr ated ballast, for high intensity discha rge lamps and for 
ballasts and luminaires able to opera te such l amps (Commission Regulation 
(EC) No 245/2009125); 
− efficiency of external power supp lies (Commission Regul ation (EC) No 
278/2009126); 
− electric motors (Commission Regulation (EC) No 640/2009127); 
− glandless standalone circul ators and glandless circulat ors integrated in products 
(Commission Regulation (EC) No 641/2009128); 
− televisions (Commission Regul ation (EC) No 642/2009129); and 
− household refrigerating appliances (C ommission Regulation (EC) No 643/2009130). 
                                                
 
122 OJ L285 of 21.10.2009, p.10 123 OJ L36 of 5.2.2009, p.8 124 OJ L76 of 24.3.2009, p.3 125 OJ L76 of 24.3.2009, p.17 126 OJ L93 of 7.4.2009, p.3 127 OJ L191 of 23.7.2009, p.26 128 OJ L191 of 23.7.2009, p.35 129 OJ L191 of 23.7.2009, p.42 
EN 121   EN The energy savings that will accrue from these detailed eight measures, which are directly 
applicable in Member States, is estimated to be 306 TWh per annum by 2020. In addition to the adoption of legislative requirements there was on-going work such as preparatory studies, 
impact assessments, stakeholder meetings fo r the preparation of additional implementing 
measures for some 20 product groups.  
On labelling, the recasting of Framework Directive 92/75 made good progress through the co-
decision process. The measure aims at extending  the scope to include labelling of commercial 
and industrial products, as well as simplif ying the legislation and ensuring a uniform 
implementation on the internal market by using (directly applicable) Re gulations instead of 
Directives. It is expected that full agreement of the recast will be  reached early in 2010. 
On requirements on the labelling of tyres with re spect to fuel efficiency and other essential 
parameters were adopted as Regulati on 1222/2009131. This measure will contribute 
significantly to a market shift towards more energy-efficient tyres. 
On 'Energy Star', specifications for the gran ting of the Energy State qualifications were 
revised to cover the legislative initiatives taken upgraded for office equipment (Commission 
Decisions 2009/347/EC132, 2009/489/EC133, and 2009/789/EC134). 
5.4.2.  Evaluation of the current position 
The activities carried out in 2009 resulted in the adoption of a significant number of 
legislative acts together with considerable development of le gislative proposals for additional 
legislative activity in 2010. In  addition, when adopted in 20 10, a new framework Directive 
will extend the scope of ecodesign to energy-related products. 
5.4.3.  Evaluation results 
5.4.3.1.  Priorities 
The twin priorities will be to ensure the enfo rcement of the existing legislation as well as 
adopting further implementing measures to ex tend the scope of meas ures to products not 
already covered by ecodesign a nd labelling requirements. 
5.4.3.2.  Planned action 
Work will be concentrated on the develo pment and, where appropriate, adoption of 
implementing acts or voluntary agreements for air conditioners, personal computers, imaging 
equipment, complex set-top boxes, fans, pumps, water heaters, boilers, dishwashers, washing 
machines and commercial refrigerators. 
                                                                                                                                                        
 
130 OJ L191 of 23.7.2009, p.53 131 OJ L 342 of 22.12.2009, p.46 132 OJ L106 of 28.4.2009, p.25 133 OJ L161 of 24.6.2006, p.16 134 OJ L282 of 29.10.2009, p.23 
EN 122   EN 5.4.4.  Sector summary 
In the context of the Second Strategic En ergy Review adopted in November 2008, the 
Commission's activities in the field of energy ef ficiency of products are concentrated in the 
enforcement of the existing acquis  and in the imminent adoption of the legisla tive proposal on 
energy labelling. It is also an ticipated that the Co mmission will adopt several implementing 
measures under Directive 2009/125/EC and the new labelling Directive addressing such 
products as washing machines, di shwashers and air conditioners. 
5.5. ENERGY - Energy performance of buildings 
5.5.1.  Current position 
5.5.1.1.  General introduction 
The main piece of the EU acquis is Directive 2002/91/EC of the European Parliament and of 
the Council of 16 December on the energy perf ormance of buildings. A Commission proposal 
to recast this Directive was adopted in  November 2008 (COM (2008) 780 final).   
5.5.1.2.  Report on the work done in 2009  
The main achievement in the field of energy effi ciency in the building sector was the reaching 
of a first reading agreement on the proposal for a recast of the Directive on the energy 
performance of buildings (hereaf ter: "EPBD") as a part of th e Commission's Second Strategic 
Energy Review 'Securing our Energy Future ' of November 2008. The proposal intended to 
simplify and strengthen the provisions of the EPBD  and thus to increase the energy efficiency 
of Europe's building stock, to tackle climate cha nge and to contribute to an increased security 
of energy supply. The first reading agreement was reached on 17 November 2009 in less than 
one year of negotiation time with the co-legisla tors. The final adoption of the recast Directive 
took place on 19 May 2010, after an agreement was found on the changes to be introduced to adjust to the requirements of the Lisbon Treaty.  
Implementation efforts regarding the existin g Directive continued in 2009 with another 
meeting of the 'Concerted Action' in Berlin in June 2009, hence continuing the work done in 
2007 and 2008. This instrument is intended to  promote dialogue and exchange of best 
practice. Being an active forum of national aut horities from 29 countries, it focuses on finding 
common approaches to the most effective implementation of this  piece of EU legislation. In 
the meantime, Concerted Action is being replicat ed in other policy areas - such as energy 
services and renewable energy sources - as it has proven to be a successful instrument.  
This effort in dissemination and consultation was continued with the launch of the 'Build up' 
Platform (www.buildup.eu) as an initiative to increase awareness of all parties in the building 
chain.  
Infringement proceedings continued, with 11 open cases at the end of 2009.  Out of these 
cases, only two concern Member States which ha ve not completed the transposition of the 
EPBD. The two Member States concerned have  been condemned for this by the Court of 
Justice of the European Union by judg ments in January 2008 and October 2009. 
The EPBD allowed Member States to delay the transposition of the pr ovisions regarding the 
energy performance certificates and the inspections of boilers and air-conditioning systems until 4 January 2009 under certain conditions. In 2009 the Commission started the 
EN 123   EN examination of the notified national measures tran sposing these provisions. So far, two further 
non-conformity cases have been initiated.  
5.5.2.  Evaluation of the current position 
The Commission's ambitious recast proposal that strengthens the current legislation has been 
successfully negotiated and concluded very spee dily. The text of the recast Directive will 
ensure consistency as it does not interrupt Memb er States' efforts in implementing the existing 
Directive of 2002. The Commission has also made  considerable progress in enforcing its 
existing legislation. 
5.5.3.  Evaluation results 
Attention will focus on the enforcement of the ex isting legislation and the preparation of the 
subsequent implementation of the new Directiv e. Moreover, the Commission will in 2010 be 
developing a methodology framework to assist Member States in se tting cost-optimal 
minimum performance requirements, as well as  adopting a voluntary certification scheme for 
the energy performance of non-residential buildings. 
5.6. ENERGY - Energy end-use efficiency and energy services 
5.6.1.  Current position 
5.6.1.1.  General introduction 
The main piece of the EU acquis  in this field is Directive 2006/32/EC of the European 
Parliament and the Council of 5 April 2006 on en ergy end-use efficiency and energy services. 
5.6.1.2.  Report on the work done in 2009 
With regard to energy end-use efficiency and energy services, the efforts on the 
implementation of the existing legislation were continued. The focus was on the development of a methodology and indicators for energy savings. For that pu rpose the Commission 
organised two Energy Demand Management Comm ittee meetings, two expert working groups 
and a number of bilateral meetings and other exchanges with relevant Member States. The 
work has led to the development of a set of  indicators and formulas for measurement and 
verification of final energy savings. 
The Commission also communicated its detailed  assessment of National Energy Efficiency 
Action Plans (NEEAPs) in a Staff Worki ng Document (SEC(2009) 889) indicating good 
practices, strong points and weaknesses of  different NEEAPs, and providing some 
observations and recommendations on how these NEEAPs should be strengthened in the 
future. Follow-up on the implementation of NEEAPs  is carried out through regular exchanges 
supported and facilitated by th e Commission in the framework of the Concerted Action on 
Directive 2006/32/EC. 
Regarding transposition of the Directive, th e Commission started infringement proceedings 
for non-communication. In early 2009 the Commi ssion sent reasoned opinions to 20 Member 
States concerning non-communicati on of full transposition of Directive 2006/32/EC. In order 
to  have a better insight on how the transposition had been made in each case, the Commission sent a questionnaire to all Member States and engaged on regular bilateral 
discussions with those Member St ates not having completed the transposition of the Directive. 
EN 124   EN By the end of 2009, the number of Member States which did not communicate full 
transposition was re duced to eight. 
5.6.2.  Evaluation of the current position 
Despite significant efforts, consensus between  the EU Member States  on harmonisation of 
methodologies for measurement and verification of  energy savings on th e basis of the Annex 
IV of Directive 2006/32/EC could not be r eached. As such, the Commission came to the 
conclusion that the methodology for the measurem ent of verification of energy savings should 
be extended beyond the current scope of Direc tive 2006/32/EC to all energy savings including 
measurement of the progress in Member Stat es towards the strategic objective of 20% by 
2020. 
Concerning the establishm ent of the Second NEEAP s, the key issue is related to reporting on 
already achieved energy savings. As indica ted in various Communications from the 
Commission, the NEEAPs should become a centr al tool for Member States as regards 
planning and reporting on national measures a nd achieved energy savings. This has been 
already confirmed in recent parallel EU legi slation: e.g. the recast Energy Performance of 
Buildings Directive refers to NEEAPs as the main reporting tool. In 2010 the Commission 
will propose a common template for the second NEEAP, due in 2011, which will extend the 
scope of reporting beyond the scope of energy savings as currently defined by Directive 
2006/32/EC. 
In order to speed up and improve  the quality of transposition of Directive 2006/32/EC, the 
Commission will intensify its bilateral communica tion with the EU Member States, and also 
to assess the conformity of the notified legislation with the Directive. 
5.6.3.  Evaluation results 
5.6.3.1.  Priorities 
Primary attention will be paid to the enforcem ent of the existing legislation and the scoping 
work on how to strengthen the current EU  framework legislation on energy savings. 
5.6.3.2.  Planned Action 
Efforts will be concentrated in making sure that Member States are taking appropriate 
measures to transpose the provisions of the Directive 2006/32/EC into national law and that 
they are applied and enforced effectively. In parallel to that, the Commission will investigate possible strengthening of this legislation incl uding investigating on the creation of a suitable 
legal basis for the 20% strategic obje ctive for primary energy savings by 2020. 
In relation to the measurement and verificati on of energy savings, the Commission intends to 
present a recommendation on a common methodology and related indicator s. In order to 
facilitate the establishment of the second NE EAPs due in 2011, the Commission will develop 
a common template and provide guidance on the reporting needs. 
EN 125   EN 5.7. ENERGY - Combined heat and pow er generation (CHP, cogeneration) 
5.7.1.  Current position 
5.7.1.1.  General introduction 
The main piece of legislation is Directive 2004 /8/EC of 11 February 2004 on the promotion of 
cogeneration based on a useful heat demand in the internal energy market, complemented by 
two Commission Decisions, one on harmonised effi ciency reference values for the separate 
production of electricity and heat (2007/74/EC) and the othe r one containing detailed 
guidelines for the calculation of elect ricity from cogeneration (2008/952/EC). 
5.7.1.2.  Report on the work done in 2009 
The adoption of the guidelines ha s allowed the Commission to st ep up its efforts on enforcing 
the implementation of the Directive. Member Stat es now dispose of all elements necessary for 
a complete transposition of EU law. In this context, most of the work done during 2009 with regard to cogeneration was fo cused on such transposition.  
Two committee meetings were held to discus s the current progress on the implementation of 
the Directive and on the reporting obligations. Discussions have st arted on how to increase the 
role of cogeneration in the future European En ergy Efficiency Plan. Pa rticular attention was 
given to the analysis of CHP national potential, a nd a template has been circulated to facilitate 
the submission of data and information on the national potential for cogeneration on the basis 
of Article 6 and Annex IV of th e cogeneration Directive 2004/8/EC. 
Infringements procedures were opened in 2009 ag ainst some Member States for failure to 
implement the Directive's provisions (non-comm unication of transposit ion and no submission 
of the reports required).  
5.7.2.  Evaluation of the current position 
In general, the situation regarding cogeneration is evolving positively. Many Member States 
have been completing the transposition of th e Directive and are providing the missing 
information. However, some Member States s till encounter difficulties in meeting their 
obligations. 
5.7.3.  Evaluation results 
5.7.3.1.  Priorities 
Primary attention will be given to achieving full transposition of the Directive in all Member 
States. This should allow the re moval of existing ba rriers and the achievement of national 
potentials, and in general the further development of cogeneration in the EU. 
5.7.3.2.  Planned action 
The Commission will continue its efforts with re gard to the follow-up and enforcement of the 
existing legislation, including an analysis of  conformity of the notified legislation.  
The Commission will review the reference values for the separate production of electricity 
and heat. 
EN 126   EN The Commission will also prepare a report on  the implementation of the Directive and 
present, if appropriate, further proposals to foster cogeneration, in relation to the future 
Energy Efficiency Action Plan.  
5.7.4.  Sector summary 
Monitoring of the implementation continues. Infringement proce dures have been opened to 
support this objective.  
The reference values for the separate production of electricity and heat  will be reviewed. 
A report on the implementation of  the Directive will be prepar ed and further proposals to 
foster cogeneration will be indicated if appropriate.  
5.8. ENERGY - Nuclear Energy 
5.8.1.  Current position 
5.8.1.1.  General introduction 
Most of the activities of DG ENER in the nuc lear field are based on Chapter 3 (Health and 
Safety) and Chapter 7 (Safeguards) of the Eu ratom Treaty and on the acquis derived thereof. 
The Lisbon Treaty, which entered into force on 1 December 2009, amends the Euratom 
Treaty by its Protocol No 2. The Euratom provisions continue to have their full legal effect 
and Euratom keeps its own legal personality  outside the framework of the EU. The 
amendments are only intended to adapt the Euratom Treaty to the new rules laid down in the Lisbon Treaty, in particular in the institutiona l and financial fields. According to the Lisbon 
Treaty, Articles 141 to 143 of the Euratom Treaty  shall be replaced by references to Articles 
258 to 260 respectively of the TFEU de fining the infringement procedures. 
5.8.1.2.  Report of work done in 2009 
Management of the acquis, in particul ar through committees and expert groups: 
The Group of Experts (GoE) provided for in Article 31
 met twice in June and November 
2009. The main topic was the revision and recas t of the Euratom Basic Safety Standards 
Directive. The Group developed a complete and advanced draf t Directive text. The adoption 
of the Opinion of the Article 31  Group of Experts on this Direct ive is expected in February 
2010. In 2009, the Group adopted an Opinion on a Draft Proposal for a Council Regulation 
establishing a Community system for Registra tion of carriers of ra dioactive material135. 
The European High Level Group on nuclear safe ty and waste management or European 
Nuclear Safety Regulators Group  (HLG or ENSREG)136: me t 4 times during 2009. In 
                                                 
135  The text of the opinion is available at 
http://ec.europa.eu/ener gy/nuclear/radiation_protecti on/doc/art31/2009_11_3_opinion_on_tra
nsport_regulation.pdf 
136  More information on the ENSREG activity  is available on th e dedicated website 
www.ensreg.eu  
EN 127   EN particular, ENSREG made a valuable contributi on to the preparation of the Nuclear Safety 
Directive. The Group's members provided the Co mmission with their comments on the draft 
Directive proposal, a consensus being reached on a number of key aspects raised. 
In July 2009, in line with the Group's founding Commission Decision, ENSREG submitted to 
the Commission its first Activity Report. Acco rding to the procedure established in the 
mentioned Decision, the Commission has transmitte d the Report to the European Parliament 
and to the Council. The Repor t presents the Group's discussions and recommendations 
covering nuclear safety, waste manage ment and transparency aspects137.  
The European Nuclear Energy Forum  (ENEF)138 is conceived as a platform to promote a 
broad discussion among all relevant stakeholde rs on the opportunities and risks of nuclear 
energy.  
In 2009, the fourth ENEF plenary meeting held  in Prague on 28 a nd 29 May 2009, gathered 
more than 250 high-ranking participants from a ll relevant stakeholders to discuss on risks, 
opportunities and transparen cy issues of nuclear energy. At the Prague meeting, the ENEF has 
been dedicated more particularly to nuclear  safety, nuclear waste policies, and possible 
initiatives on training and education as well as in the area of transparency. ENEF has also completed a paper providing a roadmap towards the successful implementation of geological 
disposal in the EU. 
Chapter 7 (Safeguards) of the Euratom Treaty:  The Commission continued to satisfy itself 
that in the territories of the Member States nuclear materials were not  diverted from their 
intended use as declared by the users and th at the international safeguards obligations 
assumed by Euratom were complied with. In 2 009 the efforts made by the IAEA and the 
Commission following the entry into force of the Additional Protocol in 2004, were crowned 
by the application of Integrated Safeguards ac ross the EU's non-nuc lear weapons states. 
In particular is to be mentioned the adoption of the Commission Recommendation 
2009/120/Euratom of 11 February 2009 on the im plementation of a nuclear material 
accountancy and control sy stem by operators of nuclear installations139. 
During 2009, Bulgaria and the Czech Repub lic acceded to INFCI RC/193, the trilateral 
safeguards agreement between the Euratom Co mmunity, the IAEA and the EU's non-nuclear 
weapons states. The only remaining Member Stat e not yet to accede, Romania, modified its 
domestic legislation to remove the impedime nt which had prevented its accession, thereby 
clearing the way for its acce ssion during first half 2010.  
Regulation (Euratom) No 302/2005 set a deadlin e of March 2010 for ope rators of nuclear 
facilities to make their regular reports of nuc lear material holdings and transactions in a 
manner which complies fully with the requiremen ts set out therein. The great majority of 
                                                
 
137  The full text of the Report was published unde r the Europa website a nd is available at  
http://ec.europa.eu/energy/nucle ar/ensreg/doc/2009_ensreg_report.pdf . 
138  Detailed information on the ENEF activity is available at 
http://ec.europa.eu/energy/ nuclear/forum/forum_en.htm  
139  OJ L 41, 12.2.2009, p. 17–23 
EN 128   EN operators, by the end of 2009 had already taken the necessary steps to comply, and DG ENER 
is closely monitoring the remaining operators. 
Management of the acquis (incl. enquiries, problems and complaints) 
The submission of draft texts under Article 33  Euratom Treaty allows the Commission to 
make appropriate recommendations or remark s before the finalisation of the national 
procedure for the adoption of transposition measures, so th at possible instances of non-
compliance can be identified even before th e texts are adopted. In 2009, we dealt with 12 
notifications under Article 33. Mo st of them concerned still the implementation of Council 
Directive 2006/117/Euratom of 20 November  2006 on the supervision and control of 
shipments of radioactive waste and spent fuel . Likewise, other notifications aim at updating 
Member States' legislation transposing previ ous Euratom Directives, e.g  BSS and HASS  
Directives. 
Under Article 35  of the Euratom Treaty, Commission se rvices conducted 8 verification 
missions. The purpose was to provide an independent assessment on the adequacy of facilities intended to monitor levels of radioactivity in th e environment. All verifications started with a 
preliminary audit of the monitoring and insp ection activities carrie d out by the relevant 
national authorities and of th e legal framework in force. 
Eleven opinions were adopted by the Co mmission in accordance with Article 37
 of the 
Euratom Treaty, concerning plans for the disposal of radioactive material. 
In 2009, the Council adopted Regulation (EC) No 1048/2009 amending Regulation (EC) No 
733/2008 on the conditions governing imports of ag ricultural products originating in third 
countries as a consequence of the accident at the Chernobyl  nuclear power station140. The 
Community system for checking compliance with  the EC maximum permitted levels of radio-
caesium in imported agricultural products is now extended for another period of ten years until 31 March 2020. 
Articles 41/43 Euratom Treaty
 notification procedure on nuclear  investments: 10 notifications 
were received in 2009. 8 Viewpoints of the Commission under Article 43 Euratom Treaty 
have been issued. To be mentioned is in pa rticular its opinion on th e project of Slovenské 
Elektrárne to complete Units 3 and 4 of Mochovce Nuclear Power Plant in the Slovak 
Republic, which focuses in particular on the safety and security aspects. 
Article 103  is part of the Euratom Treaty Chapter on external relations. It establishes a 
procedure for the preliminary examination of th e compatibility with the Euratom Treaty of 
draft agreements or contracts which are abou t to be concluded, within the scope of the 
Euratom Treaty, between a Member State and a third party. In 2009, 16 notifications pursuant 
to Article 103 Euratom were dealt with. 
In February 2009 the Commission has been notif ied under Article 103 Euratom Treaty of the 
draft Agreement between the G overnment of Romania and the Government of the Hashemite 
Kingdom of Jordan on the development of the peacef ul uses of nuclear en ergy. Article XIII of 
the notified draft agreement impeded the free m ovement of nuclear materials and equipment 
within the Community provided fo r in Title II, Chapter 9 of the Euratom Treaty. Therefore, 
                                                 
140    OJ L 290, 6.11.2009, p. 4–4 
EN 129   EN on 25 of March 2009 the Commission adopted a D ecision141 in the form of letter addressed 
to Romanian authorities raising objections to the conclusion of the not ified draft agreement. 
In January 2010, Romania sent the new notifi cation taking fully account of the Commission's 
objections. Having examined the new draft ag reement no element was found to impede the 
application of the Euratom Treaty in the meaning of its Article 103. 
Management of infringements 
Concerning the complaints management , the new application CHAP was launched on 28 
September 2009. There were two new complaints  received in 2009 concerning the measures 
taken by the National Authority of  Romania as to the interdiction of the salt imports from the 
Ukraine. 
In 2009, Directorate H opened a large number of infringements cases (21) for non-
communication of final transpos ing measures concerning th e implementation of Council 
Directive 2006/117/Euratom of 20 November  2006 on the supervision and control of 
shipments of radioactive waste and spent fuel.  Letters of formal notice were communicated to 
19 Member States.  At this moment, most of  the concerned Member States have already 
notified their pieces and their cases  have been closed, except two.  
Likewise, long-standing cases have been closed  in 2009. Thus, for instance, considering the 
reply from the Portuguese au thorities in line with the r ecommendations issued by the 
Commission and recognizing the sustainable improvements made in recovering and 
monitoring the former uranium mines areas in the framework of the ongoing national 
monitoring programme, the infringement case against Portugal was closed.  
Negotiations were satisfact orily concluded with the Sellafield (UK)  operators in view of 
rectifying the shortcomings which originat ed the warning the Commission issued on 15 
February 2007 (Decision 2006/626/Euratom), in accordance with Article 83 of the Treaty 
(failure of the operator of a nucl ear installation to satisfactorily fulfil its obligations). On this 
basis, the 2006 decision was repealed by Commission decision of 3 August 2009. As a 
consequence the case before the C ourt of Justice was closed in 2009. 
Monitoring of the safeguards s ituation continued in the case of  a Commission Directive based 
on Article 82 Euratom Treaty, c oncerning another inst allation on the Sellafield site. To this 
end, a detailed work programme  to improve the situation was prepared by the United 
Kingdom, under close scrutiny by the Commission, which is to be adopted in the first half of 
2010. If progress continues to be satisfactory, the suspension of the Commision decision to 
seize the Court of Ju stice can be upheld. 
Petitions 
During 2009, Directorate H dealt with 10 petitions in total. For all petitions, an adequate 
answer was provided; however the European  Parliament's Petiti ons Committee did not 
analyse all answers yet and could therefore not accept the closure of these cases. Hence, most 
petitions take several years be fore being formally closed. 
New legislation. 
                                                 
141  C(2009)2061 final 
EN 130   EN The Council Directive 2009/71/Euratom of 25 June 2009  establishing a Community 
framework for the nuclear safety of nuclear installations 142 (Nuclear Safety Directive), 
adopted with the agreement of all the 27 EU Member States following widespread support 
from the European Parliament, creates a solid an d flexible legal framework that defines basic 
obligations and principles gove rning nuclear safety throughout  the EU. The Directive builds 
on work that Member States have carried out al ready and transposes into Community law as a 
binding legislation the nuclear safety requireme nts of the Convention on Nuclear Safety and 
of the Safety Fundamentals established by the International Atomic Energy Agency (IAEA). 
The underlying principles on which the Directive is built are: nation al responsibility for 
nuclear safety and continuous improvement of  nuclear safety. In line with these basic 
principles, the Directive requires Member St ates to establish and maintain a national 
legislative, regulatory and or ganisational framework govern ing the safety of nuclear 
installations. It also aims to reinforce the role and the independence of the competent national regulatory authorities by build ing on their competencies a nd acknowledging the fundamental 
prerequisite that only indepe ndent and strong regulators can guarantee the safe operation of 
nuclear installations in the EU. The prime respon sibility of licence holde rs for nuclear safety 
is explicitly recognised.  
Commission Decision on financing for the decommissioning programmes for Ignalina, 
Bohunice and Kozloduy (C(2009)7614): The Commi ssion adopted the yearly financial 
Community contribution to the decommi ssioning assistance progr ammes for Bohunice, 
Ignalina and Kozloduy for 2009. The basis for th e Decision is the 2003 Treaty of Accession, 
in particular Protocol no. 4 “on the Ignalina Nuclear Power Pl ant in Lithuania” and no. 9 "on 
unit 1 and unit 2 of the Bohunice V1 nuclear power plant in Slovakia"; as well as the Act of 
Accession of Bulgaria and Romania, in particul ar Article 30 of the Protocol thereto. The 
Protocols foresee additional assistance, fo llowing on from previous programmes until 2006, in 
the period from 2007 till 2013 (2009 for Bulgaria ). Council Regulations (EC) 1990/2006 and 
(Euratom) 549/2007 specify the additional assistan ce to Lithuania and Sl ovakia. The Decision 
covers the 2009 commitment of € 255 million in total for all three funds. 
Also it has to be mentioned that Lithuani a has closed the Ignalina power plant on 31 
December 2009 in accordance with "Protocol No  4 on the Ignalina nuclear power plant in 
Lithuania" according to the "Act concerning the conditions of accession of … the Republic of 
Lithuania ….".143 This was the last plant to  be closed following the Accession Treaty. 
A new proposal for a Council Regulation for th e extension of financia l EU decommissioning 
support to Bulgaria  (COM(2009)581 final) was elaborated  and adopted by the Commission on 
27 October 2009. This concerns the decommissioni ng of units 1 to 4 of the Kozloduy Nuclear 
Power Plant and for the mitigation of the economical consequences. Financial support for the decommissioning in Bulgaria was limited to December 2009. For Lithuania and Slovakia, being in a comparable situation regarding d ecommissioning, Ignalina and Bohunice, financial 
support for decommissioning had already been safeguarded up to the end of 2013. The new 
Commission proposal covers a sum of € 300 million for the time period 2010 – 2013. The 
                                                
 
142  OJ L 172, 2.7.2009 , p. 18–22 
143 OJ L 236, 25.9.2003, p. 33, 933 
EN 131   EN adoption of the Council Regulation is foreseen  for the first half of 2010 to guarantee the 
seamless continuation of safe decommissioning. 
Co-sponsoring of the IAEA Basic Safety Standards : The Commission has taken a very active 
part in the revision of th e international standards. 
Negotiating mandate for a revised Euratom–Canada cooperation agreement : The 
Council adopted on 27 July 2009 a Decision issuing directives to the Commission for the re-
negotiation of the Agreement between the Eu ropean Atomic Energy Agency Community 
(Euratom) and the Government of Canada for cooperation in the peaceful uses of atomic 
energy144. The initial Agreement between Eu ratom and Canada for cooperation in the 
peaceful uses of atomic energy was signed in 1959 and, due to the continuous development of 
nuclear trade between the Parties,  has been amended five times. 
In order to enhance mutual c ooperation with the Ru ssian Federation by providing a stable 
legal framework for political and industrial rela tions in this field, the Commission adopted in 
April 2009 a proposal for a revi sed mandate for negotiations with the Russian Federation , 
aiming at a broad cooperation agreement in the peaceful uses of nuclear energy, covering not 
only nuclear trade but also nuclear safety , waste management, safeguards and physical 
protection, nuclear liabili ty etc, and thus replacing the ne gotiating directives for a nuclear 
trade agreement adopted by the Council in 2003.  Following discussions, the Council adopted 
the new mandate on 22 December 2009145. 
The Commission adopted in March 2009 a Co mmunication on nuclear  non-proliferation  
(COM 2009) 143 final), detailing how the EU  could strengthen its contribution to 
international efforts to reduce the risk of nuclear proliferation wh ile providing emerging 
nuclear countries assurances of fuel s upplies. The Communication suggests extended 
cooperation with key nuclear countries an d active Commission involvement in the 
development of an international system to gua rantee nuclear fuel for countries willing to 
develop nuclear energy wit hout having their own nuclear fuel cycle facilities.  
Preventive measures being taken in rela tion to newly adopted new legislation 
The most important measures concerning the implementation of Council Directive 
2006/117/Euratom of 20 November 2006 on the supervision and control of shipments of 
radioactive waste and spent fuel  were adopted in 2008 (e.g. Decision on the standard 
document, Recommendation establis hing criteria for the export to  third countries) before the 
expiry of the Member States' deadline for implementation.   
To complete this legislation and in accordan ce with the Directive provisions, on 7 July 2009 
the Commission established recommendations to the concerned competent authorities of the 
Member States for a secure and effective system of transmission of documents and 
information relating to the provisions of su ch Directive. The Commission Recommendation 
2009/527/Euratom  was published in the Official Journal146. 
                                                 
144  The final document is not public. 145 The document is not public. 146 OJ L 177 of 8 July 2009, pp. 5-6. 
EN 132   EN Implementation of EU en ergy policy priorities  
The priorities in the field of energy were defined as follows:  "Actions having a significant 
impact on the fight against climate change and ensuring secure and competitive energy supplies". 
The implementation of the Euratom acquis generally  benefits both objective s: It regulates the 
use of an energy source which has virtua lly no carbon emissions and which contributes 
substantially to the s ecurity of supply.  
The Strategic Energy Technology Plan of the EU  is the technology related "implementation 
tool" to meet the ambitious 3x20 Energy Policy  Target. The SET Plan recommends to launch 
European Industrial Initiatives to develop and bring to the market innovative low carbon 
energy technologies. The Nuclear Initiative under the SET Plan  is fostering the long term 
sustainable contribution of nuclear energy to the low car bon energy mix, by proposing the 
building of prototype fast breeder reactors and closed fuel cycle. The first prototypes are 
foreseen to start operati on in 2020. This is directly  related to one of the axis of actions of the 
Sustainable Nuclear Energy T echnology Platform, the two other ones being connected with 
the plant lifetime management and waste manage ment of existing installations, and with the 
production of nuclear heat via cogeneration and the potential of High Temperature Reactors. 
5.8.2.  Evaluation of the current situation 
a) The current situation for th e control of the existing acquis is stable. Whereas in 2008 the 
focus was on resolving existing infringements cas es, in 2009 it shifted to the management of 
the cases resulting from the  expiry of the Me mber States' deadline for implementation of 
Council Directive 2006/117/Euratom. This priority task looks at  the time manageable. At the 
end of 2009, only two Member States had not fully transposed the Directive. 
b) Prioritisation was not fully applied yet, as  the cases could all be  managed in the normal 
timeframe and fell roughly under the same  level of priority, i.e. normal. 
5.8.3.  Evaluation Results 
5.8.3.1.  Priorities and Planned Actions   
Assisting Member States to comply with th eir legal obligation for a timely and correct 
transposition of the Nuclear Safety Direct ive. Depending on the transposition problematic 
aspects identified by the Member States, the or ganisation of a specific workshop could be 
envisaged during the first half of 2010 to bu ild a common understanding on how to proceed. 
5.8.4.  Summary by Sector 
Given the renewed and growing interest in nuclear energy, in the nuclear sector the 
Commission is called to accompany the expected  massive development with an advanced 
legal framework for nuclear energy based on th e Euratom Treaty that maintains and improves 
the high standard of regulation achieved in the EU Member States . Our priority must be to be 
up-to-date concerning the legislation for the prot ection of the health an d for nuclear security 
and to fully use our competences in the field of  nuclear safety. As main achievement to be 
mentioned is the adoption of th e Nuclear Safety Directive. 
EN 133   EN The key action in the near future, for which a lot of work was already achieved during 2009, 
is therefore the proposal for a Council Directive (Euratom) on safe management of radioactive 
waste and spent fuel . The Commission proposal is expect ed to be adopted during 2010. In 
2010 it could be adopted by the Council and will then have to be carefully implemented.  
On the other hand, the recast of the Basic Safe ty Standards, for whic h a Commission proposal 
is expected during the course of 2010, will cons olidate the legislation in the field and set 
modern, unified standards for the protection of  the health of the citizens in the EU.  
5.9. MOBILITY and TRANSPORT - Passengers' rights 
5.9.1.  Current position 
5.9.1.1.   General introduction 
Since the 2001 White Paper, where the Commission announced the establishment of 
passengers’ rights in all modes of transport and its intention to place users at the heart of 
transport policy, four Regulations entered into  force by the end of 2009, in the sectors of 
aviation and rail transport: 
- Regulation (EC) N° 889/2002, Regulation (EC) No 889/2002 of the European Parliament 
and of the Council of 13 May 2002 amending Council Regulation (EC) No 2027/97 on air carrier liability in the event of accidents 
- Regulation (EC) Nº 261/2004, establishing comm on rules on compensation and assistance 
to passengers in the event of denied boarding and of cancellation or l ong delay of flights;  
- Regulation (EC) Nº 1107/2006 c oncerning the rights of disabled  persons and persons with 
reduced mobility when travelling by air; 
- Regulation (EC) Nº 1370/2007 on public passenger transport services by rail and by road, 
applicable as from December 2009 
- Regulation (EC) Nº 1371/2007 on rail passengers ’ rights and obligations, applicable as 
from December 2009. 
The overall regulatory background on  air passenger rights also includes other legislation, for 
example: Regulation 1008/2008, on common rules for the operation of ai r services in the 
Community; Directive 96/67, whic h defines the conditions for access to the ground-handling 
market at European airports, and therefore could be used as leverage to  improve the quality of 
baggage handling in order to prevent baggage damage or mishandling;  and Regulation (EC) 
No 2111/2005 of the European Parliament and of the Council of 14 December 2005 on the establishment of a Community list of air carriers subject to an operating ban within the Community and on informing air transport passengers of the identity of the operating air carrier, and repealing Article  9 of Directive 2004/36/EC. 
5.9.1.2.   Report on the work done 
The Commission continued its e fforts to guarantee the corre ct implementation of the 
provisions protecting passengers' rights in the following modes of transport: 
Rail Transport  
Regulation (EC) Nº 1370/2007 on public passenger tr ansport services by rail and by road and 
Regulation (EC) No 1371/2007 of the European Parliament and of the Council of 23 October 
EN 134   EN 2007 on rail passengers’ rights a nd obligations147 have entered into force on 3 December 
2009. 
Member States were also due to transpos e Directive 2007/58/EC from 4 June 2009 and 
Directive 2007/59/EC from 4 December 2009. 
Maritime and inland waterways Transport  
On 4 December 2008, the Commission proposed a Draft Regulation on passenger rights in 
maritime and inland waterway transport. Negotia tions on the proposal in EP (positive first 
reading in April 2009) and C ouncil (political agreement in October 2009) are ongoing. 
On 21 January 2009 the European Commission a dopted a Communication and an action plan 
on the establishment of a European maritime transport space without barriers designed to harmonise and simplify administrative proce dures. The action plan contains short and 
medium term measures as well as recommendations to the Member States. 
For the short term, the Commi ssion attached a legislative pr oposal to streamline reporting 
formalities for ships arriving at or leaving Eu ropean ports. It launched a simplification of 
customs procedures for transporting goods excl usively between European ports and started 
the drafting of guidelines to simplify th e veterinary and phytosanitary controls. 
At medium term, the Commission will examine possible means to simplify administrative 
formalities for intra-EU shipping routes including a stop in a third country, improve electronic data transmission and single windows. It will also  assess the possibility to harmonise rules for 
intermodal transport of dangerous goods containing a maritime leg. 
At last, the Commission recommended that Member States co-ordinate the various 
administrative inspections in ports, facilitate  administrative communica tion by using a shared 
neighbouring language or Englis h, create a regulatory framew ork to facili tate "pilot 
exemption certificates" and if possible dedica te area for intra-EU transport in ports. 
Progress has been made for the three short term actions identified in the action plan. 
Work on the draft began in April 2009. The C ouncil and the European Parliament reached a 
first reading agreement on the directive aimed at streamlining the formalities when entering 
and exiting ports (COM 2009( 11) final) on 6 July 2010. 
The Commission adopted on 2 March 2010 a Regulation revising the implementing 
provisions of the Customs Code in order to grant the presumption status to EU vessels 
operating in the European maritime transport area without barriers. 
General guidance procedures for checks on live animals and animal products arriving at EU 
points of entry which have full veterinary cl earance for the EU market were issued on 4 
November 2009 as a follow-up of the Commission action plan for the establishment of a 
European Maritime Transport Space without Barriers. 
 
Coach and Bus Transport 
                                                
 
147  OJ L 315, 3.12.2007, p. 14–41.  
EN 135   EN On 4 December 2008, the Commission proposed a Draft Regulation on passenger rights in 
bus and coach transport. Negotiations on the pro posal in PE (positive first reading in April 
2009) and Council (political agreem ent in December 2009) are ongoing. 
Air Transport  
- Regarding Passengers with reduced mobility (P RM). Following the stakeholders conference 
organised in January 2008 to ensure a successful full appli cation of Regulation (EC) Nº 
1107/2006 and to make each category of operators aware of the specific needs and constraints of the stakeholde rs concerned, a meeting with all the National Enforcement 
Bodies (NEBs) has been organized in Brussels on 23 November 2009 to have a 
comprehensive exchange of views about the application of the Regulation in Member 
States.  
In 2009, 2 studies on the application of Re gulation 1107/2006 were la unched in order to 
prepare the report to the European Parliament  and to the Council foreseen in 2010. One of 
these studies will make a gene ral assessment of the applicati on of the Regulation, the other 
will focused on the current regime of sanctions and penalties in force in Member States in case of infringements of the Regulation. 
- Regarding Passengers rights in case of deni ed boarding, delays and cancellations, the 
Commission kept working towards a homogene ous application of Regulation (EC) No 
261/2004 in all the Member States; it followed up the use of the standard complaint form 
and the respect of the common understand ing between NEB and between NEB and air 
companies. The Commission has been constantly in contact with Member States to ensure 
the good application of all legal developments in  the matter, as the recent case law from the 
European Court of Justice (rulings C-402/07 and C-432/07, Sturgeon and Others and follow 
up of the case C-549/07, Wallentin-Hermann). 
- Regarding issues related to the lost lugga ge (covered by Regulation (EC) No 889/2002) a 
report was delivered in July 2009 which has s hown that although for the first time in the 
most recent years a decrease of lost luggage ha s been detected at international level, the 
problem still remains extremely serious (the number of lost luggage has declined by 20%, 
from 42 millions in 2007 to 33 millions in 2008). 
5.9.2.  Evaluation of the current position 
The Commission works actively to promote th e enforcement of the current regime of 
protection of passenger rights by monitoring national authorities.  Meetings and workshops are 
organized on a regular basis with stakeholders  and complaints received are analysed. In 
addition, the Commission monitors studies and c onsultations to have a better view of the 
opinion of the public on these matters. 
However, the outcome of these actions show th at full implementation and enforcement of the 
regulations protecting pa ssenger rights is not yet sufficientl y ensured in all situations and 
Member States and further efforts are requested  both by national authorities and by airlines. 
5.9.3.  Evaluation results 
5.9.3.1.  Air transport  
In December 2009, the Commission services launc hed a Public consultation on the set of 
regulations covering Air Passenger Rights. 
EN 136   EN The outcome of this consu ltation will be used by the Co mmission in 2010 to assess the 
implementation of the legislation covering ai r passengers’ rights. The results of the 
consultation will be presented at a stakehol der conference early in 2010. The Commission 
will summarise the answers and publish the result s and main conclusions of the consultation 
on its website. A Communication should be adopted in 2010. 
5.9.3.2.  Rail Transport  
The Commission will launch an information campa ign (starting in spring 2010) with the aim 
of informing all EU passengers on the rights that they will enjoy pursuant to the (EC) 
legislation on passengers' right s. In particular the campaign will highlight the EU rail 
passenger rights which derive from Regulation 1371/2007 (entry  into force as from 3 
December 2009). This will be done involving both th e industry (in particular, rail operators 
and their business asso ciations) and consumers' associations.  
The Commission will establish close contacts wi th the NEB ("National Enforcement Bodies") 
once such Authorities are designated by all the Memb er States in order to ensure an effective 
enforcement of rail passengers' rights as esta blished by the Regulation. The first meeting of 
the Commission with the NEBs from the rail sector took place at the end of January 2010.  
5.9.3.3.  Maritime and inland waterways Transport  
The Council reached a political agreement in  view of a Common Po sition on the Commission 
proposal on 9 October 2009. Negotiations with th e EP in second reading will be held under 
the Spanish Presidency. 
5.9.3.4.  Coach and Bus Transport  
The Council has intensified the reading of the proposal in the second half of the Swedish 
Presidency. 
One of the Commission's objectives is to main tain a definition of the scope as wide as 
possible to take into account the needs of the population, in particular disabled persons and 
persons with reduced mobility. The objective is to  at least preserve the application of some 
basic rights of the Regulation not only to long di stance bus and coach service but also to local 
services and, therefore, to avoid the total exclusion of ur ban, suburban and regional bus and 
coach transport services (request ed by a number of Member St ates in the Transport Council 
held in June 2009). 
5.9.4.  Sector summary 
The priority remains guaranteeing the fu ll application of passenger rights.  
The Community legislative framework offers a mo re and more effective regime of protection 
to passengers within the EU. The main objectiv es for 2010 are to harmonise and to strengthen 
the passenger rights for all modes of transport and to define a comprehensive and coherent 
policy offering all passengers easily comp rehensible and enforceable rights. 
 
EN 137   EN 5.10. MOBILITY and TRANSPORT -  Inland Waterway Transport 
5.10.1.  Current position 
5.10.1.1.  General introduction. 
Inland waterway transport plays an important ro le for the transport of goods in Europe. More 
than 37 000 kilometres of waterways connect hundr eds of cities and industrial regions. Some 
20 out of 27 Member States have inland wate rways, 12 of which have an interconnected 
waterway networks. The potential for increasing the modal share of inland waterway transport 
is, however, significant. Compared to other mo des of transport which are often confronted 
with congestion and capacity problems, inland waterway transport is  characterized by its 
reliability, its low environmenta l impact and its major capacity for increased exploitation.  
The main pieces of Community acquis in this field are the following:   
- Directive 2006/87/EC of the European Parlia ment and of the Council of 12 December 2006 
laying down technical requirements for inland wate rway vessels, as amended. It establishes 
harmonised conditions for issuing technical certif icates for inland waterway vessels. It is 
aimed at increasing the safety of passengers and freight transport by inland waterway in 
Europe. This Directive repealed and replaced  Directive 82/714 as from 30th December 2008; 
- Directive 2005/44/EC on harmonised river info rmation services (RIS) on inland waterways 
in the Community. It established a framewor k for the deployment and use of RIS in the 
Community and for the establishment and furthe r development of technical requirements and 
specifications for harmonised and interopera ble RIS. It defines further the minimum 
requirements to be fulfilled by Member Stat es to enable the setting-up of RIS.  
5.10.1.2.    Report on the work done in 2009 
In 2009, the Community acquis was further developed. A follow-up of the transposition of Dir ective 2005/44 was performed and continuous 
monitoring of the implementation of the Direct ive was ensured via frequent meetings with 
Member States' authorities and stakeholders, ex pert group meetings and conformity checks. A 
Commission Regulation de fining technical specifications wa s discussed and amendments of 
existing Commission Regulations defining tec hnical specifications were prepared. The 
process of ensuring the proper implementatio n of the Directive in 2010 and beyond will 
continue along the same line. 
The technical Annexes to Directive 2006/87/EC  laying down technical requirements for 
inland waterway vessels continued to be further aligned with legislation agreed in the framework of the Central Commission for Na vigation on the Rhine. For this purpose 3 
meetings of the Joint meeting of experts fr om EU MS and the Central Commission for 
Navigation on the Rhine were held. One am ending Directive was adopted (Commission's 
Directive 2009/46). 
For the proper implementation of the Directive,  regular communication with Member States is 
maintained. Workshops have been attended in Member States and a number of questions from citizens and inspection bodies were answered. Good cooperation with the International River 
Commissions and the UN-ECE on technical requirements for inland waterway vessels was kept.  
EN 138   EN 5.10.2.  Evaluation of the current position 
The situation keeps evolving, and an increased  workload is foreseen due to necessary 
legislative developments. Four infringement  procedures were launched (United Kingdom, 
Poland, Luxembourg and Germany) due to the f act that the transposition deadline for new 
directives has elapsed.  
5.10.3.  Evaluation results 
As in the past, priority will be given to st rengthening the competitive position of the inland 
waterway transport in the transport system and to facilitate its integration into the intermodal logistics chain.  
One amending Directive will have to be prepared since agreement has been reached on 
several subjects in the technical working party and will  be launched after a positive advice of 
the Committee. A Corrigendum fo r several languages needs to be prepared and launched. The 
procedure for the recognition of classification societies has to be completed. A study has been 
launched and a consultant has been  selected. The results are exp ected the first quarter of 2010. 
The relation with the River Commissions, and es pecially the shared secretary of the Joint 
Working Group, should be reflected upon. The descri ption of the role of  the classification 
societies needs reviewing. The role  of classification societies in inland shipping is changing 
and seems not to be adequately covered by descri ptions in the Annexes. Therefore, a seminar 
with all parties involved needs to be organi sed. Another project will  be a seminar on the 
interpretation of requirements in the annexes of directive 2006/87 EC. This was already the 
subject of the seminar in 2008 in Budapest to prepare Inspection Bodies  from Member States. 
The Directive is been in force since the e nd of 2008 and experiences from inspection bodies 
with difficulties in interpreti ng the requirements are appeari ng. This requires again a Joint 
Seminar of Inspection Bodies from the MS  of the Danube Commission, the CCNR and the 
EU. 
The above mentioned activities in the Maritime sector are carried out by an agency that also 
audits maritime organisations and inspection bodi es. These task are mo re operational and do 
not fit in adequately in the work of th e Commission. This and th e relation with River 
Commissions require atten tion in the near future. 
Infringement procedures have been launched against Member States not having transposed 
the newest Directives and in particular the Dir ectives 2006/87 and 20 08/87. Specific follow 
up will be needed in particular in connect ion with national additional requirements and 
derogations allowed by the Directive. 
5.10.4.  Sector summary 
With a view to strengthening the competitive pos ition of the inland waterway transport in the 
transport system, and to facilitate its integrat ion into the intermodal logistic, the Commission 
will reinforce its administrative capacity in order to keep developing the harmonisation of additional technical requirements on zone 1 and 2, on the one hand, and to monitor the 
individual implementation of Directiv e 2006/87, as amended, on the other hand.  
EN 139   EN 5.11. MOBILITY and TRANSPORT - L ogistics and co-modality  
5.11.1.  Current position 
5.11.1.1.   General introduction. 
The 2006 White paper revision introd uced the concept of co-modali ty.  According to this new 
concept each mode of transport shall be looked individually and in combinations in an 
integrated logistics chain to achieve a comp lementary and efficient use of modes in an 
optimal European transport sy stem.  In 2007 the EC Communicat ion "Boosting the efficiency, 
integration and sustainability of freight transport in Europe" was adopted. The aim of this 
document was to improve the efficiency and sustai nability of freight tr ansport in Europe by 
promoting and encouraging the performance of multimodal transport as a drive for a competitive and sustainable freight transport system in Europe.  
The main pieces of Community acquis in this field are the following:
  
- Council Directive 96/53 on the maximum aut horised weights and dimensions for heavy 
goods vehicles and buses circulating within the Community. It intr oduced common standards 
for the vehicles' weights and dimensions in order to elim inate the differences between 
standards in force in the Member States whic h had an adverse effect  on the conditions of 
competition and constituted an obstacle to traffic between Member States. 
- Council Directive 92/106/EEC of 7 Decembe r 1992 on the establishment of common rules 
for certain types of combined transport of goods between Member States. It has established 
certain rules designed to encourage the deve lopment of combined transport as it is 
contributing towards road traffic safety, re duced congestion, energy savings, and hence a 
better quality of life.  
5.11.1.2.   Report on the work done in 2009 
Community acquis in the field is ge nerally stable. The two Directives  have been completely 
transposed, and no infringement procedures have been started until now. However, the 
necessity of some adaptations and improvements was examined. A preliminary analysis of the 
need for launching an Impact assessment of  possible improvements a nd updates of Directive 
92/106 with a view to further facilitate and fost er the development of combined transport has 
thus been carried out. 
5.11.2.  Evaluation of the current position 
Council Directive 96/53 on the maximum authorised weight s and dimensions for heavy goods 
vehicles and buses circulating w ithin the Community has been in place for more than 12 years 
already. The Directive establishe d common standards for the vehi cles weights and dimensions 
to permit their improved use by  creating a balance between their rational and economical use 
in traffic between MS. Several opportunities for a better performance of  road haulage by an 
increased efficiency of the heavy goods vehi cles are studied in line with the co-modality 
concept for better use of the strengths of each transport mode, and combining them to build 
seamless, door-to-door transport chains. A study and several workshops have been performed 
in 2008 to investigate th e feasibility for possible amendmen t of Directive 96/53 in order to 
increase the efficiency of heavy goods vehi cles. A new study has been launched at the 
beginning of 2010 that will assess the technical  effects in terms of road safety and 
EN 140   EN infrastructure effects, as well as the economic effects of operating the various types of larger 
and heavier vehicles. 
Council Directive 92/106/EEC of 7 December 1992 on the establishment of common rules for 
certain types of combined transport of goods  between Member Stat es introduced certain 
provisions fostering the development of combin ed transport. Many of these provisions are 
however nowadays partially outdated. Improveme nts and updates of the Directive in this 
respect are therefore considered in order to better achieve the desired competitiveness and 
market share of combined transport. An Imp act assessment for possible updates of Directive 
92/106/EEC is envisaged.  
5.11.3.  Evaluation results 
Community acquis is generally stable alt hough some adaptations and improvements are 
examined. A new study will continue to investig ate the feasibility for possible amendment of 
Directive 96/53 and an Impact assessment will ev aluate the effect of possible adaptations to 
Directive 92/106 in order to be tter achieve the obj ectives of these legislative acts.   
5.11.4.  Sector summary 
The Commission will continue to study the necessities and possibilities of further 
development of the existing legislation, in or der to facilitate and promote the use of 
multimodal transport as a drive for a competitive and sustainable freight transport system in 
Europe.  
5.12. MOBILITY and TRANSPORT - Inland Transport 
5.12.1.  Current position 
Road Transport 
In road transport the control of the applic ation of Community law centred on the correct 
implementation by member States of the soci al rules, including working time (Directive 
EN 141   EN 2006/22/EC148 and Directive 2002/15/EC149) as well as of the EU road charging legislation 
(Directive 1999/62/EC as amende d by Directive 2006/38/EC150).  
As regards the transposition of Directive 2006/22/EC the Commission pursued infringement 
proceedings against two Member States whose failure to implement the Directive had been 
declared by the Court in 2008. The Member Stat es in question at last communicated their 
transposition in the course of the year and the cases could be closed. However, new cases 
were opened against seven Member States whose transposition was found to raise questions in 
relation to conformity with th e provisions of the Directive. 
As regards working time in road transpor t, the Commission continued the control of 
implementation concerning Directive 2002/15151. In the case of six Member States the 
transposition measures had to be  considered not to be in conformity leading to infringement 
proceedings. All but two cases have been assesse d in-depth and could be closed. One of the 
still pending cases is awaiting the entry into force of the amending legislation rectifying the 
transposition error. 
Directive 2002/15 provides for a bi annual report on the implementa tion of the Directive in the 
Member States which is to be submitted to  the Commission. Against eight Member States 
failing to do so the Commission had initiated in fringement proceedings the previous year and 
all cases could be closed in 2009. 
In 2008 the Commission had adopted  a proposal to modify Dir ective 2002/15/EC. The aim of 
this proposal was four-fold: to clearly put fa lse self-employed driver s in the category of 
mobile workers, to exclude genuine self-empl oyed drivers from the di rective, to make the 
enforcement more harmonised and to clarify the night time provisions . Discussion of the 
proposal continued in the EU institutions in 2009. 
                                                 
148 Directive 2006/22/EC of 15 March 2006 determines the minimum level of 
enforcement required to ensure compliance with  the rules set out in Regulation (EC) nº 
561/2006 (driving times and rest periods) and Regulation (EEC) 3821/85 (tachograph) 
 149 Directive 2002/15/EC of th e European Parliament and of the Council of 11 March 
2002 on the organisation of the working time of  persons performing m obile road transport 
activities (OJ L 080 , 23.3.2002, p. 35) 
 150  Directive 2006/38/EC of th e European Parliament and of  the Council of 17 May 2006 
amending Directive 1999/62/EC on the charging of heavy goods vehicles for the use of 
certain infrastructures (OJ L 157, 9.6.2006, p.8) 
 151 Directive 2002/15/EC of th e European Parliament and of the Council of 11 March 
2002 on the organisation of the working time of  persons performing m obile road transport 
activities (OJ L 080 , 23.3.2002, p. 35) 
EN 142   EN In 2009 the Commission closed another two in fringement proceedings concerning the non-
conformity of national measures with Direc tive 1999/62/EC on road infrastructure charging 
thus having successfully ended its transpos ition check of Directive 2006/38/EC amending 
Directive 1999/62/EC on the charging of hea vy goods vehicles for the use of certain 
infrastructures. The Commission continued its case against one Member State whose road 
charging system for passenger cars the Commission was assessed to be incompatible with Article 12 TEC. The Member Sate took rectificati on measures to better co mply with its Treaty 
obligations.  
As regards Directive 96/26/EC152 on the admission to the occupation the Commission 
pursued further infringement cases against two Me mber States for incorrect application of the 
Directive's provision. Both cases could be successfully brought to an end. 
In the case of two Member States the rules on penalties to be imposed for infringements 
pursuant to Regulation 561/2006 gave rise to infr ingement proceedings. These Member States 
had failed to implement a penalty system corr esponding to the provision of the Regulation. 
Both Member States complied once the Commission had initiated the proceedings and the cases were closed. 
The incorrect application of th e rules on market access for intern ational road haulage as laid 
down in Regulation (EC) No 881/92 was subject of two cases against one Member State. 
After the authorities had rectified their admini strative practice the cas es could be closed. 
Rail Transport 
In the rail sector, Member States had to transp ose the Directives of the first railway package 
(91/440/EEC as amended, 95/18/EC as amen ded and 2001/14/EC) by 15 March 2003 or upon 
accession in the case of the new Member States. The first railway package defines basic requirements such as the independence of the esse ntial functions of an infrastructure manager 
from rail operators, the charging scheme for infr astructure charges, the setting up of rail 
regulatory bodies. On this basi s, it provides for the opening of the rail freight market to all 
EU-licensed operators, from 2003 on the Trans European Rail Freight Network, from 1 
January 2006 for all international rail freight transport and from 1 January 2007 for all rail 
freight transport. 
The Commission adopted on 3 May 2006 a repo rt on the implementation of the 1
st railway 
package (COM(2006) 189 final) which contai ned important findings on the state of 
implementation in the Member States  and a nnounced the criteria that  the Commission would 
apply for controlling implementation in each i ndividual member state, in particular on the 
issue of  independence of essential functions.  
In order to complement the general findings of  the report with concre te data from Member 
States, and to evaluate whether these Directives  had been correctly and completely transposed 
into Member States' law and regulations, DG TREN  sent out questionnaire s to Member States 
                                                 
152  Council Directive 96/26/EC of 29 April 1996 on admission to the occupation of road 
haulage operator and road passe nger transport operator and mu tual recognition of diplomas, 
certificates and other evidence of formal qualif ications intended to facilitate for these 
operators the right to freedom of establishm ent in national and international transport 
operations (OJ L 124, 23.5.1996, p. 1–10) 
EN 143   EN in June and November 2007. After analysing the replies to these questionnaires, the 
Commission sent letters of  formal notice to 24 Member States on 27 June 2008. 
After sending these letters, the Commission services met with representatives from all 24 
Member States to discuss possibilities to remedy the shortcomings identified in these letters. On the basis of these meetings, the replies of Member States to the letters and formal notice, 
and after changes have been made in some  Member States, the Commission sent reasoned 
opinions to 21 Member States on 6 October 2009. These reasoned opinions contained in many 
cases a reduced number of infringements in relation to the letters of formal notice. 
Directive 2004/49/EC on safety on the Community's  railways requires the safety authority and 
the investigating body to be independent from railway undertakings. In Belgium, the Board of 
directors and the members of the national safety authority may work at the traditional railway 
undertaking. The same applies to the person re sponsible for the investigating body. Naturally, 
this violates the obligation of  independence set out in the Directive. The Commission has 
therefore addressed a supplementary lett er of formal notice to Belgium.  
Directive 2001/16/EC on the inte roperability of the trans-Eur opean conventional rail system 
provides that Member States may not hinder the us e of rolling stock cert ified in other Member 
States, in accordance with the rules on mutual recognition. Pola nd requires the presence of 
two people on board a type of loco motive exploited by a new operator, in spite of the fact that 
the same type of locomotive is already certifi ed in other Member Stat es as requiring only one 
driver. Moreover, only one driver  is required for all other loco motives operating in the Polish 
railway network. The Commission has thus sent a letter of formal notice to Poland for 
violation of the provisions on mutual recogn ition of rolling stock set out in Directive 
2001/16/EC and for violation of the sa fety rules of Directive 2004/49/CE. 
Road Safety 
The legislation on road safety covers the drivi ng licence, the initial qualification and periodic 
training of professional drivers, roadworthiness testing, the compul sory use of safety belts, the 
registration of vehicle documents and the sa fety of tunnels and the safety of road 
infrastructure. 
In the road safety sector, most past infringement proceedings, which were open for non 
communication of the transposition of Directiv es, have been closed in 2009. Two proceedings 
are currently open but are expected to be clos ed in the next weeks.  One relates to the non-
communication of the transposit ion of an amendment to Dir ective 91/439/EEC153 on driving 
licences introduced by Direct ive 2008/65/EC154, which needed to be transposed by 30 
                                                
 
153  Council Directive 91/439/ EEC of 29 July 1991 on driv ing licences, OJ L 237, 
24.8.1991, p. 1–24 
154  Commission Directive 2008/65/EC of 27 June 2008 amending Directive 91/439/EEC 
on driving licences, OJ L 168, 28.6.2008, p. 36–37 
 
EN 144   EN September 2008. The remaining one concerns th e application of Dir ective 2000/30/EC of 6 
June 2000 on the technical roadside inspection.155 
Transport of dangerous goods 
The transport of dangerous goods is regulat ed by Directive 2008/68/EC of the European 
Parliament and of the Council of 24 Septem ber 2008 on the inland transport of dangerous 
goods. This Directive brings into force th ree international agr eements156 on the land 
transport of dangerous goods and extends the applicatio n of those rules to national transport.  
These rules are updated every two years; the next update will be in 2011. There are limited 
possibilities for Member States to apply derogations from the dangerous goods rules for local 
transport or small quantities.  These der ogations are checked a nd updated regularly157.  
The application of the dangerous goods rules is checked through the uniform procedures for 
checks directive which requires Member States  to perform ad-hoc checks on dangerous goods 
road vehicles158 and report on their findings a nnually.  The dangerous goods legislation also 
regulates the placing on the market and safe us e of transportable pressure equipment through 
the Transportable Pressure Equipment Directive (TPED)159 .  The technical provisions of this 
TPED Directive have become so mewhat outdated and the Directiv e is currently being revised 
                                                 
155  Directive  2000/30/EC of th e European Parliament and of  the Council of 6 June 2000 
on the technical roadside inspection of the road worthiness of commercial vehicles circulating 
in the Community, OJ, L203, 10.8.2000, p.1-8 
 
156  European Agreement concerning the International Carriage of Dangerous Goods by Road, concluded at 
Geneva on 30 September 1957 (ADR), Regulations conc erning the International Carriage of Dangerous Goods 
by Rail, appearing as Appendix C to the Convention concerning International Carriage by Rail (COTIF)  
concluded at Vilnius on 3 June 1999 (RID) and the European Agreement concerning the International Carriage 
of Dangerous Goods by Inland Waterways, concluded at Geneva on 26 May 2000 (ADN). 
 
157  Commission decision was adopted to update the list of national derogations included in the annexes to Directive 2008/68/EC ( OJ L 71, 17.3.2009, p. 23–58) . 
 
158  Council Directive 95/50/EC of 6 October 1995 on uniform procedures for checks on the transport of 
dangerous goods by road (OJ L 249, 17.10.1995, p. 35–40 ) 
 
 
159  Council Directive 1999/36/EC of 29 April 1999 on transportable pressure equipment (OJ L 138, 
1.6.1999, p.20.) 
 
EN 145   EN both to update the technical requirements and to strengthen the market surveillance 
measures160.   
The Commission is assisted in  the maintenance of the dang erous goods legislation by its 
regulatory committee which meets every 6 months.   
5.12.2.  Evaluation 
Road Transport 
The reported year marked the successful comple tion of the revision of the Community's road 
transport legislation with the adoption of thr ee new regulations consolidating and amending 
the legislation currently in force. Regul ation (EC) No 1071/2009161 establishes common 
rules that road transport operators have to fu lfil in order to be allowed to engage in the 
profession. Regulation (EC) No 1072/2009162 gove rns the rules for the access to the 
international road haulage market and in par ticular also the rules on cabotage. Finally, 
Regulation (EC) No 1073/2009163 lays down the rules for carrying out international 
passenger transport services by road. The ne w rules will apply as from December 2011 with 
the exception of the cabot age rules which become applicable in May 2010. 
As far as the enforcement of social rules and working time in road transport are concerned, 
the Commission assessed in detail the applicati on of the working time rules in the Member 
States, in particular as regards the possible inclusion of self-employed in the scope of 
Directive 2002/15/EC. The assessment showed th at the grounds for the inclusion of genuine 
self-employed drivers in the working time we re not sufficient as the policy objectives 
(including road safety) pursued by the legislation in respect of this category of drivers were 
already sufficiently ensured by other applicab le rules, namely Regulation (EC) 561/2006 on 
driving time and rest periods and Regula tion (EEC) 3821/85 on the recording equipment 
(tachograph). In addition, any enforcement of working time rules concerning genuine self-employed drivers appeared to be ineffective, and out of proportion with the high cost related 
to it. Therefore, the Commission proposed that th is specific category of drivers should remain 
excluded from the scope of the Directive. Di scussion of the proposal continued in the EU 
institutions in 2009. 
Rail Transport 
                                                
 
160  Proposal for a Directive of the Eur opean Parliament and of the Council on 
transportable pressure equipment (COM(2009) 482) of 18 September 2009 
161  Regulation (EC) No 1071/2009 of the European Parliament and of the Council of 21 October 2009 
establishing common rules concerning the conditions to be complied with to pursue the occupation of road 
transport operator and repealing Council Directive 96/26/EC (OJ L 300, 14.11.2009, p.51) 
 
162  Regulation (EC) No 1072/2009 of the European Parliament and of the Council of 21 October 2009 on 
common rules for access to the international road haulage market (OJ L 30 0, 14.11.2009, p.72) 
 
163  Regulation (EC) No 1073/2009 of the European Parliament and of the Council of 21 
October 2009 on common rules for access to the international market for coach and bus services, and amending Regulati on (EC) No 561/2006 (OJ L 300, 14.11.2009, p.88) 
EN 146   EN In the railway sector the reasoned opinions sent to 24 Member States for incorrect 
transposition of the first railway package target ed three main shortcomings: 1) the lack of 
independence of the infrastructure manager in relation to railway operators, 2) insufficient 
implementation of the rules of the Directive on track access charging, such  as the absence of a 
performance regime to improve the performan ce of the railway network and the lack of 
incentives of the infrastructure manager to reduc e costs and charges and 3) the failure to set 
up an independent regulatory body with strong pow ers to monitor competition in the railway 
sector and rule on complaints. 
Road Safety 
As far as the road safety sector is concerned, the main problem remains the late notification of 
the transposition of Directives. Th is is why efforts will continue to be undertake n, in bilateral 
and multilateral meetings, to remind the Member Stat es at an early stage of their transposition 
obligations within the agreed deadlines. This wi ll concern the Directives, which still need to 
be transposed, namely Directive 2008/96/EC on road infrastructure safety management and 
Directive 2006/126/EC on driving licences (the so-called third drivi ng licence Directive). 
Apart from the infringement procedures, the Commission is requested to take position on the 
very numerous petitions on road safety addressed by citizens to the European Parliament. These petitions mainly concern the non recogniti on of driving licences and road traffic laws 
of the Member States. 
Transport of dangerous goods 
The main priority of publishing a proposal  for a revised TPED Directive in 2009 was 
achieved.  
The transposition of Directive 2008/68/EC was not fully completed by the deadline of 1 July 
2009. It is likely that between 5 and 10 infringe ment cases will have to be opened during the 
course of 2010.       
5.12.3.  Evaluation results 
Road Transport 
For the road transport sector, following the a doption of the road package, in May 2010 new 
amended rules will become applicable in two areas: road cabotage and driving times and rest periods for passenger transport. In both areas the Commission will closely monitor the application of the new rules by Member States and assist Member States' authorities as well 
as operators in correctly a pplying these new regimes.  
In addition, as regards the road transport Direct ives special attention will be given in these 
three areas: 
- Directive 2002/15, on the organisation of worki ng time of persons performing mobile road 
transport activities, as a c onsequence of the proposed modification of the night time 
provisions; 
- Directive 2006/22, determining the minimum level of enforcement for the European 
provisions on driving times a nd rest periods, and on the use of the tachograph. After all 
Member States having notified their implementation measures work will concentrate on 
EN 147   EN checking the conformity of Member States' transposition; in addition transposition of 
Commission Directives 2009/4/EC and 2009 /5/EC amending Directive 2006/22 will 
commence; 
- Directive 2006/38 amending Directive 1999/62/EC  on the charging of heavy goods vehicles 
for the use of certain infrastructures. The cont rol of the correct application of the new rules 
which had to be transposed by June 2008 will continue. 
Rail Transport 
In the rail sector and on the basi s of the replies by Member Stat es to the reasoned opinions the 
Commission will consider how to move forward in 2010 .  
On the basis of the replies to the letters of formal notice notified to Belgium and Poland, the 
Commission will consider whether a reasoned opini on should be sent to these Member States.  
Transport of Dangerous Goods 
The main activity for 2010 is to build on the progress made in 2009 and work towards the 
adoption by the European Parliament and the Council of the new TPED directive. A second 
priority is to ensure the correct transposition of Di rective 2008/68/EC by opening 
infringement cases where necessary. 
5.12.4.  Summary by sector 
Road Transport  
The revision of the market access rules for th e transport of goods and passengers by road has 
been finished in 2009. The majority of the ne w rules will become app licable in 2011. By then 
the regulatory framework of the road transport sector will be modernised and streamlined. The Commission will continue to  control the implementation and application of the social 
rules, in close cooperation w ith the Member States. In th e area of road charging the 
Commission has proposed an amendment to the "Eurovignette" Directive currently in force 
allowing for the inclusion of external costs in infrastructure charging. In  parallel, the control 
of the implementation of the rules presently in force will continue. 
Rail Transport  
In the rail sector and on the basis of the repl ies of Member States to the reasoned opinions (1
st 
railway package), and information on legislat ive changes or commitments, the Commission 
will consider how to move forward in 2010 in order to bring about compliance with the EU 
directives . 
Transport of Dangerous Goods Sector 
The main priority for 2010 is the adoption of the new direc tive on transportable pressure 
equipment. This is expected in summer 2010 for full implementation by 1 July 2011.  The 
Commission will continue its participation in international meetings (UNECE – OTIF) to 
ensure EU coordination on the rules regarding the safe tr ansport of da ngerous goods.  
EN 148   EN 5.13. MOBILITY and TRANSPORT - Air Transport 
5.13.1.  Current position 
5.13.1.1.  General introduction 
Internal market and ai r transport agreements 
Two main lines of actions can be highlighted : one focusing on the EU internal market, the 
second on the external relations in aviation. The sector  is essentially rule d by Treaty, Court 
judgements, regulations, international agr eements and acts adopted through comitology. 
The first one related to the correct application of Regulation 1008/2008 on Air Services, and 
more specifically on the careful monitoring of provisions rela ted to public services, licences, 
ownership and control a nd price transparency. 
The sector covers areas such as the implementation measures necessary following the so-
called 'Open skies' judgements of 5 November  2002 where the Court identified a number of 
breaches of Community law in existing bilatera l agreements between certain Member States 
and the United States of America. Existing bila teral agreements are being corrected either at 
individual Member State level in the cont ext of Regulation 847/2004 on the negotiation and 
implementation of air services agreement betwee n Member States and third countries, or at 
Community level through the so-called 'horizontal agreements' negotiated by the European Commission. A horizontal agreemen t with a third country amends , through a single tool, all 
existing bilateral agreements  of EU member States with that third country. 
Single Sky and modernisation of air traffic control 
The sector is mainly dealing with the implementation of the following legal instruments: the 
framework Regulation (EC) N° 549/2004, the service provision Regulation (EC) N° 
550/2004, the airspace Regulation (EC) N° 551/2004, the interoperability Regulation (EC) N° 
552/2004, as amended by Regulation (EC) No  1070/2009 of 21.10.2009, referred to as the 
"second Single European Sky package", which constituted a major achievement of the air transport policy in 2009. 
In order to implement the basic regulations , a number of implementing rules, mainly 
Commission regulations (15) have  been adopted. Only one Di rective, Directive 2006/23/EC 
on air traffic controllers licence is part of the legislative package. 
Infrastructures and airports 
This sector first implements, or supervises th e implementation of the "action plan for airport 
capacity, efficiency and safety" that the Commis sion adopted in 2007 to increase the output of 
the existing infrastructures and to optimize the planning of new infrastructures, whilst raising safety standards at highest levels and enhancing the environmental compatibility of airports. Within this context, the sector notably set up and supervises the Community Observatory on airport capacity. 
The sector also involves the implementation of  the following legal regulatory instruments: 
- Council Regulation (EEC) N° 95/93 of 18 Ja nuary 1993 on common rules for the allocation 
of slot at Community airports; 
EN 149   EN - Council Directive 96/67/EC of 15 October 1996 on access to the groundhandling market at 
Community airports; 
- Directive 2009/12/EC of the European Parlia ment and of the Council of 11 March 2009 on 
airport charges; 
- Some of the requirements of Regulation (EEC) No 2408/92 of 23 July 1992 on access for 
Community air carriers to intra-Community air routes (now recast in  Regulation (EC) No 
1008/2008). 
Aviation security 
Regulation (EC) No 2320/2002 of the Europ ean Parliament and of the Council of 16 
December 2002 establishes common rules in the field of civil avia tion security. This 
Regulation is complemented by detailed impl ementing rules taking the form of several 
Commission Regulations and a Commission Decision. A list of a pplicable legislation is 
contained in the Annex. In particular, the ru les require Member States to establish and 
implement a national civil aviation security programme complemented by a quality control 
programme in order to ensure th e application of the common st andards. Member States also 
have to designate a single appropriate aut hority responsible for the coordination and the 
monitoring of the implementation of its national civil aviation security programme and ensure 
the availability of sufficient resources to m onitor compliance. Regulation (EC) No 2320/2002 
also requires from the Commission to carry out  inspections of national administrations and a 
suitable sample of airports in all Member States.   
5.13.1.2.  Report on the work done in 2009  
Internal market and ai r services agreements 
Regulation 1008/2008 of 24 Sept ember 2008 on common rules for the operation of air 
services in the Community (recast) entered into force on 1st November 2008. According to the 
Regulation, Member States must respect seve ral obligations and the Commission has the 
power to carry on investigations in ca se if unjustified access restriction. 
The Commission produced guidelines to improve  the implementation of the Regulation and 
organised partnership with Member States in orde r to avoid infringement cases in this area. In 
order to harmonise the different  practices of the Member States, a meeting of the national 
authorities was organised in June 2009. In addition, databases have been updated. For 
example, for public services obligations, a functional mailbox has been created for the 
transmission of Member States requests and the European Commission checked their 
conformity before publication. A complete invent ory of public service obligations in force 
was set up, published on Europa and updated regul arly. There were 257 public services routes 
at the end of 2009. For licences, a new database of all existing operatin g licences in the EU 
was set up and accessible by all EU Member States. 
With respect to international agreements , the Committee established by Regulation 847/2004 
met once in 2009. This committee is assessing the acceptance by third countries of Community clauses on a number of  Community law matters (designation, environment, etc.). 
In 2009, the cooperation between th e Commission and the Member St ates was reflected in the 
fact that Member States brought 22 bilateral agreements into conformity with Community 
law, notably with key partners such as Japan.   
EN 150   EN Air safety 
The European Commission completed in 2009 the impact assessment related to amendment of 
Directive 94/56/EC on accident investigation , which resulted in the adoption, on 29 October, 
of a Commission proposal of amendment to Di rective 94/56/EC. Foll owing analysis of a 
number of policy options ("Do Nothing", "V oluntary Cooperation", "European Accident 
Investigation Agency") th e Commission proposes a new  Regulation which should replace the 
current and old Directive 94/56/EC. The main  objectives of the new Regulation are to: 
enhance the investigating capacity of the EU and independence of acci dent investigation; 
clarify the role of EASA in accident inves tigation; strengthen implementation of safety 
recommendations; alleviating potential tensions between accident inves tigation and judicial 
proceedings, while maintaining separati on and independence of investigation. 
A public consultation on the imposition by the Commission of fines and periodic penalty 
payments  in case of non-compliance with aviation safety rules by entities certified by EASA 
was launched on 7 December 2009. The aim is to ga ther suggestions for the preparation of a 
Commission Regulation on this topic, as ma ndated by Article 25 of Regulation (EC) No 
216/2008. The objective of this legal text is to  improve the Community enforcement powers 
as regards entities which are not acting under the di rect oversight of the Member States and to 
give a more flexible answer to a breach of the rules, compared to the withdrawal of a 
certificate. 
In September 2009, EASA and the European Commission presented to the Agency's 
Management Board a common position setting out priorities in the areas of rulemaking for the 
extension of the Agency’s re sponsibilities in the areas of Flight  Crew Licensing, Air 
Operations and Third Country Op erators (“first extension”) as well as in the field of Air 
Traffic Management/Navigation Services an d Aerodromes (“second extension”). The 
principles guiding the common position are prio ritization, simplification and that safety 
considerations should form the primary ba sis for any changes to existing rules. 
In the field of continuing airworthiness, th e European Commission prepared and finalised 
with the competent committee a draft Commis sion Regulation amending Regulation (EC) No 
2042/2003 on continuing airworthiness of aircraft . This draft regulation is based on 6 
technical opinions issued by the European  Aviation Safety Agency in 2005, 2006, 2007 and 
2008 and its final adoption was done at the beginning of 2010. 
The transposition of Directive 2008/49/EC  regarding the conduct of ramp inspections on 
aircraft using Community airports was followe d in 2009 as regards 16 Member States but at 
the end of 2009 only 3 infringement procedures  remained open due to the efforts of the 
Commission services. 
The implementation of Directive 2004/36/EC  (SAFA) by Member States is satisfactory and in 
constant improvement, mainly due to a numbe r of supporting activitie s carried out by the 
Commission and EASA: in 2009 the SAFA steer ing committee met three times, it was the 
first full year of implementation of Regul ation (EC) No 351/2008 on targeting (with the 
issuance by EASA of 6 lists for prioritized inspections ), EASA adopted and published 
detailed guidance material on SAFA proce dures, as mandated under Directive 2008/48/EC, 
and initiated standardisation audits to competen t authorities (4 Member States were visited). 
The Commission has worked togeth er with the European Aviation Safety Agency to ensure a 
correct and harmonised implementation of the acquis  under the scope of the Agency  with 
EN 151   EN special attention to those safety areas which revealed problematic. As explained above, the 
Agency carried out in 2009 a record number of  inspection visits – 100 –, which allowed the 
Commission to identify a number of significant  non-compliances to the safety rules and to 
request urgent action from th e Member States concerned. 
On 11 January 2010, the Commission presented a report on the application of Regulation  
(EC) No 2111/2005  on the establishment of a Community list of air carriers subject to an 
operating ban within the Community over the past three years. The application of the EC list 
has demonstrated that it is a successful tool to contribute to ensuring a high level of safety in 
the Community. Furthermore, the report recommends  to promote the exchange of verifiable 
and reliable information at the international le vel with a view to reaching common decisions 
on the safety of air carriers at  international level and closer  cooperation with ICAO with a 
view to better coordinating efforts to grant t echnical assistance to those States where it is 
mostly needed. 
The Commission has treated in 2009 an important number of derogations and exemptions 
from the provisions of Regulations (EEC ) No 3922/91 (22 cases notified, grouped and 
conducting to 10 draft decisions - 4 adopted) and (EC) No 216/2008 (around 50 cases notified 
and assessed) notified by Member  States. This has been possibl e partially due to the grouping 
of some cases as well as to the support pr ovided by the European Aviation Safety Agency. 
The control of such cases is essential for the harmonised implementation of the common 
rules. 
The measures to prohibit or to restrict the operation of an unsafe airline in Europe have 
continued to be applied. Three updates (Regulations (EC) No 298/2009, 619/2009 and 
1144/2009) of the list  of air carriers  subject to an operating ban in the EU have been 
conducted with the assistance of  EASA and of the competent committee. In total, during 
2009, more than 450 air carriers were examined, including a number of EU ones; concerning 
the latter, the competent nati onal authorities took the nece ssary actions required by the 
Commission. 
The Air Safety Committee on Regulation (EC) No 216/2008  met 3 times in 2009 with the 
following objectives: analysing and adopting amendments to current  legislation in the fields 
of airworthiness (leading to th e adoption of two Regulations amending Regulations (EC) No 
216/2008 and 1702/2003); discussing on interpretation issues related to cu rrent legislation; 
discussing on the strategy for rulemaking activities conducted by EASA. 
No formal complaints were registered in 2009 by the European Commission  but a number of 
queries related to the implementation of the acquis  in the fields of air safety (mainly related to 
Flight Time limitations, to harmonisation in th e field of pilot licences  and to transboundary 
private flights) and environm ental (especially concerning no ise around airports) requirements 
were treated. 
19 infringement cases were dealt with dur ing 2009 by the European Commission, out of 
which 14 where closed successfully. Most of them related to the delay in transposing 
Directive 2008/49/EC regarding the conduct of ramp inspections on aircraft using Community 
airports. 
One letter of formal notice was sent regardi ng implementation of the Directive on accident 
investigation linked to the need to ensure appr opriate access of techni cal investigating bodies 
to the evidences of an accident. 
EN 152   EN One case related to mutual recognition of envi ronmental certificates issued by the Agency 
was successfully closed after acceptance by the Member State concerned to comply with the 
mandate enshrined in Regulation (EC) No 216/2008. 
The Commission dealt with one petition in relati on to the establishment of minimum space for 
seating  in commercial aircraft and contributed to a petition concerning the impact of noise and 
atmospheric pollution  on the health of residents in the vicinity of one airport. These are 
recurrent topics coming from the Parliament  
Single Sky and modernisation of air traffic control 
The Single Sky Committee (Article 5 of 549/ 2004) and the Industr y Consultation Body 
(Article 6 of 549/2004) met five times each in 2009 to assist the Commission in developing 
the implementing rules and in following-up the practical implementation of existing 
legislation by Member States  and relevant stakeholders. 
This work led in 2009 to the adoption of: - 2 Regulations of the Parliament and th e Council, No 1070/2009 amending the four basic 
regulations and No 1108/2009 ame nding the EASA Regulation; 
- 4 Commission Regulations (on data link, automatic systems fo r exchange of flight data, 
Mode S, and quality of aeronautical data), 
- 2 Commission Communications on the implemen tation of article 4 of Reg. (EC) No 
552/2004. 
The legal instruments are completed by support from the European Aviation Safety Agency, 
the SESAR Joint Undertaking, and the Eurocontro l organisation. On the basis of a framework 
contract concluded end of 2009, the Eurocontrol CRCO (Central Route Ch arges Office) is for 
instance used for the reporting obligations unde r the charging Regulation (EC) N° 1794/2006; 
the ESSIP (European Single Sly Implementation Plan) is used for th e reporting obligations 
under Article 12 of the framework Regulatio n (EC) N° 549/2004 and under Article 8 of 
Regulation 2150/2005 on the flexible use of airspace. 
Annual reports on the SES implementation in 2008
 
In application of Article 12 of Regulation (EC) No 549/2004 and Ar ticle 7 of Commission 
Regulation (EC) No 2150/2005, Member States  have the obligation to submit to the 
Commission annual reports on the implementati on of the actions taken pursuant to these 
regulations. 
The first reporting exercise covered an 18 m onth period (1 July 2007 - 31 December 2008) in 
order to allow the SES reporting cycle to follo w a calendar year from 2009 onwards. The 27 
Member States as well as Norway and Swit zerland were invited by a Commission letter of 5 
November 2008 to provide their reports on th e basis of a template. The reports were 
consolidated and analysed in a general Re port on the SES Legislation Implementation 
prepared by Eurocontrol.  
After having assessed the individual reports,  the Commission addressed a letter to each 
Member State in December 2009 highlighting pr ogresses and shortcomings. All the Member 
States were asked to provide clarific ation as regards remaining concerns. 
EN 153   EN Overall this exercise has been deemed very us eful to assess the exact stage of implementation 
of the SES legislation at national level as well as to raise awareness of the Member States on 
the importance given to this matter by the Commission.  
Infringement procedures  
Commission has pursued five infringement pr ocedures against four member States.  
One case is a "non-conformity" infringement pr ocedure against Greece (referral to the Court) 
for non-compliance with basic Single Sky legisl ation, in particular for the absence of 
establishment of an effective and inde pendent national supervisory authority.  
The four other cases are "non-communication" infringement procedures against Greece, 
Luxembourg, Finland and the Czech Republic for the absence of communication of the national measures transposing Di rective 2006/23 on a Community ai r traffic controller licence 
(reasoned opinion).  
Three cases (two "non-communication" case s against Spain and United Kingdom and one 
complaint from a citizen against Spain) have been closed following the notification of the 
national measures transpos ing Directive 2006/23.   
Infrastructures and airports 
As regards the Action Plan for airp ort capacity, efficiency and safety :  
The Community Observatory on airport cap acity inaugurated on 4 November 2008 has 
produced its first results in 2009 (works on the slot allocati on process, on ai rport capacity 
assessment methodologies, on the development of intermodality at air ports; launch of the 
inventory of European airport infrastructures). This work will be used to advise the Commission on the implementation of the action plan.  
Measures aiming at enhancing the consistency between airport slots a nd flight plans have 
been enshrined in the draft Air Traffic Fl ow Management Regulation, which has been 
approved by the "Single Sky Committee" in  December and will be adopted by the 
Commission early 2010. In parallel, preliminar y work started on the cartography of the 
European airport network and on th e integrated air/ rail ticketing. 
As regards the implementation of Community law:  
Efforts to ensure the proper implementation of  Directive 96/67/EC we re continued, and the 
situation at several airports was assessed in de pth. As a result, 2 reasoned opinion and 5 letters 
of formal notice were prepared. At the sa me time, a study on the implementation of the 
Directive was completed. It focuses notably on th e situation in the Newest Member States. In 
spite of these efforts, new complaints were  made to the Commission. An impact assessment 
for a possible revision of the Directive was launched to identify if there is a need to revise the directive and if so, how.  
Concerning the Regulation on air port slots, the Commission re sponded to the unprecedented 
scope of the economic crisis by a proposal aiming at a temporary suspension of the "use it or lose it" rule. This short-time measure enabled air carriers to keep same slots for the summer 
season 2010 as attributed to them for th e summer season 2009 and hence allowed for an 
EN 154   EN immediate relief for the aviation industry.  As for the complaints management, 3 cases were 
closed.  
As regards the enhancement of economic regulation:  
Where they are applied in a discriminatory or un-transparent manner, airport charges can add 
to inefficiencies and distortions  in the European Union's aviati on market. With this in mind, a 
Directive on airport charges was adopted by the Council and European Parliament on 11 
March 2009. The Directive lays down minimum requirements in the calculation and levying 
of airport charges at all airports with more  than 5 million passenger movements per year, in 
addition to the largest airport in each Member State. 
Concerning conformity of passenger departure taxes  with European law,  the unit dealt with 
one case in the Member States during  the year. This complaint is ongoing. 
Concerning conformity of airport charges  with European law, the unit dealt with one 
complaint during the year. This complaint is ongoing. 
Aviation security 
During the year 2009, the Commission continued to fulfil its monitoring obligations and 
conducted inspections (including follow-up inspec tions) of 9 national administrations and 23 
airports.  
Three letters of formal notice were sent fo llowing inspections of national administrations. 
Most cases relate to an insufficient frequenc y and scope of national quality control activities 
resulting from a lack of res ources to monitor compliance nati onally. Two infringement cases 
were closed following rectification of the iden tified shortcomings. Four infringement cases 
are currently still open and bein g closely followed. In two cases, several informal contacts 
with the Member States have already taken place in  order to assist them in a swift rectification 
of deficiencies and good pr ogress has been observed.  
In order to encourage a reduction in the number and severity of defici encies identified during 
Commission inspections the following measures have been taken in 2009: 
• Continued implementation of a peer-review system with an increased active 
participation of national aud itors from all Member States in Commission inspections. 
• The Commission regularly informed the Member States of non-compliances found 
during inspections in the Regulatory Co mmittee on aviation security, which met 6 
times during 2009. These updates on non-compliances identified during inspections help Member States to identify critical area s where deficiencies occur repeatedly.   
• Detailed implementing rules complemen ting Regulation (EC) No 300/2008 of the 
European Parliament and of the Council of  11 March 2008 were developed in close 
cooperation with all stakeholde rs. These new implementing ru les will enter into force 
together with Regulation (EC) No 300/2008 in April 2010 thus replacing Regulation 
(EC) 2320/2002 and all current implementing rules. This major revision will improve clarity and consistency, thus paving the wa y for an even higher compliance level. 
5.13.2.  Evaluation of the current situation 
Internal market and ai r services agreements 
EN 155   EN The situation in this field is acceptabl e ad evolving according to the priorities. 
The rules governing the EU in ternal market have been u pdated in 2008 with Regulation 
1008/2008. A lot of work has been carried out to ensure the proper application of Community 
law on key subjects such as public services, licences, ownership and control and price 
transparency, but more needs to be carried out on pr ice transparency. 
Much has been achieved in external relations since the Open skies judgement. Thus far, 841 
bilateral agreements with 103 c ountries have been corrected either though Member States 
efforts under Regulation 847/2004 or through the horizontal agreements negotiated by the 
European Commission (42 horizontal agreements). 
In December 2009, a comprehensive agreement wa s signed with Canada: It represents a 
milestone in terms of international avia tion both on the market access and regulatory 
convergence angles. Progress was achieved towards the EU-US 2nd stage with three rounds of 
negotiations in 2009. In terms of neighbourho od policy, global negotiations with Ukraine 
made significant progress in 2009 and negotiations  started with Georgi a and continued with 
Israel, Lebanon and Jordan. 
Air safety 
Overall, transposition  of the acquis  in the fields of air safety and environmental requirements 
is good at present, especially since the comple tion of the adoption process for the remaining 
three Member States is imminent and does not prevent the actual implementation of the 
relevant rules. 
Concerning the day to day implementation  of the legislation, the s ituation could be considered 
preoccupying in a limited number of Member States concerning mainly the requirements related to air operations a nd continuing airworthiness
. This has been identified and corrective 
actions have been requested. 
Some potential difficulties have also been  reported concerning the implementation of 
Directive 94/56/EC  on the investigation of civil aviati on accidents and inci dents in relation 
with the access of the technical investigators to all the information held by the judiciary. 
In other cases, the degree of harmonisation seems insufficient (for example,  in the fields of air 
operations, pilot licensing, or noise) to cover all cases and respond to all questions raised by stakeholders. 
The consequences of the non compliances with regard to technical safety requirements under 
the scope of EASA
 are the decline of the safety leve l, which can be corrected through 
appropriate measures ranging fr om action plans to revocation of certificates or even 
withdrawal of the mutual recognition or fi nes imposed by Member States. In case of 
persistency, an infringement procedure agai nst the Member State concerned can also be 
initiated. The Commission is closely following any such potential safety threat but no formal infringement procedure has been required up to now. 
Concerning the Directive related to  accident investigation, the quality of the final report on air 
accidents mandated under this Directive might be  lower if the technical investigators don't 
have access to all the information held by the judiciary. As a consequence, the objective of the Directive (i.e. prevent future accidents based on lessons learned from pr evious ones) could not 
be fully met in some cases. 
EN 156   EN  
The main explanation of the cas es related to technical safety  requirements are linked with the 
insufficient capacity of national competent aut horities to oversee the entities under their 
responsibility, either due to l ack of adequate number or qua lified staff or to deficient 
procedures. In some cases, the en tities themselves are circumve nting EU rules either due to 
incorrect understanding or on purpose, for administrative  or commercial reasons. 
Concerning the Directive  related to accident investigation, both the inadequate transposition 
and the power held by the judici ary can explain the difficulties. 
The national competent authorities are always  the ultimate body responsible for overseeing 
the entities under their jurisdiction as well as for taking the necessary corrective actions. The 
Commission and EASA should be able to detect so me type of deficiencies with the different 
tools for oversight on their hands (inspections , ramp checks, complaints, etc) and when 
identifying cases of concern, get in contact with the competent authorities and take any 
actions necessary in order to pu t an end to the potential brea ch, as explained under paragraph 
b) above. 
In some cases, the need to clarify or amend the EU rules is identified. 
As a general principle, as soon as  the general safety is at stak e, any corrective action shall be 
taken without delay and be considered as first priority. The following ac tions are proposed by 
Commission: 
• The existing tools and procedures in place  within commission for identifying and 
managing potential safety threats linked w ith the inappropriate application of the acquis  
explained above have been improved recently in coordination with EASA  and should be 
maintained. 
Keeping or even increasing the number of officials  dealing with such cases is essential in 
order to preserve the current results and the pressure on the industry and authorities 
concerned. 
• Some improvements on EASA standardisation  visits could be reflected on the amendment 
of Regulation (EC) No 736/2006 (EAS A standardization inspections). 
• In order to complete the current stra tegy, a European Aviation Safety Programme , to be 
carried out by EASA, was launched. It should be adopted by mid 2010 and describe the 
regulations and activitie s at European level aimed at im proving safety. Also, EASA will 
produce a European Aviation Safety Plan  which will become an action plan at European 
level. 
• TREN F3 has prepared in 2009 a draft Re gulation regarding the imposition of fines  and 
periodic penalty payments in case of non-comp liance with aviation safety rules by entities 
certified by EASA and launched a dedicated co nsultation therein. The adoption of the final 
text should take place by mid 2010. 
• The necessary actions linked with th e Directive on accident investigation are less linked to 
an imminent safety threat but have al ready been taken though the adoption by the 
Commission of a legislative proposal aimed at substituting such Directive (see above). 
EN 157   EN In the fields of air operations and pilot licensing  the situation should improve with the 
upcoming adoption of new harmonised rules. This is foreseen between 2010 and 2012, with the assistance of EASA 
Single Sky and modernisation of air traffic control 
Analysis of the reports showed an overall accep table compliance with the requirements of the 
legislation. However this analysis was made on the basis of the reports provided by the States 
for the years 2007 and 2008. More steps should have been taken in the meantime by the States and their air navigation servic e providers and will be monito red through a second reporting 
process.  
Despite the formal compliance, progress toward s defragmentation of the European airspace 
and better performance of the air navigation se rvices and European ATM network needs to be 
accelerated, particularly in view of the crisis affecting the aviation sector.  
To this effect, further actions are envisaged, on  the basis of the second Single Sky legislative 
package adopted in 2009.  
Infrastructures and airports 
The implementation of the Directive on gr oundhandling remains of some concern. The 
situation appears unsatisfactory in this respect, notably in some of the new Member States. It 
is therefore essential to continue a close surveillance of Member State's transposition 
instruments and the way they are applied.   
The implementation of the Regulation on airpor t slots raises a number of questions. The 
Observatory on airport capacity has already identified elements that need better application, clarification or amendment. Th e Commission will duly take into  consideration conclusions of 
the Observatory in this matter and will evaluate  the possible shortcomings in order to assess 
the need for a general revision. 
Aviation security 
Since the introduction of Community rules in 2002 and of Commission inspections in 2004, 
results of aviation security inspections have steadily impr oved. The compliance with main 
provisions during aviation secur ity inspections of airports ro se from 62% in 2006 and 69% in 
2007 to 78% in 2008 and 85% in 2009. However, inspections of some national 
administrations still showed that not all Member  States make available sufficient resources to 
fulfil their national quality control obligations. 
The fact that the Commission took a strict and coherent approach to the rectification of 
deficiencies identified during Commission insp ections has also contributed to the improved 
inspection results. It is expected that the im proved aviation security legislation and clearer 
rules on national quality control will further improve compliance levels in the European 
Union. However, a continued effort in inspect ions, enforcement and advice will remain vital 
to ensure a positive evolution. 
EN 158   EN 5.13.3.  Evaluation results 
5.13.3.1.   Priorities 
Internal market and ai r services agreements 
For this sector, priorities are: 
– to ensure the correct appli cation of Regulation 1008/2008; 
– to maintain partnership with Member States, stakeholders and citizen  representatives for a 
harmonised implementation of internal market regulations. 
– to remove illegal provisions of existing bilate ral air transport agreem ents between Member 
States and third countries. 
Single Sky and modernisation of air traffic control 
The priorities for the commission in the field of  ATM do not change, the actions just need to 
be reinforced by a number of actions, with cons ist in developing a total system approach in 
line with the gate-to gate concept to improve the performance of the European aviation system in key areas such as the environment, capacity and cost-effici ency, having regard to 
the overriding safety objectives.  
Air safety 
Two main new priorities were added in 2009, in  comparison with the on es identified in the 
26th Annual Report, and remain valid for 2010:  the amendment of Di rective 94/56/EC on the 
investigation of civil aviation accidents and incidents (due to  the completion of the impact 
assessment) and the adoption of a Commission Regulation concerning the imposition of fines 
and periodic penalty payments in case of non-co mpliance with aviation safety rules by entities 
certified by EASA (we were then in  a position to present a proposal)  
Additional actions for 2010 and beyond are: to  amend Regulations (EC) No 736/2006 (EASA 
standardization inspections – need to adapt to new strate gy and common rules) and 1356/2008 
(EASA fees and charges – requested by the indust ry), to complete the set of EU harmonised 
safety standards (legal mandate) and the adoption of a targeted management safety plan at EU 
level (in respond to ICAO requirements rela ted to safety management system). 
Infrastructures and airports 
In 2010 the sector will continue focussing on the proper implementation of the existing law as 
regards groundhandling, slots and airport ch arges. It will also concentrate on the 
implementation of the action plan on airport ca pacity, and notably on th e supervision of the 
works of the Observator y on airport capacity.  
Regarding groundhandling, the imp act assessment on the possi ble revision of Directive 
96/67/EC will be continued. 
Aviation security 
The priorities for the Commission in the field of  aviation security remain unchanged, namely 
to further develop harmonised rules in aviation security that provide an adequate level of 
EN 159   EN protection whilst limiting the negative impact on facilitation and to ensure the application by 
all Member States of the common standards contained in Regulation (EC) No 300/2008 that 
will replace Regulation (EC)  No 2320/2002 in April 2010.  
5.13.3.2.   Planned action (2010 and beyond) 
Internal market and ai r services agreements 
- Work with the Member States on the corr ect application of Regulation 1008/2008 notably 
on price transparency; 
- Work with the Member States, and negotiati ons with third countries, to remove the 
remaining illegal clauses in bilateral agreements. 
Single Sky and modernisation of air traffic control 
The second package of the Single European Sky built on five pillars that will have to be 
developed within the next 2 years:  
- a regulatory pillar, requiring the adoption of implementing rules in particular on 
performance, network management and functional airspace blocks,  
- a safety pillar, based on the extension of EASA competences to ATM , and attributing 
tasks to the Agency with regard to the adopti on of requirements and the reformulation of the 
ATCO licence Directive; 
- a technology pillar, related to the development and deployment of the ATM Master plan 
under the aegis of the SESAR JU; 
- an airport capacity pillar, inte grating airports in the performa nce scheme and associating the 
Observatory on airport capacity to the adopti on of measures coordina ting ATM and airports 
slots; 
- a human factors pillar, aimed at associati ng more effectively the social partners.  
Air safety 
– reinforced management of the acquis  
New strategy for conducting EASA standardis ation inspections, the SAFA checks, the 
management of the list of banned aircraft and th e assessment of derogations to the harmonised 
rules. New management safety plan at EU level. 
– enforcement oriented actions (infringement procedures)  
New strategy for follow-up of EASA standardisation inspections.  
– new legislation  
1. amendment of Directive 94/56/EC on accident investigations; 
2. adoption of a Commission Regulation concerni ng the imposition of fines and periodic 
penalty payments; 
EN 160   EN 3. adoption of a series of new harmonised rules in the fields of Flight Crew Licensing, 
Air Operations, Third Country Operators,  Air Traffic Manage ment, Air Navigation 
Services and Aerodromes; and 
4. amendment of current rules in the fields of  initial and continuing airworthiness, EASA 
standardisation inspections  and fees and charges. 
Infrastructures and airports 
Impact assessment analysis for the prospective revision of the Regulation on airport slots is 
planned for 2010. The possible revision will requ ire a long-term preparation, which will in 
particular include a consulta tion of stakeholders on the principles of a new regime. 
Aviation security 
The Commission will continue to apply a st rict compliance monitoring and enforcement 
policy to ensure an adequate protection of its citizens. The Commission therefore intends to 
continue its inspections at a frequency comparable to 2009 alt hough the change in legislation 
will inevitably lead to certain li mitations in this respect. Particular emphasis will be given to 
ensuring that Member States have an adequate nu mber of resources to fulfil their obligations.  
In order to ensure a smooth entry into force of the new implementing rules in the field of civil 
aviation security, the Commission will organise several training courses for national auditors nominated to participate in Commission inspections and al so develop a new inspection 
handbook to be made availabl e to all Member States. 
5.13.4.  Summary by sector 
Internal market and ai r services agreements 
Following the entry into force of Regulation 1008/2008 in 2008, a lot has been achieved with 
the Member States and at Commission level to  improve the functioning  of the EU Aviation 
market, notably on public services obligatio ns, licences, ownership and control and price 
transparency. Efforts will be placed on price tr ansparency given the importance it represents 
for consumers, while pursuing our  efforts on the other aspects. 
On the basis of the progress achieved in extern al relations, the Commi ssion, together with the 
Member States, will aim at correcting the remain ing bilateral air services agreements which 
are not in line with Community law.  
Single Sky and modernisation of air traffic control 
The priorities for the Commission in the field of air traffic management remain unchanged; 
the key objective is the implementation of the Single European Sky. Good progress has been 
made so far by States and the various stakeh olders concerned, but the action of the Union 
needs to be reinforced in or der to speed up the progress.  
2009 has laid down additional foundations for fu rther actions by the Commission which will 
be challenged in 2010 and the following years with the preparation of  a large number of 
measures within tight deadlines.  
Air safety 
EN 161   EN • Immediate reaction to safety threats identified (recurrent) 
• Follow-up of the correct transposition and implementation of the acquis through a number 
of different  tools, includ ing inspections (recurrent); 
• Updating and complement the acquis  whenever necessary (recurrent); 
– key actions (importance and urgency)  
Legislative proposals (some are more important/u rgent than others), pe rmanent assessment of 
correct implementation through different means and immediate reaction when required (very 
important and urgent). 
– programming of work and timetable for achieving the objectives of the acquis  
a) avoid safety threats, immedi ate reaction to them and correct transposit ion/implementation 
are permanent objectives 
b) legislative proposals to be  adopted between 2010 and 2013: 
• 2010: amendment to Regulation (EC) 20 42/2003, new Regulations for accident 
investigation, fines and periodic pena lty payments and for air controllers 
• 2011: amendment of Regulations (EC) No 736/2006 (EASA standard ization inspections) 
and (EC) No 1356/2008 (EASA fees and charges)  as well as new Regulations for flight 
crew licensing, operations a nd operational suitability 
• 2012: Regulations for operations, th ird country operators and ATM/ANS 
• 2013: Regulations for aerodromes 
Aviation security 
The priorities for the Commission in the field of  aviation security remain unchanged, namely 
to further develop harmonised rules in aviation security that provide an adequate level of 
protection and to ensure the application by all Member States of the common standards 
contained in Regulation (EC) No 300/2008 that will replace Regulation (EC) No 2320/2002 in 
April 2010.  
The planned key actions are th e continuation of the well esta blished inspection regime at 
current frequencies, the strict enforcement of Community rules following the identification of 
deficiencies and the smooth transition, supporte d by training and guidance material, to the 
implementation of the revised aviation security legislation which will ensure more consistency, clarity and harmonisation whil e safeguarding the level of protection for 
European citizens.  
EN 162   EN 5.14.   MOBILITY and TRANSPORT - Maritime Safety 
5.14.1.  Current position 
5.14.1.1.  General introduction 
The maritime safety EU acquis  aims at enhancing the safety of ships in European waters, 
protecting the marine environm ent and ensuring appropriate li ving and working conditions on 
board. The main relevant pieces of  legislation in this area are: 
- Directive 2009/15/EC of the European Par liament and of the Council of 23 April 2009 
on common rules and standards for ship inspec tion and survey organisations and for the 
relevant activities of maritime administra tions, (OJ L 131 of 28.5.2009, p. 47). This directive 
addresses the responsibility of Member States as flag States by establishing measures to be followed by the Member States and organisations  concerned with the inspection, survey and 
certification of ships for compliance with the in ternational conventions on safety at sea and 
prevention of marine pollution; 
- Council Directive 95/21/EC of 19 June 1995 on port State control of shipping (OJ L 
157 of 7.7.1995, p.1), to be repealed and replace d by Directive 2009/16/EC of the European 
Parliament and of the Council of 23 Apr il 2009 on port State control (OJ L 131 of 28.5.2009, 
p. 57). The directive sets out rules applicable to Member States in their capacity of port States. 
It provides for increased complia nce with international and rele vant Community legislation on 
maritime safety, protection of the marine e nvironment and living and working conditions on 
board ships of all flags and for the establishm ent of common criteria fo r control of ships by 
the port State and harmonised proced ures on inspection and detention; 
- Directive 2002/59/EC of the European Parliament and of the Council of 27 June 2002 
establishing a Community vesse l traffic monitoring and information system (OJ L 208 of 
5.8.2002, p. 10), recently amended by Directive 2009/17/EC of the European Parliament and of the Council of 23 April 2009 (OJ L 131 of 28.5.2009, p.101). The system established in accordance with this directive aims  at improving the response of the authorities to incidents, 
accidents and potentially dangerous situations at sea, including search and rescue operations, 
and at better preventing and de tecting pollution by ships.  
Other relevant legislation in cludes directives on marine e quipment (Directive 96/98/EC), 
harmonised safety rules and standards for passenger ships (Directive 98/18/EC), fishing 
vessels (Directive 97/70/EC) and the safe lo ading and unloading of bulk carriers (Directive 
2001/96/EC), registration of persons on boar d passenger ships (D irective 98/41/EC), 
mandatory surveys for the safe operation of regu lar ro-ro ferry and high speed passenger craft 
services (Directive 99 /35/EC), seafarers hours of work (Directive 1999/95/ EC), stability 
requirements for ro-ro passenger ships (Direct ive 2003/25/EC), relating to the Agreement 
concluded by the European Community Shipowne rs' Associations (ECS A) and the European 
Transport Workers' Federation (ETF) on th e Maritime Labour Convention, (Directive 
2009/13/EC), accident investigation (Directive  2009/18), insurance of shipowners for 
maritime claims (Directive 2009/20/EC), complian ce with flag State requirements (Directive 
2009/21/EC), and Regulations on the accelerate d phasing-in of double hull or equivalent 
design oil tankers (Regulation (EC) n° 417/2002) , the prohibition of organotin compounds on 
ships (Regulation (EC) n° 782/ 2003), on the transfer of car go and passenger ships between 
registers within the Community  (Regula tion (EC) n° 789/2004), on common rules and 
standards for ship inspection and survey or ganisations (Regulati on (EC) No 391/2009), and 
EN 163   EN on the liability of carriers of passengers by sea (Regulation (EC) No 392/2009). Finally, 
environment-related directives on port reception facilities for ship-generated waste (Directive 
2000/59/EC) and on ship-source pollution a nd on the introduction of penalties for 
infringements (Directive 2005/35/ EC) should also be listed. 
5.14.1.2.  Report of the work done in 2009 
The Committee on Safe Seas (COSS) set up under Regulation (EC)  no. 2099/2002 met in 
February (twice), July and November. Th e meetings provided the opportunity for 
Commission services to discuss with representati ves of Member States vi rtually all aspects of 
maritime safety. Opinions were issued on several proposed texts (marine equipment, phasing-in of double-hull ships, recogniti on of classification societies,  port State control (expanded 
inspection of ships and company performan ce) and vessel traffic monitoring system. 
Regular meetings on maritime policy took place in  2009 between the Director responsible for 
maritime safety and policy and his counterpart s in the Member States. These meetings 
provided also an opportunity to foster clarificat ion and better implementation of the acquis.  
On 29/30 September, a general meeting with representatives of the Member States was 
organised with the objective of discussing and clarifying the cont ent of the recent legislative 
package (III Maritime Safety Package) in prep aration of transposition by Member States.  
The European Maritime Safety Agency continued its broad program of in spection visits in the 
Member States. This program was initiated in 20 04 at the request and in  co-operation of the 
Commission and it currently covers the following areas: classification so cieties, training of 
seafarers, port State control, port recepti on facilities and vessel traffic monitoring and 
information systems (started in March 2009). Th e reports produced by the EMSA teams serve 
as basis for further Commission contact with th e Member States either through requests for 
clarification or the launching of infringement pr ocedures. In an area where there is a reduced 
number of complaints received from citizens or enterprises, these inspections are of great 
value to the Commission as they allow it to understand how the EU maritime safety acquis  is 
implemented in the Member States. 
The number of infringement procedures contin ued to decline in 2009. This was essentially 
due to the corrective measures introduced by Memb er States in order to improve the quality of 
the transposition of the acquis  and its implementation, following pre-judicial initiatives by the 
Commission. Still at the end of the year circa 30 procedures re mained open. They concentrate 
essentially on port State control a nd port reception facilities issues.  
5.14.2.  Evaluation of the current position 
Maritime safety Community law is relatively young. This is all the more true as it was 
significantly completed and renewed in May 2 009 with the publication of the III Maritime 
Safety package comprising six Directives an d two Regulations. It is however based in 
international conventions and other instruments,  for some of which there is considerable 
implementation experience in the Member States. Current implementation situation thus ranges from relatively stable, whilst not yet entirely acceptable (for instance, for Directive 
95/21/EC on port State control of shipping which is  closely related to the rules of the Paris 
MOU to which most Member States  have been party to for several years) to more difficult as 
in the case of Directive 2000/59/EC on port recep tion facilities, where key provisions such as 
those on the coverage of costs by all ships, th e monitoring of deliver ies and the performance 
of inspections are still impleme nted unevenly throughout the Union. 
EN 164   EN The situation tends to become more comple x as it is imperative to ensure a smooth 
transposition and applicability of the III Mariti me Safety Package. This package covers a 
broad range of issues, some of whic h consist of improvements of current acquis  (port State 
control, vessel traffic monitoring and informa tion system, classification societies ), while 
others are essentially new (accide nt investigation, Flag State ob ligations, liability of carriers 
of passengers by sea, insurance of shipowners).  
5.14.3.  Evaluation results 
5.14.3.1.  Priorities 
There is a clear continuity in the efforts to ensure an appropriate transposition and 
implementation of the maritime safety acquis . In terms of thematic areas, emphasis will be 
put on the traditional areas of the monitori ng of classification societies and of the 
implementation of directives on th e training of seafarers, port State control, vessel traffic 
monitoring and information system and port rece ption facilities. Transposition of Directive 
2005/35/EC (ship-source pollution a nd penalties) will also be closely monitored. Particular 
attention will be given to the effort by Memb er States to ensure timely and adequate 
transposition and implementation of the III Maritime Safety Package. 
We shall continue to rely on the systematic  assessment of implementation in the Member 
States based on the inspections by EMSA to be followed by contacts with Member States and, when appropriate, direct pr e-judicial initiatives.  
A pre-emptive approach is also taken in relati on to the alignment to and implementation of the 
acquis by accession count ries, in particular Croatia, th rough dialogue and assessment of 
administrative capacity (in co-operation with EMSA). 
5.14.3.2.  Planned action 
Contact with national administrations will be en sured through COSS meetings. As far as the 
newest legislation is concerned, the Commissi on services will ensure the follow-up to the 
2009 meeting with representatives of the Member  States (monitoring of the transposition 
procedures, provision of advice). 
Follow-up of EMSA inspection reports will be ensu red leading to clarifi cation actions and/or 
infringement procedures in the key areas mentioned under point 1. 
5.14.4.  Sector summary 
The monitoring and promotion of the implementation of the maritime safety acquis  
concentrates on the traditional key areas (classification societies, training of seafarers, port State control, vessel traffic monitoring and info rmation system and port reception facilities). 
Dialogue with Member States  continues in different fora (COSS, meetings with the Directors-
Generals of national administ ration, technical co-operation through EMSA). Clarification 
initiatives by the services and, when appr opriate, infringement procedures are also 
undertaken. Considerable effort is to be devoted to detail ing and explaining the newest acquis 
(III Maritime Safety Package published in May 2009) with a view to facilitate its 
transposition by Member States. 
EN 165   EN 5.15.  MOBILITY and TRANSPORT - Maritime Security 
5.15.1.  Current position 
5.15.1.1.  General introduction. 
The main objective of the EU legislation on Ma ritime Security is to implement· measures 
aimed at enhancing ship, port facility and port security in the face of  the threats posed by 
intentional unlawful acts. The EU legislation intends to provide a basis for harmonised 
interpretation and implementation of internatio nal measures to enhance maritime security 
adopted by the Diplomatic Conference of the In ternational Maritime Or ganization (IMO), in 
2002, with the establishment of th e International Ship and Port Facility Security Code (ISPS 
Code) and the  ILO164/IMO Code of Practice on Security in Ports . 
The main pieces of Community acqui s in this field are the following:  
- Regulation (EC) No 725/2004165 of the European  Parliament and of the Council of 31 
March 2004 on enhancing ship and port facility security: The Regulation takes into account 
amendments to the 1974 Interna tional Convention for the Safety of Life at Sea (the SOLAS 
Convention) and the maritime security measures  imposed by the Regulation are only some of 
the measures necessary in order to achieve an adequate level of security across all of the 
various transport chains linked to maritime tran sport. The Regulation is  limited in scope to 
security measures onboard vessels an d the immediate ship/port interface. 
- Directive 2005/65/EC166 of the European Parliament and of the Council of 26 October 
2005 on enhancing port security: The Directive is mainly based on the recommendations 
contained in the  ILO/IMO Code of Practice on Security in Ports. The Directive completes the 
mechanism provided for under the Regulation by es tablishing a security system for all port 
areas, in order to ensure a high and comparable level of security for al l European ports. The 
aim of the Directive is to improve security in port areas not covered under the Regulation and 
to ensure that the enhancemen t of port security will support the security measures taken 
under the Regulation, without creating additiona l obligations in area s already governed by 
the Regulation. 
- Regulation (EC) No 324/2008167 of 9 April 2008 laying down revised procedures for 
conducting Commission inspections in the field of maritime security: In 2005, in order to 
monitor the application by Member States of the Regulation and to verify the effectiveness of 
national maritime security measures, proce dures and structures, the Commission adopted 
                                                 
164  International Labour Organization 
165  Regulation (EC) No 725/2004 of the Eur opean Parliament and of the Council of 31 
March 2004 on enhancing ship and port facility security, OJ L 129, 29.4.2004, p. 6. 
166  Directive 2005/65/EC of the European Pa rliament and of the Council of 26 October 
2005 on enhancing port security, OJ L 310, 25.11.2005, p. 28. 
167  Commission Regulation (EC) No 324/2008 of 9 Apr il 2008 laying down revised 
procedures for conducting Commission inspecti ons in the field of maritime security, 
OJ L 98, 10.4.2008, p. 5. 
EN 166   EN Regulation (EC) No 884/2005168, laying down procedures for c onducting Commission 
inspections in the field of maritime secu rity. On 9 April 2008, th e Commission adopted 
Regulation (EC) No 324/2008 la ying down revised procedures  for conducting Commission 
inspections in the field of maritim e security, which also laid down “procedures for the 
monitoring by the Commission of the implementa tion of Directive 2005/65/ EC jointly with the 
inspections at the level of Me mber States and port faciliti es in respect of ports...”. This 
Regulation, repealing Regulation (EC) No 884/2005, came into force on 1 May 2008. 
5.15.1.2.  Report on the work done in 2009 
During the year 2009 the work done on monitoring the application of Community law in the 
field of maritime security had considerable developments. 
- The Maritime Security Committee (MARSE C) met 6 times which were as much 
occasions to discuss with the Member Stat es of the issues involved in the common 
interpretation of the security standards defined at the international level. Furthermore, these 
issues are also addressed with the stak eholders from the advisory group (SAGMaS). 
- Follow-up of the infringement procedur es launched for the absence of national 
transposition measures concerning Directive 20 05/65/EC within the required deadline: The 
majority of the 22 Member States required to transpose the provisions of the Directive into 
national law only did so after the deadline fo r implementation (15 June 2007) had passed. Ten 
infringement procedures which were started by the Commission in the absence of notification 
of national transposition measures and on 18 September 2008, the Commission decided to 
take action before the European Court of Justic e, against the last two Member States who had 
not yet met the deadline. By 3rd September 2009, the Court of Ju stice issued its judgments 
against the two Member States ( UK and Estonia ). Nowadays, all Member States have 
notified their National Implementing Measures. 
- The Report assessing the implementation of  the Directive has b een adopted by the 
Commission on 21 January 2009. However, in view of the delay in transposing the Directive 
and in the practical implementation of its prov isions by several Member States, the report 
focuses on implementation-related matters and short-term results. 
- In 2009, the Commission's services carried  out 189 inspections. The inspections 
permitted to check the implementation of the security legislation on the ground by the 
operators concerned, as well as the supervision of it by the Member States. The inspections 
have been focused mainly on port facilities and ships in order to check that assessments and 
security plans have been drawn up in line with  Regulation (EC) No 725 /2004, that they have 
been effectively implemented on the ground, and that the national auth orities are conducting 
the necessary inspections and checks.  
5.15.2.  Evaluation of the current position 
Considering the implementation of the Port Secu rity Directive, it should be noted that the 
                                                 
168  Commission Regulation (E C) No 884/2005 of 10 June 2005 laying down procedures 
for conducting Commission inspections in th e field of maritime security, OJ L 148, 
11.6.2005, p. 25. 
EN 167   EN delays in preparing and adopting national tran sposition measures in a variety of Member 
States have had a knock-on effect, in that the relevant port authorities were not able to 
implement the Directive until the national measures had been finally approved and adopted. 
The first inspections ca rried out into 2008 were very disa ppointing because the first eight 
visited ports did not lay out an assessment, nor a plan for security. In 2009, it has been noted 
an improvement of situation as regards port secur ity assessments. Besides, the situation is not 
yet satisfactory in many Member States concer ning the approval of port security plans. 
Regarding Regulation (EC) No 725/2004, the insp ection team reported on several occasions a 
lack of control exerted by the Member States to check the correct application of Community 
legislation in the port facilities  and ships under their competence.  This will remain a priority 
in 2010. 
In the absence of access control to Port Facilitie s and the credible action plan to rectify this 
situation following the Commission's inspections , an infringement procedure has been opened 
against a Member State with the send ing of a letter of formal notice.  
Once a year, the Member States have to set up  a "monitoring report" in order to record a 
compiled outcome of national inspections a nd of industry compliance with security 
obligations. These reports coveri ng the previous calendar year have to be notified to the 
Commission before the end of March. One Member  State - despite several reminders - did not 
notify its 2008 report and an infringe ment procedure had to be opened. 
5.15.3.  Evaluation results 
The EU inspections are mainly intended to veri fy whether the legal requirements are being 
properly and effectively impleme nted by the Member States.  
In 2009, the Commission conducted 189 inspections (92 port facilities, 35  ports, 55 ships and 
7 national administrations). 
The inspections have a double benefit. They highlight vulnerabilities and the remedies 
required regarding the EU legisl ation on maritime security. It has been noted an improvement 
of the situation following the inspections carrie d out. For the first time,  two inspections were 
conducted in 2009 following information concerning the intrusion of illeg al immigrants in 
port facilities. Both of them aimed to veri fy the overwhelming presence of unauthorised 
persons, in the aforesaid port facility areas, attempting to stowaways on board ships. The 
main problems have been solved. On the one hand, it permitted to check implementation of 
corrective actions taking also in to account to the i llegal immigrants issu e sensitivity and the 
effectiveness and consistency of the actions take n by the authorities. On the other hand it has 
allowed to clarify the stowaw ays issue following a complaint received on behalf of a 
shipping company. These inspections have allowe d to increase the surveillance systems and 
the efficiency for access control within the port facilities. 
Furthermore, the working program for the pe rformance of maritime security inspections 
carried out by the Commission systematically in cludes a section for verifying that the 
procedures for monitoring the application of the Directive have been correctly applied. 
EN 168   EN 5.15.4.  Sector summary 
While the situation in maritime security sector  is demonstrating the benefits of harmonised 
rules, enhancing ship, port facility and port se curity in the face of the threats posed by 
intentional unlawful acts, there are still a number of areas where some obstacles to efficient 
maritime security persist. 
The efforts are concentrating in ensuring an efficient implementation of the existing maritime 
security legislation, by comb ining action in two fields: 
- permanent contact with national administrations  through the work of the Maritime Security 
Committee and in the context of prep aration and follow up of inspections; 
- based on the results of the inspections carried out by the Commission and on the 
on-going conformity checks, an action plan identifying the main areas where there 
is failure to comply with  the Directive and Regulation will be the basis for 
initiating different actions, including in fringement proceedings as necessary. 
6. ENVIRONMENT 
6.1. Nature Conservation 
6.1.1.  Current position 
6.1.1.1.  General introduction  
The most important pieces of nature conser vation legislation are the Birds Directive, 
2009/147/EC (codified version replacing Direc tive79/409/EEC169) and Habitats Directive, 
92/43/EEC170. The former sets out measures for the protection, management and control of 
all species of naturally occurring European wild  birds, as well as intr oducing rules to protect 
their habitats. The latter prot ects natural habitats  and wild flora and fauna throughout the 
European Union and establishes a European  ecological network known as “Natura 2000”. 
Nature conservation legislation constitutes a fa irly stable part of the EC environmental acquis . 
Developments in this sector mainly concern the annexes to the Birds and Habitats Directives that have been adapted on a number of occasi ons in response to scientific and technical 
progress and to the successive enlargements of the European Union. The most recent 
adaptation is in response to th e Accession of Bulgaria and Romania to the European Union on 
1 January 2007. The Union is at present very close to the completion of the Natura 2000 network and regulatory stability is required.  
                                                
 
169 Council Directive 79/409/EEC of 2 April 1979 on the conserva tion of wild birds OJ L 
103, 25.4.1979, p. 1-18. 
170 Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats 
and of wild fauna and flora OJ L 206, 22.7.1992, p. 7–50. 
EN 169   EN 6.1.1.2.  Report of work done in 2009 
 Designation of Special Protection Area s and Special Areas of Conservation 
Further progress was made in 2009 in the establishment of the Natura 2000 network, 
consisting of Special Protection Areas under the Birds Directive and Special Areas of 
Conservation under the Habitats Directive.  On 22 December 2009, the Commission adopted 
six Decisions updating existing Biogeographica l Lists of Sites of Community Importance 
(SCIs). The additions include 59 new sites a nd a total area of 30,000 km2. Most of the new 
sites are situated in marine areas. This means that for the first time significant progress has also been made as regards the designation of  marine areas. Substant ial designations of off-
shore marine sites are, however, still expe cted in 2010 and 2011.  Natura 2000 now includes 
nearly 26,000 sites, covering 17,6% of the EU’s landmass and more than 160.000 km² of 
marine areas, making it the largest interconnected  network of protected areas in the world.  
Several Member States have increased the num ber of designated areas following infringement 
procedures launched by the European Commission and several of these procedures have been 
closed in 2009. Two Marine Biogeographical Seminars were organized in 2009 for the 
Atlantic and the Baltic Sea a nd the proposals of marine sites in these region s have been 
evaluated. 
Most Member States are still in a process of  designating their Sites of Community Importance 
as Special Areas of Conservation according to Ar ticle 4(4) of the Habitats Directive. This 
exercise includes the establishment of detailed conservation objectives for the individual sites 
and the design of appropriate management in struments according to Article 6(1) of the 
directive. Member States have to designate thei r SCI as SACs not later than six years after the 
inclusion of the sites in a Co mmunity list. That deadline was 28 December 2007 for most sites 
of the Macaronesian biogeographical region and 22 December 2009 for most sites of the 
Alpine biogographical region. For mo st sites of the Atlantic and Continental regi ons it will be 
7 December 2010. An infringement procedure wa s launched in 2008 against Portugal and 
Spain for not having designated sites in that region as SACs. The Commission will consider 
launching new infringement procedures against Member States which still have not provided 
sufficient designations or which have not design ated their SACs within  the deadline required 
by the Habitats Directive. 
 Reporting  
In 2009 the Commission published a Communicati on on the conservation status of Species 
and Habitats protected under the Habitats Directive following reports submitted by the 
Member States under Article 17 of the Habitats Directive. Th is assessment concluded that 
only 17 % of species and habitat types of Commun ity interest are in a favourable conservation 
status EU wide and that substa ntial efforts are still necessary towards achieving the objectives 
of the Habitats Directive. Furthermore, the a ssessment revealed significant knowledge gaps in 
certain countries. 
 Non-conformity with the Birds and Habitats Directive  
In 2009, the Commission pursued infringements dealing with non-conformity of national 
transposing legislation with the Birds and Habitats Directive. 
In 2009, as regards the Birds Directive, a R easoned Opinion under Article 258 of the Treaty 
on Functioning of the EU (TFEU) was sent to  Slovakia and Denmark, while Greece received 
EN 170   EN a Letter of Formal Notice under Article 260 con cerning the implementation of the judgement 
in case C-259/08. As regards the Habitats Di rective, a Reasoned Op inion under Article 
258was sent to Slovakia.  
 Insufficient designation of  Special Protection Areas  
Under the Birds Directive, Member  States are obliged to designate all of the most suitable 
sites as Special Protection Areas to conserve w ild bird species. The designation must be based 
on objective, verifiable scientific criteria. To  assess whether Member States have complied 
with their obligation, the Commission uses the best available ornithological information. 
Where the necessary scientific information pr ovided by Member States is lacking, national 
inventories of Important Bird Areas (IBA)  compiled by the non-governmental organisation 
Birdlife International, are used. While not le gally binding, the IBA inventory is based on 
internationally-recognised scient ific criteria. The Court of Ju stice has already acknowledged 
its scientific value, and in cases where no equiva lent scientific evidence is available, the IBA 
inventory is a valid basis of reference in asse ssing whether Member States have classified a 
sufficient number and size of terr itories as Special Protection Areas. 
In 2009, the Commission sent a Reasoned Opinion under Article 258 to Slovakia, Lithuania, 
Latvia, Czech Republic and Cyprus for failing to designate enough Special Protection Areas 
(SPAs) on their territory. It also made an applic ation to the Court in the case of Romania, for 
failure to designate sufficient SPAs.  
 Bird Hunting  
Hunting is regulated in the European Union by the Birds Directive.  Although the Directive 
contains a general prohibition on the killing of wild  birds, it does allow certain species to be 
hunted provided this does not take place during the breeding season or migration periods. Hunting periods are set at national levels, an d vary according to species and geographical 
location. Exceptionally, Member States may allow the capture or killing of birds covered by 
the Directive outside of the normal hunting s eason for a limited number of reasons, although 
such derogations are only available wh en there is no alternative solution. 
As regards huntable species, the Commission ha s prepared further management plans on such 
species with an unfavourable conservation stat us. They are not legally binding but give 
guidelines to Members States to fulfil their obligations on species' conservation. 
In 2008, the Commission decided to take Malta to  the Court of Justice for its spring hunting 
practices (case C-76/08). The Cour t ordered, as an interim meas ure, that spring hunting was 
not to be allowed in 2008; in 2009 no fu rther legislation permitting spring hunting was 
adopted by the Maltese authorities. On 10 Se ptember 2009 the Court gave its judgment in the 
main case. The Court found that, although autumn  hunting did not in the specific case of 
Malta provide a satisfactory alternative solution to spri ng hunting, Malta had nonetheless 
breached the specific conditions for derogation under Art 9 of the Birds Directive and the 
principle of proportionality in permitting spring  hunting. This Commission action was closely 
followed by the EP Petitions Committee which had carried out a fact-finding mission in 2006171.  
                                                
 
171 This was followed by European Parliament Resolution P6_TA(2007)0074 of 15 March 
2007 on the hunting and trapping of migr atory birds in spring in Malta . 
EN 171   EN  
In 2009, the Commission decided to take Italy to the Court of Ju stice in relation to certain 
regional hunting legislation. The relevant cases  (C-164/09 concerning the Veneto Region, and 
C-508/09 concerning the Sardinia Region) ar e currently pending decision. Moreover, in 
response to a request by the Commission for th e adoption of interim measures under Articles 
278 and 279 TFEU on 10 December 2009, the Court issued an order requiring that Italy 
suspend the application of Ar ticle 4(1) of Lombardy's Regi onal Law 30 July 2008, n.24, as 
amended. This law allowed hunting derogations which, in the Commission's opinion, did not 
to comply with the conditions of  Article 9 of the Birds Directive. A decision by the Court in 
the main case (ref. C-573/08) which raises a nu mber of issues regarding the non-conformity 
of Italian national and regiona l legislation with the Birds Directive is still awaited. 
 Species protection  
The Habitats Directive comprises an important pillar which is related to the protection of 
species. In particular, Articles 12 and 16 are ai med at the establishment and implementation 
of a strict protection regime fo r animal species listed in Annex IV(a) of the Habitats Directive 
within the whole territory of Member Stat es. Focus is mainly on developing guidance 
documents such as the Guidance document on th e strict protection of animal species of 
Community interest under the 'Habitats' Direc tive 92/43/EEC that was finalized in February 
2007. Specific guidance documents have also been developed for the protection and management of large carnivores. An initiative for preparing species protection plans for a 
number of priority sp ecies has been launched. 
Furthermore, the Commission is preparing furt her new or revised acti on plans for globally 
threatened bird species. 
In order to reduce the conflicts between Cormorants and fisheries, the Commission is 
currently preparing guidance on the appropriate  use of derogations under Article 9 of the 
Birds Directive. 
 Further judgments of the Court of Justice in 2009  
In relation to the protection of SPAs to  be designated under the Birds Directive 
(1979/409/EEC), on 11 December 2008 the Court ruled in case C-293/07, Commission/Greece , that Greece had failed to put into pl ace a coherent, specific and complete 
legal protection regime for SPAs. In fact, th e protection regime laid down in the Greek 
legislation did not include all SPAs and it provid ed varying protection of the sites in such a 
way that the objectives for the protection of SPAs , laid down in Articl e 4(1) and (2) of the 
Birds Directive and in Article 6(2) of th e Habitats Directive, were not fulfilled. 
In case C-362/06 Sahlstedt
, on 23 April 2009 the Court of Justi ce dismissed the appeal against 
an order in case T-150/05 by which the Court of First Instance (CFI) had dismissed as 
unfounded and action by Mr. Sahlstedt (a Finni sh landowner) seeking annulment of the 
Commission's decision adopting the list of site s of Community importance for the Boreal 
biogeographical region (designa tion of Natura 2000 sites).  
The action for annulment was declared inadmissible due to lack of direct  concern (the CFI did 
not study the possible individual concern). Ad vocate General Bot in his opinion, dated 23 
October 2008, had considered that the appe llants were both directly and individually 
concerned and that the substance of the appeal therefore should have been dealt with in the 
EN 172   EN CFI. However, the Court of Justice dismissed th e appeal as inadmissible due to the lack of 
individual concern (paras. 32-33) . Since there was no individual concern, the plea concerning 
direct concern was consid ered no longer relevant. 
 Petitions  
In 2009, the Commission received 50 petitions rela ted to the issue of nature protection. The 
subjects raised in these petiti ons ranged from the measures for the protection of Natura 2000 
sites themselves to the environmental effects of infrastructure projects on designated sites. A large proportion of the nature pr otection petitions concerned proj ects with a potential impact 
on designated sites in Spain, Fran ce and Bulgaria. The ongoing clos e interest of the Petitions 
Committee in the issue of spring hunting in  Malta should be mentioned. In 2009, four 
petitions concerning nature prot ection were closed. Responding to  concerns raised within the 
Petitions Committee, DG ENV committed itself to organising a nature conservation seminar for Bulgarian officials in Sofia in 2010. 
6.1.2.  Evaluation based on the current situation   
Despite the small number of legal instruments in this field, nature  conservation legislation 
accounts for between a fifth and a quarter of environmental infri ngements. The nature sector 
accounts for the highest number of open environm ental cases. The high number of cases in 
the nature sector is due mainly to the extent of the network, which now includes around 26, 
000 sites: there are Natura 2000 sites in the vici nity of nearly every EU citizen. This is 
positive in as much as it brings the EU clos e to its citizens but it also means that the 
Commission receives a lot of complaints about threats to these sites. Although the demand  
from citizens, specialised and active NGOs and the European Parliament is high, the 
complaint and legal enforcement mechanisms for nature conservation in the Member States are often weak or inappropriate.  
In order to rationalise the handling of this high number of cases and ensure the effective 
implementation of the nature directives, the Commission has taken several measures, which 
can be divided into three categories: 
• Focus on the main implementation priorities : the core obligations of the directives 
were effectively addressed (i.e. corre ct and complete transposition and 
establishment of the Natura2000 networ k), while systemic problems of bad 
implementation were tackled (e.g. hunting derogations). 
• Proactive cooperation with Member States : this includes the drafting of 
interpretative guidance documents for the ma in provisions of the nature directives; 
the development of targeted guidance for economic sectors such as the port sector, 
wind energy, the non-ener gy extractive industry, and inland waterways, which 
have particular challenges in relation to the legislation; training of the competent 
authorities; regular contacts with the national, regiona l and local authorities, 
establishment of the “GreenEnforce Network“ . 
• Improvements in the handling of complaints : specific methods have been 
developed with the purpose of helping the complainants (i.e. ad hoc nature 
supplementary information form, which gu ides the complainan ts as regards the 
information needed to evaluate a compla int) and making more effective use of 
complaints (i.e. grouping of complaints in order to focus on systemic breaches). 
EN 173   EN Those measures have had a significant effect, as they resulted in the reduction of the 
implementation deficit. 
6.1.3.  Evaluation results   
6.1.3.1.  Priorities 
Priorities will be the following:  
• Completing the establishment stage  of the Natura 2000 network. The terrestrial part of the 
Natura 2000 network is either es tablished or close to establis hment in accordance with the 
Habitats and Birds Directives. Habitats and speci es coverage still need s to be extended in 
places, mainly in the EU-12 Member States, and legal action will be pursued against 
Member States when necessary. The process has been launched to finalise the establishment of marine sites. Since the scie ntific knowledge and info rmation available on 
the existence and distribution of marine ha bitat and species remains incomplete, the 
Member States were expected to subm it their proposals by e nd 2008, based on existing 
knowledge, while pursuing further necessary survey s. In order to facilitate the process, a 
guidance document has already been prep ared by the Commission services. First 
Biogeographic Seminars took place in 2009 fo r the Atlantic and the Baltic Seas. A 
guidance document on introducing fisheries meas ures for marine Natura 2000 sites in the 
context of the Common Fisheries Policy has also been prepared. 
• Ensuring a systematically correct a pproach to Natura 2000 site protection.  To enable the 
Natura 2000 network to achieve its goal of conserving key elements of Europe’s 
biodiversity, there needs to be proper sc rutiny and minimisation of, the impacts of 
potentially damaging plans and projects in line with ECJ case-law. Ensuring application of best scientific knowledge, examin ation of alternatives and, wh ere appropriate, provision of 
compensatory habitats are all major challenges. In this regard, the Commission services issued a guidance document on Article 6(4) of the Habitats Directive, a key provision for 
the implementation of the nature directives. In addition, the Commission intends to further 
promote best practice within specific economic sectors, such as European ports, wind 
energy, non-extractive industr ies, inland waterway tr ansport and agriculture. 
• Ensuring overall positive management of Natura 2000 network.  Apart from vetting 
potentially damaging plans and projects, Me mber States need to set up effective 
management systems for Natura 2000, supporti ng human activities such as conservation-
sensitive farming that are beneficial to c onservation objectives while also meeting socio-
economic needs. In 2009 a new expert group  on the management of Natura 2000 was 
established. This group will be used to devel op and exchange information on best practice 
in Natura 2000 management, focusing in partic ular on integrated management approaches 
and reconciling nature conservation and economic development objectives. 
• Prioritisation of Commission ’s legal enforcement work. In the coming years, the 
Commission will continue to pursue its legal enforcement action to help meet the main 
objectives of the nature conservation legislation.  To this effect, high priority will continue 
to be given to pursuing infringement cases  concerning significant non-conformity of 
national implementing legislation with the Bird s and Habitats Directives, insufficient site 
designations (mainly in the EU-12 Member States  and for marine sites), including lack of 
designation of SCIs as SACs where the deadline  has expired and the l ack of adequate legal 
protection and management regimes for the Na tura 2000 sites. Focus will also be on 
EN 174   EN addressing breaches concerning big infrastructure projects or interventions involving EU 
funding that have significant adverse impacts on  Natura 2000 sites. In  this context, the 
Commission will take into account considerations  such as irreversible ecological damage 
and, where appropriate, seek interim measures  from the European Court of Justice172. 
Infringements concerning unsustainable hunting pr actices in some Member States will also 
be followed up closely. In order to better  handle individual complaints pointing to 
widespread problems of bad implementatio n, the established practice of launching 
horizontal infringement cases wi ll continue to be followed. The approach in implementing 
EC legislation in general is set out in  the Commission Communication "A Europe of 
results – Applying Community law" (COM( 2007)502 final)173. The approach to be taken 
in the implementation of EC environmental law in particular is laid down in the Commission Communication on im plementing European Community Environmental Law 
(COM(2008)773 final)174. 
  Planned action (2010 and beyond)In addition to pl anned actions described under the previous 
point, the Commission will publish in 2010 a Co mmunication on the implementation of the 
Biodiversity Action Plan and the perspectives for biodi versity conservation post-2010. 
6.1.4.  Sector summary 
As regards the designation of Special Protection Areas and Sites of Community Importance as 
part of the Natura 2000 network, further subs tantial progress was ma de in 2009. In December 
2009, the Commission adopted six decisions updati ng existing Biogeographic Lists of Sites of 
Community Importance (SCIs). The additions in clude 59 new sites and a total area of 30,000 
km2. Most of the new sites are si tuated in marine areas. This  means that for the first time 
significant progress has also been made as regards the designati on of off-shore marine areas, 
although substantial effort s are still needed.  
Most Member States are now in a proces s of designating their Sites of Community 
Importance as Special Areas of Conservation (SAC ) according to Article 4(4) of the Habitats 
Directive. Member States have to designate th eir SCI as SACs not later than six years after 
the inclusion of the sites in a Community lis t. The deadline for designation as SAC was 28 
December 2007 for most sites of the Macaron esian biogeographical region and 22 December 
2009 for most sites of the Alpi ne biogographical region. For most  sites of the Atlantic and 
                                                
 
172 In the last two years the Commission has th ree times sought for interim measures in 
nature protection cases. In cases C-503/06, Commission v. Italy  and C-76/08, Commission v. 
Malta , the Court ordered the Member States to halt illegal hunting activities on 19 December 
2007 and 24 April 2008 respectively. In case C-193/07, Commission v. Poland , the 
Commission sought interim measures from the ECJ to prevent a Polish motorway project 
causing serious habitat damage: the request was dropped when Po land agreed to halt the 
relevant works pending an ECJ judgment. 
173 http://eur-
lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=COM:2007:0502:FIN:EN:PDF 
174 http://eur-
lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=COM:2008:0773:FIN:EN:PDF 
EN 175   EN Continental regions it will be 7 December 2010.  Infringement procedures had been launched 
in 2008 for the non-designation of SACs in the Macaronesian region. One of the future main challenges will be to launch and manage corre sponding infringements for the sites in the 
remaining regions in case they have not b een designated as SACs before the respective 
deadlines. 
Species protection continues to constitute a challenge when implementing the Nature 
Directives. The species listed in the Directives sh all be strictly protecte d but they can also be 
hunted provided the conditions in the Directiv es are fulfilled. The proper functioning of the 
Natura 2000-network is ensured by hunting de rogations granted on correct grounds and by 
appropriate protection regimes and management of protected sites, including of the species 
present there. 
The priorities in the Nature sector have largel y remained the same from previous years. Legal 
enforcement work in this sector, as in other en vironment sectors, must be prioritised in the 
interest of the efficient pursuit of the objectives of environmen t legislation. The approach to 
be taken in the implementation of EC environm ental law in particular is laid down in the 
Commission Communication CO M(2008)773 final on implementing European Community 
Environmental Law. 
Therefore, in the coming years, the Commission will continue to pursue its legal enforcement 
action to help meet the main objectives of the nature conservation legisl ation. To this effect, 
high priority will continue to be given to pursuing infringement cases concerning significant non-conformity of national implementing legisla tion with the Birds and Habitats Directives, 
insufficient site designations (m ainly in the EU-12 Member States) and the lack of adequate 
legal protection and management regimes for th e Natura 2000 sites, including the lack of 
designation of SCIs as SACs where the deadline has expired. Focus will also be on addressing 
breaches concerning big infrastructure projects or interventions involving EU funding that have significant adverse impacts on Natura 2000 sites. In this context, the Commission will 
take into account considerations such as irreversible ecological damage and, where 
appropriate, seek interim measures from the European Court of Justice175. Infringements 
concerning unsustainable hunting practices in some  Member States will also be followed up 
closely. In order to better handle individual co mplaints pointing to widespread problems of 
bad implementation, the establishe d practice of launching horizont al infringement cases will 
continue to be followed. 
 
6.2. Waste Management  
  
                                                 
175 In the last two years the Commission has three times sought for interim measures in 
nature protection cases. In cases C-503/06, Commission v. Italy  and C-76/08, Commission v. 
Malta , the Court ordered the Member States to halt illegal hunting activities on 19 December 
2007 and 24 April 2008 respectively. In case C-193/07, Commission v. Poland , the 
Commission sought interim measures from the ECJ to prevent a Polish motorway project 
causing serious habitat damage: the request was dropped when Po land agreed to halt the 
relevant works pending an ECJ judgment. 
EN 176   EN 6.2.1.  Current position 
 
6.2.1.1.  General introduction  
Waste legislation covers a large share of th e entire EU environmental acquis and includes 
thirteen main legislative acts adopted by the European  Parliament and the Council and a large 
number of related decisions adopted through com itology procedures. The overall scope of this 
legislation is the prevention or  reduction of waste production, the re-use, the recycling, other 
types of recovery than recycling and the dispos al of different categories of waste; permitting 
and control of disposal operations, mainly landf ills; and shipments of waste within the EU as 
well as to and from third countries.  
The basic requirements are laid down by th e Waste Framework Directive176 which is 
complemented by specific legislation addressing  particular environmental threats associated 
with waste. This specific legislation incl udes harmonised rules on waste management 
practices, including strict emi ssion limits and operating requirements for the incineration and 
landfill of waste; harmonised rules on shipments of waste; and product specific  legislation 
setting targets for collecti on, re-use, recovery and recy cling and introducing producer 
responsibility principles for specific waste streams derived from consumer goods, in 
particular packaging waste, end of life vehicl es, waste electrical a nd electronic equipment, 
mining waste and batteries.177 
 6.2.1.2.  Report of work done in 2009  
The Commission adopted during 2009 three report s providing information about the situation 
in Member States as regards their implem entation of EU waste legislation. A general 
implementation report178 covers Directives 2006/12/EC on waste (the EU waste framework 
directive), 91/689/EC on hazardous waste, 75/439/EEC on waste oils, 86/278/EEC on sewage 
sludge, 94/62/EC on packaging and packaging wa ste, 1999/31/EC on the landfill of waste and 
2002/96/EC on waste electrical and electronic equipment (period 2004-2006). Two specific 
reports were adopted covering the Regulat ion (EC) 1013/2006 on sh ipments of waste179 
(period 2001-2006) and Directive 2000/53/EC on end-of-life vehicles180 (period 2005-2008). 
                                                
 
176 Directive 2008/98/EC of the European Parl iament and of the Council of 19 November 
2008 on waste and repealing cer tain directives (OJ L, 312, 22.11.2008 p. 3). This Directive 
replaces Directive 2006/12/EC of  the European Parliament and of the Council of 5 April 2006 
on waste (OJ L 114, 27.4.2006, p. 9) and has to be transposed by the Member States by 12 
December 2010. 
177 For an entire list of all EU waste legisl ation, please consult the Commission's Europa 
web-site http://ec.europa.eu/environment/waste/index.htm .  
178 20.11.2009, COM(2009)633 final. 179 24.06.2009, COM(2009)282 final. 180 20.11.2009, COM(2009)635 final. 
EN 177   EN The reports show that implementation and enfo rcement of EU waste le gislation remain poor, 
particularly as regards the waste framework directive, the landfill directive and the waste 
shipment regulation. In many cases , it is clear that waste treatme nt infrastructure is missing 
and waste is not collected separately. This result s in reuse, recycling a nd recovery targets for 
waste streams such as end-of-life vehicles or packaging being missed. 
A series of over 40 awareness-raising events  organised by the Co mmission was completed 
during 2009. The Commission visited Me mber States in order to stress the need to strengthen 
implementation and enforcement of key require ments of EU waste le gislation. The events 
covered all Member States and focused particularly on the waste shipment regulation, the 
Landfill directive and the Waste Framework directive. These events intended to promote better implementation, enforcement and applic ation 'on the ground' of key EU waste 
legislation requirements. The events proved to be  valuable tools to exchange and discuss good 
practice and practical problems with implem entation and enforcement. They gave a 
comprehensive insight into national characteristics and specific problems with implementation. The conclusions showed large disparities in how Member States implement 
EU waste legislation requiremen ts and significant deficiencies in large parts of the EU. An 
important need to strengthen implementation and enforcement of these EU requirements was 
clearly identified. Reports on the awarene ss-raising events were published by the 
Commission. 
The Commission supported during 2009 in co- operation with the IMPEL network a large 
number of co-ordinated inspec tions, spot-checks and controls of waste shipments in Member 
States. These actions were part of a project to strengthen Memb er States' inspections, build up 
their capacity and improve co-operation be tween all relevant authorities. Over 10,000 
inspections of transports were checked, includ ing inspections of containers, vehicles and 
storage locations. Several hundreds of company inspections were al so carried out. In total, 22 
Member States and several neighbouring countr ies participated in the joint enforcement 
actions. A specific report of these acti ons was published by the Commission.  
In 2009, the Commission received 26  petitions related to waste sector which covered a wide 
range of waste legislation. In 2009, seven petitions have been clos ed. A large part of petitions 
concerned Spain, Italy and Greece. The petitions proved valuable in drawing Member States' 
attention to the need for good landfill management .  Particular mention may be made of the 
Petitions Committee's close interest  in the waste situation in Ca mpania in Italy and its view 
that the Commission should priori tise good implementation of waste rules across the EU. The 
Commission plans to take further acti on in 2010 to respond to this concern. 
With regard to WEEE Directive, conformity is achieved for eight Memb er States. In 2009 the 
Commission continued legal enforcement ac tions opened in 2007 horizontally against a 
number of Member States. As of end of 2009, infringement cases were open for 14 Member 
States (Czech Republic, Denmark, Estonia, Spai n, Finland, France, Ireland, Romania, Italy, 
Lithuania, Latvia, Portugal, Sweden and Slova kia). In 2010, the Commission in cooperation 
with the remaining Member States (Malta, UK, Belgium, Bulgaria and Romania) will assess 
their national legislation.  Legal enforcement action will be taken in 2010 where necessary.   
With regard to RoHS Directive, correct trans position is achieved by 20 Member States, for 11 
of them after legal enforcement actions were la unched. As of end of 2009, infringement cases 
were open for 7 Member States (Czech Republic , Spain, France, Italy, Romania, Sweden and 
Slovakia). 
EN 178   EN With regard to the Directive 2006/66/EC on batteries and accumulators, full transposition has 
been achieved for 23 Member States. As of e nd of 2009, infringement cases for failure to 
communicate measures of transposition of th e Directive were open for 4 Member States 
(Belgium, Czech Republic, Greece a nd France). The deadline for Member States to transpose 
Directive 2008/103/EC amending the Directive 2006/66/EC on batteries and accumulators expired in January 2009. Full transposition has been achieved for all Member States except for Greece. In 2009 infringement cases were open for 15 Member States for failure to 
communicate  measures of transposition of the Directive and all of them closed except for 
Greece. The Commission launched a conformity st udy to assess Member States transposition 
measures. 
With regard to the Packaging waste Directiv e, in 2010 the Commission in cooperation with 
the Member States will assess the conformity of national legislation and take legal enforcement action where necessary. 
Concerning the Directive on the management of waste from extractive industries (hereafter: 
the Mining waste Directive) full transposition has been achieved for 19 Member States. As of 
end of 2009, infringement cases for failure to communicate their transposition measures of the 
Directive were open for 8 Member States (Aus tria, Czech Republic, Estonia, France, Greece, 
Ireland, Portugal and the United Kingdom). In 2010, as a horizontal exercise for 10 Member 
States for which conformity studies are availa ble, the Commission will assess the national 
legislation in cooperation with the relevant Member States and take legal action where 
necessary. The Member States concerned are Denmark, Hungary, Italy, Latvia, the 
Netherlands, Poland, Romania, Slovenia and Sweden. 
With regard to ELV Directive, conformity has been achieved for 12 Member States. In 2009 
the Commission has opened or continued enforcement actions concerning non-conform 
national legislation. As of December 2009, 13 infringement procedures were ongoing 
(Belgium, Czech Republic, Denmark, France, It aly, Cyprus, Lithuania, Poland, Romania, 
Slovenia, Slovakia, Sweden and the United Kingdom. In 2009, infri ngements were opened 
against 7 Member States concerning obligation to provide, at three-year intervals, a report on 
implementation of the ELV Directive (Article 9 of the Directive). As of end 2009, one case 
remained open (Ireland). 
With regard to transposition of the Landfill Directive 1999/31/EC, legal action was taken 
against 15 Member States for inadequate tran sposition. As of Decem ber 2009 cases are still 
open for 8 Member States (Belgium, Czech Re public, Estonia, France, Italy, Poland, Slovakia 
and the United Kingdom). Reasoned Opinions have been sent to 3 Member States (Slovakia, 
Poland and France) and in 2009 2 Member States (Czech Republic and Estonia) were referred 
to the European Court of Justice. The assessmen t of Bulgaria's and Romania's legislation is 
ongoing. 
In 2009, there has been one judgment related to illegal landfills (C-120/09 against Belgium). 
The three horizontal cases against France (C-423/05), Italy (C-135/ 05) and Belgium (C-
120/09) are followed up in the Article 260 TFEU procedure by either a LFN Article 260 TFEU or Court application Article 260 TFEU where a Reas oned Opinion under ex Article 
228 EC (now Article 260 TFEU) had already been sent. A Letter of Formal Notice was sent to 
Italy and to France in 2009. In a horizontal ca se against Spain concerning a significant 
number of illegal and uncontrolled landfills, the Commission referred the case to the Court in 
2009.  
EN 179   EN With regard to the serious situations in Italy, Campania region and Bulg aria, Sofia concerning 
deficient implementation, in 2009 the Commi ssion has worked very closely with both 
Member States. With regard to Bulgaria, the Commission decided to refer the case failure to provide an adequate and integrat ed system for the disposal of household waste in Sofia to the 
European Court of Justice. Concerning Ital y, in June 2007, the Commission launched legal 
action against Italy over the chronic waste crisis affecting Naples and the rest of the Campania 
region. The Commission consid ers that Italy failed to set up an adequate and integrated waste 
management system in the Campania region and to guarantee that waste is collected, treated 
and disposed of without enda ngering human health and the environment. In view of the 
continuation of the infringement, the Commission referred the case to Court of Justice in July 
2008. The case is currently pend ing before the ECJ and the j udgment is expected in early 
2010. 
Judgments of the Court of Justice in 2009 
A number of important ECJ judgments were delivered in 2009. Belgium was condemned for 
failure to transpose the Directive 1999/31/ EC on landfill of wa ste (17 December 2009, C-
120/09 Commission v Belgium ). Greece was condemned for failure to draw up hazardous-
waste management plan and to establish an in tegrated and adequate network of disposal 
installations for hazardous wa ste (10 September 2009, C-286/08 Commission v Greece ). 
Ireland was condemned for failure to fulfil its obligations under the Council Directive 
75/442/EEC on waste with regard to disposal of domestic waste waters through septic tanks in 
the countryside and other individual waste water treatment systems (29 October 2009, C-
188/08 Commission v Ireland ). In addition, the Court judged on a preliminary reference of an 
Italian court on the interpretation of the polluter pays principle in the framework of Article 15(a) of the Directive 2006/12 on waste (16 July 2009, C-254/08 F utura Immobiliare and 
Others ). 
 
6.2.2.  Evaluation based on the current situation 
The implementation reports, awareness-raising ev ents and studies carried out showed that the 
implementation gaps are very serious throughout a large part of the EU, in particular as 
regards the waste framework directive, the landfill directive and the waste shipment regulation. 
In some Member States which joined the EU after 2004, the situa tion is particularly 
problematic with heavy reliance on landfilling, inad equate waste treatment infrastructure and 
no societal habits to separate and recycle wast e. The situation is, howev er, not much better in 
many of the other Member States which cont inue to breach EU rules on waste management 
and where inefficient diversion of biodegradable waste from landfills continues to contribute to climate change. 
Probably the most serious and wide-spread gaps  in implementation are the extensive illegal 
waste dumping prohibited by th e waste framework directive and the high numbers of 
substandard landfills still occurring in the EU . All landfills must comply with the landfill 
directive and related Council decision on waste acceptance criteria for landfills, the "WAC 
Decision". The environmental and health impacts for citizens are significant. The 
Commission monitors the correct implementation of both the landfill directive and the WAC Decision. A large number of infringements of the waste framework directive and its 
EN 180   EN prohibition of illegal dumping have been ad dressed by horizontal cases grouping many 
individual illegal dumps. 
On 16 July 2009, two important targets kicked in  under the EU landfill di rective: the closure 
of existing illegal landf ills (Article 14) and the 2009 biodegr adable diversion target, that is, 
diversion from landfills of 50%  biodegradable waste of 1995 values (Article 5). The 
Commission is currently evaluating informati on received from Member States on their 
compliance with these provisions. 
The joint enforcement actions showed that ille gal waste shipments remain a serious problem 
for the EU. Around 19% of transp orts containing waste were i llegal. Most of the cases 
concerned illegal exports from the EU to countries  in Africa and Asia in  contravention of, for 
example, the export ban on hazardous waste or information requirements for exports of 
"green", non-hazardous waste. 
On 31 December 2006, the two quantitative target s of the WEEE Directive became due. This 
implies that starting with the re porting year 2007, the targets for separate collection, recycling 
and recovery have to be met by the EU-15. Sl ovenia must be compliant starting with the 
reporting year 2008, and the other EU-12 with the reporting year 2009. The Commission is to 
receive reports on the years 2007 and 2008 from the Member States by the end of June 2010, 
and will then be in the position to assess compliance by the EU-15 and Slovenia. 
 
6.2.3.  Evaluation results 
 
6.2.3.1.  Priorities  
If properly implemented and enfo rced EU waste legislation coul d, in addition to waste-related 
benefits, reduce greenhouse gas emission by between 19-31% and at almost 200 million tonnes of CO2 a year. This would save €2.5 bil lion annually at today's carbon price of €13 per 
tonne. Waste legislation offers  also significant opportunities for EU companies to innovate 
and access valuable secondary raw materials. A level playing field for companies as well as 
better opportunities for innovation could be en sured by strengthening implementation of the 
EU waste acquis. The significant costs of ha ving to clean up after illegal dumping and its 
negative impacts on air and water could be avoided. Poor implementation of EU waste 
legislation is therefore a missed economic, so cial and environmental opportunity which the 
EU cannot afford. 
The most serious case of non-compliance, in particular illegal wa ste dumping, missing waste 
infrastructure and substandard landfills need to  be addressed through co nsistent legal actions 
as well as continued measures in support of better implementation and enforcement. 
The currently high rate of illegal waste shipments must be brought down. 
EN 181   EN  
6.2.3.2.  Planned action (2010 and beyond) 
The IMPEL network continues to  address the issues of ille gal waste. The IMPEL network 
carries out joint inspections of waste shipme nts and seeks to extend these to all Member 
States. The Commission has also addressed this problem by propos ing reinforced legislation. 
The recently proposed recast of the WEEE Direc tive aims to obtain fully documented control 
over 85% of the e-waste stream. In addition, it includes rules to  avoid illegal shipments of 
electrical and electronic wast e, especially when falsely declared as used products. The 
Commission is also assessing the feasibility of strengthening the inspection requirements 
under the EU waste shipment regulation. 
In addition to planned actions described under the previous point, the Commission should aim 
to fulfil the objectives and priorities set out above through the fo llowing specific actions: 
• Pursue effectively and consistently legal enforcement and proceedings before the 
Court of Justice concerning il legal landfills and gaps in wa ste infrastructure, with a 
particular focus on structural and systemic failures by Member States to address these 
problems. On the basis of conformity studi es and in cooperation with Member States 
assess and where necessary launch lega l enforcement actions concerning the 
conformity of national tran sposition measures with the Directive on packaging and 
packaging waste, Directive on landfill of  waste, the Mining Waste Directive. 
• Monitor the implementation of the targets associated to waste policies, in particular, 
the collection target for WEEE to be achie ved by Member States will be assessed in 
2010 on the basis of reporting obligations. Subsequent infringement cases will be open in case of non-compliance. 
• Organise awareness events, information exchanges and other bilateral and multilateral 
meetings with Member States and stakeholders, with a targeted approach addressing specific problems identified in each Member  States and covering the most serious and 
wide-spread implementation deficits, including illegal landfills, illegal waste shipments and the lack of adequate wast e management infrastructure existing in 
several Member States. The deadline for Member States to transpose the Waste 
Framework Directive (2008/98/EC) expire s  on 12 December 2010; therefore the 
Commission will ensure that Member St ates communicate their transposition 
measures and will timely initiate legal enforcement actions  for failure to do so. 
• Closely monitor (a) Member States' complia nce with the targets set in the Landfill 
Directive for diverting biodegradable waste from landfills; (b) the obligations to ensure that all landfills comply with this  directive's requirements, in particular 
concerning obligations to close all non-c onform landfills by 16 July 2009; and (c) the 
waste management capacity and landfill capacity in each Member State. 
 
6.2.4.  Sector summary  
Reports and studies during 2009 demonstrate that si gnificant deficits in the implementation of 
EU waste legislation remain in large parts of the EU, particularly as regards illegal waste 
dumping, inadequate waste treatment infrastr ucture and illegal wa ste shipments. The 
Commission stepped up its efforts to support Memb er States in better implementation through 
awareness raising, information exchange and guidance as well as pa rticipation in joint 
enforcement actions. Studies were carried out to explore new initiatives for coming years, 
EN 182   EN including a study on the feasibility of an EU waste implementation body and inspection 
requirements for waste shipments. 
 
6.3. Environmental Impact Assessment & St rategic Environmental Assessment 
 6.3.1.  Current position 
 
6.3.1.1.  General introduction 
There are two important pieces of legislation in this sector: Council Directive 85/337/EEC181 
on the assessment of the effects of certain public  and private projects on the environment, as 
amended by Directives 97/11/EC182, 2003/35/EC183 and 2009/31/EC184 (the EIA 
Directive) and Directive 2001/42/ EC of the European Parliame nt and of the Council on the 
assessment of the effects of certain plans and programmes on the environment (the SEA 
Directive185). 
The EIA Directive
 obliges Member States to carry out environmental impact assessments 
before certain types of public and private pr ojects which are likely to have a significant 
impact on the environment are authorised. 
The SEA Directive  seeks to ensure that the environmen tal consequences of certain public 
plans and programmes that are lik ely to have significant environm ental effects are identified 
and assessed while they are being prepared and before they are approved. 
 
6.3.1.2.  Report of work done in 2009 
The EIA Directive  The EIA Directive was amended thr ee times, in 1997, in 2003 and in 2009: 
 Directive 97/11/EC
 widened the scope of the EIA Directive by increasing the types of 
projects covered, and the number of pr ojects requiring mandatory environmental 
impact assessment (Annex I). It also stre ngthened the procedural basis of the EIA 
                                                 
181 OJ L 175, 05.07.1985, p.40. 182 OJ L 073, 14.03.1997, p.5. 183 OJ L 156, 25.06.2003, p.17. 184  OJ L 140, 5.6.2009, p.114. 185 OJ L 197, 21.7.2001, p. 30. 
EN 183   EN Directive by providing for new screeni ng arrangements, including new screening 
criteria (at Annex III) for Annex II projec ts, and providing minimum information 
requirements. 
 Directive 2003/35/EC was seeking to align the provisions on public participation with 
the Aarhus Convention on public particip ation in decision-making and access to 
justice in environmental matters. 
 Directive 2009/31/EC amended the Annexes I and II of the EIA Di rective, by adding 
projects related to the transport, cap ture and storage of carbon dioxide (CO 2). A new 
project was added in Annex I.16: "pipelines with a diameter of more than 800 mm and 
a length of more than 40 km… for the transport of carbon dioxide (CO 2) streams for 
the purposes of geological storage, in cluding associated booster stations" ; this type of 
project must shall be made subject to an as sessment in accordance with Articles 5 to 
10 of the EIA Directive. Furthermore, two new project categories were introduced in 
Annex II: storage sites of carbon dioxide  pursuant to Directive 2009/31/EC (Annex 
II.23) and installations for the capture of  carbon dioxide streams for the purposes of 
geological storage pursuant to Directive 2009/ 31/EC from installations covered by this 
Annex, or where the total yearly capture of  carbon dioxide is 1,5 megatonnes or more 
(Annex II.24); this type of projects is subject  to a screening with a view to determining 
whether an EIA is required.  
The Commission is continuously assessing the conformity of  the national transposition 
measures communicated and initiates, when necessary, infringement procedures. The EIA 
Directive generates a relatively high number of  complaints, due to its large scope of 
application. However, given the essentially procedural character of the obligati ons laid down, 
only a small number of complaints lead to infringement cases. The majority of infringement cases concern bad (incomplete or incorrect) tr ansposition of the Directive's provisions or 
failure of the Member States to apply the scr eening mechanism (article 4(2) and Annex III of 
the Directive). 
In 2009, the Commission opened in to tal eight new infringement pr ocedures on the basis of 
the EIA Directive. Five cases were opened ag ainst Belgium, Italy and Romania concerning 
bad application of the EIA Directive, three of  which were based on a complaint. Three cases 
were launched against Hungary, Italy and Bulgar ia for non-conform transposition of the EIA 
Directive. One case out of those opened in 2009 has already been closed, due to satisfactory 
amendments of the Bulgarian EIA legislation.  
Article 2(3) of the EIA Directive allows Me mber States to exempt specific projects in 
exceptional circumstances (e.g. for unforeseen civ il emergencies; threats to human health and 
the environment; security risks) from the provisi ons of the Directive in whole or in part, and 
to notify the Commission. In 2009, this provisi on has been used by Italy and Greece. 
 On 29 July 2009, the Region of Umbria inform ed the Commission of their intention to 
exempt a temporary waste facility at Sa n Carlo, Terni from the EIA procedure. 
According to the information received fr om the Region of Umbria, the request is 
justified by an exceptional circumstance – th e emergency situation arising from the 
leakage of polluted waters containing chromi um from an overlying contaminated site 
into the water table during the construction of  a road tunnel. The polluted waters need 
to be immediately removed from the tunnel and treated in a waste facility to protect 
human health and the surrounding environment.  The Region of Umbria has indicated 
that it does not intend to carry out an EIA for the waste treatment facility either in full or in part, as: i) there is no time to do so, and ii) the waste facility is a temporary one 
EN 184   EN that will be removed in around 6 months  time once the impermeabilisation of the 
tunnel is completed.  
 On 28 December 2009, the Greek Ministry of the Environment, Energy and Climate 
Change) informed the Commission of their in tention to partially exempt the project 
entitled 'PATHE (Patras-Athens-Thessaloniki ) main highway: Tempi interchange–
Rapsani interchange section and Platam onas–Skotina junction subsection (Neos 
Panteleimonas diversion), roadworks to protect the existing road from rainfall'  from 
the EIA procedure. According to the Greek authorities, the continuous rainfall that 
occurred on 17 December 2007 constitutes the exceptional circumstance justifying their exemption request. The rainfall cause d the death of one person and led to the 
interruption of traffic on this road, which is the main road link to Northern Greece. 
The aim of this exemption request is to gua rantee road and transport safety, to protect 
the environment and safeguard the road link with Northern Greece. 
It should be stressed that, in both cases, the recommendations of the Guidance document on 
the "Clarification of the Application of Article 2(3) of the EIA Directive" have been followed. 
The SEA Directive 
The deadline for transposing the SEA directive expired on 21 July 2004, but significant delays 
in transposition have occurred in many Member States. This is why the Commission's action 
initially focused on launching non-communication infringement proceedings against many 
Member States. After having ensured that the Di rective had been transposed in all Member 
States, the Commission started a systematic assessment of the conformity of the national 
transposition measures communicated and initiated, when necessary, infringement 
procedures. 
Thus, in 2008 infringement proceedings for no n-conform transposition of the SEA Directive 
were opened against the following eleven Member States: Bulgaria, Czech Republic, 
Denmark, Estonia, Ireland, Latvia, Lithuania,  Malta, Poland, Slovenia and United Kingdom. 
This action continued in 2009 and infringement proceedings for non-conform transposition 
were opened against twelve Member States : Spain, Belgium, Germany, Greece, Finland, 
France, Netherlands, Sweden, Slovakia, Austria, Italy and Portugal. Some of these cases have 
been already closed following clarification of  national authorities and/ or adoption of 
necessary amendments ensuring compliance with  the Directive's requirements (Bulgaria, 
Latvia, Malta, Poland, Czech Republic and Slov enia). In three cases (Estonia, Ireland and 
Denmark), the Commission continued the in fringement procedure in 2009 by issuing 
reasoned opinions.  
In addition, one infringement procedure, based on a complaint, was launched in 2009 against 
Bulgaria for bad applicati on of the SEA Directive.  
Judgments of the Court of Justice in 2009 
The EIA Directive has been the subject of severa l cases brought before the European Court of 
Justice. The case-law of the Court of Justic e has contributed to a better understanding of 
certain provisions of the Di rective. In 2009, the ECJ delive red, inter alia, the following 
rulings: 
In Case C-75/08 (Judgment of 30/4/2009), the Court replied to the reference for a preliminary 
ruling from the Court of Appeal (England & Wales) and clarified the requirements under 
EN 185   EN Article 4 of the EIA Directive. The reference for a preliminary ruling was related to whether 
or not it is necessary to gi ve reasons for the determinati on made by the competent national 
authority not to proceed to an environmental impact assessment. The Court ruled that Article 4 of the EIA Directive, as amended, "must be interpreted as not requiring that a 
determination, that it is unnecessary to subjec t a project falling within Annex II to that 
directive to an environmental impact assessmen t, should itself contain the reasons for the 
competent authority’s decision that the latter was unnecessary. However, if an interested party so requests, the competent administrati ve authority is obliged to communicate to him 
the reasons for the determination or the rel evant information and docum ents in response to 
the request made". The Court added that "if a determination of a Member State not to subject 
a project, falling within Ann ex II to Directive 85/337 as am ended by Directive 2003/35, to an 
environmental impact assessment in accordance with Articles 5 to 10 of t hat directive, states 
the reasons on which it is based, that determination is sufficie ntly reasoned where the reasons 
which it contains, added to factors which have already been brought to the attention of 
interested parties, and supplemented by any necessary additional information which the competent national administration is required to provide to those intere sted parties at their 
request, can enable them to decide whet her to appeal agains t that decision" . 
In Case C-427/07 (Judgement of 16/7/2009), the C ourt dealt with two i ssues: the conformity 
of Irish legislation in relation to private road  construction development, and the incomplete 
transposition of Di rective 2003/35/EC.  
• As regards the first issue, the Court recalled that a Member State which established 
criteria or thresholds at a le vel such that, in practice, an entire class of projects would 
be exempted in advance from the requireme nt of an impact assessment would exceed 
the limits of its discretion under Articles 2(1)  and 4(2) of the EI A directive unless all 
projects excluded could, when viewed as a whole, be regarded as not being likely to 
have significant effects on the environment. The Court concluded that "by subjecting 
private road construction d evelopment to an environmental impact assessment only if 
that development formed part of other developments coming w ithin the scope of 
Directive 85/337… and themselves subject to the assessment obligation, the Irish 
legislation, as applicable when the time- limit set in the reasoned opinion expired, 
meant that any private road construction de velopment carried out in isolation could 
avoid an environmental impact assessment, even if the development  was likely to have 
significant effects on the environment."  
• As regards the second issue, the Court ruled that Ireland had failed to adopt the laws, 
regulations and administrative provisions nece ssary to comply with Article 3(3) to (7) 
and Article 4(2) to (4) of Directive 2003/ 35/EC, and had failed to adequately notify 
such provisions to the Commission of the European Communities. This part of the 
ruling is interesting because it is the first ti me that the Court interprets Article 10a of 
the EIA Directive.   
In Case C-263/08 (Judgment of 15/10/2009), th e Court ruled that a project concerning 
abstraction of water leaking in to a tunnel which houses electric cables and its recharging into 
the ground or rock in order to  compensate for any reduction in the amount of groundwater, 
and the construction and mainte nance of facilities for the abstraction and recharging, are 
covered by point 10(l) in Annex II to the EIA Directive, irrespective of the ultimate 
destination of the groundwater and,  in particular, of whether or not it is put to a subsequent 
use. This reference for a preliminary ruling is also interesting because the Court clarified the 
concept of public concerned. According to the Court, "members of the ‘ public concerned’ 
within the meaning of Article 1(2) and 10a of Directive 85/ 337, as amended by Directive 
EN 186   EN 2003/35, must be able to have access to a review  procedure to challenge the decision by 
which a body attached to a court of law of a Member State has given a ruling on a request for 
development consent, regardless of the role they might have played in the examination of that 
request by taking part in the procedure before that body and by expressing their views" . The 
Court also added that "Article 10a of Dire ctive 85/337, as amended by Directive 2003/35, 
precludes a provision of national law which re serves the right to bring an appeal against a 
decision on projects which fall within the scope of that directive, as  amended, solely to 
environmental protection associations  which have at least 2.000 members" . 
In Case C-205/08 (Judgment of 10/12/2009), the que stion of application of the EIA Directive 
to a transboundary power line was raised in a reference for a preliminary ruling from an 
Austrian Court (Umweltsenat). In his opinion, the AG Ruiz-Jarabo Colomer had stressed that 
"given that individuals, goods, services and capital are able to move around the European 
Union without restrictions, it would be paradoxical  to restore those barriers in the case of a 
phenomenon like pollution which, by its very na ture, disregards count ries and continents. 
Accordingly, since Community environmental policy entails the tackling of pollution in different States and since that campaign cannot  be waged from one location, it would be 
inconsistent to split projects s ubject to an EIA by reference to the territory in which they take 
place" . Based on its previous rulings in Case s C-142/07 and C227/01, the Court explained 
that "projects listed in Annex I to Directive 85/3 37 which extend to the territory of a number 
of Member States cannot be exempted from the application of the Directive solely on the 
ground that it does not contain any express prov ision in regard to them. Such an exemption 
would seriously interfere with the objective of  Directive 85/337. Its ef fectiveness would be 
seriously compromised if the competent authorities of a Memb er State could, when deciding 
whether a project must be the subject of an environmental impact asse ssment, leave out of 
consideration that part of the project wh ich is located in another Member State" . The Court 
concluded that Articles 2(1) and 4(1) of the EIA Directive, as amended, "are to be interpreted 
as meaning that the competent aut horities of a Member State mu st make a project referred to 
in point 20 of Annex I to the Directive, such as the construction of overhead electrical power 
lines with a voltage of 220 kV or more and a length of more than 15 km, subject to the environmental impact assessment procedure ev en where the project is transboundary in 
nature and less than 15 km of it is situated on the territory of that Member State" .  
Petitions 
In 2009, the Commission received 52 petitions re lated to a wide vari ety of projects and 
compliance with the EIA Directiv e. Five petitions were clos ed during 2009. A large part of 
petitions concerned Spain, Bulgaria, Germany, Italy. 
 
6.3.2.  Evaluation based on the current situation 
 
6.3.2.1.  Implementation of the EIA-SEA Directives 
In July 2009, the Commission adopted the fourth  Report on the applicat ion and effectiveness 
of the EIA Directive (COM(2009)378). In Sept ember 2009, the Commission adopted the first 
EN 187   EN Report on the applicatio n and effectiveness of the SEA Directive (COM(2009)469)186. Both 
reports address and evaluate the status of the application and effectiveness of the Directives 
and their implementation by the Member States.  
The Commission's report on the EIA confirms th at the objectives of the Directive have 
generally been achieved. The principles of e nvironmental assessment have been integrated 
into the national EIA systems. All Member Stat es have established comprehensive regulatory 
frameworks and implement the EIA in a manner wh ich is largely in line with the Directive’s 
requirements; in many cases, Member States ha ve built on the minimum requirements of the 
Directive and have gone beyond them. As a resu lt, environmental considerations are taken 
into account in the decision-making process, wh ich has become more transparent. However, 
the development of EIA is an evolving process. While ensuring that the EIA Directive is effectively implemented across an enlarged EU , it is also necessary to ensure that the 
Directive is adapted to the Co mmunity and international policy and legal contexts. Thus, the 
Commission's report indicates areas where impr ovements are needed (e.g. screening, public 
participation, quality of the EIA, EIA transboundary procedures, coordination between the EIA and other environmental directives and policie s, such as climate change and biodiversity) 
and presents possible reco mmendations for action. 
According to the Commission's Report on the SEA , it appears that the overall picture of the 
application and effectiveness of the SEA Directiv e across all Member States is a varied one, 
in terms of the institutional and legal arrangeme nts of the SEA procedure, and in terms of how 
Member States perceive its role. This divers e picture also determines the way in which 
Member States view the benefits and drawbacks and what measures are likely to improve the 
implementation and effectiveness of the Dir ective. The Commission's report showed that, 
overall, the SEA Directive contributes to the systematic and structured consideration of 
environmental concerns in planning processe s and better integration of environmental 
considerations upstream. In addition, by mean s of its requirements (environmental report, 
consultation and information of the authorities and public concerned etc. ) it ensures better and 
harmonized planning procedures, and contributes to transparent and participatory decision 
making processes.  
The guidance documents developed by the Comm ission services in previous years on 
important aspects of both directives187 were of ten used as a reference in contacts with 
national authorities. 
 
6.3.2.2.  Enforcement of the EIA/SEA Directives 
Although the Environmental Impact  Assessment sector continues to generate a high number 
of complaints, its contribution to the overall number of open cases ha s decreased. Most open 
cases in the sector still relate to the EIA Dir ective, but cases relating to the SEA Directive are 
on the increase. The current situation is satisfactory. 
                                                
 
186  Both reports can be found at http://ec.europa.eu/environment/eia/home.htm .  
187 http://ec.europa.eu/en vironment/eia/home.htm   
EN 188   EN The majority of the infringement cases relate d to the EIA Directive concern bad (incomplete 
or incorrect) transposition of th e Directive's provisions or failu re of the Member States to 
apply the screening mechanism correctly (Artic le 4(2) and Annex III of the EIA Directive). 
With regard to the SEA Directive, it is relati vely recent and there is still not sufficient 
experience on its implementation. Given the simila r nature of the obliga tions between the EIA 
and SEA Directives, it is to be expected that  problems in the correct application of the SEA 
Directive will be similar to those encountered in applying the EIA Directive. In terms of 
enforcement, early signs are that decisions as  to whether smaller plans and programmes or 
modifications require an SEA (so-called “screen ing” decisions) could pose problems of bad 
application. In addition,  there are similar concerns as re gards the definition of "plans and 
programmes". 
 
6.3.3.  Evaluation results 
 
6.3.3.1.  Priorities 
In 2009, the Commission services continued applying the priori ties188 which were identified 
in the previous reports and which were highl ighted by the Commission in its communication 
COM/2008/773 and the Commission staff working document accompanying the 
communication. Individual breach es of certain provisions of the environmental impact 
assessment legislation, which are not covere d by the abovementioned priorities, should 
primarily be addressed through the existing re view mechanisms at Member State level. 
On the basis of the implementation experience, it is not necessary to modify the priorities 
already identified regarding the enforcement of the EIA and SEA Directives. The 
Commission services will therefore continue imp lementing the priorities identified in the 
                                                 
188  It should be recalled that thos e priorities include the following: 
 Non-conformity of transposing measures  for the EIA/SEA Directives likely to 
affect the attainment of the legislative objectives. These cases now mainly concern 
the EU-12 Member States. 
 Breaches concerning big infrastructure pr ojects or interventions involving EU 
funding. 
 Breaches linked to bad transposition of certain provisions of the environmental 
impact assessment legislation likely to affect overall the attainment of the legislative objectives. 
 Breaches that reveal interpretation problem s concerning certain provisions of the 
environmental impact assessment legislation which could have a significant influence on the impact of the legislati on that would justify seeking clarification 
from the Court of Justice. 
EN 189   EN sectoral communication COM/2008/773 and th e Commission staff working document 
accompanying the communication.  
 6.3.3.2.  Planned action (2010 and beyond) 
EIA Directive 
The EIA Directive has been identified as a potential instrument for a future simplification 
exercise189, the aim being to identify overlaps, gaps and potential for reducing regulatory and 
administrative burdens, in particular  regarding trans boundary projects.  
The findings of the Commission's implementation report will be relevant in the framework of 
a simplification exercise. The Commission will consider all simplification methods 
(codification, codification combined with th e introduction of comitology, recasting, merging, 
use of regulation).  
Any simplification initiative will aim to im prove environmental protection, increase the 
degree of harmonisation and simplify existing pro cedures. Regardless of the approach chosen, 
the Commission will ensure that any major modi fication will be subjec ted to a consultation 
with all stakeholders and will underg o a legislative impact assessment. 
SEA Directive 
The findings of this first Commission's implemen tation report suggest that the application of 
the SEA in Member States is in its infancy, and that further experience is needed before deciding on whether the Directive should be am ended and, if so, how this should be done. 
Member States seem to prefer stability in the legislative requirements, to allow SEA systems 
and processes to settle down and provide the o pportunity to establish robust ways of using 
SEAs to improve the planning process. The ne xt evaluation report should be prepared in 
2013. 
 
6.3.4.  Sector summary  
The EIA Directive has achieved its objectives. However, since th e development of EIA is an 
evolving process, the challenge of  ensuring that the Directive is implemented in an effective 
and consistent manner across all Member States  is continuous. The findings of the recent 
Commission's implementation report will be relevant in the framework of a simplification exercise. Any simplification initiative will aim to improve environmental protection, increase 
the degree of harmonisation and simplify existin g procedures. All simplification methods will 
be considered (codification, codification comb ined with the introduction of comitology, 
recasting, merging, use of regulation). Regardle ss of the approach chosen, the Commission 
will ensure that any major modification will  be subjected to a consultation with all 
stakeholders and will undergo a legislative impact assessment. 
                                                
 
189  COM(2009)15. 
EN 190   EN The SEA Directive is still in its infancy. Furt her experience is needed before deciding on 
whether the Directive should be amended a nd, if so, how this should be done.   
The Commission services will con tinue the implementation of bot h Directives on the basis of 
the priorities recently iden tified in the sectoral communication COM/2008/773 and the 
Commission staff working documen t accompanying the communication. 
 
6.4. Protecting Water Resources  
 
6.4.1.  Current position 
 
6.4.1.1.  General introduction  
Water legislation in the European Union ente red a new era following  the adoption of the 
Water Framework Directive 190 which  establishes a strategic fram ework for the protection of 
all water bodies, i.e. rivers, lakes, coastal waters and groundwater in a highly integrated 
manner. As the cornerstone of EU water policy,  the Water Framework Directive provides that 
all water bodies must meet the standard of “good status” as a ru le by the end of 2015. To this 
end, Member States must draw up a river ba sin management plan ( RBMP) and a programme 
of measures for each river basin district. Th e draft plans and programmes were  to be 
submitted to the public for consultation by Decem ber 2008 at the latest. They should have 
been adopted by 22 December 2009 and reported to  the Commission 3 months thereafter.  
The Water Framework Directiv e (WFD) will repeal several pre-existing EU water acts by 
December 2013, except the Urban Waste Wate r,191 Drinking Water,192 Bathing Water193  
and Nitrates Directives .194 The implementation of the Wate r Framework Directive must not 
                                                 
190 Directive 2000/60/EC of the European Parliament and of  the Council of 23 October 
2000 establishing a framework for Community actio n in the field of wa ter policy (OJ L 327, 
22.12.2000, p. 1–73). 
191 Directive 91/271/EEC of 21 May 1991 concer ning urban waste-water treatment (OJ L 
135, 30.5.1991). 
192 Directive 98/83/EC of 3 November 1998 on the quality of water intended for human 
consumption (OJ L330, 5.12.1998). 
193 Directive 76/160/EEC of 8 December 1975 c oncerning the quality of bathing water 
(OJ L031, 5.2.1976). This Directive is in the process of bei ng replaced by Directive 
2006/7/EC of 15 February 2006 concerning the ma nagement of bathing water quality and 
repealing Directive 76/1 60/EEC (OJ L of 4.2.2006). 
194 Council Directive 91/676/EEC of 12 Decem ber 1991 concerning the protection of 
waters against pollution caused by nitrates from agricultural sources  (OJ L 375, 31.12.1991, 
p. 1–8). 
EN 191   EN jeopardise the achievement of the objectives of these EU water acts and vice-versa. Under the 
WFD, complementary Direct ives have been adopted on the protection of Groundwater 
against pollution and deterioration195  and on Environmental Quality Standards (EQS) 196 
establishing the standards which constitute the chemical status criteria for the Water 
Framework Directive.  
The Urban Waste Water Directive , in particular, is a key el ement of EU water policy for 
achieving the Water Framework Directive enviro nmental objective of good status. The Urban 
Waste Water Treatment Directive requires that wastewater generated by agglomerations is 
collected and made subject to secondary treatm ent before being discharged into the natural 
environment. More stringent treatment must be a pplied when wastewater is discharged into so 
called sensitive areas. The original EU15 Member  States should have achieved the objectives 
of the Directive in 1998 for sens itive areas, in 2000 for large towns and cities discharging in 
normal areas and by 2005 for smaller towns disc harging in normal areas. Regarding newer 
EU12 Member States, which joined the EU  in 2004 and 2007, their Accession Treaties 
provide for extended time periods to meet  the objectives of the Directive.  
The Drinking and Bathing Water Directives  require Member States to meet binding quality 
standards to ensure safe drinkable water from the tap and clean water for bathing, to monitor 
whether the standards are complied with and to inform consumers and the public accordingly.  
The Nitrates Directive  is also an important instrument  which deals with the relationship 
between agriculture and water quality. In order to reduce and prevent wa ter pollution caused 
by nitrate pollution originating from agricultur al sources, Member States must monitor 
waters,  designate so called nitrate vulnerabl e zones and then adopt and implement action 
programs and codes of good agricultural practi ces  with the aim of improving fertiliser 
management and reducing nitrate leaching towa rds waters. Monitoring programs are required 
to be set up to assess the effici ency of these action programs.  
The Floods Directive 197 requires Member States to assess  flood risks and to establish flood 
risk management plans by 2015, with the aim to reduce flood risk for human health, economic 
activity, the environment and cultural heritage. The  Marine Strategy Framework 
Directive 198   established a strategic framework for the protection of the marine environment 
                                                 
195 Directive 2006/118/EC of the European  Parliament and of the Council of 
12 December 2006 on the protection of groundwat er against pollution and deterioration  (OJ L 
372, 27.12.2006, p. 19–31).   
196 Directive 2008/105/EC of the European  Parliament and of the Council of 
16 December 2008 on environmental quality standard s in the field of water policy, amending 
and subsequently repealing Council Di rectives 82/176/EEC, 83/513/EEC, 84/156/EEC, 
84/491/EEC, 86/280/EEC and amending Directive 2000/60/EC of the European Parliament 
and of the Council  (OJ L 348, 24.12.2008, p. 84–97). 
197 Directive 2007/60/EC of the European Parliament and of  the Council of 23 October 
2007 on the assessment and management of flood risks  (OJ L 288, 6.11.2007, p. 27–34). 
198 Directive 2008/56/EC of 17 June 2008 esta blishing a framework for community action 
in the field of marine environmental policy (Marine Strategy Framework Directive) (OJ L 
164, 25.6.2008, p. 19-40). 
EN 192   EN in a highly integrated manner. It provides that all marine waters must meet the standard of 
“good environmental status” as a rule by 2020, and that coordination and cooperation between 
Member States has to take place in shared mari ne regions. To this end, Member States must 
draw up the necessary progr ammes of measures by 2015 
 6.4.1.2.  Report of the work done in 2009 
Management of the acquis, new le gislation and preventive measures  
The Common Implementation Strategy, an info rmal process set up in 2001, has delivered 
extensive guidance to promote the implementation of the Water Framework Directive .  The 
objective of the strategy is to provide a forum for Member States, stakeholders and 
Commission's experts to work together towards a successful implementation of the core water 
law at EU level. In this c ontext a number of expert groups  comprising Member States and 
stakeholders' experts have cont ributed to the development of  various implementation tools 
and measures.  
The implementation of the Water Framework Directive  in 2009 was characterised by the 
following main developments. Most Member Stat es conducted consultations  of the public and 
interested parties on draft River Basin Management Plans (RBMPs) in the first semester. The Commission monitored this process closely and further developed the concept of and 
methodology for compliance-checking in consultati on with Member States in expert groups. 
This will form the basis on which the Commission will start assessing the content of the final 
RBMPs in 2010, with a view to publishing a third Commission implementation report in 
2012.The development of reporting structur e and procedures via WISE, the Water 
Information System for Europe, further helps to simplify the reporting process for Member 
States, thus reducing administrative burden. 
The second Water Framework Directive implem entation report199 was published focusing on 
the implementation of the monitoring networks. In  general, there is a good monitoring effort 
across the EU, although some shortcomings were  identified, including some of a serious 
nature. For the first time all Member States w ho reported, did so electr onically through WISE. 
Preparatory work continued for the next proposal, based on article 16 of the Water 
Framework Directive, on the identification of ne w priority substances and the development of 
environmental quality standards for them. This proposal is planned for early 2011.  
The deadlines for notification of nati onal transposing legislation for the Groundwater 
Directive  expired on 15 January 2009 and the Floods Directive on 26 November 2009. For 
the Floods Directive, compliance promotion took place in the form of the development of a 
transposition checklist, which was circulated to  Member States. A transposition checklist is 
                                                
 
199  COM(2009)156 final, of 01.04.2009, Report fr om the Commission to the European 
Parliament and the Council in accordance with article 18.3 of the Water Framework Directive 
2000/60/EC on programmes for monitoring of water status, and the accompanying 
Commission Staff Wo rking Document  SEC(2009)415 of 01.4.2009. 
EN 193   EN also in development for the EQS Directive. The Commission furthermor e adopted a Directive 
on technical specifications for chemical anal ysis and monitoring of water status200.   
The Commission continued the stakeholder co nsultation process on the future eventual 
revision of the Drinking Water Directive  which was commenced in 2008. Based on the 
results of this consultation exercise, the Commission in 2009 commenced the impact 
assessment process to accompany the drafting of a new legislative proposal amending 
elements of the existing legislative framew ork. In 2009, the Commission also drew up two 
documents to support the implementation of the new Bathing Water Directive: Decision 
2009/64/EC on the equivalence on microbiological  monitoring data allowing the use of 
alternative monitoring methods201 and a guidan ce document that provides advice to Member 
States for the establishment of the bathi ng water profiles by the 2011 deadline which was 
published in December 2009202. In 2009, the Commission also published its 5th report on the 
implementation of the Urban Waste Water Directive .203 
As to the implementation of the  Nitrates Directive , the Nitrates committee made up of 
Commission and Member State re presentatives was convened f our times in 2009 mainly to 
discuss derogations requested by Germany, Th e Netherlands and the United Kingdom. These 
meetings resulted in the adoption of Decision 2009/753/EC (Germany), Decision 
2009/431/EC (United Kingdom) and Decision 2010/65/ EU (The Netherlands) allowing those 
Member States to apply higher amounts of livestock manure to land.. In addition, the 
Commission continued to assess th e implementation of the Nitrates Directive in the various 
Member States, in particular focusing on impl ementation in France, Greece, Spain, Portugal, 
Sweden, Denmark Poland, Latvia, Lithuania,  Slovakia, Czech Republic, Bulgaria and 
Romania. 
Management of complaints  and of infringements 
Despite the close cooperation with the Member  States, certain infringement actions were 
necessary in 2009.  
• Assessment of conformity of national legislation: The Commission continued the 
assessment of conformity of  the transposition of the Water Framework Directive . At the 
end of 2009, the Commission still had to pur sue 17 cases of non-conformity which had 
been opened from 2007 onwards. The Commissi on sent new letters of formal notice to 
Spain in February 2009, to Belgium and the Netherlands in September 2009 and Bulgaria 
                                                 
200  Commission Directive 2009 /90/EC of 31 July 2009 laying dow n, pursuant to Directive 
2000/60/EC of the European Parliament and of the Council, technical specifications for 
chemical analysis and monitoring of water status. OJ L  201, 1.8.2009, p 36. 
201 Commission Decision 2009/64/EC of 21  January 2009 specifying, pursuant to 
Directive 2006/7/EC of the European Parlia ment and of the Council, ISO 17994:2004(E) as 
the standard on the equivalence of mi crobiological methods (OJ L23 of 27.1.2009). 
202  http://ec.europa.eu/environment/wat er/water-bathing/pdf/p rofiles_dec_2009.pdf 
203  Commission Staff Working Document SEC(2009) 1114 final, 3.8.2009 "5th 
Commission Summary on the Implementation of the Urban Waste Water Treatment 
Directive". 
EN 194   EN in November 2009. Additional letters of formal  notice were sent to  Denmark and Estonia 
in November 2009. Reasoned opinions were se nt to Romania, France and the Czech 
Republic in October 2009. The Commission was however in a position to close the cases 
started against Slovenia and Latvia in 2009.  
• Non-communication of trans posing national measures:  On the Groundwater Directive , 
letters of formal notice on non- communication were sent to 20 Member States in April 
2009. By the end of 2009 Belgium, Denmark, Estonia and the Netherlands had only submitted incomplete transposing acts. Reasoned opinions were sent to Belgium, Greece, Spain, the United Kingdom, the Czech Republic and Estonia in October 2009 and to Denmark, Luxemburg, Finland and Ireland in November 2009. The Netherlands and Ireland communicated their transposing acts early 2010.    
• Bad implementation:  there were two cases of bad application related to the Water 
Framework Directive decided in 2009  concerning the absence of a report on monitoring 
networks. Whereas the case against Greece was closed, the case against Malta had to be referred to the Court of Justice.  
• Complaints:  A horizontal complaint submitted in 2006 against 11 Member States, on the 
scope of the term "water services" was pursued during the year in the context of conformity cases concerning th e relevant Member States. Th e Commission addressed this 
issue in the letters of formal notice relating to the non-conformity cases. A complaint against Austria on the basis of article 4.7 of the Water Framew ork Directive was closed in 
2009 after the projec t was cancelled.  
• Court ruling:  The Court ruled against Spain on 7.5.2009 (Case C-516-07) on the 
implementation of article 3 of the Water Framework Directive. 
 
Regarding the  Urban Waste Water Directive, the Commission's enforcement work has 
focused firstly on ensuring full compliance with the Directive's obligation to designate all sensitive areas and ensure that more stringent  treatment is provided to discharges from 
agglomerations into these areas by 1998 for the EU 15 Member States. In June 2009, the 
Commission sent Belgium a reas oned opinion under the former Ar ticle 228 of the EC Treaty 
for its failure to ensure compliance with the ear lier judgment of the Court of Justice in case C-
27/03. In May 2009 the Commission decided to refe r Portugal to the Court of Justice for its 
failure to ensure compliance with its more stri ngent treatment obligations for sensitive areas. 
The Court of Justice also gave its judgments against Sweden in  case C-438/07 and Finland in 
Case C-335/07 on 6 October 2009. The judgment fr om the Court of Justice in case C-390/07 
against the United Kingdom was given on 10 December 2009. The Commission largely lost 
these three cases on the basis of the adoption by the Cour t of a strict appro ach to the burden of 
proof.  
The Commission secondly continued to fo llow up compliance with the 31 December 2000 
deadline in the Urban Waste Water Directive  requiring collecting sy stems and appropriate 
treatment to be provided for urban waste wa ters discharges emanating from larger 
agglomerations of over 15,000 population equi valent. In December 2009, the Commission 
decided to refer France to the C ourt of Justice for its failure to comply with these obligations. 
Furthermore, a reasoned opinion was sent to Ital y in February 2009 for the same failures. The 
Court of Justice gave its judgment against Po rtugal on 7 May 2009 in case C-530/07 for its 
failure to ensure compliance with these requ irements for a number of agglomerations.  
The year 2009 also saw the launching of lega l action by the Commi ssion with regard to 
ensuring compliance with the collecting and treat ment obligations for smaller agglomerations 
EN 195   EN of 2,000 to 15,000 population equivalent for wh ich the deadline of compliance was 31 
December 2005. Letters for formal notice were se nt to Belgium, France, Portugal, Germany 
and Luxembourg. This was the first wave of infr ingement action to follow up on this deadline 
for the EU 15 Member States.  
In addition to this, a reasoned opinion was sent  to Greece on 23 March 2009 for its failure to 
provide the Commission with a timely report on its implementation of the Urban Waste 
Water Directive . A reasoned opinion was sent under th e former Article 228 of the EC Treaty 
to Greece in February 2009 with regard to its failure to ensure compliance with the first 
judgment of Court of Justice in  case C-119/02. A reasoned opini on was also sent to Spain 
under the former Article 228 of the EC Treaty fo r its failure to ensure compliance with the 
earlier judgment of the Court of Justice in Case C-219/05. Finally, the Court of Justice 
provided clarification in a case against Ireland, Case C-188/08, in a judgment of 29 October 
22009 that domestic waste water discharged through septic ta nks in the countryside was 
covered by Community waste legislation.  
For the Drinking Water Directive,  letters of formal notice were  sent in 2009 to Lithuania, 
Bulgaria and Romania on the ground that thei r national law did not fully and correctly 
transpose the Directive. Furthermore, reasoned opinions were sent to Belgium and the United 
Kingdom and an additional reasoned opini on was addressed to Luxembourg. These 
infringement letters concerned th e continued failure by these Member  States to ensure that the 
Drinking Water Directive  has been correctly transposed. In the same year, the Commission 
was able to close the cases that had been la unched against Hungary, Slovenia, Malta, Latvia 
and Estonia in the light of these Member States ' replies and initiatives. The Commission also 
decided to send a letter of form al notice to Spain in 2009 for its failure to correctly apply the 
Directive in Alicante. Furthermore, in 2009 the Commission decided to close its case against 
France after it was satisfied that  the Member State had suffici ently implemented Court ruling 
C-147/07 for the violation of the "old" Dr inking Water Directive (80/778/EEC).204  
Concerning the new Bathing Water Directive , the Commission's enforcement work focused 
on the notification by Member States of the national measures adop ted to transpose the 
Directive and on the communication of the first national lists of bathin g waters, which were 
due before the start of the 2008 bathing season: 
Non-communication of trans posing national measures:  Member States were required to 
transpose the new Bathing Water Directive  and notify these trans posing measures to the 
Commission by 24 March 2008 at the latest. Letters of formal not ice were addressed in July 
2008 to 21 Member States, namely Austria, Be lgium, Bulgaria, Cyprus, the Czech Republic, 
Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Lithuania, Luxembourg, the 
Netherlands, Poland, Portugal, Romania, Slovaki a, Sweden and the United Kingdom for their 
failure to do so. This proved successful as many of these Member States transposed and 
notified their domestic implemen ting legislation by the end of  2008. At the end of 2009, only 
two Member States, the Czech Republic and Poland had still not notified full transposing measures. As a consequence, at the end of  November 2009, the Commission referred these 
two Member States to th e Court of Justice.  
                                                
 
204 Council Directive 80/778/EEC of 15 July 1980 relating to the quality of water 
intended for human consumption (OJ L 229, 30.8.1980, p.11). Directive 80/778//EEC was 
repealed and replaced by Directive 98/83/EC on 25 December 2003. 
EN 196   EN As to the  Nitrates Directive,  in December 2008 the Commission decided to refer Luxembourg 
to the Court of Justice for having in place a non-compliant nitrate act ion programme (case C-
526/08). A hearing took place on 2 December 2009 and the case was still pending judgment in 
Court of Justice at the end of 2009. In 2008 the Commission services held meetings with the 
United Kingdom authorities to ensure the adequate amendment of its nitrate action 
programmes and as a result the United Kingdo m adopted new compliant programmes, which 
led the case being closed in 2009. The same year  administrative pre-actio n letters for having 
in place non-compliant nitrate action programmes were addressed to France and Greece. As a 
result a case was initiated against France for having in place the non-compliant nitrate action 
programmes. In addition a request for informat ion was addressed to France for clarification 
regarding the designation of vulnerable zones. Discussions w ith Spain in order to ensure the 
adequate amendment of its ni trate action programmes continue d in 2009. By th e end of 2009 
the required amendments to legal texts were no t yet completed to ensure compliance with the 
Directive. 
Petitions 
In 2009, the Commission received 17 petitions re lated to water quality management and 
resource protection. Two petitions were closed  during 2009. Most of the petitions concerned 
Spain, Germany and the United Kingdom. 
 
6.4.2.  Evaluation based on the current situation 
Emission-oriented legislation, such as the Urban Waste Water and Nitrates Directives , has 
achieved great progress in protecting water quality. Much progress on integrated water 
management has been made with the gradual implementation of the Water Framework 
Directive  and the publication of Rive r Basin Management Plans. However, considerable 
challenges remain.  These include addressing issues of water scar city, droughts and floods, 
ensuring that waste water in the EU 12 and also  originating from small towns in the EU 15 is 
properly collected and treated and bringing about the  achievement of good chemical, 
ecological and quantitative stat us by 2015 as required by the Water Framework Directive .  
On the implementation of the Water Framework Directive,  the situation as regards the main 
2009 milestone, i.e. th e delivery of the 1st River Basin Management Plans, can be summed up 
as follows: 1/3 of the Member States published their Plans by the deadline, 1/3 are likely to 
publish them before the repor ting deadline in March 2010, a nd the remaining 1/3 have 
accumulated significant delays in consultation procedures, which are likely to lead to 
substantial delays in the adoption and implemen tation of the plans. The Commission will start 
a comprehensive assessment of all available pl ans after the 22 March 20 10 reporting deadline. 
The conformity of the transposition of the Water Framework Directive  has improved during 
the year as a result of the prioritised actions set for 2009, although a number of non-
conformity cases still remain open. Late, in complete and non-conform transposition of the 
main legal act is still an obstacle to the implementation of the Directive.   
One key implementation challenge was identified in the 2nd implementation report on the 
Water Framework Directive  in relation to monitoring, i.e. the absence of exhaustive national 
methods for assessing the ecologi cal status of surface water bodi es or  the existence of non-
compliant monitoring networks. This is an obstacl e to the assessment of the ecological status. 
EN 197   EN The non-communication cases brought forward on the Groundwater Directive , have 
prompted the notification of th e majority of transposition m easures to the Commission. These 
will be subject to conformity assessment startin g in 2010. Delays in transposing this act could 
in a few cases lead to delays in the implemen tation of certain groundwat er related aspects of 
the Water Framework Directive . The implementation of the Groundwater Directive  will be 
assessed in relation to the River Basin Management Plans referred to above. 
Water quality has improved following EU 15 Member States' encouraging progress in 
implementing the Urban Waste Water Directive.  Yet, there are still many agglomerations, for 
instance, in Belgium, Italy and Spain that la ck complete waste water collecting systems and 
treatment facilities. As to the EU12 Member States, the implementatio n of the Directive is 
characterized by transitional periods foreseen in  the Accession Treaties regarding the building 
of the necessary waste water infrastructure an d by the fact that the EU has made financial 
support available. 
Concerning both the  Drinking and the  Bathing Water Directives , assessment surveys show a 
real improvement in terms of  meeting environmental quality standards even if further 
progress still needs to be made. The preserva tion, enhancement and restoration of drinking 
and bathing water quality will depend upon the correct and full transposition and implementation of both Directives, but also on the delivery of the objectives in the Water 
Framework Directive, Urban Waste Water Directive and Nitrates Directive.  
As to the  Nitrates Directive,  significant progress has been made  in the recent years, including 
in 2009, regarding the designation of "vulne rable zones" and the elaboration and 
implementation of monitoring programmes. Ho wever, further improvements are clearly 
needed, in particular, with regard to the quality  of action programmes as nitrate concentrations 
are still major concerns in some intensiv ely farmed areas. The Commission published on 9 
February 2010 its report205 to the European Pa rliament and Council on the implementation of 
the Directive for the period 2003-2007. 
 
6.4.3.  Evaluation results 
6.4.3.1.  Priorities 
The Commission will prepare the third and ma jor report on the im plementation of the Water 
Framework Directive  in 2012 (as required by ar ticle 18 of the Directiv e), including a review 
of how Member States have tackled th eir river basin management planning.  
This review will consider issues such as Memb er States' implementation of river basin based 
management approaches, water pricing policies,  including full account a nd internalisation of 
environmental and resource costs, cooperation on  trans-boundary rivers, public consultations, 
land use changes, setting of ecologically base d objectives, protected ar eas, analysis of all 
pressures on water resources, integration of wa ter concerns into sector policies, degree of 
                                                
 
205 Report from the Commission to the Council and the European Parliament on 
implementation of Council Directive 91/676/EEC c oncerning the protection of waters against 
pollution caused by nitrates from agricultural so urces based on Member States reports for the 
period 2004-2007 
EN 198   EN achievement of good ecological and chemical status, good ecological potential and good 
groundwater, chemical and quantitative status by 2015,  and the establishment of programmes 
of measures to reach the targets.  
The Commission plans also to carry out a polic y review on water scarcity and droughts in 
2012, which will focus on assessing what is being achieved and whether more action is needed on water efficiency, policy integra tion, land use, use of unconventional water 
resources, drought management and stakeholders' mobilisation. 
Regarding the Drinking Water Directive , the Commission will consider drafting, in 2010, a 
legislative proposal aimed at revising the Directive. The Commission will also assess Member States' data on drinking water quality for 2005-2 007 and compile an EU-wide synthesis report 
in 2010. 
 6.4.3.2.  Planned action (2010 and beyond) 
Given that the preservation, impr ovement and restoration of wate r quality is so closely linked 
to the Water Framework Directive , apart from dealing with existing transposition-related 
cases, the Commission will focus on ensuring Me mber States fully meet their obligations, 
including in particul ar the adoption of appropriate Ri ver Basin Management Plans and 
programmes of measures for each river basin district and the development of national 
methods for assessing the ecologica l status of surface water bodies.  Therefore, and in view of 
the above mentioned third report  on the implementation of th e Water Framework Directive, 
the following actions are planned: 
– Enforcing the adoption of the 1
st River Basin Management  Plans and starting the 
compliance assessments of these plans in 2010, including checking the implementation of 
the Groundwater and the Environmenta l Quality Standards Directives. 
– Supporting and enforcing the transposition of the Directives on Groundwater, Floods and 
Environmental Quality Standards, includi ng starting conformity assessments.  
– Continuing the development, together with the European Environmental Agency, of the 
Water Information System for Europe (WISE)  in 2010 as a single platform for water 
information and reporting to simplify and reduce the overall administrative burden 
involved in reporting. 
In addition, the Commission will launch, if ne cessary, appropriate le gal enforcement action 
against Member States that fail to comply with  the obligations set out in these Directives. In 
this respect, the Commission will continue  to make use of the Common Implementation 
Strategy as an informal platform to foster better implementation and to exchange good practice. 
Planned new legislation includ es the preparation of a propos al on priority substances 
(amending annex X of the Water Framework Dir ective) and the establishment of related 
environmental quality standards. 
The Commission's work regarding the implementation of the Urban Waste Water, the 
Drinking and the Bathing Directives will be based on a twin-track approach. On the one 
hand, it will continue to promote the exchange  of information, experience and cooperation at 
EN 199   EN an informal level with Member States and st akeholders. On the other hand, the Commission 
will draw up and publish implem entation reports, including a report on bathing water quality 
in 2010 and also in 2010 an EU-wide synthesis report on drinking water quality. In addition, 
the Commission will launch, if necessary, a ppropriate legal enforcement action against 
Member States that fail to comply with th e obligations set out in these Directives.  
The Nitrates Directive:  The Commission's work to ensure compliant implementation will 
continue in 2010 on the basis of detailed assessm ents of the information provided by Member 
States in their 4-year implementation reports an d via bilateral contacts. The assessments will 
focus on the main obligations of the Nitrates  Directive, namely on water monitoring, the 
designation of "vulnerable zones" and the drawing up and updating of nitrates action 
programmes. It will then need to be decided whether these assessments need to be followed 
up with infringement action. The Commission will continue to organise meetings of the Nitrates Committee on Member States' derogati on requests and to give Member States the 
opportunity to exchange information on im plementation. The Commission published its 4 
yearly report on implementation in February 2010. 
The Commission will also focus on the tran sposition and implementation of the following 
new EU water Directives: 
- The Marine Strategy Framework Directive  establishes a strategic framework for the 
protection of marine waters in the EU a nd requires Member States to achieve “good 
environmental status” for all marine waters by 2020 on the basis of an  initial assessment 
of marine water quality by 2012 and the establishment by 2015 of programs of measures. 
The Commission's enforcement priorities will fo cus on these deadlines with the first step 
being to assess whether Member States have notified national transposing measures and 
designated competent authorities by the 15 July  2010 deadline. The Commission will then 
need to assess whether those measures will ensure correct and full transposition of the Directive. The Commission will also need to  adopt a Decision by mid-2010 fixing criteria 
and methodological standards for dete rmining "good environmental status".  
- The new Bathing Waters Directive  was required to be trans posed into national law by 24 
March 2008. In 2010, the Commission will need  to continue to verify whether the 
transposition is both correct and complete and whether the Directive is appropriately implemented, including the Member States' dut y to annually designate and notify bathing 
waters. Enforcement action will need to be taken where necessary.  
 
6.4.4.  Sector summary 
Substantial progress regarding the implementati on of EU water law has been observed in the 
past decade as a result of increased awaren ess among decision-makers of the critical 
importance of meeting water quality standards to  preserve water resource and the associated 
natural environment and to protect human healt h. Better implementation has often been driven 
by informal and formal cooperation between Member States, industries, non-governmental 
organisations, consumers and the Commission as well as by infringement procedures. 
However, more efforts need to be made to en sure full compliance with EU water Directives. 
In respect of the Nitrates Directive, the Comm ission has noted that several regions within the 
EU show worrying water quality trends for whic h reinforced action programmes will need to 
be developed. With regard to the Urban Waste Water Directive, Member States must ensure 
that it is fully applie d, including in the new EU 12 Member States and in smaller towns for all 
27 Member States. The implementation of EU  water legislation and the enhancement, 
EN 200   EN preservation and restoration of water quality will greatly depend on Member States meeting 
their obligation to take all re quired measures to guarantee  the achievement by 2015 of the 
environmental objectives of "good chemical an d ecological status" for surface water bodies 
and of "good chemical and quantitative status" for groundwaters set in the Water Framework 
Directive. The Commission will continue to focus on the proper transposition of European 
water legislation, including of the new Floods and Marine Strategy Directives and their 
implementation. The Commission will continue its e fforts to ensure that Member States fulfil 
their obligation under these Directives and will assist them, when necessary, via formal and 
informal cooperation channels. 
 
6.5. Air quality and environmental noise 
 6.5.1.  Current position 
 
6.5.1.1.  General introduction  
Ambient air quality  
The new Directive 2008/50/EC of the European  Parliament and of the Council of 21 May 
2008 on ambient air quality and clean er air for Europe is the ke y legal instrument in this 
sector206. The Directive entere d into force on 11 June 2008 an d merges four Directives207 
and one Council Decision208 into a single air quality instrument . It introduces new objectives 
for fine particles (PM
2.5) but does not change existing ai r quality standards. Available 
evidence points to serious problems in complyi ng with the air quality limit values in many 
European air quality zones but the new Directiv e does, however, give und er certain conditions 
Member States greater flexibility in meeting some  of these standards in areas where they have 
difficulty complying. 
Under the new Directive 2008/50/EC  Member States have the possibility to notify an 
exemption from the application of the limit values for PM 10 (and to postpone the limit values 
                                                 
206 . OJ L 152, 11.6.2008, p. 1–44.  
207 The four directives merged into the new directive are: Council Directiv e 96/62/EC of 
27 September 1996 on ambient air quality assessment and management ; Council Directive 
1999/30/EC of 22 April 1999 relating to limit values for sulphur dioxide, nitrogen dioxide and 
oxides of nitrogen, particulate matter and lead in ambient air ; Directive 2000/69/EC of the 
European Parliament and of the Council relati ng to limit values fo r benzene and carbon 
monoxide in ambient air; and Directive 2002/3/E C of the European Parliament and of the 
Council relating to ozone in ambient air 
208 Council Decision 97/101/EC establishing a reciprocal exchange of information and 
data from networks and indi vidual stations measuring am bient air pollution within the 
Member States. 
EN 201   EN for nitrogen dioxide (NO 2) which enter into effect in 2010)  provided that certain conditions 
are satisfied. The Commission has nine months fr om the submission of a notification to assess 
it and to decide whether to raise objections or  not. If no objections are raised, the notification 
will be tacitly approved at the expiry of the nine months assessment period. 
Air emissions  
There are several legal instruments which affect  the emissions of certain air pollutants at 
source. These include Directive 98/70/EC relating to the quality of petrol and diesel fuels209, 
Directive 1999/32/EC relating to a reduction in the sulphur content of certain liquid fuels210 
and the Paints Directive 2004/42/EC  on the level of solvents ( volatile organic compounds) in 
paints, varnishes and refinishing products.  
Environmental noise  
The Noise Directive211 lays down a common ap proach to avoiding, preventing or reducing 
on a prioritised basis the harmful effects of exposure to environmental noise. It requires the 
assessment and mapping of ambient noise in large agglomerations and in the vicinity of major 
roads, railways and airports. 
 6.5.1.2.  Report of work done in 2009 
Ambient air quality  
Since 2005 when the PM
10 limit values entered into force, a majority of Member States have 
reported as being in non-compliance. In 2008, 288 zones in 21 Member States did not comply 
with these limits212. The dilemma has been how to treat these breaches of existing 
Community law whilst recognising the explicit possi bility for Member States to seek a time 
extension for compliance. The Commission's policy has been to launch infringement 
proceedings in respect of those situations whic h have not been the su bject of a notification 
from the Member States or where the Commission has raised  objections following a Member 
State notification. There are currently open in fringement proceedings against 22 Member 
States in respect of PM 10.  
                                                 
209 Directive 98/70/EC of the European Parliament and of the Council of 13 October 1998 
relating to the quality of petrol and diesel  fuels and amending Council Directive 93/12/EEC 
(OJ L 350, 28.12.1998, p. 58–68).  
210 Council Directive 1999/32/EC of 26 April 1999 relating to a reduction in t he sulphur 
content of certain liquid fuels a nd amending Directive 93/12/EEC ( OJ L 121, 11.5.1999, p. 
13–18).  
211 Directive 2002/49/EC of the European Parliament and of the Council of 25 June 2002 
relating to the assessment and management of environmental noise  (OJ L 189, 18.7.2002, p. 
12–25).  
212  Provisional data; to date information from  Malta and some Italian regions is missing 
EN 202   EN Up until December 2009, notifications concerning PM 10 had been received from 18 Member 
States covering 295 air quality management zo nes. For around 16% of these, the Commission 
did not raise any objection, a fu rther 15% or so of the zone s were already in compliance 
whilst objections were raised for approxi mately 70% of the zones covered by the 
notifications. Member States are free to re-not ify for zones where objections have been raised 
but any exemption must expire before the end of June 2011. 
Whilst closing some infringement cases in 200 9, the Commission also continued to pursue 
infringement procedures it had launched in prev ious years (France and Spain) and has started 
some others against several Member States (Bulgaria, Czech Republic, Poland, Portugal and 
Romania) that have shown exceedances of sulphur-dioxide (SO 2) limit values that have been 
in force since 1 January 2005. New exceedances we re discovered in 2008 and reported to the 
Commission in 2009 as part of th e formal reporting requirements. These excesses may also be 
the subject of further infringement proceedings in due course. 
Air emissions  
There has been a significant degr ee of non-preparedness by ships vi siting EU ports to be able 
to comply with the stricter fuel sul phur requirements whilst at berth (0.1% max w/w). These 
requirements entered into force on 1 January  2010 but many ships have not undergone the 
necessary adaptation to their boilers despite the requireme nts having been known since 2005 
and the relatively minor nature of the adapta tions required. Given the volume of ships 
requiring technical modification and the li mited number of suppliers, the Commission 
recommended that Member State competent aut horities take into acco unt the demonstrable 
conduct of ship owners to ensure  that the necessary adaptation is completed in the shortest 
possible time when considering the infringement of the provisions of national law transposing 
the Directive. 
There were also in 2009 ongoing infringement  proceedings against two Member States 
(Czech Republic and UK) for a failure to communicate thei r national legislation transposing 
Directive 2005/33/EC which amends the sulphur  in fuels directive. The CZ case has 
meanwhile been closed.  
Environmental noise  
Under the Noise Directive, the Member States  had to send to the Commission by 18 January 
2009 summary information about th eir noise action plans based upon noise maps prepared in 
2007. Strategic noise maps are required to be draw n up in order to monitor the extent of noise 
pollution,  to inform and consult the public about noise exposure, its effects, and the measures 
considered necessary to address noise.  
Approximately half of the Member States have so far failed to submit information about their 
noise action plans. A further Member State (Malta)  has failed to report information about 
noise maps and is the subject of  ongoing infringement procedures. 
Petitions   
In 2009 the Commission received 13  petitions related to air qu ality and environmental noise. 
Five petitions were closed during 2009. Half of  the petitions concerned Germany; others 
raised issues of air pollution in Irel and, Netherlands, Spain and Austria.  
 
EN 203   EN 6.5.2.  Evaluation based on the current situation  
Ambient air quality  
There remain widespread non-compliance with air quality limit values and particularly those 
for PM 10 which is probably the pollutant of most concern given its adverse impacts on health. 
The limits for nitrogen dioxide ente r into force in 2010 and it is lik ely that there will also be 
widespread non-compliance for this pollutant as well. This is due in part to a lack of 
preparedness by the Member Stat es to undertake the necessary assessments of air quality and 
to put into place the necessary  plans and actions to improve air quality in good time. The 
ongoing "time extension" exercise should imp rove the capacity of the Member State 
authorities to prepare plans and programmes. The Commission will also host a workshop to 
assist the Member States in preparing plan s and programmes and notifications for time 
extensions in the spring of 2010.  Community measures such as those adopted on light and 
heavy duty vehicles will also help improve compliance. In addition, the Janecek  case (Case 
C-237/07) should also lead to improvements as it clarifies that individuals have the right to 
request the preparation of air qual ity plans before national courts. 
Air emissions  
There are no serious issues associated with th e implementation of the fuel quality directive 
except for the occasional failure to report on fuel  quality in a timely fashion. The sulphur in 
liquid fuels directive establishes maximum perm itted levels of sulphur in a range of fuels 
including heating oil, heavy fuel  oil and marine fuels. The non -respect by ship owners with 
the fuel sulphur requirements whilst at berth in EU ports is likely to be  a short-term problem 
that ought to be resolved by the autumn of 2010 by which time all ship owners should have 
undertaken the necessary adaptation of their ships. However, there is sufficient information in the public domain that there are other regular n on-compliances in relation to marine fuels. A 
perceived problem of the directive is that the obligation falls to the end user rather than on 
those placing the relevant fuel on the market . The problem is exacerbated by the fact that 
there is an inconsistency in approach to fu el monitoring amongst the Member States (often 
with very limited information) which derives from the fact that the Directive's provisions are unclear.  
Environmental noise  
The problems thus far encountered  in relation to the implemen tation of the Noise Directive 
are three-fold. First, Member States have been  late in preparing the necessary maps (although 
this is probably due to the fact that this is the first attempt at undertaking a technically 
challenging task) which then leads to delays in the preparation of noise  action plans given the 
quite short time permitted between the two. The second problem is that there are no 
harmonised assessment methods and so Member  States have used national methods thus 
making a wider geographical assessment or co mparison more difficult. Third, the reporting 
requirements are unclear such that non-standardis ed reporting of maps has occurred which in 
some cases makes the use of the re ported information very difficult. 
 
6.5.3.  Evaluation results 
 
EN 204   EN 6.5.3.1.  Priorities  
Ambient air quality  
In the coming years, the Commission will con tinue to monitor closely the situation with 
regard to compliance with air quality limit values in all Member States. It will continue to follow its "horizontal approach", which allows air pollution problems to be addressed in a far 
higher number of places than would have been  possible if it had only focused on individual 
cities or regions.  
Air emissions  
The first priority is to improve the complian ce with the permitted sulphur levels for those 
liquid fuels covered by Direct ive 1999/32/EC. Secondly, a prior ity will be to improve the 
monitoring and reporting under the both the paints  Directive and the sul phur content of liquid 
fuels Directive. 
Environmental noise  
The first priority is to improve the consistency in the Member States' assessments of 
environmental noise and the usefulness of the reported information. A second priority is to 
improve the implementation of the Directiv e by the Member States by providing greater 
clarity and guidance. 
 6.5.3.2.  Planned action (2010 and beyond) 
Ambient air quality  
Infringement procedures are to be envisaged against Member States in breach of the limit 
values for PM
10 which do not apply for a time extensi on or do not meet the conditions for 
obtaining such extension. In addition, the Co mmission will start monitoring more closely the 
implementation of the limit values for NO2 which entered into effect in 2010. As regards excessive SO
2, the Commission will continue to pursue the legal enforcement action it has 
already launched against several Member States.  
Air emissions  
There are reviews of the sulphur in fuels and the Paints directiv es underway with the intention 
to bring forward amending legislation, if appropriate, in 2010 and 2011 respectively. 
Environmental noise  
The priorities for further actio n will be to comple te the ongoing review of the legislation 
including its implementation. In addition, th e Commission intends to propose harmonised 
assessment methods in 2010 by committee procedure and to consider streamlined electronic reporting procedures for a future revision of the Directive. Finally, where maps or action 
plans have not been prepared or reported or are deficient in re lation to the requirements of the 
Directive the Commission may pur sue infringement proceedings. 
 
EN 205   EN 6.5.4.  Sector summary 
In 2005 a set of legally binding EU air quality limit values b ecame applicable, including limit 
values for particulate matter PM 10, pollutant with very important  adverse impact s on health. A 
widespread non-compliance with PM 10 limit values remains, partly due to challenging and 
complex nature of this pollutant and the lo wer and delayed impact of certain community 
measures. But the main reasons are serious delays  in the implementation of the directives in a 
large number of Member States, mainly as regards the drawing up and implementation of the necessary plans to ensure that air quality is improved in good time. The capacity and awareness of the Member State authorities of the need to tackle air pollution at the source and to prepare plans and programmes should be in creased through the pr ocedure and conditions 
laid down in the new Directiv e 2008/50/EC on ambient air quality and cleaner air for Europe 
for extending the time required for achieving compliance with the limit values for PM
10, NO 2 
and benzene, joined with coherent and timely enforcement where appropriate.  
In the coming years, the Commission will continue  to monitor closely the air quality situation 
in order to ensure long term and sustainable co mpliance with the limit values in all Member 
States. In particular, it will be  a priority task to assess further time extension notifications 
(primarily for NO 2) or re-notifications (for PM 10) as well as to follow-up on the decisions 
adopted by the Commission. A further priority  will be to ensure a timely and effective 
implementation of Directive 2008/50/EC. Dissemination of information to the public and cooperation between the Member States and the Commission in order to devel op appropriate 
policies should continue.
 
6.6. Industrial installations 
6.6.1.  Current position  
6.6.1.1.  General introduction  
The most important piece of legi slation relating to industrial em issions is Directive 2008/1/EC 
concerning integrated pollution pr evention and control (IPPC Dir ective, codified version of 
Directive 96/61/EC). This Dire ctive sets out common permit rules for industrial installations 
in order to prevent and control emissions into air, water or so il. Installations covered by the 
IPPC Directive are required to  operate under an integrated permit granted by the competent 
authorities of the Member States . The provisions of the directive were due to enter into effect 
either in October 1999 (for new installa tions) or before October 2007 (for existing 
installations). 
The Large Combustion Plants (or LCP) Directiv e, 2001/80/EC, aims to reduce emissions of 
sulphur dioxide, nitrogen oxides and dust from combustion plants whose rated thermal input 
is equal to or greater than 50 MW. The contro l of emissions from su ch plants contributes 
significantly to the Union's efforts to protect the health of EU citizens and the environment by combatting acidification, eutrophic ation and ground-level ozone as part of the overall strategy 
to reduce air pollution (see also NEC Directive).  
Further important legislation re lating to industrial emissions (other than greenhouse gases) 
includes the Waste Incineration (WI) Direc tive, 2000/76/EC, the VOC Solvent Emissions 
(SE) Directive, 1999/13/EC and the E-PRTR Regulation (EC) No 166/2006.  
In addition to the sectoral directives, the National Emission Ceilings (NEC) Directive, 
2001/81/EC, plays an important role in defining  and limiting the total national emissions of 
EN 206   EN certain air pollutants with the aim to redu ce negative effects on human health and the 
environment, such as acidification, eu trophication and ground- level ozone. The NEC 
Directive covers air emissions of all econo mic sectors and sources within the national 
territories.  
The Seveso II or Major Accident Hazards Dire ctive213 applies to esta blishments in which 
certain dangerous substances are present in su fficiently large quantities to create a major 
accident hazard. It contains obligations on both operators and Member State authorities to 
take measures aimed at preventing majo r accidents and limiting their consequences. 
6.6.1.2.  Report of work done in 2009 
Revision of the existing legal framework  
In June 2009, a political agreement was reached in first reading on a proposal for a directive 
on industrial emissions (IED), which is a recast of  seven directives, including the IPPC, LCP, 
WI and VOC SE Directives. The Council's Positio n at first reading is subject to second 
reading in the first half of 2010, with the aim of adopting the Directive in by the end of 2010. 
Work in relation to the revision  of the NEC Directive could not  continue in 2009 but has been 
put back on the new Commission's agenda in 2010.  
Work on a review of the Seveso II Directive, including a number of studies and consultations 
with Member States and stakeholders c ontinued in 2009, with a view to a Commission 
legislative proposal in 2010. 
Compliance promotion and legal enforcement work  
In the course of 2009 the Commission con tinued to carry out implementation work 
concerning the IPPC Directive in line with the ac tions specified in its action plan which forms 
part of the 2007 Comm ission Communication " Towards an improved policy on industrial 
emissions "214  Transposition of the IPPC Directive  
In 2009 out of the ongoing three non-conformity infringement procedures regarding the non-
conform transposition of the I PPC Directive, the one against the Czech Republic was closed. 
A Reasoned Opinion was addressed to Estonia, while  in case of Lithuania it is expected that 
the adoption of the foreseen legislative amendm ents will solve the remaining shortcomings. 
Concerning the Article 260 (ex 228) proce dure against Belgium, having received the 
necessary clarification from the Walloon Regi on, the Commission clos ed the case in May 
2009.  
Transposition of the LCP and WI Directives  
After the technical assessment of the conformity  studies on the LCP Directive, Member States 
(except Cyprus, Greece, Luxembourg and Portug al, where the transpos ition has been found to 
                                                 
213 Council Directive 96/82/EC on the contro l of major-accident hazards involving 
dangerous substances  OJ L 10, 14.1.1997, p. 13–33. 
214 COM(2007) 843 final 
EN 207   EN be correct and complete) were addressed by pr e-258 (ex 226) lette rs in July 2009. An analysis 
of the responses is being carried out by the Commission.  
Similar letters about the WI Directive were sent  out in January 2010 to Member States (except 
Bulgaria which was subject to an individual exercise at an earlier stage, and Greece, 
Luxembourg and Spain, where the transposition has been found to be correct and complete). 
IPPC permits for existing installation s under Article 5(1) of the Directive   
By 30 October 2007, all existing IPPC installa tions had to obtain a permit issued in 
accordance with the requirements of  the Directive. After the expiry of this deadline, the 
Commission launched eleven infringement pro cedures in 2008 against Belgium, Bulgaria, 
Denmark, Estonia, Greece, Spain, Ireland, Italy, The Netherlands, Portugal and Slovenia. Out 
of these, the one against Estonia was closed in  October 2009 and the on e against Bulgaria is 
expected to be closed in 2010 since both Memb er States reached 100% in terms of permitting. 
Eight of the remaining nine Member States have been referred to the Court of Justice of the 
European Union. In addition, the Commission launc hed new procedures in  the course of 2009 
against Austria, France, Malta and Sweden.  
Implementation of the IPPC and WI Directives   
Three-yearly implementation reports were to be sent by Member States  to the Commission by 
30 September 2009 (covering the period 2006- 2008). The Commission ha s sent pre-258 (ex 
226) letters to those Member St ates who have not fulfilled this  reporting obligation even after 
several reminders (to Greece and Luxembourg concerning both Directives, and to Slovenia concerning the WI Directive). The Commission will carry out the assessment of the reports 
provided by Member States during the course of 2010. 
Implementation of the LCP Directive
  
For implementing the LCP Directive provisions for certain existing plants, eight Member 
States have chosen to apply a national emi ssion reduction plan (NERP) instead of setting 
individual emission limit values: the Czech  Republic, Greece, Finland, France, Ireland, 
Portugal, Spain and the United Kingdom. 
In 2009, the Commission has checked the complia nce of these MS with  the NERP provisions 
but further communications with MS will be necessary in order to validate the assessment. For those MS where breaches have been found, in fringement procedures will be launched in 
the course of 2010. 
The Accession Treaties of four Member States (LT, RO, BG and PL) include transitional 
derogations for some provisions of the LCP Directive, which are conditional to meeting 
emission ceilings for all of the large combustion plants in the MS in certain specified years (including 2008 in all cases). The Commission has assessed the 2008 LCP emissions in these 
MS against the Accession Treaty  ceilings and has identified potential breaches for Poland and 
Bulgaria. Further communication wi th these MS will be carried out in 2010 to evaluate the 
situation in view of possibl e infringement procedures. 
Implementation of the VOC Solvents Directive
  
In 2009, the Commission has received the re ports from all Member States on the 
implementation of the Directive during the period 2005-2007. As the deadline for the 
EN 208   EN application of the provisi ons for existing installations  was 30 October 2007, no final 
conclusions on the implementation could be draw n, but progress has been  noted regarding the 
authorisation or registration of installations and regarding the application of the measures to 
ensure compliance. A summary report will be drawn up by the end of 2010 in conjunction 
with the implementation report on the IPPC Directive 2008/1/EC. 
Implementation of the E-PRTR Regulation   
On 9 November 2009, the Commission and the European Environment Agency launched the 
new European pollutant releas e and transfer register (E-P RTR). The register contains 
information about the quantity and location of pollutants released to air, water and land by 
industrial facilities th roughout Europe. It includes annual da ta for 91 substances and covers 
more than 24 000 facilities in 65 economic activiti es. It also provides additional information, 
such as the amount and types of waste transferre d from facilities to waste handlers both inside 
and outside each country.  
The Commission has been working on a questionnaire for the three-yearly implementation 
reports to be sent by Member States to the Commission, together with the information to be 
reported to the E-PRTR pursuant article  7 of the Regulation by 31 March 2011.  
Implementation of the NEC Directive   
According to the NEC Directive, Member St ates shall prepare emission inventories and 
emission projections for certain air pollutant s and shall submit this information to the 
Commission and the EEA annually. The report  due by 31 December 2009 had to include 
emission inventories for 2007 (final) and 2008 (p rovisional) and updated emission projections 
for 2010.  
The analysis of the latest reports shows that a number of Member States are still projected to 
be above the ceilings for 2010. In a few cases the tr ansgression is small an d it is likely that the 
ceiling can be met in the course of the next years.  
For eight Member States (Austria, Belgium,  France, Germany, Ireland, Luxemburg, Malta, 
Spain) the transgression is substantial, rangi ng from 10 to 58% and these Member States 
would have to make significant additional e fforts to comply with their ceilings.  
The Commission is considering the most appropri ate way to address th ese shortcomings and 
to ensure proper implementation of th e Directive by the deadline of end 2010. 
Transposition of the Seveso II Directive  
In 2009 the Commission pursued infringement procedures against a number of EU-12 
Member States for non-conform transpositio n of Directive 96/82/E C and the amending 
Directive 2003/105/EC (the Seveso  II Directive). During the cour se of the year 3 of those 
cases were closed (Estonia, La tvia and Romania). At the e nd of 2009, cases remained open 
against Bulgaria, Czech Republic, Lithuania and Poland.  The Commission also pursued an 
infringement procedure against Belgium for non -conform transposition of Directive 96/2/EC. 
It also closed infringement procedures previo usly initiated against 4 EU-15 Member States 
(Denmark, Finland, France and Sweden) fo r non-conform transposition of amending 
Directive 2003/105/EC. 
External Emergency Plans under the Seveso II Directive  
EN 209   EN The Commission also continued legal action be fore the Court against 6 Member States 
(Austria, Belgium, Germany, Luxembourg, Port ugal and Spain) where external emergency 
plans for so-called upper-tier establishments were lacking in breach of the Seveso II 
Directive. During 2009 the Court issued rulings against Austria, Belgium, Luxembourg and 
Portugal (see below). The cases against Germ any and Luxembourg were closed since the 
Member States concerned had taken steps to en sure that the necessary plans were in place.  
Petitions  
In 2009, the Commission received 6 new petitions  related to industrial emissions. These 
petitions raised issues concerning the United Kingdom, Lithuania and Italy. In addition, the Commission has been dealing with those petitions  which were received in earlier years, but 
follow-up with the national au thorities has proved necessar y to enable sending updated 
information to the Parliament. Particular atte ntion has been paid on cases where potential 
serious or persistent breach of EU law c ould have been identified (e.g. alleged huge 
exceedance of emission limit values by ILVA steel plant in Taranto, Italy). 
Judgements of the Court of Justi ce of the European Union in 2009
 
In a judgement of 7 May 2009 (Case C-443/08) the Court found that Fr ance had not adopted 
laws and regulations to transpose several pr ovisions of Directive 1999/ 13/EC, in particular, 
the concepts of 'small installa tion' and 'substantial change'. 
In a judgement of 1 October 2009 (Case C-252/08)  the Court concluded th at Malta has failed 
to fulfil its obligations under the Large Combustion Plant Dir ective, 2001/80/EC, in relation 
to the operation of the Phase One steam plan t of the Delimara and Marsa power stations. 
The Court also declared that Belgium (Case C-342/08), Luxembourg (Case C-289/08), 
Austria (Case C-401/08) and Portugal (Case C-30/09)  were in breach of their obligations in 
relation to the drawing up of ex ternal emergency plans pursua nt to Article 11.1 (c) of the 
Seveso II Directive (cf. judgements of 12 March 2009, 2 April 2009 and 15 October 2009). 
6.6.2.  Evaluation based on the current situation 
IPPC Directive  
The IPPC Directive still falls short of being fully  applied and respected. This is partly due to 
very significant delays in the correct transposition and implem entation of the obligations of 
the directive in an important number of Member States. The main problems relate to the important delays in issuing the IPPC perm its, shortcomings in the implementation (in 
particular BAT), a need for incr eased clarity in the legislation, restrictions in its scope and 
insufficient enforcement of its application. While the currently negotiated IED proposal 
addresses the majority of thes e shortcomings, significant progre ss has been achieved in terms 
of permitting, due to increased support to Member States, and due to the infringement procedures where necessary. The Commission is also continuing its in-depth assessment of 
the implementation by Member States through the investigation of the pe rmits and operational 
conditions of some specific installa tions (new study launched in 2010).  
LCP Directive 
EN 210   EN As a result of pre-258 (ex 226) letters concerni ng transposition, several Member States have 
made commitments in terms of adopting new le gislation to ensure full compliance with the 
Directive's provisions.  
As set out under point 1.1.1.2, the Commission has identified issues concerning the 
application of the Directive in a number of  Member States, in particular concerning 
compliance of the emissions w ith the ceilings defined under the NERP and with the ceilings 
under the Accession Treaty. In case of confirmation of the identified breaches, the 
Commission will launch infringement procedures in the course of 2010. 
In addition, the correc t application of the Directive at individual instal lations will be 
considered in the framework of a study in the course of 2010. 
Waste Incineration Directiv e and VOC Solvents Directive 
The correct application of these Directives at individual installations will be considered in the 
framework of a study in the course of 2010. 
NEC directive 
As described above under point 1.1.1.2, some Member  States will probably fail to meet the 
national emission ceilings for 2010 mainly due to  insufficient measures taken in order to 
reach compliance.  
The NEC Directive has not yet been subject to  conformity checking (exercise launched in 
2009, results expected in 2010). Therefore, no assessment of the transposing national 
measures could be carried out, and potential de ficiencies have not yet been addressed.  
Seveso II Directive 
The basic provisions of the Seve so II Directive have remained  essentially unchanged since 
1996. Overall, the Directive appears to be fit for purpose and is being satisfactorily applied 
and complied with. The level of transpositi on and implementation of the Directive has 
continued to improve, and the number of outstan ding legal proceedings has steadily reduced.  
As noted above, a review of the Directive is ongoing. This is expected to lead to Commission 
proposals in 2010. No major overhaul of the Dir ective appears to be necessary. The main 
change that is foreseen is the adaptation of Annex to the Directive to the Globally Harmonised 
System of classification of dangerous substances . Certain other provisions are expected to be 
updated and clarified to improve im plementation and enforceability. 
6.6.3.  Evaluation results 
6.6.3.1.  Priorities 
Industrial emissions 
Continued attention needs to be paid to improv ed respect for the existing provisions and to a 
strong follow-up on their full implementation.  
Priority is therefore attached to: 
• Finalization of the on-going co-decision procedure with the adoption of a new 
industrial emissions Directive 
EN 211   EN • Ensuring full transposition of the relevant  Community legislation by Member States 
(assessment of conformity studies on the VOC is foreseen for 2010, while on the NEC 
Directive for 2011)  
• Increased assistance to Member States on implementation 
• Ensuring that Member States fulfil their reporting obligations.  
• A more systematic approach concerning the breaches of the IPPC Directive and 
launching of infringement procedures 
• Annual reporting on progress in implementati on of the Action Plan and its revision as 
part of the next Commission's report on IPPC implementation (around end 2010 or 
beginning 2011) (see further information below). 
• Development of transposition checklist and interpretative guidance documents on the 
new IED to provide early support to Member States in transposition and 
implementation. 
 
On the basis of these priorities and the wo rk programming set out be low, it is hoped to 
improve substantially compliance with the exis ting provisions at the latest by 2012, by which 
time the focus of attention will move to the im plementation of the new legislative framework. 
Seveso II Directive 
Regarding the Seveso II Directive, the main priority at present is the development of 
proposals for a revised Directive in the light of  the results of the review process. However 
importance also continues to be attached to ensuring the full transposition and implementation 
of the existing Directive.  
6.6.3.2.  Planned action (2010 and beyond) 
2008-2010 Action Plan on implementation of  the existing IPPC directive 
The Commission will continue to  prioritise work on its current collective infringement 
proceedings, covering a large number of deficienci es in several Member States. Infringement 
proceedings could also be opened against those Member States showing a significant delay in 
fulfilling their reporting obligations. 
The Commission will strengthen its monitoring  and supporting mechanisms by revising and 
refocusing the current IPPC Action Plan on Implementation for the time period 2008-2010 as 
set out below.  
• Ensure full transposition of the le gislation on industrial emissions 
The success of the existing legislation relies first of all on effective transposition by 
Member States in their national legal systems. At the end of 2009, Estonia and 
Lithuania had still not fully transposed the IPPC Directive. The Commission will 
continue to pursue infringement proceedings to ensure full and co rrect transposition 
of the industrial emissions legislation.  
• Support Member States in their im plementation of the legislation 
This will include enhanced information exchange, the development of guidance, 
visits to authorities and training. Th is support will continue throughout the 
introduction and implementation of the revised legislation.  
EN 212   EN • Enhanced monitoring and compliance checks  
The Commission will continue to monitor th e number of IPPC permits issued and 
updated and, where required, investigate th e system of monitori ng and inspection at 
IPPC installations. Such investigation will cover specific industrial installations and sectors, the use of general binding ru les, and the analysis of complaints. 
• Improve data collection for review of BRE Fs and create str onger links with the 
Research Framework Programme 
The permit conditions, including emission limit values (ELVs), used in IPPC 
permits must be based on BAT as defined in the IPPC Directive. To continue to help 
the licensing authorities and companies to determine BAT, the Commission will continue to organise the exchange of information between experts from Member 
States, industry and environmental orga nisations resulting in the adoption and 
publication by the Commission of BAT Reference Documents (BREFs). 
Seveso II Directive 
The Commission will continue to monitor implementation of the Seveso II Directive and take 
action as appropriate. The ongoing work in relati on to the review of th e Directive will also 
continue in 2010 with Commi ssion proposals for possible amen dments to the Directive 
expected later in the year. 
6.6.4.  Sector summary 
Both the transposition and the implementati on of the legislation related to industrial 
installations and diffuse sources  (in particular the IPPC, th e LCP and the NEC Directives) 
pose difficulties for Member States. The Co mmission, while supporting Member States in 
different ways (interpretational guidance, studie s, workshops), carries out enforcement actions 
to ensure full compliance.  
The capacity and awareness of competent authorit ies of the need to t ackle air pollution should 
be increased throughout the EU. 
In the coming years, the Commission will cont inue to monitor closely the implementation, 
while at the same time giving priority to th e adoption of the new Directive on Industrial 
Emissions. 
6.7. Chemicals and Biocides  
6.7.1.  Current position 
6.7.1.1.  General introduction 
  Chemicals 
EN 213   EN The REACH Regulation  (1907/2006)215,  which entered into force on 1 June 2007, is the 
cornerstone of the EU’s new chemicals legislat ion. REACH, which is considerably more far-
reaching than previous legislation, deals with  the registration, evaluation, authorisation and 
restriction of chemicals. Registration means th e process by which information on the safety of 
chemicals will need to be submitted for regist ration in a central database, managed by ECHA. 
Evaluation includes a quality check of the regi stration dossiers and ex amination of testing 
proposals and is done by ECHA; it also includes  a more thorough examination of specific 
substances, where Member States play an impo rtant role. Substances of very high concern 
will require authorisation  for use and before being placed on the market. There is a procedure 
for restriction of manufacturi ng, placing on the market or usi ng of certain substances where 
there is an unacceptable risk to health or th e environment, which needs to be addressed on 
community wide basis. 
Regulation (EC) No 1272/2008216 on the Clas sification, Labelling and Packaging of 
Substances and Mixtures was adopted in 2008 and incorporates the UN GHS (United Nations 
Globally Harmonised System) into Community law and will replace after a transitional period certain provisions of the current directives  related to the classification, packaging and 
labelling of dangerous substances (Directiv e 67/548/EEC217) and preparations (Directive 
1999/45/EC218). Provisions of these Directives sha ll be repealed with effect from 1 June 
2015. 
Directive 76/769/EEC, which concerns restric tions on the marketing and use of certain 
dangerous substances, was repealed by the REACH Regulation on 1 June 2009, the work 
having been fully integrated into REAC H (through Title VIII and Annex XVII)   
Two other pieces of legislation should be menti oned here. First, persistent organic pollutants 
(“POPs“) are governed by Regulation (EC) No  850/2004219. This legislation implements the 
commitments to which the Community has si gned up to under the 1998 UN-ECE Protocol on 
POPs and the UNEP Stockholm Convention on POPs . The Regulation contains requirements 
to eliminate and/or restrict POP substances to a level equal or ev en stricter that foreseen under 
the international agreements. The obligations from the two international agreements have thus been completely transported into Community Law and are as such enforceable according to 
these rules. 
                                                
 
215 Regulation (EC) No 1907/2006 of the European Parliament and of the Council of 18 
December 2006 concerning the Registration, Eval uation, Authorisation and Restriction of 
Chemicals (REACH), establishing a Europe an Chemicals Agency, amending Directive 
1999/45/EC and repealing Council Regulation (EEC) No. 793/93 and Commission Regulation 
(EC) No 1488/94 as well as Council Direct ive 76/769/EEC and Commission Directives 
91/155/EEC,  93/67/EEC, 93/105/EC and 2000/21/EC. 
216 OJ L 353, 31.12.2008, p. 1 217 OJ L 196, 16.08.1967, p. 1. 218 OJ L 200, 30.07.1999, p. 1. 219
 OJ L 158, 30.4.2004, p. 7.  
EN 214   EN Second, basic provisions concerni ng the protection of laboratory animals used in experiments 
are contained in Directive 86/609/EEC220. On 5 November 2008 the Commission adopted a 
proposal to revise Directive 86/609/EEC. One of the key reas ons for the proposed revision 
was uneven implementation of the di rective in the Member States. 
  Biocides  
Directive 98/8/EC of the European Parliament  and of the Council concerning the placing of 
biocidal products on the market221 (the Biocides  Directive) concerns the authorisation and 
placing on the market of biocidal products in the Member States, the mutual recognition of 
authorisations within the Community and the es tablishment at Community level of a list of 
active substances which may be used in biocidal products.  
By 10 February 2010, 33 active substances were included in Annex I and 1 active substance 
in Annex IA. In accordance with Article 16(1) of the Directive, Member States are allowed to 
apply national rules and practic es during the implementation of  the review programme. The 
first product authorisations in accordance with th e Biocides Directive were also granted in 
2009. 
Regulation (EC) 689/2008 of the European Parliament and the Council of 17 June 2008 
concerning the export and import of danger ous chemicals implements the Rotterdam 
Convention on the Prior Informed Consent Proc edure (PIC) for certain hazardous chemicals 
and pesticides in international trade. It establishes special rules for the trade in certain chemicals with third countries with a view to prot ecting human health and the environment 
from potential harm and contributing to the en vironmentally sound use of  such chemicals. By 
10 February 2010 around 140 substances  (pesticides and industrial chemicals) were listed on 
the Annex I to the Regulation, including 40 substa nces that are subject to the PIC procedure 
under the Convention. 
6.7.1.2.  Report of work done in 2009 
This sector of EC environmental law is ch aracterised by substan tial new developments; 
however, legal enforcement action in these fields  does not constitute a significant workload 
for the Commission. 
  Chemicals 
REACH entered into force on 1 June 2007. This included the establishm ent of the European 
Chemicals Agency (ECHA) and the preparati on of IT-systems to hold the new database. 
Registration of chemicals manufactured or importe d in quantities of 1 tonne or more per year 
started on 1 June 2008. Between 1 June and 1 December 2008 manufacturers had the 
possibility to pre-register their phase-in subs tances. Pre-registration, as its name suggests, 
precedes full registration and provides for extended deadlines. Depending on the volumes and the hazardous properties of substances, th ese extended deadlines are 2010, 2013 or 2018. In 
2008, ECHA has received about 2.7 millions pre-re gistration dossiers. If a company failed to 
pre-register by 1 December 2008 it can no longer place its phase-in substances on the market 
                                                
 
220  OJ L 358 , 18.12.1986 p. 1.  
221  OJ L 123, 24.4.1998, p. 1.  
EN 215   EN until it has completed registration. With the firs t registration deadline for phase-in substances 
set for 1 December 2010, most of the work undertaken under registration in 2009 has addressed industry´s preparedness for the su bmission of registration dossiers and their 
compliance with data sharing provisions. In th is context a number of events took place in 
2009 aimed at raising awarene ss of industry´s obligations and role in the Substance 
Information Exchange Fora (SIEFs). In addition to this a lot of effort has been put into further 
clarifying obligations under th e registration and evaluation ch apters, mostly turning into 
updates of ECHA´s guidance documents. 
2009 saw the first judgement of the ECJ on REAC H, which pertained to  the obligation to 
register monomers and other substances used to  manufacture polymers, in which the legality 
of the REACH provision was upheld by the Court.  
Within the process of authorisation, ECHA id entified in 2008 15 substa nces of very high 
concern (SVHC) for the candidate  list subject to eventual authorisation. This list was 
increased in 2009 with 14 substances. Out of the first batch of 15 substances, 7 were 
prioritised for authorisation in 2009, t hough the Commission is still working on the 
amendment of Annex XIV which will effectively s ubject them to the authorisation regime in 
REACH. Once the Commission takes the deci sion to make a substance subject to 
authorisation (by including them in Annex XIV REACH) any manuf acturer, importer or 
downstream user of that substance must  apply for authorisation to use it. 
Member States were obliged to notify to the Commission their na tional provisions for 
penalties applicable for REACH infringement s by 1 December 2008. A number of Member 
States did not fulfil that obligations and ther efore by March 2009 legal enforcement action was 
launched against 8 Member States. Of these Member States, 7 adopted national provisions for penalties applicable for REACH in fringements and notified them to the Commissi on, with the 
result that the infringement pr ocesses were closed. Only one country has still to adopt these 
national rules. The Commission launched a study to assess the national laws setting penalties for 
the infringement of the REACH provisions, which was performe d and finalised in 2009. The 
study has identified a number of differences between Member States´ approach to adopting 
penalties which are effective, proportionate and di ssuasive. The Commis sion is currently 
studying the possible steps ahead further to the findings and conclusions of this study, with a 
view to achieving a higher level of harmonisation  and a better functioning of the internal market 
in this respect.  
To exchange information on enforcement, the Forum for Exchange of Information on 
Enforcement, composed of members nominated  by the Member States, was set up within 
ECHA. The Forum coordinates a network of Member State authorities responsible for 
enforcement of the Regulation. Its main task s include: proposing, coor dinating and evaluating 
harmonised enforcement projects and joint inspections; identifying enforcement strategies 
and, best practice in enforcement; and examini ng proposals for restrictions with a view to 
advising on enforceability. 
In 2009 an additional 9 substan ces were included within th e framework of the Stockholm 
Convention on POPS and an additional 7 in the UN ECE protocol on POPs,   
Every three years Member States shall fo rward to the Commission information on the 
application of the POPs Regula tion including information on in fringements and penalties and 
statistical data on production and placing on the market of pa rticular substances. By the 
EN 216   EN deadline of 20 May 2008 several Member States had not fulfilled these obligations. Despite 
repeated requests four Member States did not provide their three yearly report in 2009. 
The co-decision process for the revision of  Directive 86/609/EEC on the protection of 
laboratory animals saw great advancement in 2009, where the Swedish Presidency took an active role to reach an agreement with the European Parliament for a final text.  
In 2009, the Commission undertook a nd finalised a study on mixtur e toxicity which aimed at 
providing a ‘state of the art’ overview of the science and methodologies for assessing the 
hazardous effects arising from exposures to several chemicals simultaneously. This work 
coincided with an initiative taken in the Council requesting the co mmission to assess how 
such effects arising from multiple exposur es are covered in current legislation. 
In 2009, the Commission received two petitions related to animal experiments in Malta and 
the United Kingdom and compliance with the Directive 86/609/EEC  the protection of animals 
used for experimental and other scientif ic purposes. 
  Biocides  
During 2008 the Commission followed the tran sposition of the Commission Directives 
amending Directive 98/8/EC concerning the plac ing of biocidal produc ts on the market. The 
Commission has closed all of the open infringement cases. 
The Commission also opened 11 horizont al non-communication cases concerning 
Commission Directive 2007/20/EC222 of 3 Apr il 2007 amending Directive 98/8/EC of the 
European Parliament and of the Council to incl ude dichlofluanid as an active substance in 
Annex I thereto. Most of the aforementioned ca sed were closed during 2008, and the last two 
were closed in 2009.  
A similar situation followed the implemen tation of Commission Directive 2006/50/EC223 of 
29 May 2006 amending Annexes IVA and IVB to  Directive 98/8/EC of the European 
Parliament and of the Council concerning the placing of biocidal pr oducts on the market, 
where out of seven non communication cases opened during 2008. All but one cases were 
closed during 2008, and the la st was closed in 2009. 
In 2008 three non-communication cases were re gistered concerning Commission Directive 
2007/69/EC224 of 29 November 2007 amending Di rective 98/8/EC of the European 
Parliament and of the Council to  include difethialone as an  active substance in Annex I 
thereto and two concerning Commission Di rective 2007/70/EC225 of 29 November 2007 
amending Directive 98/8/EC of the European Parl iament and of the Coun cil to include carbon 
dioxide as an active substance in Annex IA th ereto. All of the cases were closed during 2009. 
                                                
 
222  OJ L 94, 4.4.2007, p. 23.  
223  OJ L 142, 30.5.2006, p. 6.  
224  OJ L 312, 30.11.2007, p. 23.  
225  OJ L 312, 30.11.2007, p. 26.  
EN 217   EN The Commission adopted Decisi on 2009/244/EC concerning the placing on the market of a 
carnation (Dianthus cary ophyllus L., line 123.8.12) genetically m odified for flower colour, for 
the purpose of import, retailing and ornamental us es (not for cultivation or food/feed uses). 
On biocides, as set out in the implementation report following Article 18 of the Directive 
published in 2008, the current progress rate of  the review programme will not permit its 
completion by 14 May 2010 as planned. This is mainly  due to the fact that, before any review 
could start (the second phase), it was necessary to establish an inventory of active substances 
used in biocidal products placed on the Europe an market of biocidal products. Considering 
these findings, an extension to the revi ew was proposed by the Commission. On 16 
September 2009 the Commission adopted Directive 2009/107/EC extending the deadline for completion of the review programme until 14 May 2014 226.  
The Commission presented its proposal for a revi sion of the Biocides Directive in 2009. The 
proposal will take the form of a Biocides Re gulation repealing and replacing the Biocides 
Directive. The main changes proposed by the Commission will include an extension of the 
scope to materials and articles treated with bi ocidal products, a possibility to have certain 
categories of products authorised at Community level, measures aimed at strengthening the 
mutual recognition, obligatory rules on data shar ing of tests involving vertebrate animals and 
a partially harmonised fee struct ure. The proposal is currently discussed in the Council and in 
the European Parliament. 
6.7.2.  Evaluation based on the current situation 
  Chemicals The REACH Regulation entered into force on 1 June 2007. Its main obligations started 
applying on 1 June 2008.However, as 1 De cember 2010 is the first deadline for the 
registration of a large number of substances (CMRs and substances above 1000 tonnes), there 
is not yet sufficient information concerning its implementation in  Member States. In order to 
ensure compliance, Member States should put  in place effective monitoring and control 
measures. The Commission is concerned that Member States may not be able to make 
sufficient resources available to ensure comp liance by economic operators. Every five years 
Member States must submit a report to the Co mmission on the operation of the Regulation in 
their respective territories, including sections on evaluation a nd enforcement. The first report 
has to be submitted by 1 June 2010. The Co mmission is currently preparing a reporting 
format and an IT system for these reports.  
With regard to POPs Regulation, the reason fo r the delay in submitting the annual reports 
could be that the Member States  may consider them as low prio rity, as the reporting format 
only sets out four questions which remain th e same every year. As for the three annual 
reports, the reasons could be linked to non-ra tification of the Stoc kholm Convention on POPs 
and/or the Protocol to the regional UNECE Convention on Long-Range Transboundary Air 
Pollution (CLRTAP) on POPs.  
 Biocides 
                                                
 
226  Directive 2009/107/EC of 16 September 2009 ame nding Directive 98/8/EC, OJ L262, 6.10.2009, p40  
EN 218   EN In the biocides area the Commission undertook to monitor the progress made in the second 
phase of the Review Programme for biocides  regulated by Commissi on Regulation (EC) No 
1451/2007.227 Serious delays and significant variati ons were found in the performance at all 
stages of the procedure between the Member States.  
The reasons for the delays are, for example, th e technical complexity of the work, insufficient 
human resources and lack of experience with do ssier preparation (by pa rticipants) and dossier 
evaluation (by Member States). However also  considerable time was needed to develop 
appropriate testing methodologies and expos ure scenarios or for defining harmonised 
approaches for the evaluations. 
The revised PIC Regulation was adopted in 2008 and requires  the Commission to regularly 
compile a report on the operation of the procedur es, which shall include reports from Member 
States. The Commission foresees to comp ile this report in the course of 2012. 
6.7.3.  Evaluation results 
6.7.3.1.  Priorities 
 Chemicals 
Effective implementation of REACH and CLP Re gulations is the main priority in the 
chemicals sector. The Chemicals Agency is play ing a key role in the effective implementation 
of REACH. It will coordinate, over a period of  11 years, the registration of some 30 000 
chemical substances in use today.  
Member States should provide their first reports on the operation of REACH by June 2010 
and ECHA will report by June 2011. On the basi s of these reports, the Commission will 
prepare the first general repor t on the operation of REACH. 
The priorities for POPs will be firstly to tr anspose the agreements reached in 2009 under the 
Stockholm Convention and the UN ECE Protocol into the POPs regulation and secondly to 
develop proposals for new a dditions to the Convention.  
. Biocides 
The first applications for authorisations in accordance with the Biocides Directive were 
received in 2009. In view of this, further action is needed to facilitate the implementation of 
the legal and practical requirements related to these procedures. Estimations showed that the 
number of applications for product authorisat ion and mutual recognition will exponentially 
increase in 2010 and beyond.  
In addition the speeding up of the evaluation of biocidal active substances in the Review 
programme will be a main priority. 
As concerns the PIC Regulation, it is planned to draft a proposal for an amendment that 
addresses changes resulting from Regulation (EC) 1272/2008 on classifi cation, labelling and 
                                                 
227 Commission Regulation (EC) No 1451/2007 of 4 December 2007 on the second phase of the 10-year work programme referred to in  
Article 16(2) of Directive 98/8/EC of the European Parliament and of the Council concerning the placing of biocidal products on  the market, 
OJ L 325, 11.12. 2007, p3  
EN 219   EN packaging of chemicals and to finalise the guidance documents for implementation of the 
Regulation. 
6.7.3.2.   Planned action (2010 and beyond) 
  Chemicals 
The Commission will continue to work to enhance good cooperation, coordination and 
exchange of information with the Member States and the European Chemicals Agency 
regarding enforcement so that the system established by the REACH and CLP Regulations 
can operate effectively. The Comm ission will work closely with  the Forum for Exchange of 
Information on Enforcement in this regard. 
Most guidance documents necessary for industr y preparedness for registration under REACH 
and notification to the Classi fication and Labelling inventor y under the CLP Regulation have 
been adopted, with some necessary updates be ing on their way. The staggered deadlines for 
registration are 2010, 2013 and 2018 and the deadlin e for CLP notification is 1 January 2011. 
Equally a lot of work will be developed in 2010 to ensure the proper functioning of the 
evaluation and authorisation titles in REAC H for which ECHA and Member States are 
responsible.  
REACH calls for the Commission to carry out a re view of the scope of the Regulation by June 
2012 to avoid overlaps with other relevant Co mmunity provisions, and on the basis of which 
it could present if appropriate a legislative proposal. The work  to be undertaken has started 
and for this purpose the Comm ission has launched a study which will be developed in 2010 
and 2011 with the view to assess overlaps a nd gaps between REACH and other community 
legislation when regulating chemi cals, but also identify ways of increasing synergies between 
all relevant pieces of legislation.   
With regard to POPs Regulation the Commission will continue to stress to the Member States 
the importance of the continuity of the in formation provided by them. Furthermore the 
Commission intends to improve the reporting format with the aim to make it more user-
friendly and less time consuming. This can be achieved by establishing links to the SEIS 
(Shared Environmental Information System) initiative. A SEIS Regulation is currently under preparation. The Commission will also addre ss reminders to Member States about their 
reporting obligations on the application of  the POPs Regulation, followed by legal 
enforcement action where necessary. 
 Biocides 
In the biocides area, the Commission will continue  to carefully monitor that the obligations of 
the Member States under the biocides review programme, including the delivery of competent 
authority reports, are adequately met, and will take action where this is not the case. During the meetings of the competent authorities for bi ocides, which are held four times a year, the 
Commission will asks for an update on significan tly delayed dossiers. Member States are 
invited to explain the reasons in order to solv e outstanding issues or collect expert views. 
In view of the acceleration in  the product authorisation stage,  the Commission in consultation 
with the Member States will focus on the smoo th implementation of the process and ensure 
the operation of the Register for Biocidal Pr oducts to be in line with the requirements. 
EN 220   EN The fifth Conference of the Parties of the Ro tterdam Convention will be held in June 2011 
and requires a thorough prepara tion by the Commission, which w ill start in 2010 and become 
a priority in 2011. The administra tive work as well as the software of the European Database 
on Export and Import of dangerous chemicals, whic h is the central tool for implementation of 
the PIC Regulation, will undergo major changes that need to be implemented smoothly. 
6.7.4.  Sector summary 
Chemicals and Biocides sector of EC environm ental law is characterised by substantial new 
developments. In the chemicals sector, though REACH main obligations  started applying on 
June 2008, the first big lot of registrations will come in by December 2010. Similarly, the 
Industry Classification and Labe lling inventory will be esta blished in 2011. Consequently, 
sufficient information on the implementation is  not yet available. Although almost full 
compliance has been achieved concerning in troduction of penalties, the Commission is 
looking at the way forward for a more harmonised approach in relation to these penalties.  
As regards biocides, firstly, the revision of the current legislative framework is expected to 
bring important improvements to implemen tation. Secondly, the review programme for 
biocides requires close monitoring in order to avoid excessive delays. Th irdly, the start of the 
product authorisation stage is a key challenge which will requi re attention in forthcoming 
years. 
6.8. Governance and Environmental Liability 
6.8.1.  Current position 
6.8.1.1.  General introduction 
 Governance 
Public access to environmental information has always been considered as a key issue to 
promote greater awareness of environmental ma tters, a free exchange of views and more 
effective participation by the public in envi ronmental decision-making. The EU decided as 
long ago as 1990 to introduce specific legislat ion; however, new impetus was given by the 
UN-ECE Aarhus Conventi on. Directive 2003/4/EC228  was adopted to fully comply with the 
requirements of the Convention and constitutes a significant improvement compared with the 
previous legislation. The objectives  of the Directive are: a) to  guarantee the right of access to 
environmental information held by or for public authorities and to set out the basic terms and 
conditions of its exercise; and b) to ensure that, as a matter of course, environmental information is progressively av ailable and disseminated to th e public using in particular 
computer telecommunication or electronic tech nology. Both 'passive', i.e. upon request, and 
'active' dissemination of environmental informat ion are covered by the Directive. Its scope is 
broad due to the fact that 'environmental information' and 'public authority' are both given very wide definitions. The latter covers not on ly national, regional and local authorities, 
including public advisory bodi es, but also private non-governme ntal bodies providing public 
services or performing public administrative f unctions in relation to the environment. The 
                                                
 
228 Directive 2003/4/EC of the European Parl iament and of the Council of 28 January 2003 
on public access to environmental information and repealing Council Directive 90/313/EEC, 
OJ L 41, 14.2.2003, p. 26–32  
EN 221   EN Directive makes provision for bot h administrative and judicial review. Directive 2003/4/EC 
had to be transposed by 14 February 2005. 
Public access to envi ronmental information is complemented by the second pillar of the 
Convention. This was implemented by Direc tive 2003/35/EC229 in respect of certain plans 
and programmes relating to the environment, as provided for in Article 2. This Directive had 
to be transposed by 25 June 2005. 
The third pillar of the Aarhus Convention is access to justice, which guarantees the 
effectiveness of the previous two pillars was partially implemented by the previously 
mentioned two Directives and Direc tive 2004/35/EC and by Regulation 1367/2006230. 
Other activities pursued by the Commission to enhance access to justice can be summarised 
as compliance promotion, which ensures a dialo gue with Member States on possible problems 
of implementing EU law at na tional level. Amongst others, ac cess to justice constitutes an 
integrated element of the C ooperation with Judges programme  that was started in 2008. 
  Environmental Liability 
Directive 2004/35/EC of the Eu ropean Parliament and of the Council on environmental 
liability with regard to the preventi on and remedying of environmental damage 
(Environmental Liability Direct ive)231 establishes a framework for environmental liability 
based on the "polluter pays" principle, with a view to preventing and remedying 
environmental damage. 
6.8.1.2.  Report of work done in 2009 
 Governance 
Despite some delays, all the Member States have transposed the Directive 2003/4/EC. The 
Commission contracted an external  consultant to carry  out studies dealing with the conformity 
of national implementing legislation with the re quirements of the Direc tive. Further to the 
finalisation of these studies in  2008 and their examination, in 2009, letters were sent to most 
Member States inviting them to co mment on the findings of the studies. 
Only few petitions submitted to the European Pa rliament raised problems of the application of 
Directive 2003/4/EC in the Member States. On the basis of information available or 
supplementary documents supplied in the framew ork of the petitions, there was no evidence 
that public authorities applied the Directive incorrectly. 
                                                 
229 Directive 2003/35/EC of 26 May 2003, OJ  L 156, 25.06.2003, p. 17. Public participation 
and access to justice concerning Directives 85/337/EEC and 96/61/EC are dealt with the 
relevant sections of this Report. 
230  See Regulation (EC) No 1367/2006 of the Eur opean Parliament and of the Council of 6 
September 2006 on the application of the provisions of the Aarhus Convention on Access to Information, Public Participation in Decision- making and Access to Justice in Environmental 
Matters to Community institutions and bodies (OJ L 264, 25.9.2006, p. 13). 
231
 OJ L 143, 30.4.2004, p. 56.  
EN 222   EN Despite some delays, all the Member States have transposed Article 2 of the Directive 
2003/35/EC. By 25 June 2009 the Commission had to  send a report on the application and 
effectiveness of the Directive to other institu tions. National reports we re not provided for by 
the Directive, however the Commission considered it important to have information from the Member States. The requested contributions were forwarded, in certain cases, with an 
important delay, preventing from the elaboration of the report by the deadline. On the basis of 
the received information, it appe ars that the effective applicati on of Article 2 in the Member 
States was limited, notably due to the fact th at in most cases the SEA procedure (see the 
section on the SEA) was followed. There is no evidence that it was applied incorrectly. 
The Czech Presidency of the EU Council of  Ministers organised a Conference on the 
Application of the Aarhus Convention in Pr actice in Brno, 16-17 April, 2009, where the 
Commission was represented and access to ju stice was discussed by the participants.  
The Cooperation with Judges programme conti nued during the year 2009, starting with a 
seminar in Sofia on EIA and Nature, followed by a Lithuanian seminar discussing EU waste 
legislation in December and in February 2010  Paris seminar on Nature which all had the 
integrated element of access to justice.    
Concerning access to justice, th e Commission places a particul ar emphasis on implementing 
and monitoring the Member States application of  already adopted EU law, namely the Access 
to Information and Public Participation Di rectives' provisions on access to justice.  
The role of the ECJ in interpreting access to justice provisions is becoming more and more 
important in furthering the objective of wi de access to justice. The Court delivered a 
judgement in 2009 stating that Ireland has failed to transpose certain el ements of Directive 
2003/35, (C-427/2007). By requiring the notion of pr ohibitive costs in judicial environmental 
cases to be explicitly transposed, the Court pr ovided a better guarantee of effective access to 
justice for the public and NGOs. In a preliminar y ruling concerning the Swedish national rules 
(C-263/08) the Court ruled on NGOs  standing, stipulating that the national rule setting a 
requirement that only an associ ation with at least 2 000 member s may bring an appeal against 
a decision adopted on an environmental matter is  against the provisions and the objective of 
wide access to justice set out  in Directive 85/337/EEC.  
 Environmental Liability 
The Environmental Liability Directive (ELD) was to be transposed by 30 April 2007 at the 
latest. However, only four Member States had notified complete transposition by this transposition deadline, consequently the Com mission had to open an infringement procedure 
in 2007 through a Letter of Formal Notice addresse d to 23 Member States. This infringement 
procedure for non-communication of the trans posing measures was continued in 2008 and 
2009 by Reasoned Opinions to 16 Member States And eventually a Court application against 
9 Member States which still failed to tran spose the Directive. After having issued two 
judgements for failure to transpose the ELD in 2008 (Finland and France), the European 
Court of Justice rendered further five judgements in 2009 (Austria, Greece, Luxemburg, Slovenia and the United Kingdom) for failure to tr anspose the Directive. By the end of 2009 
one Member State still had not fully completed the transposition into domestic law.  
EN 223   EN After the exploratory study of 2008, the Comm ission launched and obtained a comprehensive 
study in 2009232 in view of the reporting obligation in Article 14 of the Directive on the 
effectiveness of the ELD in terms of actual re mediation of environmental damages and on the 
availability at reasonable costs and on conditio ns of insurance and other types of financial 
security for the activities covered by the scope of strict liability of the ELD. Within the second 
study, questionnaires were addresse d to Member States' experts, the insurance sector, and the 
industrial sector, intervie ws were carried out and a workshop wa s held with all stakeholders in 
July 2009. The study was finalised in November 2009233. 
6.8.2.  Evaluation based on the current situation 
 Governance According to Directive 2003/4/EC, no later than 14 August 2009 Member States had to 
communicate to the Commission their national reports on the experience gained in its 
application to enable it to submit a report to other EU institutions. A Guidance Document for 
these reports was drawn up by the Commission, in  co-operation with Member State experts, 
in 2007.  
During 2009, the Commission reminded Member States of the need to submit these reports. 
By the end of 2009, the majority of the Memb er States had responded to the Commission's 
reminder, but it proved nonetheless necessary to prepare action under Article 258 of the 
Treaty for those Member States who had failed to submit a report.  
Although the national reports had yet to be analysed at the end of the year, it appe ared that, in 
general, public authoriti es at national and regional level have applied Directive 2003/4/EC 
correctly. However, given the Directive's wide scope, it was less clear whether, at local level, notably in small municipalities or entities, public access to environmental information is always provided according to the relevant standards. 
In addition, requests for clarification to the Co mmission services show that public authorities 
need to make greater efforts to inform th e public adequately of their rights under the 
Directive. This right includes the right to make an administrative or judicial challenge at 
national level to a refusal by a public authority to provide requested information. In general, 
the Commission considers that that these righ ts should be exhausted before the Commission 
itself examines the justification for an individua l instance of refusal of access to information. 
Moreover, it appears that public  authorities need to pay fu rther attention to the active 
dissemination of environmental information to th e public, in particular, through the Internet.   
On the basis of information av ailable and national contributions, there was no evidence that 
public participation concerning plans and pr ogrammes, provided fo r in Article 2, was 
incorrectly applied by Member States. 
                                                
 
232  Accessible at: 
http://ec.europa.eu/enviro nment/enveco/liability/index.htm#financial_security 
233  Study on the implementation effectiveness of the Environmental Liability Directive 
(ELD) and related financial s ecurity issues, November 2009.  
 
EN 224   EN The implementation of public par ticipation provisions related to EIA and IPPC is still under 
assessment by the Commission, further action sh all be taken in light of the findings.  
The Cooperation with Judges programme is cons idered to be a usef ul tool in raising 
awareness of access to justice requirem ents at EU level amongst judges.  
Regarding the case-law of the EC J, there is a growing number of  cases on the most important 
issues related to access to justice (such as th e admissibility rules of the public in review 
procedures, and the issue of prohi bitive costs that can be regarded as barring effective access 
to justice) which has an indisputable  positive effect on access to justice. 
 Environmental Liability 
The Directive is relatively new and at present still not completely transposed by all Member 
States. However, a first evaluation of important  aspects of the ELD will be presented in the 
above mentioned Commission report on the effec tiveness of the ELD and availability of 
financial security which is du e by April 2010. Another, broade r application report of the 
Commission will be due by April 2014, based on Member States application reports. 
Apart from the application of the significance criteria (Annex I of the Directive) and the 
application of the appropriate measures to ensure the remedying of environmental damage 
('primary', 'complementary' and 'compensator y' remediation according to Annex II of the 
Directive), the proper functioning of financial se curity instruments will be significant for the 
successful implementation of the ELD in the Member  States in particular as regards effective 
remediation of environmental damage. Furtherm ore, the Commission has given support to the 
Member States through interpretation of open ques tions in expert meetings and in particular 
through an EU supported research project deve loping a tool-kit on the remediation methods. 
The results of the research programme REMEDE were made available in 2008234.  
According to the results of the comprehens ive study of 2009 referred above, further work 
needs to be done to raise the awareness of the ELD and its implications among operators and 
other stakeholders (local administrators, fina ncial and insurance industry) which could be 
done through information, workshops and othe r means of awareness raising. The study 
showed also a need for improving communicati on and exchange of information between the 
different stakeholders in orde r to create and stabilise a sustainable and well performing 
implementation infrastructure. Further, the pr omotion of a common understanding and of a 
more harmonised approach of the most important  practical issues (significance, measurement 
and remediation methods of environmenta l damage) for instance through guidance and 
through continued information exchange would a ppear useful. In order to broaden financial 
security, an increased focus on alternative financial security  instruments should also be 
promoted. Finally, following the example of some  Member States, all Member States should 
be encouraged to draw up information on ELD cases and to exchange information about such 
cases of environmental damage in order to better cooperate in the implementation of the ELD across the EU and to evaluate its effectiv eness in terms of actual remediation of 
environmental damage. 
                                                
 
234  Available on the Internet at the official Website of Resour ce Equivalency Methods for Assessi ng Environmental Damage in the 
EU (REMEDE): < http://www.envliability.eu/ >. 
EN 225   EN 6.8.3.  Evaluation results 
6.8.3.1.  Priorities 
  Governance 
The priority for the Commission is to verify th e conformity of national legislation with the 
requirements of the Directive 2003/ 4/EC and ensure that the dir ective is applie d correctly in 
practice by public authorities at all levels . In 2010, the Commission will analyse Member 
State responses to the enquiries it sent in 2009 and will ensure the necessary further follow-
up.  The Commission will present in the first part of 2010 the report on the application and effectiveness of Directive 2003/35/EC. 
By monitoring Member States' implementation of  existing provisions, drawing attention to 
possible non-compliance and engaging in interac tive discussions with national judges as a 
part of the Cooperation Programme with Judge s, the compliance promotion pursued by the 
Commission in access to justice issues is considered very effective.  
 Environmental Liability 
The first priority is to ensure that all Member States complete transposition of the ELD as 
soon as possible. Therefore, the horizontal non -communication cases were continued in 2009 
and shall be concluded in 2010 until the last Member State w ould transpose the Directive 
completely. The next priority for the Commission is to ensure that the Environmental Liability Directive is correctly  transposed in all Member St ates. Therefore the Commission 
started to assess the conformity of the domestic legislation with the ELD and has to conclude 
this exercise in cooperation with Member St ates in 2010 and where necessary launch legal 
enforcement actions. Another priority for 2010 results from the mentioned reporting 
obligation before April 2010. 
6.8.3.2.  Planned action (2010 and beyond) 
 Governance 
As mentioned above, in 2010 the Commission will ensure an appropriate follow-up to the 
dialogue it initiated with Member States in 2009 in order to address transposition of the 
Directive or concrete difficulties encounter ed by public authori ties in enforcement. 
Based on the national contributions , the report on the experience gained in the application and 
effectiveness of the Directive, as prov ided for by its Article 9 will be drawn up. 
Compliance promotion in access to justice i ssues is envisaged to  continue beyond 2010.The 
on-going Cooperation with Judges Programme shall ensure a constant dialogue with national 
judges on access to justice. 
It is envisaged to include environmental access to justice provisions in the e-Justice portal 
described above. 
 Environmental Liability 
The Commission's efforts need to continue to ensure that the ELD is fully and correctly 
transposed. Apart from continuing and comp leting the horizontal non communication action, 
EN 226   EN the Commission will therefore in 2010 conclude  the examination of th e conformity of the 
transposing legislation of the Member States an d take enforcement action as necessary. In this 
context, the Commission will continue to discus s questions of interpretation and application 
of the ELD with government experts. 
The Commission will adopt and publish the re port on the effectiveness of the ELD and 
availability of financial security and will pres ent it to the Council and Parliament in the first 
semester 2010. The Commission will also draw th e conclusions from the report and input 
from its discussion in the Council and Parliament  and start implementing them in 2010 as far 
as possible. 
6.8.4.  Sector summary 
Overall, Member States appear to apply the Directive on access to environmental information 
correctly, but the existing practice indicates that public authorities of all levels, in particular 
lower ones, need to make greater efforts to in form and respect the right of the public under the 
Directive. 
Fully correct transposition of the Directive in the Member States is a priority for the 
Commission and in 2010 the Co mmission will pursue the exchanges opened with Member 
States in 2009.  
Based on the reports submitted by Member States, the Commission will also prepare a report 
on implementation for both Directives 2003/4/EC and 2003/35/EC. 
The ELD is relatively new and was still not fully  transposed by one Member State at the end 
of 2009; therefore the Commission's priority is to firstly achieve a full transposition by all 
Member States and consequently carry out the first evaluation of ELD which will be available in the first half of 2010.
 
6.9. Climate change  
6.9.1.  Current position 
6.9.1.1.  General introduction 
Climate change stands at the top of the intern ational political agenda. This is confirmed both 
by the  attention given to the 15th Conference of the Parties to the United Nations Framework 
Convention on Climate Change (UNFCCC) in December 2009 in Copenhagen, and by the 
swift adoption of the climate and energy packag e in early 2009. This package, which entered 
into force in June 2009, implements the EU's greenhouse gas emission reduction commitments for 2020, prepares the EU's greenh ouse gas emissions trading system (EU ETS) 
for the future and provides the framework to meet  reduction targets in sectors other than those 
covered by the EU ETS. The high political priority  the EU gives to climate change is also 
confirmed by the decision to appoint a Commi ssioner and create a ne w Directorate General 
for Climate Action.  
ETS
 
EN 227   EN The EU ETS was established with the adop tion of the Emissions Trading (Directive 
2003/87/EC235). It is a market-based instrument  aimed at gradually reducing emissions in 
selected sectors. It should he lp the Union and the Member Stat es meet their Kyoto Protocol 
commitments to reduce greenhouse gas emissions  in a cost-efficient manner. The EU ETS 
started operating in January 2005. A revision of  the ETS Directive (Directive 2009/29/EC236) 
was prepared and negociated in 2008 and en tered into force in June 2009. This revision 
broadly amends the EU ETS design  as from 1 January 2013 (i.e. the beginning of the third 
trading period 2013-2020). In addition, Dire ctive 2008/101/EC237, which provides for the 
inclusion of the aviation sector  in the EU ETS, ente red into force in Fe bruary 2009 and will 
take effect as from 1 January 2012. 
Monitoring mechanism  
Together with the Emissions Trading Directive, Decisions 280/2004/EC238 and 
2005/166/EC239 are among the most important cross- cutting measures in this area of climate 
change. With the adoption of these decisions, the EU established a mechanism for monitoring 
and reporting greenhouse gas emissions. This mechanism has enabled the Commission to 
more accurately, rigorously and regularly evalua te the progress made in reducing emissions 
under the UNFCCC and the Kyoto Protocol. As a result, Memb er States have increased 
timeliness and quality in th e submission of their data. 
EU Effort Sharing Decision  
                                                 
235 Directive 2003/87/EC of the European Parliament and of  the Council of 13 October 
2003 establishing a scheme for greenhouse gas emission allowance trading within the 
Community and amending C ouncil Directive 96/61/EC (OJ L 275, 25.10.2003, p. 32–46).  
236  Directive 2009/29/EC of the European Pa rliament and of the Council of 23 April 2009 
amending Directive 2003/87/EC so as to im prove and extend the greenhouse gas emission 
allowance trading scheme of the Community ( OJ L 140, 05.06.2009, p.63-87 ) 
237  Directive 2008/101/EC of the European  Parliament and of the Council of 19 
November 2008 amending Directive 2003/87/EC so as  to include aviation activities in the 
scheme for greenhouse gas emission allo wance trading with the Community ( OJ L 8, 
13.01.2009, p.3-21 ) 
238  Decision 280/2004/EC of the European Parliament and of the Council of 11 February 
2004 concerning a mechanism for monitoring Co mmunity greenhouse gas emissions and for 
implementing the Kyoto Protocol (OJ L 49, 19.2.2004, p. 1–8).  
239  Commission Decision 2005/166/EC of 10 February 2005 laying down rules 
implementing Decision No 280/2004/EC of the European Parliament and of the 
Councilconcerning a mechanism for monitoring  Community greenhouse gas emissions and 
for implementing the Kyoto Protocol (OJ L 55, 1.3.2005, p. 57–91).  
EN 228   EN Decision 406/2009/EC240 (Effort Sharing Deci sion, ESD) lays down binding annual  targets 
for greenhouse gas emissions outside the scope of the ETS, for the period 2013-2020, for each Member State. It entered into force on 25 June 2009. About 60% of the total EU-27 
greenhouse gas emissions are covered by the ES D. The most important emitting sectors are 
transport (about 30% of total ESD emissions), private households and services (25%), and 
agriculture (15%). By way of c ontrast with the EU ETS, which is a Union-wide market-based 
instrument already in place with well establishe d rules and procedures for installations and 
Member States, the Effort Sharing Decision is a new legal instrument with far-reaching consequences for Member States' obligations  to reduce greenhouse gas emissions. Though the 
ESD will rely on both Union-wide and national measures, the lion's share of mitigation actions will have to be prepared and implemented at Member State level. 
By 2013, the following key actions will be necessa ry to implement the ESD and prepare for 
the 2013-2020 compliance period: 
a) Determining the exact targets for Member  States for the period between 2013 and 
2020 (comitology decision); 
b) Amending the Monitoring Mechanism Decision  ( ordinary legislative procedure); 
c) Establish modalities for transfers of emi ssion allocations between Member States 
(comitology decision); 
d) Prepare for the inclusion of land use, land- use change and forestry (LULUCF) in the 
Uniion reduction commitment (co-decision, th is point is explained in more detail 
below). 
In addition, the ESD invites the Commission to ma ke an amending proposal as appropriate in 
the case  an international agreement leadi ng to mandatory reductions of GHG emissions 
exceeding 20 percent compared to 1990 levels mate rialises. The ESD also sets out the criteria 
to be assessed in a repo rt that is to be presented within 3 months of the signature of such an 
agreement by the Union.  
On the basis of this report, the Commission will, if appropriate, submit a legislative proposal 
amending Decision 406/2009/EC and Directive 2009/ 29/EC in view of the emission reduction 
commitment to be implemented under the inte rnational agreement on climate change. The 
Commission will act with a view to entry into force of the amending act upon the approval of  
that agreement by the Union. The proposal would be  based on the principles of transparency, 
economic efficiency and cost-eff ectiveness, as well as fair ness and solidarity in the 
distribution of efforts be tween Member States.  
LULUCF  (Land use, land-use change and forestry ) 
Articles 8(1) and 8(6) of th e ESD and Article 28(1) of th e ETS Directive require the 
Commission to consider, in its assessment of an international agreement, a number of issues consequent to including LULUCF-related emi ssions and removals  in the Union reduction 
commitment.  
If an international agreement is reached, the Commissi on intends to propose to include 
emissions and removals related to LULUCF in the Community reduction commitment, as 
                                                
 
240 Decision No. 406/2009/EC of the European Pa rliament and of the Council of 23 April 
2009 on the effort of Member States to reduce their greenhouse gas emissions to meet the 
Community's greenhouse gas emission reduction commitment up to 2020. 
EN 229   EN appropriate on the basis of rules forming part  of the agreement, according to harmonised 
modalities ensuring the permanence and environm ental integrity of the contribution of the 
sector as well as accurate monitoring and accounting. The Commission would also assess 
whether the distribution of indi vidual Member States' efforts should be adjusted. The legal 
proposal is to enter into force at the same  time as the international agreement.  
In the event that no international agreement on climate change is approved by the Union by 
end 2010, Article 9 of the ESD provi des that Member States may specify their intentions for 
the inclusion of LULUCF in the Uni on reduction commitment taking into account 
methodologies within the work carried out in th e context of the UNFCCC. In view of such 
specification by Member States, the Commission will, by 30 June 2011, assess options for the inclusion of emissions and removals from ac tivities related to LULU CF in the Community 
reduction commitment, ensuring the permanen ce and environmental integrity of the 
contribution of the sector as well as accu rate monitoring and accounting, and make a 
proposal, if and as appropriate, with the aim of the proposed ac t entering into force from 2013 
onwards. The Commission would also consider  whether the distribution of individual 
Member States' efforts should be adjusted accordingly. 
 CCS Directive
 
Directive 2009/31/EC on the geol ogical storage of carbon dioxide (CCS Directive) is one of 
the world's first comprehensive legal frameworks  for the regulation of the environmental risks 
of carbon capture, transport and storage. It entered into force on 25 June 2009. Although it 
covers the full chain of activities arising in CCS, carbon capture and transport are comparable 
to other activities alre ady regulated at EU level. The CCS Directive therefore regulates these 
activities by introducing them into the scope of  the existing legislation. Carbon capture is 
regulated under Directive 2008/1/EC (IPPC Di rective) and under Directive 85/337/EC (EIA 
Directive', and pipeline transport is  regulated under the EIA Directive. 
As there is no suitable existing legal framework for the management of carbon storage sites, 
the CCS Directive applies here as a free-standi ng instrument.  The Dir ective establishes an 
authorisation regime for geological  storage sites and covers site  exploration, characterisation, 
selection, monitoring, closure and post-closure  management, as well as composition of the 
CO2 stream. One notable provision included is that draft permit decisions for storage sites 
(and also decisions on transfers of responsib ility, see below) are to be submitted to the 
Commission, which is to issue - within 4 months - an opinion on whether the draft permit decisions meet the requirements of the Directiv e. The Commission will establish a Scientific 
Panel to assist it in its assessment. 
Liability arrangements for storage sites ar e of concern both to operators and public 
administrations, and are organised by a number of provisions within the Directive. The 
operator is responsible for taking corrective meas ures in the case of si gnificant irregularities 
(events implying the risk of leakage or damage  to human health or the environment). As a 
consequence of the inclusion of geological stor age of CO2 within Anne x I of the EU ETS, the 
operator must also surrender EU allowances to  cover any leaked emissions. Operators must 
also put in place financial security before the start of operation, so as to ensure that all 
obligations under the permit can be met. Damage  to the local enviro nment is covered by 
including geological storag e within Directive 2004/35/EC (Environmental Liability 
Directive), which has its own provisions on financ ial security. There are also provisions on 
transfer of responsibility of the site to the state, upon the operator's payment of a financial 
contribution covering at least the anticipated cost  of monitoring for a period of 30 years, when 
EN 230   EN a number of conditions that indicate that the s ite presents a low risk of leakage or other 
adverse impacts are met,. 
 There are further provisions ensuring that all new power plants above a particular threshold 
are subject to an assessment of the feasibility of CCS retrofit, as well as on market access to 
CO2 transport networks and storage site s to avoid distortions of competition. 
There are no implementing provisions required under the CCS Directive, but the Commission 
is invited to provide guidance on a number of issues (composition of the CO2 stream, 
conditions for transfer of respons ibility to Member States, and financial contributions required 
of the operator at the point of transfer of responsibility).  The Commission also intends to 
produce guidance on a number of other issues. 
6.9.1.2.  Report of work done in 2009 
In 2009 the EU ETS-related work was focused on two main sets of activitie s: (a) ensuring that 
the current ETS works properly and that its rule s are correctly applied by Member States and 
(b) preparing the implementing measures for th e revised ETS Directive to be implemented 
from 2013. 
In relation to the implementation of the monitoring and reporting mechanism, the 
Commission focussed on ensuring the complete a nd timely submission of data by the Member 
States. Under Article 3 (1) and (2) of D ecision 280/2004/EC, read in conjunction with 
Decision 2005/166/EC, Member States must submit to the Commission an annual report on national greenhouse gas (GHG) emissions (due by the 15 January 2009) and a biennial report 
on national policies and programmes aimed at re ducing these emissions (due by the 15 March 
2009). These reports are required by the Commissi on so it can draft its annual reports on the 
EU's actual and future predicted GHG emissi ons in compliance with the UN Framework 
Convention on Climate Change and the Kyoto Protocol. 
There are no implementing provisions required under the CCS Directive, but the Commission 
is invited to provide guidance on a number of issues (composition of the CO2 stream, 
conditions for transfer of res ponsibility to the Member State,  and the financial contribution 
required of the operator at the point of tran sfer of responsibility).  In addition, the 
Commission will also provide support to Memb er States in the transposition process. 
(a) Ensuring that the current ETS works properly
 
Conformity assessments   
On the basis of conformity assessment initiatives related to the ETS Directive, the 
Commission services indentified various issues requiring clarification  in respect of national 
legislation transposing the Directive. Conseque ntly, the services sent informal letters of 
inquiry to 24 Member Sates in the course of 2009, asking for cl arifications of their national 
legislation. As of January 2010, 21 Member States  had replied: while many issues have been 
solved, some replies agree that legislative am endment would be useful , whereas other replies 
indicate a difference of opini on between the Member State a nd the Commission. On the basis 
of the explanations given by the Member States , the Commission will decide on further action 
in 2010. 
EN 231   EN Implementation and legal enforcement  
Cases related to the ETS Direct ive - National Allocation Plans: 
The individual national alloca tion plans (NAPs) adopted by Me mber States fix the total 
number of emission allowances and set out the methodologies to allocate them to individual 
installations covered by the EU ETS. NAPs for period betw een 2008 and 2012 are thus an 
important element in the Member States' stra tegies for achieving their relevant emission 
reduction targets under the Kyoto Protocol. 
In 2007 several MS opposed the Commission deci sion on their respectiv e NAP. In essence, 
they claimed that the upper limit set by the Commission on the total qua ntity of allowances 
they may allocate was too low, and that th e Commission had exceeded the limits of its 
discretion when assessing the proposed  NAPs by using its own methodology.  
Consequently, 9 Member States brought annul ment actions on the basis of Article 230 EC 
before the European Court of Justice. The Sl ovak Republic subsequently withdrew its case, 
and in early 2010 the following cases were pending before the General Court: T-221/07 
Hungary, T-194/07 Czech Republic, T-369/07 Latvia, T-368/07 Lithuania, T-499-500/07 
Bulgaria, T-483-484/07 Romania. For each of th ese cases, the written procedure has ended. 
In Cases T-183/07 and T-263/07, the General Cour t delivered its judgments on 23 September 
2009. The General Court annulled the Commission' s decisions rejecting the Estonian and 
Polish NAPs. It considered that the Commissi on had exceeded its powers by relying on  data 
that in its view were more robust than the da ta contained in the two NAPs  without giving 
sufficient reasons as to why the data in the NAP were considered to be of insufficient quality, 
and by fixing a maximum level for the total quantity of allowances to be allocated by Poland and Estonia. Moreover, in th e Polish case (T-183/07), the General Court found that the 
Commission infringed the obligation to state reasons, and in the Estonian case (T-263/07), 
that the Commission infringed the pr inciple of sound administration.   
The Commission lodged appeals to Cases T-183/07 and T-263/07 on 3 December 2009. 
Those appeals are based on se veral legal grounds. Most importantly, the Commission 
considers that the General Court interprete d the powers of the Commission in the NAP 
assessment process too narrowly. The Commission also submits that General Court did not 
sufficiently taken into account the fundamental purpose of the EU ETS – to reduce overall EU 
emissions of greenhouse gases – a nd the need to ensure the equa l treatment of Member States 
during the NAP assessment process. 
Some companies covered by th e EU ETS also brought actions . The only such case still 
pending concerns a direct action (T-16/04) bro ught before the General Court by Arcelor. In 
essence, Arcelor argues that the EU ETS Dir ective breaches the principle of equal treatment. 
The Court of Justice has already ruled on similar i ssues in another case al so related to Arcelor. 
All the other cases against the EU ETS brought by companies have been found to be inadmissible. 
Other cases related to the ETS Directive  
American Airlines, United Airlines, Continen tal Airlines and the American Air Transport 
Association are seeking to annul the EU ETS before the UK High Court in respect of its 
application to aviation. The Commission will interv ene in support of the EU ETS if this issue 
comes before the Court of Justice. 
EN 232   EN EU ETS NAP  Implementation: 
During 2009, the remaining four NAPs, relating  to Bulgaria, Hungary, Poland and Cyprus, 
have been approved. As a result of the j udgements in Cases T- 183/07 and T-263/07 (see 
above), the Commission adopted new decisions on the originally  notified Estonian and Polish 
NAPs on 11 December 2009. As the NAPs were rejected, Estonia and Poland will have to submit new NAPs, which will be subject to further assessment by the Commission. 
Use of credits generated under the mechanisms of the Kyoto Protocol  (i.e. hydroelectric 
power production projects)  
According to the ETS Directive as ame nded by Directive 2004/101/EC (the Linking 
Directive), "Member States may allow operato rs to use CERs and ERUs from project 
activities in the Community sche me” (Article 11a (1)), with the exception of credits from land 
use, land use change and forestry activities as well as nuclear projects (Article 11a (3)). “In 
the case of hydroelectric power production pr oject activities with a generating capacity 
exceeding 20 MW, Member States shall, when a pproving such project activities, ensure that 
relevant international criteria and guidelin es, including those contained in the World 
Commission on Dams November 2000 Report “D ams and Development – A New Framework 
for Decision-Making”, will be respected during the development of such project 
activities(Artic le 11b (6)). 
Since the interpretation of this requiremen t varied among Member States, a voluntary 
harmonisation process on the application of Article 11b (6) was carried out in 2008 and 2009. 
It has resulted in uniform guidelines and a que stionnaire template to guide project proponents 
through the preparation of the compliance repo rt. The guidelines and the template are the 
output of one year's work of an informal working group set up by Member States and the 
Commission. The final version of the docum ents was presented to Climate Change 
Committee on 29 January 2009. Following a transiti onal period, as of 1 July 2009 all large 
hydroelectric projects are to be approved by all Member States only if they have submitted to 
Member States' DNA, together with other requi red documents, also a verified Article 11b(6) 
compliance report.   
(b) Preparing the implementation of the revised EU ETS  
Before 2013 15 comitology procedures, 7 legisla tive proposals and a variety of reporting 
requirements are foreseen to implement the EU ETS. 
During 2009, the Commission held a number of se parate stakeholder and expert meetings 
regarding the list of (s ub-)sectors deemed to be exposed to a significant risk of carbon 
leakage, the auctioning regulation, the harm onised rules for transitional free allocation 
(benchmarks), the need for measures to pr event market abuse and the regulations on 
monitoring and reporting of emissions and on verificati on of emission reports and 
accreditation of verifiers. All of these measures are to be adopted through comitology.  
The revised ETS Directive advanced several de adlines for the Commission's deliverables. For 
example, the deadline for determining the sub-sectors deemed to be exposed to a significant risk of carbon leakage was advanced by 6 months to 31 December 2009, the deadline for 
adopting a Regulation on timing, ad ministration and other aspects of auctioning was advanced 
by 6 months to 30 June 2010, and the deadli ne for adopting harmonised rules for the 
transitional free allocation of allowances (ben chmarks) was advanced by 6 months to 31 
December 2010. Due to the importance of providing re gulatory certainty a nd predictability to 
EN 233   EN the market, the bulk of the necessary implemen ting measures should be ready well in advance 
of the beginning of the th ird trading period in 2013.  
In 2009, implementing measures and further gu idance for the revised EU ETS from 2013 
were prepared in the following areas: 
Benchmarking and carbon leakage  
During 2009 the Commission held a number of broad stakeholder meetings and bilateral 
consultations with industry and NGOs as we ll as expert meetings with Member States' 
representatives on the topics of a list of sector s and subsectors deemed to be exposed to a 
significant risk of carbon leak age and on transitiona l Union-wide rules for harmonised free 
allocation (benchmarks). Both measures are to be adopted through comitology. A list of 
sectors and subsectors deemed to be exposed to  a significant risk of carbon leakage, the first 
implementing measure under the revised Dire ctive, was adopted by the Commission on 24 
December 2009 as Commission Decision 2010/2/EU. 
Preparations for large-scale auctioning as from the 3rd trading period  
Article 10(4) of the revised EU ETS Directive invites the Commission to adopt a Regulation 
on the auctioning of allowances by 30 J une 2010. In 2009, the Commission continued its 
preparatory work to this end. Stakeholders we re invited to participate in a written public 
consultation which was open from 3 June to 3 August 2009 and which was based on a 
detailed consultation document. The responses and a draft outline of the Regulation were discussed in stakeholder meetings in Sept ember and October resp ectively. Throughout the 
year, many further meetings with specific st akeholders and Member States took place to 
ensure a thorough and correct understanding of the various technical issues  to be addressed in 
the Regulation. A proposal is to be submitted to the Climate Change Committee in early 2010. 
Protection from insider dea ling and market manipulation
 
Article 12(1a) of the revised EU ETS Dire ctive provides that the Commission, by 31 
December 2010, shall examine whether the market  is sufficiently protected from insider 
dealing or market manipulation and, if appropriate, bring forw ard proposals to ensure such 
protection. Due to the cross-cutt ing nature of the topic, DG Environment, DG Transport and 
Energy and DG Internal Market and Services work ed together to get a first overview of the 
level of protection of the EU ETS carbon market . A Task Force looked in to the nature of the 
carbon market, on the one hand, and the scope of relevant financial markets legislation and 
energy markets legislation, on the other hand. This preliminary work was followed up by preparations for a more in-depth ex ternal study to be launched in 2010.  
Registries
 
During the first half of 2009 the Commission finalised the implementation of Regulation 
916/2007/EC (the Registry Regu lation) and Regulation 994/2008/ EC that provides amended 
rules for the compliance calculation, the nationa l allocation plan tables' management and the 
connection of the registries of Cyprus and Malta through the Community Registry 
The revised EU ETS Directive pr ovides that all allowances w ill be held in the Community 
Registry as from 2012. This w ill transfer the bulk of Memb er State-level ETS-related IT-
operations to the Commission, a process which will require a significant expansion of the 
Registry related IT-capac ities of the Commission. 
EN 234   EN During the second semester of 2009, the Commi ssion held meetings with Member States 
registry Administrators to elaborate the rule s and the technical modalities deemed necessary 
to adapt the registries system and particular ly the European Union Registry to Directive 
2008/101/EC (Aviation), Directive 2009/29/EC (ETS Review) and Decision 406/2009/EC 
(Effort Sharing). The new provisions render necessary an amendment of the Registry 
Regulation to be adopted through comitology in early 2010. 
(c) Implementation and legal enforcement of ESD and CCS  
ESD 
Although no comitology procedures were initia ted with regard to the ESD in 2009, the 
Commission services have started preparatio ns for a number of implementing provisions. 
Similarly, preparatory work on the revision  of the Monitoring Mechanism (Decision 
280/2004/EC) is ongoing. 
EU CCS Directive  
The main implementation and legal work related to  CCS so far in fact took place in  ancillary 
legal contexts.  The first item was Community ratification of amendmen ts to the Convention 
for the Protection of the marine Environm ent of the North-East Atlantic ('OSPAR 
Convention') to allow geological storage of  CO2 under the seabed (adopted 30 November 
2009).  The second was the development of mon itoring and reporting guidelines (MRGs) for 
CCS under the Emissions Trading Directive for the purposes of quantifying the emissions for 
which allowances must be surrendered for capture , transport and storage activities, including 
in the case of leakage (comitology, EP and Council scrutiny completed, adoption pending). 
Member States have to transpose the provisi ons of the Directive by 25 June 2011. By way of 
exception, the provision regarding the assessment of  the feasibility of CCS  retrofit (see above) 
applies from 25 June 2009 and had to be transposed by that date. 
(d) Ensuring complete and timely  reporting by the Member States  
In early 2010, the Commission was able to close all  pending cases against Member 
States(EE, HU, LUX, MT)  th at had failed to submit their 2008 annual and 2007 biennial 
reports.  
New cases were launched in 2009 against several Member States  on the ground that they had 
communicated to the Commission no or inco mplete 2009 annual reports on GHG emissions 
or 2009 biannual report on policies and measures. This concerned : 
BE, BG, CY, CZ, DK, DE, EE, EL, ES, FI, FR, HU, IRE, IT, LUX, LT, LV,  MT, NL, PL, 
PT, SI, SK and the UK for the 2009 annual reports; 
HU, PL, LV, RO for the 2009 biannual reports. In view of the Copenhagen Climate Change Conference the Commission found it important to 
take a strict approach in this  regard. In early 2010 the Commi ssion was able to close all cases, 
except the cases against BG and MT concerni ng the 2009 annual report and the cases against 
PL and RO concerning the 2009 biannual report.  
EN 235   EN Still, it is the Commission's view  that the emphasis of its enfo rcement action should not be on 
the start of new infringement proceedings, but rather on a constructive collaboration with the 
Member States resulting in the Member States submitting their complete reports on time. This is the approach that the Co mmission will continue to fo llow concerning the 2010 annual 
reports due for 15 January 2010. 
 
6.9.2.  Evaluation based on the current situation 
 (a) Ensuring that the current ETS works properly
 
For the current ETS, the following problems and corrective actions were identified: 
Conformity assessments   
The conformity studies on the transposition by Member States of the ETS directive as 
amended by Directive 2004/101/EC of the Europ ean Parliament and of the Council of 27 
October 2004 and the informal letters of inquiry  that were issued focussed on those provisions 
of the ETS Directive that were not likely to be  modified as a conseque nces of the adoption of 
the revision of the ETS Direct ive in 2008 and 2009. The assessment of the replies received so 
far reveals both minor and major issues of concer n to the services such as on the scope of the 
implementing legislation or the absence of verification of actual emissions. The Commission 
services will take the appropriate steps to ensure full compliance.   
Implementation and legal enforcement  
Cases related to the ETS Direct ive - National Allocation Plans: 
EU ETS NAP Implementation 
The delays associated with the process of  approving the NAPs drawn up by Member States 
led to an extended period of uncertainty in th e market with respect to the overall cap of the 
EU ETS which was built bottom-up. Such uncertainty hampered the proper functioning of the allowance market and the ability of companies to  decide on investments in  clean technologies.  
During 2009, all the NAPs have been assessed in accordance with the EU ETS Directive. The 
market price since 2008 shows that there is the scarcity of allowances on the market. 
Use of credits generated under the mechanisms of the Kyoto Protocol  (i.e. hydroelectric 
power production projects)  
The application of harmonised guidelines an d compliance report template has led to a 
harmonised approval of large hydroelectric project activities but it does not harmonise 
certified emission reductions' (known as CERs ) acceptance. Whereas Member States have 
been applying the requirements of Article 11b (6) to the appr oval of project activities, a 
majority of Member States are reluctant to  check already certified CERs surrendered for 
compliance against the approved project criteria.  Partial harmonisation has been achieved in 
so far that CERs from projects approved in line with Article 11b(6) guidelines will be 
accepted for compliance in the ETS by all Member States. 
EN 236   EN The Commission has set up a website devoted to the co-ordinated approach to Article 11b (6) 
of the amended ETS directive in 2009 and will continue m onitoring the implementation of 
voluntary guidelines by Member States.  
(b) Preparing the implementation of the revised EU ETS  
The revised EU ETS was adopted to improve some specific areas of the current EU ETS. 
These areas for improvement were identified  through a review and extensive stakeholder 
consultations during the first trad ing period (2005-2007), as follow:  
• Emissions trading can only exploit its environmen tal strength and justif ication, if there is 
scarcity on the allowance market. However, th e lack of verified emissions data when 
setting up the National Allocation Plans (NAP s) for the first trading period (2005-2007) 
combined with over-optimistic projections of  emissions led to the issuance of more 
allowances than was justified to ensure  the necessary scarcity on the market.  
• Member States had different le vels of ambition for the emissi on reductions re quired of the 
sectors included in the EU ETS, and consequen tly different Member States set different 
levels of allocation for the same sector. Th ey also applied widely differing allocation 
methods.  
• The Commission's approval of NAPs turned ou t to be a long-lasting, cumbersome and 
complex process.  
• Some sectors pass the market value of the al lowances through to thei r customers in their 
product prices and received si gnificant free allocations. 
The issues identified during the review of the EU ETS justifie d a revision of the ETS design 
itself. They have been largely addressed in the revised ETS Directive. The Commission 
proposed a fully harmonised approach includ ing an EU-wide and annually shrinking cap on 
allowances - to replace the prevailing botto m-up approach based on NAPs - leading to an 
emission reduction of 21% by 2020 as compared to 2005 levels, with reductions continuing 
thereafter. The Commission also proposed to pha se-in auctioning over a pe riod of time as the 
principal allocation method for all operators , and provided for harmonised rules for the 
transitional free allocation. These elements do not  only guarantee that th e required emission 
reductions are achieved, they also increase the certainty and predictability in the system, 
thereby fostering investments to reduce emissions.  
Thus, the ETS revised Directive sets up the gene ral framework for the corrective action to the 
problems identified with the current ETS. In  2009, the European Commission has started the 
preparatory work to define all the detailed implementing measures and further guidance to 
enable the revised ETS to work from 2013. Sp ecific problems raised during the preparatory 
work have been intensely di scussed with Member States (via informal meetings and 
Comitology) and stakeholders throughout th e year. The Commission will endeavour to 
address these problems in the measures and guidance that it will propose in 2010 and 2011. 
Examples of specific issues raised by the implementing measures' preparation are given 
below: 
Benchmarking and carbon leakage  
EN 237   EN The publication of a comprehensive study carried out by a consortium of consultants on the 
general benchmarking methodology together with specific sector reports in November 2009 
was a major step in the ongoing work on the allocation of free allowances. The consultants' proposal provides a solid basis in support of  the Commission's benchmarking exercise. 
Throughout the work carried out, the Commission has maintained a transparent a pproach with 
frequent and in-depth consultation of relevant stakeholders. The same degree of transparency 
was followed in determining a list of sectors and subsectors deemed to be exposed to a 
significant risk of carbon leakage, which th e Commission was able to adopt in a timely 
manner and in compliance with the provisi ons set out in the revised Directive. 
Protection from insider dea ling and market manipulation
 
Based on the current situation, the Co mmission sees four main options.  
The first option would be to co nsider that the existing financ ial market and energy market 
legislation as well as planned legislation in thes e fields offer a sufficient level of protection of 
the carbon market, i.e. that the risks associated with any "gaps"  in the coverage of the carbon 
market are not significant enough to warrant  legislative action at this stage. 
The second option would be to include the EU ETS carbon market under financial markets 
legislation, e.g. by defining EUAs  as financial instruments, or by replacing the currently 
existing spot trade by trade in "spot futures" not  for immediate delivery, which would then also 
be considered as trade in financial instruments under current legislation.  
In case the trading of spot EUAs for immedi ate delivery is required by the carbon market, a 
third option would be for spot EUAs to be br ought under the ambit of financial markets type 
legislation without actually defi ning  the EUAs as financial instruments. This would amount to 
creating a tailor-made regime for the carbon market.  
Finally, the EU ETS carbon market could be incl uded in a future market transparency and 
integrity framework for wholesale electricity  and gas markets to be developed by the 
Commission.  
(c) Ensuring provision of climate-relevant data  
Accurate, up-to-date information is an essent ial basis for fighting cl imate change.  Under 
Decisions 280/2004/EC and 2005/166/EC, Member St ates must provide the Commission with 
annual reports on their actual emissions of gr eenhouse gases and biennial reports on domestic 
climate change policies and measures and emi ssion projections, so that the Commission can 
accurately report on the progress made by the EU  as a whole. .To that end the Commission 
has rigorously checked whether national reports are submitted on time and whether the data are correct and complete. As a result of th e enforcement action, reporting continues to 
improve in terms of timing and content. 
One of the challenges for the Commission will therefore be to ensure that reporting of 
national greenhouse gas emissions improves still further, so that all Member States communicate complete reports to deadline to ensure an effective follow-up to the United Nations Convention on Climate Ch ange and its Kyoto Protocol. 
In line with the above, furthe r studies are being carried out  to examine the revision of 
Decisions 280/2004/EC and 2005/1 66/EC in the light of the adopted Climate and Energy 
Package and the developments  at international level. 
EN 238   EN 6.9.3.  Evaluation results 
6.9.3.1.  Priorities 
Implementation and legal enforcement  
Cases related to the ETS Direct ive: National Allocation Plans 
The Commission will continue to defend its d ecisions and the integrity of the EU ETS 
Directive in ongoing court proceedings. 
EU ETS NAP Implementation 
As mentioned above, Estonia and Poland wi ll have to submit a new NAP in 2010. The 
Commission will assess these NAPs in confor mity with the Directive and the case law 
developed by the  courts. 
Benchmarking  
The adoption of transitional Union-wide rules for harmonised free allocation (benchmarks) by 
the end of 2010 remains a high priority in imp lementing the revised ETS. In this context, 
securing political agreement w ith the EU institutions in comitology is essential. 
Protection from insider dea ling and market manipulation  
Whether the existing financial markets legisla tion applies to transactions in the EU ETS 
carbon market depends on who is trading what and where. Transactions in the EU ETS carbon 
market relate both to the al lowances themselves and to derivative products based on 
allowances, e.g. futures. In general, such deri vatives qualify as financial instruments and are 
usually traded on one of a numbe r of specialised exchanges. So me of these exchanges qualify 
as regulated markets. This means that a signi ficant part of the trad e in the EU ETS carbon 
market is already covered by the applicable fina ncial markets legislation. However, financial 
market legislation does not apply to the spot ma rket, and for some of the provisions there are 
exemptions for non-investment firms.  
The Commission's ongoing work in the field of  energy markets regulation and financial 
markets regulation will also affect the level of protection of the EU ETS carbon market.  
The focus of the work going forward will be to  assess whether additional measures are needed 
to protect the types of transactions in the EU ETS carbon market th at are not covered by 
existing legislation or legislati on in the pipeline in the field of energy and financial markets. 
Improving and enforcing national reporting  
Constructive collaboration with the Member States is essential. The Commission will 
continue to work closel y with Member States to improve the quality and timeliness of their 
reporting. Nevertheless, in the coming years th e Commission will continue to pursue legal 
enforcement action against Member States that fail to comply with their reporting obligations 
under the climate change legislation, including in  relation to timely reporting and monitoring 
the Union’s greenhouse gas emissions a nd implementing the Kyoto Protocol. 
EU ETS Directive  
EN 239   EN Transposition and implementation processe s are well under way and according to plan. 
6.9.3.2.  Planned action (2010 and beyond) 
During 2010, the auctioning regulation, the harmoni sed rules for transitional free allocation 
and the amended registries regulation are to be adopted:  
• A proposal for the auctioning regulation is to be submitted to the Climate Change 
Committee in early 2010. 
• During 2010 the Commission plans to continue  holding a number of broad stakeholder 
meetings and further bilateral consultations  with industry and NGOs  as well as expert 
meetings with Member States' representatives  on the topic of transitional Union-wide 
rules for harmonised free allocation (bench marks). The work on benchmarks is to 
conclude, in case of a positive comitology vo te, with the adoption of the decision by 
the Commission by 31 December 2010. 
• The registries regulation needs to be ame nded to take account of both the revised EU 
ETS and the Effort sharing decision. The Regulation for a standardised and secured 
system of registries  should be approved by the Climate Change Committee in the 1st 
quarter of 2010. 
Concerning the list of s ectors and subsectors deemed to be exposed to a significant risk of 
carbon leakage, the Commission will analyse further sectors and subsectors during 2010 and can, subject to the outcome of the analysis and following a comitology procedure, add them to 
the list. With a view to the international negotiations in Copenha gen at the COP15 in 
December 2009, the Commission will report by 30 J une 2010 on the situation with regard to 
energy-intensive sectors or subsec tors that have been deemed to be exposed to a significant 
risk of carbon leakage. This may be accompanied by any appropriate proposals. 
If further examination s hows that there is a need to adopt m easures to ensure that the carbon 
market is sufficiently protected from inside r dealing and market ma nipulation, then these 
would also be due by the end of 2010. A study will be launched in the course of 2010, the aim 
of which is to ascertain how a sufficient level of protection from market abuse, as well as a 
sufficient level of market integrity and efficien cy, can be ensured in th e parts of the EU ETS 
carbon market which fall outside the remit of the financial markets supervisory framework. 
This study will include wide stakeholder cons ultation and an impact assessment report.  
In addition, the Commission is to determine a nd publish the total quantity of allowances for 
the year 2013 and the estimated quantity of a llowances to be auctioned in September and 
December 2010, respectively. The Commission al so plans to adopt guidance on free 
allocation to the pow er sector in 2010. 
ESD
 
During 2010 the Commission will prepare for a d ecision to be adopted through comitology 
procedure (including a vote in the Climate Ch ange Committee in order to determine the 
annual emission allocations expres sed in absolute tonnes of CO 2 equivalents for the period 
between 2013 and 2020 in accordance with Arti cle 3.2 of the Decision. The Commission will 
also prepare for a comitology decision to esta blish "modalities" for transfers of emission 
allocations between Member Stat es and increase their transparen cy under the ESD as required 
by Article 3.6 of the Decision. 
EN 240   EN As stated in the introduction, the ESD is a new legal instrument with far-reaching 
consequences for Member Stat es, including annual monitori ng and reporting of greenhouse 
gas emissions in 2013-2020. It also gives ne w and challenging res ponsibilities to the 
Commission. The ESD will rely on both Union- wide and national measures for reducing 
emissions, of which the bulk of actions will have to be taken at Member States level. The Decision requires the Commi ssion to establish a new EU-wide monitoring and reporting 
system and to monitor Member States' annual compliance and progress in meeting their national targets under the Decision. 
 CCS Directive
 
During 2010 the Commission will establish by Co mmission Decision a Scientific Panel to 
provide technical input into the Commission opinions on draft permit decisions and decisions 
on transfer of responsibility.  The MRGs for CCS under the Em issions Trading Directive will 
be formally adopted, and guidance documents fi nalised on the key aspects of implementation. 
In addition, the Information Exchange process with the Member States will be continued. 
The CCS Directive is one of the first and most  comprehensive legal frameworks for CCS in 
the world. Together with the associated amendments to the OSPAR Convention and the 
MRGs developed under the Emissions Trading Dir ective, it provides cl arity and confidence 
both for operators and regulators for the implemen tation of CCS in Europe. Priorities over the 
coming years will focus on the development and updating of guidance on implementation, the establishment of the Scientific Panel to provid e technical advice, the sharing of experience on 
practical demonstration of CCS from the range of  initiatives in the EU and Member States as 
well as the monitoring of the transposition and implementation of the Directive in the 
Member States. 
6.10. Ozone-depleting substances and Fluorinated greenhouse gases 
6.10.1.  Current position 
6.10.1.1.  General introduction 
The Regulation on Ozone Depleting Substances sets out controls on production, importation, 
exportation, supply, use leakage, recovery and lays down the phasing- out in line with the 
obligations under the Montreal Protocol. Regulation (EC) No  1005/2009 recast and replaced 
Regulation (EC) No 2037/2000 as of 1 January  2010, clarifying, simplifying and streamlining 
the previous provisions and proce dures to the extent possible. 
Finally, Regulation (EC) No 842/2006 on certain  fluorinated greenhouse gases aims at 
reducing emissions of three groups of fluorinated green house gases: hydrofluorocarbons 
(HFCs), perfluorocarbons (PFCs) and sulphur hexa fluoride (SF6) through a series of targeted 
sector-specific measures such as systematic checks for leakage and recovery from equipment 
by certified personnel; labelling of products and equipment ; the prohibition of placing on the 
market of certain products containing such gase s and of the use of those gases in certain 
applications241. 
                                                
 
241 The F-Gas Regulation is complemented by 10 Commission Regulations adopted between 
2007 and 2008: see Annex. 
EN 241   EN 6.10.1.2.   Report of work done in 2009 
Revision of the existing legal framework  
The recast of the Regulation on Ozone Depletin g Substances was adopted in September 2009 
and the new provisions apply from 1 Janua ry 2010 (Regulation (EC) No 2037/2000 having 
been repealed from the same date).  
The Commission conducted particular studies in  the context of the pr eparatory phase for a 
comprehensive review of Regulation (EC) No  842/2006 (F-Gas Regulation), which is due by 
July 2011.  
Compliance promotion and legal enforcement work  
Implementation of the Regulati on on Ozone Depleting Substances 
During 2009 no new infringement cases rela ting to the Regulatio n on Ozone Depleting 
Substances  were launched. A number of cases against Cyprus, Denmark, Greece, Malta and 
Italy however remained open from previous y ears and were further pursued regarding the 
failure to fulfil the obligations  in relation to the decommission ing of halons used in fire 
extinguishers of ships. Nevertheless, it s hould also be noted that the Commission has 
observed an important progress in fulfilling th is decommissioning requirement in all the 
above-mentioned Member States and already closed for cases in 2009. 
Implementation of the F-Gas Regulation 
The Commission monitored attentively the implementation by the Member States of certain 
requirements of the Regulation. Some delays observed in the establishment of national 
certification systems and in the adoption of ru les on penalties by the Member States have 
required appropriate follow-up action from the Commission.  
Petitions 
In 2009 the Commission has received a numbe r of new petitions concerning industrial 
emissions. In addition, it has been dealing with those which were received in earlier years, but 
follow-up with the national au thorities has proved necessar y to enable sending updated 
information to the Parliament. Particular atte ntion has been paid on cases where potential 
serious or persistent breach of EU law c ould have been identified (e.g. alleged huge 
exceedance of emission limit values by ILVA steel plant in Taranto, Italy). 
6.10.1.3.   Evaluation based on the current situation 
Regulation on Ozone Depleting Substances 
Regarding the implementation of the Ozone Regulat ion, it can be said that while a number of 
infringement cases have remained open from prev ious years and individual  issues may persist, 
in general Member States are in  compliance with the Regulation. 
EN 242   EN 7. INFORMATION  SOCIETY  AND  MEDIA 
7.1. General Overview 
In Information society and media  the regulatory framework for electronic communications 
continued to face a sizeable volume of inco rrect implementation issues, despite genuine 
efforts on the part of most Member States. One challenge has been the independence of 
national regulatory authorities (NRA's) in certain  Member States. Member States must ensure 
the independence and effectiveness of regulators,  which are a prerequisite for ensuring fair 
and effective regulation of the sector. Ensuri ng the effective implementation of consumer 
protection rights, such as the ability to be located when calling the European emergency 
number 112, remained another key challenge fo r several Member States and the market 
players concerned. The increasingly challe nging economic environment makes it more 
necessary than ever to ensure the correct  implementation of the internal market acquis . 2009 
amendments to the existing framework, as well as Commission guidance on e.g. tariffs for termination of calls on mobile networks, are e xpected to enhance predictability and legal 
certainty, and to create a level playing fiel d in the EU's single market for electronic 
communications. In the audiovisu al sector, while commercial communications continued to 
be an issue, preventive work was undertaken with Member States w ith a view to ensuring 
effective implementation of the Audiovisual Media Services Direc tive by the end of 2009. 
Regarding the Public Sector Information Dir ective, main challenges include licensing and 
charging models that facilitate th e availability and re-use of public information resources. 
7.2. Electronic communications 
7.2.1.  Current position 
7.2.1.1.  Existing measures in force 
The EU regulatory framework for el ectronic communications came into force in 2002. Its 
five Directives are transposed into the national law of all 27 Member States242. The 
Framework Directive outlines the general pr inciples, objectives, and procedures. The 
Authorisation Directive creates a regime of  general authorisations for providers of 
communications services. The Access and Interconn ection Directive sets out rules for a multi-
carrier marketplace, ensuring, in particul ar, access to networks and services and 
interoperability. The Universal Service Direct ive guarantees basic rights for consumers and 
minimum levels of availability and affordabilit y. The e-Privacy Directive covers protection of 
privacy and personal data communicated ove r public networks. Amendments to this 
regulatory framework for electr onic communications were adopt ed in November 2009 (see 
section 1.2.2.1). 
                                                
 
242 Directive 2002/21/EC (Framework Direct ive), Directive 2002/ 20/EC (Authorisation 
Directive), Directive 2002/19/EC (Access Dir ective), Directive 2002/22/EC (Universal 
Service Directive) and Directive 2002/58/EC  on privacy and elect ronic communications 
(further referred to as the ePrivacy Directive). 
EN 243   EN The Roaming Regulation 243, which entered into force in June 2007, has ensured that 
consumers continue to benefit from significant cost savings when maki ng or receiving calls 
while in another Member State. The Roam ing Regulation introduced maximum ceilings 
(Eurotariff)244 on retail prices  for making and receiving ca lls in the EU and improved 
transparency for consumers by ensuring that operators send pricing information to their 
customers when they cross a border.  
                                                 
243 Regulation (EC) No 717/2007 of the European  Parliament and of the Council of 27 
June 2007 on roaming on public mobile telephone networks within the Community and 
amending Directive 2002/21/EC, OJ L 171, 29.6.2007, p. 32. 
244 It is estimated that over 400 million EU citi zens could benefit from the ‘Eurotariff’ 
which makes it the standard default tariff in Europe. 
EN 244   EN While most of the radio spectrum harmonisation decisions  adopted until 2008245 on the 
basis of the Radio Spectrum Decision 626/2002/EC 246 were implemented by the majority of 
Member States for some Decisions this was not  yet the case. Regardin g two Decisions that 
concern spectrum suitable for wireless broadband services247 the Commission services sought 
                                                 
245  Commission Decision 2005/928/EC of 20 December 2005 on the harmonisation of the 
169,4-169,8125 MHz frequency band in the Comm unity (frequency band originally 
designated for the ERMES paging system);  Commission Decision 2005/ 513/EC of 11 July 
2005 on the harmonised use of radio spectrum in the 5 GHz frequency band for implementation of Wireless Access System s including Radio Local Area Networks 
(WAS/RLANs); Commission Decision 2005/50/EC  of 17 January 2005 on the harmonisation 
of the 24 GHz range radio spectrum band for the time-limited use by automotive short-range 
radar equipment in the Community; Comm ission Decision 2004/545/EC of 26 July 2004 on 
the harmonisation of radio spectrum in the 79  GHz range for the use of automotive short-
range radar equipment in the Community; Co mmission Decision 2006/771/EC of 9 November 
2006 on the harmonisation of the radio spectrum for use by s hort-range devices (SRD); 
Commission Decision 2006/804/EC of 23 Novemb er 2006 on harmonisation of the radio 
spectrum for radio frequency identification (R FID) devices operating in the ultra high 
frequency (UHF) band; Commission Decision 2007/90/EC of 12 February 2007 amending EC 
Decision 2005/513/EC of 11 July 2005 on 5 GHz WAS/ RLAN; Commission Decision 
2007/98/EC of 14 February 2007 on the harmonise d use of radio spectrum in the 2 GHz 
frequency bands for the implementation of system s providing mobile satellite services (MSS); 
Commission Decision 2007/131/EC of 21 February 2007 on allowing the use of the radio 
spectrum for equipment using ultra-wideband technology in a harmonised manner in the 
Community (UWB); Commission Decisi on2007/344/EC of 16 May 2007 on harmonised 
availability of information regarding spectrum use within the Community; Decision 2008/294/EC of 7 April 2008 on harmonised conditi ons of spectrum use for the operation of 
mobile communication services on aircraft (MCA services) in the Community; Decision 
2008/411/EC of 21 May 2008 on the harmonisation of the 3400 - 3800 MH z frequency band 
for terrestrial systems capable of providing electronic communications services in the 
Community, 2008/432/EC of 23 May 2008 ame nding Commission Decision 2006/771/EC on 
harmonisation of the radio spectrum for us e by short-range devices (SRD); Decision 
2008/477/EC of 13 June 2008 on the harmonisa tion of the 2500-2690 MH z frequency band 
for terrestrial systems capable of providing electronic communications services in the 
Community; Decision 2008/671/EC  of 5 August 2008 on the ha rmonised use of radio 
spectrum in the 5875 - 5905 MHz frequency band for safety related applica tions of Intelligent 
Transport Systems (ITS); and Decision 2008/ 673/EC of 13 August 2008 amending Decision 
2005/928/EC on the harmonisation of the 169,4-169,8125 MHz frequency band in the 
Community.  
246  Decision of the European Parliament and of the Council of 7 March 2002 on a 
regulatory framework for radio spectrum policy in  the European Community (Radio Spectrum 
Decision), OJ L 108, 24.4.2002, p.1. 
247  Decision 2008/411/EC on the harmonisati on of the 3400 - 3800 MHz frequency band 
for terrestrial systems capable of providing electronic communications services in the 
Community and Decision 2008/477/EC on the harmonisation of the 2500-2690 MHz 
frequency band for terrestrial systems capab le of providing electronic communications 
services in the Community. 
EN 245   EN clarifications and additional information as  regards completeness  and correctness of 
implementation from several Member States. Such information is being assessed by the 
Commission services. Moreover, in October 2009 an infringement procedure was launched 
against Germany due to its failure to corre ctly implement Decisi on 2008/477/EC by including 
restrictions in the national frequency allocatio n ordinance with respec t to the use of fixed 
wireless services in th e 2500-2690 MHz frequency band. 
7.2.1.2.  Report of work done in 2009 
Enforcing effective implementation of th e regulatory framework for electronic 
communications continued to be a priority  in 2009. In line with the Commission 
Communication on better monitoring of the application of Co mmunity law248, the 
Commission services have continued to avoi d the need for recourse to infringement 
proceedings by making use of bilateral contacts w ith the relevant national authorities and also 
providing general guidance on implementa tion requirements via the Communications 
Committee (COCOM) and the Radio Spect rum Committee (RSC). During 2009, the 
Commission in particular discussed with the Member States in COCOM the implementation 
of the European emergency number '112' and of  the reserved '116' numbers for harmonised 
services of social value and the market review procedure for consolidating the internal market 
for electronic communications. 
In 2009, infringement priorities continued to  focus on structural issues and consumer 
protection. Structural issues incl uded in particular the functioning and the independence of the 
national regulatory authorities; increasing attent ion was also being paid to the full application 
of the Community consultation procedure involving national re gulatory authorities and the 
Commission which aims to cons olidate the internal market for electronic communications 
(Article 7 procedure). A second priority concerned the protectio n of consumer rights, with a 
special focus on the functioning of the Eur opean emergency number 112, and, increasingly, 
consumer privacy. Finally, compliance with judg ments of the Court of  Justice was another 
priority this year.  
In particular, the Commission has systematical ly monitored the requir ement for independence 
of NRAs, and has taken action when necessary. Me mber States should ensure that NRAs are 
legally distinct from and functionally independe nt of electronic communications networks and 
services providers. This requirement for struct ural separation between the regulatory function 
and activities associated with ownership and c ontrol is particularly relevant when Member 
States retain ownership or c ontrol of electronic communicat ions undertakings. Concerns 
continue to exist in this rega rd in several Member States (e .g. Romania, Latvia, Lithuania). 
Clear rules regarding the form al establishment of the NRA structures should enhance the 
impartiality and the transparen cy of the NRA's functioning. The rules for dismissal of NRA 
management are fundamental in this regard. Infringements are pending in several Member 
States (e.g. Romania, Slovakia). 
A key principle of the regulatory framewor k for electronic communications is that 
undertakings should not be subject to economic ex ante regulation unless they have been 
found to be dominant in  a relevant market, on the basis of a thorough ma rket analysis by their 
national regulatory authority (NRA). The abse nce of communication of mobile termination 
                                                 
248 COM(2002) 725, of 11 December 2002. 
EN 246   EN rates and their methodology for comments to th e Commission led the latter to open an 
infringement case against Germany in 2009.  
Consumer protection goes hand in hand with the grow th and diversifica tion of electronic 
communication services and a growing number of  service providers. A mechanism to settle 
disputes between consumers and service providers that offers a more flexible, cheaper, and less formal alternative to court proceedings is therefore requir ed under the Universal Service 
Directive. Although practical applications of th e dispute resolution mechanism vary from one 
Member State to another, this has produced overall positive results, and a huge number of 
consumer complaints are dealt with at national level. 
The general state of implementation of the re gulatory framework, monitored in close contact 
with the national authorities and other stakeholde rs, is reflected inter alia in the Commission’s 
sector specific annual Progress Report addressed to the European Parliament, the Council, the 
European Economic and Social Committee and the Committee of the Regions249. The 
Commission continued to monitor implementation of the Roaming Regulati on, in particular of 
the new provisions introduced in June 2009, whic h in general ran smoothl y. In that context, 
the Commission worked closely with the Euro pean Regulators Group which, by means of its 
extensive six-monthly roaming data collect ion exercise, provided a key input to the 
Commission's monitoring activities as well as the preparations for its review of the 
Regulation.  
The Commission monitors the correct applicat ion of the provisions contained in the EU 
regulatory framework, also via contacts with st akeholders and complaints received from EU 
citizens. The online web tool 'EU Pilot', set up  to provide quicker a nd better solutions to 
problems arising in the application of EU laws , has been increasingly used to facilitate the 
contacts with the 15 participating Member St ates on the implementation of the EU rules 
relating e-communications. Overa ll, since the launching of th e project in April 2008, 11 cases 
concerning electronic communications have been opened in the EU Pilot, out of which 9 new 
cases were opened in 2009. Four cases have been  closed in 2009, leading in three cases to the 
launch of an infringement. 
As regards infringement proceedings, during 2009, the Commission opened eight new cases, 
while three pending cases were taken to the s econd phase with a reasoned opinion being sent 
to the Member States concerne d. The Commission decided to refe r two cases to the Court of 
Justice in 2009. At the same time, the Commissi on decided to close 14 proceedings following 
action by the Member States.  
New proceedings opened in 2009 concerned th e independence of th e national regulatory 
authorities (Romania and Slovakia), administrati ve charges for controlling the usage of the 
radio spectrum (Latvia), fixed number portabilit y (Bulgaria), lack of notification of mobile 
termination rates (Germany), non-implementa tion of the Commission Decision 2008/477/EC 
on 2.6 GHz spectrum harmonisation (Germany) and confidentiality of electronic 
communications (United Kingdom). With regard to  the latter case, th e Commission decided to 
proceed with the second phase of the proce dure and sent a reasoned opinion to the United 
Kingdom. Two other reasoned opinions, concer ning structural sepa ration of regulatory 
                                                
 
249 “Towards a Single European Telecoms Market (14th Progress Report)”, 
COM(2009) 140 of 24 March 2009. The report c overing 2009 is not yet available.  
EN 247   EN functions from activities associated with  ownership and cont rol in state-owned 
communications and network providers, we re sent to Latvia and Lithuania. 
Two cases which the Commission decided to refe r to the Court of Jus tice in 2009 concerned 
the designation of the universal service provider in Portugal250 and must-carry rules on cable 
networks in Belgium251. 
The Commission welcomed the progress made by Me mber States, even after the initiation of 
infringement proceedings, and continued to apply its policy of closing cases as soon as the problems were resolved. In 2009, thus, a total of fourteen cas es were closed following 
progress in the implementation process. As  the European emergency number 112 became 
available in Bulgaria at th e end of 2008, the relevant case was closed by the Commission. 
Four cases regarding the availa bility of caller location inform ation for 112 calls were closed 
following the adoption of correc tive measures in Romania, Slovakia, the Netherlands and 
Lithuania.  The Commission al so closed two cases relating to must-carry rules (the 
Netherlands, Germany). A case against Luxem bourg concerning structural separation of 
regulatory and managements functi ons was closed, as well as a case against Sweden relating 
to the right to appeal decisions of the telecoms regulator, as the issues raised by the Commission were resolved. As the appropriate steps were taken by national authorities, the 
Commission closed a case agai nst Cyprus relating to rights  of way. Finally, following the 
changes made in national law,  the Commission was able to cl ose four cases against Poland. 
These concerned the independence of the Polish regulator, consumer cont racts, the obligation 
for operators to negotiate interconnection and the obligation to carry out market reviews. 
On the other hand, not all the Member States have complied with th e regulatory framework 
following infringement proceedings, and in 200 9 the Court of Justice ruled on four cases 
[Poland (C-492/07), Portugal (C-458/07), Ital y (C-539/07), Germany (C-424/07)]. The 
Commission was closely following whether the judgments of the Court of Justice were fully 
complied with. In several instances the Commi ssion had to take the procedure to the next 
phase under Article 260 TFEU which allows im posing financial sanctions on Member States 
that have not complied with a judgement of the Court of Justice. In particular, letters of 
formal notice under Article 260 TFEU were sent to  Poland, Portugal, Ital y with regard to the 
above indicated judgments, and to Lithuania (with regard to  a judgment delivered in 2008). 
Whereas the case against Italy was taken to th e next phase with sending a reasoned opinion 
under Article 260, the Commission was able to close the case agai nst Lithuania as the issues 
were resolved. 
As regards spectrum harmonisa tion Decisions, the implementa tion of Decision 2007/131/EC 
was not yet ensured in Romani a, Decision 2008/294/EC in Belg ium and Spain and Decisions 
2008/432/EC and 2008/673/EC in Spain. Moreove r, the implementation of Decision 
2007/344/EC is still under way in a number of Member States and Decision 2008/671/EC was 
yet to be implemented in Austria (tempor ary derogation granted until 31 December 2011), 
Belgium, Spain, Netherlands, Poland and Sweden.  
                                                
 
250  C-154/09. 251 C-134/10 
EN 248   EN In addition to the pending infringement procee dings, there were nine complaints pending at 
the end of 2009. These complaints concerned i ssues across all five Directives of the 
regulatory framework for el ectronic communications.  
In addition to closely monitoring the implemen tation of the EU provisi ons related to 112 in 
the Member States, the Commission has activel y contributed to rais ing awareness of the 
European emergency number. In February 200 9, the Commission, the European Parliament 
and the Council declared 11 February as the 'European 112 Day'. On that day, different 
awareness and networking activities will be orga nised every year in order to promote the 
existence and use of 112 throughout the EU . Furthermore, the Commission launched a 
website252 in several languages dedicated to th e European emergency number that provides 
information on when to call 112 and how 112 works across the EU.  
The Commission continues to freq uently issue press releases at  various stages of the opened 
proceedings. These press releases are avai lable on the implementation and enforcement 
website dedicated to Information Society and Media sector253 together with overview tables 
for all cases, which are updated regularly. 
In November 2009, the European Law Acad emy ERA and the Commission organised a 
seminar for national judges and the NRAs on lega l issues related to the implementation of the 
regulatory framework. The princi ple aim was to raise awareness on (i) the impact of the 
review of the regulatory framework and the re gulatory and economic ch allenges the review 
may entail and (ii) on the role of national courts  in furthering consiste ncy and legal certainty 
on the telecommunications markets. 
Petitions  
Nine petitions on the regulatory framework were registered in 2009. These petitions 
concerned Germany and Italy and involved mainly  consumer protection issues e.g. the quality 
of service, telecom prices including of national and international SMS services, as well as transparency issues. All were answered w ithout opening an infringement proceeding. 
European Court of Justice
 
Finally, the European Court of Justice issued several important judgments on substance in the 
electronic communication area in 2009, in the cont ext of infringement proceedings as well as 
on request for preliminary ruling by a nationa l court or tribunal unde r Article 267 of the 
TFEU Treaty (formerly Article 234 of the EC  Treaty). These covered among others caller 
location for 112 (C-539/07 – Commission v Italy ), regulation of new markets (C-424/07 
Commission v Germany ), directory services (C-458/07 Commission v Portugal ), definition of 
subscriber (C-492/07 Commission v Poland ) or the obligation to negotiate on interconnection 
(C-192/08 TeliaSonera Finland).  
                                                 
252   http://ec.europa.eu/112   
253
 http://ec.europa.eu./information_society/p olicy/ecomm/implementation_enforcement/i
ndex_en.htm  
EN 249   EN 7.2.2.  Changes underway 
In order to realise the full potential of the in ternal market, more cons istency of application 
across the EU and a strengthening of the fram ework in areas such as the application of 
remedies in termination and broadband ma rkets, spectrum management, swift number 
portability and privacy over electronic communications are needed. These needs were 
considered in the Review of the current regulatory framework. 
7.2.2.1.  New measures recently adopted 
In accordance with Article 25 of the Framew ork Directive, the Commission proposed a 
review of the regulatory framework in Nove mber 2007254. The review aims to consolidate a 
competitive internal market through more consis tent national regulatory approaches, reinforce 
consumer protection and users' rights, and provi de for more effective spectrum management 
and implementation. The European Parliament and the Council adopted these reforms on 25 
November 2009255. The Member States have to implement them by 25 May 2011. 
Building on the Commission's proposal to the Eu ropean Parliament and Council to extend the 
regulation by a further three years up to June 2012 and to include SMS and data roaming services (at wholesale level only) in addition to voice, th e European Parliament and Council 
adopted the Regulation modifiying the Roaming Regulation on 18 June 2009256. These 
measures became applicable as of the 1 July 2009. The Commission will report on the 
functioning of the Regulation to the Council and European Parliament by 30 June 2011.  
In September 2009, a Directive amending the GS M Directive257 on the frequency bands to 
be reserved for the coordina ted introduction of public pan-Eu ropean cellular digital land-
based mobile communications in the Commu nity was adopted258. It provides for the 
introduction in the 900 MHz band of new wireless services, starting with UMTS services, and 
should be implemented by Member States by 9 May 2010. 
In 2009, three spectrum harmonisa tion Decisions were adopted by the Commission: Decision 
2009/343/EC of 21 April 2009 amending Decisi on 2007/131/EC on allowing the use of the 
radio spectrum for equipment using ultra-wi deband technology in a harmonised manner in the 
                                                
 
254 Commission proposal for a directive of the European Parliament and of the Council, 
SEC(2007) 1472 and SEC(2007) 1473 and Proposal for a regulation of the European 
Parliament and of the Council establishing th e European Electronic Communications Market 
Authority COM(2007)699, for an overview, see website of DG Information Society:  
http://www.ec.europa.eu/information_society /policy/ecomm/librar y/proposals/index_en.htm 
255  OJ L 337, 18.12.2009, p. 37; OJ L 337, 18.12.2009, p. 11 256  Regulation (EC) No 544/2009 of the Europ ean Parliament and of the Council of 18 
June 2009 amending Regulation (EC) No 717/ 2007 on roaming on public mobile telephone 
networks within the Community and Di rective 2002/22/EC on a common regulatory 
framework for electronic communications networks and services, OJ L167, 29.6.2009, p. 12. 
257 OJ L 196, 17.7.1987, p.85. 258  OJ L 274, 20.10.2009, p. 25. 
EN 250   EN Community, Decision 2009/381/EC of 13 Ma y 2009 amending Decision 2006/771/EC on 
harmonisation of the radio spectrum for use by short-range devices and Decision 
2009/766/EC of 16 October 2009 on the harm onisation of the 900 MHz and 1800 MHz 
frequency bands for terrestrial systems capab le of providing pan-European electronic 
communications services in the Community. Th e process of verification of the state of 
implementation of the Decisions adopted in 200 9 is on-going in the framework of the Radio 
Spectrum Committee. 
Following the adoption by the European Parliament and the Council on 30 June 2008 of 
Decision No 626/2008/EC on the se lection and authorisation of  systems providing mobile 
satellite services (MSS)259, a Community procedure for the co mmon selection of operators of 
mobile satellite systems that use the 2 GHz frequency band was launched in August of the 
same year and was completed on 13 May 2009 by Commission Decision 2009/449/EC on the 
selection of operators of pan- European systems providing mobile satellite services (MSS)260. 
This Decision led to the selec tion of two operators and the id entification of two times 15MHz 
to each of them. Implementation of the pan-European MSS framework has now been taken-over by the Member States. The Commission servi ces will closely monitor measures taken at 
national level and will assist relevant authori ties of Member States as appropriate, notably 
thanks to a dedicated working group of  the Communications Committee on the 
implementation of Decision 2009/449/EC. 
7.2.2.2.  Volume of enquiries and priorities 
While the 27 Member States have completed the formal transposition of the regulatory 
framework in 2007, there were st ill 23 proceedings for incorre ct implementation pending at 
the end of 2009. The number of cases of infringeme nts, complaints, enquiries and petitions is 
expected to stay at a level similar to previous years. 
In the light of complaints and issues rais ed by market players and national regulatory 
authorities, the priorities remained the same as  in the previous year : the functioning of the 
national regulatory authorities, the applicati on of the Community consultation (Article 7) 
procedure, and consumer protection rights, incl uding privacy. Compliance with judgments of 
the Court of Justice continued to be an issue as case law de veloped in the area. 
7.2.3.  Evaluation based on the current situation 
Overall, the implementation of the regulatory fra mework is working to bring competition to 
electronic communications markets, to the bene fit of consumers in terms of prices and 
innovation. While examples of be st practice are available acro ss the range of regulatory and 
market issues, there is considerable scope for fu rther benefits to flow from a reinforced single 
market, strengthened competition and a reduction in the regulatory burden. 
A significant number of non-conformity and in correct application issues remains, which 
require attention and appropriate follow-up with  a continued focus on the functioning of the 
national regulatory authorities a nd consumer protection rights.   
                                                
 
259  OJ L 172, 2.7.2008, p. 15. 260  OJ L 149, 12.6.2009, p. 65. 
EN 251   EN 7.2.4.  Evaluation: priorities and pla nned action (2010 and beyond) 
Priorities for 2010 and beyond will likely remain similar to thos e of the reporting year. The 
number of cases is expected to remain about the same as in the reporting year. 
In electronic communications, monitoring is expect ed to focus again on structural issues, such 
as the functioning and the independence of the national regulatory authorities. As 
independence of regulators is essential fo r the proper functioning of the electronic 
communications markets, attention is expected , in the run-up to the implementation of the 
revised regulatory framework, to continue to focus its attention on this issue. Greater attention 
is being paid to the full application of the Community consulta tion procedure involving 
national regulatory authorities and the Commission which aims to consolidate the internal market for electronic communicatio ns (Article 7 procedure).  
A second priority concerns the protection of consum er rights. This issue is  expected to remain 
a priority, if only as a result of the reinforcem ent of several consumer protection provisions in 
the revised regulatory framewor k. The Commission will conti nue to closely monitor the 
implementation of the Roaming Regulation which has ensured that consumers benefited from significant cost savings using mobile phones while in another Member State. 
Priorities will evolve in accordance with th e amendments to the regulatory framework. 
Preventive work, such as guidelines and technical  meetings, is expected to start in early 2010. 
It is expected that prevention work in particul ar will focus in particular on new issues raised 
by the amendments to the currently applicable rules which require transposition into national 
law. 
7.3. The Audiovisual and Media 
7.3.1.  Current position 
7.3.1.1.  Measures in force in 2009 
The main instrument is the Audiovisual Medi a Services Directive261 (hereafter the “AVMS 
Directive”). It combines the c ountry of origin principle with  a minimum harmonisation of the 
laws applicable to all audiovisual media se rvices (television and video on-demand). Non-
binding measures include the Recomme ndation on Film Heritage262 and the 
                                                
 
261 Directive 89/552/EEC of the European Pa rliament and of the Council of 3 October 
1989 on the coordination of certain provisions laid  down by law, regulation or administrative 
action in Member States concer ning the provision of audiovisual  media services (Audiovisual 
Media Services Directive) as last amende d by Directive 2007/65/EC of 11 December 2007, 
OJ L 332 of 18 December 2007. 
262 Recommendation of the European Parlia ment and of the C ouncil of 16 November 
2005 on film heritage and the competitiveness of  related industrial acti vities, OJ L 323 of 9 
December 2005, p. 57. 
EN 252   EN Recommendation on the protecti on of minors and human di gnity in audiovisual and 
information services263. 
7.3.1.2.  Report of completed work in 2009 
For the first time, the monitoring carried out by i ndependent experts of advertising restrictions 
took account of not only quantitative restricti ons, but also of qualit ative aspects of TV 
advertising, e.g. the rules on protection of minors. 
Five cases were closed (two about excessive advertising, a nother two about broadcasting of 
programmes of apparent pornographi c nature during day time, one about alleged incitement to 
hatred); in another case con cerning the incorrect application of the quantitative rules on TV 
advertising in Spain the Court of Justice of the European Union was seized.In a judgment 
adopted on 5 March 2009 (C-222/07 ), the Court of Jus tice of the European Union ruled that 
the Spanish measure requiring television operato rs to earmark 5% of their operating revenue 
for European films, 60% of that funding being reserved for the production of original works 
in official languages of Spain, was compatible  with Directive 89/552/EC  ('Television without 
Frontiers Directive', the pred ecessor of the AVMS Directive) and the fundamental freedoms 
and that this measure did not constitute State aid. 
On 26 June 2009, the Commission adopted the Seventh Report on the application of the 
"Television without Frontiers Directive" for the period 2007 – 2008; the report also adds 
analysis to the ongoing evoluti on of the television market. 
One new case was opened referring to a national transposition of the AVMS Directive 
allegedly being disproportionate ly restrictive (the national la w foresees a limit of three hours 
per day for teleshopping while the AV MSD does not include such a limit). 
7.3.2.  Changes Underway 
7.3.2.1.  Recently adopted measures 
Member States had until 19 December 2009 to  transpose the AVMS Directive. Questions 
faced by all Member States in th e transposition process were con tinued to be clarified at two 
meetings of the Contact Committee set up under Article 23a  of the Directive as well as at one 
meeting of the Working Group of EU Regulatory Au thorities. By the end of the transposition 
period, only three Member States had notifie d the Commission of full implementation. In 
2010, priority will be given to a thorough examination of national implementing measures. 
The AVMS Directive changed the number and orde r of subsidiary jurisdiction criteria for 
satellite (re)transmissions. Therefore, the C ontact Committee carried out an exercise to 
identify those audiovisual media services whic h would change jurisdic tion at the end of the 
transposition period as a consequen ce of that reversal of  criteria. The exercise will continue in 
2010 due to some Member States' difficulties to identify all relevant media service providers 
                                                 
263 Recommendation of the European Parlia ment and of the C ouncil of 20 December 
2006 on the protection of minors and human dignity and on the right of repl y in relation to the 
competitiveness of the European audiovisual an d on-line information services industry, OJ L 
378 of 27 December 2006, p. 72. 
EN 253   EN The Commission proposed a codifi ed version of the AVMS Directive which consolidates the 
original Directive with the two amending Directives. It wa s adopted on 10 March 2010264;  
7.3.2.2.  Volume of enquiries and priorities 
In the light of complaints and parliamentary ques tions received so far, priority will most likely 
be on the following areas: tele vision advertising, protection of minors, prohibition of 
incitement to hatred, and freedom of expression . The issue of events of major importance for 
society, with the cases brought before the Co urt of Justice against the UK and Belgian 
measures, will also be followed closely. In general, the number of cases of infringements and petitions is expected to stay at the same level as in previous years. The number of complaints 
on alleged pornographic content transmitted dur ing daytime and without encryption via 
satellite broadcasts remained high. Cooperation be tween regulators, in pa rticular with regard 
to transborder broadcasters wher e jurisdiction issues may arise, was improved with  the help of 
the Commission. Complaints about alleged pornogr aphic content can be a ddressed directly to 
the regulator of the complainant's country for appropriate follow-up. The monitoring of 
audiovisual commercial communication rules will continue at a high intensity.  
7.3.3.  Evaluation based on the current situation 
The application of the provision s of the present regulatory framework in force has been 
satisfactory. However, it remains necessary to carry out a close monito ring of the application 
of audiovisual commercial communication ru les in the Member States. Due to the high 
number of complaints with regard to allege d hate speech and pornographic content, it might 
become necessary to extend the monitoring  by independent expert s to these areas. 
Cooperation between national regulators and with the Co mmission should be further 
improved. 
7.3.4.  Evaluation results: priorities a nd planned action (2010 and beyond) 
Priorities for 2010 and beyond will likely remain similar to thos e of the reporting year. The 
protection of consumer rights remains a key i ssue. Regarding TV advertising, monitoring will 
not only address quantitative restrictions bu t also qualitative rule s e.g. the rules on the 
protection of minors and/or restri ctions on alcoho l advertising. 
Since the transposition period of the AVMS Directive has elapse d the national laws will be 
examined very closely to ensure that they are compatible with the Directive. An interpretative 
communication by the Commission to provide more legal certainty on new terms and 
concepts of the AVMS Dire ctive is envisaged for 2011. 
                                                
 
264 Directive 2010/13/EU of the European Pa rliament and of the Council of 10 March 
2010 on the coordination of certain provisions laid  down by law, regulation or administrative 
action in Member States concer ning the provision of audiovisual  media services (Audiovisual 
Media Services Directive), OJ L 95, 15.4.2010, p.1. 
EN 254   EN 7.4. Public Sector Information 
7.4.1.  Current Position 
7.4.1.1.  General introduction 
Public Sector Information (PSI) is the single largest source of information in Europe (e.g. 
maps and satellite images, legislation, statistics  and company registers) and is used as raw 
material for a variety of adde d-value products and services. Directive 2003/98 on the re-use 
of public sector information  (PSI Directive) aims at enhanc ing an effective cross-border re-
use of PSI and to limit distortions of competition in the Community market.  
The Directive is built around two pillars of th e internal market; tr ansparency and fair 
competition. It contains provisions on transpar ency of conditions and non-discrimination, on 
prohibition of cross-subsidies and exclusive ar rangements, on procedures regarding handling 
of re-use requests, on upper limits for charging, as well as on practical means to facilitate 
finding and using the material available for re-u se. Ultimately, the Directive aims at a change 
of culture in the public sect or, creating a favourable envir onment for the re-use of its 
information resources. 
The Commission applies the principles of th e PSI Directive also to its own documents 
through a Commission re-use policy. Commission Decisi on 2006/291/EC, Euratom goes 
beyond the Directive by applying charges based on (at most) marginal costs and by making all 
documents re-usable. Examples are EUROSTAT ’s statistical data, Commission translation 
memories, the EC law database EUR-Lex and studies.  
7.4.1.2.  Report of work done in 2009 
The deadline for implementing the PSI Direc tive by the Member Stat es was 1 July 2005. By 
May 2008, all Member States had notified fu ll implementation of the Directive.  
The Commission pursued in 2009 infringement procedures for incomplete and incorrect 
implementation regarding Sweden and Poland, and opened one new case regarding Italy for 
failing to correctly transpose and implement the Directive. The evaluation of the conformity 
of the notified national transposition measures c ontinued in parallel with the management of 
complaints. A complaint filed in 2009 against Denmark for non-compliancy with the Directive provisions on charges is being de alt with under the EU PILOT system.   
In conformity with the Comm ission Communication on better monitoring of the application 
of Community law (COM ( 2002)725), the Commission cont inued to pursue various 
accompanying measures in addition to formal in fringement procedures in 2009. It has been 
closely monitoring the implementation pro cess and providing technical assistance. 
In particular, the Commission pursued close bilate ral contacts with Member States in view of 
ensuring correct implementation and application of the Directive. These have led to legislative 
changes in several Member States, which had originally notified insufficient implementation measures. The Commission also organised and chaired the PSI Group for Member State 
experts and stakeholders in orde r to provide assistance regardi ng implementation issues and to 
facilitate the exchange of good practices. In  addition, the Commission contributed to 
awareness-raising and stimulation activities by  participating in seminars and workshops 
organised in the Member States, networking across Europe and in a wider international 
context (notably the OECD) and co-funding a proj ect for promoting pan-European PSI re-use 
EN 255   EN (ePSIplus, taken over in 2009 by th e European PSI platform) to further stimulate action and 
monitor progress towards a stronger and more transparent environment for the growth of 
European PSI re-use markets. Finally, the Commission undertook studies on PSI re-use. 
A series of studies assessing the situation in  Member States regarding the existence of 
possible exclusive agreements for PS I re-use were launched in 2009.  
The Commission also carried out a review of the application of the PSI Directive, leading to a 
Commission Communication and Staff working document in 2009. In accordance with 
Article 13 of the Directive, the review addressed, in particular, the scope and impact of the Directive. 
7.4.2.  Evaluation based on the current situation 
It should be noted that the PSI Directive was implemented by many Member States with 
considerable delay, requiring infringement procedures launched by the Commission and 
leading eventually to four judgmen ts of the Court of Justice. The situation is in the process of 
development of new "acquis" as it is a first ever Directive in this area, with notification of implementation measures recently being completed in all Member States. The number of complaints is still scarce and there are no pr eliminary rulings based on the Directive.  
A positive evolution and progress has taken place since the adoption of the Directive. The 
respondents to the public consultation consider ed that the PSI Directive has had positive 
effects on PSI re-use, which has also been confirmed by studies. However, the full potential of PSI re-use has not yet been  realised, implementation of the Directive and measures to 
facilitate re-use in the Member States are unev en, and barriers to re-u se still exist. Problems 
and action by Member States to redress them need to be carefully monitored and assessed.  
Commission action carried out in 2009 through infr ingement procedures, bilateral cooperation 
with Member States, facilitating the exchange  of good practices, and aw areness-raising have 
led to positive developments in some Member States, notably on the pr ocess of legislative 
changes in view of ensuring correct  implementation of the Directive. 
7.4.3.  Evaluation results 
7.4.3.1.  Priorities 
Priority has shifted now from the first stag e of adopting national implementation measures 
and notifying them to the Commission, to ensu ring compliance and effective application of 
the Directive in all 27 Member States. In the light of the eval uation of the conformity of the 
notified national measures and complaints, the ma in substance issues remain the same and are 
related notably to the scope and definitions, non-discrimination, charging, exclusive arrangements, and transparency. Efforts should now focus on full and correct implementation 
and application of the Directive, terminating exclusive arrangements, applying licensing and 
charging models that facilitate the availa bility and re-use of PSI, and ensuring equal 
conditions for public bodies re-using their own documents and other re-users. Member States 
are encouraged to set up quick and ine xpensive conflict resolution mechanisms.  
7.4.3.2.  Planned action (2010 and beyond) 
It is important now to ensure compliance and effective application of the Directive in the 
Member States. The completion of implementation of the Directive in the Member States may 
have an impact on the number of complain ts received by the Commission in the future. 
EN 256   EN Enforcement action through the launch of new infringement procedures for incorrect 
implementation and/or application of the Di rective is likely in 2010 and beyond. One area 
concerns exclusive arra ngements, for which the transitional period foreseen in Article 11 of 
the Directive expired at the e nd of 2008. An exercise investiga ting the extent of exclusive 
arrangements was launched in 2009 and results w ill become available in the second half of 
2010. The Commission will continue to monitor cl osely implementation issues, to facilitate 
the exchange of good practices and to provide technical assistance es pecially through close 
administrative cooperation with the Member Stat es, the PSI expert gr oup, as well as through 
other accompanying measures such as the Eur opean PSI platform. In addition, a thematic 
network on the legal aspects of PSI is planne d to be set up to iden tify and discuss legal 
barriers to re-use PSI in the digital environm ent and to suggest ways to overcome them. A 
further review of the PSI Directive is envisaged by the Commission by 2012 when more 
evidence on the impact, effects and application of the Directiv e should be available. Possible 
legislative amendments would be considered at that stage, taking into  consideration progress 
made in the meantime. 
7.4.4.  Sector summary 
A positive evolution and progress has taken place. However, the full potential of PSI re-use 
has not yet been realised  and implementation of the Directive in the Member States is uneven. 
Problems and action by Member States to redres s them need to be carefully monitored and 
assessed. The priority has shifted now fr om the first stage of adopting national 
implementation measures and notifying them to the Commission, to ensuring full compliance 
and effective application of the Directive in the Member States. The Commission will continue to closely monitor im plementation issues, to  launch infringement procedures where 
necessary, as well as to faci litate the exchange of good pr actices and awar eness-raising. 
7.4.5.  Measures in force 
More information on the re-use of public sector information: 
http://ec.europa.eu/information_society/policy/psi/index_en.htm
  
7.5. Electronic Signatures 
7.5.1.  Current Position 
7.5.1.1.  Existing measures in force 
The principal instrument is Directive 1999/93/EC on a community framework for 
electronic signatures 265. The implementing measures include the Commission Decision on 
the minimum criteria for the designated bodies266 and the Commi ssion Decision on the 
generally recognised standards for so me electronic signatures products267. 
                                                 
265 OJ L 13, 19.01.200, p.12 266 OJ L 298, 16.11.2000, p.42 267 OJ L 45, 15.07.2003, p.45 
EN 257   EN The general principles of the Directive were  indeed transposed by all Member States. 
Currently there is no open infringement procedure.  One complaint lodged in 2009 regarding 
the implementation of Directive 1999/93/EC in Ge rman law is currently being investigated.  
Lastly, indirect aspects pertai ning to electronic signature were  identified in two additional 
complaints handled by other Commission serv ices. The first complaint268 concerns the 
implementation of Directives 90/385/EC and 93/ 45/EC on the registration of medical devices 
in Italy. The Italian authorities amended the technical rules for on -line registration in 
compliance with the electronic signature Directiv e thus there is no infr ingement to Directive 
1999/93/EC anymore. The second complain t269 concerns Directive 2003/96/EC and 
implementing Spanish legislation governing the refund of  excise duties. This case is still 
under investigation. 
7.5.1.2.  Report of work done in 2009 
Building on the Commission Action Plan on e-signatures and e-id entification to facilitate the 
provision of cross-border public services in the Single Market270,  whose main objective is to 
promote the implementation of mutually recogn ised and interoperable electronic signatures 
and e-authentication solutions in Europe, a Decision 2009/767/EC was adopted in 2009, 
which sets out measures facilitating the use of procedures by electr onic means through the 
‘points of single contact’ under Directive 2006/123/EC. 
7.5.2.  Evaluation 
In 2006 the Commission acknowledged271 problems  of mutual recognition and cross-border 
interoperability of electronic signature. The Commission's position is that it intends to address the legal, technical, and standardisation  causes of these issues. Therefore a revision and 
update of Decision 2003/511/EC is foreseen and standardisat ion work is currently being 
planned by the relevant European  Standardisation Organisation. 
8. MARITIME
 AFFAIRS  AND  FISHERIES 
The Common Fisheries Policy is based on the provisions of Article 3, 4 and 38 through 43 
TFEU. The full set of rules adopted under th e Common Fisheries Policy as well as new 
measures already proposed can be found on the following website: http://ec.europa.eu/fi sheries/index_en.htm
. 
 
                                                 
268 2007/4516 269 2007/4715 270 COM(2008)798 271 Report on the operation of Directive 1999/93/EC on a Community framework for 
electronic signatures – COM(2006)120 of 15.3.06 
EN 258   EN 8.1. Current situation 
8.1.1.  General introduction 
By virtue of the provisions of Articles 3 and 32 of the EC Treaty, Member States have 
transferred competence to the Community with re gard to the conservation and management of 
fisheries resources. Hence, in this field, legislative or prescriptive jurisdiction rests with the Community such that it is for the Community to  adopt relevant conservation and management 
measures while it remains for the Member Stat es to implement and enforce those measures. 
Consequently, the Common Fisheries Policy ha s been established in pursuance of the 
objectives laid down in Article 33 of the EC Treaty and, in its current version, it encompasses 
(1) a conservation regime together with a co ncomitant control and enforcement framework, 
(2) a structural policy through the new Europ ean Fisheries Fund, (3) a common organisation 
of the markets in fishery a nd aquaculture products and (4) the international dimension 
covering bilateral Fisheries Partnership Agreements, multilateral Regional Fisheries Management Organisations and conclusion of gl obal international treaties such as the 1982 
United Nations Convention on the Law of  the Sea272 and the 1995 Agreement on the 
implementation of the provisions of the Unite d Nations Convention on the Law of the Sea 
relating to the conservation and management of  straddling fish stocks and highly migratory 
fish stocks273. The full set of rules adopted under the Common Fisheries Policy can be found 
on the following website: http://ec.europa.eu/fi sheries/index_en.htm
. 
The Lisbon Treaty entered into force on 1 December 2009. Under Article 4(2)(d) of the 
Treaty on the Functioning of the European Union (TFEU), fisheries is one of the areas of 
shared competence between the Union and th e Member States. However, Article 3(1)(d) 
TFEU attributes exclusive competence to the Un ion for the conservation of marine biological 
resources under the common fisheries policy. This  means that only the Union can legislate in 
this field unless Member States have been explicitly empowered to do so by the Union according to Article 2(1) TFEU. By virtue of  the provisions of Articles 38 to 43 TFEU, the 
Union shall define and implement  a common fisheries policy.  
The conservation regime in its current vers ion is governed by the basic Council Regulation 
(EC) No 2371/2002 on the conservation and sustai nable exploitation of fisheries resources 
under the Common Fisheries Policy274, Article 2(1)  of which spells out that the Common 
Fisheries Policy shall ensure exploitation of  living resources that  provides sustainable 
economic, environmental and social conditions. The control system is circumscribed by the provisions of Article 23 of  Council Regulation (EC) No 2371/2002 and Articles 1 and 2 of 
Council Regulation (EC) No 1224/2009 establis hing a Community c ontrol system for 
ensuring compliance with the rules of the common fisheries policy.275 
                                                
 
272 OJ L 179, 23.06.1998, p. 1 273 OJ L 189, 03.07.1998, p.14 274 OJ L 358, 31.12.2002, p. 59 275             OJ L 343,22.12.2009, p.1. 
EN 259   EN 8.1.2.  Work done in 2009 
As a priority issue, the Commission had prep ared and presented a legislative proposal276 for 
a radical overhaul of the existing control and enforcement framework as laid down on Council 
Regulation (EEC) No 2847/93. The Council adopted on 20 November 2009 the new 
Regulation establishing a Community control sy stem for ensuring compliance with the rules 
of the Common Fisheries Policy.277 The new rule s are designed to strengthen the existing 
regulatory framework, to ensure a level playin g field and to bring about a true compliance 
culture all across the European Union. 
The Commission initiated a full review of the entire policy in order to prepare the ground for 
a root-and-branch reform. A Gr een Paper has been issued on 22 April 2009 for the purposes 
of launching a broad public consultation on th e reform of the Comm on Fisheries Policy278. 
The Council adopted Regulation (EC) No 1010/2009 laying down detailed rules for the 
implementation of Council Regulation (EC) No 1005/2008 establishing a Community system 
to prevent, deter and eliminate illegal, unreported and unregulated fishing.279  
In proceedings instituted on grounds of lack of an  effective system of monitoring to ensure 
respect of the Community prohibi tion of drift nets of a length greater or equal to 2.5 km, the 
Court of Justice rendered a judgment on 5 Ma rch 2009280 declaring that France has failed to 
fulfil its obligations under Regulation (EC) No 2847/93 esta blishing a control system 
applicable to the common fisheries polic y and Regulation (EC)  No 2371/2002 on the 
conservation and sustainable exploitation of fisheries resources under this policy, by failing sufficiently to monitor, inspect and supervise fi shing activities in the light of prohibition of 
drift nets for the capture of certain species and by not ensuring that appropriate measures 
against those responsible for infringements of the Community legislation on the use of this 
kind of fishing gear were taken. 
In proceedings instituted on grounds of non respect of the rules on conservation of fisheries 
resources through technical measures, the Court of Justice rendered a judgment on 15 October 
2009 281 declaring that the Nether lands, by allowing fishing vesse ls to have a higher engine 
power than permitted under Regulation (EC) No  850/98 for the conservation of fishing 
resources through technical measur es for the protection of juven iles of marine organisms, has 
failed to fulfil its obligati ons under Regulation (EC) No 2371/2002 on the conservation and 
sustainable exploitation of  fisheries resources under th e common fisheries policy and 
Regulation (EC) No 2847/93 es tablishing a control system applicable to this policy. 
                                                
 
276  COM(2008) 721 final of 14.11.2008 277              OJ L 343,22.12.2009, p.1. 278  COM(2009) 163 final, 22.4.2009 279              OJ L 280, 27.10.2009, p.5. 280              Case C-556/07, Commission v. France. 281              Case C-232/08, Commission v. The Netherlands. 
EN 260   EN In proceedings instituted on grounds of failure to  ensure compliance with the drift nets ban  
under applicable Community rules, the Court of  Justice rendered a judgment on 29 October 
2009282 declaring that Italy has failed to fulfil its obligations under Regulations (EC) No 
2241/87 and No 2847/93 by failing to control, in spect and survey in a satisfactory manner 
fishing activities within its territory and with in the waters subject to its sovereignty or 
jurisdiction, in particular with regard to co mpliance with provisions governing the retention 
on board and use of drift nets, and by not ensu ring in a satisfactory manner that appropriate 
measures are taken against those responsible for infringements to the Community rules on the retention on board and use of this kind of fi shing gear, in particular by the imposition of 
dissuasive penalties on those persons. 
The Commission adopted, on 2 April 2009283, a proposal for a Council Regulation laying 
down a Scheme of control and enforcement in the area covered by the Convention on future multilateral cooperation in the North-East Atlan tic fisheries. This proposal contains the 
transposition of the new sche me of control adopted by the Northeast Atlantic Commission 
(NEAFC) with full support of the Community. The new Scheme is designed to improve the 
control and enforcement of the recommendations of NEAFC. The main change is the merge 
of the former Scheme and the Program to pr omote compliance by no n contracting Parties 
vessels. The other change is the inclusion of a new Port State Control system which 
effectively closes European ports to landings of foreign fish which have not been verified to 
be legal by the flag State of the foreign ve ssel. The Scheme also provides new measures 
considering control of vessels engaged in illegal, unreporte d and unregulated fisheries. 
The Council adopted, on 7 July 2009, Re gulation (EC) No 679/2009284, amending 
Regulation (EC) No 1386/2007 laying down c onservation and enforcement measures 
applicable in the Regulatory Area of the Northwest Atlantic  Fisheries Organisation. This 
Regulation takes into account the modifications  to conservation and enforcement adopted by 
this organisation at its 30
th annual meeting hold in Septembe r 2008. The amendments relate to 
provisions on bottom fishing, closed areas ensuring seamounts protection, labelling 
requirements and additiona l port sate measures. 
8.2. Evaluation 
Fishery-related infringement cases are important  because all of them, in varying degrees, do 
touch upon the conservation obj ectives of the Common Fisher ies Policy. The success of a 
policy of sustainable management of fishery resources depends on effective implementation 
of the applicable EU rules in this area a nd, more particularly, on the implementation of 
effective control, inspection and enforcement system by the Member States. Yet, Member 
States' compliance records lack coherence and somewhat move in cycles. 
There is also a link with the status of fish  stocks and the endemic overcapacity of the 
Community fishing fleet. Where fishing opportunities decrease, Member States should step up 
their control and enforcement efforts. Yet, control and enforcement become politically 
                                                 
282             Ca se C-249/08, Comm ission v. Italy. 
283            COM (2009) 151 final of 2.4.2009. 284            OJ L 197, 29.7.2009, p.1. 
EN 261   EN unpopular in such situations and certainly so when  dire fish stock situations become coupled 
with an economic crisis. 
It is against this background that the Commi ssion proposed a complete overhaul of the control 
and enforcement framework. The new control regulation will provide the European Union with the level playing field which has been so far lacking in the fisheries sector. The new system will encourage a culture of compliance am ong operators. It aims to ensure that, in a 
single market, operators cannot take advantage of the different sanction systems present at 
national level as means of unde rmining a common policy, and th at the same offences are 
subject to the same sanctions, wherever an infrin gement occurs or whatev er the nationality of 
the fishermen or the flag he flies. Furthe rmore, the new regulation introduces a new and 
common approach to control, covering every stag e in the process that sees fish caught, landed, 
brought to market and sold. Harmonised standa rds for inspection activ ities and procedures 
will bring uniform implementation. 
The new control regulation will al so ensure that the Commission adheres to its core activity of 
controlling and verifying the implementation of  the rules of the common fisheries policy by 
Member States, as it reinforces its capacity to intervene proportionately to the level of non-
compliance by the Member States. 
8.3. Evaluation results 
8.3.1.  Priorities 
Based on the experience gained with infringeme nt cases so far, the Directorate-General for 
Maritime Affairs and Fisheries continued to ha ndle infringement cases on the basis of a new 
more focussed and systematic approach to infringement proceedings. 
The corner stones of this new approach are priority-setting and anticipatory planning. The 
ultimate goal is to handle infringement cases in harmony with other novel control instruments, 
to focus on cases that can make a difference in te rms of policy priorities and thus to cement a 
"culture of compliance" in  the field of fisheries. 
The new approach has been impl emented trough administrative guidelines, regular sessions of 
a steering group and regular repor ting to senior management. Th e handling of pre-contentious 
letters has largely resulted in a return to normal conditions in the respective areas of activity. The new approach also permitted closing a series of older infringement cases. 
The new approach also reflects one  particularity of infringement proceedings in the fields of 
fisheries, namely the absence of a notable numbe r of complaints and the presence of instances 
of violations of regulatory re quirements on the side of Member  States, which require not only 
direct contacts with the respective authoritie s of the Member States concerned but also 
contacts at a certain level of representation. 
Improvements shall still be sought in terms of more transparent and better synchronising 
between priority-setting for control and inspec tion activities and the particularities of ongoing 
and/or planned infringement proceedings. 
8.3.2.  Planned action (for 2010 and beyond) 
The Commission will continue to handle the in fringement proceedings according to the new 
approach, which is capable of securing a stre ngthened infringement policy and a genuine 
EN 262   EN compliance culture in the fields of the Common Fisheries Policy. Priority will be given to 
recurrent problems putting the Common Fisheries Po licy particularly at risk (e.g. illegal 
driftnetting, infringements in conn ection with fish stocks which ar e subject to recovery plans). 
The Commission will sum up the results of the public consultation on the reform of the 
Common Fisheries Policy in the first semester of 2010 and develop a proposal for a new basic 
regulation in the fu rther course of 2010. 
8.4. Summary 
In the fields of fisheries , the finality of all preventive and repressive action is to ensure the 
effectiveness of conservation and manage ment measures adopted under the Common 
Fisheries Policy. Yet, Member States much t oo often favours short-term solutions when it 
comes to compliance with and the enforcement of  applicable rules. Th e Commission thus has 
proposed a complete overhaul of  the control and enforcemen t framework. The Commission 
initiated a full review of the en tire policy in order to prepar e the ground for a root-and-branch 
reform. A Green Paper has been issued on 22  April 2009 for the purposes of launching a 
broad public consultation on the reform  of the Common Fisheries Policy. 
9. INTERNAL  MARKET  AND  SERVICES 
9.1. General overview  
9.1.1.  Efficient and effective enforcement of Community law – achievements in 2009  
1. The prioritisation of infringements 
Priority attention has been paid in the Intern al Market and Services Directorate General to 
working within the benchmarks set by the Commission in its 2007 Co mmunication "A Europe 
of results"285.  These efforts ha ve met with success, resulting in accelerated progress of cases 
concerning the non-communication of measures transposing di rectives. This Directorate 
General can also confirm its cont ribution to the continuing reduction in the average time taken 
to conclude infringement cases by a decision either to close or refer the matter to the Court of 
Justice. 
Alongside the horizontal priorities set in the 2007 communication, the sector-specific 
priorities identified by the Internal Market a nd Services Directorate General in 2009 concern 
some key policy sectors, such as the freedom of  establishment in the retail sector; important 
violations of public procurement rules in work re lated to relevant infras tructures; and special 
rights in privatised companies restricting investments and therefore capital movement. 
Many priority cases require a significant investme nt of effort and resources. They are often 
legally or technically complex and must be treated fast so as to  limit the negative effects of 
the national measure in question. They also usua lly concern politically sensitive issues. The 
policy of prioritisation has not yet produc ed an immediate impact on the length of 
proceedings on such cases. 
                                                 
285 Ref COM(2007)502 
EN 263   EN Part of the reason for this is the time needed by national authorities to implement the solution 
identified by the Member State as capable of co rrecting the infringement in a way compatible 
with EU law. Member States are requested to respect a clear and reasonable timeframe for the 
adoption of the necessary measures. The identi fication of solutions and the organisation of 
their implementation require informal contacts with Member States between formal steps in the proceeding, which can be suspended pending  the introduction of satisfactory measures 
within a reasonable timeframe. Fu rther formal steps in the proc eeding are then taken if the 
Member State fails to maintain the promised progress. 
Priority-setting does ensure the identificati on of the major problems and allowed a more 
thorough analysis of the underlying structural problems. There is room for further progress in 
the management of these cases is planned. 
2. Preventive action: risk-based approach, pro-active guidance to MS and partnership 
In 2009 substantial work has been devoted to accompany the transposition of remedies, 
payment services and services directives. More detailed figures on the intense activity carried 
out to accompany transposition are included in th e sectoral description. Due to the importance 
of these directives, whose deadline for trans position expired at the end of 2009, 2010 will also 
be devoted to evaluate the results of transposition plans and take any appropriate measure to adapt them to future legislative initiatives.  
The most effective initiatives within the transposition plans were handbooks for national 
authorities, the publication of  specific scoreboards pending the transposition period to 
measure progress in member states, bilateral cont acts to find targeted solutions to specific 
difficulties and workshops intended to achieve a convergent interpretation of EU provisions. 
Transposition package meetings have been or ganised in 6 Member States: BE, EL, FR, PT; 
LU and ES. The choice of destination has been made looking at those showing more 
difficulties in terms of timely transposition in th e area of internal market and services and 
where a package meeting had not been organised in the previous year. The major benefit of 
these package meetings has been to add visibility  for Internal market legislation within the 
respective administrations, get more insight on the reasons of delay, le arn about legislative 
process in member States, constitutional constr aints and get some consensus on how to speed 
up compliance. 
A Recommendation for a better functioning of th e Internal market has been adopted on 29 
June 2009286. Suggested actions range from mark et monitoring to better information to 
citizens; from training for offici als to detailed follow up at nati onal level on the application of 
EU law. This recommendation confirms that a well functioning Internal market needs more 
ownership of member States, more cooperatio n at national and EU level between national 
authorities and more focus on prope r daily application of EU law. 
3. As for Petitions  
Regarding the number of petitions, in 2009 we sent 113 communications to the European 
Parliament and we received 82 new petitions. Th e recognition of profe ssional qualifications 
remains the first field (33%), followed by services (26%), financial services and institutions 
                                                
 
286 Ref. OJ 
EN 264   EN (17%), company law (12%) and public procurements (9%). Th e petitions related to the 
infringements have decreased in number and co ncern approximately a quarter of the petition 
files. The questions raised mainly individua l situations for which there is no incorrect 
application of the Community law a nd which are governed by national law. 
Regarding the recognition of professional quali fications, the number of petitions related to 
infringements is lower than in the past. Mo st of them concern individual situations - 
sometimes complex - for which petitioners ca nnot benefit from the rights to have their 
qualifications recognised or did not carry out  the necessary formalities. Sometimes they 
concern a request for informa tion on their legal situation.  
In the field of the services, several questions are without a ny reference to infringements. 
Many are directly related to an ongoing Sp anish infringement (2001/5261) on pharmacies. 
Sometimes they concern more in general restri ctions on the activity of  the pharmacists. The 
closure of the infringement related to the German legislation on chimney sweepers allowed 
the closure of the petitions related to this file. Some petitions c oncern the still ongoing 
infringements files related to the problematic of gambling and sports betting in the Member 
States.  
As for financial services area, petitions main ly touch upon the questions of company law, 
credit institutions, securities , free movement capital and pa yments. Also in these areas 
questions mainly refer to individual or coll ective situations outside the scope of the 
Community law (particularly in the field of company law and means of payment). 
Finally, in public procurement cases, the vast majority of the answers concern alleged 
infringements. Only a small percentage of  infringements are ope ned following petitions. 
Numerous petitions connected to a Spanish in fringement case which is currently before the 
European Court (C-306/08 Commission against Sp ain) concerning the urban law in Valencia 
were closed in 2009. 
 
4. Informal problem solving mechanisms (SOLVIT and EU-Pilot) 
In the area of Internal market and Services the use of informal  problem solving mechanisms is 
strongly encouraged. They represent a valid comp lement to the prioritisation policy and serve 
the purpose of choosing the most suitable approach for each case. 
Both SOLVIT and the EU Pilot are complement ary instruments to the formal infringement 
procedure and apply to different situations. 
SOLVIT provides fast and pragmatic solutions to citizens and businesses encountering cross-
border problems caused by the incorrect app lication of EU-rules by public authorities.  
The number of SOLVIT cases is  constantly increasing: in  2008 it increased by 22% and 
reached 1,000cases, in 2009 it further increase d by 50 % to 1540 cases. The resolution rate 
remained high at 86%. As in  2008, in 2009 the number of SOLV IT cases exceeds the number 
of registered complaints and opened in fringement cases in the same area. 
SOLVIT has become a very potent and efficien t complementary instrument. In particular, it 
offers assistance and resolves many of the pr oblems experienced by individual citizens and 
EN 265   EN businesses and helps to identify st ructural issues which may still need to be resolved in order 
to improve the operation of the Internal Market. 
In 2009 both SOLVIT and Citizens SignPost Servic e received a high numb er of requests in 
the areas of social security, professional qualif ications and free movement of persons. It is 
noticeable that late transposition or ineffectiv e application of certain Internal Market rules 
tends to increase the number of cases submitted to these services. 
Concerning the areas of Internal  market and services, SOLVIT has played a useful role in 
particular to deal with regulated professions and freedom to provide services. However, while 
the rate of success is very high as for difficu lties related to the rec ognition of processional 
qualification, more problematic appeared to solv e cases where the exercise of the freedom to 
provide services was at stake. The situati on will be closely monitored in 2010 following the 
application of the services directive 
The EU-Pilot  project has been introduced in 2008 as a working method for enquiries and 
complaints not involving cross- border problems in the internal  market and services. In the 
area of internal market and services this instru ment has been used for a very relevant number 
of potential infringements. About  75% of them could be closed  without the need for further 
action (i.e. solution found or sa tisfactory clarification provide d or assessment that no actual 
breach of EU law could be detected). Some others  were transferred to the formal infringement 
procedure. This instrument has been frequen tly used in the public procurement area, where 
many complaints are of domestic nature. Altho ugh progress is difficult to measure, given 
annual circumstantial variations in  the volume of issues  arising, there are cl ear indications that 
the use of the EU-Pilot in this area determined a significant decrease in the need for recourse 
to formal procedures. 
5. The Internal Market Scoreboard: transpos ition deficit and infringements reduction 
Since 2004, the EU average transposition deficit decrease from 3.6% to 0.7% in November 
2009. This remarkable improvement suggests that  Member States made real structural 
improvements in the way they ensure timely trans position. In this context the Internal market 
Scoreboard proved to be a very effective inst rument of peer pressure and an essential 
instrument to set commonly agreed moving targ ets to improve the implementation of EU law. 
However, it appears that in some areas a renewed political commitment is needed from 
Member States. This applies in particular to the area of long overdue directives. Despite the 
'zero tolerance' target set by the European Head s of State and Governme nt there are still too 
many Member States write directives into thei r national law only two y ears or later after the 
deadline expired.. The new Treaty on the Func tioning of the European Union (TFEU) 
provides the possibility for the Court of Justice to  impose financial penalties at an earlier stage 
of the infringement procedure compared to the provisions of the EC Treaty. The Internal 
Market Scoreboard will introduce an additiona l challenge calling on all Member States to 
reduce transposition delays.  
More efforts are also needed to ensure corre ct transposition. The num ber of directives not 
correctly transposed is significant for most Me mber States. The time needed to comply with 
Court rulings, for instance, is still considerable. Once the Cour t of Justice has ruled Member 
States' failure to fulfil its obligation under EU legislation, Member States must immediately 
take the necessary measures. Member States must therefore multiply efforts to provide fast remedies to breaches.
 
EN 266   EN 9.1.2.  Enforcement priorities and key challenges for 2010 - 2011 
1. Shortening the duration of infringement procedures 
The duration of infringement procedures, in partic ular of cases identified as sectoral priorities 
remains of serious concern as too much time is still needed for a structural solution. The 
monthly decision making process provides a useful  tool to manage the infringement caseload 
across the year. On the other hand, a number of f actors tend to slow do wn the achievement of 
the objective. One of these is the way negot iations with Member states to develop and 
implement appropriate solutions influence the length of the procedure. This needs to be 
monitored and addressed. Unjustif ied delays should immediately lead quickly to the following 
step of the infringement procedure. 
The complementary and informal problem-solvi ng methods such as EU Pilot and SOLVIT 
could be more and better exploited. They have  a natural vocation to satisfy the needs of non-
priority cases and non-structural issues, particul arly where the solution can be rapidly found at 
national level and where the citizen or business looks for pragmatic and fast answers to their 
problems. The key challenges for SOLVIT and EU Pilot in 2010/2011 will be to develop their 
full potential and ensure appropriate resources and political backing.   
2. Ensuring timely transposition and proper conformity checking 
Despite results achieved for Internal market directives in general, transposition deficit rate  in 
the area of Internal market and Services is at  the end of 2009 3.1% agai nst 0.7% registered in 
Scoreboard n. 20 for overall Internal market legislation. The essential reason of this 
discrepancy is the entry into force of three ma jor and very complex directives at the end of 
2009. The objective is therefore to catch up the delay as  quickly as possible and ideally within 
the first semester of 2010. In order to achieve the objective, infringement procedures will be 
pursued vigorously in parallel with technical assistance to member states – namely informal 
advice on transposing measures. 
Focus will be not only on transposition delays , but also on good quality of transposing 
legislation, as well as on member States taki ng too much time to comply with EU law (e.g. 
excessive delay in transposing directives, time needed to comply with ECJ rulings). 
Alongside the work on reducing th e transposition defici t, the conformity checks represent a 
major task for 2009-2010 : there is a substantial volume of national transposition measures to 
analyse in several areas. The transposition of the services directive – and the related mutual evaluation exercise – will const itute a complex and time consum ing task, in addition to the 
remaining difficulties in particular in the area of company law but also in the area of mutual recognition of professional qualifi cations. A risk-based approach allows checking first those 
measures which correspond to ke y provisions or provisions likel y to trigger interpretation 
problems, incorrect transposition or  gold plating. This approach has already been used in the 
conformity assessment of measures transposin g MIFID with satisfactory results. However, 
this approach is not sufficient to ensure complete and quick analysis as well as daily monitoring of measures adopted at national leve l in relation to EU di rectives. Transposition 
tables are often absent or of limited help due  to excessively summari sed information and do 
not allow monitoring of possible future modifica tions of the national le gislation. Furthermore, 
in a EU-27 context, it is difficult to cove r all measures and translation needs delay the 
process. The outsourcing of certain tasks relate d to this work is un der consideration, in 
particular translations, the drawing up of transp ositions tables and first conformity checks.  
EN 267   EN 3. Empowering  citizens and businesses   
Citizens and business need to be enabled to ma ke effectively use of their internal market 
rights. Practical information about these rights and possibilities is a first step to empower 
citizens and businesses. Secondly th ey need to be able to quickly  find the right se rvice if they 
need a more individualised advice or if they  need assistance to solve a problem they 
encountered.  
Over the years the Commission has created a multitude of web portals and information and 
assistance services. In this web it is not alwa ys easy for citizens and businesses to find their 
way. In addition too few citizens and businesse s know of their existence and potential.  
In order to facilitate the access to these servi ces and help citizens and businesses to exercise 
their internal market rights, the Commission is streamlining and reinforcing the cooperation between all these services.  In this context also the Your Europe portal for citizens (existing 
alongside the Your Europe busines s portal) is undergoing a whol esale revision. The aim is to 
provide citizens & businesses with practical information enabling them to make effective use of the rights and opportunities offered by the Si ngle Market. At the same time, the revamped 
portal will also act as a 'one stop shop portal' directing citizens & businesses to more specific assistance or problem-solving when there is a need for it.  
Besides helping citizens and businesses dire ctly, improving coordina tion amongst assistance 
services will also provide valuable feedback on how the Single Market works in practice. All 
assistance services collect information on questions, queries, problems and complaints 
submitted by citizens and businesses. It is intende d to use this material in a more systematic 
manner to provide input for the way th e Commission develops its policies. 
The different actions are outlined in the Single Market Assistance Services action plan, which 
the Commission adopted in 2008.  
4. More Partnership with Member States: extending the use of the Internal Market 
Information System (IMI) 
The Internal Market Information System (IMI), an IT-based information network, is being 
used in the context of the Professional Qua lifications Directive287 since February 2008 and 
for the implementation of the Services Directive288 since 28 December 2009. In both areas, it has shown great benefits in  facilitating administrative cooperation across borders. 
IMI's multilingual search function helps competent authorities identify their counterparts in 
other countries. Using pre-translated questions  and answers, they can exchange information 
across language barriers. A tracking mechanism en ables them to follow the progress of their 
request. In the event of problems, IMI coordinators  at national or region al level can intervene. 
                                                
 
287 Directive 2005/36/EC of the European Par liament and of the Council of 7 September 
2005 on the recognition of professional qua lifications (OJ L255 of 30.9.2005, p. 22).  
288  Directive 2006/123/EC of the European  Parliament and of the Council of 12 
December 2006 on services in the inte rnal market (OJ L376 of 27.12.2006, p. 36). 
EN 268   EN Around 800 authorities are now usi ng IMI for the purposes of the Professional Qualifications 
Directive, and more than 3000 are already regi stered for the IMI services module. 2009 has 
seen a sharp increase in the usage of th e system. In December 2009, on average 180 users 
logged on to IMI per day, compared to 40 per day in January. 
Given the success of IMI, interest for using it in other areas is great. The Commission is 
examining for which further legisla tive areas IMI would be suitable. 
9.2. Analysis by sector 
9.2.1.  Freedom to provide services and freedom of establishment (other than Financial 
Services) 
9.2.1.1.  General Introduction 
The relevant legal framework consists of Arti cle 49 of the Treaty on the Functioning of the 
European Union on the freedom of establishment as well as of Article 56 of the Treaty on the 
Functioning of the European Union on the freedom to provide services.  
This framework is complemented by a number of  Internal Market Directives which develop 
these freedoms as regards specific service activ ities or specific legal as pects (Postal Services 
Directive289, the Directive on the legal prot ection of conditional access services290 and  the 
E-commerce Directive291 ).  
It is also complemented by Directive 2006/123/ CE on services in the Internal Market292, a 
horizontal instrument adopted in December 2006 which had to be implemented by the Member States by the end of 2009. In addition tw o Comitology decision have been adopted in 
2009, one on the use of the Internal Market Info rmation System ("IMI") for the exchange of 
information between administrations as foreseen  in the Services Dir ective293 and another one 
on practical arrangements concerning the use of  electronic procedures through the Points of 
Single Contact.294 
                                                
 
289 Directive 2008/6/EC of the European Parl iament and of the Council of 20 February 
2008 amending Directive 97/67/EC with regard to the full accomplishment of the internal 
market of Community postal services, OJ L 52, 27.2.2008 
290 Directive 98/84/EC of the European Parl iament and of the Council of 20 November 
1998 on the legal protection of services based o n, or consisting of, conditional access - OJ L 
320, 28.11.1998, p. 54–57. 
291 Directive 2003/31/EC of the European Par liament and of the Council of 8 June 2000 
on certain legal aspects of inform ation society services, in particular electronic commerce, in 
the Internal Market (Dir ective on electronic commerce), OJ L 178 of 17.7.2000, p. 1. 
292 O.J. L 376/36 of 27.12.2006 293 Commission Decision 2009/739/EC of 2 October 2009, OJ L 263 of 7 October 2009 
294 Commission Decision 2009/ 767/EC of 16 October 2009,  OJ L 299 of 14 November 
2009  
EN 269   EN 9.2.1.2.  Report of work done in 2009 
(1) Management of legislation, including in committees and working groups  
The Services Directive sets out a comprehe nsive modernisation programme for national 
administrations and is more than just a piece of  European legislation to be implemented into 
national law. The Commission’s commitment , taken in 2007 and following a request 
formulated by the Council, to  provide guidance and assistan ce to Member States throughout 
the whole implementation process, continue d in 2009. As concrete examples of the 
implementation strategy put in place, 20 bilateral meetings with Member States and 9 meetings of the “Expert Group on the implementa tion of the Services Directive” on specific 
questions of the implementation have to be ment ioned. The main aim of those meetings was to 
ensure a similar level of understanding by all Member States of the work required and the 
priorities for action. 
• As regards the Points of Single Contact, work continued to focus on the practical 
implementation work and on the exchange of  best practices between Member States. 
Substantive work has been undertaken with Me mber States to facilitate the cross border 
use of electronic procedures th rough the Points of Single Cont act (PSC). This includes the 
adoption of a Comitology decision295 obliging Memb er States to establish "trusted lists" 
with common information required for the cr oss border validation of e-signatures. Thanks 
to the work undertaken duri ng the implementation period, a close cooperation amongst 
many Member States has emerged. They have  developed a "common branding" and logo 
(which the Commission will register as a tr ademark) and have engaged into "mutual 
testing" of their PSCs (to check if they are eas y to use for businesses from other countries). 
Also with this aim, a large number of Member States have decided to make information content on their PSC websites available in languages other than their own (which goes 
beyond the requirements of the Directive). In addition to that the Netherlands took the 
initiative in 2008 to bring t ogether people working on the pr actical implementation of the 
PSC's for an informal meeting at EU level,  a so called "Jamboree " gathering. A second 
meeting was organised by other Member States in June 2 009 allowing experts from all 
Member States to discuss informally and to attend a series of practical workshops. 
• Concerning the use of IMI, a pilot project was launched in  January 2009 giving Member 
States the possibility to try and test the system during a year be fore the end of the 
implementation period. By the end of 2009 more  than 3000 authorities had been registered 
in the system and were ready to use it when needed to comply with their administrative 
cooperation obligations under the Directive. In addition, a Comitology decision confirming 
the compulsory use of the Internal Market In formation System ("IMI") for the purposes of 
administrative cooperation between Member States under the Serv ices Directive and 
setting out some practical arrangements relate d to the exchange of information between 
Member States through IMI for the specific purposes of the admi nistrative cooperation 
obligations under the Services Direc tive, was adopted in October 2009296. 
                                                
 
295 Commission Decision 2009/ 767/EC of 16 October 2009,  OJ L 299 of 14 November 
2009 
296 Commission Decision 2009/739/EC of 2 October 2009, OJ L 263 of 7 October 2009 
EN 270   EN • At the end of 2008, the Commission had co mmissioned a study on business practices 
which may fall within the non-discrimination cl ause in Article 20(2) of the Services 
Directive. According to this article, Member States shall ensure that the recipient of 
services is not made subject to discrimina tory requirements based on his nationality or 
place of residence. Looking sp ecifically, although not exclus ively, at services provided 
over the internet, the study focuse s on four main sectors (car re ntal, tourism, on-line sale of 
electronic goods and download of music) with the objective not only of finding evidence of 
potentially discriminatory pract ices but also of exploring (m ainly through interviews with 
businesses) possible reasons behi nd different treatment applied to consumers resident in 
different Member States. The results of the study will be used in 2010 to provide guidance 
to Member States in their implementation work as well as in the enforcement of this prohibition by national authorities. 
• Concerning the assistance for r ecipients of services as foreseen in Article 21 of the 
Services Directive, a network of national bodies  has been set up to assist recipients of 
services, business as well as consumers, when they want to have access to services from 
another Member State. 
(2) Management of Infringements
 
The control of the application of articles 49 and 56 of the Treaty of the Functioning of the 
European Union remains an important task. Infringement proceedings in 2009 concerned 
restrictions in various areas  of the Internal Market.  
As in 2008, a number of procedures concerned health services , in particular the 
reimbursement of medical costs incurred in anot her Member State (the so-called mobility of 
patients). The Commission referred Portugal 297 to the Court of Justice and sent a 
supplementary reasoned opinion to Spain298 recalli ng to both Member States that the Court 
had issued several judgments on the reimbursement of the costs of medical treatment in 
another Member States and that the right conferred to patients by the TFEU were not 
recognised in Spain. Luxemburg was referred to the Court of Justice299 over cases of refusal 
to reimburse the costs of biomedical tests carri ed out in other Member  States. And finally a 
supplementary reasoned opinion was sent  to the United Kingdom300 concerning its 
legislation on the recognition of medical pres criptions. The Commission considered in 
particular that the United Kingdom has fa iled to guarantee the recognition of medical 
prescriptions issued by health professionals esta blished in other Member States in accordance 
with Article 56 TFUE. Even if the United King dom had undertaken some amendments to its 
legislation as a result of the infringement procedure, the Commission still considered that the recognition should be guaranteed also to so call ed “controlled drugs” not subject to a specific 
medical prescription. In addition the Commission insisted that the requirement to have the 
address and the age of the patient indicated on the medical prescription in order for the 
prescription to be recognized in the Unite d Kingdom was not compatible with article 56 
                                                
 
297 C-255/09 298 IP/09/1474 299 C-490/09 300 IP/09/1763 
EN 271   EN TFUE as it was disproportionate in relation to  the objective of protecting public health. In 
another case, also related to health servic es, the Commission has referred France to the 
Court301 concerning the incompatibility of Fren ch legal restrictions  on the ownership of 
capital in biomedical laboratorie s with the freedom of establis hment as guaranteed in Article 
49 TFUE. According to French legislation a non- biomedical firm may hold no more than one 
quarter of the shares of a comp any operating biomedical laborato ries and any natural or legal 
person is prohibited from holding shares in more  than two firms set up in order to jointly 
operate one or more biomedical laboratories.  The Commission considered that the aim of 
protecting public health  can be achieved with measures that impose less restriction on the 
freedom of establishment of na tural and legal persons in France. For the protection of public 
health, the Commission considered that it is important that the biom edical tests are being 
carried out by competent staff with necessary  qualifications. However, the Commission 
questions whether such qualifications are necessa ry to own or to have the right to operate 
biomedical laboratories.  
In other areas , the Commission sent a reasoned opi nion to Luxembourg302 on account of its 
regulations which requir e persons wishing to provide serv ices temporarily to obtain an 
authorisation for establishment. The Commission c onsidered that the legislation at stake made 
a too restrictive and inadequately precise distinction between the establishment of an 
economic operator in Luxembourg and the temporary provision of services . Following 
changes in the legislation the Commission was able  to close this case at the end of 2009. In a 
similar case, Portugal has been taken to Court 303 because the Portuguese rules on estate agent 
services and property mediati on companies do not distinguish between establishment and 
temporary service provision. Requiring services  providers from other Member States to 
comply with all requirements regarding estab lishment even if they are only providing their 
services on a temporary basis, and to operate solely as a prope rty estate agent or mediation 
company is considered disproportionate in view of Articles 49 and 56 TFUE.  
The Commission sent a letter of formal not ice and a reasoned op inion to Bulgaria304 
concerning restrictions on the free movement of lawyers and law firms . The Commission 
considered in particular that some provisions of  Bulgarian legislation constitute a violation of 
the freedom of establishment of lawyers and law firms in Bulgaria as enshrined in Article 49 
TFUE and also infringe Directive 98/5/EC, which aims to facilitate prac tice of the profession 
of lawyer on a permanent basis in a Member State other than that in which the qualification was obtained. The requirement of Bu lgarian nationality for a person to obtain the qualification 
of Bulgarian lawyer is not justified, nor is th e fact that EU lawyers do not benefit from the 
same rights as Bulgarian lawyers for the ex ercise of their activ ity. Furthermore, the 
Commission believes that the current inability of EU law firms to establish a branch in 
Bulgaria or use their own company name there breaches Article 49 TFUE. 
                                                
 
301 C-89/09 302 IP/09/153 303  C-518/09 304  IP/09/281 and IP/09/1625 
EN 272   EN A reasoned opinion was sent  to the Kingdom of Belg ium305 for applying its regulations on 
the technical inspection  of lifting equipment to undertakings  established in another Member 
State. The Belgian regulations stipulate that such equipment (including lorry mounted cranes) 
must be inspected by an approved Belgian body before being put into service in Belgium and 
again at periodic intervals thereafter. The Comm ission considered that those rules infringe 
Article 56 TFUE since such inspections dup licate unnecessarily the inspections already 
carried out in the Member State where the service provider is established.  
The Portuguese rules on patent agents  require any European pate nt agent established in 
another Member State who wishes to exercise  his or her activities before the Portuguese 
trademark and patent office as a temporary service provider to be registered in advance with and be accredited by the Portuguese authorities.  As these requirements breach Article 56 
TFUE as well as Title II of Directive 200 5/36/EC on the recognition of professional 
qualifications, a letter of form al notice and a reasoned opinion  were sent to Portugal.306 
The Commission has also decided to send a re asoned opinion to Belgium307 because of its 
rules requiring self-employed persons estab lished in another Member State to provide 
advance notification  (so called “ Limosa  declaration ”) if they wish to pursue professional 
activities on a temporary basis in Belgium. The Commission considers that the systematic 
requirement for services providers established in another Member State to provide advance 
notification before they can pursue a professional activity constitutes a disproportionate obstacle and breaches the basic freedom to provide services as guaranteed by article 56 
TFUE.  
The Commission has also sent  a reasoned opinion to Cypr us308 in relation to certain 
provisions of the law regulating the establishment and operation of institutions of tertiary education  and to Portugal concerning its legislation on construction services .309 
The Commission could also close, among others , two important infringement proceedings. 
One against Austria which after a Court decision in 2008 stating that Austria has violated EU 
law because of the lengthy procedural rules im posed on nationals from Member States that 
joined the EU in 2004, changed its rules so that  nationals from those Member States can now 
freely establish a company in Austria.310 The ot her case concerned the re quirement for patent 
agents established in another Member State to have an address in Germany for any action at 
the German office of trademarks and patents. Germany has changed its rules so that patent 
                                                
 
305  IP/09/440 306  IP/09/1474 307  IP/09/1474 308  IP/09/1761 309  IP/09/1763 310  IP/09/1639 
EN 273   EN agents from other Member States can prov ide their services without any unjustified 
restrictions. 311 
On 25 June 2009 the Commissi on decided to send to Greece a reasoned opinion concerning 
national provisions on establishment of petrol stations 312. The Commission challenged in 
particular the incoherence of the provisions rela ting to the location of ne w oil installations; the 
need to provide a fire safety study certified by a sw orn expert registered in Greece in order to be 
authorized to open an oil stati on; the lack of legal certainty and transparency for opening oil 
stations during the night, Sunday and public holidays; constraints regarding opening hours. 
These restrictions do not appear to be proportio nate to relevant overriding reasons of general 
interest (public safety, protection of h ealth). Greece replied in September 2009. 
The Commission decided on 29 January 2009313 to withdraw from pending Case C-369/08, 
Commission v Germany, and close definitively  the infringement proceedings against 
Germany relating to restrictions on freedom of establishment of motor vehicles inspection 
centres , notably the compulsory and exclusive affiliation on a full-time basis of at least 60 
independent experts and the empl oyment of at most 30 experts as inspection engineers. The 
Commission opened the infringement proceedings following written and oral questions of the 
European Parliament. In August 2008 the Co mmission referred the case to the Court of 
Justice, but in September 2008 the German author ities amended their legi slation and repealed 
the restrictions. Inspection service providers form  other Member States will now find it easier 
to establish their services in Germany. 
The Court of Justice by its Judgmen t of 22 October 2009 in Case C-438/08, Commission v 
Portuguese Republic , declared that by imposing restric tions on the freedom of establishment 
of bodies of other Member Stat es intending to carry on in Port ugal the activity of vehicle 
inspection, namely, the making of th e grant of authorisations subj ect to the public interest, the 
requirement of a minimum share capital of  EUR 100 000, the limiting of the undertakings’ 
company objects and the imposition of incomp atibility rules on members, managers and 
directors, the Portuguese Republic  has failed to fulfil its oblig ations under Article 49 TFEU. 
The Commission decided on 8 October 2009 to close infringement proceedings against 
Portugal concerning restrictions on the establishment of retail stores  which were 
incompatible with Article 49 TFEU, following the adoption of a new legislation on commercial establishments314. The Portuguese legislation in question subjected the 
establishment of retail stores to an authorisation procedure based on economic criteria, such 
as the contribution of the new establishment to 'competitive conditions in the retail sector' or 
'regional sector-specific integration'. Moreove r, the law provided fo r the consultation of 
competitors on a planned establishment and wa s not transparent on how exactly certain 
criteria applied. The new Portuguese regulatory framework for the establishment of retail 
stores still subjects planned establishments to an authorisation procedure. The new procedure, 
however, is based on non-economic criteria (suc h as those related to environmental and 
                                                
 
311  IP/09/1639 312  IP/09/1002 313  IP/09/187 314  IP/09/1479 
EN 274   EN territorial planning), which have been ma de transparent in the implementing decree. 
Moreover, the new procedure does not provide for the consultation of competitors. 
The Commission decided on 25 June315 to send  a letter of formal  notice to Germany 
concerning legislation that may re strict the establishment of re tail facilities in Germany, in 
particular planning requirements fo r large-scale retail facilities laid down in the planning laws 
of Nordrhein-Westfalen and the region of Stut tgart, which limit the establishment of shops 
with a certain product range outsi de dedicated central supply areas  and make it subject to the 
assessment of its economic effects. The Commi ssion's objective was to verify whether these 
measures are compatible with Article 49 TF EU, and to draw attention to potential 
infringement of the Directive on services in th e internal market, which had to be transposed 
by the end of 2009. 
The Commission decided on 19 March316 to cl ose infringement proceedings against 
Belgium, following the adoption of  the Royal Decree introducing instructions to 
pharmacists , published on 30 January 2009, which remove s the restrictions contested by the 
Commission under Articles 49, 56 and 34 of the TF UE. The contested legislation essentially 
prohibited pharmacists to deliver medicines to an agent acting on behalf of the patients of a 
community if the latter was not located in the same commune as the pharmacy in question or in a neighbouring commune.  
The Commission decided on 25 June317to close in fringement proceedings against Austria 
concerning restrictions on the free movement of bovine artificial insemination services , 
following the adoption of new legislation in th e Federal States of Salzburg and Tyrol which 
repealed the restrictions in  question. The Commission also decided on 8 October318to close 
infringement proceedings against France concer ning restrictions on freedom of establishment 
and freedom to provide services fo r artificial insemi nation of bovines. 
In 2004 the Commission decided to bring France before the Court of Justice319 on the 
grounds that its legislation on artificial insemina tion services for bovines interferes with two 
basic freedoms laid down in the Treaty – the freedom of establishment and the freedom to 
provide services (Articles 49 and 56 TFEU).  At that time, French law required an 
authorisation system for the cent res responsible for the storage,  distribution and use of bovine 
semen, and these authorisations specified ex clusive geographical areas in which only the 
approved centres may conduct these activities. C onsequently, distributor s and users of bovine 
semen legally established in other Member Stat es were not able to set up permanently in 
France or provide their services on a temporary or occasional basis. Following the decision of 
the Court of Justice issued July 17, 2008 (Case C-389/05), France has now brought its 
legislation in conformity by repeal ing the restrictions in question. 
                                                
 
315  IP/2009/1002 316  IP/09/438 317  IP/09/1002 318  IP/09/1479 319  IP/04/1319
 
EN 275   EN Following infringement proceedings against Ge rmany, the Court of Justice on 29 November 
2007 (Case C-404/05, Commission v Germany ) declared that Germany was in breach of 
Article 56 TFEU, by requiring private inspection bodies  of organically-farmed products 
approved in another Member State to maintain an establishment in Germany in order to be 
able to provide inspection services there. Ge rmany complied with the Judgment of the Court 
by amending its legislation so that private insp ection bodies in the fiel d of organic production 
of agricultural products registered in other Me mber States are no longer obliged to establish 
themselves in Germany in order to be able to provide inspection services there. This will allow for cross-border provision of such servic es. As a result, the Commission decided on 29 
January 2009 to close the infringement proceedings320. 
The Commission sent on 9 October 2009321 a r easoned opinion to Cyprus concerning its 
national legislation restricting the activities of real estate agents , by applying conditions 
upon the recognition of the qualificat ions of professionals established in other Member States, 
an obligation to collaborate with a real estate agent established in Cyprus for the provision of 
services, and the requirements that legal persons active in this area to ex ercise this activity as 
their sole corporate purpose and that the person(s) exercising the activity of real estate agent 
in a company exercise this activity exclusivel y in the company that employs them and may 
not act independently of their em ployer either for other persons or companies, or on their own 
account. 
On 19 March the Commission decided 322 to close the infringement proceedings against 
Austria, following the amendment in August 2008 of § 25 (3) of the Austrian Gaming Act  
which extended the protection offered by the Aust rian legislation to casino players to all EU 
citizens and citizens of a Me mber State of the European Economic Area (EEA). On 8 
October323 it decided to close the infringement  proceedings against Austria relating to the 
prohibition of advertisin g of foreign casinos in Austria. Under Austrian le gislation on games 
of chance, advertising of fore ign casinos was prohibited in Au stria, while Austrian casinos 
were not hindered by a similar restriction on how they should advertise nationally. This 
provision restricted not only the promotion a nd provision of casino services offered by 
operators established in other Memb er States but also the possibil ity for recipients of services 
located in Austria to receive such cross-border services. Foll owing a letter of formal notice 
sent by the Commission, Austria amended its le gislation on games of chance by introducing 
the possibility for casinos from the EU or the European Economic Area (EEA) to be granted an authorisation to be advertised in Austria,  provided that they offer the same or similar 
standards of protection of players as those applying in Austria. 
The European Court of justice issued some preliminary rulings  or opinions in the area of 
establishment and provision of services. 
                                                
 
320  IP/09/187 321  IP/09/1476 322  IP/09/438  
323  IP/09/1479 
EN 276   EN In its Judgment of 8 September 2009324, the Court of justice ruled that Article 56 TFEU does 
not preclude legislation of a Member State, such  as that at issue in the main proceedings, 
which prohibits operators such as Bwin International Ltd, which are established in other 
Member States, in which they lawfully provide similar services, from offering games of chance via the internet within the territory of that Member State. 
On 19 May the Court of justice ruled that prohibitions on non-pharmacist ownership of 
pharmacies in Germany and in Italy are co mpatible with freedom of establishment 325. In two 
separate rulings (following infringement pr oceedings initiated by the Commission against 
Italy and in a request for prelim inary ruling respectivel y), the Court ruled th at the prohibitions 
at issue constitute a restriction on freedom of establishment which, however, is justified by and proportionate to the overriding reason in the general interest  of protecting public health. 
In Case C-531/06, the Court of Justice dismi ssed the action of the Commission, while in 
Joined Cases C-171/07 and C-172/0 7, it ruled that Articles 43 EC and 48 EC (now 49 and 56 
TFEU) do not preclude national legi slation, such as that at issue in the main actions, which 
prevents persons not having the status of pha rmacist from owning and operating pharmacies. 
.On 1 June 2010 the Court of Ju stice ruled that Article 49 TF EU, in principle, does not 
preclude national legislation that  provides for a minimum distan ce between pharmacies of 250 
metres and for a minimum number of 2800 inhabitants per pharmacy. Nevertheless it 
considered that Article 49 TFEU precludes such  national legislation in so far as the basic 
‘2 800 inhabitants’ and ‘250 metres’ rules preven t, in any geographical area which has special 
demographic features, the establishment of a sufficient number of pharmacies to ensure 
adequate pharmaceutical services. It left it to the national court to ascertain this. Finally, the 
Court ruled that the Asturias pr ovisions that benefited those applicants for a pharmacy licence 
with experience in Asturias are incompatible with Article 49 TFEU. 
9.2.1.3.  Evaluation based on the current position 
The implementation of the Services Directive re quires an unprecedented ef fort from all Member 
States. It necessitates the reviewing of the na tional legislation, implies important legislative 
changes in all Member States and the undertaking of a number of ambitious projects as the 
setting up of "Points of Single Contact" for busine sses. As described in the section above a lot 
has been achieved. The Commission will first of all have to follo w-up with the Member States 
not only on the timely transposition of the Directive, but will also have to assess the quality of  
the work done by the Member States.  
9.2.1.4.  Evaluation results 
(a) Priorities 
The main priority for 2009, as for previous year s, was the timely and correct implementation 
of the Services Directive by the end of 2009. Even if the efforts undertaken by both the 
                                                
 
324  Case C-42/07, Liga Portuguesa de Futebol  Profissional/ Bwin International Ltd v 
Departamento de Jogos da Santa Ca sa da Misericórdia de Lisboa 
325  Ruling of 19 May in Case C-531/06, Co mmission v. Italian Republic, and in Joined 
Cases C-171/07 and C-172/07, Apothekerkammer des Saarlandes and Others, concerning 
prohibitions of non-pharmacist  ownership of pharmacies 
EN 277   EN Member States and the Commissi on have been considerable it is clear that a lot of work 
remains to be done and that important progre ss needs to be achieved in 2010 as well. Having 
reached the end of the implementation period, the main focus will sh ift to the so called 
“mutual evaluation process ” as foreseen by the Directive, and to the control of the correct 
implementation of the Services Directive by Member States.  
Enforcement of the Treaty rules on the freedom  to provide services and the freedom of 
establishment will continue to focus in partic ular on those areas which are not covered by the 
Services Directive, such as health services, as  well as on all restrictions caused by the failure 
to distinguish between those two fundamental  freedoms. Clear discriminations or cases 
concerning entire categories of services providers will also continue to be treated as priority.  
(b) Planned actions (2010 and beyond) 
The Services Directive fo resees for 2010 a so called "mutual evaluation"  exercise, in which 
Member States and the Commission will assess the results of the review of the regulatory 
framework undertaken to implement the Directiv e. The objective is to create transparency 
amongst Member States, exchange best practices and assess the resulting state of the Internal 
Market for services. During this " peer review " exercise, the Member States and the 
Commission will examine and discuss Member States ' reports. At the end of the process at the 
end of 2010, the Commission will submit a report with the results of the exercise (with 
proposals for additional initiatives when re quired) to the Council and the European 
Parliament. 
Work in 2010 will also continue  
• to improve the functioning of the Points of Single Contact and develop them into fully 
fledged e-government centres (covering also  aspects which are not under the services 
directive such as taxation)  
• to further facilitate the use of electron ic procedures across borders (to avoid the 
emergence of e-barriers);  
• to monitor and improve the use of IMI for the administrative cooperation obligations 
under the Directive;  
• to support the network of assistance to reci pients of services and all other measures 
contained in the Directive to benefit c onsumers (e.g. obligation for business not to 
discriminate consumers because of their re sidence) and to improve the quality of 
services.  
Concerning infringement proceedings  and enquiries, alternative problem solutions 
mechanisms such as SOLVIT or EU-PILOT w ill be used according to set priorities. The 
efficient use of resources has to be taken in account, notably due to the vast variety of 
restrictions concerning the Internal Market.  
In the area of postal services: 
9.2.1.5.  Current position 
With the adoption of the 3rd Postal Directive in 2008 (2008/6/ EC), the main focus in 2009 was 
continued market monitoring, the provision of a ssistance to Member Stat es in the run up to 
full implementation of the postal acquis and pro posing ways to enhance the operation of the 
current  postal regulatory framework.   
EN 278   EN In keeping with the spirit of Commission's Recommendations on measures to improve the 
functioning of the Single Market, work on a wide  range of transposit ion issues was taken 
forward in the framework of a series of Wo rking Groups convened under the auspices of the 
Postal Directive Committee. In addition to pr omoting best practice and benefiting from input 
from sector experts, the Working Groups agr eed on a set of operationa l conclusions notably 
on the provision of universal pos tal service, the functioning of  national postal regulators and 
the calculation of the net co sts of universal service.  
As part of its ongoing activity of directly assisting Member States in the process of 
transposing the 3rd Directive, 13 bilateral meetings were  held with ministries and national 
regulatory authorities. These meetings focuse d on delivering advice an d guidance as well as 
providing preliminary evaluati ons of draft legislation unde r preparation by national 
authorities. In some instances, these meetings were the catalysts in persuading national authorities to amend and withdr aw draft legislative texts. 
9.2.1.6.  Evaluation based on the current position 
Two sector studies delivered at the end of  2008 and August 2009 respectively provided a clear 
overview of the adaptations underway in the pos tal sector, the impact of the Community's 
postal reform over the last ten years and iden tified shortcomings and persistent problems 
which need to be resolved in the run up to fu ll market opening over th e next two years. The 
key findings of these studies, combined with complaints from stakeholders focusing on an 
incorrect interpretation and uneven applicati on of the Community acquis by some Member 
States, are being used to curtail bad practices (expanding the reserved area, 
predatory/excessive pricing), remove barriers  to entry (excessive and burdensome licence 
conditions, access to the postal infrastructure) a nd ensure the correct implementation of the 
postal acquis (ensuring national regulators are fully operational/ timely transposition). 
Market monitoring is being enhanced thro ugh the provision and publication of more 
comprehensive key data (in close co-opera tion with Eurostat) on the postal sector. 
9.2.1.7.  Evaluation results 
1) Priorities: Enhancing the operation of the Postal Regulatory Model (Priority 
project) 
Building on the conclusions of the 2009 Stu dy on the Role of Regulators in a More 
Competitive Postal Market and after informally  consulting key stakeholders, the service in 
charge has proposed the creati on of a new entity to promot e better market oversight. The 
grouping would be known as the European Re gulatory Group for Posts (ERGP). The main 
tasks proposed for this Group are expected to include ensuring greater coherence in the operation of the postal regulatory model, exch anging best practice and "regulatory know how" 
notably with less well resour ced national regulators and aiding and encouraging the growth of 
competition across the postal sector. 
2) Planned actions  
1. DG Markt proposed a High Level Conferen ce of Postal Policy during the Swedish 
Presidency in 2009. The conference could not take place mainly due to organisational 
difficulties and was postponed to  2010. It will now go ahead in April, during the Spanish 
Presidency and will take place in Valencia.    
EN 279   EN 2. The decision to go ahead with the proposal to create the Group of E.P regulators has not yet 
be presented to the incoming Commissi oner and awaits his endorsement.    
9.2.2.  Financial Services 
9.2.2.1.  General introduction 
The financial services sector includes three ma jor areas for which similar European policies 
apply: banking 326, insurance 327 and securities 328. The objective of the Community 
secondary legislation is to facilitate the es tablishment and the cross border provision of 
services for financial institutions on the basi s of the home country control principle. In 
addition to these main areas, financ ial services legislation covers occupational pensions 329 
and payment services 330.  
 
BANKING 
9.2.2.2.  Current position  
In the banking sector , the Commission mainly dealt wi th non-communication cases. As 
regards the transposition of Directive 2007/4 4/EC which lays down the procedures and 
criteria for the prudential assessment of acquis itions and increase of holdings in the financial 
sector331, seven infringement cases ag ainst Greece, Spain, Italy,  the Netherlands, Poland, 
Portugal and the United Kingdom due to non-co mmunication of the national transposition 
measures before the deadline of 21 March 2009 were initiated in June 2009 and were still 
pending at the end of 2009.  
The Commission also launched infringement pr oceedings against seventeen Member States 
for non-communication of the implementing meas ures of Directive 2009/14/EC which has 
amended the EU rules on deposit guarantee schemes332. In the course of 2009, it was possible 
                                                 
326 http://ec.europa.eu/internal_m arket/bank/legislation/index_en.htm 
327 http://ec.europa.eu/internal_mar ket/insurance/legis-inforce_en.htm 
328 http://ec.europa.eu/internal _market/securities/index_en.htm 
329 http://ec.europa.eu/internal_m arket/pensions/directive_en.htm 
330 http://ec.europa.eu/internal_m arket/payments/legislation_en.htm 
331  Directive 2007/44/EC of the European Pa rliament and of the Council of 5 September 
2007 amending Council Directive 92/49/EEC and Directives 2002/83/EC, 2004/39/EC, 
2005/68/EC and 2006/48/EC as regards procedural  rules and evaluati on criteria for the 
prudential assessment of acquisitions and increas e of holdings in the financial sector (OJ L 
247, 21.9.2007, p. 1–16) 
332  Directive 2009/14/EC of th e European Parliament and of the Council of 11 March 
2009 amending Directive 94/19/EC on deposit-guara ntee schemes as regards the coverage 
level and the payout delay  (OJ L 68, 13.3.2009, p. 3–7)  
EN 280   EN to close fourteen of these cases following th e notification of the implementing measures by 
the Member States concerned, while three cas es - against Slovenia, Finland and Greece - 
remained open at the end of 2009.  
The case against Hungary for non-transpositi on of Directive 2006/48/ EC (the so called 
'Capital Requirement Directive', CRD)333 pending before the Court was settled in 2009 further 
to the complete implementation of the Directive.   
In 2009, the working group set up by the Commi ssion in order to ensure a consistent 
implementation of the CRD (CRDTG - Capital Requirements Directive Transposition Group), 
continued its work of interpretation a nd clarification of the CRD provisions334.  
Building on the work of this group, the Co mmission adopted two comitology directives 
clarifying and completing tec hnical provisions of the CRD335. A more extensive review 
refining and updating certain provisions of  the CRD was adopted by the Council and 
European Parliament in 2009336. The whole package of amendments must be implemented in 
national law by the end of 2010. Th e CRDTG will continue to assi st Member States in the 
transposition process via the on-line Q&As service and meetings, if there is a need to discuss more extensively specific issues.   
In July 2009, the Commission proposed further changes to the CRD to strengthen rules on 
bank capital and on remuneration policies in the banking sector
337.  The Council found a 
political agreement on this proposal in November 2009. Nego tiations with the European 
Parliament will continue in 2010.  
                                                 
333  Directive 2006/48/EC relating to the taki ng up and pursuit of the business of credit 
institutions (OJ L 177, 30.6.2006, p. 1)   
334  http://ec.europa.eu/internal_marke t/bank/regcapital/t ransposition_en.htm  
335   Commission Directive 2009/27/EC of 7 April 2009 amending certain Annexes to 
Directive 2006/49/EC of the European Parliame nt and of the Council as regards technical 
provisions concerning risk ma nagement (OJ L 94, 8.4.2009) and  Commission Directive 
2009/83/EC of 27 July 2009 amending certain A nnexes to Directive 2006/48/EC of the 
European Parliament and of the Council as re gards technical provisions concerning risk 
management (OJ L 196, 28.7.2009)   
  336  Directive 2009/111/EC of the European  Parliament and of the Council of 16 
September 2009 amending Directives 2006/48/ EC, 2006/49/EC and 2007/64/EC as regards 
banks affiliated to central institutions, certain  own funds items, large exposures, supervisory 
arrangements, and crisis management
  
337  Poposal for a Directive of the European  Parliament and of the Council amending 
Directives 2006/48/EC and 2006/49/EC as rega rds capital requirement s for the trading book 
and for re-securitisations, and the supervisory review of remuneration policies SEC(2009) 974 
final SEC(2009) 975 final 
EN 281   EN A Directive improving depositor pr otection was proposed at the end of 2008 and adopted in 
March 2009338. It increased the level of covered deposits, redu ced the payout delay and 
abolished co-insurance (a part of lo sses to be borne by depositors).   
In preparation of future legislative proposals, the Commission launched two public 
consultations in 2009, concerning further am endments to the CRD and a possible EU 
framework for cross-border crisis management in the banking sector.   
The report on the conformity of the national measures implementing the CRD was finalized 
and published in 2009339.  
9.2.2.3.  Evaluation based on the current position 
In the banking sector, the CRDGT ha s proved to be a useful coopera tion tool with Member States 
with a view to ensure coherent  implementation. The work of th is group has also resulted in the 
amendments to the CRD proposed by the Commi ssion in July 2009 on the prudential treatment 
of re-securitization operations.    
The first package of amendments to the CRD cove ring both legislative a nd technical provisions 
was adopted in 2009. It re presented a first response to the fina ncial crisis by reinforcing rules on 
liquidity, large exposures and the quality of capit al. The amendments to the Directive on Deposit 
Guarantee Schemes were an emergency quick-fix measure which helped maintain the confidence 
of depositors when the crisis aggravated.  
The report on the implementation of the CRD provided a comprehensive and detailed overview 
of the implementation of this Directive in the 27 EU Member States and a preliminary check of 
the transposition. The main findi ng of the study is that most Member States have correctly 
transposed the Capital Requirements Directive.  
(1) Priorities   
The main priorities in the banking area concern th e preparation of legislative proposals aimed at 
improving regulation, strengthening supervision and developing a cr isis management regime and 
the co-operation with Member States to ensure a coherent implementation of the law, through 
Committee and working groups discussions, incl uding further work of the CRDTG, Committee 
guidelines, and, if necessary, transposition workshops.  
                                                 
338  Directive 2009/14/EC of th e European Parliament and of the Council of 11 March 
2009 amending Directive 94/19/EC on deposit-guara ntee schemes as regards the coverage 
level and the payout delay (OJ L 68, 13.3.2009, p. 3–7)  
339  Study on the implementation of the Ca pital Requirements Di rective (D irective 
2006/48/EC and Directive 2006/49/EC), published at 
http://ec.europa.eu/internal_m arket/bank/studies/index_en.htm  
   
EN 282   EN (2) Planned actions  
The Commission will continue to  monitor the implementation and application of the CRD on the 
basis of the findings of the study and other available sour ces. Priority will be given to areas in 
which a coherent implementation is critical to maintain a level-playing field between credit 
institutions across the EU.  
The recent crisis has demonstrated a number of cr itical shortcomings in both the risk assessment 
and management of financial institutions and the relevant regulation. The Commission must 
propose adequate remedies. The Commission has to prevent recent and present problems from re-
occurring and ensure that risks posed by the financial sector to financial stability and to the real economy are kept under control. 
In this context, in 2009, G-20 leaders committed in London and Pittsburgh to a set of important 
measures. These would build high quality capital, strengthen liquidity risk requirements, discourage excessive leverage, mitigate pro-cy clicality of capital requirements andrequire 
forward-looking provisioning for credit losses.  All these measures, including a proposal to 
remove the exceptions, derogations  and discretions provided for by the CRD which give rise to 
differences in national implementing legislatio n, will be part of a comprehensive package 
amending the CRD ('CRDIV'), expected to be adopted by end 2010. 
A more comprehensive review of the Directiv e on Deposit Guarantee Schemes is planned in 
2010. In addition, the Commission will propose a revision of the Financial Conglomerates Directive
340 designed to reinforce supervis ion of these institutions.   
Other substantial preparatory and legislative work  is envisaged in 2010 in the banking area. This 
work will focus on building up a EU framework fo r managing bank crises, including a regime for 
the resolution of banks in financial difficulties, in  order to improve the ability of governments to 
deal with problems in cross-border banks. 
INSURANCE AND OCCUPATIONAL PENSIONS 
9.2.2.4.  Current position 
(1) Report of work done in 2009 
In total 30 complaints and infr ingement cases were handled in 2009, a high number of them 
being for non-communication of the transpos ition measures concerning Directive 
2005/68/EC. 3 cases were referred to the new EU Pilot tool and no cases were referred to the 
SOLVIT tool. 10 cases were clos ed (around 33% of the total of  cases handled) and only 1 was 
referred to the ECJ (3% of the total approximate ly). Bilateral contacts were held with the 
Member States either through package meetings or in the relevant sector committees. Package 
                                                                                                                                                         
340  Directive 2002/87/EC of the European Pa rliament and of the Council of 16 December 
2002 on the supplementary supervision of cred it institutions, insura nce undertakings and 
investment firms in a financial conglomera te and amending Council Directives 73/239/EEC, 
79/267/EEC, 92/49/EEC, 92/96/EEC, 93/6/EEC and 93/ 22/EEC, and Directives 98/78/EC and 
2000/12/EC of the European Parliament and of the Council (OJ L 35, 11.2.2003, p. 1–27) 
EN 283   EN meetings sometimes led to the closing of the infr ingement case within 6 to 9 months of being 
held. 
As regards the transposition of Directives  by the Member States , non-communication cases 
launched in the insurance sector against several Member States with regard to the failure to 
transpose Directive 2005/68/EC (the reinsu rance Directive341) by 10 December 2007 which 
were still outstanding, were settled in 2009 (Belgium, Czech Republic, Greece and Portugal). 
The only case still under exam ination is the one concerning Poland (ECJ judgement of 
29.10.2009 in Case C-2008/511).Some infringeme nts were also launched concerning 
Directive 2002/92/EC (the insurance mediatio n Directive342), namely against Italy. As 
regards motor insurance, the ECJ found th at the UK had not fully communicated the 
transposition of Directiv e 2005/14/EC (judgement of 3.9.2009 in Case C-2008/457). This 
infringement is still pending. 
An important case highlighting non conformity of national legislation was lodged with the 
ECJ. It concerned the Belgia n sickness funds ("mutualités/ziekenfondsen"), which offer 
complementary health insurance without resp ecting the solvency rules of directives 
73/239/EEC and 92/49/EEC (1st and 3rd non-life insurance Directiv es), which the Commission 
decided to take to the ECJ on 19.11.2009343 
By a judgement delivered on 28.4.2009 the ECJ dismissed a case brought by the Commission 
in 2006 (C-518/06) against Italy. The Court ruled that by having legislation pursuant to which 
premiums for insurance against civil liability in respect of the use of mo tor vehicles must be 
calculated on the basis of specific paramete rs, by controlling the de tailed rules on the 
calculation of insurance premiu ms for insurance undertakings having their head office in 
another MS but doing business in Italy and by ma intaining an obligation to provide coverage 
for third-party motor insurance for those undertak ings, Italy had not brea ched Articles 43 and 
49 EC (49 and 56 TFEU) or Directive 92/49/EC, the provisions in question being justified by 
an overriding requirement of public interest in  the first head of count and not against the 
Directive in question in the two remaining ones.  
As regards petitions a total of 17 petitions we re handled on insurance and pensions. They 
dealt inter alia with motor in surance, life assurance and pens ion funds. Of course, petitions 
that show a breach of EU law have their facts "converted" in to infringements. About 165 
queries of other nature concerned the insurance and pensions sector. 
(2) Changes underway  
                                                 
341 Directive 2005/68/EC of the European Parl iament and of the Council of 16 November 
2005 on reinsurance and amending Council Di rectives 73/239/EEC, 92/49/EEC, 88/357/EEC 
as well as Directives 98/78/EC and 2002/83/EC (OJ L 323, 09.12.2005, p. 1) 
342 Directive 2002/92/EC of the European Parl iament and of the Council of 9 December 
2002 on insurance mediation (OJ L 9, 15.1.2003, p. 3) 
343  Ref to press release 
EN 284   EN The key change and challenge ahead is the proposal for a di rective called "Solvency II" 
Directive which was adopted in 2009344 and is to  be transposed by late 2012. The Directive 
provides for a transposition period of about 3 year s so that implementing measures needed to 
make the new framework completely operational are adopted beforehand.  Intensive work 
intended to prepare its transposition and proper application started in 2009 and will continue 
through 2012. A key year will be 2011, when the Commission will table the proposal of the implementing measures. It is intended to m odernise the evaluation a nd calculation of risks 
and therefore will provide for a new, prospective, and economic and risk based approach putting much greater emphasis on sound risk mana gement and robust inte rnal controls by 
insurance undertakings. In addition SII will also profoundly influence the way in which 
supervision is carried out by the competent supe rvisory authorities. It also contains a new 
approach as regards insurance groups. It is far too early to anticipate what will be the effects 
and consequences of the new Directive.  
9.2.2.5.  Evaluation based on the current position 
Conformity check of Directives transposed rema ins a key challenge. In the insurance sector, 
the non-communication phase affords the opportunity to press home the need for a comprehensive and updated concordance table and then to check the su bstantive conformity 
of the transposition. This has b een the approach followed for all Directives adopted since 
2000 and also the initial/1
st stage approach as regards the co nformity assessment of Directive 
2005/68/EC on reinsurance. 
The implementation of the Directive on Reinsurance  (2005/68/EEC) was due by 10.12.2007, 
but not all Member States had completed their transposition pr ocess by that date. In 2009 the 
checking of the completeness of the communication of the transpos ition of the said Directive 
was achieved. In 2010 work will continue the focus on pursuing infringements for those 
countries which appear not to have transposed in a correct way the Directive in question (only 
Poland and Romania would be pr ima facie concerned by this). 
Insurance cases have generally a considerable impact in ec onomic terms and in terms of 
proper functioning of the relevant market bot h for undertakings and final users. A level 
playing field is particularly affected becau se breaches either limit the possibilities of 
competitors to stay on the market or allow national companies to offer services without 
fulfilling the obligations imposed by EC legislati on. It also has consequences for the services 
and products that are offered to the consumers. 
The workload on complaints and infringements is likely to increase or at least remain broadly 
stable in 2010-2011 mainly due to increasing awar eness of citizens of their rights in all 27 
Member states. This implies a likely increase in flow of work and the corresponding need to 
define and establish priorities. The current ec onomic/financial crisis may have repercussions 
on national measures and subsequently on complaints. Priority will be given infringements for non-communication of transposition measures, non -respect of an ECJ judgment and cases that 
show a breach of a fundamental freedom or principle of the EC Treaty or a breach of a 
Directive which is blatant.  
The main structural problems (apart from  the accession of new MS or political/economic 
crisis) result from the complexity of the le gislation adopted sometimes in several steps 
                                                
 
344  Directive 2009/138/EC of 17.12.2009, OJ L 335 
EN 285   EN according to the Lamfalussy process. To ta ckle this problem seminars explaining the 
legislation have already been organised and regul ar contact with Member States is maintained 
via the relevant Committees (mainly the Europe an Insurance and Occupational Pensions one) 
and their working groups and also by using the package meetings. For the Solvency II proposed Directive a longer transposition period (of around 3 years) is planned (with the so 
called "level 2" measures under the Lamfalussy process adopted around 1 year before the final 
implementation date). The same complexity creates problems in transposition which may also be of substance (problems of interpretation, fo r instance, or of misa pplication, either in 
general or in specific individual cases).  
In overall terms the same can be said on the implementation of the acquis by the Member 
States in general. 
9.2.2.6.  Evaluation results 
(1) Priorities 
The main priority will be the ongoing work on the "level 2" measures as regards the Solvency 
II Directive. The checking of recently to be  transposed Directives, notably Directive 
2005/68/EC on reinsurance, will be continued. 
To ensure timely and effective problem solving efficient co-operation with the Member states 
as well as an efficient management of infringement procedures will be reinforced 
(2) Planned actions (2010 - 2011) 
As for insurance legislation, Guidance on the transposition of So lvency II has started in close 
co-operation with the Member States and will continue through to 2012.  
A detailed checking of the substance of the transposition of Directive 2005/68/EC by the 
Member States will be continued and complete d by the Commission services. Failure to fully 
implement the reinsurance Directive prevents th e creation of a level playing field and could 
conceivably affect reinsurance undertakings and the reinsuran ce market in a negative way. 
The package meetings with Member States, as well as the referral of cases to the EU Pilot 
tool, will be continued.  
SECURITIES 
9.2.2.7.  Current position 
(1) General introduction 
'Securities markets' legislation include the following (main) directives and regulations:  a. Directive on Markets in  Financial Instruments 2 004/39/EC345 (MiFID) and its 
implementing provisions (Commission Direct ive 2006/73/EC346 and Commission Regulation 
                                                
 
345 Directive 2004/39/EC of the European Parliament and of the Coun cil of 21 April 2004 on markets in financial instruments amendin g 
Council Directives 85/611/EEC and 93/6/EEC and Directive 2000/12/EC of the European Parlia ment and of the Council and repealing  
Council Directive 93/22/EEC (OJ L 145, 30.4.2004, p. 1)  
EN 286   EN 1287/2006347), which regulate the provision of inve stment services in the EU and aim to 
create a level playing field for trading venues.  
b. Market Abuse Directive 2003/6/EC (MAD)348 and its implementing texts (Commission 
Directive 2003/124/EC349, Comm ission Directive 2003/125/ EC350, Commission Regulation 
2273/2003351, Commission Directive 2 004/72/EC352), whose aim is to prevent and to fight 
against insider dealing a nd market manipulation.  
c. Prospectus Directive 2003/71/EC353 a nd its implementing Regulation 809/2004354 
regulating the obligation to produc e a prospectus and the content of the prospectus to be 
published when securities are offered to the public or admitted to trading in the EU.  
d. Investor Compensation Scheme Di rective 1997/9/EC355 (ICSD) introducing a 
compensation for investors having lost  their assets as a result of the failure of an intermediary 
providing investment services.  
e. Regulation (EC) No 1060/2009 of the European  Parliament and of the Council on credit 
rating agencies356 introducing a regist ration and supervisory regime.  
                                                                                                                                                         
346 Commission Directive 2006/73/EC of 10 August 2006 implementing Di rective 2004/39/EC of the European Parliament and of the 
Council as regards organisational requirement s and operating conditions for investment firms and defined terms for the purposes  of that 
Directive (OJ L 241, 2.9.2006, p. 26)  
347 Commission Regulation (EC) No 1287/2006 of 10 August 2006 implemen ting Directive 2004/39/EC of the European Parliament and 
of the Council as regards record-keeping ob ligations for investment firms, transacti on reporting, market transparency, admissio n of financial 
instruments to trading, and defined terms for the purposes of that Directive (OJ L 241, 2.9.2006, p. 1–25)  
348 Directive 2003/6/EC of the European Parliament and of the Council of 28 January 2003 on insider dealing and market manipula tion 
(market abuse) (OJ L 96, 12.4.2003, p. 16–25)  
349 Commission Directive 2003/124/EC of 22 December 2003 implementi ng Directive 2003/6/EC of the European Parliament and of the  
Council as regards the definition and public di sclosure of inside information and the definition of market manipulation (OJ L 3 39, 
24.12.2003, p. 70–72)  
350 Commission Directive 2003/125/EC of 22 December 2003 implementi ng Directive 2003/6/EC of the European Parliament and of the  
Council as regards the fair presentation of investment recommenda tions and the disclosure of conflicts of interest (OJ L 339, 2 4.12.2003, p. 
73–77)  
351 Commission Regulation (EC) No 2273/2003 of 22 December 2003 impl ementing Directive 2003/6/EC of the European Parliament and  
of the Council as regards exemptions for buy-back programmes and stabilisation of fi nancial instruments (OJ L 336, 23.12.2003, p. 33–38)  
352 Commission Directive 2004/72/EC of 29 April 2004 implementing Directive 2003/6/EC of th e European Parliament and of the Cou ncil 
as regards accepted market practices, the defi nition of inside information in relation to derivatives on commodities, the drawi ng up of lists of 
insiders, the notification of managers' transactions and the no tification of suspicious transactions (OJ L 162, 30.4.2004, p. 7 0–75) 
353 Directive 2003/71/EC of the European Parlia ment and of the Council of 4 November 2003 on the prospectus to be published whe n 
securities are offered to the public or admitted to trading and amending Direc tive 2001/34/EC (OJ L 345,  31.12.2003, p. 64–89)  
354 Commission Regulation (EC) No 809/2004 of 29 April 2004 implem enting Directive 2003/71/EC of th e European Parliament and of  the 
Council as regards information contained in prospectuses as well as the format, incorporation by reference and publication of s uch 
prospectuses and dissemination of adve rtisements (OJ L 149, 30.4.2004, p. 1–126)  
355 Directive 97/9/EC of the European Parliament and of the Co uncil of 3 March 1997 on investor-c ompensation schemes ( OJ L 84,  
26.3.1997, p. 22–31)  
356 Regulation (EC) No 1060/2009 of the European Parliament and of the Council of 16 September 2009 on credit rating agencies (  
OJ L 302, 17.11.2009, p. 1-31) 
 
EN 287   EN (2) Work done in 2009 
In the area of securities markets , concerning the MiFID, the Co mmission services obtained a 
favourable Court judgement357 in 2009 against Poland for non transposition of the implementing Directive 2006/73/EC of the Mark ets in Financial In struments Directive 
(MiFID). Following notification by Poland of complete transpos ition of Directive 2006/73/EC 
in December 2009, the completeness check of the transposition by Poland has been finalised 
for MiFID in 2009 through closure of all infringements for non communication of level 1 and 
level 2 of MiFID.  
The quality check for MiFID was continued and finalised in 2009 with the excep tion of three 
Member States for which investigations are ongoing, two of which are subject to open 
infringements. The Commission has furthermor e closed in 2009 an infringement against 
Spain on the basis of the Investme nt Services Directive (ISD)358.  
Moreover, the questions and answers database  on MiFID, launched by DG Internal Market 
and Services in 2007, continued to be operated in  2009 to help provide all stakeholders with 
the possibility to clarify in terpretational issues concerni ng MiFID. 220 questions were 
registered in the database until the end of 2009. The Commission services assisted regularly 
also to meetings of the Committee of European  Securities Regulators (CESR) expert groups 
where a coordination approach in terms of application of  MiFID is sought by national 
supervisors. 
Concerning the MAD, the quality check of tran sposition for MAD continued. This check has 
lead to the opening of two infringement pr oceedings (reasoned opinion) in 2009 against 
Luxembourg and UK (Gibraltar). These infringem ents concerned provisions on the powers of 
competent administrative authorities and admini strative sanctions. An infringement against 
Greece for incorrect application of MAD wa s closed in 2009.  Finally, an important 
clarification on the notion of the 'use of insi de information' in M AD was brought in 2009 by 
the ECJ in the Spector Photo Group case359, where the Court, in line w ith the interpretation 
of the Commission, considered that there was a refutable presumption that a primary insider 
who is in possession of inside information on a p eculiar issuer uses it when he trades the 
financial instruments of this issuer. The Commission services  have furthermore launched a 
call for evidence in April 2009 as a first step concerning the review of the MAD directives360 
and regulation. 
Concerning the ICSD, the Commission services  closed in 2009 five infringement cases 
against Germany on the incorrect application of the ICSD, as well as an infringement based 
on a complaint against Poland on compensation be fore the entry into force of ICSD.    
                                                
 
357 ECJ, "Judgment of the Court (Eighth Chamber) of 19 March 2009 — Commission of the European Communities v Republic of 
Poland", case C-143/08 of 19 March 2009, OJ C 113, of 16 May 2009, p. 11  
358 The Council Directive 93/22/EEC of 10 May 1993 on investment servic es in the securities field (OJ L 197, 6.8.1993, p. 58) (ISD)  is 
the predecessor of MiFID which started applying in November 2007.  
359 European Court of justice judgment C-45/08, "Spector Phot o Group and Van Raemdonck (Approxima tion of laws)", of 23 December  
2009 
360 Commission call for evidence on review of Market  Abuse Directive of 20 April 2009 available on 
http://ec.europa.eu/internal_mar ket/securities/abuse/index_en.htm  
EN 288   EN The Commission services have dealt with three petitions in 2009. One petition alleged 
infringements of the ICSD by Poland. Another pe tition was received on the consequences of 
late transposition of MiFID by Greece. Finally, the third petition concerned the transposition 
of ICSD in Austria linked to the AMIS case. N one of these petitions has lead to the opening 
of an infringement.  
(3) Changes underway (2009-2010)   
The legislative proposal to amend the Pros pectus Directive Has been adopted on 23 
September 2009361. This proposal, adopted in lin e with the Better Regulation Principles, 
aims at increasing legal clarity and efficien cy in the prospectus regime and reducing 
administrative burdens for issuers and interm ediaries while enhancing further investor 
protection. The Council has adopted a common approach on 17 December 2009. The 
Parliament Rapporteur's report has been pres ented on 27 January 2010.  The vote within the 
ECON Committee should take place on 23 March 2010 and the vote in the Plenary should be 
in May 2010.  The final adoption by the co-legis lators is expected before summer 2010.   
Concerning Credit Rating Agencies, the nego tiations on the Regulation on credit rating 
agencies were finalised in April 2009, wher eas formal adoption was completed on 16 
September 2009. The Commission services have  started the implementation work by 
publishing a mandate on 12 June 2009362 to the Committee of European Securities 
Regulators for technical advice on the equivale nce between certain third country legal and 
supervisory frameworks and the EU Regulat ory regime for credit rating agencies.  
On 26 October 2009 the Commission proposed legisl ative amendments to several directives 
in the financial services sector, including Mi FID, Prospectus and MAD in order to make 
targeted changes to ensure that the new supe rvisory Authorities can work effectively. In 
particular, these amendments intend to lay down in  detail the scope for the new Authorities to 
exercise their powers, ensuring a more ha rmonised set of financ ial rules through the 
possibility to develop draft technical standa rds, settle disagree ments between national 
supervisors and facilitate the sharing of micro-prudential information. The proposal is 
currently being negotiated accordi ng to the co-decision process. 
9.2.2.8.   Evaluation based on current position 
The answers received from stakeholders to  a call for evidence al ready in 2008363 indicate 
that the quality of transposition of MiFID is  in general good. The MiFID quality check 
undertaken by the Commission services has not revealed major transposition problems in most Member States either. Particular attenti on has been and continues to be devoted to the 
practical application and effect s of MiFID on securities markets in all Member States, with 
the aim of assessing, in the pers pective of the forthcoming revi ew, aspects such as investor 
protection, transparency, availability of da ta, fragmentation, the phenomenon of high 
frequency trading and regulatory framew ork applicable to different venues. 
                                                
 
361 COM(2009) 491 final [2009/0132 (COD)]  
362 Available at: http://ec.europa.eu/intern al_market/securities/agencies/index_en.htm  
363 The results of this call for evidence have been  published on 4 November 2008 and can be seen on 
http://ec.europa.eu/internal_market/s ecurities/docs/isd/mifidtr_en.pdf  
EN 289   EN As a result of the evolution of  the overall regulatory framewor k, including in particular the 
Commission Communication of 4 March 2009 on "Driving Europ ean Recovery"364, as well 
as the changes to the Deposit Guarantee Scheme s Directive and the entry into force of the 
MiFID, and in the light of these numerous complaints, the Commissi on services launched a 
call for evidence on ICSD in Febr uary 2009365 in order to determ ine the scope of the review 
of the directive, planned for 2010. This call for evidence helped identifying problems having emerged in some Member States on the application of some provi sions of the directive. These 
results will be taken into account  in the upcoming ICSD review.  
CESR published a consultation paper on the MAD, called “Third set of CESR guidance and 
information on the common operation of the Dir ective to the market” 366 as well as an 
executive summary to the Report on administra tive measures and sanctions, including the 
criminal sanctions available in Member States under the MAD.  
Priorities and actions planned 
In the area of financial services, priority will be  given in 2010 to the re view of MiFID, ICSD 
and MAD.  
The MiFID review is intended to cover a broad range of issues includ ing the assessment of 
the transparency provisions to non-equity market s, the functioning of MiFID provisions in the 
dynamic evolution of regulated markets and multi lateral trading faciliti es, the evolution in 
market microstructure and pract ices such as high frequency trading. Further work will cover 
aspects such as the telephone recording option, the application of Article 4 of the Implementing Directive and other issues such as the availability of data and issues linked to 
broader investor protection.  In its wor k, the Commission is i nvolving CESR and the 
European Securities Committee367. Extensive cons ultation with stakeholders is planned for 
2010.  
The MAD review is intended to focus on three main items: the extension of the scope of the 
MAD to some markets and instruments which are not fully covered; fost ering the efficiency 
of the rules on enforcement and sanctions; to he lp stakeholders by clarifying some provisions 
and by diminishing the regulatory burden when possible. 
On the ICSD, the results of the call for ev idence launched in 2009, as well as the changes 
brought to the Deposit Guarantee Scheme are exp ected to constitute the basis of the review 
which will be part of a packag e dealing with the review of the compensation schemes in the 
banking, insurance and securities sector.  
                                                
 
364 Commission of the European Communities, "Communication for the Spring European Council: Driving European Recovery", Brussel s, 
4.3.2009, Volume 1, available on http://ec.europa.eu/commission_barroso /president/pdf/press_20090304_en.pdf  
365 Commission Call for evidence on Investor-Compensation Schemes Di rective (Directive 1997/9/EC) of 9 February 2009, available no 
http://ec.europa.eu/internal_marke t/securities/isd/investor_en.htm  
366 CESR, “Guidelines - MAD Level 3 – Third se t of CESR guidance and information on the common operation of the Directive to the 
market”, document [09-219], May 2009; www.cesr.eu  
367 The European Securities Committee (ESC) fulf ils both comitology and advisory functions in the securities field. It is compo sed of high 
level representatives from the Member States and is chaired by a representative of the Commission.  
EN 290   EN Concerning the Regulation on credit rating ag encies, the Commission is planning to amend 
the Title of the Regulation dealing with the supervisory aspects in order to give exclusive supervisory powers to the Europ ean Securities and Markets Author ity (ESMA), as foreseen in 
the Presidency compromise on the ESMA Regul ation (general approach) agreed by ECOFIN 
on 2 December 2009 368. 
ASSET MANAGEMENT  
9.2.2.9.  Current position 
(1) General introduction 
In the area of asset management
 the Commission continued the verification of the 
transposition of the Directiv e 2007/16/EC (Eligible Assets Directive) by Member States 
(MS). Measures adopted by certain Member Stat es to counter the negative effects of the 
financial crisis prompted the Commission to initiate a general tr ansposition check with regard 
to legislative or administrative measures adopt ed by Member States which may have affected 
the implementation of the UCITS Directive. 2009 was also marked with new initiatives 
including legislative ones.  
(2) Report of work done in 2009 
Three work streams could be mentioned in the area of the applic ation of EU law: 
First, the successful end of the transposition chec ks concerning the Eligible Assets Directive. 
After having received the remaining notifications of transposition measures the Commission could close the infringement proceedings launc hed against those Member States which did 
not transpose the Directive on time. 
Second, in the context of the financial crisis, the Commission services launched a process of 
verification of whether the UCIT S Directive is properly interp reted and applied via national 
legislation of EU Member States. An administra tive letter was sent to all Member States in 
November 2009 in order to gather information on any crisis-related le gislative measure or 
administrative practice, which might impact  the national rules implementing the UCITS 
Directive.  
Finally, questions concerning the pr oper interpretation of this Directive were triggered also in 
the context of the Madoff scandal revealed in December 2008. In this case the Commission 
published a consultation paper to ga ther opinions of all stakehol ders. It was a necessary step 
paving the way to the policy d ecision on the future work con cerning the regulation on the 
Community level of obligations and responsibilities of  depositaries with regard to competent 
authorities, UCITS and their management companies. 
(3) Legislative changes underway  
2009 was marked by important actions affecting th e asset management regulatory landscape.  
                                                
 
368 Presidency compromise on the ESMA Regulation (general  approach) agreed by ECOFIN on 2 December 2009   
http://register.consilium.europa.eu/ pdf/en/09/st16/st16 751-re01.en09.pdf  
EN 291   EN The proposal for a Directive on Altern ative Investment Fund Managers (AIFM)  was adopted 
by the Commission on 29 April 2009. It forms an important part of the EU's regulatory 
response to the financial crisis  aiming at creating a comprehe nsive and effective regulatory 
and supervisory framework for AIFM in the EU. This Proposal was soon afterwards subject to 
intensive negotiations in the Council and with the European Parliament in view of its adoption 
in 2010.  
The recast of the UCITS Directive was adopted  by the Council and the European Parliament 
on 13 July . It includes over 20 delegated powers to the Commission to adopt level 2 
measures. The Commission is under the lega l obligation to adopt certain implementing 
measures by 1 July 2010 as they are crucial fo r the functioning of the management company 
passport. As the remaining empowerments c onstitute a very useful complement to the 
provision of level 1 Directiv e and would substantially fac ilitate their application the 
Commission services decided to adopt all implem enting measures foreseen in the recast of the 
UCITS Directive by 1 July 2010. On 13 Februa ry 2009 the Commission sent a mandate to 
CESR asking for its technical opinion on those measures. CESR delivered  first part of its 
opinion on 31 October 2009 and the remaining one in December 2009. The intensive drafting 
of the measures took place in the second half of 2009. 
On 29 April the Commission published the Co mmunication on Packaged Retail Investment 
Products (PRIPs)  indicating the possible ways and mean s to improve regulatory protection for 
retail investors. A technical wo rkshop was organised to enable all relevant stakeholders to 
express their views on the Commission approach with regard to possi ble horizontal (cross-
sectoral) legislative measures.   
Finally, on 3 July 2009 the Commission launch ed a public consultation on the tasks and 
responsibilities of the UCITS depositary . It should be seen as an  important step towards the 
identification and shaping of th e European response to vulner abilities emana ting from the 
UCITS depositary sector with a view to improving the level of protection for UCITS 
investors. 
9.2.2.10.  Evaluation based on the current situation  
In terms of the application of  Community law the priorities  set out for 2009 were broadly 
reached. The infringement procedures c oncerning non-transposition of the 2007/16/EC 
Directive were closed as this Directive was fully transposed in all member States.  
2008 brought few open questions with regard to the possible scope of interpretation of the 
UCITS Directive by Member States  in the context of the financ ial crisis, e.g. introduction of 
side pockets, the liability of depositaries, waivers of certain UCITS obligations careful and comprehensive analysis was carried out in 2009. Th e reflections need to be continued in 2010 
and they might result in ne w legislative proposals.  
9.2.2.11.  Evaluation results  
a) Priorities 
Assuring the timely and correct transposition of the Community law in the area of asset 
management will remain a priority for 2010. In  addition, obeying the de adline of 1 July 2010 
for the adoption of all level 2 measures would be a real challenge. The issue of PRIPs and 
depositary will continue to be on top of our agenda. 
EN 292   EN b) Planned action (2010 and beyond) 
The Commission services will continue the ex amination of national measures enacted or 
administrative practice executed in an aftermath of the financial crisis and which may have 
impact on the proper implementation of the UCIT S Directive. This may result in opening new 
infringement cases.  
The extensive work on the level 2 measures w ill be carried out in 2010 . Furthermore, more 
analysis would be needed with regard to th e work on PRIPs and the depositary issue.  
9.2.2.12.  Summary by sector  
In the asset management sector the work carried  out in 2009 reflected the set priorities. By 31 
December 2009 the 2007/16/EC Directive was fully  transposed in all EU Member States. 
Important legislative work was ca rried out leading to the political agreement on the recast of 
the 85/611/EEC Directive. Its formal adoption in  2009 gave rise to the extensive work on its 
implementing measures to be enacted by the Commission in 2010.   
Some measures adopted by certain Member Stat es to counter the negative effects of the 
financial crisis call for the evaluation of the interpretation given by those countries to the 
UCITS Directive. The Commission services will devote proper attention to this issue as the 
consistent and uniform application of this Di rective is a cornerstone for the successful 
functioning of UCITS in the EU.  
PAYMENTS AND RETAIL FINANCIAL SERVICES 
9.2.2.13.  Current position  
(1) General introduction 
In order to ensure a timely and consistent transposition, the Commission services have 
continued to accompany Member States in th eir transposition process through transposition 
workshops369 and other activities to ensure the transpositio n of the Payment Services 
Directive 2007/64/EC (hereby referred to as 'the PSD')370 by 1 November 2009. Thanks to 
these activities, as much as 21 Member States  have passed legislati on implementing the PSD, 
fully (15) or partially (6), by the end of 2009.  
The negotiations to modernise the two other main pi eces of legislation in this area have led to 
the adoption of the new cross-border  payments' Regulation (EC) No. 924/2009371 and the new 
E-Money Directive 2009/110/EC ((here by referred to as 'the EMD')372. 
                                                 
369  A Payment Services Directive Transposition Group  (PSDTG) was set up end 2007. 
370 Directive 2007/64/EC of the European Parl iament and of the Council of 13 November 
2007 on payment services in the internal mark et amending Directives 97/7/EC, 2002/65/EC, 
2005/60/EC and 2006/48/EC and repealing Directive 97/5/EC (OJ L319, 5.12.2007, p. 1) 
371  Regulation (EC) No. 924/2009 of the Eur opean Parliament and of the Council of 16 
September 2009 on cross-border payments in th e Community and repealing Regulation (EC) 
No. 2560/2001 (OJ L 266, 9.10.2009, p. 11). 
EN 293   EN (2) Report of work done in 2009 
The PSD Transposition Group (PSDTG) set up end 2007 continues its wo rk allowing national 
representatives to discuss va rious interpretation issues. Th is Group met three more times 
during 2009 (10 in total since January 2008). One of these mee tings was organized under the 
format of a 'stakeholders' day', allowing paym ent market and consumer representatives to 
attend and to share their views with the Group on some transposition issues linked to e-money 
and low-value payments. In total, the Group collected around 300 questions from Member States concerning the 96 Article s of the PSD and provided writ ten observations which served 
as a basis for reaching a common understanding. In  addition, several bila teral meetings took 
place during 2009, upon request of the Member St ates concerned. When necessary, political 
pressure was increased by preventive measures su ch as informal talks in the margins of the 
PSDTG meetings or sending letter s to Member States pointing out  particular aspects of the 
draft legislations which were c onsidered not to be in line wi th the provisions of the PSD. 
End 2009, an EMD Transposition Plan was set up. It envisaged specific actions based on 
a proper and comprehensive analysis of the cha llenges related to the implementation of the 
EMD. As a first step, all Member States have designated 'liaison contacts' for the 
implementation of the Directive. An EMD Tr ansposition Group (EMDTG) has also been set 
up. Furthermore, in order to ch annel questions from Member St ates and other stakeholders 
and share responses with all in terested parties, the scope of the web-based question-and-
answer tool, which has proved its effectiv eness during the transposition of the PSD
373, will be 
extended to include questions on the new EMD. The tool aims to  improve the dialogue with 
all stakeholders includ ing Member States, businesses and ot her users during the transposition 
period. 
In the field of payments, the number of petitions, questions and complaints remained constant 
in comparison with previous years. Most  of the enquiries (a round 150) concerned 
cross-border payment services and the a pplication of Regulation 924/2009 (which has 
replaced Regulation 2560/2001), pr obably due to the fact that knowledge of this Regulation 
and of its scope is often limited, incomplete or inaccurate. While in a very low number of 
cases the Commission services raised the issue with the Member State concerned, no 
infringement proceeding wa s launched during this period. 
(3) Changes underway and preventive measures 
                                                                                                                                                         
372  Directive 2009/110/EC of the European  Parliament and of the Council of 16 
September 2009 on the taking up, pursuit and pr udential supervision of the business of 
electronic money institutions amending Dire ctives 2005/60/EC and 2006/48/EC and repealing 
Directive 2000/46/EC (OJ L 267, 10.10.2009, p. 7). 
373 http://ec.europa.eu/internal_market/ payments/framework/transposition_en.htm  This 
web-page,  operated through a question and answers ap proach and open to everyone interested 
in the transposition process of the PSD, has received and answered 340 questions by end 
2009. This web-page also contains the full text of the Directive and information on transposition-related issues including up-date d information on Member States' transposition 
plans with references to the forecasts for adoption of national measures implementing the 
PSD, the expected dates for entry into force of  such measures and the intended use of the 
options. 
EN 294   EN As stated above, the transposit ion deadline in case of the PS D expired on 1st November 2009 
and a vast majority of Member States have transposed it (in full or partially) on time. Despite the Commission services' efforts, some Me mber States are lagg ing behind. The oral 
information recorded during the transposition wo rkshops and the written information received 
afterwards have served the Commission servi ces to update the information available on the 
Commission's website
374. In the thirteen Member States which have transposed in full the 
Directive on time, the national measures implem enting the Directive have entered into force 
on the same date: 1 November 2009, as agreed within the PSDTG. 
9.2.2.14.  Evaluation based on current position  
The actions covered by the PSD Transposition Plan  have been praised by most of the Member 
States as being very helpful for ensuring a quick and consistent  implementation. Other 
stakeholders have also expressed their support. 
With regard to the 25 options contained in the PSD, Member States finally accepted to make 
publicly available through the Commission website the information available on the use of options well in advance.
375 
The impact of the current financia l crisis has been one of the external risks which have played 
an important role in the delay of the transp osition. In some cases, such as in Poland and 
Sweden, a lack of resources, reallocated in acco rdance with the new priorities, has contributed 
to the delay. In the case of Greece, the early el ections have lead to a delay for submitting draft 
legislation to the national Parliament in  accordance with the announced timetable. 
Late transposition of the PSD provokes legal un certainty for both citizens and the payment 
industry. Leaving aside the legal consequences of partial or incorrect implementation, some 
stakeholders have pointed out the issue of  the non-implementation after the 1 November 
deadline with regard to branches and the provisio n of cross-border services. This could lead to 
a two-speed situation insofar certain branches an d to higher costs related to different rules in 
force in Member States. In addition, it jeopard ises the timely launch of  SEPA products and, in 
particular, SEPA Direct Debit. Moreover, wh ile most of the provisions on disclosure 
requirements and right and oblig ations of payment service pr oviders and payment service 
users could be invoked directly by citizens before  national courts, it is not the same for the 
provisions regarding a positive action from Member States (e .g., setting of registers, 
designation of competent authorities, etc.) so being late in the transposition of those 
provisions exposes Member States to the risk of actions for co mpensation of loses related to 
the Member State's failure to implement the Directive in time. 
As for activities carried out in the area of reta il financial services, one success has been the 
implementation of Common Principles on Ba nk Account Switching, a voluntary code of 
conduct that should help consumers to avail of their right to switch bank account provider and 
thereby bring the forces of competition to bear on the sector.  
                                                 
374  http://ec.europa.eu/internal_marke t/payments/framework/transposition_en.htm 
375  http://ec.europa.eu/internal_mar ket/payments/framework/options_en.htm 
EN 295   EN The Commission also brought to  a close the evidence-gathe ring stage of its work on 
responsible lending and borrowing, with a cons ultation, a public hearing and the completion 
of wide-ranging studies on the policy options for mortgage credit and on credit intermediaries.  
In the coming year, the Commission will bring forward proposals on responsible lending and 
borrowing, with additional measures addres sing mortgage valuation, registration and 
foreclosure. It will take steps to ensure th e access of every EU citizen to basic financial 
products, in particular a basic bank account; and will propose ways in which to improve consumer and investor input to the Commi ssion's financial services policy making.  
The main challenges that could present themselves in the coming year include a possibility 
that consumers and businesses will not be motiv ated to seek out the benefits of the single 
market, in an environment of increasing natio nal focus and even protectionism. This could 
lead to a magnification of the current probl ems of access to financial services for non-
residents. Significant efforts will have to be made  if citizens' confidence in the financial sector 
is to be restored. In this context, it will be  imperative to meet the challenge of involving 
consumers and investors fully in the Europe an policymaking process, by enhancing their 
capacity to engage at EU level. 
9.2.2.15.  Evaluation results  
a) Priorities 
Priorities in the field of payment servi ces will not change substantially in 2010. The 
Commission services will endeavour to keep their efforts to follow-up the transposition 
process and support Member States' work with  the aim to ensure quick and consistent 
implementation of both the PSD and the new EM D. With regard to the PSD, the required 
steps have been taken to launch infringe ment proceedings linked to non-communication 
cases. The first step of the conformity assess ment task (getting tran slations of national 
transposition meas ures) is going on. 
b) Planned actions 
As regards prevention, all the actions included in the Transposition Plan of the PSD have 
proved to be effective. Some of them will con tinue to be applied during 2010. In particular, 
and in parallel to the infringement proceedin gs, Member States will systematically be 
reminded of the importance of transposition in th e context of SEPA. Bilateral meetings, press 
releases and political pr essure via letters addressed to Memb er States will be used as well. 
Information on state of play will also be systematically provided through the Commission 
website. A leaflet on the main features of the PSD is being prepared and will be released by mid-2010. 
Concerning the transposition of the new EMD, the first meeting of the transposition workshop 
will be held as soon as in Febr uary 2010. Up to two more other meetings of this Group might 
be called within 2010. The EMD will be also register in a dedicated website on Europa
376 
allowing anyone to browse through existing qu estions and answers and also to submit new 
questions on the implementation of Internal  Market Directives. When necessary and upon 
request, bilateral meetings will be held with t hose Member States having requested so in order 
                                                 
376  Your Questions On Legislation (YQOL), http://ec.europa.eu/yqol/ 
EN 296   EN to support their legislative efforts, to clos ely monitor the implementation process and to 
spread best practice among Member States. Finally, a template for a concordance table will be provided by the Commission services facilitating the task of Member States to illustrate the 
correlation between the EMD provisions and the tr ansposition measures adopted to implement 
them into domestic law. 
9.2.2.16.  Summary by sector 
Based on the experience of the transposition of the PSD, we can  conclude that a pro-active 
transposition approach has a positive impact and enhances a consistent implementation. 
Therefore, a similar – though slightly ligh ter – approach will be applied for the 
implementation of the EMD. Legal and political pressure will be kept up on Member States 
which are late with the transposition of the PSD. 
9.2.3.  Free movement of capital (A rticles 63 et seq. TFEU) 
9.2.3.1.  Current position 
1. General Introduction 
The relevant Treaty provisions governing the fr eedom of capital moveme nts are enshrined in 
Articles 63 to 66 TFEU. In particular, Article 63 TFEU provides that "all restrictions on the 
movement of capital between MS and between MS and third countries shall be prohibited".  A 
list of transactions that are to  be considered as capital move ments can be found in Annex I of 
Directive 88/361/EEC.377 The legal framework gove rning this Treaty fr eedom can be found 
on the Internet.378 
2. Report of work done in 2009 
Work done in 2009 was based on the priorities set in 2008, namely continuing the pro-active 
approach by way of monitoring, concentrat ing on more important cases, diversifying the 
range of restrictions to th e free movement of capital whic h are being dealt with and 
addressing these restrictions  at an early stage.   
Measures taken by the MS in the financial sect or and related to the crisis were monitored 
from a free movement of capital perspective. These measures should not only be consistent 
with state aid rules but also w ith the other Treaty provisions. Two complaints related to the 
nationalisation of a British bank were closed in 2009 on the basis of the Treaty principle of 
neutrality vis-à-vis MS' systems of property ow nership, the absence of discrimination between 
domestic/foreign shareholders and a clear general interest involved. 
On other registered infringements cases, th e Commission services prioritised efforts on 
tackling those with the most impact on the In ternal Market.  Three cases which required 
further attention were related to horizont al measures taken by MS (France, Greece and 
Poland) to control strategic foreign investment , one of which (Poland) was referred to the 
CJEU.    A case on restrictions on investment  by pension funds was referred to the CJEU 
                                                
 
377  OJ No L178, 8.7.1988 378  http://ec.europa.eu/internal_mar ket/capital/framework/index_en.htm
  
EN 297   EN (concerning Poland). More than half of the cases  closed in 2009 related to privatisation and 
special rights of the State in privatised companies. The golden share/special rights topic 
remained however a concern and represents  still about 40 % of infringement cases. 
Complaints related to real estate covered a wide range of problems: purchases of holiday 
homes, pre-emption rights, purchase of agricultur al real estate, rental  prices, expropriation.  
Three of these complaints fulfilled the criteria for registration in EU-pilot.  Steps were taken 
in two cases related to restrictions on the acqui sition of agricultural land in Austria: for one 
case a letter of formal notice was sent a nd for the other a reasoned opinion.    
For the two newest Member States, the evaluati on of the Bulgarian and Romanian replies to 
the Questionnaire on Intra-EU Investment (sent to them after accession) did not lead to any particular follow-up action going beyond the alrea dy active pursuit of Romanian privatisation 
cases in the energy sector.  
The CJEU delivered a judgment against Italy 379 regarding a Decree Law attributing special 
powers to the Italian State in certain companies operating in the petrochemical and energy, 
telecommunications, electricity a nd defence sectors and thus c onfirmed earlier jurisprudence 
on special rights. Regarding the unique third co untry dimension of Article 63 TFEU, further 
guidance was given by three judgments on bilate ral investment treati es (BITs). The CJEU 
held that the concerned MS (A ustria, Finland and Sweden) did not take approp riate steps to 
remove incompatibilities of the provision guarant eeing free transfers related to investment in 
their pre-accession BITs with re strictive measures that the Council may take under the Treaty 
Articles on the free movement of capital, even  though they had been required to eliminate 
incompatibilities by Article 351 TFEU.  
Replies or contributions to rep lies were prepared for petitions  on urban development and sales 
practices on the housing market in Spain, priv atisation in Romania, shareholder rights in a 
Belgian financial institution, blocked savings accounts in Slovenia, tax representatives in 
Portugal, buying property in Cyprus, privatisa tion and deregulation of rents in Slovakia, 
nationalisation of a British cred it institution, EU competence in the area of property law.  
9.2.3.2.  Evaluation based on the current position 
Enforcement of EU rules on the free movement  of capital took on a new dimension in the 
context of the crisis. Unilateral reactions a nd policies could have a negative impact on the 
functioning of the Internal Market. Nationalis ations, rescue operatio ns and guarantees, in 
particular in the financial sect or, triggered the introduction of po ssible restrictions on the free 
movement of capital.  The fo llowing potential issues for fu rther monitoring  have been 
observed: the right of th e state to appoint board members, veto rights on certain management 
decisions and time limits of these veto ri ghts, expropriation of shareholders.   
For all registered cases related to strategic fore ign investment control, progress has been made 
in the sense that the MS concerned have a nnounced or prepared legislative amendments 
which could possibly solve the outstanding i ssues. The Commission has, however, a Treaty 
obligation to continue proceedings until the required measures are adopted and legislation 
which is compatible with the Treaty is implemented. 
                                                
 
379  Ruling in case C-326/07, Commission v Italy , of 26 March 2009 
EN 298   EN On privatisation and golden shares/special rights of the State in privatised companies: almost 
half of the related cases are currently pend ing before the CJEU or subject of Art. 260 
proceedings (concerning Italy, Germany and Port ugal).  The handling of these cases revealed 
that some Member States are rather reluctant to make a shift towards solutions which could secure their legitimate interest and that are comp atible with the Treaty.  This could indicate 
that such possible shifts will  only take place after delivery  of an Article 258 or even 260 
judgment of the CJEU. In addition, the golden sh ares/special rights cases  relate to important 
economic sectors: in the first place energy but also telecom and car industry.  Also related to 
the energy sector is an Article 258 case in which restrictions of  the free movement of capital 
have been identified in the regul atory framework (concerning Spain). 
On BITs, while it is important that protection is  maintained for investors, it is all the more 
important that all investors be put in a position of legal certainty in compliance with EU law. The CJEU judgments concerned three MS who must now remove the incompatibility found 
by the Court.  However, many more Member Stat es are likely to be in a similar situation 
(there around 300 other pre-accession BITs whic h were not subject to the Court rulings) . 
9.2.3.3.  Evaluation results 
1. Priorities 
On crisis measures taken by MS in key sect ors (financial sector, automobile sector,…), 
further monitoring will have to cover the phasing out and exit strategies adopted by the MS. It 
is essential that the temporary support measures  should not be maintained  longer than strictly 
necessary and that as the state di vests itself of any stakes or reprivatizes over the medium- to 
long-term, no restrictions on free mo vement of capital are introduced.  
The Commission will continue work ing with MS to ensure that investment laws drafted in 
response to national security concerns are comp liant with Article 63 of the TFEU on the free 
movement of capital between Member States and between Member States and third countries.   
After laws have been adopte d, the Commission will have to  continue monitoring their 
implementation and will not hesitate to act should infringements be suspected. 
Procedures based on Art. 260 TF EU and the monitoring of the process of amendment of the 
incriminated provisions will be treated as a matter of priority.  
Activity related to the 3
rd country dimension of the free m ovement of capital will increase 
following the BITs judgements. The CJEU said  that the Commission had a facilitation role 
towards MS to remedy the situation.  The Commission will therefore explore with all MS ways to deal with problematical clauses in their BITs.  These intensified contacts will also cover the issues of post-accession BITs and BITs between Member States. 
2. Planned action (2010 and beyond) 
As regards foreign investment, the Commission will cooperate actively with Member States 
that have updated or are in the process of up dating their legislation to cater for perfectly 
legitimate objectives as foreseen in EU law.    
To improve understanding of market trends and developments in the field of Direct 
investment and M&A, a study will  be carried out focussing on the benefits of free movement 
of capital and open investment in cushioning the European economy from economic shocks 
such as occurred during the financial crisis.  
EN 299   EN For the two newest Member States, a study on tran sitional restrictions ma intained by Bulgaria 
and Romania with regard to the acquisition of agricultural real es tate will be carried out.  The 
findings will serve as a basis for a report to the Council on possi ble review of the transition 
periods .   The Commission will also continue monitoring legal developments relevant for the 
preservation of the free investment climate in these countries, including related legislative procedures and upcoming privatisations. 
9.2.3.4.  Summary by sector 
In the area of free movement of capital the priorities will remain enforcement action in 
important sectors (energy) as well as close an d permanent monitoring activities related to 
strategic foreign investment cont rol by MS and to the specific measures taken in the context 
of the crisis.  Increased activity related to MS' bilateral investment treaties will also be 
required. 
9.2.4.  Public procurement 
9.2.4.1.  Current position 
(1) General introduction 
European public procurement provisions are ba sed on the fundamental principles of the EC 
Treaty, particularly the right of  establishment and the freedom to provide services stemming 
from Articles 49 and 56 TFEU.  
The secondary legislation in this field is three folds: 
First, there are two Directives on the coordi nation of procedures for the award of public 
works, supply and service contracts, Direct ives 2004/17/EC and 2004/18/EC adopted in April 
2004 replacing the previous Directives 92/50/EEC, 93/36/EEC, 93/37/EEC and 93/38/EEC. 
Directive 2004/18/EC concerns  most major award procedur es carried out by public 
contracting authorities. Directiv e 2004/17/EC covers contract awards by entities operating in 
specific sectors (water, energy, tr ansport, postal services).  
Secondly, there are two Directives  concerning the legal protection of bidders participating in 
public procurement procedures, Directives  89/665/EEC and 92/13/EEC. These Directives 
have been recently modified by Directive 2007/ 66/EC which has been adopted in December 
2007 and had to be implemented by member States by December 2009. 
Thirdly, a new special Directive for Defence a nd Sensitive Security procurement (Directive 
2009/81/EC380 of 13 July 2009) has been adopted  in 2009. Member States have until August 
2011 to transpose these new procur ement rules into national law. 
(2) Report on the work  done in 2009 
(a) Management of the acquis thro ugh committees and expert groups 
                                                
 
380 OJEU of 20 August 2009, L 216/76  
EN 300   EN Exchange with the Member States on the p ublic procurement legal framework is well 
established. The Commission regularly convene s Committees. First, the Advisory Committee 
on Public Contracts (ACPC), wh ich consists of the representatives of Member States 
authorities, met 3 times in 2009.  Specialised working groups of the ACPC also met in 2009, 
i.e. 1 meeting of the Working Group on E-Procur ement and 2 meetings of the Economic and 
Statistical Working Group. The Commission also organises m eetings of the Advisory 
Committee on the opening up of Public Procurem ent (CCO), a technical expert Committee 
which consists of public procur ement experts and ot her technical experts. The CCO met once 
in 2009. 
In the context of the described Committees, th e following topics were subject of specific 
discussions: 
- Transposition of the new 'Remedies' Directive 2007/66/EC (i.e. national time-
schedules, problems met) and actions of the Commission in the transposition context (i.e. preparation of the standard forms, b ilateral meetings with Member States, etc). 
- Transposition of the new "Defence" Di rective  2009/81/EC of 13 July 2009 (i.e. 
national time-schedules, problems met) a nd actions of the Commission in the 
transposition context (i.e. bilateral meetings with Member States, etc); 
- Discussion on actions to be taken  by Member  States to implement the European Code 
of best practices facilitating access by SMEs to public procurement contract; 
- Implementation of Article 45 of Directiv e 2004/18/EC concerni ng the exclusion of 
bidders; 
- National recovery plans to overcome the economic crisis and measures simplifying 
national public procurement legal systems;  
- Electronic dimension of public procuremen t (i.e. actions in favour of SMEs, PEPOL 
project,…); 
- Information on various negotia tions with third countries wh ich contribute to reinforce 
the role of the European public procurem ent legislation (i.e. GPA negotiations)   
Bilaterally, package meetings are regularly held  with Member States to discuss the most 
pertinent issues of the application of proc urement law in the respective Member State.  In 
2009, 60% of infringement cases discussed during package meetings have been solved in a 
non-contentious way. 
b) Implementation of Ar ticle 30 of Directive 2004/17/ EC (specific exemptions) 
Article 30 of Directive 2004/17/EC provides that the Directiv e does not apply to contracts that 
are awarded for the pursuit of one of the covered activities if, in the Member State in which it 
is performed, the activity is directly exposed to  competition on markets to which access is not 
restricted. In other words, th e Directive does not apply if th ere has been a liberalisation 
resulting in such a level of co mpetition that the discipline of the Directive is no longer needed 
to ensure that procurement for the activity concerned will be carried out in a transparent, non-
discriminatory manner based on cr iteria allowing the cont racting entity to identify the solution 
which overall is the economically most advantageous one. This exemption will be applicable where the Commission, within short deadlines  of up to a maximum of six months, has 
EN 301   EN adopted a formal Decision esta blishing that the c onditions are met or in cases where the 
Commission has failed to do so within the applicable deadline. 
In 2009, 8 requests for exemption were submitte d to the Commission concerning electricity 
generation and sale in Spain, exploration for and extraction of oil and gas in the Netherlands 
and in England, Scotland and Wales, certain financ ial services in the financial sector in Italy 
and certain services in the postal sector in Austria (mainly parcel services). Commission 
Decision 2009/546/EC of 8 July 2009 exempted e xploration for and exploitation of oil and 
gas in the Netherlands381, the Spanish reque st for exemption was withdrawn382 and the 
examination of the 4 Italian applications wa s finalised383. Decisions concerning the U.K. and 
Austrian applications must be adopted, respectively, by 11.3.2010 and 16.4.2010 at the latest.   
(c) Enquiries, problems and complaints management 
Enquiries and complaints in the field of public  procurement have been increasingly treated 
within the new EU-Pilot system since its introduction in April 2008. As far as we can measure 
at present, there is a significantly higher use of EU Pilot in the field of procurement as in other 
areas. Public procurement EU-Pilot cases acco unted for 43% of all the EU-Pilot cases in 
internal market and services ar ea. In the public procurement se ctor, the EU-Pilot system has  
been used in a very proactive way with a resu lt of 90% of the EU-Pilot cases closed in 2009.  
A new complaint handling system, CHAP has b een introduced in Se ptember 2009. It is too 
early to assess its effectiveness, but it is expe cted to change the workflow of complaints and 
information requests both for complain ants and the Commission services.  
(d) Management of infringements 
In 2009, 258 public procurement infringement file s have been handled. Of these, 127 cases 
(49%) could be closed (same percentage comp ared to 2008); only 6 (approx. 2.3%) had to be 
referred to the ECJ (same per centage compared to 2008).  
(d) Petitions 
In 2009 the sector of public procurement r eceived 8 petitions concerning problems 
encountered in Spain (3),  Italy (2), Germany (1), Greece (1) and Romania (1). 
(e) New legislation 
                                                 
381 OJEU L 181 of 14.7.2009, p. 53. 382 See the relative notice publishe d in the OJEU C 237 of 2.10.2009, p. 29. 
383 See Commission Decision  2010/12/EU  of 5 January 2010 exempting certain financial 
services in the postal sector in Italy from the application of Directive 2004/17/EC of the 
European Parliament and of the Council coordinating the procurement procedures of entities operating in the water, energy, transport and pos tal services sectors, OJEU L 6 of 9.1.2010, p. 
8.  
EN 302   EN Following the presentation of the so-called "def ence package", a sector specific procurement 
Directive for defence and security has been adopted in July 2009 (Dir ective 2009/81/EC of 13 
July 2009). It should be implemented in Member States by 21 August 2011. 
A new Commission Regulation (EC) N° 1150/ 2009 of 10 November 200 9 (OJEU L 313/3 of 
28/11/2009) modifying the existing Re gulation on standard forms in order to take into account  
the "Remedies" Directive 2007/66/EC was adopted.  
Finally, the thresholds laid down in Directives 2004/17/EC and 2004/18/EC were modified by 
the adoption of Commission Regulation (EC) N° 1177/2009 of 30 November 2009.384 
(f) Preventive measures in relation to recently adopted new legislation 
Following the entry into force of Directive 2007/66/EC in December 2007, considerable time 
was still dedicated to the transposition of  this Directive in 2009. The Commission held 
numerous bilateral meetings with individua l Member States. Issues related to this 
transposition have been discussed at the ACPC throughout the year 2009. One particular 
aspect handled in 2009 was the elab oration of new/modified standa rd forms with a view to the 
Directive. 
With regard to the new Directive 2009/81/EC on  defence and sensitive security procurement, 
a transposition plan has been established and Member States have been invited to identify 
liaison contacts and inform the Commission on their planning and time frame for the 
transposition. The organisation of  the transposition phase has been discussed at the ACPC 
meeting in October 2009. Following that meeting, an expert group for the transposition of the 
Directive has been set up. 
9.2.4.2.  Evaluation based on the current position 
In 2009, the caseload of public procurement infringement cases could be reduced by an 
effective system of prioritisation of cases an d of speeding up the infringement procedures 
particularly for priority cases. The new EU -Pilot has also been used in cases where 
clarification was needed or where it was co nsidered possible to close the case before 
launching an infringement procedure. 
9.2.4.3.   Evaluation results 
1. Priorities 
− Ensuring smooth transposition of Directive 2009/81/EC in all Member States until the 
transposition dead line (21 August 2011).  
− Verification of the quality of the national transposition measures of the Remedies 
Directive 2007/66/EC. 
2. Planned actions (2010 and beyond) 
                                                 
384 OJEU of 1 December 2009, L314/64 
EN 303   EN − An Impact Assessment is presently being ca rried out on an initia tive on concessions. 
This task is expected to be completed by the end of the first half of 2010. A new 
initiative on concessions will depend on the results of this evaluation and could be presented in late autumn 2010. 
− Adoption of a Communication on Coherence between public procurement law and 
other policy objectives in the fields of e nvironment, social inclusion and innovation. 
The aim of this communication is to provi de public procurers with a comprehensive 
and coherent guidance across all policie s on how public procurement can be 
effectively used to attain other EU po licy objectives within the current legal 
framework. 
− Further prioritisation of cases and continue d reference of a considerable share of 
complaints to the EU-Pilot. This acti on depends on the level of cooperation of 
Member States and on the technical and ad ministrative improvements of the EU-Pilot 
following its revision throughout the year 2010. Thus, no specific estimations can 
currently be made. 
− Continued support and coordination of the transposition of Directive 2009/81/EC on 
defence and sensitive security procurement.  Within the framework of the expert group 
on transposition, workshops on specific issu es of the new Direct ive will be offered. 
Bilateral meetings with Member States on transposition related issues will also be organised. Moreover, the publication of guida nce notes on important issues of the new 
Directive is intended. 
- Monitoring of the phasing out of national measures  in the field of public procurement 
to overcome the economic crisis. As most of  these measures have been foreseen for 
the two-year period 2009-2010, this phasing out and the implemen tation of possible 
follow-up measures will be verified and discussed with the Member States in the second half of 2010. 
- An evaluation study has been commenced in  order to carry out an EU-wide overall 
evaluation of the impact of the procur ement policy with a strong practical and 
operational focus on implementation of key pr ovisions and experien ces of contracting 
authorities, economic operators and other stakeholders. The evaluation should be 
finalised by mid-2011 and it will form part of  the basis for a possible reform of the 
public procurement legislation.  
 List of acts 
http://ec.europa.eu/internal_marke t/publicprocurement/legislation_en.htm  
9.2.5.  Regulated professions (qualifications) 
9.2.5.1.  Current position 
(1) General introduction 
This sector deals with Member States' requirements for professi onal qualifications which lead 
to barriers to the free moveme nt of qualified professionals in the Single market. To alleviate 
EN 304   EN these barriers, Directive 2005/36/ EC of the European Parliame nt and of the Council on the 
recognition of professional qua lifications385 implements Artic les 45, 49 and 56 of the TFEU 
Treaty for all regulated professi ons. Beneficiaries are all EU citizens holding a professional 
qualification. For lawyers, additional specific rules have been laid down at EU level (Directive 77/249/EC on the free provision of se rvices of lawyers386 and Directive 98/5/EC 
on the freedom of establishment of lawyers387). 
(2) Report of work done in 2009 
The work carried out in 2009 concentrated on the transposition, implementation and 
accompanying measures to Directive 2005/36/EC w ith a view to enabling citizens to make 
use of the new rights offered by th e legislation (in particular the free provision of services and 
the mutual recognition under the so-called general system for cases which were previously 
only covered by the Treaty). The Commission also dealt with all kinds of difficulties reported by citizens when applying for recognition, such as undue delays in decision taking, compensatory measures required by the host Me mber State, negative decisions and requests 
for supplementary documentation, using all availa ble means and in particular the network of 
national coordinators for Directive 2005/36/EC , the EU PILOT and SOLVIT according to the 
nature of the problem, to find appropr iate and EU law compliant solutions. 
(a) Management of the acquis through committees and expert groups 
The Commission held 9 meetings of its expert group composed of the national coordinators 
responsible for the applicati on of Directive 2005/36/EC. In June 2009, the group adopted the 
Code of Good Conduct on the national admini strative practices fa lling under Directive 
2005/36/EC. The other main task has been to  examine the compliance with Directive 
2005/36/EC of new diplomas in architecture notif ied by Member States with a view to their 
insertion in the Annex to the Directive, granting the right to automatic recognition to the 
holders of these diplomas. In total, 30 diplomas were examin ed. This work has allowed the 
achievement of a good level of mutual trust between Member States avoiding subsequent 
problems of bad application. 
A network of Contact Points for Directive 2005/ 36/E, whose role is to inform and assist 
citizens, met once. 
In addition, the regulatory committee of Di rective 2005/36/EC met tw ice. and voted on a 
Commission regulation amendi ng Annex II to the Directive which was adopted by the 
Commission on 6 April 2009388. This is the third time an amendment to the Directive is 
introduced by a regulation avoiding transpositi on delays. These meetings also allowed for 
peer pressure to accelerate the transposit ion of Directive 2005/36/EC for which a large 
number of MS were late. 
                                                
 
385 OJ L 255, 30.9.2005, p. 22 386 OJ L 78, 26.3.1977, p. 17 387 OJ L 77, 14.3.1998, p. 36 388  Commission Regulation (E C) n° 279/2009, OJ L 93, 7.4.2009, p. 11 
EN 305   EN (b) Enquiries, problems and complaints management: 
Due to the large number of beneficiaries (all EU citizens holding a professional qualification 
and who wish to work in another MS even te mporarily), a la rge number of enquiries is 
received which do not necessarily reveal a proble m of application of EU law. In those cases 
the Commission refers citizens who wish to enqu ire about the situation in MS to the national 
contact points under Directive 2005/36/EC whose task it is to give all information about 
regulated professions in thei r territory but also about pr ocedural steps to be taken.. 
The new CHAP ("Complaints Handling – Accueil des Plaignants") database became 
operational as from 28 September 2009. Approxima tely 30 inquiries and 65 complaints from 
citizens have been registered in the new data base. As far as the complaints are concerned, 
roughly a quarter have already been closed.  
When enquiries reveal a potenti al problem of application of EU law, the Commission mostly 
refers citizens to the SOLVIT network and/or inserts their cases into the system with the 
citizen'sconsent. 15 % of the cases submitted to the SOLVIT network rela te to the recognition 
of professional qualifications, i.e. 220 cases out of 1540 cases submitted to SOLVIT. Out of 
these 220 cases, 166 were solved (7 5,45 %) (see SOLVIT 2009 report).  
In 2009, 19 cases were introduced in EU-PILOT. 
(c) Management of infringements 
The volume of complaints and infringements con cerning restrictions in  breach of Articles 45, 
49 and 56 of the FEU Treaty and the directives on the mutual recognition of professional qualifications which were dealt with, remain ed broadly stable in 2009. Approximately 100 
decisions (to proceed with or to clos e a case) were take n by the Commission. 
Concerning the infringement proceedings  opened  against Member States  for non-
communication of national implementing measures , the situation is the following:  
– For Directive 2006/100/EC providing for techni cal adaptations to the Directives on 
professional qualificati ons further to the accession of Bulgaria and Romania  to the 
European Union389, the Court of Justice held  that Portugal390 had failed to fulfil its 
obligations under this di rective. The Commission decided to  send a letter of formal notice 
under Article 260 of the FEU Treaty (ex-228 EC ) to Greece and Portugal, and a reasoned 
opinion under Article 228 of th e EC Treaty to Luxembourg.  
– For Directive 2005/36/EC on the recognition of profes sional qualifications 391, the Court 
of Justice held that Belgium392, Germany393, Greece394, France395, Luxembourg396, 
                                                
 
389 OJ L 363, 20.12.2006, p. 141 390  Judgment of 19.03.2009, Case C-245/08 Commission v. Portugal  
391 OJ L 255, 30.9.2005, p. 22 392  Judgment of 9.07.2009, Case C-469/08 Commission v. Belgium  
393  Judgment of 17.12.2009, Case C-505/08 Commission v.Germany  
EN 306   EN Austria397 and the United Kingdom398 had faile d to fulfil their ob ligations under this 
directive. The Commission also decided to se nd a letter of formal notice under Article 260 
of the FEU Treaty (ex-Article  228 EC) to Belgium, Greece, Luxembourg and the United 
Kingdom. The proceedings opened against Cypr us, Denmark, Estonia, Hungary, Ireland, 
Latvia, Lithuania, the Netherlands, Poland, Port ugal, Spain and Sweden could be closed as 
they have completed transposition. 
The infringements cases opened against Bulg aria, the Czech Republic, Hungary, Latvia, 
Lithuania, Malta, Poland, Romania, Slovakia and Slovenia because of the nationality 
condition for notaries  did not progress in 2009. This is due to the fact that almost all the 
Member States concerned intervened in 2009 to support the Member States already referred to 
the Court of Justice (Germany, Austria, Belg ium, France, Greece and Luxembourg). In these 
circumstances, it was considered necessary to examine and take into account all new 
arguments which might be brought forward by th ese Member States including at the hearing 
of the Court (which did not ta ke place in 2009) before movi ng to the next step in the 
concerned infringement proceedings. Estonia ha s abolished the condition of nationality but 
the Netherlands stopped the proces s of abolishing it waiting for the judgments of the Court. 
The Commission also decided to refer Portugal to the Court on the same issue, because even 
though Portugal formally abolished the nationality condition previo usly in force for notaries, 
this condition thereafter a ppeared to still be applied. 
Concerning the measures taken by Greece to comp ly with the judgment of the Court of 21 
April 2005399 regarding Greek legislation on the ownership, opening and operation of 
opticians' shops  by companies, by judgment under Arti cle 260 TFEU (ex-Article 228 EC) of 
4 June 2009 in Case C-568/07 Commission v. Greece , the Court held that  by failing to take, 
by the date on which the time-limit set in th e reasoned opinion issued by the Commission 
expired, all the measures necessary to comply with the judgment of 21 April 2005 in Case C-
140/03 Commission v Greece , Greece had failed to fulfil its obligations under ex-Article 
228(1) EC, and condemned Greece to pay a lump sum of EUR 1 million. 
In addition, under Article 260 TFEU (ex-articl e 228 EC), the Commission decided to send 
letters of formal notice and then reasoned opinions to Greece for non-execution of the judgments of the Court of Justi ce in cases C-274/ 05 regarding the recognition of professional 
qualifications of engineers . and C-84/07 regarding the recognition of professional 
qualifications of opticians . In particular, in both cases, Greece still refuses to recognise 
diplomas awarded by competent authorities of other Member States under franchise 
agreements. Consequently, holders of such diplomas are still unable to practise their 
profession in Greece. 
                                                                                                                                                        
 
394  Judgment of 2.07.2009, Case C-465/08 Commission v. Greece  
395  Judgment of1.10.2009, Case C-468/08 Commission v. France  
396  Judgment of 2.07.2009, Case C-567/08 Commission v. Luxembourg  
397  Judgment of 24.09.2009, Case C-477/09 Commission v. Austria  
398  Judgment of 9.07.2009, Case C-556/08 Commission v. United Kingdom  
399  Judgment of 21.04.2005, Case C-140/03 Commission v. Greece  
EN 307   EN As concerns the two judgments of the Court re ferred to in the previous report (judgment in 
case C-456/05 Commission v. Germany  regarding transitional provisions for 
psychotherapists 400  and judgment in case C-39/07 Commission v. Spain  regarding 
recognition of professi onal qualifications of hospital pharmacists401 ), the Commission 
decided to close the corresponding infringement proceedings due to the EU adoption of EU 
law compliant measures by the Member States concerned. 
(d) Petitions 
In 2009, 17 petitions have been dealt with. Thes e petitions in essence reflected the issues 
raised in enquiries and complaints which the Commission receives.  Most cases concern 
complex individual situations. 
(e) Preventive measures being taken in rela tion to recently adopted new legislation-
conformity assessment of national trans position, transposition package meetings, 
development of guidelines, initiation of networki ng systems to manage the new legislation, etc 
In order to monitor the appropriate and smooth application of this Directive, the Code of 
Good Conduct which specifies the good national administrati ve practices competent 
authorities should follow when processing applications, was adopted by the Group of 
Coordinators of Directive 2005/36/EC. 
To enable citizens to make better use of the Directive, the Commission also published a 
"User’s Guide" in which 66 questions and 66 re sponses are given depending on the individual 
situation a professional might be confronted with in terms of the recognition of his/her 
qualification when moving to another Member St ate. For instance, the guide explains to 
citizens how they can benefit from the Directiv e when they want to work temporarily in 
another Member State. 
To ensure legal certainty for professions benefiting from automatic recognition, whose 
corresponding national titles are listed in Annex V to Directive 2005/36/EC, the Commission 
published twice402 the new titles and changes to existing titles notified by Member States on 
the basis of Article 21 (7) of Directive 200 5/36/EC. These publications facilitate free 
movement as they give the right to the holders of the qualifications concerned to benefit from 
automatic recognition. 
The Commission also published403 a new list of the associations or organisations notified by 
the Member States (Annex I of Directive 200 5/26/EC). As the prof ession practised by the 
members of an association or or ganisation listed in this Annex shall be treated as a regulated 
profession, this allows the prof essionals concerned to benefit from the Directive when moving 
to another Member State where the profession concerned is regulated. 
                                                 
400 Judgment of 6.12.2007, Case C-456/05 Commission v. Germany  
401 Judgment of 8 May 2008, Case C-39/07 Commission v. Spain  
402 Communication of 19 May 2009, OJ C 114  of 19.5.2009, p. 1 and Communication of 
19 November 2009, OJ C 279, p. 1 
403  Communication of 15 May 2009, OJ C 111, p. 1 
EN 308   EN 9.2.5.2.  Evaluation based on the current position 
Directive 2005/36/EC had to be transposed by Member States by 20.10.2007. The number of 
Member States which had completed trans position has risen from 9 Member States on 
31.12.2008 to 20 Member States on 31.12.2009. For Di rective 2006/100/EC, which had to be 
transposed by 1.01.2007, 3 Member States still had not completed transposition on 31.12.2009. However, and as indicated in the previous  report, due to the fact that Directive 
2005/36/EC replaced 15 directives while maintain ing their basic mechanisms of recognition, 
the non-transposition in due time by all Member States did no t have a major negative impact 
on free movement and free establishment. In th e large majority of cases, recognition of 
qualifications still took place on the basis of the national impl ementing measures adopted on 
the basis of the now repealed directives. The Commission intends publishing a report about 
the implementation of the Directive in the course of 2010. 
Due to the non-communication proceedings, the an alysis of the national measures transposing 
Directive 2005/36/EC in order to  assess their conformity with Community law only started in 
2009. Therefore it was not possible to publish th e first evaluation report announced for the 
end of 2009 in the previous report . However the Commission published a scoreboard in 
December 2009  offering an overview of where Member States stand in implementing 
Directive 2005/36/EC into national law. As stressed in the previous report, the main challenge 
related to this directive is represented by the enormous number of na tional measures needed 
to transpose it (hundreds of texts). By the end of 2009, around 1050 measures had been 
notified. 
The IMI system plays a key role  in the smooth implementation of the Directive. It allows 
competent authorities from the host and home MS to exchange information linked with an application for recognition where doubts are raised  in relation to the pr ofessional. Initially 
used for four professions during a pilot phase, the system was extended in 2008 in order to 
cover further seven professions including the main health professions. In 2009, twenty 
professions from the craft, industrial and comm ercial sector were introduced in the system. 
The number of requests sent through IMI rose  considerably from 375 requests in 2008 to 1404 
requests in 2009 (=370 % increase). 
9.2.5.3.  Evaluation results 
(1) Priorities  
As long as not all MS have achie ved transposition there still will  be the need to  put pressure 
on them to complete their work. For some Me mber States, due to th eir structure, around 100 
texts needed to be adopted.  
As indicated in the previous report, the followi ng are being identified as key issues: the new 
regime for providing services for professions falling under the general system of recognition 
because there was no specific regime for the pr ovision of services for all the professions 
falling under the previous Directives 89/48/EE C and 92/51/EEC on the general system; the 
subsidiary application of the general regime, wh ich did not exist either (recognition then fell 
under the Treaty) as well as principle questions  under the Treaty such as partial access to a 
given profession. 
(2) Planned action (2010 and beyond) 
Directive 2005/36/EC is expected to be transposed by all Member States by mid 2010. 
EN 309   EN The main priority in this area, after the closure of all non-communication infringement 
proceedings, remains the analysis of the national measures  transposing Directive 2005/36/EC 
in order to assess their conformity with Co mmunity law. A complete translation of the 
notified texts is the first step, which may take some time in view of the enormous number of 
national measures needing to be transposed (see above). A first ev aluation of the transposition 
in Member States' regulations should be available in Summer 2010. 
Work will also be continued in order to overc ome difficulties encountered by a significant 
number of nurses from Bulgaria and Romani a in particular, who should be recognised under 
the general system as they do not fulfil the co nditions to enjoy automa tic recognition (see 
above, "subsidiary application of the general system"). Howe ver these nurses cannot undergo 
the compensatory measures (i.e. adaptation peri od) which are being requ ired, as no posts are 
offered in the host Member Stat e, which should organize them. 
9.2.5.4.  Summary by sector 
 Transposition of Directive 2005/36/EC has b een completed in most Member States. The 
Commission intends therefore focusing on how Member States have implemented the 
Directive into their national re gulations. A Code of Conduct agreed with Member States in 
June 2009 should facilitate the implementation for citizens. Citizens also received user-
friendly guidance via a so-called "User's Guide" published in December 2009. The key challenges for the Commission will be first to en sure that Member States accurately transpose 
the Directive and second to evaluate how th e Directive works and whether it delivers the 
effects compared to the objectiv e of simplification. The evaluati on could also take account of 
swiftly changing conditions, such as labour market, public health and others. 
9.2.6.  The business environment 
COMPANY LAW, CORPORATE GOVERNANCE AND ANTI-MONEY 
LAUNDERING  
9.2.6.1.  Current position 
(1) General introduction 
In the field of company law and anti-money la undering the transposition deadline has recently 
passed in case of eight Directives: Di rectives 2004/109/EC, 2005/56/EC, 2005/60/EC, 
2006/70/EC, 2007/14/EC, 2006/68/EC 2007/36/EC and 2007/63/EC. Directives concerned are 
aimed at ensuring the stability and reputation of the financial sector  (Anti-Money Laundering 
Directives, Directives 2005/60/ EC and 2006/70/EC), harmonizing transparency requirements 
in regulated markets (Direc tives 2004/109/EC and 2007/14/EC), ensure shareholders' rights 
(Directive 2007/36/EC) and facilit ate cross border mergers as well as easing administrative 
burden of companies by simplifying the cu rrent acquis (Direct ives 2006/68/EC and 
2007/63/EC). Taking into account the importance a nd impact of the acqui s in the concerned 
field, the Commission established an Action Plan  in 2008 to reduce transposition deficit and 
complete conformity assessments in the fiel d of company law and anti-money laundering.  
(2) Report of work done in 2009 
EN 310   EN In the absence of national transposition meas ures, more than 140404 infringement procedures 
were handled by the end of 2009, but monitori ng the transposition measures have required 
particular efforts as well. Considering that the lack of concordance tables and the fact that 
assessment of long and comprehensive nati onal instruments (for example Civil and 
Commercial Codes) have significant implica tions in terms of resources, the Commission 
outsourced first phase of conformity assessments  in the course of 2009 (translation of national 
transposition measures and prep aration of concordance tables).  Within the frameworks of a 
pilot project, conformity assessment of a high volume of national transposition measures will be concluded during the first ha lf of 2010 as a first step.  
As mentioned above, an Action Plan had been established in 2008 in the field of company 
law, and anti-money laundering on the basis of  which the Commission continued to apply a 
number of complementary measures in 2009 in  order to reduce transposition deficit and 
conclude conformity assessments.  The Commission put particular emphasis on 
straightforward management of infringement cases  and identified priorities such as to ensure 
compliance with judgments of the European Co urt of Justice. The Commission continued to 
publish scoreboards on state of play of transpos ition and package meetings were used to raise 
the issue of transposition. It also kept up pr essure on Member States through meetings of 
committees and national expert groups, in pa rticular the Company Law Experts' Group and 
the Committee on the Prevention of Money Lau ndering by requesting delegations to justify 
their bad transposition record. Through the rigorous action and comprehensive range of 
initiatives taken by F2 in accordance with the Action Plan, noteworthy progress has been 
achieved: the transposition of four Directives 405 have been completed in the course of 2009. 
The Court of Justice issued  11 Court rulings for the un it's non-communica tion cases in 
2009406. As infringement procedures based on Ar ticle 260 TFEU (ex-Article 228 EC) aim at 
ensuring compliance with Court rulings, these cases have been treated as  a priority  and 
followed-up closely by the Commission. At th e beginning of 2009, all concerned Member 
States received letters of  formal notice in compliance with Article 260 TFEU.  
Letters of formal notice were sent to Member States immediately after the transposition 
deadline of Directive 2007/36/EC expired on  3 August 2009. Despite the efforts of the 
Commission in terms of application of a wide  range of preventive measures (transposition 
workshop, identification and close contact with na tional contact points, t echnical assistance at 
committee and experts' meetings) twenty new infringement cases were opened for non 
communication of national measures in 2009. It s hould be underlined that at the beginning of 
2010, twelve reasoned opinions have been addre ssed to Member States in compliance with 
the new rules of the Lisbon Treaty.  
As regards external submissions in the file d of company law and anti-money laundering the 
number of enquiries, petitions, complaints has not been increased and a limited number of infringement procedures have been opened on the basis of non-compliance with EC acquis.  
                                                
 
404 in the field of company law and anti-mone y laundering only 0.7% of  the cases were non-
conformity cases 
405 Directive 2004/109/EC, Directive 2005/56/EC , Directive 2006/68EC and Directive 
2007/14/EC 
406  
EN 311   EN (3) Changes underway  
One new Directive and two codification Di rectives have been adopted in 2009: 
Directive 2009/109/EC  of the European Parliament and of the Council of 16 September 2009 
amending Council Directives 77/91/EEC, 78/855/EEC and 82/891/EEC, and Directive 
2005/56/EC as regards reporting and documentation requirements in the case of mergers and 
division 
Directive 2009/101/EC  of the European Parliament and of the Council of 16 September 2009 
on coordination of safeguards which, for the pr otection of the interest s of members and third 
parties, are required by Member States of companies within the meaning of the second 
paragraph of Article 48 of th e Treaty, with a view to maki ng such safeguards equivalent 
(Before 21 October 2009: First Council Directive 68/151/EEC  of 9 March 1968 on co-
ordination of safeguards which, for the protection of the interests of members and others, are 
required by Member States of companies with in the meaning of the second paragraph of 
Article 58 of the Treaty, with  a view to making such safegua rds equivalent throughout the 
Community) 
Directive 2009/102/EC  of the European Parliament and of the Council of 16 September 2009 
in the area of company law on single-mem ber private limited liability companies ( Before 21 
October 2009:  Twelfth Council Company Law Directive 89/667/EEC  of 21 December 
1989 on single-member private limited-liability companies)  
As regards other proposals pe nding in the course of 2009, the Simplification of the 1st and 11th 
Company Law Directives has been  blocked since March, while th e proposal for the Statute of 
a European Private Company, adopted on 25 June 2008, has been blocked since December 2009. The new Commission will decide on any eventual steps to be taken in relation to these 
proposals.  
9.2.6.2.  Evaluation based on the current position 
Through the rigorous action and comprehensive ra nge of initiatives taken by the Commission 
in accordance with the Action Plan, very positive results have been achieved and the 
transposition of four Directives407 could be completed in 2009. By the end of 2009, 84 % of 
infringements in the filed of company law a nd anti-money laundering have been closed and 
all cases in relation to which the transposition dead line expired before 2009 were referred to 
the Court.  
The most significant success in 2009 was the co mpletion of national tr ansposition of four 
Directives. Implementing the Cros s-Border Mergers Directive408
 is an important step 
                                                 
407 Directive 2004/109/EC, Directive 2005/56/EC , Directive 2006/68EC and Directive 
2007/14/EC 
 408 Directive 2005/56/EC  
EN 312   EN forward as delays in transposition could have  had a direct effect on companies of Member 
States which transposed the Directive on time , but wished to merge with companies of a 
Member State in delay. In addition, a late transposition of the Transparency Directives409  
could have jeopardized the effective protection of investors, weaken investor confidence and 
create barriers to cross-border investment. Moreove r, in the context of the financial crisis, full 
transposition of the simplific ation of the Second Company La w Directive410 was crucial in 
terms of facilitating the raising of capital, th e restructuring of capita l ownership in public 
limited liability companies and ensuring harmonised safeguards for protection of creditors and minority shareholders. 
In relation to the completion of the national transposition of several Directives in the field of 
company law, the Commission drew up conclusions on the effectiveness of measures taken on 
the basis of the Action Plan. The analysis of th e transposition procedur e concluded that there 
might be a systemic problem in some Member  States which are consistently late with 
implementation. From our experience, these are Spain,  Belgium and France411 , and to some 
degree Luxembourg , Portugal,  Sweden, Ireland and Greece412 . We have kept and will 
keep up the pressure on them, but there were still serious concerns in 2009 for 2 Member States in particular. Belgium413 is still late with the transpos ition of four Directives, while 
Spain414 is still due to trans pose three Directives. The s ituation can be  potentially 
problematic in the case of France415, Greece416 and Ireland417, which are late with the 
                                                
 
409 Directive 2004/109/EC and Directive 2007/14/EC  410 Directive 2006/68/EC 411 In 2008, Spain  was late with the transposition of  the Cross-border mergers Directive 
(2005/56/EC), the modifications to the 2
nd CL Directive (2006/68/EC ) and the modifications 
to the 3rd and 6th CL Directives (2007/63/EC),  as well as with the transposition of the two 
Anti-MoneyLaundering Directives (Directives  2005/60/EC and 2006/70/EC). Also in 2008, 
Belgium  was late with the transposition of Directives 2005/56/EC, 2007/63/EC and the two 
AMLD, and France  was late with the transposition of the Transparency Directive 
(2007/14/EC) and the two AMLD.  
412 In 2008 Luxembourg  and Portugal  were late with the transposition of Directives 
2005/56/EC, 2006/68/EC and 2007/63/EC. Also in 2008 Sweden  was late with the 
transposition of Directive 2005/56/EC and the two AMLD. Currently, these three Member 
States are late with the transpositio n of Directive 2007/36/EC. For its part, Ireland  is still late 
with the transposition of the two AMLD and Greece  with the transposition of Directives 
2007/63/EC and 2007/36/EC. 
413 Anti-Money Laundering, Shareholder’s rights and Simplification Directive (Directives 
2005/60/EC, 2006/70/EC 2007/36/EC and 2007/63/EC) 
414AntiMoney Laundering and Shareholders’ ri ghts Directives (Directives 2005/56/EC, 
2005/60/EC, 2006/70/EC, ) 
415 Anti-money Laundering  and Shareholders’ ri ghts Directives (Directives 2005/60/EC and 
2007/36/EC) 
EN 313   EN transposition of two Directives each. But as Cyprus , Hungary, Italy, Luxembourg, the 
Netherlands, Portugal and Sweden have not ye t transposed Directive 2007/36/EC, there are 
only fifteen Member States wh ich have no transposition defic it anymore at this stage.  
The highest transposition defi cit can be identified in the case of the Anti-Money Laundering 
Directives (three Member States are late with the transposition of both Directives) and the 
Directive on Shareholders' Right s (11 Member States are late).  It should, however, be noted 
that the transposition deficit was reduced subs tantially in the course of 2009 and almost 60 % 
of the currently pending cases were open in September 2009 for the purpose the Shareholders' 
Rights Directive. In this regard, the Commi ssion accelerated the procedure and sent reasoned 
opinions to the defaulting Member States in February 2010. Member States will be referred to the Court before summer 2010 in accordance w ith Article 258 TFEU. Nevertheless, a late 
transposition of the Anti-Mone y Laundering Directives is part icularly problematic since it 
may jeopardize the fight against money launderi ng and terrorist financ ing as well as the 
stability and reputation of the financial sect or and the single market. Moreover, delayed 
implementation might create difficulties for the ba nking sector in terms of costs related to the 
different rules in force in Member States.  
In the field of company law the Shareholder' s Rights Directive aims at introducing minimum 
standards to ensure that shar eholders of companies whose sh ares are traded on a regulated 
market have a timely access to the relevant in formation ahead of the general meeting (GM) 
and simple means to vote at a distance. It also abolishes share blocking and introduces 
minimum standards for the rights to ask ques tions, put items on the GM agenda and table 
resolutions. Late transposition might jeopardize the objective to enable shareholders of listed 
companies throughout the European Union to ex ercise their rights and have their say by 
introducing minimum standards. 
9.2.6.3.  Evaluation results 
a. Priorities Priorities in the field of company law and m oney laundering will not change substantially in 
2010. The Commission will endeavour  to reduce further transpos ition deficit, keep up 
pressure on Member States to ensure complia nce with Court rulings , follow up closely non-
communication cases and complete conformity as sessment of national tr ansposition measures. 
A particular emphasis will be put on the tran sposition deficit in the field of Anti-Money 
Laundering as all judgements issued by the Court in the field of company law and anti-money 
laundering relating to Directive 2005/ 60/EC and Directive 2006/70/EC.  
b. Planned actions In the field of company law and anti-mon ey laundering, the first phase conformity 
assessments already outsourced in  2009 will be completed. Remaining conformity checks will 
                                                                                                                                                        
 
416 Simplification of the Third and Sixth Comp any Lax Directives and Shareholders’ rights 
Directives (Directives 2007/36/EC and 2007/63/EC) 
417 Anti-money laundering Directiv es 2005/60/EC and 2006/70/EC 
EN 314   EN be continued in the course of  2010 requiring efficient management  of facilities provided by 
DGT and external contra ctors, if necessary.  
As complementary instruments included in the Action Plan resulted to be effective in 
reducing the transposition deficit in the fiel d of company law and anti-money laundering, they 
will continued to be applied. A particular emphasis will be placed on the management of infringement procedures based on Article 260 TFEU  in order to ensure compliance with Court 
rulings. According to the provisions  of the Treaty, letters of fo rmal notice were sent in all 
relevant cases at the beginning of 2009, and Memb er States concerned will be referred to the 
Court as soon as the deadline expired. Con cerning non-communication cases, Member States 
will be requested to provide detailed informa tion on the state of play of transposition at 
relevant committee and experts' meetings. A scor eboard in the field of company law and anti-
money laundering will be published every month and as re quired, package meetings, press 
releases and political pressure  will be used as well.  
In the case of Directive 2007/36/EC, reasoned opi nions in accordance with the provisions of 
Article 258 TFEU were addressed to the defau lting Member States at  the beginning of 2010. 
The Commission will refer the cases to the C ourt as soon as possible proposing to impose a 
fine as envisaged by the Lisbon Treaty. In gene ral, in the field of company law and anti-
money laundering the Commission is committed to make use of the accelerated procedure 
envisaged for non-communication cases (Article  258 TFEU) and in cases where a Court of 
Justice ruling alre ady exists (Article 260 TFEU).  
9.2.6.4.  Summary by sector 
In the field of company law and anti-money laundering, the focus remained on reducing the 
transposition deficit, and ensu ring compliance with Court ruli ngs and complete conformity 
assessment of national measures will also be treated as priority. The Action Plan established in 2008 has brought very positive results , therefor e actions and instruments identified in it 
will be applied in 2010 as well with a view to reduce further transposition deficit and 
complete conformity assessments. In order to overcome the remaining difficulties related to 
conformity checks, risk-based assessments w ill be continued and first phase conformity 
checks will be outsourced, if needed. Infringeme nts will be followed up strictly and political 
pressure will be kept up on Member Stat es which are late with transposition. 
AUDITING –STATUTORY AUDITS 
9.2.6.5.  Current position  
(1) Report  on 2009 
In the field of auditing, the Commission worked  on preparing a correct implementation of the 
Directive 2006/43/EC418 on statutory audits of a nnual accounts and consolidated accounts of 
17 May 2006 ("the Directive"). The transposit ion deadline was 29 June 2008. The preparation 
of a correct implementation of  the Directive was mainly done  by discussing potential 
problems that might arise from the transposition of the Directive at the meetings of the Audit 
Regulatory Committee.  
                                                
 
418 OJ L 157, 9.6.2006, p.87. 
EN 315   EN Member States were alerted on a regular ba sis at the meetings of  the Audit Regulatory 
Committee of the need to transpose the Directive. Since 1 July 2008, a transposition scoreboard was drafted and has been update d regularly and publis hed on the Commission's 
website.  
In 2008, the Commission sent sixtee n reasoned opinions to the Me mber States that failed to 
communicate their transposition measures for th e Directive 2006/43/EC. F our Member States 
communicated their transposition measures in 2008, so the infri ngement cases in their respect 
have been closed in 2008. In  2009, amongst the sixteen Member  States to which reasoned 
opinions were sent the previous year, six of them, namely Cyprus, Czech Republic, Germany, 
Poland, Sweden and United Kingdom-in respect  of Gibraltar- have communicated their 
national transposition measures . Consequently, the infringement  cases against Cyprus, Czech 
Republic, Germany, Poland, Sweden and United Ki ngdom-in respect of Gibraltar- have been 
closed in 2009. Six other Member States, namely  Austria, Estonia, Ireland, Italy, Spain and 
Luxemburg (the decision to send Luxembourg befo re the Court of Justice was decided with 3 
months délai d'exécution  expiring on 20 February 2010) have been referred to the Court of 
Justice for non communication of the transposit ion measures for the Directive 2006/43/EC.  
In 2009, the Commission Services started to ch eck the transposition measures communicated 
by the Member States. In the cases where clarificat ions were needed in or der to have a better 
view on how some of the Directive's provisions have been transposed in the Member States, 
the Commission Services sent admi nistrative letters to the mini stries responsible to request 
additional information. Fifteen such administra tive letters have been sent to the Member 
States. In some cases, bilateral meetings have been organized to discuss the transposition of 
the Directive. 
To facilitate the establishment of auditor public oversight bodies in  Member States, as 
required by the Statutory Audit Directive, and to  help the existing ones become operational 
the group of national experts "European Grou p of Auditors' Oversi ght Bodies" (EGAOB) 
continued its work on exchanging good practices on the establishment of those systems. Three 
meetings were organized in 2009.  
Within the EGAOB, the Sub-group on Co operation which became the Sub-group on 
Cooperation on Third Countries, held six meeti ngs in 2008. At the meetings held in 2009, 
issues related to the transpos ition of Articles 45, 46 and 47 of the Directive 2006/43/EC in 
Member States were discussed as well as implementing measures to be adopted by the Commission under Article 47 of the Directive. 
Another sub-group established within the EG AOB, the Sub-group on Intra-EU Cooperation 
held five meetings in 2009. The issues discusse d at the meeting of this sub-group related to 
the practical implementation of some articles of the Directive 2006/43/EC. 
(2) Changes underway (2010-2011) 
In the area of statutory audit, in 2009, the Commission Services tabled a draft decision to 
allow a good implementation of the provisions of  Article 47 (1) of the Directive 2006/43/EC. 
Article 47 (1) of the Directive requires the Commission to assess the adequacy of the third country auditor oversight compet ent authorities that wish to  cooperate with the Member 
States' auditor public oversight authorities on  the exchange of audi t working papers, in 
cooperation with the Member States. The adequacy  refers to the capacity of the third country 
competent authorities to fulfil the criteria set out in Article 47 (1) of the Directive. The 
EN 316   EN Member States voted, via a written procedure, in  favour of a draft decision which proposes to 
recognize as adequate under Article 47 (1) of the Directive the compet ent authorities from 
Canada, Japan and Switzerland. As the Europe an Parliament made no objections on the 
proposal, the draft decision wi ll be proposed for formal adoption by the Commission end 
January 2010. Therefore, we expect this deci sion to be adopted durin g the first week of 
February 2010. A similar decision based on Arti cle 47 of the Directiv e might be follow with 
respect to other third country auditor oversight authorities. 
In 2010/2011, the Commission might also use the comitology powers conferred on it by 
Article 46 of the Directive 2006 /43/EC to assess the equivale nce of third country auditor 
oversight, external quality assurance, investig ations and penalties systems. Such decision 
would concern the audit oversight systems from some/all of the third countries to which the 
Commission granted a transitional period fo r audit activities in 2008 by the Commission 
Decision 2008/627/EC concerning a transitional period for audit activities of certain third 
country auditors and audit firms419. If the Co mmission recognizes th e auditor oversight 
system of a third country as equivalent to th e Member States' audit oversight systems, the 
auditors and audit firms from the third country  concerned will be allowed to carry out audit 
activities in the Member States without being subject to the external quality  assurance, 
investigations and penalties sy stems of the Member States wh ere such activities would be 
performed.  
9.2.6.6.  Evaluation based on current position 
The transposition deadline for the Directive 2006/43/EC was 29 June 2008.  The obligation 
for Member States to establish independent competent authorities to ensure a public oversight, 
external quality assurance, investigations and pe nalties of statutory auditors and audit firms 
raised a high number of issues in many Memb er States and slowed down the transposition 
process. 
However, the work carried out by the Co mmission to prepare a timely and correct 
transposition of the Di rective gave results, as amongst th e sixteen the Member States which 
did not transpose the Direct ive in 2008, ten Member States  did so in 2009. Moreover, 
amongst the remaining six Member States that did not transpose the Di rective in 2009, five 
Member States committed to do so in 2010.  In 2009, only one Member State has not yet 
established an auditor public oversight body. Twenty six Member States have already 
established public oversight bodi es and most of these authorities became operational in 2009. 
a) Priorities 
The main priority concerns efficient co-operatio n with the Member States to ensure that the 
six Member States which have not yet transposed the Directive 2006/43/EC will fully transpose it in 2010/2011.   
Member States will be regularly alerted dur ing the Audit Regulatory Committee meetings on 
the importance of transposing the Statutory Audit Directive especially in the current context of financial crisis. Member States will cont inue to be invited to provide updates on the 
transposition process of the Di rective on a regular basis.  
                                                
 
419  OJ L 202, 31.7.2009, p. 70. 
EN 317   EN Another priority is to ensure that auditor pub lic oversight bodies pursuan t to the Directive are 
operational in the Member States an d cooperate with each other.  
b) Planned action 
For the Member States that communicated th eir transposition measures to the Commission, 
the Commission will determine the list of Memb er States for which infringement cases for 
bad transposition of Directive 2006/43/EC will be  initiated before the Court of Justice in 
April/May 2010. 
Regarding the conformity check in  respect of the laws that Member States communicated into 
their national languages, this de pends on the availability of tran slations. At this stage, we 
estimate the translation needs at  about two hundred pages for five  languages. For four of these 
languages we have been provided with conc ordance tables. Where necessary, bilateral 
meetings will be organized with the Member States to discuss the transposition process. Also, it will be examined whether the Member States  have set up auditor public oversight bodies 
according to the Directive and that these bodies are operational. 
The transposition scoreboard will continue to be updated regularly and to be published on the 
Commission website. 
The expert group "European Group of Auditors ' Oversight Bodies" (EGAOB) and the existing 
subgroups will also continue their work on fac ilitating co-operation between public oversight 
bodies established by the Member Stat es pursuant to Directive 2006/43/EC. 
ACCOUNTING 
9.2.6.7.  Current position –  
(1) report on 2009 
In the field of accounting
, 9 Directives were in force in 2009. Two of th em have not yet been 
transposed in all Member States: the trans position deadline of Dir ective 2006/46/EC expired 
on 5 September 2008, whereas the Directive 2009/49/EC will have  to be transposed by 1 
January 2011 at the latest. The Commission services control the application of the relevant 
Community law by the means of in fringement procedures and di scussions in meetings with 
the Member States.  
The majority of infringement cases and the petitions received stem from the non-
communication/non-adoption of national transpos ing measures. In December 2008 and July 
2009, the Commission sent Letters of Formal Notic e to 16 Member States on the basis of not 
having communicated the full transposition of Directive 2006/46. The Commission services 
have been keeping the pressure on Member St ates for encouraging the swift transposition 
mainly via the Accounting Regulatory Committee. As a result, by January 2010, 12 cases could be closed. Thus, as expected, the transpos ition deficit has been considerably reduced in 
the course of 2009. The remaining cases have been  referred to the Cour t and full transposition 
is expected to be achieved in the near future.  
Already three Member States communicated th e full transposition of Directive 2009/49, even 
though the transposition deadline expires one year late r. As an early warning measure, the 
Commission services intend to remind Member Stat es of the deadline in the regular meeting 
of the Accounting Regulatory Committee.  
EN 318   EN (2) Changes underway 
In February 2009 the Commission adopted an add itional simplification proposal to amend the 
4th Company Law Directive establishing a Member  State option to relie ve so-called micro 
entities from the obligation to prepare annual accounts. This proposal is being discussed by the European Parliament and the Council. Cu rrently, the Commission services are working on 
a larger simplification and modern isation proposal to review the 4
th and 7th Company Law 
Directives which is expected to be adopted by the Commission in 2011. 
9.2.6.8.  Evaluation 
At the beginning of 2009, the transposition defic it in the accounting field initially appeared 
rather high compared to ot her areas in DG MARKT's competence based on the number of 
infringement cases pursued and the number of Di rectives in the field. However, this deficit 
has been reduced significantly in  the course of the year. The delay in transposition was not 
due to political difficulties but rather to administrative delays in the Member States' 
legislative procedures. 
a) Priorities  
The main priority in the field of accounting remains to ensure the timely transposition of 
adopted Directives. Furthermore, as mentione d above, the Services are working on a general 
comprehensive overhaul of the accounting acquis (4th and 7th Company Law Directives). 
b) Planned actions  
In the case of the Directives whose transpos ition deadline e xpired, the Commission Services 
are closely monitoring the transposition status of the Community Law by pursuing infringement cases. In the case of newly adopt ed Directives, the Commission services will 
continue to use complementary measures such as possible transposition workshops, bilateral 
meetings and discussions within the Accounting Regulatory Committee. 
As regards the planned overhaul of the 4
th and 7th Company Law Directives, the Commission 
services are pursuing a public consultation, meetings with stakeholders, targeted 
questionnaires, an external study aimed at eval uation of the cost burde n reduction potential of 
certain proposed simplification measures, in orde r to be able to present the amending proposal 
accompanied by a corresponding Impact Assessment.  
9.2.7.  Protection of rights 
9.2.7.1.  Current position –  
(1) Report on 2009 
Copyright and related rights  
The Commission proposal to extend the term of protection of performers and record 
producers420 enjoyed a successful vote (377 vs 178)  in the European Parliament on 23 April 
                                                 
420 COM 2008/464 final, 16 July 2008 
EN 319   EN 2009. The main difference with the original Commission proposal is that the term of 
extension has been reduced from 95 to 70 year s. The proposal text, as voted upon by the 
European Parliament, is still being considered by Member States in the first reading procedure.  
As a follow on from the 2008 Green Paper on "Copyright in the Knowledge Economy"421, 
the Commission published an eponymous Communication on 19 Oc tober 2009422. After 
examining the main findings of the consultation  the Commission identifies two priority areas 
for further action: the digiti sation of orphan works and out -of-print books and access to 
knowledge for persons with disabilities. Action w ill be taken to facilitate the digitisation of 
orphan books (books whose authors cannot be c ontacted) while a stakeholder dialogue will 
seek consensus on increasing access to know ledge in favour of disabled persons.  
The Commission also decided to voice no opposition to Member States extending a 
derogation allowing them not to apply the so-calle d artists' resale right to heirs of deceased 
artists. The derogation will now expire by 1 January 2012. 
Trademarks and designs 
 
The Commission adopted on 31 March 2009 Commission Regulation (EC) No 355/2009 
amending Regulation (EC) No 2869/95 on the fees payable to the Office for Harmonization in the Internal Market (Trade Marks a nd Designs) and Regulation (EC) No 2868/95 
implementing Council Regulation (EC) No 40/94 on the Community trade mark. These 
legislative changes to the trade mark acquis im plied a substantial (40%) reduction of the fees 
for obtaining a Community trade mark and a si gnificant simplification of the registration 
process by abolishing th e registration fee. 
Moreover, on 22 July 2009 the Commission pub lished a call for tender for a study on the 
overall functioning of the trade mark system in  Europe. The aim of this study is to identify 
potential areas for improvement, streamlining and future development of this overall system 
covering both Community and national level. The results shall provide the basis for the future 
review of both the Community Trade Mark Re gulation and the Trade Mark Directive. The 
contract for the Study was awarded to the Max Planck Institute for Intellectual Property, 
Competition and Tax Law on 16 October 2009. Th e final report is due by end of October 
2010.  
As regards patents the Comm ission adopted on 20 March 2009 a Recommendation to the 
Council (SEC (2009) 330 final) aimed at author ising the Commission to open negotiations for 
the adoption of an Agreement creating a Unified Patent Litigation System. The Recommendation set out the next steps for the creation of a mixed agreement on the creation 
of a common patent Court and enabled the Council on 28 May 2009 to agree on a consultation 
of the Court of justice concer ning the compatibility of the draft agreement with the treaty 
(opinion 1/09). 
In relation to infringements it is important to mention the complaint related to legal 
restrictions of para llel imports of medicinal products  in the Slovak Law on Medicinal 
                                                
 
421 COM 2008/466 final, 16 July 2008 422 COM 2009/532 final, 19 October 2009. 
EN 320   EN Products. The Commission considered these restri ctions to be contrary to the Community 
principle of exhaustion of rights conferred by a trade mark as de fined in Trade Mark Directive 
89/104/EEC. Consequently, the Slov ak authorities amended their law and thus brought it into 
compliance with Directive 89/104/EEC.  
In the area of the enforcement of  intellectual property rights , the monitoring of the 
transposition of Directive 2004/48/ EC was done. The Directive had to be implemented by 
Member States by 29 April 2006. Infringement procedures against 10 Member States over 
their failure to notify their implementing measures were also pursued. The ECJ took three 
decisions in 2007 against Germany, Luxembourg and Sweden for failure of transposition of the Directive according to Art. 258 TFEU. Sw eden and Luxembourg notified their national 
measures beginning of the year.  All Member St ates have notified their national implementing 
measures.  
The Commission adopted a Co mmunication "Enhancing the enforcement of intellectual 
property rights in the intern al market" in September 2009. 
The Commission in April launched the European  Observatory for Counterfeiting and Piracy. 
Subsequently, the Commission in September and in December organised the two first 
meetings respectively with private and public  sectors. In March, the Commission launched a 
stakeholders' dialogue on the sa le of counterfeit goods over the in ternet. In June, it launched a 
similar dialogue for the illegal down loading a nd illegal up loading. The objective of these 
dialogues is to foster voluntary inter-industry ag reements between the relevant stakeholders; 
such agreements, given the quick developmen t in the digital economy, often provide for 
quicker and more flexible solutions than legislation. 
Finally a study on a possibility to  establish an electronic ex change system on counterfeit 
goods has been launched in July. 
9.2.7.2.  Evaluation based on current position 
In the context of a highly polit ical area and due to the complex nature of the Directive 
2004/48/EC, the main problem encountered by th e Commission was the late transposition by 
some Member States. The monitoring was done th rough a constant dialogue with the Member 
States not having transposed the Directive ye t. The last two Member States adopted the 
transposition measures during this year. Subsequently, proceedings according to Art. 260 
TFEU were abandoned. 
As far as the follow up of the European Counte rfeiting and Piracy Observatory is concerned, 
three working groups have been set up which meet on regular basis (one working group on 
statistics, one on legal framework and one on public awareness). 
As far as the stakeholders' dialogues are conc erned, several meetings have taken place. A 
drafting of a Memorandum of Understanding between partic ipants has started for the 
stakeholders' dialogue on the sale of c ounterfeit goods over the internet.   
a) Priorities 
The priorities identified in the 2008 Annual Repor t were the same also for the year 2009. The 
monitoring of the Directiv e 2004/48/EC and the planni ng for the enhancement of 
administrative cooperation were duly performed.  
EN 321   EN b) Actions planned 
On 4 December 2009 the Council unanimously adopt ed conclusions on an enhanced patent 
system in Europe. The package agreed covers  major elements to bring about a single EU 
patent and establish a new patent  court in the EU. Both together will make it less costly for 
businesses to protect innovative technology and make litigation more accessible and 
predictable. This major breakth rough may pave the way for solv ing the outstanding issues to 
achieve a major reform of the EU patent system in the near future. On the basis of the Council 
conclusions and pursuant to Article 118 (2) TF EU the Commission intends to present in 2010 
a proposal for a Council Regulation concerning  language arrangements for the single EU 
patent whereas the European Parliament and th e Council are expected to proceed further with 
the other components of the EU  patent reform package. 
In 2009, Member States were expected to  submit to the Commission a report on the 
implementation of Directive 2004/48/EC. On the basis of the national reports, the 
Commission is preparing a repor t on the conformity of the national measures with the 
provisions of the Directive.   
Following the creation of the European Counter feiting and Piracy Observatory, the first 
annual report, which will include the methodology fo r the collection of sta tistics as well as a 
report of the legal sub-group on ci vil measures are expected to be delivered in the next two 
years. 
As far the stakeholders' dialogue the Commission will keep working with the stakeholders on 
a possible adoption of the Me morandum of Understanding. 
In addition the Commission will follow-up the study on how to set up an  information system 
for the rapid exchange of information on coun terfeit goods. Those and other measures were 
presented by the Commission in its Comm unication "Enhancing the enforcement of 
intellectual property rights in the internal market". 
Finally, subsequently to this Commission Communication, the Council is preparing a 
Resolution on the enforcement of intellectual property rights in the internal market. 
 
10. REGIONAL  POLICY 
10.1. Current situation 
10.1.1.  General introduction 
Based on Article 158 of the EU Treaty423, European regional policy aims to reduce 
disparities between the levels of development of the various regions and the backwardness of 
                                                 
423 All applicable secondary legi slation being based on the EU Treaty, the Articles in the 
Treaty on the Functioning of the European Union are only quoted in the footnotes; Article 158 
of the EU Treaty corresponds to Article 174 of th e Treaty on the Function ing of the European 
Union. 
EN 322   EN the least favoured regions by actions supporte d by the Structural Funds424 (the European 
Regional Development Fund425, ERDF, and the European Social Fund426, ESF) and the 
Cohesion Fund427 (CF). ERDF and CF are under  the responsibility of the Directorate 
General for Regional Policy, ESF is under the re sponsibility of the Directorate General for 
Employment, Social Affairs and Equal Opportu nities. These Funds ar e managed by means of 
operational programmes (ERDF and ESF) or projects (CF) by the Commission and the 
Member States under shared management arrang ements, as are similar programmes under the 
European Agricultural Fund for Rural Deve lopment428 and the fisheries sector429. In 
addition Directorate General fo r Regional Policy is responsible for programmes under the 
Instrument for Pre-Accession Assistance (IPA )430. Rules covering the programming period 
2007-2013 were adopted in 2006; all 317 operationa l programmes financed by the ERDF and 
CF were negotiated in partnership and a dopted by the Commission in 2007 or early 2008431. 
The new programmes of the Member States ov erlap with those of the period 2000-2006 for 
which the final date for expe nditure was the end of 2008 (in February 2009, 385 of the 555 
Cohesion Policy programmes were extended until 30 June 2009 in order to add another six months to cope with delays due to the international financial crisis). 
In accordance with Community law432, assistance  under the Funds is provided according to 
an approach of complementarity and partne rship between the Commission and the Member 
                                                
 
424 Council Regulation (EC) No 1083/2006 of  11 July 2006 laying down general 
provisions on the European Regional Developm ent Fund, the European Social Fund and the 
Cohesion Fund and repealing Regulati on (EC) No 1260/1999 (OJ L 210, 31.7.2006, p. 25). 
425 Regulation (EC) No 1080/2006 of the Europe an Parliament and of the Council of 5 
July 2006 laying down general pr ovisions on the Eu ropean Regional Development Fund and 
repealing Regulation (EC) No 1783/1999 (OJ L 210, 31.7.2006, p. 1). 
426 Regulation (EC) No 1081/2006 of the Europe an Parliament and of the Council of 5 
July 2006 laying down general provisions on the European Social Fund and repealing 
Regulation (EC) No 178 4/1999 (OJ L 210, 31.7.2006, p. 12). 
427 Regulation (EC) No 1084/2006 of the Europe an Parliament and of the Council of 5 
July 2006 laying down general provisions on the Cohesion Fund and repealing Regulation 
(EC) No 1164/94 (OJ L 210, 31.7.2006, p. 79). 
428 Council Regulation (EC) No 1698/2005 of  20 September 2005 on support for rural 
development by the European Agricultura l Fund for Rural Development (OJ L 277, 
21.10.2005, p. 1). 
429 Council Regulation (EC) No 1198/2006 of 27 July 2006 on the European Fisheries 
Fund; (OJ L 223, 15.8.2006, p. 1). 
430 Council Regulation (EC) No 1085/2006 of 17 Ju ly 2006 establishing an Instrument for 
Pre-Accession Assistance (IPA) (OJ L 210, 31.7.2006, p. 82). 
431 In addition 17 programmes under IPA were  adopted. The following is focussed on 
ERDF and CF progammes. 
432 Article 9 of Regula tion (EC) No 1083/2006. 
EN 323   EN States, with due regard to their respective pow ers. In this context, implementation on the 
ground is the responsibility of the Member States , meaning in particular that the Commission 
is normally not responsible for the selection of individual projects (exceptions being the 
approval of CF projects and of major projects within ERDF programmes), as this comes under 
the competence of the national authorities. 
To be eligible for co-financing from the EU budget, projects must be selected and 
implemented in accordance with the principles  laid down in the programming documents 
adopted by the Commission, and must comply with the specific legislation governing 
Cohesion Policy expenditure and generally appli cable rules on public procurement, state aid, 
the environment, etc, and also with relevant national rules. The control system put in place by 
the Member States seeks to ensure the re gularity of all expenditure and the Commission 
supervises its effective functioning. When the rules are found to have been breached making 
expenditure ineligible, the irre gular expenditure has to be ex cluded by means of "financial 
corrections". If the Member States fail to correct irregular expe nditure or to remedy 
deficiencies in the management and cont rol system, the Commission itself may impose 
financial corrections or require improvements in  the control system. In the event of serious 
deficiencies, the Commission can suspend its interim payments to a programme until the 
weaknesses are corrected. 
Most complaints tend to arise when an operator or member of the public considers that 
individual projects do not (f ully) respect relevant Community and/or national rules and 
prefers to address the complaint to the Commission rather than to his/her national authorities. Such complaints can only be resolved with cons iderable support from th e national authorities. 
From one year to another, the number of compla ints dealt with by the Directorate General for 
Regional Policy is relatively stable and does not  normally lead to infringement procedures, 
but the complaints are resolved by application of the normal control a nd financial correction 
provisions specific to Cohesion Policy by the national authorities or by the Commission. 
10.1.2.  Report of work done in 2009 
10.1.2.1.  New legislation 
Simplification of existing legislation is in itsel f an additional means to promote a reduction in 
errors and irregularities while  reducing administrative burdens . In 2009, the el igibility of 
energy efficiency and renewable energy investme nts in housing was clarified and extended to 
all Member States; at the same time simplifi cation concerning the reco rds of the expenditure 
incurred was introduced for certa in cost categories433. One exam ple is the simplification of 
eligibility rules to allow flat-rate reimbursements for overheads, an area where in the past there have been a large number of errors. Furt hermore certain provision s relating to financial 
management such as the use of financial en gineering instruments or the pre-financing 
mechanism were modified434. In parallel, the Commission implement ation Regulation435 
                                                
 
433 Regulation (EC) No 397/2009 of the European Parliament and the Council of 6 May 
2009 amending Regulation (EC) No 1080/2006 (…), as regards the eligibility of energy 
efficiency and renewable energy inve stments in housing (OJ L 126, 21.5.2009, p. 3). 
434 Council Regulation (EC) No 284/2009 of 7 April 2009 amending Regulation (EC) No 
1083/2006 (…) concerning certain provisions rela ting to financial management (OJ L 94, 
8.4.2009, p. 10). 
EN 324   EN was simplified considerably. A Commission proposal  for further simplification is for the time 
being with the legislator  (see below section 1.3.2.1). 
10.1.2.2.  Preventive measures taken (Comitology and cooperation with Member States) 
In 2009, eleven documents providing technical  guidance in order to facilitate the 
implementation of operational programmes and to  encourage good practice( s) were prepared 
by the Commission and then presented, discussed and finalised during the ten meetings of the 
Committee for the Coordination of the F unds (COCOF)436, although this Committee was 
formally only informed about these documents. 
In addition, a training seminar on best practices  for the managing and certifying authorities 
was held in June 2009 as a continuation of the seminar held in June 2008 entitled "Control of structural actions – meeting the challenge". Three technical mee tings were held and training 
sessions were given on simplified costs and two t echnical meetings were held with the audit 
authorities. 
10.1.2.3.  Main actions being taken to c ontrol the correct application 
Financial corrections 
Financial corrections by the Member St ates themselves437 and by the Commission438 are 
applied where expenditure for a project is irregul ar or where there are se rious deficiencies in 
the management and control system of the ope rational programme (under  the Member States' 
responsibility) which has put at  risk the Community contributi on paid to the programme at 
stake. In 2009 total financial corrections carried out by the Member States and by the 
Commission, following Commission audit wo rk (ERDF and CF; periods 1994-1999 and 
2000-2006) amounted to approximately EUR 2 billion439 (plus EUR 173 million for the 
ESF). This amount is a marked increase on the EUR 288 million corrected in 2007440 and the 
EUR 1 billion (plus EUR 522 million for the ESF) corrected in 2008. The corrections reflect the completion of the follow-up of previous audit work and an acceleration of financial 
                                                                                                                                                        
 
435 Commission Regulation (EC)  No 846/2009 of 1 Septembe r 2009 amending Regulation 
(EC) No 1828/2006 setting out rules for the im plementation of Council Regulation (EC) No 
1083/2006 (…) (OJ L 250, 23.9.2009, p. 1). 
436 Article 103 of Regulation (EC) No 1083/2006. 437 Article 23 of Regulation (EEC) No 4253/ 88 for the 1994-1999 period; Article 39(1) of 
Regulation (EC) No 1260/1999 for the 2000-2006 peri od; Article 98 of Regulation (EC) No 
1083/2006 for the 2007-2013 period. 
438 Article 24 of Regulation (EEC) No 4253/ 88 for the 1994-1999 period; Article 39(3) of 
Regulation (EC) No 1260/1999 for the 2000-2006 period; Artic les 99 to 100 of Regulation 
(EC) No 1083/2006 for the 2007-2013 period. 
439 EUR 2,064,506,922. 440 See Report on the implementation of th e action plan; COM(2009) 42 of 3 February 
2009. 
EN 325   EN correction procedures under the "Action plan to  strengthen the Commission's supervisory role 
under shared management of structural actions" 441 (hereinafter referred to as "Action Plan"). 
Compliance assessment 
In order to improve the management and co ntrol of the 317 progr ammes for the 2007-2013 
period, the Member State authoritie s have to undertake an assessment of the description of the 
national management and control system pe r programme accompanied by an independent 
report giving an opinion on their compliance with  the regulatory requirements to be submitted 
before the first intermediate payment can be made. This compliance assessment is a new element442 seeking to ensure that the set up of management and control systems is in conformity with applicable rules. By end of 2009, 311 co mpliance assessment reports 
regarding national systems had been received (98% of the total due) by the Commission, of 
which 271 (85% of those received) were  judged acceptable as of 31 December 2009. 
Audits 
In 2009 the Commission carried out 19 on-the- spot audit missions for the 2000-2006 period 
and 28 for the 2007-2013 period concerning ER DF and Cohesion Fund in 15 Member States 
focusing on the remaining risks in management and control systems, the review of bodies responsible for the closure of the 2000-200 6 programmes, audit of operations on a 
representative sample of proj ects for the 2007-2013 pe riod and the review of the work of the 
audit authorities for the 2007-2013 period. De ficiencies uncovered typically concerned 
organisational problems in the systems themselv es or breaches in public procurement or 
eligibility rules. The outcome of  these audits may take the fo rm of action plans to improve 
performance, and possibly also suspension of pa yments or the launch of financial corrections 
procedures, where necessary. 
10.1.2.4.  Management of the acquis through committees and expert groups 
Beyond the development of guidelines presente d to the COCOF committ ee and the technical 
meetings held in 2009 (see above section 1.1. 2.2.), no other committees or expert groups 
meetings linked to the legali ty of the expenditure of th e Funds have been organised. 
10.1.2.5.  Enquiries, problems and complaints management 
13 complaints were introduced into the EU PILO T system. The great majority of complaints 
concerning Regional Policy do not lead to an infringement procedure. 
A first category of complaints concerns the sele ction process of individual projects under the 
different programmes. The principal motivation for complaints was the rejection of the complainant's application for financial support. As indicated above, under shared management 
such complaints are examined by the competent na tional administrative or judicial authorities. 
A second category of complaints concerns alle ged non-compliance of individual projects with 
Community law, mostly relating to environmen t or public procurement policies and rules. A 
third category of complaints concerns the alleged defects in selected projects (examples 
                                                
 
441 COM(2008)97 of 19 February 2008. 442 Articles 71 and 72 of Regulation (EC) No 1083/2006. 
EN 326   EN include allegations that a particular infrastructure  project is not in the right place (e.g. roads), 
does not work properly (water sewage treatment  plants) or constitu tes poor value for the 
European tax-payer's money. In such cases, th ere is generally no specific allegation of a 
breach of Community law. 
For all categories, the Directorate General for Regional Policy uses the EU-PILOT System, as 
the Commission in most cases can only react in substance having co nsulted the national 
authorities primarily responsible for the pr ogramme implementation. Where the examination 
of the allegations leads to the conclusion that Community law has been breached, this may lead to the opening of a fi nancial correction procedure. 
As indicated in previous re ports, concerning the new Counc il Regulation on a European 
Grouping of Territorial Cooperation (EGTC)
443, which entered into force on 1 August 2006, 
Member States have been required to make provi sions to ensure the effective application of 
the Regulation and to inform the Commission of  these provisions. By the beginning of 2009, 
sixteen Member States had adopt ed national rules, against a regulatory deadline of 1 August 
2007. By the end of 2009 the Commission was inform ed of national rules adopted in another 
seven Member States. By the end of 2009, national rules and rules on the level of the federal entities were adopted in Belgium and Austria, le aving only two Member States still to adopt 
them. These results were achieved through political dialogue and cooperation with the national authorities without recour se to infringement procedures. 
10.1.2.6.  Petitions 
Directorate-General for Regional Policy has treated as "chef de  file" 18 peti tions involving 
projects possibly co-financed by the Funds and has been associ ated/consulted on 20 petitions, 
mostly led by Directorate-Gene ral for Environment. For the 18 petitions where Directorate-
General for Regional Policy was in charge, ten c oncerned Spain. In genera l, petitions concern 
the misuse of EU funding, deterioration of environment linked to the construction of 
infrastructure projects, or other possi ble infringement of Community law. 
10.1.2.7.  Management of Infringements 
One infringement proceeding was officially  opened during 2009, whereas two cases were 
closed after the parallel financial correction procedure had been closed. Adding two other 
proceedings already opened before 2008, as of  31 December 2008, five current infringement 
proceedings concern Director ate General Regional Policy. 
10.2. Evaluation based on the current situation 
10.2.1.  Assessment of the current situation (satis factory or problematic nature of the 
current situation) 
In January 2005, the Commission made it a stra tegic objective to strive for a positive 
statement of assurance (DAS) from the Eur opean Court of Auditors. To make progress 
towards this goal it introduced an Action Plan towards an Integrated Internal Control 
                                                
 
443 Regulation (EC) No 1082/2006 of the Eur opean Parliament and of the Council on a 
European Grouping of territorial  cooperation (OJ L 210, 31.7.2006, p. 19). 
EN 327   EN Framework444. In 2008, the Commi ssion adopted a specific Action Plan445 to stre ngthen its 
supervisory role in the structur al actions area, in order to ad dress the Parliament's concerns 
arising from the weaknesses iden tified by the Court of Audito rs in its 2006 Annual Report. 
The structural actions Action Plan  addressed both the causes and effects of the high rate of 
error found by the European Court of Auditors  in structural actions expenditure. The 
Commission's focus has been on increasing the ef fectiveness of the cont rols undertaken by the 
Member States and of its own supervisory activ ity, in order to ensure that by the time the 
2000-2006 programmes and projects ar e closed, most of the irregul ar expenditure is corrected 
and the residual risk of e rror is as low as possible.  For the 2007-2013 period, the 
Commission's preventive actions aim to ensure  that the Member States' management and 
control systems functio n effectively from the beginning of the programme implementation 
and that deficiencies are dete cted as early as possible. 
Concerning the EGTC Regulation, the fact that nati onal rules were adopted in seven more 
Member States during 2009 is regarded as satisfactory. 
10.2.2.  Importance of the impact of the identifi ed problems on the objectives of the 
acquis 
Achieving the aims of cohesion policy in reducing ge ographical disparities of the programmes 
depends on effective implementation and requires that projects are selected and implemented 
correctly. Moreover, the image of this policy is negatively affected by high error rates, 
especially when the public's attention is dr awn to such errors when the yearly DAS is 
published and discussed in the media. Reduction of  error rates is vital and the planned actions 
set out below contribute to this overall priority. 
10.2.3.  Underlying reasons for problematic areas 
Even under shared management (see following section), according to Article 274 of the 
Treaty446 "(t)he Commission shall implement th e budget, in accordance with the provisions 
of the [Financing Regulation], on its own responsibi lity (…), having rega rd to the principles 
of sound financial management". Consequently  any item of expenditure co-funded from the 
Funds shall comply with the provisions of  the Treaty and of acts adopted under it447. 
Compliance with the acquis on as different matters as single market (EU Directives on public 
procurement), competition (state aid rules), environment, research, transport or energy puts the national authorities in front of a genuinely  complex task when implementing operations on 
the ground together with a huge nu mber of public or private fi nal beneficiaries spending the 
contribution from the Funds. 
                                                
 
444  COM(2006) 9 and SEC(2006) 49. 445 "Action Plan" (COM(2008)97 of 19 February 2008). 446 Article 274 of the Treaty corresponds to Article 317 of the Treaty on the Functioning 
of the European Union, where "on its own respon sibility" is replaced by "in cooperation with 
the Member States". 
447 Article 9(5) of Regulation (EC) No 1083/2006. 
EN 328   EN 10.2.4.  Responsibility for the problems and their correction 
Under shared management, the Commission is responsible for the execution of the 
Community budget, but the Member States are responsible for the implementation of the 
individual projects. Errors a nd irregularities (which in pract ice contain very few cases of 
fraudulent behaviour) concerning th e projects are matters outside  the direct control of the 
Commission. Member States are responsible in the first inst ance to correct these errors 
(mainly by financial corrections on project leve l). The Commission seeks to ensure, through 
its supervisory role, that the management and control systems set up by the Member States are 
effective and, in cases where the systems are dysfunctional or where the corrections 
undertaken by Member States are not sufficient, applies financ ial corrections on programme 
or - in the case of CF for th e 2000-2006 period – on project level. 
10.2.5.  Corrective action required (priority character, timing and scale) 
From the different actions carried out in 2009, it is evident that the re spect of the regional 
policy acquis  requires actions of a different nature: corrective (financial corrections, action 
plans, infringement and complaints procedures), preventive (simplification of the acquis , 
compliance assessment, audits and controls, gu idance notes, seminars) and informal/political 
(comitology, direct dialogue). 
The implementation of the Action Plan and th e Joint Audit Strategy of the Directorates-
General in charge of Cohesion Policy, which focus on measures to strengthen the supervision 
of the correct implementation of the programme s and projects, further simplification and the 
finalizing of the compliance assessment, have been  key elements in order to reduce as far as 
possible errors linked to the closure of th e 2000-2006 programmes and to avoid errors under 
the new programming exercise. 
Key actors linked to the Action Plan are the some  90 staff (out of a total in the DG of 745) 
carrying out control activities in the Dire ctorate General Regional Policy. Financial 
corrections and infringement/com plaints proceedings involve of course a lot of other staff 
from the Resources Directorate, the "Legal ad vice, procedures" unit a nd the operational units. 
Consequently, an important part of Directorate General Regional Policy's staff is involved in 
the respect of the Regional Policy acquis in a broad sense compared to the few number of 
staff dealing with infringement and complaints procedures strictu senso . 
10.3.  Evaluation results 
10.3.1.  Priorities 
As indicated in its "Annual Management Plan  2010" (18 December 2009) one of the specific 
objectives identified448 is  to seek reasonable assurance that the management and control 
systems in the Member States and beneficiary countries comply with the requirements of the 
Community regulations and are functioning effectiv ely, so as to prevent and detect errors and 
irregularities and assure the legality and re gularity of the expenditure declared to the 
Commission. To this end, the Directorate Genera l for Regional Policy will seek to ensure 
through its supervisory role that  Member States and regions ha ve established the appropriate 
structures for management and control and will  advise on measures to tackle weaknesses in 
                                                 
448 See section 5.5. 
EN 329   EN administrative capacity for delivery, as well as provide appropriate support for setting up a 
sufficient stock of projects. 
10.3.2.  Planned action (2010 and beyond) 
10.3.2.1.  New legislation in preparation (simplification) 
The Directorate General for Regional Poli cy will also follow-up and where possible 
contribute to the "European Ac tion Programme on the reducti on of administrative burdens"  
adopted in January 2007  as part of the Better Regulation programme. The globa l target is to 
cut red tape for businesses by 25% by 2012 in th e different policy areas.  As indicated above 
(see section 1.1.2.1), in July 2009 the Commissi on adopted a further set of measures 
amending two Council Regulations449 proposing furt her simplification of the rules governing 
the financial management of the Structural Funds, in the contex t of efforts to provide more 
support in face of the international financial cr isis and to improve the effectiveness of the 
delivery system of cohesion policy. These propos als should be adopted in the first half of 
2010. 
The informal preparation of the new legisl ation concerning the 2014 to 2020 programming 
period will be intensified in 2010, but formal propos als will be transmitted to the legislator in 
2011. 
10.3.2.2.  Preventive measures taken (Comitology and cooperation with Member States) 
In order to help the national and regional au thorities with implementation a number of 
guidance notes were presented in the years 200 7 to 2009. A small number, less than ten, will 
be presented to the Committee for the Coordi nation of the Funds (COCOF) in 2010. Due to 
the amendments to the legislation adopted in 2009 and 2010, seven guidance notes will have 
to be revised accordingly. 
Concerning the national rules on the EGTC Regulation, political  dialogue and cooperation 
with the national authorities will be continued as  this approach has led up to now to positive 
results. 
10.3.2.3.  Main actions being taken to c ontrol the correct application 
Financial corrections 
The current estimate of potential financial corrections likely to result from the financial 
correction procedures underway at the end of  2009 is approximately EUR 600 million (plus 
EUR 345 million for ESF). Due to the aud it work (see below section 1.3.2.3.3) executed, 
financial corrections are necessary only in cas es that recommendations for remedial actions 
for deficiencies identified in the systems have  not been taken up by the Member States or 
where irregularities  have been found. 
                                                 
449 Commission's Proposal amending Regulat ion (EC) No 1080/2006 on the European 
Regional Development Fund (ERDF) (C OM(2009)382 final; adopted on 17.7.2009); 
Commission's Proposal amending Regulation (EC) No 1083/2006 (COM(2009)384 final, 
adopted on 22.7.2009. 
EN 330   EN Compliance assessment 
Concerning the 2007-2013 period, the compliance a ssessment exercise will be completed as 
quickly as possible, provided the Member Stat es submit the necessary and revised documents 
in due time. 
Audits 
In terms of audit and control activities, the Directorate General for Regional Policy will 
maintain the momentum generated by the Action Plan to strengthen the Commission's supervisory role under shared management of stru ctural actions and continue rigorous actions 
in 2010 under its multi-annual aud it strategy. Overall, it will continue to seek to make 
progress towards a positive declaration of assurance (DAS) on expenditure under Cohesion policy through preventive and corrective measur es focused on the closure of the programmes 
for 2000-2006, and the st art up and functioning of the pr ogrammes for the 2007-2013 period. 
Concerning the 2000-2006 period, the completion of  financial corrections, the completion of 
the follow-up of the review of bodies re sponsible for the closure of the 2000-2006 
programmes and the review of closure declarations will be  the main priority in 2010. 
Concerning the 2007-2013 period, audits will be continue to be focused on the work of the audit authorities to obtai n assurance on the reliability of th eir work and on the functioning of 
the management and control systems. 
10.3.2.4.  Enquiries, problems and complaints management 
The Directorate General for Regional Policy will continue to apply the EU PILOT system and 
to follow similar procedures with those Memb er States not participating in EU PILOT. 
Involving national authorities in a very early stag e of a complaint is important in this respect 
in a system of shared mana gement of Community Funds. 
10.3.2.5.  Petitions 
Given the few cases, no systematic  action needs to be planned. 
10.3.2.6.  Management of infringements 
Given the few cases, no systematic  action needs to be planned. 
11. TAXATION
 AND  CUSTOMS  SERVICES 
11.1. Situation in the sector of CUSTOMS 
11.1.1.  Current position  
11.1.1.1.  General introduction 
In continuation with previous years, the stra tegy was to put the empha sis on the prevention of 
the infringements, fully in line with the Co mmunication450 on a strate gic review of better 
                                                 
450 COM(2006)689 of 14.11.2006 
EN 331   EN regulation in the European Union, and more over with the Comm unication451 on a better 
monitoring of the application of Community la w, the attention is devoted to a better and 
simplified legal environment. Due to its responsi bilities in the area of the EU legislation, the 
Commission continued its efforts aiming at enha ncing the correct and un iform application of 
the Community customs legislation.  
Member States are fully committed to apply correctly Union customs rules, helped in this 
crucial task by a close coopera tion with the Commission. The key element of this process is 
the priority given to preventive approach aimed at involving all parties concerned. To enable a 
comprehensible approach, the multi-annual pr ogramme of monitoring the compliance of 
customs legislation in different Member States  has been satisfactory continued and developed. 
This pro-active strategy follows a planning process,  targeting a selection of legislative sectors 
presenting, according to the risk criteria, actual or potential risk of incorrect or non uniform 
application, thus damaging main interests of Trade and of financial importance.  
Existing measures in force: see Annex I  
11.1.1.2.  Report of work done in 2009 
In 2009 the Court of justice delivered 17 judgme nts related to customs, which represents a 
clear increase compared with 2008 (13).  
Most of the Court's judgments in this area co ncerned references for preliminary rulings.  
The following case was of particular relevance: 
The judgement of the European Court of Justic e in case C-349/07, Sopropé – Organizações 
de Calçado Lda  was delivered on 18 December 2008. In deciding the case the ECJ made clear 
that fundamental rights form an integral part of the general prin ciples of law, the observance 
of which the Court ensures. Turning to the co re of the matter, the Court stated in an 
unambiguous manner that observance of the rights of the defence is a general principle of 
Community law which applies where the author ities are minded to adopt a measure which 
will adversely affect an individual. Once such general principle was established, the ECJ went on to clarify that it also app lies, as seems obvious, in custom s related matters. Therefore, in 
accordance with that principle, the addressees of decisions wh ich significantly affect their 
interests must be placed in a position in which they can effectively make known their views as 
regards the information on which the authorities intend to base their decision. They must be 
given a sufficient period of time in which to  do so. Having regard to  the fact that their 
decisions come within the scope of Unionlaw, th e  customs authorities of the Member States 
are subject to that obligation, even though the Community legislation currently applicable, 
which is the Community Customs Code, does not  expressly provide for such a procedural 
requirement. The future Modernised Customs Code  instead already foresees such a procedural 
requirement. 
Volume of enquiries, complaints, infringeme nts work and petitions, and prioritization among 
them 
Regarding parliamentary questions, 5 have been treated, while no petition has been registered. 
                                                
 
451 COM(2002)725 of 16.05.2003 
EN 332   EN As regards customs, the Commission opened one  own investigations regarding presumed 
infringements, and 3 on the basis of complaints.  
Besides, 17 requests that cons titute potential infringements have been received, alike 2 
potential own initiative cases. 
No reasoned opinions (Art 258) (ex Art 226) have been sent . Thus, the total number of 
infringement cases (4) is lower than in 2008 (17) and is also lo wer for reasoned opinions (2 in 
2008). 
During 2009, 32 opened infringement cases were closed after the Member States concerned 
modified their legislation or practice to comply with EU law. 
Most of enquiries and complaints in this area re late to the application of customs legislation in 
general. No prioritisation was necessary to deal  with the cases as regards clear and serious 
infringements of EU legislation. 
11.1.2.  Evaluation based on the current situation 
In the customs field, EU legislation is mainly adopted in the form of Regulations. Therefore 
the correct and uniform applica tion of EU customs law is a cl ear obligation for the Member 
states.  
The policy on infringements should be envisaged in a larger framework. The control of the 
correct application of EU customs law should be  seen as one of the instruments of a wider 
policy of the harmonisation of Member State legislation a nd the implementation of EU 
legislation (committees, working groups, soft  law, comitology, proposing a modifying act). 
This is clear in the area of customs, where a uniform-application of EU  rules is dependent on 
both clear and accurate legislation and strong cooperation between the Member States. The 
practical application of Community customs legi slation to individual cases is particularly 
important, which accounts for the high volume of requests made by national courts to the ECJ 
for preliminary rulings that become a major guarantee of the unifor m application of the 
Community law in the customs field. 
In the case of complaints or presumed infri ngements, a distinction has been made between 
isolated failures affecting a specific individual  and more general failu res affecting groups of 
individuals. Isolated failures do not confirm the existence of na tional legislation or a general 
practice contrary to EU customs law. Isolated  cases are more appropriately and effectively 
addressed through administrative or judicial appeal processe s provided for by national law. 
More general failures have been subject to an analysis of the scope and permanence of their 
impact, in terms of the extent to which they ar e likely to affect in a serious and sustainable 
way the objectives set by EU customs law. 
As a result, there has been no significant increas e in the number of infringements over recent 
years and the overall situation in the area of cust oms may be seen as stable and this tendency 
is expected continue.  
Another way of improving the corre ct application of customs le gislation is through increased 
use of  informatics. Thus, in recent years, custom s authorities have developed and introduced 
the extensive applicatio n of electronic instruments, through  the package called 'E-Customs'. 
EN 333   EN The introduction of this comput erisation involves both a harmoni sation and standardisation of 
data and procedures that should c ontribute to improved application.  
11.1.3.  Evaluation results 
11.1.3.1.  Priorities 
As far as customs are concerned, the situatio n has not significantly changed regarding the 
volume of infringements work and the number of re ferences to the Court. Therefore, priorities 
set for 2009 remain unchanged for 2010. Considering that the overall volume of infringements and complaints remains relatively stable compared with previous years, and 
that this situation is likely to continue in 2009, no specific action regarding prioritization 
should be envisaged.  
11.1.3.2.  Planned action (2009 and beyond)
 
Given this evaluation of the cu rrent situation, no additional sp ecific planning is required. 
Nevertheless, the fact that the volume of problems in the application of the law being identified has not increased does not necessarily mean that the situation is satisfactory and 
that EU customs legislation is  evenly and correctly applied. For instance, economic operators 
and citizens may be facing problems which, for wh atever reasons, they are not reporting to the 
Commission. As a result, a pro-active and horizontal ap proach has been adopted. 
The focus is put on ensuring that Member States  orientate their efforts towards the correct and 
uniform application of EU customs legislation. The strategy is based on closer cooperation 
with Member States and oriented towards ne w tools enabling improved monitoring of the 
application of EU customs law. With this  end in view, a multi-annual programme of 
monitoring the compliance of customs legisla tion in the whole EU territory has been 
introduced in 2008. 
In order to help Member States to ensure th e correct and uniform application of EU customs 
legislation, TAXUD operates in  a proactive manner. The main option targets preventive 
action aimed at reducing the number of situations likely to give rise to infringements. In this 
context attention is paid to the identification of areas of legislation which seem to present 
higher risks of incorrect application that may require special monitoring in the framework of 
an annual and targeted programme. The justifica tions for targeting specific areas have to be 
based on selection criteria, acco rding to risk criteria (finan cial, economic, administrative, 
legal, security and safety). 
In 2009, the selected areas concerned: the role and functions of Authorised Economic 
Operators (AEO); the provisi on of Binding Tariff Informa tion (BTI); decisions on non-
recovery, remission or repayment of customs du ties; and the management  of tariff quotas and 
surveillance of goods. 
This strategic and horizontal approach, ba sed on the principles of coordination and 
partnership between the Commi ssion and Member States, has c onfirmed a strong commitment 
from all concerned and produced a cl early improved legal environment.  
 
EN 334   EN 11.1.4.  Sector summary  
During the year 2009  in the area of customs , the volume of enquiries, complaints and 
references for preliminary rulings has been stab le compared to the other years. Considering 
the likeliness of this tendency to continue, no specific urgent acti on needs to be decided. 
Like previously, the strategic emphasis was put  on the prevention of the infringements so to 
act upstream instead of increasing the interv ention at the downstream level, through the  
infringements process. 
11.2. Situation in the sector of INDIRECT TAXATION 
11.2.1.  Current position 
11.2.1.1.  General introduction 
Establishing an internal market  supposes the application in Me mber States of legislation on 
indirect taxation that distorts neither condi tions of competition nor free movement of goods 
and services. 
Therefore it is necessary to achieve harmonisati on of legislation in line with the changes in 
the economy by means of proposals for new dire ctives although that achievement is often 
compromised by the rule of unanimity.  
Existing measures in force  (situation on 31/12/2009: see Annex I) 
11.2.1.2.  Report of the work done in 2009  
a) New legislation in preparation or already  proposed and in the course of being adopted, 
impact assessments and implem entation plans being develope d in connection with new 
proposals, etc.  
Value added tax (VAT)  
In the context of the fight against VAT fra ud, the Commission worked on two legislative 
proposals. On 1 December 2008 the Commission adopted a proposal for a Council Directive 
amending Directive 2006/112/EC (COM (2008) 805 final). This Dir ective on one hand 
clarifies the conditions for an already specific exemption at im portation which is currently the 
subject of abuse through fraud schemes and on the other hand to provide tax administrations 
with a tool for recovering VAT from non-es tablished traders in cases where the non 
compliance of these traders with regard to their reporting obligat ions has facilitated the fraud. 
In June 2009 the Council adopted the part on importation (Council Directive 2009/69/EC of 
25 June 2009), but is still discussi ng the proposed recovery measure. 
On 18 August 2009 the Commission adopted a proposal for a Council Regulation on 
administrative cooperation and combating fraud in the field of Value Added Tax (Recast) 
(COM (2009) 427 final). The aim of this proposal  is to give Member States the means to 
combat cross-border VAT fraud more effectiv ely. A first discussion in Council took place 
under the Swedish Presidency. 
Measures for a consistent response to  carousel fraud in certain sectors  
EN 335   EN In order to allow Member St ates to take rapi d action against this  kind of fraud, the 
Commission has adopted a proposal for a Direc tive allowing the application of a reverse 
charge mechanism on supply of five categories of particularly fraud sensitive goods and 
services, namely: computer ch ips, mobile phones, precious metals, perfumes and greenhouse 
gas emission allowances. 
The possibility for all Member States to opt fo r the application of a re verse charge  under the 
same conditions to a limited list of goods and services provides Memb er States with the 
necessary tool to tackle worrying fraud phe nomena in a flexible manner while ensuring 
consistency in the response Member States give to carousel fraud and to avoid fraud 
relocation. It will also produce valuable inform ation for evaluating the efficiency of such a 
measure. 
On 3rd December the Council agreed on a genera l approach on this proposal, based on 
limiting the scope of the measure to greenhouse gas emission allowances. Discussions will 
continue on the remaining part of the proposal. 
 
Invoicing 
On 28 January, the Commissi on adopted a proposal to change the VAT Directive 
2006/112/EC with respect to invoicing rules, based on a Communication on technological 
developments in the field of electronic invoici ng. The aim of the proposal is to increase the 
use of electronic invoicing, re duce burdens on business, su pport small and medium sized 
enterprises (SMEs) and help Member States  to tackle fraud. The proposal simplifies, 
modernises and harmonises the VAT invoicing rule s. In particular, it eliminates the current 
barriers to e-invoicing in the VAT Directive by  treating paper and electronic invoices equally. 
The proposal is a key element of the Commi ssion's Action Programme to reduce burdens on 
business by 25% by 2012, and is part of the Commission's strategy to combat VAT fraud 
more efficiently.  
The Communication and the proposal  reflect the real concerns of the business community and 
tax administrations, as indicate d in their rep lies to the public consultation. The proposal  
addresses not only the VAT obstacles which hamper the up-take of electronic invoicing and storage, but it also addresses difficulties that businesses face due to th e diversity of national 
rules on the content of invoices. 
This proposal is currently under discussion in Council. 
Technical amendments of the VAT Directive  
The Council adopted on 22 December 2009 a Direc tive amending several elements of Council 
Directive 2006/112/EC based on N ovember 2007 Commission proposal.  These amendments 
concern notably: the scope of th e scheme applicable to natura l gas and electricity since 2003 
in order to bring legislation into line with ec onomic developments; the tax treatment of joint 
undertakings set up pursuant to Article 187 of the TFEU; the taking into account of certain 
consequences of EU enlargement; and the arra ngements for exercising the right to deduct 
VAT for mixed-use immovable pr operty and business assets. .  
Comments from the business world and the Memb er States had demonstrated the need to 
amend several elements of the VAT Directive. 
EN 336   EN Mutual recovery assistance 
On 2 February 2009, the Commission adopte d a proposal for a new Council Directive 
concerning mutual assistance for the recovery of claims relating to taxes, duties and other 
measures (COM(2009)28). The aim of this proposal is to facilitate the recovery assistance and 
to make it more efficient. It is expected that  this Directive will be adopted by the Council in 
the first half of 2010, to enter into force on 1 January 2012. 
Excise duties 
In the area of excise duties, Council Dir ective 2009/55/EC of 25 May 2009 concerning tax 
exemptions applicable to the permanent intr oduction from a Member State of the personal 
property of individuals (codified version of Directive 1983/183/EEC), was adopted. Since the 
initial version of Directive 1983/183/EEC has been substantia lly amended several times, a 
codified version proved to be necessary in  the interest of cl arity and rationality. 
The Commission continued preparatory work on a possible revision of Directive 2003/96/EC 
("the Energy Taxation Directive") to better co mbine fiscal and environmental goals. In the 
wider context of that work, the Commission also organised an one day conference on " What 
taxation for a low carbon economy?",  which focused on the role that taxation could or should 
play with respect to emissions not incl uded in the EU emission trading system. 
 
b) Preventive measures being taken in relation to recently adopted new legislation – 
conformity assessment of national trans position, transposition package meetings, 
development of guidelines, initiation of netw orking systems to manage the new legislation, 
etc. 
Value added tax (VAT)  
Since the Council Directive 2009 /69/EC of 25 June 2009 rega rding tax evasion linked to 
imports requires some implementing measures, di scussions have started within the framework 
of the Standard Committee on Administrati ve Cooperation (SCAC) and the Customs 
Directorate within DG TAXUD. The Commission also organised a seminar under the Fiscalis 
Programme to examine together with the partic ipants from all Member States the new rules 
provided for by this Council Directive. Regard ing the implementation of Council Directive 
2008/117/EC of 16 December 2008 amending Direc tive 2006/112/EC on the common system 
of value added tax to combat tax evasion with intra-Community  transactions (reducing of 
timeframes for submitting recapitulative statements) the Commission monitored the progress made by the Member States in order to adjust their IT systems to the required standards in 
time.  
The Commission also organised a seminar under th e Fiscalis Programme in order to discuss 
with the Member States the changes that result  from the new legislative measures and their 
impact on administrative cooperation. 
Implementation of the "VAT package" 
From 1 January 2010, the new "VAT Package" en ters into force across the EU, including new 
provisions which will see VAT for business-to- business services paid in the country of 
consumption rather than the country where th e supplier is located, while for business-to-
EN 337   EN consumer services, VAT will continue to be paid  in the Member State in which the supplier is 
established. On the same date, a new electronic procedure is put in place in order to allow 
taxable persons to claim back the VAT they paid  in another MS directly  to their own Member 
State. 
Directives 2008/8/EC of 12 February 2008 am ending Directive 2006/112/EC as regards the 
place of supply of services a nd 2008/9/EC of the same date la ying down detailed rules for the 
refund of value added tax, provided for in Directive 2006/112/EC, to taxable persons not 
established in the Member State of refund but es tablished in another Memb er State, have been 
discussed several times in the VAT Committee. 
On 1st December the Commission adopted an imp lementing regulation on Refunds of VAT 
laying down the detailed rules fo r the electronic submission of refund request and exchange of 
information on these requests.  
In preparation for the entry into force of th e new rules on supply of services, the Commission 
adopted on 17 December a proposal on impl ementing measures for the VAT Directive 
2006/112 (COM(2009) 672 final), which includes a number of measures related to the VAT 
Package, in particular to prev ent situations of double taxation th at could arise as a result of 
diverging interpretations of the new rules. For example, there are guidelines for suppliers on 
establishing the location and tax status of the cu stomer, as this will determine the rate of VAT 
that must be paid. Other gui delines focus on the provisions within the VAT Package which 
complement or provide exceptions to these ge neral new rules. The VAT Package, which was 
adopted by Member States at the ECOFIN Co uncil in February 2008, also provides for a 
faster, more effective electronic  procedure for businesses to recl aim the VAT that they pay in 
a Member State other than the one in which they are established.  
Reduced VAT rates  
Following the ECOFIN political agreement of  10 March 2009, the Council adopted on the 5th 
of May Directive 2009/47/EC essentially allowing  all Member States – on a permanent basis 
– to opt for the application of reduced rate s of value-added tax (VAT) to certain labour-
intensive local services, including restaurant and catering services. 
EU rules on VAT rates, set by the Council Dire ctive 2006/112/EC, require Member States to 
apply a minimum 15 % standard rate to the supp ly of most goods and services. As a general 
rule, Member States are however allowed to a pply one or two reduced VAT rates of at least 
5% to a limited number of supplies. 
The current rules are the outcome of a variety of  initiatives over the years, including the 1992 
Council Directive on the harmonisation of VAT rate s in the context of the EU single market, 
and subsequent Council Directiv es and Decisions to allow reduced VAT rates on labour-
intensive local servic es with a view to stimulatin g employment and reducing fraud. 
As a follow up to the entry into force of the ne w scope of reduced rates, the Commission has, 
by means of a letter, invited all Member States to carefully cons ider the precise scope of the 
10 March 2009 political agreement (ECOFIN), havi ng regard notably to the options to apply 
reduced VAT rates and the changes unanimously agreed. In addition, th e Commission invited 
all Member States to analyse their national legislation and, if need be, take rectifying 
measures. The Commission also, acting in its ro le of guardian of the Treaties is examining 
Member States' legislation in order to establis h whether EU rules on reduced rates of VAT are 
EN 338   EN correctly applied and will undert ake the necessary steps in order to ensure a correct 
implementation of the new scope of redu ced VAT rates as ag reed by the Council. 
VAT grouping 
On 2nd July the Commission adopted a Communi cation setting out its position on VAT 
grouping schemes. The EU VAT legislation give s Member States the option, for the purpose 
of administrative simplification, to regard as  one single taxable person those who, while 
legally independent, are closely bound to one another by financial, economic and 
organisational links. The Communication includes  guidelines which aim at ensuring a correct, 
coherent and uniform application of the VAT grouping option. 
Excise duties 
Council Directive 2008/118/EC of  16 December 2008 concerning the general arrangements 
for excise duty and repealing Directive 92/12/EEC, which will enter into force on 1 April 2010. It will provide the legal base for EMCS (the Excise Movement and Control System), 
which is a computerised system for mon itoring the movements of excise goods under 
suspension of excise duty with in the EU. Directive 2008/118/EC  provides the legal basis for 
EMCS, which enters into application as of 1 Ap ril 2010 as well. The entr y into application of 
EMCS and of the Directive on 1 April 2010 has been actively prepared  and monitored by the 
Committee on Excise Duties as well as by its  subcommittee responsible for EMCS, the 
ECWP (Excise Computerisation Working Party). 
c) Main actions being taken to control the correct application of the law – conformity 
assessments, reports on the applicati on of legislation, studies, etc  
Value added tax (VAT)  
On 18 August 2009 the Commission adopted its  report on the application of Council 
Regulation EC no 1798/2003 concerni ng the administrative cooperati on in the field of Value 
Added Tax (COM (2009) 428). This report asse sses the functioning of the administrative 
cooperation between Member States and a nnounces a range of measures which will 
substantially affect the way administrative coop eration will function in the future. Part of 
these measures is taken on boa rd in the legislative propos al for a Recast of Council 
Regulation 1798/2003. 
The Commission has checked the correct impl ementation by the Member States of the 
extension, after 31 December 2008, of the e-comm erce special scheme, according to Directive 
2008/8/EC of 12 February 2008.  
d) Management of the acquis through committees and expert groups   
Value added tax (VAT)  
As regards administrative cooperation in the field of VAT, several expert groups, funded 
through the Fiscalis 2013 budget, discussed speci fic problems that are either related to 
specific fraud problems or targeted at excha nging best practises or enhancing cross border 
administrative cooperation. These groups dealt with  multilateral controls, e-auditing, internet 
monitoring, new means of transport (cars and yachts), risk management and e-learning. 
The VAT Committee, an advisory committee set up by Article 398 of the VAT Directive 
2006/112/EC of 28 November 2006, has competence  to examine questi ons raised by the 
EN 339   EN Commission or the representatives of the Memb er States, which concern the application of 
Community provisions on VAT. At least twice a year, but often more, the VAT Committee 
examines questions raised on the interpre tation and application of the existing VAT 
legislation. Given the adoption of the new ru les on the place of taxation of supplies of 
services, the VAT Committee held 5 meetings, spread on 7 days, in 2009, with a view of 
agreeing common guidelines concerning the impleme ntation of the new rules. The work of 
the VAT committee has lead to the recast pr oposal on implementing measures for the VAT 
Directive 2006/112 (COM(2009) 672 final) to  be adopted unanimously by the Council.  
Mutual recovery assistance  
The Recovery Committee examines matters concerning the application of the Directive on 
mutual recovery assistance (Arts. 20 and 21 of Council Directive 2008/ 55/EC). Two meetings 
have been held in 2009.  
e) Enquiries, problems and complaints management  
Within the area of indirect taxation , the criteria of prioritisation were fixed in line with the 
Communication of the Commissi on of 2002 on the improvement of the control of the 
application of the Community le gislation. The Commissi on has increased its efforts to ensure 
alignment of Member States' indirect tax legi slation with the requirements of primary and 
secondary Community law, by intensifying its infringement action following the adoption of 
new Directives and by pursuing a more targeted infringement  approach in support of ongoing 
policy initiatives such as the Commission's initiative on tax policy coordination; inter alia in the area of VAT grouping Commission issued a Communication452 and has opened infringement procedures against Member Stat es violating the VAT Directive. Infringement 
procedures affecting the Comm unity own resources and specifi c infringement procedures 
related to VAT on postal services, travel agents and reduced VAT rates were launched in this context.  
In the Commission Communication 'A Europe of results-Applying Community law'453, the 
Commission decided on the introduction of an arrangement for monthl y decision-taking to 
allow for the quicker progress of infringement cases about 2 years. The results of this new 
decisional method were particular ly significant within this doma in where considerable efforts 
were made in order to carry  out the objective la id down by the Commission. A significant 
number of cases is currently before the ECJ.  
Another important element of the Commission Communication was the st arting up of a pilot 
project to test and improve  working methods between Co mmission services and Member 
States on information exchange and problem solv ing (EUPILOT).In the course of the year the 
overwhelming majority of files have reached a satisfactory conclusion, even if improvements 
have been identified in the way the process co uld operate, with 75 percent of Member State 
responses provided within the 10week benchmark. 
                                                
 
452 COM(2009)325 453 COM(2007)502 
EN 340   EN Reference to the system SOLVIT will remain an important means for resolving the problems 
confronting citizens and taxpayers in a Member State different th en the Member State of their 
residence. 
f) Petitions  
Regarding the 33 petitions treated in the area of indirect taxation,  in 2009, the most 
recurrent issues remained in the area of taxation of cars. 
g) Management of infringements Within the area of indirect taxation, 2009 was a nother successive year with a considerable 
number of infringement cases, closed after br inging their legislation into conformity with 
Community Law by the Member States durin g the different steps of the 258-(ex 226-) 
procedure, and a considerable input related to new Court cases. The following cases merit extra attention: 
In the judgment in the case Commission v. Poland454, the Court declared that, by failing to 
adapt, by 1 January 2006, its syst em of electricity tax with rega rd to the time at which the 
electricity tax becomes charg eable to the requirements of the Council Directive 2003/96/EC 
the Republic of Poland has failed to fulfil its obligations under that directive and the Court 
ordered the Republic of Poland to pay the costs. 
 In the judgments Commission v. Ireland455  and Commission v. Spain456  the Court decided 
that Ireland and Spain failed to lay down in its national legislat ion requirement or a criterion 
for a framework that bodies governed by public  law acting in their capacity as a public 
authority are to be subject to value added ta x where their treatment as non-taxable persons 
gives rise to significant distortions of competition as well as that where they are engaged in activities listed in Annex I to Council Directiv e 2006/112/EC they are to be subject to tax. 
In the judgment Commission v. Finland457  the Court declared that, by deducting the tax on 
vehicles from value added tax as well as by re taining, when taxing vehicles, the same taxable 
value for vehicles under three months old as fo r new vehicles, the Rep ublic of Finland has 
failed to fulfil its obligations under the first paragraph of Article 90 EC (Article 110 TFEU) 
and Article 17(1) and (2) of Directive 77/388/EEC. 
Finally in the case TNT458  the Court decided that as ‘public postal services’ (exempted from 
VAT) must be regarded all operators, whether pub lic or private, who undertake to supply not 
individually negotiated postal se rvices which meet the essen tial needs of the population and 
therefore, in practice, to provide  all or part of the universal po stal service in a Member State. 
                                                
 
454 Judgment of 12.02.2009, case C-475/07 455 Judgment of 16.07.2009, case C-554/07 456 Judgment of 12.11.2009, case C-154/08 457 Judgment of 19.03.2009, case C-10/08 458 Judgment of 23.03.2009, case C-357/07 
EN 341   EN 11.2.2.   Evaluation based on the current situation  
It is important to recall that unanimity is and will remain the rule for the adoption (and thus 
the adjustment of the principles in the ar ea of VAT) of the texts towards harmonization in the 
field of taxation . This situation makes harmonization by legislation more complex and often 
leads to the granting of options to Member St ates thereby creating differences leading very 
often to prejudicial consequences. 
Furthermore, the important proposal of 5 Ju ly 2005459 , for a directive which, inter alia, 
includes the abolition of registration taxes a nd would have positive effect on free movement 
of persons consequently  could not be adopted. 
Hence, the infringement policy constitutes a major instrument to contribute in a non-
negligible way to uniform application a nd thus towards harmonization simplifying the 
situation for taxpayers. For example the exis ting provisions of EU-law concerning travel 
agencies and VAT exemption on postal services  were interpreted differently by the Member 
States and this fact led at the end to openi ng of infringement procedures. Therefore the 
infringement policy ensured harmonized interp retation of concerned rules by all Member 
States.  
The overall situation in the area of indirect taxation  is changing as infringement action and 
references to the Court have steadily increased in recent years and this trend is still likely to continue. The key challenges will be to achieve correct application of Community law in this 
area within acceptable deadlines. The positi on needs to be monitored continuously.  
A number of measures have already been take n to improve the situa tion and to rationalize 
action. This includes a more strategic approach to infringement action by focusing on specific 
priorities and adopting a more horizontal approach to simila r infringements in different 
Member States. In addition, a lo t of emphasis is put on preventi on by better co-ordinating the 
preparation of national legisl ation translating Community legislation into national law. 
Finally, it is welcomed that during 2009, 57 infr ingement cases have been closed because the 
Member States concerned decided to bring thei r legislation into conformity with Community 
Law without any referral to the Court of Just ice. These figures reve al clearly that the 
alignment of Member States' legislation with  Community law is being achieved through the 
work done by the Commission and Member States in the context of infringement proceedings 
following the adoption of new directives. As stated in its 2007 Communication, the 
Commission has started to work wi th Member States to try to ensure quicker results without 
recourse to infringement proceedings always being necessary. 
 
11.2.3.   Evaluation results 
11.2.3.1.   Priorities  
Our existing pro-active infringe ment policy and priori tisation of specific  issues has been 
maintained and further developed as a strategy in  order to persuade Member States to approve 
ongoing legislative proposals and mostly to tr y to push back the in creasing number of 
                                                
 
459  COM (2005) 2641 final 
EN 342   EN complaints year after year. Unfortunately this policy has not always reached the stated goal 
(for example, on travel agencies). 
On the control of the implementation of Direc tives, the implementing na tional provisions were 
checked routinely by the officials responsible  for the follow-up of national legislation. 
However, the introduction of an obligation for th e Member States to pr ovide systematically, 
for each Directive, correlation tables to the Commission services would increase transparency 
and user-friendliness of national legislatio n, would facilitate the dialogue with the 
Commission on transposition of directives and could repres ent a useful tool for both 
administrations and stakeholders, but unfor tunately is not yet entirely applied.  
A second priority concerns the Community own re sources. Those resources within the area of 
indirect taxation include those accruing from VAT and are obtain ed through the application of 
a uniform rate on a uniform to basis of assessment in accordance with Community rules. Cases detected through "own investigation" w ith a possible impact on own resources continue 
to be initiated by the Commission. For exam ple the Commission has initiated several 
procedures concerning the correct application of VAT exemptions according to Article 137 of 
the VAT Directive. Their purpose is to ensure of  the equal treatment of the Member States in 
their contributions to the Community "own resources".  
A third pillar regarding the priori tisation policy within the domain of indirect taxation, is that 
the Commission has increased its efforts to ensu re alignment of Member States' indirect tax 
legislation with the requirements of primary and secondary Community law, by intensifying 
its infringement action following the adoption of new Directives and by pursuing a more targeted infringement approach in support of ongoing policy initiatives. 
Lastly, in the field of car taxation, object of many complaints and petitions, the Commission 
uses article 110 of the EU Tr eaty (ex article 90 of the EC Treaty) as interpreted by the 
Jurisprudence of the Court of justice, to ensure that the Member States do not tax in a 
discriminatory way, at the time of registra tion, second-hand vehicles bought in the other 
Member States (Bulgaria, Greece, Ireland, France, Cyprus, Hungary, Malta, Portugal, 
Romania). 
For indirect taxation  issues, the Commission opened 13 6 new infringement cases 99 of 
which related to VAT, 14  related to excise duties a nd 23 regarding car, energy and 
environmental taxation. 
During 2009, 57  opened infringement cases were closed after Member States modified their 
legislation and therefore complied with Community Law; most of the time we had to refer the case to the Court of Justice before compliance was achieved. 
The infringement policy of the Commission was re flected both in a considerable number of 
infringement cases and a consid erable input related to new C ourt cases. During the year 2009, 
the Court of justice has delivered 30 judgments related to indirect taxation (24  in the domain 
of VAT and 6 regarding other in direct tax issues), mostly j udgments in consequence of a 
request for a preliminary ruling from a nationa l court in pursuance of which the Commission 
has given its advice. 
The volume of petitions in this sector is relativ ely moderate and stable (24 petitions have been 
handled during 2009). 
EN 343   EN 11.2.3.2.  Planned action (2010 and beyond)  
One of the specific objectives planned for the mi d-term is to create a simpler and transparent 
tax environment for individuals, SME's and ot her businesses in cross-border transactions 
through the control of the app lication of Community law, m odernisation, better coordination 
and harmonisation of tax systems in the Internal Market. 
Since VAT has been identified as causing a high  level of administrative burden for business, 
the Commission is seeking to book result s in simplifying and rationalising the VAT 
legislation. The 'production' of legislative prop osals are likely to reduce the administrative 
burden. 
And last but not least the challenge of correct  transposition of new rules on place of supply  
starting on 1 January 2010 in scope of VAT package implementation as well as the new 
system of reimbursement of VAT allowing the taxpayer to submit the documents to the tax 
authorities of the Member state where is he  registered. All these measures require a 
coordinated and instant legisla tive as well as technical implementation in all Member States. 
11.2.4.  Sector summary  
Regarding indirect taxation , the Commission continues to be confronted within this area 
with a marked increase in enquiries, complaints  and references for preliminary rulings. The 
Commission has concentrated its efforts to ensure alignment of Member States' indirect tax 
legislation with the requirements of primar y and secondary Community law, by pursuing a 
more targeted infringement approach in s upport of ongoing policy initiatives such as the 
Commission's initiative on tax policy coordinati on. Infringement procedures affecting the 
Community own resources and specific infringe ment procedures related to VAT on postal 
services, travel agents and reduced VAT rate s were further followed up in this context. 
Despite the good figures for notif ication regarding the transposition of the existing secondary 
Community Law, our existing pro-active infring ement policy and prioritisation of specific 
issues should be maintained  and particular  attention will be devoted to the important 
modifications which will come in to force on 1.1.2010 (VAT package). 
 11.3. Situation in the sector of DIRECT TAXATION 
11.3.1.  Current position  
11.3.1.1.  Existing measures in force 
 See Annex 
11.3.1.2.  Report of work done in 2009 
New legislation in preparation or already proposed and in the course of being adopted, 
impact assessments and implem entation plans being develope d in connection with new 
proposals, etc.  
 
On 2 February 2009, the Commission adopte d a proposal for a new Council Directive 
concerning administrative cooperation in the fi eld of taxation (COM (2009)29). The aim of 
this proposal is to enhance and streamline th e mechanisms of admini strative cooperation for 
all taxes that are not yet c overed by Community legislation relating to administrative 
cooperation and mainly for direct taxes. It especially provides for the abolition of bank 
EN 344   EN secrecy for administrative cooperation purposes. It  is expected that th is Directive will be 
adopted by the Council in the first half of 2010, to enter into force on 1 January 2012 for all 
measures but automatic exchange of info rmation and on 1 January 2014 for automatic 
exchange of information. 
 
Volume of enquiries, complaints, infringeme nts work and petitions, and prioritization among 
them 
In the area of direct taxation , the objectives adopted by the Commission for the period 2005 - 
2009, were after increases in  the last years reflected in a rath er stable number of infringement 
cases and increased input into new Court cases. As in previo us years, the main focus in 2009 
was on breaches of Community law, in particul ar those concerning th e application of the 
Treaty freedoms in respect of differential treatmen t of domestic and cross-border situations. In 
addition, infringement action was targeted at  those areas where the Commission sees scope 
for co-ordination of Member States' direct  tax systems, as highlighted in the 2006 
Communication on Co-ordinating Member States' dir ect tax systems in the Internal Market. In 
this respect, priority was in particular given to  infringement cases in respect of exit tax rules 
on individuals and companies and discriminato ry tax treatment of foreign charities.  
In 2009 the Court of Justice deliv ered 23 judgments related to direct taxation. Most of the 
Court's judgments in this area (16) concer ned references for preliminary rulings. The 
following cases were of particular relevance: 
In Persche 460 the Court held that Article 56 EC [n ow Article 63 TFEU] precludes legislation 
of a Member State by which, as regards gifts ma de to bodies recognised as having charitable 
status, the benefit of a deduction for tax purposes is allowed only in resp ect of gifts made to 
bodies established in that Member State, without  any possibility for the taxpayer to show that 
a gift made to a body established in another Me mber State satisfies the requirements imposed 
by that legislation for the grant of such a benefit. 
In Margarete Block 461 the Court ruled that Article 56  EC [now Article 63 TFEU], in 
circumstances such as those of the present ca se, does not preclude legi slation of a Member 
State which does not provide for in heritance tax paid in another Member State to be credited 
against inheritance tax payable in the first Member State. The double taxation results from the 
exercise in parallel by two Memb er States of their fiscal sovereignty. Community law, in its 
current state and in a situation such as that in the main proceedings, does not lay down any 
general criteria for the attribution of areas of competence between the Member States in 
relation to the elimin ation of double taxation within the Community. 
In Commission v. Italy 462 the Court held that by making di vidends distributed to companies 
established in other Member Stat es subject to a less favourable ta x regime than that applied to 
dividends distributed to reside nt companies, the Italian Re public has failed to fulfil its 
                                                 
460 Judgment of 27.01.2009, case C-318/07 461 Judgment of 12.02.2009, case C-67/08  462 Judgment of 19.11.2009, case C-540/07 
EN 345   EN obligations under Article 56 EC [now Artic le 63 TFEU]. The Court confirmed the 
Commission's position that outbound dividend payments to corporat e shareholders resident in 
other EU Member States may not be taxed less favourably than di vidend payments to resident 
corporate shareholders. In addition, the Cour t rejected the Italian argument invoking the 
application of Conventions for the avoidan ce of double taxation as a mechanism able to 
compensate the difference in treatment arising from the Italian legislation. 
Regarding the petitions in the direct tax area, most petitions related to possible infringements 
of Treaty freedoms and instances of double taxa tion due to the simultaneous application of 
different Member State tax laws.  
As regards direct taxation , the Commission opened 90 new in fringement cases in 2009, a 
smaller number than in 2008. This was due also  to the new approach of applying a tighter 
dialogue and co-operation between the Commission and Member States in the st ages prior to 
opening of formal infringement proceedings. During 2009, 70  (100% increase with regard to 
2008) opened infringement cases were closed after the Member States concerned modified 
their legislation to comply with Community Law. 
• In view of the lack of seconda ry Community legisla tion in the direct ta x area, the majority 
of enquiries and complaints in this area (a total volume of 260 in 2009) relate to the 
application of the fundamental Treaty freedom s in respect of differential treatment of 
domestic and cross-border situations. They th erefore fall mainly into  the second priority 
category of the Communication COM(2007) 502 concerning 'breaches of Community 
law, raising issues of principle or having particularly far-reaching negative impact for 
citizens, such as those concerning the a pplication of Treaty pr inciples (..)'.  
• Judging from the ever increasing number of enquiries, complaints and references for 
preliminary rulings in the direct tax area, the external interest in this area is substantial and 
growing. Given the lack of progress toward positive integration, which is at least partly due to the unanimity requirement in tax matters, this trend is likely to continue and intensify over the coming years. 
• Priority is given to those cases which re veal clear and serious infringements of 
Community law that prevent EU citizens and enterprises from maki ng use of their rights 
to establish themselves or invest in other Member States. Moreover, particular attention is 
paid to those areas where the Commission sees  scope for co-ordination of MS' direct tax 
systems, as highlighted in the 2006 Comm unication on Co-ordinating Member States' 
direct tax systems in the Internal Market (COM(2006)823 of 19.12.2006) and the subsequent specific communica tions on cross-border losses, exit taxes and anti-abuse 
rules. In addition, work on the current prior ity areas (including taxa tion of cross-border 
dividend payments and cross-border pensions) will continue.  
The volume of petitions in the direct tax area is re latively moderate and stable (15 petitions in 
2009).  
Management of the acquis through committees and expert groups 
The Working Group for Administra tive Cooperation in the field of Direct Taxes (WG ACDT) 
examines matters concerning the application of the Directive on mutual assistance in direct 
tax matters and insurance premiums (Direct ive 77/799/EEC) and the application of the 
Directive on the taxation of savings income in  the form of interest payments (Directive 
2003/48/EC). Three meetings have been held in 2009. 
EN 346   EN In addition, a sub group of the WG ACDT de voted to the design and IT development of 
common forms for exchange of in formation met four times in 2009. 
Recently adopted measures requiring additional work 
There are no recently adopted measures in the direct tax area which require additional work. 
New measures requiring transposition work 
Regarding direct taxation, negotiations ar e ongoing on the amendment to the Savings 
Taxation Directive (2003/48/EC) and the Mu tual Assistance Directive (77/799/EEC). 
Adoption by Council in 2010 would require  substantial transposition work. 
11.3.2.  Evaluation based on current situation 
The situation in the direct tax area is changing  as the infringement ac tion and the number of 
references to the Court has increased in recent y ears and this trend is likely to continue. The 
key challenges are to manage this increase in ac tivity without an increase in resources and to 
achieve correct application of Community  law in this largely unharmonised area.  
A number of measures have already been taken to try and improve the situation. This includes 
a more strategic approach to in fringement action in this area by focusing on specific priorities 
and adopting a more horizontal approach to simi lar infringements in different Member States.  
Moreover, the Commission is encouraging Member States to take a more pro-active approach 
to removing existing tax obstacles by examining the scope for co-ordination of MS' direct tax 
systems. As outlined in the 2006 Communication on Co-ordinating Member States' direct tax 
systems in the Internal Market  (COM(2006)823 of 19.12.2006), the aim of this initiative is to 
ensure that national tax systems comply with Community law and interact coherently with 
each other. The initiative seek s to remove discrimination and double taxation for the benefit 
of individuals and business while preventing  tax abuse and erosion of the tax base. 
Coordinated solutions could help to remove  discrimination and eliminate remaining tax 
obstacles to cross-border activity and thus help  to reverse the trend of increased litigation by 
taxpayers in national courts and the ECJ.   
11.3.3.  Evaluation results 
11.3.3.1.  Priorities 
As far as direct taxation is concerned, the priorities set for 2009 remain unchanged for 2010.  
11.3.3.2.   Planned action (2010 and beyond) 
Given the evaluation of the current situation, co ntinued and intensified infringement action is 
envisaged in the direct tax area. 
Common Consolidated Cor porate Tax Base (CCCTB) 
In the medium term, adoption by the Council of the planned legislative proposal for a 
Common Consolidated Corporate Tax Base  (CCCTB) would require substantial 
implementation/ transposition by Member States and conformity assessment by the 
Commission possibly combined with expert group/ committee meetings to manage the 
EN 347   EN application of the measure. Once adopted and implemented, CCCTB would reduce the scope 
for cross-border restrictions and thus result in a decrease in infringements in the corporate tax 
area.  
Amendment Savings Directive463 
The European Commission on 13 November 2008 adopted an amending proposal to the 
Savings Taxation Directive, with a view to closing existing loopholes and better preventing 
tax evasion. The Commission proposal seeks to improve the Directive, so as to better ensure the taxation of interest payments which are channelled through intermediate tax-exempted 
structures. It is also proposed to extend the sc ope of the Directive to income equivalent to 
interest obtained through invest ments in some innovative financ ial products as well as in 
certain life insurance products. Adoption by the Council would require substantial 
implementation by Member States and confor mity assessment by the Commission possibly 
combined with committee meetings to manage the application of the measure.  
11.3.4.  Sector summary  
In the area of direct taxation , action continues to re late mainly to the se cond priority listed in 
the 2007 Communication (breaches of Community law raising issues of principle). In view of 
the lack of secondary Community legislation in this area, the main focu s is on the application 
of the fundamental Treaty freedoms in respect of  differential treatment of domestic and cross-
border situations. There has again been a ma rked increase in enquiries, complaints and 
references for preliminary rulings and this trend is likely to continue. In order to manage this 
increase in activity, the Commission will con tinue to pursue a strategic approach to 
infringement action in this area by focusi ng on specific priorities and by looking more 
horizontally at similar infringeme nts in different Member States.  Moreover, as outlined in the 
2006 Communication on Co-ordinating Member Stat es' direct tax systems in the Internal 
Market, the Commission is encour aging Member States to be more pro-active in removing 
existing tax obstacles by examining the scope for co-ordination in this ar ea. Such co-ordinated 
action can help to remove discrimination and promote compliance with Community law. The 
priorities in this area remain unchanged for 2010. 
 
12. EDUCATION
 AND  CULTURE 
12.1. Current position 
12.1.1.  General introduction 
12.1.1.1.  Education and training 
The continuing challenge in the field of educati on and training is to ensure the application of 
the principle of free movement for students,  a fundamental objective of EU action in 
accordance with Article 165 TFEU, which replaced  and supplemented Article 149 of the EC 
Treaty. Students in the different types and leve ls of education and training should not be 
                                                 
463 Directive 2003/48/EC on taxation of inco me from savings (OJ L 157 p 38 of 26.06.2003) 
EN 348   EN treated less favourably because they have exercise d their right to mobility for all or a part of 
their studies or have b een awarded diplomas in another Member State. 
Learning mobility plays a key role both in the personal and skills development of the 
individual student and in promo ting greater labour market flexib ility after the studies. It is 
also an important component for creating the Eur ope of citizens, one of the key objectives of 
the Union. The obstacles to mobility should ther efore be removed as far as possible. Despite 
the relative lack of specific, binding provisions in EU primary and secondary law in this area, 
the Commission took action to protect the pr inciple of free movement. The obstacles 
encountered relate mainly to the equality of tuition and registration fees, to some benefits 
directly related to student status, to the rec ognition of periods of study and diplomas acquired 
in other Member States and to the scholarship s and/or student loans offered. Infringement 
procedures begun in 2009 concerned areas such as discrimination in access to distance learning provided from a Member State other than the Member State of residence; and 
discrimination in access to reduced fare s for students on public transport. 
The main Treaty articles and other lega lly binding provisions applicable are: 
• Article 12 of the Treaty464, establishing  the principle of prohibition of any 
discrimination on grounds of nationality within the scope of application of 
the Treaty465.  
• Article 17, establishing citizenship of the Union and ensuring citizens of the 
Union enjoy the rights conferred by the Treaty. 
• Article 18, providing that ev ery citizen of the Union shall have the right to 
move and reside freely within th e territory of the Member States. 
• Articles 149, related to e ducation. In paragraph 2, the objectives of the EU 
institutions' action in the field of education are set out. Among those 
objectives are "encouraging mobility  of students and teachers, by 
encouraging inter alia, the academic recognition of diplomas and periods of study" and "encouraging the developmen t of distance education". Similar 
provisions are contained in Article 150, related to vocational training.  
• Directive 2004/38/EC, on the right of c itizens of the Union and their family 
members to move and reside freely within  the territory of the Member States. 
This Directive contains several prov isions concerning students and persons 
under vocational training. Indeed, stude nts are an important category of 
                                                
 
464  Since the 1.12.2009, Article 18 of the Treaty on the Functioning of the European 
Union. As our legal cases in 2009 have been trea ted under the old Tr eaty (EC Treaty ), it is to 
that Treaty we will refer in the present contri bution. We will use reference to the new Treaties 
in the topic concerning pla nned action for the future. 
465 The Court of Justice has held that the fiel d of education is among those included in the 
scope of the Treaty under Article 12. Inter alia , see the judgment of 11 July 2002 in the case 
C-224/98, D'Hoop , grounds 29 to 32; judgment of 15 March 2005 in the case C-209/03, 
Bidar , operative part. Article 12 must be read in conjunction with th e provisions of the Treaty 
on citizenship of the Union, i.e. articles 17 and 18. 
EN 349   EN citizens moving between Member States and the Directive contains key 
provisions related to students on, for example, rights of residence for 
students legally enrolled in education or vocational traini ng, and on equal 
treatment of EU citizens with speci fic rules on social assistance and 
maintenance grants. 
Directives and other EU legal acts containing provi sions related to education or vocational 
training466 are not adopted on the basis of  Articles 149 and 150 EC, because the 
harmonisation of the laws and regulations of th e Member States for the achievement of the 
objectives referred to in these Articles is excl uded by the Treaty (see paragraph 4 of Articles 
149 and 150). EU action based on these articles may only encourage, support and supplement 
Member States' action, while fully respecting thei r responsibility for th e content of teaching 
and vocational training and for the organisati on of education and training systems.  
Nevertheless, Article 149 para graph 2, taken together with the abovementioned Articles 12, 
17 and 18 and Directives, provides a clear stru cture for the legal framework on the free 
movement of students. On that basis, a student who moves from his Member  State of origin to 
another to carry out all or part of his/her st udies, is protected not only against discrimination 
on grounds of nationality in the second Member Stat e, but also against pr ejudicial treatment in 
his/her Member State of origin on grounds (directly or indirectly) related to  the fact that s/he 
has studied abroad. This new standard finds its  application, e.g., when a student asks his/her 
own Member State to recognize a diploma acquired in another Member State or when s/he 
asks for the portability of a grant or scholarsh ip in order to continue studying in another 
Member State467. 
In that light, the refusal to recognize a di ploma without a proper justification or the 
application of disproportionately long or costly procedures coul d be interpreted as penalising 
a European citizen for having exercised his or her right to free movement and having followed 
studies in another Member State. Such practices could, therefore, also constitute violations of 
EU law.  
Finally, it is useful here to show the methodology used by the Co mmission in the exercise of 
its tasks for the classification of the issues pe rtaining to education a nd training. The categories 
are: 
(1) Access to educational institutions in a Member State for students from other 
Member States. The principle of non discrimination (12 CE) is the main rule here. Among seven cases handled by our DG in 2008, the cases against 
                                                
 
466  Another example is Council Directive 2000/78/EC of 27 November 2000 establishing 
a general framework for equal treatment in employment and occupation. This Directive, 
which lays down a general framework for combating discrimination on the grounds of 
religion or belief, disability, age or sexual orie ntation, is likely to apply in some questions 
related to education and vocational training.  The adoption of such anti-discriminatory 
provisions to be applied also in the fields of education and vocatio nal training is not 
incompatible with Articles 149 par. 4 and 15 0 par. 4 EC, because the objective of anti-
discrimination rules crosscuts all areas of EU law.    
467 Judgment of the Court of 23 October 2007 in the joint cases C-11/06 and C-12/06, 
Morgan  and Bucher.  
EN 350   EN Austria and Belgium concerning access to  their universities, principally for 
medical and related studies, by ca ndidates from Germany and France 
respectively, remain suspended for fi ve years. The Commission is closely 
monitoring the impact of the conditions imposed by those Member States, requiring them to submit to the Commi ssion statistical data468 which will 
enable an evaluation to be made on whether the measures are necessary and 
proportionate. Moreover, the preliminary case C-73/08, Bressol , submitted to 
the Court of Justice in 2 008 and on which the judgement  is expected in 2010, 
deals with the same issues and may im pact on the handling of these cases.  
(2) The conditions for awarding grants, eith er to cover tuition and registration 
fees, or to cover living expenses. This  issue is examined both in connection 
with the host country, concerning student s from other Member States, and in 
relation to the country of departure,  which, under certain conditions (Case C-
11-06, Morgan ), is obliged to award grants to students who decide to go to 
another country for all or part of their studies.  
(3) Other rights of students in the host c ountry during their st udies, in order to 
ensure equal treatment with domestic students. To this category belongs the issue of reductions on transport tariffs, for all regular students in a Member State, to the same extent as for the na tional students. This issue, with four 
cases in 2008, has been taken up with the three Member States concerned469.  
(4) The academic recognition of diplomas. The Commission receives a lot of 
correspondence on this issue, relating pa rticularly to excessive delays in 
recognising diplomas or periods of study, exceeding a reasonable cost for 
such recognition, not permitting appeals against negative decisions or not presenting justifications for such decisions.  
Apart from the binding provisions of EU law in th is sector, the role of "soft law", consisting 
principally of Recommendations of the Euro pean Parliament and of the Council, is 
particularly important in pr oviding a framework in which the difficulties encountered by 
citizens can be resolved. In this context, the European Qualifications Framework, due to be 
implemented by all Member States by 2011, is begi nning to have an impact. Valuable results 
are also often obtained in this area by th e ENIC-NARIC network (European Network of 
Information Centres, National Academic Recognition Information Centres)470.  
                                                
 
468 A second annual set of statistics wa s provided by Austria in December 2009. 
469  To the same category (student rights to ward the country of de stination) could be 
classified the issue of entry and residence permit for students. As for the movement of 
students between Member States, the issue was addressed initially by Directive 93/96/EC and 
recently by Directive 2004/38/EC. As for the movement of students between a EU country 
and a third country to which extends the appli cation of Union programmes, the problems are 
often resolved by the provisions governing the programme (manda tory or not). In cases of 
other third countries, the solutions are given eith er by the provisions of mutual agreements or 
by other instruments of the Union, which are the responsibility of the Di rectorate General for 
Justice, Liberty and Security.  
470  http://www.enic-naric.net/   
EN 351   EN 12.1.1.2.  Sport 
In the area of sport, it is established case-law of  the Court of Justice th at sport federations and 
regulations must respect the fundamental rights guaranteed by the Treaty, and in particular the 
principle of non-discrimination on grounds of nationality471. When faced with obstacles to 
mobility or with indirect discrimination, the pr inciple of proportionality applies on a case by 
case basis, taking into consid eration the specificity of sport. The same case law has 
recognised that the principle of equal treatm ent does not apply to rules of purely sporting 
interest which are not of an economic nature, such as the composition of national teams.  
In the absence of provisions  on sport in the Treaty estab lishing the European Community, 
amateur sport was understood both as a social advantage for migrant workers and as a field 
subject to equal treatment rules in the framew ork of European citizen ship. Following the entry 
into force of the Lisbon Treaty on 1st December 2009, the competence of the European Union 
in the area of sport now includes all sport activities within the scope of EU law. 
The entry into force of the Lisbon Treaty in troduced a new Article 165 TFEU extending the 
competence of the European Union in the area  of sport. Following a combined reading of 
Articles 18, 21 and 165 TFEU, the Commission cons iders that the general EU principle of 
prohibition of any discrimination on grounds of nati onality applies to spor t for all EU citizens 
who have used their right to free movement. As a consequence, sport activities as a whole fall 
into the scope of EU law, including amateur s port as well as professional sport, which also 
falls more specifically under the provisions related to internal market freedoms, in so far as the sport activities under considera tion constitute an economic activity. 
Moreover, the Commission considers amateur sport to be a social advantage in the context of 
the free movement of workers. According to  Article 7(2) of Re gulation (EEC) 1612/68472, 
migrant workers have to be treated equally with nationals of the host country concerning 
access to employment, as well as working cond itions and social advantages. The Court has 
held that these cover non financ ial advantages, in particular th ose which would facilitate their 
integration into the host Member State. 
Additionally, the Commission takes into accoun t the recent ECJ case law473 which considers 
that Union citizenship is destined to be the fundamental status of nationals of the Member 
States. In that regard, the Commission considers that the exercise of the right to move and 
reside freely in another Member State is enhanc ed if citizens of the Union are able to practice 
sport as amateurs on the same f ooting as its nationals. Consequen tly, in exercising that right in 
another Member State, persons are in principle entitled, pursuant to Arti cle 12 of the Treaty, 
to treatment no less favourable than that accorded to nationals of the host State. 
                                                
 
471  See CJEU cases C-36/74 Walrave ; C-13/76 Donà ; C-415/93 Bosman  
472 Regulation (EEC) 1612/68 of the Counc il of 15 October 1968 on freedom of 
movement for workers within the Community. 
473 See Cases C-184/99 Grzelczyk , paragraphs 31 to 33; C-85/96, Martinez Sala , 
paragraph 63; C-158/07 Förster , paragraphs 37 to 43. 
EN 352   EN In applying Union law to amateur sport, th e Commission takes into  account the specific 
characteristics of sport, as set out in Artic le 165 TFEU and in the Commission's White Paper 
on sport474. 
12.1.2.  Report of work done in 2009 
12.1.2.1.  Education and training 
The Commission services have intensified thei r activity in this area,  through infringement 
cases, parliamentary questions, pe titions to Parliament, citizens' inquiries and complaints, and 
by the application of new tools (EU Pilot, CHAP ) for the implementation of Community law.  
The Commission opened three infringement pr oceedings under Articles 12, 17, 18 and 149 of 
the Treaty and Article 24 Dire ctive 2004/38 about discrimina tion of students by the host 
country, regarding fares on public transport. The procedures have reached the stage of reasoned opinions for two Member States, whil e the third has complied with EU law at the 
stage of formal notice. The Commission believes that students who perf orm some or all of 
their studies in a Member State should have acc ess to public transport of  that State under the 
same conditions as domestic students.  
The Commission also opened infringement proceed ings against two Member States relating to 
fees and grants for distance learning. The Comm ission believes that students, who study in a 
Member State other than the one where the university providing th e distance learning is 
situated, should not pay higher tu ition fees than students from th at country nor receive a lower 
maintenance grant than if the university was si tuated in the Member State of residence.  
Two further files are related to tuition fees in  higher education. In the first, compliance has 
been achieved following approaches from the Co mmission services. In th e other, the opening 
of an infringement procedure is  foreseen for the beginning of 2010. 
In response to a petition to the European Parliament, the Co mmission services are currently 
pursuing a case of possible discrimination in access to compulsory education based on the language spoken by the child at home. Such a criterion risks cons tituting indirect 
discrimination based on nationality. 
12.1.2.2.  Sport 
The Commission received an increasing number of comp laints in 2009 relating to 
discrimination on grounds of nationality, con cerning access to competitions, awards of titles 
and medals, obstacles to mobility and transf er or administrative fees. The Commission's 
concern is to ensure that rights to free move ment and equal treatment are respected, taking 
into account the specific  characteristics of sport. In th at light, the Commission has launched a 
study to address the specific issue of access to individual competitions which will help to 
provide better guidance in this area. 
The complaints concerned access to both indivi dual and collective competitions in various 
sports such as basketball, handball, tennis, mountain running, horseback  riding or bowling. 
Infringement proceedings were opened concer ning respectively discrimination on grounds of 
                                                
 
474 White paper on sport, 11 July 2007, COM (2007) 391 final. 
EN 353   EN nationality in individual judo competitions, ba sketball regulations a nd transfer fees in 
handball. Three requests were se nt through EU Pilot re lated to basketball administrative fees, 
nationality quotas in squash and shooting. The Commission also continue d its dialogue with 
sport associations as foreseen in the White Paper on sport. In this framework, the Commission 
continued to work with FIFA on the so-cal led "6+5" rule in order to find a solution 
compatible with EU law.  
12.2. Evaluation based on the current situation 
12.2.1.  Education and training 
The level of compliance of Member States w ith the acquis can be considered generally 
satisfactory. However, the number of complaints and petitions of citizens, especially on the recognition of diplomas and peri ods of study, reveals th at the obstacles to free movement are 
still widespread in practice.  
The Commission services intend therefore to p ublish guidance for public authorities and 
stakeholders in the Member States, drawing out the key implications of the case law 
established by the Court thus far. This guidance will cover issues such as access to educational institutions, recognition of diplomas, the portability of grants, and other rights of 
students in the host country or in the country of origin. It should help to establish the rights of 
students to free movement as a clear area of EU law, underpinni ng the trend already 
established by the Court. In doing so, it wo uld contribute to the Union’s objective of 
achieving a substantial increase in the level of mobility among students in higher education. 
Announced in the previous Report on the control of  application of EU law, this guidance is 
foreseen to be published in the fram ework of the new Commission initiative Youth on the 
Move . 
12.2.2.  Sport 
The Union acquis concerning collective sports enables the Commission to act against 
discrimination on grounds of nationality and obs tacles to free movement when nationality 
quotas are detected. Other areas of sport challenging EU law a nd not yet covered by the ECJ's 
case law, such as access to individual competitions which may be destined to select, directly or indirectly, national athletes or  award national titles, medals or records, need le gal certainty. 
In that light, the Commission has launched a stu dy which will help to provide better guidance 
in this area and better define the specifi c characteristics of the concerned sports. 
Large disparities can be found across the Un ion concerning the invo lvement of Member 
States in the area of sport and its regulation. When  confronted with violations of EU law that 
can only be considered as disputes between pr ivate individuals, the Commission is unable to 
intervene within the framework of artic le 258 TFEU and can only recommend when 
appropriate the use of means of redress availabl e at national level, thus relying on national 
tribunals which have the duty to ensure that EU  law is correctly applied to every case brought 
before them. 
EN 354   EN 12.3. Evaluation results 
12.3.1.  Priorities 
12.3.1.1.    Education and training 
The priority area remains the mobility of stud ents within the European Union, where the 
current obstacles prevent the Union from realis ing the full economic and social benefits. In 
this context, the academic recognition of diplomas  is probably the most difficult issue to deal 
with. 
12.3.1.2.    Sport 
The priorities set in the previous Annual Reports are unchanged. The Commission will 
continue to ensure that rights to free movement and equal treat ment are respected, taking into 
account the specific char acteristics of sport. 
12.3.2.  Planned action (2010 and beyond) 
12.3.2.1.    Education and training 
Noting that the area of education is a sepa rate chapter of the Union's acquis, the 
Commission intends to suppor t its implementation by:  
• Opening formal proceedings in cases which, in the Commission’s view, represent 
clear infringements of EU law; 
• Participation in significant preliminary references to the Court, when matters 
relating to education and sport are involved. 
• Increasing use of the EUPilot and CHAP t ools in cases which appear to involve 
one-off misapplications of principles  which are otherwise accepted by the 
Member State concerned;  
• The provision of guidance to support Memb er State administrations, students and 
other stakeholders, with a cl ear description of the impli cations of the state of the 
law, jurisprudence and practice in the fi elds of education and amateur sport.  
12.3.2.2.    Sport 
The planned actions for 2010 are to: 
• Make proposals for the implementation of the new sport provisions foreseen 
in Article 165 TFEU, 
• Continue the enforcement of EU law, relying on the new provisions of Article 
165 TFEU, 
• Continue dialogue with sport associa tions in a preventive perspective, 
• Make use of the results of the Study on equal access to individual 
competitions for better guidance in this problematic area. 
EN 355   EN 13. HEALTH  AND  CONSUMERS 
13.1. Introduction 
The mission of the Commission in this domain is to improve the health, safety and confidence 
of European citizens. We aim to use our Treat y powers to the fullest possible extent, mindful 
in particular of the need for legislation to be implemented and enforced. Effective 
implementation of this body of legislation requi res the cooperation of the Member States, the 
support of the European Parliament and the he lp of consumers, patients and citizens. The 
Commission is committed to engage society at la rge and all European and national institutions 
in our efforts to ensure that citizens and bus iness benefit from legislation in this domain. 
The three main policy pillars in this area - consumer affairs, public health, and food safety - 
require diligent use of finite enforcement resources to produce the intended benefits for 
citizens and business in application of this body of legislation (see Anne x I paragraph VI for a 
comprehensive listing of the legisl ative acquis for each policy area). 
The credibility and legitimacy of policy actions depend on how effectively legislation is 
implemented. The Commission ensures that legislation in this area is fully and consistently implemented because the stakes are high when citizens do not benefit from the protection 
afforded by established safety requirements. 
Member States are our key partners because they  have the primary responsibility for ensuring 
implementation of EU law. But equally bett er cooperation between national enforcement 
agencies and the Commission will result in more uniform application of legislation in this area. In addition, the Commi ssion sought during the course of 2009 to empower citizens, 
consumers and patients through information an d education to enable them to support our 
implementation efforts and those of Member States. 
This section describes the work done in 2009 by the Commission services responsible for 
health and consumers. It describes how we are seeking to engage everyone that has a say in better application of EU law in this domain a nd who may have a stake in developing a "smart" 
regulatory environment based on the principles of Better Regulation. 
The Commission seeks to use all parts of the t ool-box at its disposal to ensure adequate 
application of EU law. We see this challenge as an opportunity to use  enforcement resources 
in an optimal way and to improve our capacit y for prioritisation of infringements. Member 
States are increasingly turning to the Commi ssion for leadership in the area of better 
application of EU law and we w ill not lose any opportunity to s how it. We aim to make every 
aspect of implementation of EU law in this domain both open and participatory using modern 
tools of communication to  solicit collaboration. 
We understand that this body of legislation is  often technical and requires guidance to 
Member States on the practical modalities of its application. Law without enforcement is 
impotent and the Commission is making sure that it supports, assists, encourages and, in the 
last resort, prosecutes Member States for failures to comply. 
For each area a description is given on how th e Commission has develope d partnerships with 
Member States to improve their application of  the acquis. The document also describes areas 
where weaknesses have been detected in the ap plication of the legisl ation and the required 
actions have been prioritised. 
EN 356   EN 13.2. Public Health 
13.2.1.  Current position 
13.2.1.1.  General Introduction 
Health is an important priority for Europeans who expect to be protected against illness and 
disease. Most competence for action in the field of health is held by Member States, but the 
EU has the responsibility, se t out in the Treaty, to undert ake certain actions which 
complement the work done by Member States (f or example in relation to cross border health 
threats, patient mobility, the reduction of heal th inequalities) and to develop harmonised 
legislation in the areas of blood, tissues and cells, and organs. 
The Lisbon Treaty that came into force in 2009 has not changed much in the EU’s 
competence to act. Article 168(4) TFEU (ex Ar ticle 152(4) TEC) constitutes the legal basis 
for the adoption of legislation in the area of  public health. However, some health-related 
legislation has also been adopted  using other legal ba ses such as Article 114 TFEU (ex Article 
95 TEC). 
The main pieces of legislation in the area of public health concern tobacco control (Directive 
2001/37/EC concerning the manufacture, presen tation and sale of tobacco products and 
Directive 2003/33/EC relating to the advertising and sponsorship  of tobacco products), blood 
(Directive 2002/98/EC setting st andards of quality and safety  for the collection, testing, 
processing, storage and distribut ion of human blood and blood co mponents), tissues and cells 
(Directive 2004/23/EC on setting standards of quality and safety for the donation, 
procurement, testing, processing, preservation, st orage and distribution of human tissues and 
cells), the communicable diseases (Decisi on 2119/98/EC setting up a network for the 
epidemiological surveillance and control of communicable diseases in the EU, and Regulation (EC) No 851/2004 establishing a European Cent re for Disease Prevention and Control). 
With regards to tissues and cells, two implem enting Directives complete the legislative 
framework: Directive 2006/17/EC as regard s technical requirements for the donation, 
procurement and testing of human tissues a nd cells, and Directive 2006/86/EC as regards 
traceability requirements for th e coding, processing, preservation, storage and distribution of 
human tissues and cells. 
13.2.1.2.  Report of Work Done in 2009 
2009 saw significant developments in relation to th e transposition of the EU health acquis. As 
regards Directives in the tissues and cells sect or the transposition rate continued to increase 
following continual contacts between the Commissi on and Member States Health Attachés to 
track specific progress. By the end of 2009, on e Member State – Italy - was still lacking 
transposition measures for Directives 2006/17/EC and 20 06/86/EC. The Commission has 
accelerated infringements proceedings against Ital y in respect of both directives so that the 
Court of Justice delivered on 12.11.2009475 and 26.11.2009476 judgments condemning Italy 
for not having transposed those Directives. 
                                                
 
475 Case C-12/09 (concerning the non tr ansposition of Directive 2006/17/EC) 
476 Case C-13/09 (concerning the non tr ansposition of Directive 2006/86/EC) 
EN 357   EN In the blood, tissues and cells sectors (Directives 2002/98/EC and 2004/23/EC), the 
Commission regularly collects in formation through questionnaires  and pursues collaborative 
follow-up meetings with competent national au thorities of Member States tasked with 
enforcement of these directives. The main implementation challenges resolve in close 
partnership with Member States are linked to  the vigilance, traceability and inspections 
systems. 
Measures (until June 2010) allowing temporary derogations to certain eligibility criteria for 
whole blood and blood components donors in the context of a risk  of shortage caused by the 
Influenza A(H1N1) pandemic were adopted  in November 2009 (Commission Directive 
2009/135/EC) . An operational manual for competent nation al authorities for the inspection of 
tissue and cell procurement and tissue establ ishments was developed during 2009. A common 
approach concerning traceability systems for tissu es and cells is currently being developed. 
Moreover, in both sectors inconsistencies have been detected concerning how Member States 
apply the principle of voluntary unpaid donation. Th ese issues will be further addressed in the 
upcoming reports on the principle. 
Two reports on the implementation of the Direc tives on blood and on tissues and cells have 
been developed during 2009.. The re ports show that the implemen tation of both Directives is 
satisfactory although further efforts are needed: 
– in the blood sector regard ing the finalisation of the 
accreditation/designation/authorisation/li censing process in respect of each 
individual blood establishmen t; the performance of inspections and the submission of 
the annual report on vigila nce to the Commission; 
– in the tissue and cell sector regarding the finalisation of the 
accreditation/designation/authorisation/li censing process in respect of each 
individual tissue and cell establishment; development of inspections systems; monitoring of import/export measures; registry of tis sue establishments, and 
fulfilment of different reporting requirements. 
The Commission is further developing partnerships  with Member States to help them develop 
operational solutions in response to the remaining challenges. 
Finally, following the completion of the notif ication of Member State's transposition, a 
concordance table addressing the most important  aspects of the four Blood Directives was 
sent to the Member States fo r completion. Based on the results of the tables received, the 
Commission is  performing confor mity checks in order to adequately monitor the adequacy of 
the notified transposition measures. 
In the tobacco sector the two existing Dir ectives (Directives 2001/ 37/EC and 2003/33/EC) are 
well implemented in Member States. In general,  Member States have wider advertising and 
sponsorship bans than the cross-border bans required by the Tobacco Advertising Directive (2003/33/EC). Advertising in virtual environmen ts continues to be a challenge not only for 
Europe but around the world, requ iring a global solution. Cro ss-border intern et sales of 
cigarettes for example involve illegal tobacco advertising and promotion. In addition, on-line 
sales often lack the required  warning messages and encourage tax evasion. Negotiations on a 
protocol to address illicit tobacco trade are on-going in context of the Framework Convention 
on Tobacco Control (FCTC). 
EN 358   EN As regards more particularly the Tobacco Products Directive (2001/37/EC), the biggest 
challenges are new tobacco and nicotine produc ts  proliferating on the market and the 
intensified use of tobacco packages as a promotion tool. 
In November 2009 the Commission published a Report on the Implementation of the Council 
Recommendation (2003/54/EC)477 on smoking prevention and on initiatives to improve 
tobacco control. The report is based on informa tion from Member States and concludes that 
the degree of implementation is generally good. 
On 30 November 2009, Health Ministers adopted  a Council Recommend ation on smoke-free 
environments478. The Commission  supports and encourages its implementation by the 
Member States. 
Considerable efforts by the Commission have  also been achieved in the communicable 
diseases area. Implementing measures have now completed the EU legal framework, which 
notably lays down the list of di seases and special health issues  together with the criteria for 
their selection (Commission Decision 2000/96/EC) , provides case definitions for these 
diseases (Commission Decision 2002/253/EC), and defines the events to be reported within 
the early warning and response system (EWRS), as well as pr ocedures for information, 
consultation and cooperation under this system  (Commission Decision 20 00/57/EC). Decision 
2000/96/EC has been amended by Decision 2009/312/EC, in order to  update it in the light of 
the development of dedicated surveillance networks.   In the context of the Influenza A (H1N1) pandemic, a case definition of this new virus was promptly adopted (Decision 2009/363/EC amending Decision 2002/253/EC, complemented 
by Decision 2009/540/EC once WHO had given an of ficial name to this new virus), and it 
was added to the list of dis eases covered by the epidemiological surveillance network 
(Decision 2009/539/EC amending decision  2000/96/EC). Decision 2000/57/EC was 
substantially amended by Decisi on 2009/547/EC in order to allo w the coordination of contact 
tracing measures (of infected persons ) at EU level. A Council Recommendation 
(2009/1019/EC) on seasonal influenza vaccina tion was also adopted on 22 December 2009. 
During the course of 2009 discussions infirst reading of the proposal for a directive on the 
application of patients' rights in cross-border healthcare were  pursued. The European value-
added to this proposal is to achieve clarity fo r all patients on their right s of reimbursement for 
healthcare received in another Me mber State. The European Parliament adopted amendments 
in first reading on 23 April 2009. 
EU health systems are currently facing a nu mber of challenges, like population ageing, 
citizens' rising expectations, migration, and mobili ty of patients and he alth professionals. In 
this context, it is necessary to ensure provi sion of safe and high qua lity healthcare for all 
European citizens, whilst respecting the principl e of subsidiarity. The provision of safe and 
high quality healthcare can improve an individual's health outcom e, and can contribute, in the 
longer term, to a cost-effective us e of resources. To assist Member  States in their efforts in 
ensuring provision of safe and high quality he althcare, the Commission ad opted a proposal for 
a Council Recommendation on patient safety , including the prevention and control of 
                                                
 
477 SEC(2009) 1621 final 478 OJ C 296, 5.12.2009 
EN 359   EN healthcare associated infections. Member States adopted the Recommendation in June 
2009479. 
Safe and high quality healthcare strongly depends on having a motivated and efficient health 
workforce with the right set of skills and in adequate numbers given the needs. The 
Commission addressed this issu e in the Green Paper on the European Workforce for Health 
and ran a public consultation on the Paper in 2009. The numerous responses confirmed the 
importance of this issue at EU level. 
13.2.2.  Evaluation, Priorities & Perspectives 
The framework of public health legislation put  in place in this decade has shown that 
meticulous planning and proactiv e prevention initiatives are nece ssary to avoid significantly 
late transposition of the adopted Directives. Th e Commission continues to ensure that this 
legislation is fully and consistently enforced by ensuring that Member States are playing their 
full role for the benefit of citizens and patient s. We are calling upon Member States to take 
full responsibility for ensuring implementation of  the EU's public heal th policies and actively 
promoting cooperation between the Commi ssion and national competent authorities. 
13.2.3.  Summary of Sector 
The challenge in this sector in the near future  is to achieve effective transposition of public 
health legislation through clos er partnerships with Member States and to guarantee that 
harmonised rules are uniformly enforced by compet ent national authorities. We will also seek 
increased transparency of enforcement action and outputs by Member States to ensure that EU 
standards are meticulously upheld. 
13.3. Consumer Affairs 
13.3.1.  Current position 
13.3.1.1.  General Introduction 
There are now more than 500 million consumers in  Europe and their expenditure represents 
over half of the EU’s gross domestic product (GDP). Consumers are essential to economic 
growth and job creation in a large market of products and services. 
The Commission's Consumer Policy supports th e aims laid out in Article 169 TFEU (ex 
Article 153 TEC), which promotes  the economic interests, heal th and safety of European 
consumers. It is designed to ensure that the in ternal market is open, fair and transparent, and 
that products sold are safe, allowing consumer s to exercise real choice, excluding rogue 
traders, and helping consumers and businesses ta ke full advantage of th e market’s potential. 
With so many new products and brands, and in creasingly sophisticated  financial services, 
European consumers are having a hard time getting their bearings. They are not comfortable with the idea of buying something in another co untry of the European Union: less than 30% 
of people have done so over the past year. Yet, the EU single market offers many possibilities 
for competition and for buying at a lower price. 
                                                
 
479 OJ C 151, 3.7.2009 
EN 360   EN 13.3.1.2.  Report of Work Done in 2009 
Consumer rights 
There has been a rapid evolution in the travel sector during the last two decades, i.e. since the 
time of the adoption of Direct ive 90/314/EEC on Package Travel  (1990). The development of 
the Internet has made it possible for consumers to  make their reservations themselves directly 
from a wide range of providers, e.g. tour opera tors, travel agencies/retailers, air carriers, 
cruise lines and hotels. The in creasing trend of offering "dynami c packages", especially on the 
Internet, has created legal grey zones, where both businesses and consumers may be uncertain 
of whether such arrangements are covered by the current Directive. Furthermore, the rapid 
development of low cost air car riers has revolutionized  the supply of air tr ansport and thereby 
has enhanced competition and consumer choice in the travel market. For these reasons a decreasing number of consumers are protected by the Directive when going on holidays. Both 
the Council Conclusions from 2000 and the European Parliament's Resolution on general 
aspects of consumer protection 2001/213  called for an update and clarifications of the 
Directive. Against this bac kground, the Commission started th e formal impact assessment 
process on the potential revisi on of the Directive in June 2009. A Member State Workshop 
was organised in the context of the impact a ssessment in October 2009. It confirmed a strong 
support for revising the Directive. In November , the Commission published an external study: 
"Study on Consumer Detriment in the area of Dynamic Packages" and simultaneously 
launched a public consultation on the revision of  the Directive. This consultation was open 
until 7 February 2010. In December 2009 the Comm ission also initiated a public consultation 
on air passenger rights, which, in  particular, touches on the que stion of bankruptcy protection 
for standalone air tickets. 
The co-decision legislative process is well ad vanced in relation to the proposal for a new 
Directive on consumer rights, which was adopted by the Commission in 2008. The proposal 
brings together and updates the Distance Se lling Directive 97/7/EC, the Doorstep Selling 
Directive 85/577/EC, the Consumer Sale of Goods Directive 99/44/EC and the Unfair 
Contract Terms Directive 93/13/EC. The impact  assessment preceding this proposal identified 
the fragmentation of national consumer protect ion laws as a significa nt regulatory barrier, 
preventing consumers and businesses from reaping the full benefits of the internal market. 
The main cause of the fragmentation is the minimum harmonisation clauses contained in the existing consumer directives. Businesses are theref ore either reluctant to sell cross-border or 
pass the additional costs incurred from doing so on to consumers. Through the harmonisation of the most important aspects of the consum er rights legislation, consumers and businesses 
will be able to benefit from the same rules all over the EU. As a consequence consumers will 
have more opportunities to buy from traders who were previously relu ctant to sell cross-
border. The new Directive will upgrade existing c onsumer protection in key areas where there 
have been large numbers of complaints in recent years, such as doorstep selling. It also adapts 
the legislation to new technology and sales me thods, for example m-commerce (purchase by 
mobile phone). During the Cz ech and Swedish presidencies , intense negotiations on the 
proposal took place on the proposal in the C ouncil and considerable progress was achieved. 
The progress was confirmed by a positive outcome of the policy debate in the 
Competitiveness Council on 3 December 2009. The discussions in the European Parliament are progressing as well; the lead committee (IMCO)  held several exchange s of views, with the 
draftsperson intending to  present a working document on the proposal by April 2010. 
Consumer credit 
EN 361   EN Directive 2008/48/EC on credit ag reements for consumers, which repeals Council Directive 
87/102/EEC, was adopted on 23 April 2008. Pursua nt to Article 27 of the Directive 
(following a corrigendum from 11 August 2009480), th e Directive is to be transposed by the 
Member States by 11 June 2010. 
In 2009 only Portugal and Germany notified to the Commission measures transposing the 
Directive. In order to assist the Member States  with the transposition of the Directive, two 
workshops took place during 2009. The first one,  held on 27 March 2009, mainly focused on 
the study of the Annual Per centage of Rate (A PR) and on answering Member States' 
questions. During the second workshop, held on  9 October 2009, the Comm ission's initiative 
on responsible lending, a topic closely relate d to consumer credit was discussed. Depending 
on the demand by Member States, a third workshop could take place . 
The Commission's proposal contained a provisi on obliging the Member States to provide 
concordance tables. However, upon  the request of certain Member  States, this obligation was 
later removed. Instead, recital 50 of the Directive now invites  Member States, in accordance 
with point 34 of the Interins titutional Agreement on better law-making, to submit such tables. 
The lack of a formal obligation to provide concordance tables will  make the Commission's 
work more complicated a nd resource intensive.. 
Distance Marketing in Financial Services 
Directive 2002/65/EC on Distance Marketing of Fi nancial Services was adopted in 2002 with 
a view to boosting consumer confidence when  purchasing financial services by means of 
concluding a distance contract, in particular in cross-border inte rnet transactions. Pursuant to 
Article 21 of the Directive, Member States we re to adopt transpositi on measures by 9 October 
2004. 
Most of the Member States transposed th e directive only in 2005-2006, on 20 November 2009 
the Commission adopted a report481, informing th e European Parliament and the Council on 
the application and the review of the Directive.  This report takes into account the results of 
two studies launched in 2007 assessing the economi c and legal impact of the Directive on 
cross-border distance marketing of  financial services. It also includes conclusions drawn from 
two workshops held in 2007 and 2008 with consumer groups and the financial services industry, the Commission's transposition checks, and other sources. The report underlines the 
fact that in most Member Stat es the market for cross-border  distance selling of financial 
services is rather insignificant. 
The market will be monitored regarding an incr ease of e-commerce in the field of financial 
services, which is likely to occur. However,  should no such increase be observed, appropriate 
initiatives addressing the causes for the dela yed market development, focusing possibly on 
enforcement, could be explored. 
                                                
 
480 OJ L 133, 22.5.2008 481 Review of the Distance marketing of consumer financial services Directive 
(2002/65/EC), COM (2009) 626 (final) 
EN 362   EN In relation to the abovementioned transposi tion check, in those cases where the Commission 
found a lack of conformity of na tional transposition measures w ith the Directive, it launched 
formal infringement proceedings . On 9 October 2009, letters of formal notice were sent to 
Spain, Italy, Belgium, Sweden, the Netherlands and Latvia. Further letters of formal notice 
are expected to be sent in the course of 2010. 
Injunctions 
Directive 98/27/EC on injunctions for the prot ection of consumers' interests was adopted on 
19 May 1998. Since then, the scope of the Dir ective has been extende d through modifications 
of its Annex. For the sake of clarity, the Injunc tions Directive has been codified by Directive 
2009/22/EC, adopted on 23 April 2009 
The Commission is in the process of verifyi ng the compliance of the laws of the Member 
States with the provisions of the codified Injunctions Directive. 
Transposition and application of Directive 2005/29/EC 
By the end of 2009 Directive 2005/29/EC concerning unfair business-to-consumer 
commercial practices in the internal market had been transposed by all Member States. 
However, the transposition of the Directive st ill poses a number of ch allenges considering the 
important legal impact of full harmonisation in  a broad area characterised by considerable 
differences in national legislati ons and policies. In order to ac hieve adequate transposition of 
the Directive, the Commission launched two infringement proceedings (against Belgium and France) in 2009, and held severa l bilateral meetings with certain Member States. The 
Commission also intervened in various cases re ferred to the Court of Justice for preliminary 
rulings which concerned the Directive. In two judgements handed down on 23 April 2009 
(cases C-261/07 and C-299/07) and 14 January  2010 (case C-304/08), the Court of Justice 
confirmed the full harmonisation character of the Directive. While examining the compatibility of Belgian and German laws prohibiting certain combined offers with the provisions of the Directive, it held that "Member States may not adopt stricter rules than 
those provided for in the Directive, even in  order to achieve a higher level of consumer 
protection ". Thus, the Directive was found to preclude  such national prohibitions of combined 
offers. 
To promote a common understandin g and to develop a uniform application of the Directive, 
the Commission published online Guidance on th e application of the Unfair Commercial 
Practices Directive482483 on 3December 2009. Th is Guidance aims mainly national 
enforcers, as well as other stakeholders. It  includes examples showing how the Directive 
should work in practice. Furthermore, the Commission launched in 2009 a call for tender to establish a public database on the Directive, which will include national laws transposing the 
Directive and relevant European and na tional case law, decisions and doctrine. 
Transposition and application of other consumer protection Directives  
                                                
 
482 SEC(2009)1666 483 http://ec.europa.eu/consumers/right s/docs/Guidance_UCP_Directive_en.pdf
 
EN 363   EN In 2009 the Commission continued its efforts in carrying out systematic  checks on the quality 
of transposition of several consumer protection directives by the Member  States. In addition, 
its services dealt with a number of complain ts which identified potential transposition 
problems. 
In particular, the Commission followed-up on infringement proceedings opened in 2008 and 
based on the inadequate trans position of Directive 93/13/EEC on unfair terms in consumer 
contracts. In some cases the Member States concerned changed their legislation. In those 
cases where the Commission considered that th e Member States' transpositions remained 
inadequate, the Commission continued the infringe ment proceedings, in particular by sending 
reasoned opinions to the C zech Republic and Slovakia484, an d bringing an action against 
Malta in the European  Court of Justice (Case C-220/09) .The latter action was, however, 
withdrawn as Malta amended its legislation. 
Transposition checks carried out  in 2009 in relation to Direc tive 99/44/EC on the sale of 
consumer goods and guarantees gave rise to th e opening of infringement proceedings against 
a number of Member States.485 In a few cases Me mber States brought thei r legislation in line 
with the Directive, whereas in other cases infringement proceedings  are likely to be continued 
in 2010. In addition, several complaints were dealt with under the Directive. 
Transposition checks in relation to other direc tives, including Directiv e 97/7/EC on distance 
contracts, will continue in 2010. The Commission may continue informal contacts with the 
Member States to amicably resolve the issues  at stake, but it may have to resort to 
infringement cases in certain cases. 
Finally, there were a number of  new requests for preliminary ru lings under Article 267 TFEU 
(ex Article 234 TEC) in relation to different consumer protection directives, including 
Directive 97/7/EC and Direct ive 99/44/EC. In Cases C-511/08 Heinrich Heine  a German 
court asks whether Directive 97/7/EC precludes na tional legislation which allows the costs of 
delivering the goods to be charged to the cons umer even where he has withdrawn from the 
contract. Case C-146/09 Scholl  deals with the question of whether under Directive 97/7/EC a 
consumer has a right to withdraw from a dist ance contract for the supply of electricity and 
gas. Cases C-65/09 Wittmer  and C-87/09  Medianess Electronics GmbH  (concerning Directive 
99/44/EC) concern the questions of  whether, when replacing a product, the seller must bear 
the costs of removing the non-conforming consumer good from a thing into which, in a manner consistent with its nature and purpose,  it has been incorporated by the consumer. 
The Court ruled on Directive 97/7/EC in Case C-489/07 Messner . This case concerns a 
German provision according to which a seller may claim compensation for the value of the use of the goods delivered to the consumer in  case where the consumer withdraws from a 
distance contract. The Court found that a gene ral requirement to pay compensation for the 
value of the use of the consumer goods ac quired under a distance contract during the 
withdrawal period is incompatible with the obj ectives of Directive 97/7/EC. However, the 
Court also considered that th e directive does not intend to grant consumers rights which go 
beyond what is necessary to allow for them to effectively exercise th e right of withdrawal. 
                                                
 
484 Commission's press release IP/09/1451  485 Commission's press release IP/09/1032 
EN 364   EN In Case C-227/08 Martín Martín  the Court ruled that Direct ive 85/577/EEC did not prevent a 
national court from declaring of its own motion that a doorstep-selling contract is void on the 
grounds that the consumer was not informed of his right of withdrawal . The Court considered 
that the obligation to give notice of the right of withdrawal (Article 4 of the Directive) played 
a central role in the directive as an essential gua rantee for the effective exercise of that right. 
This as well as the imbalance between consumers and traders justifies, in the Court's view, the 
positive intervention by the national court for the benefit of consumers. 
Following requests for preliminary rulings in 2008 in relation to Di rective 93/13/EEC 486 on 
unfair terms in consumer contract s the Court concluded in Case C-243/08  Pannon GSM  that, 
on the basis of Article 6(1) of Directive 93/13/EEC487, that national courts are not only 
entitled, but also required to examine, of their own motion, th e unfairness of a contractual 
term where they have available to them the lega l and factual elements necessary for that task. 
Where they consider such a term to be unfair, they must not apply it, except if the consumer 
opposes that non-application. The Court clarified cer tain aspects of this obligation in Case C-
40/08 Asturcom Telecomunicaciones, and is expected to give further guidance in Case C-
137/08 VB Pénzügyi Lízing,  where a judgment can be expected in 2010. 
Communication on the enforcement of the Consumer Acquis 
On 2 July 2009 the Commission adopted a Communication on the Enforcement of the 
Consumer Acquis488 which notes certain actions  taken in the field of consumer rights 
enforcement and sets out five priority areas wh ere further work is need ed. This prioritization 
will form the basis for the Commission enforcement strategy in the years ahead, and includes the strengthening of cooperative frameworks such  as the rapid alert sy stem for product safety 
RAPEX and the Consumer Protection Cooper ation (CPC) Network, the stepping up of 
cooperation with third countries, better mark et-monitoring, the reinfo rcement of knowledge 
sharing and a common understanding of the rules, and lastly, the giving of more visibility and 
transparency to enforcement actions. 
EU-Sweeps 
In 2009 the third EU "Sweep" was carried out, involving systematic and simultaneous checks 
in different Member States to investigate pote ntial breaches of consum er protection rules in 
the electronic goods sector. This Sweep looke d into 369 websites, of which 55% showed 
irregularities and were flagged for further investigation in the enforcement phase. The 
exercise was carried out by all th e EU Member States, with the exception of Slovakia, as well 
as by Norway and Iceland. The participating authorities focused on a group of electronic 
                                                
 
486 Join cases C-243/08  Pannon GSM  and C-137/08 VB Pénzügyi Lízing. See as well case 
C-40/08 Asturcom Telecomunicaciones  
487 Article 6 (1) reads: "Member States shall lay down that unf air terms used in a contract 
concluded with a consumer by a seller or supp lier shall, as provided for under their national 
law, not be binding on the consum er and that the contract shall continue to bind the parties 
upon those terms if it is capable of continui ng in existence without  the unfair terms." 
488 Communication from the Comm ission to the European Parliament, the Council, the 
European Economic and Social Committee and the Committee of the Regions on the 
enforcement of the consumer acquis, COM (2009) 330 final 
EN 365   EN products: MP3/MP4 players, PC related equi pment, digital cameras , mobile phones, DVD 
players and game consoles. The most common  breaches detected in the 2009 Sweep were 
related to misleading information about consum er rights (66% of probl ematic websites), for 
instance consumers were not informed or were mi slead about their right to return an ordered 
product. There were also many websites with misl eading information on the final price of the 
product (45% of problematic websites) or where contact details of the trader were missing (33 
% of the problematic websites). In the first ha lf of 2010 the authoritie s will check whether the 
detected irregularities still exis t and will report on the results. 
The final report on the follow-up of the 2007 Sweep related to websites se lling air tickets was 
published in May 2009. The results of the re port showed that out of the 447 websites 
investigated in 2007, 94% are now compliant. The final repor t on the follow up of the 2008 
Sweep on mobile phone services showed that out of the 500 websites investigated 70% may 
now be considered acceptable 
Consumer empowerment 
Through the European Consumer Consultati ve Group (ECCG), the Commission pursued its 
dialogue with consumer organisa tions and consulted them on in itiatives having an effect on 
consumers. ECCG members also shared thei r views regarding the application of EU 
legislation. The Commission Decisi on setting up the ECCG489 has been revised in order to 
further improve the efficiency and representativeness of the gr oup; to better involve national 
consumer organisations which ar e not ECCG members in its work and to ensure sufficient 
continuity in the group. 
In 2009, information campaigns raising awar eness of EU-wide consumer rights were 
conducted in Estonia, Latvia and Lithuania and it was planned to  carry out a similar campaign 
in Bulgaria at the beginning of 2010. The campa igns contribute to the better enforcement of 
consumer law by informing consumers about speci fic rights they have at home and in other 
EU countries, and by increasing awareness of associ ations and institutions that provide further 
information and advice, such as consumer asso ciations, government institutions and European 
Consumer Centres. 
The campaign messages reached (according to da ta from the Eurobarometer Flash surveys 
undertaken to verify campaign im pact) about 66% of the Estoni an citizens, 82 % of Latvian 
citizens and 86% of Lithuanian citizens. In addition, materials from  equally successful 
campaigns in other new Member States conducted in previous  years were updated, 
reproduced and redistributed in 2009. 
Training and education activities 
In 2009 the Commission carried out a series of training courses designed to help build the 
capacity of European consumer organisations , aiming at providing a better understanding of 
the consumer acquis and thereby preventing infr ingements. The Commission also distributed 
3.870.000 copies of the Europa Diary containing consumer education materials to over 22.000 
EU schools and developed its consum er education website: www.dolceta.eu. 
Consumer Protection Cooperation (CPC) 
                                                 
489 Commission Decision 2009/705/EC, OJ L 244, 16.9.2009, p. 21–24 
EN 366   EN The Enforcement Network, also referred to as the CPC Network, was established by the 
Consumer Protection Cooperation (CPC) Regul ation490 in December 2006 to stop intra-
community infringements of EU consumer la ws in cross-border situations. Some 250 
enforcement authorities in Member States are linked to form an EU-w ide consumer protection 
network. 
The Network further developed its activities in  2009: 319 new requests for mutual assistance 
were registered in the database in 2009 (compa red to 265 in 2008), of which more than a third 
were closed within one year. Some 44 alerts (95 in 2008) concerning suspected or confirmed 
intra-community infringements were circulated within the Network. In addition, a third joint 
market surveillance and enforcement exercise wa s carried out in the form of a sweep on sites 
selling electronic goods (see above). Joint activ ities of CPC authorities also continued, for 
instance in the area of air transport where a re port on airport taxes and charges was published 
in November 2009 by 11 CPC authorities. 
In 2009, the Commission took the first steps to address the shortcomings in the Network's 
operations that had been identified in discussi ons with Member States in 2008, in particular 
through the experience of coordinating the sw eeps. CPC-authorities examined with the 
Commission, in the framework of a works hop, how to enhance cooperation within the 
network and to improve the efficiency of the network's operations. The outcome of this work 
will result in the adoption of operating guidelines . 
Moreover, during 2009 the Commission organise d two other workshops which discussed two 
subjects of relevance to the Ne twork. The first workshop discu ssed the question of applicable 
law in the CPC enforcement context while the second focused on sanctions and naming of traders. The follow up action to these two work shops, including the resu lts of questionnaires 
on the subjects under discussion, will be discussed during another workshop in 2010. 
Earlier in the year, the Commissi on also set up a network of nati onal trainers to reinforce the 
training capacities and to provi de to CPC users a forum for di scussion and exchange of best 
practice. 
In July 2009, the Commission reported to Parlia ment and Council on the application of the 
Consumer Protection Cooperation (CPC) Regul ation491 in the period 2007-2008. This first 
Biennial Report was based on national reports from Member States c overing the same period 
and reflects the Commission's experience monito ring and coordinating the application of the 
Regulation. It confirms that the CPC Network is  developing to a powerful tool that increases 
the level of consumer protection in the EU, but it also shows, based on  statistical evidence, 
that further efforts are required to strengthen the Network and to furt her develop the broader 
cooperation framework established by the Regulation. 
                                                
 
490 Regulation (EC) No 2006/2004 of the European Parliament and of the Council of 27 
October 2004 on cooperation between national aut horities responsible for the enforcement of 
consumer protection laws, OJ L 364 dates 9.12.2004 
491 Regulation (EC) No 2006/2004 of the European Parliament and of the Council of 27 
October 2004 on cooperation between national aut horities responisble for the enforcement of 
consumer protection laws, OJ L 364 dates 9.12.2004 
EN 367   EN The Commission also continued the dialogue with Member Stat es, initiated in 2008, aiming at 
ensuring that adequate resources are allocated to  enforcement in order to meet the obligations 
stemming from the Consumer Cooperation Regul ation. This point was raised again in the 
Competitiveness Council of 25 September 2009. 
Commission Decision 2009/251/EC banning Dimethyl fumarate in all consumer 
products 
The Commission adopted on 17 March 2009 Decision 2009/251/EC492 on the basis of 
Article 13(4) of Directive 2001/95/EC of the European Parliament and of the Council on 
general product safety (Gen eral Product Safety Directiv e, "GPSD")493. This Decision 
concerns Dimethyl fumarate (DMF), a bioc ide preventing moulds which is strongly 
sensitising and can cause severe  skin reactions. The Decision requires Member States to 
ensure that all consumer products containi ng DMF are withdrawn from the market and 
recalled from consumers. Since the Decision can only be valid for one year at a time, it will 
be prolonged for further periods until a permanen t measure is put in place in EU legislation. 
Commission Decision 2009/298/EC on  child-resistant lighters 
On 26 March 2009, the Commission adopted  Decision 2009/298/EC494, extending for the 
third time – until 11 May 2010 – Decision 2006/ 502/EC requiring Member States to take 
measures to ensure that only lighters which are child-resistant are placed on the market and to 
prohibit the placing on the market of so-calle d novelty lighters. Upon a mandate from the 
Commission, CEN is currently revising the relevant standard (EN 13869:2002 ‘Lighters — 
Child-resistance for lighters — Safety  requirements and test methods’). 
Commission Decision 2009/490/EC on personal music players 
A Commission Decision (2009/490/EC495) was adopted on 23 June 2009 which, for the 
purposes of Article 4 of the G PSD, defines the safety requirements for personal music players 
in order to avoid the risk of hearing damage. In particular, the Decision states that, first, 
exposure to high sound levels shall be limited in  order to avoid hearing damage and, second, 
users shall be provided with adequate warnin gs and information on the risks of hearing 
damage. A mandate to develop new safety standa rds, based on the safety requirements in the 
Decision, was subsequently sent to the European  standards bodies on 28 September 2009. It is 
expected that the standards will be adopted by the end of 2011. 
Report on the implementation of the Gen eral Product Safety Directive and the follow-up 
to this Report 
                                                 
492 OJ L 74, 20.3.2009, p. 32 493 OJ L 11, 15.1.2002, p. 4 494 OJ L 81, 27.3.2009, p. 23 495 OJ L 161, 24.6.2009, p. 38 
EN 368   EN On 14 January 2009, the Commission adopte d the Report on the implementation and 
application of Directive 2001/95/EC on Genera l Product Safety496 and submitted it to the 
European Parliament and to the Council. The Re port highlighted that the GPSD has proven to 
be a powerful tool for protecting the safety of  non-food consumer products. In particular, the 
RAPEX system, the rapid exchange mechanis m on dangerous products, has allowed prompt 
identification and follow-up to products identi fying as posing serious risks to consumers. 
However, the Report has also identified some  areas in the Directive which should be 
addressed in order to improve its efficiency and effectiveness: tight er product traceability, 
alignment with the market surveillance fr amework under Regulation (EC) No 765/2008497, 
which entered into force on 1 January 2010, more  modern and standardisation provisions, 
more flexibility for urgent or temporary measures etc. 
On the basis of the conclusions reached in the Report and the obligations  set out in Regulation 
(EC) No 765/2008 requiring the Commission, inter alia, to analyse the consistency of EU 
rules in the field of market surveillance and, if appropriate, amend a nd/or consolidate these 
rules, the Commission started to wo rk on the revision of the GPSD. 
RAPEX system  
RAPEX is the EU Rapid Information System  for dangerous non-food consumer products 
which was established by and operates under the GPSD. The Member States, EFTA/EEA 
countries and the Commission use RAPEX to rapi dly exchange information about dangerous 
non-food consumer products found on and cons equently withdrawn from the European 
market. 
RAPEX operation improved again in 2009. In to tal, 1.993 notifications were exchanged 
through the system by participating countries  and the Commission. This constitutes an 
increase by 7% when compared to 2008. Half of the countries participating in the system 
further enhanced their activities and submitted mo re notifications on dangerous products than 
in the previous years. As RA PEX notifications sent by the Me mber States in 2009 were of 
better quality, the number of no tifications distributed for in formation purpose only decreased 
by 9% compared to 2008 (283 notifications dist ributed in 2009 compared  to 311 notifications 
in 2008). 
Toys, motor vehicles and electrical applian ces were still among the most often notified 
products through the system. However, in 2009, ther e was a significant increase in the number 
of RAPEX notifications on clothi ng and textiles (395 notificati ons, 23% of all) which results 
mainly from the enhanced market surveillan ce activities undertaken by national authorities 
following, in particular, the adoption of the Commission Decisi on 2009/251/EC banning 
Dimethyl fumarate in all consumer products an d the launch of the joint market surveillance 
action on cords and drawstrings in children's clot hing. This proves that ri sk-focused EU-level 
measures and joint prioritisation of certain type s of products in the su rveillance actions taken 
by Member States result in well spent resources in terms of finding dangerous products that 
could be harmful to consumers. 
                                                 
496 COM(2008) 905 497 OJ L 218, 13.8.2008, p. 30 
EN 369   EN The number of notifications with  an unidentified count ry of origin decr eased again in 2009 
(from 23% in 2004 to 7% in 2009). This is an indicator that th e market surveillance 
authorities in Europe are increasingly aw are of the importance of not only taking the 
incriminated product off the outlets in their coun try but also the discov ery of the traceability 
data helpful to authorities in other countries and ultimately in  the country of origin of the 
product. The number of dangerous products of Chinese and European origin notified through 
RAPEX was maintained at the level of respec tively 60% and 20% of all notifications (i.e. 
1013 and 337 notifications). These results are similar to previous year's results. 
Revision of the RAPEX guidelines 
On 16 December 2009, the Commission adopted Decision 2010/15/EU498 laying down the 
new guidelines for the management of the EU Rapid Information System, ‘RAPEX’, 
established under Article 12 and the notification procedure established under Article 11 of 
Directive 2001/95/EC The new RAPEX guide lines introduced by Decision 2010/15/EU 
repealed the previous guidelines la id down by Commission Decision 2004/418/EC499. 
The revision was based on various developments  since 2004 (when the previous guidelines 
were adopted), such as (a) the significant incr ease in the number of notifications sent through 
RAPEX which have to be followed up in all Me mber States, (b) the need to increase the 
traceability of dangerous products by providing more detailed and precise information about 
the dangerous products notified via RAPEX, and (c) enhanced cooperation and exchange of 
information with third countries , such as China and the United  States, on dangerous consumer 
products and corrective measur es. Furthermore, when revising the RAPEX guidelines, the 
Commission's intention was to include into the new guidelines all the be st practices developed 
over the years by the Member States and the Commission RAPEX Team to ensure even more 
efficient and effective operation of RAPEX. 
While the scope of the RAPEX guidelines remains unchanged under Decision 2010/15/EU 
(i.e. RAPEX and Article 11 notification proced ure), the new guidelines more precisely and 
comprehensibly clarify the notific ation criteria and define vari ous stages and aspects of the 
notification and reaction procedur es including organisational asp ects. The new guidelines also 
regulate aspects of the RAPEX system which ha d not previously been subject to specific 
rules, and which, however, are essential for the functioning of the procedure, including, 
permanent withdrawal of notifi cations from the system, tempor ary removal of notifications 
from the RAPEX website and confidentiality rules. 
Another fundamentally revised element in th e RAPEX guidelines is the new improved risk 
assessment method that was developed by a de dicated working group of Member State 
experts and is recommended to all national authorities in order to assess the safety of consumer products. 
Business Application 
                                                
 
498 OJ L 22, 26.1.2010, p. 1 499 OJ L 151, 30.4.2004, p. 83 
EN 370   EN In May 2009, the Commission introduced a new onlin e system in the product safety area for 
producers and distributors called " Business Application ". The application was established to 
simplify the procedure for producer s and distributors to fulfil their obligation (as laid down in 
Article 5(3) of the GPSD) to notify the comp etent national authorit ies of any dangerous 
consumer products placed on the EU market. The application makes it possible for producers 
and distributors to alert all Eur opean countries at the same time in one step, thus simplifying 
and speeding up the notification process. Since its launch, the operation of the " Business 
Application " has proved successful. In total, 44 notific ations (including u pdates) sent through 
the application in 2009 by producers and distri butors have been accepted by the competent 
national authorities. 
Joint Actions on market surveillance activities 
To support the Member States in their cros s-border activities, in 2009 the Commission 
awarded a financial contribution of EUR 1.2 million to five joint market surveillance actions. 
These joint actions focused on: sun beds and solarium services , helmets, household appliances 
that could be appealing to children, lighters and baby walker s. To further strengthen 
cooperation between the Member States on c onsumer product safety, the Commission will 
continue joint actions in 2010 and 2011 and will fi nancially contribute to the best proposals 
suggested by Member States. 
International cooperation 
The Commission further strengthened collaborati on with its international partners in the 
product safety area. The main aim is to share information about emerging product safety risks, 
provide updates on legislativ e and normative developments a nd prevent dange rous products 
from finding their way onto the EU market. More particularly, in November 2009, the 
Council authorised the European Commission to open negotiations with the United States for 
an agreement on cooperation and information exchange in the area of consumer product safety. 
In 2009 the collaboration with the People's Republic of China's General Administration for 
Quality Supervision, Inspection and Quarantine (AQSIQ) continued and the Commission continued to make available on th e Internet the analyses of th e quarterly follow-up reports to 
the RAPEX notifications sent to China. 
The European Consumer Centres Network (ECC-Net) 
In 2009, the European Consumer Centre s Network (ECC-Net) handled over 60
 000 contacts 
with consumers who turned to them for advice a bout their rights or for help with problems in 
the course of cross-border shopping. 
The work of the centres show s that, in 2009, as it was alr eady the case in 2008, European 
consumers’ biggest problems were related to transport, recreation and culture and 
accommodation services. More than half of a ll complaints concerned on-line transactions 
(54%). 
In 2009 most complaints dealt with by the ECCs  related to products and services (32.7%), 
delivery (24.1%), contract terms (11.7%) and price and payment (11.4%). The ECCs also 
helped consumers to reach agreements on compla ints with traders using out-of-court dispute 
resolution mechanisms. 
EN 371   EN In addition, the ECCs have also carried out join t projects analysing consumer complaints and 
concerns on key issues such as Alternative Dispute resolution mechanisms in Europe and comparison of hotel categories in the EU, and pub licised their conclusions in reports released 
in late 2009. They have also laid the ground work for report s on how consumers feel about 
Air Passenger Rights and e-commerce. 
In addition, the ECCs partic ipated actively in the Euro pean Consumer Summit 2009 as 
speakers and sponsors of consumer s who presented their real life stories and organised several 
consumer awareness raising events at national level. 
13.3.2.  Evaluation, Priorities & Perspectives 
On 13 March 2007 the Commission adopted a Consumer Policy Strategy for 2007-2013. The 
strategy sets out the challenges, role, priorities and actions of EU consumer policy for this 
period. The overall objectives of the Strategy ar e to empower consumers, to enhance their 
welfare and to protect them effectively. The Commission's vision is  to achieve by 2013 a 
single, simple set of rules for the bene fit of consumers and retailers alike. 
Given the progress achieved on the review and de velopment of the consumer acquis, effective 
enforcement will play an important role. This  will include, from the Commission's point of 
view, continued efforts in accompanying the tran sposition process in the Member States and 
supervising the transpositi on and application of direct ives by the Member States. 
As part of a larger exercise to  monitor how well the internal market functions for consumers, 
Commission services and the Member States  developed in 2009 a framework for regular 
collection of enforcement indicators to measur e the effectiveness of enforcement at national 
level. National policies and institutions relate d to enforcement play a key role in making the 
internal market function for consumers: free circ ulation of safe products and the protection of 
consumers from rogue traders depend on the effectiveness of enforcement and market 
surveillance in all Member States. An expe rt group composed of members of the CPC 
(Consumer Protection Cooperation) and GPSD  (General Product Safety Directive) 
committees identified the most appropriate indi cators, taking account of  differences between 
national enforcement systems. 
The Commission will launch in 2010 a mid-te rm evaluation of the 2007-2013 Consumer 
Policy Strategy and of the 2007-2013 Programme of Community Action (as well as an ex-post evaluation of the Programme of Commu nity Action 2004-2006). This exercise will 
provide building blocks for the preparation of  the next Consumer Policy Strategy (post 2013). 
The Commission is planning to open a period of joint reflection with the Member States on 
the future role of ECC-Net. In parallel, an ev aluation of the Network is  foreseen five years 
after the merger of the two previous networks  into ECC-Net. This evaluation should take 
place in 2010. 
13.3.3.  Summary of Sector 
The challenge in this sector in the near future  is to increase EU-wide consumer confidence 
through clearer, simplified and harmonised rule s that are uniformly enforced by national 
authorities across Europe. Another challenge is to step up enforcement of EU rules To do so 
the Commission will seek increa sed transparency of enforcemen t action and output to ensure 
that Member States' role is not only crucial in ensuring proper transposit ion of Directives but 
also in effectively deploying the resources an d mechanisms needed to ensure compliance. 
Consumers' awareness will also play a key role 
EN 372   EN 13.4. Food safety 
13.4.1.  General Introduction 
For consumers, safety is the most important in gredient of their food. Consumer confidence is 
an essential outcome of a succe ssful food policy and is therefor e a primary goal of EU action 
in this area. The central goal of the Commission' s food safety policy is to ensure a high level 
of protection of human health a nd consumers' interests in relati on to food, taking  into account 
diversity, including traditional products, whilst ensuring the effective functioning of the 
internal market. 
The Commission's guiding principle, is to apply an integrated approach from farm to table 
covering all sectors of the food chain, incl uding feed production, primary production, food 
processing, storage, transport and retail sale. The credibility and legitimacy of the Commission's actions depend on how effectively the food safety policy is implemented and 
results delivered. Greater transpar ency at all levels of food safe ty policy is the thread running 
through the Commission's integrated approach  and will contribute fundamentally to 
enhancing consumer confidence in  Europe's food safety policy. 
Legislation applicable to the various components of the food chain includes, in addition to the 
food and feed law, rules applicable to animal a nd plant health and to th e welfare of animals. 
There have been enormous developments in th e past decades, both in  the methods of food 
production and processing, and the controls required to ensure th at acceptable safety standards 
are being met. Legislation will be reviewed and amended as necessary in order to make it more coherent, comprehensive and up-to-date. En forcement of this legislation at all levels 
will be promoted. Member States are our key partners in ensuring adequate and uniform 
application of Europe's food safety legislation. 
13.4.2.  Work done in 2009 
Work is ongoing on the modernisation and simplific ation of the legislati on applicable to food 
and feed safety, animal and plant health, and an imal welfare. The aim is to achieve better 
enforceability of existing rules, whilst providi ng for a state of the art legislative framework. 
Both the Animal Health Strategy500
 and the recently launched work towards a Plant Health 
Strategy501 include the objective of providing th e EU with a more coherent and directly 
enforceable set of rules in thes e areas in order to replace a va st amount of Directives adopted 
in the course of the last decades (the food safe ty acquis is one of the largest, numbering more 
than 500 Directives). 
                                                 
500 Communication from the Comm ission to the Council, the European Parliament, the 
European Economic and social committee and the Committee of the Regions on a new Animal Health Strategy for the European Uni on (2007-2013) where “Prevention is better than 
cure”. COM(2007) 539 final. 
501 The Council called on the Commission to  evaluate the current plant health acquis  and 
to consider possible modifications to it, and su bsequently present a proposal for a Community 
plant health strategy. Th e Commission has launched the eval uation, and a study is expected to 
start by mid 2009. 
EN 373   EN A report on the state of implementation of Regulation (EC) No 882/2004502 on official 
controls performed to ensure the verification of compliance with feed and food law, animal 
health and animal welfare was transmitted to the European Parliament and Council on 8 July 
2009 (on the basis of its Article 65)503. 
Three main issues are highlighted in the report: 
• The rules on financing of offici al controls (Articles from 26 to 29 of Regulation (EC) No 
882/2004) have proven to be difficult to impl ement by the Member States given their 
complexity and unclear wording, according to  a 2008 evaluation carried  out by an external 
contractor. Moreover, the report  indicated that the main obj ective of these rules, i.e. 
ensuring that adequate resources are availabl e for the required offici al controls, has not 
been fulfilled. On this basis, the Commissi on has therefore started a review of these 
provisions and the related imp act assessment is now on-going; 
• The need for further integration of the official  controls carried  out in specific sectors into 
the general framework of Regulation (EC) No 882/2004. One of the main examples is the 
legislation on residues of veterinary medi cines (Council Directive 96/23/EC on measures 
to monitor certain substances and residues ther eof in live animals and animal products). On 
the basis of a reflection that began in 2003, the Commission has now started a review of 
that Directive with the objective of optimizing and simplifying the overall legislative framework; 
• The application for the first time of harmonized  checks at the EU border for feed and food 
of non-animal origin as provi ded for in Article 15(5) of Regulation (EC) No 882/2004 and 
implemented by Regulation (EC) No 669/2009 (applicable from 25.1.2010). The new rules 
provide that specific feed a nd food of non-animal origin id entified on the basis of a known 
or emerging risk are to be subject to an in creased level of official  controls at the EU 
border. 
In more general terms, the Commission throu gh an intra-department al reorganisation has 
integrated the issue of enforcement throughout  the EU food safety policy area. This has 
mainly resulted in a systematic analysis of all issues related to implementation of EU legislation and emerging from in-house info rmation, including the more than 200 inspection 
reports produced yearly by the Food and Vete rinary Office (FVO) of the Commission, or 
from information received from Member Stat es or stakeholders. For each of them an 
appropriate action is decided upon in cooperation with the res ponsible Units and a continuous 
follow-up is ensured till th e issue has been resolved. 
Moreover, the issues related to transposition highlighted in the previous report have been 
specifically followed-up during 2009 and most of them have now been closed due to the fact 
that transposition has taken place. For the other cases, appropriate action has been taken to 
                                                
 
502 OJ L 165, 30.4.2004, p. 1–141 503 8.7.2009. Report from the Commission to the European Parliament and to the Council 
on the application of Regulation (EC) No 882/ 2004 of the European Parliament and of the 
Council of 29 April 2004 on official controls performed to ensure the verification of 
compliance with feed and food law, animal h ealth and welfare rules – COM(2009) 334 final 
EN 374   EN resolve the issue. Please refer to the sectoral sections of this ch apter, where the most relevant 
initiatives are described. 
FVO inspections 
At EU level, valuable informa tion regarding the application of  EU legislation along the food 
chain is provided by the inspection activities of  the Commission's FVO. Information collected 
by the FVO during recent years was carefully sc reened during the course of 2009 to provide 
an overview of potential shortcomings in re lation to transposition problems of some 
Directives or inadequate application of legislation thr oughout the food chain. 
The Commission services are in contact with th e Member States concerned to address these 
issues through an array of approaches usi ng its tool-box. The FVO continues to screen 
Directives with the purpose of  identifying any significant trans position problems. In a similar 
vein, the Commission services ar e considering the most effici ent and effective enforcement 
action with respect to issues other than trans position that have been identified by the FVO. 
In three cases the Commission vigorously purs ued infringement proceedings against Greece 
because that Member State persistently fa iled to comply with a range of important 
components of EU food safety legislation. 
In 2009 the Court delivered in the framework of three infringement proceedings judgments 
condemning Greece to have failed to correctly apply EU law: 
– The FVO missions have highl ighted since 1998 fundamental  systemic shortcomings 
in the performance of the Greek authorities’  official controls in the area of food 
safety, animal health and animal welfare. These shortcomings are mainly attributable 
to the shortage of human reso urces in the Greek veterinary services. Because of these 
shortages both in central administration as we ll as in the decentralised authorities, 
there was a failure to carry out the official controls in an effective and substantial way. The Court concluded th at the results of the e fforts made by the Greek 
authorities to solve these pr oblems were unsatisfactory.504 
– FVO missions provided evidence of systemic  deficiencies in the management of 
animal by-products. The Court concluded th at Greece failed to correctly apply key 
provisions of Regulation (EC) No 1774/ 2002 laying down health rules concerning 
animal by-products not intended for human consumption505. 
– Also on the basis of evidence gathered dur ing FVO inspections, the Court of Justice 
condemned Greece for failure to apply in a satisfactory way EU legislation relating 
to the protection of animals during transport and in slaughterhouses506. 
                                                
 
504 Judgment of the Court of Justice of 23.4.2009 in case C-331/07 505 Judgment of the Court of Justice of 17.12.2009 in case C-248/08 506 Judgment of the Court of Justice of 10.9.2009 in case C-416/07 
EN 375   EN All three cases show the need to give priority to initiatives that aim at engaging fully Member 
States' enforcement actors in discussions and ac tions that address the optimal use of finite 
enforcement resources. 
13.4.3.  Food Hygiene 
(1) Current position 
General introduction 
The EU Food “Hygiene Package” is composed of three Regul ations consolidating, updating 
and simplifying the EU legislation on food hygiene: 
• Regulation (EC) No 852/2004 of  the European Parliament and of the Council on the 
hygiene of foodstuffs507; 
• Regulation (EC) No 853/2004 of the European Pa rliament and of the Council laying down 
specific hygiene rules for f ood of animal origin508, and 
• Regulation (EC) No 854/2004 of the European Pa rliament and of the Council laying down 
specific rules for the organisation of official c ontrols on products of animal origin intended 
for human consumption509. 
Those rules are based on the principles of a risk-based approach to a comprehensive and 
integrated food chain – from farm to fork – an d the separation of respons ibilities of the food 
business operators and the competent authorities. 
The main objective of the Hygiene Package is to place the primary responsibility for food 
safety at the level of the food business opera tors. Moreover, the new rules aim at preventing 
contamination of food from biological, chem ical and physical hazards by enabling food 
business operators to identify such hazards by  the application of procedures based on the 
Hazard Analysis Critical Control Point ( HACCP) principles. These procedures became 
compulsory for all non-primary food operators. The principle of flexibility incorporated in the 
new rules enables the continue d use of traditional methods at any stage of production, 
processing or distribution of food. 
General provisions are laid down for all foods tuffs, while specific provisions are laid down 
for foodstuffs of animal origin. Further measur es providing detailed criteria and conditions for 
the implementation of the above mentioned Regulations are: 
• Commission Regulation (EC) No  2073/2005 on microbiological cr iteria for foodstuffs510; 
Commission Regulation (EC)  No 2074/2005 laying down implementing measures for 
certain products under th e Hygiene Package511; 
                                                 
507 OJ L 139, 30.4.2004, p. 1 508 OJ L 226, 25.6.2004, p.22 509 OJ L 226, 25.6.2004, p. 83 
EN 376   EN • Commission Regulation (EC) No  2075/2005 laying down specific rules on official controls 
for Trichinella in meat512; 
• Commission Regulation (EC) No 2076/2005 laying down transitional arrangements for the 
implementation of the Hygiene Package513. 
Report of work done in 2009 
Given the innovative nature of the Hygiene P ackage, the European Parliament and the 
Council had requested the Commission to prepare a report three years after the start of the 
application of this legislation.514 This report (Report  from the Commission to the Council and 
the European Parliament on the experience gained from the applica tion of the hygiene 
Regulations (EC) No 852/2004, (EC) No 853/2004 and (EC) No 854/2004 of the European 
Parliament and of the Council of 29 April 2004) ("Hygiene Report") was adopted on 28 July 
2009515. The Hygiene Report followed a thorough c onsultation process. It is based on 
information received from the competent authori ties in the Member States, representatives of 
the food business operator and consumer or ganisations at Europe an level, and the 
Commission's Food and Veterinary Office. 
The Hygiene Report aims at presenting factually the experience gained, including the 
difficulties encountered, in 2006, 2007 and 2008 from the implementation of the hygiene 
package by all interested actors. 
The Hygiene Report does not suggest any detailed solutions to the difficulties reported and is, 
therefore, not accompanied by proposals. The Commission believes that additional experience is first needed before deciding whether any proposals for improving the food hygiene package 
are warranted and whether consensus could be achi eved in the future within the framework of 
the co-decision procedure. 
The Commission also followed closely the discussions and the development of the 
microbiological criteria in  the Codex Alimentarius Committee for Food Hygiene. 
(2) Evaluation of the current situation 
The Hygiene Report concludes that overall Member States have taken the necessary 
administrative and control measures to ensu re compliance but there is still room for 
improvement in relation to implementation. Th ese conclusions are s upported by the findings 
                                                                                                                                                        
 
510 OJ L 338, 22.12.2005, p.1 511 OJ L 338, 22.12.2005, p.27 512 OJ L 338, 22.12.2005, p.60 513 OJ L 338.22.12.2005, p. 83 514 Article 16 of Regulation (EC) No 852/2004;  Article 14 of Regulation (EC) No 
853/2004; and, Article 21 of Regulation (EC) No 854/2004. 
515 Doc 12482/09 – COM (2009) 403 final 
EN 377   EN of audits and inspections car ried out by the Commission's Food and Veterinary Office (FVO). 
Consulted stakeholders consider that the ne w principles and requirements introduced by the 
hygiene package have had a positive impact. 
The main difficulties identified are in relation to  certain exemptions from the scope of the 
hygiene Regulations, certain definitions laid dow n in the Regulations and the procedure for 
adapting those definitions, certain practical aspect s concerning the approval of establishments 
handling foods of animal origin  and the health or identification marking of such foods, the 
import regime for certain foods , the implementation of HACCP-based procedures in certain 
food businesses and the implementation of of ficial controls in  certain sectors. 
(3) Priorities and planned actions  
Priorities 
As a result of the consultation within the framework of the dr afting of the hygiene Report, the 
following issues were identified as priorities: 
• Review of meat inspection provisions. This pr iority is supported by the Chief Veterinary 
Officers (CVO) conclusions on modernisation of sanitary inspectio n in slaughterhouses 
adopted at their meeting in October 2008 516 and by the Council conclusions on the 
Hygiene Report, adopted during the 2967th Agriculture and Fisheries Council meeting on 
20 November 2009. 
• The replacement of biological testing methods  (mouse bio-assays) by chemical detection 
methods of marine biotoxins in live bivalv e molluscs, mainly for reasons of animal 
welfare. 
• Consideration of a revision of  certain articles of the hyg iene Regulations by the co-
decision procedure and the launch of  a relevant impact assessment. 
• Evaluation and guidance on the flexibility provisi ons in the Hygiene Package, in particular 
for small capacity establishments. 
Planned actions (2010 and beyond) 
• Review of meat inspections: round table conf erences are scheduled. The purpose of these 
conferences is to exchange vi ews with competent authorities of Member States and third 
countries, private stakeholders' organisations and scientific bodies. In order to ensure a 
risk-based approach, the Eur opean Food Safety Authority (E FSA) is requested to provide 
scientific opinions on meat in spections in slaughterhouses a nd, if considered appropriate, 
other stages of the production chain. Amendments of legal provisions based on these consultations are scheduled for 2011. 
• Detection of marine biotoxins: After validati on of the chemical met hods, legal provisions 
will be amended to replace the mouse bio-assays. 
                                                
 
516 Doc. 14438/09 
EN 378   EN • Proposals for amendments to Articles of the "hygiene package" Regulations: In 2010, the 
provisions to be amended will be identified by consultations and an impact assessment on 
such proposed amendments. The co-decision pr ocedure will be started in 2011 with the 
aim to achieve a result by 1 January 2014. 
• Flexibility: Guidance documents both for competent authoritie s and food business 
operators will be publi shed. The outcome of FVO fact-fi nding missions on this issue will 
be assessed and further initiativ es considered when appropriate. 
• A first step requiring that certain processed products of animal origin in composite 
products satisfy with the requirements in Regulation (EC) No 853/2004, shall be adopted 
before the end of 2010. 
13.4.4.  Food Labelling 
13.4.4.1.  Current position 
General Introduction 
EU legislation on the labelling of foodstuffs in cludes general provisions  on the labelling of 
foodstuffs to be delivered to the consumer, as laid down in Directive 2000/13/EC of the 
European Parliament and of the Council on th e approximation of the laws of the Member 
States relating to the la belling, presentation and advertising of  foodstuffs. This Directive sets 
out harmonised rules to enable European cons umers to get comprehensive information on the 
contents and the composition of food products. Nu trition labelling on foods is regulated by 
Directive 90/496/EEC. At the moment, under EU legislation, nutrition la belling is optional, 
although it becomes compulsory when a nutrition or health claim is made in the labelling, 
presentation or advertising of a foodstuff or when vitamins or  minerals are voluntarily added 
to foods. 
Report of work done in 2009 
EU legislation on food labelling is currently  under revision. The Co mmission adopted on 30 
January 2008, a proposal for a Regulation of th e European Parliament and of the Council on 
the provision of food information to cons umers. This proposal combines Directive 
2000/13/EC with Council Directiv e 90/496/EEC on nutrition label ling for foodstuffs into one 
instrument. In addition, the proposal  is in line with the simplifi cation process in the context of 
Better Regulation as it simplifie s the structure of th e horizontal food labell ing legislation in 
Directive 2000/13/EC, by recasting and replaci ng provisions already in place under this 
Directive. 
The labelling acquis  is managed through the Standing Committee on the Food Chain and 
Animal Health (SCFCAH). The Committee plays a key role in exchange of views between the 
Member States and the Commissi on regarding the application of the labelling provisions and 
the increasing number of draft measures notified by the Memb er States (on the basis of 
Article 19 of Directive 2000/13/ EC). The following measures were notified by the Member 
States under the notification procedur e and assessed by the Commission during 2009: 
• Malta  notified a draft Regulation, requiring the mandatory indication of the country of 
origin and the date of slaught er on the labelling of packaged  meat products. Following the 
negative opinion of the Commission, Ma lta withdrew the draft measures. 
EN 379   EN • Greece notified a draft Decree on the provision of information on the country of origin of 
the raw material (milk) used for the manufacture of dairy products inte nded for sale to the 
final consumer. The Commission gave a negative opinion as the notified measure was not 
justified under the provisions  of Directive 2000/13/EC. 
• Italy  notified a draft Decree providing for inter alia  several obligations to indicate the 
country of origin of cert ain milk products. The Commissi on gave a negative opinion as 
Italy failed to demonstrate that such measur e was justified to avoid the consumer being 
misled as to the true origin of such foods. 
• Italy notified a draft measure providing, inter alia , for additional warnin gs for the labelling 
of certain herbal extracts. 
• France  notified a draft measure laying down the conditions and labelling requirements for 
the use of virgin linseed oil for human consumption. 
The two latter notifications were sent end 2009 and their assessment is to be completed in 
early 2010. 
In terms of infringement procedures, there is  one pending case before the Court of Justice 
concerning mandatory origin labelling for poultry meat (C- 383/08), and an ongoing 
infringement proceeding concerni ng the labelling of allergens. 
13.4.4.2.  Evaluation based on the current situation  
The EU legislation on food labelling has been ex tensively scrutinised over the last years and 
the results of this exercise conf irmed the need for a significant overhaul of labelling rules. The 
revision of the legislation will  bring coherence and clarity to  provisions that apply to all 
foods. The replacement of the current horizont al labelling Directives by one concise 
legislative act in the form of a Regulation will provide for consistency of application of food 
labelling rules across all Member States. It will ensure that consumers receive the information 
that can be important in making health related choices, such as those concerning the presence 
of allergens or the nutrient content of the pr oduct. Importantly, the mandatory information 
must be legible, so that the c onsumers can easily read the label. 
During 2009 discussions on the Commission's propos al for a Regulation on the provision of 
food information to consumers continued with the European Parliament and the Council. The 
main political issues in these discussions have been: the presentation of the nutrition information; the inclusion of or igin labelling and whether it should be mandatory for all or 
certain categories of foods ; the application of the general la belling requiremen ts to alcoholic 
beverages; and, the inclusion of specific criteria to improve legi bility of information. The First 
Reading in the European Parliament was pos tponed until after the 2009 elections and it is 
expected to take place in the first half of 2010. 
13.4.4.3.  Priorities and planned action 
The priority in the general and nutrition labell ing sector remains the overhaul of existing 
legislation in order to optimise this regulat ory area. This will involve working towards 
adoption of the proposal for the Regulation on th e provision of food information to consumers 
by the European Parliament and the Council and assessing notifications by Member States of 
additional mandatory labelling requirements. 
EN 380   EN Following the adoption of the proposed regulation it will be necessary to take forward 
appropriate implementing measures. 
13.4.4.4.  Sector summary  
EU food labelling legislation is regulated by Directive 2000/13/EC. This  Directive sets the 
compulsory information that has to be provided to  the final consumer, such as the name of the 
product, the list of ingredients, the use-by date and any special conditions of use. The increasing number of national notifications, in  particular concerning the mandatory origin 
labelling for certain foods, should be noted. Nutr ition labelling rules ar e laid down in Council 
Directive 90/496/EEC. This Directive provid es harmonised rules on the basic nutrition 
labelling provided on a voluntary basis or, when necessary, a mandatory basis. In order to 
modernise and improve EU food labelling rules, the Commission adopted on 30 January 2008 
a proposal for a Regulation of the European Parl iament and of the Coun cil on the provision of 
food information to consumers, which is cu rrently under discussi ons in the European 
Parliament and the Council. The priority areas  on general food labelling are to follow the 
discussion in the European Parliament and the Council with a view to adoption of the final 
Regulation in the coming year and to assess Member State notifications of draft national legislative measures concerning food labelling. 
13.4.5.  Nutrition labelling 
13.4.5.1.  Current position 
General introduction 
Nutrition labelling rules are laid down in Council Directive 90/496/EEC. This Directive was 
recently amended through Commission Directiv e 2008/100/EC to revise and update a number 
of the technical rules contained therein, such as  the list of vitamins and minerals and their 
recommended daily allowances values, the defi nition for "fibre" and the list of energy 
conversion factors. 
Legislative Changes Underway 
As stated above, the Commission adopted on 30 January 2008, a proposal for a Regulation of 
the European Parliament and of the Counc il on the provision of food information to 
consumers,517 which will repeal inter alia  Council Directive 90/496/EEC. The amending 
Commission Directive 2008/100/EC will be incor porated in the Commission proposal for a 
Regulation on the provision of food  information to consumers during the discussions of this 
Regulation. 
13.4.5.2.  Evaluation 
The development of EU legisl ation relating to nut ritional aspects of foods such as food 
supplements, the addition of vitamins and mi nerals and the harmoni sation of nutrition and 
health claims meant that there was a need to  update the certain tec hnical aspects of the 
existing rules on nutrition labelling. The a doption of Commission Directive 2008/100/EC 
ensures coherence between different pieces of legislation. The inclusion of a definition of 
                                                
 
517 COM(2008)40final. 
EN 381   EN fibre in EU legislation meant that this could be  reflected in discussions on the revision of the 
definition of fibre at internati onal level in Codex Alimentarius. 
With respect to the general review of the nutr ition labelling, there is wide agreement that the 
effectiveness of that labelling can be strengthened as a channel for information to consumers to support their ability to choose a balanced diet. The Comm ission conducted consultations of 
stakeholders and the feedback was that ther e is dissatisfaction among stakeholders on the 
current legislation. The proposal  for the revision of the legislation aims to overcome the 
problem of disparity of the in clusion of nutrition labelling in  different Member States or 
categories of food, by making the nutrition labe lling of a limited number of nutritional 
elements mandatory on the majority of processe d food. The proposal to re vise the legislation 
mentioned under the food labelling section will he lp to ensure that consumers across the EU 
have access to relevant nutriti on information so as to make informed choices, taking into 
account the nutrition-related advice provided thr ough Member States’ pub lic health activities. 
13.4.6.  Nutrition and Health Claims 
13.4.6.1.  Current position 
General introduction 
Regulation (EC) No 1924/2006 of the European Parliament and of the Council, has been 
applicable since 1 July  2007, and lays down harmonised rules for the use of health or nutrition 
claims (such as “low fat”, “high fibre” and “helps lower choleste rol”) on foodstuffs. The 
Regulation aims at ensuring that any claim made  on a food label in the EU is clear, accurate 
and substantiated and will thus enable consumer s to make informed and meaningful choices 
when it comes to food and drinks. This shoul d also contribute to a higher level of human 
health protection, as it ties in with the Comm issions campaign for healthier lifestyle choices 
by allowing citizens to know ex actly what they are consuming. The Regulation also strives to 
ensure fair competition and promote and protec t innovation in the area of food. Only products 
offering genuine health or nutriti onal benefits will be allowed to refer to those on their labels. 
Among the principles laid down in the Regula tion, nutrient profiles were foreseen to be 
established by January 2010. Nutrient  profiles have to determine wh ether foods are eligible to 
bear claims on the basis of their nutrient compos ition and will be based primarily on the levels 
of nutrients for which excessive intakes in th e overall diet are not recommended (e.g. fat, 
saturated fat, salt and sugars). 
The Regulation has two routes for authorising health claims; either via adoption of the EU list 
of permitted health claims based on national lists (the so-called article 13 list of functional claims) or via authorisation pr ocedures based on applications directly from food business 
operators. 
Regarding nutrition claims, the Regulation incl uded in its annex a list of such authorized 
claims. 
Report of work done in 2009 
In 2009, further development of the nutrient profile s system and analysis of its impact were 
performed following EFSA's advice in 2008. The Co mmission services have put forward draft 
measures taking into account th e opinion of EFSA, Member St ates, and stakeholders. These 
EN 382   EN draft measures raised considerab le public interest, showing th at longer discussion was needed, 
thus delaying the Commissi on Decision on this matter. 
Concerning nutrition claims, an amendment addi ng 5 new nutrition claims was proposed and 
received a favourable opinion from the Regu latory Committee, paving the way for its 
adoption beginning of 2010. The new nutrition claims are related to  the content in fatty acids 
such as omega-3 fatty acids, and conditions for the use of such claim guarantee a minimum 
content of these fatty acids in  foods bearing these claims. 
The Commission authorised and rejected the first health claims  under the Regulation. 10 were 
authorised and 38 were rejected of those base d on applications direc tly from food business 
operators. Such health claims refer to the reduc tion of disease risk, to children's development 
and health of children, or newly scientific ev idence and/or include a re quest for protection of 
proprietary data. 
Concerning the  EU list of permitted health cl aims based on national lists  further work was 
done to consolidate the unexpected high numbe r of 44.000 health claims from the Member 
States. Examination of the national lists showed that Member States had applied the relevant 
criteria differently when preparing the lists a nd in certain cases not applied them at all. 
Consequently, consolidating the national lists into a single list including the claims for which 
the Authority should give scientific advice (by 2009, 4185 health claims  have been send to 
EFSA), required further discussions with th e Member States, stretching throughout 2009 and 
expected only to be finalised in 2010. An addendum is expected to be submitted to EFSA early 2010. 
Meetings with Member States' experts have b een held on a monthly basis to facilitate 
discussions on the application of the Regulatio n and to prepare the vot es in the Standing 
Committee on the authorisation of health and nu trition claims. Guidance documents aimed at 
the food business operators and enforcement au thorities are being developed. The guidance 
strives to ensure that only valid applications ar e submitted to EFSA and that authorised claims 
are used in compliance with the Regulation. 
13.4.6.2.  Evaluation based on the current situation 
Though key implementation measures still need to be adopted, the new Regulation already 
prohibits some misleading marketing practices  and benefits the European consumer in 
tangible ways. 
Nutrient profiles  are necessary to ensure that the clai ms delivered to consumers are accurate 
and not misleading, as could be cl aims on foods high in fat or suga rs or salt, and therefore it 
will be a priority for the Commission to adopt  the measures establishing these profiles. 
The new rules on nutrition claims  on fatty acids such as "Source of Omega-3 fatty acids" 
ensure consumers that they will have signif icant contributions in these fatty acids when 
choosing foods bearing such claims. Few Member States had rules for th e use of these claims 
and therefore the introduction of harmonised rules is an improvement of consumer 
information that could help consumer to make healthier choices. 
On health claims , the implementation of the Regulation ga ve rise to significant difficulties. 
This was illustrated by the unexpected high number of 44.000 health claims submitted by the 
Member States, as mentioned above, which woul d result in delaying the adoption of the EU 
EN 383   EN list of permitted health claims only due to the necessary time for EFSA to complete its 
assessment. 
13.4.6.3.  Evaluation results 
Priorities 
The priority remains to ensure a smooth im plementation of the Regulation, meeting the 
objectives of that legislation in terms of both protecting consumers and harmonizing the use 
of nutrition and health claims within the EU. 
Planned action 
Nutrient profiles will have to be set up in acco rdance with the basic Regulation as they are 
necessarily to complete the implementing rule s and allow an efficien t functioning of that 
legislative framework. 
On 1 October 2009 the Commission and the Memb er States received from EFSA the first 
series of opinions providing a dvice on 525 health claims in th e consolidated list. EFSA has 
indicated to the Commission that the assessment of  all the health claims in the consolidated 
list could not be completed before end 2011. Therefor e, in an effort to fulfil the intention of 
the legislator, to protect the consumers against misleading claims and to provide clarity in the 
market, the Commission decided to propose a st epwise adoption of the EU list of permitted 
health claims. A first adoption of the EU list of permitted health claims is expected in 2010 and the EFSA advice on the 525 health claims ha s been scrutinized and discussed with the 
Member States and stakeholders with  a view to prepare such adoption. 
The Commission has planned a seminar in 2010 fo r all involved partie s in implementing the 
Regulation (i.e. authorities, enforcement bodies , self-regulatory organisa tions etc) with the 
purpose of understanding each other tools a nd roles under the Regulation and thereby 
promoting a uniformed and correct application of the Regulation. 
13.4.6.4.  Sector summar y 
Implementing Regulation (EC) N° 1924/2006 on nutri tion and health claims made on food 
was a major task in 2009. Substantial prepar atory work has been completed for the 
establishment of specific nutrient profiles, a nd further development of  the nutrient profiles 
system and analysis of its impact were perf ormed. Five additional nutrition claims were 
proposed and received a favourable opinion from  the Regulatory Committee, paving the way 
for inclusion into the list beginning of 2010. Regarding health claims  based on applications 
directly from food business op erators, 10 were authorised and 38 were rejected by the 
Commission on the basis of the scie ntific opinion published by EFSA. 
Concerning the  EU List of permitted health claims based on national lists  further work was 
done to consolidate the unexpected high numbe r of 44.000 health claims from the Member 
States. By 2009, 4185 health claims  have been send to EFSA. An addendum is expected to be 
submitted to EFSA early 2010. 
EN 384   EN 13.4.7.  Dietetic foodstuffs 
13.4.7.1.  Current position 
General introduction 
Directive 2009/39/EC on foodstuffs intended fo r a particular nutritional uses (recast of 
Council Directive 89/398/EEC , hereafter referred to as the Fr amework Directive) establishes 
requirements on product composition and appropriat e consumer information for foods that are 
suitable to fulfil the particular nutritional re quirements of certain groups of the population. 
Foods for particular nutritional uses, or dietet ic foods, are defined as foodstuffs which owing 
to their composition or manufacturing process, ar e clearly distinguishable form foodstuffs for 
normal consumption, which are suitable for thei r claimed nutritional purposes and which are 
marketed in such a way as to indicate such suitability. The labelling of these products must 
include the particular elements of the qualitat ive and quantitative composition or the special 
manufacturing process which gives its pa rticular nutritional characteristics. 
For a number of these groups specific legisl ation has already been adopted. There are 
Commission Directives on foods  for infants and young children, foods for weight reduction, 
medical foods and gluten-free foods. However, for certain groups of c onsumers mentioned in 
the Framework Directive, decisions as to wh ether or not specific directives would be 
proposed (e.g. food products for people with diabet es), or indeed are s till needed (e.g. foods 
for sports people), are still to be taken. 
Products that do not belong to  the abovementioned categorie s are required to undergo a 
notification procedure in the Member States, with a view to facilitating the official monitoring 
and the placing on the market  of innovative products. 
Report of work done in 2009 
The Framework Directive on dietetic foods is now more than 21 years old and a number of 
issues have arisen in relation to its scope and implementation. Many relate to the continued 
evolution of the EU food legislation. Of partic ular importance is the a doption of the Directive 
on food supplements, the Regulation on the addition of vitamins and minerals and of certain 
other substances to foods and the Regulation on  nutrition and health claims made on foods. 
Following the developments in the food market  this last decade and due to the broad 
definition mentioned above, many 'normal' foods now  claim particular nutr itional benefits due 
to their composition. 
These elements, together  with the evolution of the food ma rket, render the revision of this 
legislation necessary. 
An impact assessment supporting the revision of the legislation on dietetic foods was 
therefore undertaken in 2009. It is based on a study commissioned by the Commission and 
finalised in April 2009, on consultations with Competent Au thorities and stakeholders and on 
two specific reports published in June 2008 on 1) the implementation of the notification 
procedure and 2) the desirability of special provisions for foods for persons suffering from 
carbohydrate-metabolism disorders (diabetes). 
On the other hand, Commission Regulation (EC)  No 953/2009 on substances that may be 
added for specific nutritional purposes in foods fo r particular nutritional uses was adopted on 
EN 385   EN the 13 October 2009 . This Regulation consolidates the ex isting rules and amends the list of 
authorised sources of vitamins and minerals that may be added to foods for particular 
nutritional uses and for which the E FSA has given a favourable opinion. 
13.4.7.2.  Evaluation based on the current situation 
It is clear from surveys, reports and comment s from Stakeholders and National Competent 
Authorities that recently adopted pieces of food legislation to so me extent overlap with some 
of the underlying principles of the dietetic food framework legisla tion. Consequently the 
application of each piece of legi slation to dietetic foods might  be unclear for businesses or 
Member States. Discussions have highlighted difficulties in particular with regards to the interpretation of the defi nition of dietetic foods. 
There is also a need to consider the legisla tion on dietetic foods in relation to the more 
"strategic goals" of ensuring a better and simp lified legal framework to facilitate innovation. 
Therefore, the impact assessment on the revisi on of the Framework Directive on dietetic 
foods would also consider the needs to simplif y the legislative framework for businesses and 
Competent Authorities and to reduc e administrative burdens. Partic ular attention will be given 
on small businesses to ensure th at any change made to the le gislation is easily communicated 
and simple to implement. 
13.4.7.3.  Evaluation results 
Priorities 
The main priority is to continue on the ongoing wo rk related to the revision of the legislation 
on foods for particular nutritional us es, otherwise called dietetic foods. 
Three key objectives must be achieved through the revision: 1) ensure  continuing food safety 
for consumers, 2) ensure the free movement of  goods within the internal market and with 
third countries and 3) minimise burdens on  food business operators  and ensure suitable 
flexibility and clarity for small businesses. 
Planned action 
The associated impact assessment should be submitted to the board during the first part of 
2010 and adoption of a new proposal of the Co mmission is foreseen by the end of 2010 or 
early 2011. 
13.4.7.4.  Sector summary 
The need to optimise th e existing legal framework on dietetic  foods to take into account the 
more recent developments in food legislation (food supplements, fortified foods, claims) and 
to clarify their interactions with  the dietetic food legislation is considered under the revision 
of the framework Directive on dietetic foods. On the basis of an impact assessment, the 
Commission is currently assessing all the potential impacts that various options for the revision could have on the management of dietetic foods. The Co mmission would adopt a 
proposal by the end of 2010. 
EN 386   EN 13.4.8.  Food Supplements and addition of vita mins and minerals and of certain other 
substances to foods 
13.4.8.1.  Current position 
General introduction 
Directive 2002/46/EC of the European Parliame nt and of the Council on food supplements 
partially harmonises the rules applicable to the placing of food supplements on the market. 
The scope of the Directive covers all food supplements. However, only the specific rules 
applicable to the use of vitami ns and minerals in the manufactur e of food supplements are laid 
down in the Directive. Accordi ng to Article 4(8) of the Dire ctive, the Commission adopted on 
5 December 2008 a Report518 on the use of substan ces other than vitamins and minerals in 
food supplements which concludes that the exis ting EU legal instruments already constitute a 
sufficient legislative framework for regulating this  area and does not cons ider it opportune to 
lay down specific rules for substances other than  vitamins or minerals for use in foodstuffs. 
Therefore, the use of substances other than vi tamins or minerals in the manufacture of food 
supplements continues to be subject to th e rules in force in national legislation. 
Regulation (EC) No 1925/2006 of the European Parliament and of the Council, which is 
applicable as of 1 July 2007, harmonises the provisions laid down in Member States that 
relate to the addition to foodstu ffs of vitamins and minerals a nd of certain other substances, 
such as amino acids, essential fatty acids, fibr e, various plants and herbal extracts. The 
objective of this Regulation is to ensure the e ffective functioning of the internal market whilst 
providing a high level of consumer protection. 
Report on work done in 2009 
In 2009, the Commission adopted Regulatio n (EC) No 1170/2009 of 30 November 2009 
amending Directive 2002/46/EC of the European  Parliament and of Council and Regulation 
(EC) No 1925/2006 of the European Parliament and of the Council as regards the lists of 
vitamin and minerals and their forms that can be added to foods, including food supplements. 
That Regulation updates the list of vitamins and mi nerals and of their authorised forms, that 
may be added to these foods, a nd for which the European Food Safety Authority (EFSA) has 
given a favourable opinion. 
13.4.8.2.  Evaluation based on the current situation 
In order to complete the harmonization in that  sector, the two acts mentioned above foresee 
that maximum amounts should be set up for use of  the vitamins and mine rals listed in their 
annexes in foods and in food supplements. 
An impact assessment report to analyse the ec onomic, social and environmental impacts of 
the options for the settin g of maximum amounts is currently being finalized. 
                                                 
518 COM(2008)824. 
EN 387   EN 13.4.8.3.  Evaluation results 
Priorities 
In the area of food supplements and of fortified foods, the prio rity remains the completion of 
the harmonization for the use of vitamins and minerals. 
Planned actions 
Future activities, in the field of food supplemen ts and of fortified f oods, will relate to the 
adoption of implementing measures, which include, inter alia , the setting of maximum 
amounts of vitamins and minerals  and the updating of the positiv e list of substa nces in the 
Annexes to the Directive. 
13.4.8.4.  Sector summary 
Directive 2002/46/EC and Regula tion (EC) No 1925/2006 of the European Parliament and of 
the Council respectively harmonise partially th e rules applicable to the placing of food 
supplements on the market and the addition of vitamins and minerals and of certain other 
substances to foodstuffs. 
The lists of vitamins and minera ls have been recently updated. 
The completion of the harmonization should take pl ace in the near future  with the setting up 
of maximum amounts for the use of the substances concerned. 
13.4.9.  GMO Food and Feed 
13.4.9.1.  Current position 
General introduction 
Regulation (EC) No 1829/2003 of the European Pa rliament and of the Council on genetically 
modified (GM) food and feed sets out a comprehensive set of rules governing the 
authorisation process for GM food and feed, wh ile ensuring a high le vel of protection of 
human and animal health, of the enviro nment and of consumers' interests. 
The Regulation provides for a single EU procedur e for the authorisation of all food and feed 
containing, consisting or produced from a geneti cally modified organism. This authorisation, 
valid throughout the EU, is gr anted subject to a single risk  assessment process under the 
responsibility of the EFSA and a single risk management process i nvolving the Commission 
and the Member States through a regulatory committee procedure. 
Report on work done in 2009 
In line with its oblig ations deriving from Regula tion (EC) No 1829/2003, the Commission 
implemented the EU legislation on GM food an d feed mainly in the two following areas: 
• Authorisations were granted to those GM food and feed complying with all the conditions 
set out in the basic legislation: 
EN 388   EN On 10 March 2009 the Commission adopted Decision 2009/184/EC authorising the 
placing on the market of products containing or pr oduced from genetically 
modified oilseed rape T45 (ACS-BNØØ8-2);  
On 30 October 2009 the Commission adopt ed Decision 2009/813/EC authorising the 
placing on the market of products cont aining, consisting of or produced from 
genetically modified maize MON 89034 (MON-89Ø34-3);  
On 30 October 2009 the Commission adopt ed Decision 2009/814/EC authorising the 
placing on the market of products cont aining, consisting of or produced from 
genetically modified maize MON 88017 (MON-89Ø17-3);  
On 30 October 2009 the Commission adopt ed Decision 2009/815/EC authorising the 
placing on the market of products cont aining, consisting of or produced from 
genetically modified maize 59122xNK603 (DAS-59122-7xMON-ØØ6Ø3-6) 
and  
On 30 November 2009 the Commission adopt ed Decision 2009/866/ EC authorising 
the placing on the market of products containing, c onsisting of or produced 
from genetically modified maize MIR604 (SYN-IR6Ø4-5). 
• The Commission monitored the situation as regards the risk of non-authorised GM food 
and feed in products imported from third c ountries being placed on the EU market. This 
was in particular the case concerning emerge ncy measures regarding the presence of the 
unauthorised genetically modified organism Bt 63 in rice products coming from China and 
regarding the non-authorised ge netically modified organism LL RICE 601 in rice products 
originating from the United States. In addition, a protocol of sampling and testing on linseed has been agreed with the Canadian auth orities in order to prevent the import of the 
non authorised linseed FP 967. 
The Commission has launched in June 2009 an evaluation on genetically modified food and 
feed with the view to assess to what extent the EU legislative framework and its objectives in 
this sector are still in line with the needs of the EU society. 
The primary objective of this evaluation is to assess the implementation of the major aspects 
of the legislative framework and to presen t possible policy options. The evaluation will 
particularly focus on three aspects: (a) the auth orisation procedure; (b) the labelling regime; 
(c) the acceptance of the EU regulatory system. 
The authorisation of GMOs for cu ltivation is excluded from the sc ope of this evaluation as it 
covered by a parallel evaluati on launched by DG Environment. 
13.4.9.2.  Evaluation result 
Two evaluations have been la unched in 2009 to review a nd assess the EU legislative 
framework in the field of GM food, feed and see d. The evaluations seek to identify existing 
challenges in its implementation, and to ensure its re levance for the current  needs focusing, in 
particular, on the regulatory approval process and the compul sory labelling of GM food and 
feed. These evaluations also aim at obtaining a comprehensive set of data and information 
from an impartial source as well as to gain a clearer view about the f unctioning of the current 
regulatory framework, its consequences and impact. This information will be used as a basis for possible future policy decisi ons to streamline this sector. 
EN 389   EN 13.4.10.  Novel Foods 
13.4.10.1.  Current position 
General introduction 
Novel foods are foods and food ingredients that have not been used for human consumption to 
a significant degree within the EU before 15 May 1997. Regulation (EC)  No 258/97 of the 
European Parliament and of the Council lays ou t detailed rules for th e authorisation of novel 
foods and novel food ingredients. 
Companies that want to place a novel food on the EU market need to submit their application 
in accordance with Commission Recommendation 97/618/EC which concerns the scientific 
information and the safety assessment report required. 
The Commission adopted on 14 January 2008 a pr oposal for a Regulation of the European 
Parliament and the Council on novel foods, base d on Article 114 TFEU (ex Article 95 TEC), 
which would revise and repl ace the existing legislation. 
Report of the work done in 2009 
A total of 13 novel foodstuffs (Arachidonic acid ; Vitamin K2; 2 * two extension of uses of 
DHA; 3 * lycopene; lycopene oleoresin from  tomatoes; Krill oil; leaf extract from Morinda 
citrifolia ; Ice Structruing Protein; Chia seed ( Salvia hispanica ); leaf extract from lucerne 
(Medicago sativa )) were authorised for marketing in the EU in 2009. Also ca. 50 novel food 
products that were substantially equivalent to  existing foods or food ingredients have been 
notified according to the simplified procedure in 2009. 
13.4.10.2.  Evaluation based on the current situation 
The current legislation lays down a decentralized  procedure leading to a long (3-5 years) and 
costly process which may prevent companies, in  particular SMEs, from innovating in the food 
sector. The objectives of Commission's proposal were to address these points in particular 
through a centralised evaluation and authorisa tion procedure and to provide for better 
conditions for innovation in the food sector. 
The European Parliament adopted its opinion in first reading on the novel food proposal on 25 
March 2009. 
However, the inter-institutional debate progress ively focused on the issues of animal cloning 
for food production and of nanotechnology in food. 
On cloning, the Commission acknowledged that th e novel food Regulation was not the right 
legal instrument to cover all the aspects of th e cloning issue and agreed to present a report to 
the European Parliament and the Council on a ll aspects of food produced from animals 
obtained by using a clon ing technique and from their offs pring, followed where appropriate 
by any legislative proposals. 
On nanotechnologies, the Commission supported th e EP amendment for the inclusion of a 
definition of "engineered nanomaterials" which is science based and could be later revised to take into account international scientific develo pments. It also agreed that all food ingredients 
EN 390   EN containing such nanomaterials would need a pre-market authorisation under the novel food 
Regulation. 
As regards the mandatory labelling of all nano-ingredients, the Commission considered that it 
should be decided on a case by case basis when authorising the nano-ingredient under novel 
food Regulation. 
13.4.10.3.  Evaluation results 
Priorities 
Taking into account the objec tives of the Commission's proposal of improving the 
authorisation procedure of novel foods, and of  providing for better conditions for innovation 
in the food sector, the pr iority should be to pr ogress toward an agreem ent for an adoption of 
the revised legislation on Novel Food. 
Planned actions 
A report to the European Parliament and th e Council on all aspects of food produced from 
animals obtained by using a cloning technique and from their offspring, followed where 
appropriate by any legislative proposals, will be prepared. 
13.4.10.4.  Sector summary 
The current legislation on novel foods does not allow for an effi cient authorization procedure 
and for stimulating innova tion in the food sector. 
A Commission proposal currentl y discussed within the co-d ecision procedure aims at 
adapting the legislative framework in these respect s. In that context, those discussions gave 
rise to a debate on the issues of the safety im plications and ethical c oncerns of the use of 
cloning and nanotechnologies  in the food sector. 
A report should be prepared by the Commission on cloning. 
13.4.11.  Food additives 
13.4.11.1.  Current position 
General introduction 
Council Directive 89/107/EEC on the approximation of the laws of the Member States 
concerning food additives authorised for use in foodstuffs intended for human consumption 
lays down the general principles for authorisat ion of food additives in the European Union. 
This Directive is complemented with the Euro pean Parliament and the Council Directives 
94/35/EC on sweeteners for use in foodstuffs, 94/36/EC on colo urs for use in foodstuffs and 
95/2/EC on food additives other than colour s and sweeteners which lay down the list of 
authorised food additives and their conditions  of use to the exclusion of all others. 
A new Regulation (EC) No 1333/2008 on food a dditives was adopted on 16 December 2008, 
most provisions of which will apply from 20 January 2010. The Regulation: 
• simplifies the food additive legislation by co nsolidating the provisions of Directives 
89/107/EEC, 94/35/EC, 94/36/EC and 95/2/EC; 
EN 391   EN • confers implementing powers on the Commission to  update the EU lists of authorised food 
additives; 
• sets up a re-evaluation programme for all existing food additives; 
• establishes a system for a review of all current additives authorisations for their 
compliance with the principles of the Re gulation (EC) No 1333/ 2008 by 20 January 2011 
and transfer of these provisions  in the Annex of this Regula tion. Until this transfer is 
completed, the Annexes to Directives 94/35/EC , 94/36/EC and 95/2/EC continue to apply. 
In addition, powers to adopt implementing meas ures were conferred to the Commission to 
amend the annexes to Directives 94/35/EC, 94/36/EC and 95/2/EC until the establishment 
of the EU list of food ad ditives in the Annex of Regulation (EC) No 1333/2008. 
Further simplification of the legal framework is ensured by  Regulation (EC) No 1331/2008 
which establishes an effective, expedient and transparent common authorisation procedure for 
food additives, food enzymes and food flavourings. 
Commission Directive 2009/163/EU amending Directive 94/35/EC of the European 
Parliament and Council on sweeteners for use in foodstuffs with regard to neotame was 
adopted on 22 December 2009. 
Legislative Changes Underway 
A number of implementing measures under Regulation (EC) No 1333/2008 and Regulation 
(EC) No 1331/2008 are required. The preparati on started on the following measures during 
2009: 
• Commission Regulation setting up a programme for the re-eva luation of approved food 
additives, taking into ac count advice from EFSA. 
• Commission Regulation establishing the EU list of food additives approved for use in 
foods and conditions of use, following a review of all current additives  authorisations for 
their compliance with the principles  of the Regulation (EC) No 1333/2008. 
• Commission Regulation establishing the EU list of food additives and carriers approved for 
use in food additives, food enzyme s and food flavourings and the EU. 
• Commission Regulation laying down specifications of the approved food additives. 
• Amendments to Commission Directives 95/2/EC  and 94/36/EC, following applications for 
new additives, applications fo r the extension of use of alr eady authorised additives, where 
necessary taking into account  the opinions of EFSA. 
• Preparation of the implementing measures as la id down in article 9 of  Regulation (EC) No 
1331/2008, concerning the content, dr afting and presentation of an application for use of 
food additives, the arrangements for checking the validity of such applic ations and the type 
of information that must be included in the opinion of EF SA on the risk-assessment of 
these additives. 
EN 392   EN 13.4.11.2.  Evaluation 
Until these implementing measures are for some time in force, it is not possible to fully 
appreciate the enforcement of Regulation (E C) No 1331/2008, which should finally result in 
significant improvement (in particular for fo od business) due the simplification of the 
authorisation procedur e for food additives. 
13.4.12.  Food Flavourings 
13.4.12.1.  Current position 
General introduction 
The general framework for food flavourings in  the EU was establis hed by Council Directive 
88/388/EEC of 22 June 1988 on the approximation of the laws of the Member States relating 
to flavourings for use in foodstuffs and to sour ce materials for their pr oduction. This Directive 
lays down general requirements for safe use of  flavourings in food a nd provides definitions 
for different types of flavourings . It also establishes maximum levels for certain substances 
that are naturally present in fl avourings and in food ingredients with flavouring properties, but 
which may raise concern for human health. 
Commission Directive 91/71/ EEC of 16 January 1991 co mpleting Council Directive 
88/388/EEC sets out labell ing rules on flavourings. 
It was necessary to update these Directives in the light of tec hnical and scientific 
developments. Therefore, the Commission proposed on 28 July 2006 a new Regulation on 
flavourings and certain food ingred ients with flavouring properties. 
The new Regulation (EC) No 1334/2008 on flavour ings and certain food ingredients with 
flavouring properties for use in and on foods  was adopted on 16 December 2008. It repeals 
Council Directive 88/388/EEC a nd Commission Directive 91/71/ EEC as from 20 January 
2011. 
Similar to the previous legisla tion, the Regulation lays down ge neral requirements for safe use 
of flavourings and provides defi nitions for different types of flavourings. The Regulation sets 
out flavourings and source materials for which an evaluation and approval is required. The 
Regulation prohibits the addition of certain substances as such to food and lays down 
maximum levels for certain substances, which ar e naturally present in flavourings and in food 
ingredients with flavourings pr operties, but which may raise concern for human health. The 
Regulation also sets out the ru les for labelling of flavourings  from business to business and 
for sale to the final consumers. It also describes the specific requirements for use of the term "natural". 
Currently, Regulation (EC) No 2232/96 sets out the basic rule s for the use of flavouring 
substances in or on foodstuffs and lays down a pr ocedure for the establis hment of a EU list of 
flavouring substances. The Regulation will become  obsolete after the establishment, foreseen 
by the end of 2010 at the latest, of the EU lis t provided for in Regulation (EC) No 1334/2008, 
when only those flavouring substances listed will be allowed to be added to foods. 
The European Parliament and the Counc il Regulation (EC) No 2065/2003 on smoke 
flavourings used or intended for use in or on fo ods establishes an EU procedure for the safety 
assessment and the authorisation of smoke flavour ings in order to ensure a high level of 
EN 393   EN protection of human health and pr otection of consumers' interests,  as well as to ensure fair 
trade practices. 
In addition, a separate Regulation (EC) No 1331/ 2008 establishes an effective, expedient and 
transparent common authorisation procedure for food additives, food enzymes and food 
flavourings. 
13.4.12.2.  Evaluation results 
The EU list on flavouring substances is scheduled to be adopted by end 2010 and will form 
part of the Regulation (EC) No1334/2008. An  implementing measure for guidance on 
applications for authorisations on flavourings  will be elaborated under Regulation (EC) No 
1331/2008 by end 2010. 
A common methodology for monitori ng flavourings will be elaborated under Regulation (EC) 
No 1334/2008. 
The EU list on smoke flavourings will be established in 2nd quarter of 2010 as the EFSA 
adopted all the opinions on smoke fla vourings in the end of November 2009. 
13.4.13.  Food Contact Material 
13.4.13.1.  Current position 
General introduction 
Regulation (EC) No 1935/2004 of the European Parliament and of the Council on materials 
and articles intended to come into contact with  food (FCM) sets out th e basic requirements for 
a harmonised European market on food contact materials, while ensuring a high level of 
protection of human health. This legal act empowers the Commission to set material specific rules in specific legislation. 
Specific legislation exists for ceramic materials, regenerated cellulose film, plastic food 
contact materials and recycled plastics. 
Work done in 2009 
In 2009 specific legislation was adopted for active and intelligent materials and articles to be 
used in contact with food. These are materials a nd articles that can inte ract with the food by 
absorbing or releasing substanc es or that monitor the cond itions of the p ackaged food. 
Commission Regulation (EC) No 450/2009 sets  down additional requirements for these 
materials and articles to the ones already contained in Regul ation (EC) No 1935/2004 in order 
to ensure their safety. These additional requirements are for ex ample a list of authorised 
substances and specific labelling requirements. 
In February 2009, a number of Member States  detected the presence of a chemical, 4-
Methylbenzophenone, in certain food products. Th e substance migrated from the printed 
cardboard package into the food. Paper and inks for use in  contact with food are not yet 
harmonised at EU level. Therefore, the Comm ission immediately coordinated the actions of 
Member States in order to respond efficiently  to the crisis. An urgent Standing Committee 
meeting was called and a common strategy was agreed by Member States. The European 
EN 394   EN Food Safety Authority was consulted and th eir opinion supported scientifically the 
conclusions reached by the Standing Committee. 
13.4.13.2.  Evaluation 
Harmonisation of legislation for plastic food c ontact materials starte d in 1980 and led to a 
series of 13 Directives setting out a list of auth orised substances, limits for the substances in 
food and testing regimes. Simplif ication and rationalisation of th is legislation dispersed over 
several Directives will be achieved by the adoption of a Commission Regulation, foreseen in 
2010. This Regulation will speed up authorisati on of new substances and simplify rules on 
migration testing. 
While the harmonisation of legisl ation on plastic food contact mate rials at EU level is nearly 
complete, only the basic principles are set out for other materials such as paper and board, 
printing inks, adhesives. In 2010 it will be analys ed how and to what extent harmonisation at 
EU level of other materials could be possible. 
13.4.13.3.  Evaluation results  
In the future a system tackling non-yet-harmonised materials will need to be developed. This 
system will have to avoid overregulation of the sector but at the same time will have to be 
efficient and able to ensure that the safety of citizens is guaranteed. 
13.4.14.  Plant Protection Products – Pesticide Residues 
13.4.14.1.  Current situation 
The yield of agricultural and horticultural crops can be severely reduced as a result of 
infestation by pests and diseases. In order to protect crops before and after harvest, plant 
protection products (or pesticides ) are used. Such pesticides c ould have severe undesirable 
effects if they are not  strictly regulated. 
The legislation in this area regulates the plac ing on the market and use of plant protection 
products (Directive 91/414/EEC and Regulat ion (EC) No 1107/2009) and the maximum 
residue levels (MRLs) of pesticides that can be  found in or on food and feed (Regulation (EC) 
No 396/2005). 
The evaluation, marketing and use of plant prot ection products in the EU are regulated under 
Council Directive 91/414/EEC. This  Directive lays out a compre hensive risk assessment and 
authorisation procedure for activ e substances and products cont aining these substances. Each 
active substance has to be proven safe in term s of human health, including residues in the 
food chain, animal health and the environment, in order to be allowed to be marketed. It is the 
responsibility of industry to provi de the data showing that a subs tance can be used safely with 
respect to human health and the environment. 
The rules for the placing on the market and us e of plant protection products provide that 
persons or companies, wishing to secure the inclusion of active substances in the positive list of Annex I of Directive 91/ 414/EEC, submit by a certain date a dossier meeting the 
requirements of the Directive in order to dem onstrate that it may be  expected that plant 
protection products containing those active subs tances are sufficiently safe for human or 
animal health or for the environment. 
EN 395   EN In 2009 the Commission finalised a program revi ewing the active substances already on the 
market at the moment that the Directive be came applicable. Certain producers of active 
substances, had challenged before the Court of Justice Commission decisions not including 
active substances on the positive list of Annex I of Directive 91/414/EEC or the conditions provided for in that Annex by invoking errors du ring the assessment of th e substances or with 
regard to legal flaws duri ng the decision making. In 2009 the Court dismissed 4 such 
cases519. 
Regulation (EC) No 1107/2009 c oncerning the placing of plan t protection products on the 
market, was published on 24 November 2009 and is  based on a Commission proposal of July 
2006 and which was subject to detailed discus sions in Council and Eu ropean Parliament. 
This Regulation will enter into force in June 2011 and will repeal Council Directive 
91/414/EEC, which is the current legislative framew ork for the placing on the market of plant 
protection products. Like Dir ective 91/414/EEC, Regulation (EC)  No 1107/2009 provides for 
a system for approval of active substances at EU -level and authorisation by Member States of 
plant protection products containi ng approved substances. It ensu res a high level of protection 
of both human and animal health and the envi ronment by setting strict and clear approval 
criteria for active substances, safeness and sy nergists in plant pr otection products, which 
increase the level of safety particularly fo r consumers, farmers and the environment. The 
Regulation provides also for comparative assessme nt of products contai ning substances which 
are identified at EU level as candidates for substitution leading to substitution by safer 
alternatives. At the same time it intends to sa feguard competitiveness of EU agriculture and 
industry by setting a more streamlined assess ment procedure, improved rules on monitoring 
and control and new rules on data protection. A system of obligatory mutual recognition in 3 
agro-climatic zones will ensure a more harmoni sed availability of plant protection products. 
As regards Regulation (EC) No 396/2005, in 20 09 the Commission adopted three Regulations 
to set several new maximum residue levels (MRLs) for following the evaluation of new 
MRLs applications by manufacturers as well as  third countries. On 16 November 2009 the 
Commission also adopted the Regulation (E C) No 1097/2009 to reduce the permitted MRLs 
of eleven pesticide active substances becau se of safety concerns. New information on 
toxicology, consumer exposure and the expected pesticide residues indicat ed that the existing 
MRLs for these substances might no longer be safe for all EU consumer groups. In addition, 
in November 2009, following repeated findings of high levels of the pesticide amitraz in pears from Turkey, the Commission t ook emergency measures imposing controls on at least 10% 
consignments at import of Turkish pears. Th ese measures were laid  down in Commission 
Decision 2009/835/EC, which provided also for a po ssible review of the degree of control on 
the basis of the results that ha d to be reported by Member States to the Commission on a 2-
week basis. The results received in 2009 suggest ed that the Turkish au thorities took measures 
on their side and suspended or reduced export of  pears to the EU. Although there was no need 
                                                
 
519 Case T- 326/07 - Cheminova v. Commission – judgment of 3.9.2009  Case T- 420/05 - Vischim v. Commision – judgment of 7.10.2009 
 Case T- 380/06 - Vischim v. Commision – judgment of 7.10.2009 
 Case T- 334/07 - Denka v. Commission - judgment of 19.11.2009 
EN 396   EN to readjust the degree of control, the provisi on to check for amitraz in 10% of consignments 
will remain in place also for 2010. 
13.4.14.2.  Legislative Changes Underway 
In 2010 the Commission's activity in  this area will be mainly ai med at the implementation of 
Regulation (EC) No 1107/2009. In parallel, the activity under Directive 91/414/EEC will also 
continue, with a special focus on the dos siers submitted by severa l manufacturers under 
Regulation (EC) No 33/2008. This  Regulation lays down rules concerning the re-submission 
of dossiers regarding substances  previously not included in the positive list of Directive 
91/414/EEC (Annex I). In the course of 2009 more than 70 dossiers were submitted by industry, for which the evaluation shall be finalised in 2010. 
13.4.14.3.  Evaluation 
Although this policy area is char acterised by complex technical issues the enforcement of the 
legislation seems to be adequate. Only few co mplaints on the bad application by the Member 
States of Directive 91/41 4/EEC have been received. One infri ngement has been referred to the 
Court (Case C-363/09 concerning incorrect transposition by Sp ain of provision s concerning 
data protection) on 11.9.2009. 
13.4.15.  Contaminants in food 
13.4.15.1.  Current position 
General introduction 
The EU harmonisation of legisla tion on contaminants in food fulf ils two essential objectives: 
the protection of public hea lth and the removal of internal barriers to trade. 
Council Regulation (EEC) No 315/93 of 8 February 1993, laying down community 
procedures for contaminants in food, is the framework for the EU action on contaminants. 
The Regulation provides that: 
• Food containing a contaminant in an amount wh ich is unacceptable from the public health 
viewpoint shall not be placed on the market; 
• Contaminant levels shall be kept as low as can reasonably be achieved by following good 
practices at all stages of the production chain; 
• In order to protect public health, maximum levels for specific contaminants shall be 
established where necessary (by comitology); and 
• The consultation of EFSA for all provisions which may have an effect upon public health 
is mandatory. 
Based on this framework Regulation, maximum le vels for the following specific contaminants 
in foodstuffs have been established by Commission Regulation (EC) No 1881/2006 of 19 
December 2006: 
• Nitrate; 
EN 397   EN • Aflatoxins, ochratoxin A, Fusarium -toxins, and patulin (mycotoxins); 
• Lead, cadmium, mercury (heavy metals); 
• Dioxins and PCBs; 
• 3-MCPD; 
• Inorganic tin; 
• Benzo(a)pyrene (as marker subs tance for the group of PAH). 
In addition, several Regulations have been adopted containing provisions as regards the 
sampling and methods of analysis to be used fo r official control of the compliance with the 
maximum levels established on contaminants, in  order to ensure a harmonised enforcement 
approach: 
• Commission Regulation (EC)  No 1882/2006 of 19 December 2006 laying down methods 
of sampling and analysis for the official cont rol of the levels of nitrates in certain 
foodstuffs; 
• Commission Regulation (EC)  No 1883/2006 of 19 December 2006 laying down methods 
of sampling and analysis for th e official control of the leve ls of dioxins and dioxin-like 
PCBs in certain foodstuffs; 
• Commission Regulation (EC) No 401/2006 of 23 February 2006 laying down methods of 
sampling and analysis for the official control of the levels of mycotoxins in foodstuffs; 
• Commission Regulation (EC) No 333/2007 of  28 March 2007 laying down methods of 
sampling and analysis for the official control of the levels of lead, cadmium, mercury, 
inorganic tin, 3-MCPD and benzo(a)pyrene in foodstuffs. 
Work done in 2009 
In response to frequent findings of high levels of aflatoxins in some products originating from 
some third countries, specific measures ha ve been introduced by Commission Regulation 
(EC) No 1152/2009 of 27 November 2009 imposi ng special conditions governing the import 
of certain foodstuffs from certain  third countries due to contam ination risk by aflatoxins and 
repealing Decision 2006/504/EC520 imposing special  conditions on the import of pistachios 
from Iran, peanuts from Egypt and China, hazel nuts, dried figs and pistachios from Turkey, 
Brazil nuts in shell and peanuts from Brazil and almonds from the United States. The Regulation (EC) No 1152/2009 pr ovides for a strengthening of the import procedure 
compared to Commission Decision 2006/504/EC. 
Furthermore, other safeguard measures taken in 2008 have been updated in 2009 to take into 
account the control results at im port and/or the outcome of an inspection of the Food and 
Veterinary Office (FVO). 
                                                
 
520 OJ L 313, 28.11. 2009, p. 40 
EN 398   EN • Commission Regulation (EC) 1151/2009 of  27 November 2009 imposing special 
conditions governing the import of sunflower oi l originating in or consigned from Ukraine 
due to contamination risks by mineral oi l and repealing Decision 2008/433/EC521; and 
• Commission Regulation (EC)  No 1135/2009 of 25 Novemb er 2009 imposing special 
conditions governing the import of certain products originating in or consigned from China, and repealing Commission Decision 2008/798/EC522. 
Discussions on an update of the provisions of Commission Decision 2008/352/EC of 29 April 
2008 imposes special conditions governing guar gu m originating in or consigned from India 
due to contamination risks of those products by pentachlorophenol and dioxins have been 
finalised but adoption and entry in force of these new provisions is foreseen for early 2010. 
13.4.15.2.  Legislative Changes Underway 
Initiatives for possible changes to the contaminant legislation include the development of 
proposals to limit the presence in food of othe r contaminants (T-2 toxin, HT-2 toxin and 
PCBs) and to review some existing provis ions (heavy metals, polycyclic aromatic 
hydrocarbons (PAHs) and dioxins). 
Discussion on the review of the existing provisions as regards aflatoxins and ochratoxin A 
have been finalised in 2009, but adoption and entry in force of these new provisions is 
foreseen for early 2010. 
The presence of acrylamide in food is under c ontinual close scrutiny, pe nding availability of 
further scientific inform ation and new monitoring. 
Data is being collected on a number of othe r contaminants, such as brominated flame 
retardants (polybrominated diphenyl ethers (P BDE’s)…), acrylamide, furan, perfluorooctane 
sulfonates/acids (PFOS/A). 
In the contaminants area new and emerging risks are difficult to predict, but require 
continuous attention to protect public health. 
13.4.15.3.  Evaluation 
Much attention is paid to the effective a nd uniform enforcement of the legislation on 
contaminants and of related safeguard measures. Consideration is given to enforcement issues 
from the very first stages of the discussions on new measures, in order to ensure optimal 
uniform enforcement across the EU. 
Enforcement issues are discussed in the St anding Committee on the Food Chain and Animal 
Health and in relevant expert groups thereof.  These discussions result in some cases in 
guidance documents for the control of the legi slation, publicly availa ble and published on DG 
"Health and Consumer" web pages: 
                                                
 
521 OJ L 313, 28.11.2009, p. 36 522 OJ L 311, 26.11.2009, p. 3 
EN 399   EN • Guidance document for competent authorities for the control of compliance with EU 
legislation on aflatoxins523; 
• Guidelines for the enforcement of provisions on dioxins in the event of non-compliance 
with the maximum levels for dioxins in food524; 
• Guidance on sampling of whole fishes of different size and/or weight525; 
• Report on the relationship between  analytical results, measurement uncertainty, recovery 
factors and the provisions of EU  food and feed legisl ation, with particul ar reference to the 
contaminants legislation526. 
13.4.16.  Zoonoses and antimicrobial resistance  
13.4.16.1.  Current position 
General introduction 
Zoonoses are diseases and infections that can be  transmitted from animals to humans, directly 
or, in particular, through f ood (e.g. Salmonella in eggs) The monitoring of zoonoses along the 
entire food chain and in humans is necessary to assess related risks. Zoonoses, in particular at 
the level of primary production, must be adequately controlled. 
The main pieces of legislation relating to zoonoses are: 
• Directive 2003/99/EC of the European Parliame nt and of the Council on the monitoring of 
zoonoses and zoonotic agents, amending C ouncil Decision 90/424/EEC and repealing 
Council Directive 92/117/EEC527. 
• Regulation (EC) No 2160/2003 of  the European Parliament and of the Council on the 
control of salmonella and other specified food-borne zoonotic agents528. Implementing 
provisions include the setting of  targets for the reduction of Salmonella  in flocks of poultry 
                                                 
523
 http://ec.europa.eu/food/ food/chemicalsafety/contam inants/aflatoxin_guidance0309_e
n.pdf; 
524 http://ec.europa.eu/food/food/chem icalsafety/contaminants/guidelines-
july_2004_en.pdf; 
525 http://ec.europa.eu/food/ food/chemicalsafety/contaminants/guidance-sampling%20-
whole-fish-with%20exemples- dec2006.pdf 
526 http://ec.europa.eu/food/food/ch emicalsafety/contaminants/report-
sampling_analysis_2004_en.pdf  
527 OJ L 325, 12.12.2003, p. 31. 528 OJ L 325, 12.12.2003, p. 1. 
EN 400   EN and approval of Salmonella  control programmes in third countries needed to continue the 
import of live poultry and eggs. 
Reports have been published by EFSA and the European Centre for Disease Prevention and 
Control (ECDC) on the increasing risk of anti microbial resistance (AMR) in zoonotic agents, 
jeopardizing the treatment of these infections in humans. 
Report of work done in 2009 
After the end of a transitional period, a definitive target for the reduction of Salmonella  in 
flocks of breeding hens has been agreed on529. 
Control programmes in flocks of breeding tu rkey submitted by third countries have been 
evaluated, approved530 or rejected. 
A staff working paper of the services of th e Commission was adopte d. The purpose of the 
paper is to serve as a basis of discussion and further reflections on the ways to tackle the 
growing public and animal health problem of AMR. The working paper provides an overview 
of the activities already undertak en of the EU in combating the AMR in the past decades. The 
paper collects the activit ies related to AMR in the areas of  public health, z oonoses control, 
animal health and welfare. It covers among others monitoring, risk assessment, risk management and research on AMR. It also identifies areas where further actions, like 
improvement of surveillance systems in human medicine and ensuring the prudent use of 
antimicrobials in animal husbandry, may need to be reflected. 
At the request of the Commission, ECDC, EFSA , the European Medicines Agency (EMEA) 
and the European Commission’s Scientific Committee on Emerging and Newly Identified 
Health Risks (SCENIHR) have published a joint scientific  opinion on AMR focused on 
infections transmitted to hu mans from animals and food. 
13.4.16.2.  Evaluation based on the current situation 
The monitoring of zoonoses need to be reconsider ed continuously in order to better assess the 
spread of emerging risks such as methicilin resistant Staphylococcus aureus  (MRSA) and Q-
fever and to further harmonise monitoring and reporting. The need for further harmonisation 
arises from difficulties to use current data in a comparable way between Member States or for risk assessment. 
The step-by-step transition from targets set for a transitional peri od on the reduction of 
Salmonella in flocks of poultry to definitive targets, are useful occasions to improve the legal 
provisions on minimum requireme nts for control programmes based on the experience gained. 
Evaluation of the staff working paper on AMR an d its suggested initia tives will happen when 
an ongoing consultation is finalised. 
                                                
 
529 SANCO/5971/2009 530 SANCO/5541/2009 
EN 401   EN 13.4.16.3.  Evaluation results 
Priorities 
Priority is given to consultation and reflections on the need for further initiatives in the area of 
AMR in zoonotic agents. 
Planned actions 
• Consultation of all relevant parties on the staff working docum ent of the services of the 
commission on AMR. It might result in additional request for risk assessment, improved 
monitoring or the consideration of additional measures. 
• Setting of a definitive target for the reduction of Salmonella  in flocks of laying hens, 
including improving current provisio ns based on the experience gained. 
• Reconsideration of monitoring activities (harmonisation, intro duction of emerging agents). 
13.4.17.  Transmissible Spongiform Encephalopathies 
13.4.17.1.  Current position 
General introduction 
Regulation (EC) No 999/2001531 of the European Parliament and of the Council lays down 
rules for the prevention, control and eradi cation of certain transmissible spongiform 
encephalopathies (TSEs). 
The EU has made great strides in its battle agains t bovine spongiform en cephalopathy (BSE). 
The consistent decline in the number of BSE/TS E incidents bears witness to the effectiveness 
of strong, comprehensive EU measures put in place to combat this disease. The Commission 
has at no point stopped mon itoring or reacting to the chal l e n g e  o f  B S E .  A s  a  r e s u l t ,  
consumers' confidence has increased. 
In the light of the reduction of BSE cases, ne w developments in scie nce, and in accordance 
with the TSE Roadmap adopted by the Comm ission on 15 July 2005532, new measures have 
been adopted to target surveillance and eradicat ion schemes better, revise the list of specified 
risk materials and set impor t rules linked to the BSE risk status of countries. 
In light of this positive trend, and new de velopments in science and technology, the TSE 
Roadmap considers possible amendments to ce rtain BSE measures currently in place while 
still making food safety and consumer protecti on the highest priority. Any adaptations made 
to the BSE measures, however, will not affect in any way the fundament al objectives of TSE 
eradication and the protection of the EU citizens. These have always been and will continue to 
be the main considerations of EU policy making in this area. 
Report of the work done in 2009 
                                                 
531 OJ L 147, 31.5.2001, p. 1 532 Com(2005)322 final 
EN 402   EN In 2009 following measures were adopt ed for updating the TSE legislation: 
Commission Regulation (EC) No 103/2009 of 3 February 2009 amending Annexes VII and 
IX to Regulation (EC) No 999/2001 introduced sp ecific eradication measures for ovine and 
caprine animals. 
Commission Regulation (EC) No 162/2009 of 26 February 2009 amending Annexes III and X 
to Regulation (EC) No 999/2001 modified certa in approved laboratory methods for the 
diagnostic of TSEs. 
Commission Regulation (EC) No 163/2009 of 26 February 2009 amending Annex IV to 
Regulation (EC) No 999/2001 amende d certain feed ban provisions. 
13.4.17.2.  Evaluation based on the current situation 
In relation to the legislation applicable to TSE,  priority is being given to the review of the 
provisions related to the total feed ban and er adication measures in small ruminants on the 
basis of evolving science and supported by a favour able epidemiological situation and trend. 
Efforts will focus on the need to adjust existing measures to new scientific findings and thus 
to risk. 
13.4.17.3.  Evaluation results 
Priorities 
The majority of short and medium term acti ons envisaged in the TSE Roadmap have been 
achieved. The goal for the coming years is to con tinue the review of the TSE measures based 
on science, while maintaining the current high level of food safety. It is the intention to propose to the European Parliament and Memb er States a TSE Road  Map II, covering the 
next five years. It will be a reflection paper for future amendments of the legislation. The 
tentative timing to present the Road map is May-June 2010. 
Planned actions 
• The goal for the coming years is to continue  the review of the TSE measures while 
maintaining and assuring the high level of food  safety. For this purpose, a TSE Roadmap II 
covering the period 2010-2015 is  being prepared. Any amendm ents to the TSE rules are 
and will be supported by a solid scientific basis. 
• One of the points covered will be a revision of the current feed ban provisions which 
should be risk-based but at the same time  taking into account the control tools to 
differentiate between ruminant and non-rumina nt proteins. The future amendment would 
only target the use of non-ruminant proteins  into feed but taking into account the 
prohibition on intra-species r ecycling (cannibalism) e.g. onl y chicken MBM can be given 
to pigs and vice versa. There is however no intenti on to re-authorise th e use of ruminant 
proteins into feed.  
13.4.18.  Animal Health – Non Zoonotic Diseases 
13.4.18.1.  Current position 
General introduction 
EN 403   EN Animal health is an important factor for a functioning agriculture  and the safe supply of food. 
It has been part of the EU acquis from the very  beginning of the EU a nd legislation in force 
dates back to the 1960s. 
Animal health legislation has been adapted over the years, in order to accommodate new 
diseases such as BSE or changes in the spread of existing diseases such as avian influenza or 
bluetongue. Outbreaks of e.g. classical swine feve r and foot and mouth di sease have triggered 
adoption of specific legislation. 
The result is a body of law of over 60 acts (m ostly Directives) laying down horizontal and 
vertical principles for intra- community trade, imports of an imals and their products, health 
and movement controls (veterinary checks), the notification of diseases  and financial support. 
Formal complaint cases in this area are few. Most  refer to isolated cases of alleged incorrect 
implementation at local level which usually canno t be solved by the EU institutions but have 
to be dealt with in national courts. 
Nevertheless, requests for interpretation and the difficulties arising from the complexities and 
inconsistencies have shown that  this framework does not fully comply with more modern 
requirements for simplicity, transparency a nd flexibility. Thus on 19 September 2007 the 
Commission presented its plan s to improve the situation through a New Animal Health 
Strategy533. This triggered a br oad consultation involving stake holders, trade partners and 
institutions. As a result, a Communicati on on an Animal Health Action Plan534 was 
published, listing all actions considered necessary for a new approach on animal health until 
2013. The most important action is the work prepar ing a proposal on a new animal health law. 
Against this background the chal lenge to address acute animal health concerns effectively 
remains. Animal health is under consistent th reat of outbreaks within the EU, in neighbouring 
countries or on the territ ory of trade partners. 
Diseases such as classical swine fever and foot and mouth disease, which cause heavy 
economic losses, are constantly at our gates. Modified agricu ltural practices increase the 
importance of fish diseases and tuberculoses. Changes in the environment especially in the 
climate foster the sp read of bluetongue. 
While the Highly Pathogenic Avian Influenza H5 N1 virus has not posed to the EU a major 
threat in 2009, the emergence of the new human pandemic (H1N1) 2009 influenza virus which contains genes of human, avian and pig origin, further underlined the importance of 
international coordination and integrated effort s of human and animal h ealth professionals to 
fight similar threats. 
Work done in 2009 
In 2009 the Commission has pursued  the actions to implement th e Animal Health Action Plan 
mentioned above. 
                                                
 
533 COM(2007)539final. 534 COM(2008)545final. 
EN 404   EN Serious disease outbreaks can have devastati ng impacts on farmers, society and the economy, 
the new strategy is based on the principle that “prevention is better th an cure” and thus puts 
greater focus on precautionary measures, disease surveillance, controls and research. The aim 
is to reduce the incidence of animal disease a nd minimise the impact of outbreaks when they 
do occur. 
One part of this approach is the review of th e existing animal health legislation while creating 
an overarching EU Animal Health Law. It will in particular provide the principle rules for 
some fundamental issues, such as responsibil ities of animal keeper s, business operators, 
competent veterinary authorities, as well as  concerning disease prevention and protection 
from biological threats (biosecurity). It will cl arify the links between animal health policy and 
other relevant EU policies and thus insu re coherence. The new law will embrace the 
principles of smart legislation by providing flexibility to adap t to new circumstances and to 
take account of new developments in scienc e, relevant technology and animal husbandry. 
Preparatory work has been ongoing in 2009 for a proposal and Impact Assessment of this 
Law. The above key issues have been discussed at several occasions and in various fora (such 
as the Animal Health Advisory Committee). A web-based public consultation was open from 
mid-October to end of December 2009. It genera ted over 150 replies from stakeholders across 
the board and the EU, among them na tional veterinary authorities, industry organisations at all 
levels, non-government organisations and business operators. 
The movement of pet and companion animals (such as dogs and cats) is of practical 
importance to citizens. The application of the Regulation on the intra-EU movement of 
pets535 continued to be problem atic due to the different re gimes applicable to certain 
Member States, related to disease status a nd traditions. In 2009 th e Commission proposed to 
finally fully harmonise the regime in the whol e EU, after a limited (1,5 year) prolongation of 
the special regime, to fa cilitate the transition. 
Work was also ongoing on the area of electronic id entification of ovine and caprine animals. 
In preparation of the applicati on of the new rules a pplicable as from 1 January 2010, that were 
established by the Council with the support of the European Parl iament at the end of 2007, the 
Commission has addressed this issue at several fora and regularly required reports from 
Member States on their efforts to correctly implement the rules. Last but not least, in 2009 the 
Commission has made full use of its regulator y powers and adopted le gislation to further 
cushion the transition from the old to the new regime and reduce administrative burden for 
operators. 
Due to fundamental changes in the regulatory fr amework in this area, all the provisions of 
Council Decision 79/542/EEC regula ting certain aspects of import of fresh red meat into the 
EU will be laid down in a Commission Regula tion which the Commission is expected to 
adopt soon. From the moment that  that Regulation will enter in to force, the Commission will 
for the sake of clarity and transparency  propose the repeal of Decision 79/542/EEC. 
Disease situation Successful disease control not only relies on an adequate le gal framework but also on its 
consequent implementation. In 2009 Member Stat es again have responded to outbreaks, in 
                                                
 
535 Regulation (EC) No 998/2003 
EN 405   EN particular, of avian influenza, in a swift and successful manner, by applying the provisions of 
Council Directive 2005/94/EC on the c ontrol of avian influenza. N one of the outbreaks had an 
impact on public health or major economic lo sses. In fact the Commission and the Member 
States are now in a better position than ever  to base their decisions on solid data, as 
implementing measures by Comitology under to th e Directive keep providing reliable data 
from obligatory surveillance. 
The control of the spread of bluetongue has been successful. During 2009 the vaccination 
campaign has continued and proven very effective. This contribut ed to the significant drop of 
outbreaks, from several tens of  thousands of outbreaks observ ed in 2007-2008, just to a few 
hundred. 
Nevertheless, bluetongue is a complex disease to  manage because it is transmitted by insects 
(vector borne) and has 24 different (known) se rotypes which behave di fferently, depending on 
the host, the vector involved, the geographical  areas, weather condition s and other factors. 
Also, currently the legal envir onment (although effective) is less than optimal for several 
reasons. 
The bluetongue situation in the EU has evolve d considerably since the year 2000 when the 
basic Directive was adopted. Not all facts/assump tions factored into the Directive have proven 
to be valid and because of this , the current EU policy appears not  (fully) sustainable and is not 
(fully) supported by many stakeholders. Implem enting rules on movements from restricted 
zones are also complex and needed to be adjust ed quite often due to the complex behaviour of 
the disease.. This makes them rather difficult to  apply for local farmers, traders, local and 
national veterinary services  and other stakeholders. 
Therefore in 2009 a Discussion paper was produced which reviews critically the 
developments of the last year s and outlines the principles for the establishment of an 
enhanced, harmonised, sustainable and effectiv e bluetongue policy with appropriate control 
measures to reduce direct and indire ct economic losses caused by bluetongue. 
13.4.18.2.  Evaluation 
Considering the above, while the animal heal th framework for handling various disease 
generally is adequate and eff ective (as shown above). It can however be improved by smarter 
and more efficient solutions. Hence the area is cu rrently in a phase of reform with the purpose 
to identify opportunities of further enhancing efficiency  and reduce unnecessary burden. 
In addition to the discussions on the general framework, the specific reflection on bluetongue 
will continue in 2010 and might lead to new EU ru les on this area in the next years. The key 
elements for this exercise are simplifi cation and proportional ity/ sustainability. 
So far, strategic discussions of the EU policy fo r bluetongue have been deeply influenced by 
the assumptions on feasibility of  eradication. In the light of the disease evolution since 2000 
and the more recent evolution in 2006-2009 it is  highly questionable that eradication is 
feasible throughout the EU  considering the bluetongue serot ypes which continue to circulate 
and taking into account the constant threat from neighbouring countries. 
Future rules based on the few principles of si mplified movement restriction and vaccination 
accompanied by basic surveillance should en sure proportionality and feasibility. 
EN 406   EN 13.4.18.3.  Evaluation results 
Priorities 
The combat of disease outbreak is the first pr iority dictated by the circumstances. The second 
priority remains the further de velopment of the Animal Health  Strategy as a long term goal. 
Planned action 
In 2010 work will continue on th e creation of the Anim al Health Law with the view that the 
final proposal could be adopted by early 2011. The Commission will also continue a fundamental reflection process on effective meas ures to combat bluet ongue within the EU. 
Preparatory work has already started on the im portant area, how the EU finances certain 
animal health measures (whether emergency m easures or planned and systematic eradication 
of diseases). This will also continue well into 20 10 and 2011 and should re sult latest in 2012 
in an impact assessment and proposal for the review of Decision 2009/470/EC, the financial 
instrument for EU veterinary expenditure. 
On the area of pet animals, developments of 2009 both in the EP and Coun cil seem to indicate 
that despite previous political difficulties,  compromise can be reached on the timetable 
envisaged by the proposal. At the same time  however agreement with  the EP and Council 
must be reached also in rela tion to the new changes introduced  by the Lisbon Treaty to the 
exercise of delegated and implementing powers by the Commission. Theref ore, this challenge 
continues well into 2010. 
13.4.18.4.  Summary of Sector 
This sector with a long common regulatory tr adition faces major overhaul. The goal is to 
consolidate a long term and largely successful and profound collaboration in a more modern 
system by integrating tried and tested methods  within an improved framework. The challenge 
to swiftly and effectively react to epidemics will remain. 
13.4.19.  Zootechnics 
13.4.19.1.  Current position 
Zootechnical legislation is clos ely linked with the Animal Health acquis as it establishes 
minimum genetic criteria to ensure free trade in breeding animals and their genetic material 
(semen, embryos). The current system of EU z ootechnical legislation ha s been established in 
the 1980s in order to abandon trad e barriers. The result is a body of law of over 30 pieces of 
legislation (6 basic Directives and their im plementing acts) laying down principles on the 
registration of breeding animals in herd books  and the work of breeding organisations.  
13.4.19.2.  Work done in 2009 
The results of the above are being considered  by the Commission with a view to proposing 
legislation simplifying and clarifying existing procedures for the rec ognition and supervision 
of breeding organisations. A se ries of consultations  has taken place with stakeholders and 
Member States in the framework of the Standing Committee on Zootechnics. Advice was given to the Member States on the implementation of the legislation. 
EN 407   EN 13.4.19.3.  Evaluation 
The present system has generally worked well. However, it has been recognised that there is 
scope to clarify the legislation and to adapt it  to structural changes in the breeding sector. 
About 10 complaints are pending in this area. Most  refer to specific case s of alleged incorrect 
implementation at national level. 
The main problems identified with the curren t legislative framework are the following: 
• The current legislation does not specifically address cross border ac tivities of approved 
breeding organisations. Breeding organisations are in creasingly serving br eeders in several 
Member States and breeding programmes ar e carried out at international level. 
• Due to lack of clarity of the legislation th ere are disparities in the application and the 
implementation of zootechnical legislation. Th at can cause unjustified obstacles to EU 
trade and threaten the uniform  application of EU law. 
13.4.19.4.  Evaluation results 
Priorities 
Supporting Member States in the implementation of  the legislation is th e first priority. The 
second priority will be to am end implementing measures with  view to clarification and 
simplification. 
Planned action 2010 and beyond 
It is foreseen to continue the actions in managing the acquis and enforcing the acquis 
(complaints and infringement work) as  well as updating existing legislation. 
13.4.20.  Animal by-products 
13.4.20.1.  Current Situation 
General introduction 
Animal by-products not intended for human cons umption include slaughterhouse waste, fallen 
stock and dairy products going to animal feed, as well as a variety of other products for 
different applications. The health rules for th ose animal by-products ar e currently laid down 
in Regulation (EC) No 1774/2002 and a number of implementing measures. The Regulation 
relies on a risk-based categoris ation of animal by-products, which determines the options for 
their use and obligations for their disposal. Expe rience with the application of the Regulation 
since 2003 revealed that the inte raction with other EU legisla tion, its risk-benefit ratio, and 
the proportionality of the prescrib ed measures in particular as regards their use for technical 
applications, posed problems and needed to be  reviewed. Therefore, the Commission adopted 
a proposal for a revised animal by-products Re gulation in 2008536. The European Parliament 
and the Council started their discussions on this  proposal in the second half of 2008. Currently 
8 complaint cases concerning animal by-products are open. These were either triggered by 
                                                 
536 COM(2008)345final. 
EN 408   EN unsatisfactory results of inspection by the FV O (see under point 4.3) or complaints of 
stakeholders that considered their products not adequa tely classified. 
Report on Work Done in 2009 
Through a close cooperation with the European Parliament and with the French and Czech 
Presidencies of the Council, the Commission was able to contribute to an early agreement on 
the revised Animal by-products Regulati on (EC) No 1069/2009537, which was adopted in 
October 2009 and will become applicable on 4 March 2011. The Commi ssion also started its 
preparations for implementing measures for that Regulation, which only lays down the 
general principles that are a pplicable to animal by-products. 
13.4.20.2.  Evaluation 
The new Regulation (EC) No 1069/2009 provides fo r clearer, more risk-proportionate rules 
for animal by-products. It clarifies the relati onship between veterinary rules on animal by-
products and environmental rules, as well as with  food safety legislation. Thus, it contributes 
to the overall objective of th e Commission to simplify Union la w. Experience with the current 
legislation on animal by-products  suggests that stakeholders will benefit from the wider 
options to use animal by-products for tec hnical purposes and from the reduction in 
administrative burden from the revised Regulation. 
13.4.20.3.  Evaluation results 
Planned Action 
The Commission will carry out further, wide consultations of all stakeholders for the purposes 
of the preparation of the implementing meas ures for Regulation (E C) No 1069/2009. Once the 
shape of the new rules is clear, the organisation of tr aining courses, in particular, under the 
"Better Training for Safer Food" initiative, will be organised in  order to contribute to a 
smooth transition to the new framework. 
13.4.20.4.  Summary of Sector 
Significant achievements marked 2009. The challenge  now is to finalise the legislative work 
and to assist the players in the sector (both the authorities of the Member States and the 
economic operators) to learn, und erstand, correctly implement a nd enforce the new rules and 
benefit from those maximally. 
13.4.21.  Feed  
13.4.21.1.  Current Situation 
General introduction 
New rules for the feed marketing and feed labelling  sector have been adopted through 
Regulation (EC) No 767/2009 of the European Pa rliament and of the Council of 13 July 2009, 
                                                 
537 OJ L 300, 14.11.2009, p.1. 
EN 409   EN which will apply as from the 1st of September 2010. Until that date of application, the 
following Directives still apply: 
• Directive 79/373/EEC with the rules for the circulation of compound feeding stuffs in the 
EU (e.g. labelling requirements). It also covers pet food; 
• Directive 93/74/EEC which contains the prin ciple rules for feeding stuffs intended for 
particular nutritional purpos es (“dietetic feeds”); 
• Directive 96/25/EC on general ru les for the circulation and us e of feed materials; and  
• Directive 82/471/EEC concerni ng the marketing conditions fo r certain products, belonging 
to the category feed materials, used  in animal nutriti on (“bio-proteins”). 
Council Directive 90/167/ EEC still apply to medicated feed  but new legislation is in 
preparation (see below). 
As regards the feed additives  sector, Regulation (EC) No 1831/2003 of the European 
Parliament and of the Council provides for th e rules on the authorisation for placing on the 
market and use, including labe lling, of these products. Detaile d rules for the preparation and 
presentation of applications for authorisati on are laid down in Commission Regulation (EC) 
No 429/2008, while the Community Reference Laboratory (CRL)'s duties and tasks are 
developed in Commission Regulation (EC) No 378/2005. 
Undesirable substances  in feed are governed by Council a nd European Parliament Directive 
2002/32/EC. 
Report of work done in 2009 
Feed marketing and labelling New Regulation (EC) No 767/2009 on the placing on the market a nd use of feed was adopted 
by the EP and the Council on 13 July 2009 (OJ L 229 of 1 .9.2009, p. 1). This Regulation, 
which contributes to the Commission's "Bette r Regulation" plan, replaces old Directives 
79/373/EEC, 96/25/EC, 82/471/EEC and 93/74/EEC in  order to simplify and modernise the 
regime applicable to the marketing and use, incl uding labelling, of feed, both for farm animals 
and pets. The Regulation, which will apply from  1 September 2010, brings legal clarity and 
will allow harmonised implementation and smooth functioning of the internal market in the feed sector. It aims at increasing the competitiv eness of the EU feed and farming sector, but 
also providing adequate information for users and consumers, while assuring the high level of 
feed safety and thus of protect ion of public health in the EU. 
As soon as Regulation (EC) No 767/2009 en tered into force in September 2009, the 
preparation of the necessary implementi ng measures could start, including: 
• the establishment of the Community  Catalogue of feed materials; 
• the definition of guidelines to  clarify borderlines between  different types of feed; 
• the update of the list of prohibited materials in feed; 
EN 410   EN • the granting to operators of transitional measures for the application of the new labelling 
rules. 
Medicated feed 
Council Directive 90/167/EEC on medi cated feed is outdated and not consistent anymore with 
current legislation both on feed and veterinary medicinal produc ts. The preparatory works for 
recasting and modernising the legislation for this specific type of prod ucts have started in 
2009, including: 
• the completion of a questionnaire by the Member States on the current national situation in 
this sector; 
• the launch and conclusion of an external st udy on the evaluation of  the EU legislative 
framework in the field of medicated feed. 
Feed additives 
In 2009, more than 30 authorisation Regulatio ns were adopted by th e Commission (mostly 
zootechnical additives) after completion of a procedure involving EFSA, the CRL and the 
Member States, and applicants' requests of confidentiality of the data submitted have been processed by the Commission.  
The preparatory works for the re-evaluation of current additives author isations, as provided 
for in Regulation (EC) No 1831/2003, have been carried out in collaboration with EFSA and 
the CRL, including a priority-setting exercise, in view of the large amount of applications to 
be received by November 2010. 
Undesirable substances in feed In 2009, maximum levels of certain contaminants in feed have been set or reviewed in the 
context of Directive 2002/32/EC, taking account of  EFSA risk assessments. In particular, the 
Commission took measures in order to tackle  the situation resulting from the unavoidable 
carry-over of coccidiostats, a category of additives, in feed and food that should not contain such substances (Commission Directive 2009 /8/EC and Commission Regulation EC No 
124/2009). 
Committee and expert groups The management of the above mentioned feed sect ors is subject to close co-operation with the 
Member States through regular (generally m onthly) meetings of the Standing Committee on 
the Food Chain and Animal Health, section on Animal Nutrition, and punctual expert groups 
meetings where appropriate. 
International issues In 2009, the Commission continued its participati on to task forces' works in OIE, CODEX 
and FAO in the feed sector. 
EN 411   EN 13.4.21.2.  Evaluation based on the current situation 
The adoption in 2009 of a Regulat ion (Regulation (EC) No 767/2009) replacing a series of old 
Directives concerning the marketing and labelling of feed  was very much expected, in order 
to remedy to difficulties due to a lack of uniform application in the Member States and to sometimes obsolete provisions. Priority action  is now to prepare required implementing 
measures before the formal entry into a pplication of the Regul ation on 1 September 2010. 
EU legislation on medicated feed  is obsolete and no more in lin e with current legislation on 
feed, in particular the Feed Hygiene Regulation, but also legislation on veterinary medicines. 
This makes the preparation of new legisl ation in this sector a priority action. 
In the field of undesirable substances  in animal feed, the setting of maximum levels of 
contaminants is decided through successive amendments to the Annex to Directive 
2002/32/EC. This complicates the legibility of  such measures and makes necessary to 
integrate and re-structure all amendments into a new tool. 
13.4.21.3.  Evaluation results 
Priorities 
Given the EU legislation on medicated feed is in  need of reform because it is not coherent 
with the Feed Hygiene Regulation as well as legi slation on veterinary medicines, this will be a 
priority for the next couple of years. A full impact assessment will be carried out in 2010, 
taking into account the preparatory works already carried out, in order to present possibly by 
the end of 2010 a Commission proposal recasting and modernising the legislation in this field. 
Planned action 
As regards the feed marketing and labelling  sector, it is intended to adopt a series of 
implementing measures of new Regulation (EC)  No 767/2009 in view of its full application 
on 1 September 2010. 
The main challenge in the feed additives area will be the optimal implementation of the 
review exercise of all current  authorisations. By the dead line of 8 November 2010, it is 
expected that around 2000 applications will  have been received by the Commission. In 
addition, requests for authoris ation of feed additives submitted to the Commission will 
continue to be processed w ithin the time-limits prescribed  by Regulation (EC) No 1831/2003. 
As far as undesirable substances  in feed are concerned, in a ddition to the continuous review 
of maximum levels in the framework of Dir ective 2002/32/EC, it is envisaged to take 
measures concerning the presence of pharmaceuticals in feed for non-target animals and to adopt legislation on acceptability  criteria for detoxification/ decontamination processes in 
feed. The possibility to consolidate the anne xes of Directive 2002/32/EC will also be 
considered in 2010. 
13.4.21.4.  Sector summary 
In summary, the following actions are to be considered as main priorities for 2010 and beyond 
in the feed sector: 
EN 412   EN • adoption of implementing measures of Regula tion (EC) No 767/2009 on the placing on the 
market and use of feed; 
• launch of impact assessment and preparation of new legislati on in the field of medicated 
feed; 
• implementation of the re-evaluation exercise of current feed additives authorisations. 
13.4.22.  Animal welfare 
13.4.22.1.  Current Situation 
General introduction 
Animals are key to our food supply and human  nutrition. Animal welfare concerns have 
grown in our society and there is a growing insistence on high animal welfare standards. As 
the world's largest trader (exports plus imports ), Europe leads in promoting high levels of 
animal welfare. The Treaty on the Functioning of the European Union recognises this trend and has made animal welfare a very explicit objective of Uni on policy. It provides a stronger 
legal basis for animal welfare and will be explored further by the Commission. 
Animal welfare in holdings/on the farm 
Council Directive 98/58/EC on the protection of  animals kept for farming purposes sets 
general rules for the protection of animals of  all species kept for the production of food, 
textiles or for other farming purposes. It define s general principles and minimum standards on 
appropriate feeding, comfort and prevention of  unnecessary suffering. More specific rules 
apply to species raised in intensive systems such as laying hens, calves and pigs. From 30 
June 2010, specific rules will also apply to broilers. 
Animal welfare during transport Council Regulation (EC) No 1/2005 of 22 Decem ber 2004 on the protection of animals during 
transport and related operations intends to reduce the stress and harm that animals can 
experience when moved. It sets general principl es and introduces standards for vehicles and 
equipment, and requirements for those dealing with animals in transport. It also provides rules 
for enforcement of EU rules, such as the use of satellite navigation systems.  
Animal welfare during slaughter and killing 
Every year nearly 360 million pigs, sheep, goats  and cattle, several billion poultry and 25 
million fur animals are slaughtered in the Uni on for the production of meat and textiles. The 
control of contagious diseases may require the killing of thousands to millions of animals. 
The technical requirements of Directive 93/119/E C on the protection of animals at the time of 
slaughter or killing have become outdated. New technologies, international standards and 
scientific opinions from the EFSA as well as the need for a level playing field for operators 
called for the revision of th e Directive. On 24 September 2009, Council Regulation (EC) No 
1099/2009 on the protection of animals at the time of killing was adopted. It will apply from 1 
January 2013. 
Ban on cat and dog fur 
EN 413   EN Regulation (EC) No 1523/2007 of 11 December 2007 bans the placing on the market and the 
import to, or export from, the EU of cat and dog fur, and products containing such fur. The 
ban applies since 31 December 2008. 
Complaints: 
• The number of complaints on animal welfare remains relatively high because in recent 
years, the general public, together with Civil Society, have become mo re aware of issues 
related to animal welfare standards. The Commission is often placed in a position of 
resolving difficult judgement calls involving: 
• The fact that a number of welfare requireme nts are in conflict with some economic 
interests; 
• The fact that animal welfare science is a rela tively new area and consequently stakeholders 
are not aware of the benefits  of respecting some provisi ons of the EU legislation. 
Different levels of priority are given to animal welfare in Member States due to the following 
factors: 
• The need for compromise on minimum standards which lead to complaints against 
Member States applying stricter rules; 
• Animal welfare not being high on the poli tical agenda of some Member States. 
Moreover agricultural practices or cultural tr aditions accepted in one Member State upset 
citizens in other Member States who seek  improvement via the EU institutions. 
In 2009, most of the complaints we re either related to the conditions of transport of animals or 
to the conditions under which pigs are kept. 
13.4.22.2.  Report on Work Done in 2009 
Animal welfare in holdings/on the farm 
The Commission followed closely the results of research projects which will have an impact 
on future welfare legislation. In particul ar, on 8 and 9 October 2009 in Uppsala, the 
Commission participated in the presentation of  the outcomes of Welfare Quality, an EU 
funded research project, which developed a seri es of animal based welfare indicators and a 
system to enable overall assessment of welfare at farm level. The Commission intends to integrate animal based welfare indicators into future legislation on farm animals. 
Additionally, the results of two research proj ects on pig castration (PIGCAS and ALCASDE) 
were delivered and will be used as a ba sis to move forward on this issue in 2010. 
The Commission aware of the difficulties of  Member States to implement certain 
requirements of the Directive on the protection of pigs took the initiative to organise a 
workshop on 17 November 2009 where the main st akeholders and veterinary experts from 
Member States could exchange information and best practices regardi ng the provisions of 
enrichment material and the avoidance of rout ine tail docking in pig farms. The Commission 
received strong support from stakeholde rs to continue this experience. 
EN 414   EN The Commission monitored closely through FVO in spections the implementation of Directive 
1999/74/EC laying down minimum standards for the protecti on of laying hens and in 
particular actions taken so far by Member Stat es to phase out battery  cages by 1 January 2012. 
Animal welfare during transport The number of complaints and numerous reque sts for specific amendments reveal that 
Council Regulation (EC) No 1/2005 on transport of  animals is not properly enforced. Based 
on a study on travelling times and space allowances , an impact assessment on the effects of 
rules concerning improved requirements on comf ort for animals and traceability of animal 
during transport was published. During the consu ltation process, stakeholders asked for an 
update of the scientific data regarding the co nditions of transport of animals and for an 
evaluation of the current applic ation of Regulation (EC) No 1/2005 which is in force since 
January 2007. The Commission is now worki ng in order to address these issues. 
The Commission is convinced that better enfor cement of the transport Regulation can be 
achieved by ensuring a proper network and use of control posts for resting animals 
transported over long journeys. To  this effect, with the financ ial support from the European 
Parliament, the Commission engaged in a prep aratory action to promote high quality control 
posts. 
Animal welfare during slaughter On 24 September 2009, Council Regulation (EC) No 1099/2009 on the protection of animals 
at the time of killing was adopted. The new Re gulation will improve from 1 January 2013 the 
conditions for animals when slaughtered or cu lled. The new Regulation simplifies the existing 
legislation and aligns it to th e food hygiene regulations; it integr ates welfare considerations 
into the design of slaughterhouses and requires the regular monitoring of  the efficiency of 
stunning techniques. The Regulation aims at increasing the responsibility of operators on animal welfare and the level of competence of the staff in slaughterhouses. Several changes 
are also introduced in order to take into account the technological changes and the new 
scientific knowledge in this field. 
Animal Welfare Labelling and Europ ean Network of Reference Centres 
The Commission adopted on 28 Oct ober 2009 a report in which it ou tlines a series of options 
for animal welfare labelling, to f acilitate an in-depth political debate with other institutions. 
The overall goal is to make it easier for consumers to identify  and choose welfare friendly 
products, and thereby give an economic incentive  to producers to im prove the welfare of 
animals. The report also presents options for the possible establishment of a European Network of Reference Centres for the protecti on and welfare of animals. Such a network, 
modelled on  the existing Community Reference Laborator ies for animal health, could provide 
technical support for the development and im plementation of animal  welfare policies, 
including regarding certificati on and labelling. The document, based on an external study and 
a broad stakeholder consultation, is the Commis sion's response to the conclusions of the May 
2007 Agriculture Council which called for a report that would allow an in-depth debate on 
animal welfare labelling. Although the report does not endorse any of the options outlined, it identifies those which are considered  to be the most feasible today. 
Ban on cat and dog fur 
EN 415   EN The ban entered into application on 31 D ecember 2008. The Commission is monitoring the 
analytical methods used by Member  States to identify the species of fur as well as the system 
of penalties applicable in case of infringements to the ban. 
FVO Inspections Findings FVO missions found that in a small number of  Member States, where enforcement was 
strong, good implementation of the laying hens Directive had been achieved and progress had 
been made in phasing out conventional cages. However the majority of Member States are 
lagging behind on this issue. 
In the pig sector only a handful of Member States have made progress in implementing 
requirements from 2001 and there is a genera l lack of enforcement of long standing 
requirements such as provision of enrichment ma terials and avoidance of  routine tail-docking. 
Concerning the transport of animals, requirements of vehicle for long journeys and controls of 
journey times are in general no t sufficiently dealt with. The c onditions of transport of horses 
for slaughter are still a problematic issue. 
Although on farm emergency slaughter has been implemented in a number of Member States, 
the issue of the transport of injured cows to  slaughterhouses continue s to be a significant 
problem in others. 
13.4.22.3.  Evaluation 
Animal welfare remains an issue attracting publi c attention given that ordinary citizens are 
keenly interested in how livesto ck is raised and whether the re quired animal welfare standards 
are being respected. Member Stat es are our key partners in en suring implementation of animal 
welfare legislation. The Member States' role is  not only crucial in ensuring transposition of 
Directives in this area but also in effectivel y deploying the resources and mechanisms needed 
to ensure compliance with the EU 's animal welfare requirements. 
Some resources are devoted to de aling with situations for which we lack powers to regulate. 
Stray dogs and cats, for instance, do not fa ll under the scope of the Treaty but yet the 
Commission devotes considerable resources in replying to citizens complaining about cruelty 
towards pet animals. 
The different relevance and polit ical weight that animal welf are has amongst Member States 
makes it difficult to set rules that satisfy agriculture, animal welfare organisations and consumers at the same time. 
In December 2009, the Commission has mandated an external consultant to perform an 
evaluation of the EU policy on animal welfare.  The evaluation will last one year and the 
results will contribute to the re flection for possible Union's act ion on animal welfare. This 
initiative will ensure consistency within policy initiatives and Article 13 of the Treaty on the 
Functioning of the European Union. 
Priorities 
It will remain important to react swiftly and adequately to the concerns of interested 
stakeholders. The FVO will continue to put an emphasis on establishing data on the compliance of Member States with Union ru les on animal welfare in order to detect 
EN 416   EN shortcomings but also in order to understand more precisely w hy certain Member States have 
difficulties to comply with welfare rules. 
The Commission will continue to raise awareness on animal welf are by developing further 
already existing tools such as "Farmland", by pur suing its active participation in the "Better 
Training for Safer Food" programme and by or ganising an internat ional conference on 
education and animal welf are on 1 and 2 October 2010. 
13.4.22.4.  Evaluation results  
Planned Actions 
A number of actions which have been initiated in the previous years will be maintained and 
expanded. 
Regarding farmed animals, the Commission will c ontinue to examine the best way to address 
the concerns on their welfare in  a more general approach. The work of the Commission will 
be based on the principles highlighted in th e Community Action Plan on Animal Welfare538 
and will take into account the latest scientific op inions of the EFSA on dairy cattle and pigs as 
well as the results of the EU funded research project Welfare Quality. One of the possibilities the Commission is working on is a revision of the general Directive 98/58/EC in order to 
integrate animal based welfare i ndicators. The preparation of the second action plan on animal 
welfare will probably start in 2010 and the results  of the evaluation will indicate the way EU 
welfare law will have to be shaped in the ne xt years. In parallel, the Commission will 
continue to develop initiatives to improve th e enforcement of the Directive on the protection 
of pigs but also to facilitate exchange of  information on the issue of pig castration by 
organising specific workshops on these topics. 
Directive 2007/43/EC laying down minimum rules for the protection of chickens kept for 
meat production ("broilers Directive") has to  be transposed by 30 June 2010. At the same 
time, the scientific opinions of EFSA on the welf are of broilers will be published. On this 
basis, the Commission will work on a report to the European Parliament and to the Council 
concerning the influence of genetic parameters on identified deficiencies resulting in poor 
welfare of chickens. 
Concerning the transport of animals, the Co mmission requested in January 2010 EFSA to 
update the scientific information available on the welfare of animals during transport. The 
EFSA scientific opinion should be availa ble by December 2010. On this basis, the 
Commission will work on a report to the Europ ean Parliament and to the Council on the 
impact of Regulation (EC) No 1/2005 on the protection of animals during transport. 
The implementation of the ban on cat and dog fur within the Union will be assessed in a 
report which will be submitted to the European Parliament and to the Council. 
Regarding animal welfare labelling and the Eu ropean Network of Reference Centres, the 
Commission’s reflections in shaping possible future policy options will depend from the 
                                                
 
538 The Community Action Plan on the Pr otection and Welfare of Animals 2006-2010 
 http://ec.europa.eu/food/animal/w elfare/actionplan/actionplan_en.htm   
EN 417   EN outcome of the discussions on the report in  Council and the European Parliament. The 
Commission will be ready to contribute in any further step. 
During 2010, the Commission will be strongly i nvolved in an in depth evaluation of its 
policies on animal welfare. The report of  the Committee on Agriculture and Rural 
Development of the European Parliament on ev aluation of the Action Plan on the Protection 
and Welfare 2006-2010 as well as the report of the external consultant mandated by the 
Commission will constitute strong basis to identi fy the appropriate actions to improve EU 
policies in animal welfare. 
13.4.22.5.  Summary of Sector 
The challenge in this sector is  to reply to the growing Europ ean citizens' concerns on animal 
welfare both in the EU and inte rnationally, and to balance exp ectations of animal welfare 
organisations with the requirements of a comp etitive agriculture, while seeking to simplify 
legislation and reduce administrative burden. 
13.4.23.  Plant Health 
13.4.23.1.  Current Situation 
Work done in 2009 
In 2009, the strategy of the Commission in this field has gone in two directions: 
First, ensure the application of  the current acquis th rough, in particular, a stricter enforcement 
of existing legislation, a revision of some em ergency measures and an increased budget for 
co-financing eradication actions in Member States. A stricter enforcement of existing 
legislation has been initiated in the domains of recognition and main tenance of protected 
zones within the EU, actions ag ainst repeated inte rceptions at import (e.g. potatoes from 
Egypt) and a strengthened implementation of th e emergency measures against the red palm 
weevil – Rhynchophorus ferrugineus  which threatens most palms species in the 
Mediterranean areas. The main emergency m easures being revised relate to pinewood 
nematode - Bursaphelenchus xylophilus  (further strengthening of  the measures following the 
notification of new outbreaks in Portugal and an isolated case in Spain) and Western corn 
rootworm - Diabrotica virgifera virgifera  (completion of a study and initiation of an impact 
assessment before developing a ne w EU strategy as this pest is now widespread in certain 
areas within the EU). Upon reque st of Member States and in order to ensure a better and 
harmonised protection against the spread of new pests and diseases in the territory of the 
Union, the EU co-financing of eradication do ssiers was increased significantly up to 14 
million euro, especially to combat extremely harmful pests like pinewood nematode, red palm 
weevil and citrus longhorn beetle. 
In parallel, steps have been undertaken to develop a new common plant health strategy. The 
existing regime aims to protec t the EU territo ry against introduction an d spread of regulated 
organisms which are harmful to plants. It lays  down specific requiremen ts for imports of all 
plants and some plant products into the EU and for internal movement of a limited number of 
plants within the EU. Terms of reference ha ve been finalised in consultation with the 
competent authorities of the Member States  and stakeholders fo r conducting an overall 
evaluation of the current plant h ealth regime. This evaluation ex ercise has been outsourced. It 
started in June 2009 and will take  a full year's study. The first obj ective of the ev aluation is to 
analyse the results of the existing regime. The second objective is to clarify which aspects of 
EN 418   EN the current regime need to be improved and to suggest potential op tions for amendment, 
including possible improvements to its  structure and working practices. 
13.4.23.2.  Legislative Changes Underway 
The preparatory work to allow a recast of the main plant health Directive (Directive 
2000/29/EC) was completed in 2009 and the ma in study which will be the basis for a 
fundamental revision of the EU pl ant health policy was initiated. The results of that study will 
be discussed in 2010 with Member States' competent authorities and stakeholders. 
An impact assessment study has been launched to analyse the economic, social and 
environmental impacts of options for the lo ng-term EU strategy against Western Corn 
Rootworm, a regulated harm ful organism of maize. 
13.4.24.  Seeds and Plant Propagating Material 
13.4.24.1.  Current Situation 
Work done in 2009 
In the sector of seeds and plant propagating ma terial (S&PM) the current legislation was kept 
updated and further developed. However, an incr easing part of the work concentrated on the 
review of the legislation. In the year 2009, a number of international meetings on plant 
genetic resources took place. In addition, an ad hoc working group 'on seeds and propagating material' for the stakeholders of the sector, in cluding plant variety right s, was created in the 
framework of the advisory group on the food ch ain to improve consulta tion and participation 
of all relevant stakehol ders and organisations. 
The common catalogues on varieties of agricultu ral and vegetable plant species were updated 
12 times and both had a consolidated edition published. Altogether 1680 new varieties of 
agricultural plant specie s and 1060 vegetable varieties were  included in the catalogues. The 
Community list of Forest Reproductive Mate rial was also regularly updated and a new 
common catalogue for vine propagating material  was created. In 2009, the Member States 
made 29 requests on less stringent requirements of the minimum germination under 
Regulation (EC) 217/2006 and Delegation de cisions were made for 23 of them. 
In November 2009, the Commission adopted Directive 2009/145/EC providing for certain 
derogations, for acceptance of vegetable landraces and varieties which have been traditionally 
grown in particular localities and regions an d are threatened by genetic erosion and of 
vegetable varieties with no in trinsic value for commercial cr op production but developed for 
growing under particular cond itions and for marketing of seed of those landraces and 
varieties. 
Concerning the review of the legislation, a conference on 'Seed Av ailability in the 21
st 
Century' was organised on 18 March 2009 to pres ent and discuss the evaluation results with 
various stakeholders. Around 200 st akeholders participated and, overall, they supported the 
Commission's intention to revise the legisla tion. The Commission services developed an 
S&PM Action Plan539 which was presented and di scussed with the Member States and with 
                                                 
539 Action plan for the review of the Commun ity legislation on marketing of seed and 
plant propagating material and rela ted issues. (SEC(2009) 172 final). 
EN 419   EN other stakeholders. On the basi s of the Action plan, the preparation of the impact assessment 
started and terms of reference were prepared fo r an external consultant to collect necessary 
data for the impact assessment. 
The Governing Body of the International Trea ty on Plant Genetic Resources for Food and 
Agriculture (FAO) held its 3rd se ssion in Tunis in June 2009. The 12th Regular session of the 
Commission on Genetic Resources for Food and Ag riculture (FAO) held a session in Rome in 
October 2009. At the same time, work continue s for the establishment of an International 
Regime on Access and Benefit Sharing unde r the Convention on Bi ological Diversity. 
13.4.24.2.  Legislative Changes Underway 
Notwithstanding the work done on the review of the legisla tion, different actions have been 
undertaken to ensure the updati ng and adaptation of the EU S& PM legislation to current 
needs. Following the adoption of  the Council Directive 2008/90/EC  on the marketing of fruit 
plant propagating material and fruit plants inte nded for fruit production (recast), work is under 
way to update and develop the necessary im plementing rules As regards to further 
implementing measures to conserve and protect natural environment, a proposal on grass seed 
mixtures is being currently developed. In addition, following the adoption of a new 
international standard on seed potatoes, the current legislation will be updated and aligned. 
Concerning the review of the legislation, th e aim is to finalise the necessary impact 
assessments in 2010 and prepare a proposal for the new legislative framework by the end of 
2011. 
13.4.25.  Plant Variety Rights 
13.4.25.1.  Current Situation 
The EU Plant Variety Rights system was creat ed by Council Regulation (EC) No 2100/94 and 
provides protection of new plant varieties vali d throughout the EU. On the basis of a single 
application to the Community Plant Variety O ffice based in Angers (FR), a breeder may be 
granted an EU-wide intellectual property right for his/her new variety. In 2009, the number of 
applications for the first time was decreasing by about 6% (e.g. due to the financial crisis, 
breeders’ strategies for protection, the number  of merges between the breeding companies). 
Currently, more than 16.600 varie ties of plants are protected under the EU Plant Variety 
Rights system. 
In the framework of "Better Regulation", during the course of 2009, Commission Regulation 
(EC) No 1239/95 establishing implementing rule s for the application of Council Regulation 
(EC) No 2100/94 as regards proceedings befo re the Community Plant Variety Office was 
recasted and replaced by Commission Regulation (EC) N° 874/2009. 
13.4.25.2.  Evaluation 
As the Community Plant Variety Right regime  dates back to more than 15 years, the 
Commission has started to draft in the last quarter of 2009 the Terms of Reference for an 
external evaluation on the regime. This exte rnal evaluation should be carried out in 
2010/2011. 
EN 420   EN 13.4.26.  Enforcement of the rules applicable to the food and feed chain 
13.4.26.1.  Current situation 
Sustained attention to and coordination of enfo rcement action remains a priority in all areas 
related to food and feed safety, plant hea lth, animal health and animal welfare. 
Consideration will be given to the possibili ty of strengthening cooperation on enforcement 
matters with and among Member States’ competen t authorities and to a more transparent use 
and efficient handling of the vast amount of enfo rcement related data which is available to the 
Commission and to Member States. 
Information contained in several reports from F VO audits carried out in 2009 indicate that in 
some Member States the recent economic cr isis might have reverberated also on the 
availability of resources  allocated for official  controls to verify compliance with the food 
chain acquis  (food and feed law, animal and plant heal th and animal welfar e rules). Lack of 
resources is of course not a va lid justification for non compliance with EU rules,  and all cases 
where insufficient controls result in a violati on of Union law will be dealt with accordingly. 
The finite nature (and sometimes the scarcity) of control resources is a fact however which 
deserves attention. The Commi ssion has therefore started a review of the rules on the 
financing of official controls , as set out in Regulation (E C) No 882/2004, with a view to 
improving the mechanisms intended to ensure appr opriate resourcing of control activities at 
national level and to ultimately promote a mo re efficient use of available resources. 
13.4.26.2.  Legislative changes underway 
The impact assessment on the mentioned review on the legislation on the financing of official 
controls has now started and it is foreseen it will be fi nalized during 2010. It will include 
extensive consultation with Member States and other stakeholders  in order to assess 
advantages and disadvantages of  the different options availabl e for change. The related data 
will be acquired in the course of the consulta tion or, where needed, through specific surveys. 
A proposal for change, if requi red, can therefore be  expected for the end of 2010 or early 
2011 (further details can be found at the following web address: 
http://ec.europa.eu/food/food/cont rols/inspection_fees/index_en.htm ). 
The review of Council Directiv e 96/23/EC will be continued through the year starting with 
the impact assessment with the i nvolvement of Member States a nd other stakehol ders with the 
idea of presenting a proposal by the first half  of 2011. The general objectives of the review 
are the simplification of the existing rules and to  ensure consistency with Regulation (EC) No 
882/2004 allowing for the introduction of risks assessment criteria. 
Regulation (EC) No 669/2009 on increased level of  official controls on imports of certain 
feed and food of non-animal origin and impl ementing Article 15.5 of Regulation (EC) No 
882/2004 becomes applicable on 25. 1.2010 and extensive work is be ing carried out to ensure 
a smooth application of the new rules. This incl udes specific training activities in the context 
of Better Training for Safer Food, the creation of a dedicated webpag e with the list of 
Designated Points of Entry and the regular review  of Annex I to the Regulation containing the 
list of relevant feed and food products of non-animal origin. 
EN 421   EN 13.5. Overall evaluation 
13.5.1.  Better application of the health and consumer acquis is everyone's concern 
The Commission seeks to use Treaty powers at its disposal to the fullest possible extent, while 
engaging society at large in our efforts to ensu re that citizens and business fully benefit from 
our policies in this area. But the Commission ca nnot deliver alone better application of the 
EU's health and consumer acquis without th e cooperation of the C ouncil, the European 
Parliament and Member States. Member States are primarily re sponsible for implementation 
and the Commission can only build partnerships and bridges of cooperation to ensure that 
legislation becomes reality on the ground. 
During the course of 2009 the Commission has f ound that the EU Pilot Project has been a 
useful tool that has enhanced communication an d resolution of enforcement problems in this 
domain. It is key that further Member States who are keen to step up to the plate to improve 
their record on enforcement of EU legislation in this area participate in the pilot project. 
Cooperation between national enfor cers is also essential starting as early as the design phase 
of any new legislation. 
The Commission is mindful that this area of legi slation is often technica l, complicated and not 
easy to understand by enforcers, economic operat ors and ordinary citizen s. Every effort is 
being made to promote a regulatory environment that is modern, simple and proportionate but 
that does not give up the nece ssary protection afforded by our policies in this area. 
This area is very close to many concerns th at citizens have about Europe. The Commission 
will seek to increase transparency on actions  being taken by Member States' enforcement 
actors to ensure compliance. At the same time  the Commission will seek to empower citizens, 
consumers and patients through information to enable them to support implementation practices and outcomes in Member States. 
13.5.2.  Prevention 
Laws cannot be properly applied unless they are fully understood by those that enforce it or 
apply it in order to comply with its provisions. 
The Commission services have issued implemen tation guidelines on the correct application of 
the food and safety and public health policy areas. In the public he alth policy area, an 
operational manual was published for competent authorities for the inspection of tissue and cell procurement and tissue establishments in or der to ensure a harmon ised application of 
Directives 2006/17/EC and 2006/86/EC. In the consumer policy area th e Commission revised 
the RAPEX guidelines. This revision was necessa ry because of the significant increase in the 
number of notifications through the RAPEX network that has be  followed up in the Member 
States and of the need to increase the tra ceability of dangerous products notified via the 
system. 
In addition the Commission organized workshops e ither to assist the Me mber States with the 
implementation of Directives which they are in the process of transpos ing (e.g. the consumer 
credit Directive 2008/48/EC) or to promote an exchange of information and best practices 
between industry and veterinary experts from  Member States (as for example on how to 
minimise animal suffering during pig tail docking). 
EN 422   EN Also for the implementation and consistent ap plication of Directiv e 91/414/EEC concerning 
the placing of plant protecti on products on the market, the Co mmission continued to develop 
further guidelines and currently 47 gui delines documents are available. 
In 2006 the Commission launched a training progr amme entitled "Better Training for Safer 
Food". This is aimed at orga nising a Community training stra tegy for food and feed law, 
animal health and welfare rules and plant health  rules. Training is desi gned for Member State 
competent authority staff involved in official control activities. It aims to keep them up-to-
date with Community law in the areas specif ied above and to ensure more uniform and 
efficient controls across the EU. 
Better Training for Safer Food comprises trai ning programmes on subjects where needs for 
improved application of EU law have been identified. The number of programmes and the 
number of people trained have increase d each year since the initiative's launch. 
Subjects covered for the first tim e in 2009 included training on c ontrols of food of non-animal 
origin, feed law and GMO analysis. Further new actions are to be launched in 2010. These 
include training on new subjects such as animal health of aquaculture animals and of bees and 
exotic zoo animals and food testing on SPS issues. 
Another type of prevention is provided for in Directive 98/34/EC laying down a procedure for 
the provision of information in the field of technical standards and regulations. This Directive 
obliges Member States to notify to the Co mmission, before they are adopted, draft acts 
containing technical standards and regulat ions. During 2009 the Commission services 
responsible for health and c onsumers examined approximately 200 notifications of draft 
legislations in order to avoid that Member  States adopt legislation which would be 
incompatible with EU law. 
Furthermore, the rapid alert system for food and feed (RASFF) is an effective tool to 
exchange information about national measures ta ken responding to serious  risks detected in 
relation to food or feed540. This is a concrete and visible result of a successful European 
integrated approach to ensure f ood safety. It helps Member States  to act more rapidly and in a 
coordinated manner in response to a health thre at caused by food or fee d. Its effectiveness is 
ensured by keeping its structure simple: it consis ts essentially of clearly identified contact 
points in the Commission and at national leve l in member countries, exchanging information 
in a clear and structured way by means of te mplates. The Commission together with Member 
States continues to work hard in further shaping this essential tool that is contributing to high 
food safety standards in the EU, preventing dangerous food or feed from reaching the 
consumer and allowing swift action to be taken to remove such products from the market. . In 
2009 a total of 3201 original notifications we re transmitted through the RASFF; 1745 market 
notifications and 1456 border rejec tions. 558 market notifications were classified as alerts, 
and 1187 as information notifications. 
A similar tool is the EU rapid information system RAPEX for dangerous non-food consumer 
products found and consequently withdrawn from  the market. A number of notifications in 
                                                 
540 The legal basis of RASFF is Article 50 of Regulation (EC) No 178/2002 of the 
European Parliament and of the Council laying do wn the general principles and requirements 
of food law, establishing the European Food Sa fety Authority and laying down procedures in 
matters of food safety, OJ L 31, 1.2.2002, p. 1.  
EN 423   EN RAPEX led to the adoption of Decision 2009/251/ EC which bans the dimethyl fumerate in 
consumer products. The Commission will take in itiatives to strengthen the RAPEX system. 
Discussions with Member States or with st akeholders in, for exam ple, workshops, often 
identify areas of difficulty in fully appreciating the nature of specific legislative instruments. 
The Commission services often provide detailed interpretations of specific provisions in order 
to achieve broad but uniform unde rstanding of specific provisions. 
13.5.3.  Regular review of legislation 
The health and consumer legisl ation is regularly reviewed af ter careful evaluation of impacts 
as well as continuous and fruitf ul dialogue with citi zens, consumers and ot her stakeholders in 
order to: 
– optimise the legislation for ensuring that policy goals are met 
– simplify and clarify the legislation 
– take into consideration the bur dens to business and enforcers 
– to introduce new technologies  into the legislation 
– clarify the interaction w ith other EU legislation. 
In 2009, as a result of that work, the adoption Regulation (EC) No 767/2009 on the placing on 
the market and use of feed, Regulation (E C) No 1069/2009 laying down health rules as 
regards animal by-products and derived pro ducts not intended for human consumption, 
Regulation (EC) No 1099/2009 on the protection of animals at the time of killing and 
Regulation (EC) No 1107/2009 c oncerning the placing of plan t protection products on the 
market, finalised the revision of several key legislations. 
New evaluations of the existing legislation have been carried out and will the basis of impact 
assessments in 2010 and likely for future major le gislative revisions (e.g. in the plant seed 
legislation as well in the genetically modified  organisms legislation). Further evaluation is 
about to be launched (inter alia on th e plant variety rights legislation). 
13.5.4.  Audits, Inspections and market surveillance  
Another aspect of prevention is the ability of the Commission services to see for themselves 
the realities of enforcement on the ground. 
Enforcement of the food safety legislation would be weak if the FVO was not able to examine 
whether Member States and th ird countries from which food is imported, properly apply food 
and feed safety controls. 
Each year the FVO develops an audit and insp ection programme identifying priority areas and 
countries. It carries out around 250 audits and inspections, incl uding both general and specific 
audits, annually. Following each, a report is issued which sets the actions needed to improve 
compliance. The large majority of weaknesses in control systems identified by the FVO are 
normally addressed through specific action plans drawn up by national authorities in response 
to its recommendations. 
EN 424   EN In recent years, the FVO has developed overall country profiles for each Member State and 
for the EU's main trading partners. These profil es bring together and summarise the results of 
general and specific audits and inspections over ti me and across all relevant sectors. They can 
thus help to identify systemic weaknesses in the overall design and application of national 
control systems. As these results are progressi vely refined and validat ed, remedial action can 
be proposed that addresses the underlying cause of  weaknesses that are common to a number 
of specific sectors, for example, the absence of a system of documentary records of controls or the absence of an effective syst em of sanctions for non-compliance. 
In the consumers policy area the Commission for the third time carried out a market 
surveillance exercise in the form of a sweep  on sites selling elec tronic goods (see point 
3.1.2.10). Such sweeps allow the Commission to identify the existing incompliant conditions on websites and through contacts with the involved companies to obtain corrections on the websites. 
13.5.5.  Processing and prioritisa tion of infringements 
The Commission during the course of 2009 has been  taking internal measures to improve its 
processing speed through prevention, improve d cooperation with Memb er States (e.g. EU 
Pilot project) and prioritisati on (e.g. strategy paper and implem entation planning). A strategy 
for prioritisation of infringements was largel y conceived in 2008 and implemented within 
2009. 
Due to prioritisation and accurate case planni ng the Commission has in the course of 2009 
considerably improved its efficien cy in handling complaints and infringements in this domain. 
Better application of consumer and health legi slation has been integr ated a cross-cutting 
theme throughout all of our policy areas. Adequate  planning has also b een put in place to 
ensure that Member States are accompanie d during the transposition process and are 
adequately supported for implementation of new legislation. 
DG SANCO is at the forefront of evolving challenges in herent in its sector  that is prone to 
changes in technology and innovation in produc tion methods. The Commission in this area 
has to ensure an optimised use of its tool-box for better application of  EU law in a results-
orientated way so that EU citizens see the real  benefits in our efforts to better apply our 
acquis. At the same time several Member Stat es have initiated disc ussion on how best to 
maximise efficiency in complying with legislation in this area. 
13.5.6.  Challenges 
The credibility and legitimacy of our actions invariably de pends on how effectively our 
legislation is implemented and the policy resu lts achieved. Without re ducing the efforts to 
further simplify the regulatory environment, the Commission will continue to pay increasing 
attention to better application of the consumer and health acquis. Our challenge for 2010 will 
be to show leadership in engaging society at large while promoting transparency on 
enforcement action and output. 
EN 425   EN 14. JUSTICE,  FREEDOM  AND  SECURITY 
14.1. Immigration and integration 
14.1.1.  Current position: general introduction 
Community legislation in the fiel d of immigration and integrati on currently consists of nine 
directives, two of which were adopted in 2009.  
As concerns legal migration , four sets of measures of have been adopted: 
• a first set of measures adopted in 2003: the Family Reunification Directive 2003/86541 
and the Long-term Residents Directive 2003/109542; 
• Directive 2004/81 of 29 April 2004 on the re sidence permit issued to third-country 
nationals who are victims of trafficking in hum an beings or who have been the subject of 
an action to facilitate il legal immigration, who coope rate with the competent 
authorities543; 
• the Students Directive 2004/114544 and th e Researchers Directive 2005/71545; 
• the Highly-skilled Workers Directive 2009/50 546 (“EU Blue Card”) , adopted in May 
2009. 
Three directives concer n illegal immigration : 
• a first pair of directives adopted in 2 001/2002: the Carriers Liab ility Directive 2001/51547 
and Directive 2002/90548 de fining facilitation; 
                                                 
541 Council Directive 2003/86 of 22 September 2003 on the right to family reunification, 
OJ L 251, 3.10.2003, p. 12. 
542 Council Directive 2003/109/EC of 25 November 2003 concerning the status of third-
country nationals who are long-term residents, OJ L 16, 23.1.2004, p. 44. 
543 OJ L 261, 6.8.2004, p. 19. 544 Council Directive 2004/114/EC of 13 Decem ber 2004 on the conditions of admission 
of third-country nationals for the purposes of  studies, pupil exchange, unremunerated training 
or voluntary service, OJ L 375, 23.12.2004, p. 12. 
545 Council Directive 2005/71/EC of 12 Oc tober 2005 on a specific procedure for 
admitting third-country nationals for the purpos es of scientific research, OJ L 289, 3.11.2005, 
p. 15. 
546 Council Directive 2009/50/ EC of 25 May 2009 on the conditions of entry and 
residence of third-country na tionals for the purposes of highly qualified employment, OJ L 
155, 18.6.2009, p. 17. 
EN 426   EN • the Employer Sanctions Directive 2009/52549, a dopted in June 2009, which aims to reduce 
illegal immigration by prohibiti ng the employment of illegal staying migrant workers and 
providing for sanctions against empl oyers who infringe the prohibition. 
The EU’s comprehensive migration policy con tinues to be developed, and consequently 
efforts in this area remain as much about  developing new legisl ation as ensuring the 
application of existing legisla tion. As concerns labour migra tion, the Commission in its 2005 
Policy Plan on Legal Migration 550 announced its intention to pr esent proposals for a general 
framework directive and directiv es for specific categories of pa id workers. In 2009, the first 
such specific directiv e – the EU Blue Card – was adopted  and discussions continued in the 
Council on the proposed Framework Directive 551. The Commission pursued its preparation 
of proposals for two of the re maining Directives (seasonal workers and intra-corporate 
transferees). The third proposal, on remunerated tr ainees, will be prepar ed after the evaluation 
of the Students Directive. 
14.1.2.  Current position: Report on work done in 2009 
In line with the call of the Stockholm Programme  for the Commission to evaluate and, where 
necessary, review the Family Reunification Dir ective, taking into account the importance of 
integration measures552, it rema ins the intention of the Comm ission to carry out a wider 
consultation – in the form of a Green Paper – on the future of the family reunification regime. This could lead to proposals, at earliest  in 2012, to amend the current directive. 
As regards non-communication cases, in the cour se of 2009 the remaining two Member States 
that had not initially complied with the tran sposition deadlines of Directives from 2005 and 
earlier did so. 
                                                                                                                                                        
 
547 Council Directive 2001/51 of 28 June 2001 suppl ementing the provisions of Article 26 
of the Convention implementing the Sche ngen Agreement of 14 June 1985, OJ L 187, 
10.7.2001, p. 45. 
548 Council Directive 2002/90 of 28 Nove mber 2002 defining the facilitation of 
unauthorised entry, transit a nd residence, OJ L 328, 5.12.2002, p. 17. 
549 Directive 2009/52/EC of the European Parliament and of the Council of 18 June 2009 
providing for minimum standards on sanctions a nd measures against employers of illegally 
staying third-country na tionals, OJ L 168, 30.6.2009, p. 24. 
550 COM(2005) 669 final. 551 Proposal for a Council Directive on a singl e application procedure for a single permit 
for third-country nationals to reside and work in the territ ory of a Member State and on a 
common set of rights for third-country worker s legally residing in a Member State, COM 
(2007) 638 final of 23.10.2007. 
552 Presidency Conclusions, document EUCO 6/09. The Programme itself is in document 
17024/09. 
EN 427   EN As regards suspected infringements disclosed by complaints, the Commission continued its 
infringement procedure against th e Netherlands in relation to the high level of fees charged to 
those applying for long-term residents permits  and in January 2010 d ecided to bring the 
matter before the Court of Justice. The Commi ssion started an infringe ment procedure against 
another Member State in relation to the rules under which third-countr y national students are 
permitted to work in that Member State; the Commission considers that the Students Directive 
2004/114 requires third-country nati onal students to be allowed to work under less restrictive 
conditions. 
As concerns the management of the existing acquis , a meeting of the contact committee on 
the legal migration dir ectives provided the opportunity for a useful exchange of views 
between the Commission and national experts involved in the appli cation of the legal 
migration directives. A meeting of the nationa l contact points appointed under the Long-term 
Residents Directive 2003/109 was also held. Alongside discussions in the contact committee, the European Migration Network553 (EMN) contin ued to be a means for Member States (and 
the Commission) to address ad-hoc queries to  obtain a quick overview on how other Member 
States transpose specific provisions of the directives. 
The Commission launched the procedures to co mmission external transposition studies for the 
Students Directive and Researchers Directive with  a view to preparing implementation reports 
on the directives as well as, wher e relevant, proposals for their amendment in order further to 
enhance the attractiveness of EU as a centre of excellence for studi es and research. The 
procedure was also launched to update the earl ier study on the Long-term Residents Directive. 
As concerns the development of new legisla tion, the EU Blue Card and Employer Sanctions 
Directives were adopted. Member States ha ve until respectively June and July 2011 to 
transpose the Directives into national law. First meetings of contact committees were held in late 2009 (employer sanctions) and early 2010 (EU Bl ue Card), enabling a useful exchange of 
views between the Commission and national expe rts involved in the national transposition of 
the directives. 
Legislative discussions in Counc il and European Parliament continued on the third of the 
three proposals presented in 2007: the genera l framework directive for labour migration 
which will provide for a single permit (residen ce and work) and basic socio-economic rights 
for migrant workers. In addition, the Commi ssion continued prepari ng its proposals for 
directives on other specific categories of paid  workers (seasonal workers and intra-corporate 
transferees and remunerated trainees) in line with the 2005 Policy Plan. Presentation of those 
proposals was postponed, taking notably into acc ount the change of lega l basis resulting from 
the Lisbon Treaty and the need to evaluate the Students Directive. 
14.1.3.  Evaluation based on the current situation 
The complete EU-wide transposition only in 2009 of Directives dating from 2005 and before 
reinforces the need for Member State to make renewed efforts to complete the transposition of 
                                                
 
553 Council Decision 2008/381/EC of 14 May 20 08 establishing a European Migration 
Network, OJ L 131, 21.5.2008, p. 7. 
EN 428   EN the most recent directives in this field – the EU Blue Card and employer sanctions – within 
the deadline of mid-2011. 
The Commission continued – and will continue – to pursue the most important suspected 
infringements disclosed by complaints. In order however to ensure the correct application of 
the acquis , the Commission intends to pursue with othe r directives the approach started with 
the Family Reunification Directive: first an external study, then a Commission report as a 
basis for further action. 
Legislative activity (pre paring new proposals as well as legislative discussions themselves) 
continued to be important in this sector. Th e Lisbon Treaty has introduced codecision in the 
area of legal immigration, thus notably giving an enhanced role  of the European Parliament. 
This has given an impetus to the legislative discussions on the genera l framework directive 
for a single permit and rights. 
14.1.4.  Evaluation results: Priorities 
These remain unchanged and are: 
(1) Reviewing the Family Reunification Direct ive 2003/86. This was the first legislative 
instrument on legal migration at EU leve l and, as a result several Member States554 
for the first time have a detail ed set of rules on the right to family reunification in their 
national legislation. 
(2) Preparing Commission reports on the appli cation of other priority directives. 
14.1.5.  Evaluation results: Planned action (2010 and beyond) 
As regards the first priority, the Family Reunification Directive 2003/86, the Commission will 
follow up its report on the directive by launch a wider consultation by way of a Green Paper 
on the future of the family reunification regime. This could lead to proposals, at earliest in 
2012, to amend the current directive. 
As regards the second priority, the Commission will in 2010 present reports on the Victims of 
Trafficking, and Students Directives, a nd in 2011 on the Long-term Residents and 
Researchers Directives. On the basis of thos e reports the Commission will decide on what 
further action is needed. 
Other activity will include: 
– Handling individual enquiries and complaints. 
– Presenting proposals for directives on other sp ecific categories of pa id workers: seasonal 
workers and intra-corporate transferees. 
                                                 
554 EL, CY, MT, RO. 
EN 429   EN 14.1.6.  Summary 
Priority will be given to following up the firs t Commission report on a dir ective in this sector, 
the Family Reunification Directive. A Green Pa per will launch a consultation on whether the 
rules should be changed. The Commission will prep are reports for the othe r directives in this 
area. Given the ongoing development of the EU ’s comprehensive migration policy, attention 
also needs to be given to the good prepara tion of new proposals and the following of the 
transposition of the two di rectives adopted in 2009. 
14.2. Asylum 
14.2.1.  Current position: Report on work done in 2009 
Work with regard to the development and implementation of the EU asylum acquis  in 2009 
was characterised by further very significant pr ogress in the development of new legislation 
and the pursuit of appropriate infringement actions. 
On 18 February 2009, the Commission adopted a proposal to create a European Asylum 
Support Office (EASO) as an independent EU ag ency to manage practical cooperation in the 
asylum field, including an amendment of th e Decision establishing a European Refugee 
Fund.555 In November 2009, political agreement wa s reached on the proposal in the Council 
and European Parliament, and it is expected th at it will be formally adopted early in 2010. 
On 2 September 2009, the Commission adopted a proposal for the establishment of an EU-
wide scheme aimed at facilitating the resettle ment in the EU of refugees hosted in third 
countries, in the form of a Communication from  the Commission to the Council and European 
Parliament and an amendment to the Decisi on establishing a European Refugee Fund.  The 
scheme is aimed at developing resettlement within  the EU into a more effective instrument for 
the protection of refugees, by providing for clos er strategic and practical cooperation among 
EU Member States. 
On 10 September 2009, the Commission adopted  an amended proposal for the EURODAC 
Regulation (Regulation 2725/2000) which ai med, on the one hand, to integrate the 
amendments suggested by the European Parlia ment in its resolution of May 2009 and, on the 
other hand, to allow law enforcement author ities and Europol access to the EURODAC in 
order to strengthen their capacity to fight terrorism and serious crimes. 
On 21 October 2009, the Commission adopted proposals for the revi sion of the Qualification 
Directive (Directive 2004/83) a nd of the Asylum Procedures  Directive (Directive 2005/85). 
Discussion of these two proposals commenced in December 2009 and is expected to continue 
throughout 2010. The main purpose of the proposed revi sion of the two directives is to ensure 
a higher degree of protection to victims of  persecution, to simp lify and consolidate 
substantive and procedural standards of prot ection across the Union, thus preventing fraud 
and improving efficiency of the asylum, and to improve coherence between EU asylum instruments. The proposals were accompanie d by Impact Assessment Reports which 
evaluated in detail the content of the two directives, as well as how they had been 
                                                
 
555 Council Decision No 573/2007/EC. 
EN 430   EN implemented by Member States in practice, with a view to identifying deficiencies to be 
remedied by legislative amendment. 
Discussion of the three Co mmission proposals for revision of the Reception Conditions 
Directive, the Dublin Regulation, and the EURODAC Regulation556 in the Council Working 
Group and in the European Pa rliament took place throughout  2009 and is expected to 
continue in 2010. 
In February 2009, the Commission's case against Finland for non-communication of measures 
fully transposing the Qualification Directive (Directive 2004/83) result ed in a ruling by the 
Court of Justice that Finland had breached  Article 226 EC Treaty (now Article 258 
TFEU).557 In July 2009, Finland communicated m easures fully transposing the Directive. 
Accordingly, the case was closed. 
In April 2009, the Commission's case against th e UK for non-communication of measures 
fully transposing the Qualification Directive (Directive 2004/83) result ed in a ruling by the 
Court of Justice that the UK had breached Ar ticle 226 EC Treaty.558 A few days before the 
judgement was rendered, the UK communicated m easures fully transpos ing the Directive. 
Accordingly, the case was closed. 
In May 2009, the Commission's case against Sweden for non-communication of measures 
fully transposing the Qualification Directive (Directive 2004/83) result ed in a ruling by the 
Court of Justice that Sweden had breached Article 226 EC Treaty.559 In January 2010, Sweden communicated legislative measures which it claims fully transpose the Directive. The 
case will be closed. 
In July 2009, the Commission's case against Sp ain for non-communication of measures fully 
transposing the Qualification Directive (Directive 2004/83) resu lted in a ruling by the Court 
of Justice that Spain had breached Article 226 EC Treaty.560 In November 2009, Spain communicated legislative measures which it clai ms fully transpose the Directive. The case 
will be closed. 
In January 2009, the Commission sent letters of formal notice to two Member States for non-
communication of transposition measures relati ng to Article 15 of the Asylum Procedures 
                                                
 
556 On 3 December 2008, in the 'first phase' of  its legislative propos als, the Commission 
adopted proposals to revise th ree legislative instruments: th e Reception Conditions Directive 
(Directive 2003/9), the "Dub lin" Regulation (Regulati on 343/2003), and the EURODAC 
Regulation (Regulation 2725/2000). 
557 Case C-293/08, Commission v Finland ; judgement of 5 February 2009. 
558 Case C-256/08, Commission v the United Kingdom ; judgement of 30 April 2009. 
559 Case C-322/08, Commission v Sweden ; judgement of 14 May 2009. 
560 Case C-272/08, Commission v Spain ; judgement of 9 July 2009. 
EN 431   EN Directive (Directive 2005/85). The deadline fo r transposition of this provision was 1 
December 2008, whereas the deadline for the tran sposition of the remainder of the Directive 
was 1 December 2007. 
In September 2009, the Commission sent reasoned opinions to four Member States for non-
communication of measures fully transposing the Asylum Procedures  Directive (Directive 
2005/85), including Article 15 thereo f. All four Member States ha ve replied to these letters, 
and these are being examined by the Commissi on. Three of the replies were accompanied by 
the notification of measur es claiming to fully transpose the Directive.  
In December 2009, proceedings against two Member States for non-communication of 
transposition measures relating to the Qualification Directive (Directive 2004/83), and against 
five Member States for non-communication of tr ansposition measures relating to the Asylum 
Procedures Directive (Directive 2005/85), were still pending. 
In November 2009, the Commission sent a letter of formal no tice to one Member State for 
incorrect application of the asylum acquis , in particular as rega rds access to the asylum 
procedure and the treatment of asylum seeking unaccompanied minors. The letter also raised 
concerns about possible failure by that Member State to resp ect fundamental rights, including 
the principle of non-refoulement , in its application of the Schengen Borders Code, in 
particular when conducting border controls. 
During 2009, the Commission also pursued act ivities aimed at enhancing practical 
cooperation between Member States in the asyl um field, notably by organising a series of 
workshops focused on the assessment of the protection needs of asylum seekers from 
particular countries-of-origi n and on other asylum-related matters. One workshop, which 
included the participation of Member State judg es and national experts, focused on various 
aspects of the implementati on of the Dublin Regulation. 
14.2.2.  Evaluation based on the current situation 
In line with the ambitions articulated by th e Council in The Hague Programme adopted in 
2004 and the Stockholm Programme adopted in December 2009, as well as in the 
Commission's own 2008 Policy Plan on As ylum561, the scope of the asylum acquis  is in need 
of being extended and enhanced, in order to en sure the successful completion of the Common 
European Asylum System (CEAS). More sp ecifically, EU asylum legislation should 
guarantee higher levels of protect ion generally, a more level play ing field for persons seeking 
asylum in the different Member States, great er efficiency in the treatment of asylum 
applications, better coordination of the external  aspects of asylum policy, and more solidarity 
between Member States in sharing the burdens associated with receiving asylum seekers. 
Moreover, the Commission is particularly conc erned by the fact th at, notwithstanding the 
existence of the common minimum standards an d a significant degree of harmonisation via 
the current acquis , the rates of recognition of  asylum seekers as quali fying for protection still 
                                                 
561 COM(2008)360 "Policy Plan on Asylum – an in tegrated approach to protection across 
the EU", 17 June 2008. 
EN 432   EN varies very considerably between Member States. This deficit can be attr ibuted to a number of 
causes, including insufficiently far-reaching legi slative harmonisation, variation in the manner 
in which the current legislation is applied in practice, and variation in the nature of the 
information on the situation in  countries-of-origin upon which asylum decisions are taken.  
In view of these shortcomings , the Commission intends to con tinue to pursue a "twin track" 
approach consisting of, on the one hand, working to extend and improve the EU acquis  and, 
on the other, of consolidating the acquis  by means of (a) taking infringement actions against 
Member States for non-transposition a nd/or incorrect application of the acquis , and (b) 
enhancing practical cooperation activities, in pa rticular by ensuring that the future European 
Asylum Support Office (EASO) is placed on a sound footing.  
14.2.3.  Evaluation results: Priorities a nd planned action (2010 and beyond) 
To date, the Commission has given priority to the creatio n and further development of EU 
legislation in the asylum field, and to faci litating practical coopera tion among Member State 
authorities.  
The Commission intends to pursue the following priorities in relation to the development, 
application and monitoring of EU law in the asylum field in the coming years:  
The further development of EU legislation in  the asylum field, notably as regards the 
amendment of the existing legi slative instruments and the po ssible adoption of new ones; 
Pursuit of practical cooperation effort s, aimed at improving the practical 
implementation/application of the acquis  in the Member States, with  a view in particular to 
ensuring an effective transition to the establishment of the EASO; 
Monitoring and evaluation of th e implementation of EU legisl ation in the asylum field; 
Contribution to the Commission's in tervention before the Court of Justice with regard to 
requests by national courts for preliminary rulings  on the interpretation of EU legislation in 
the asylum field, and follow-up of individua l complaints about compliance with EU 
legislation in the asylum field in the Member States. 
14.2.4.  Summary 
EU law in the asylum field is still in the pro cess of being developed. Some shortcomings have 
been identified in the scope and impact of the existing acquis  and of the manner in which it is 
applied. Priority in the short to medium term  should be accorded to  extending and improving 
EU legislation in the asylum field. At the same  time, it is necessary to intensify practical 
cooperation between Member States with a view to ensuring more consistency in their application of the acquis , in particular by ensuring the successful establishment of a European 
Asylum Support Office. The Co mmission will moreover continue to monitor and evaluate the 
implementation of EU legislation in the asylum field, to intervene before the Court of Justice 
with regard to requests by nationa l courts for preliminary rulings on its interpretation, and to 
follow up complaints against Member Stat es for incorrect application of the acquis . 
EN 433   EN 14.3. European visa policy 
14.3.1.  Current situation: Report on work done in 2009  
Currently, the issuance of short-stay visas is still governed by a number of legal instruments 
drawn up over the last 15 years which were  mostly developed within the Schengen 
framework. 
On 13 July 2009, the European Parliament and the Council adopted a Regulation establishing 
a Community Code on Visas562. The Visa Code recasts the legal fram ework for the common 
visa policy and will enhance transparency, equal treatment of applicants and legal certainty and bring about a harmonisation of the procedures for issuing short stay visas. In line with 
Article 51 of the Visa Code, the Commission is  currently elaborati ng a Commission decision 
containing operational instructions  on the practical application of the Visa Code (Visa Code 
Handbook)563. 
14.3.2.  Evaluation based on the current situation 
Due to the process of revision of the Community acquis  on short-stay visas during the years 
2007 - 2009, the handling of infringement procedur es initiated in 2007 wh ich are related to 
incorrect implementation of legislation to be  replaced by the new instruments, was not 
considered as a priority. 
In 2009, the Commission continued to receive co mplaints from individuals related to the 
incorrect implementation of EU law in the fiel d of visas. The complaints received reflected 
the weakness of the current Visa acquis ; a large majority of these weaknesses will be resolved 
with the introduction of the new Visa Code which includes inter alia  provisions on mandatory 
motivation of visa refusal and right to appe al, harmonised deadlines for the visa handling 
process, enforcement of local consular cooperation and development of consular 
representation at local level. In  addition, the introducti on of biometrics is expected to ensure 
sharing of information between Member States C onsular offices and to resolve the problem of 
visa shopping. 
14.3.3.  Evaluation results: Planned action (2010 and beyond) 
In light of the legislative changes interv ening on 5 April 2010, ensuring timely, correct and 
efficient implementation of the new legislativ e framework by all Member States will be a 
priority for the Commission. Due to  the importance of visa policy in EU external relations as 
well as the impact of an efficient visa pol icy for fighting against illegal migration, the 
Commission intends to closely monitor the impl ementation of the Visa Code. Existing fora 
such as the Visa Working Group in Council or th e Visa Committee will c ontinue to play an 
                                                
 
562 Regulation (EC) No 810/2009 of the European  Parliament and of the Council of 13 
July 2009 establishing a Community Code on Visas. 
563 Draft Commission Decision of […] estab lishing the Handbook for the processing of 
visa applications and the m odification of issued visas. 
EN 434   EN important role for identifying issues of common interest and solving them in the appropriate 
way wherever possible.  
At local level, the involvement of EU delegati ons in third countries should increase and as 
they should play a stronger role in ensuring that vi sa policy is implemented in a right and 
harmonised way by all Member States' consulat es. Based on information received through 
these various channels, the Commission will conti nue using its institutional prerogative in this 
area which has been identified as a specific challenge for DG JLS in 2010.  
14.4. Document Security (European passport and residence permits) 
14.4.1.  Current situation: Report on work done in 2009 
The main achievement on document security is the adoption - for the first time in co-decision 
procedure of the amendment of Regulation (EC) No 444/2009 on standards for security 
features and biometrics in passports and travel documents issued by Member States 
introducing exceptions from the requirements of taking fingerprints and of the principle "one 
person-one passport".564 It ente red into force on 26 June 2009. Member States shall apply the 
Regulation (a) as regards the facial image at  the latest 18 months and (b) as regards 
fingerprints at the latest 36 months followi ng the adoption of the additional technical 
specifications. The obligation to issue passports and travel docu ments as separate documents 
shall be implemented at the latest on 26 June 2012. 
In the same area, the Commi ssion adopted three d ecisions in comitology procedure; one, 
modifying the technical specifications for the uni form format for residence permits for third 
country nationals introducing bi ometric identifiers and at the same time starting the delay for 
their implementation,565 a second as regards the implementation of the certificate policy for 
passports issued by Member States introducing a single point of contact,566 and a third in 
                                                 
564 Regulation (EC) No 444/2009 of the European  Parliament and of the Council of 28 
May 2009 amending Council Regulation (EC) No 2252/2004 on standard s for security 
features and biometrics in passports and travel documents issued by Member States 
introducing exception from th e requirements of taking fingerprints and introducing the 
principle "one person-one passport". 
565 Commission Decision of 20.5.2009 modifying the technical speci fications for the 
uniform format for residence permits for th ird country nationals introducing biometric 
identifiers. 
566 Commission Decision of 5.10.2009 amendi ng Commission Decision C (2008) 8657 
final laying down a certificate policy as required in the technical specifications on the 
standards for security features and biometrics in passports and travel documents issued by 
Member States introducing a single point of contact. 
EN 435   EN view of the implementation of the Visa Info rmation System laying down further technical 
specifications for the uniform format for visas as regards the numbering.567  
14.4.2.  Evaluation based on the current situation 
During 2009, the Commission continued to clos ely monitor the correct implementation of 
Regulation 1030/2002 laying down a uniform format for residence permits for third country 
nationals. In this context, reasoned opinions ha d already been sent to  Italy and Belgium for 
incorrect implementation of Ar ticle 9 of the Regulation in 2008. In the absence of progress 
made by Italy, the Commission referred this cas e to the Court of Justice in November 
2009.568 
In order to collect information on the correct and timely implementation by all Member States 
of the second biometric identifier  (finger prints) in respect of passports and travel documents 
of EU citizens in accordance with the provisions of Regulation 2252/2004 which became 
mandatory as of July 2009, the Commission circul ated a questionnaire to all Member States in 
October 2009 in order to collect specific information on the state of implementation. 
14.4.3.  Evaluation results: planned action (2010 and beyond) 
Ensuring the correct application of Regulation 2252/2004 will remain a priority action for the 
Commission also in 2010. The anal ysis of the replies to the que stionnaire is ongoing and the 
necessary measures in case of infringement will be taken in due time. 
14.5. Border management and return policy 
14.5.1.  Current position: General introduction 
In the field of border management and return  policy, the Commission mainly carried out its 
control of the application of EU law, whic h resulted in the follow up of infringement 
proceedings in few cases launched in 2008. Mo reover, the Commission handled numerous 
consultations with Member States on the compatibility of draft bilateral agreements with third countries in the framework of the Local Bord er Traffic Regulation. St rategic priority was 
given to provide the ground for a timely and co rrect transposition of the Return Directive 
2008/115/EC. 
14.5.2.  Current position: Report on work done in 2009 
The Commission has received and followed-up severa l complaints from individuals related to 
the incorrect application of EU law in the fiel d of border management, and particularly of the 
Schengen Borders Code. Most of these co mplaints concern th e non compliance with 
provisions related to the abolition of internal bor der controls at the land and air borders and to 
                                                
 
567 Commission Decision of 20.5.2009 modifying the Commission Decision C (96) 352 
of 7 February 1996 laying down further technical specifications for the uniform format for 
visas as regards the numbering. 
568 C-486/2009. 
EN 436   EN the removal of obstacles to traffic at road crossing points at intern al borders between the 
Member States.  
Within the framework of the Local Border Traffic Regulation, multiple consultations took 
place between the Commission and a number of Member States on the compatibility of 
bilateral draft agreements  with third countries with the LB T Regulation, in form of exchange 
of information and informal advice, expert's meetings as well as formal exchange of correspondence. On 24 July 2009, the Commission issued its first repor t to the European 
Parliament and the Council on the implementation and functioning of the local border traffic 
regime introduced by Regulation (EC) No 1931/ 2006 of the European Parliament and of the 
Council laying down rules on local border traffic at  the external land bo rders of the Member 
States569, which gives a detailed  overview on the activities ca rried out and the problems 
encountered so far. 
As far as the implementation of the Counc il Directive 2004/82/EC on the obligation of 
carriers to communicate passenger data is con cerned, the evaluation of  the transposition 
measures communicated by all Member States except one Member State has been completed. 
An infringement procedure against that Me mber State opened in 2008 for non communication 
is still ongoing. 
In the field of return action focused on some  remaining open cases of non-communication of 
transposition of Directives  2001/40/EC on the mutual r ecognition of decisions on the 
expulsion of third country nationals (cases rela ted to incomplete transposition against three 
Member States were closed; one  remaining case is due to be  closed in early 2010) and 
2003/110/EC on assistance in cases of transi t for the purposes of removal by air. 
In order to facilitate the correct and homoge nous transposition of the European Parliament 
and Council Directive 2008/115/EC on common sta ndards and procedures in Member States 
for returning illegally staying third country na tionals (due to be transposed by 24 December 
2010), the Commission Services convened in 2009 three meetings of  a Contact Group, 
providing an informal forum for an exchange  of views between Member States and the 
Commission on how the requirements set out  in the Directive might be met. 
The Commission also actively intervened in a firs t ECJ case related to the interpretation of the 
Return Directive: In its first judgment on th is Directive (judgment of 30 November 2009 in 
Case C-357/09 PPU, Kadzoev ), the ECJ followed the positio n taken by the Commission and 
confirmed the protective provision s on detention contained in th e Return Directive (absolute 
character of the 6/18 months maximum period; no possibility to abuse detention as a form of 
"soft imprisonment" for public order reasons; and obligation to release the detainee immediately if there are no more reasonable prospects of removal).  
14.5.3.  Evaluation based on the current situation 
The correct application of  EU legislation in the field of border management and particularly 
in the absence of internal border controls has a substantial impact on the area without internal 
                                                
 
569 COM (2009) 383 final  
EN 437   EN borders in which the free movement of person s has to be ensured. Alleged internal border 
checks at the land borders and at the airp orts have been reported. The Commission 
endeavours to closely monitor the situation in  these internal border zones. Moreover, the 
Commission closely follows the developments regarding the dismantling of remaining traffic obstacles at road border crossing -points at internal borders.  
In March 2009, the Commission adopted a proposal for a Council Regulation on the 
establishment of the evaluation mechanism to  verify the application of the Schengen 
acquis 570. This proposal provides for a possibi lity for the Commission to carry out 
unannounced on-site visits to verify the absen ce of controls at inte rnal borders. Although, 
following the entry into force of the Lisbon Treaty the current proposal will have to be reviewed, such a draft provision s hould be maintained as it will considerably contribute to the 
correct application of the absen ce of internal border controls.  
In the field of return, the main achievement wa s the adoption of the European Parliament and 
Council Directive 2008/115/EC on co mmon standards and procedures in Member States for 
returning illegally staying third country nationals.  
The Directive was formally adopted by EP and Council on 16 December 2008 and published 
in OJ L 348 of 24 December 2008, with a tran sposition period for Member States until 24 
December 2010 (2011 in relation to free legal aid). This means that the States which are 
bound by the Directive (all Memb er States except Ireland a nd UK plus the associated 
Schengen States) will have to adapt their nation al legislation in order to comply with the 
Directive by these dates. The Commission expr essly encouraged all States to assure 
compliance with the Directive as quickly as possi ble, bearing notably in mind that most of the 
obligations of Member States under the Return  Directive are not new in substance: many 
obligations are directly inspired by the "Council of Europe Guidelines on  forced return" which 
had been formally accepted in 2005 by the Committ ee of Ministers of th e Council of Europe. 
Member States are therefore already today politically  committed to respect these standards. 
Moreover, most of these standard s are directly relate d to already existing relevant provisions 
of the European Conventi on on Human Rights and other pertin ent international la w instruments.  
In order to facilitate the correct and homogenous transpos ition of the Directive, the 
Commission Services started to convene regu lar meetings of a C ontact Group, providing a 
forum for an exchange of views between Me mber States and the Commission on how the 
requirements set out in the Direct ive might be met. Three meeti ngs of this Group took place in 
2009. Further meetings are scheduled for 2 010. These meetings also include special 
workshops at which not only Member States  but also IOs/NGOs which have concrete 
practical experiences on selected issues, such as " forced return monitoring - Article 8(6)"  and 
"assistance by appropriate bodies for unaccompanied minors - Article 10(1)" are invited to 
report and to share their knowledge with participants  of the Contact Group. 
                                                
 
570 COM(2009)102 final 
EN 438   EN 14.5.4.  Evaluation results: Priorities 
In 2009, priority has been given to the follow-up of complaints received  from citizens in the 
field of internal land and air borders, notably  with relation to the checks carried out on 
persons in internal border zones and at the airpor ts and with the remaining obstacles to traffic 
at the road crossing points at internal borde rs. The Commission regula rly addressed national 
authorities of the Member States in order to obtain explanations, part icularly on the alleged 
checks on persons within the in ternal border zones and exchanged on the remaining traffic 
obstacles in order to better understand the difficulties linked to their dismantling.  
In the field of return, strategic priority wa s given to provide the ground for a timely and 
correct transposition of the Return Dire ctive 2008/115/EC. Numerous complaints and 
petitions related to return issues have been r eceived but no concrete follow-up could – yet - be 
given, due to the fact that th e transposition period for the Di rective had not expired yet. 
14.5.5.  Evaluation results: Planned action (2010 and beyond) 
As one of the fundamental objectives, the Comm ission will continue to  closely monitor the 
correct application of EU legisl ation in the field of absence of  internal border controls and 
remaining traffic obstacles. The aforemen tioned Commission's proposal on the Schengen 
evaluation mechanism, which will be revised following the entry into force of the Lisbon 
Treaty, could undoubtedly contribute to the accomp lishment of this objective. Priority will 
thus still be given to complaints received from  individuals in relation with checks carried out 
on persons at the internal borders  or in internal border zones and with the remaining obstacles 
to traffic at road crossing points at internal bord ers. It is expected that  the volume of enquiries 
increases, as the sensitivity of the border acquis increases.  
In 2010, the Commission will submit to the Europ ean Parliament and the Council a report on 
the application of Title III (In ternal borders) of Regulation (EC) No 562/2006 establishing a 
Community Code on the rules governing the move ment of persons across borders (Schengen 
Borders Code), paying particular attention to the application of Artic le 21 of the Schengen 
Borders Code (checks within the territory and in pa rticular in internal border zones) and to the 
difficulties arising from the reintroduction of border control at internal borders.  
Moreover, the Commission will continue to carry on consultations with Member States and 
analyse the compatibility of draft local bord er traffic agreements with EU law. The 
Commission committed itself to submit a s econd report on the implementation and 
functioning of the local border tr affic regime to the European Parliament and the Council in 
the second half of 2010. 
The Commission will continue the launched infr ingement proceeding against Poland for non 
communication of transposition measures concerning the Dire ctive 2004/82/EC.  
Continued strategic priority wi ll have to be given in 2010 to prepare the ground for a timely 
and correct transposition of the Return Di rective 2008/115/EC (by c onvening further Contact 
Groups). In addition, from 2010 onwards, an anal ysis of the national implementing measures 
will have to be started in order to check the co rrect transposition of the Directive by Member 
States. Finally, the end of the transposit ion period on 24 December 2010 will allow the 
Commission to become more active with regard  to the numerous complaints and petitions 
EN 439   EN related to return issues wh ich are already now being rece ived by the Commission. Depending 
on the number of complaints received, ther e will be a need for priority setting. 
14.6. Free movement of persons 
14.6.1.  Current position: General introduction 
Free movement of persons const itutes one of th e fundamental freedoms of the internal market, 
to the benefit of EU citizens and their families, of the Member States and of the competitiveness of European economy. It is one of the most cherished rights by EU citizens. Citizenship of the Union confer s on every EU citizen a primary and individual right to move 
and reside freely in the EU.  
Article 21(1) of the Treaty on the Functioning of the European Union stipulates that every 
citizen of the Union shall have the right to move and reside freely within the territory of the Member States, subject to the limitations and conditions laid down in the Treaties and by the 
measures adopted to give them effect. The respective limitations and conditions are to be found in Directive 2004/38/EC571 which codified th e existing legislation and case-law in the 
area of free movement, streamlined the procedur es, cut the red tape and simplified the legal 
text in the interest of re ader-friendliness and clarity. 
14.6.2.  Current position: Report on work done in 2009 
Building on the 2008 report572 on the applicati on of Directive 2004/38/ EC which concluded 
that the transposition of the Directive in Member States was ra ther disappointing and 
identified a large number of shortcomings, th e single most important activity in 2009 was 
adoption of guidelines for better transpositi on and application of Directive 2004/38/EC573 to 
provide guidance to Member St ates on how to apply Directiv e 2004/38/EC correctly; with the 
objective of bringing a r eal improvement for all EU citizens and of making the EU an area of 
security, freedom and justice. 
The guidelines provided detailed guidance on key issues covered by Directive 2004/38/EC 
(personal scope of family members, entry visa s for family members who are not EU citizens 
themselves, sufficient resources, restrictions on grounds of  public policy and public security 
and abuse and fraud, such as marriages of convenience) . 
The Council and the European Parliament welcomed the Guidelines in JAI Council 
Conclusions of 21 September 2009 and EP Resolution of 22 July 2009.  
                                                
 
571 Directive 2004/38/EC of the European Par liament and of the Council of 29 April 2004 
on the right of citizens of the Union and their family members to move and reside freely 
within the territory of the Member States (OJ L 158 of 30 April 2004, p. 77). 
572 COM(2008)840 final. 573 COM(2009)313 final.  
EN 440   EN A newly established group of Memb er States’ experts on the pract ical application of Directive 
2004/38/EC met four times in 2009 and discussed i ssues related to correct  application of EU 
law in the area of free movement, particularly on  fighting abuses and frauds. The exchange of 
views, know-how and best pract ices are contributing towards improved implementation of EU 
law and the case-law of the Court of Justice of  the European Union. The group will continue 
to meet on a regular basis. 
In the second semester 2009, in accordance with the priorities established in the 26th Annual 
Report on the Control of Application of Co mmunity law (2008), the Commission initiated 
bilateral meetings with Member States to discus s all the issues of implementation of Directive 
2004/38/EC identified as problematic. The Co mmission endeavours to meet all Member 
States by mid-2010. 
In 2009, the Commission continued to  deal with a large number of enquiries and complaints 
in the area of free movement of persons – 1000 were replied in 2009 compared with 1070 in 
2008. Complaints management was also a si gnificant part of ensuring full and proper 
implementation of Directive 2004/38/EC. In 2009, 205 complaints were registered with the 
Secretariat-General (compared with 81 registered in 2008).  
There were 37 written EP questi ons and 36 petitions in the area of free movement of persons 
in 2009. 
The Commission also made an extensive use of informal dispute-settlement mechanisms, 
such as SOLVIT. According to the 2009 repor t on development and performance of the 
SOLVIT network, number of cases  in the residence rights area  tripled in comparison with 
2008 (549 cases handled and closed w ith 92 % of cases solved) . The issues of residence 
related complaints became the area with the bi ggest share of complaints dealt by with the 
SOLVIT for the first time ever (38 % of all complaints) , underlining the sign ificance of this 
part of EU law and expectations of EU citizens.  
In 2009, 12 cases were submitted to the EU Pilot scheme (compared with 9 in 2008). 
Concerning implementation of prio rities established in the prev ious Annual Report in the area 
of free movement of persons for 2009, progr ess was satisfactory. All Article 260 TFEU (ex-
Article 228 EC)  cases have been closed and progress has been made with regard to other cases 
under Article 258 TFEU (ex-Article 226 EC) , where priority was gi ven to older cases. 
Concerning cases raising issues of principle or having particularly far reaching negative 
impact for citizens, the Commission closed 15 cases concerning delays in handling residence 
applications of third country family memb ers of EU citizens by the a Member State's 
authorities in January 2010.  
14.6.3.  Evaluation based on the current situation 
Priorities set in the previous Annual Report ha ve proven adequate to allow the Commission to 
focus its efforts in 2009 to the most important areas. 
EN 441   EN However, despite the efforts of the Commission, the situation in the ar ea of free movement of 
persons requires further improvement. The repo rt on the application of  Directive 2004/38/EC 
concluded that the overall transposition of the Directive was rather disappointing. The 
situation is improving only gradually. 
To address the unsatisfactory implementation, th e Commission will also continue working at 
technical level with the Member States within the group of experts. The work of the group in 
2009 focused on the sensitive areas of fighting fr auds and abuses. EU Member States do not 
follow one single approach (some Member States do not cons ider this as problematic, some 
attach major importance to these issues and EU action)  and tools employed to address these 
issues are consequently different (most of the Member States are not taking any active 
measures as they have not recorded abuses, few Member States report trends or statistics and 
have rules to be able combat abuse effectively) . The disparate situation is making it difficult 
to assess the extent of the phenomenon and to  suggest further acti on at the EU level. 
In addition to incorrect transposition of  Directive 2004/38/EC, many EU citizens have 
complained about Member States not implemen ting correctly their national law transposing 
EU law in the area of free movement of EU c itizens. The single most numerous issue in 2009 
concerned delays in handling residence applicat ions of EU citizens and their family members 
by one Member State. Since October 2008, th e Commission received a high number of 
individual complaints (300) alleging that the au thorities of that Member State were failing to 
meet the deadlines imposed by national and EU law. Following contacts with the Member State, a comprehensive solution was implemente d and the situation is significantly improving 
(according to the MS's authorities, new applica tions are handled within  the deadlines and the 
backlog of 77.000 cases has been halved) . The Commission continues to closely monitor the 
situation.  
This particular issue underlines the crucia l role Member States play in practical 
implementation of EU law and that correct transposition must be accompanied by robust 
measures enabling national authorities to eff ectively apply the law. This is even more 
important in the areas of direct concern to large groups of EU citizens, su ch as with regard to 
applications for residence.  
In 2010, an improvement can be expected for th e second semester, once th e bilateral meetings 
between Member States and th e Commission will have been  completed and issues of 
transposition of Directive 2004/ 38/EC thoroughly discussed. Th e Commission expects that a 
significant proportion of the issues can be resolved or clarified through the bilateral meetings 
and ongoing discussion with Member  States. Improvement of tran sposition must remain to be 
a priority for the Commission as it has potential  to prevent future violations of EU law.  
14.6.4.  Evaluation results: Priorities 
Priorities for 2010 and beyond must be slightly changed compared to those for the previous 
period.  
The main emphasis in the next years will be to conclude infringement proceedings for non-
conformity. Priority will be al so given to start package infring ement cases related to incorrect 
transposition of Directive 2004/ 38/EC and cases raising issues  of principle or having 
EN 442   EN particularly far reaching negati ve impact for citizens, notably with regard to the number of 
aggrieved EU citizens. 
14.6.5.  Evaluation results: Planned action (2010 and beyond) 
In 2010 and the next years, the Commission will step  up its efforts to ensu re that the Directive 
is correctly transposed and implemented across the EU. In order to achieve this result, the 
Commission will use fully its powers under the Treaty and launch infringement proceedings, 
when necessary. 
The Commission will continue working at techni cal level with the Member States in the 
group of experts. 
The Commission will also continue to inform  EU citizens about th eir rights under the 
Directive. To this end, information on the Dire ctive will be a priority. A simplified guide on 
EU law for EU citizens on fr eedom of movement will be updated, published and widely 
distributed in 2010. 
The Commission will encourage Member States to launch awar eness-raising campaigns to 
inform EU citizens of their rights un der Article 34 of the Directive. 
14.6.6.  Summary 
The Commission attaches priority to the concre te fulfilment of the fundamental and personal 
right of EU citizens and their family members to move and reside freely. The transposition 
and implementation of the Directive in Member States needs to be further improved. In the 
next years, the Commission will step up its efforts and use infringement proceedings, where necessary. The Commission will continue to work  closely together with Member States at 
technical level to provide guidance as to how  resolve more problematic issues of free 
movement. This, together with intensified information to citizens, should bring real 
improvements in the daily life of EU citizens and their family members. 
14.7. Citizenship 
14.7.1.  Current position: General introduction 
Article 22 of the Treaty on the Functioning of th e European Union grants the right to EU 
citizens to vote and to stand as  a candidate in municipal a nd European elections in the 
Member State where they reside, without holding the nationality of that  State. These rights 
were put into effect by Directive 1993/109/EC574 as regards European Parliament elections 
                                                
 
574 Council Directive 93/109/EC of 6 December 1993 laying down detailed arrangements 
for the exercise of the right to vote and stand as a candidate in elections to the European 
Parliament for citizens of the Union residing  in a Member State of which they are not 
nationals 
EN 443   EN and Directive 94/80/EC575 as regards municipa l elections. Directive 1994/80 was modified 
by Directive 1996/30/CE and Directive 2006/106/EC in view of consecutive enlargements of 
the Union. 
14.7.2.  Current position: Report on work done in 2009 
In 2009, the Commission dealt with an increas ing number of enquiries and complaints on 
citizenship and electoral rights of the EU citi zens: 140 (compared to 80 in 2008) of which 40 
on citizenship and 100 on electoral rights. In 200 9, there were 12 written EP questions and 12 
petitions in this area. This shows the incr easing awareness and interest of EU citizens 
concerning their electoral rights and it clearly reflects that EP elections were organised in 
2009. 
Concerning implementation of pr iorities established in the 26th Annual Report on  the Control 
of Application of Union law in  the area of citizenship, the onl y infringement proceeding for 
non communication of Directive 2006/106/EC (a dapting Directive 94 /80/EC on municipal 
elections by reason of the accession of Bulgar ia and Romania to the EU) was closed on 8 
October 2009576.  
An important activity on electoral matters wa s to accompany the correct implementation of 
Directive 93/109/EC in the June 2009 Europ ean elections. The Commission assisted the 
Member States by providing updated guidelines to the nati onal administrations for the 
implementation of the Directive,  and namely to improve the efficiency of the information 
exchange system that the Member States put in practice for preventing double vote and 
double candidacy in the elections. The Commi ssion provided information in its website 
referring to the modalities of the exercise of the right to participate in the EP elections. 
14.7.3.  Evaluation based on the current situation 
Essentially, all Member States transposed th e Union legislation in electoral matters. No 
infringement proceedings were open as of 31 De cember 2009. The situation in the field of the 
electoral rights of EU citizens can be considered satisfactory. 
A compatibility study was concluded in Februa ry 2009. It covers the EU-12 Member States 
for Directives 94/80/EC and 93/109/EC and the EU-27 for the 1976 Act on European 
elections577. This will assist the Commission in the assessment and actions to be taken to ensure the correct and complete transposition and implementation of Union law in the national legislations.  
                                                
 
575 Council Directive 94/80/EC of 19 Decembe r 1994 laying down detailed arrangements 
for the exercise of the right to vote and to st and as a candidate in municipal elections by 
citizens of the Union residing in a Member  State of which they are not nationals 
576 Infringement proceeding n°2007/0215 577 Act of 1976 on the election of representatives  of the European Parliament annexed to 
Decision 76/787/ECSC, EEC, Euratom, last  as amended by Council Decision 2002/772/EC, 
Euratom 
EN 444   EN A Commission Report assessing the implementati on of Directive 93/109/EC is planned for 
2010. 
14.7.4.  Evaluation results: Priorities 
The priorities set in 2009 rema in applicable in 2010. The focus is to ensure conformity of 
national legislations of the Member States w ith Directives 93/109/EC (participation of EU 
citizens in European elections) and Directive 94/80/EC (participation  of EU citizens in 
municipal elections and conformity across th e EU member states with the 1976 Act on the 
elections of the representative s of the European Parliament. 
14.7.5.  Evaluation results: Planned action (2010 and beyond) 
In 2010 and following years, the Commission will step up its efforts to ensure that the 
instruments in electoral matters are correctly  transposed and implem ented. The Commission 
will continue working at technical level with the Member States in the group of experts and 
launch infringement proceedings when necessary. 
A report on the implementation of Directive 94/80/EC (participation of EU citizens in 
municipal elections) is planned for 2011.  
On the basis of a study on possible developments  of the EU law on electoral rights, launched 
in 2009 and to be concluded in 2010, the Commission will consider how to go forward with the modification of Directive 93/109. A proposal to amend the Directive was presented by the 
Commission in 2006578,which is currently with the Council. The objective is to introduce 
more flexibility in the administrative procedure and enhancing participation. 
14.7.6.  Summary 
Electoral rights of the EU citi zens accompany their right to free movement and are part of the 
rights attached to the Citizenship of the Union: EU  law in the electoral field grants the right to 
the EU citizens to participate in municipal and European elections in the Member State where 
they reside without holding th e nationality of that State (Article 22 TFEU). Detailed 
arrangements for the exercise of these right s are to be found in Directive 94/80/EC with 
regard to municipal elections and in Directive 93/109/EC with regard to European elections. 
The Act of 1976 on the election of representatives of the European  Parliament as amended by 
Council Decision 2002/772/EC, lays  down common principles for the Member States in the 
organisation of the European elections. 
Transposition of Union law in electoral matters  can generally be cons idered satisfactory.  
However, the Commission should continue to  focus on checking and ensuring correct 
transposition and implementati on of Directives 93/109/EC and 94/80/EC and the Act of 1976, 
as amended by Council Decision 2002/772. This will need close work at technical level with 
the Member States and use of infringement proceedings, where necessary. 
                                                
 
578 COM(2006)791Proposal for a Council Di rective amending Directive 93/109 
EN 445   EN The Commission shall report on the implementati on of Directive 93/109 /EC on EP elections 
in its Communication planned for 2010. 
14.8. Fundamental rights 
14.8.1.  Current position: General introduction 
Under the Treaty on the Functioning of the Eu ropean Union and the Treaty on European 
Union, the European Commission has no general pow ers to intervene in individual cases of 
violations of fundamental rights . It shall however ensure that fundamental rights are protected 
in the application of Union law.  
Since the entry into force of the Lisbon Treaty,  the corpus of rule ensuring the respects of 
fundamental rights within the Union was enri ched by the inclusion of the Charter of 
Fundamental Rights, which is now legally bindi ng. The foreseen adhesion of the EU to the 
European convention of Human rights w ill supplement the whole framework.  
The important number of letters received by th e Commission reveals a strong interest and 
expectation from citizens on funda mental rights in the Member St ates. It also reveals that 
more information is needed to explain that  the Commission has no general powers to 
intervene in cases of vi olations of fundamental rights and that  it can do so only if an issue of 
Union law is involved. 
Nevertheless, the Commission shall ensure that  when implementing EU legislation, Member 
states strictly respects fundamental rights a nd cases involving fundamental rights should be 
treated as a matter of priority. This obligation will become even more essential when the EU will gain full membership to the Eu ropean Convention of Human rights. 
 
14.8.2.  Current position – Report on work done in 2009 
In 2009, the Commission received a number of indi vidual letters and parliamentary questions 
as well as petitions generally concerning allege d violations of fundame ntal rights by Member 
States: approximately 950 letters and more th an 140 parliamentary questions and petitions. 
Most of the individual cases  do not involve Union law and fall outside the powers of the 
Commission to control the a pplication of Union law. 
In 2009, following a number of allegations of ill treatment of migrants at the border, the 
Commission initiated an infringement procedure against one Member State for failing to fulfil its obligation to respec t fundamental rights when implem enting the Schengen Borders Code. 
The infringement procedure also con cerns a breach of the EU Asylum acquis .
 
14.9. Protection of personal data 
14.9.1.  Current position: Report on work done in 2009 
The Commission continued the monitoring of th e correct applicati on of the Directive 
95/46/EC on data protection, the main piece of legislation in this area. It continued to find 
pro-active solutions outside or in parallel with the infrin gement procedures through the 
EN 446   EN 'structured dialogue' or bilateral meetings orga nised with Member Stat es to discuss mainly 
infringement cases as well as through the EU Pilot (five new files opened in 2009).  
Around 160 letters and 46 parliamentary questions  were received. There were a total of 10 
petitions in 2009. 
In 2009, out of total 17 infringement cases in the data protection field, fo ur cases were closed. 
There were a higher number of cases referri ng to the incorrect application of the data 
protection directive than to the non-conformity.  
14.9.2.  Evaluation based on the current situation 
The situation and volume of work in 2009 was stable regarding the infringement cases, 
although the number of letters and enquiries has increased. 
14.9.3.  Evaluation results: Priorities a nd planned action (2010 and beyond) 
Due to the relatively small number of infringe ment cases in the field of data protection, no 
prioritisation was applied to them. 
Besides the continuous task of monitoring the correct application of the Data Protection 
Directive 95/46/EC, three studies will be laun ched in 2010 and will form the basis of the 
future revision of the data protection legal framework: 
3rd implementation report rela ted to Directive 95/46/EC; 
study for the evaluation and impact assessmen t for the future EU legal framework for 
personal data protection; 
evaluation and an impact assessmen t of the data protection legal framework in all areas of the 
Union’s activities. 
14.10.  Judicial cooperation in civil matters 
14.10.1.  Current position: Report on work done in 2009 
• The Commission continued the monitoring of th e correct application of the civil justice 
acquis.  In order to ensure the pr oper implementation of that acquis , the Commission 
adopted two implementation reports in 2009. 
• In April 2009, the Commission adopted a Report  evaluating the application of Regulation 
44/2001 (Brussels I) and issued a Green paper in order to identify ways to improve its 
functioning. 
• Report from the Commission to the European Parliament, the Council and the European 
Economic and Social Committee on the app lication of Council Regulation (EC) No 
44/2001 on jurisdiction and the recognition and enforcement of  judgments in civil and 
commercial matters. 
EN 447   EN The Report concludes that Regul ation (EC) No 44/2001 has been generally well received by 
the courts and the public and that it is ge nerally operating smoothly. Only certain limited 
difficulties have been reported, relating to rules on jurisdiction. They concern in particular the 
coordination of parallel judicial proceedings before the courts of the Member States, the 
autonomy of parties who agree on a choice of court to apply to and the parallel application of 
the EU rules on choice of court with the new international rules on the subject. These issues must be examined with a view to a revisi on of the Regulation, on the basis of a public 
consultation, that would incor porate appropriate solutions to the difficulties identified. 
• Green Paper on the review of Council Regula tion (EC) No 44/2001 on jurisdiction and the 
recognition and enforcement of judgme nts in civil and commercial matters. 
This Green Paper accompanies the Report on the implementation of Regulation (EC) No 
44/2001, suggests possible solutions to the difficult ies identified and discussed in the Report 
and asks a number of questions. The Report a nd the Green Paper will form the basis of a 
wide-ranging public consultation on the future revision of  Regulation (EC) No 44/2001 
scheduled for the year 2011. 
Also in April 2009, the Commission issued a Report on Directive 2004/80/EC on crime 
victims: 
• Report on the application of Council Direct ive 2004/80/EC relating to compensation of 
compensation to crime victims. 
The Report shows that  
– all Member States but one have enacted na tional measures transposing the Directive; 
infringement proceedings have been started against the one Me mber State that has so far 
failed to do so;  
– not all implementing measures ha ve been brought into line;  
– the Member States are providing fair and appr opriate compensation for victims; substantial 
degree of conformity seems to have b een achieved across the Member States; 
– although the decision-makers and th ose in charge of providing a ssistance are satisfied with 
the way in which the present system is wo rking, applicants for compensation find the 
application procedure complicated and time- consuming, and the language barrier is a 
serious obstacle to proce ssing victims' claims.  
While the Directive has improve d cooperation between the Memb er States' authorities and 
made it easier for victims of crime to obtain compensation, it has not yet been possible to exploit its full potential.  
Besides the reports, the Commi ssion supported the Member States by giving guidance in the 
form of the Practice Guides, drafted in coopera tion with the European Judicial Network in 
Civil and Commercial Matters. In  2009, a Practice Guide on the Application of the Regulation 
EN 448   EN on European Enforcement Order establis hed by Regulation (EC) No 805/2004579 was 
distributed amongst the legal professionals. A practical guide "Using videoconferencing to 
obtain evidence in civil and commercial ma tters under Regulation (EC) No 1206/2001" was 
also finalised. 
14.10.2.  Evaluation based on the current situation 
• The major issue in the area of civil justice wa s that the Commission d ecided to take Greece 
to the Court under Article 260 TFEU (ex-228 TEC) demanding financial sanctions because 
Greece had failed to implement the EJC Decisi on issued in 2007 on the non-notification of 
national implementing measures under Co uncil Directive 2004/80/EC relating to 
compensation of compensation to crime victims. This infringement is pending at the end of 
2009. 
• The number of formal complaints pending handling decreased from 18 in 2008 to 10 in 
2009. Their limited number does not require prio ritization of their treatment. Besides 
assessment of complaints, the Commission is contributing to correct interpretation of acquis  through observations to the preliminary ques tions to the Court of  Justice. In 2009, 
observations were given in around 14 civil ju stice cases, one of them being a "PPU" 
(urgent procedure). 
• In 2009, as in 2008, a special attention was paid  to the correct appl ication of Regulation 
(EC) No 2201/2003 (the 'Brussels II a Regulat ion’). The Regulation ensures that children 
can maintain regular contacts with both pare nts following a separati on and provides clear 
rules to deter parental child abduction all ove r the EU. There is one infringement case 
relating the Brussels IIa Regul ation pending at the end of 2009. 
• The number of preliminary questions in the area of family law is expected to increase with 
the new urgent preliminary ruling pro cedure available since 1 March 2008. The new 
procedure enables the Court of Justice to deal much more qui ckly with issues relating to 
the area of freedom, security and justice. Such an issue may arise, for example, in proceedings concerning parental responsibil ity if the jurisdiction under EU law of the 
national court hearing the case  depends on the answer to the question referred for a 
preliminary ruling. In this context, a request  for an urgent preliminary ruling (PPU) on a 
case of parental child abduction was submitted to the Court of Justice in November 2009 
(case C-403/09 PPU). The Court, in its answers to  the referral questions , confirmed that the 
law of the Union does not allow a court of a Me mber State to take provisional measures in 
matters of parental responsibility granting custo dy of a child who is in the territory of that 
Member State to one parent, where a court of another Member State, which has jurisdiction 
as to the substance of the dispute relating to  custody of the child, ha s already delivered a 
judgment provisionally giving cust ody of the child to  the other parent, and that judgment 
has been declared enforceable in the former Member State. 
Other options for the Commission to avoi d violations of the civil justice acquis are to improve 
the knowledge of the a cquis  through further training of pr actitioners (judges, central 
                                                
 
579  Regulation (EC) No 805/2004 of the Europ ean Parliament and of the Council of 21 
April 2004 creating a European Enforcement Or der for uncontested claims, OJ L 143 of 
30.04.2004   
EN 449   EN authorities and lawyers) as well to promote the use of mediation in th e settlement of civil 
disputes, including family disputes to preven t that these disputes are brought before the 
courts. The Commission is assist ed also by the European J udicial Network in Civil and 
Commercial Matters, which helps in the correct implementation of the acquis  through 
collaboration between contact points. The Commission published leaflets in all languages 
about the European Judicial Network's tasks a nd contact points. The aim is to facilitate 
requests for judicial cooperation between Member States and to make it easier to ensure that 
EU legislation is properl y applied in practice.  
14.10.3.  Evaluation results: Priorities 
Increased attention needs to be paid in the coming years to the full and effective 
implementation, enforcement and evaluation of  existing instruments. Legal transposition 
should be ensured using, to its fullest extent, wherever necessary, existing institutional tools. 
The Union should focus on identifying the n eeds of citizens and practitioners and the 
appropriate responses. The development of ac tion at Union level should involve Member 
States’ expertise and cons ider a range of measures, including  non-legislative solutions such as 
agreed handbooks, sharing of best practice and re gional projects that addr ess those needs, in 
particular where they ca n produce a fast response. 
14.10.4.  Evaluation results: Planned action (2010 and beyond) 
a) Consumer legislation 
Negotiations on the proposal for a Directive on  Consumer Rights will continue in 2010. It 
may be possible to secure political agreement in Council and a first reading opinion from the 
European Parliament before the end of the year , with a view to a final adoption in 2011. Once 
adopted, this Directive will increase consumer confidence by ensuring that consumers benefit 
from the same rules wherever th ey shop. It will also make life easier for business by removing 
the internal market obstacles created by the fragmentation of consumer laws. 
Furthermore, the Commission will finalise the impact assessment for a possible future 
revision of the Package Travel Directive. Recent developments in the travel market such as 
the emergence of low-cost air car riers and bookings on the Internet  have led to a considerable 
decrease in the market share of  traditional package tours. As a consequence, fewer consumers 
are protected by the Directive when going on holida y. There is therefore a need to revise the 
Directive to ensure that it is adapted to the current market situation. Following the impact 
assessment a proposal could be adopted in early 2011. 
b) Contract law 
In the area of contract law,  the Commission will consult in 2010 on the scope and form of a 
Common Frame of Reference, which could act as  toolbox for the EU legislator when tabling 
proposals with contract law elements.  
EN 450   EN 14.11.  Judicial cooperation in criminal matters 
14.11.1.  Current position: Report on work done in 2009 
There are currently 12 mutual recognition instru ments in Criminal law, out of which five 
ought to have been implemented by 2009, or earli er. Legislation in this sector, formerly 
included in the third pillar, experiences belate d and partial implementation by Member States, 
with the exception of Framework Decision 2002/584/JHA on the European Arrest Warrant, 
which has been transposed by all Member States. Since the Framework Decision came into operation, in general the time taken to execute a warrant is provisionally estimated to have 
fallen from more than nine months to five w eeks. This does not include  frequent cases where 
the person consents to surrender, for whic h the average time taken is two weeks.  
Three other instruments out of t hose due have been merely partia lly implemented so far. More 
specifically, the situation with th ese instruments is the following: 
Council Framework Decision 2005/214/JHA of 24 February 2005 on the application of the 
principle of mutual recogn ition to financ ial penalties580
 has been implemented in 17 Member 
States, while notifications from  ten Member States are sti ll missing. The Framework Decision 
applies the principle of mutual recognition to fi nancial penalties imposed by judicial or other 
authorities, for the purp ose of facilitating enforcement of such penalties in a Member State 
other than the one in which the penalties were  imposed. The Framework Decision applies to 
all offences in relation to which financial pena lties can be imposed. Du al criminality checks 
were abolished in relation to 39 offe nces listed in the Framework Decision. 
Besides the significant delays in its transpos ition (by the time the report on implementation 
was published by the Commission in Decembe r 2008581 only eleven Member States had 
transposed it fully or partially), the quality of  implementation leaves much to be desired.  
While some of the most important issues such  as the abolition of dual criminality and the 
recognition of decisions without further forma lity are properly reflected in the implementing 
provisions, the grounds for refusal have been implemented mostly as obligatory grounds and 
additional grounds have been added in c ontravention of the Framework Decision.  
Little information is available on the practical application of the provisions of the Framework 
Decision, although recent worksh ops organised by the Commission have demonstrated an 
increasing cross-border use between certain member States. 
Council Framework Decision 2003/577/JHA of  22 July 2003 on the execution in the 
European Union of orders freezing property or evidence582  has been implemented by 23 
                                                 
580 Council Framework Decision 2005/214/JHA of  24 February 2005 on the application 
of the principle of mutual recognition to financial penalties, OJ L 76/16 of 22.3.2005. 
581 Report from the Commission based on Article  20 of the Council Framework Decision 
2005/214/JHA of 24 February 2005 on the application of the princi ple of mutual recognition 
to financial penalties, COM(2008) 888 final. 
EN 451   EN Member States . It applies the principle of mutual r ecognition to orders freezing property or 
evidence. It aims at ensuring that evidence or  property located in one  Member State can be 
frozen on the basis of a decision taken by a judicial authority in  another Member State. There 
have been significant delays in its transposition by the Member  States. The report issued by 
the Commission in December 2008583 shows that the implementation of this text is not 
satisfactory. By December 2008, only nineteen Memb er States transposed it fully or partially 
and the national legislations show numerous  omissions or misinterpretations. Little 
information is available on the practical app lication of the legislation. Feedback from 
practitioners seems to indicate that the certificate  to request the execution of freezing orders is 
rather difficult to complete and does not contai n all the necessary fields . Therefore, judicial 
authorities tend to revert to the standard mutual legal assistance forms.  
Council Framework Decision 2006/783/JHA of October 2006 on the application of the 
principle of mutual recognition to confiscati on orders applies the principle of mutual 
recognition to confiscation orders issued by a court competent in criminal matters for the 
purpose of facilitating enforcement of such conf iscation orders in a Member State other than 
the one in which the confiscation order was is sued. The Framework Decision applies to all 
offences in relation to which confiscation orde r can be issued. Dual criminality checks were 
abolished in relation to 32 categories of offences listed in the Framework Decision. 
At present, notifications on the implementa tion of the Framework Decision have been 
received from twelve Member States. 
The Framework Decision provides for the public ation of an implementation report by the 
Commission by 24 November 2009. Th e report is underway and will  be issued later in 2010. 
The delay in preparing this repor t results from the low number of notifications received by the 
deadline set by the Framework Decision - onl y two notifications were received on time. 
Besides the significant delays, it appears already now that the quality of implementation is not 
satisfactory, with most national legislations flaw ed by omissions or misinterpretations even of 
essential provisions. 
14.11.2.  Evaluation based on the current situation 
Since the rules currently in force do not allow the Commission to initiate infringements 
proceedings in this field (for a transitional period of five years from the entry into force of the 
Lisbon Treaty), DG JLS decided last year to launch an array of in itiatives designed to 
improve the implementation record in this ar ea by providing Member St ates' administrations 
with guidance and help during th e implementation stage. These initiatives have included: a 
series of workshops with national legislat ors and practitioners on Framework Decisions 
2003/577/JHA on freezing order and 2005/214/JHA on financial pena lties (two pieces of 
legislation with the longest overdue implementation deadline); guidance papers for the 
                                                                                                                                                         
582 Council Framework Decision 2003/577/JHA of  22 July 2003 on the execution in the 
European Union of orders freezing property or evidence, OJ L 196 of 2.8.2003, p. 45. 
583 Report from the Commission based on Article  14 of the Council Framework Decision 
2003/577/JHA of 22 July 2003 on the execution in the European Union of orders freezing 
property or evidence, COM(2008) 885 final. 
EN 452   EN national legislators and handbooks  for practitioners; streamlin ed contact with national 
authorities responsible for implementation; pa rticipation in national training for judicial 
professions.  
14.11.3.  Evaluation results: Priorities a nd planned action (2010 and beyond) 
Action started last year will  be continued and stepped up in order to improve the 
implementation record of mutual recognition instruments in the EU. In an attempt to prevent problems stemming from implementation at an ea rlier stage, Implementation Workshops with 
national legislators and practitioners this ye ar will concern not only Framework Decision 
2006/783/JHA on confiscation orders (with implem entation deadline already passed), but also 
Framework Decisions 2008/947/JHA on probation measures584 and 2008/909/JHA on 
custodial sentences585, for which the implemen tation period is still running. Streamlined 
contacts with Member States may include, especially from 2011, implementation "package 
meetings" in the capitals, where all the different  services involved in the implementation work 
could benefit from the expertise of the Comm ission services. Handbooks on the application of 
the Framework Decisions on Freezing and Financial Penalties will be published.  
Security 
14.12.  Data Retention Directive 
14.12.1.  Current position: Report on work done in 2009 
On 15 September 2007, the Member States should have brought into force legal instruments 
to comply with the Data Retention Dir ective 2006/24/EC586. 18 Member States587 invoked 
the clause of Article 15(3) that  allowed them to postpone the a pplication of th e Directive to 
the retention of communications data relating to Internet Access, Internet telephony and 
Internet e-mail until 15  March 2009. This situati on means that with regard to the majority of 
Member States, the procedures for infringement will happen in two steps.  
                                                
 
584 Council Framework Decision 2008/947/JHA of 27 November 2008 on the application 
of the principle of mutual recognition to judgmen ts and probation decisions with a view to the 
supervision of probation measures a nd alternative sanctions, OJ L 337/102, 16.12.2008 
585  Council Framework Decision 2008/909/JHA of 27 November 2008 on the application 
of the principle of mutual r ecognition to judgments in crim inal matters imposing custodial 
sentences or measures involving deprivation of liberty for the purpose of their enforcement in 
the European Union, OJ L 327/27, 5.12.2008  
586  Directive 2006/24/EC of the European Parliament a nd of the Council of 15 March 
2006 on the retention of data generated or pro cessed in connection w ith the provision of 
publicly available electronic comm unications services or of public communications networks 
and amending Directive 2002/58/EC, OJ L 105 , 13.04.2006 
587 The Netherlands, Austria, Estonia, Un ited Kingdom, Cyprus, Greece, Luxemburg, 
Slovenia, Sweden, Lithuania, Latvia, Czech Republic, Belgium, Poland, Finland, Germany and upoon accession Bulgaria and Romania. 
EN 453   EN In 2009, the Commission continued the non-communi cation cases against six Member States. 
In November 2009 it addressed a reasoned opi nion to Luxembourg. Ireland had brought an 
action for annulment of the Directive (Case C- 301/06) on the ground that it should have been 
adopted with a third pillar legal basis (Title  VI TEU). The ECJ dismissed the action in its 
judgment of 10 February 2009. 
Having regard to that judgment and the e volution of the transposition, the Commission 
referred the non-communication cases regardin g Austria, Greece, Ireland, the Netherlands, 
Sweden and Poland to the Court. After reception of the national legislat ion of the Netherlands 
and Poland, the cases for failure to notify legisl ation against these stat es were discontinued.  
With regard to the application of the second ('in ternet') part of the Directive as of 15 March 
2009, the Commission is continuing to examine th e situation in those Member States that 
might have not transposed the Directive correctly.  
14.12.2.  Evaluation based on the current situation 
In the course of the evaluation process, th e Commission noted at many occasions that the 
transposition and application of  the Directive was done in a very heterogeneous manner. In 
order to establish whether the different solu tions are in line with the Directive, the 
Commission must make an in-dep th analysis of the national legislations. This, however, is a 
highly time-consuming task, since the nationa l transposition of the Directive is often 
embedded in an existing intricate web of nationa l legislation, both in the field of transport and 
communication as well as in the field of law enforcement and criminal proceedings. 
In that respect, procedural monitoring has been feasible because of all DRD-related 
infringement cases against Member States so  far have been cases of non-communication. The 
legal enforcement of the corre ct application of this Dir ective requires more work.  
The Commission has observed that the Data Rete ntion Directive is politically highly sensitive 
in most Member States. National parliaments and civil society are critical. This, and the fact 
that intensive analysis  of the market impact and consul tation with stakeholder groups on both 
privacy issues and complex technicalities that come with implementation of the Directive are 
necessary, suggests that the initial deadline fo r transposition may have been too ambitious. 
Article 10 of the Directive provi des that "Member States shall ensure that the Commission is 
provided on a yearly basis with statistics on the retention of data generated or  processed in 
connection with the provision of publicly availa ble electronic communications services or a 
public communications network (…)". For th is purpose, the Commission designed, in 
consultation with stakeholder groups, a template w ith categories of data  that Member States 
have to provide to the Commission. However,  only 11 Member St ates provided the 
Commission with their statistical  information over 2008. This signals  that the provision in the 
Directive on statistics is not fu lly applied by all Member States.  
A general point of attention based on the eval uation of the operation of the Directive under its 
Article 14, is the need to also analyse secondary  legislative measures as  part of legislation 
transposing a Directive without which the form ally notified law does not apply. For example, 
some Member States notified legislation that would allegedly have transposed the Directive. 
However, the Commission later found out that the national legislation was not actually 
EN 454   EN applied in the Member State concerned, because a (royal or presidential) decree necessary for 
the transposing law to enter into force had not yet been adopted.  
On 8 October 2009, the Romanian  constitutional court ruled that the Romanian national 
legislation transposing the Direct ive had to be considered unc onstitutional and was therewith 
void. This has created a situati on where the notified transposition law as a whole is no longer 
applicable in the Member State. The German constitutional court delivered a judgement with 
similar effect on 2 March 2010. The Commission w ill ensure that the Directive is applied 
properly in all Member States.  
Accurate and up-to-date knowledg e of the legislati on in force in the Member States is 
necessary to monitor the application of EU le gislation and inform in fringement procedures. 
An obligation for the Member States to inform  the Commission not only about the formal law 
that it adopted to transpose a Directive, but al so of subsequent amendm ents to that law, or 
when replaced by another law would facilita te Commission's tasks. As a matter of good 
governance, it would also contribute to inter alia  transparent administration of the law, legal 
certainty for citizens and enterprises and also to ensure a level playing field for economic 
operators. Furthermore, national jurisdictions , including constitutional and administrative 
courts, may adopt judgements that substantially affect the application of the law or related 
secondary legislation. Further atten tion will have to be paid to th ese issues to reinforce current 
means available to ensure the co rrect application of EU law. 
14.12.3.  Evaluation results: Priorities a nd planned action (2010 and beyond) 
Article 14 of the Directive stipulates that  no later than 15 September 2010, the Commission 
shall submit to the European Parliament and the Council an evaluation of the application of 
this Directive and its impact on economic operato rs and consumers. The state of notifications 
will also been taken on board in that assessment. 
The Commission will advance its infringement cases. 
14.13.  European Programme for Critic al Infrastructure Protection 
14.13.1.  Current position: General introduction 
Directive 2008/114/EC on the Identification and Designation of European critical 
infrastructures and the assessment of the need  to improve their protection588 was adopted in 
December 2008 and entered in to force in January 2009.  
The objectives of the Directive are: 
– establishment of a procedure to identify European Critical Infrastructures (ECIs); 
– establishment of a procedure to designate  infrastructures as European Critical 
Infrastructures; 
                                                 
588  OJ L 345 of 23.12.2008 
EN 455   EN – devising a common approach to assess whether it  is necessary to improve the protection of 
such infrastructures. 
14.13.2.  Current position – Report on work done in 2009 
As the deadline for the implementation of the Directive 2008/114/EC is January 2011, most of 
the Member States are working on the identif ication of potential ECIs in the energy and 
transport sectors. Generally, either already existing or ne w fora/working-groups, bringing 
together the relevant national mi nistries or agencies as well as association of operators, are 
proceeding with the first stages of the id entification procedure at national level. 
The Commission continued offering its suppor t to this process. Two implementation 
workshops have already taken plac e at the Joint Research Centre in Ispra, with the view to 
exchange practices and information on the impl ementation procedure in Member States. Both 
workshops also provided fora to  discuss the general framework of  the review of the Directive, 
and both Member States and Commission made preliminary contributi ons as regards the 
structure and content of the pr ocess leading to the review. 
14.13.3.  Evaluation based on the current situation 
The situation and volume of work in 2009 was stable and focused on exchanging information 
and good practices on the identif ication and designation of ECI experience in the Member 
States. 
14.13.4.  Evaluation results: Priorities a nd planned action (2010 and beyond) 
The review of the Council Directive 2008/114/ EC will begin on 12 January 2012, i.e. three 
years after its entry into force. For a sm ooth review process mutual trust and a sound 
discussion basis between Member States, the Commission and the Europ ean Parliament must 
be established as early as possible. This is particularly important as the legal basis of the Directive changed since the entry in to force of the Lisbon Treaty.  
The voluntary "implementation" workshops and th e CIP contact point m eetings will remain 
the backbone of the review process throughout 2010 and beyond. If  needed, extra meetings 
could be added, or side-events dedicated to preparing the review could be organised.  
The Commission will deliver su mmary reports providing the re sults from these workshops. 
Shortly before the actual start of the re view process (12 Janua ry 2012), the Commission 
supported by the Member States will put forw ard a general report summarising the overall 
preparatory activities. This report will be th e starting point for the political discussions at 
Council level.  
14.14.  Third pillar instruments – police and criminal justice cooperation 
14.14.1.  Current position: Report on work done in 2009 
Monitoring in the context of third pillar instruments was mainly done on the basis of 
implementation reports. These had to be produced  following specific provisi ons in articles in 
the legal instrument itself.  
EN 456   EN Similarly, under Article 11 of the Framew ork Decision 2002/475/JHA of 13 June 2002 on 
combating terrorism, the Commission has to draw  up a written report on the measures taken 
by the Member States to comply with this instrument. 
In accordance with that Article, a first implementation report from the Commission was 
adopted on 8 June 2004. The Council's response to the Commission's re port was adopted on 
25 and 26 October 2004 and it decide d to invite those Member St ates which had not yet fully 
complied with the Framework Decision to do so as soon as possible and to provide information on progress made; invite the Memb er States concerned to provide further 
information as asked for in the Commission's report; and invite the new Member States to 
provide information on their implementation of the Framework Decision. On the basis of the 
Council's response, a second evaluation repor t from the Commission was adopted on 6 
November 2007.  
In the case of the Council Framework D ecision 2008/919/JHA of 28 November 2008 
amending Framework Decision 2002/475/JHA, Article  3 requests Member St ates to take the 
necessary measures to comply with the Fr amework Decision by 9 December 2010. During 
2010, the Commission intends to assist Member St ates by organising an expert meeting on the 
implementation of the Framework Decision. If th ere is a need, the Commission will organise 
a follow-up meeting. 
The Commission is currently preparing an update  of the first implementation report on the 
application of Framework Decision  2003/568/JHA of 22 July 2003 on combating corruption 
in the private sector. 
The Swedish Framework Decision (Council  Framework Decision 2006/960/JHA589) 
concerning the simplification of the exchange of  information and criminal intelligence across 
the European Union requires that the Commissi on submit an evaluation report to the Council 
before 18 December 2010. Just four months after the original implementation deadline had expired, the Commission or ganised a conference that sought to review the implementation 
experience of this instrument. Th e outcome of that 2009 conferen ce, including detailed replies 
to the Commission's questionnaire, will feed into a second conference on implementation, to be organised in the second half of 2010. The Commission will then finalise its evaluation 
report before 18 December 2010. 
The Prüm Decisions (Council Decision 2008/615/JHA590 and 2008/616/JHA591) concerning 
the automated exchange of DNA, fingerprints a nd car registration data  are currently being 
                                                
 
589  Council Framework Decision 2006/960/J HA of 18 December 2006 on simplifying the 
exchange of information and intelligence betwee n law enforcement authorities of the Member 
States of the European Union, OJ L 386/89 of 29.12.2006 
590  Council Decision 2008/615/JHA of 23 June  2008 on the stepping up of cross-border 
cooperation, particularly in combating terrorism and cross-border crime, OJ L 210/1 of 6.8.2008  
591  Council Decision 2008/616/JHA of 23 June  2008 on the implementation of Decision 
2008/615/JHA on the stepping up of cross-border cooperation, particularly in combating 
terrorism and cross-border  crime, OJ L 210/12 of 6.8.2008 
EN 457   EN implemented by Member States. As of this date , 10 Member States have been authorised by 
the Prüm Treaty's Council of Mini sters to exchange DNA; five to  exchange fingerprints data; 
and seven to exchange car registration data. The Commission is playing an active role in the 
rolling evaluation of this instrument and has recently launched its ambitious European Information Exchange Model exercise, which seeks to 'map' the current landscape of information exchange in the EU. This mapping ex ercise will later feed into the Commission's 
evaluation of the Prüm Decisions, which must be completed before 28 July 2012.  
14.14.2.  Evaluation based on the current situation 
It is to be noted that due to particular nature  of the third pillar legi slation, it takes a long time 
and several reminders - through Council Worki ng groups - before the Commission obtains the 
requested information, which often vary in terms of quality 
14.14.3.  Evaluation results: Priorities a nd planned action (2010 and beyond) 
A second Report on the implementation of th e Framework Decision 2003/568 on combating 
corruption in the private sector and a Re port on the implementati on of the Decision 
2007/845/JHA concerning cooperation between Asset Recovery Offices of the Member States 
in the field of tracing and identif ication of proceeds from, or other property related to, crime, 
are foreseen for 2010.  
With the entry into force of the Lisbon Treaty, other measures in support of implementation 
of former third pillar legisla tion could be envisaged (developi ng guidelines, regular meetings 
of national experts, using a ne twork of contact points or e xpert groups) depending on the 
particular instruments. As regards the Framework Decision 2005/22 2 on attacks against 
information systems, the annual meeting of cyber crime experts of Member States is likely to be partially used to discuss the state of play as regard s the implementation. 
15. TRADE 
Trade policy is governed by Article 207 of th e Treaty on the Functio ning of the Eruopean 
Union.  The bulk of the Community legislation in this field takes the form of regulations, for 
example, the basic anti-dumping and countervai ling duty regulations, the Generalised System 
of Preferences Regulation, the Trade Barri ers Regulation and the Import and Export 
Regulations.592  There are only two directives.  These dire ctives are Council Directive 
98/29/EC of 7 May 1998 on harmonisation of the main provisions conc erning export credit 
insurance for transactions with medium and long-term cover and Council Directive 
                                                
 
592  Council Regulation (EC) No 384/96  of 22 December 1995 on protec tion against dumped imports from 
countries not members of the European Community as amended; Council Regulation (EC) No 2026/97 of 6 
October 1997 on protection against subsidized imports from countries not members of the European Community 
as amended; Council Regulation (EC) No 732/2008 of 22 July 2008 applying a scheme of generalised tariff 
preferences for the period from 1 January 2009 to 31 December 2011 as amended; Council Regulation (EC) No 
3286/94 of 22 December 1994 laying down Community procedures in the field of the common commercial 
policy in order to ensure the exercise of the Community's  rights under international trade rules, in particular 
those established under the auspices of the World Trade Organization as amended; Council Regulation (EC) No 
260/2009 of 26 February 2009 on the common rules for imports and Council Regulation (EEC) No 2603/69 of 
the Council of 20 December 1969 es tablishing common rules for exports.  
EN 458   EN 84/568/EEC of 27 November 1984 concerning the re ciprocal obligations of export credit 
insurance organizations of  the Member States acting on behalf of the State or with its support, 
or of public departments acting in place of such  organizations, in the case of joint guarantees 
for a contract involving one or  more subcontracts in one or more Member States of the 
European Communities.  There were no infringements cases open during 2009 in the field of trade policy. 
It is not expected that there wi ll be any significant work required  on the transposition of these 
directives or other pote ntial infringements in 2010. 
16. ENLARGEMENT 
16.1. Current position - Most important legal instruments and related work and 
reporting on 2009 
16.1.1.  General instruction 
Enlargement policy is based on Article 49 TEU.  Association agreements with candidate 
countries or potential candidates may contain certain rights and obligations which are directly 
applicable under EU law. Viola tion of such provisions by a Me mber State could therefore be 
subject to infringement proceedings. 
This is in particular th e case for the 1963 EEC-Turkey A ssociation Agr eement, its 1970 
Additional Protocol and related Association Council Decisions, particularly Decision 1/80. 
The Stabilisation and Association Agreemen ts with the former Yugoslav Republic of 
Macedonia (2004), Croatia (2005), Albania (2009) and Montenegro (2010) fall into the same 
category of EU law, partly liable for trial in  the European Court of Justice as far as 
implementation or application by Member States is concerned. Similar agreements with the potential candidate countries Serbia and Bosnia  and Herzegovina have not yet entered into 
force. 
16.1.2.  Report of work done in 2009 
The Commission receives a lot of correspondence and complaints from citizens related to 
legal acts and agreements in the field of enlargement, including financial instruments. 
However, these cases mainly concern alleged viol ation of obligations by the third country or 
other matters not directly related to the appli cation of EU law by Member States. Recourse to 
infringement proceedings is therefore ve ry limited in the ar ea of enlargement. 
In a case on the interpretation of standsti ll clauses under the EEC -Turkey Association 
Agreement referred by a Dutch Court for prelim inary ruling, the ECJ found in its judgement 
of September 2009 that the Dutch legislation a nd practice to charge Turkish workers in the 
Netherlands markedly higher fees for issuing or  prolonging their residence permits than those 
required for EU nationals in a co mparable situation violates EU law. In a similar case referred 
to the Court by the Commissio n, a hearing was organised in November 2009, providing the 
basis for the Court to confirm and further deve lop its jurisprudence on standstill clauses also 
with regard to Turkish nationals benefiting fr om the Association Agreement's provisions on 
freedom of establishment and freedom to pr ovide services, in full compliance with the 
Commission's submissions . 
EN 459   EN In 2009, the Commission received ne w complaints related to the application and interpretation 
of certain provisions, including st andstill clauses, of the EEC/Turkey Association Agreement, 
which are being examined with the governments concerned. Following comprehensive explanations by the government, the Commi ssion continued to thoroughly assess possible 
infringements in several other cases, which con cern the compatibility of mandatory integration 
exams for Turkish nationals working in a Member State as well as the increase of the minimum 
age of Turkish citizens for issuing residence permits. 
16.2. Evaluation based on the current situation 
Since EU enlargement in 2004 and 2007, the complaints received wi th a view to infringement 
proceedings all concern the application of the EEC/Turkey Association Agreement. Taking into 
account the references to preliminary rulings pe nding at the Court, this confirms that the 
application and interpretation of this Association Agreement is still subject to a variety of legal 
arguments with regard to reside nce and work of Turkish citizens  in Member States. One of the 
reasons may be that Member States aim to lim it the migration of third country nationals and 
their family members without differentiating betw een various categories of  third countries and 
established rights of their nationals. 
Other Stabilisation and Association Agreements  with Western Balkan countries which have 
entered into force are, so far, not  subject to any infringement case. 
The number of complaints that may lead to in fringement cases has slightly increased but does 
not yet require additional prioritisation among them. 
16.3. Evaluation results 
There is only one priority in the area of en largement and that is the application of the 
EEC/Turkey Association Agreement. This pr iority remains unchanged given the limited 
number of cases. However, given the number of pending cases and the expected increase of 
complaints following recent judgements of th e Court on standstill clauses under the 
EEC/Turkey Association Agreement, Enlargemen t DG will increase in 2010 its resources in 
order to accelerate th e handling of cases. 
16.4. Summary by sector 
Infringement procedures in the area of enlarg ement are rare in comparison to other policy 
areas. All pending cases at the Court and the Commission concern the alleged violation of 
directly applicable provisions, particularly  standstill clauses,  under theEEC/Turkey 
Association Agreement. 
17. EUROSTAT 
17.1. Current position-  
The objective of having statistics of quality is  both an operational and a legal requirement 
insofar as European statistics production must respect the principles set out in Article 338 of 
the EU Treaty and in Regulation (EC) No 223/ 2009 of the European Parliament and of the 
EN 460   EN Council of 11 March 2009 on Europ ean statistics593, and in the va rious sectoral legislative 
instruments594 and responds to the following general approach. 
Moreover, in accordance with Decision 1578/2007/EC on the Community statistical 
programme 2008 to 2012595, compliance monitoring of  European legislation in the field of 
statistics is a specif ic objective of strategic importanc e for the medium to long-term 
development of European statistics: 
"The quality of Community statistics compri ses the fundamental requirement of compliance 
with the principles of the Treaty and the se condary legislation. Therefore, a vigorous and 
systematic monitoring of the application of the legislation is  a priority. A global and coherent 
compliance strategy structured around the princi ples of a realistic le gislative policy, the 
obligation of Member States to apply systematically the statistic al legislation and a coherent 
and systematic monitoring of compliance, will be followed.  Close contacts with the competent 
national authorities th roughout all of the phases is par t of the compliance process". 
17.2. Report on 2009 
Since 2006, several Reports (annual or biannual ) inform about the state of play and to 
recommend possible follow-up actions. In add ition, the ESS Committee (European Statistical 
System Committee) has been informed in 2009 of  the actions recently carried out in the field 
of compliance monitoring.  
Main outcome of the 2009 report: As for the previous years, the non-complianc e with the transmission deadlines remains the 
principal problem. However, and even if a large part  of the statistical legislation is affected by 
this transmission problem, constant work and frequent operational contacts allow a regular 
improvement of the resp ect of legislation.  
Furthermore, it appears also that the evaluation of quality remains a difficult exercise, even at 
operational level. However, Regulation (EC)  No 223/2009 establishes a new framework for 
quality (article 12) with a list of specific criteria which should be used for the assessment of 
quality. Those criteria should be  systematically included in all new statistical legislation 
through a standard article. 
 The improvement of the overall situation can  generally be confirmed. Member States in 
default are making serious efforts to fully comply  when they are challenged at suitable level. 
In most cases, Member States react positively to reminders. In several cases, a solution to the difficulties could be found thanks to reciprocal  collaboration with the National Institutes.  
                                                
 
593  OJ L 87, 31.3.2009, p. 164  
594  As an indication, the legal corpus in the field of statis tics comprises around 300 acts of 
secondary legislation, of which about one third ar e basic acts, i.e. acts of the Council and/or of 
the EP. 
595 Decision 1578/2007/EC of the European Pa rliament and the Council of 11 December 
2007 on the Community statistical programme 2008 to 2012 - Point 3.2 of Annex I – (OJ L 
344, 28.12.2007, p. 15). 
EN 461   EN It is important to notice that in order to as sure a complete follow up of compliance with 
European statistical legislation, there are also certain parallel systems in place which serve the 
purpose of assuring fulfilment of the comp lex methodological rules discussed through 
cooperation with Member States at different sectoral statistical Committees and expert 
Working Groups. 
Nevertheless, the Annual Compliance Monitoring  Reports do not encompass the issue of non-
compliance with methodological requirements esta blished by European st atistical legislation. 
17.3. Evaluation Results 
European statistical legislation is mainly composed of Regulations. In this area there only are 
5 Directives.  
Possible difficulties to apply European statis tical legislation are an ticipated and addressed 
when preparing any draft legislative proposal, wh ich is always the result of close cooperation 
with Member States. In addition, the measures of implementation of th e basic acts (as adopted 
by comitology procedures) are prepared and discussed with Member States.  
It is useful to stress that the obl igations of Member States in th e field of statistics are recurring 
and therefore need constant follow-up. Thanks to continuous collaborat ion with the Member 
States, Commission services are in a position to  know beforehand the possible difficulties that 
a Member State could encounter and can try addressing  these difficulties in  advance together 
with the responsible nationa l statistical authority.  
The partnership approach has so far led to clea r improvements. The administrative letters sent 
in the pre-infringement phase have indeed had a positive eff ect and the encouraging results 
show how useful and effective this strategy is. The successive reports confirmed that the 
Member States at fault are ma king a serious effort to comply when they are challenged at 
suitable level and that, in the majority of the cases, Member States react positively to formal 
reminders. Thus a solution to the difficulties coul d be found thanks to reciprocal collaboration 
between the National Institutes and Eurostat's services. 
It is worth noting that in May 2009, the Europe an Statistical System Committee expressed its 
support to this approach.  
17.3.1.  Priorities 
The main priority in this area concerns the e fficient co-operation with the Member States to 
improve the quality of European statistics (accuracy, timeliness and comparability being priorities for the ESS).  
Commission will pursue its policy, based on a co mprehensive and coherent approach that 
ensures follow-up and effective control of th e application of stat istical legislation.  
17.3.2.  Planned action 
The objective of having statistics of quality is both an operational objective and a legal 
requirement insofar as European statistics prod uction must respect the principles set out in 
Article 338 of the EU Treaty and in Regulation (EC) No 223/2009 of the European Parliament 
EN 462   EN and of the Council of 11 March 2009 on European statistics596 as  well as in the various 
sectoral legislative instruments.  
In the field of statistics, Commission services will continue to monitor the application of 
European legislation especia lly through bilateral meetings and discussions with Member 
States. 
Commission services will carry out this structured dialogue  with the ambition to ensure the 
full and correct application of statistical legi slation without having to recourse to formal 
infringement proceedings. 
Identified as an area in which improvements ar e needed on an ESS-wide scale, the ESS will 
join forces to invest in implementing E SS quality management t ools and guidelines. 
18. HUMAN  RESOURCES  AND  SECURITY 
18.1. Current position – Most important legal instruments and related work and 
reporting on 2009 
18.1.1.   Existing measures in force 
In the field of Human Resources , the Commission seeks to guara ntee that Community law is 
correctly applied to the staff of  the EU by ensuring that Member  States adopt legislation and 
implementing provisions in comp liance with the Protoc ol on Privileges and Immunities of the 
European Union and the Regulations and Rules app licable to officials and other servants of the 
EU. 
In particular, the following legal texts are applicable: Council Regulation (EEC, Euratom, ECSC) No 259/68 of 29 February 1968 and amendments 
thereto, 
The Protocol on the Privileges and Immunities of EU (PPI), annexed to the Treaty on the 
European Union of 1965, 
Other agreements between the European Co mmission and Member States regarding the 
functioning of the In stitutions' services. 
18.1.2.  Report of work done in 2009 
In 2009, the Commission pursued  infringement proceedings la unched in 2007 against Belgium 
in a case on the application of the Headquarters Agreement with the Commission and in another 
case the application of Article 3 of the PPI.  
An appeal was lodged with the Court of Justice (Case C-132/09) seeking a judgment to confirm 
that Belgium should comply w ith its undertaking, to subsidis e the cost of equipment for 
European Schools.  
                                                
 
596 OJ L 87, 31.3.2009, p. 164 
EN 463   EN Proceedings are on going which are directed agai nst national rules providing for the imposition 
of taxes on EU Institutions based in Brusse ls contrary to provisions providing for a tax 
exemption under Artic le 3 of the PPI. 
The Commission has continued to make additional arrangements for the transfer of pension 
rights for staff who had originally worked and acquired pension rights in Member States. This 
ongoing process has had a number of successes a nd some of the compet ent authorities have 
already fulfilled their obligations in this regard.  
18.2. Evaluation based on the current situation  
The measures which may require specific implementation / transposition work 
The Commission closely fo llows the evolution of policy in Me mber States as regards European 
Schools. As regards the transfer of pension rights, taking into ac count the direct applicability of 
the Staff Regulations, it has not so far been necessary to launch infringement proceedings 
against Member States which refuse or delay coming to an agreement regarding the implementation of the necessary pr ocedures for such transfers. 
The Commission continues to seek pro-active solutions outside or in parallel with the 
infringement procedure under Ar ticle 258 of the Treaty on th e functioning of the European 
Union. Contacts are regularly organised betwee n the institution's administration and the 
competent authorities of Member States to antic ipate and resolve matters  which could otherwise 
lead to such proceedings.  
19. BUDGET 
19.1. Current position – relevant legal instru ments and related work and reporting 
on 2009 
19.1.1.  Existing measures in force 
The EU budget is mainly financed through thre e own resources: traditional own resources, the 
VAT-based own resource and the complementar y resource based on Member States' GNI.  
In particular, the following legal texts are applicable: 
Article 311 of the consolidated Treaty (ex Article 269 TEC),  
Council Decision 2007/436/EC, Euratom on th e system of the Communities' own 
resources. 
Council Regulation (EC, Euratom) No 1150/2000 implementing the above decision, 
in its version of Council Regulation EC , Euratom No 105/2009 applicable from 
January 1, 2007. 
Council Regulation (EEC, Euratom) No 1553/89 on the definitive uniform 
arrangements for the collection of own resources accruing from value added tax. 
Additional budgetary receipts are obtained under Articles 3 and 4 of the Protocol on the 
Privileges and Immunities of EC (PPI), annexed to the consolidated Treaty as Protocol n° 7. 
EN 464   EN The main rules for budget execution are contai ned in Council Regulation (EC, Euratom) 
No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general 
budget of the European Communities in its version of Commissi on Regulation (EC, 
Euratom) No 652/2008 of 9 July 2008. This Re gulation is at present under review. 
19.1.2.  Report of work done in 2009 
19.1.2.1.  Main 2009 activities 
The area of Own resources is based upon dire ctly applicable Council Regulations and 
Decisions. Member States therefore need not  implement and transpose the concerned EU 
legislation into their national la w. However, conformity of app lication may be at risk due to 
different interpretation and non compliance. DG Budget aims at preven ting irregularities in 
Member States mainly via comprehensive control activities and legal and accounting follow-up of detected anomalies, in view of ensuring the correct functioning of  the EU own resources 
system. Consequently, the number of infringe ment files to be managed (ca. 30 or less on 
average) can be kept on a low level. In addition, Article 11 of Regulation 1150/2000 is a 
useful ally in assuring that Member States in  general make available own resources in due 
time since the amount of default interest to be paid under Article11 pr ogressively increases 
and may often exceed the principal cl aim depending upon the period of delay. 
In 2009, DG Budget detected 155 anomalies in the area of traditional ow n resources (of which 
115 in the course of on-the-spot inspections) and set 72 reservat ions in the area of VAT/GNI 
(= 72  VAT+ 0 GNI). Correspondingly, 240 accounting ac tions for traditional own resources 
and 201  for VAT/GNI (130 set and 71 lifted) were  generated for potential corrective 
payments (principal amounts and belated inte rest) by Member States. Most of the newly 
detected anomalies could be solved at an initi al stage in bilateral discussions with Member 
States, including senior level management m eetings, or in the A dvisory Committee on Own 
Resources. 
Regarding infringements, the principal activ ities in 2009 concerned the follow-up of earlier 
Court decisions and the contribution to pending ECJ cases, mainly relating to the 
infringement procedures concerning duty-free military importations which the Court decided 
in favour of the Commission on 15.12.2009 (apart  from the case concerning Portugal for 
which a comparable outcome is expected in th e run of 2010) and a pr iority case against 
Germany where a rapid Court answer is desira ble to whether the German authorities may 
refuse a request of the European Court of Auditors, for auditing the administrative VAT 
cooperation of Member States under  Council Regulation (EC) No 1798/2003.  
Where Member States do not establish own res ources or omit the recovery of established 
amounts, this failure risks to in crease the contributory charge of the other Member States. An 
equal treatment of Member States can only be  assured via a strictly monitoring by the 
Commission services and, if necessary, making use of infringement proceedings. There is 
hardly room for discretion under the aspect of political opportunity, and the waiving of claims 
due vis-à-vis Member States (A rticle 73(2) of Financial Regul ation) seems unlikely, if not 
impossible. DG Budget takes however legal acti on only if a satisfactory solution cannot be 
found in bilateral contacts and di scussions with Member States in the Advisory Committee for 
Own Resources. Where infringement situations  subsist and rare resources request for 
prioritization of treatment, the proceedings are followed-up according to their gravity and 
their impact on the budget.  
EN 465   EN 19.2. Evaluation based on the current situation 
As already underlined in earlier Annual Reports, Member States in general fully respect the 
budgetary legislation by contributing timely and correctly to the EU budget. The Court 
findings in decisions of the last decade in th e area of own resources have contributed to 
clarify still open interpretati on divergences mostly by confir ming the Commission's point of 
view. The common financing system of the EU budget thus has a stable fundament and 
infringement cases detected by the Commi ssion controllers usually  do not reflect any 
particular systemic problems in the application of EU law.  
19.3. Evaluation results 
19.3.1.  Priorities 
Taking into account the current situation as well as the cons traint to preserve a fair 
distribution of the budget financ ing charge between Member St ates and estimating that the 
number of infringement files can be kept at a low level by preventive control activities, DG 
Budget priorities will rema in the same: since any shortage of financing due to an infringement 
by one Member State may increase the budgetary  charge for the other Member States, no 
discretion will be available whether to start  an d to continue infringement proceedings while 
prioritization of infringements will be made acco rding to their gravity and their impact on the 
budget. 
19.4.  Summary 
The number of infringement cases managed by DG Budget has still decreased. In general, the 
legislative framework is stable since Member States take satisfactor ily account of the EU 
budgetary rules. Court case-law provides valuable guidance for their future application.  
EN 466   EN Annex I - List of measures in force and other relevant instruments referred to in the text 
of the document 
I.  ENTERPRISE AND INDUSTRY I.1. Chemicals REACH  and its implementing legislation are available through the following link: 
http://ec.europa.eu/ente rprise/sectors/chemicals/ documents/reach/index_en.htm
 
REACH and its links to prev ious legislation on restrict ions is available here:  
http://ec.europa.eu/enterprise/sectors/c hemicals/documents/reach/archives/market-
restrictions/index_en.htm  
 Legislation and documents related to the specific chemical sectors  are available at: 
http://ec.europa.eu/enterprise /sectors/chemicals/documents/ specific-chemicals/index_en.htm
 
 I.2. Pharmaceuticals In the pharmaceutical sector, the main m easures monitored by the Commission are: 
• Regulation (EC) No 726/2004 of  the European Parliament and of the Council, laying 
down Community procedures for the author isation and supervision of medicinal 
products for human and veterinary use and establishing a European Medicines Agency 
(EMEA); 
• Directive 2001/83/EC of the European Parliament and of the Council on the 
Community code relating to medicinal products for human use; 
• Directive 2001/20/EC of the European Parlia ment and of the Counc il on clinical trials, 
complemented by Commission Dir ectives 2003/94/EC and 2005/28/EC; 
• Regulation (EC) No 141/2000 of the Europe an Parliament and of the Council on 
orphan medicinal products, complemented  by Commission Regulation (EC) No 
847/2000; 
• Regulation (EC) No 1901/2006 of the Europ ean Parliament and of the Council on 
medicinal products for paediatric use; 
• Regulation (EC) No 1394/2007 of the Europ ean Parliament and of the Council on 
advance therapy medicinal products; 
• Directive 2001/82/EC of the European Parliament and of the Council on the 
Community code relating to veterinary medicinal products; 
• Regulation (EC) No 470/2009 of the European Parliament and of the Council of laying 
down Community procedures for the es tablishment of residue limits of 
pharmacologically active substa nces in foodstuffs of anim al origin, repealing Council 
Regulation (EEC) No 2377/90. 
EN 467   EN  
I.3. Medical devices Regulatory Framework:  http://ec.europa.eu/enterprise /sectors/medical-devices/reg ulatory-framework/index_en.htm
 
 I.4. Cosmetics Cosmetics Regulatory Framework: http://ec.europa.eu/enterp rise/sectors/cosmetics/regul atory-framework/index_en.htm
 
 I.5. Textiles/clothing The relevant legislation can be  found at the following webpage: 
http://ec.europa.eu/enterprise/sectors /textiles/single-market/textiles-names-
legislation/index_en.htm  
 I.6. Non-harmonised area Treaty Articles: http://ec.europa.eu/enterprise /policies/single-mar ket-goods/files/treatie s/tfeu_en.pdf#page=15
  
Regulation Mutual recognition regulation http://eur-lex.europa.eu/LexUriServ/L exUriServ.do?uri=OJ:L:2008:218:0021:0029:en:PDF
 
 II.  EMPLOYMENT, SOCIAL AF FAIRS AND EQUAL OPPORTUNITIES  
List of measures in force 
II.1. Free movement of workers and coor dination of social security schemes 
II.1.1. Free movement of workers – Art. 45 TFEU (ex-39 TEC) 
– Regulation (EEC) No 1612/68 of the Council of 15 October 1968 on freedom of movement 
for workers within the Community. A codificati on of this regulation is under way and the 
preparatory work is in an advanced stage.  
EN 468   EN – Directive 2004/38/EC of the Eu ropean Parliament and of th e Council of 29 April 2004 on 
the right of citizens of the Union and their family members to move  and reside freely 
within the territory of the Member States.  
II.1.2 Social Security  – Article 48 TFUE (ex-42 TEC) 
– Regulation (EEC) No 1408/71 of the Council of 14 June 1971 on the app lication of social 
security schemes to employed persons, self-emp loyed persons and to the members of their 
families moving within the Community.  
– Regulation (EC) No 859/2003 of the Council of  14 May 2003 extending the provisions of 
Regulation (EEC) No 1408/71 and Regulation (EEC) No 574/72 to nationals of third 
countries who are not already covered by t hose provisions solely on the ground of their 
nationality. 
– Regulation (EC) No 883/2004 of the European Parliament and of the Council of 29 April 
2004 on the coordination of so cial security schemes. 
Recently adopted measures due to enter into for ce in the sector of the coordination of social 
security systems 
– Regulation (EC) No 987/2009 of the European  Parliament and of the Council of 16 
September 2009 laying down the procedure for implementing Regulation (EC) No 
883/2004 on the coordination of social security systems. 
– Regulation (EC) No 988/2009 of the European  Parliament and of the Council of 16 
September 2009 amending Regulation (EC) No  883/2004 on the coordination of social 
security systems, and determining the content of its Annexes. 
New measures already proposed and due to be adopt ed in the sector of the coordination of 
social security systems 
– Proposal for a Regulation of the Council extend ing the provisions of Regulation (EC) No 
883/2004 and of Regulation (EC) No 987/2009 to na tionals of third countries who are not 
already covered by those provisions sole ly on the ground of their nationality. 
II.2. Labour Law II.2.1. Working conditions – Directive 96/71/EC597 of the European Par liament and of the Council of 16 December 
1996 concerning the posting of workers in the framework of the provision of services 
– Council Directive 97/81/EC598 of 15 Decem ber 1997 concerning the Framework 
Agreement on part-time work concluded by UNICE, CEEP and the ETUC - Annex : 
Framework agreement on part-time work; 
                                                
 
597 OJ L 18, 21.1.1997, p. 1–6 
EN 469   EN – Council Directive 98/23/EC599 of  7 April 1998 on the extensio n of Directive 97/81/EC on 
the framework agreement on part-time work concluded by UNICE, CEEP and the ETUC 
to the United Kingdom of Great Britain and Northern Ireland; 
– Council Directive 1999/70/EC600 of 28 June 1999 concerning the framework agreement 
on fixed-term work concluded by ETUC, UNICE and CEEP; 
– Council Directive 1999/63/EC601 of 21 June  1999 concerning the Agreement on the 
organisation of working time of seafarers concluded by  the European Community 
Shipowners Association (ECSA)  and the Federation of Transport Workers' Unions in the 
European Union (FST); 
– Council Directive 2000/79/EC602 of 27 Nove mber 2000 concerning the European 
Agreement on the Organisation of Working Ti me of Mobile Workers in Civil Aviation 
concluded by the Association of European Airlines (AEA), the European Transport 
Workers' Federation (ETF), the European Cockpit Association (ECA), the European 
Regions Airline Association (ERA) and the In ternational Air Carrier Association (IACA); 
– Directive 2003/88/EC603 of the European Parl iament and of the Council of 4 November 
2003 concerning certain aspects of th e organisation of working time; 
– Council Directive 2005/47/EC 604 of 18 July 2005 on the Agreement between the 
Community of European Railways (CER) and the European Transport Workers’ 
Federation (ETF) on certain aspects of the wo rking conditions of mobile workers engaged 
in interoperable cross-border se rvices in the railway sector; 
– Directive 2008/104/EC605 of European Parliament and of the Council of 19 November 
2008 on temporary agency work. 
– Council Directive 2009/13/EC implementing th e Agreement concluded by the European 
Community Shipowners' Associations (ECSA)  and the European Transport Workers' 
Federation (ETF) on the Maritime Labour Convention, 2006 and amending Directive 
1999/63/EC 
II.2.2. Information and consultation of workers 
                                                                                                                                                         
598 OJ L 14, 20.1.1998, p. 9–14 599 OJ L 131, 5.5.1998, p. 10–10 600 OJ L 244, 16.9.1999, p. 64–64 601 OJ L 167, 2.7.1999, p. 33–37 602 OJ L 302, 1.12.2000, p. 57–60 603 OJ L 299, 18.11.2003, p. 9–19 604 OJ L 195, 27.7.2005, p. 15–17 605 OJ L 327, 5.12.2008, p. 9-14 
EN 470   EN – Council Directive 94/45/EC606 of  22 September 1994 on the esta blishment of a European 
Works Council or a procedure in Commun ity-scale undertakings and Community-scale 
groups of undertakings for the purposes of informing and consulting employees; 
– Council Directive 97/74/EC607 of 15 December 1997 extending, to the United Kingdom 
of Great Britain and Northern Ireland, Di rective 94/45/EC on the establishment of a 
European Works Council or a procedur e in Community-scale undertakings and 
Community-scale groups of undertakings for the purposes of informing and consulting 
employees 
– Council Directive 2006/109/EC608 of 20 November 2006 adapting Directive 94/45/EC on 
the establishment of a European Works Co uncil or a procedure in Community-scale 
undertakings and Community-scale groups of undertakings for the purposes of informing 
and consulting employees, by reason of the accession of Bulgaria and Romania; 
– Council Directive 2001/86/EC609 of 8 Octobe r 2001 supplementing the Statute for a 
European company with regard to the involvement of employees; 
– Council Directive 2003/72/EC610 of 22 July 2003 supplemen ting the Statute for a 
European Cooperative Society with rega rd to the involvement of employees; 
– Directive 2002/14/EC611 of the European Pa rliament and of the Council of 11 March 
2002 establishing a general framework for in forming and consulting employees in the 
European Community - Joint declaration of the European Parliament, the Council and the 
Commission on employee representation; 
– Directive 2009/38/EC on the establishment of a European Works Counc il or a procedure in 
Community-scale undertakings and Community -scale groups of undertakings for the 
purposes of informing and consulting employees (Recast). 
II.2.3. Protection of workers – Council Directive 91/383/EEC612 of 25 June  1991 supplementing the measures to 
encourage improvements in the safety and health  at work of workers with a fixed- duration 
employment relationship or a te mporary employment relationship; 
                                                
 
606 OJ L 254, 30.9.1994, p. 64–72 607 OJ L 365, 31.12.1994, p. 46–51 608 OJ L 363, 20.12.2006, p. 416–417 609 OJ L 294, 10.11.2001, p. 22–32 610 OJ L 207, 18.8.2003, p. 25–36 611 OJ L 80, 23.3.2002, p. 29–34 612 OJ L 206, 29.7.1991, p. 19–21 
EN 471   EN – Council Directive 91/533/EEC 613 of 14 October 1991 on an employer's obligation to 
inform employees of the conditions applicable to the contract or em ployment relationship; 
– Council Directive 94/33/EC614 of 22 June 1994 on the protection of young people at 
work; 
– Council Directive 98/59/EC615 of  20 July 1998 on the approximation of the laws of the 
Member States relating to  collective redundancies; 
– Directive 2008/94/EC616 of the European Parl iament and of the Council of 22 October 
2008 on the protection of employees in the ev ent of the insolvency of their employer 
(codified version); 
– Council Directive 2001/23/EC617 of 12 March 2001 on the approximation of the laws of 
the Member States relating to the safeguard ing of employees' rights in the event of 
transfers of undertakings, businesses or parts of undertakings  or businesses; 
II.2.4. Implementation and application reports  – Implementation reports concerning the trans position of Directives 91/383/EEC, 97/81/EC, 
1999/70/EC, 96/71/EC in the 10 new Member States 
– Implementation reports concerning the transposition of Directives 2001/23/EC and 
80/987/EC (as amended by 2002/74/EC) in all 25 Member States 
– Implementation reports concerning Direc tives 91/533/EEC, 94/45/EC (extended by 
97/74/EC) and 98/59/EC in the 10 new Member States 
– Implementation reports concerning Direct ives 2001/86/EC, 2002/14/EC and 2003/72/EC 
in all 25 Member States 
– Implementation reports concerning Directives  94/33/EC and 2003/88/EC in the 10 new 
Member States 
– Implementation report concer ning Directive 2000/34/EC in the EU-15 Member States 
– Implementation reports concerning Directiv es 1999/63/EC, 2000/79/EC in all 25 Member 
States 
II.3. Health and safety at work 
                                                
 
613 OJ L 288, 18.10.1991, p. 32–35 614 OJ L 216, 20.8.1994, p. 12–20 615 OJ L 225, 12.8.1998, p. 16–21 616 OJ L 283, 28.10.2008, p. 36-42 617 OJ L 82, 22.3.2001, p. 16–20 
EN 472   EN – Directive 89/391/EEC618 of 12 June 1989 on the introductio n of measures to encourage 
improvements in the safety and health of workers at work; 
– Council Directive 89/654/EEC619 of 30 November 1989 concerning the minimum safety 
and health requirements for the workplace (first individual directive within the meaning of 
Article 16(1) of Directive 89/391/EEC); 
– Directive 2009/104/EC620 of the European Par liament and of the Council of 16 September 
2009 concerning the minimum safety and hea lth requirements for the use of work 
equipment by workers at work (second individua l Directive within the meaning of Article 
16(1) of Directive 89/391/EEC  – Codification of Directive 89/655/EEC, as amended by 
Directives 95/63/EC and 2001/45/EC); 
– Council Directive 89/656/EEC621 of 30 November 1989 on the minimum health and safety 
requirements for the use by workers of person al protective equipment at the workplace 
(third  individual directive w ithin the meaning of Article 16( 1) of Directive 89/391/EEC);  
– Council Directive 90/269/EEC622 of 29 May 1990 on the mini mum health and safety 
requirements for the manual handling of loads wh ere there is a risk particularly of back 
injury to workers (fourth individual directive within the meaning of Article 16(1) of Directive 89/391/EEC);       
– Council Directive 90/270/EEC
623 of 29 May 1990 on the mini mum safety and health 
requirements for work with display screen equi pment (fifth individual directive within the 
meaning of Article 16(1) of Directive 89/391/EEC);  
– Directive 2004/37/EC624 of the European Parliament and of the Council of 29 April 2004 
on the protection of workers from the risks rela ted to exposure to carcinogens or mutagens 
at work (sixth individual directive within  the meaning of Article  16(1) of Directive 
89/391/EEC - Codification of Directive 90/394/EEC); 
– Directive 2000/54/EC625 of the European Parliament a nd of the Council of 18 September 
2000 on the protection of workers from risks re lated to exposure to biological agents at 
work (seventh individual directive within the meaning of Article  16(1) of Directive 
89/391/EEC) - Codification of Directive 90/679/EEC);  
                                                 
618  OJ L 183, 29.6.1989, p.1. 619  OJ L 393, 30.12.1989, p.1. 620  OJ L 260, 3.10.2009, p. 5. 621  OJ L 393, 30.12.1989, p.18. 622  OJ L 156, 21.6.1990, p.9. 623  OJ L 156,21.6.1990, p.14. 624  OJ L 229, 29.6.2004, p.23. 625  OJ L 262, 17.10.2000, p.21. 
EN 473   EN – Council Directive 92/57/EEC626 of 24 June 1992 on the implementation of minimum safety 
and health requirements at temporary or mo bile construction site s (eight individual 
directive within the meaning of Arti cle 16(1) of Direct ive 89/391/EEC);  
– Council Directive 92/58/EEC627 of 24 June 1992 on the mi nimum requirements for the 
provision of safety and/or he alth signs at work (ninth individual Directive within the 
meaning of Article 16(1) of  Directive 89/391/EEC);   
– Council Directive 92/91/EEC628 of 3 November 1992 c oncerning the minimum 
requirements for improving the safety and hea lth protection of workers in the mineral-
extracting industries through dril ling (eleventh individual direc tive within the meaning of 
Article 16(1) of Directive 89/391/EEC );     
– Council Directive 92/104/EEC629 of 3 December 1992 on the minimum requirements for 
improving the safety and health protection of workers in surface and underground mineral-extracting industries (twelfth i ndividual directive within the meaning of Article 16(1) of 
Directive 89/391/EEC);          
– Council Directive 93/103/EC
630 of 23 November 1993 concerning the minimum safety and 
health requirements for work on board fish ing vessels (thirteent h individual directive 
within the meaning of Article 16( 1) of Directive 89/391/EEC);  
– Council Directive 98/24/EC631 of 7 April 1998 on the protection of the health and safety of 
workers from the risks related to chemical ag ents at work (fourteen th individual directive 
within the meaning of Article 16(1) of Directive 89/391/EEC); 
Commission Directives establishing in dicative exposure limit values: 
– Commission Directive 91/322/EEC632 of 29 May 1991 on establis hing indicative limit 
values by  implementing Council Directive 80/1107/EEC on the protection of workers from the risks related to e xposure to chemical, physical a nd biological agents at work 
– Commission Directive 2000/39/EC
633 of 8 June 2000 establishing a first list of indicative 
occupational exposure limit values in implem entation of Council Directive 98/24/E on the 
                                                 
626  OJ L 245, 26.8.1992, p.6. 627  OJ L 245, 26.8.1992, p.23. 628  OJ L 348, 28.11.1992, p.9. 629  OJ L 404, 31.12.1992, p.10. 630  OJ L 307, 13.12.1993, p.1. 631  OJ L131, 5.5. 1998, p.11. 632  OJ L177, 5.7. 1991, p.22. 633  OJ L 142, 16.6.2000, p.47. 
EN 474   EN protection of the health and safety of workers from the risks related to chemical agents at 
work 
–  Commission Directive 2006/15/EC634 of 7 February 2006 esta blishing a second list of 
indicative occupational exposure limit values  in implementation of Council Directive 
98/24/EC and amending Directiv es 91/322/EEC and 2000/39/EC 
– Commission Directive 2009/161/EU635 of 17 December 2009 estab lishing a third list of 
indicative occupational exposure limit values  in implementation of Council Directive 
98/24/EC and amending Commi ssion Directive 2000/39/EC 
– Directive 1999/92/EC636 of the European Parliament and of the Council of 16 December 
1999 on minimum requirements for improving the safety and health protection of workers 
potentially at risk from expl osive atmospheres (fifteenth i ndividual directive within the 
meaning of Article 16(1) of Directive 89/391/EEC) 
– Directive 2002/44/EC637 of the European Parliament a nd of the Council of  25 June 2002 on 
the minimum health and safety requirements regarding the exposure of workers to the risk arising from physical ag ents (vibration) (sixteenth indivi dual directive within the meaning 
of Article 16(1) of Directive 89/391/EEC); 
– Directive 2003/10/EC
638 of the European Parliament a nd of the Council of 6 February 
2003 on the minimum health and safety requireme nts regarding the exposure of workers to 
the risk arising from physical agents (noise ) (seventeenth individual directive within the 
meaning of Article 16(1) of Directive 89/391/EEC); 
– Directive 2004/40/EC639 of the European Parliament and of the Council of 29 April 2004 
on the minimum health and safety requirement s regarding the exposure of workers to the 
risks arising from physical agents (electro magnetic fields) (18th individual Directive 
within the meaning of Article 16(1) of Dir ective 89/391/EEC), ); as amended by Directive 
2008/46/EC640 
– Directive 2006/25/EC641 of the European Parliament a nd of the Council of 5 April 2006 on 
the minimum health and safety requirements regarding the exposure of workers to risks 
                                                 
634  OJ L 38, 9.2.2006, p.36. 635  OJ L 338 of 19.12.2009, p. 87. 636  OJ L 23, 28.1.2000, p.57. 637  OJ L 177, 6.7.2002, p.13. 638  OJ L 42, 15.2.2003, p.38. 639  OJ L 184, 24.5.2004, p.1. 640  
OJ L 114, 26.4.2008, p. 88  
641  OJ L 114, 27.4.2006, p.38. 
EN 475   EN arising from physical agen ts (artificial optical radiation) (19th indivi dual Directive within 
the meaning of Article 16(1) of Directive 89/391/EEC); 
– Council Directive 92/29/EEC642 of 31 March 1992 on the minimum safety and health 
requirements for improved medical treatment on board vessels; 
– Council Directive 83/477/EEC643 of 19 September 1983 on the protection of workers from 
the risks related to exposure to asbestos at work, as amended by: 
– Council Directive 91/382/EEC644 of 25 June 1991 amending directive 83/477/EEC on the 
protection of workers from the risks rela ted to exposure to asbestos at work, 
– Directive 2003/18/EC645, of the European Parliament a nd of the Council of 27 March 2003 
amending Council directive 83/4 77/EEC on the protection of workers from the risks 
related to exposure to asbestos at work; 
– Directive 2007/30/EC646 of the European Parliament and of the Council of  20 June 2007 
amending Council Directive 89/391/EEC, its indi vidual Directives and Council Directives 
83/477/EEC, 91/383/EEC, 92/29/EEC and 94/33/EC with a view to simplifying and 
rationalising the reports on practical implementation. 
II.4. Gender equality and anti-discrimination II.4.1. Gender equality – Article 157 TFUE 
– Directive 2006/54/EC647 of the Eu ropean Parliament and of th e Council of 5 July 2006 on 
the implementation of the principle of equa l opportunities and equal treatment of men and 
women in matters of employment and occupation (recast) 
– Council Directive 2004/113/EC648 of 13 December 2004 implementing the principle of 
equal treatment between men and women in th e access to and supply of goods and services 
– Council Directive 96/34/EC649 of 3 June 1996 on the framew ork agreement on parental 
leave concluded by UNICE, CEEP and the ETUC 
                                                
 
642  OJ L 113, 30.4.1992, p.19. 643  OJ L 263, 24.9.1983, p.25. 644  OJ L 206, 29.7.1991, p.16. 645  OJ L 97, 15.4.2003, p.48. 646  OJ L 165, 27.6.2007, p.21. 647 OJ L 204, 26.7.2006 648 OJ L 373, 21.12.2004 
EN 476   EN – Council Directive 92/85/EEC650 of 19 October 1992 on the introduction of measures to 
encourage improvements in the safety and health  at work of pregnant workers and workers 
who have recently given birth or are breastfeeding (tenth individual Directive within the 
meaning of Article 16 (1) of Directive 89/391/EEC) 
– Council Directive 86/613/EEC651 of  11 December 1986 on the app lication of the principle 
of equal treatment between men and women e ngaged in an activity, including agriculture, 
in a self-employed capacity, and on the protection of self-employed women during 
pregnancy and motherhood 
– Council Directive 79/7/EEC652 of 19 December 1978 on the progressive implementation 
of the principle of equal tr eatment for men and women in matters of social security 
II.4.2. Anti-discrimination – Article 19 TFUE 
– Council Directive 2000/78/EC653 of  27 November 2000 establishing a general framework 
for equal treatment in employment and occupation 
– Council Directive 2000/43/EC654 of 29 June 2000 implementing the principle of equal 
treatment between persons irrespecti ve of racial or ethnic origin 
 III.  ENERGY III.1. Legislation in force A full description of the legal basis for c ontrolling the application of the Community acquis  
on energy was provided in the context of the 25
th Report (Annex I, paragraph 2.1). 
The texts of current Community legislation on energy are available in section 12 of the EUR-
Lex database 
http://eur-lex.europa.e u/en/legis/20100301/chap12.htm  
 
                                                                                                                                                         
649 OJ L 145, 19.6.1996 650 OJ L 348, 28.11.1992 651 OJ L 359, 19.12.1986 652 OJ L 6, 10.1.1979 653 OJ L 303, 2.12.2000 654 OJ L 180, 19.7.2000 
EN 477   EN Euratom 
Primary Law: Euratom Treaty A number of provisions of the Treaties vest the Commission with specific powers: 
– Article 33 Euratom Treaty : Verification of conformity of dr aft legislation in the field of 
radiation protection and education an d training (the Commission may issue 
recommendations). 
– Article 37 Euratom Treaty :  Assessment of national plans fo r the release of radioactive 
waste into the environment, be fore approval by the national aut horities (the Commission shall 
deliver an opinion). 
– Article 38 Euratom Treaty : In cases of urgency, the Comm ission shall issue a directive 
requiring the Member State concerned to take , within a period laid down by the Commission, 
all necessary measures to prevent infringeme nt of the basic standards and to ensure 
compliance with regulations. Article 38 of the Euratom Treaty institutes also a special derogative procedure from the general infri ngement procedure, allowing the Commission or 
any Member State concerned to bring the matter before the Court of Justice if the State in 
question fails to comply with the Commission di rective within the pe riod laid down therein. 
– Articles 41/43 Euratom Treaty : This notification proce dure on nuclear investments 
requires that any new investment related to nuclear activities has to be communicated to the 
Commission which shall, in return, send its  views to the Member State concerned. 
– Article 77 Euratom Treaty :  The Commission shall satisfy itsel f that, in the territories of 
member states, (a) ores, source materials and sp ecial fissile materials are not diverted from 
their intended uses as declared by the users;  (b) the provisions relating to supply and any 
particular safeguarding obligations assu med by the Community under an agreement 
concluded with a third state or an inte rnational organisation are complied with. 
– Article 78 Euratom Treaty :  Operators shall declare to the Commission the basic 
technical characteristics of the installations, to the exte nt that knowledge of these 
characteristics is necessary for the attainme nt of the objectives set out in Article 77. 
– Article 81 Euratom Treaty :  The Commission's nuclear in spectors (Commission's staff!) 
shall at all times have access to all places and da ta and to all persons who, by reason of their 
occupation, deal with materials, equipment or in stallations subject to the safeguards. If the 
carrying out of an inspection is opposed, it can be  carried out compulsorily (after decision of 
the president of the Court of Justice; or, eve n, after Commission's written order, if there is 
danger in delay). 
– Article 82 Euratom Treaty : 
In case of infringement to  the safeguards provisions 
established by its safeguards inspectors, th e Commission may issue a directive calling upon 
the Member State concerned to take, by a tim e limit set by the Commission, all measures 
necessary to bring such infringe ment to an end. Possible direct  referral of the matter to the 
Court of Justice, if the Member State in question does not comply with the Commission 
directive in the timeframe set up therein, in derogation from the general infringement procedure. 
EN 478   EN – Article 83 Euratom Treaty : In the event of an infringeme nt on the part of persons or 
undertakings of the obligations on nuclear  safeguards, the Commission may impose the 
following sanctions, in order of severity : (a) a wa rning ; (b) the withdrawal  of special benefits 
such as financial or technical assistance ; (c ) the placing of the undertaking for a period not 
exceeding four months under the administratio n of a person or board appointed by common 
accord of the Commission and the state having ju risdiction over the undertaking; (d) total or 
partial withdrawal of source materials or special fissile materials. 
– Article 103  Euratom Treaty : assessment of draft international agreements in the fields of 
the Euratom Treaty (the Commission may issue co mments on the drafts) 
– Article 145  Euratom Treaty : if the Commission considers that a person or undertaking 
has committed an infringement of this Treaty (oth er than to the safeguards provisions), it shall 
call upon the member state having jurisdiction  over that person or undertaking to cause 
sanctions to be imposed in respect of the infri ngement in accordance with its national law. If 
the state concerned does not comply with such  a request within the period laid down by the 
Commission, the latter may bring an action be fore the Court of Ju stice to have the 
infringement of which the person or  undertaking is accused established. 
Secondary law 
The Community acquis  related to Title II, Chapter 3, can be consulted in section 15 of the 
EUR-Lex database, the Community acquis  (heading 15.10.20.10 "Nuclear Safety and 
Radioactive Waste"). 
http://eur-lex.europa.e u/en/legis/20100301/chap15102010.htm  
A comprehensive list of acquis  and case-law related to the Eu ratom Treaty can be consulted 
in the annexes to the Commission staff working paper (SEC (2007) 347) accompanying the Communication on the 50 years of the Eu ratom Treaty (COM(2007) 124 final) at  
http://eur-lex.europa.eu/LexUriServ/L exUriServ.do?uri=CELEX:52007SC0347:EN:NOT
 
 
III.2. Legislation adopted in 2009 
Internal electricity and gas market  
Directive 2009/72/EC of the European Par liament and of the Council of 13 July 2009 
concerning common rules for the internal market in electricity and repealing 
Directive 2003/54/EC (OJ L 211, 14.8.2009) 
Directive 2009/73/EC of the European Par liament and of the Council of 13 July 2009 
concerning common rules for the internal market in natural gas and repealing 
Directive 2003/5(/EC (OJ L 211, 14.8.2009) 
Regulation (EC) No 713/2009/EC of the Eur opean Parliament a nd of the Council of 
13 July 2009 establishing an Agency fo r the Cooperation of Energy Regulators 
(OJ L 211, 14.8.2009) 
EN 479   EN Regulation (EC) No 714/2009 of the European Parliament and of the Council of 13 
July 2009 on conditions for access to the network for cross-border exchanges in electricity and repealing Regula tion (EC) No 1228/2003 (OJ L 211, 14.8.2009) 
Regulation (EC) No 715/2009 of the European Parliament and of the Council of 13 
July 2009 on conditions for access to the natural gas transmissions networks and repealing Regulation (EC) No 1775/2005 (OJ L 211, 14.8.2009) 
Coal and Oil
 
Council Directive 2009/119/EC  of 14 September 2009 imposing an obligation on 
Member States to maintain minimum stocks of crude oil and/or petroleum products (OJ L 265, 9.10.2009) 
Renewable energy sources
 
Directive 2009/28/EC of the European Par liament and of the Council of 5 June 2009 
on the promotion of the use of energy fr om renewable sources and amending and 
subsequently repealing Directives 2001/77/EC and 2003/30/EC (OJ L 140, 5.6.2009) 
Energy efficiency of products
 
Directive 2009/125/EC of the European Par liament and of the Council of 21 October 
2009 establishing a framework for the setting of ecodesign requirements for energy-related products (OJ L 285, 21.10.2009) 
Regulation (EC) No 1222/2009 of  the European Parliament and of the Council of 25 
November 2009 on the labelling of tyres with  respect to fuel efficiency and other 
essential parameters (OJ L 342, 22.12.2009) 
Commission Regulation (EC)  No 643/2009 of 22 July 2009 implementing Directive 
2005/32/EC of the European Parliament and of the Council with regard to 
ecodesign requirements for household re frigerating appliances (OJ L 191, 
23.7.2009) 
Commission Regulation (EC)  No 642/2009 of 22 July 2009 implementing Directive 
2005/32/EC of the European Parliament and of the Council with regard to 
ecodesign requirements for televisions (OJ L 191, 23.7.2009) 
Commission Regulation (EC)  No 641/2009 of 22 July 2009 implementing Directive 
2005/32/EC of the European Parliament and of the Council with regard to 
ecodesign requirements for glandless st andalone circulators and glandless 
circulators integrated in products (OJ L 191, 23.7.2009) 
Commission Regulation (EC)  No 640/2009 of 22 July 2009 implementing Directive 
2005/32/EC of the European Parliament and of the Council with regard to 
ecodesign requirements for elec tric motors (OJ L 191, 23.7.2009) 
Commission Regulation (EC)  No 278/2009 of 6 April 2009 implementing Directive 
2005/32/EC of the European Parliament and of the Council with regard to 
EN 480   EN ecodesign requirements for no-load condition electric power consumption and 
average active efficiency of exte rnal power supplies (OJ L 93, 7.4.2009) 
Commission Regulation (E C) No 245/2009 of 18 March 2009 implementing 
Directive 2005/32/EC of the European Parl iament and of the Council with regard 
to ecodesign requirements for fluorescent lamps without integrated ballast, for 
high intensity discharge lamps, and for ba llasts and luminaires able to operate 
such lamps, and repealing Directive 2000/ 55/EC of the Europ ean Parliament and 
of the Council (OJ L 76, 24.3.2009) 
Commission Regulation (E C) No 244/2009 of 18 March 2009 implementing 
Directive 2005/32/EC of the European Parl iament and of the Council with regard 
to ecodesign requirements for non-di rectional household lamps (OJ L 76, 
24.3.2009) 
Commission Regulation (EC) No 107/ 2009 of 4 February 2009 implementing 
Directive 2005/32/EC of the European Parl iament and of the Council with regard 
to ecodesign requirements for simple set-top boxes (OJ L 36, 5.2.2009) 
Euratom  
Binding acquis  
Council Directive 2009/71/Euratom of 25 June 2009 establishing a Community 
framework for the nuclear safety of  nuclear installations (OJ L 172, 2.7.2009) 
Council Regulation (EC) No 1048/2009 of 23 October 2009 amending Regulation 
(EC) No 733/2008 on the conditions governin g imports of agri cultural products 
originating in third countries following the accident at the Chernobyl nuclear 
power station (OJ L 290, 6.11.2009) 
Commission Decision on fi nancing for the decomm issioning programmes for 
Ignalina, Bohunice and Kozloduy (C(2009) 7614) 
Non-binding acquis  
Communication from the Commission to the Council and the European Parliament - 
Communication on nuclear non-prolif eration (COM(2009) 143 final) 
Commission Recommendation 2009/120/Eu ratom of 11 Fe bruary 2009 on the 
implementation of a nuclear material accountancy and c ontrol system by operators 
of nuclear installations (OJ L 41, 12.2.2009) 
Commission Recommenda tion 2009/527/Euratom  of 7 July 2009 for a secure and 
effective system of transmission of doc uments and information relating to the 
provisions of Council Directiv e 2006/117/Euratom (OJ L 177, 8.7.2009)  
Council Decision issuing directives to the Commission for the re-negotiation of the 
Agreement between the European Atomic  Energy Agency Community (Euratom) 
and the Government of Canada for cooperation in the peaceful uses of atomic energy (not public)  
EN 481   EN Council Decision for the negotiation of an Agreement between the European Atomic 
Energy Community and the Russian Federa tion for cooperation in the peaceful 
uses of nuclear energy (not public) 
III.3. New measures proposed or in preparation in 2009 
Security of supply – gas  
Proposal for a Regulation of the European Parliament and of the Council concerning 
measures to safeguard security of gas supply and repealing Directive 2004/67/EC 
(COM(2009)363) 
Euratom  
Legislative proposal on the management  of spent fuel and radioactive waste:  
Based on the 2004 proposal for a Council Directive (Euratom)655, a revised 
legislative proposal on the management of  spent nuclear fuel and radioactive 
waste is being prepared. Th e revised legislative proposal is aiming at achieving 
and maintaining a high uniform level of safe management of radioactive waste 
and spent fuel throughout the Community as well as providing requirements for 
the establishment of comprehensive nati onal programmes for the management of 
radioactive waste and spent fuel. The dr afting of an Impact Assessment Report 
has been started, supported by an Inter-Service Steering Group.  In addition to the broad and very positive stakeholder input  received already further consultations 
are underway. In addition, a public consulta tion is planned for early 2010. A first 
draft report could be submitted to the Impact Assessment Board in May 2010. 
Proposal of Revision and recast of the Basic Safety Standards:  The revision of 
the Basic Safety Standards is also the oppor tunity for the consolidation of existing 
radiation protection legislation involving f our other Directives and incorporating 
one Commission Recommendation. In 2009 th e revision and recast of the BSS 
Directive made very good progr ess. The draft text of the Directive is complete and 
in an advanced stage. The Article 31 Group of Experts is expected to finalise their 
opinion in February 2010.  
Proposal for a Council Regulation (Euratom) establishing a community system 
for Registration of carriers of radioactive materials: The objective is to 
harmonise reporting and authorisation re quirements of carriers of radioactive 
materials under the Basic Safety Standard s Directive and thereby in particular 
facilitate transports of life-saving radi oisotopes while keeping up the high safety 
standards reached and increasing transparency of carri ers and authorities involved. 
The Impact Assessment Board and the Ar t. 31 Group of experts have approved 
the impact assessment report and the first draft of the proposal. 
Revision of the Commission recommendation  on the implementation of Art. 37 
of the Euratom Treaty:  The aim of the revisi on of the recommendation
 
1999/829/Euratom is, on the basis of the e xperience gained, to clarify, simplify 
and improve the provisions of the current Commission recommendation. The 
                                                 
655  COM(2004)526final 
EN 482   EN consolidated draft revised text is planne d to be presented in April 2010 to the 
Article 37 Group of Experts. The fi nal revised Commission recommendation 
should be adopted mid 2010.  
Negotiating mandate for a Euratom-Australia cooperation agreement : The 
proposal of a Council Decision on the new mandate to renegotiate the Euratom-
Australia agreement, due to expire in 2012, was prepared by inter-service 
consultation. It is to be a dopted during first half of 2010. 
Negotiating mandate for a Euratom-South Africa cooperation agreement : The 
proposal of a Council Decision on a mandate to negotiate a Euratom-South Africa 
agreement is under preparation. 
Proposal for a Council Regulation on Community  financial assistance with respect to 
the decommissioning of Units 1 to 4 of  the Kozloduy Nuclear Power Plant in 
Bulgaria “Kozloduy Progra mme” (COM(2009)581 final). 
 
IV.  ENVIRONMENT – Climate sector 
 The applicable legislation to the Climate sector  is: 
 
• Articles 114 and 191-193 of TF EU (ex 95 and 174-176 of TEC) 
 
• Council Directive 1999/13/EC of 11 March 1999 on the limitation of emissions of 
volatile organic compounds due to the use of organic solvents in certain activ ities and 
installations (OJ L 85, 29.3.1999, p. 1). 
 
• Directive 2000/76/EC of the European Par liament and of the Council of 4 December 
2000 on the incineration of waste (OJ L 332, 28.12.2000, p. 91–111). 
 
• Directive 2001/80/EC on the limitation of emi ssions of certain pollutants into the air 
from large combustion plants (OJ L 309, 27.11.2001, p. 1–21) 
 
• Directive 2001/81/EC of the European Parl iament and of the Council of 23 October 
2001 on national emission ceilings for certa in atmospheric pollutants (OJ L 309, 
27.11.2001, p. 22–30) 
 
• Regulation (EC) No 166/2006 of  the European Parliament and of the Council of 18 
January 2006 concerning the establishment of a European Pollutant Release and 
Transfer Register and amending Council Directives 91/689/EEC and 96/61/EC (OJ L 
33, 4.2.2006, p.1-17.) 
EN 483   EN  
• Regulation (EC) No 842/2006 of  the European Parliament and of the Council of 17 
May 2006 on certain fluorinated greenhouse gases (OJ L 161, 14.6.2006, p. 1–11) 
 
• Directive 2008/1/EC of the European Parl iament and of the Council of 15 January 
2008 concerning integrated pollution preventio n and control (Codified version) (OJ L 
24, 29.1.2008, p.8-29) 
 
• Regulation (EC) No 1005/2009 of  the European Parliament and of the Council of 16 
September 2009 on substances that depl ete the ozone layer (OJ L 286, 31.10.2009, p. 
1–30)  
 
V.  INTERNAL MARKET AND SERVICES 
V.1.  Existing and in force acquis A list of the existing acquis under the remit of DG Internal Market and services is available at 
the following web address: 
http://ec.europa.eu/dgs/int ernal_market/mission_en.htm
 
 V.2.  Recently adopted measures – Directive 2009/14/EC of the European Parl iament and of the Council of 11 March 2009 
amending Directive 94/19/EC on deposit-guarant ee schemes as regards the coverage level 
and the payout delay, OJ L 68, 13.3.2009, p. 3.  
– Commission Directive 2009/27/EC of 7 April 20 09 amending certain Annexes to Directive 
2006/49/EC of the European Parliament and of  the Council as regard s technical provisions 
concerning risk management (2009 L 94 31/10/2010) 
– Commission Directive 2009/83/EC of 27 July 2009 amending certain Annexes to Directive 
2006/48/EC of the European Parliament and of  the Council as regard s technical provisions 
concerning risk management (2009 L 196 31/10/2010) 
– Directive 2009/111/EC of the European Parl iament and of the Council of 16 September 
2009 amending Directives 2006/48/EC, 2006/49/ EC and 2007/64/EC as regards banks 
affiliated to central institutions, certain own funds items, large exposures, supervisory 
arrangements, and crisis management (2009 L 302 31/10/2010) 
– Directive 2009/44/EC of the European Parliament and of the Council of 6 May 2009 
amending Directive 98/26/EC on settlement fina lity in payment and securities settlement 
systems and Directive 2002/47/EC  on financial collateral a rrangements as regards linked 
systems and credit claims 2009 L 146 30/12/2010 
EN 484   EN – Directive 2008/6/EC of the Eu ropean Parliament and of th e Council of 20 February 2008 
amending Directive 97/67/EC with regard to the full accomplishment of the internal 
market of Community postal services 2008 L 52 31/12/2010 
– Directive 2009/49/EC of the European Parl iament and of the Council of 18 June 2009 
amending Council Directives 78/660/EEC and 83 /349/EEC as regards certain disclosure 
requirements for medium-sized companies an d the obligation to draw up consolidated 
accounts 2009 L 164 01/01/2011 
– Directive 2009/110/EC of the European Parl iament and of the Council of 16 September 
2009 on the taking up, pursuit and prudential supe rvision of the business of electronic 
money institutions amending Directives  2005/60/EC and 2006/48/EC and repealing 
Directive 2000/46/EC 2009 L 267 30/04/2011 
– Directive 2009/65/EC of the Eu ropean Parliament and of the Council of 13 July 2009 on 
the coordination of laws, regulations and admini strative provisions relating to undertakings 
for collective investment in transfer able securities (UCITS) 2009 L 302 30/06/2011 
– Directive 2009/109/EC of the European Parl iament and of the Council of 16 September 
2009 amending Council Directives 77/91/ EEC, 78/855/EEC and 82/891/EEC, and 
Directive 2005/56/EC as regard s reporting and documentation requirements in the case of 
mergers and divisions 2009 L 259 30/06/2011 
– Directive 2009/81/EC of the Eu ropean Parliament and of the Council of 13 July 2009 on 
the coordination of procedures for the award of certain works contracts, supply contracts 
and service contracts by contr acting authorities or entities in the fields of defence and 
security, and amending Directiv es 2004/17/EC and 2004/18/EC  
– Directive 2009/138/EC of the European Parl iament and of the Council of 25 November 
2009 on the taking-up and pursuit of the business of Insuranc e and Reinsurance (Solvency 
II) 2009 L 335 31/10/2012 
– Regulation 924/2009 of the European Parliame nt and of the Council on cross-border 
payments in the Community,  
– Regulation 1060/2009 of the Europ ean Parliament and of the Council on Credit Rating 
Agencies   
V.3.  New measures already proposed and due to be adopted Proposals in co-decision
 
– Proposals for Council Decisions conferring jurisd iction on the Court of Justice in disputes 
relating to the Community patent, COM/2003/0827 final and COM/2003/0828 final 
– Proposal for a Community  Patent Regulation,  COM(2000)0412   of 01/08/2000 
– Proposal for a Directive of the European Parliament and of the Council amending 
Directive 98/71/EC on the legal protection of designs (spare parts), COM(2004)582    o f  
14/09/2004 
– Proposal for a Council Regulation on the st atute for a European private company 
{SEC(2008) 2098} {SEC(2008) 2099} /* CO M/2008/0396 final - CNS 2008/0130 */ 
EN 485   EN – Proposal for a Directive of the European Pa rliament and of the Council amending Council 
Directives 68/151/EEC and 89/666/EEC as rega rds publication and translation obligations 
of certain types of companies {SEC (2008) 466} {SEC(2008) 467} /* COM/2008/0194 
final - COD 2008/0083 */ 
– Term of protection of copyright  and related rights Proposal fo r a Directive of the European 
Parliament and of the Council amending Dir. 2006/116/EC), COM(2008)464 of 16/7/2008 
– Proposal for a Directive of the European Pa rliament and of the Council on Alternative 
Investment Fund Managers, COM(2009)207 
– Directive amending Council Directive 78/660/EE C on the annual accounts of certain types 
of companies as regards micro-entities, COM(2009)83 
– Proposal for a Directive of the European Parliament and of the Council Amending 
Directives 2006/48/EC and 2006/49/EC as rega rds capital requirements for the trading 
book and for re-securitisations, and the superv isory review of remuneration policies, 
COM(2009)362 
– Proposals for Regulations establishing a Eur opean Banking Authority (EBA), a European 
Insurance and Occupational Pensions Authorit y (EIOPA) and a European Securities and 
Markets Authority (ESMA), COM(2009) 501 (EBA), COM(2009) 502 (EIOPA), COM(2009) 503 (ESMA) 
– Amendment to Directives 2003/71/EC (P rospectus Directive) and 2004/109/EC 
(Transparency Directive) in relation to info rmation about issuers whose securities are 
admitted to trading on a regulated market, COM(2009)491 
V.4.  Other relevant legal documen ts adopted in 2009 by the Commission 
– Recommendation on remuneration policies in the financial services sector, COM(2009)3159 
– Recommendation on the remuneration of  directors of listed companies, COM(2009)3177  
 
VI. TAXATION AND CUSTOMS UNION 
VI.1.  CUSTOMS 
The following webpage contains a list of legal measures in the customs area  adopted since 
2003:  
http://ec.europa.eu/taxation_customs/common/le gislation/legislation/customs/index_en.htm  
• Relevant Treaty  provisions: 
Art 18; 
Art 23-27 TCE; Art 95 (approximation of laws); Art 133; 
EN 486   EN Art 135. 
• Relevant secondary Community law  acts: 
Council Regulation (EEC) N° 2913/92  (Council Regulation (EEC) No 2913/92 establishing the Community 
Customs Code)  
Commission Regulation (EEC) N° 2454/93 ( provisions for the implementation of Council Regulation 
(EEC) No 2913/92 establishing  the Community Customs Code) ; 
The Common Customs Tariff  (Combined Nomenclature a nd tariff measures): Council 
Regulation (EEC) No  2658/87 on the tariff and statistical no menclature and the duty relief 
legislation (Council Regulation (EEC) No 918/83  of 28 March 1983 setting up a Community 
system of relief from customs duty); 
Regulation (EC) N° 1889/2005 of the Euro pean Parliament and of the Council ; 
International agreements  in customs matters or the customs pr ovisions of international agreements; 
Specific legislation on customs control (counter feit, drug precursors, cultural goods, cash 
control) in particular : 
Council Regulation (EC) N° 1383/2003 ; 
Council Regulation (EC) N° 111/2005 ; 
Council Regulation (EEC) N° 3911/92 . 
 VI.2. INDIRECT TAXATION 
The following webpage contains a list of legal measures in the tax area  adopted since 
2003: 
http://ec.europa.eu/taxation_customs/common/le gislation/legislation/taxation/index_en.htm  
 
Existing measures in force  (situation on 31/12/2009) 
• Relevant Treaty  (TFEU) provisions:  
Mainly:   
Art 110 (ex Art 90);  
Additional:   
Art 45 (ex Art 39); 
Art 49 (ex Art 43); 
Art 56 (ex Art 49); 
EN 487   EN Art 63 (ex Art 56) ;  
Art 113 (ex Art 93) .  
 
• Relevant secondary Community law  acts:    
Directive 2009/132/EC; 
Directive 2009/55/EC; 
Directive 2008/55/EC ; 
Directive 2007/74/EC ; 
Directive 2006/112/EC (+ amending directives); 
Directive 2006/79/EC ; 
Directive 2003/96/EEC (+ amending directives); 
Directive 95/60/EC ; 
Directive 95/59/EC ; 
Directive 92/84/EEC ; 
Directive 92/83/EEC ; 
Directive 92/80/EEC ; 
Directive 92/79/EEC (+ amending directives); 
Directive 92/12/EEC (+ amending directives);  
Directive 86/560/EEC ; 
Directive 79/1072/EEC ; 
Directive 68/297/EEC (+ amending directive). 
 Council Regulation (EC) 1798/2003 (+ amending regulations) ; 
Commission Regulation (EC) 1174/2009; 
Commission Regulation (EC) 1179/2008;  
Commission Regulation (EC) 1925/2004. 
 
EN 488   EN VI.3. DIRECT TAXATION 
The following webpage contains a list of legal measures in the tax area  adopted since 
2003: 
http://ec.europa.eu/taxation_customs/common/le gislation/legislation/taxation/index_en.htm  
 
Existing measures in force  (situation on 31/12/2009) 
• Relevant Treaty  (TFEU) provisions:  
Art 21 (ex Art 18) ;     
Art 45  (to 48) (ex Art 39 to 42);    
Art 49 (to 54) (ex Art 43 to 48);           
Art 56  (to 62) (ex Art 49 to 55);  
Art 63  (to 66) (ex Art 56 to 60); 
Art 115 (ex Art 94) ;  
• Relevant secondary Community law acts:  
Directive 77/799/EEC  (+2 amending directives);  
Directive 90/434/EEC  (+1 amending directive);  
Directive 90/435/EEC  (+1 amending directive);  
Directive 2003/48/EC ; 
Directive 2003/49/EC  (+1 amending directive);  
Directive 2008/7/EC ; 
Directive 2008/55/EC; 
Directive 2009/133/EC.  
 
VII. EDUCATION AND CULTURE A full list of relevant provisions, which also includes non-binding provisions, can be found at: 
  http://eur-lex.europa.e u/en/legis/20100101/chap1630.htm
 for education and 
 training 
EN 489   EN  
 http://eur-lex.europa.e u/en/legis/20100101/chap1640.htm  for culture 
  http://ec.europa.eu/sport/wh ite-paper/doc/wp_on_sport_en.pdf
 for sport 
 
VIII.  HEALTH  AND  CONSUMERS 
Main Measures in Force 31/12/2009 
 VIII.1. Public Health Relevant EU Treaty provisions : 
• Art 114 TFEU 
• Art 168(4) TFEU 
Relevant secondary EU law acts: 
• Directive 
2001/37/EC  of the European Parliament and of the Council of 5 June 2001 on the 
approximation of the laws, regulations and admi nistrative provisions of  the Member States 
concerning the manufacture, presenta tion and sale of tobacco products 
• Directive 2002/98/EC  of the European Parliament and of the Council of 27 January 2003 
setting standards of quality and safety for the collection, testing, processing, storage and 
distribution of human blood and blood components and amending Directive 2001/83/EC 
• Directive 2003/33/EC  of the European Parliament and of the Council of 26 May 2003 on 
the approximation of the laws, regulations and administrative provisions of the Member 
States relating to the advertising and sponsorship of tobacco products 
• Directive 2004/23/EC  of the European Parliament and of the Council of 31 March 2004 on 
setting standards of quality and safety for the donation, procurement, testing, processing, 
preservation, storage and distribution of hu man tissues and cells 
• Commission Directive 2004/33/EC  of 22 March 2004 implementing Directive 2002/98/EC 
of the European Parliament and of the Council as regards certain tec hnical requirements for 
blood and blood components 
• Commission Directive 2005/61/EC  of 30 September 2005 implementing Directive 
2002/98/EC of the European Parliament and of the Council as re gards traceability 
requirements and notification of seri ous adverse reactions and events 
EN 490   EN • Commission Directive 2005/62/EC  of 30 September 2005 implementing Directive 
2002/98/EC of the European Parliament an d of the Council as regards Community 
standards and specifications relating to a quality system  for blood establishments 
• Commission Directive 2006/17/EC  of 8 February 2006 implem enting Directive 2004/23/EC 
of the European Parliament and of the Council as regards certain tec hnical requirements for 
the donation, procurement and tes ting of human tissues and cells 
• Commission Directive 2006/86/EC  of 24 October 2006 implementing Directive 2004/23/EC 
of the European Parliament and of the C ouncil as regards traceab ility requirements, 
notification of serious adverse reactions and events and certain technical requirements for 
the coding, processing, preservati on, storage and distribution of human tissues and cells 
• Decision No 2119/98/EC  of the European Parliament a nd of the Council of 24 September 
1998 setting up a network for the epidemio logical surveillance and control of 
communicable diseases in the Community 
• Regulation (EC) No 851/2004  of the European Parliament and of the Council of 21 April 
2004 establishing a European Centre for disease prevention and control 
• Commission Decision 2000/96/EC  of 22 December 1999 on the communicable diseases to 
be progressively covered by the Community  network under Decision No 2119/98/EC of 
the European Parliament and of the Council 
• Commission Decision 2002/253/EC  of 19 March 2002 laying dow n case definitions for 
reporting communicable diseases to the Community network under Decision No 
2119/98/EC of the European Parliament and of the Council 
• Commission Decision 2000/57/EC  of 22 December 1999 on the early warning and response 
system for the prevention a nd control of communicable di seases under Decision No 
2119/98/EC of the European Parliament and of the Council 
• Commission Decision 2007/875/EC  of 18 December 2007 amending Decision No 
2119/98/EC of the European Parliament and of the Council and Decision 2000/96/EC as 
regards communicable diseases listed in those decisions 
• Commission Decision 2008/351/EC  of 28 April 2008 amending Decision 2000/57/EC as 
regards events to be reported within the early warning and response system for the 
prevention and control of communicable diseases  
• Commission Decision 2008/426/EC  of 28 April 2008 amendi ng Decision 2002/253/EC 
laying down case definitions for reporting communicable di seases to the Community 
network under Decision No 2119/98/EC of the European Parliament and of the Council 
• Commission Directive 2009/135/EC  of 3 November 2009 allowi ng temporary derogations 
to certain eligibility criteria for whole blood and blood components donors laid down in 
Annex III to Directive 2004/33/EC in the cont ext of a risk of shortage caused by the 
Influenza A(H1N1) pandemic 
• Regulation (EC) No 596/2009  of the European Parliament and of the Council of 18 June 
2009 adapting a number of instruments subject to  the procedure referred to in Article 251 
EN 491   EN of the Treaty to Council Decision 1999/468/EC w ith regard to the re gulatory procedure 
with scrutiny 
• 2009/312/EC : Commission Decision of 2 Apri l 2009 amending Decision 2000/96/EC as 
regards dedicated surveillance networks for communicable diseases 
• 2009/539/EC : Commission Decision of 10 July  2009 amending Decision 2000/96/EC on 
communicable diseases to be progressively  covered by the Co mmunity network under 
Decision No 2119/98/EC of the Europ ean Parliament and of the Council 
 VIII.2. Consumers 
Relevant EU Treaty provisions: 
• Art 169 TFEU 
Relevant secondary EU law acts : 
• Council Directive 
85/577/EEC  of 20 December 1985 to protect the consumer in respect of 
contracts negotiated away from business premises 
• Council Directive 87/102/EEC  of 22 December 1986 for the approximation of the laws, 
regulations and administrative provisions of  the Member States concerning consumer 
credit 
• Council Directive 87/357/EEC  of 25 June 1987 on the approximation of the laws of the 
Member States concerning products which, appear ing to be other than they are, endanger 
the health or safety of consumers 
• Council Directive 90/88/EEC  of 22 February 1990 amending Directive 87/102/EEC for the 
approximation of the laws, regulations and admi nistrative provisions of  the Member States 
concerning consumer credit 
• Council Directive 90/314/EEC  of 13 June 1990 on package travel, package holidays and 
package tours 
• Council Directive 93/13/EEC  of 5 April 1993 on unfair term s in consumer contracts 
• Directive 97/7/EC  of the European Parliament and of the Council of 20 May 1997 on the 
protection of consumers in respect of distance contracts 
• Directive 98/6/EC  of the European Parliament and of  the Council of 16 February 1998 on 
consumer protection in the indication of th e prices of products offered to consumers 
• Directive 98/7/EC  of the European Parliament a nd of the Council of 16 February 1998 
amending Directive 87/102/EEC for the appr oximation of the laws, regulations and 
administrative provisions of the Member  States concerning consumer credit 
• Directive 98/27/EC  of the European Parliament and of the Council of 19 May 1998 on 
injunctions for the protection of consumers' interests 
EN 492   EN • Directive 1999/44/EC  of the European Parliament and of the Council of 25 May 1999 on 
certain aspects of the sale of cons umer goods and associated guarantees 
• Directive 2001/95/EC  of the European Parliament a nd of the Council of 3 December 2001 
on general product safety  
• Directive 2002/65/EC  of the European Parliament and of the Council of 23 September 2002 
concerning the distance marketing of consum er financial services  and amending Council 
Directive 90/619/EEC and Dir ectives 97/7/EC and 98/27/EC 
• Directive 2005/29/EC  of the European Parliament and of the Council of 11 May 2005 
concerning unfair business-to-consumer commercia l practices in the internal market and 
amending Council Directive 84/450/EEC, Dir ectives 97/7/EC, 98/27/EC and 2002/65/EC 
of the European Parliament and of the C ouncil and Regulation (EC) No 2006/2004 of the 
European Parliament and of the Council (‘U nfair Commercial Pr actices Directive’) 
• Directive 2006/114/EC  of the European Parliament an d of the Council of 12 December 
2006 concerning misleading and comparative advertising 
• Directive 2008/48/EC  of the European Parliament a nd of the Council of 23 April 2008 on 
credit agreements for consumers and repealing Council Di rective 87/102/EEC 
• Directive 2008/122/EC  of the European Parliament and of the Council of 14 January 2009 
on the protection of consumers in respect of cer tain aspects of timeshare, long-term holiday 
product, resale and exchange contracts 
• Commission Decision 2006/502/EC  of 11 May 2006 requiring Member States to take 
measures to ensure that only lighters which ar e child-resistant are placed on the market and 
to prohibit the placing on th e market of novelty lighters  
• Commission Decision 2008/322/EC  of 18 April 2008 prolonging the validity of Decision 
2006/502/EC requiring Member States  to take measures to ensu re that only lighters which 
are child-resistant are placed on the market and to prohibit the placing on the market of 
novelty lighters 
• Regulation (EC) No 765/2008  of the European Parliament and of the Council of 9 July 
2008 setting out the requirements for accreditati on and market surveillance relating to the 
marketing of products and repe aling Regulation (EEC) No 339/93 
• Directive 2009/22/EC  of the European Parliament and of the Council of  23 April 2009 on 
injunctions for the protection of cons umers' interests (Codified version) 
• 2009/251/EC : Commission Decision of 17 March 2009 re quiring Member States to ensure 
that products containing the biocide dimethyl fumarate are not placed or made available on 
the market 
• 2009/298/EC : Commission Decision of 26 March 2009 prolonging the validity of Decision 
2006/502/EC requiring Member States  to take measures to ensu re that only lighters which 
are child-resistant are placed on the market and to prohibit the placing on the market of 
novelty lighters 
EN 493   EN • 2009/490/EC : Commission Decision of 23 June 2009 on the safety requirements to be met 
by European standards for personal music pl ayers pursuant to Directive 2001/95/EC of the 
European Parliament and of the Council 
• 2010/15/EU : Commission Decision of 16 Decembe r 2009 laying down guidelines for the 
management of the Community Rapid Info rmation System RAPEX established under 
Article 12 and of the notifica tion procedure established u nder Article 11 of Directive 
2001/95/EC (the General Product Safety Directive) 
 VIII.3. Food Safety 
Relevant EU Treaty provisions: 
• Art 43 TFEU 
• Art 114 TFEU 
• Art 168 TFEU 
Relevant secondary EU law acts: 
 GENERAL 
• Regulation (EC) No 178/2002
 of the European Parliament  and of the Council of 28 
January 2002 laying down the general princi ples and requirements of food law, 
establishing the European Food Safety Authorit y and laying down procedures in matters of 
food safety 
• Regulation (EC) No 882/2004  of the European Parliament and of the Council of 29 April 
2004 on official controls performed to ensure th e verification of compliance with feed and 
food law, animal health and animal welfare rules 
• Commission Regulation (EC) No 669/2009  of 24 July 2009 implementing Regulation (EC) 
No 882/2004 of the European Parliament and of  the Council as regard s the increased level 
of official controls on imports of certain f eed and food of non-animal origin and amending 
Decision 2006/504/EC 
• Council Directive 96/23/EC  of 29 April 1996 on measures to monitor certain substances and 
residues thereof in live animals and animal products and repealing Directives 85/358/EEC 
and 86/469/EEC and Decisions 89/187/EEC and 91/664/EEC 
• Regulation (EC) No 852/2004  of the European Parliament and of the Council of 29 April 
2004 on the hygiene of foodstuffs 
• Regulation (EC) No 853/2004  of the European Parliament and of the Council of 29 April 
2004 laying down specific hygiene rule s for food of animal origin 
EN 494   EN • Regulation (EC) No 854/2004  of the European Parliament and of the Council of 29 April 
2004 laying down specific rules for the organi sation of official controls on products of 
animal origin intended for human consumption 
• Commission Regulation (EC) No 2073/2005  of 15 November 2005 on microbiological 
criteria for foodstuffs 
• Commission Regulation (EC) No 2074/2005  of 5 December 2005 laying down 
implementing measures for certain products  under Regulation (EC) No 853/2004 of the 
European Parliament and of the Council and fo r the organisation of o fficial controls under 
Regulation (EC) No 854/2004 of the Europ ean Parliament and of the Council and 
Regulation (EC) No 882/2004 of the European Parliament and of the Council, derogating 
from Regulation (EC) No 852/2004 of the Eur opean Parliament and of the Council and 
amending Regulations (EC) No 853/2004 and (EC) No 854/2004 
• Commission Regulation (EC) No 2075/2005  of 5 December 2005 laying down specific 
rules on official controls for Trichinella in meat  
• Commission Regulation (EC) No 2076/2005  of 5 December 2005 laying down transitional 
arrangements for the implementation of Re gulations (EC) No 853/2004, (EC) No 854/2004 
and (EC) No 882/2004 of the European Parl iament and of the Council and amending 
Regulations (EC) No 853/2004 and (EC) No 854/2004 
 
Food Hygiene 
 
Overview : http://ec.europa.eu/food/food/bios afety/hygienelegislation/index_en.htm . 
 Guidance documents : 
http://ec.europa.eu/food/food/bios afety/hygienelegislation/guide_en.htm
 
 
FOOD 
 
• Directive 2000/13/EC  of the European Parliament and of the Council on the approximation 
of the laws of the Member States relating to  the labelling, presentation and advertising of 
foodstuffs 
• Council Directive 90/496/EEC  on nutrition labelling for foodstuffs 
• Directive 2009/39/EC  of the European Parliament a nd of the Council of 6 May 2009 on 
foodstuffs intended for particul ar nutritional uses (recast) 
EN 495   EN • Commission Regulation (EC) No 953/2009  of 13 October 2009 on substances that may be 
added for specific nutritional purposes in foods for particular  nutritional uses 
• Commission Regulation (EC) No 1170/2009 of  30 November 2009 amending Directive 
2002/46/EC of the European Parliament and of Council and Regulation (EC) No 
1925/2006 of the European Parliament and of th e Council as regards the lists of vitamin 
and minerals and their forms that can be added to foods, including food supplements 
• Commission Directive 87/250/EEC  of 15 April 1987 on the indi cation of alcoholic strength 
by volume in the labelling of alcoholic beve rages for sale to the ultimate consumer 
• Council Directive 89/396/EEC  of 14 June 1989 on indications or marks identifying the lot to 
which a foodstuff belongs 
• Council Directive 90/496/EEC  of 24 September 1990 on nutriti on labelling for foodstuffs 
• Regulation (EC) No 1924/2006  of the European Parliament  and of the C ouncil of 20 
December 2006 on nutrition and health claims made on foods 
• Regulation (EC) No 1331/2008  of the European Parliament  and of the C ouncil of 16 
December 2008 establishing a common authorisa tion procedure for food additives, food 
enzymes and food flavourings 
• Regulation (EC) No 1333/2008  of the European Parliament  and of the C ouncil of 16 
December 2008 on food additives 
• Regulation (EC) No 1332/2008  of the European Parliament  and of the C ouncil of 16 
December 2008 on food enzymes and amendi ng Council Directive 83/417/EEC, Council 
Regulation (EC) No 1493/1999, Directive 200 0/13/EC, Council Dire ctive 2001/112/EC 
and Regulation (EC) No 258/97 
• Commission Directive 2009/163/EU  of 22 December 2009 ame nding Directive 94/35/EC 
of the European Parliament and of the Counc il on sweeteners for use in foodstuffs with 
regard to neotame 
• Council Directive 88/388/EEC  of 22 June 1988 on the approxi mation of the laws of the 
Member States relating to flavourings for use in  foodstuffs and to source materials for their 
production 
• Council Decision 88/389/EEC  of 22 June 1988 on the estab lishment, by the Commission, of 
an inventory of the source materials and substa nces used in the prep aration of flavourings 
• Regulation (EC) No 2232/96  of the European Parliament and of the Council of 28 October 
1996 laying down a Community procedure for fla vouring substances used or intended for 
use in or on foodstuffs 
• Regulation (EC) N° 2065/2003  of the European Parliament and of the Council of 10 
November on smoke flavourings used or intended for use in or on foods 
EN 496   EN • Regulation (EC) No 1331/2008  of the European Parliament  and of the C ouncil of 16 
December 2008 establishing a common authorisa tion procedure for food additives, food 
enzymes and food flavourings 
• Regulation (EC) No 1334/2008  of the European Parliament  and of the C ouncil of 16 
December 2008 on flavourings and certain food ingredients with fla vouring properties for 
use in and on foods and amending Council Regulation (EEC) No 1601/91, Regulations 
(EC) No 2232/96 and (EC) No 110/2008 and Directive 2000/13/EC 
• Regulation 1935/2004/EC  of the European Parliament a nd of the Council of 27 October 2004 
on materials and articles intended to come into contact with food 
• Commission Regulation (EC) No 2023/2006  of 22 December 2006 on good manufacturing 
practice for materials and articles inte nded to come into contact with food 
• Directive 2002/46/EC  of the European Parliament and of the Council of 10 June 2002 on the 
approximation of the laws of the Member  States relating to food supplements 
• Regulation (EC) No 1925/2006  of the European Parliament  and of the C ouncil of 20 
December 2006 on the addition of vitamins and mine rals and of certain other substances to 
foods 
• Council Directive 92/52/EEC  of 18 June 1992 on infant formulae and follow-on formulae 
intended for export to third countries 
• Council Directive 89/108/EEC  of 21 December 1988 on the approximation of the laws of the 
Member States relating to quick-fro zen foodstuffs for human consumption 
• Council Regulation (EEC) No 315/93  of 8 February 1993 laying down Community 
procedures for contaminants in food 
• Regulation (EC) No 258/97  of the European Parliament and of the Council of 27 January 
1997 concerning novel foods and novel food ingredients 
• Regulation (EC) N° 1829/2003  of the European Parliament and of the Council of 22 
September 2003 on genetically modified food and feed 
• 2009/184/EC : Commission Decision of 10 March 2009 authorising the placing on the 
market of products containing or produced fr om genetically modified oilseed rape T45 
(ACS-BNØØ8-2) resulting from the commercia lisation of this oilseed rape in third 
countries until 2005 pursuant to Regulatio n (EC) No 1829/2003 of the European 
Parliament and of the Council 
• 2009/813/EC : Commission Decision of 30 October 2009 authorising the placing on the 
market of products containing, consisting of, or  produced from genetically modified maize 
MON 89034 (MON-89Ø34-3) pursuant to Regula tion (EC) No 1829/2003 of the European 
Parliament and of the Council 
• 2009/814/EC : Commission Decision of 30 October 2009 authorising the placing on the 
market of products containing, consisting of, or  produced from genetically modified maize 
EN 497   EN MON 88017 (MON-88Ø17-3) pursuant to Regula tion (EC) No 1829/2003 of the European 
Parliament and of the Council 
• 2009/815/EC : Commission Decision of 30 October 2009 authorising the placing on the 
market of products containing, consisting of, or  produced from genetically modified maize 
59122xNK603 (DAS-59122-7xMON-ØØ6Ø3-6) pursu ant to Regulation (EC) No 
1829/2003 of the European Parliament and of the Council 
• 2009/866/EC : Commission Decision of 30 November  2009 authorising the placing on the 
market of products containing, consisting of, or  produced from genetically modified maize 
MIR604 (SYN-IR6Ø4-5) pursuant to Regulat ion (EC) No 1829/2003 of the European 
Parliament and of the Council 
• Regulation (EC) N° 1830/2003  of the European Parliament and of the Council of 22 
September 2003 concerning the traceability a nd labelling of genetically modified 
organisms and the traceability  of food and feed products produced from genetically 
modified organisms and am ending Directive 2001/18/EC 
• Directive 1999/2/EC  of the European Parliament and of  the Council of 22 February 1999 on 
the approximation of the laws of the Member States concerning foods and food ingredients 
treated with ionising radiation 
• Directive 1999/3/EC  of the European Parliament and of  the Council of 22 February 1999 on 
the establishment of a Community list of foods  and food ingredients tr eated with ionising 
radiation 
• Commission Directive 2003/40/EC  of 16 May 2003 establishing th e list, concentration limits 
and labelling requirements for the constituents of natural mineral waters and the conditions for using ozone-enriched air for the treatment of natural mineral waters and spring waters 
• Commission Directive 
2008/100/EC  of 28 October 2008 amending Council Directive 
90/496/EEC on nutrition labelling for food stuffs as regards recommended daily 
allowances, energy conversi on factors and definitions 
• Commission Regulation (EC) No 1881/2006  of 19 December 2006 setting maximum 
levels for certain contaminants in foodstuffs 
• Commission Regulation (EC) No 1882/2006  of 19 December 2006 laying down methods of 
sampling and analysis for the official control of  the levels of nitrates  in certain foodstuffs 
• Commission Regulation (EC) No 1883/2006  of 19 December 2006 laying down methods of 
sampling and analysis for the official control of  levels of dioxins and dioxin-like PCBs in 
certain foodstuffs 
• Commission Regulation (EC) No 401/2006  of 23 February 2006 laying down the methods 
of sampling and analysis for the official contro l of the levels of mycotoxins in foodstuffs 
• Commission Regulation (EC) No 333/2007  of 28 March 2007 laying down the methods of 
sampling and analysis for the official control of the levels of lead, cadmium, mercury, inorganic tin, 3-MCPD and benzo(a)pyrene in foodstuffs 
EN 498   EN • Commission Regulation (EC) No 1151/2009  of 27 November 2009 imposing special 
conditions governing the import of sunflower oi l originating in or consigned from Ukraine 
due to contamination risks by mineral oil and repealing Decision 2008/433/EC 
• Commission Regulation (EC) No 1152/2009  of 27 November 2009 imposing special 
conditions governing the import of certain foods tuffs from certain third countries due to 
contamination risk by aflatoxins and repealing Decision 2006/504/EC 
• Commission Regulation (EC) No 1135/2009  of 25 November 2009 imposing special 
conditions governing the import of certain products originating in or consigned from 
China, and repealing Commission Decision 2008/798/EC 
• Commission Decision 2008/352/EC  of 29 April 2008 imposing special conditions governing 
guar gum originating in or consigned from India due to contamination risks of those 
products by pentachlorophenol and dioxins 
• Commission Regulation (EC) No 565/2008  of 18 June 2008 amendi ng Regulation (EC) No 
1881/2006 setting maximum levels for certain c ontaminants in foodstuffs as regards the 
establishment of a maximum level fo r dioxins and PCBs in fish liver 
• Commission Regulation (EC) No 629/2008  of 2 July 2008 amending Regulation (EC) No 
1881/2006 setting maximum levels for certain contaminants in foodstuffs 
• Commission proposal for a Regulation of the Eu ropean Parliament and of the Council on 
the provision of food information to consumers (COM 2008(40) final). 
 
Directorate general for Health and Consumers' Website 
http://ec.europa.eu/food/food/label lingnutrition/foodlabelling/index_en.htm  
 
Nutrition profiles and health claims 
The basic act as well as all related legisl ation and measures adopted may be found at 
the following address. 
http://ec.europa.eu/food/food/la bellingnutrition/claims/index_en.htm  
 The legislation on dietetic foods  is based on Article 114 of the TFEU and can be 
found on the following web link: 
http://ec.europa.eu/food/food/label lingnutrition/nutri tional/index_en.htm
. 
 
EN 499   EN The legislation on food supplements and on the addi tion of vitamins and minerals 
and of certain other substances to foodstuffs  is based on Article 114 of the TFEU 
and can be found on the following web links: 
http://ec.europa.eu/food/food/labe llingnutrition/suppl ements/index_en.htm  
http://ec.europa.eu/food/food/labe llingnutrition/vitamins/index_en.htm  
 The information related to novel foods  can be found at the following address: 
http://ec.europa.eu/food/food/ biotechnology/novelfood/index_en.htm
 
 
Labelling of foodstuffs:  
– General food labelling , legislation and decisions on draft national measures 
notified by Member States: 
http://ec.europa.eu/food/food/label lingnutrition/foodlabelling/index_en.htm  
Nutrition Labelling : 
http://ec.europa.eu/food/food/label lingnutrition/nutritionlabel/index_en.htm   
– Information on the Commission proposal for a Regulation of the European 
Parliament and of the Council on the provision of food information to consumers: 
http://ec.europa.eu/food/f ood/labellingnutrition/foodlabel ling/proposed_legislation_en.
htm 
 
ANIMAL HEALTH 
• Council Decision 2009/470/EC  of 25 May 2009 on expenditure in the veterinary field 
• Council Directive 90/425/EEC  of 26 June 1990 concerning veterinary and zootechnical 
checks applicable in intra-Community trade in  certain live animals and products with a 
view to the completion of the internal market 
• Council Directive 89/662/EEC  of 11 December 1989 concerning veterinary checks in intra-
Community trade with a view to the completion of the internal market 
• Council Directive 96/93/EC  of 17 December 1996 on the certifi cation of animals and animal 
products 
• Council Directive 2002/99/EC  of 16 December 2002 laying down the animal health rules 
governing the production, processing, distributi on and introduction of products of animal 
origin for human consumption 
EN 500   EN • Council Directive 89/608/EEC  of 21 November 1989 on mutual assistance between the 
administrative authorities of the Member Stat es and cooperation betwee n the latter and the 
Commission to ensure the correct application of  legislation on veteri nary and zootechnical 
matters 
• Council Directive 91/496/EEC  of 15 July 1991 laying down the principles governing the 
organization of veterinary checks on animals entering the Community from third countries 
and amending Directives 89/662/ EEC, 90/425/EEC and 90/675/EEC 
• Council Directive 97/78/EC  of 18 December 1997 laying dow n the principles governing the 
organisation of veterinary checks on products entering the Community from third countries 
• Regulation (EC) No 1760/2000  of the European Parliament and of the Council of 17 July 
2000 establishing a system for the identificatio n and registration of bovine animals and 
regarding the labelli ng of beef and beef products and repealing Council Regulation (EC) 
No 820/97 
• Council Directive 64/432/EEC  of 26 June 1964 on animal hea lth problems affecting intra-
Community trade in bovine animals and swine 
• Council Directive 2008/71/EC  of 15 July 2008 on the identifica tion and registration of pigs 
• Council Regulation (EC) No 21/2004  of 17 December 2003 establishing a system for the 
identification and registration of ovine and cap rine animals and amending Regulation (EC) 
No 1782/2003 and Directives 92/102/EEC and 64/432/EEC 
• Council Directive 90/426/EEC  of 26 June 1990 on animal health conditions governing the 
movement and import from third countries of equidae 
• Council Directive 90/427/EEC  of 26 June 1990 on the zootechnical and genealogical 
conditions governing intra-Community trade in equidae 
• Council Directive 2003/85/EC  of 29 September 2003 on Community measures for the 
control of foot-and-mouth disease repeal ing Directive 85/511/ EEC and Decisions 
89/531/EEC and 91/665/EEC and am ending Directive 92/46/EEC 
• Council Directive 2001/89/EC  of 23 October 2001 on Community measures for the control 
of classical swine fever 
• Council Directive 2002/60/EC  of 27 June 2002 laying down specific provisions for the 
control of African swine fever and amendi ng Directive 92/119/EEC as regards Teschen 
disease and African swine fever 
• Council Directive 92/35/EEC  of 29 April 1992 laying down cont rol rules and measures to 
combat African horse sickness 
• Council Directive 2005/94/EC  of 20 December 2005 on Community measures for the 
control of avian influenza a nd repealing Directive 92/40/EEC 
• Council Directive 92/66/EEC  of 14 July 1992 introducing Community measures for the 
control of Newcastle disease 
EN 501   EN • Council Directive 2006/88/EC  of 24 October 2006 on animal  health requirements for 
aquaculture animals and products thereof, a nd on the prevention and control of certain 
diseases in aquatic animals 
• Council Directive 2000/75/EC  of 20 November 2000 laying do wn specific provisions for the 
control and eradicat ion of bluetongue 
• Regulation (EC) No 999/2001  of the European Parliament and of the Council of 22 May 2001 
laying down rules for the prev ention, control and eradicati on of certain transmissible 
spongiform encephalopathies 
• Regulation (EC) No 220/2009  of the European Parliament and of the Council of 11 March 
2009 amending Regulation (EC) No 999/2001 la ying down rules for the prevention, 
control and eradication of certain transmissible spongiform  encephalopathies, as regards 
the implementing powers conferred on the Commission 
• Commission Regulation (EC) No 103/2009  of 3 February 2009 amending Annexes VII and 
IX to Regulation (EC) No 999/2001 of the Eur opean Parliament and of the Council laying 
down rules for the prevention, control and erad ication of certain transmissible spongiform 
encephalopathies 
• Commission Regulation (EC) No 162/2009  of 26 February 2009 amending Annexes III 
and X to Regulation (EC) No 999/2001 of the European Parliament and of the Council 
laying down rules for the prev ention, control and eradicati on of certain transmissible 
spongiform encephalopathies 
• Commission Regulation (EC) No 163/2009  of 26 February 2009 amending Annex IV to 
Regulation (EC) No 999/2001 of the European Pa rliament and of the Council laying down 
rules for the prevention, control and eradic ation of certain transmissible spongiform 
encephalopathies 
• 2009/719/EC : Commission Decision of 28 Septembe r 2009 authorising certain Member 
States to revise their annual BSE monitoring programmes 
• Directive 2003/99/EC  of the European Parliament a nd of the Council of 17 November 
2003 on the monitoring of zoonoses and zo onotic agents, amending Council Decision 
90/424/EEC and repealing C ouncil Directive 92/117/EEC 
• Regulation (EC) No 2160/2003  of the European Parliament  and of the C ouncil of 17 
November 2003 on the control of salmonella and other specified food-borne zoonotic 
agents 
• Zoonoses and Antimicrobial Resistance (AMR): 
Zoonoses : http://ec.europa.eu/food/food/ biosafety/salmonella/index_en.htm  
AMR : http://ec.europa.eu/food/food/biosaf ety/public_consultation_AMR_en.htm  
• Council Directive 92/119/EEC  of 17 December 1992 introducing general Community 
measures for the control of certain animal dis eases and specific measures relating to swine 
vesicular disease 
EN 502   EN • Council Directive 82/894/EEC  of 21 December 1982 on the notific ation of animal diseases 
within the Community 
• Council Directive 91/68/EEC  of 28 January 1991 on animal health conditions governing 
intra-Community trade in ovine and caprine animals 
• Council Directive 90/539/EEC  of 15 October 1990 on animal health conditions governing 
intra-Community trade in, and imports from third countries of, pou ltry and hatching eggs 
• Council Directive 89/556/EEC  of 25 September 1989 on animal health conditions governing 
intra-Community trade in and importation fr om third countries of embryos of domestic 
animals of the bovine species 
• Council Directive 88/407/EEC  of 14 June 1988 laying down the animal health requirements 
applicable to intra-Community trade in and imports of deep-frozen semen of domestic animals of the bovine species 
• Council 
Directive 90/429/EEC  of 26 June 1990 laying down the animal health requirements 
applicable to intra- Community trade in and imports of semen of domestic animals of the 
porcine species 
• Council Directive 92/65/EEC  of 13 July 1992 laying down animal health requirements 
governing trade in and imports into the Commu nity of animals, semen, ova and embryos 
not subject to animal health requirements laid down in specific Community rules referred to in Annex A (I) to Directive 90/425/EEC 
• 
Regulation (EC) No 998/2003  of the European Parliament and of the Council of 26 May 2003 
on the animal health requirements applicable  to the non-commercial movement of pet 
animals and amending Council Directive 92/65/EEC 
• Council Directive 96/22/EC  of 29 April 1996 concerning th e prohibition on the use in 
stockfarming of certain substa nces having a hormonal or thyrostatic action and of ß-
agonists, and repealing Directives  81/602/EEC, 88/146/EEC and 88/299/EEC 
• Council Directive 2004/68/EC  of 26 April 2004 laying down animal health rules for the 
importation into and transit through the Co mmunity of certain li ve ungulate animals, 
amending Directives 90/426/EEC and 92/65/ EEC and repealing Directive 72/462/EEC 
• Directive 2004/41/EC  of the European Parliament and of the Council of 21 April 2004 
repealing certain Directives  concerning food hygiene and health conditions for the 
production and placing on the market of certain  products of animal origin intended for 
human consumption and amending Council Directives 89/662/EEC and 92/118/EEC and 
Council Decision 95/408/EC 
• Council Directive 77/504/EEC  of 25 July 1977 on pure- bred breeding animals of the bovine 
species 
• Council Directive 88/661/EEC  of 19 December 1988 on the zoo technical standards 
applicable to breeding animals of the porcine species 
EN 503   EN • Council Directive 89/361/EEC  of 30 May 1989 concerning pu re-bred breeding sheep and 
goats 
• Council Directive 90/428/EEC  of 26 June 1990 on trade in equidae intended for 
competitions and laying down the cond itions for participation therein 
• Council Directive 91/174/EEC  of 25 March 1991 laying dow n zootechnical and pedigree 
requirements for the marketing of pure-bred animals and amending Directives 77/504/EEC 
and 90/425/EEC 
• Council Directive 94/28/EC  of 23 June 1994 laying down the principles relating to the 
zootechnical and genealogical c onditions applicable to imports  from third countries of 
animals, their semen, ova and embryos, and amending Directive 77/504/EEC on pure-bred 
breeding animals of the bovine species 
• Council Directive 92/118/EEC  of 17 December 1992 laying dow n animal health and public 
health requirements governing trade in and im ports into the Community of products not 
subject to the said requirements laid down in specific Community rules referred to in 
Annex A (I) to Directive 89/662/EEC and, as re gards pathogens, to Directive 90/425/EEC 
• Regulation (EC) No 183/2005  of the European Parliament and of the Council of 12 January 
2005 laying down requirements for feed hygiene 
• Regulation (EC) No 1069/2009  of the European Parliame nt and of the Council of 21 
October 2009 laying down health rules as re gards animal by-products and derived products 
not intended for human consumption and repealing Regulation (EC) No 1774/2002 
(Animal by-products Regulation) 
 Further information related to an imal health and animal welfar e can be found at the following 
address: 
• Animal Health and Welfare website: http://ec.europa.eu/ food/animal/index_en.htm
 
• The new EU Animal Health Strategy wher e "Prevention is better than cure": 
http://ec.europa.eu/food/anima l/diseases/strategy/index_en.htm  
• The Animal Health Action Plan to implement the Strategy: 
http://ec.europa.eu/food/animal/d iseases/strategy/ actionplan_en.htm  
 
ANIMAL WELFARE 
Relevant EU Treaty provisions: 
• Article 13 TFEU 
Relevant secondary EU law acts: 
EN 504   EN • Council Directive 98/58/EC  of 20 July 1998 concerning the protection of animals kept for 
farming purposes. 
• Council Directive 91/629/EEC of 19 November 1991 laying down the minimum standards 
for the protection of calves codified in Council Directive 2008/119/EC . 
• Council Directive 91/630/EEC of 19 November 1991 laying down minimum standards for 
the protection of pigs codified in Council Directive 2008/120/EC . 
• Council Directive 2007/43/EC  of 28 June 2007 laying down minimum rules for the 
protection of chickens kept for meat production. 
• Council Directive 1999/74/EC  of 19 July 1999 laying down minimum standards for the 
protection of laying hens. 
• Council Regulation (EC) No 1/2005  of 22 December 2004 on the protection of animals 
during transport and related operations and amending Directives 64/432/EEC and 
93/119/EC and Regulation (EC) No 1255/97, Council Regulation (EC) No 1/2005 of 22 
December 2004 on the protection of animals dur ing transport and related operations and 
amending Directives 64/432/EEC and 93/ 119/EC and Regulation (EC) No 1255/97. 
• Council Directive 93/119/EC  of 22 December 1993 on the prot ection of animals at the time 
of slaughter or killing. 
• Council Regulation (EC) No 1099/2009  of 24 September 2009 on the protection of animals 
at the time of killing. 
• Regulation (EC) No 1523/2007  of the European Parliame nt and of the Council of 11 
December 2007 banning the placing on the market  and the import to, or export from, the 
Community of cat and dog fur, a nd products containing such fur. 
• Regulation (EC) No 882/2004  of the European Parliament and of the Council of 29 April 
2004 on official controls performed to ensure th e verification of compliance with feed and 
food law, animal health and animal welfare rules. 
FEED 
Relevant EU Treaty provisions: 
• Articles 43 and 168(4)(b) TFEU  
Relevant secondary EU law acts: 
• Regulation (EC) No 767/2009  of the European Parliament and of the Council of 13 July 
2009 on the placing on the market and use of feed, amending European Parliament and 
Council Regulation (EC) No 1831/2003 and repealing Council Di rective 79/373/EEC, 
Commission Directive 80/511/EEC, Counc il Directives 82/471/EEC, 83/228/EEC, 
93/74/EEC, 93/113/EC and 96/25/EC a nd Commission Decision 2004/217/EC 
• Council Directive 70/524/EEC  of 23 November 1970 concerning additives in feedingstuffs. 
Note: Council Directive 70/524/EEC shall be re pealed with effect 18 October 2004. 
However, Article 16 of Directive 70/524/ EEC shall remain in force until 30/8/2010. 
EN 505   EN • Regulation (EC) No 1831/2003  of the European Parliament  and of the C ouncil of 22 
September 2003 on additives for use in animal nutrition 
• Council Directive 79/373/EEC  of 2 April 1979 on the circula tion of compound feedingstuffs 
• Council Directive 96/25/EC  of 29 April 1996 on the circulatio n of feed materials, amending 
Directives 70/524/EEC, 74/63/EEC, 82/471/EEC and 93/74/EEC and repealing Directive 
77/101/EEC 
• Directive 2002/32/EC  of the European Parliament and the Council of 7 May 2002 on 
undesirable substances in animal feed 
• Commission Directive 2009/8/CE  of 10 February 2009 amending Annex I to Directive 
2002/32/EC of the European Parliament and of the Council as regards maximum levels of 
unavoidable carry-over of coccidiostats or histomonostats in non-target feed 
• Commission Regulation (EC) No 124/2009  of 10 February 2009 setting maximum levels 
for the presence of coccidiostats or histomonos tats in food resulting from the unavoidable 
carry-over of these substances in non-target feed 
• Council Directive 93/74/EEC  of 13 September 1993 on feedingstuffs intended for particular 
nutritional purposes 
• Commission Directive 2008/38/EC  of 5 March 2008 establishing a list of intended uses of 
animal feedingstuffs for part icular nutritional purposes 
• Council Directive 82/471/EEC  of 30 June 1982 concerning cert ain products used in animal 
nutrition 
• Council Directive 90/167/EEC  of 26 March 1990 laying down the conditions governing the 
preparation, placing on the market and use of medicated feedingstuffs in the Community 
PLANT HEALTH 
• Council Directive 2000/29/EC  of 8 May 2000 on protective measures against the 
introduction into the Community of organism s harmful to plants or plant products and 
against their spread within the Community 
• Council Directive 69/464/EEC  of 8 December 1969 on control of Potato Wart Disease 
• Council Directive 69/465/EEC  of 8 December 1969 on control of Potato Cyst Eelworm 
(until 01/06/2010) 
• Council Directive 74/647/EEC  of 9 December 1974 on control of carnation leaf-rollers 
• Council Directive 93/85/EC  of 4 October 1993 on control of Potato Ring Rot 
• Council Directive 98/57/EC  of 20 July 1998 on the control of Ralstonia solanacearum  
(Smith) Yabuuchi et al. 
• Council Directive 2006/91/EC  of 7 November 2006 on c ontrol of San José Scale 
EN 506   EN • Council Directive 2007/33/EC  of 11 June 2007 on the control of potato cyst nematodes and 
repealing Directive 69/ 465/EEC (from 01/06/2010) 
• Commission Directive 92/70/EEC  of 30 July 1992 laying down detailed rules for surveys to 
be carried out for purposes of the recogni tion of protected zones in the Community 
• Commission Directive 93/51/EEC  of 24 June 1993 establishi ng rules for movements of 
certain plants, plant products or other object s through a protected z one, and for movements 
of such plants, plant products or other objec ts originating in and moving within such a 
protected zone 
• Commission Regulation (EC) No 690/2008  of 4 July 2008 recognising protected zones 
exposed to particular plant health risks in the Community 
• Commission Directive 92/90/EEC  of 3 November 1992 establishing obligations to which 
producers and importers of plants, plant pr oducts or other objec ts are subject and 
establishing details for their registration 
• Commission Directive 92/105/EEC  of 3 December 1992 establishing a degree of 
standardization for plant passports to be used  for the movement of certain plants, plant 
products or other objects with in the Community, and establis hing the detailed procedures 
related to the issuing of such plant passports and the conditions and detailed procedures for 
their replacement 
• Commission Directive 93/50/EEC  of 24 June 1993 specifying cer tain plants not listed in 
Annex V, part A to Council Directive 77/ 93/EEC, the producers of which, or the 
warehouses, dispatching centres in the production z ones of such plants, shall be listed in an 
official register 
• Commission Directive 94/3/EC  of 21 January 1994 establishing a pr ocedure for the 
notification of intercep tion of a consignment or a harmfu l organism from third countries 
and presenting an immine nt phytosanitary danger 
• Commission Directive 98/22/EC  of 15 April 1998 laying down the minimum conditions for 
carrying out plant health checks in the Commun ity, at inspection posts other than those at 
the place of destination, of plants, plant pr oducts or other objects coming from third 
countries 
• Commission Directive 2008/61/EC  of 17 June 2008 establishing the conditions under which 
certain harmful organisms, plants, plant products  and other objects list ed in Annexes I to V 
to Council Directive 2000/29/EC  may be introduced into or  moved within the Community 
or certain protected zones thereof, for trial or  scientific purposes and for work on varietal 
selections 
• Council Directive 91/414/EEC  of 15 July 1991 concerning th e placing of plant protection 
products on the market 
• Regulation (EC) No 396/2005  of the European Parliament a nd of the Council of 23 February 
2005 on maximum residue levels of pesticides in  or on food and feed of plant and animal 
origin and amending Co uncil Directive 91/414/EEC 
EN 507   EN • Regulation (EC) No 1107/2009  of the European Parliame nt and of the Council of 21 
October 2009 concerning the placing of plan t protection products on the market and 
repealing Council Directives  79/117/EEC and 91/414/EEC 
• Commission Regulation (EC) No 1097/2009  of 16 November 2009 amending Annex II to 
Regulation (EC) No 396/2005 of the European Parliament and of the Council as regards 
maximum residue levels for dimethoate, ethephon, fenamiphos, fenarimol, methamidophos, methomyl, omethoate, oxydem eton-methyl, procymidone, thiodicarb and 
vinclozolin in or on certain products 
• 2009/835/EC
: Commission Decision of 12 Novemb er 2009 on emergency measures 
imposing special conditions on official contro ls governing the import of pears originating 
in or consigned from Turkey due to high residue levels of amitraz 
SEEDS – PLANT VARIETY 
• Council Directive 66/401/EEC  of 14 June 1966 on the marketing of fodder plant seed  
• Council Directive 66/402/EEC  of 14 June 1966 on the marketing of cereal seed  
• Council Directive 68/193/EEC  of 9 April 1968 on the marketing of material for the 
vegetative propagation of the vine 
• Council Directive 2008/72/EC of 15 July 2008 on the marketing of vegetable propagating 
and planting material, other than seed 
• Until 29/09/2012 
• Council Directive 92/34/EEC  of 28 April 1992 on the marketing of fruit plant propagating 
material and fruit plants intended for fruit production 
• From 30/09/2012 
• Council Directive 2008/90/EC  of 29 September 2008 on the marketing of fruit plant 
propagating material and fruit pl ants intended for fruit production 
• Council Directive 98/56/EC  of 20 July 1998 on the marketi ng of propagating material of 
ornamental plants 
• Council Directive 1999/105/EC  of 22 December 1999 on the marketing of forest 
reproductive material 
• Council Directive 2002/53/EC  of 13 June 2002 on the comm on catalogue of varieties of 
agricultural plant species 
• Council Directive 2002/54/EC  of 13 June 2002 on the marketing of beet seed 
• Council Directive 2002/55/EC  of 13 June 2002 on the marketing of vegetable seed 
• Council Directive 2002/56/EC  of 13 June 2002 on the marketing of seed potatoes  
EN 508   EN • Council Directive 2002/57/EC  of 13 June 2002 on the marketing of seed of oil and fibre 
plants 
• Commission Decision 80/512/EEC  of 2 May 1980 authorizing the Kingdom of Denmark, the 
Federal Republic of Germany, the Grand Duchy of Luxembourg, the Kingdom of the 
Netherlands and the United Kingdom not to apply the conditions laid down in Council 
Directive 66/401/EEC on the marke ting of fodder plant seed, as  regards the weight of the 
sample for determination of seed of Cuscuta 
• Commission Decision 85/370/EEC  of 8 July 1985 authorizing th e Netherlands to assess the 
satisfaction of the varietal purity standard s laid down in Annex II to Council Directive 
66/401/EEC for seed of apomic tic uniclonal varieties of Poa pratensis , also on the basis of 
the results of seed and seedling testing 
• Commission Decision 2004/371/EC  of 20 April 2004 on conditions for the placing on the 
market of seed mixtures intended for use as fodder plants 
• Commission Directive 2008/124/EC  of 18 December 2008 limiting th e marketing of seed of 
certain species of fodder plants and oil and fibr e plants to seed which has been officially 
certified as ‘basic seed ’ or ‘certified seed’ 
• Commission Decision 80/755/EEC  of 17 July 1980 authorizing the indelible printing of 
prescribed information on packages of cereal seed 
• Commission Directive 2004/29/EC  of 4 March 2004 on determining the characteristics and 
minimum conditions for in specting vine varieties 
• Commission Directive 93/61/EEC  of 2 July 1993 setting out the schedules indicating the 
conditions to be met by vegeta ble propagating and planting material, other than seed 
pursuant to Council Di rective 92/33/EEC 
• Commission Directive 93/62/EEC  of 5 July 1993 setting ou t the implementing measures 
concerning the supervision and monitoring of suppliers and establishments pursuant to 
Council Directive 92/33/EEC on the marketi ng of vegetable propagating and planting 
material, other than seed 
• Commission Directive 93/48/EEC  of 23 June 1993 setting out the schedule indicating the 
conditions to be met by fruit plant propagating material and fruit plants intended for fruit 
production, pursuant to Counc il Directive 92/34/EEC 
• Commission Directive 93/64/EEC  of 5 July 1993 setting ou t the implementing measures 
concerning the supervision and monitoring of suppliers and establishments pursuant to 
Council Directive 92/34/EEC on th e marketing of fruit plant pr opagating material and fruit 
plants intended for fruit production 
• Commission Directive 93/79/EEC  of 21 September 1993 setting out additional 
implementing provisions for lists of varieties of fruit plant propagating materi al and fruit 
plants, as kept by suppliers under Council Directive 92/34/EEC 
EN 509   EN • Commission Directive 93/49/EEC  of 23 June 1993 setting out the schedule indicating the 
conditions to be met by ornamental plant pr opagating material a nd ornamental plants 
pursuant to Council Di rective 91/682/EEC 
• Commission Directive 1999/66/EC  of 28 June 1999 setting out requirements as to the label 
or other document made out by the supplie r pursuant to Council Directive 98/56/EC 
• Commission Directive 1999/68/EC  of 28 June 1999 setting out additional provisions for lists 
of varieties of ornamental plants as kept by suppliers under Council Dir ective 98/56/EC 
• Commission Regulation (EC) No 1597/2002  of 6 September 2002 laying down detailed rules 
for the application of Council Directive 1999/105/EC  as regards the format of national lists 
of the basic material of fo rest reproductive material 
• Commission Regulation (EC) No 1598/2002  of 6 September 2002 laying down detailed rules 
for the application of Council Directive 1999/ 105/EC as regards th e provision of mutual 
administrative assistan ce by official bodies 
• Commission Regulation (EC) No 1602/2002  of 9 September 2002 laying down detailed rules 
for the application of Council Directive 1999/ 105/EC as regards the authorisation of a 
Member State to prohibit the marketing of sp ecified forest reproduc tive material to the 
end-user 
• Commission Regulation (EC) No 2301/2002  of 20 December 2002 laying down detailed rules 
for the application of Council Directive 1999/ 105/EC as regards the definition of small 
quantities of seed 
• Commission Regulation (EC) No 69/2004  of 15 January 2004 author ising derogations from 
certain provisions of Council Directive 1999/105/EC  in respect of the marketing of forest 
reproductive material derived fr om certain basic material 
• Commission Decision 2004/678/EC  of 29 September 2004 author ising Member States to 
permit temporarily the marketing of seed of the species Cedrus libani , Pinus brutia  and 
planting stock produced from this seed not sa tisfying the requirements of Council Directive 
1999/105/EC 
• Commission Decision 2005/853/EC  of 30 November 2005 authoris ing France to prohibit the 
marketing to the end user, with a view to seed ing or planting in cert ain regions of France, 
of reproductive material of Pinus pinaster  Ait. of Iberian Peninsula origin, which is 
unsuitable for use in such territo ries under Council Directive 1999/105/EC 
• Commission Decision 2005/871/EC  of 6 December 2005 releasing Denmark and Slovenia 
from certain obligations for marketing of  forest reproductive material under Council 
Directive 1999/105/EC 
• Commission Decision 2006/665/EC  of 3 October 2006 temporarily authorising Spain to 
approve for marketing seed of the species Pinus radiata  and planting stock produced from 
this seed imported from New Zealand which do es not satisfy the requ irements of Council 
Directive 1999/105/EC in respect of identification and labelling 
EN 510   EN • Commission Decision 2007/527/EC  of 25 July 2007 authorisi ng Bulgaria and Romania to 
derogate from Council Direct ive 1999/105/EC on the marketi ng of forest reproductive 
material with regard to the stocks accum ulated from 1 January 2003 to 31 December 2006 
• Council Decision 2008/971/EC  of 16 December 2008 on the equivalence of forest 
reproductive material produ ced in third countries 
• Commission Decision 2008/989/EC  of 23 December 2008 authorising Member States, in 
accordance with Council Direct ive 1999/105/EC, to take decisions on the equivalence of 
the guarantees afforded by forest reproductive material to be imported from certain third 
countries 
• Commission Directive 89/14/EEC  of 15 December 1988 determin ing the groups of varieties 
of spinach beet and beetroot referred to cr op isolation conditions of Annex I to Council 
Directive 70/458/EEC on the marketing of vegetable seed 
• Commission Directive 2003/91/EC  of 6 October 2003 setting out implementing measures for 
the purposes of Article 7 of C ouncil Directive 2002/55/EC as re gards the characteristics to 
be covered as a minimum by the examination and the minimum conditions for examining 
certain varieties of vegetable species 
• Commission Directive 93/17/EEC  of 30 March 1993 determining Community grades of 
basic seed potatoes, together with the cond itions and designations applicable to such 
grades 
• Commission Decision 2004/3/EC  of 19 December 2003 author ising, in respect of the 
marketing of seed potatoes in all or part of the territory of certain Member States, more 
stringent measures against certain diseases than are provided for in Annexes I and II to Council Directive 2002/56/EC 
• Commission 
Decision 97/125/EC  of 24 January 1997 authorizi ng the indelible  printing of 
prescribed information on packages of seed of oil and fibre plants  and amending Decision 
87/309/EEC authorizing the indelible printing of  prescribed information on packages of 
certain fodder plant species 
• Commission Decision 2004/266/EC  of 17 March 2004 authorising the indelible printing of 
prescribed information on packag es of seed of fodder plants 
• Commission Directive 2008/124/EC  of 18 December 2008 limiting th e marketing of seed of 
certain species of fodder plants and oil and fibr e plants to seed which has been officially 
certified as ‘basic seed ’ or ‘certified seed’ 
• Commission Directive 2008/62/EC  of 20 June 2008 providing fo r certain derogations for 
acceptance of agricultural landraces and varietie s which are naturally adapted to the local 
and regional conditions and threatened by gene tic erosion and for marketing of seed and 
seed potatoes of those landraces and varieties 
• Council Regulation (EC) No 2100/94  of 27 July 1994 on Community plant variety rights 
• Commission Directive 2009/145/EC  of 26 November 2009 providing for certain 
derogations, for acceptance of vegetable landraces and varieties which have been 
EN 511   EN traditionally grown in particular localities and regions and are threatened by genetic 
erosion and of vegetable varieties with no intrinsic value for commercial crop production 
but developed for growing under particular cond itions and for marketing of seed of those 
landraces and varieties. 
 IX. EUROSTAT 
• Legislation in applic ation in the sector 
http://eur-lex.europa.eu/fr/le gis/legis-statistiques.htm  
• New measure already proposed by the Commissi on and due to be adopted in the sector: 
Draft Proposal for a Council Regulation ame nding Regulation (EC) No 479/2009 as regards 
the quality of statistical data in the context of  the excessive deficit pr ocedure (COM(2010) 53) 
http://intragate.ec.europa.eu/egreffe/greffe/s ervlet/FrameCreator?init=true&ticket=ECAS_ST-
486923-yxYe6nF8PLkDTcKhPqQzTRDt8tdt15Q7igIWJO0MmKX-
wkGjxchnStjMueiTZpKjZG-7UU9zzdBzjGlAo9WaiEywkm  
 
X. BUDGET 
In particular, the following legal texts are applicable: 
 ●    Article 311 ((ex Article 269 TEC)
 
The Union shall provide itself with the mean s necessary to attain its objectives and 
carry through its policies. 
Without prejudice to other revenue, the bu dget shall be financed wholly from own 
resources.  
The Council, acting in accordance with a special legislative procedure, shall 
unanimously and after consulting the Europe an Parliament adopt a decision laying 
down the provisions relating to the system of own resources of the Union. In this 
context it may establish new categories of  own resources or abolish an existing 
category. That decision shall not enter into force until it is approved by the Member 
States in accordance with their re spective constitutional requirements. 
The Council, acting by means of regulations  in accordance with a special legislative 
procedure, shall lay down implementing measures for the Union's own resources 
system in so far as this is provided for in the decision adopted  on the basis of the 
third paragraph. The Council shall act after obtaining the consent of the European 
Parliament. 
●   Council Decision 2007/436/EC, Euratom on the system of the Communities' own 
resources.  
EN 512   EN http://eur-lex.europa.eu/LexUriServ/Lex UriServ.do?uri=OJ:L:2007:163:0017:01:EN:HTML  
●      Council Regulation (EEC, Euratom)  No 1553/89 of 29 May 1989 on the definitive 
uniform arrangements for the collection of ow n resources accruing from value added tax 
http://eur-lex.europa.eu/LexUriServ/L exUriServ.do?uri=CELEX:31989R1553:EN:HTML  
● Council Regulation (EC, Euratom) No  1150/2000 of 22 May 2000 implementing Decision 
94/728/EC, Euratom on the system of  the Communities' own resources 
http://eur-lex.europa.eu/LexUriServ/L exUriServ.do?uri=CELEX:32000R1150:EN:HTML  
● PROTOCOL (No 7) ON THE PRIVILEGES  AND IMMUNITIES OF THE EUROPEAN 
UNION 
Article 3  
The Union, its assets, revenues and other propert y shall be exempt from all direct taxes. 
The governments of the Member Stat es shall, wherever possible, ta ke the appropriate measures to 
remit or refund the amount of indirect taxes or sales taxes included in the price of movable or 
immovable property, where the Union makes, for its official use, s ubstantial purchases the price of 
which includes taxes of this kind. These provisions  shall not be applied, howev er, so as to have the 
effect of distorting compet ition within the Union. 
No exemption shall be granted in respect of taxes and dues which amount merely to charges for public 
utility services. 
Article 4  
The Union shall be exempt from all customs dutie s, prohibitions and restrictions on imports and 
exports in respect of articles intended for its offici al use: articles so imported  shall not be disposed of, 
whether or not in return for paym ent, in the territory of the coun try into which they have been 
imported, except under conditions approved by the government of that country. 
The Union shall also be exempt from any custom s duties and any prohibitions and restrictions on 
import and exports in respect of its publications.