Opinion on the Commission Communication 'Europe's way to the information society - An action plan' (95/C 210/19)

At its meeting on 26 July 1994 the Bureau of the Committee of the Regions instructed Commission 3 to draw up an Opinion on the above-mentioned Communication.

The Commission for Transport and Communications Networks drew up its Opinion on 14 December 1994. The Rapporteur was Mr Leguina Herrín. Commission 7 drew up a Supplementary Opinion on 17 November 1994. The Rapporteur was Mr Dammeyer.

At its 6th plenary session, (meeting of 1 February 1995), the Committee of the Regions adopted the following Opinion, to which the Supplementary Opinion of Commission 7 is appended.

Background and legal basis

The aim of the Communication under consideration is to put forward a work programme on the information society, listing the measures which must be adopted at Community level.

This Commission action plan is in response to the invitation issued by the European Council at its meeting in Corfu on 24 and 25 June 1994. The Communication should also be seen against the background of the White Paper on growth, competitiveness and employment and the report 'Europe and the global information society' (Bangemann Report).

The Committee considers that the legal basis for the adoption of most of the measures announced in the action plan is to be found in the first paragraph of Article 129b, and that in any case the plan itself, as a whole, maintains a close relationship with this legal basis. Consequently the Committee trusts that it will be consulted during the adoption procedure for the development measures in the plan, bearing in mind that Article 129d expressly provides for consultation of the Committee of the Regions in the field of trans-European networks. The Committee's active participation in the implementation of the plan will also enable it to provide the political support requested by the Commission.

Introduction

Rapid technological advances and their use in telecommunications, information technology and television are leading to the 'information society'. This will entail profound changes in the economy and in public-sector activities, and in life-styles and social organization generally.

On the economic front a huge multi-media industry (information technology, electronics, audiovisual and telecommunications) is emerging in those economic sectors in which information is the raw material. Furthermore, other industrial sectors, operating in increasingly open markets, are being affected by the explosive growth in the 'immaterial' factors in the production process, whether it be intellectual activities or services linked to the use or promotion and sale of products.

The new information society is also going to affect the public authorities as regards procedures for providing more efficient and transparent public services and the relationship between administration and citizen.

The common information area is potentially a factor for social and economic progress, both from the point of view of business productivity and as a means of enriching the living environment of individuals. Nevertheless, the undeniably positive face of the new information society should not make us forget that these changes call for a considerable capacity for adaptation. A lack of the requisite skills could lead to cultural marginalization and hence social polarization. The traumatic imposition of the new technologies brings with it the risk of isolation, intrusion of privacy and higher unemployment. For this reason it is essential that a rigorous study be carried out of the foreseeable impact of these technologies on our society so that proper back-up measures can be taken.

The regional and local bodies of the European Union are called upon to play a fundamental role in preparing for and developing the information society - in terms of both the above-mentioned back-up measures and the implementation of the new applications in firms and among citizens.

The European Union has the very difficult task of overcoming the imbalance and marginalization which may beset those areas not or insufficiently endowed with the new telecommunications infrastructure and services. The immediate consequence of this is that total liberalization of infrastructure must be subordinate to the full guarantee of universal service. Similarly the regions are concerned to ensure that the systems and applications developed in the information society take account of the specific cultural characteristics of the various regions which go to make up the European Union. Both demands - guarantee of universal service and respect for cultural diversity - form part of the joint declaration, to which we subscribe, of the group of 17 border regions of the Benelux countries, France and Germany which met on 26 October last in Brussels to discuss the role of Europe's regions in the information society.

Content

1. The COR supports the telecommunications initiative of the European Union and in particular the Commission's Communication of 19.7.94 (Doc. COM(94) 347 final) entitled 'Europe's way to the information society. An action plan'. Thus it considers it essential that the EU promote the rapid development of information infrastructure (networks, services and applications) on the basis of a coherent, balanced overall approach.

2. It notes that, as part of this approach, the European Union must tackle telecommunications and audiovisual problems, taking as its guide the principle of subsidiarity.

3. It acknowledges that the information society entails the liberalization of services and infrastructure. But this liberalization must take second place to the definition and guarantee of universal service. The universalization of services and the simultaneous introduction of such services throughout the Union is necessary for social cohesion. In the new situation all authorized operators will have to shoulder their share of responsibility as managers of a public service (universal service obligation and equal access to networks and services).

4. It also considers that the liberalization of telecommunications in Europe is part of a process of global liberalization. The EU's task in this undertaking is to encourage, through the appropriate channels, suitable changes in the regulatory regime as regards:

i) interconnection of networks and interoperability of services;

ii) adjustment of tariffs prior to liberalization;

iii) intellectual property and legal protection of data bases;

iv) electronic and legal protection, security of information in defence of personal privacy.

Media ownership must be treated with special caution; the Member States must retain the right to enact specific media-related laws.

5. The COR endorses the principle whereby it should preferably be the responsibility of the private sector to establish the networks, provide some services and develop some applications while the public sector will provide services and develop applications to ensure that universal access to essential information for citizens is freely available.

6. In line with the comments in the preceding point, the COR supports the inclusion in the EU's 4th R& D framework programme of actions for the development of new communications technologies and for their dissemination and use.

It is also very important to pay special attention to those actions relating to the information society in the Community Support Frameworks being developed under the various Structural Fund objectives.

7. The regional and local authorities, being close to the populace, have an essential duty to ensure that the benefits of the information society are shared by all citizens.

8. The COR considers that the generalized use of the new networks and services will trigger profound changes in the lives of individuals, in business organization and public administration. It will call for wide-ranging political action, which will have to be set out clearly.

9. In the wake of the development of the information society (fewer people and products needing to be shifted daily, traffic and environmental improvements, change in the use of available land, etc.), there will be a reassessment of space and time which will radically alter the very concepts of land-use planning and transportation, basic tools of regional and local policy. There will, however, be a need to carefully assess the environmental impact of the provision of infrastructure for an information society, e.g. cables and masts.

10. It is possible that the market will not be able to generate sufficiently rapidly a level of demand commensurate with the investment needed for the new infrastructure.

Hence the COR thinks that the public authorities (central, regional and local) should help, within their respective spheres, to underpin and stimulate demand by participating in pilot projects for applications and in the promotion of teleservices. In this way they will help bring about the cultural change needed to develop the information society.

The COR is interested in the Commission's proposal to set up a network of six 'pilot regions for the information society' and hopes that this network and the lessons to be learnt from it will be extended to all Member States and regions. The COR is eager that the funding needed for this experiment should be sufficient after 1995 so that the work can be continued and hopefully built upon.

11. In this connection it considers that the regional and local levels are most suitable for carrying out pilot experiments, bearing in mind the concentration in these areas of potential users, guaranteeing the necessary critical mass, as well as providing tangible results. The COR could help promote this and improve its own work and effectiveness through the development of a network designed to improve communication between the Committee and local and regional authorities and their national associations and to facilitate communication with and between members of the Committee.

12. The COR is aware that the information society arouses fear of the unknown as well as hope. For this reason it firmly supports the Commission's idea to evaluate the impact of these new technologies on social, economic and regional cohesion.

13. More specifically it also welcomes the promised report on the social consequences ensuing from the creation of the 'flexible firm', including the consequences of the development of core and peripheral activities, flexible working time arrangements, continuing training, teleworking and networking between firms.

14. Before it can come into existence, the information society must be understood and endorsed by citizens as a conditio sine qua non for the viability of the new telecommunications services. In this connection, the COR confirms the need for measures to inform, explain and publicize its effects for the benefit of the EU's citizens in general and certain target groups in particular. Regional and local bodies, being in a privileged position, must play a crucial part in this task of putting over and promoting the new services.

15. The COR endorses the ten applications proposed by the Bangemann Group and undertakes to participate in those of most immediate relevance to the public interest; to this end it calls for close and permanent cooperation to be established between regional and local bodies and the proposed 'Information Society Project Office'.

16. The COR asks to be consulted by, and offers in advance its support to, the Commission and the Council with regard to any discussion documents, guidelines and regulations connected with the information society.

Conclusions

In conclusion the COR expresses its support for the Commission Communication 'Europe's way to the information society. An action plan' (Doc. COM(94) 347 final) and would make the following comments:

a) The COR endorses the liberalization of telecommunications infrastructure and services for its potential to improve the quality of life of citizens.

b) It would point out that the relevant powers of the Member States, particularly their powers to regulate the media and broadcasting, must be preserved.

c) It would make such liberalization dependent on the prior and effective guarantee of universal service in strict compliance with the principle of economic and social cohesion.

d) It considers that a rigorous study should be made of the impact of applications in the social, economic and cultural spheres so that suitable measures can be adopted to ensure that the transition to the new information society is socially acceptable.

e) It considers that the principle of ensuring universal provision of essential public information regardless of the citizen's ability to pay should be embraced by local and regional bodies in preparing for and consolidating the information society. The COR must be represented on the working groups studying the implementation of the information society, and must be consulted on all decisions and measures provided for in the action plan.

f) The COR offers itself as a potential basis for the development of an information network connecting the local and regional authorities of Europe and thus promoting the understanding of information systems.

Done at Brussels, 1 February 1995.

The Chairman

of the Committee of the Regions

Jacques BLANC

APPENDIX

Supplementary Opinion of the Committee of the Regions

On 15 November 1994, the Committee of the Regions, acting under Article 198c of the Treaty establishing the European Community and Rule 9(1) of its Rules of Procedure, decided to draw up a Supplementary Opinion on the above-mentioned proposal.

Commission 7 - Citizen's Europe - Research - Culture - Youth and Consumers of the Committee of the Regions, which was responsible for preparing the Committee's work on the subject, adopted its Supplementary Opinion unanimously on 17 November 1994. The Rapporteur was Prof. Manfred Dammeyer (D).

THE COMMITTEE OF THE REGIONS:

I. Whereas:

- The transition to the 'information society' in the coming years will be of crucial importance for the future of Europe's regions and their citizens. Within a few years, the new information and communications technologies, together with their interactive applications, will radically alter daily life in the regions, changing the ways in which people live, work, learn, consume and communicate. At the same time, the divisions between the hitherto independent telecommunications, audiovisual, data-processing, office communication and consumer electronics sectors will virtually disappear. A 'multi-media' world is coming into existence. The 'digital revolution' is bringing about a structural economic and social change that is comparable in scale to the industrial revolution of the nineteenth century.

- The development of the information society can create major opportunities for all the EU regions; the new information and communications technologies can make a significant contribution to job creation and to the solving of pressing transport, environmental and health problems. Such technological development may, potentially, lead to social progress. Providing careful thought is given to how such tendencies could be encouraged, the effects could include easier access by the citizen to information and, as a result, greater freedom. Similarly, by paying the same degree of attention, interactive applications should, as a priority, help to increase participation in democratic processes and improve the social profitability and public acceptability of administrations. However, widespread use of the new technologies could also jeopardize social conditions, data privacy, consumer protection, education, culture and the audiovisual media. Similarly, the transition to the information society may adversely affect employment in certain sectors. There is also the danger of a new division in society between a highly-qualified and privileged class of 'initiated' and a marginalized class of 'uninitiated'. The new applications could threaten the protection of privacy and private oligopolies could endanger competition in the new markets.

- Transition to the information society is an economic and political necessity, if the major challenges facing Europe and its regions are to be mastered. In a world economy characterized by globalization and ever-fiercer competition, the management, quality and speed of transmission of information will be one of the decisive factors in determining the competitiveness of businesses - and particularly SMEs. With approximately 380 million consumers, the EU accounts for more than a third of the world market. Notwithstanding some 17 million permanently unemployed, however, fewer new jobs in information and communications technologies have been created in Europe than in the USA, its principal rival.

- A crucial issue for the economic development of Europe and its regions will be whether its firms can withstand international competition on the European and world markets or whether the major US concerns can also achieve dominance in Europe. The main features of the present situation in Europe are a lack of focus on the part of both private and public initiatives and a lower level of telecom infrastructure development than in the USA. In this context the commercial and industrial stakes are incalculable and justify the EU's wish to chart a passage for this emerging sector. The economic and social situation of many citizens, and particularly the future structure of employment, depend on this sector's capacity to respond to these challenges.

II. Having regard to the following action of the European Union:

- At the initiative of the European Commission, the European Union has reacted aggressively to the international challenge. The White Paper on Growth, Competitiveness, Employment and the report of the group of leading experts chaired by Commissioner Bangemann represent Europe's response to the Clinton/Gore initiative on a National Information Infrastructure Project and a Global Information Infrastructure Project.

- At its Corfu meeting on 24-25 June 1994, the European Council welcomed the Bangemann group's report and called on the Commission to draw up a programme covering all necessary Community measures as soon as possible. The Council will assess progress at its meeting in Essen on 9-10 December.

- Against this background, the Commission is proposing a comprehensive work programme as the basis for all its activities relating to the information society. This 'Action Plan' is quite specific with regard to the following objectives: rapid removal of existing barriers (liberalization of the telecommunications infrastructure and services); definition of a precise regulatory framework (protection of intellectual property rights and privacy, control of media concentration, free movement of TV programmes); promotion of new applications. On the other hand, the 'social, societal and cultural aspects', i.e. measures to counter undesirable secondary effects, are mainly seen as problems, with no indication of possible solutions.

III. Has adopted the following Opinion on the Commission Action Plan entitled Europe's Way to the Information Society:

1. General comments

1.1. The Committee of the Regions welcomes the Commission's speedy adoption of the initiatives which will enable the European Union to make an appropriate response to the international challenge. It fully supports the Commission's attempt to press ahead resolutely with the launch of the information society and to create the conditions required for the development of an efficient, low-cost information infrastructure and of markets for the new services. However, the COR considers that the speed, nature and scope of this programme must be based on the lessons to be learnt from the two parts of the Green Paper on the liberalization of infrastructure.

1.2. It is important for the information society to develop within the framework of the European social model in which economic progress is linked to social and cultural progress. The proposed liberalization process must also be based on a study of the social impact, in particular the impact on employment and the working environment, on education, culture and the audiovisual media. Equally, the proposed liberalization cannot be allowed to harm universal services, which are still protected by national monopolies. The Committee of the Regions welcomes the fact that the Commission regards the full involvement of the social partners as an essential means of ensuring an adequate response to the challenges of structural change. In view of the considerable impact of this structural change at regional level, the regions should also be involved from the outset.

1.3. It will be essential, in connection with the necessary development of the regulatory framework for a European-wide market, to avoid any unnecessary centralization and observe the principle of subsidiarity. The Commission Action Plan does not, as yet, pay sufficient attention to this. The responsibilities and powers of regional and local authorities, particularly with regard to education, culture and the audiovisual media, must be fully respected in the interests of diversity and bringing the Community closer to its citizens.

1.4. The media sector, which will be as equally affected as telecommunications by the launch of the information society, must retain its cultural identity in the face of the new products and multimedia services. However, the Commission's comprehensive action plan pays far too little attention to the audiovisual sector and its distinctive features. Media policy is in danger of becoming a mere appendage to a telecommunications policy for which the 'rules of the game' are being defined more and more by the Commission.

Even if technologies and markets are becoming more global, the media will continue to be a vehicle for information, culture and entertainment in the Member States and their regions and local areas, which have their own linguistic, social and political identities. In view of this fact, the Commission should take greater account of the primary responsibility of the Member States and their regions for media policy.

The Committee of the Regions would ask the Council to pay particular attention to this in its further discussions. To enable greater account to be taken of the special features of the audiovisual sector in future, it would also ask the Council to convene a special Council of Ministers with responsibility for the media to deal with all matters affecting this field.

1.5. The Committee of the Regions would ask the Council and the Commission to involve it in all their discussions of the Action Plan's implementing measures, particularly where these relate to the cultural sector, the audiovisual media, language issues, the protection of privacy, employment, the working environment and consumer protection.

The Committee would ask the Commission to bear the regions in mind when it appoints the high-level group of experts which is to advise the Commission on support measures in the social and cultural sectors.

To enable regional and local authorities to play an active part in the shaping of the information society, the Committee of the Regions would ask the Commission to allow its members access to the preparatory studies which it has commissioned or intends to commission in connection with the measures proposed in the Action Plan. This applies, in particular, to the projected studies on the impact on employment policy, on the effects on regional, social and economic cohesion and on linguistic issues. The Committee would also reaffirm the request made in its Opinion of 27-28 September 1994 on the Green Paper on audiovisual policy, that its members be given access to the existing studies on pluralism and media concentration.

2. Specific comments (regarding points in the reference document)

Section I. Regulatory and legal framework

The Committee of the Regions endorses the conclusion of the Corfu Summit concerning the need to back up the efforts of the private sector by the rapid establishment of a clear and stable regulatory framework. At the same time, it considers it essential for the large-scale introduction of the new information and communications technologies to be accompanied by an extension of Union citizens' rights. This applies not only to the protection of privacy, which the Commission rightly stresses (see Section I.6) and which calls for new solutions in the light of the new interactive services, but also to the need to ensure non-discriminatory and inexpensive access to the new interactive services for all citizens.

Section I.1. Establishment of an authority at European level

The Committee of the Regions sees no a priori need for the creation of a European authority which might be entrusted with activities at present exercised by the Commission and the Member States. It considers decentralized control to be appropriate insofar as matters must be dealt with as closely as possible to the grass-roots' level. It thinks that increased cooperation between the national authorities will be quite sufficient to ensure greater regard for the European dimension. The Committee of the Regions trusts that the Commission will present it with the 'in-depth studies' of this question in good time; it intends to deliver an Opinion on the planned Commission proposals.

Sections I.8. Media ownership and I.10 Audiovisual

The Committee of the Regions reaffirms its Opinion of 27-28 September 1994 on the Green Paper on Audiovisual Policy (Doc. COM(94) 96 final). It repeats its urgent request to the Commission concerning the involvement of the regions in new discussions of further action on 'Pluralism and Media Concentration' from the outset. It regrets the Commission's failure to consult the COR on its Communication on Follow-up to the consultation process relating to the Green Paper on Pluralism and Media Concentration in the Internal Market, and intends to deliver an Own-initiative Opinion in accordance with Article 198c of the EC Treaty.

The Committee of the Regions trusts that, in submitting proposals for the amendment of the Television Directive, the Commission will take strict account of the responsibility of the Member States and their regions for media policy and confine itself to the absolute minimum necessary to guarantee the freedom to provide cross-frontier radio broadcasting services whilst remembering to set up arrangements to prevent the dangerous phenomenon of media concentration.

Section II.3. Applications

The Committee of the Regions welcomes the Commission's intention to establish an Information Society Project Office as a user-friendly interface between the Commission and the parties concerned. It sees this as an important means of bringing the Community's activities closer to its citizens. It also considers it desirable for such project offices to be set up in the Member States to cooperate closely with the Commission's office.

The Committee of the Regions welcomes the fact that the private sector will be mainly responsible for financing the networks and the introduction of applications to the market and that the Community will concentrate on providing the information society with funds from existing financial instruments. This is particularly true in the case of the 4th Framework Programme on research, technological development and demonstration and its specific programmes on advanced communication and telecommunication services and information technology. With regard to the concentration of efforts in connection with the Structural Funds, the Committee of the Regions asks that these Funds take account of the new telecommunication systems in future. It also asks that they are administered as clearly as the above 4th Framework Programme.

The Committee of the Regions emphatically welcomes the Commission's initiative to stimulate new forms of partnership between the private and public sectors for the execution of demonstration pilot projects designed to speed up the development of markets whilst ensuring that this is wholly compatible with social concerns. Here, aspects that could affect the handicapped should also be considered. Regional and local authorities are called on to launch such projects in their respective areas, but implementation and financing must essentially be undertaken by the companies concerned. Demonstration projects included in the action plan, involving regions from different Member States, are regarded by the Committee of the Regions as particularly important.

Section III. Linguistic aspects

The Committee of the Regions does not underestimate the potential impact of the global information society on the development of individual national languages and particularly the languages of ethnic minorities.

It would stress that linguistic issues are the exclusive responsibility of the Member States and, where appropriate, their regions and that, to this extent, the Community has no competence in this field.

The Committee of the Regions warns against Community interference in the linguistic responsibilities of the Member States and their regions in the context of the 'language-based industry'. It would point out that the Council of Europe's European Charter for Regional or Minority Languages is currently awaiting signature.

In view of their competence, and in keeping with the principle of subsidiarity, the regional and local authorities of Europe reserve the right to examine critically any Commission proposal introducing or applying regulations designed to promote new services, including language-based services.

Section IV. Promotion activities

Like the Commission, the Committee of the Regions stresses the need for a targeted, on-the-spot approach to prepare citizens, especially the young, and firms, especially SMEs, for the information society. However, since the changes brought in by the information society are going to be so far-reaching, mere information campaigns will not suffice. Instead, the Member States, their regions and their local authorities should make adequate preparation for the challenges of the information society under their general education and vocational training systems; the Community's role here is limited by Articles 126 and 127 of the EC Treaty to 'encouraging cooperation between Member States and, if necessary, (...) supporting and supplementing their action (...)'.

Brussels, 17 November 1994.

The Chairman

of the Committee of the Regions

Jacques BLANC