Draft COUNCIL REGULATION (EURATOM, EC) concerning structural business statistics
Date: 1995-03-31
Institutions: European Commission
Subjects: EU statistics, branch of activity, business policy, company structure, competitiveness, economic statistics

COMMISSION  OF THE  EUROPEAN  COMMUNITIES 

Brussels,  31:03.1995 
COM(95) 99 final 
95/0076  (CNS) 

Draft 
COUNCIL REGULATION  (EURATOM. EC) 

concerning  structural  business  statistics 

(presented by the Commission) 

EXPLANATOR Y MEMORANDUM 

The  general  purpose  of  the  Regulation  is  to  require  Member  States  to  provide  Eurostat  with 
comparable statistical  data relating to the structure,  activity,  competitivity  and  performance  of  the 
European business Community. It should be noted that it is the Member States who are responsible 
for the collection of the data, not the Commission. The Regulation lays down the norms, standards 
and definitions  necessary  for  producing  comparable statistics within the European  Union,  without 
detailing the actual collection methods to be used. As such each Member State may conduct the data 
collection exercises in the manner most appropriate to its own situation, for example to take account 
of national requirements for the presentation of company accounts. 

Needs of Users 

The statistical services of the Member States co-ordinated by Eurostat have a significant role to play 
in  meeting  the  European  Union's  need  for  information  on  the business  Community.- The  recent 
developments in Community economic and social integration require information  for supporting the 
development  and  following  the  impact  of  initiatives  and  decisions  to  be  based  on  more reliable, 
exhaustive, up-to-date and comparable statistics. Statistical information on businesses is required for 
the  follow-up  of  the  internal  market  and  the  development  and  appraisal  of  economic,  social, 
industrial,  sectoral,  regional,  competition,  enterprise  and  environmental  policies.  Furthermore, 
international treaties such as that instituting the General Agreements on Trade in Services (GATS) 
require harmonised Community  statistics.  In addition,  businesses  themselves  need  information  on 
their  activity  and  performance  relative  to  competitors  in  their  sector  in  regional,  national  and 
international markets. 

Finally,  the  structural  statistical  surveys  proposed  in  this  Regulation  provide  an  indispensable 

reference  for  other  business  statistics  such  as the harmonised  Community  short  term  and product 

statistics as well as for the compilation of national accounts. 

Existing situation 

For many years harmonised  Community structural  statistics have only been available for  a limited 
part of the business community, namely the traditional industrial sectors of energy and water supply 

and the extractive, manufacturing and construction industries. The coverage of service sectors in the 

Member  States  has been  both  incomplete  and  carried  out  in  a  non-harmonised  format  which  has 

severely limited the comparability of the resulting information at a Community level. 

'.'  -let--: 

' 

, 

The  statistical  information  that  has  been  available  for  the  industrial  sectors  since  the  two  Council 

Directives covering this area were adopted (in  1964 and  1972) has become progressively  less useful 

as the inflexibility  of  the legal  instruments has  not permitted  economic  and technical  developments 

to be taken into account during the intervening years. 

Aims of  the new legal  instrument 

Provide  a  common  framework  for  the  collection,  transmission  and  development  of  structural 

business  statistics  in  order  to  produce  data  comparable  between  the  different  Member  States  to 

support  the  need  for  statistical  information  of  the  Commission,  Member  States,  enterprises  and 

other users. 

Continue  and strengthen  the  development  of  the  Community  statistical  system,  incorporating  into 

the production of structural statistics the recently developed  Community  statistical tools  such as the 

new  classification  of  activities  (NACE  Rev.l  -  Council  Regulation  761/93  of  24.3.1993),  the 

definition  of  statistical  units  (Council  Regulation  696/93  of  15.3.1993)  and  the  drawing  up  of 

business  registers  (Council  Regulation  2186/93  of  22.7.1993)  as  well  as  the  transmission  of 

confidential  data (Council Regulation 1588/90 of  1L6.1990) 

Provide  flexibility  to  allow  minor  changes  notably  to  the  list  of  data to  be  collected  in  the  future 

(use of Council Decision 87/373 of  13.7.1987 on  'Comitology'). 

The Regulation also aims to  create a legal  framework  which  is  sensitive to the statistical  burden on 

respondents  to  surveys,  in particular by  opening  up the use  of  existing  administrative  information 

for statistical purposes within the limits of national legislation. 

Consultation of interested  parties 

For the industrial sectors a group of representatives of data suppliers, data collectors  and users were 

consulted  at the very  outset  of  the work* prior  to  the  drafting  of  legislation,  to  identify  the main 

problems  with  the  statistics  provided  under  the  existing  legislation  for  the  industrial  sectors.  A 

detailed  analysis  of  the needs for  statistics  in the services  sector  (where no harmonised  Community 

surveys  exist  at present) was prepared. This looked  at the needs of various  Commission  services as 

well  as the needs expressed at a national level. 

Representatives  of the business  community at the European level  were presented  with several  drafts 

of the text. 

I Or 

17/11/1993 Full  day  meeting  with over 50 representatives  of  industrial  and  service  sectors 
and chambers of commerce. There was support for  the co-ordinated approach  adopted  in the 
text  which  should  reduce  duplication  and  unnecessary  burden.  The  importance  of  data 
freshness  and  coverage were stressed  as was the need  for  very  detailed  structural  data  for 
sectoral  analysis. There were misgivings  about the number  of variables  to  be  collected  and 
the subsequent burden on the enterprises. The need for a co-ordinated European development 
of  business  statistics  was  underlined,  with  particular  regard  to  the  Europeanisation  of 
business which required activities beyond the scope of individual countries. 
17/2/1994 Point of information on the progress and changes made since the previous meeting. 
Distribution of the text. 43 participants. 

14/10/1994  Point  of  information  on  the  progress  and  changes  made  since  the  previous 

meetmg. Distritoion of me text. Approximately 40 participants. 

The  principal  users  of  industrial  structural  data  within  the  Commission  have  been  consulted  on 
numerous occasions during the preparation of the draft text. There was support for the extension of 
the coverage of the surveys, particularly regarding the improved list of variables (R&D, energy and 
environment)  and  for  the introduction of  rapid  results  (estimations  to  be  provided  in  advance of 
final results).  There  were requests  for  more variables to  be  included  particularly  concerning  the 
depreciation of assets. 

The National statistical offices  who are responsible for data collection have been consulted on many 
occasions  during  the  preparation  of  this  text.  Discussions  have  been  held  in  sectoral  meetings 
(industry,  distributive  trades,  services)  and  subject  meetings  (Research  and  development, 
environmental protection) as well as wimin the Statistical programme Committee. There is support 
for tilie draft  text  from  many  countries.  The  Member  States  who  objected  to  the  text  did  so 
principally on the grounds of the cost of setting up new data collection exercises, particularly in the 
services sector. 

Draft 
COUNCIL REGULATION  (EURATOM. ECV 

concerning  structural  business statistics 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty establishing the European Community, and in particular Article 213 thereof, 

Having regard to the draft Regulation submitted by the Commission1, 

Having regard to the opinion of the European Parliament2, 

Having regard to the opinion of the economic and social committee3, 

Whereas  the  Council  Directive  No.  64/475  of  30  July  19644  and  Council  Directive  No.  72/221  of  6  June 

19725 w nich  aimed to provide a body  of coherent  statistics,  have not been able to  take account of  economic 

and technical changes; 

Whereas in its Resolution of  14 November  19896,  the Council requested the Commission to improve statistics 

on distributive trade by rendering them compatible with Community definitions and ensure that more such data 

are supplied to the Statistical Office of the European Communities; 

Whereas  in  Decision  92/326  of  18 June  19927,  the  Council  adopted  a  programme  for  the  development  of 

statistics  on  services,  including'the  drawing  up  of  harmonised  statistics  at  national  and  regional  levels, 

particularly for distributive trade and distribution; 

1 
2 
3 
4 
5 
6 
7 

Official Journal * *** of **.**.****, p. *. 
Official Journal * *** of **.**.****, p. *. 
Official Journal * *** of **.**.****, p. ». 
Official Journal L 131 of 13.08.1964, p. 2193. 
Official Journal L 133 of 10.06.1972, p. 57. 
Official Journal C 297 of 25.11.1989, p. 2. 
Official Journal L 179 of 01.07.1992. p. 131. 

u. 

Whereas in its Directive 78/660 of 25 July  1978°  the Council adopted  measures to improve the co-ordination 

of  national  provisions  concerning  the  presentation  and  content  of  annual  accounts  and  annual  reports,  the 

valuation methods used therein and their publication in respect of certain companies with limited liability; 

Whereas  the  European  Community  has  in  the  meantime  made  substantial  progress  towards  integration; 

whereas  new  economic,  competition,  social,  environmental  and  enterprise  policies  and  guide-lines  call  for 

initiatives  and  decisions  based  on  valid  statistics;  whereas  the  information  provided  for  under  existing 

Community  legislation  or available  in the various  Member  States  is  insufficient,  inadequate or  insufficiently 

comparable to serve as a reliable basis for the work of the Commission; 

Whereas  in  its  Decision  93/379  of  14  June  1993'  the  Council  adopted  a  multiannual  programme  of 

Community  measures  to  intensify  the priority  areas and to  ensure the continuity  and consolidation  of  policy 

for  enterprise,  in  particular  small  and  medium-sized  enterprises,  in  the  Community;  Whereas  statistics  are 

needed to assess the impact of the measures undertaken to achieve the objectives laid down in the Decision,  in 

particular  to have  statistics  which  are comparable  for  businesses  of  all  sectors,  statistics  on  the  national and 

international  sub-contracting relations between businesses  and improved  statistics on small  and medium sized ' 

enterprises; 

Whereas in its Decision 93/464  of 22 July  1993*0  the Council  adopted a framework programme for priority 

actions in the field of statistical information for 1993 to 1997; 

Whereas  there  is  a  need  for  statistics  on  business  conduct,  in  particular  concerning  training,  research, 

development  and  innovation,  environmental  protection,  investment,  eco-industries,  tourism  and  high-

technology industries; Whereas the development of the European Community and the operation of the internal 

market increase the need for comparable data on the structure of earnings of employees,  the cost of  labour and 

of the training by businesses; 

Whereas there is a need for complete and reliable statistical  sources in order to enable a correct application of 

the  Council  Directive  on  the  harmonisation  of  the  compilation  of  gross  national  product  at  market  prices 

(89/130/EEC,  Euratom);11 

Whereas  the  compilation  of  national  accounts  according  to  the  European  System  of  Integrated  Economic 

Accounts (ES A) requires the development of comparable, complete and reliable statistical sources; 

Whereas there is a specific  need for regional  indicators and accounts to monitor the effects  of the allocation of 

the structural  funds; 

8 
9 
10 
11 

Official Journal L 222 of 14.8.1978, p. 1. 
Official Journal L 161 of 02.07.1993, p. 68. 
Official Journal L 219 of 28.08.1993, p.l. 
Official Journal L 49 of 21.2.1989, p. 26. 

Whereas, in order to carry out the tasks entrusted  to it under the Treaties, especially with regard  to the internal 

market  under  Article  7a  of  the  Treaty  establishing  the  European  Community,  the  Commission  must  have 

exhaustive,  up-to-date,  reliable  and  comparable  information  on  the  structure,  activity  and  performance  of 

economic activities in the Community; 

Whereas  standardisation  is  required  to  meet  Community  needs  for  information  concerning  economic 

convergence; 

Whereas  businesses  and  their  professional  associations  need  such  information  in  order  to  understand  their 

markets and to know their activity and performance  relative to competitors in their sector,  at regional,  national 

and international level; 

Whereas  in accordance with  the principle of  subsidiarity  the creation  of  common  statistical  norms  that  permit 

the production  of harmonised  data is an action which  can  only  be undertaken  efficiently  at  Community  level; 

Whereas  such  norms  will  be  implemented  in  each  Member  State  under  the  authority  of  the  bodies  and 

institutions in charge of compiling official  statistics; 

Whereas the best method of ascertaining the structure,  activity and performance  of economic activities consists 

of  compiling  statistics  which  conform  to common  methodological  principles  and  with  common  definitions  of 

characteristics;  whereas  it  is  only  from  co-ordinated  compilation  that  harmonised  statistics  can  be  drawn  up 

with  reliability,  speed,  fiexibihty  and the level of  detail required  to meet  the needs  of  the Commission  and of 

enterprises; 

Whereas  the  statistical  data  compiled  within  a  Community  system  must  be  of  a  satisfactory  quality  and  this 

quality, as well as the burden it entails, must be comparable from one Member State to another,  and whereas it 

is therefore necessary  to establish jointly  the criteria enabling these requirements to be met; 

Whereas  it  is  necessary  to  simplify  the  administrative  procedures  for  enterprises,  particularly  smaller 

enterprises,  including  the promotion  of new  technologies  for  data collection  and  compilation;  Whereas  it may 

still be necessary  to collect directly  from  businesses  the data necessary  to compile structural  business statistics, 

using  methods  and  techniques  which  will  ensure  that  they  are  exhaustive,  reliable  and  up  to  date,  without 

giving  rise  for  the parties concerned,  in particular  for  small  and  medium  sized  businesses,  to  a  burden  out  of 

proportion  to the results which users of the said statistics can reasonably expect; 

Whereas the General agreement on trade in services (GATS) has been  signed  and  their  is a substantial  need  for 

statistics implied  in its management  and development  in terms  of  the size of  the signatories'  markets  and  their 

shares of these markets; 

Whereas  it  is necessary  to  have a legal  framework  common  to  all  business  activities  and  domains  of  business 

statistics covering also the activities and domains for which statistics are not yet  developed, 

HAS ADOPTED  THIS  REGULATION: 

Article  1 

Aims 

(1) 

Within  the  framework  of  the  elaboration  of  a  European  Information  System  on  businesses,  the 

Member  States shall  carry  out  the production  of  Community  statistics  on  the structure,  activity  and 

performance  of businesses in the Member States, as well as the future  development of these statistics 

in co-operation with the Commission. 

(2) 

For  the collection  of  data  and  the  compilation  of  statistics  referred  to  in  paragraph  1,  the  Member 

States,  in  co-operation  with  the  Commission  in  accordance  with  the  multiannual  framework 

programme  for  priority  actions  in the field of  statistical  information  for  1993  to  1997 as  established 

by  Council  Decision  (EEC)  No.  464/93  of  22  July  1993,  shall  promote  the  conditions  for 

administrative simplification  for businesses in providing official  statistics. 

SCOPE 

Article  2 

Coverage 

(1) 

The  present  Regulation  covers  all  activities  in  Sections  C  to  K  and  M  to  O  of  the  statistical 

classification  of  economic  activities  in  the  European  Community  (NACE  Rev. 1)  as  established  by 

Council  Regulation  (EEC)  No  3037/90  of  9  October  199012  and  amended  by  Commission 

Regulation.(EEC)  No 761/93 of 24 March  199313. 

(2) 

Statistical  units of the types listed  in section  I of  the Annex  to Council  Regulation  No.  696/93 of  15 

March  1 9 9 3^  classified  to one of  the activities referred  to in paragraph  1 are  included  in the  scope 

of  the Regulation.  The use of  particular  units  for  the compilation  of  the  statistics  is  specified  in  the 

annexes  referred  to in Article 4 paragraph  3.  Data on activities  in Sections  M  to  O of  NACE  Rev.l 

cover  private  sector  entities,  general  government  and  private  non-profit 

institutions.  The 

12 
13 
14 

Official  Journal L 293 of 24.10.1990, p. 1. 
Official Journal L 83 of 3.4.1993, p. 1. 
Official  Journal L 76 of 30.03.1993, p. 1. 

identification  and classification  of  government  and private non-profit  institutions'  activities  must  be 

carried  out  using  statistical  units  corresponding  to  entities  which  are  closest  to  the  statistical  units 

defined  in the private  sector. 

Article  3 

Domains 

The present Regulation relates to the compilation of statistics on the following  domains: 

i 

the  structure  of  the  activities,  and  their  evolution,  as  well  as  the  type  of  relations  between 

businesses; 

ii 

the  factors  of  production  used  and  other  elements  allowing  business  activity,  performance  and 

competitivity  to be measured; 

the regional, national,  Community and international development of businesses and markets; 

the elements allowing business conduct to be studied; 

the specific elements for the study of small and medium sized  enterprises; 

the  specific  elements  for  the  study  of  particular  regroupings  of  activities  or  analysis  according  to 

analogous classifications. 

, 

iii 

iv 

v 

vi 

OBSERVATION  AND ESTIMATION  OF CHARACTERISTICS  AND 

THE  COMPILATION  AND TRANSMISSION  OF RESULTS 

Article  4 

Modules 

(1) 

The statistics to be compiled  for  the domains listed in Article 3 shall be divided  into modules. 

(2) 

The modules will be organised as one of two types: 

Common  module:  Statistics to be compiled annually  for  all or  most of  the activities  listed  in  Article 

2 paragraph  1 

Detailed  module:  Statistics to be compiled  for  particular  regroupings  of activities  or  themes  relating 

to the domains listed in Article 3. 

(3) 

Each module  shall be laid down  in Annexes  to  the present  Regulation,  which  form  an  integral  part 

thereof. The following  minimum information  shall be laid down in each module: 

i) 

the  activities  for  which  the  statistics  are  to  be  compiled,  drawn  from  the  coverage 

indicated in Article 2 paragraph  1 of the present  Regulation, 

ii) 

the types of statistical unit to be used  for  the compilation of the statistics,  drawn from  the 

list of statistical units referred  to in Article 2 paragraph 2 of the present  Regulation, 

iii) 

lists  of  characteristics  for  which  statistics  are  to  be  compiled  for  the  domains  listed  in 

Article  3  and  the  reference  periods  for  these  characteristics.  These  lists  may  vary 

according  to  the  different  main  activities,  sizes,  geographical  locations,  legal  forms, 

financial  and  economic  control  and  type  of 

the  statistical  units  for  which 

the 

characteristics need  to be observed, 

iv) 

a list of statistics to be compiled on business  demography, 

v) 

the frequency  for the compilation of the statistics which  shall be yearly  or multi-yearly.  If 

the compilation is multi-yearly,  it shall be done at least one eveiy ten years, 

vi) 

the timetable showing the first reference  years  for  the statistics to be compiled, 

vii) 

the norms relating to representativeness and quality  control, 

viii) 

the period of time from  the end of  the reference  period  within which  the statistics shall  be 

transmitted, 

ix) 

the maximum length of the transition period which  may be conceded. 

(4) 

The Annexes to the present Regulation are; 

a common  module for  annual structural  statistics in Annex  1, 

a detailed module for structural statistics in industry  in Annex 2, 

a detailed module for  structural  statistics in the distributive trades in Annex 3. 

Article  5 

Sources, requirements and administrative  simplification 

(1) 

The Member  States  shall collect  the necessary  data  for  the observation  of  the characteristics  in  the 

lists  referred  to  in  the  modules  in  Article  4  and  may  use  a  combination  of  the  different  sources 

specified  below. 

The  Member  States  may  collect  the necessary  data  using  compulsory  surveys  where  the 

legal units, which the statistical units called upon by Member States to supply  information 

belong to or are composed of,  are obliged to give honest and complete information  within 

the prescribed deadlines. 

Equally,  compulsory  surveys  need  not  be  carried  out  in  full  or  in  part  if  the  Member 

States can collect the data on the relevant population from  other sources which are at least 

equivalent  as regards accuracy  and quality  For  this purpose  Member  States shall  take  the 

necessary  measures  to  allow  and  facilitate  access  by  the  authorities  responsible  for  the 

collection  of  data,  to  administrative  sources  within  their  state  which  meet  the  necessary 

accuracy requirements referred  to in Article 6 paragraph  2. 

The collection  of data  for  the observation  of some of the characteristics  may  imply  the drawing  of a 

sample of observation units within the reporting  unit. 

(2) 

The Member  States shall estimate the necessary  data using  statistical  inference  methods where some 

or all of  the characteristics have not been observed  for  all of  the units  for  which  the statistics are to 

be compiled  according to the modules in Article 4. 

(3) 

The  burden  on  enterprises,  particularly  on  small  and  medium  sized  enterprises,  and 

the 

representativeness  and  quality  control  requirements  (Article  6)  shall  be  fully  taken  into  account  by 

the  Member  States  in  their  choice  and  combination  of  the  sources  and  the  use  of  estimation 

mentioned  in paragraphs  1 and 2 above. 

(4) 

The Member  States, with  the technical  support of  the Commission,  shall promote the conditions  for 

increased use of electronic data transmission and automatic data processing. 

Article  6 

Representativeness and quality  control 

(1) 

The Member  States shall  take  the necessary  measures  to  ensure  that  the data  transmitted  reflect  the 

structure  of  the  population  of  the  statistical  units  laid  down  in  the  Annexes  to  the  present 

Regulation,  with particular reference to the main activities,  the sizes, economic and  financial  control 

within  the  meanings  of  the GATS  and  of  the  Commission  Directive  (EEC)  No.  723/80  of  25  June 

1980^  and geographical locations of the statistical units. 

(2) 

The Member States shall ensure that the statistics compiled  from  the collected  and estimated data for 

the populations  referred  to  in paragraph  1 meet  the necessary  optimal  accuracy  requirements  taking 

account  of  the  degree  of  representativeness  in  the  Member  State,  the  Deed  for  statistics  on  the 

European  Community,  the  benefits  of  the availability  of  the data  relative  to  the  costs  of  collection 

and the burden on small enterprises, as well as the methods used. 

(3) 

Member  States  shall  transmit  to  the  Commission  at  its  request  all  of  the  information  necessary  to 

evaluate  the  degree of  accuracy  of  the results  at  the  Community  level.  Such  an  evaluation  shall  be 

presented  to the Committee referred  to in Article  12. 

Article  7 

Production of  results 

(1) 

From  the  collected  and  estimated  data  (Article  5  paragraphs  1  and  2)  the  Member  States  shall 

produce  comparable  results  in  accordance  with  standardised  specifications.  The  results  shall  be 

broken down according  to a number of classifications  as laid down  for  each module in Annex. 

(2) 

In particular the results shall be broken down to the level of the NACE Rev. 1 class unless laid  down 

otherwise  in  the modules  referred  to  in  Article  4,  or  laid  down  by  the  Coioimission after  consulting 

the Committee  referred  to  in  Article  12 and  in  accordance  with  the procedure  laid  down  in  Article 

13,  in which case the results shall be produced  at a more aggregated  level of the NACE  Rev.l. 

15 

Official  Journal  L  195 of 29.7.1980, p. 35 

Article  8 

Transmission  of  results 

(1) 

The  Member  States  shall  transmit  the  results  referred  to  in  Article  7,  including  the  data  declared 

confidential  by the Member States pursuant  to  domestic  legislation  or practice  concerning  statistical 

confidentiality,  in  accordance  with  the  provisions  of  Council  Regulation  No.  1588/90  of  11 June 

1990*" on the transmission of data subject to statistical confidentiality  to the Statistical Office  of  the 

European Communities. The said Regulation governs the confidential  treatment of  information. 

(2) 

The  results  shall  be  transmitted  in  an appropriate  technical  form  and  within  a  period  of  time  from 

the end of the reference  period which shall be laid down for  each module (Article 4  paragraph  3) in 

the Annexes  and  shall be no  longer than eighteen  months.  In  addition,  if  laid  down  in  a  module,  a 

small number of estimated rapid results shall be transmitted within a period  of time from  the end of 

the  reference  period  which  shall  be  laid  down  for  each  module  in  the  Annexes  and  shall  be  no 

longer than ten months. 

GENERAL  PROVISIONS 

Article  9 

Reports 

The Member States shall transmit  to the Commission  at its request any  relevant information  with  regard  to  the 

implementation  of the Regulation  in thç Member States. 

Article  10 

(1) A transition period shall be laid down for each module in the annexes. 

Transition  period and  derogations 

(2) 

During  the  transition  periods  derogations  from  the  provisions  of  the  annexes  to  the  present 

Regulation  may  be  accepted  in  so  far  as  the  national  statistical  systems  in  the  field  of  structural 

business statistics in the particular  regrouping Jof activities concerned require important adaptations. 

16 

Official Journal L 151 of 15.6.1990, p. 1. 

(3) 

The obligations  under this Regulation  and  relevant  modules  have  to  be  fully  applied  by  all  Member 

States by  the end of the transition period in each module. 

Article  11 

Review 

(1) 

The  Council  shall  re-examine  the  present  Regulation  within  three  years  of  the  date  of  entry  into 

force,  and at least every three years thereafter. 

(2) 

For  this purpose  the Commission  shall  submit  a report  to  the  Council  by  the  beginning  of  the year 

of  the review  on  the experience acquired  from  the work  carried  out  pursuant  to  this  Regulation,  in 

particular  regarding  the  domains  listed  in  Article  3  and  the  Annexes  referred  to  in  Article  4 

paragraph 2. The Commission  shall at the same time submit the report to the European Parliament. 

COMMITTEE  PROVISIONS 

Article  12 

Consultation of the  Committee 

The  procedures  for  implementing  this  Regulation,  including  the  measures  for  adjustment  to  economic  and 

technical  developments  concerning  the  collection  and  statistical  processing  of  data,  the  processing  and  the 

transmission  of the results,  in particular: 

i) 

the  updating  of  the  lists  of  characteristics,  statistics  on  business  demography  and  rapid 

results  insofar  that such updating,  after  a quantative asesment,  does not  imply  an  increase 

in  the  number  of  units  surveyed  nor  of  the  burden  on  the  units  out  of  proportion  to  the 

results  foreseen  (Articles 4 and 8); 

the frequency  of the compilation of the statistics 

the definitions  of the characteristics and their relevance  for  certain activities  (Article 4); 

the definition  of the reference  period  (Article 4); 

the first reference  year for  the compilation  of the rapid  results (Article 8) 

the application  of quality controls  for  NACE  Rev. 1 classes (Article 6); 

ii) 

iii) 

iv) 

v) 

vi) 

vii) 

the  standardised  specifications 

for 

the  processing  of 

results, 

in  particular 

the 

classifications  and breakdowns to be used in processing  (Article 7); 

10 

viii) 

the appropriate technical form  for  the transmission of results (Article 8); 

. 

ix) 

x) 

the updating of the periods of time for  the transmission  of data (Article 8); 

the  transition  period  and  derogations  from  the  provisions  of  this  Regulation  during  the 

transition period (Article  10), 

shall  be  laid  down  by  the  Commission after  consultation  of  the  Statistical  Programme  Committee  established 

by Council Decision 89/382 (EEC/Euratom)* '  according to the procedure set out in Article 13. 

Article  13 

Procedure 

(1) 

The representatives  of  the  Commission  shall  submit  to  the Committee  a draft  of  the  measures  to  be 

taken.  The Committee shall deliver its opinion on  the draft  Within a  time limit  which  the  chairman 

may lay down according to the urgency of the matter,  if necessary by taking a vote. 

(2) 

The opinion shall be recorded in the minutes; in addition,  each Member  State will  have  the  right  to 

ask to have its opinion recorded in the minutes. 

(3) 

The  Commission  shall  take the utmost  account  of  the  opinion  delivered  by  the  Committee.  It  shall 

inform  the Committee of the manner in which its opinion has been taken into account. 

FINAL  PROVISIONS 

Article  14 

Repeal  of existing structural  business statistics  legislation 

The Council  Directives  No.  64/475/EEC and No.  72/221/EEC  shall  no  longer  apply  after  the  transmission  of 

all the data  for the  1994 reference  year. 

17 

Official Journal L 181 of 28.6.1989, p. 47. 

11 

Article  15 

Entry  into  force 

The  present  Regulation  shall  enter  into  force  on  the  twentieth  day  following  its  publication  in  the  Official 

Journal  of the European  Commumties 

This Regulation  shall be binding in its entirety and directly  applicable in all Member  States. 

12 

ANNEX 1 

A COMMON MODULE FOR ANNUAL STRUCTURAL  STATISTICS 

Section 1 

Aims 

This  Annex  contains  a  common  module  for  the production  of  Community  statistics  on  the  structure,  activity 

and  performance  of  businesses  in  the  Member  States,  within  the  aims  laid  down  in  Article  1 of  the  present 

Regulation. 

Section 2 

Coverage 

(1) 

Activities  covered  by this module  (Article 4,  paragraph  3,  indent  i  of  the present  Regulation):  The 

statistics  are to be compiled  for  all  Sections  C  to K of  NACE  Rev. 1 except  Class  6602  and  Group 

672.  When  statistics  need  not  be  compiled  for  some  of  the  activities  included  within  the  coverage 

indicated  above,  this  is  explicitly  mentioned  in  the  list  of  characteristics  below.  The  collection  of 

data and the compilation of statistics does not apply to units classified  to  Class 6602, Group 672 and 

Sections M  to  O of NACE  Rev.l;  These units  shall be  the  subject  of  a  specific  study  laid  down  in 

Section  10 of the present Annex. These activities are listed in Section 9 of the present Annex. 

(2) 

Statistical units covered by this module (Article 4,  paragraph  3, indent  ii of the present  Regulation): 

When  statistics  need  not  be  compiled  for  enterprises  constituted  of  all  types  of  legal  units, this  is 

explicitly  mentioned in the list of characteristics  below. 

13 

Section  3 

Domains 

The  statistics  to  be  compiled  relate  to  the  domains  numbered  i),  ii)  and  iii)  of  Article  3  of  the  present 

Regulation  and  in particular to the analysis of value added and of its main components;. 

Section  4 

Characteristics 

(1) 

The  lists of  characteristics  and  statistics  (Article 4,  paragraph  3,  indents  iii  and  v)  presented  below 

indicate,  where  relevant,  the type of  statistical  unit  for  which  the  statistics  are  to  be  compiled  and 

whether  they  are  to  be  compiled  with  a  yearly  or  multi-yearly  frequency  (Article  4,  paragraph  3, 

indent iv). 

(2) 

The Commission,  after  consulting  the Committee referred  to in Article  12 of the present  Regulation 

and  in  accordance  with  the  procedure  laid  down  in  Article  13  of  the  present  Regulation  shall  lay 

down  the  corresponding  titles  of  the  characteristics  for  which  the  statistics  are  to  be  compiled  on 

activities  in  Section J  of  NACE  Rev. 1 which  correspond  the closest  to  those  listed  in  paragraphs  3 

to 5  below. 

(3) 

Yearly  Demographic statistics to be compiled  for  the specified  statistical  units 

Code 

Title 

1 1 1 10 

Number of  enterprises 

1 1 2 10 

Number of local units 

(4) 

Enterprise characteristics  for which yearly  statistics are to be compiled 

1 

Code 

Title 

12 110 

Turnover 

12  12 0 

Production  value 

12  14 0 

Value added at market  prices 

12  15 0 

Value added at factor  cost 

13 3 10 

Personnel  costs 

12 18 0 

Financial  surplus 

13  11 0 

Total  purchases of goods and services 

14 

Comment 

I 

! 

Comment 

Only  legal  persons 

Code 

Title 

_____ 

Comment 

13 12 0 

Purchases of goods and services purchased  for  resale in 

the same condition as received 

14 110 

Turnover  from intra-community deliveries of goods and 

: 

services 

14 12 0 

Turnover from extra-community  exports of goods and 

services 

14 21 0 

Intra- community acquisitions of goods and services 

14 22 0 

Extra-community  imports of goods and services 

15 111 

Gross investment in tangible goods (excluding land not 

built upon) 

16 110 

Number of persons employed 

16 13 0 

Number of employees 

(5) 

Characteristics for which yearly regional statistics are to be compiled 

Code 

Title 

13 32 0  Wages and Salaries 

. 

Comment 

_____ 

15 11 1 

Gross investment in tangible goods (excluding land not 

built upon) 

16  110 

Number of persons employed 

' 

" 

Section  5 

First  reference  year 

(1) 

With reference  to Article 4, paragraph 3, indent vi of the present Regulation,  the first reference  year 

for which the statistics shall be compiled  is the calendar year  1995. 

(2) 

For  the  reference  years  1995,  1996  and  1997,  where  the  necessary  data  for  the  compilation  of  the 

results  for  some  or  all  of  the  characteristics  12  18  0  (financial  surplus)  and  14  11  0  to  14  22  0 

(breakdown  of  turnover  and  purchases  by  geographical  market)  is  not  available  in  one  or  more  of 

15 

the  Member  States,  the  Member  States  concerned  shall  carry  out  pilot  surveys  to  assess  the 

feasibility  of  collecting  the  data  necessary  for  the  compilation  of  results  for  the  characteristics  for 

which  data is unavailable.  In accordance with  Article 9 of  the present  Regulation  the Member  States 

shall  inform  the  Commission  of the outcome of  the pilot  surveys.  In  accordance  with  Article  11 of 

the present  Regulation  the Commission  shall submit  a report  to the Council  on  the outcome of  these 

pilot surveys which shall include a recommendation  on the continuation  of the action. 

Section 6 

Report on the quality of  statistics 

For  each  characteristic  provided  the  Member  States  shall  provide  the  degree  of  precision  related  to  a 

confidence  level of  95 % which the Commission  shall present  in its report  foreseen  by  Article  6  of  the present 

Regulation,  taking account of the application in each Member State of the said Article. 

Section 7 

Production of  results 

(1) 

The  results  for  the  enterprise  statistics  are  to  be  broken  down  to  the  level  of  the  regroupings  of 

activities listed in Section 9 of the present  Annex. 

(2) 

The results for  the enterprise statistics are also to be broken down  into  size classes  for  each group of 

Sections  C-G  of  the  NACE  Rev. 1 and  at  the  level  of  the  regroupings  listed  in  Section  9  of  the 

present Annex  for  the other Sections. 

(3) 

The  results  for  the  regional  statistics  are  to  be  broken  down  to  the  NACE  Rev.l  2-digit  level 

(divisions)  and the level II of the Nomenclature of territorial units  (NUTS). 

(4) 

In  the case of  areas which  are eligible  for  structural  funds  a  more  detailed  geographical  breakdown 

may be used. 

(5) 

For  the  sections  G  to  K  of  NACE  Rev.l  the  results  for  the  enterprise  statistics  in  Section  4 

paragraphs  3  and  4  above  shall  be  broken  down  according  to  the  existence  or  otherwise  of  a 

majority  control  by non-resident enterprises as defined  in the GATS. 

16 

Section  8 

Transmission  of  results 

The results shall be transmitted within a delay of  18 months from  the end of  the calendar year of  the  reference 

period. 

Section 9 

Regroupings of activities 

The following  regroupings of activities refer to the NACE Rev. 1 classification. 

SECTIONS  C, D, E  AND  F 

Mining and quarrying;  manufacturing;  electricity, gas and Water supply;  construction 

Broken down to the NACE Rev. 1  4-digit level (class). 

SECTION  G 

Wholesale and retail trade; repair of motor vehicles, motorcycles and personal and household  goods 

Broken down to the NACE Rev. 1 4-digit level (class). 

SECTION  H 

Hotels and  restaurants 

55.1  +  55.2 

"Hotels"  +  "Camping sites and other provision  of  short-stay 

55.3  +  55.4  +  55.5 

"Restaurants"  +  "Bars"  +  "Canteens and  catering" 

accommodation" 

SECTION  I 

Transport,  storage and  communication 

60.1 

Transport via railways 

60.21  +  60.22  +  60.23 

"Other land transport"  without  "freight  transport  by road* 

60.24 

60.3 

61.1 

Freight transport by road 

Transport via pipelines 

Sea and coastal water  transport 

17 

61.2 

62 

Inland water  transport 

Air  transport 

63.1  +  63.2  +  63.4 

"Supporting  and auxiliary  transport activities" without  "activities 

of travel agencies and tour operators; tourist assistance  activities 

63.3 

64.11 

64.12 

64.2 

n.e.c." 

"Activities of travel agencies and tour operators:; tourist  assistance 

activities  n.e.c." 

National post  activities 

Courier activities other than national post  activities 

Telecommunications 

SECTION  J 

Financial  inter  mediation 

65.11 

65.12 

65.2 

66.01 

66.02 

66.03 

67.1 

67.2 

Central banking 

Other monetary inter  mediation 

Other financial inter  mediation 

Life  insurance 

Pension  funding 

Non-life  insurance 

Activities auxiliary  to financial intermediation,  except  insurance 

and pension  funding 

Activities auxiliary  to insurance and pension  funding 

SECTION  K 

Real estate,  renting and business activities 

70 

Real estate activities 

71.1  +  71.2 

"Renting of automobiles  "  +  "renting of other  transport 

71.3 

71.4 

72 

73 

equipment" 

Renting of other machinery  and  equipment 

Renting of personal and household  goods n.e.c. 

Computer  related  activities 

Research and  development 

74.11  +  74.12  +  74.14 

"Legal activities"  +  "accounting,  book  keeping  and  auditing 

4-  74.15 

activities,  tax consultancy"  +  "business and  management 

consultancy  activities",  +  "management  activities of  holding 

74.13 

Market research and public opinion  polling 

companies" 

18 

74.2  +  74.3 

"Architectural and engineering activities and related  technical 

74.4 

74.5 

74.6 

74.7 

74.8 

consultancy"  +  "Technical testing and analysis" 

Advertising 

Labour recruitment and provision of  personnel 

Investigation and security  activities 

Industrial  cleaning 

Other business activities n.e.c. 

SECTION  M 

Education 

80 

SECTION N 

Health and social work 

85.1 

85.2 

85.3 

Education 

Human health  activities 

Veterinary  activities 

Social work activities 

SECTION  O 

Other community  and social service activities 

90 

91 

92.1 

92.2 

92.3 

Sewage and refuse  disposal, sanitation and similar  activities 

Activities of membership organisation  n.e.c. 

Motion picture and video  activities 

Radio and television  activities 

Other entertainment activities" 

92.4  +  92.5 

"News agency activities"  +  "Library,  archives,  museums and 

other cultural activities" 

92.6  +  92.7 

"Sporting activities"  +  "other recreational activities" 

93 

Other service activities 

19 

Section  10 

Reports  and  pilot studies  for  particular  activities 

With reference  to Article 9 of  the present Regulation,  the Member  States shall provide the  Commission  with a 

report  relating  to  the  definition,  structure  and  availability  of  information  on  statistical  units  which  are 

classified  to  Class  6602,  Group  672  and  Sections  M  to  O  of  NACE  Rev.l.  The  Commission,  after 

consultation  of  the  Committee  in  accordance  with  the  procedure  laid  down  in  Article  13  of  the  present 

Regulation,  shall  adopt a series of pilot studies for  these activities.  By way of  the review  procedure  laid  down 

in  Article  11  of  the  present  Regulation,  the  Commission  shall  inform  the  Council  of  the  possibilities  for 

compiling  statistics which correspond the closest to those listed in paragraphs 3 to 5 of Section 4 of  the present 

Annex  for  these activities. 

Section  11 

Transition  period 

For  the purposes  of  this common module the transition period (Article  10, paragraph  1) shall not  extend  more 

than  three years beyond  the  first  reference  years  for  the compilation  of  the  statistics  indicated  in  Section  5 of 

the present  Annex. 

20 

ANNEX2 

A DETAILED  MODULE  FOR  STRUCTURAL  STATISTICS  IN  INDUSTRY 

Section 1 

Aims 

This Annex contains a detailed module for  the production  of co-ordinated harmonised  Community  statistics on 

the structure,  activity  and performance  of industrial  activities in  the Member  States within  the aims  laid  down 

in Article  1 of the present  Regulation. 

Section 2 

Coverage 

(1) 

Activities  covered  by  this module (Article 4,  paragraph  3,  indent  i  of  the present  Regulation):  The 

statistics  are  to  be compiled  for  all  enterprises  and  their  dependent  statistical  units  classified  to  the 

activities  within  the sections  C,  D,  E and  F  of NACE  Rev.l.  These sections  cover  the activities  of 

mining and quarrying (C),  manufacturing  (D), electricity,  gas and water supply  (E) and  construction 

(F). 

(2) 

Sizes: The statistics to be compiled shall be representative of Statistical units of all sizes classes. 

(3) 

When  statistics  need  not  be  compiled  for  some  of  the  activities  or  size  classes  included  within  the 

coverage indicated  above,  this is explicitly  mentioned  in the list of characteristics  below. 

Section 3 

Domains 

The statistics  to be compiled  relate to  the domains numbered  i),  ii),  iii),  iv)  and  v)  of  Article  3 of  the  present 

Regulation,  in particular to: 

21 

a  central  list  of  statistics  for  a  detailed  analysis  of  the  structure,  activity,  performance  and 

competitivity  of industrial  activities, 

a  wider  list  of  statistics  for  the  study  of  special  subjects  such  as  sub-contracting,  the  cost  and 

availability  of financing for  small businesses. 

Section 4 

Characteristics 

(1) 

The  lists  of  characteristics  and  statistics  (Article 4,  paragraph  3,  indents  iii  and  v)  presented  below 

indicate,  where  relevant,  the  type of  statistical  unit  for  which  the  statistics  are  to  be  compiled  and 

whether  they  are  to  be  compiled  with  a  yearly  or  multi-yearly  frequency  (Article  4,  paragraph  3, 

indent  iv).  The  statistics  and  characteristics  presented  in  italics  are  also  included  in  the  lists  in  the 

common  module. 

(2) 

Yearly  demographic  statistics to be compiled  for  the specified  statistical  units 

Code 

Title 

Comment 

11110 

Number of enterprises 

11  12 0 

Number of births of  enterprises 

1113  0 

Number of deaths of  enterprises 

11210 

Number of local units 

1 1 3 10 

Number of kind-of activity units 

(3) 

Enterprise characteristics  for which yearly  statistics are to be compiled 

Code 

Title 

12 11 0 

Turnover 

12 12 0 

Production value 

12  13 0 

Gross  margin on goods for  resale 

12 14 0 

Value added at market prices 

12 15 0 

Value added at factor  cost 

Comment 

12  16 0 

Income from  ordinary  activities 

Only legal persons 

12  17 0 

Gross operating  surplus 

12 18 0 

Financial surplus 

Only legal persons 

22 

Code 

Title 

__ 

______ 

Comment 

12  19 0 

Gross ordinary  surplus 

12 20 0 

Profit  or loss for the year 

Only legal  persons 

Only legal  persons 

13  110 

Total purchases  of goods and services 

13 12 0 

Purchases of goods and services purchased for  resale in 

the same  condition as received 

13  13 1 

Payments for agency workers 

13  2 13 

Change in stocks of finished products and work in 

progress manufactured  by the unit 

13 32 0 

Wages and salaries 

13 33  0 

Social security costs 

14110 

Turnover from  intra-community deliveries of goods and 

services 

1412  0 

Turnover from extra-community exports of goods and 

services 

14  210 

Intra-community  acquisitions of goods  and services 

14 22  0 

Extra-community  imports of goods and services 

15  12 0 

Gross investment in land not built upon 

15 13 0 

Gross investment in existing buildings and  structures 

15  14 0 

Gross investment in construction and alteration of 

buildings 

15 15 0 

Gross investment in machinery and  equipment 

15 2 10 

Sales of tangible investment goods 

15  3 10 

Value of tangible goods acquired through financial 

leasing 

15 35 0 

Payments for  long term rental and operational  leasing of 

goods 

15  6 10 

Purchases of shares and participating  interests 

15 62 0 

Sales of shares and participating interests 

23 

Code 

Title 

Comment 

16110 

Number  of persons employed 

1613  0 

Number  of employees 

16  13 1 

Number  of part-time employees 

16  13 2 

Number of  apprentices 

16  14 0 

Number of employees in full  time equivalent  units 

16  15 0 

Number of hours worked by  employees 

18  12 0 

Turnover  from  industrial  activities 

18  110 

Turnover  from  the principal activity  at the NACE Rev. 1 

4-digit level 

18  13 0 

Turnover  from  trading activities of purchase and  resale 

18  14 0 

Turnover  from  intermediary  activities  (agents) 

18 15 0 

Turnover  from  service activities 

20  110 

Purchases of energy products (in value) 

21  110 

Investment in equipment and plant for pollution  control, 

Sections C-E  only 

and special anti-pollution accessories (mainly  end-of-pipe 

equipment), broken-down  into: 

21  11 1 

Waste 

21  112 

Air emissions 

21  113 

Water  protection 

21  114 

Noise 

Sections C-E  only 

Sections C-E  only 

Sections C-E  only 

Sections C-E  only 

21  12 0 

Investment  in equipment and plant linked to cleaner 

Sections C-E  only 

technology  ('integrated  technology'),  broken-down  into: 

21  12 1 

Waste 

21  12 2 

Air  emissions 

21  12 3 

Water protection 

21  12 4 

Noise 

22  110 

Total  intra-mural R &D  expenditure 

22  12 0 

Total  number of R & D personnel 

Sections C-E  only 

Sections C-E  only 

Sections C-E only 

Sections C-E  only 

24 

(4) 

Enterprise characteristics  for which multi-yearly  statistics are to be compiled 

Code 

Tide 

16  13 5 

Number of  homeworkers 

Comment 

Divisions  17/18/19/21 

/22/25/28/31/32/36 

15 42 0 

Gross investment in concessions, patents, licences,  trade 

marks and similar  rights 

15 43 0 

Gross investment in marketing 

15 44 0 

Gross investment in  software. 

20  2 10 

Purchases of hard coal (in value) 

20 22 0 

Purchases of coke (in value) 

20 23 0 

Purchases of patent fuels  (in value) 

20 24 0 

Purchases of gasoil (in value) 

20 25 0 

20 26  0 

20 27 0 

20 28 0 

20 29 0 

20 30 0 

Purchases of heavy fuel  oil (in value) 

Purchases of other petroleum products (in value) 

Purchases of natural gas (in value) 

Purchases of derived gas (in value) 

Purchases of renewable energy sources (in value) 

Purchases of heat (in value) 

20  3 10 

Purchases of electricity (in value) 

21  14 0 

Total current expenditure on environmental protection, 

Sections C-E only 

broken-down into: 

21  14 1 

Waste 

21  14 2 

Aair emissions 

21  14 3 

Water  protection 

21  14 4 

Noise 

23  110 

Payments to  sub-contractors 

23  12 0 

Income from  sub-contracting 

Sections C-E  only 

Sections C-E  only 

Sections C-E only 

Sections C-E only 

(5) 

Characteristics  for which yearly regional statistics are to be compiled 

Code 

Title 

' 

. 

Comment 

13 32 0 

Wages and  salaries 

15 11 1 

Gross investment in tangible goods  (excluding land not 

built  upon) 

1611  0 

Number of persons employed 

25 

(6) 

Kind of activity unit characteristics for which yearly statistics are to be compiled 

Code 

Title 

12  11 0 

Turnover 

12 12 0 

Production  value 

13 32 0  Wages and  salaries 

15  110 

Gross investment  in tangible goods 

16 110 

Number of persons employed 

Comment 

Section  5 

First  reference  year 

(1) 

With reference  to Article 4,  paragraph  3, indent vi of the present Regulation,  the  first  reference  year 

for  which yearly statistics shall be compiled  is the calendar  year  1995. The  first  reference  years  for 

the  statistics  to  be  compiled  with  a  multi-yearly  frequency  are  specified  below  for  the  codes  under 

which the characteristics  are listed. 

Calendar year  1995 

Codes 

2 3 1 1 0 - 2 3 1 30 

20 21  0 - 2 0 3 10 

15 42 0 -  15 44 0 

Calendar year  1996 

Codes 

16 13 5 

21  14 0 - 21  14 4 

(2) 

Multi-yearly  statistics are to be compiled at least every five years. 

(3) 

For  the  reference  years  1995,  1996  and  1997,  where  the  necessary  data  for  the  compilation  of  the 

results  for  some or  all  of  the characteristics  12  16 0  and  12  18 0  to  12 20  0  (income  from  ordinary 

activities,  financial  surplus,  gross ordinary  surplus and  profit  or  loss  for  the year),  14  11 0  to  14 22 

0  (breakdown  of  turnover  and  purchases  by  geographical  market)  and  15  61  0  and  15  62  0 

(purchases  and  sales  of  shares  and  participating  interests)  is  not  available  in  one  or  more  of  the 

Member  States, the Member States concerned  shall carry out pilot surveys to assess the feasibility  of 

collecting  the  data  necessary  for  the compilation  of  results  for  the  characteristics  for  which  data  is 

unavailable.  In  accordance  with  Article 9 of  the present  Regulation  the  Member  States shall  inform 

the  Commission  of  the  outcome  of  the  pilot  surveys.  In  accordance  with  Article  11 of  the  present 

Regulation  the  Commission  shall  submit  a  report  to  the  Council  on  the  outcome  of  these  pilot 

surveys which shall include a recommendation on the continuation  of the action. 

26 

Section 6 

Report  on  the quality of  statistics 

For each characteristic provided the Member States shall provide the degree of precision  related  to a 

confidence  level of 95 % which the Commission shall present in its report foreseen  by Article 6 of the present 

Regulation,  taking account of the application  in each Member State of the said Article. 

Section 7 

Production  of  results 

(1) 

The  results  for  the  enterprise  statistics  are  to  be  broken  down  to  the  NACE  Rev.l  4-digit  level 

(class). 

(2) 

The results for  the enterprise statistics are also to be broken down into  size classes and to the NACE 

Rev.l  3-digit  level (group). 

(3) 

The results for  the enterprise statistics are also to be broken down  between public and private sector 

enterprises  according  to  the  form  of  financial  and  economic  control  within  the  meaning  of  the 

Commission  Directive  (EEC)  No.  723/80  of  25  June  1980  and  to  the  NACE  Rev.l  3-digit  level 

(group). 

(4) 

The  results  for  the  statistics  compiled  from  Kind  of  activity  units  are  to  be  broken  down  to  the 

NACE Rev.l  4-digit level  (class) 

(5) 

The  results  for  the  regional  statistics  are  to  be  broken  down  to  the  NACE  Rev.l  2-digit  level 

(divisions)  and  the  level  II  of  the  Nomenclature  of  territorial  units  (NUTS).  In  the  case  of  areas 

which are eligible for  structural  funds  a more detailed geographical  breakdown  may be used. 

(6) 

The results for  the characteristics 21  11 0^4, 21  12 0-4 and 21  14 0-4 (inclusive),  concerning  current 

expenditure  and  investment  for  the  protection  of  the  environment,  shall  be  compiled  for  the 

following  groupings of NACE Rev. 1: 

Section  C, 

Subsection  DA, 

Subsections  DB+DC, 

27 

Subsection  DD 

Subsection  DE 

Subsection  DF 

Subsections  DG+DH 

Subsection  DI 

Division 27 

Division 28 

Subsections DK+  DL+DM+DN 

Division  40 

Division  41 

Section 8 

Transmission  of  results 

The results shall be transmitted within a delay of  18 months  from  the end of the calendar  year of  the  reference 

period. 

Rapid  results shall be transmitted within  10 months from  the end of  the calendar  year  of  the  reference  period, 

for  the enterprise statistics compiled  for the characteristics listed below; 

Codes 

1 1 1 10  (Number of  enterprises) 

12 110  (Turnover) 

12 12 0 (Production value) 

13 11 0 (Total purchases of goods and  services) 

13 32 0 (Wages and salaries) 

15  11 0 (Gross investment in tangible  goods) 

16 110  (Number of persons  employed) 

These rapid  results shall be broken down to the NACE Rev.l  3-digit  level  (group). 

28 

Section  ° 

Transition  period 

For  the purposes  of  this detailed  module  for  structural  statistics  in  industry,  the  transition  period  (Article  10, 

paragraph  1) shall not extend  more than three years beyond the first reference  years  for  the compilation  of  the 

statistics indicated  in Section 5 of the present Annex. 

29 

ANNEX3 

A DETAILED MODULE FOR STRUCTURAL STATISTICS  ON DISTRIBUTIVE  TRADE 

Section 1 

Aims 

This  Annex  contains  a detailed  module  for  the production  of harmonised  Community  statistics on  distributive 

trade  activities  within  the  aims  laid  down  in  Article  1  of  the  present  Regulation,  This  module  includes  a 

detailed  list  of  characteristics  for  which  it  is  necessary  to  compile  statistics  to  improve  knowledge  of  the 

regional, national,  Community  and international development of the distributive  trade sector. 

Section 2 

Coverage 

(1) 

Activities  covered  by  this  module  (Article 4,  paragraph  3,  indent  i  of  the  present  Regulation):  The 

statistics  are  to be compiled  for  all activities within  the coverage of  section  G of  the NACE  Rev. 1. 

This section covers the activities of wholesale and retail trade;  repair of  motor vehicles,  motorcycles 

and  personal  and  household  goods.  Enterprise  statistics  refer  to  the  population  of  all  enterprises 

whose main activity  is classified  in Section  G. 

(2) 

Sizes: The statistics to be compiled  shall be representative of  Statistical units of all sizes classes. 

(3) 

When  statistics  need  not  be  compiled  for  some  of  the  activities  or  size  classes  included  within  the 

coverage indicated  above,  this is explicitly  mentioned  in the list of characteristics below. 

30 

Section  3 

Domains 

The statistics to be compiled  relate to the domains numbered  (i),  (ii),  (iii) and  (vi) of  Article  3  of  the present 

Regulation and in particular  to: 

• 

• 

the structure of the distributive trade network and its evolution,  as well as the patterns of  association 

and co-operation between enterprises; 

distributive activity and forms of selling, as well as patterns of supply and sale. 

Section  4 

Characteristics 

The lists  of  characteristics  and  statistics  (Article  4,  paragraph  3,  indents  iii  and  v)  presented  below  indicate, 

where relevant,  the type of statistical unit for which the statistics are to be compiled and whether they are to be 

compiled  with a yearly  or  multi-yearly  frequency  (Articled,  paragraph  3,  indent  iv).  The  statistics  presented 

in italics are also included in the lists in the common module. 

Yearly demographic statistics to be compiled 

Code 

Title 

Comment 

Demographic  data 

11110 

Number of enterprises 

11 21 0 

Number of local units 

Enterprise characteristics  for which yearly statistics are to be compiled 

Comment 

Code 

Title 

Accounting  data 

12110 

Turnover 

12 12 0 

Production  value 

12 13 0 

Gross margin on goods for  resale 

31 

Code 

1  Title 

12 14 0 

Value added at market prices 

12 15 0 

Value added at factor  costs 

12  17 0 

Gross operating  surplus 

Comment 

12 18 0 

Financial  surplus 

Only legal  persons 

13 11 0 

Total purchases  of goods  and services 

13 12 0 

Purchases  of  goods  and  services purchased for  resale  in 

the same  condition as received 

13 2 10 

Change in stocks of goods and services 

13 21  1 

Change  in  stocks  of  goods  and  services  purchased  for 

resale in the same condition as received 

13 31 0 

Personnel  costs 

13 32 0  Wages and  salaries 

13 41  1 

Payments  for  long  term  rental  and  financial  leasing  of 

goods 

Data  reflecting 

the  extent  of 

integration  and 

internationalisation of  enterprises 

14 11 0 

Turnover from  intra-community  deliveries  of  goods  and 

Simplified  provisions 

services 

for division  52 

14 12 0 

Turnover  from  extra-community  exports  of  goods  and 

Simplified  provisions 

services 

for  division  52 

14 21 0 

Intra-community  acquisitions  of goods and services 

Simplified  provisions 

for  division  52 

14 22 0 

Extra-community  imports of goods  and services 

Simplified  provisions 

for  division  52 

Data relating  to the Capital  Account 

15  12 0 

Gross investment  in land not built upon 

15  13 0 

Gross investment  in existing  buildings and  structures 

32 

Code 

Title 

Comment 

15  14 0 

Gross 

investment 

in  construction  and  alteration  of 

buildings 

15 15 0 

15  2 10 

Gross investment in machinery and  equipment 

Sales of tangible investment  goods 

Data on employment 

1611  0 

Number of persons employed 

1613  0 

Number of employees 

16  13 3 

Number  of  part-time  employees  working  less  than  half-

time 

16 13 4 

Number  of  part-time  employees  working  half-time  or 

more 

Breakdown of turnover by type of  activity 

18  12 0 

Turnover from industrial  activities 

18 13 0 

Turnover from trading activities of purchase and  resale 

18  14 0 

Turnover  from intermediary activities (agents) 

18 15 0 

Turnover  from service activities 

Enterprise characteristics  for which multi-yearly  statistics are to be compiled 

' 

Code 

Title 

Comments 

Information  on  operating  costs  other  than  personnel 

ï 

costs 

13 41 0 

Operating costs linked to buildings and  equipment 

13 42 0 

Cost of selling 

13 43 0 

Other operating costs 

Information  on trading  links  by association  and  co 

operation  between  enterprises 

Involvement  of  the  enterprise  in  an  association  or  co 

operation agreement with other enterprises  specifically: 

17  11 1 

motor vehicle concessionaire 

. 

Division 50 only 

33 

Code 

Title 

17  112 

motor vehicle dealership 

' 

Comments 

Division  50 only 

17  11 3 

motor vehicle trader acting as subsidiary  of  motor  vehicle 

Division  50 only 

producer 

17  114 

total  or  majority  of  goods  for  resale  purchased  from  a 

Division  51 only 

single supplier 

17  115 

supplier of a franchising  chain or a buying group 

17  11 6 

affiliation  to a buying  group 

17  11 7 

affiliation  to a franchising  chain 

17  118 

affiliation  to a consumers'  co-operative 

Division  51 only 

Division  52 only 

Division  52 only 

Division  52 only 

Information  on forms of trading by  enterprises 

Division 52 only 

Trading  forms,  amongst  which; 

17 31  1 

Trading in stores 

17 31 2 

Trading through fixed market stands and/ or stalls 

17 31 3 

Itinerant  trading 

17 3 14  Mail-order  selling 

17 3 15 

Other forms of trade than those mentioned  above 

17 32 0 

Number of retail stores 

17 33 0 

Category  of  sales space  for  retail  stores  engaged  in  retail 

trade 

17 34 0 

Number of fixed market stands and/ or  stalls 

Breakdown  of  turnover  by  product  type  (excluding 

commissions and other payments for services  rendered) 

18 21 0 

Breakdown  of  turnover  by  product  (according  to  the 

categories  which  serve  to  classify  enterprises  to  NACE 

Rev.l) 

Information  on 

types  of  supplier  and 

types  of 

customer 

Percentage 

share  of 

turnover  by  customer 

type, 

Division  51 only 

specifically: 

25  11  1 

resale traders: retail  traders 

34 

Code 

Title 

Comments 

25  11 2 

professional  users (wholesalers,  others) 

25  113 

final 

consumers (retail trade activity) 

Percentage  share  of  purchases  by  type  of  supplier,  Division 52 only 

specifically: 

25 2 11 

wholesalers, purchasing  groups 

25 2 12 

producers 

___ 

. 

Characteristics  for which yearly regional statistics are to be compiled 

Code 

Title 

'' 

13 32 0 

Wages and  salaries 

Comments 

15 11 1 

Grass  investment  in  tangible  goods  (excluding  land  not 

built  upon) 

16110 

Number  of persons employed 

Characteristics  for which multi-yearly  regional statistics are to be compiled 

Code 

Title 

Accounting  data 

12 110 

Turnover 

Comments 

Divisions  50  and  52 

only 

Information  on  outlets 

17 33  1 

Sales space 

Division 52 only 

Section  5 

First  reference  year 

(1) 

With  reference  to Article 4,  paragraph  3,  indent vi of  the present  Regulation  the  first  reference  year 

for  which  yearly  statistics shall be compiled  is the calendar  year  1995. The  first  reference  years  for 

35 

the  statistics  to  be  compiled  with  a  multi-yearly  frequency  are  specified  below  for  each  of  the 

divisions  of NACE Rev. 1 for  which the data is to be collected: 

Sector 52: 

Sector 51: 

Regional statistics 

Sector 50 

1996 

1998 

1999 

2000 

(2) 

The  multi-yearly  frequency  is  five  years.  A  special  transition  period  for  regional  statistics  not 

extending  more than three years may be conceded to Member  States if the national  statistical  system 

requires important adaptations in Distributive Trade statistics or if the Member  State has to adapt an 

existing  multi-yearly  local unit  survey. 

(3) 

For  the  reference  years  1995,  1996  and  1997, where  the  necessary  data  for  the  compilation  of  the 

results  for  some  or  all  of  the  characteristics  12  18  0  (financial  surplus)  and  14  11  0  to  14  22  0 

(breakdown  of  turnover  and  purchases  by  geographical  market)  is  not  available  in  one  or  more  of 

the  Member  States,  the  Member  States  concerned  shall  carry  out  pilot  surveys  to  assess  the 

feasibility  of  collecting  the  data  necessary  for  the  compilation  of  results  for  the  characteristics  for 

which data is unavailable.  In accordance with  Article 9 of the present  Regulation  the Member  States 

shall  inform  the  Commission  of  the outcome of  the pilot  surveys.  In  accordance  with  Article  11 of 

the present  Regulation  the Commission  shall  submit a report  to the Council  on the outcome of  these 

pilot surveys which shall include a recommendation  on the continuation of the action. 

Section 6 

Report  on the  quality  of statistics  and  production  of  results 

(1) 

For each  characteristic  provided  the Member States shall provide  the degree of precision  related  to a 

confidence  level  of  95 % which  the  Commission  shall  present  in  its  report  foreseen  by  Article  6  of 

the present  Regulation,  taking account of the application in each Member State of the said Article. 

(2) 

The  enterprise  statistics  are  to  be  compiled  according  to  the  classes  of  the  NACE  Rev.l  in 

accordance with  the procedure laid down under Article 7,  paragraph  2 of the present  Regulation. 

(3) 

The  results  for  the  enterprise  statistics  are also  to be broken  down  into  size  classes  for  each  NACE 

Rev.l  group. 

(4) 

The regional  statistics are to be compiled  at the NUTS II level  for  each group of the NACE Rev. 1. 

36 

(5) 

The  coverage  of  regional  statistics  to  be  compiled  on  a  multi-yearly  basis  corresponds  to  the 

population  of  all  local  units  whose  main  activity  is  classified  in  Section  G.  However,  it  can  be 

limited  to the local units dependant on enterprises classified  in the section G of NACE Rev. 1 if such 

a  population  covers  more  than  95%  of  the  total  coverage.  This  ratio  is  calculated  using  the 

employment characteristic available in the business  register. 

(6) 

Simplified  provisions  for  the  characteristics  relating  to  the  international  trading  of  goods  and 

services:  the Member  States need not compile these data if the share of  such  trade in  the  total  sales 

or purchases of the retail trade sector is less than 5%. This share is to be evaluated  by way  of multi-

yearly surveys. 

Section  7 

Transmission  of  results 

(1) 

The results shall be transmitted  within  18 months  from  the end of the calendar  year of  the  reference 

period. 

(2) 

Rapid  results  shall  be  transmitted  within  10  months  from  the  end  of  the  calendar  year  of  the 

reference period  for  the enterprise statistics compiled  for the characteristics listed below: 

12 110  (Turnover) 

16  11 0 (Number of persons  employed) 

These rapid results are to be compiled at the 3-digit level of NACE Rev. 1. 

(3) 

The appropriate  technical  form  for  the transmission  of results shall  be laid down  in  accordance  with 

the procedure foreseen  in the Regulation. 

Section 8 

Transition  period 

For  the  purposes  of  this  detailed  module  for  structural  statistics  on  distributive  trade,  the  transition  period 

(Article  10,  paragraph  1)  shall  not  extend  more  than  three  years  beyond  the  first  reference  years  for  the 

compilation  of the statistics indicated  in Section 5 of the present Annex. 

37 

Financial  Statement 

Financial statement relating to structural business statistics 

SECTION  1: FINANCIAL IMPLICATIONS 

1. 

Title of operation 

Proposal for  a Council Regulation  concerning structural business statistics 

2. 

Budget headings involved 

Chapter B5-6000 

3. 

Legal basis 
Article 213 of the Treaty 

Council  Decision  89/382/EEC  of  19  June  1989  establishing  a  Committee  on  the  statistical 

Programmes of the European Communities (OJ No L  181 of 28 June 1989). 

4. 

Description of operation 

4.1 

Specific objectives of operation 

This  Council  Regulation  aims  to  make  available  harmonised  statistical  information  on  the 

structure  of  the  business  Community  within  the  European  Union  to  all  users  of  structural 

business statistics (see 4.3 below). This information  is necessary for drawing up, monitoring and 

evaluating  Community  policies,  in particular  concerning  the  internal  market  as  well  economic, 

social,  industrial,  sectoral,  regional,  competition,  enterprise  and  environmental  policies. 

Furthermore,  international  treaties  such  as that  instituting  the General  Agreements  on Trade in 
Services  (GATS) require harmonised  Community statistics. 

3& 

4.2 

Duration 

Multi-annual  (ongoing collection and compilation of statistical data). 

Period covered by the action: 1995-98 

4 3 

Target population 

The beneficiaries  of this operation are all users of official  statistics: the Community institutions, 
the governments of the Member States, economic and social decision makers, research institutes, 
universities and the media. 

5. 

Classification of expenditure or of revenue 

5.1 

Non-compulsory  expenditure 

5.2 

Differentiated  appropriations. 

5.3 

Type of revenue involved 

The sale of statistical products (databases, publications) partially covering production costs. 

6. 

Type of expenditure or revenue 

6.1 

100%  subsidy 

-\ 

The  Commissions  contribution  represents  only  a  part  of  the  cost  of  collecting  the  data, 
approximately  8-10  %.  Statistical  activities  generally  and  data  collection  in  particular  draw 
extensively on the principle of subsidiarity, and the operating and administration  costs are almost 
exclusively  met  by  the  national  governments.  Nevertheless,  the  expenditure  is  essential  to 
provide  an  incentive  for  broadening  the  scope  of  the  national  surveys  and  standardising  the 
results produced by the Member States. 

2# 

6.2 

Subsidy for  cofinancing with the public sector 

Cofmancing  with  the public  sector  (budgets  of  the national  statistical  services)  and  the  private 
sector (revenue from  sales of statistical products). 

6.3 

,  Interest subsidy 

No 

6.4 

Other 

None 

6.5 

Should the  operation  prove  an  economic success, is  there provision for  all  or part  of  the 
Community's financial contribution to be reimbursed? 

No 

6.6 

Will the proposed operation cause any change in the level of revenue? 

No 

7. 

Financial impact on appropriations for operations (Part B of the budget) 

7.1 

Method of calculating total cost of operation 

In  so  far  as  existing  data  collection  systems  have  to  be  extended  or  new  statistical  collection 

systems developed, the contribution from the Community budget is calculated  on the basis of the 

following  hypotheses: 

• 

8-10  %  of  the  running  costs  for  the  first  three  years  of  operation  for  statistics  on  the 
industrial and distributive trades sectors 

4o 

• 

8-10%  of  the  running  costs  for  the  first  four  years  of  operation  for  statistics  on  the 

remaining service sectors 

Nature of expenditure by thé Member States: Studies, contribution to the costs of data collection, 

data processing  , dissemination and other running costs. 

7.2 

proportion of mini-budget in total cost of operation: 

0% (None) 

7.3 

Indicative schedule of commitment and payment appropriations 

Financial year 

C.A.  (ECU) 

P.A. (ECU) 

Surveys on industrial 

sectors 

1995 

1996 

1997 

Surveys on  distributive 

trades sectors 

1995 

1996 

1997 

Surveys on services sectors 

1995 

1996 

1997 

1 1998 

2 050 00fr 

2 050 000 

2 050 000 

1025 000 

3 075 000 

2 050 000 

2 050 000 

2050000 

2 050 000 

1000 000 

2 500 000 

1500 000 

1025 000 

3 075 000 

2 050 000 

500 000 

3 000 000 

1500 000 

1 

1000 OOOl 

1000 000 

8. 

What anti-fraud  measures are planned in the proposal for  the operation? 

For the contracts and agreements entered  into by the Commission payment is solely by results. 

41 

The  statistical  information  is  considered  to  be an objective  instrument  for  evaluating  Community 

action  programmes  and thus  contributes  to consolidating  the anti-fraud  provisions. 

SECTION 2: ADMINISTRATIVE EXPENDITURE  (Part A of  the budget) 

1. 

Will  the proposed  operation  involve an increase in the number of  Commission  staff? 

Yes.  Two post A and two post B from  1995. 

The  staff  needed  to  carry  out  the  operation  will  be  obtained  either  within  the  allocation  of  resources 

decided  by  the  Commission  on  the  basis  of  future  budgets,  subject  to  the  decisions  of  the  budgetary 

authority on new posts, or by internal  redeployment. 

2. 

Indicate  the  amount  of  staff  and  administrative  expenditure  involved  in  the  proposed 

operation.  Explain  the method  of  calculation. 

Indicators:  1994 annual employment costs  (estimate) 

Basis:  Average cost of  a post at B2 level.  ECU 91  095,  of which ECU  72 968  staff  expenditure  and  ECU 

18  127 administrative  expenditure 

Title Al 

Title A2 

Expenditure: 

Staff 

Admin. 

1995 and 

291872 

72 508 

following  years 

Costs  expressed  in  constant  ECUs  at  1994 value. 

t 

4-Z 

SECTION 3: ELEMENT'S OF COST-EFFECTIVENESS  ANALYSIS 

1. 

Objectives  and coherence with financial  programming 

1.1 

Specific objective  (s) of proposed  operation: 

This  Council  Regulation  aims  to  make  available  harmonised  statistical  information  on  the 

structure  of  the  business  Community  within  the  European  Union  to  all  users  of  structural 

business statistics  (see 4.3  below). This information is necessary  for drawing up,  monitoring and 

evaluating  Community  policies,  in particular  concerning  the  internal  market  as  well  economic, 

social, 

industrial,  sectoral,  regional,  competition,  enterprise  and  environmental  policies. 

Furthermore,  international  treaties  such  as that  instituting  the  General  Agreements  on  Trade in 

Services  (GATS)  require harmonised  Community  statistics.  The  annexes  of  the  draft  Regulation 

contain a list of statistics that should be provided. 

1.2 

Is the operation  incorporated in the financial programming of the DGfor  the years  concerned. 

Yes 

1.3 

To which broader  objective  defined in the DG's financial programming  does  the objective  of the 

proposed  operation  correspond? 

Information on the internal  market ensuring reliable statistics are available to facilitate the proper 

-  functioning of the Single Market and promote competeitiveness  of the Community  economy. 

2. 

Grounds  for  the operation 

2.1 

Reasons  for  choosing  this  operation  rather  than  an  alternative  which  would  meet  the  same 

objectives. 

This operation has the following  objectives: 

• 

to provide the Community  institutions  with the quantitative data for drawing  up,  monitoring 

and  evaluating  plans of  action  in accordance with  Article  3  (2)  of  the  Financial  Regulation: 

'it  therefore  contributes  to  the  more  effective  and  appropriate  use  of  the  Community 

budget'; 

I 

4-3 

• 

to provide the national  governments  with comparable statistics  on all  the Member  States  for 

evaluating  and monitoring the progress of  Community policies; 

• 

to  provide  political,  economic  and  social  operators  in  the  Community  with  statistical 

information  on  which  to  make  and  evaluate  their  decisions  in  their  respective  fields  of 

action: it is therefore an essential part of the European information market; 

• 

to  provide  the  scientific  community  with  the  information  necessary  to  further  analysis  and 

knowledge of economic and social  life in the Community. 

(a)  Cost: This  operation  is  mainly  financed  by the  Member  States,  which  already  have  systems 

for  collecting  data  on  structural  business  statistics.  However,  in  certain  Member  States, 

these  systems  are  incomplete  (or  unsuitable)  and  the  results  are  not  harmonised  from  one 

Member  State  to  another.  If  the  Commission  had  to  finance  the  whole  of  this  programme, 

the cost would  be extremely  high  and the results  less  reliable.  Such  an approach  would run 

counter to the principal of subsidiarity. 

(b)  Spin  off  effect:  Statistical  information  is  collected  by  a  highly  decentralised  system,  in 

which  the  national  systems  have  a  responsibility  at  individual  Member  State  level.  Th 

Community  statistical  programme  is  becoming  an  integral  part  of  the  national  statistical 

programmes,  thereby contributing to establishing  a European statistical  area. 

As  well  as  providing  statistics  on  the  structure  of  the  business  Community,  the  proposals 

should  improve the availability of data used in the compilation of national  accounts. 

(c)  Multiplier  effect  (ability  to  mobilise  other  sources  of  finance):  The  potential  for  multiplier 

effects  is  relatively  limited.  However,  the data foreseen  by  the  draft  Regulation  will  be  of 

considerably  greater  relevance  for  users  wishing  to  make  international  comparisons  of  the 

structure  of  the  business  Community  within  the  European  Union.  This  should  lead  to  a 

greater revenue from the sale of statistical products. 

3. 

Monitoring  and evaluation  of  the operation 

3.1 

Performance  indicators selected 

The operation  is  monitored  as part of  the Community  statistical  programme.  The  progress  of the 

statistical  programme  is  continuously  monitored  against  a  control  chart  which  sets  out  the 

operating  targets  and  the  resources  necessary  for  each  project  in  target/performance  terms.  At 
I  44 

the  start  of  each  year,  Eurostat  prepares  a  report  on,  the  progress  of  the  programme  in  the 

previous  year. This is in  three parts: 

• 

• 

• 

the first summarises the main goals  achieved during the year in terms of each policy; 

the second describes the objectives laid down for each project and the results obtained; 

the third provides statistics on the use of human, budgetary,  IT and administrative  resources 

during the previous year. 

3.2 

Details  and frequency  of planned evaluation 

It is  stipulated  in the draft  Regulation that the Commission  shall  submit  a report to  the  Council 

on  the  experience  acquired from the  work  carried  out  pursuant  to  the  Regulation.  The  report 

shall  also  be  submitted  to  the European  Parliament,  this  report  shall  be  prepared  at least  every 

three years. 

3.3 

Main factors  of uncertainty which could affect the specific  results of the  operation. 

Difficulties  may arise if  certain  Member  States  -  or the  Commission  -  do  not  manage to  release 

the necessary resources for the success of the operation. 

Delays  in the implementation of the Council  Regulation on Community  co-ordination  in drawing 

up business register for statistical purposes would lead to delays  in the development  of structural 

business surveys. 

4-^ 

Impact Assessment Form 
The Impact of the Proposal on Business 
with special reference to small and medium sized enterprises (SMEs) 

Title of  proposal 

Council Regulation concerning structural business statistics. 

Reference  number 

The Proposal 

1. 

Taking  account  of the principle of subsidiarity,  why is  Community  legislation  necessary  in 

this area and what are its main- aims? 

The Commission requires statistical  information  on the structure,  activity,  competitivity  and  performance 

of  the  European  business  Community,  in  particular  for  the  evaluation  and  follow  up  of  the  internal 

market.  The  need  for  harmonised  business  statistics  has  grown  with  the  development  of  the  internal 

market. 

The statistical surveys in place in the Member States have, for the most part, developed since the adoption 

of the Council Directives No. 64/475 of 30 July  1964 and No. 72/221 of 6 June  1972, which covered the 

industrial  sectors  of  the  economy.  These  developments  have  often  taken  place  in  an  uncoordinated  and 

piecemeal manner as they have been undertaken by national statistical offices  in response to national needs 
for  data. The need  for  similar data has often  been expressed  within the European  Union.  Despite  efforts 
by  the  Commission  (Eurostat)  it  has  not  been  possible  to  produce  comparable  statistics  within  the 
European  Union  and  the  inflexibility  of  the  existing  legislation  has  meant  that  the  European  business 
statistical  system  has  not  developed  in  line  with  national  systems  nor  with  changes  in  the  business 
environment. The proposed Regulation brings the existing legislation up to date, notably in its coverage of 
the  service  sectors  and  provides  an  instrument  for  co-ordinating  the  many  different  business  surveys 
undertaken  within  the  EU  such  that  unnecessary  burden  through  duplication  of  data  collection  can  be 

avoided. 

4C 

The  purpose  of  the  legislation  is  to  make available  comparable  structural  business  statistics  for  all  EU 
Member  States.  It  aims  to  do  this  by  harmonising  the  results  to  be  compiled  by  the  Member  States  in 
terms  of  the  coverage,  definitions  and  classifications  used.  It  does  not  try  to  harmonise  the  actual  data 
collection systems in each Member States. The requirement that will be imposed by this Regulation is that 
each Member State must be able to compile results which are comparable between EU countries, using the 
data  collected  in  their  national  systems.  Clearly  some  changes  in  all  of  the  national  systems  will  be 
required, but each Member States is free to find the most effective  solution in their own country. 

The impact on business 

2. 

Who will be affected by the proposal? 

- which sectors of business? 

The proposal  aims  in the long term to compile comparable results  for  all  sectors  of  the  economy  in the 

Member States, with the exception of ; 

a) private households with employed persons; 

b)extra-territorial organisations and bodies; 

c)  the  agriculture,  hunting,  forestry  and  fishing  sectors  as  well  as  public  administration, 

defence and activities of compulsory social security. 

The requirements  in some sectors, particularly  industry  and distributive trades,  are more detailed  than in 

others.  This  reflects  the  state  of  development  of  business  statistics  rather  than  a  greater  need  for 

information  in these sectors than the others. 

- Which sizes of business (what is the concentration of small  firms)? 

The  Regulation  lays  down  that  the  results  to  be  transmitted  to  the  Commission  (Eurostat)  should  be 

representative  of  enterprises  of  all  size  classes.  It  does  not  say  how  these  data  should  be  collected  but 

leaves the responsibility for the construction of a data collection system to each Member State. 

However, unlike the preceding legislation (the Directives mentioned above) it specifically  permits Member 

States  to  use sampling  methods  rather  than  to  carry  out  an  exhaustive  census  each  year.  This  gives  the 

Member States the possibility to reduce the number of enterprises  questioned  each year.  In particular  it is 

likely  that  the  percentage  of  small  and  medium  sized  enterprises  included  in  any  sample  will  be 

considerably smaller than large enterprises. 

¥t 

In  addition,  Member  States  will  be  allowed  to  estimate  some  variables  rather  than  collect  them.  This 
possibility  was  introduced  into  the  text  with  the  purpose  of  allowing  Member  States  to  send  reduced 
questionnaires  (with a smaller number of variables) to small and medium sized  enterprises  and to estimate 
the data which has not been collected using the results from  larger enterprises. 

Finally,  the  use  of  administrative  sources  rather  than  special  data  collection  exercises  (using 
questionnaires)  is permitted,  which  should  allow  some variables  to  be  taken  from  existing  data  sources 
(such as VAT or social security registers). This, when used by Member States, will reduce the number of 
variables that need to be collected  directly from the business  community.  Such administrative sources, if 
used by the Member States, will reduce the situation of businesses being required  to reply several times to 
the same questions. 

-  are  there particular geographical  areas of  the  Community where these  businesses  are 

found? 

The text requires that any samples drawn by Member States should be representative at a regional  as well 

as  a national  level.  In  addition  to  a regional  breakdown  of  a  small  number  of  variables  for  all  sectors 

covered  by the Regulation,  a detailed  breakdown of results for  the industrial  sectors  is required  for  those 

areas which are eligible for structural  funds  (notably objectives  1, 2 and 5b). However,  no extra variables 

are requested,  simply  a more detailed  regional  breakdown  in order  to provide data for  an analysis of the 

impact of these funds. 

3. 

What will businesses have to do to comply with the proposal? 

The Member States are required to collect the data necessary for  the compilation of harmonised  results. In 

doing so it is likely that statistical units will be sampled and sent a questionnaire. Those units drawn in the 

samples  may be obliged  (at the discretion of each Member State) to give honest and complete  information 

within the prescribed deadlines. 

In  accordance  with  the  18th  Declaration  in  the  Maastricht  Treaty  on  estimated  costs  under  Commission 

proposals,  and  in  order  to  try  to  assess  the  response  burden  of  the  new  Regulation  on  the  business 

community,  the Commission  (Eurostat)  asked each of the Member  States to provide any information  they 

have on this subject.  Only a small number of Member States replied to this request and the replies showed 

that few of them make any systematic attempt to evaluate these costs for their existing surveys; 

46 

Belgium:  No  information  is  available.  Every  effort  will  be  made  to  keep  the  response  burden  to  the 

minimum. 

Germany: A survey  (carried out in  1979) gives the mean time in hours for the completion of  all  official 

questionnaires during one year for different  size enterprises  in different  sectors.  These figures  therefore 

cover a much wider scope than the draft Regulation on structural business statistics as they include short-

term statistics and product statistics. 

Industry (excl. crafts) 

Size class  Hours 

1-19 
20-49 
50-199 
200-499 

1  500+ 

3.0 
65.3 
65.6 
128.7 
I 137.1 

Distributive trades 

Size class  Hours 

1-19 
20-49 
50-199 
200-499 

1  500+ 

2.1 
8.8 
14.4 
24.0 
1  17.2 

Luxembourg: It is estimated that the additional cost per year for the enterprises due to the Regulation will 

be 653,000 ECU 

The total cost per year for the enterprises for surveys in all sectors will be 1,143,000 ECU. This includes 

the costs of pilot surveys and assumes that some surveys will only be conducted on a multi-yearly basis. 

United Kingdom: Existing information available for the 1992 reference year indicates a total cost of ECU 

5.2  million per year for enterprises for complying with the existing structural  surveys  which  cover most 

sectors of the economy as well as the special R & D survey which would be covered by this Regulation. 
In addition,  it has been  estimated  that the additional  costs for  businesses  due to  this  Regulation would 
average 84,000 hours per year. 

What economic effects if the proposal likely to have? 

- on employment 

- on investment and the Creation of new businesses? 

- on the competitive position of businesses? 

4<H 

4.1 

Costs 

In  accordance  with  the  18th  Declaration  in the  Maastricht  Treaty  on  estimated  costs  under  Commission 

proposals,  an attempt has been made to  evaluate the costs for  the national  statistical  offices  of  compiling 

the information  requested  in the draft  Regulation.  Only three countries provided  information  and of these 

only one provided detailed information  for all the proposals in the Regulation. 

Belgium. The new survey system (after  the adoption of the Regulation) will require 80 full  time personnel 

and will  cost the public  administration  ECU  2.15  million.  The proportion  of  this  due to  the Regulation 

(rather than existing national needs) is not known. 

Germany The new survey system in the services sectors  (after  the adoption of the Regulation) will require 
from the public administration ECU 2.6 million per year and will require an initial investment in the order 
of ECU  3.3  million to  change the infrastructure.  The proportion  of the ECU  2.6  million annual  running 
costs due to the Regulation (rather than existing national needs) is not known. 

Luxembourg The new survey system (after  the adoption of the Regulation) will require an expenditure by 

the  public  administration  of  747,750  ECU  and  employ  17.5 persons  (full-time).  This  is  an  increase of 

345,500 ECU and 8.5 persons when compared with the existing situation. 

United Kingdom The new survey system  (after  the adoption of the Regulation)  will  require an additional 

expenditure from the public administration of ECU 820,000 per year and will require an initial investment 

of ECU  105,000. The new Regulation will also require an additional 38.5 persons  (full-time). 

4.2 

Benefits 

It is difficult  to evaluate to what extent a better understanding of the structure,  activity,  competitivity and 
performance  of  the European  business  Community  resulting from harmonised  statistics  will  have on the 
creation  of  enterprises,  employment  and  competitivity.  Any  effect  will  be an  indirect  one resulting  from 
better formulation  and evaluation of policies. 

50 

The  statistical  services  of  the  Member  States  co-ordinated by  Eurostat have  a  significant  role  to  play  in 

meeting the European Union's need for information on the business Community. The recent developments 

in  Community  economic  and  social  integration  require  information  for  supporting  the  development  and 

following  the impact of  initiatives and decisions  to  be based on  more reliable,  exhaustive,  up-to-date and 

comparable  statistics.  Statistical  information  on  businesses  is  required  for  the  follow-up  of  the  internal 

market and the development and appraisal  of  economic,  social,  industrial,  sectoral,  regional,  competition, 

enterprise  and  environmental  policies.  Furthermore,  international  treaties  such  as  that  instituting  the 

General Agreements on Trade in Services  (GATS)  require harmonised  Community  statistics.  In addition, 
businesses them§ç|Yçs needinformation  on their activity  and performance relative to  competitors  in their 
sector  in regional,  national  and international markets. 

Finally,  the  structural  statistical  surveys  proposed  in  this  Regulation  provide  an  indispensable  reference 

for other business statistics such as the harmonised Community short term and product statistics as well as 

for the compilation of national accounts. 

4,3 

Balance 

: 

As  it  is practically impossible to  quantify  the benefit  that will  accrue from the availability of  harmonised 

community  statistics,  it  is  equally  difficult  to  quantify  the net benefit  of  these  same  statistics.  However, 

the size of  the Community  programmes  whose execution  and evaluation  will  benefit from the  availability 

of  better  statistics  suggest  that  the  benefit  will  considerably  outweigh  the  costs  of  the  data  collection 

exercise and the burden on the enterprises. 

5. 

Does  the proposal  contain  measures  to  take  account  of  the  specific  situation  of  small  and 

medium sizedfirms  (reduced'or different requirements)? 

Some  Member  States  have used  structural  surveys  with  a threshold  (or  cut-off),  below  which  enterprises 

were  excluded  from  the  survey.  Due  to  the  fact  that  the  structure  of  a  sector  varies  from  one  sector  to 

another and from one country to another,  it is impossible to compare statistics between sectors or between 

countries  which  have  been  compiled  in  this  manner,  and  which  therefore  exclude  a  larger  or  smaller 

proportion of enterprises. It is therefore necessary to compile results which are representative of the whole 

population.  However  this  does  not  mean that  all  enterprises  have  to  be  questioned;  the  use  of  sampling 

and  methods  of  statistical  inference  (expressly  permitted  by the  draft  Regulation)  will  reduce  the number 

of  units  questioned.  This  is  particularly  true  for  small  and  medium  sized  enterprises  where  the  large 

number of units facilitates  the use of sampling. 

sr\ 

Where  small  and  medium  sized  enterprises  are  included  in a  sample,  the  possibility  of  using  a reduced 

questionnaires  (with  a reduced  number of  variables)  is  available  to  the  Member  States,  who  would  then 

need to use statistical  inference methods to compile the full  list of variables for the entire population. 

As  the  structure  of  a  sector  varies  according  to  the  country,  the  sector  and  over'time,  it  would  be 

inappropriate to fix  thresholds  for these reduced  questionnaires  in the legislation.  The  Member States  are 

in the best position to judge the usefulness of these practices. 

Bearing in mind the current practices  in the Member States it is very  likely that they will  all make use of 

some or  all  of  these possibilities.  Eight EU  Member States  are known to  already  use  sampling  for  small 

enterprises  (D,  GR, E,  F, I,  NL, P,  UK) and nine use special forms for small or medium sized enterprises 

(DK,  GR, F, Irl, I, L,  NL, P, UK). 

Consultation 

6. 

List  the  organisations  which have  been  consulted about  the proposal  and  outline  their  main 

views. 

For  the  industrial  sectors  a  group  of  representatives  of  data  suppliers,  data  collectors  and  users  were 

consulted  at the very outset of the work, prior to the drafting  of  legislation,  to identify  the main problems 

with the statistics provided  under the existing  legislation  for the  industrial  sectors.  A  detailed  analysis  of 

the needs  for  statistics  in the services  sector  (where  no  harmonised  Community  surveys  exist  at present) 

was prepared. This looked at the needs of various Commission services as well as the needs expressed at a 

national  level. 

Representatives  of  the  business  community  at the  European  level  are  regularly 'consulted  and  informed 

about  developments  in  business  statistics.  This  draft  Regulation  was  presented  to  a  special  meeting  of 

these  representatives  at the  end of  1993  and the  representatives  were  informed  about  the progress  made 

with this project at thé subsequent regular meetings in 1994. 

On the  17th of  November  1993 a special  full  day  meeting  was held  with over  50  representatives  of 

industrial  and  service  sectors  and  chambers  of  commerce.  A  detailed  comprehensive  explanation 

was  given  of  the  draft  text  and  its  implications  for  business.  During  the  discussion  there  was 

\ 

support  for  the  co-ordinated  approach  adopted  in  the  text  which  should  reduce  duplication  and 

unnecessary  burden. The importance of data freshness  and coverage were stressed,  as was the need 

ST. 

for  very  detailed  structural  data for  sectoral  analysis.  There  were  misgivings  about  the  number  of 

variables to be collected  and the subsequent burden on the enterprises. The need for  a co-ordinated 

European  development  of  business  statistics  was  underlined,  with  particular  regard  to  the 

Europeanisation of business which required activities beyond the scope of individual  countries. 

Since this meeting a number of changes have been made to the draft which have reduced the amount 

of data that will  be demanded from the Member States.  Most notably,  a series of data which was to 

be requested only from small enterprises has been deleted. 

The  draft  Regulation  was  presented  at  regular  meetings  with  representatives  of  the  business 

community  on  the  17th  of  February  1994  (43  participants)  and  on  the  14th  of  October  1994  (40 

participants).  At both of these meetings the participants were informed  of the changes that had been 

made to me text and of the timetable of the work being carried out. 

The principal  users of  industrial  structural data within the Commission have been consulted  on numerous 

occasions during the preparation of the draft text.  There was support for the extension of the coverage of 

the  surveys  (industry  and  services  sector),  and  the  improved  list  of  variables  (R&D,  energy  and 

environment)  as  well  as  for  the  introduction of  rapid  results  (estimations  to  be  provided  in  advance  of 

final  results).  There  were  requests  for  more  variables  to  be  included  particularly  concerning  the 

depreciation of assets. 

The  National  statistical  offices  who  are  responsible, for  data  collection  have  been  consulted  on  many 

occasions  during the preparation of  this text.  Discussions  have been  held  in sectoral  meetings  (industry, 

distributive trades,  services)  and subject meetings  (Research  and development,  environmental  protection) 

as  well  as  within  the  Statistical  Programme  Committee.  There  is  support  for  the  draft  text  from  many 

countries.  The  Member  States  who  objected  to thé text  did  so  principally  on  the grounds  of  the  cost  of 

setting up new data collection exercises, particularly  in the services  sector.  Member States have also been 

consulted  on the costs  of  implementing the Regulation,  both for  themselves  and for the enterprises.  Only 

three countries have so far provided the information requested. 

£3> 

FORM CONCERNING THE EFTA COUNTRIES OF THE EEA 

Title of proposal:  >. 

Council Regulation concerning structural business statistics. 

The impact on the EFTA countries of the EEA 

The EFTA countries of the EEA are concerned by the draft Regulation, and were involved in 
the discussions on it 

Some took part in the meetings of the working parties and committees at which the draft was 
discussed. 

s^v 

ISSN 0254-1475 

COM(95) 99  final 

DOCUMENTS 

EN 

17 

Catalogue number  : CB-CO-95-llO-EN-C 

ISBN92-77-86950-X 

Office for Official Publications of the European Coinmunities 

L-2985 Luxembourg