Proposal for a European Parliament and Council Decision establishing a general framework for Community activities in favour of consumers
Date: 1998-01-28
Institutions: European Commission
Subjects: EU activity, EU financing, consumer protection, project evaluation, public health

7.4.98

EN

Official  Journal  of  the  European  Communities

C 108/43

Proposal for a European Parliament and Council Decision establishing a general framework for
community  activities  in  favour  of  consumers

(98/C 108/08)

(Text  with  EEA  relevance)

COM(97)  684  final  —  98/0028  (COD)

(submitted  by  the  Commission  on  28  January  1998)

THE  EUROPEAN  PARLIAMENT  AND  THE  COUNCIL  OF
THE  EUROPEAN  UNION,

Having  regard  to  the  Treaty  establishing  the  European
Community,  and  in  particular  Article  129A  thereof,

Whereas  this  general  framework  must  provide  for  both
initiatives  taken  by  the  Community,  in  compliance  with
the  principle  of  subsidiarity,  and  actions  to  support  the
organizations  which  work  to  defend  consumer  interests
at  Community  or  national  level;

Having  regard  to  the  proposal  from  the  Commission,

Having regard to the opinion of the Economic and Social
Committee,

Acting  in  accordance  with  the  procedure  referred  to  in
Article  189B  of  the  Treaty,

Whereas  Community  action  helps  to  ensure  a  high  level
of  protection  of  consumers  and  human  health;

Whereas Community action in favour of consumers helps
to  strengthen  economic  and  social  cohesion;

Whereas  this  objective  cannot  be  achieved  effectively
without  the  cooperation  and  participation  of  all  the
institutions  and  parties  concerned;

Whereas  the  Community  intends  to  give  new  impetus  to
its  action  in  favour  of  consumers  and  their  health  in
order to enable them to become a driving and innovatory
force;

Whereas  the  Community  needs  to  plan  the  actions
required  to  achieve  the  objective  it  has  set  itself  by
grouping  them  together  in  a  general  framework  that
identifies  the  activities  and  areas  of  activity  which  must
be  tackled  as  a  matter  of  priority;

Whereas  this  general  framework  aims  in  particular  to
bring together the initiatives carried out for the benefit of
consumers 
for
consumers;

their  effects 

to  optimize 

in  order 

Whereas  the  Community  system  of  information  on
domestic  and  leisure  accidents  had  been  introduced  by
the  decision  3092/94/EEC  of  the  European  Parliament
and 
the  period
1994—1997;

the  Council (1) 

cover  only 

to 

(1) OJ  L  331,  21.12.1994,  p.  1.

Whereas  this  general  framework  for  Community  action
does not prejudge measures which may become necessary
during the period fixed, as regards the achievement of the
objectives  set  out  in  Article  129A  of  the  Treaty;

Whereas  the  initiatives  undertaken  by  the  Community
and  the  actions  to  support  other  private  or  public
initiatives  complement  one  another  and  must  form  part
of  an  integrated  approach;

Whereas  the  implementation  of  this  general  framework
should  make  it  possible  to  take  better  account  of
consumers’ 
the
Community,  notably  in  the  fields  of  public  health,
research  and  transport;

the  other  policies  of 

interests 

in 

Whereas  the  initiatives  developed  in  this  framework
should be complementary to the actions being carried out
in  the  field  of  public  health,  concerning  in  particular
foodstuffs;

Whereas  a  harmonized  and  neutral  approach  to  matters
related to the protection of consumers and their health is
indispensable  and  as  the  Community  has  at  its  disposal
the  skills  of  the  Joint  Research  Centre;

Whereas  this  framework  is  open  to  the  participation  of
the  associated  countries  of  central  and  eastern  Europe  in
accordance  with  the  European  Agreements  or  their
additional  protocols,  and  also  to  Cyprus  in  accordance
with conditions to be agreed, as well as to the EFTA/EES
countries  on  the  basis  of  additional  appropriations  in
accordance  with  the  rules  fixed  in  the  Agreement  on  the
European  Economic  Space;

Whereas it is necessary to draw up a list of priority areas
for Community action in order to help achieve maximum
effectiveness  throughout  the  planned  period;

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7.4.98

Whereas it is also necessary to strengthen the bodies and
organizations  that  are  active  in  the  area  of  consumer
protection  so  that  they  can  be  a  more  effective  driving
force for making consumers aware of the priorities set by
the  Community;

Whereas  it  is  necessary  to  ensure  that  the  interests  of
consumers  are  represented  at  Community  level  and  to
provide significant support to the European organizations
which represent the interests of consumers effectively and
actively;

Whereas  it  is  necessary,  at  the  same  time,  to  support
organizations  which  are  active  at  national  or  regional
level  by  encouraging  them  to  take  part  in  concerted
action  in  the  areas  recognized  as  priorities;

it 

Whereas 
is  therefore  necessary  to  set  out  the
arrangements  for  the  financial  support  provided  by  the
Community  to  the  bodies  and  organizations  that  are
representative  of  consumer  interests,  out  of  a  constant
concern  for  maximum  transparency  and  for  effectiveness
in  the  use  of  the  funds  allocated  by  the  Community;

Whereas  it  is  necessary  to  lay  down  selection  criteria  for
the  provision  of  financial  support;

Whereas  it  is  necessary  to  establish  effective  methods  for
evaluation  and  monitoring  and  to  make  provision  for
informing  the  target  groups  concerned  in  an  appropriate
way;

Whereas the implementation of the activities provided for
under  this  general  framework  must  be  evaluated  in  the
light  of  the  experience  gained  in  the  first  three  years;

Whereas  this  decision  establishes,  for  the  whole  of  the
planned duration, a financial allocation which constitutes
the  principal  point  of  reference,  within  the  meaning  of
point  1  of  the  declaration  by  the  European  Parliament,
the  Council  and  the  Commission  of  6  March  1995,  for
the  annual  budgetary
the  budgetary  authority 
procedure,

in 

right  to  information  and  education  and  to  join  forces  in
order  to  protect  their  interests.

3.
This  general  framework  of  activities  shall  be
established  from  1  January  1999  to  31  December  2003.
The  financial  allocation  for  carrying  out  the  activities
planned 
in  this  general  framework  shall  be  ECU
114  million  for  the  whole  period.

the
Annual  appropriations  shall  be  authorized  by 
budgetary  authority  within  the  limits  of  the  financial
perspectives.

Article  2

These  activities  shall  comprise:

(a) actions  taken  by  the  Commission  to  support  and
supplement  the  policy  conducted  by  the  Member
States,  and  to  develop,  update  and  monitor  it;

(b) actions  providing  financial  support  for  the  activities
of  European  consumer  organizations,  under  the
conditions  set  out  in  Article  5;

(c) actions  providing  financial  support  for  specific
projects  to  promote  consumers’  interests  in  the
Member  States,  notably  the  projects  presented  by
consumer organizations, under the conditions set out
in  Article  6.

Article  3

The  Commission  shall  ensure  that  there  is  consistency
and  complementarity  between  the  Community  activities
and  projects  under  this  general  framework  and  the  other
Community  programmes  and  initiatives,  and  shall  lay
down  the  priorities  to  be  applied  in  the  activities
mentioned  in  Article  4.

HAVE  DECIDED  AS  FOLLOWS:

Article  4

CHAPTER  I

The  actions  mentioned  in  Article  2  shall  concern  the
following  specific  areas  in  particular:

GENERAL  OBJECTIVES  AND  APPROACH

(a)

the  health  and  safety  of  consumers;

Article  1

(b) protecting  the  economic  interests  of  consumers  as

regards  products  and  services;

This  decision  establishes,  at  Community  level,  a
1.
general  framework  for  activities  for  promoting  the
interests  of  consumers  and  providing  them  with  a  high
level  of  protection.

(c) educating  and 

informing  consumers  about  their

protection  and  rights;

(d) promotion  and  representation  of  the  interests  of

consumers.

2.
This  general  framework  of  activities  consists  of
actions  designed  to  help  protect  the  health,  safety  and
economic  interests  of  consumers  and  to  promote  their

The  Annex  gives  an  indicative  list  of  the  activities  by
area.

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CHAPTER  II

Article  7

IMPLEMENTING  ARRANGEMENTS

The Community financial support referred to in Article 2
points  b)  and  c)  shall  be  granted  to  actions  selected  on
the  basis  of  the  following  criteria  in  particular:

Article  5

— a  satisfactory  level  of  cost-effectiveness,

The  financial  support  referred  to  in  Article  2,
1.
point  b),  may  be  granted  to  European  consumer
organizations which:

— an  added  value  ensuring  a  high  and  uniform  level  of

the  representation  of  consumers’  interests,

— are  non-governmental,  not-for-profit  organizations
whose main objectives are to promote and protect the
interests  and  health  of  consumers  and

— have  been  mandated  to  represent  the  interests  of
consumers at European level by organizations that are
representative  of  the  consumers  of  at  least  half  the
Member States of  the Community and that  are active
at  national  or  regional  level.

2.
The  financial  support  referred  to  in  Article  2
point  b),  may  be  granted  to  support  the  activities  of
European consumer organizations that are planned in the
annual  programme  of  their  activities,  where  these
activities relate to one or more of the areas mentioned in
Article  4.

The conditions for granting financial support are set

3.
out  in  Articles  7—9.

In  addition,  the  financial  support  may  not,  in  principle,
exceed  50 %  of  the  expenditure  involved  in  carrying  out
the eligible activities.

Article  6

1.
Any  natural  or  legal  person  or  association  of
natural persons who/which is actually responsible for the
implementation  of  the  projects  may  receive  the  financial
support  referred  to  in  Article  2  point  c),  where  the  main
objectives  of  these  projects  are  to  promote  and  protect
the  interests  and  health  of  consumers.

2.
The  financial  support  referred  to  in  Article  2
point  c),  shall  be  granted  on  the  basis  of  the  description
of  the  project,  where  it  relates  to  one  or  more  of  the
areas  mentioned  in  Article  4.

The conditions for granting financial support are set

3.
out  in  Articles  7—9.

— a  lasting  multiplier  effect  at  European  level,

— effective  and  balanced  cooperation  between  the
various parties for planning and carrying out activities
and  for  financial  participation,

— the  development  of  lasting  transnational  cooperation,
especially  by  the  exchange  of  experience  to  raise  the
awareness  of  consumers  and  economic  operators  and
by  joint  utilization  of  their  results,

— the widest possible dissemination of the results of the

activities  and  projects  supported,

— the ability to analyse the situations to be covered, the
means  earmarked  for  evaluating  the  activities  and
projects  and  their  suitability  for  best  practice.

CHAPTER  III

PROCEDURES,  EVALUATION  AND  MONITORING

Article  8

Each  year,  the  Commission  shall  publish  a  note  in
1.
the  Official  Journal  of  the  European  Communities
describing  the  areas  for  funding  and  setting  out  the
selection  and  award  criteria  and  the  procedures  for
application  and  approval.

2. Having  assessed  the  proposals,  the  Commission
shall  select  the  activities  and  projects  referred  to  in
Chapter  II  which  are  to  receive  financial  support.  This
decision  shall  lead  to  the  conclusion  of  a  contract  with
the  recipients  responsible  for  implementation,  concerning
the  rights  and  obligations  of  the  parties.

In  addition,  the  financial  support  may  not,  in  principle,
exceed 50 % of the expenditure involved in implementing
the  project(s),  excluding  all  operating  expenses.

3.
Community  assistance  shall  relate  to  the  actions
which  should  take  place  in  the  year  of  the  financial
contribution  or  in  the  following  year.

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A  list  of  the  recipients  and  of  the  actions  funded
4.
under  this  framework  shall  be  published  each  year,  with
an  indication  of  the  amount  of  the  assistance.

its  approval,  been  significantly  modified  so  that  it
is 
incompatible  with  the  objectives  of  the  agreed
implementing arrangements.

Article  9

1.
The  Commission  shall  ensure  the  monitoring  and
supervision  of  effective  implementation  of  the  activities
financed  by  the  Community.  This  shall  be  done  on  the
basis  of  reports  using  the  procedures  agreed  between  the
Commission  and  the  recipient;  it  shall  include  checks  in
situ  by  means  of  sampling.

2.
Recipients  shall  submit  a  report  to  the  Commission
for  each  action  within  three  months  of  its  completion.
The Commission shall determine the form and content of
this  report.

3.
Recipients  of  financial  support  shall  keep  at  the
Commission’s  disposal  all  the  documentary  evidence  of
expenditure  for  a  period  of  five  years  from  the  last
payment  concerning  an  action.

Article  10

The Commission shall see to it that the actions funded by
the  Community 
regularly.  These
evaluations  may  be  carried  out  by  the  Commission  and
by  independent  experts  employed  to  this  end.

evaluated 

are 

2.
If  the  deadlines  are  not  met  or  if  the  state  of
progress  of  an  activity  warrants  only  partial  use  of  the
appropriations  granted,  the  Commission  shall  ask  the
recipient  concerned  to  provide  an  explanation  within  a
given  period  of  time.  If  the  recipient’s  reply  is  not
satisfactory,  the  Commission  may  cancel  the  balance  of
financial  assistance  and  demand  that  the  sums  already
paid  be  refunded  immediately.

3.
All  incorrect  payments  shall  be  refunded  to  the
Commission.  Any  sums  not  refunded  in  good  time  may
be  increased  by  default  interest.  The  Commission  shall
determine  the  arrangements  for  the  application  of  this
paragraph.

Article  12

Each  year,  the  Commission  shall  report  to  the
the
to 

1.
European  Parliament  and 
implementation  of  this  framework.

the  Council  on 

This  report  shall  include  the  results  of  the  evaluation  of
the  actions,  activities  and  projects  carried  out  under  this
framework.

2.
By 30 June 2002 at the latest, the Commission shall
submit  an  evaluation  report  to  the  European  Parliament
three  years  of
and 
implementation  of 
general
framework.

the 
activities  under 

the  Council  on 

first 

this 

to 

Article  11

1.
The  Commission  may  reduce,  suspend  or  recover
financial  assistance  granted  for  an  activity  if  it  detects
irregularities  or  learns  that  the  activity  has,  without

Article  13

This  Decision  shall  enter  into  force  on  1  January  1999.

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ANNEX

INDICATIVE  ACTIVITIES  BY  AREA

1. Consumer  health  and  safety

— Actions  undertaken  for  the  preparation  and  elaboration  of  opinions  of  the  Scientific  Committees.

— Expertise  and  inspections  relating  to  controls  in  the  food,  veterinary  and  phytosanitary  sectors.

— Technical  expertise  to  assess  risks  relating  to  products,  notably  for  foodstuffs.

— Making best use of scientific and technical elements relating to consumer protection actions, notably

through  the  use  of  expertise  of  the  Joint  Research  Centre.

— Measures  relating  to  consumer  products  causing  danger  to  consumers.

— Dissemination  of  information  about  dangerous  products  and  potential  risks.

2. Protecting  the  economic  interests  of  consumers  as  regards  products  and  services

— Measures  to  improve  cooperation  between  the  bodies  participating  in  market  surveillance.

— Measures  to  ensure  the  respect  of  consumer  rights  in  the  supply  of  products  and  services,  including
mechanisms  for  settling  consumer  disputes,  notably  through  pilot  projects  and  setting  up
databases.

— Measures to ensure a level playing field in consumers transactions, taking into account the impact of

new  technologies,  and  the  development  of  financial  services.

3. Educating  and  informing  consumers

— Improving  information  to  consumers  about  their  rights  and  how  to  enforce  them  and  raising

awareness  of  manufacturers  and  consumers  about  safety  aspects  of  products.

— Improving  information  to  consumers  about  features  of  specific  products  and  services  notably

through  comparative  testing.

— Develop  the  education  and  training  of  consumers,  particularly  in  schools.

— The  development  of,  and  support  for,  European  centres  providing  information  and  advice  to  cross

border  consumers  in  the  Community.

4. Promotion  and  representation  of  the  interests  of  consumers

— Strengthening  the  representation  of  consumer  interests  at  the  European  and  international  level.

— Supporting  consumer  organizations  in  the  Member  States,  notably  where  their  means  are  limited.

— Promotion  and  coordination  of  consumer  participation  at  the  European  level  in  standardization.

— Pilot  projects  promoting  sustainable  consumption  models,  notably  those  that  are  environmentally

friendly.