COMMON POSITION (EC) No 67/98 adopted by the Council on 20 November 1998 with a view to the adoption of Decision No .../98/EC of the European Parliament and of the Council of ... establishing a general framework for Community activities in favour of consumers
Date: 1998-11-20
Institutions: Council of the European Union
Subjects: Council of the European Union, EC Decision, EU activity, European Parliament, consumer protection

C 404/8

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Official  Journal  of  the  European  Communities

23.12.98

COMMON  POSITION  (EC)  No  67/98

adopted  by  the  Council  on  20  November  1998

with  a  view  to  the  adoption  of  Decision  No  . . ./98/EC  of  the  European  Parliament  and  of
the  Council  of  . . .  establishing  a  general  framework  for  Community  activities  in  favour  of
consumers

(98/C 404/02)

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,

Having  regard  to  the  proposal  from  the  Commission (1),

Having regard to the opinion of the Economic and Social
Committee (2),

Acting  in  accordance  with  the  procedure  laid  down  in
Article  189b  of  the  Treaty (3),

(1) Whereas  Community 

action 

contributes 

to
achieving  a  high  level  of  consumer  protection  and
thus  also  contributes  to  promoting  economic  and
social  cohesion 
to
the  Community  and 
is
strengthening  consumer  confidence,  which 
essential  for  the  smooth  functioning  of  the  internal
market;

in 

(2) Whereas 

these  objectives  cannot  be  achieved
effectively  without 
and
participation  of  all  the  institutions  and  parties
concerned;

cooperation 

the 

(5) Whereas  the  Community  needs  to  plan  the  actions
required  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  in  order  to  achieve  maximum  effectiveness
throughout  the  period  covered;

(6) Whereas  this  general  framework  aims  in  particular
to  bring  together  the  initiatives  carried  out  for  the
benefit  of  consumers  in  order  to  optimise  their
effects  for  consumers;

initiatives 

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

the  Community, 

(8) Whereas 

the 

initiatives  undertaken  by 

the
Community  and  the  actions  to  support  other
private  or  public 
initiatives  complement  one
another  and  should  form  part  of  an  integrated
approach;  whereas  it  is  necessary  to  strengthen  the
bodies and organisations 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;

(3) Whereas the Community is committed in particular
to  giving  new  impetus  to  its  action  in  favour  of
consumers and their health in order to enable them
to  become  a  driving  and  innovatory  force;

(4) Whereas  the  statement  of  the  European  Council
meeting  in  Luxembourg  on  12  and  13  December
1997  on  food  safety  recognises  that  everything
must  be  done  to  restore  public  confidence,  severely
shaken  by  the  BSE  crisis;  whereas  activities  to  be
undertaken  within  a  general 
framework  are
essential  for  achieving  this  aim;

(1) OJ  C  108,  7.4.1998,  p.  43.
(2) OJ  C  235,  27.7.1998,  p.  72.
(3) Opinion  of  the  European  Parliament  of  8  October  1998  (OJ
C  328,  26.10.1998,  p.  166),  Council  common  position  of
20 November 1998 (not yet published in the Official Journal
and  Decision  of  the  European  Parliament  of  . . .  (not  yet
published  in  the  Official  Journal).

(9) Whereas  the  other  policies  of  the  Community  are
also responsible and accountable for the integration
of consumer interests and should also contribute in
financial  terms  to  the  implementation  of  policy  in
the  field  of  consumer  protection;

(10) Whereas 

the 

this  general
implementation  of 
framework  should  make  it  possible  to  take  better
account  of  the  interests  of  consumers  in  the  other
relevant  policies  of  the  Community,  and  should
ensure  the  development  of  consumer  participation
in  the  standardisation  process;

(11) Whereas  a  harmonised  approach  to  matters  related
to  the  protection  of  consumers  and  their  health  is
indispensable  and  whereas  this  general  framework
is  to  provide  the  necessary  financial  support  to

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ensure  the  provision  of  high-quality  independent
scientific advice, globally-recognised risk-assessment
methods  and  effective  control  and 
inspection
methods;  whereas  the  Community  also  has  at  its
disposal 
the  Joint  Research
Centre;

the  expertise  of 

(12) Whereas  this  general  framework  is  open  to  the
participation  of  the  associated  countries  of  central
and eastern Europe in accordance with the relevant
European Agreements or their Additional Protocols,
and  also  to  Cyprus  in  accordance  with  procedures
to be agreed, as well as to the EFTA/EEA countries
in
on  the  basis  of  additional  appropriations 
accordance  with  the  rules  set  out  in  the  Agreement
on  the  European  Economic  Area;

(13) Whereas  action  under  this  general  framework
should also contribute to promoting the interests of
consumers  at  international  level;

(14) Whereas 

it 

to 

is  necessary 

evaluate  past
achievements  and  draw  up  a  policy  priority
programme to implement this general framework in
order 
to  help  achieve  maximum  effectiveness
throughout  the  period  covered;  whereas  an  action
plan  should  be  included;

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

(16) Whereas  it  is  necessary,  at  the  same  time,  to
support  organisations  and  bodies  which  are  active
at national or regional level by encouraging them to
the  areas
take  part 
recognised  as  priorities;

in  concerted  action 

in 

(17) Whereas  it  is  therefore  necessary  to  set  out  the
arrangements  for  the  financial  support  provided  by
the  Community  to  the  organisations  and  bodies
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; 

(18) Whereas  a  modus  vivendi  was  concluded  on
the  European
20  December  1994  between 
Parliament,  the  Council  and  the  Commission
concerning  the  implementing  measures  for  acts
adopted  in  accordance  with  the  procedure  laid
down  in  Article  189b  of  the  Treaty (1);

(1) OJ  C  102,  4.4.1996,  p.  1.

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

(20) 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;

(21) Whereas 

the 

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

(22) Whereas  this  Decision  lays  down,  for  the  whole  of
the  planned  duration,  a 
framework
constituting  the  principal  point  of  reference,  within
the  meaning  of  point  1  of  the  declaration  by  the
European  Parliament, 
the
Commission of 6 March 1995 (2), for the budgetary
authority  in  the  annual  budgetary  procedure,

the  Council  and 

financial 

HAVE  DECIDED  AS  FOLLOWS:

CHAPTER  I

General  objectives  and  approach

Article  1

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

This  general  framework  of  activities  consists  of
2.
actions  designed  to  help  protect  the  health,  safety  and
economic  interests  of  consumers  and  to  promote  their
right to information and education and their right to join
forces  in  order  to  protect  their  interests.

3.
This  general  framework  of  activities  is  hereby
adopted  for  the  period  from  1  January  1999  to
31  December  2003.

4.
The  financial  framework  for  the  implementation  of
this  general  framework  for  the  period  1999—2003  is
hereby  set  at  ECU  112,5  million (*).

5.
The  annual  appropriations  shall  be  authorised  by
the  budgetary  authority  within  the  limits  of  the  financial
perspective.

(2) OJ  C  102,  4.4.1996,  p.  4.
(*) This  amount  does  not  include  the  appropriations  earmarked

for  funding  EHLASS,  i.e.  ECU  7,5  million  altogether.

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Article  2

The  activities  to  support  and  supplement  the  policy
conducted  by  the  Member  States  shall  consist  of:

(a) actions  taken  by  the  Commission;

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

(c) actions  providing  financial  support  for  specific
projects  to  promote  the  interests  of  consumers  in
the  Member  States  presented  under  the  conditions
set  out  in  Article  6,  in  particular  by  consumer
organisations  and  appropriate  independent  public
bodies.

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,  such  as  the
triennial  action  programmes,  and  shall  in  accordance
with  its  action  plan  1999—2001  lay  down  the  priorities
to  be  applied  in  the  activities  listed  in  the  Annex.

Article  4

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

(a)

the  health  and  safety  of  consumers  as  regards
products  and  services;

(b) protecting  the  economic  and 

interests  of
consumers,  including  access  to  dispute  resolution,  as
regards  products  and  services,  taking  into  account
horizontal  aspects;

legal 

(c) educating  and 

informing  consumers  about  their

protection  and  rights;

(d) promotion  and  representation  of  the  interests  of

consumers.

The  Annex  sets  out  a  list  of  the  activities  by  area.

CHAPTER  II

Implementing arrangements

Article  5

— are non-governmental, non-profit-making organisations
whose main objectives are to promote and protect the
interests  and  health  of  consumers,  and

— have  been  mandated 

to  represent 

interests
of  consumers  at  European 
level  by  national
organisations of at least half the Member States of the
Community  that  are  representative,  in  accordance
with  national  rules  or  practice,  of  consumers  and  are
active  at  national  or  regional  level.

the 

2.
The financial support referred to in Article 2(b) may
be  granted  to  support  the  activities  of  European
consumer  organisations  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,  8  and  10.

In  addition,  the  financial  support  may  not,  in  principle,
exceed  50 %  of  the  expenditure  involved  in  carrying  out
eligible  activities.  Administrative  costs  related  to  eligible
activities shall be taken into account in so far as they are
in  conformity  with  Article  6(3).

Article  6

1.
The financial support referred to in Article 2(c) may
be  granted  to  any  natural  or  legal  person  or  association
of  natural  persons  that  acts  independently  of  industry
and  commerce  and 
is  actually  responsible  for  the
implementation of the projects, 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(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.

if  properly
Unpaid  work  or  donations 
documented, may be taken into account, up to a level of
20 %  of 
the
organisations’  revenue  and  costs.

total  eligible  costs,  when  assessing 

in  kind, 

The conditions for granting financial support are set

3.
out  in  Articles  7,  8  and  10.

The financial support referred to in Article 2(b) may

1.
be  granted  to  European  consumer  organisations  which:

In  addition,  the  financial  support  may  not,  in  principle,
exceed 50 % of the expenditure involved in implementing

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the  project(s),  excluding  all  operating  expenses,  except
where  these  are  directly  related  to  the  proposed  project.

Article  7

The  financial  support  referred  to  in  Article  2(b)  and  (c)
shall  be  granted  to  actions  selected  in  particular  on  the
basis  of  the  following  criteria,  where  appropriate,  taking
into  account  the  variety  of  consumer  organisations  in
Member States in order to ensure an adequate balance of
consumer  interests  in  the  Community:

— a  satisfactory  level  of  cost-effectiveness,

— an  added  value  ensuring  a  high  and  uniform  level  of
the  representation  of  the  interests  of  consumers,

2. Having  assessed  the  proposals,  the  Commission
shall, within five months of the publication referred to in
paragraph  1,  select  such  acitivities  and  projects  referred
to  in  Chapter  II  as  are  to  receive  financial  support.
The  Commission  decision  shall  lead  to  the  conclusion
for
of  a  contract  with 
implementation  concerning  the  rights  and  obligations  of
the  parties.

the  recipients  responsible 

Community  support  shall  relate  to  actions  to  be
3.
carried out in the year of the financial contribution or in
the  following  year.

A  list  of  the  recipients  and  of  the  actions  funded
4.
under this framework shall be published each year in the
Official  Journal  of  the  European  Communities  with  an
indication  of  the  amount  of  the  support.

— a  lasting  multiplier  effect  at  national  or  European

level,

Article  9

— 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 through the exchange of experience to raise
the  awareness  of  consumers  and  economic  operators
and  by  joint  utilisation  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

1.
In  defining  the  criteria  for  the  selection  of  activities
and  projects  referred  to  in  Article  2(b)  and  (c)  and  in
selecting  these  activities  and  projects,  the  Commission
shall  be  assisted  by  a  committee  of  an  advisory  nature
composed  of  the  representatives  of  the  Member  States
and  chaired  by  the  representative  of  the  Commission.

2.
The  representative  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.

The opinion shall be recorded in the minutes; in addition,
each Member State shall have the right to ask to have its
position  recorded  in  the  minutes.

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.

In  addition,  at  the  beginning  of  each  year,  the
committee  with
financed  under

the 
the  activities 

shall  provide 

3.
Commission 
information  about 
Article 2(a).

Each  year  the  Commission  shall,  for  the  actions
1.
referred  to  in  Article  2(b)  and  (c),  at  a  date,  if  possible
before  30  September,  of  which 
inform  all
interested  parties  and  Member  States  in  an  appropriate
way,  publish  a  notice  in  the  Official  Journal  of  the
European  Communties  describing  the  areas  for  funding
and  setting  out  the  selection  and  award  criteria  and  the
procedures  for  application  and  approval.

it  will 

Article  10

The  Commission  shall  ensure  the  monitoring  and
1.
supervision  of  effective  implementation  of  the  activities
financed  by  the  Community.  This  shall  be  done  on  the
basis  of  reports  using  procedures  agreed  between  the

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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.

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

Article  11

The  Commission  shall  ensure  that  the  actions  funded
by  the  Community  are  evaluated  regularly.  These
evaluations  may  be  carried  out  by  the  Commission
and/or  by  independent  experts  engaged  for  this  purpose.

Article  12

1.
The  Commission  may  reduce,  suspend  or  recover
financial  support  granted  for  an  activity  if  it  detects
irregularities  or  learns  that  the  activity  has,  without
its  approval,  been  significantly  modified  so  that  it  is
the  agreed
incompatible  with 
implementing arrangements.

the  objectives  of 

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
the  financial  support  and  demand  that  the  sums  already
paid  be  refunded  immediately.

3.
All  undue  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  13

1.
Each year, the Commission shall submit a report to
the  European  Parliament  and  to  the  Council  on  the
implementation  of  this  general  framework.

This  report  shall  include  the  results  of  the  evaluation  of
the  actions,  activities  and  projects  carried  out  under  this
framework  as  well  as,  where  appropriate,  under  other
budgetary  frameworks.

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  14

This  Decision  shall  enter  into  force  on  the  day  of  its
publication  in  the  Official  Journal  of  the  European
Communities.

Done  at  . . .

For  the  European  Parliament

For  the  Council

The  President

The  President

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ANNEX

LIST  OF  ACTIVITIES  BY  AREA

1. Consumer  health  and  safety

— Actions  undertaken  for  the  preparation  and  drawing  up  of  opinions  of  the  scientific  committees,

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

— technical expertise to assess, adopting a preventive approach, risks relating to products, in particular

for  foodstuffs,

— making  best  use  of  scientific  and  technical  elements  relating  to  consumer  protection  actions,  in

particular  through  the  use  of  expertise  of  the  Joint  Research  Centre,

— actions  relating  to  consumer  products  and  services  causing  danger  to  consumers,

— dissemination  of  information  about  dangerous  products  and  services  as  well  as  about  potential

risks.

2. Protecting  the  economic  and  legal  interests  of  consumers,  including  access  to  dispute  resolution,  as

regards  products  and  services,  taking  into  account  horizontal  aspects

— Actions  to  improve  cooperation  between  the  bodies  participating  in  market  surveillance,

— actions  to  ensure  the  respect  of  consumer  rights  in  the  supply  of  products  and  services,  including
mechanisms  for  improving  the  settlement  of  consumer  disputes,  in  particular  through  pilot  projects
and  setting  up  databasses,

— actions  to  ensure  a  level  playing  field  in  consumer  transactions,  taking  into  account  the  impact  of
new  technologies,  the  development  of  financial  services  and  the  impact  of  the  euro  on  the
consumer,

— actions  to  monitor  environmental  claims  on  product  labels,  on  packaging  and,  in  general,  in

advertising  and  through  other  types  of  marketing,

— improving  common  extra-judicial  procedures,

— development  of,  and  support  for,  actions  aimed  at  facilitating  access  to  justice,

— actions  to  assess  the  specific  risks  and  potential  benefits  for  consumers  in  the  information  society
including  pilot  projects  to  establish  cross-border  dispute  resolution  systems  applicable  to  electronic
commerce  and  on-line  contracts,

— actions  to  promote  data  protection  and  the  protection  of  privacy  including  the  protection  of

minors.

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  and  services,

— raising  awareness  of  consumers  for  the  need  for  sustainable  production  and  consumption  patterns,

— improving  information  to  consumers  about  features  of  specific  products  and  services  in  particular

through  comparative  testing,

— developing  the  education  and  traning  of  consumers,  particularly  in  schools,

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

consumers  in  the  Community.

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4. Promotion  and  representation  of  the  interests  of  consumers

— Strenghtening  the  representation  of  the  interests  of  consumers  at  the  Community  and  international

level,

— supporting  consumer  organisations  in  the  Member  States,  in  particular  where  their  means  are

limited,

— promotion  and  coordination  of  consumer  participation  at  the  European  level  in  standardisation,

— pilot  projects  promoting  sustainable  consumption  models, 

in  particular 

those 

that  are

environmentally friendly.

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STATEMENT  OF  THE  COUNCIL’S  REASONS

I.

INTRODUCTION

1. On  30  January  1998,  the  Commission  sent  to  the  Council  a  proposal,  based  on
Article  129a  of  the  EC  Treaty,  establishing  a  general  framework  for  Community
activities  in  favour  of  consumers.

2. The  European  Parliament  and  the  Economic  and  Social  Committee  delivered  their

opinions  on  8  October  1998  and  28  May  1998 (1)  respectively.

3. On  5  November  1998,  the  Commission  forwarded  an  amended  proposal  to  Council.

4. On  20  November  1998,  the  Council  adopted  its  common  position  in  accordance  with

Article  189b  of  the  Treaty.

II. OBJECTIVE

The  future  Decision  is  designed  to  provide  the  necessary  legal  basis  for  financing  specific
actions  in  the  area  of  consumer  policy.

III. ANALYSIS  OF  THE  COMMON  POSITION

General

The  Council  accepted  or  took  account  of  most  of  the  amendments  of  the  European
Parliament.

Article  1

In paragraph 4 the Council fixed a financial amount which differs from the figure proposed
by  the  European  Parliament.

The  reference  to  the  Amsterdam  Treaty, 
amendment  21),  was  dropped  for  legal  reasons.

initially  considered 

in  this  Article  (see

Article  2

The Council reworded the introductory sentence for reasons of clarity and preferred to keep
the  text  in  line  with  the  Treaty  (‘support  and  supplement’).

In  subparagraph  (c)  it  included  public  bodies  to  take  account  of  the  situation  in  some
Member  States.

Article  4

The  Council  inserted  the  reference  to  legal  interests  in  subparagraph  (b)  and  replaced  the
terms  ‘redress’  and  ‘access  to  justice’  by  ‘access  to  dispute  resolution’  in  order  to  take
account  of  the  difficulties  of  several  Member  States.

Article  5

In  paragraph  1,  second  indent  the  Council  added  the  reference  to  national  rules  and
practices  in  order  to  take  account  of  the  different  situations  in  Member  States  as  regards
representativity.

(1) OJ  C  235,  27.7.1998,  p.  72.

C 404/16

EN

Official  Journal  of  the  European  Communities

23.12.98

Article  7

The Council reworded the introductory sentence and added in the third indent ‘at national
or  European  level’  in  order  to  give  consumer  organisations  in  smaller  Member  States  a
better  chance  to  benefit  from  the  general  framework.

Article  9

The Council included a consultative committee assisting the Commission (see also recital 18
on  the  modus  vivendi).

Annex

The  Council  took  account  of  a  number  of  the  Parliament’s  suggestions,  either  entirely,  in
part or in principle. As regards legal interests, because of the problems mentioned above in
the context of Article 4, the Council confined its reference to facilitating access to justice in
general  and  to  dispute  resolution.