Decision No 283/1999/EC of the European Parliament and of the Council of 25 January 1999 establishing a general framework for Community activities in favour of consumers
Date: 1999-01-25
Institutions: Council of the European Union, European Parliament
Subjects: consumer information, consumer movement, consumer protection, product safety, public health

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I

(Acts whose publication is obligatory)

DECISION No 283/1999/EC OF THE EUROPEAN PARLIAMENT AND OF
THE COUNCIL
of 25 January 1999

establishing a general

framework for Community activities in favour of

consumers

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 in the Community and to strength-
ening consumer confidence, which is essential for
the smooth functioning of the internal market;

(2) Whereas these objectives cannot be achieved effec-
tively without the cooperation and participation of
all the institutions and parties concerned;

(3) Whereas the Community is committed in partic-
ular 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 essen-
tial for achieving this aim;

(1) OJ C 108, 7. 4. 1998, p. 43 and OJ C 390, 15. 12. 1998, p.

22.

(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 (OJ C 404, 23. 12. 1998, p. 8) and Decision
of the European Parliament of 15 December 1998 (not yet
published in the Official Journal). Council Decision of 21
December 1998.

(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;

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

(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;

(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 implementation of this general frame-
work 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 stan-
dardisation process;

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

(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 Proto-
cols, and also to Cyprus in accordance with proced-
ures to be agreed, as well as to the EFTA/EEA
countries on the basis of additional appropriations
in accordance with the rules set out in the Agree-
ment on the European Economic Area;

(13) Whereas action under

framework
should also contribute to promoting the interests of
consumers at international level;

this general

(14) Whereas it is necessary to evaluate past achieve-
ments and draw up a policy priority programme to
implement this general framework in order to help
the
achieve maximum effectiveness
period covered; whereas an action plan should be
included;

throughout

(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 inter-
ests 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 take part in concerted action in the areas recog-
nised as priorities;

(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 20
December 1994 between the European Parliament,
the Council and the Commission concerning the
implementing measures for acts adopted in accord-
ance with the procedure laid down in Article 189b
of the Treaty (1);

(19) Whereas it

is necessary to lay down selection

criteria for the provision of financial support;

(1) OJ C 102, 4. 4. 1996, p. 1.

(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 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;

(22) Whereas this Decision lays down, for the whole of
the planned duration, a financial framework consti-
tuting the principal point of reference, within the
meaning of point 1 of the Declaration by the Euro-
pean Parliament, the Council and the Commission
of 6 March 1995 (2), for the budgetary authority in
the annual budgetary procedure,

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 inter-
ests of consumers and providing them with a high level of
protection.

This general

2.
framework of activities consists of
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.

This general

3.
is hereby
adopted for the period from 1 January 1999 to 31
December 2003.

framework of activities

The financial framework for the implementation of
the period 1999-2003 is

4.
this general
hereby set at EUR 112,5 million (3).

framework for

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

Article 2

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

the policy

(a) actions taken by the Commission;

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

(2) OJ C 102, 4. 4. 1996, p. 4.
(3) NB: This

amount does not
earmarked for funding EHLASS,
altogether.

include

the

appropriations
i.e. EUR 7,5 million

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(c) actions providing financial

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.

support

for

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 legal

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

(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

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 imple-
mentation 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.

Unpaid work or donations in kind,
if properly docu-
mented, may be taken into account, up to a level of 20 %
of total eligible costs, when assessing the organisations’
revenue and costs.

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

Article 5

Article 7

1.
The financial support referred to in Article 2(b) may
be granted to European consumer organisations which:

— have been mandated to represent

— are non-governmental, non-profit-making

organ-
isations whose main objectives are to promote and
protect the interests and health of consumers, and
the 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 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,

— a lasting multiplier effect at national or European

level,

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

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

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— 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.

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

3.
the
Commission shall provide the Committee with informa-
tion about the activities financed under Article 2(a).

the beginning of each year,

CHAPTER III

Article 10

Procedures, evaluation and monitoring

Article 8

1.
Each year the Commission shall, for the actions
referred to in Article 2(b) and (c), at a date, if possible
before 30 September, of which it will inform all interested
parties and Member States in an appropriate way, publish
a notice in 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, within five months of the publication referred to in
paragraph 1, select such activities and projects referred to
in Chapter II as are to receive financial support. The
Commission decision shall lead to the conclusion of a
contract with the recipients responsible for implementa-
tion concerning the rights and obligations of the parties.

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

4.
A list of the recipients and of the actions funded
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.

Article 9

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.

The representative of the Commission shall submit
2.
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.

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 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
five years from the last
expenditure for a period of
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 inde-
pendent experts engaged for this purpose.

Article 12

1.
The Commission may reduce, suspend or recover
financial support granted for an activity if it detects irreg-
ularities or
its
approval, been significantly modified so that it is incom-
patible with the objectives of the agreed implementing
arrangements.

the activity has, without

learns

that

If

the deadlines are not met or if

2.
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 satis-
factory, the Commission may cancel the balance of the
financial support and demand that the sums already paid
be refunded immediately.

All undue payments

3.
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.

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Article 13

Article 14

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

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
and to the Council on the first three years of implementa-
tion of activities under this general framework.

Done at Brussels, 25 January 1999.

For the European
Parliament

The President

For the Council

The President

J. M. GIL-ROBLES

J. FISCHER

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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 resolu-

tion, 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 databases,

— 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 training 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

— Strengthening 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,
in standardisation,
— promotion and coordination of consumer participation at the European level
— pilot projects promoting sustainable consumption models, in particular those that are environmentally

friendly.