Opinion of the Committee of the Regions on the "Proposal for a European Parliament and Council Directive amending Directive 97/67/EC with regard to the further opening to competition of Community postal services"
Date: 2000-12-13
Institutions: European Committee of the Regions
Subjects: liberalisation of the market, postal service, provision of services, single market

C 144/20

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Official Journal of the European Communities

16.5.2001

Opinion of the Committee of the Regions on the ‘Proposal for a European Parliament and Council
Directive amending Directive 97/67/EC with regard to the further opening to competition of
Community postal services’

(2001/C 144/07)

THE COMMITTEE OF THE REGIONS,

having regard to proposal for a European Parliament and Council Directive amending Directive 97/67/EC
with regard to the further opening to competition of Community postal services [COM(2000) 319 final
— 2000/0139 (COD)];

having regard to the decision of the Council on 25 September 2000, under the first paragraph of
Article 265 of the Treaty establishing the European Community, to consult it on this matter;

having regard to the decision taken by its Bureau on 13 June 2000, to draw up an opinion on this matter
and to instruct Commission 6 for Employment, Economic Policy, Single Market, Industry and SMEs to
undertake the preparatory work;

having regard to its opinion on Communication from the Commission on the set of measures proposed
for the development of community postal services a and a Proposal for a European Parliament and
Council Directive on common rules for the development of Community postal services and the
improvement of quality of service (CdR 422/95 fin) (1);

having regard to The decision of its President of 26 October 2000 to appoint Mr Martin as rapporteur
general to draw up an opinion on this subject, in accordance with rule 40.2 of the Rules of Procedure of
the Committee of the Regions;

having regard to the draft opinion (CdR 309/2000 rev. 1), drawn up by the general rapporteur Mr Martin
UK, PES,

adopted the following opinion at its 36th plenary session, held on 13 and 14 December 2000 (meeting
of 13 December).

1.

The Committee’s views on the proposals

1.1.
The Committee supports and is committed to the
completion of the single European market, which includes a
process of liberalisation of the postal services within the
European Union, reconciling the furtherance of the gradual,
controlled liberalisation of the postal market and that of a
durable guarantee of the provision of the universal service.

1.2. While the Committee notes the decision of the March
1999 Council, it also wishes to stress the key role played by
the postal services in the social and territorial cohesion of the
European Union.

1.3.
The Committee wishes to underline that the postal
services offer a unique communications infrastructure with a
high economic and social importance and impact to all EU
citizens.

1.4.
In particular, the Committee is of the opinion that a
high quality, modern and technologically advanced universal

(1) OJ C 337, 11.11.1996, p. 28.

postal service is a prerequisite to the full implementation of
the single market and future economic growth and social
In particular, citizens and small businesses in
inclusion.
remote and excluded urban areas rely on the universal service
providers to deliver letters, goods and services.

1.5.
The Committee also accepts that many postal services
are making strategic alliances across national boundaries with
others embarking on acquisitions to ensure a greater degree of
control of the distribution networks.

The Committee agrees that the impact of globalisation,
1.6.
market demands for a high quality service and technological
advances means that the postal services are facing rapid change
within their industry.

1.7.
The Committee accepts that EU postal services already
operate in an increasingly open and competitive market
place, which is characterised by rapid technological change,
predominantly because of the fast growing use of Internet, the
fax and other technological advances.

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1.8.
The Committee recognises that some member states
have already gone further than the 1997 directive and have
liberalised larger segments of the postal services beyond the
currently defined reserved area of 350 grammes and 5 times
the standard tariff.

potential shift from the universal service providers to new
entrants. The Committee is of the view that such shifts should
not be at the expense of the quality of employment for EU
citizens. Indeed, human resource development and support
may have to be intensified within the sector.

1.9.
In particular, the Committee is keen to emphasise the
employment role of the postal services, which account for
approx. 1,7 million people, of whom about 1,3 m are
employed by the universal service providers. Many of these
jobs are in remote rural and excluded urban areas. The
employment impact on local and regional economies must be
taken into account in any further liberalisations.

1.10.
The Committee notes that the 1997 Directive has
already produced improvements in the quality of service of
cross-border mail flows because its principles allow for good
relationships between Universal Service Obligation providers.

1.11.
The Committee wishes to stress that the universal
postal service obligation gives the postal services a distinc-
tiveness, which is not enjoyed by any other economic sector
in that it provides direct access points for individual consumers,
both individual and businesses, to reliable communication
services as well as to government services, banking and other
commercial facilities in many Union countries. Such services
are of particular relevance to excluded communities, both in
urban and rural areas.

1.12.
The Committee accepts that the universal service
providers face a unique set of challenges from further liberalis-
ation because of existing investments in the postal services
networks, much of which is fixed (post offices, transport
infrastructure, staff, etc.) and from the exponential growth of
new technological based solutions to communications for
both businesses and individuals (e-commerce, internet, fax,
broadcasting, etc.).

1.13.
The Committee recognises that this increased use of
Internet based services could lead to a further decline in the
traditional letter based postal services, the mainstay of the
reserved services, and that excluded groups are less likely to
have access to these Internet-based services.

1.14.
The Committee accepts that changes over the next
decade will be driven by technological advances and will
increase pressures to develop and deliver increasingly tailored
and customised solutions to different groups of customers by
the postal services, whether through a universal provider or
through specialist postal services deliverers.

1.15.
It is the view of the Committee that this will lead to a
restructuring in the employment within the sector, with a

1.16.
On the other hand, the Committee is also of the
opinion that such technological change opens up new possi-
bilities for the development of new products such as encryption
services secure transmission via the Internet and products
tailored to the needs of individual customers, which will
benefit both the incumbent universal services provider as well
as new entrants into the market place, both in terms of income
generation and employment opportunities.

2.

The Committee’s recommendations regarding the
proposals

2.1.
The Committee of the Regions agrees with the prin-
ciples aimed at reconciling the furtherance of a gradual and
controlled liberalisation of the postal services with a durable
guarantee of the provision of the universal service, as this is
likely to lead to a better quality of service for the consumer,
both individual and businesses.

2.2.
The Committee recommends that more emphasis must
be given to the distribution of potential job losses, particularly
in remote rural and excluded urban communities, where the
postal services provide a significant avenue for employment
opportunities. Shifts in employment will have significant
impacts on local and regional economies and these must be
taken into account in any further liberalisations.

2.3.
The Committee of the Regions thinks that the possi-
bility should be considered of using the post-office infrastruc-
ture in rural areas as a means of bringing public and other
services to regions with a weak communications infrastructure.
Post offices could function as a nodal point between peripheral
and central areas, preserving and promoting employment and
helping to maintain population levels.

2.4.
The Committee wonders about the impact on employ-
ment forecast by the Commission, and therefore requests that
member states provide regular employment data to the
Commission. This would be in line with the new focus on
employment within the Treaty of Amsterdam.

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2.5.
In the view of the new strategic goal for the Union to
create more and better jobs, the Committee recommends that
special attention be given to monitoring the quality of
employment across the postal sector as a whole to ensure that
further liberalisation does not lead to deterioration of working
conditions of EU citizens working within the postal services.

2.10.
It is the view of the Committee that such a guarantee
is essential if consumer confidence is to be maintained and the
conclusion of the single market is achieved. The Committee is
also of the view that this definition will ensure adequate access
for individuals and small enterprises in rural and excluded
urban communities in particular.

2.6.
The Committee therefore requests the member states
and the Commission to ensure that this aspect is a central
consideration to proposals on liberalisation. This work must
include an assessment of further human resource development
needs to secure high quality employment opportunities for EU
citizens.

2.7.
The Committee also requests that members states
with the Commission examine possibilities arising from new
technologies and the existence of an extensive network of post
offices across the Union to develop the network further in
terms of access to governmental services, including voting in
direct elections, education, training and job opportunities, etc.

2.8.
Given the unique position and role of the universal
postal service in relation to the achievement of the Single
European Market, the Committee requests that a further report
into the state of the market be carried out after 2003, once the
Directive has been implemented, and prior to any further
proposals for liberalisation. This should include an assessment
liberalisation is achievable and indeed
as to whether full
desirable in view of the desire aim of maintaining the universal
service obligation.

The Committee welcomes the continuation of the
2.9.
universal service obligation (defined as a minimum of 1 daily,
inexpensive, reliable and high-quality collection and delivery
to every address, in any location) and requests that this be
maintained as a central, basic requirement to be placed on all
universal service providers.

Brussels, 13 December 2000.

New definitions regarding traditional services and
2.11.
special services have been introduced. According to the
Commission’s proposal, special services outside the universal
service are to be liberalized whatever the price limit. The
Committee considers that the definition of special services
needs to be tightened, so that the economic content of the
universal service is protected. Indeed, the proposed definition
is so broad that any competitor defining its services as ‘special’
could easily circumvent the reserved area, thus jeopardising
the financial viability of all universal service providers.

2.12.
The Committee regrets the introduction of the new
concept of special services without any analysis as this puts
into question the principle of adaptability of the universal
service, as provided for by article 5 of the 1997 Directive. The
deletion of the reference to price for those services would be a
matter of serious legal uncertainty for the sector and would
impact on the economic viability of the Universal Service
Obligation providers.

2.13.
The proposal from the Commission argues for a
reduction from 350 grammes or 5 times the normal tariff to
50 grammes and 2,5 times the tariff. It is the view of the
Committee that this could potentially undermine the ability of
the universal service provider to deliver on this obligation. The
1997 Directive foresaw a controlled and gradual liberalisation
and the Committee is therefore of the view that the step
change should be to 150 grammes, not 50 grammes.

2.14.
The Committee considers this area of extreme import-
ance to the local and regional authorities and therefore requests
to be kept up to date with further developments.

The President

of the Committee of the Regions

Jos CHABERT