Report from the Commission to the European Parliament and the Council on the implementation and evaluation of Community activities 2002-2003 in favour of consumers under the General Framework as established by Decision 283/1999/EC
Date: 2005-09-16
Institutions: European Commission
Subjects: activity report, consumer information, consumer protection, health control, product safety, public health, veterinary inspection

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 16.9.2005 
COM(2005)432 final 

. 

REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT 
AND THE COUNCIL 

on the implementation and evaluation of Community activities 2002-2003 in favour of 
consumers under the General Framework as established by Decision 283/1999/EC 

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TABLE OF CONTENTS 

1. 

2. 

3. 

4. 

5. 

6. 

7. 

Introduction .................................................................................................................. 3 

protection of consumer health and safety..................................................................... 3 

Protection of economic interests of consumers............................................................ 5 

Education and information........................................................................................... 7 

European consumer organisations................................................................................ 8 

Specific projects ........................................................................................................... 8 

Conclusion.................................................................................................................... 9 

ANNEX...................................................................................................................................... 9 

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REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT 
AND THE COUNCIL 

on the implementation and evaluation of Community activities 2002-2003 in favour of 
consumers under the General Framework as established by Decision 283/1999/EC 

(Text with EEA relevance) 

1. 

INTRODUCTION 

Decision 283/1999/EC of 25 January 1999 sets up a “general framework of activities 
to  promote  consumer  interests  and  to  ensure  a  high  level  of  consumer  protection 
1999-2003”1.  This  report  gives  an  overview  of  its  implementation  in  2002/2003, 
since  for  reasons  of  administrative  efficiency  the  reporting  requirements  of  this 
decision  are  fulfilled  biennially.  The  present  report  incorporates  the  results  of 
evaluations  on  a  number  of  actions,  which  were  carried  out  in  2004,  in  order  to 
provide  additional  insights  into  the  effectiveness  and  efficiency  of  the  actions 
executed2.  The  total  commitment  appropriations  (including  EFTA  contribution)  for 
2002  amounted  to  about  €22.5  million,  and  to  €23  million  for  2003.  In  2002  more 
than 95 % of the appropriations were utilised3, in 2003 more than 99 % (see Annex). 

2. 

PROTECTION OF CONSUMER HEALTH AND SAFETY 

Expenditure  in  the  field  of  scientific  advice  concerns  indemnities  for  the  Scientific 
Committees4 and preparatory scientific studies. In 2002/2003 a total number of 540 
meetings  (working  groups  and  plenary  meetings)  took  place,  resulting  in  the 
adoption of 381 reports and scientific opinions5, at a cost of about €1.7 million.  

The  Food  and  Veterinary  Office  (FVO)  carries  out  on-the-spot  checks  of  national 
control  systems  in  the  food,  veterinary  and phytosanitary  sectors  in  Member  States 
and third countries exporting to the EU. Expenditure committed for the participation 
in FVO inspections of national experts added up to €475.000. The development and 
maintenance of a computer system for the programming, planning, management and 
follow up of FVO inspections cost €112.8806. 

1 
2 
3 

4 

5 
6 

OJ L 34 of 9.2.1999, p. 1. 
See also COM(2003) 42 on the implementation and evaluation of such activities 1999-2001. 
an amount of about €1.000.000 was transferred to other community activities with the approval of the 
budgetary authority in November 2002 (budget line B5304). 
Scientific committees as set up by Commission Decision 97/404/EC and Decision 97/579/EC. In May 
2003, responsibilities on food-related issues were transferred to the European Food Safety Authority.  
See http://europa.eu.int/comm/food/committees/scientific/index_en.htm 
See http://europa.eu.int/comm/food/fvo/index_en.htm 

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Data  on  exposure  to  chemicals  through  consumer  products  are  necessary  to  assess 
potential  risks  of  consumer  products.  The  ‘European  information  system  on  risks 
from chemicals released from consumer products/articles’ and ‘CHEMTest’ projects 
develop  methods  and  tools  for  such  assessments,  taking  into  account  the  type  of 
product, the particular use, consumer subgroup, length of time of use, type of contact 
etc.7  Expenditure  adds  up  to  about  €3  million,  including  research  on  consumer 
perceptions of risks associated with chemicals.  

An amount of €200.000 was reserved for technical support in the evaluation of risks 
in follow-up to notifications of dangerous products through the RAPEX system. This 
was  used  to  assess  consumer  exposure  to  organotin,  for  an  analysis  of  safety 
standards  for  ladders, and for the technical evaluation of a ballpoint pen  reportedly 
involved in a deadly accident.  

The Community Joint Research Centre (JRC) evaluated and validated test methods to 
detect  BSE/TSE(€400.0000).  Expenditure  on  post-market  monitoring  of  GM  food 
and  feed,  to  develop  detection  and  sampling  methods,  to  provide  scientific  support 
for international negotiations and for a conference on GMOs and risk perception by 
JRC  added  up  to  about  €1  million.  Development  of  detection  methods  of 
semicarbazide  in  food  and  of  appropriate  indicators  for  the  illegal  use  of 
nitrofurazone  in  animal  produce  cost  €774.225.  A  ring  trial  and  validation  of 
methods to determine the presence of mycotoxins in foods and feed was undertaken 
to ensure that future legislative limits can be adequately verified (€450.000). 

€416.000 was dedicated to preparatory work for a Community Reference Laboratory 
on analytical methods for the authorisation of feed additives8. An evaluation of the 
proficiency of EU laboratories at classifying and detecting feed samples containing 
processed animal proteins cost €53.000. Results9 were used in drafting Commission 
Directive 2003/126/EC. The JRC further started research into a possible link between 
permanent hair dye use and bladder cancer (€920.000).  

The  rapid  information  exchange  system  (RAPEX)  ensures  fast  data  transmission 
with  national  authorities  about  products  that  could  pose  an  immediate  risk  for 
consumer health. In 2002 and 2003, work on a new system for these exchanges was 
completed,  for  food  and  non-food  products10.  Costs  for  the  existing  and  the  new 
system  added  up  to  about  €700.000,  including  training  courses  for  Member  State 
officials.  

To  help  producers  and  distributors  notify  dangerous  products  under  the  General 
Product  Safety  Directive,  guidelines  explaining  the  criteria  for  notification,  a 
standard form and procedure were developed. A trial was undertaken to ensure their 
coherent  use  across  the  EU  (€60.000).  Extensive  consumer  surveys  were  launched 
(€1.5 million) on how consumers use and understand safety information, instructions 
and  warning  symbols  provided  by  manufacturers  on  products  most  commonly 

7 
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10 

See http://europa.eu.int/comm/consumers/cons_safe/prod_safe/chem_risks/index_en.htm 
as  required  by  Regulation  (EC)  No  1831/2003  on  additives  for  use  in  animal  nutrition, 
O J L 268, 18.10.2003, pp. 29-43. 
Results are available at http://europa.eu.int/comm/food/food/biosafety/bse/bse50_en.pdf 
See weekly overviews of notifications at http://europa.eu.int/comm/food/food/rapidalert/index_en.htm 
and http://europa.eu.int/comm/consumers/cons_safe/prod_safe/gpsd/rapex_en.htm 

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involved  in  consumer  accidents.  This  is  to  help  set  priorities  for  improving  safety 
labelling requirements.  

A study (€194.060) was undertaken to identify the most cost-effective approach for 
an  EU-wide  data  collection  system  of  service  related  accidents  and  risks.  An 
assessment  was  made  of  the  effectiveness  of  measures  to  prevent  accidents  in 
fairgrounds  and  amusement  parks  (€96.500).  Technical  expertise  was  also  used  to 
collect  data  about  the  risks  presented  by  potentially  dangerous  sports  and  leisure 
activities.  The  outcome  (€44.460)  confirmed  the  lack  of  knowledge  on  services 
related injuries and the need for Community action11. An evaluation of the technical 
guidelines  of  the  Recommendation  86/666/EEC  on  fire  safety  in  hotels  resulted  in 
proposals  for  revised  guidelines.  Technical  assistance  was  acquired  to  update  the 
inventory  of  the  national  rules  governing  fire  safety  in  hotels12.  Total  costs  were 
€120.000.  

Directive  96/23/EC13  on  residues  in  live  animals  and  animal  products  requires  an 
annual  monitoring  report.  A  database  for  presenting  national  data  on  sampling  and 
residue testing was developed (€99.884) to improve input for this report. A report for 
use  in  the  review  of  the  Novel  Food  Regulation  258/97/EC14  cost  €  10.000.  A 
database on food additives was developed at a cost of €39.73015. 

3. 

PROTECTION OF ECONOMIC INTERESTS OF CONSUMERS  

To  make  jurisprudence  on  consumer  rights16  easily  accessible,  a  database  of  unfair 
contractual terms17 is published. Data collection, analysis and IT support for this cost 
€902.689.  A  €  150.000  .appraisal  of  the  application  in  the  Member  States  of 
Directive  98/6  on  price  indications  was  made  for  a  report  to  the  Council  and  the 
European  Parliament18.  Expenditure  for  an  electronic  tool  for  rapid  information 
exchange  about  deceptive  marketing  practices  within  the  framework  of  the 
International Consumer Protection Enforcement Network added up to €79.515. 

A survey of fees for cross border payments in retail banking across the EU to verify 
compliance  with  Directive  97/5/EC19  demonstrated  that  transfer  costs  and  fees  are 
decreasing,  but  that  many  banks  do  not  comply  with  the  consumer  information 
obligations  (€550.000).  A  survey  of  mortgage  credit  suppliers  on  the  uptake  and 
effectiveness  of  the  Voluntary  Code  of  Conduct  on  Pre-contractual  Information  for 
Home Loans showed low levels of compliance with the Code 20 (€370.172).  

11 
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19 
20 

See http://europa.eu.int/comm/consumers/cons_safe/serv_safe/reports/index_en.htm 
See http://europa.eu.int/comm/consumers/cons_safe/serv_safe/fire_safe/index_en.htm 
Council Directive 96/23/EC of 29 April 1996 on measures to monitor certain substances and residues 
thereof in live animals and animal products, OJ L 125, 23.5.1996, pp. 10 – 32. 
OJ L 43 , 14.2.1997, pp. 1 -6. 
to be published on http://europa.eu.int/comm/food/food/chemicalsafety/additives/index_en.htm 
Directive 93/13/EEC, OJ L 95, 21.4.1993, p. 29. 
See http://europa.eu.int/comm/consumers/cons_int/safe_shop/unf_cont_terms/index_en.htm 
to be published at: http://europa.eu.int/comm/consumers/cons_int/safe_shop/price_ind/index_en.htm 
OJ L 43, 14.2.1997, p. 25. 
See http://europa.eu.int/comm/consumers/cons_int/fina_serv/loans/index_en.htm 

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Consumer  attitudes  on  access  to  justice  were  polled  in  2003  (€441.772).  Results 
show that most consumers never have a problem with the products and services they 
buy. Awareness of out-of-court conflict resolution is very diverse from one country 
to  another21.  A  workshop  discussed  notification  criteria  and  implementation  of 
Commission Recommendations 98/275/EC and 2001/310/EC on Alternative Dispute 
Resolution (ADR) (€25.950). 

The  European  Extra-Judicial  Network  (EEJ-Net)  facilitates  cross-border  access  to 
ADR bodies. National clearing houses were set up in 15 Member States, Norway and 
Iceland,  at  a  cost  of  almost  €2  million.  An  assessment  of  the  network  (€159.500) 
concluded  there  is  a  strong  rationale  for  continued  financial  support,  but  that 
objectives  should  be  defined  more  clearly.  Consensus  in  favour  of  a  merger  of  the 
EEJ-Net with the European Consumers Centres network emerged in June 2003. An 
evaluation  of  the  budgetary  implications  of  a  merger  found  that  a  ‘one-stop-shop’ 
network  will  benefit  consumers  and  allow  for  economies  of  scale,  while  resource 
allocation should be needs and activities-based. In December 2003, work started on a 
common web-based case handling system for the networks (€103.000). 

Expenditure  on  surveys  of  consumer  attitudes  to  financial  services  added  up  to 
€1.168.068.  Results22  show  that  consumers  feel  relatively  powerless  and  are 
concerned about the respect of their rights. Qualitative research confirmed that cross-
border  demand  and  supply  of  financial  services  remain  very  rare.  A  survey  on  the 
Euro  (€500.00)  confirmed  that  consumers  have  no  problem  using  it,  but  that 
perceptions  of  Euro-induced  inflation  are  general23.  An  inventory/analysis  of 
simplified or standardised financial services products cost €418.92024. An inventory 
(€150.000)  of  national  measures  to  address  excessive  debt  problems  of  consumers 
proved that scope for a EU action is limited, and that cross-border over-indebtedness 
cases rare. 

About  €1  million  was  spent  to  prepare  legislative  proposals  on  unfair  commercial 
practices  and  administrative  and  enforcement  cooperation  in  consumer  protection. 
They  include  a  comparative  analysis  of  national  legislation  on  fair  commercial 
practices,  an  ex-ante  impact  assessment  of  options  for  their  harmonisation  and 
surveys  of  consumer  and  business  attitudes  to  cross-border  shopping.  National 
experts  and  stakeholders  met  to  discuss  key  aspects  of  the  proposals25.  Greek 
Presidency events on national experiences in cross-border enforcement of consumer 
protection  rules  were  supported.  An  opinion  poll  (€464.482)  surveyed  consumer 
confidence  in  cross-border  shopping26.  €379.400  was  spent  to  develop  consumer 
satisfaction indices in support of EU consumer policy-making, to allow meaningful 
comparisons  of  consumer  satisfaction  with  products  and  services  between  sectors, 
Member  States  and  over  time.  €173.835  were  contributed  to  a  study  of  prices  of 

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25 

26 

Results at http://europe.eu.int:comm:consumers:redress:reports_studies:index_en.htm 
Results are available at: 
http://europa.eu.int/comm/consumers/cons_int/fina_serv/cons_experiences/index_en.htm 
Results are available at http://europa.eu.int/comm/consumers/cons_int/fina_serv/euro/index_en.htm 
Results are expected in 2005. 
Results are available at  
http://europa.eu.int/comm/consumers/cons_int/safe_shop/fair_bus/green_papcomm/studies/index_en.htm and at 
http://europa.eu.int/comm/consumers/topics/facts_en.htm 
Results are available at http://europa.eu.int/comm/consumers/topics/facts_en.htm 

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consumer  goods  in  the  internal  market27.  An  impact  assessment  of  the  Consumer 
Action Plan 1999-2001 (€115.000) served as input for policy development.  

A 2003 poll surveyed consumer confidence in electronic commerce and trust marks 
in  e-shopping  (€381.416)28.  A  further  €145.400  was  used  to  analyse  the  use  of 
trustmarks in e-commerce and their success criteria. Contributions were made to an 
Irish  Presidency  conference  on  on-line  consumer  confidence  and  to  an  Italian 
Presidency conference on perspectives for consumer policy. 

Polls  of consumer opinions  on Services  of  General  Interest  in 2002/2003 measured 
satisfaction  with  access,  price,  quality,  information,  terms  and  conditions  of 
contracts,  customer  service  and  complaints  handling  for  a  number  of  services, 
including  mobile  and  fixed  telephony,  electricity,  gas  and  water  supply,  postal 
services, urban transport and rail services. Total costs amount to €444.084. In 2003, a 
qualitative study, at a cost of €690.567, provided further insights29.  

Expenditure  to  support  activities  on  contract  law  (studies,  workshops)  added  up  to 
€266.000.30. 

Reports were commissioned on the integration of consumer interests into the revision 
of the regulation on merger control and the guidelines on horizontal mergers, and on 
Common Agricultural Policy reform and consumers interests31 .  

4. 

EDUCATION AND INFORMATION 

The Health and Consumer policy web site32 was revised in 2002/2003. Visits to the 
website peaked at 2.774.321 in October 2003. A visitor survey indicated a high level 
of  satisfaction  with  the  site.  Subscribers  to  the  daily  ‘What’s  New’  e-mail  service 
increased with 50% over the two years. The Consumer Voice Newsletter33 was sent 
out regularly to over 10.000 subscribers. Total expenditure for technical support for 
web  site,  e-mail  service  and  newsletter  adds  up  to  about  €1  million.  A  further 
€72.500 was spent on print publications.  

The  national  food  safety  education  campaigns  were  completed  by  the  end  of  2002. 
An  evaluation  (€200.000)  showed  that  most  of  the  campaigns  proved  relevant  to 
national  needs  and  effective  in  terms  of  output,  but  ineffective  in  increasing  food 
safety  awareness  and  in  stimulating  public  debate.  This  was  mainly  due  to  low 
budgets and lack of quantified objectives. The ‘Euro Made Easy’ training materials 
for vulnerable consumers were positively evaluated in terms of strategy, design, and 
distribution34.  

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32 
33 
34 

See http://europa.eu.int/comm/internal_market/score/docs/score13/score13-printed_en.pdf and 
http://europa.eu.int/comm/internal_market/score/docs/score13/prices-paper_en.pdf 
Results are available at http://europa.eu.int/comm/consumers/topics/facts_en.htm 
Results are available at 
http://europa.eu.int/comm/consumers/cons_int/serv_gen/cons_satisf/index_en.htm 
See http://europa.eu.int/comm/consumers/cons_int/safe_shop/fair_bus_pract/cont_law/index_en.htm 
See http://europa.eu.int/comm/consumers/reports/reports_en.htm 
See http://europa.eu.int/comm/dgs/health_consumer/index.htm 
See http://europa.eu.int/comm/dgs/health_consumer/library/pub/index_en.html 
Evaluation of the information programme for the European citizen ‘The Euro-one currency for Europe’ 

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An evaluation of EU food labelling legislation and of consumer needs and demands 
with respect to labelling and information on food products was undertaken to see if 
legislative or other adjustments are necessary (€140.000)35.  

The European Young Consumer Competition of 2002 (€574.500) was substituted in 
2003 with the production and distribution in secondary schools of 560.000 copies of 
a European Consumer Diary, a school agenda informing about consumer rights. The 
cost amounts to about €1.250.000. The development of on-line interactive education 
tools  (€825.000)  aims  to  provide  teaching  material  on  consumer  rights  for  adult 
education courses.  

The  European  Consumer  Centres  Network  consists  of  15  centres  in  13  Member 
States36. They inform and assist consumers in pursuing cross-border complaints. The 
EU  contribution  to  the  network  added  up  to  nearly  €5  million  in  2002/2003.  An 
evaluation  of  the  network  in  2003  (€184.405)  found  that  less  than  half  of  the 
complaints  are  of  a  genuine  cross-border  nature.  It  recommends  clearer  objectives 
and  exclusive  focus  on  cross  border  issues  with  a  clear  EU  dimension.  Funding 
should be more performance and demand oriented. A merger with the EEJ-Net will 
give more effective service and be more cost-efficient.  

Workshops  of  consumer  association  experts  on  consumer  protection  aspects  of  EU 
chemicals legislation37 cost €85.915. To improve organisational capability, staffs of 
consumer  associations  were  trained  in  management,  public  relations/lobbying  and 
EU  consumer  legislation  (€280.223).  About  €160.000  were  spent  on  a  database 
facilitating  communication  with  and  between  consumer  organisations,  and  as 
contributions  to  seminars  about  consumer  representation  issues  organized  by  the 
Spanish Presidency.  

5. 

EUROPEAN CONSUMER ORGANISATIONS 

Grants  for  operating  costs  in  2003  and  200438  were  attributed  to  the  European 
Association  for  the  Coordination  of  Consumer  Representation  in  Standardisation 
(ANEC)  and  the  European  Consumers’  Organisation  (BEUC).  The  European 
Consumers'  Association  (AEC)  received  support  in  2002,  but  did  not  succeed  in 
becoming a viable representative of consumer interests at European level. 

6. 

SPECIFIC PROJECTS  

In  2002  and  2003,  a  total  of  44  specific  projects  were  co-financed39.  The  main 
beneficiaries were national consumer organisations and other NGOs. The number of 
applications,  the  number  of  approved  projects  and  the  total  amount  committed  has 
stabilised.  The  average  size  of  projects  decreased  and  the  administrative  cost 

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36 
37 
38 

39 

See http://europa.eu.int/comm/food/food/labellingnutrition/foodlabelling/comm_legisl_en.htm 
See http://europa.eu.int/comm/consumers/redress/compl/euroguichet/index_en.htm 
See http://europa.eu.int/comm/consumers/cons_safe/prod_safe/chem_risks/index_en.htm 
Operating grants as committed in 2002-2003 included €939.065 and €1.172.790 for BEUC, €940.887 
and €1.092.500 for ANEC and €75.442 for AEC.  
Of  54  applications  in  2002,  22  specific  projects  were  approved  and  20  co-financed  for  a  total  of 
€2.748.841; of 65 applications in 2003, 22 were co-financed for a total of €2.794.705. 

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increased  (including  about  €50.000  for  external  experts).  An  evaluation  of  97 
specific projects financed in 1999-2001 shows that the projects may have reached a 
variety of targets and multipliers but above all increased the project organisers know-
how, public recognition and networking capacity. Potential impacts on consumers or 
the level of consumer protection were not measurable or rare. Recommendations are 
to  focus  more  on  EU  policy  objectives,  to  increase  transparency  and  to  better 
disseminate project results. 

7. 

CONCLUSION 

Expenditure  was  in  2002  and  2003  more  policy-driven  than  in  1999-2001.  This  is 
largely  due  to  the  clear  objectives  and  more  coherent  approach  of  the  Consumer 
Policy  Strategy  2002-2006.  Actions  to  build  a  knowledge-base  for  policy  making 
increased in importance. Efforts to improve the efficiency of the European Consumer 
Centers and Extra-Judicial networks led to a decision to merge the two into a single 
structure  and  to  better  focus  their  activities  on  cross-border  consumer  problems. 
Evaluations and critical assessments led to a substantial reorientation of information 
and  education  actions.  They  will  be  evaluated  to  measure  if  they  deliver  improved 
impact.  Specific  projects  appear  to  be  more  effective  as  a  means  of  supporting 
national  consumer  organizations  and  other  NGO’s  than  as  a  policy  tool.  New 
instruments  to  support  consumer  associations,  such  as  capacity  building  actions 
deserve to be given a higher priority.  

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ANNEX 

Table  1:  Total  amounts  of  commitments  made  2002/  2003  under  Decision  283/1999/EC  in  € 

2002 

2003 

Commission actions (Art. 2a)* 

16.240.612 

17.883.792 

European organisations (Art. 2b) 

Specific Projects (Art. 2c) 

1.995.394 

2.748.841 

2.265.290 

2.794.705 

TOTAL committed 

20.984.847 

22.943.787 

(* including grants to Council Presidency events and administrative credits) 

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