Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on a consumer programme 2014-2020
Date: 2011-11-09
Institutions: European Commission
Subjects: EU programme, consumer information, consumer policy, domestic market, product safety

EUROPEAN COMMISSION 

Brussels, 9.11.2011 
COM(2011) 707 final 

2011/0340 (COD) 

Proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

on a consumer programme 2014-2020 

{SEC(2011) 1320 final} 
{SEC(2011) 1321 final} 

 
 
  
 
EXPLANATORY MEMORANDUM 

1. 

CONTEXT OF THE PROPOSAL 

The Europe 2020 Strategy calls for "citizens to be empowered to play a full role in the single 
market", which "requires strengthening their ability and confidence to buy goods and services 
cross-border". 

It  has  become  more  and  more  apparent  that  at  a  time  when  Europe  needs  new  sources  of 
growth,  consumer  policy  is  one  area  which  can  make  a  telling  contribution  to  meeting  the 
Europe  2020  objectives.  In  Europe  there  are  500  million  consumers  and  consumer 
expenditure  amounts  to  56%  of  EU  GDP.  The  more  consumers  are  able  to  make  informed 
decisions,  the  greater  the  impact  they  can  have  on  strengthening  the  Single  Market  and 
stimulating  growth.  Empowered  consumers  that  are  well-protected  and  able  to  benefit  from 
the  Single  Market  can  thus  drive  innovation  and  growth  by  demanding  value,  quality  and 
service. The businesses which respond will be the best-placed to cope with the pressures of 
the global market. 

Empowerment  is  not  only  a  question  of  consumer  rights  but  of  building  an  overall 
environment  that  enables  consumers  to  make  use  of  those  rights  and  benefit  from  them.  It 
means building a framework wherein consumers can rely on the basic premise that safety is 
assured and that tools are in place to detect failings in standards and practices and to address 
them effectively across Europe. It means building an environment where consumers through 
education,  information  and  awareness  know  how  to  navigate  the  Single  Market  to  benefit 
from the best offers on products and services. Finally empowerment requires that consumers 
can confidently exercise their EU rights across Europe and that, when something goes wrong, 
they  can  count  both  on  the  effective  enforcement  of  those  rights  and  on  easy  access  to 
efficient redress. 

The Communication 'A budget for Europe 2020'1 of 29 June 2011 allocated EUR 175 millions 
(in constant 2011 prices) to the Consumer Programme for the period 2014-2020. 

In this context, this proposal aims at establishing a Consumer Programme for the period 2014-
2020,  as  a  successor  to  the  2007-2013  Programme  of  Community  Action  in  the  field  of 
consumer policy. 

The new Consumer Programme will support the general objective of future consumer policy 
placing  the  empowered  consumer  at  the  centre  of  the  Single  Market.  European  consumer 
policy  supports  and  complements  national  policy  by  seeking  to  ensure  that  EU  citizens  can 
fully reap the benefits  of  the  Single  Market and that in  so doing,  their  safety  and  economic 
interests are properly protected. 

Leveraging the vast economic force of consumer expenditure (which represents 56%  of  EU 
GDP) will make an important contribution to meeting the EU objective of reigniting growth.

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• 

General context 

The main problems to be addressed through the funding of actions under the new Programme 
are grouped in the following four categories: 

i) 
Safety: differences between Member States in enforcing product safety legislation, the 
presence  of  unsafe  products  on  the  Single  Market;  risks  linked  to  the  globalisation  of  the 
production  chain;  services  safety;  lack  of  an  adequate  coordination  structure  at  EU  level  to 
ensure the best value of EU co-financing. 

ii) 
Information  and  education:  lack  of  robust  and  good  quality  data  and  analysis  on  the 
functioning  of  the  Single  Market  for  consumers;  insufficient  capacity  of  consumer 
organisations, including lack of resources and expertise, notably in the new Member States; 
lack  of  transparent,  comparable,  reliable  and  user-friendly  information  for  consumers, 
particularly for cross-border cases; poor knowledge and understanding of key consumer rights 
and  protection  measures  by  consumers  and  retailers  alike;  inadequacy  of  current  EU 
consumer  education  tools,  especially  with  regards  to  the  developments  in  the  digital 
environment. 

Rights and redress: sub-optimal protection of consumer rights, in particular in cross-
iii) 
border situations; need to further improve the integration of consumer interests in EU policies; 
problems faced by consumers when trying to secure redress, notably cross-border. 

Enforcement: CPC Network (network of national enforcement authorities) not used to 
iv) 
its  full  potential;  low  awareness  about  ECC-Net  (network  of  European  Consumer  Centres) 
among consumers and need to strengthen its effectiveness. 

At  the  same  time,  the  new  Programme,  with  its  four  priorities  of  Safety,  Information  and 
education,  Rights  and  redress,  and  Enforcement  (SIRE),  needs  to  take  into  account  new 
societal  challenges  which  have  grown  in  importance  in  recent  years.  They  include:  the 
increased  complexity  of  consumer  decision-making,  the  need  to  move  towards  more 
sustainable patterns of consumption, the opportunities and threats that digitalisation brings, an 
increase  in  social  exclusion  and  the  number  of  vulnerable  consumers  and  an  ageing 
population. 

• 

The focus of actions under the Consumer Programme 

While the problems to be tackled by consumer policy are wide ranging, the relatively small 
size  of  the  Consumer  Programme  means  that  actions  to  be  financed  under  it  have  to  be 
targeted  on  areas  where  intervention  at  EU  level  can  make  a  difference  and  add  value.  The 
selected areas for actions are of three kinds: 

Actions corresponding to legal obligations imposed by the Treaty and the existing EU 

i) 
acquis in the field of consumer protection on the EU and Member States: 

– 

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Financing the  maintenance and  proper functioning of the RAPEX2 Network, of  the 
CPC Network of enforcement authorities and of the cosmetics databases. 

RAPEX: EU rapid alert system for all dangerous consumer products (with the exception of food, feed, 
pharmaceuticals and medical devices) 

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Actions  which  are  not  or  could  not  be  undertaken  at  national  level  because  of  their 

ii) 
EU-level character: 

– 

Assisting consumers on cross-border issues by: 

co-financing  the  operation  of  the  Network  of  European  Consumer  Centres 
- 
(ECCs). National authorities or consumer organisations are usually not in a position 
to provide advice and support to consumers on cross-border issues; 

supporting the development of a Union-wide on-line dispute resolution system 

- 
dealing also with cross-border cases; 

Developing  cooperation  with  international  partners  to  deal  with  the  impact  of  the 
globalisation of the production chain on product safety; 

Supporting  the  production  of  EU-level  comparable  consumer  markets  data  for 
benchmarking between Member States and input into EU-level policy-making; 

Ensuring  EU-level  representation  of  consumer  interests  by  financially  supporting 
EU-level consumer organisations. 

– 

– 

– 

Actions  complementing  and  enhancing  the  efficiency  of  measures  undertaken  at 

iii) 
national level: 

– 

– 

– 

– 

• 

Coordination  and  co-financing  of  joint  actions  in  the  field  of  product  safety  and  of 
consumer rights enforcement; 

Supporting  awareness-raising  campaigns  on  consumer  issues  with  Member  States 
and  other  stakeholders  and  working  with  intermediaries  to  contribute  to  the 
provisions of clear, transparent and reliable information to consumers; 

Supporting  the  training  of  national  consumer  organisations,  which  would  be  much 
more costly at national level without economy of scale; 

Providing  a  platform  for  exchange  and  sharing  of  good  practices  in  the  field  of 
consumer education. 

Objectives of the proposal 

The  aim  of  the  Consumer  Programme  is  to  support  the  policy  objective  of  placing  the 
empowered  consumer  at  the  centre  of  the  Single  Market.  The  Programme  will  do  so  by 
contributing to protecting the health, safety and economic interests of consumers, as well as to 
promoting  their  right  to  information,  education  and  to  organise  themselves  in  order  to 
safeguard their interests. The Programme will complement, support and monitor the policies 
of Member States. 

The actions will support the following four specific objectives: 

Safety:  to  consolidate  and  enhance  product  Safety  through  effective  market 

i) 
surveillance throughout the EU; 

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ii) 
Information  and  education:  to  improve  consumers'  education,  information  and 
awareness  of  their  rights,  to  develop  the  evidence  base  for  consumer  policy  and  to  provide 
support to consumer organisations. 

Rights  and  redress:  to  consolidate  consumer  rights  in  particular  through  regulatory 

iii) 
action and improving access to redress including alternative dispute resolution. 

Enforcement: to support enforcement of consumer rights by strengthening cooperation 

iv) 
between national enforcement bodies and by supporting consumers with advice. 

These  objectives  support 
the  objectives  of  Europe  2020  as  regards  growth  and 
competitiveness. They will integrate specific Europe 2020 concerns on digital agenda (ensure 
that digitalisation actually leads to increased consumer welfare), sustainable growth (moving 
towards more sustainable patterns of consumption), social inclusion (taking into account the 
specific  situation  of  vulnerable  consumers  and  the  need  of  an  ageing  population),  smart 
regulation (consumer market monitoring to help in designing smart and targeted regulations). 

2. 

• 

RESULTS OF CONSULTATIONS WITH THE INTERESTED PARTIES AND 
IMPACT ASSESSMENTS 

Consultation of interested parties 

A mid-term evaluation of the current legal base, the Programme of Community action in the 
field of consumer policy (2007-2013), was conducted between May 2010 and February 20113. 
In  this  context,  the  main  stakeholders  (Member  States  national  authorities  involved  in 
consumer policies, EU and national consumer organisations and business) were consulted on 
the actions conducted under the current Programme. 

The evaluation highlighted the added value of the Programme, despite the fact that European 
consumer  policy  is  a  relatively  new  field  and  that  the  level  of  EU  funding  under  the 
Programme is relatively small. It underlined that actions under the Strategy and Programmes 
contribute to the Europe 2020 objectives of smart, sustainable and inclusive growth. 

In particular, the results were globally positive with regard to the relevance of the objectives 
of  the  Programme,  its  impacts  and  added-value.  The  evaluation  also  concluded  that  the 
Programme will have long-term effects on consumer protection. National authorities generally 
confirmed  that  the  Strategy  and  Programme  were  complementary  to  national  consumer 
policies.  However,  the  evaluation  concluded  that  emerging  social  and  environmental 
the  current  Strategy  and  Programme.
challenges  were  only  partly  addressed  by 

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jointly  with  the  ex-post  evaluation  of  the  previous  Programme  and  the  mid-term  evaluation  of  the 
Consumer Policy Strategy 2007-2013. 

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In  addition,  subsequent  discussions  with  stakeholders  have  taken  place  in  the  course  of 
preparing  the  new  Consumer  Programme,  notably  at  the  2011  Consumer  Summit  in  April 
2011 and in the context of the consumer networks: the Consumer Policy Network (CPN) of 
national  authorities,  the  Consumer  Protection  Cooperation  Network  (CPC)  of  national 
enforcement authorities and the European Consumer Consultative Group (ECCG), composed 
of European and national consumer organisations. 

Contributions  from  the  three  main  horizontal  business  organisations  (BusinessEurope, 
UEAPME and EuroCommerce) were also requested. 

Despite  differences  in  focus,  the  contributions  from  national  authorities  and  consumer 
organisations were generally supportive of the priority issues proposed by DG Sanco relevant 
to the Programme. Business organisations generally agreed with the priorities proposed by the 
Commission,  stressing  that  the  right  balance  should  be  struck  between  consumer  protection 
and competitiveness.  

In addition, the European Parliament has in recent years published a series of reports directly 
relevant to the activities conducted under the Programme4. 

• 

Impact assessment 

An  impact  assessment  was  conducted  between  February  and  July  2011  by  the  Directorate-
General for Health and Consumers. It considered four options: 

- 
Option 0 corresponds to the absolute minimum actions to be financed resulting from 
the  legal  obligations  imposed  by  the  Treaty  and  the  existing  EU  acquis  in  the  field  of 
consumer protection. 

- 
Option  1  corresponds  to  the  baseline  scenario.  Under  this  option,  the  majority  of 
actions conducted under the 2007-2013 Programme are pursued, with some adaptation. Some 
actions  are  substantially  reduced  or  no  longer  implemented  because  they  are  no  longer 
relevant, while some new actions are launched with a limited level of ambition (for instance 
on  redress).  It  corresponds  to  a  budget  equal  to  or  lower  than  the  one  provided  under  the 
current Programme. 

Option 2 corresponds to a more ambitious approach in line with Commission priorities 
- 
(Europe  2020,  Single  Market  Act)  and  the  on-going  reflection  on  the  future  of  consumer 
policy5. The budget under this option is around EUR 25 millions annually. 

Option  3  would  require  a  budget  increase  compared  to  the  current  Programme  for 
- 
some  additional  actions  such  as:  the  development  of  a  public  consumer  product  safety 
database; redress: setting up a fund to support the financing of cross-border redress actions.

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Grech,  Hedh  and  Arias 
Svensson/Triantaphyllides report under completion. 
which might take the form of a Consumer Agenda to be published in 2012. 

in  2010,  Schaldemose  and  Kalniete 

reports, 

reports 

in  2011. 

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The impact assessment has concluded that option 2 is the best option from a cost/benefit point 
of view. The budget under this option would be around 25 millions euro annually, which is in 
line with the proposed budget allocation for the consumer programme in the Communication 
'A Budget for Europe 2020' of June 2011. 

• 

Simplification of the funding process 

The funding process will be simplified in particular through the use of partnership agreements 
and  the  support  given  to  an  EU-level  coordination  body  for  market  surveillance  relating  to 
safety6. 

The possibility of using lump sums whenever possible will be examined so as to reduce the 
administrative burden. 

Should  the  Commission  decide  to  use  an  executive  agency  for  the  implementation  of  the 
Consumer Programme, this would also contribute to the streamlining of procedures in funding 
process.  

• 

Added-value of the actions 

The Programme will support the objectives of future consumer policy putting EU consumers 
at  the  centre  of  the  Single  Market.  The  added-value  of  the  actions  under  the  four  specific 
objectives is summarised below. 

i) 

Safety 

In the field of safety, actions at EU level and cooperation through the General Product Safety 
Directive  (GPSD)  network  delivers  better  results  than  a  series  of  individual  actions  by 
Member States since it fills information gaps, including using information collected by other 
countries, and avoids disparities in the Single Market. 

ii) 

Information and education 

Consumer  market  monitoring  helps  to  identify  weaknesses  in  national  markets  and  Single 
Market obstacles that could be removed with reforms improving innovation and competition. 
In  general,  the  data  are  designed  to  be  sufficiently  robust  and  representative  to  be  used  not 
only at EU but also at national level, thereby delivering some EU-scale efficiency gains and 
enabling Member States' benchmarking. 

Support  for  strong  and  coherent  representation  from  the  consumer  movement  at  EU  level 
contributes  to  the  provision  of  consolidated  consumer  input  into  EU  policy-making,  EU 
institutions  and  EU-level  dialogues.  It  also  ensures  direct  empowerment  of  and  support  for 
particularly  weak  organisations  in  the  new  Member  States.  Capacity-building  actions  for 
national consumer organisations supports the development of transnational networks between 
participants, including for mentoring and peer review.  

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this EU-level body should be established in the context of the revision of the General Product Safety 
Directive  (GPSD)  in  order  to  ensure  the  streamlining  of  the  funding  procedures,  better  planning, 
coordination and information sharing between Member States authorities. It will not take the form of an 
agency. 

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EU  consumer  information  and  education  initiatives  increase  consumer  knowledge  and 
confidence in cross-border transactions, thus supporting the completion of the Single Market. 
They  facilitate  best  practice  sharing  between  Member  States  and  will  contribute  to  the 
creation of a coherent and authoritative source of information/education at EU level. 

iii) 

Rights and redress 

Alternative  Dispute  Resolution  (ADR)  will  offer  a  cheap,  rapid  and  easy  way  of  getting 
redress throughout the EU, ensuring a level playing field. ADR is a key action in the Single 
Market Act. The development of a Union-wide on-line dispute resolution system will lead to a 
co-ordinated approach, creating economies of scales and synergies. 

iv) 

Enforcement 

The European Consumer Centres' network contributes to the completion of the Single Market 
by  providing  advice  and  support  to  consumers  on  cross-border  issues,  which  national 
authorities  and  consumer  organisations  are  most  often  not  in  a  position  to  do.  Coordinated 
joint  enforcement  actions  with  the  Consumer  Protection  Cooperation  (CPC)  Network  of 
national enforcement authorities such as the 'sweeps' are a very efficient way to tackle issues 
which have a cross-border EU dimension. 

3. 

LEGAL ELEMENTS OF THE PROPOSAL 

The proposal is based on Article 169 of the Treaty on the Functioning of the European Union 
(TFEU). Measures adopted under Article 169 TFEU should have as their object the promotion 
of  consumer  interests  and  a  high  level  of  consumer  protection.  This  proposal  undertakes  to 
financially support EU and Member State actions aiming at protection of consumers' safety, 
improvement  of  their  access  to  information,  and  further  strengthening  of  their  rights.  The 
choice  of  Article  169  TFEU  as  a  legal  basis  is  thus  justified  both  by  the  objective  and  the 
content  of  the  proposal.  This  proposal  is  to  be  adopted  in  accordance  with  the  ordinary 
legislative procedure and after consulting the European Economic and Social Committee. 

4. 

BUDGETARY IMPLICATION  

The financial appropriations for implementing the Programme over the period from 1 January 
2014  to  31  December  2020  will  amount  to  EUR  197  millions  in  current  prices.  This 
corresponds  to  the  proposed  budget  allocation  for  the  consumer  programme  in  the 
Communication 'A Budget for Europe 2020' of June 2011. 

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2011/0340 (COD) 

Proposal for a 

REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 

on a consumer programme 2014-2020 

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 169 thereof, 

Having regard to the proposal from the European Commission, 

After transmission of the draft legislative act to the national Parliaments, 

Having regard to the opinion of the European Economic and Social Committee7,  

Having regard to the opinion of the Committee of the Regions8,  

Acting in accordance with the ordinary legislative procedure, 

Whereas: 

(1) 

(2) 

(3) 

The  Communication  from  the  Commission  'Europe  2020  –  A  strategy  for  smart, 
sustainable and inclusive growth'9 calls for citizens to be empowered to play a full part 
in the single market, which requires strengthening their ability and confidence to buy 
goods and services cross-border, in particular on-line. 

The Union should contribute to putting consumers at the centre of the internal market 
by  supporting  and  complementing  Member  States'  policies  in  seeking  to  ensure  that 
citizens  can  fully  reap  the  benefits  of  the  internal  market  and  that  in  so  doing,  their 
safety and economic interests are properly protected by means of concrete actions. 

This  Regulation  takes  into  account  the  economic,  social  and  technical  environment 
and  the  concomitant  emerging  challenges.  In  particular,  actions  funded  under  this 
programme will seek to address issues linked to globalisation, digitalisation, the need 
to move towards more sustainable patterns of consumption, population ageing, social 
exclusion  and  the  issue  of  vulnerable  consumers.  Integrating  consumer  interests  into 
all Union policies, in accordance with Article 12 TFEU, should be given high priority. 
Coordination with other Union policies and programmes is a key part of ensuring that 
consumer interests are taken fully into account in other policies. In order to promote 

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OJ C , , p. . 
OJ C , , p. . 
COM(2010) 2020 final of 3 March 2010 

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(4) 

(5) 

(6) 

(7) 

(8) 

(9) 

synergies  and  avoid  duplication,  other  Union  funds  and  programmes  should  provide 
for financial support for the integration of consumer interests in their respective fields.  

These  actions  should  be  laid  down  in  a  consumer  programme  for  the  period  2014  – 
2020 (hereinafter 'the Programme'), providing a framework for funding Union actions. 
In accordance with Article 49 of Council Regulation (EC, Euratom) No 1605/2002 of 
25  June  2002  on  the  Financial  Regulation  applicable  to  the  general  budget  of  the 
European  Communities10,  this  Regulation  is  to  provide  the  legal  basis  for  the  action 
and  for  the  implementation  of  the  Programme.  This  Regulation  builds  on  and 
continues  the  actions  funded  under  Decision  No  1926/2006/EC  of  the  European 
Parliament  and  of  the  Council  of  18  December  2006  establishing  a  programme  of 
Community action in the field of consumer policy (2007-2013)11. 

It  is  important  to  improve  consumer  protection.  To  achieve  this  general  objective, 
specific  objectives  should  be  set  as  regards  safety,  consumer  information  and 
education, rights and redress as well as enforcement in respect of consumer rights. The 
value  and  impact  of  the  measures  taken  under  the  Programme  should  regularly  be 
monitored  and  evaluated.  For  the  purposes  of  evaluating  consumer  policy  indicators 
should be developed. 

It is necessary to provide for the eligible actions by which those objectives are to be 
achieved. 

It is necessary to define the categories of potential beneficiaries eligible for grants. 

The Programme should be for a period of seven years to align its duration with that of 
the multiannual financial framework laid down in Article 1 of the Council Regulation 
laying down the multiannual financial framework for the year 2014-2020. 

This Regulation should lay down, for the entire duration of the Programme, a financial 
envelope constituting the principle reference, within the meaning of point [17] of the 
Interinstitutional  Agreement  of  XX/YY/201Y  between  the  European  Parliament,  the 
Council  and  the  Commission  on  cooperation  in  budgetary  matters  and  on  budgetary 
discipline  and  sound  financial  management12,  for  the  budgetary  authority  during  the 
annual budgetary procedure. 

(10)  The Agreement on the European Economic Area (hereinafter referred to as 'the EEA 
Agreement') provides for cooperation in the field of consumer protection between the 
European  Union  and  its  Member  States,  on  the  one  hand,  and  the  countries  of  the 
European  Free  Trade  Association  participating  in  the  European  Economic  Area 
(hereinafter referred to as  'the  EFTA/EEA countries'), on the other. Provision should 
also be made to open the Programme to participation by other countries, in particular 
the  neighbouring  countries  of  the  European  Union  and  countries  which  are  applying 
for, are candidates for or are acceding to, membership of the European Union. 

(11) 

In  the  context  of  the  implementation  of  the  Programme,  where  appropriate, 
cooperation  with  third  countries  not  participating  in  the  Programme  should  be 

10 
11 
12 

OJ L 248, 16.9.2002, p. 1 
OJ L 404, 30.12.2006, p. 39 
… 

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(12) 

(13) 

encouraged, taking into account any relevant agreements between those countries and 
the Union. 

In order to amend certain non-essential elements of this Regulation, the power to adopt 
acts in accordance with Article 290 TFEU should be delegated to the Commission in 
respect  of  the  adaptation  of  the  indicators  set  out  in  Annex  II.  It  is  of  particular 
importance  that  the  Commission  carry  out  appropriate  consultations  during  its 
preparatory  work,  including  at  expert  level.  The  Commission,  when  preparing  and 
drawing  up  delegated  acts,  should  ensure  simultaneous,  timely  and  appropriate 
transmission of relevant documents to the European Parliament and Council. 

In  order  to  ensure  uniform  conditions  for  the  implementation  of  this  Regulation, 
implementing  powers  should  be  conferred  on  the  Commission  in  respect  of  the 
adoption  of  annual  work  programmes.  Those  powers  should  be  exercised  in 
accordance with Regulation (EU) No 182/2011 of the European Parliament and of the 
Council of 16 February 2011 laying down the rules and general principles concerning 
mechanisms  for  control  by  Member  States  of  the  Commission's  exercise  of 
implementing  powers13.  Given  that  the  Programme  does  not  set  out  criteria  for  the 
safety  of  products  but  aims  at  providing  financial  support  to  tools  for  the 
implementation  of  product  safety  policy,  and  given  the  relatively  small  amount 
concerned, it is appropriate that the advisory procedure applies. 

(14) 

It is appropriate to ensure a transition between the programme of community action in 
the field of consumer policy (2007-2013) and this Programme, in particular regarding 
the  continuation  of  multi-annual  measures  and  the  evaluation  of  the  previous 
programme's successes and areas that need more attention. As of 1 January 2021, the 
technical  and  administrative  assistance  appropriations  should  cover,  if  necessary,  the 
expenditure related to the management of actions not completed by the end of 2020. 

(15)  Since the objectives of this Regulation cannot be sufficiently achieved by the Member 
States  due  to  the  cross-border  nature  of  the  issues  involved,  and  can  therefore  by 
reason of the greater potential of Union action efficiently and effectively to protect the 
health, safety and economic interests of citizens be better achieved at Union level, the 
Union may adopt measures in accordance with the principle of subsidiarity as set out 
in Article 5 of the Treaty on the European Union. In accordance with the principle of 
proportionality, as set out in that Article, this Regulation does not go beyond what is 
necessary in order to achieve those objectives. 

(16)  Decision  No  1926/2006/EC  of  the  European  Parliament  and  of  the  Council  of  18 
December  2006  establishing  a  programme  of  Community  action  in  the  field  of 
consumer policy (2007-2013) should accordingly be repealed. 

(17)  The  financial  interests  of  the  Union  should  be  protected  through  proportionate 
measures  throughout  the  expenditure  cycle,  including  the  prevention,  detection  and 
investigation of irregularities, the recovery of funds lost, wrongly paid or incorrectly 
used and, where appropriate, penalties, 

13 

OJ L 55, 28.02.2011, p. 13 

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HAVE ADOPTED THIS REGULATION: 

Article 1 

Establishment  

This Regulation establishes a multiannual consumer programme for the period from 1 January 
2014 to 31 December 2020, hereinafter 'the Programme'. 

Article 2 

General objective 

The  aim  of  the  Programme  is  to  support  the  policy  objective  of  placing  the  empowered 
consumer at the centre of the internal market. The Programme will do so by contributing to 
protecting  the  health,  safety  and  economic  interests  of  consumers,  as  well  as  to  promoting 
their  right  to  information,  education  and  to  organise  themselves  in  order  to  safeguard  their 
interests.  The  Programme  will  complement,  support  and  monitor  the  policies  of  Member 
States.  

Article 3 

Specific objectives and indicators 

1. 

(a) 

(b) 

(c) 

The general objective referred to in Article 2 shall be pursued through the following 
specific objectives: 

Objective  1  -  safety:  to  consolidate  and  enhance  product  safety  through  effective 
market surveillance throughout the Union. 

This  objective  will  be  measured  in  particular  through  the  activity  of  the  EU  rapid 
alert system for dangerous consumer products (RAPEX). 

Objective  2  -  information  and  education:  to  improve  consumers'  education, 
information and awareness of their rights, to develop the evidence base for consumer 
policy and to provide support to consumer organisations. 

Objective 3 - rights and redress: to consolidate consumer rights in particular through 
regulatory  action  and  improving  access  to  redress  including  alternative  dispute 
resolution. 

This  objective  will  be  measured  in  particular  through  the  recourse  to  alternative 
dispute resolution to solve cross-border disputes and through the activity of a Union-
wide on-line dispute resolution system. 

(d) 

Objective  4  -  enforcement:  to  support  enforcement  of  consumer  rights  by 
strengthening  cooperation  between  national  enforcement  bodies  and  by  supporting 
consumers with advice. 

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This objective will be measured in particular through  the level  of  information flow 
and  cooperation  within  the  Consumer  Protection  Cooperation  Network  and  the 
activity of the European Consumer Centres. 

2. 

3. 

The description of the indicators is provided in Annex II. 

The  Commission  shall  be  empowered  to  adopt  delegated  acts  in  accordance  with 
Article 15 to adapt the indicators set out in Annex II. 

Article 4 

Eligible actions 

The specific objectives referred to in Article 3 shall be achieved by means of the actions set 
out  in  the  following  list  and  in  accordance  with  the  priorities  set  out  in  the  annual  work 
programmes referred to in Article 12: 

(a) 

under objective 1 - safety: 

(1) 

(2) 

scientific  advice  and  risk  analysis  relevant  to  consumer  health  and  safety 
regarding non-food products and services including support for the tasks of the 
independent  scientific  committees  established  by  Commission  Decision  No 
2008/721/EC  setting  up  an  advisory  structure  of  Scientific  Committees  and 
experts in the field of consumer safety, public health and the environment14;  

coordination of market surveillance and enforcement actions on product safety 
with regard to Directive No 2001/95/EC of the European Parliament and of the 
Council on general product safety15, and actions to improve consumer services 
safety; 

(3)  maintenance and further development of databases on cosmetics; 

(b) 

under objective 2 – information and education: 

(4) 

building the evidence base for policy-making in areas affecting consumers; 

(5) 

support to consumer organisations; 

(6) 

enhancing the transparency of consumer markets and consumer information; 

(7) 

enhancing consumer education; 

(c) 

under objective 3 – rights and redress: 

(8) 
preparation  by  the  Commission  of  consumer  protection  legislation  and  other 
regulatory  initiatives,  monitoring  the  transposition  by  Member  States  and  the 
subsequent  evaluation  of  its  impact,  and  the  promotion  of  co-regulatory  and  self-
regulatory initiatives; 

14 
15 

OJ L 241, 10.09.2008, p. 21 
OJ L 11, 15.01.2002, p. 4 

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(9) 
facilitating access to and monitoring of the functioning and the effectiveness of 
dispute  resolution  mechanisms  for  consumers,  in  particular  of  alternative  dispute 
resolution  schemes, 
the  development  and 
maintenance of relevant IT tools; 

including  on-line,  also 

through 

(d) 

under objective 4 – enforcement: 

(10)  coordination of surveillance and enforcement actions with regard to Regulation 
(EC) No 2006/2004 of 27 October 2004 on cooperation between national authorities 
responsible for the enforcement of consumer protections laws16;  

(11)  financial  contributions  for  joint  actions  with  public  or  non-profit  bodies 
constituting Union networks which provide information and assistance to consumers 
to help them exercise their rights and obtain access to appropriate dispute resolution, 
including  out  of  court  online  resolution  schemes  (the  European  Consumer  Centres 
Network). 

A more detailed description of the content that those actions may have is included in Annex I. 

Article 5 

Beneficiaries eligible for grants 

1. 

(a) 

(b) 

2. 

(a) 

Grants for the functioning of consumer organisations at Union level may be awarded 
to  European  consumer  organisations  which  comply  with  all  of  the  following 
conditions: 

they are non-governmental, non-profit-making, independent of industry, commercial 
and business or other conflicting interests, and have as their primary objectives and 
activities  the  promotion  and  protection  of  the  health,  safety,  economic  and  legal 
interests of consumers in the Union; 

they  are  mandated  to  represent  the  interests  of  consumers  at  Union  level  by 
organisations  in  at  least  half  of  the  Member  States  that  are  representative,  in 
accordance  with  national  rules  or  practice,  of  consumers,  and  that  are  active  at 
regional or national level. 

Grants for the functioning of international bodies promoting principles and policies 
which  contribute  to  the  objectives  of  the  Programme  may  be  awarded  to 
organisations which comply with all of the following conditions: 

they  are  non-governmental,  non-profit-making,  independent  of  business  or  other 
conflicting  interests,  and  have  as  their  primary  objectives  and  activities  the 
promotion  and  protection  of  the  health,  safety,  economic  and  legal  interests  of 
consumers; 

(b) 

they  carry  out  all  of  the  following  activities:  provide  for  a  formal  mechanism  for 
consumer representatives from the Union and third countries to contribute to political 

16 

OJ L 364, 09.12.2004, p.1 

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3. 

4. 

(a) 

(b) 

5. 

6. 

7. 

8. 

discussions  and  policies,  organise  meetings  with  policy  officials  and  regulators  to 
promote  and  advocate  consumer  interests  with  public  authorities,  identify  common 
consumers issues and challenges, promote consumer views in the context of bilateral 
relations  between  the  Union  and  third  countries,  contribute  to  the  exchange  and 
dissemination of expertise and knowledge on consumer issues in the Union and third 
countries,

 and produce policy recommendations. 

Grants for the functioning of Union-level bodies established for the coordination of 
enforcement  actions  in  the  field  of  product  safety  may  be  awarded  to  bodies 
recognised for this purpose by Union legislation. 

Grants for action to Union-wide bodies for the development of codes of conduct, best 
practices  and  guidelines  for  price,  products  quality  and  sustainability  comparison 
may be awarded to bodies which comply with all of the following conditions: 

they  are  non-governmental,  non  profit-making,  independent  of  producers  of  goods 
and  service  providers,  free  of  conflicting  interests,  and  have  amongst  their  primary 
objectives and activities the promotion and protection of consumer interests; 

they are active in at least half of the Member States. 

Grants for action to Member States' authorities responsible for consumer affairs and 
to corresponding authorities of third countries may be awarded to authorities notified 
to the Commission in accordance with Regulation (EC) No 2006/2004 or Directive 
2001/95/EC by a Member State or by a third country referred to in Article 7 of this 
Regulation. 

Grants  to  enforcement  officials  from  Member  States  and  third  countries  may  be 
awarded  to  officials  from  authorities  notified  to  the  European  Commission  for  the 
purposes  of  Regulation  (EC)  No  2006/2004  and  of  Directive  2001/95/EC  by  a 
Member State or by a third country referred to in Article 7 of this Regulation. 

Grants  for  action  may  be  awarded  to  a  public  body  or  a  non-profit-making  body 
selected through a transparent procedure and designated by a Member State or a third 
country referred to in Article 7 of this Regulation. The designated body shall be part 
of an Union network which provides information and assistance to consumers to help 
them  exercise  their  rights  and  obtain  access  to  appropriate  dispute  resolution  (the 
European Consumer Centres Network). 

Grants  for  action  may  be  awarded  to  complaint  handling  bodies  established  and 
operating  in  the  Union  and  in  countries  of  the  European  Free  Trade  Associations 
participating  in  the  European  Economic  Area,  which  are  responsible  for  collecting 
consumer  complaints,  or  attempting  to  resolve  complaints,  or  giving  advice,  or 
providing information to consumers about complaints or enquiries, and which are a 
third  party  to  a  complaint  or  enquiry  by  a  consumer  about  a  trader..  They  do  not 
include  consumer  complaint  handling  mechanisms  operated  by  traders  and  dealing 
with enquiries and complaints directly with the consumer or mechanisms providing 
complaint handling services operated by or on behalf of a trader. 

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Article 6 

Financial framework 

The financial envelope for the implementation of the Programme shall be EUR 197,000,000 
in current prices. 

Article 7 

Participation of third countries in the Programme 

Participation in the Programme shall be open to the participation of: 

(a) 

(b) 

1. 

2. 

the countries of the European Free Trade Associations participating in the European 
Economic Area, in accordance with the conditions established in the Agreement on 
the European Economic Area; 

third  countries,  in  particular  acceding  and  candidate  countries  as  well  as  potential 
candidates,  and  countries  to  which  the  European  Neighbourhood  Policy  applies,  in 
accordance  with  the  general  principles  and  general  terms  and  conditions  for  their 
participation  in  Union  programmes  established  in  the  respective  Framework 
Agreements, Association Council Decisions or similar agreements. 

Article 8 

Types of intervention and maximum level of co-financing 

In accordance with Regulation (EC, Euratom) No 1605/2002, financial contributions 
by the Union may take the form of either grants or public procurement or any other 
interventions needed to achieve the objectives referred to in Articles 2 and 3. 

The  grants  by  the  Union  and  their  corresponding  maximum  levels  shall  be  as 
follows: 

(a)  grants for the functioning of consumer organisations at Union level, as defined 

in Article 5(1), not exceeding 50% of the eligible costs;  

(b)  grants  for  the  functioning  of  international  bodies  promoting  principles  and 
policies  which  contribute  to  the  objectives  of  the  Programme,  as  defined  in 
Article 5(2), not exceeding 50% of the eligible costs; 

(c)  grants  for  the  functioning  of  Union  level  bodies  established  for  the 
coordination  of  enforcement  actions  in  the  field  of  product  safety  and 
recognised for this purpose by Union legislation, as defined in Article 5(3), not 
exceeding 95% of the eligible costs; 

(d)  grants  for  action  to  Union-wide  bodies  for  the  development  of  codes  of 
conduct, best practices, guidelines for price, products quality and sustainability 
comparison, as defined in Article 5(4), not exceeding 50% of the eligible costs;  

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(e)  grants for action to Member States authorities responsible for consumer affairs 
and to the corresponding authorities in third countries participating pursuant to 
Article  7,  as  defined  in  Article  5(5),  not  exceeding  50%  of  the  eligible  costs, 
except in the case of actions of exceptional utility as defined in the annual work 
programmes, in which case the contribution by the Union to the costs shall not 
exceed 70%; 

(f) 

grants for the exchange of enforcement officials from Member States and third 
countries  participating  pursuant  to  Article  7,  as  defined  in  Article  5(6), 
covering travelling and subsistence allowances; 

(g)  grants for action to bodies designated by Member States authorities responsible 
for  consumer  affairs  and  by  the  equivalent  authorities  in  third  countries 
participating  pursuant  to  Article  7,  as  defined  in  Article  5(7),  not  exceeding 
70% of the eligible costs; 

(h)  grants for action to national consumer complaint bodies, as defined in Article 

5(8), not exceeding 50% of the eligible costs.  

Article 9 

Administrative and technical assistance 

The  financial  allocation  for  the  Programme  may  also  cover  expenses  pertaining  to 
preparatory,  monitoring,  control,  audit  and  evaluation  activities  which  are  required  for  the 
management  of  the  programme  and  the  achievement  of  its  objectives;  in  particular,  studies, 
including  corporate 
information  and  communication  actions, 
meetings  of  experts, 
communication of the political priorities of the Union as far as they are related to the general 
objectives  of  this  Regulation,  expenses  linked  to  IT  networks  focusing  on  information 
processing  and  exchange,  together  with  all  other  technical  and  administrative  assistance 
expenses incurred by the Commission for the management of the Programme. 

Article 10 

Methods of implementation 

The  Commission  shall  implement  the  Programme  by  means  of  the  management  modes 
referred to in Article 53 of Regulation (EC, Euratom) No 1605/2002.  

Article 11 

Consistency and complementarity with other policies 

The Commission shall, in cooperation with the Member States, ensure overall consistency and 
complementarity between the Programme and other relevant Union policies, instruments and 
actions. 

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Article 12 

Annual work programmes 

The  Commission  shall  implement  the  Programme  by  adopting  annual  work  programmes  in 
the  form  of  implementing  acts  setting  out  the  elements  provided  for  in  Regulation  (EC, 
Euratom) No 1605/2002 and in particular: 

(a) 

(b) 

the  implementation  priorities  and  the  actions  to  be  undertaken,  including  the 
allocation of financial resources; 

the  essential  selection  and  award  criteria  to  be  used  to  select  the  proposals 
receiving financial contributions; 

(c) 

the time schedule of the planned calls for tenders and calls for proposals; 

(d)  where appropriate, the authorisation to use lump sums, standard scales of unit 
costs  or  flat-rate  financing  in  line  with  Regulation  (EC,  Euratom)  No 
1605/2002; 

(e) 

the criteria for assessing whether or not exceptional utility applies. 

Those implementing acts shall be adopted in accordance with the advisory procedure referred 
to in Article 16. 

Article 13 

Evaluation and dissemination of results 

1. 

2. 

At the request of the Commission, Member States shall submit to it information on 
the implementation and impact of the Programme. 

No later then mid-2018, an evaluation report shall be established by the Commission 
on the achievement of the objectives of all the measures (at the level of results and 
impacts), the efficiency of the use of resources and its European added value, in view 
of  a  decision  on  the  renewal,  modification  or  suspension  of  the  measures.  The 
evaluation  shall  additionally  address  the  scope  for  simplification,  its  internal  and 
external  coherence,  the  continued  relevance  of  all  objectives,  as  well  as  the 
contribution  of  the  measures  to  the  Union  priorities  of  smart,  sustainable  and 
inclusive growth. It shall take into account evaluation results on the long-term impact 
of the predecessor programme;  

The longer-term impacts and the sustainability of effects of the Programme should be 
evaluated with a view to feeding into a decision on a possible renewal, modification 
or suspension of a subsequent programme. 

3. 

The  Commission  shall  make  the  results  of  actions  undertaken  pursuant  to  this 
Regulation publicly available. 

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1. 

2. 

1. 

2. 

3. 

Article 14 

Protection of the financial interests of the Union 

The  Commission  shall  take  appropriate  measures  ensuring  that,  when  actions 
financed under this Regulation are implemented, the financial interests of the Union 
are protected by the application of preventive measures against fraud, corruption and 
any other illegal activities, by effective checks and, if irregularities are detected, by 
the  recovery  of  the  amounts  wrongly  paid  and,  where  appropriate,  by  effective, 
proportionate and deterrent penalties. 

The  Commission  or  its  representatives  and  the  Court  of  Auditors  shall  have  the 
power  of  audit,  on  the  basis  of  documents  and  on-the  spot,  over  all  grant 
beneficiaries, contractors and subcontractors who have received Union funds. 

The  European  Anti-fraud  Office  (OLAF)  may    carry  out  on-the-spot  checks  and 
inspections on economic operators concerned directly or indirectly by such funding 
in  accordance  with  the  procedures  laid  down  in  Regulation  (Euratom,  EC)  No 
2185/9617 with a view to establishing whether there has been fraud, corruption or any 
other illegal activity affecting the financial interests of the Union in connection with 
a grant agreement or grant decision or a contract concerning Union funding. 

Without  prejudice  to  the  first  and  second  subparagraphs,  cooperation  agreements 
with  third  countries  and  international  organisations  and  grant  agreements  and  grant 
decisions  and  contracts  resulting  from  the  implementation  of  this  Regulation  shall 
expressly  empower  the  Commission,  the  Court  of  Auditors  and  OLAF  to  conduct 
such audits, on-the-spot checks and inspections. 

Article 15 

Exercise of delegation 

The  power  to  adopt  delegated  acts  is  conferred  on  the  Commission  subject  to  the 
conditions laid down in this Article. 

The  delegation  of  power  referred  to  in  Article  3  shall  be  conferred  on  the 
Commission for the period of the Programme 2014-2020. 

The delegation of power referred to in Article 3 may be revoked at any time by the 
European Parliament or by the Council. A decision of revocation shall put an end to 
the delegation of the power specified in that decision. It shall take effect on the day 
following publication of the decision in the Official Journal of the European Union 
or at a later date specified therein. It shall not affect the validity of any delegated acts 
already in force. 

4. 

As soon as it adopts a delegated act, the Commission shall notify it simultaneously to 
the European Parliament and to the Council. 

17 

OJ L 292, 15.11.1996, p. 2 

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5. 

1. 

2. 

1. 

2. 

A  delegated  act  adopted  pursuant  to  Article  3  shall  enter  into  force  only  if  no 
objection  has  been  expressed  either  by  the  European  Parliament  or  by  the  Council 
within a period of two months of notification of that act to the European Parliament 
and the Council or if, before the expiry of that period, the European Parliament and 
the  Council  have  both  informed  the  Commission  that  they  will  not  object.  That 
period shall be extended by two months at the initiative of the European Parliament 
or the Council. 

Article 16 

Committee procedure 

The Commission shall be assisted by a committee within the meaning of Regulation 
(EU) No 182/2011. 

Where  reference  is  made  to  this  paragraph,  Article  4  of  Regulation  (EU)  No 
182/2011 shall apply. 

Article 17 

Transitional measures 

Article 6 of Decision No 1926/2006/EC shall continue to apply to actions covered by 
that  Decision  which  have  not  been  completed  by  31  December  2013.  Therefore, 
financial allocation for the Programme may also cover technical and administrative 
assistance expenses necessary to ensure the transition between the measures adopted 
under Decision No 1926/2006/EC and the Programme. 

If  necessary,  appropriations  may  be  entered  in  the  budget  beyond  2020  to  cover 
expenses  provided  for  in  Article  9,  to  enable  the  management  of  actions  not 
completed by 31 December 2020. 

Article 18 

Repeal  

Decision No 1926/2006/EC is repealed with effect from 1 January 2014. 

Article 19 

Entry into force and date of application 

This Regulation shall enter into force on the twentieth day following that of its publication in 
the Official Journal of the European Union.  

It shall apply from 1 January 2014. 

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This Regulation shall be binding in its entirety and directly applicable in all Member States. 

Done at Brussels, 

For the European Parliament 
The President 

For the Council 
The President 

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ANNEX I – Types of actions 

Objective I - Safety: to consolidate and enhance product safety through effective market 

surveillance throughout the EU 

1. 

Scientific  advice  and  risk  analysis  relevant  to  consumer  health  and  safety 
regarding non-food products and services 

support  for  the  tasks  of  the  independent  scientific  committees  established  by 
Commission Decision 2004/210/EC setting up Scientific Committees in the field of 
consumer safety, public health and the environment18. 

Coordination of market surveillance and enforcement actions on product safety 
with  regard  to  Directive  2001/95/EC  of  the  European  Parliament  and  of  the 
Council  on  general  product  safety,  and  actions  to  improve  consumer  services 
safety: 

development  and  maintenance  of  IT  tools  (e.g.  databases,  information  and 
communication systems); 

organisation of seminars, conferences, workshops and meetings of stakeholders and 
experts on risks and enforcement in the area of product safety; 

exchanges of enforcement officials and training; 

specific  joint  cooperation  actions  in  the  area  of  the  safety  of  non-food  consumer 
products and services, under Directive 2001/95/EC; 

monitoring and assessment of the safety of non-food products and services, including 
the  knowledge  base  for  further  standards  or  the  establishment  of  other  safety 
benchmarks; 

administrative and enforcement cooperation with third countries other than the ones 
falling under Article 7; 

support  to    bodies  recognised  by  Union  legislation  for  the  coordination  of 
enforcement actions between Member States. 

Maintenance and further development of databases on cosmetics 

maintenance  of  the  Cosmetic  Products  notification  Portal  set  up  under  Regulation 
(EC) No 1223/2009 of the European Parliament and of the Council of 30 November 
2009 on cosmetic products19; 

maintenance of the database on cosmetics ingredients to support the implementation 
of Regulation (EC) No1223/2009. 

2. 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

(g) 

3. 

(a) 

(b) 

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OJ L 66, 04.03.2004, p.45 
OJ 342, 22.12.2009, p.59 

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Objective  II  –  Information  and  education:  to 

improve  consumers'  education, 
information  and  awareness  of  their  rights,  to  develop  the  evidence  base  for 
consumer policy and to provide support to consumer organisations  

4. 

Building the evidence base for policy-making in areas affecting consumers 

that provide an evidence base for the development of consumer policy and for the integration 
of consumer interests into other Union policies, including: 

(a) 

(b) 

(c) 

5. 

(a) 

(b) 

(c) 

6. 

(a) 

(b) 

(c) 

(d) 

(e) 

(f) 

Union-wide studies and analysis on consumers and consumer markets; 

development and maintenance of databases; 

development  and  analysis  of  national  statistical  and  other  relevant  evidence. 
Collection  of  national  data  and  indicators  on  prices,  complaints,  enforcement, 
redress, etc. will be developed in collaboration with national stakeholders. 

Support to consumer organisations 

financial  contributions  to  the  functioning  of  Union-level  consumer  organisations 
representing consumer interests according to the provisions of Article 5(1); 

capacity  building  for  regional,  national  and  European  consumer  organisations, 
notably  through  training  and  exchange  of  best  practice  and  expertise  for  staff 
members,  in  particular  for  consumer  organisations  in  Member  States  which 
demonstrate  a  relatively  low  level  of  consumer  confidence  and  awareness  as 
evidenced by monitoring of consumer markets and the consumer environment in the 
Member States; 

support  to  international  bodies  promoting  principles  and  policies  which  are 
consistent with the objectives of the Programme. 

Enhancing the transparency of consumer markets and consumer information 

awareness-raising campaigns on issues affecting consumers, including through joint 
actions with Member States; 

actions  enhancing  the  transparency  of  consumers  markets  with  regard  to  e.g.  retail 
financial products, energy, digital and telecommunications, transport; 

actions  increasing  consumers'  access  to  relevant  information  on  products  and 
markets; 

actions  enhancing  consumers'  access  to  information  on  sustainable  consumption  of 
goods and services; 

support to events concerning consumer policy of the Union which are organised by 
the presidency of the Union on issues in line with established Union policy priorities; 

financial  contributions  to  national  complaint  bodies  to  assist  with  the  use  of  a 
harmonised  methodology  for  classifying  and  reporting  consumer  complaints  and 
enquiries for the collection and reporting of consumer complaints; 

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(g) 

(h) 

7. 

(a) 

(b) 

support  to  Union-wide  bodies  for  the  development  of  codes  of  conduct/best 
practices/guidelines for price/quality/sustainability comparison; 

support  for  communication  on  consumer  issues,  including  through  support  to  the 
media to drive consumer empowerment and enforcement. 

Enhancing consumer education 

development of an interactive platform for exchange of best practices and consumer 
education materials directed to key target groups in  particular young  consumers, in 
synergy with the European financing programme in education and training; 

development of education measures and materials on e.g. consumer rights including 
cross-border  issues,  health  and  safety,  Union  consumer  legislation,  sustainable 
consumption, financial literacy . 

Objective III – Rights and redress: to consolidate consumer rights in particular through 
regulatory action and improving access to redress including alternative dispute 
resolution 

8. 

(c) 

(d) 

(e) 

(f) 

9. 

(a) 

(b) 

Preparation,  transposition  assessment,  monitoring,  evaluation,  implementation 
and enforcement by Member States of consumer protection legislative and other 
regulatory  initiatives  and  the  promotion  of  co-regulatory  and  self-regulatory 
initiatives, including 

studies,  ex  ante  and  ex-post  evaluations,  impact  assessments,  public  consultations, 
evaluation of existing legislation; 

seminars, conferences, workshops and meetings of stakeholders and experts; 

development  and  maintenance  of  easily  and  publicly  accessible  databases  covering 
the implementation of Union legislation on consumer protection ; 

evaluation of actions undertaken under the Programme. 

Facilitating  access  to  and  monitoring  of  the  functioning  and  effectiveness  of 
dispute resolution mechanisms for consumers, in particular of alternative dispute 
resolution  schemes, 
the  development  and 
maintenance of relevant IT tools  

including  on-line,  also 

through 

development and maintenance of IT tools; 

support for the development of a Union-wide on-line dispute resolution system and 
its maintenance, including for associated services such as translation. 

Objective  IV  –  Enforcement:  to  support  enforcement  of  consumer  rights  by 
strengthening  cooperation  between  national  enforcement  bodies  and  by 
supporting consumers with advice 

10. 

Coordination of surveillance and enforcement actions with regard to Regulation 
(EC)  No  2006/2004  of  27  October  2004  on  cooperation  between  national 

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(a) 

(b) 

(c) 

(d) 

11. 

authorities  responsible  for  the  enforcement  of  consumer  protection  laws  , 
including 

development  and  maintenance  of  IT  tools  (e.g.  databases,  information  and 
communication systems); 

actions  to  improve  cooperation  between  authorities  as  well  as  coordination  of 
monitoring  and  enforcement  such  as  exchanges  of  enforcement  officials,  common 
activities, trainings for enforcement officials and for members of the judiciary; 

organisation of seminars, conferences, workshops and meetings of stakeholders and 
experts on enforcement; 

administrative  and  enforcement  cooperation  with  third  countries  which  are  not 
participating in the Programme. 

Financial  contributions  for  joint  actions  with  public  or  non-profit  bodies 
constituting Community networks which provide information and assistance to 
consumers  to  help  them  exercise  their  rights  and  obtain  access  to  appropriate 
dispute  resolution,  including  out  of  court  online  resolution  schemes  (the 
European Consumer Centres Network), including 

the  development  and  maintenance  of  IT  tools  (e.g.  databases,  information  and 
communication  systems)  necessary  for  the  proper  functioning  of  the  European 
Consumer Centres Network. 

This list might be completed with additional actions of similar type and impact pursuing the 
specific objectives mentioned in Article 3. 

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ANNEX II  

Indicators according to Article 3 of the Consumer Programme 

Objective 1:  Safety:  To  consolidate  and  enhance  product  safety  through  effective  market 
surveillance throughout the EU 

Indicator 

Source 

Current situation 

Target 

% of RAPEX notifications entailing at least one reaction (by other 
Member States) 

RAPEX 

43% (843 
notifications) in 2010 

Increase of 10% in 
7 years 

Ratio number of reactions / number of notifications (serious 
risks)*  

RAPEX 

1.07 in 2010 

Increase of 15% in 
7 years 

* a notification can trigger several reactions from authorities from other Member States 

Objective 2: 
Information  and  education:  to  improve  consumers'  education,  information  and 
awareness of their rights, to develop the evidence base for consumer policy and to provide support 
to consumer organisations  

Indicator 

Source 

Current situation 

Target 

Number of complaint bodies submitting complaints to the ECCRS  ECCRS (European 

na 

Trust in cross-border transactions - % of consumers who are 
equally confident or more confident in making an internet 
purchase from sellers from another Member State 

Consumer Complaints 
Registration system) 

Consumer 
Eurobarometer 

60% of complaint 
bodies in 7 years 

37% in 2010 

50% in 7 years 

Objective 3:  Rights  and  redress:  to  consolidate  consumer  rights  in  particular  through  regulatory 
action and improving access to redress including alternative dispute resolution 

Indicator 

Source 

Current situation 

Target 

% of cross-border cases referred to ADR by ECCs 

Annual ECC report 

9% in 2010 

50% in 7 years 

Number of cases dealt with by an EU-wide on-line dispute resolution 
system 

17.500 (complaints 
received by ECCs 
related to e-commerce 
transactions) in 2010 

38.500 (+120%) in 7 
years 

Objective 4:  Enforcement: 
cooperation between national enforcement bodies and by supporting consumers with advice 

to  support  enforcement  of  consumer  rights  by  strengthening 

Source 

Current situation 

Target 

Indicator 

Level of information flow and cooperation within the CPC Network: 

- number of requests to exchange information between CPC authorities 

- number of requests for enforcement measures between CPC 
authorities 

- number of alerts within the CPC network 

CPC Network Database 
(CPCS) 

annualised averages 
2007-2010 

129 

142 

63 

Number of contacts with consumers handled by the European Consumer 
Centres (ECC) 

ECC report 

71.000 in 2010 

These indicators might be supplemented by general context indicators. 

- increase of 40% in 7 
years 

- increase of 40% in 7 
years 

- increase of 30% in 7 
years 

Increase of 50% in 7 
years 

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LEGISLATIVE FINANCIAL STATEMENT FOR PROPOSALS 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1.  Title of the proposal/initiative  

1.2.  Policy area(s) concerned in the ABM/ABB structure 

1.3.  Nature of the proposal/initiative  

1.4.  Objective(s)  

1.5.  Grounds for the proposal/initiative  

1.6.  Duration and financial impact  

1.7.  Management method(s) envisaged  

2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

2.2.  Management and control system  

2.3.  Measures to prevent fraud and irregularities  

3. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

3.1.  Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget  line(s) 
affected  

3.2.  Estimated impact on expenditure  

3.2.1. Summary of estimated impact on expenditure  

3.2.2. Estimated impact on operational appropriations  

3.2.3. Estimated impact on appropriations of an administrative nature 

3.2.4. Compatibility with the current multiannual financial framework 

3.2.5. Third-party participation in financing  

3.3.  Estimated impact on revenue

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LEGISLATIVE FINANCIAL STATEMENT FOR PROPOSALS 

1. 

FRAMEWORK OF THE PROPOSAL/INITIATIVE  

1.1. 

Title of the proposal/initiative  

Proposal for a European Parliament and Council Regulation on the Consumer Programme 
2014-2020  

1.2. 

Policy area(s) concerned in the ABM/ABB structure20  

Consumer policy 

1.3. 

Nature of the proposal/initiative  

(cid:133) The proposal/initiative relates to a new action  

(cid:133) The proposal/initiative relates to a new action following a pilot project/preparatory action21  

(cid:59) The proposal/initiative relates to the extension of an existing action  

(cid:133) The proposal/initiative relates to an action redirected towards a new action  

1.4. 

Objectives 

1.4.1.  The Commission's multiannual strategic objective(s) targeted by the proposal/initiative  

The  aim  of  the  Consumer  Programme  is  to  support  the  policy  objective  of  placing  the 
empowered  consumer  at  the  centre  of  the  Single  Market.  The  Programme  will  do  so  by 
contributing to protecting the health, safety and economic interests of consumers, as well 
as to promoting their right to information, education and to organise themselves in order to 
safeguard  their  interests.  The  Programme  will  complement,  support  and  monitor  the 
policies of Member States. 

1.4.2. 

Specific objective(s) and ABM/ABB activity(ies) concerned  

Specific objective No.1. 

Safety:  to  consolidate  and  enhance  product  Safety  through  effective  market  surveillance 
throughout the EU 

ABM/ABB activity(ies) concerned 

Consumer policy 

Specific objective No 2 

20 
21 

ABM: Activity-Based Management – ABB: Activity-Based Budgeting. 
As referred to in Article 49(6)(a) or (b) of the Financial Regulation. 

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Information  and  education:  to  improve  consumers'  education,  information  and  awareness 
of their rights, to develop the evidence base for consumer policy and to provide support to 
consumer organisations  

ABM/ABB activity(ies) concerned 

Consumer policy 

Specific objective No 3 

Rights and redress: to consolidate consumer rights in particular through regulatory action 
and improving access to redress including alternative dispute resolution 

ABM/ABB activity(ies) concerned 

Consumer policy 

Specific objective No 4 

Enforcement:  to  support  enforcement  of  consumer  rights  by  strengthening  cooperation 
between national enforcement bodies and by supporting consumers with advice 

ABM/ABB activity(ies) concerned 

Consumer policy 

1.4.3.  Expected result(s) and impact 

Specify the effects which the proposal/initiative should have on the beneficiaries/groups targeted. 

The  beneficiaries  of  the  Programme  will  be  consumers,  national  authorities  in  charge  of 
consumer  protection  and  consumer  organisations,  with  the  overarching  objective  of 
improving the situation of consumers throughout the EU. 

The Programme will offer support to consumer organisations at EU and national level, as 
well as Member States national authorities in charge of product safety and enforcement. 

The  Programme  will  also  de  facto  benefit  reputable  businesses,  as  effective  consumer 
policy supports the proper functioning of the Single Market, rewards the most competitive 
companies  and  drives  out  rogue  operators.  Empowered  consumers  are  drivers  of 
innovation  and  consumer  policy  will  therefore  support  innovative  business.  Finally, 
economic operators will benefit from a level playing field based on clear rules and better 
coordinated enforcement. In this context, the Programme will contribute to stimulating the 
economic growth. 

1.4.4. 

Indicators of results and impact  

Specify the indicators for monitoring implementation of the proposal/initiative. 

Objective 1:  Safety:  to  consolidate  and  enhance  product  Safety  through  effective  market 
surveillance throughout the EU 

-  %  of  RAPEX  notifications  entailing  at  least  one  reaction  (by  other  Member  States) 
risks)
-  Ratio  number  of 

/  number  of  notifications 

reactions 

(serious 

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Objective 2:  Information  and  education:  to  improve  consumers'  education,  information 
and  awareness  of  their  rights,  to  develop  the  evidence  base  for  consumer  policy  and  to 
provide support to consumer organisations  

-  Number  of  complaint  bodies  submitting  complaints  to  the  European  Consumer 
Complaints Registration system (ECCRS) 

- Trust in cross-border transactions - % of consumers who are equally confident or more 
confident in making an internet purchase from sellers from another EU country 

This  indicator  has  been  included  on  a  tentative  basis  in  the  absence  of  a  clearly  better 
alternative. It is likely to be amended / supplemented in future.  

Objective 3:  Rights  and  redress:  to  consolidate  consumer  rights  in  particular  through 
regulatory action and improving access to redress including alternative dispute resolution 

- % of cross-border cases referred to ADR by European Consumer Centres (ECCs) 

- Number of cases dealt with by an EU-wide on-line dispute resolution system 

Objective 4:  Enforcement:  to  support  enforcement  of  consumer  rights  by  strengthening 
cooperation  between  national  enforcement  bodies  and  by  supporting  consumers  with 
advice 

-  Level  of  flow  of  information  and  cooperation  within  the  Consumer  Protection 
Cooperation (CPC) Network: 

- number of requests to exchange information between CPC authorities 

- number of requests for enforcement measures between CPC authorities 

- number of alerts within the CPC network 

- Number of contacts with consumers handled by the European Consumer Centres (ECCs) 

1.5. 

Grounds for the proposal/initiative  

1.5.1.  Requirement(s) to be met in the short or long term  

The  post-2013  Consumer  Programme  (hereafter  the  "Programme")  will  support  the 
implementation of Commission action in the field of consumer policy from 2014 onwards. 
It builds on the results achieved though the current (2007-2013) Programme. 

The new Programme will support the future consumer policy placing EU citizens as 
empowered consumers at the centre of the Single Market and complement initiatives 
focussing on the supply side. 

There is a need for some continuity between the current and future Programmes, in line 
with the results of the mid-term evaluation of the 2007-2013 Strategy and Programme 
which underlines that the policy is relatively young at EU level and that continuity is key 
to achieving impact. 

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At the same time, new societal challenges have grown in importance, such as the increased 
complexity  of  decision  making  (information  overload;  more  responsibility  shifted  to 
consumers  following  liberalisation;  sophisticated  products,  services  and  advertising),  the 
need  to  move  towards  more  sustainable  patterns  of  consumption,  the  opportunities  and 
threats brought by the development of digitalisation, an increase in social exclusion and the 
number of vulnerable consumers and an ageing population. 

The  main  problems  to  be  addressed  through  the  funding  of  actions  relates  to  safety; 
information  and  education;  rights  and  redress;  and  enforcement,  as  described  in  the 
Explanatory Memorandum. 

1.5.2.  Added value of EU involvement 

The added value of EU involvement is described in the Explanatory Memorandum. 

1.5.3.  Lessons learned from similar experiences in the past 

The  ex-post  evaluation  of  the  2004-2007  Programme  stresses  the  added  value,  as  it  does 
for the mid-term evaluation of the 2007-2013 Programme (and Consumer Policy Strategy), 
despite the fact that European consumer policy is a relatively new field and that the level of 
EU funding under the Programme is relatively small. It underlines  that actions under the 
Strategy and Programmes contribute to the Europe 2020 objectives of a smart, sustainable 
and inclusive growth. 

The  results  are  globally  positive  with  regard  to  the  relevance  of  the  objectives  of  the 
Strategy and the Programme, their impacts and their added-value. It also concludes that the 
Programme will have long-term effects on consumer protection. 

The  evaluation  makes  apparent  a  certain  divergence  in  views  on  the  Strategy  and  the 
Programme  between  national  authorities  and  consumer  organisations,  the  former  being 
more  positive  on  the  achievements  of  the  Strategy  and  Programmes  (overall  88%  of 
national  authorities  and  82%  of  consumer  organisations  believe  that  the  current  Strategy 
has  made  a  large  or  moderate  (medium  positive)  contribution  to  EU  consumer  policy 
initiatives). 

National  authorities  generally  confirm 
complementary to national consumer policy. 

that 

the  Strategy  and  Programme  are 

However, the evaluation concludes that emerging social and environmental challenges are 
Programme.
only 

addressed 

Strategy 

current 

partly 

and 

the 

by 

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More specifically on the specific actions undertaken under the Programme: 

i) 

Safety: 

- 
On  product  safety,  coordination  has  increased  between  market  surveillance 
authorities.  The  report  recommends  further  strengthening  surveillance  and  enforcement 
through  RAPEX,  pursuing  the  efforts  aimed  at  addressing  the  international  dimension  of 
the safety of products and capitalising on the use of new technologies. 

ii)  Consumer information and education: 

- 
Consumer market monitoring, the Consumer Market Scoreboard and in-depth market 
studies have played an important role to support consumer policy. They play an essential 
role  in  the  proper  integration  of  consumer  concerns  into  relevant  EU  policies  and  the 
design  of  effective  legislation.  The  report  also  suggests  further  developing  the 
understanding of actual consumer behaviour. 

- 
Progress  on  consumer  education  has  been  variable,  in  particular  for  Dolceta  where 
there  is  a  concern  as  regards  the  definition  of  the  target  audience.  The  report  suggests 
consolidating  education  tools,  better  defining  Dolceta's  target  audience,  its  content  and 
dissemination, and looking for synergies with national curricula. 

- 
The  support  provided  through  the  Programmes  to  EU  level  and  national  consumer 
organisations has been evaluated positively. The role of EU level organisations is seen as 
crucial  for  ensuring  the  representation  of  consumer  interests  in  EU  policy  making.  The 
reports  suggests  pursuing  the  training  (capacity  building)  provided  to  national  consumer 
organisations, and examining the possibility of providing courses at national level. 

iii)  Consumer rights and redress: 

The  report  points  to  the  added  value  linked  to  the  greater  level  of  harmonisation 

- 
brought by the legislative developments, either finalised or still in the making. 

- 
The  Programmes  and  the  Strategy  have  been  increasingly  successful  in  the 
integration  of  consumer  policy  into  relevant  EU  policies.  The  report  suggests  pursuing 
efforts  in  this  field  and  to  address  new  emerging  challenges  such  as:  issues  linked  to 
digitalisation, 
the 
vulnerability  of  consumers  caused  by  the  crisis.  It  also  calls  for  a  clarification  vis-à-vis 
stakeholders of the role of the various Commission services on consumer issues. 

towards  more  sustainable  patterns  of  consumption, 

the  move 

Consumer access to redress remains a problem. The report refers to the need to make 

- 
progress on this issue and to increase consumer awareness about the means of redress. 

iv)  Enforcement: 

- 
Under the Strategy and Programmes, cross-border enforcement cooperation has been 
strengthened  through  the  network  of  enforcement  authorities  (CPC  Network)  and 
coordinated  actions  such  as  "sweeps".  The  report  suggests  further  increasing  the 
coordination within the CPC Network and enforcement authorities. 

The Strategy and Programmes have provided increasing support to consumers who 
- 
seek advice on disputes cross-border through the network of European Consumer Centres 

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32 

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(ECC-net).  However,  the  report  suggests  increasing  their  visibility  and  hence  consumers 
awareness. 

1.5.4.  Coherence and possible synergy with other relevant instruments 

Links to Europe 2020 and flagships 

The Europe 2020 Strategy calls for the "citizens to be empowered to play a full role in the 
single  market",  which  "requires  strengthening  their  ability  and  confidence  to  buy  goods 
and services cross-border, in particular on-line".  

Only informed and empowered consumers are able to make the best choices for their own 
welfare  and  for  the  health  of  the  economy,  through  intensifying  competition,  innovation 
and  the  integration  of  the  Single  Market,  thus  supporting  the  overarching  goal  of  the 
Europe  2020  Strategy.  Leveraging  the  vast  economic  force  of  consumer  expenditure 
(which  represents  56%  of  EU  GDP)  will  make  an  important  contribution  to  meeting  the 
EU objective of reigniting growth. This is confirmed by the 2011 Annual Growth Survey 
which  identifies  better  consumer  conditions  as  one  of  the  drivers  of  growth.  Consumer 
policy  helps  consumers  navigate  the  extensive  choice  offered  to  them  thereby  promoting 
businesses which are more efficient and innovative. 

Consumer  policy  will  provide  key  contributions  to  the  Digital  Agenda  flagship  initiative 
(borderless  and  safe  services  and  digital  content  markets,  access,  digital  literacy),  social 
inclusion (taking into account the situation of the more vulnerable consumers), sustainable 
growth  (sustainable  consumption)  and  the  importance  of  smart  regulation  (consumer 
market monitoring as the basis for designing effective and targeted policies). 

Links to Single Market Act and other initiatives 

The  Monti report on the new strategy for the Single Market argues that "Consumers and 
consumer welfare should be at the centre of the next stage of the single market." It stresses 
the  importance  of  empowering  consumers,  basing  policies  on  evidence  and  detecting 
markets  failing  consumers,  the  establishment  of  a  digital  single  market,  redress  (through 
Alternative Dispute Resolution and collective redress), product safety and standardisation. 

The Single Market Act highlights a number of these consumer related issues, in particular 
redress (as a strategic initiative), product safety, and the development of problem solving 
tools. 

The 2010 Citizenship report, presented as a complementary initiative to the Single Market 
Act, identifies amongst others the absence of a single set of consumer protection rules, lack 
of awareness about existing means of redress and insufficient means of redress as obstacles 
to fully realising European citizenship. 

The  European  Parliament  issued  several  reports  in  2010  including  recommendations  for 
the future of consumer policy: 

The Grech report calls for a holistic approach putting consumers' interests at the heart of 
the Single Market. The report highlights inter alia: the importance of an evidence base and 
market  monitoring,  the  issue  of  product  and  services  safety,  the  major  role  played  by 
consumer  organisations,  improving  the  capacity  of  problem  solving  mechanisms, 
integrating  consumers'  interests  into  relevant  EU  policies  and  legislation,  consumer 
information.
protection 

consumer 

financial 

services, 

redress 

and 

in 

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The  Hedh  report  stresses  the  importance  of  the  evidence  base  (Scoreboard,  studies, 
complaints)  and  enforcement  in  the  consumer  law  and  product  safety  (including  ADR, 
sweeps,  the  need  for  resources  for  CPC  and  ECC).  It  also  highlights  the  need  to  include 
consumer interests into all EU policies and requests the Commission to publish an annual 
report  on  this  issue,  the  role  of  consumer  organisations,  the  need  to  develop  consumer 
education  (including  for  adults),  consumer  information  (including  through  web  portals, 
reaching vulnerable consumers), the need to promote sustainable consumption. 

In the field of product safety, the Schaldemose report (2011) calls upon the Member States 
and  the  Commission  to  deploy  adequate  resources  for  efficient  market  surveillance 
activities,  emphasising  that  failing  market  surveillance  could  generate  a  distortion  of 
competition,  jeopardise  consumers'  safety  and  undermine  citizens'  trust  in  the  Single 
Market.  The  report  also  calls  upon  the  Commission  to  further  fund  joint  market 
surveillance actions and to allocate sufficient resources to support financially the creation 
of  a  platform  and/or  an  organisation  supporting  extended  coordination  between  Member 
States.  The  report  also  urges  the  Commission  to  establish  a  public  Consumer  Product 
Safety Information Database, including a platform for complaints. 

The  Arias  report  (2010)  on  e-commerce  highlighted  the  importance  of  strengthening 
consumer confidence in this field. 

In the context of the debate on the Single Market Act, the Kalniete report on "Governance 
and Partnership in the Single Market" underlined the importance of the future proposal on 
Alternative Dispute Resolution (ADR). 

Finally,  the  Parliament  is  preparing  for  October  an  own-initiative  report  on  the  future 
consumer policy (rapporteur: Ms. Eva-Britt Svensson/Mr. Kyriakos Triantaphyllides). 

1.6. 

Duration and financial impact  

(cid:59) Proposal/initiative of limited duration  

–  (cid:59)  Proposal/initiative in effect from [01/01]2014 to [31/12]2020 

–  (cid:59)  Financial impact from 2014 to 2020 in payment appropriations 

(cid:133) Proposal/initiative of unlimited duration 

–  Implementation with a start-up period from YYYY to YYYY, 

–  followed by full-scale operation. 

1.7.  Management mode(s) envisaged22  

(cid:59) Centralised direct management by the Commission  

(cid:59) Centralised indirect management with the delegation of implementation tasks to: 

–  (cid:59)  executive agencies  

22 

Details of management modes and references to the Financial Regulation may be found on the BudgWeb site: 
http://www.cc.cec/budg/man/budgmanag/budgmanag_en.html 

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–  (cid:133)  bodies set up by the Communities23  

–  (cid:133)  national public-sector bodies/bodies with public-service mission  

–  (cid:133)  persons entrusted with the implementation of specific actions pursuant to Title V of 
the  Treaty  on  European  Union  and  identified  in  the  relevant  basic  act  within  the 
meaning of Article 49 of the Financial Regulation  

(cid:133) Shared management with the Member States  

(cid:133) Decentralised management with third countries  

(cid:59) Joint management with international organisations (to be specified) 

If more than one management mode is indicated, please provide details in the "Comments" section. 

Comments  

Executive agency EAHC: In accordance with Council Regulation (EC) No 58/2003 of 19 December 
2002  laying  down  the  statute  for  Executive  Agencies  to  be  entrusted  with  certain  tasks  in  the 
management of Community programmes24, the Commission has entrusted25 the Executive Agency 
for  Health  and  Consumers  with  implementation  tasks  for  the  management  of  the  Programme  of 
Community Action in the field of Consumer policy for 2007-2013. The Commission may therefore 
decide to entrust the Executive Agency for Health and Consumers also with implementation tasks 
for the management of the Consumers Programme 2014-2020. 

Joint management : envisaged to support the OECD working party on product safety 

23 
24 
25 

As referred to in Article 185 of the Financial Regulation. 
OJ L 11, 16.1.2003, p. 1. 
Commission Decision C(2008)4943 of 9 September 2008. 

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2. 

MANAGEMENT MEASURES  

2.1.  Monitoring and reporting rules  

Specify frequency and conditions. 

The Programme foresees that the Commission informs a Member States Committee of the 
actions undertaken in the implementation of the Programme. 

The  Programme  foresees  that  no  later  then  mid-2018,  an  evaluation  report  shall  be 
established by the Commission on the achievement of the objectives of all the measures, 
the efficiency of the use of resources and its European added value, in view of a decision 
on the renewal, modification or suspension of the measures. 

Furthermore,  the  longer-term  impacts  and  the  sustainability  of  effects  of  the  Consumer 
Programme  should  be  evaluated  with  a  view  to  feeding  into  a  decision  on  a  possible 
renewal, modification or suspension of a subsequent programme. 

The  ex-post  evaluation  of  the  current  (2007-2013)  Programme,  which  is  foreseen  before 
end 2015, will also provide useful elements for the implementation of the Programme 2014 
– 2020. 

2.2.  Management and control system  

2.2.1.  Risk(s) identified  

The budget implementation covers the attribution of service contracts as well as grants. 

Grants will be awarded for support activities mainly  to Member States authorities and to 
public  bodies  or  non-profit  making  bodies  designated  and  co-financed  by  the  Member 
States. The period of execution of the subsidised projects is usually between one and two 
years. The annual number of grant agreements is limited and covers a budget of about EUR 
13 million per year. 

Service  contracts  will  be  concluded  in  particular  for  studies,  data  collection,  evaluation, 
training,  information  campaigns,  IT  and  communication  services,  facilities  management 
etc.  The  contractors  will  be  mainly  institutes,  laboratories,  consultancy  firms  and  other 
private  companies  of  which  many  SMEs.  The  average  annual  budget  for  contracts  is 
estimated at some EUR 12 million; the number of individual contracts is currently assessed 
at around 25 per year. 

The main risks are the following: 

• 

• 

Risk  of  poor  quality  of  selected  projects  and  poor  technical  implementation  of  the 
project,  reducing  the  programmes'  impact;  due  to  inadequate  selection  procedures, 
lack of expertise or insufficient monitoring; 

Risk  of  inefficient  or  non-economic  use  of  funds  awarded,  both  for  grants 
(complexity of reimbursing actual eligible costs coupled with limited possibilities to 
check eligible costs at the desk) and for procurement (sometimes limited number of 
economic  providers  with  the  required  specialist  knowledge  entailing  insufficient 
possibilities to compare price offers); 

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• 

Reputational risk for the Commission, if fraud or criminal activities are discovered; 
only  partial  assurance  can  be  drawn  from  the  third  parties'  internal  control  systems 
due to the rather large number of heterogeneous contractors and beneficiaries, each 
operating their own control system, often rather small in size. 

2.2.2.  Control method(s) envisaged  

The  budget  will  be  implemented  by  centralised  direct  management,  though  parts  of  the 
implementation  tasks  of  the  programme  might  be  delegated  to  the  existing  executive 
agency  EAHC.  This  agency  set  up  its  own  internal  control  system,  is  supervised  by  DG 
SANCO,  and  audited  by  the  Commission's  internal  auditor  as  well  as  the  Court  of 
Auditors. 

DG SANCO and the EAHC alike put in place internal procedures that aim at covering the 
risks  identified  above.  The  internal  procedures  are  in  full  compliance  with  the  financial 
regulation  and  include  cost-benefit  considerations.  Within  this  framework,  SANCO 
increase 
to  enhance 
continues 
simplification. Main features of the control framework are the following: 

to  explore  possibilities 

the  management  and 

to 

• 

• 

• 

– 

– 

– 

Characteristics of the selection process of projects: each call for proposals/tender 
is based on the annual Work Programme adopted by the Commission. In each call, 
the  exclusion,  selection  and  award  criteria  for  selecting  proposals/offers  are 
these  criteria,  an  evaluation  committee  evaluates  each 
published.  Against 
transparency, 
proposal/offer 
proportionality, equal treatment and non-discrimination.  

independence, 

observing 

principles 

the 

of 

External  Communication  strategy:  DG  SANCO  has  a  well  developed 
communication  strategy  that  seeks  to  ensure  the  contractors'/beneficiaries'  full 
understanding of the  contractual requirements and provisions. Following means are 
being  used:  EUROPA  Programme  website; 
information  meetings  with 
beneficiaries/contractors;  extensive  guidance  notes  as  well  as  "frequently  asked 
questions" and a help desk. 

Controls before and during the implementation of the projects: 

DG  SANCO  and  the  EAHC  alike,  use  the  model  grant  agreements  and  service 
contracts  recommended  by  the  Commission.  They  provide  for  a  number  of  control 
provisions  such  as  audit  certificates,  financial  guarantees,  on-site  audits  as  well  as 
inspections by OLAF. The rules governing the eligibility of costs will be simplified, 
for  example,  by  using  lump  sums  in  a  limited  number  of  cost  categories.  This  will 
also  help  to  better  concentrate  the  checks  and  controls.  The  introduction  of 
partnership  agreements  is  expected  to  improve  the  working  relations  with  the 
beneficiaries and to enhance the understanding of the eligibility rules. 

All staff signs the code of good administrative behaviour. Staff who are involved in 
the selection procedure or in the management of the grant agreements/contracts also 
sign a declaration  of absence  of a conflict of interest.  Staff is regularly  trained and 
uses networks to exchange best practices. 

Technical implementation of a project is checked at regular intervals at the desk on 
the basis of technical progress reports of the contractor; in addition contractors' 
meetings and on-site-visits are foreseen on a case by case basis.

EN 

37 

   EN 

 
– 

• 

Both SANCO's and EAHC's financial procedures are supported by the Commission's 
IT  tools  and  have  a  high  degree  of  segregation  of  duties:  all  financial  transactions 
related to contracts/grant agreements are verified by two independent persons before 
they  are  signed  by  the  authorising  officers  responsible  for  the  activity.  Operational 
initiation  and  verification  is  carried  out  by  different  members  of  staff  of  the  policy 
areas.  Payments  are  made  on  the  basis  of  a  number  of  pre-defined  supporting 
documents  such  as  approved  technical  reports  as  well  as  verified  cost  claims  and 
invoices. For a sample of transactions, the central financial cell performs a second-
level  ex-ante  desk  verification;  on  a  case  by  case  basis,  also  an  ex-ante  on-site 
financial control can be carried out prior to final payment. 

Controls  at  the  end  of  the  project:  Both  DG  SANCO  and  the  EAHC  have  a 
centralised audit team who verifies on-the-spot the eligibility of cost claims. The aim 
of these controls is to prevent, detect and correct material errors related to the legality 
and  regularity  of  financial  transactions.  With  a  view  to  achieving  a  high  control 
impact, the selection of contractors to be audited foresees to (a) combine a risk based 
selection  with  a  random  sampling,  and  (b) pay  attention  to  operational  aspects 
whenever possible during the on-site audit. 

Costs and benefits of controls: The programme's management and control measures are 
designed  on  the  basis  of  past  experience:  in  the  past  three  years,  the  established  internal 
control system ensured an average residual error rate of less than 2% as well as compliance 
with the grant and procurement procedures laid down in the financial regulation. These are 
the two main "control objectives" of both the previous and the new consumer programme. 

As the main design features of the new programme are not significantly different from the 
previous  programme,  the  risks  related  to  programme  implementation  are  considered  to 
remain  relatively  stable.  Thus,  the  established  management  and  control  measures  are 
planned to be continued; nevertheless, further simplifications that might become possible 
under  the  new  financial  regulation  will  be  taken  up  as  soon  and  as  far  as  possible.  The 
management  costs  included  in  the  Financial  Statement  (part  3.2.1)  amount  to  EUR  12,5 
million for EUR 197,2 million of funds managed from 2014 to 2020; this leads to a ratio 
"management  costs  to  managed  funds"  of  about  6,4%,  which  should  be  viewed  in  the 
context of a policy area which is not as spending-oriented as other EU policies.  

Thanks  to  the  combination  of  grants  and  procurement,  risk  based  ex-ante  and  ex-post 
controls as well as desk checks and on-site audits, the "control objectives" will be achieved 
at a reasonable cost level. The benefits of achieving an average residual error rate of less 
than  2%  and  compliance  with  the  provisions  of  the  financial  regulation  are  assessed  as 
sufficiently important to justify the chosen management and control measures. 

2.3.  Measures to prevent fraud and irregularities  

Specify existing or envisaged prevention and protection measures. 

EN 

38 

   EN 

 
In  addition  to  the  application  of  all  regulatory  control  mechanisms,  DG  SANCO  will 
devise an anti-fraud strategy in line with the Commission's new anti-fraud strategy (CAFS) 
adopted  on  24  June  2011  in  order  to  ensure  inter  alia  that  its  internal  anti-fraud  related 
controls are fully aligned with the CASF and that  its fraud  risk  management approach is 
geared  to  identify  fraud  risk  areas  and  adequate  responses.  Where  necessary,  networking 
groups and adequate IT tools dedicated to analysing fraud cases related to the Consumer 
Programme will be set up. In particular a series of measures will be put in place such as: 

• 

• 

• 

• 

decisions,  agreements  and  contracts  resulting  from  the  implementation  of  the 
Consumer Programme will expressly entitle the Commission, including OLAF, and 
the Court of Auditors to conduct audits, on-the-spot checks and inspections; 

during the evaluation phase of a call for proposals/tender, the proposers and tenderers 
are  checked  against  the  published  exclusion  criteria  based  on  declarations  and  the 
Early Warning System (EWS); 

the rules governing the eligibility of costs will be simplified in accordance with the 
provisions of the Financial Regulation. 

regular  training  on  issues  related  to  fraud  and  irregularities  is  given  to  all  staff 
involved  in  contract  management  as  well  as  to  auditors  and  controllers  who  verify 
the beneficiaries' declarations on the spot. 

EN 

39 

   EN 

 
3. 

ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE  

3.1. 

Heading(s)  of  the  multiannual  financial  framework  and  expenditure  budget  line(s) 
affected  

•  Existing expenditure budget lines  

In order of multiannual financial framework headings and budget lines. 

Budget line 

Type of  
expenditure

Contribution  

Number  
[Description………………………...……….] 

Diff./non-
diff 
(26) 

from 
EFTA27 
countries 

from 
candidate 
countries28 

from third 
countries 

within the 
meaning of 
Article 18(1)(aa) 
of the Financial 
Regulation  

Heading of 
multiannual 
financial 
framework 

3 

3 

17 01 04 03 

Administrative  expenditure  in  support  of  the 
Consumer Programme 2014 - 2020 

17 01 04 30 

Executive Agency for –Health and Consumers 
(EAHC) 

•  New budget lines requested  

Diff./non-
diff. 

YES/N
O 

YES/N
O 

YES/N
O 

YES/NO 

Diff./non-
diff. 

YES/N
O 

YES/N
O 

YES/N
O 

YES/NO 

In order of multiannual financial framework headings and budget lines. 

Budget line 

Type of 
expenditure

Contribution  

Number  
[Heading……………………………………..] 

Diff./non-
diff. 

from 
EFTA 
countries 

from 
candidate 
countries 

from third 
countries 

within the 
meaning of 
Article 18(1)(aa) 
of the Financial 
Regulation  

Heading of 
multiannual 
financial 
framework 

3 

17 02 06 
Consumer Programme 2014 - 2020 

Diff./non-
diff. 

YES/N
O 

YES/N
O 

YES/N
O 

YES/NO 

26 
27 
28 

Diff. = Differentiated appropriations / Non-Diff. = Non-differentiated appropriations 
EFTA: European Free Trade Association.  
Candidate countries and, where applicable, potential candidate countries from the Western Balkans. 

EN 

40 

   EN 

 
                                                 
3.2. 

Estimated impact on expenditure  

3.2.1. 

Summary of estimated impact on expenditure  

Heading of multiannual financial 
framework:  

3 

Security and citizenship 

EUR million (to 3 decimal places) 

DG: SANCO 

Ÿ Operational appropriations  

06 

02 

17 
Programme 2014 - 2020 
Appropriations of an administrative nature financed 

Consumer 

Commitments 

Payments 

from  the  envelope  for  specific 
programmes  
17 01 04 [1] 

TOTAL appropriations 
for DG SANCO 

Commitments 

Payments 

(cid:121) TOTAL operational 
appropriations  

Commitments 

Payments 

(cid:121) TOTAL appropriations of an administrative 
nature financed from the envelope for specific 
programmes  

-1 

-2 

-3 

=1+3 

=2+3 

-4 

-5 

-6 

TOTAL appropriations 
under HEADING 3 

of the multiannual financial 
framework 

Commitments 

= 4+ 6 

Payments 

= 5+ 6 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 

2020[1]  TOTAL 

23,347
6,819

24,111 
14,336 

24,652 
24,126 

25,204
24,668

25,767 
25,220 

26,341
25,783

26,928
55,400

176,350 
176,350 

2,950

2,950 

2,950 

2,950

2,950 

2,950

2,950

20,650 

26,297

9,769

27,061 

17,286 

27,602 

27,076 

28,154

27,618

28,717 

28,170 

29,291

28,733

29,878

58,350

197,000 

197,000 

23,347
6,819

24,111 
14,336 

24,652 
24,126 

25,204
24,668

25,767 
25,220 

26,341
25,783

26,928
55,400

176,350 
176,350 

2,950

2,950 

2,950 

2,950

2,950 

2,950

2,950

20,650 

26,297

27,061 

27,602 

28,154

28,717 

29,291

29,878

197,000 

9,769

17,286 

27,076 

27,618

28,170 

28,733

58,350

197,000 

EN 

41 

EN 

 
  
 
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
 
[1] The Commission may entrust an executive agency with implementation tasks for the management of the Consumer Programme 2014 – 2020. Amounts and imputations will be 
adjusted if necessary according to the results of the externalisation process. 

If more than one heading is affected by the proposal / initiative: NOT APPLICABLE 

(cid:121) TOTAL operational appropriations  

Commitments 

Payments 

(cid:121)  TOTAL  appropriations  of  an  administrative  nature 
financed from the envelope for specific programmes  

(4) 

(5) 

(6) 

TOTAL appropriations  
under HEADINGS 1 to 4 
of the multiannual financial framework 
(Reference amount) 

Commitments 

=4+ 6 

Payments 

=5+ 6 

EN 

42 

EN 

 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Heading of multiannual financial 
framework:  

5 

" Administrative expenditure " 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

TOTAL 

EUR million (to 3 decimal places) 

DG: SANCO – Consumer Policy 

(cid:121) Human resources [2] 

1,146 

1,169 

1,192 

1,216 

1,240 

1,265 

1,291 

(cid:121) Other administrative expenditure [2] 

0,228 

0,233 

0,237 

0,242 

0,247 

0,252 

0,257 

TOTAL  

Appropriations  

1,374 

1,401 

1,430 

1,458 

1,487 

1,517 

1,547 

8,520 

1,695 

10,215 

TOTAL appropriations 
under HEADING 5 
of the multiannual financial framework  

(Total 
= Total payments) 

commitments 

1,374 

1,401 

1,430 

1,458 

1,487 

1,517 

1,547 

10,215 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

TOTAL 

EUR million (to 3 decimal places) 

TOTAL appropriations 
under HEADINGS 1 to 5 

of the multiannual financial 
framework  

Commitments 

27,671

28,463

29,031 

29,612

30,205

30,808 

31,425

207,215

Payments 

11,143

18,687

28,505 

29,076

29,657

30,250 

59,897

207,215

[2] The Commission may entrust an executive agency with implementation tasks for the management of the Consumer Programme 2014 – 2020. Amounts and imputations will be 
adjusted if necessary according to the results of the externalisation process. 

EN 

43 

EN 

 
  
 
 
 
 
 
 
 
  
3.2.2.  Estimated impact on operational appropriations 

–  (cid:133)  The proposal/initiative does not require the use of operational appropriations  

–  (cid:59)  The proposal/initiative requires the use of operational appropriations, as explained below: 

Year 2014 

Year 2015 

Year 2016 

Year 2017 

Year 2018 

Year 2019 

Year 2020 

TOTAL 

OUTPUTS 

Commitment appropriations in EUR million (to 3 decimal places) 

Objectives 
and 
outputs 

s
t

u
p
u
o

t

f

s
t

u
p
u
o

t

f

s
t

u
p
u
o

t

f

s
t

u
p
u
o

t

f

s
t

u
p
u
o

t

f

s
t

u
p
u
o

t

f

s
t

u
p
u
o

t

f

o
r
e
b
m
u
Cost   N
SPECIFIC OBJECTIVE No 1 - To consolidate and enhance product safety through an effective market surveillance 

o
Average 
r
e
cost of 
b
m
the 
u
output  N

o
r
e
b
m
u
Cost   N

o
r
e
b
m
u
Cost   N

o
r
e
b
m
u
Cost   N

o
r
e
b
m
u
Cost   N

Type of 
output 

o
r
e
b
m
u
Cost   N

Cost  

Total 
number 
of 
outputs 

Total 
cost 

- Output 

scientific 
advice 

market 
surveillance 
and 
enforcement 
actions 

cosmetics 
portal and 
database 

- Output 

- Output 

0,417 

1

0,393

1

0,400

1

0,409

1

0,417 

1

0,425

1

0,434

1

0,442

7

2,919 

0,564 

7

3,343

7

3,707

7

3,840

7

3,976 

7

4,115

7

4,256

7

4,400

49

27,637 

0,620 

2

1,167

2

1,191

2

1,214

2

1,239 

2

1,264

2

1,289

2

1,315

14

8,678 

Sub-total for specific objective No 
1 

10

4,903

10

5,298

10

5,463

10

5,631  10

5,803

10

5,978

10

6,157

70

39,234 

EN 

44 

EN 

 
  
  
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SPECIFIC OBJECTIVE No 2 - To improve consumers' access to useful information and enhance consumer education, to 
develop the evidence base and to support trusted intermediaries such as consumer organisations 

- Output 

evidence 
base 

1,089 

3

3,078

3

3,139

3

3,202

3

3,266 

3

3,331

3

3,398

3

3,466

21

22,879 

- Output 

- Output 

support to 
consumer 
organisations 
consumer 
information 
consumer 
education 

0,808 

0,290 

3

7

2,282

1,910

3

7

2,327

1,948

3

7

2,374

1,987

3

7

2,421 

2,027 

3

7

2,470

2,068

0,789 
- Output 
Sub-total for specific objective No 
2 
SPECIFIC OBJECTIVE No 3 - To consolidate and further strengthen consumer rights and effective redress 

9,291  15

1,577 

8,755

8,930

9,109

1,486

1,515

1,546

15

15

15

15

2

2

2

2

2

1,608

9,477

3

7

2

2,519

2,109

1,640

3

7

2

2,569

21

16,962 

2,151

49

14,201 

1,673

14

11,045 

15

9,666

15

9,860

105

65,087 

- Output 

preparation 
of legislation 

0,394 

5

1,857

5

1,894

5

1,932

5

1,971 

5

2,010

5

2,050

5

2,091

35

13,806 

coordination 
and 
monitoring of 
ADR 

- Output 
0,310 
Sub-total for specific objective No 
3 

2

7

0,584

2,441

2

7

0,595

2,490

2

7

0,607

2,539

2

7

0,619 

2,590 

2

7

0,632

2,642

2

7

0,644

2,695

2

7

0,657

14

4,339 

2,749

49

18,145 

EN 

45 

EN 

 
  
 
 
 
 
 
 
 
 
 
SPECIFIC OBJECTIVE No 4 - To strengthen the enforcement of consumer rights 

coordination 
of 
enforcement 
actions 

support to 
the 
European 
Consumer 
Centres 

- Output 

- Output 

0,239 

4

0,902

4

0,920

4

0,938

4

0,957 

4

0,976

4

0,996

4

1,016

28

6,706 

3,370 

2

6,346

2

6,473

2

6,602

2

6,734 

2

6,869

2

7,007

2

7,147

14

47,178 

Sub-total for specific objective No 
4 

TOTAL COST 

6

7,248
38 23,347

6

7,393
38 24,111

6

7,541
38 24,652

6

7,692 

7,846
38 25,204  38 25,767

6

6

8,002
38 26,341

6

8,162
38 26,928

42

53,884 
266 176,350 

EN 

46 

EN 

 
  
 
 
 
 
 
3.2.3.  Estimated impact on appropriations of an administrative nature 

3.2.3.1.  Summary  

–  (cid:133)  The  proposal/initiative  does  not 

require 

the  use  of  administrative 

appropriations  

–  (cid:59)  The  proposal/initiative  requires  the  use  of  administrative  appropriations,  as 

explained below: 

EUR million (to 3 decimal places) 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

TOTAL 

1,146 

1,169 

1,192 

1,216 

1,240 

1,265 

1,291 

8,520 

0,228 

0,233 

0,237 

0,242 

0,247 

0,252 

0,257 

1,695 

1,374 

1,401 

1,430 

1,458 

1,487 

1,517 

1,547 

10,215 

NOT APPLICABLE

HEADING 5 
of the multiannual 
financial framework 

Human resources  

Other administrative 
expenditure  

Subtotal HEADING 5 
of the multiannual 
financial framework  

Outside HEADING 529 
of the multiannual 
financial framework  

Human resources  

Other expenditure  
of an administrative 
nature 

Subtotal  
outside HEADING 5 
of the multiannual 
financial framework  

TOTAL 

1,374 

1,401 

1,430 

1,458 

1,487 

1,517 

1,547 

10,215

The  above  figures  and  budget  lines  will  be  adjusted  if  necessary  in  accordance  with  the 
externalisation process envisaged. 

29 

Technical  and/or  administrative  assistance  and  expenditure  in  support  of  the  implementation  of  EU 
programmes and/or actions (former "BA" lines), indirect research, direct research. 

EN 

47 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.2.3.2.  Estimated requirements of human resources  

–  (cid:133)  The proposal/initiative does not require the use of human resources  

–  (cid:59)  The  proposal/initiative  requires  the  use  of  human  resources,  as  explained 

below: 

Estimate to be expressed in full amounts (or at most to one decimal place) 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

(cid:121) Establishment plan posts (officials and temporary agents) 

17 01 01 01 (Headquarters and Commission’s 
Representation Offices) 

6 

6 

6 

6 

6 

6 

6 

XX 01 01 02 (Delegations) 

XX 01 05 01 (Indirect research) 

10 01 05 01 (Direct research) 

(cid:121) External personnel (in Full Time Equivalent unit: FTE)30 

17 01 02 01 (CA, INT, SNE from the "global 
envelope") 

XX 01 02 02 (CA, INT, JED, LA and SNE in 
the delegations) 

XX 01 04 yy 31 

- at Headquarters32 

- in delegations  

XX 01 05 02 (CA, INT, SNE - Indirect 
research) 

10 01 05 02 (CA, INT, SNE - Direct research) 

Other budget lines (specify) 

TOTAL 

6 

6 

6 

6 

6 

6 

6 

12 

12 

12 

12 

12 

12 

12 

The human resources required will be met by staff from the DG who are already assigned to 
management of the action and/or have been redeployed within the DG, together if necessary 
with any additional allocation which may be granted to the managing DG under the annual 
allocation  procedure  and  in  the  light  of  budgetary  constraints.  Naturally,  amounts  and 
imputations  will  be  adjusted  depending  on  the  results  of  the  envisaged  externalisation 
process. 

Description of tasks to be carried out: 

Officials and temporary agents 

Co-ordinate,  draft  and  organise  the  adoption  procedure  for  the  annual  work  programmes  (financing 
decisions), including consultation of a Member States committee 

Follow up / monitor programming and implementation of financial activities according to the 
budgetary and financial rules in force; contribute to activity reports 

30 

31 
32 

CA= Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune Expert en Délégation" (Young 
Experts in Delegations); LA= Local Agent; SNE= Seconded National Expert;  
Under the ceiling for external personnel from operational appropriations (former "BA" lines). 
Essentially  for  Structural  Funds,  European  Agricultural  Fund  for  Rural  Development  (EAFRD)  and 
European Fisheries Fund (EFF). 

EN 

48 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
Prepare and maintain information tools; provide information for internal and external audits 

Establish and verify payments, commitments, and procurement/grant files; ensure they comply with the 
contract terms, and financial rules/regulations 

Assure proper accounting of the financial transactions 

Monitor deadlines of payments in accordance with the financial regulation and rules, as well as work-
flows of individual financial files 

Prepare and provide training to external organisations regarding applications to calls for proposals 

Communicate relevant information to the contractors and beneficiaries throughout the project time 

Launch, manage and monitor calls for proposals / tenders, evaluation and selection of projects 

Follow up the implementation of projects and the performance of project managers and partners, 
monitor contractual obligations 

Monitor deadlines of payments in accordance with the financial regulation and rules as well as work-flows 
of individual financial files 

Verify the respect of the Financial Regulation, Implementing rules, internal rules on budget execution, 
Basic Act, Financing decision and other related rules and budgetary dispositions in the financial 
transactions 

Verify the grant agreement / contract with the selected beneficiary / contractor, and its justification 

Verify that the methodology, including eligibility, selection criteria and award criteria were correctly 
applied in the selection process and that the selection process was carried out in accordance with the 
rules 

Check correctness of commitment processes 

External personnel 

Prepare and maintain information tools; provide information for internal and external audits 

Establish and verify payments, commitments, and procurement/grant files; ensure they comply with 
the contract terms, and financial rules/regulations 

Assure proper accounting of the financial transactions 

Monitor deadlines of payments in accordance with the financial regulation and rules, as well as work-
flows of individual financial files 

Prepare and provide training to external organisations regarding applications to calls for proposals 

Communicate relevant information to the contractors and beneficiaries throughout the project time 

Launch, manage and monitor calls for proposals / tenders, evaluation and selection of projects 

Follow up the implementation of projects and the performance of project managers and partners, 
monitor contractual obligations 

Monitor deadlines of payments in accordance with the financial regulation and rules as well as work-
flows of individual financial files. 

Verify the respect of the Financial Regulation, Implementing rules, internal rules on budget execution, 
Basic Act, Financing decision and other related rules and budgetary dispositions in the financial 
transactions 

Verify the grant agreement / contract with the selected beneficiary / contractor, and its justification 

Verify that the methodology, including eligibility, selection criteria and award criteria were correctly 
applied in the selection process and that the selection process was carried out in accordance with the 
rules 

Check correctness of commitment processes 

EN 

49 

   EN 

 
3.2.4.  Compatibility with the current multiannual financial framework  

–  (cid:59)  Proposal/initiative  is  compatible  with  the  2014  –  2020  multiannual  financial 
framework,  as  proposed  by  the  Commission  in  its  Communication  COM(2011)500  of 
29.06.2011. 

–  (cid:133)  Proposal/initiative  will  entail  reprogramming  of  the  relevant  heading  in  the 

multiannual financial framework. 

Explain  what  reprogramming  is  required,  specifying  the  budget  lines  concerned  and  the  corresponding 
amounts. 

NOT APPLICABLE 

–  (cid:133)  Proposal/initiative requires application of the flexibility instrument or revision of the 

multiannual financial framework33. 

Explain what is required, specifying the headings and budget lines concerned and the corresponding amounts. 

NOT APPLICABLE 

3.2.5.  Third-party contributions  

–  (cid:59) The proposal/initiative does not provide for co-financing by third parties  

–  (cid:133) The proposal/initiative provides for the co-financing estimated below: 

Appropriations in EUR million (to 3 decimal places) 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

Total 

Specify  the  co-financing 
body  

TOTAL appropriations 
cofinanced  

33 

See points 19 and 24 of the Interinstitutional Agreement. 

EN 

50 

   EN 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                 
3.3. 

Estimated impact on revenue  

–  (cid:59)  Proposal/initiative has no financial impact on revenue. 

–  (cid:133)  Proposal/initiative has the following financial impact: 

– 

– 

(cid:133) 

(cid:133) 

on own resources  

on miscellaneous revenue  

Appropriations 
available for the 
ongoing budget 
year 

Budget revenue line: 

Article …………. 

EUR million (to 3 decimal places) 

Impact of the proposal/initiative34 

Year 
2014 

Year 
2015 

Year 
2016 

Year 
2017 

Year 
2018 

Year 
2019 

Year 
2020 

For miscellaneous assigned revenue, specify the budget expenditure line(s) affected. 

NOT APPLICABLE 

Specify the method for calculating the impact on revenue. 

NOT APPLICABLE 

34 

As  regards  traditional  own  resources  (customs  duties,  sugar  levies),  the  amounts  indicated  must  be  net 
amounts, i.e. gross amounts after deduction of 25% for collection costs. 

EN 

51 

   EN