COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS Single Market Act II Together for new growth
Date: 2012-10-03
Institutions: European Commission
Subjects: European political cooperation, common market, economic and social cohesion, economic growth, job creation, single market, social economy

EUROPEAN 
COMMISSION 

Brussels, 3.10.2012  
COM(2012) 573 final 

COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN 
PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL 
COMMITTEE AND THE COMMITTEE OF THE REGIONS 

Single Market Act II 

Together for new growth 

(Text with EEA relevance) 

EN 

   EN 

 
 
 
 
  
 
COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN 
PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL 
COMMITTEE AND THE COMMITTEE OF THE REGIONS 

Single Market Act II 

Together for new growth 

(Text with EEA relevance) 

 
 
Table of Contents 

1. 

INTRODUCTION....................................................................................................... 4 

2.  TOGETHER FOR NEW GROWTH .......................................................................... 5 

2.1.  Developing fully integrated networks in the Single Market ............................. 6 

Rail transport ..................................................................................................... 7 

Maritime transport ............................................................................................. 7 

Air transport....................................................................................................... 8 

Energy 

............................................................................................................. 8 

2.2.  Fostering mobility of citizens and businesses across borders ........................... 9 

Mobility of citizens............................................................................................ 9 

Access to finance............................................................................................. 10 

Business environment...................................................................................... 11 

2.3.  Supporting the digital economy across Europe ............................................... 12 

Services ........................................................................................................... 13 

A digital Single Market ................................................................................... 13 

Electronic invoicing in public procurement .................................................... 14 

2.4.  Strengthening  social  entrepreneurship,  cohesion  and  consumer 

confidence........................................................................................................ 15 

Consumers ....................................................................................................... 15 

Social cohesion and social entrepreneurship................................................... 16 

3.  CONCLUSION ......................................................................................................... 17 

ANNEX I: LIST OF SMA II KEY ACTIONS ................................................................. 18 

ANNEX II: SINGLE MARKET ACT I: STATUS OF ACTIONS .................................. 20 

 
 
 
 
INTRODUCTION 

1. 
This year marks the 20th anniversary of the Single Market. A lot has been achieved: from 
1992 to 2008 the Single Market has generated an extra 2.77 million jobs in the EU and an 
additional  2.13%  in  GDP1.  For  European  consumers  the  Single  Market  means  more 
choice at lower prices - a 70% reduction in mobile phone costs is but one example. For 
citizens, the Single Market has given them the capacity to travel freely, to settle and work 
where they wish. For young people it has opened up the opportunity to study abroad – 
more than 2.5 million students have seized this opportunity in the last 25 years. For the 
23  million  companies  in  the  EU  the  Single  Market  has  opened  access  to  500  million 
consumers.  The  message  is  clear,  the  evidence  is  there:  a  strong,  deep  and  integrated 
Single  Market  creates  growth,  generates  jobs  and  offers  opportunities  for  European 
citizens which were not there 20 years ago. 

The development of the Single Market is a continuous exercise. The Single Market must 
respond to a constantly changing world where social and demographic challenges, new 
technology and imperatives, and pressure on natural resources and climate change must 
be incorporated into policy thinking. 

The  economic  and  financial  crisis  has  generated  additional  challenges  and  has 
emphasised  the  need  for  fundamental  structural  reforms.  With  persistent  high 
unemployment, in particular among young people, and a part of the European population 
living in poverty, the economic crisis is also a social crisis. We need to address this crisis 
with urgency, ambition and resolve. Failure to do so would increase the risk of Europe 
and  its  Member  States  turning  inward  and  could  undermine  the  confidence  in  the 
European project. 

The Single Market is a key tool to achieve our long-term vision of a highly competitive 
social market economy. It enhances Europe's competitiveness in the global market place. 
Consistency and complementarity between internal and external policies will foster trade 
and growth. 

More  than  ever,  we  need  a  Single  Market  that  supports  reforms  for  more  growth  and 
jobs, strengthens the confidence of citizens and businesses and delivers concrete day-to-
day benefits to them. It will require our continuous attention and focus. 
The Single Market Act2 presented by the Commission in April 2011 set out twelve levers 
to  further  develop  the  Single  Market,  reflecting  the  comprehensive  approach  that  both 
Mario  Monti  and  the  European  Parliament  advocated  in  their  respective  reports  on  the 
future  of  the  Single  Market.3  4  It  announced  a  set  of  twelve  key  actions  and  50 
complementary  actions 
joint 
involvement  of  the  European  Parliament,  the  EU  Council,  the  European  Economic  and 
Social Committee, the Committee of the Regions and many stakeholders led to a widely 
shared political vision for the further development of the Single Market and allowed to 
focus political attention. However, progress is needed as a matter of urgency so that the 
twelve priority proposals of the first Single Market Act can be agreed rapidly and where 

to  boost  growth  and  strengthen  confidence.  The 

1 European Commission calculations using the macroeconomic model QUEST II. For more details on the 
model, please consult http://ec.europa.eu/economy_finance/publications/publication1719_en.pdf 
2  European  Commission  Communication:  "Single  Market  Act.  Twelve  levers  to  boost  growth  and 

strengthen confidence. Working together to create new growth", COM(2011) 206 final. 

3  Mario  Monti:  "A  New  Strategy  for  the  Single  Market";  Report  to  the  President  of  the  European 

Commission; 9 May 2010 

4  European  Parliament:  "Delivering  a  single  market  to  consumers  and  citizens"  (Grech  Report);  A7-

0132/2010 

4 

 
                                                 
possible by the end of this year, in line  with the  request by  the  European Council5. To 
date, eleven of the twelve key action proposals have not yet been agreed by the European 
Parliament and Council. 

Given  the  urgency  of  the  crisis,  we  must  act  now  to  prepare  further  steps.  This 
Communication  announces  therefore  a  "Single  Market  Act  II"  with  a  second  set  of 
priority  actions.  These  actions  are  designed  to  generate  real  effects  on  the  ground  and 
make citizens and businesses confident to use the Single Market to their advantage. 

As the current crisis evolves and new challenges emerge, no doubt further actions will be 
necessary  in  future  to  power  the  Single  Market  as  an  engine  for  growth  and  increased 
welfare. 

The success of this endeavour will depend on whether Single Market rules are applied on 
the ground efficiently, in a predictable and reliable manner. To this end, the transposition 
and day-to-day implementation of Single Market rules by authorities in Member States is 
of paramount importance. The Commission will devote all its attention to this challenge 
as  set  out  in  the  June  2012  Communication  on  this  topic6.  It  calls  in  particular  for 
additional efforts in sectors with the largest growth potential, i.e. services and networks. 
It  will  also  improve  the  monitoring  of the  functioning  of  the  Single  Market  by  making 
use of the European semester process. The aim is to enhance peer pressure and present 
actions to fight remaining obstacles, at both European and national level. 

Importantly, for the vision of the Single Market to become a tangible reality for citizens 
and  businesses,  it  will  require  continuous  political  support  from  all  actors.  The  first 
Single Market Act already benefits from a spirit of partnership between the Commission, 
the European Parliament and the Council. The same spirit of partnership will be required 
for the delivery of the Single Market Act II. 

2. 

TOGETHER FOR NEW GROWTH 

Since  the  adoption  of  the  first  Single  Market  Act  in  April  2011,  the  Commission  has 
presented proposals for its twelve key actions and for 36 of its 50 complementary actions 
(see  Annex  II).  This  Communication  builds  upon  the  first  Single  Market  Act  and 
identifies four drivers around which to focus key actions. 

The four drivers for new growth put forward in this Communication are: 

1.  Developing fully integrated networks in the Single Market; 

2.  Fostering mobility of citizens and businesses across borders; 

3.  Supporting the digital economy across Europe; 

4.  Strengthening social entrepreneurship, cohesion and consumer confidence 

Networks  are  the  backbone  of  the  economy  and  the  aim  is  to  achieve  a  Single  Market 
where citizens and businesses benefit from one single transport and energy market. The 
mobility of citizens and businesses across borders is at the heart of the Single Market; we 
must  do  everything  to  encourage  it  further.  The  digital  sector  is  a  main  driver  for  both 
productivity  and  creativity,  and  we  should  strive  for  a  digital  Single  Market  where 
citizens  and  businesses  are  free  to  trade  cross-border  online  without  restrictions.  Social 
entrepreneurship,  cohesion  and  consumer  confidence  ensure  inclusive  growth,  offering 
opportunities based on fair, robust and equitable rules for citizens and businesses. 

5 European Council Conclusions; 23 October 2011; EUCO 52/11 
6 European Commission Communication: "Better Governance for the Single Market", COM(2012) 259. 

5 

 
                                                 
The twelve levers and key actions set out under these four drivers have been identified 
taking into account the views of the European Parliament7, Member States, the European 
Economic  and  Social  Committee8  and  stakeholders.  They  reflect  better  regulation 
principles, the work undertaken in the context of the Cost of Non-Europe Study that is 
being carried out on behalf of the Commission and the 20 main concerns highlighted by 
citizens and businesses9. Moreover, they have to be seen in conjunction with the ongoing 
review  of  Europe  2020  flagship  initiatives,  notably  the  industrial  policy  strategy10,  the 
digital  agenda11,  the  innovation  union  initiative12.  All  twelve  key  actions  will  make  a 
contribution to growth, employment and confidence in the Single Market. They can all be 
delivered within the mandate of this Commission. Not all actions are legislative in nature, 
but they all are expected to have a real impact on the ground13. 

2.1. 

Developing fully integrated networks in the Single Market  

Networks provide services which most citizens and businesses use every day, not least in 
the  areas  of  transport  and  energy.  Yet  it  is  precisely  in  these  two  areas  that  the  Single 
Market is incomplete, despite all progress made. The Commission's vision is of a Single 
Market  for  transport  and  energy  where  consumers,  be  they  citizens  or  businesses,  have 
real  choice  and  operators  are  free  to  offer  their  services  anywhere,  anytime  and  to  any 
customer on an equal basis.  

Efficient,  integrated  and  sustainable  transport  and  energy  infrastructure  networks  are  a 
precondition for this vision to become a reality. As well as promoting the efficient use of 
existing networks, the EU will continue to fund their development through its structural 
and  cohesion  funds  and  its  trans-European  networks.  The  proposals  for  the  EU  budget 
post-2013, and in particular the Connecting Europe Facility, provide important sources of 
investment in transport, energy and digital networks that need to be mobilised so that all 
Member States can fully participate in the Single Market. 

Considerable  progress  has  been  made towards this vision in many transport modes and 
with  the  implementation  of  the  third  energy  package,  leading  to  a  better  choice  of 
services and increased consumer benefit. To contribute to the integration of the European 
internal transport and energy markets, the Commission will continue to pursue vigorous 
enforcement of the competition rules, and in particular the antitrust rules. 

But  more  must  be  done  in  particular  in  rail,  air  and  maritime  transport  as  well  as  in 
electricity  and  gas,  as  European  businesses  and  consumers  still  pay  unnecessarily  high 
prices  stemming  from  inefficient  and  fragmented  transport  and  energy  markets.  The 
Commission has identified four key actions which constitute the next steps towards our 
common vision. The Commission will also continue to reflect on areas where additional 
economic, as well as environmental and social benefits could be reaped, for example in 
road  freight.  Existing  cabotage  restrictions  contribute  to  a  significant  number  of  trucks 

7  European  Parliament  Resolution  of  14  June  2012  on  a  'Single  Market  Act:  The  Next  Steps  to  Growth' 
(2012/2663(RSP)) 
8 Opinion of the European Economic and Social Committee on the Key Actions towards a Single Market 

Act II; CESE 1575/2012 
9  European  Commission: 

lens 
http://ec.europa.eu/internal_market/strategy/docs/20concerns/publication_en.pdf 

Single  Market 

through 

'The 

the 

of 

the 

people;  

10  European  Commission  Communication:  "An  Integrated  Industrial  Policy  for  the  Globalisation  Era"; 

COM(2010)614 

11 European Commission Communication: "A Digital Agenda for Europe"; COM(2010)245 
12 European Commission Communication: "Innovation Union"; COM(2010)546 
13  All  the  actions  proposed  to  be  taken  up  by  the  Commission  in  this  document  are  consistent  and 
compatible  with  the  current  MFF  (2007-2013)  and  the  proposal  for  the  new  Multiannual  Financial 
Framework 2014-2020. 

6 

 
                                                 
running empty, have a negative impact on competitiveness and trade and make it difficult 
to control compliance with basic social standards.  

Rail transport 

Key action 1: 

Open  domestic  rail  passenger  services  to  operators  from  another  Member  State  to 
improve the quality and cost efficiency of rail passenger services. 

In  the  area  of  rail  transport,  operators  from  one  Member  State  are  still  not  allowed  to 
transport passengers on domestic lines within another Member State. At the same time, 
public service contracts can be awarded directly without open procedures. Experience in 
Member  States  which  have  introduced  market  opening  for  domestic  passenger  services 
shows that competition in rail transport led to important efficiency gains, in particular in 
incumbent railway undertakings. This led to substantial savings in public funding for rail 
services under public service contracts, which could reach 20-30%. 

Building  on  these  positive  experiences,  the  Commission  will  table  a  fourth  railway 
package.  By  granting  all  EU  licenced  railway  undertakings  the  right  to  operate  open 
access  domestic  passenger  services  in  the  EU  and  the  right  to  bid  for  public  service 
contracts,  the  package  will  offer  more  competitive  and  efficient  domestic  rail  transport 
services of a better quality and at a lower cost for European citizens. This would attract 
more passengers from other transport modes with positive environmental impacts.  

The  package  will  also  reinforce  the  governance  of  the  infrastructure  management  to 
optimise the use of existing infrastructure with better allocation of capacity, planning of 
maintenance  and  development  works.  This,  together  with  a  new  common  approach  to 
safety  and  interoperability  rules,  will  help  ensure  that  non-discriminatory  access  is 
guaranteed so that a genuine level playing field is in place. 

Maritime transport 

Key action 2: 

Establish  a  true  Single  Market  for  maritime  transport  by  no  longer  subjecting  EU 
goods transported between EU seaports to administrative and customs formalities that 
apply to goods arriving from overseas ports. 

Approximately  40%  of  Single  Market  goods  are  transported  via  short  sea  shipping 
between EU ports14. Today, vessels travelling between EU ports are deemed to have left 
the EU Customs Territory. As a result, under normal procedures, ships delivering cargo 
from one Member State to another must still go through the same complex administrative 
formalities as ships arriving from overseas ports. 

Therefore, even though administrative simplified procedures for maritime transport have 
already  been  introduced  by  EU  legislation,  vessels  travelling  between  EU  ports  still 
encounter a significant number of complex procedures which put intra-EU shipping at a 
disadvantage in comparison to other transport modes. 

In  order  to  establish  a  true  internal  market  for  goods  carried  by  ships,  within  its  wider 
efforts to boost marine and maritime growth15, the Commission will table a "Blue Belt" 
package  with  legislative  and  non-legislative  initiatives  to  reduce  the  administrative 
burden  for  intra-EU  maritime  transport  to  a  level  that  is  comparable  to  that  of  other 

14 Expressed in terms of tonne/km. Estimate based on EUROSTAT data. 
15 European Commission Communication: "Blue Growth opportunities for marine and maritime sustainable 

growth"; COM(2012)494. 

7 

 
 
 
                                                 
transport  modes  (air,  rail,  road).  This  will  be  supported  by  modern  ICT  technologies, 
which permit the reliable tracking of ships and cargo with a sufficient level of certainty 
when shipping operates within the Single Market. 

The  attractiveness  of  maritime  transport  is  dependent,  moreover,  on  the  availability, 
efficiency and reliability of port services. In a globalised world an integrated approach of 
the value chain is required. Hence, the access to ports has to be organised in an integrated 
way.  The  port  authorities  have  a  crucial  role  to  play  in  this  context.  The  availability, 
efficiency and reliability of port services will contribute to enhance the attractiveness of 
maritime  transport.  The  Commission  therefore  also  works  on  enhancing  the  efficiency 
and overall  quality  of  port services, addressing questions of the obligations of Member 
States regarding the sound planning of ports and hinterland connections, transparency of 
public  funding  and  port  charges,  and  administrative  simplification  efforts  in  ports,  and 
reviewing restrictions on the provision of services at ports. 

Air transport 

Key action 3: 

Accelerate the implementation of the Single European Sky to improve safety, capacity, 
efficiency and the environmental impact of aviation.  

The  absence  of  a  single  integrated  European  airspace  management  has  significant 
negative repercussions on airspace users. It results in aircraft flying unnecessary detours 
rather than direct routes and suffering from air traffic delays, which produces significant 
economic and environmental damage. The fragmentation of the European airspace causes 
high  additional  costs  to  airlines  estimated  at  around  €5  billion  a  year 16.  These  are 
ultimately  borne  by  air  passengers  and  the  European  economy.  Due  to  the  continuing 
growth of air traffic, the existing air traffic management system is no longer sustainable 
for reasons of safety, capacity and cost. 

Accelerating the implementation of the Single European Sky through a new package of 
actions,  including  legislative  actions  (such  as  on  clarifying  the  institutional  setup, 
reinforcing  market  principles  for  the  provision  of  air  navigation  services,  accelerating 
SESAR deployment,  redefining the performance scheme and providing the Commission 
with clear enforcement tools, in particular with regard to functional airspace blocks), will 
address  the  persisting  barriers  and  will  bring  about  large  gains  in  performance  and 
efficiency. It will further improve the safety of aviation in Europe, reduce transport costs 
for  citizens  and  businesses  and  lower  greenhouse  gas  emissions  from  individual  flights 
through more direct routing. 

Energy 

Key action 4: 

Improve  the  implementation  and  enforcement  of  the  third  energy  package  and  make 
cross-border markets that benefit consumers a reality. 

An  integrated  energy  market  contributes  to  lower  energy  prices  and  facilitates 
investments. It has been estimated that consumers throughout the EU could save up to € 
13  billion  per  year  if  they  all  switched  to  the  cheapest  electricity  tariff  available17.  An 

16 Based on estimates documented in reports by the Performance Review Body of the Single European Sky 

and the Performance Review Commission. 

17  Study  on 

the 

functioning  of 

the 

retail  electricity  markets 

for  consumers 

in 

the  EU; 

http://ec.europa.eu/consumers/consumer_research/market_studies/ 
retail_energy_market_study_en.htm 

8 

 
 
 
                                                 
integrated  energy  market  also  delivers  more  secure  energy  to  the  EU  than  27  smaller 
scale  energy  markets  could  and  facilitates  the  transition  towards  low-carbon  energy 
systems at the lowest possible cost. 

Energy must be able to flow to where it is needed, without physical barriers at national 
borders. Despite the adoption of the third energy package, no fully integrated European 
internal  energy  market  has  yet  been  achieved  to  the  detriment  of  all  energy  users 
including  private  households.  To  achieve  the  agreed  objective  of  a  completed  internal 
energy market by 2014, the rules in place should be implemented ambitiously in Member 
States  and  enforced  by  strong  and  independent  national  and  EU  authorities.  Moreover, 
major investments in our energy systems are needed this decade to modernise the EU's 
networks, decarbonise systems and make them energy-efficient.18 

The  Commission  will  soon  present  a  Communication  to  take  stock  of  progress  made 
towards  the  completion  of  the  internal  energy  market  and  to  propose  actions  that  can 
ensure  that  the  EU  energy  market  fulfils  its  potential  and  satisfies  the  needs  and 
expectations of EU citizens and businesses. 

2.2. 

Fostering mobility of citizens and businesses across borders 

The  mobility  of  citizens  and  businesses  is  at  the  heart  of  European  integration  and  the 
Single  Market.  The  Commission  will  continue  to  work  towards  its  vision  of  a  Single 
Market where citizens, workers and businesses are free to move cross-border whenever 
and  wherever  they  want  to  and  without  unjustified  restrictions  imposed  by  divergent 
national rules and regulations. Mobility is a precondition for the Single Market to deliver 
on its potential, be it social, cultural, political or economic.  

The price of low mobility is high. Despite the fact that unfilled job vacancies have been 
rising since mid-2009, unemployment is at record levels in many Member States. At the 
same time, the cross-border mobility of businesses is hampered by difficulties to finance 
new  business  projects  and  by  administrative  burden.  While  the  EU's  better  regulation 
agenda has led to an improvement of the business environment, a constant focus on the 
reduction  of  unnecessary  regulatory  and  administrative  burden  must  be  maintained. 
Important next steps towards our common vision are therefore to match labour demand 
and  supply  cross-border,  improve  the  access  to  finance  and  advance  the  business 
environment in Europe. 

Mobility of citizens 

Key action 5: 

Develop the EURES portal into a true European job placement and recruitment tool.  

The EU has taken important measures to facilitate the mobility of citizens. EU legislation 
allows for the export of their statutory social security rights to the Member State where 
they  seek  work.  It  provides  for  the  recognition  of  their  professional  qualifications 
acquired  in  another  Member  State.  The  EURES  network  and  its  portal  links  national 
public  employment  services  and  offers  information  and  advice  on  job  vacancies  and 
working conditions in other Member States. 

However, tools and measures to match job offers and jobseekers across Member States 
can be improved further to contribute to a true European labour market. To this end, the 
Commission will transform EURES into a more effective tool for intra-EU recruitment, 

18 Europe's energy system requires investments of ca. EUR 1 trillion by 2020 of which EUR 200 billion is 
alone; 

needed 
electricity 
http://ec.europa.eu/energy/publications/doc/2011_energy2020_en.pdf 

networks 

and 

gas 

for 

9 

 
 
                                                 
placement  and  job  matching.  Together  with  online  instruments  increasing  transparency 
and  interoperability  of  skills  and  qualifications,  such  as  Europass  and  the  European 
Qualification Framework, the availability of more services through EURES will further 
facilitate  the  cross-border  mobility  of  workers.  This  will  help  reduce  the  mismatch  of 
labour  with  positive  effects  on  employment  levels  and  economic  output.  The 
Commission  will  assess  the  possibility  for  EURES  to  also  cover  apprenticeships  and 
traineeships. 

More should also be done to enhance mobility for third-country nationals working in the 
EU, notably through the swift adoption by Council and Parliament of the intra-corporate 
transfer (ICT) and seasonal workers proposals. 

The portability of supplementary social security rights, including pensions, constitutes an 
additional  important  determinant  for  workers'  mobility  between  Member  States.  As 
already highlighted in the Single Market Act of April 2011, to facilitate mobility, citizens 
must be able to establish and keep their occupational pension rights when they move to 
another  Member  State.  The  Commission  welcomes  that  the  Council  has  agreed  to  re-
commence  negotiations  on  the  amended  Commission  legislative  proposal  from  2007 
towards this aim. 

Access to finance 

Key action 6: 

Boost  long-term  investment  in  the  real  economy  by  facilitating  access  to  long-term 
investment funds. 

For  many  companies  in  the  EU,  access  to  finance  has  become  markedly  more  difficult 
with  the  financial  crisis  although  a  credit  crunch  has  been  averted,  also  due  to  the 
exceptional  liquidity  provision  by  the  Eurosystem  at  the  end  of  2011.  Financing 
conditions  remain  tight  especially  for  start-ups  and  SMEs  and  in  countries  whose 
economies have been hit most severely by the crisis. A 45% drop in venture capital fund-
raising following the crisis is significantly limiting the funding available for innovative 
companies19.  

Smart, sustainable and inclusive growth critically depends on the availability of finance 
over an extended time horizon. Action has already been taken at EU level to foster long-
term  investment  in  the  real  economy,  notably  the  provision  of  financing  through  EU 
financial  instruments20  and  the  European  Investment  Bank21,  the  Europe  2020  Project 
Bond Initiative22 and the Commission action plan to improve access to finance for SMEs, 
combining financial and regulatory measures. As a contribution to the discussions in the 
European  Council  on  growth  and  jobs,  the  Commission  undertook  a  targeted 
reprogramming  exercise  with  Member  States  to  use  structural  funds  for  improving  the 
access of SMEs to finance, which is also a key element for the next financing period. The 
Commission  additionally  announced  a  review  of  the  impact  of  new  bank  capital 

19  Report  of  the  Chairman  of  the  expert  group  on  the  cross  border  matching  of  innovative  firms  with 
investors;  European  Commission  2012;  http://ec.europa.eu/transparency/regexpert/ 

suitable 
index.cfm?do=groupDetail.groupDetailDoc&id=6008&no=1 

20 In particular under cohesion policy. 
21  Since  the  beginning  of  the  financial  crisis  in  2008,  the  European  Investment  Bank  has  provided  €  40 
billion of financing to more than 210,000 SMEs. European Commission Communication: "An action 
plan to improve access to finance for SMEs"; COM(2011)870final. 

22  The  aim  of  the  Europe  2020  Project  Bond  Initiative  is  to  attract  institutional  investors  to  the  capital 
market financing of infrastructure projects. In July 2012, the EU launched a pilot phase of the EU-EIB 
Project Bond Initiative. 

10 

 
 
                                                 
requirements resulting from the implementation of the new Basel III standards in certain 
key areas, such as SME financing. 

However,  this  type  of  'long-term  investment'  in  the  real  economy  remains  constrained. 
Concrete  policy  options  to  address  this  issue  will  be  assessed  in  the  context  of  the 
forthcoming  Green  Paper  on  financing  long-term  investment  in  the  EU  economy.  In 
addition, the Commission will make proposals on possible forms of long-term investment 
funds.  Investment  funds  can  open  new  sources  of  financing  to  long  term  projects  and 
private companies. They can constitute an attractive offer to retail investors who seek to 
invest long-term, diversify risk and prefer stable and steady returns with lower volatility, 
as long as the necessary degree of investor protection is ensured. 

Venture  capital  is  a  vital  complement  to  bank  financing  when  it  comes  to  providing 
financing to small companies with growth potential. Under the SMA I, the Commission 
proposed a Regulation to facilitate the raising of capital and its investment cross-border 
by  venture  capital  funds.  To  this  end,  in  2012  the  Commission  will  complete  its 
examination of possible tax obstacles to cross-border venture capital investment, on the 
basis  of  which  it  will  consider  next  steps  with  a  view  to  presenting  solutions  in  2013, 
while at the same time preventing tax avoidance and evasion.23 

Business environment 

Key action 7: 

Modernise  EU  insolvency  rules  to  facilitate  the  survival  of  businesses  and  present  a 
second chance for entrepreneurs. 

Businesses  operating  in  Europe  benefit  from  an  overall  positive  business  environment, 
which the EU is further improving through its better regulation agenda. But more can be 
done.  Europe  needs  modern  insolvency  laws  that  help  basically  sound  companies  to 
survive, encourage entrepreneurs to take reasonable risks and permit creditors to lend on 
more  favourable  terms.  A  modern  insolvency  law  allows  entrepreneurs  to  get  a  second 
chance and ensures speedy procedures of high quality in the interest of both debtors and 
creditors. We thus need to establish conditions for the EU wide recognition of national 
insolvency  and  debt-discharge  schemes,  which  enable  financially  distressed  enterprises 
to become again competitive participants in the economy. We need to ensure simple and 
efficient insolvency proceedings, whenever there are assets or debts in several Member 
States. Rules are needed for the insolvency of groups of companies that maximise their 
chances  of  survival.  To  this  end,  the  Commission  will  table  a  legislative  proposal 
modernising the European Insolvency Regulation. 

However,  we  need  to  go  further.  At  present,  there  is  in  many  Member  States  little 
tolerance for failure and current rules do not allow honest innovators to fail 'quickly and 
cheaply'. We need to set up the route towards measures and incentives for Member States 
to take away the stigma of failure associated with insolvency and to reduce overly long 
debt  discharge  periods.  We  also  need  to  consider  how  the  efficiency  of  national 
insolvency laws can be further improved with a view to creating a level playing field for 
companies, entrepreneurs and private persons within the internal market. To this end, the 
Commission  will  table  a  Communication  together  with  the  revision  of  the  European 
Insolvency Regulation. 

23 

The 

launched 
http://ec.europa.eu/taxation_customs/common/consultations/tax/2012_venture_capital_en.htm 

consultation. 

Commission 

public 

has 

a 

See: 

11 

 
 
                                                 
Additional  actions  are  needed  to  further  improve  the  business  environment.  Diverging 
national  tax  systems  cause  considerable  administrative  burden  to  companies  operating 
across  EU  borders.  The  fact  that  each  Member  State  applies  different  VAT  rules  and 
procedures  causes  particular  problems24,  not  least  for  SMEs  that  wish  to  operate  in 
another Member State. The Commission has therefore announced that it will propose to 
introduce  standard  VAT  declarations  to  allow  businesses  on  an  optional  basis  to 
complete a standard VAT declaration rather than a different VAT form in every Member 
State.25 

Economic  growth  is  increasingly  driven  by  investments  in  intangible  assets,  such  as 
R&D, patents and know-how. This requires improving the business environment to make 
sure  it  efficiently  promotes  and  protects  creativity  and  innovation.  Further  to  the 
agreement reached at the June European Council, the adoption of legislation on unitary 
patent protection in the EU accompanied by a single specialised jurisdiction, a key action 
under the Single Market Act of April 2011, would be a fundamental step in that direction. 
It should allow the first registration of unitary effect of a European patent by spring 2014, 
reducing the costs of patenting across the European Union and those associated to patent 
litigation. In order to encourage investment in intangible assets on the one hand, and to 
help innovative companies turn their R&D efforts into competitive gains on the other, the 
Commission  services  will  examine  the  issue  of  valuation  methods  for  intellectual 
property  and  will  consider  addressing  the  very  fragmented  legal  framework  for  trade 
secret protection with a view to making it safer and less costly for business and research 
bodies to license, transfer and share valuable knowledge and information throughout the 
internal market. 

2.3. 

Supporting the digital economy across Europe 

The  digital  economy  is  changing  the  Single  Market  profoundly.  With  its  innovation, 
speed and reach across borders it has the potential to take Single Market integration to a 
new  level.  The  Commission's  vision  is  a  digital  economy  that  delivers  sustainable 
economic  and  social  benefits  based  on  modern  online  services  and  fast  internet 
connections.  All  citizens  and  businesses  must  have  the  opportunity  to  be  part  of  the 
digital economy, while at the same time being protected from illicit trade. In some key 
economies,  the  internet  economy  already  accounted  for  21%  of  GDP  growth  in  the 
period  2006-201126.  The  digital  economy  has  strong  additional  spill-over  effects, 
improving  productivity  and  providing  new  solutions  to  societal  challenges  like 
demographic ageing, inclusion and education. 

Additional efforts are needed to achieve quickly the objectives set in the Digital Agenda 
for Europe27 and the Communication on e-Commerce and Online Services28. Progress in 
tackling the fragmentation of online services along national borders, addressing the high-
speed  network  investment  challenge  and  reaping  the  benefits  of  paperless  public 
administration are important next steps. 

EU 

Plans 

Sectoral  Reduction 

24  European  Commission  Communication:  "Action  Programme  for  Reducing  Administrative  Burdens  in 
2009  Actions",  COM(2009) 
the 
and: 
http://ec.europa.eu/enterprise/policies/better-regulation/documents/ab_studies_2009_en.htm. 
25 European Commission Communication: "On the future of VAT"; COM(2011)851 
26 McKinsey Global Institute, "Internet matters, the net's sweeping impact on growth, jobs and prosperity", 
May 2011. 
27 European Commission Communication: "A Digital Agenda for Europe", COM(2010) 245 final. 
28 European Commission Communication: "A coherent framework for building trust in the Digital Single 
Market for e-commerce and online services", COM(2011) 942. 

544, 

and 

12 

 
                                                 
Services 

Key action 8: 

Support online services by making payment services in the EU more efficient. 

Within the services sector, online services offer particular opportunities. Realising these 
gains  will  require  the  right  framework  conditions,  particularly  cross-border.  As  already 
highlighted  in  the  Single  Market  Act  of  April  2011,  payment  services  and  delivery 
services for goods ordered online require particular attention. With 35% of internet users 
not buying online because they have doubts over payment methods and with remaining 
barriers to market entry29, the improvement of the payments market is a first priority. A 
number  of  issues  need  to  be  addressed,  such  as  insufficient  harmonisation,  ineffective 
competition in some areas of the card and internet payments and lack of incentives for 
technical standardisation, for example in the area of mobile payments. The Commission 
will therefore propose a revision of the Payment Services Directive. It will also make a 
legislative proposal on multi-lateral interchange fees for card payments. 

Efficient,  reliable  and  affordable  parcel  delivery  services  for  goods  ordered  online 
constitutes an additional priority and the Commission will take decisions on next steps in 
2013, following a public consultation.  

As announced in the Single Market Act of April 2011, to reap the growth potential of the 
Services Directive by 2015 the Commission presented an action plan in June this year30. 
Member  States  and  the  Commission  must  work  together  to  implement  its  actions 
immediately, as called for by the European Council. They should give particular attention 
to  full  compliance  with  the  Services  Directive  and  maximising  its  economic  effect,  the 
planned Charter for fully electronic Points of Single Contact and the mutual evaluation of 
rules governing regulated professions. They should also ensure the full application of the 
'non-discrimination' clause of the Services Directive, whereby service providers may not 
differentiate  between  their  customers  on  the  basis  of  their  nationality  or  place  of 
residence unless objectively justified. 

In the context of its forthcoming European Retail Action Plan, the Commission will step 
up its work to identify and combat unfair trading practices, in line with its commitment in 
the Single Market Act in April 2011. Such practices are particularly detrimental to SMEs. 
In the absence of satisfactory progress to eliminate unfair trading practices, including in 
the  context  of  the  High  Level  Forum  for  a  Better  Functioning  Food  Supply  Chain,  the 
Commission will consider appropriate next steps in 2013. 

A digital Single Market 

Key action 9: 

Reduce 
communication infrastructure. 

the  cost  and 

increase  efficiency 

in 

the  deployment  of  high  speed 

Access  to  high-speed  broadband  is  a  crucial  factor  for  innovation,  competitiveness  and 
employment. A 10% increase in broadband penetration can result in a 1-1.5% increase in 
GDP annually31 and 1.5% labour productivity gains32. Broadband-induced innovation in 

29 Eurostat Community Survey on ICT usage by Households and Individuals (2009). 
30 Full application by all Member States would generate economic growth of 2.6% of EU GDP. European 
Commission  Communication:  "A  partnership  for  new  growth  in  services  2012-2015",  COM(2012)  261. 
The Commission will report on progress with the implementation of the Services Directive in the context 
of its 2013 Annual Growth Survey. 
31  Czernich,  N.,  Falck,  O.,  Kretschmer,  T.,  and  Woessman,  L.  (2009)  Broadband  infrastructure  and 

economic growth (CESinfo Working Paper no. 2861 

13 

 
 
 
                                                 
companies creates employment and has the potential to generate 2 million extra jobs by 
202033. 

Yet  despite  progress  made,  the  EU  is  still  suffering  from  underinvestment  in  the 
deployment of high-speed broadband networks across the Single Market and is far from 
achieving the Digital Agenda high-speed Internet targets34. The Single Market can help 
to  accelerate  progress  substantially  by  addressing  a  key  underlying  cause  of  this 
investment 'latency', i.e. unnecessarily high civil engineering costs which can make up to 
80%  of  total  costs  in  this  field  and  could  be  reduced  by  up  to  one  quarter  simply  by 
cross-utility  re-use  of  existing  infrastructure35.  The  Commission  will  propose  common 
rules  which  would  enable  operators  to  exploit  fully  the  cost-reduction  potential  in 
employing broadband. 

The  rapid  adoption  by  the  European  Parliament  and  the  Council  of  the  Commission 
proposal for a Connecting Europe Facility would help the efficient roll-out of high-speed 
broadband  and  digital  service  infrastructures  by  using  the  EU  budget  efficiently  to 
leverage private investment in a key sector of the economy. 

To reach our vision of the digital Single Market, the EU must address swiftly a number 
of further issues, including the best use of spectrum in the Single Market and pursuing a 
reflection on the need to further adapt the EU telecommunications law and copyright law. 
The Commission plans to take the latter issue forward, starting with the follow-up to the 
Green Paper on the online distribution of audiovisual works and the rapid conclusion of 
the review of the 2001 Copyright Directive. 

Electronic invoicing in public procurement 

Key action 10: 

Make electronic invoicing the standard invoicing mode for public procurement. 

A  shift  towards  paperless  public  administration,  particularly  in  its  cross-border 
dimension, should be a mid-term objective for the European Union and Member States. 
The  Digital  Agenda  for  Europe36  includes  a  call  to  increase  the  use  of  eGovernment 
services  by  50%  of  EU  citizens  and  80%  of  EU  businesses  by  2015.  A  particularly 
promising  area  is  e-invoicing,  which  the  Commission  has  called  for  to  become  the 
predominant invoicing mode in the EU by 2020 37. 

The introduction of legislative measures making e-invoicing a standard practice in public 
procurement will make the public sector a 'lead market' for e-invoicing and spearhead its 
wider use in the economy. Action in this area will make post-award procedures in public 
procurement  more  efficient  and  cheaper  for  the  parties  involved  as  well  as  for  the 
taxpayer.  It  will  also  contribute  to  reducing  delays  in  payments  from  public 
administrations. In the case of the public sector, a preliminary estimate indicates that in 

32 

Booz 

(2012)  Maximising 
http://www.booz.com/media/uploads/BoozCo_Maximizing-the-Impact-of-Digitization.pdf 

Company 

impact 

the 

of 

& 

Digitalisation 

33 Commission estimate based on national studies (Liebenau, J., Atkinson, R., Karrberg, P., Castro, D. and 
Ezell, S., 2009, The UK Digital Road to Recovery; Katz R.L. et al , 2009, The Impact of Broadband on 
Jobs and the German Economy) 

34 European Commission Communication: "A Digital Agenda for Europe", COM(2010) 245. 
35 Analysys Mason (2008), The costs of deploying fibre-based next-generation broadband infrastructuret 
36 European Commission Communication: "A Digital Agenda for Europe", COM(2010) 245. 
37  European  Commission  Communication:  "Reaping 
COM(2010)712 

the  benefits  of  e-invoicing  for  Europe", 

14 

 
 
                                                                                                                                                 
the  next  few  years,  savings  of  approximately  €1  billion  per  year   could  potentially  be 
achieved if all invoices were submitted in electronic format38.  

In addition, action is necessary to avoid the further fragmentation of the Single Market, 
due to the on-going establishment of national e-invoicing systems operating on the basis 
of  different,  often  national,  standards.  This  increases  complexity  and  costs  for  firms 
entering  into  cross-border  contracts  with  public  authorities  across  the  EU.  The 
Commission will therefore propose concrete actions to achieve these objectives in 2013. 

The transition towards e-invoicing in public procurement will complement the on-going 
modernisation  of  EU  public  procurement  rules39,  a  key  action  under  the  Single  Market 
Act of April 2011. Public authorities that already rely on electronic means for procuring 
goods,  services  and  works  report  savings  between  5%  and  20%.  Rolling  out  e-
procurement  EU-wide  could  save  public  budgets  in  the  EU  at  least  100  billion  Euro 
annually40. With this in mind, the Commission proposed the full transition to pre-award 
e-procurement by mid-201641. Council and Parliament should adopt the proposal without 
delay. 

2.4. 

Strengthening social entrepreneurship, cohesion and consumer confidence 

With the economic crisis hitting the most vulnerable parts of our societies and territories 
hardest, it is the vision of the Commission that Single Market policies deliver inclusive 
growth  without  discrimination,  allow  for  economic  and  social  participation  and  spur 
territorial  cohesion.  The  average  unemployment  rate  in  the  EU  stood  at  10.4%  in  July 
201242  and  approximately  81  million  European  citizens  are  at  risk  of  poverty43, 
highlighting  the  urgency  to  act.  Single  Market  policies  must  help  address  the  roots  of 
exclusion in our societies. 

The  social  economy  and  social  enterprises  are  key  actors  delivering  social  innovation, 
inclusiveness  and  trust.  Harnessing  confidence  in  the  Single  Market  and  strengthening 
the social market economy demands highly responsible and innovative companies which 
can make a positive impact on society and the environment. Confidence is also important 
for consumers to make full use of the Single Market and feel safe to consume goods and 
services they purchase domestically or from another Member State. 

Consumers 

Key action 11: 

Improve  the  safety  of  products  circulating  in  the  EU  through  better  coherence  and 
enforcement of product safety and market surveillance rules. 

The  EU  has  a  fast,  efficient  and  reliable  network  in  place  to  ensure  compliance  with 
safety rules. However, the coherence and enforcement of the existing mechanisms can be 
improved  further.  In  a  Single  Market  in  which  products  circulate  freely  across  27 
national  territories,  market  surveillance  needs  to  be  highly  coordinated  to  permit  quick 
intervention  across  a  large  area.  Market  surveillance  should  enable  unsafe  or  otherwise 

38  This  figure  is  based  on  the  Commission's  own  estimates  based  on  publicly  available  data.  The  actual 
impact of a Commission initiative in this area might differ from this figure. 
39  Proposal  for  a  Directive  of  the  European  Parliament  and  of  the  Council  on  public  procurement, 
COM/2011/896  final,  and  Proposal  for  a  Directive  of  the  European  Parliament  and  of  the  Council  on 
procurement by entities operating in the water, energy, transport and postal services sectors, COM(2011) 
895 final, a key action of the Single Market Act I. 
40 European Commission Communication: "A strategy for e-procurement" COM(2012)179 final 
41 European Commission Communication: "A strategy for e-procurement" COM(2012)179 final 
42 Eurostat 
43Eurostat EU-SILC, reference year 2010 

15 

 
 
                                                 
harmful  products  to  be  identified  and  kept  or  taken  off  the  market  and  dishonest  and 
criminal operators to be punished. It should also act as a powerful deterrent. 

The Commission will propose a package of legislative and non-legislative measures that 
will provide consumers with a more homogenous Single Market for safe and compliant 
products and better protection of health, safety and the environment. It will equally lower 
compliance  costs  for  businesses  and  help  eliminate  unfair  competition  from  rogue 
operators,  in  particular  through  better  coordination  of  product  safety  checks  at  the  EU 
external border. 

Also,  consumers  demand  an  increasing  amount  of  information  on  the  goods  they 
purchase.  Transparency  and  comparability  of  information  are  key  to  permitting 
consumers to make intelligent choices. As announced in the Single Market Act of April 
2011,  the  Commission  will  propose  a  methodology  to  calculate  the  environmental 
(including greenhouse gas emissions) impact of products and how this could be presented 
to consumers. 

Social cohesion and social entrepreneurship 

Key action 12: 

Give all EU citizens access to a basic payment account, ensure bank account fees are 
transparent and comparable, and make switching bank accounts easier.  

Access  to  payment  accounts  and  other  banking  services  have  become  essential  for 
participation in economic and social life, but discrimination, for instance on grounds of 
residence, nationality or low level of resources, does still occur. Thanks to the range of 
services  attached  to  it,  a  payment  account  plays  an  important  role  in  the  integration  of 
citizens  into  the  wider  social  and  economic  community.  There  is  therefore  a  need  to 
assist  citizens  who  may  experience  difficulties  in  opening  a  bank  account  to  facilitate 
social  and  territorial  cohesion  and  mobility.  Further,  evidence  of  persistent  problems 
regarding the clarity of bank fee information makes it difficult for EU citizens to make 
informed  choices.  As  a  result,  consumers  tend  to  refrain  from  switching  accounts  as 
offers  are  difficult  to  compare.  The  Commission  will  make  legislative  proposals  to 
address these issues. 
In its Social Business Initiative of October 201144 the Commission set out an action plan 
to  strengthen  the  role  of  social  businesses  in  the  Single  Market,  as  announced  in  the 
Single Market Act of April 2011. The action plan is currently being implemented in close 
connection with the  expert group  on social business and relevant stakeholders. In early 
2014 the Commission will take stock of progress made and discuss what more needs to 
be  done  to  promote  social  entrepreneurship.  The  Commission  launched  the  Diogo 
Vasconcelos Social Innovation Prize on 1 October 2012. 

In  the  area  of  social  entrepreneurship,  the  most  pressing  issue  at  present  is  to  develop 
tools to enhance trust in, and visibility of, social enterprises. New tools need to be agreed 
to  demonstrate  to  consumers,  bankers,  investors  and  public  authorities  the  positive 
returns  of  social  enterprises.  The  Commission  will  develop  a  methodology  to  measure 
the socio-economic benefits created by social enterprises. The development of rigorous 
and systematic measurements of social enterprises' impact on the community, while not 
smothering them in red-tape, is essential to demonstrate that the money invested in social 
enterprises yields high savings and income (e.g. taxes or jobs created). Methodologies to 
measure  social  impacts  will,  among  others,  be  required  for  the  implementation  of  the 
European  Social  Entrepreneurship  Funds  proposal  or  for  the  financial  instrument  on 

44 European Commission Communication: "Social Business Initiative", COM(2011) 682. 

16 

 
 
                                                 
social entrepreneurship support under the Programme for Social Change and Innovation, 
currently being negotiated by the European Parliament and Council. 

Given that a proactive involvement of workers in their companies has a strong impact on 
their societal responsibility and productivity, the Commission will also focus its attention 
on the issue of co-operatives and employee share-ownership. 

Finally,  disability,  including  disability  associated  with  ageing,  should  not  prevent 
individuals  and  groups  from  benefiting  from  the  Single  Market.  The  Commission  is 
currently  working  on  an  initiative  to  enhance  the  access  of  people  with  disabilities  to 
goods and services within the Single Market. 

3. 

CONCLUSION 

The  Single  Market  Act  II  sets  out  twelve  immediate  priorities,  which  the  Commission 
will focus on to support growth, employment and confidence in the Single Market. They 
constitute  the  next  steps  towards  our  vision  of  a  highly  competitive  social  market 
economy. We need to act jointly, in particular among the European institutions and with 
Member States, to put them into practice as soon as possible. The Commission commits 
to deliver all key legislative proposals by spring 2013 and all key non-legislative actions 
by the end of that year at the latest. The Commission calls on the European Parliament 
and the Council to fast-track all key legislative actions and adopt them as a priority by 
spring 2014. 

If implemented swiftly, the Single Market Act II, together with the delivery of the Single 
Market Act I, will open new paths towards growth, employment and social cohesion for 
500  million  Europeans.  It  will  show  the  determination  of  Europe  to  create  new  growth 
through  a  common  agenda  to  exit  the  crisis.  Together  we  need  to  act  quickly  and  with 
ambition. We have no time to lose. 

17 

 
 
 
ANNEX I: LIST OF SMA II KEY ACTIONS 

Lever 

Key Action 

Proposal 
Commission 

by 

the 

Developing fully integrated networks in the Single Market 

1 

Rail transport 

Adopt  a  fourth  railway  package  to 
improve the quality and cost efficiency 
of rail passenger services 

Legislative  proposal  to 
in  Q4 
be  presented 
2012 

2  Maritime 
transport 

Adopt  the  "Blue  Belt"  package  to 
establish  a  true  Single  Market  for 
maritime transport 

3  Air transport 

Accelerate  the  implementation  of  the 
Single  European  Sky  through  a  new 
package of actions 

4 

Energy 

Implement  an  action  plan  to  improve 
the  implementation  and  enforcement 
of the third energy package 

Fostering mobility of citizens and businesses across borders 

5  Mobility of 
citizens 

Develop the EURES portal into a true 
European  placement  and  recruitment 
tool 

Package  of  legislative 
non-legislative 
and 
measures 
be 
to 
presented in Q2 2013 

Action 
plan  with 
legislative  measures  to 
be  presented 
in  Q2 
2013 

Action  plan 
presented in Q4 2012 

to  be 

taken 

Legislative  Decision  to 
by 
be 
the 
Commission 
in  Q4 
2012 

6  Access to 

finance 

Boost long-term investment in the real 
economy  by 
to 
long-term investment funds 

facilitating  access 

Legislative  proposal  to 
be  presented 
in  Q2 
2013 

7 

Business 
environment 

Modernise  EU  insolvency  rules  to 
facilitate  the  survival  of  businesses 
and  present  a  second  chance  for 
entrepreneurs 

Legislative 
proposal 
and  Communication  to 
be  presented 
in  Q4 
2012 

Supporting the digital economy across Europe 

8 

Services 

Revise the Payment Services Directive 
and  make  a  proposal  for  multilateral 
interchange  fees  to  make  payment 
services in the EU more efficient 

Legislative  proposal  to 
be  presented 
in  Q2 
2013 

9  Digital Single 
Market 

Adopt  common  rules  to  reduce  cost 
the 
and 
deployment of high speed broadband 

efficiency 

increase 

in 

Legislative  proposal  to 
in  Q1 
be  presented 
2013 

18 

 
 
 
10  Public 

procurement & 
electronic 
invoicing 

Adopt  legislation  making  electronic 
invoicing the standard invoicing mode 
for public procurement 

Legislative  proposal  to 
in  Q2 
be  presented 
2013 

Strengthening social entrepreneurship, cohesion and consumer confidence 

11  Consumers 

12  Social cohesion 
and social 
entrepreneurship 

the 
Improve 
safety  of  products 
circulating 
in 
through  a 
the  EU 
Safety 
revised  General  Product 
Directive, a new single Regulation on 
Market  Surveillance  and  a  flanking 
action plan 

Adopt a legislative initiative to give all 
EU citizens access to a basic payment 
account, ensure bank account fees are 
transparent and comparable and make 
switching bank accounts easier 

Package  of  legislative 
non-legislative 
and 
be 
to 
measures 
presented in Q4 2012 

Legislative  proposal  to 
be  presented 
in  Q4 
2012 

19 

 
 
ANNEX II: SINGLE MARKET ACT I: STATUS OF ACTIONS 

Lever 

Action 

Deliverable OR Result / Status 

Access to 
finance for 
SMEs 

KEY ACTION 
Introduce legislation on venture 
capital funds 
Adopt Action Plan on SMEs 
Access to Finance 

Revise Transparency Directive 

European Commission presented 
legislative proposal on 7 December 2011. 

European Commission adopted Action 
Plan on 7 December 2011. 

Commission 
European 
legislative proposal on 25 October 2011. 

presented 

Revise Regulation implementing 
Prospectus Directive 

Revise Market Abuse Directive 

Revise MiFID Directive 

European 
legislative proposal on 30 March 2012. 

Commission 

presented 

European 
Commission 
legislative proposal on 20 October 2011. 

presented 

European 
Commission 
legislative proposal on 20 October 2011. 

presented 

Mobility 
citizens 

for 

KEY ACTION 
Revise system for the 
recognition of professional 
qualifications 
Publish White Paper on Pensions 

Adopt legislation on 
complementary pension rights 
(portability) 
Revise IORPs Directive 

Create European Skills Passport 

European Commission presented 
legislative proposal on 19 December 
2011. 

European Commission published White 
Paper on 16 February 2012. 
European Commission presented 
legislative proposal on 9 October 2007. 

European Commission preparing 
legislative proposal. 

European Commission preparing 
Passport. 

Adopt Council Recommendation 
on non-formal and informal 
learning 

European 
presented 
Commission 
proposal  for  a  Council  Recommendation 
on 5 September 2012. 

Intellectual 
property rights 

KEY ACTION 
Adopt 
unitary patent protection 

legislation  setting  up 

European Commission presented 
legislative proposals on 13 April 2011. 

20 

 
 
 
 
 
  
 
Explore the development IPR 
valorisation instrument 

European Commission exploring options 
for the development of such an 
instrument 

Adopt legislation on collective 
rights management 

European Commission presented 
legislative proposal on 11 July 2012. 

Adopt legislation on orphan 
works 

European Commission presented 
legislative proposal on 24 May 2011. 

Enhance role of Observatory on 
Counterfeiting and Piracy 

Regulation adopted by the European 
Parliament and Council on 19 April 2012, 
following a Commission legislative 
proposal presented on 24 May 2011. 

Combat piracy and counterfeiting 
more effectively 

European Commission carrying out 
consultations on next steps. 

Present a legislative proposal to 
amend the existing customs 
regulation 

European Commission presented 
legislative proposal on 24 May 2011. 

Modernise the European 
trademark system 

European Commission preparing 
legislative proposal. 

Consumers 

KEY ACTION 
Adopt legislations on alternative 
dispute 
/  online 
resolution 
dispute resolution 
Pursue  work 
approach to collective redress 

on  European 

European 
presented 
Commission 
legislative  proposal  on  29  November 
2011. 

European Commission considering policy 
options. 

Revise  General  Product  Safety 
Directive 

European 
legislative proposal. 

Commission 

preparing 

Draw  up  Action  Plan  on  Market 
Surveillance 

European  Commission  preparing  Action 
Plan. 

Propose 
environmental 
products 
Publish 
Passenger Rights 

initiative 

footprint 

Communication 

on 
of 

European 
initiative 

Commission 

preparing 

European 
Communication on 19 December 2011. 

Commission 

adopted 

on 

21 

 
 
 
 
 
 
 
Review  of  Directive  on  Package 
Travel 

European 
legislative proposal. 

Commission 

preparing 

Services 

Ensure transparency of bank fees 

Present 
legislation 
borrowers in mortgage markets 

to  protect 

of 

implementation 

KEY ACTION 
Revise  legislation  on  European 
standardisation system 
Ensure 
Services Directive 
Carry  out  performance  check  to 
the 
joint  application  on 
test 
ground  of  Community  legislation 
as  implemented  and  applied  by 
MS  in  key  sectors  (construction, 
tourism, business services) 
Launch initiative to combat unfair 
trading practices 
Set  up  High-level  Group  on 
Business Services 

Commission 

European 
legislative proposal. 
European 
legislative proposal on 31 March 2011. 

Commission 

preparing 

presented 

European 
legislative proposal on 1 June 2011. 

Commission 

presented 

Commission 

European 
Communication on 8 June 2012. 
European 
Communication on 8 June 2012. 

Commission 

adopted 

adopted 

Commission 

European 
Communication. 
European  Commission  preparing  set-up 
of High-level Group 

preparing 

Networks 

KEY ACTION 
Adopt  energy  and  transport 
infrastructure  legislation  to  roll 
out strategic projects 

Adopt Decision establishing radio 
spectrum policy programme 

European 
presented 
Commission 
legislative proposals on 19 October 2011. 

A Decision was adopted by the European 
Parliament  and  Council  on  15  February 
2012, following a Commission legislative 
proposal  presented  on  20  September 
2010. 

Digital  Single 
Market 

KEY ACTION 
Adopt legislation on eSignature, 
eIdentification, 
eAuthentification 
Present  proposals  on 
tariffs 

roaming 

plan 
action 
Present 
development of eCommerce 

for 

22 

European 
legislative proposal on 4 June 2012. 

Commission 

presented 

A  Regulation  was  adopted  by 
the 
European  Parliament  and  Council  on  30 
May  2012  following  a  Commission 
legislative  proposal  presented  on  6  July 
2011. 
European  Commission  adopted  Action 
Plan on 11 January 2012. 

 
 
 
 
Social 
entrepre-
neurship 

Present  guidance 
to  Member 
States  on  identifying  unjustified 
consumer  discrimination  on  basis 
of  nationality 
country  of 
residence 
Revise Directive on Public Sector 
Information 

/ 

legislation 

KEY ACTION 
Adopt 
development 
investment funds 
Introduce  legislation  establishing 
European Foundation Statute 

facilitating 
social 

of 

European  Commission  presented  Staff 
Working  Document  as  part  of  services 
package on 8 June 2012. 

presented 
Commission 
European 
legislative  proposal  on  12  December 
2011. 

European 
presented 
Commission 
legislative proposal on 7 December 2011. 

European 
Commission 
legislative proposal on 8 February 2012. 

presented 

a 

Social  Business 

Launch 
Initiative 
Adopt a Communication on CSR 

European Commission launched initiative 
on 25 October 2011 
European 
Communication on 25 October 2011. 

Commission 

adopted 

Legislative  proposal  on  non-
financial reporting by companies 

European 
legislative proposal. 

Commission 

preparing 

Taxation 

KEY ACTION 
Review Energy Tax Directive 
Introduce CCCTB 

elements 

Identify 
Strategy 
Resolve 
problems for citizens 

cross-border 

of  VAT 

taxation 

European 
legislative proposal on 13 April 2011. 

Commission 

presented 

adopted 

presented 

Commission 

Commission 

European 
legislative proposal on 16 March 2011. 
European 
Communication on 6 December 2011. 
adopted 
European 
Commission 
Communication  on  ways 
to  address 
double-taxation  on  11  November  2011 
and 
and 
Recommendation  on  inheritance  taxation 
on 15 December 2011. 
presented 
Commission 
European 
legislative  proposals  on  21  March  2012, 
but  subsequently  withdrew  the  proposal 
on  clarifying  the  exercise  of  freedom  of 
establishment/services 
alongside 
fundamental social rights. 

Communication 

a 

Social 
cohesion 

legislation 

KEY ACTION 
Introduce 
on 
implementation  of  Posting  of 
Workers  Directive  and  on 
clarifying exercise of freedom of 
establishment/services  alongside 
fundamental social rights 
Present Communication on SGEIs  European 

Commission 

adopted 

Revise post-Altmark package 

Communication on 20 December 2011. 

European 
legislative 
Commission 
Decision adopted on 20 December 2011. 

23 

 
 
Business 
environment 

Present  initiative  on  access  to 
basic payment account 

European 
Recommendation on 18 July 2011. 

Commission 

adopted 

legislation 

simplifying 

KEY ACTION 
Adopt 
Accounting Directives 
Adopt  Directive  to  simplify  the 
financial  reporting  obligations  of 
specifically micro-entities 

Adopt European Private Company 
Statute 

European 
Commission 
legislative proposal on 25 October 2011. 

presented 

A Directive was adopted by the European 
Parliament  and  Council  on  14  March 
2012 following a Commission legislative 
proposal presented on 26 February 2009. 
European 
presented 
Commission 
legislative proposal on 25 June 2008. 

optional  European 

Introduce 
contract law instrument 
Adopt  Regulation 
cross-border recovery of debt 

to  simplify 

European 
Commission 
legislative proposal on 11 October 2011. 
European 
Commission 
legislative proposal on 20 July 2011. 

presented 

presented 

Public 
Procurement 

KEY ACTION 
Revise Procurement Directives 

European 
presented 
Commission 
legislative  proposal  on  20  December 
2011. 

Introduce (amending) directive on 
the award of concession contracts 

European 
Commission 
legislative proposal on 20 October 2011. 

presented 

Introduce 
procurement with third countries 

legislation 

on 

European 
legislative proposal on 21 March 2012. 

Commission 

presented 

24