Opinion of the Committee of the Regions on ‘A European Consumer Agenda — Boosting confidence and growth’
Date: 2012-11-29
Institutions: European Committee of the Regions
Subjects: Internet, consumer behaviour, consumer information, consumption expenditure, economic growth, food safety, principle of legal certainty, single market








C_2013017EN.01000801.xml










19.1.2013   


EN


Official Journal of the European Union


C 17/8





Opinion of the Committee of the Regions on ‘A European Consumer Agenda — Boosting confidence and growth’
2013/C 17/03
THE COMMITTEE OF THE REGIONS






—


is convinced that consumer policy can help the EU to exit the crisis more quickly: more aware consumers are a precondition for safe, high-quality, competitive products and services, contributing to sustainable economic recovery;
and calls on the European Commission to










—


equip local and regional authorities with the right tools to defend consumer rights to the maximum of their powers;










—


cooperate closely with national, regional and local authorities. More specifically, even if the agenda's actions are of a type implying implementation mainly by EU and national bodies, local authorities have an important role to play since they speak on behalf of local communities and are in a position to make an effective contribution to putting such measures into practice;










—


remember that local authorities are themselves consumers of products and services, and that they therefore need and demand a secure framework within which to protect their interests and those of the local communities they represent and that often contribute to their budgets;










—


recognise that empowering consumers also involves educating them, and that local and regional authorities and civil society need to be involved in consumer information campaigns;










—


reinforce supervisory mechanisms in regions with permanent geographic or demographic handicaps, through the provision of resources and know-how.










Rapporteur


Mr Spyros SPYRIDON (EL/EPP), Councillor of the Region of Attica




Reference document


Communication from the Commission to the European Parliament, the Council, the Economic and Social Committee and the Committee of the Regions – A European Consumer Agenda – Boosting confidence and growth
COM(2012) 225 final




I.   POLICY RECOMMENDATIONS

THE COMMITTEE OF THE REGIONS

Introduction







1.


welcomes the detailed communication from the European Commission, which touches upon a wide range of consumer protection issues;










2.


welcomes the fact that the agenda provides a cohesive and integrated tool to press ahead with actions concerning the policy of strengthening consumers. The scale of the challenge of empowering consumers and boosting the single market must be recognised. Aware, informed consumers are key to implementing the Europe 2020 strategy;










3.


expresses its concern that while the scope of the agenda is quite encompassing it does not include health services, which are an important element of consumer policy. Health services are provided to consumers, consumers pay for them and they provide to a large extent mission of general interest. Health policy should therefore be included into the agenda as a consumer relevant policy.










4.


supports the European Commission's choice of the four key objectives of (i) improving consumer safety; (ii) enhancing knowledge; (iii) improving implementation, stepping up enforcement and securing redress; and (iv) aligning rights and key policies to economic and societal change, as areas on which consumer protection policy should focus. It calls for greater transparency and for consumers to be provided with better and comparable information, to enable them to make more rational decisions;





Applying the European Union's fundamental principles







5.


emphasises that future actions must be framed in such a way as to comply with the principle of proportionality and, in particular, that thorough cost-benefit analyses must be carried out;










6.


highlights the importance of ensuring that the future measures are effective and appropriate, especially in terms of health and safety. Changes must be made with a degree of flexibility in order to fit in with specific regional conditions, the needs of vulnerable groups and rapid market developments, so as to protect consumers;










7.


proposes that, when implementing the measures, a horizontal view be taken, within the scope of existing powers, over and above the sectoral actions already mentioned, so that consumers' rights are taken into account in European policies across the board;










8.


notes the lack of emphasis on the territorial cohesion objective ushered in with the Lisbon Treaty. It would point in particular to the need to protect vulnerable groups of consumers who either experience difficulty in gaining access to markets, have limited choice, or cannot readily exercise their rights. The outermost regions, those with low population density, and mountain and island regions, where the market does not function optimally, fall into this category;










9.


highlights, in this respect, the increasing importance of the internet for such consumers, in terms of opportunities to access markets, information, and the capability to compare products and services, and uphold their rights in the event of disputes;










10.


stresses the importance of providing resources and know-how to reinforce supervisory mechanisms in regions with permanent geographic or demographic handicaps;










11.


alerts the European Commission and national legislative bodies to the fact that the measures adopted must be tailored to the capabilities of producers from disadvantaged regions. For them, the cost and time taken to make the necessary adjustments may differ significantly from those in the other regions of Europe;





Harnessing the potential of the internet, monitoring and information







12.


takes this opportunity to underline the need to implement the Digital Agenda as part of the Europe 2020 strategy, and emphasises that the internet has a particularly important role to play for types of consumer. All European, national and regional authorities must contribute to this effort in order to enhance quality of life for Europe's citizens;










13.


emphasises the influence of the internet on the younger age groups, who make greater use of the new technologies but who can be assumed to be more vulnerable than adults;










14.


observes that internet use is less widespread among vulnerable population groups such as the elderly, people with special needs and socially disadvantaged. The CoR would point out in particular that regions with geographical handicaps experience the serious problems of ageing populations more intensely than other regions. These population groups generally have fewer opportunities to harness the potential offered by the single market and to exercise their rights. A special effort must be made, with the cooperation of local and regional authorities, by means of targeted measures, to promote the prosperity of this population category too;










15.


in the light of the difficulties experienced by regions and communities in improving internet access, especially in rural, mountain, island and remote areas, together with the outermost regions, supports the Commission's recent proposals for amendments to the legislation on state aids. Among other points, the Commission's proposal judges the exemption from the notification rule concerning aid for the supply of fast internet connections to be compatible with the internal market;










16.


calls upon the Commission to cooperate with the Member States in launching initiatives to improve consumers' e-skills, at the same time ensuring that all population groups have access to the single digital market and can enjoy its benefits to the full;










17.


emphasises that the rapid development of e-commerce is of vital importance to consumers as it offers them greater choice, particularly people living in inaccessible, very remote or outlying regions, as well as those with reduced mobility who would not otherwise have access to a wide range of choice;










18.


points out forcefully that internet security is a particularly significant issue that goes beyond the consumer agenda. All necessary measures must be taken to ensure that this vital tool is used in the interests of people in Europe, whether acting as consumers or carrying out business transactions, and that criminal and fraudulent practices, such as the improper collection of personal data or infringement of property rights, are prevented;










19.


welcomes the Commission's initiative to put forward legislative proposals regarding online dispute resolution (ODR) and alternative dispute resolution (ADR) as a major tool for territorial cohesion The CoR agrees with the Commission that it should be made easier for consumers to enforce their rights using out-of-court settlement mechanisms. However, it believes that the scope of the directives should be limited to EU competences and, in particular, to cross-border situations;





The role of local and regional authorities







20.


considers it to be crucial that local and regional authorities be equipped with the right tools to defend consumer rights to the maximum of their powers. In this connection, and given the fortuitous timing of the current discussions on the multiannual financial framework for the 2014-2020 period, the CoR proposes that resources from the Structural Funds and also from the National Reform Programmes be used in order to implement the agenda;










21.


regarding the Structural Funds in particular, proposes that measures be taken to ensure that funding for companies is subject to criteria that derive from their obligations and their general stance towards consumers (e.g. sustainable production), rather than being restricted to data relating principally to economic sustainability;










22.


places particular emphasis on the need for close cooperation between European, national, regional and local authorities in implementing the measures. More specifically, even if the agenda's actions are of a type implying implementation mainly by EU and national bodies, local authorities have an important role to play since they speak on behalf of local communities and are in a position to make an effective contribution to putting such measures into practice;










23.


would also stress that it must not be forgotten that regional and local authorities are themselves consumers of products and services, and that they therefore need and demand a secure framework within which to protect their interests and those of the local communities they represent and that often contribute to their budgets;










24.


notes that at the current time of economic crisis, efforts to implement the agenda effectively must not be viewed as a luxury. On the contrary, the CoR is convinced that consumer policy can help the EU to exit the crisis more quickly: more aware consumers are a precondition for safe, high-quality, competitive products and services, contributing to sustainable economic recovery;





The Agenda's social dimension







25.


notes that the current financial crisis will drastically alter consumer habits, both exacerbating social inequalities and limiting disposable income. The result of this will be a turn to new forms of consumption, where consumers will call for greater control over transactions, increased and more comprehensible information and the chance to compare and to reverse their initial decisions and claim their rights in the event of a dispute. The Commission must pay attention to the new conditions arising and make the most of the Agenda in order to form the best possible conditions for promoting public wellbeing of European citizens, as the Lisbon Treaty provides;










26.


points out that further information and guarantees on product traceability should be available, so that consumers can make an accurate assessment of the value for money of goods;










27.


notes that there is an increasing danger of consumer choice being dictated by the cost of goods to the detriment of quality. When it comes to cross-border trade, the CoR would highlight the danger of an increase in the volume of smuggling;










28.


welcomes the Commission's proposal to draft a study on the impact of household overindebtedness. It recommends that the study not limit itself to means of addressing the problem, which owing not least to the financial crisis has taken on unmanageable dimensions, but that it also analyse the causes and propose measures such as ensuring responsible use of loans and taking specific measures to mitigate the effects of overindebtedness;










29.


notes the need to regulate on issues regarding the safety of medical products and services, an area that has recently been receiving a good deal of media attention;










30.


notes with concern that, according to the communication, only 2 % of respondents answered the Empowerment Survey correctly regarding their rights. This figure seems extremely low, and the CoR would therefore call on the Commission and the Member States to step up their efforts to raise awareness of consumer rights. The proposed European-level awareness-raising campaign will be a step in the right direction. Local and regional authorities can make a contribution in cooperation with consumer support bodies;










31.


agrees with the Commission's conclusion that the bodies responsible for implementing legislation are being asked to do more with fewer resources. For this reason there is a need for careful planning and on-going examination of the effectiveness of regulations, in order to secure the best results;










32.


would underline the fact that empowering consumers also involves educating them, and in this context would stress the importance of involving local and regional authorities and civil society in consumer information campaigns. Scope must be allowed to adapt information campaigns to local conditions. Emphasis should be placed on school and university curricula, with a view to preparing the younger generations to become well-informed consumers; at the same time, the role played by adult education providers should not be forgotten;










33.


endorses the drive to resolve problems at source, with measures to encourage companies to comply. However, this approach must bear in mind the particular characteristics of producers in each country and region and around the world, wherever suppliers are based. The incentives must be sufficient to compensate for the cost of adjusting to the new regulations to be adopted and consideration must be given to companies' ability to adjust;










34.


emphasises that when implementing consumer policy, the European Commission should respect the legal systems of the Member States and the principle of subsidiarity. On the other hand, the Member States should endeavour, when transposing EU legislation into national law, not to make additional demands going beyond those necessary for this purpose. This should not preclude the Member States from seeking a higher level of consumer protection under particular circumstances;










35.


considers that, in order to benefit from improvements to legislation, consumers must be informed of the changes and therefore stresses the need to give regional local authorities the opportunity to contribute to awareness-raising activities for consumers regarding their rights and the legislative changes that will benefit them;










36.


welcomes the reference made in the Consumer Agenda to collective redress and would encourage the Commission to put forward a more definite framework for action; any Commission proposals on collective redress mechanisms should be confined to framework legislation, which should at most contain guidelines as to minimum national standards, leaving it to the Member States to decide precisely how collective redress mechanisms can be implemented in line with individual national legal traditions. To the extent that the EU requests regulatory powers for further collective legal mechanisms, these must be in line with the legal orders and legal redress systems of the individual Member States;










37.


is convinced that the promotion of a comprehensive strategy for consumers requires that they be well-represented in the decision making bodies. In this respect, the Committee would underscore the role of consumer organisations, which have the broadest overview of the themes that are of concern to consumers in their everyday lives and therefore can help to find solutions when called upon. They also provide a channel for communication between the public and management, enabling information to be disseminated from the top down. The CoR recognises that there is room for improving the relationship between local and regional authorities and first- and second-level consumer organisations, and would also call on Member States to strengthen them when necessary, and establish a framework for action if need be;





Applying the Agenda more effectively







38.


takes it for granted that the public must be able to trust the authorities responsible for implementing the legislation. This can be achieved both by applying the regulations properly and by enabling members of the public to appeal to the authorities in cases of conflict;










39.


stresses that companies throughout the production chain, meanwhile, need to be convinced that it is more worthwhile to keep their commitments in respect of legislation than not. It is important to stress that keeping up to date on consumer legislation issues is something that is necessary for companies as well as consumers;










40.


agrees that the role of intermediaries is growing, particularly in the area of internet services. It is therefore of crucial importance to ensure that there is transparency and confidence and also justice and sanctions in cases of an intermediary's insolvency. This requires the establishment of monitoring and evaluation structures, at both national and EU level;










41.


would also recommend, when it comes to the Commission's proposal to work with intermediaries and traders to improve the framework governing commercial transactions, the adoption of binding rules on commercial guarantees, with the aim of filling a major gap in consumer protection;










42.


calls on the Commission to ensure that the Member States incorporate legislation to deepen the single market in good time and, most importantly, that they apply it comprehensively;










43.


regrets the fact that the planned budget for the Consumers' Agenda is limited: corresponding to approximately EUR 0,05 per European citizen per year. It would therefore draw the European Commission's attention to the fact that it must take great care in the planning and implementation of these measures in order to be sure of securing the best possible results;










44.


will be monitoring the prompt and effective application of the European Consumers' Agenda closely, with a view to seeing an improvement in the European public's quality of life.





Brussels, 29 November 2012.


The President of the Committee of the Regions

Ramón Luis VALCÁRCEL SISO