COMMISSION STAFF WORKING DOCUMENT Part II: Policy areas Accompanying the document REPORT FROM THE EUROPEAN COMMISSION Monitoring the application of European Union law 2017 Annual Report
Date: 2018-07-12
Institutions: European Commission, Secretariat-General
Subjects: EU Member State, EU energy policy, EU migration policy, Economic and Monetary Union, activity report, digital single market, fundamental rights, infringement procedure (EU), job creation, national implementing measure

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 12.7.2018 SWD(2018) 378 final  COMMISSION STAFF WORKING DOCUMENT Part II: Policy areas Accompanying the document REPORT FROM THE EUROPEAN COMMISSION Monitoring the application of European Union law 2017 Annual Report {COM(2018) 540 final}  - {SWD(2018) 377 final}  - {SWD(2018) 379 final}  
 
 
Monitoring the application of European Union law 
2017 Annual Report 

Agriculture and rural development ................................................................................................... 2 

Communications networks, content and technology ........................................................................ 6 

Employment, social affairs and inclusion ....................................................................................... 12 

Energy ............................................................................................................................................ 18 

Environment ................................................................................................................................... 24 

Financial stability, financial services and Capital Markets Union ................................................... 35 

Health and food safety .................................................................................................................... 41 

Internal market, industry, entrepreneurship and SMEs .................................................................. 46 

Justice and consumers ................................................................................................................... 52 

Maritime affairs and fisheries.......................................................................................................... 60 

Migration and home affairs ............................................................................................................. 63 

Mobility and transport ..................................................................................................................... 72 

Taxation and customs union .......................................................................................................... 80 

Methodology and explanations ....................................................................................................... 90 

This document provides an overview of the policy areas in which the most significant developments related to 
infringements of EU law took place in 2017.

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Monitoring the application of European Union law 
2017 Annual Report 

Agriculture and rural development 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

115 

98 

105 

97 

91 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

62 

97 

>  Complaints open at end-2016 

>  New complaints registered in 2017 

119 

>  Complaints handled in 2017 

= 40 

>  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

97 complaints in 2017 

Rural 
development 
46 

Direct payments 
25 

Common 
market 
organisation 
(Wine) 
7 

Other 
19 

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Monitoring the application of European Union law 
2017 Annual Report 
Agriculture and rural development 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

36 

30 

22 

25 

2013

2014

2015

2016

2.  EU Pilot files open at year-end 

At the end of 2017, 17 EU Pilot files remained open. 

3.  EU Pilot files: resolution rate for policies (2013-2017) 

89% 

70% 

97% 

100% 

95% 

75% 

75% 

72% 

7 

2017

81% 

77% 

2013

2014

2015

2016

2017

Agriculture and rural development

General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases for non-compliance with the 
rules on protected designations of origin. 

IV. 

INFRINGEMENT CASES 

Key infringement cases and referrals to the Court 

a)  The Commission opened 8 new infringement cases in 2017. These concern: 

  Bulgaria,  Italy,  Cyprus,  Luxembourg,  Portugal,  Romania,  Finland  and  United 
Kingdom:  non-communication  of  national  measures  transposing  the  Directive  on 
caseins and caseinates1; 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

1   Directive 2015/2203/EU. 

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Monitoring the application of European Union law 
2017 Annual Report 
Agriculture and rural development 

V.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

  Bulgaria,  Luxembourg,  Portugal,  Romania  and  Finland:  non-communication  of  national 

measures transposing the Directive on caseins and caseinates2. 

VI. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Germany: Purely plant-based products cannot, in principle, be marketed with designations 
such  as  ‘milk’,  ‘cream’,  ‘butter’,  ‘cheese’  or  ‘yoghurt’,  which  are  reserved  by  EU  law  for 
animal products. This  prohibition applies even if those designations are accompanied by 
clarifying  or  descriptive  terms  indicating  the  plant  origin  of  the  product  concerned.  This 
prohibition however does not apply if the product is mentioned on a list of exceptions set 
out in a Commission decision3. 

  Germany: A sorbet may be sold under the name ‘Champagner Sorbet’ if it has, as one of 
its essential characteristics, a taste attributable primarily to champagne. If that is the case, 
that  product  name  does  not  take  undue  advantage  (and  therefore  does  not  exploit  the 
reputation) of the protected designation of origin (PDO) ‘champagne’. A PDO is protected 
not only against false or misleading indications which may create a false impression as to 
the  origin  of  the  product,  but  also  against  false  or  misleading  indications  relating  to  the 
nature or essential qualities of the product4. 

  France: Concertation on price and quantities between several organisations of agricultural 
producers and associations of such organisations may constitute an agreement, decision 
or  concerted  practice  for  the  purposes  of  competition  law.  However,  such  practice  is 
permitted within the same producer organisation or association of producer organisations 
if  it  is  proportionate  to  the  objectives  assigned  to  that  organisation.  Such  practice  is  not 
proportionate  to  the  objectives  of  stabilising  prices  and  concentrating  supply  if  the 
collective  fixing  of  minimum  sale  prices  within  a  producer  organisation  or  association  of 
producer organisations: 

  does  not  allow  producers  to  sell  their  own  products  at  a  lower  price  than  those 

minimum prices; and  

  has  the  effect  of  reducing  the  already  low  level  of  competition  in  the  markets  for 

agricultural products5. 

TofuTown.com, C‑422/16 and Court press release No 63/17. 

2   Directive 2015/2203/EU. 
3  
4   Comité Interprofessionnel du Vin de Champagne, C-393/16 and Court press release No 139/17. 
5  

APVE and Others, C-671/15 and Court press release No 120/17. 

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Agriculture and rural development 

VII.  OUTLOOK 

Important implementation work in 2018 includes: 

  monitoring compliance with recent rulings of the Court of Justice; 
  pursuing  legal  action against  Member  States  for  failing  to  apply  the  common agricultural 
policy  rules  correctly,  in  particular  the  mechanisms  of  the  common  market  organisation 
and the direct payments regime; 
continuing to make use of the clearance of accounts procedure in the agricultural sector to 
convince  Member  States  to  adapt  their  management  and  control  systems  if  an 
infringement is detected under conformity audit mechanisms. 

 

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Communications networks, content and technology 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

78 

66 

84 

32 

2013

18 

2014

2015

2016

2017

2.  Public complaints open at year-end 

87  >  Complaints open at end-2016 

84  >  New complaints registered in 2017 

66  >  Complaints handled in 2017 

= 105  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

84 complaints in 2017 

Electronic 
communications 
25 

Audiovisual and 
media services 
34 

Cybersecurity 
and digital trust 
10 

Other 
15 

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2017 Annual Report 
Communications networks, content and technology 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

52 

30 

12 

2014

2013

12 

2 

2015

2016

2017

2.  EU Pilot files open at year-end 

At the end of 2017, 29 EU Pilot files remained open. 

3.  New EU Pilot files opened in 2017: main policy sectors 

2 EU Pilot files opened in 2017 

Electronic 
communications 
1 

Cybersecurity 
and digital trust 
1 

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2017 Annual Report 
Communications networks, content and technology 

4.  EU Pilot files: resolution rate for policies (2013-2017) 

70% 

52% 

75% 

75% 

74% 

56% 

72% 

42% 

77% 

53% 

2013

2014

2015

2016

2017

Communications networks, content and technology
General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over: 

  delays  in  carrying  out  market  reviews,  contrary  to  the  obligations  under  the  Framework 

Directive for electronic communications1; 

  non-compliance  with  the  requirements  on  electronic  identification  and  trust  services  for 

electronic transactions in the internal market2; 

  non-compliance with the Collective Rights Management Directive3. 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

58 

42 

31 

20 

2013

14 

2014

2015

2016

2017

1   Directive 2002/21/EC. 
2   Regulation 910/2014/EU. 
3   Directive 2014/26/EU. 

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Communications networks, content and technology 

2.  Infringement cases open on 31 December 2017: main policy sectors 

42 infringement cases in 2017 

Copyright 
16 

Electronic 
communications 
22 

Audio-visual 
and media 
services 
2 
Cybersecurity 
and digital trust 
1 
Data policy and 
innovation 
1 

3.  New infringement cases opened in 2017: main policy sectors 

9 new infringement cases in 2017 

Electronic 
communications 
7 

Copyright 
1 

Cybersecurity 
and digital 
privacy 
1 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  9  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Belgium,  Ireland,  Spain,  Hungary,  Poland,  Romania,  Slovenia:  failure  to  notify 

measures under the Framework Directive for electronic communications4; 

  Poland: non-transposition of the Cable and Satellite Directive5; 
  Romania: non-compliance with the Collective Rights Management Directive6; 
  Slovakia: non-compliance with the Regulation on electronic identification and  trust 
services for electronic transactions in the internal market (eIDAS Regulation)7. 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

4   Directive 2002/21/EC, MEMO/17/3494. 
5   Directive 93/83/CEE. 
6   Directive 2014/26/EU. 
7   Regulation 910/2014/EU, MEMO/17/3494. 

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Communications networks, content and technology 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

50 

17 

0 

0 

0 

2013

2014

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: main policy sectors 

The Commission did not open any new late transposition infringement cases. 

3.  Key infringement cases and referrals to the Court 

a)  The Commission did not open any cases for late transposition in 2017 in this area; 

b)  The  Commission  referred  two  cases  to  the  Court  under Articles  258  and  260(3)  TFEU. 

They concerned: 

  Belgium and Slovakia: non-communication of measures transposing the Broadband 

Cost Reduction Directive8. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

  Bulgaria  and  Lithuania:  non-conformity  with  the  Audiovisual  Media  Services 

Directive9; 

  United  Kingdom:  non-conformity  with  the  Directive  on  harmonisation  of  certain 

aspects of copyright and related acts10. 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

 

Italy:  An  online  platform  allowing  users  to  store  copies  of  TV  programmes  in  a  private 
cloud space cannot be deemed covered by the private copying exception. This exception 
applies to the reproduction right, but not the right to make available a protected work. EU 

8   Directive 2014/61/EU, Commission v Belgium, C-543/17; IP/17/1937. 
9   Directive 2007/65/EC amending Directive 89/552/EEC. 
10   Directive 2001/29/EC. 

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Communications networks, content and technology 

rules11  preclude  national  legislation  which  permits  a  commercial  undertaking  to  provide 
private individuals with a cloud service for the remote recording of private copies of works 
protected by copyright, by means of a computer system, by actively involving itself in the 
recording, without the right holder’s consent12. 

  Netherlands:  The  Pirate  Bay  platform,  by  offering  a  search  feature,  categorising  files, 
deleting  faulty  trackers,  filtering  out  some  types  of  content,  and  making  advertising 
revenues plays an essential role in making protected works available to the public and as 
such engages in communication to the public. In other words the platform is considered to 
play  an  essential  role,  and  to  intervene,  in  providing  access  to  copyright-protected 
content13. 

  Poland:  The case  concerns  a  situation where  a  national  regulatory  authority  imposes an 
obligation  regarding  cost  orientation  of  prices  on  an  operator  designated  as  having 
significant  market  power  on  a  specific  market.  The  Court  held  that  in  such  a  case  the 
national authority may set the prices of the services covered by such an obligation below 
the level of the costs incurred by that operator to provide them, if those costs are higher 
than the costs of an efficient operator14. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

  monitoring implementation of the Digital Single Market strategy; 
  monitoring  the  correct  application  of  EU  law  in  the  fields  of  the  single  market  for 
telecommunications, with a focus on the correct application of the net neutrality and ‘roam 
like at home’ principles including measures concerning open internet access; 

  monitoring compliance with the rules of the framework directives on the independence of 

national regulatory authorities. 

11   Directive 2001/29/EC. 
12   VCAST Limited v RTI SpA,C-265/16. 
13   Stichting Brein v Ziggo BV and XS4All Internet BV, C-610/15. 
14   Directive 2002/19/EC; Polkomtel sp. z o.o., C-277/16. 

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Monitoring the application of European Union law 
2017 Annual Report 

Employment, social affairs and inclusion 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

666 

612 

679 

470 

484 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

485 

>  Complaints open at end-2017 

484 

>  New complaints registered in 2017 

625 

>  Complaints handled in 2017 

= 344 

>  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

484 complaints in 2017 

Working 
conditions 
129 

Social security 
142 

Free movement 
of workers 
72 

Other 
141 

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2017 Annual Report 
Employment, social affairs and inclusion 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

62 

68 

40 

37 

2013

2014

2015

2016

0 

2017

2.  EU Pilot files open at year-end 

At the end of 2017, 21 EU Pilot files remained open. 

3.  EU Pilot files: resolution rate for policies (2013-2017) 

92% 

72% 

93% 

77% 

70% 

59% 

75% 

75% 

72% 

46% 

2013

2014

2015

2016

2017

Employment policies

General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017 the Commission opened own-initiative infringement cases over working conditions. 

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Employment, social affairs and inclusion 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

72 

75 

83 

60 

46 

2013

2014

2015

2017

2018

2.  Infringement cases open on 31 December 2017: main policy sectors 

46 infringement cases in 2017 

Working 
conditions 
37 

Social security 
4 

Free movement 
of workers 
3 

Health & safety 
at work 
2 

3.  New infringement cases opened in 2017: main policy sectors 

All 18 new infringement cases opened concerned working conditions. 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  18  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Bulgaria,  Czech  Republic,  Germany,  Estonia,  Luxembourg,  Poland,  Romania, 
Finland,  United  Kingdom:  failure  to  communicate  national  measures  transposing 
the Directive on the organisation of working time in inland waterway transport1; 
Ireland,  Greece,  Croatia,  Italy,  Cyprus,  Poland,  Portugal,  Romania,  United 
Kingdom: failure to communicate national transposition measures for the Directive 
on seafarers2. 

 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

1   Directive 2014/112/EU. 
2   Directive 2015/1794/EU. 

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2017 Annual Report 
Employment, social affairs and inclusion 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

39 

13 

17 

14 

18 

2013

2014

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: main policy sectors 

All 18 new late transposition cases opened concerned working conditions. 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 18 cases for late transposition in 2017. They included: 

 
 

the Directive on seafarers3; and 
the Directive on the organisation of working time in inland waterway transport4; 

b)  The  Commission  did  not  refer  any  cases  to  the  Court  under  Articles  258  and  260(3) 

TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

  Spain:  the  adoption  of  amended  transposition  rules  applicable  to  all  workers  as  well  as 
specific texts applicable to police workers in line with the provisions of the Working Time 
Directive5 on night work; 

  France: aligning the national law on police officers with the Working Time Directive6; 
  Hungary: conformity  with  the  Working Time  Directive7  by  amending  the  rules  applying  to 
workers on regular passenger transport services, regular inter-urban short-distance public 
transport services and uninterrupted transport services. 

3   Directive 2015/1794/EU. 
4   Directive 2014/112/EU. 
5   Directive 2003/88/EC. 
6   Directive 2003/88/EC. 
7   Directive 2003/88/EC. 

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2017 Annual Report 
Employment, social affairs and inclusion 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Germany:  The  representation  and  collective  defence  of  the  employees’  interests  in  the 
management  or  supervisory  bodies  of  a  company  founded  under  national  law  is  a  non-
harmonised and non-coordinated field from the point of view of EU law. A Member State 
may therefore adopt legislation applicable only to workers employed by companies located 
in its national territory8. 

  Spain:  Under  the  Fixed-Term  Work  Directive9,  and  as  long  as  permanent  workers  are 
entitled  to  special  leave  until  the  end  of  their  parliamentary  term  of  office,  such  leave 
cannot be completely denied to fixed-term workers10. 

  France: An E101 or A1 certificate issued by a competent authority in view of the posting of 
workers11 is binding on both the social security institutions of the Member State in which 
the work is carried out and the courts of that Member State. This remains so even if those 
courts find that the worker’s employment conditions clearly demonstrate that he does not 
fall under the category of posted workers12. 

  Netherlands: The Transfer of Undertakings Directive13 applies to a transfer that follows a 
declaration of insolvency when a ‘pre-pack’ notably aimed at ensuring the continuation of 
the activities of the undertaking by a third party is implemented14. 

  Poland: Under the Collective Redundancies Directive15, an employer is required to consult 
workers’  representatives  when  he  intends,  to  the  detriment  of  employees,  to  amend 
unilaterally  the  terms  of  remuneration,  which,  if  refused  by  employees,  will  entail 
termination of their employment16. 

  Portugal:  EU  law  does  not  require  the  minimum  uninterrupted  weekly  rest  period  to  be 
provided  no  later  than  the  day  following  a  period  of  6  consecutive  working  days,  but 
requires it to be provided within each seven-day period17. 

  Slovakia:  Under  the  EU  social  security  coordination  rules18,  a  person  working  as  self-
employed  in  one  Member  State  and  performing  only  marginal  activities  as  an  employed 
person  in  another  is  to  be  covered  by  the  social  security  legislation  of  the  first  Member 
State.  Marginal  activities  performed  in  the  other  Member  State  are  not  to  be  taken  into 
consideration for determining the applicable legislation19. 

  Finland: The provisions of the Working Time Directive20 on working time and rest periods 
are applicable to ‘relief parents’21 unless their working time as a whole is not measured or 
predetermined or may be determined by the worker himself22. 

8  
Erzberger, C-566/15. 
9   Directive 1999/70/EC. 
10   Vega Gonzalez, C-158/16. 
11   Regulation (EC) No 883/2004. 
12   A-ROSA, C-620/15. 
13   Directive 2001/23/EC. 
14   Smallsteps, C-126/16. 
15   Directive 1998/59/EC. 
16   Socha, C-149/16 and Ciupa, C-429/16. 
17   Maio Marques da Rosa, C-306/16. 
18   Regulation (EC) No 883/2004. 
19   Szoja, C-89/16. 
20   Directive 2003/88/EC. 
21   Persons caring for children in a family-like environment (in SOS Children’s villages, for example). 
22   Directive 2003/88/EC and Hälvä, C-175/16. 

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Employment, social affairs and inclusion 

  United Kingdom: Under the Working Time Directive23, a worker must be able to carry over 
and accumulate unexercised rights to paid annual leave when an employer does not put 
that worker in a position in which he is able to exercise his right to paid annual leave. The 
Directive  precludes  the  requirement  that  the  worker  must  take  leave  before  establishing 
whether he has the right to be paid in respect of that leave24. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

  monitoring  the  correct  transposition  of  Directives  on  enforcement  of  free  movement  of 
workers25,  on  enforcement  of  posting  of  workers26  on  the  alignment  of  Directives  on 
classification, labelling and packaging of substances and mixtures27 and on the minimum 
health  and  safety  requirements  regarding  the  exposure  of  workers  to  the  risks  arising 
from electromagnetic fields.28  

  monitoring  the  complete  and  timely  transposition  of  Directive  on  minimum  requirements 
concerning  supplementary  pension  rights29  and  of  Directive  establishing  a  fourth  list  of 
indicative occupational exposure limit values30. 

23   Directive 2003/88/EC. 
24   King, C-214/16. 
25   Directive 2014/54/EU. 
26   Directive 2014/67/EU. 
27   Regulation (EC) No 1272/2008. 
28   Directives 92/58/EEC, 92/85/EEC, 94/33/EC, 98/24/EC and 2004/37/EC. 
29   Directive 2014/50/EU. 
30   Directive 98/24/EC. 

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2017 Annual Report 

Energy 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

91 

72 

67 

60 

58 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

100 

>  Complaints open at end-2016 

58 

48 

>  New complaints registered in 2017 

>  Complaints handled in 2017 

= 110 

>  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

58 complaints in 2017 

Renewable 
energy 
9 

Internal energy 
market and 
consumer 
protection 
30 

Energy efficiency 
9 

Other 
10 

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2017 Annual Report 
Energy 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

124 

105 

88 

65 

33 

2013

2014

2015

2016

2017

2.  EU Pilot files open at year-end 

At the end of 2017, 67 EU Pilot files remained open. 

3.  New EU Pilot files opened in 2017: main policy sectors 

All 33 new EU Pilot files opened in 2017 concerned energy efficiency. 

4.  EU Pilot files: resolution rate for policies (2013-2017) 

90% 

70% 

75% 

75% 

72% 

77% 

71% 

66% 

68% 

45% 

2013

2014

2015

2016

2017

Energy

General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over: 

the internal energy market and consumer protection; 

 
  energy efficiency; 
  nuclear safety. 

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2017 Annual Report 
Energy 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

95 

71 

73 

56 

54 

2013

2014

2015

2016

2017

2.  Infringement cases open on 31 December 2017: main policy sectors 

54 infringement cases in 2017 

Renewable 
energy 
12 

Internal energy 
market and 
consumer 
protection 
14 

Energy 
efficiency 
11 

Euratom 
11 

Security of 
supply and 
offshore safety 
6 

3.  New infringement cases opened in 2017: main policy sectors 

25 new infringement cases in 2017 

Euratom 
5 

Internal energy 
market and 
consumer 
protection 
7 

Energy 
efficiency 
3 

Renewable 
energy 
10 

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Energy 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  25  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

 

 

Belgium:  non-communication  of  national  measures  transposing  the  Directive  on 
radioactive substances in water intended for human consumption 1; 
Belgium,  Denmark,  Luxembourg,  Austria  and  Slovenia:  non-communication  of 
national measures transposing the amending Nuclear Safety Directive;2 

  Czech  Republic,  Croatia, 

Italy,  Austria,  Portugal:  non-compliance  with 

the 

Radioactive Waste Directive3; 

  Czech  Republic,  Estonia,  Croatia,  Cyprus,  Lithuania,  Hungary,  Netherlands, 
Sweden:  incorrect  transposition  and  implementation of  the Third Energy  Package 
Directives (Electricity and Gas Directives)4; 

  Czech  Republic,  Greece,  Latvia,  Lithuania,  Malta:  incorrect  transposition  and 

application of the Energy Performance of Buildings Directive5; 
Spain: failure to comply with the Energy Efficiency Directive6; 
Poland: non-compliance with the Renewable Energy Directive7. 

 
 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

33 

25 

22 

2013

2014

2015

4 
2016

15 

2017

1   Directive 2013/51/Euratom. 
2   Directive 2014/87/Euratom. 
3   Directive 2011/70/Euratom, MEMO/17/1935. 
4   Directives 2009/72/EC and 2009/72/EC. 
5   Directive 2010/31/EU. 
6   Directive 2012/27/EU, MEMO/17/3494. 
7   Directive 2009/28/EC, MEMO/17/1045. 

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Energy 

2.  New late transposition infringement cases opened in 2017: main policy sectors 

15 new late transposition infringement cases in 2017 

Renewable 
energy 
10 

Euratom 
5 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 15 cases for late transposition in 2017. They concern: 

 
 

the Directive on radioactive substances in water intended for human consumption8; 
the Offshore Safety Directive9. 

b)  The  Commission  did  not  refer  any  cases  to  the  Court  under  Articles  258  and  260(3) 

TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

  Bulgaria: failure to correctly transpose and ensure the effective application of the Directive 

on the energy performance of buildings10; 

  France and Sweden: incorrect transposition of certain requirements of the Directive on the 

energy performance of buildings11; 

  Lithuania  and  Austria:  incorrect  transposition  of  Directives  on  common  rules  for  the 

internal market in electricity12 and natural gas13; 

  Latvia  and  Portugal:  failure  to  adopt  national  programmes  for  spent  fuel  and  radioactive 
waste management compliant with the requirements of the Radioactive Waste Directive;14 
  Portugal  and  Spain:  for  incomplete  transposition  of  the  Directive  on  radioactive 

substances in water intended for human consumption.15. 

8   Directive 2013/51/Euratom. 
9   Directive 2013/30/EU. 
10   Directive 2010/31/EU. 
11   Directive 2010/31/EU. 
12   Directive 2009/72/EC. 
13   Directive 2009/73/EC. 
14   Directive 2011/70/Euratom 
15   Directive 2013/51/Euratom. 

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VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Bulgaria:  The  Third  Energy  Package  does  not  preclude  national  legislation  limiting  the 

number of holders of electricity transmission licences for a particular territory16. 

  Spain:  A  regional  levy  on  windmills,  taken  in  isolation,  does  not  violate  the  Renewable 
Energy  Directive,  and  in  particular  Member  States’  obligation  to  meet  their  national 
renewable energy targets for 202017. 

  France:  Member  States  may  establish  gas  storage  requirements  which  go  beyond  the 
minimum standard established by the Security of Gas Supply Regulation, provided that all 
the  proportionality  conditions  of  the  Regulation  are  met.  The  Court  further  clarified  that 
operators  must  have  the  effective  possibility  to  satisfy  their  gas  storage  obligations  at 
regional or EU level18. 

  Poland:  ‘Hydropower’  has  to  be  understood  as  including  energy  generated  by  the 

downward flow of industrial waste water19. 

  Sweden:  Article 34  of  the  TFEU  precludes  a  national  measure  which,  on  the  one  hand, 
allows economic operators to implement a mass balance system in respect of sustainable 
biogas if the biogas is transported within the Member State's national gas network, while, 
on  the  one  hand,  preventing  the  implementation  of  such  a  mass  balance  system  if  the 
biogas is transported cross-border in interconnected national gas networks20. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

close  monitoring  of  transposition  and  implementations  of  Directives  and  Regulations  in 
the field of energy and related legislation. 

16   Balgarska energiyna borsa AD (BEB), C-347/16. 
17   Elecdey Carcelen SA and Others, C-215/16. 
18   Eni SpA and Others, C-226/16. 
19  
20   E.ON Biofor Sverige AB, C-549/15. 

J. D. v Prezes Urzędu Regulacji Energetyki, C-4/16. 

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Environment 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

520 

508 

518 

363 

348 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

471  >  Complaints open at end-2016 

518  >  New complaints registered in 2017 

399  >  Complaints handled in 2017 

= 590  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

518 complaints in 2017 

Nature 
protection 
193 

Other 
136 

Impact 
assessment 
128 

Water protection 
and 
management  
61 

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Environment 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

279 

207 

151 

101 

2013

2014

2015

2016

2.  EU Pilot files open at year-end 

At the end of 2017, 240 EU Pilot files remained open. 

3.  New EU Pilot files opened in 2017: main policy sectors 

63 

2017

63 EU Pilot files opened in 2017 

Water 
management 
22 

Air quality and 
noise 
10 

Other 
26 

Nature 
protection, water 
protection, 
impact 
assessment, 
chemicals 
5 

4.  EU Pilot files: resolution rate for policies (2013-2017) 

74% 

70% 

79% 

76% 

75% 

75% 

72% 

77% 

65% 

65% 

2013

2014

2015

2016

2017

Environment

General rate for all policy areas

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Environment 

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

failure to comply with reporting obligations under EU waste legislation; 
incorrect transposition of the Waste Electrical and Electronic Equipment Directive2; 

In 2017, the Commission opened own-initiative infringement cases over: 
  non-compliance with the Extractive Waste Directive1; 
 
 
  non-compliance with the Waste Landfill Directive3; 
 
 
 
  non-compliance with the Water Framework Directive7; 
 
  non-compliance with EU rules on ambient air quality9; 
failure to adopt the required measures on environmental noise; 
 
  non-compliant transposition of the Industrial Emissions Directive10. 

incorrect transposition of the Habitats Directive4 and the Birds Directive5; 
inadequate treatment of urban waste water; 
failure to comply with the Floods Directive6; 

failure to comply with the Marine Strategy Framework Directive8; 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

334 

322 

307 

276 

269 

2013

2014

2015

2016

2017

1   Directive 2006/21/EC. 
2   Directive 2012/19/EU. 
3   Directive 1999/31/EC. 
4   Directive 92/43/EEC. 
5   Directive 2009/147/EC. 
6   Directive 2007/60/EC. 
7   Directive 2000/60/EC. 
8   Directive 2008/56/EC. 
9   Directive 2008/50/EC. 
10   Directive 2010/75/EU. 

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2.  Infringement cases open on 31 December 2017: main policy sectors 

307 infringement cases in 2017 

Waste 
management 
60 

Air quality 
61 

Nature protection 
49 

Impact 
assessment 
40 

Other  
20 

Water protection 
and 
management 
77 

3.  New infringement cases opened in 2017: main policy sectors 

173 new infringement cases in 2017 

Waste  
management 
60 

Other 
7 

Impact 
assessment 
22 

Water protection 
and 
management 
33 

Air quality 
51 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  173  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Belgium11,  Spain12  and  Italy13:  lack  of  waste  management  plans  and/or  waste 

prevention programmes required under the Waste Framework Directive14; 

  Belgium,  Czech  Republic15,  Germany16,  Greece17,  France18,  Croatia,  Cyprus19, 
Hungary20,  Poland21,  Portugal22,  Romania23,  Slovenia24  and  Slovakia25:  failure  to 

11   MEMO/17/234. 
12   MEMO/17/1935. 
13   MEMO/17/234. 
14   Directive 2008/98/EC. 
15   MEMO/17/1577. 
16   MEMO/17/3494. 
17   MEMO/17/4767. 

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Environment 

establish  strategic  noise  maps  and/or  action  plans  required  by  the  Noise 
Directive26; 

  Bulgaria: non-compliant transposition of the Extractive Waste Directive27; 
  Bulgaria28,  Spain29,  France30,  Italy31,  Cyprus32,  Latvia,  Lithuania,  Hungary33, 
Malta34,  Slovenia  and  Slovakia:  failure  to  ensure  that  urban  waste  water  is 
adequately treated; 

  Denmark,  Germany,  Ireland,  Greece,  Spain,  France,  Italy,  Cyprus,  Luxembourg, 
Malta,  Netherlands,  Austria,  Romania,  Slovenia,  Sweden  and  United  Kingdom: 
failure to comply with reporting obligations under EU waste legislation35; 

  Denmark,  Greece,  Croatia,  Lithuania,  Malta,  Romania  and  Slovenia:  failure  to 
develop and report the programmes  of measures required by the Marine Strategy 
Framework Directive36; 

  Germany, Spain, France, Italy and United Kingdom: failure to comply with the NO2 

37limit values set by the Air Quality Directive38; 
Ireland,  Greece,  Spain39  and  Austria,:  late  adoption  of  the  second  round  of  river 
basin management plans under the Water Framework Directive40; 
Ireland,  Greece,  Portugal  and  Slovenia:  non-reporting  of  flood  risk  management 
plans under the Floods Directive41; 

 

 

  Croatia42  and  Slovenia43:  non-conformity  of  national  legislation  with  the  Birds 

Directive and the Habitats Directive44; 
45
Italy: failure to comply with the PM10

 limit values set by the Air Quality Directive46; 
 
  Cyprus  and  Slovakia:  failure  to  ensure  that  waste  landfills  operate  in  compliance 

with EU standards; 

  Luxembourg47, Romania48 and Slovakia49: failure to ensure proper monitoring of air 

quality throughout their whole territory; 

  Austria:  non-communication  of  national  measures  transposing  the  Seveso  III 

Directive50; 

18   MEMO/17/4767. 
19   MEMO/17/3494. 
20   MEMO/17/234. 
21   MEMO/17/1281. 
22   MEMO/17/1281. 
23   MEMO/17/3494. 
24   MEMO/17/3494. 
25   MEMO/17/1577. 
26   Directive 2002/49/EC. 
27   Directive 2006/21/EC. 
28   MEMO/17/1936. 
29  MEMO/17/3494. 
30   MEMO/17/3494. 
31   MEMO/17/1280. 
32   MEMO/17/1936. 
33   MEMO/17/4767. 
34   MEMO/17/3494. 
35   MEMO/17/1281 and MEMO/17/1577. 
36   Directive 2008/56/EC. 
37   Nitrogen dioxide. 
38   Directive 2008/50/EC, IP/17/238. 
39   MEMO/17/3494. 
40   Directive 2000/60/EC. 
41   Directive 2007/60/EC. 
42   MEMO/17/1045. 
43   MEMO/17/3494. 
44   Directive 2009/147/EC and Directive 92/43/EEC. 
45   PM10  is  an  air  pollutant  consisting  of  small  particles  with  an  aerodynamic  diameter  less  than  or  equal  to  a 
nominal  10  micrometres.  The  particles’  small  size  allows  them  to  penetrate  deep  into  the  lungs  where  they 
may be deposited and cause adverse health effects. (Source: European Environment Agency). 

46   Directive 2008/50/EC. 
47   MEMO/17/3494. 
48   MEMO/17/1577. 
49   MEMO/17/3494. 
50   Directive 2012/18/EU. 

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Environment 

  Romania:  failure  to  adopt  appropriate  measures  to  ensure  that  waste  from 
extractive industries is managed without endangering human health or harming the 
environment51. 

b)  The Commission referred 9 cases to the Court under Article 258 TFEU. They concern: 

  Bulgaria:  failure  to  protect  unique  habitats  and  important  bird  species  in  the  Rila 

Mountains52; 

  Czech Republic: illegal shipment of hazardous waste to Poland53; 
Ireland: failure to ensure adequate collection and treatment of urban waste water54; 
 
  France:  failure  to  address  continued  violations  of  the  EU  legislation  on  the 

conservation of wild birds55; 
Italy:  failure  to  rehabilitate  or  close  non-compliant  waste  landfills  posing  a  serious 
risk for human health and the environment56; 

 

  Poland:  increased  logging  operations  in  the  Białowieża  Forest  in  breach  of  the 

Birds and Habitats Directives57; 

  Romania58  and  Slovenia59:  failure  to  close  and  rehabilitate  illegal  waste  landfills 

posing a serious risk for human health and the environment; 

  United Kingdom: failure to protect the harbour porpoise (Phocoena phocoena)60. 

c)  The Commission referred 2 cases to the Court under Article 260(2) TFEU. They concern 

the following. 

  Spain:  Failure  to  comply  with  a  Court  judgment  finding  that  Spain  had  failed  to 
adequately  collect  and  treat  waste  water  in  a  number  of  agglomerations.  The 
Commission  asked  the  Court  to  impose  a  lump  sum  payment  of  EUR 46 522 999 
and a daily penalty payment of EUR 171 217.20 until Spain fully complies with EU 
law61. 
Italy:  Failure  to  comply  with  a  Court  judgment  finding  that  Italy  had  failed  to 
adequately collect and treat waste water discharged by numerous agglomerations. 
lump  sum  payment  of 
to 
The  Commission  asked 
EUR 62 699 421.40 and a daily penalty payment of EUR 346 922.40 until Italy fully 
complies with EU law62. 

the  Court 

impose  a 

 

51   MEMO/17/1936. 
52   Directive 1979/409/EEC, Commission v Bulgaria, C-97/17; IP/16/2491. 
53   Regulation (EC) No 1013/2006, Commission v Czech Republic, C-399/17; IP/16/2492. 
54   Directive 91/271/EEC, Commission v Ireland, C-427/17; IP/17/236. 
55   Directive 2009/147/CE, Commission v France, C-420/17, IP/16/4213. France subsequently took the necessary 
measure to ensure compliance with EU law and the Commission has therefore withdrawn this case from the 
Court; MEX/17/4652. 

56   Directive 1999/31/EC, Commission v Italy, C-498/17; IP/17/1283.  
57   Directives 92/43/EEC and 2009/147/EC, Commission v Poland, C-441/17; IP/17/1948. The Commission also 
requested  interim  measures  compelling  Poland  to  cease  operations  immediately,  C-441/17  R.  The  Court 
granted  the  Commission’s  request  for  interim  measures  and  confirmed  that  Poland  could  face  financial 
penalties if it did not respect the Court decision; Court press release No 122/17. 

58   Directive 1999/31/EC, Commission v Romania, C-301/17; IP/17/237. 
59   Directive 1999/31/EC, Commission v Slovenia, C-506/17; IP/17/1048. 
60   Directive 92/43/CEE, Commission v United Kingdom, C-669/16; IP/16/3128. 
61   Directive 91/271/EEC, Commission v Spain, C-205/17; MEMO/16/3644; IP/16/3645. 
62   Directive 91/271/EEC, Commission v Italy, C-251/17; IP/16/4212. 

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V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

168 

127 

113 

88 

50 

2013

2014

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: main policy sectors 

113 new late transposition infringement cases in 2017 

Air quality 
37 

Waste  
management 
43 

Impact 
assessment 
21 

Water protection 
& management 
11 

Other 
1 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 113 cases for late transposition in 2017. Most concern: 

  a  Directive63  amending  the  Environmental  Impact  Assessment  Directive64  (21 

Member States); 

  a Commission Directive amending the rules on reference methods, data validation 
and  location  of  sampling  points  for  the  assessment  of  ambient  air  quality65  (19 
Member States); 
the  Directive  on  the  reduction  of  national  emissions  of  certain  atmospheric 
pollutants66 (18 Member States); 

 

  a  Directive67  amending  the  Directive  on  lightweight  plastic  carrier  bags68  (16 

Member States); 

63   Directive 2014/52/EU. 
64   Directive 2011/92/EU. 
65   Directive (EU) 2015/1480. 
66   Directive (EU) 2016/2284. 
67   Directive (EU) 2015/720. 

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Environment 

  a  Commission  Directive69  amending  the  Directive  on  end-of-life  vehicles70  (11 

Member States). 

b)  The Commission did not refer any cases to the Court under Articles 258 and 260(3) TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 
  Belgium: non-compliant transposition of the Environmental Liability Directive71; 
  Bulgaria  and  Greece:  failure  to  make  available  to  the  Commission  flood  hazard  and  risk 

maps; 

  Bulgaria,  Czech  Republic,  Denmark,  Luxembourg,  Poland  and  Slovenia:  non-
communication of national measures transposing a Commission Directive72 amending the 
Groundwater Directive73; 

  Denmark,  Lithuania,  Malta,  Romania  and  Slovenia:  failure  to  develop  and  report  the 

programmes of measures required by the Marine Strategy Framework Directive74; 

  Germany: incorrect transposition of the Waste Framework Directive75; 
  Greece: failure to prepare and communicate the monitoring programmes required by the 

Marine Strategy Framework Directive76; 

  Croatia:  failure  to  revise  the  national  waste  management  plan  and  to  adopt  a  waste 

prevention programme; 

  France,  Poland  and  Finland:  non-communication  of  national  measures  transposing  the 

Seveso III Directive77; 

  Slovenia: lack of flood risk management plans required by the Floods Directive78; 
  Slovakia: incorrect transposition of the Environmental Impact Assessment Directive79. 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings80 

The Court gave the following rulings. 

  Bulgaria has failed to comply with the Air Quality Directive by exceeding the daily and/or 
81  concentrations  systematically  and  continuously  in  certain 
annual  limit  values  for  PM10
zones  and  agglomerations,  and  by  not  keeping  the  exceedance  period  as  short  as 
possible82. 

  Germany has failed to fulfil its obligations under the Habitats Directive by authorising the 
construction of a coal-fired power plant in Moorburg, near Hamburg, without conducting an 
appropriate and comprehensive assessment of its implications83. 

68   Directive 94/62/EC. 
69   Directive (EU) 2016/774. 
70   Directive 2000/53/EC. 
71   Directive 2004/35/CE. 
72   Directive 2014/80/UE. 
73   Directive 2006/118/EC. 
74   Directive 2008/56/EC. 
75   Directive 2008/98/EC. 
76   Directive 2008/56/EC. 
77   Directive 2012/18/EU. 
78   Directive 2007/60/EC. 
79   Directive 2011/92/EU. 
80   These rulings are almost exclusively handed down on infringement procedures. 
81   PM10  is  an  air  pollutant  consisting  of  small  particles  with  an  aerodynamic  diameter  less  than  or  equal  to  a 
nominal  10  micrometres.  The  particles’  small  size  allows  them  to  penetrate  deep  into  the  lungs  where  they 
may be deposited and cause adverse health effects. (Source: European Environment Agency). 

82   Directive 2008/50/EC, Commission v Bulgaria,C-488/15. 
83   Directive 92/43/EEC, Commission v Germany, C-142/16. 

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Environment 

  Greece  has  failed  to  fulfil  its  obligations  under  EU  law  by  tolerating  the  operation  of  the 
Temploni  waste  landfill  on  the  island  of  Corfu,  which  does  not  satisfy  the  conditions  and 
requirements laid down by EU directives on waste84. 

  Greece has failed to provide adequate treatment of urban waste water in several smaller 

agglomerations85. 

  Spain  has  failed  to  comply  with  its  obligations  under  the  Waste  Framework  Directive 

regarding the operation of 61 illegal waste landfill sites86. 

  Poland must immediately cease logging operations in the Białowieża Forest, except where 
strictly necessary to ensure public safety. Poland could face financial penalties of at least 
EUR 100 000 per day if it did not respect the Court order87. 

  Slovenia has failed to ensure appropriate storage and landfill of waste tyres in Lovrenc na 

Dravskem polju, in breach of EU directives on waste88. 

  The appeal brought by Sweden against a judgment of the General Court interpreting EU 
provisions  on  access  to  documents  was  unfounded.  The  Court  clarified  that  the 
documents exchanged between the Commission and the Member State concerned in the 
framework  of  the  EU  Pilot  dialogue  are  covered  by  a  general  presumption  of 
confidentiality89. 

  United Kingdom has failed to ensure adequate treatment of urban waste water in several 

agglomerations, some discharging into sensitive areas90. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Germany:  Substances  which  have  not  be  registered  at  the  time  of  their  import  into  the 
territory  of  the  EU  in  accordance  with  the  REACH  Regulation  may  be  exported  outside 
that territory91. 

  Croatia:  National  legislation  which  provides  for  a  fee  calculated  on  the  basis  of  an 
estimate of the volume of waste generated, and not on the basis of the quantity of waste 
actually produced and presented for collection, is in principle compatible with the Waste 
Framework  Directive.  However,  it  is  for  the  national  courts  to  verify  whether  such  a  fee 
triggers  costs  for  certain  waste  holders  which  are  manifestly  disproportionate  to  the 
volumes or nature of the waste that they are liable to produce92.  

 

Italy:  In  the  event  of  failure  to  carry  out  an  environmental  impact  assessment,  Member 
States are required to nullify the unlawful consequences of that failure. EU law does not 
prevent  the  conduct  of  an  impact  assessment  after  the  plant  concerned  has  been 
constructed and has entered into operation, as long as the relevant national rules do not 
allow the requirements of EU law to be circumvented and the assessment covers both the 
past and future environmental impact of the plant93. 

  Hungary:  National  legislation  which  provides  that  users  and  owners  of  land  on  which 
unlawful pollution was produced are jointly responsible for the environmental damage is 
not  contrary  to  EU  law.  It  is  not  necessary  for  this  purpose  to  establish  a  causal  link 
between the conduct of the land owners and the damage established, provided that such 
legislation complies with the principles and provisions of EU law. It is also allowed by EU 
law to provide in national legislation that owners of land on which unlawful pollution has 

84   Directives 2008/98/EC and 1999/31/EC, Commission v Greece, C-202/16. 
85   Directive 91/271/EEC, Commission v Greece, C-320/15. 
86   Directive 2008/98/EC, Commission v Spain, C-563/15. 
87   Commission v Poland (Forêt de Białowieża), C-441/17 R and Court press release No 122/17. 
88   Directives 1999/31/EC and 2008/98/CE, Commission v Slovenia, C-153/16. 
89   Regulation  (EC)  No 1049/2001,  Sweden  v  Commission,  C-562/14  P  —  appeal  against  judgment  Spirlea  v 

Commission, T-306/12. 

90   Directive 91/271/EEC, Commission v United Kingdom, C-502/15. 
91   Regulation (EC) No 1907/2006, Pinckernelle, C-535/15. 
92   Directive 2008/98/EC, VG Čistoća, C-335/16. 
93   Comune di Corridonia, joined cases C-196/16 and C-197/16. 

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Environment 

been  produced  may  be  subject  to  fines,  provided  such  legislation  is  appropriate  for 
attaining  the objective of more stringent protection and  the methods for  determining the 
amount of the fine do not go beyond what is necessary to attain that objective94. 

  Netherlands: The Commission Implementing Decision adopting the eighth update of the 
list of sites of Community importance for the Atlantic biogeographical region was invalid95. 

 

 

Austria: An environmental organisation duly constituted and operating in accordance with 
the  requirements  of  national  law  must  be  able  to  challenge  before  a  court  a  decision 
authorising a project that may be contrary to the obligation to prevent deterioration of the 
condition of water bodies. The imposition on an environmental organisation of a time limit 
leading  to  it  losing  both  its  status  as  a  party  to  the  administrative  procedure  for  the 
authorisation of a project and its right to bring an action against the decision issued at the 
end  of  that  procedure  constitutes  an  excessive  restriction  of  the  right  to  bring  judicial 
proceedings96. 

Austria: The Environmental Liability Directive applies to environmental damage occurring 
after  30 April  2007  but  caused  by  the  operation  of  a  facility  authorised  and  put  into 
operation  before  that  date.  National  legislation  is  not  compatible  with  EU  law  if  it 
automatically excludes from qualification as ‘environmental damage’ damage which has a 
significant adverse effect on the ecological, chemical or quantitative status or ecological 
potential of water, solely based on the fact that it is covered by an authorisation granted 
under  that  national  legislation.  Also  not  compatible  with  EU  law  is  national  legislation 
which  does  not  entitle  people  holding  fishing  rights  to  initiate  a  review  procedure  for 
environmental damage97. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

 

following up on cases where the Court rendered a second judgment and imposed financial 
sanctions, as well as on Court judgments expected in 2018 on the shipment of waste and 
the interpretation of the Strategic Environmental Assessment Directive98; 
legal  action  to  ensure  complete  transposition  by  Member  States  of  the  Directive  on 
reducing  the  consumption  of  lightweight  plastic  carrier  bags99,  the  Directive100  amending 
the  Environmental  Impact  Assessment  Directive101,  the  Seveso  III  Directive102  and  the 
Medium  Combustion  Plants  Directive103;  assessing  the  conformity  of  the  national 
legislation transposing these directives and the Industrial Emissions Directive104; 

  pursuing  cases  of  non-compliant  transposition  of  the  EU  provisions  on  waste  and  the 
Environmental  Quality  Standards  Directive105;  following  up  on  the  study  assessing  the 
implementation by the Member States of certain provisions of the Waste Landfill Directive, 
as interpreted by the Court106; 
legal  action  to  ensure:  complete  and  correct  transposition  of  the  Habitats  and  Birds 
Directives107;  completion  of  the  Natura  2000  network  across  the  EU  (both  terrestrial  and 
marine); and the designation and conservation of special areas of conservation; 
following  closely  the  notifications  submitted  by  Member  States  on  exemptions  from  the 
assessment procedure under the Environmental Impact Assessment Directive108; 

 

 

94   Túrkevei Tejtermelő Kft., C-129/16. 
95   Decision (EU) 2015/720, Vereniging Hoekschewaards Landschap, C-281/16. 
96   Protect Natur-, Arten- und Landschaftschutz Umweltorganisation, C-664/15. 
97   Directive 2004/35/EC, Folk, C-529/15. 
98   Directive 2001/42/EC. 
99   Directive (EU) 2015/720 amending Directive 94/62/EC. 
100   Directive 2014/52/EU. 
101   Directive 2011/92/EU. 
102   Directive 2012/18/EU. 
103   Directive (EU) 2015/2193. 
104   Directive 2010/75/EU. 
105   Directive 2013/39/EU. 
106   Directive 1999/31/EC, Commission v Italy, C-323/13. 
107   Directives 92/43/EEC and 2009/147/EC. 

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Environment 

  enforcing  the  adoption  of  the  second  round  of  river  basin  management  plans  and 
considering action to ensure compliance of the adopted plans with EU requirements109; 
legal action to address inadequate treatment of urban waste water, failure to comply with 
EU  standards  on  air  quality,  lack  of  noise  maps and  noise  action  plans,  and  absence  of 
reports under the Marine Strategy Framework Directive110. 

 

108   Directive 2011/92/EU. In 2017 Spain and Greece submitted in total three notifications concerning exemptions 
of  projects  aimed  at  responding  to  civil  emergencies  resulting  from  natural  disasters.  All  three  met  the 
conditions for exemptions under the Directive. 

109   Directive 2000/60/EC. 
110   Directive 2008/56/EC. 

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Financial stability, financial services and Capital Markets Union 

I.  COMPLAINTS 

1.  New complaints received from members of the public in 2017 

The Commission received 155 complaints from members of the public in this area in 2017 and 
88 in 2016. 

2.  Public complaints open at year-end 

57  >  Complaints open at end-2016 

155  >  New complaints registered in 2017 

109  >  Complaints handled in 2017 

= 103  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

155 complaints in 2017 

Capital markets 
58 

Insurance and 
pensions 
35 

Other 
30 

Retail financial 
services and 
payments 
32 

II.  EU PILOT 

1.  New EU Pilot files (2016-2017) 

The Commission opened one new EU Pilot file in this area in 2017. 

2.  EU Pilot files open at year-end 

There were 11 EU Pilot files open at end-2017. 

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Financial stability, financial services and Capital Markets Union 

3.  New EU Pilot files opened in 2017: main policy sectors 

The single EU Pilot file opened by the Commission related to insurance and pensions. 

4.  EU Pilot files: policies’ combined resolution rate in 2016-2017 

The resolution rate for financial stability, financial services and Capital Markets Union in 2017 
was 62 %. This compares with 73 % in 2016. 

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In  2017  the  Commission’s  own-initiative  infringement  cases  in  this  area  concerned  Member 
States’ incorrect application of the rules on the free movement of capital. 

IV. 

 INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2016-2017) 

There were 226 infringement cases open on 31 December 2017 in this area. 

2.  Infringement cases open on 31 December 2017: main policy sectors 

226 infringement cases in 2017 

Retail financial 
services and 
payments 
38 

Audit/company 
reporting/credit 
rating agencies 
30 

Capital markets 
97 

Free movement 
of capital 
19 

Insurance and 
pensions 
16 

Financial 
supervision 
15 

Others 
11 

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Financial stability, financial services and Capital Markets Union 

3.  New infringement cases opened in 2017: main policy sectors 

84 new infringement cases in 2017 

Capital markets 
66 

Audit/company 
reporting/credit 
rating agencies 
12 

Insurance and 
pensions 
4 
Financial 
supervision 
2 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  84  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Belgium,  Bulgaria,  Estonia,  Greece,  Spain,  France,  Croatia,  Latvia,  Lithuania, 
Luxembourg,  Malta,  Netherlands,  Poland,  Portugal,  Romania,  Slovenia,  Slovakia, 
Finland  and  Sweden:  late  transposition  of  the  Markets  in  Financial  Instruments 
Directive (MiFID II)1; 

  Belgium, Spain, Croatia, Cyprus, Luxembourg, Netherlands, Portugal and Romania: 

late transposition of the Payment Accounts Directive2; 

  Bulgaria, Latvia, Lithuania Hungary and Slovakia: restrictions on investors acquiring 
agricultural  land  may  violate  the  free  movement  of  capital  and  freedom  of 
establishment; 

  Estonia,  Cyprus,  Poland,  Romania  and  Slovenia:  late  transposition  of  the  Audit 

Directive3; 
Ireland, Spain and Cyprus: late transposition of the Directive on disclosure of non-
financial and diversity information by certain large undertakings4; 

 

  Croatia:  following  the  privatisation  of  the  main  Croatian  energy  company,  INA 
(Industrija Nafte d.d.), the Croatian state reserved certain special powers which may 
restrict the free movement of capital and freedom of establishment under the TFEU. 

b)  The Commission referred two cases to the Court under Article 258 TFEU. They concerned 

the following.  

  Spain: Late transposition of the ‘Whistle-blowing’ Directive5. 

  Hungary:  The  termination  of  ‘usufruct  rights’  —  contracts  giving  the  right  to  use  a 
property  and  to  profit  from  it  —  held  by  investors  in  Hungary,  especially  on 
agricultural land. The measure deprived both foreign and domestic investors of their 
acquired  rights  and  of  the  value  of  their  investments  without  providing  them  with 
compensation. The law cut the original 20-year transitional period down to four and 
a  half  months,  which  is  too  short  to  give  investors  the  opportunity  to  adapt  to  the 
new  legal  environment  and  deprives  them  of  their  acquired  rights.  The  measure 
may fail to ensure legal certainty and respect of the right to property (protected by 

1   Directive 2014/65/EU. 
2   Directive 2014/92/EU. 
3   Directive 2014/56/EU. 
4   Directive 2014/95/EU. 
5   Directive 2015/2392/EU, Commission v Spain, C-599/17, IP/17/1950. 

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Financial stability, financial services and Capital Markets Union 

the  EU  Charter  of  Fundamental  Rights).  It  may  also  violate  the  principles  of  free 
movement of capital and freedom of establishment6. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2016-2017) 

The Commission opened 84 new late transposition infringement cases in 2017. 

2.  New late transposition infringement cases opened in 2017: main policy sectors 

84 new late transposition infringement cases in 2017 

Capital 
markets 
66 

Audit/company 
reporting/credit 
rating agencies 
12 

Insurance and 
pensions 
4 
Financial 
supervision 
2 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 84 cases for late transposition in 2017. Most concern the: 

  Markets in Financial Instruments Directive (MiFID II) (19 Member States)7; 
  Directive amending the MiFID II Directive (23 Member States)8; 
  Directive implementing the MiFID II Directive (24 Member States)9. 

b)  The Commission referred three cases to the Court under Articles 258 and 260(3) TFEU. 

They concerned: 

Spain: failure to fully transpose the Mortgage Credit Directive10; 

 
  Croatia: failure to fully transpose the Mortgage Credit Directive11; 
  Croatia: failure to fully transpose the Audit Directive12; 

6   Commission v Hungary, C-235/17, IP/16/2102. 
7   Directive 2014/65/EU. 
8   Directive 2014/65/EU. 
9   Directive 2017/593/EU. 
10   Directive 2014/17/EU, Commission v Spain, C-569/17, IP/17/1049. 
11   Directive 2014/17/EU, Commission v Croatia, C-381/17, IP/17/1049. 
12   Directive 2014/56/EU, Commission v Croatia, C-415/17, IP/17/1579. 

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Financial stability, financial services and Capital Markets Union 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

 

 

 

 

Belgium, Bulgaria, Greece, Spain, Italy, Luxembourg, Malta, Austria, Romania and 
Slovakia: incomplete transposition of the Solvency II Directive13; 
Belgium, Bulgaria, Greece, Spain, Italy, Luxembourg, Malta, Austria, Romania and 
Slovakia:  incomplete  transposition  of  the  Omnibus  II  Directive  in  respect  of  the 
powers  of  the  European  Insurance  and  Occupational  Pensions Authority  and  the 
European Securities and Markets Authority14; 
Belgium,  Bulgaria,  Cyprus,  Czech  Republic,  Estonia,  Greece,  Spain,  France, 
Latvia, Luxembourg, Malta, Netherlands, Poland, Romania, Slovenia, Finland and 
Sweden: incomplete transposition of the Accounting Directive15; 
Belgium,  Bulgaria,  Czech  Republic,  Denmark,  Greece,  France,  Italy,  Cyprus, 
Latvia,  Lithuania,  Luxembourg,  Hungary,  Netherlands,  Poland,  Slovenia  and 
Sweden: incomplete transposition of the Transparency Directive16; 
in 

free  movement  of  capital 

the  Hellenic 

  Greece: 

restrictions  on 
Telecommunications Company (OTE); 
Italy: Special rights of the state in the privatisation law. 

 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

The Court gave the following preliminary ruling.  

Austria: An e-Banking website could be considered as a "durable medium", as required under 
the  Payment  Services  Directive17,  if  it  allows  the  user  to  store  information  addressed  to  him 
personally  in  such  a  way  that  he  may  access  it  and  reproduce  it  unchanged  for  an  adequate 
period, without any unilateral modification of its content by that service provider or  by another 
professional  being  possible.  If  the  user  is  obliged  to  consult  that  internet  website  in  order  to 
become  aware  of  that  information,  the  provider  shall  actively  draw  the  customer's  attention  to 
the existence and availability of that information on that website. The case concerns a clause in 
the  terms  and  conditions  of  an  Austrian  bank,  under  which  its  customers  receive  notifications 
and statements on their online banking and their banking relationship via an email inbox that the 
bank operates on its e-Banking website. To access the emails the customer must log in to the 
e-Banking website. There is no additional notification of messages that have been transmitted 
to this email inbox.18  

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

  monitoring  the  transposition  of  the  MiFID  II  Directive  and  of  two  financial  services 
directives  (the  Directive  on  payment  service19  and  the  Directive  on  insurance 
distribution20); 

 

carrying out conformity checks relating to a number of financial services directives, 
such  as  the  Accounting  and  Audit  Directives21,  the  Transparency  Directive22,  the 

13   Directive 2009/138/EC. 
14   Directive 2014/51/EU. 
15   Directive 2013/34/EU. 
16   Directive 2013/50/EU. 
17   Directive 2007/64/EC. 
18   BAWAG, C-375/15. 
19   Directive 2015/2366/EU. 
20   Directive 2016/97/EU. 

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Financial stability, financial services and Capital Markets Union 

Mortgage Credit Directive23, the Payment Accounts Directive24 and the Directive on 
disclosure  of  non-financial  information  by  certain  large  undertakings25;  assessing 
the conformity of national transposition measures with these directives. 

  Following  up  on  a  forthcoming  preliminary  ruling  on  the  compatibility  of  intra-EU 
Bilateral  Investment  Agreements  with  EU  law26.  The  Court  is  expected  to  clarify, 
among  other  things,  whether  an  investor-to-state  dispute  settlement  clause  within 
the EU is compatible with the system of legal protection established by EU law. 

21   Directives 2013/34/EU and 2014/56/EU. 
22   Directive 2013/50/EU. 
23   Directive 2014/17/EU. 
24   Directive 2014/92/EU. 
25   Directive 2014/95/EU. 
26   Achmea, C-284/16. 

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Health and food safety 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

198 

102 

2013

89 

2014

74 
2015

94 

2016

2017

2.  Public complaints open at year-end 

92  >  Complaints open at end-2016 

198  >  New complaints registered in 2017 

209  >  Complaints handled in 2017 

= 81  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

198 complaints in 2017 

Public health 
135 

Animal 
welfare/animal 
health 
33 

Food safety 
30 

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2017 Annual Report 
Health and food safety 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

42 

31 

17 

9 

2013

2014

2015

2016

2.  EU Pilot open at year-end 

At the end of 2017, 17 EU Pilot files remained open. 

3.  EU Pilot files: resolution rate for policies (2013-2017) 

91% 

76% 

75% 

75% 

83% 

72% 

71% 

70% 

0 

2017

100% 

77% 

2013

2014

2015

2016

2017

Health and food safety

General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017 the Commission opened own-initiative infringement cases over: 

  animal welfare; 
food safety; 
 
  public health. 

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Health and food safety 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

94 

107 

60 

47 

2013

2014

25 

2015

2016

2017

2.  Infringement cases open on 31 December 2017: main policy sectors 

47 infringement cases in 2017 

Public health 
24 

Food safety 
19 

Animal 
welfare/animal 
health 
4 

3.  New infringement cases opened in 2017: main policy sectors 

All 62 new infringement cases opened concerned food safety. 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  62  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Czech  Republic,  Germany  and  Luxembourg:  failure  to  notify  national  measures 
transposing the Directives on the registration of suppliers and of varieties and the 
common list of varieties, on requirements for the labelling, sealing and packaging 
of  fruit  plant  propagating  material  and  on  the  specific  requirements  for  the  genus 
and species of fruit plants1; 
Italy: non-compliance with the Commission’s decision on measures to prevent the 
spread within the EU of the plant bacterium Xylella fastidiosa2. 

 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

1   Directives 2014/96/EU, 2014/97/EU and Directive 2014/98/EU. 
2   Commission Implementing Decision (EU)2015/789; MEMO/17/1935. 

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Health and food safety 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

128 

147 

58 

62 

18 

2013

2014

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: main policy sectors 

There are 62 new late transposition cases, all concerning food safety. 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 62 cases for late transposition in 2017. Most concern: 

 

 

 

the Directive on requirements for the labelling, sealing and packaging of fruit plant 
propagating material3; 
the Directive on the registration of suppliers and of varieties and the common list of 
varieties4; 
the Directive on the specific requirements for the genus and species of fruit plants5. 

b)  The  Commission  did  not  refer  any  cases  to  the  Court  under Articles  258  and  260(3) 

TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

  Belgium: incorrect application of the Directive on the protection of pigs as regards group 

housing of sows6; 

  Czech Republic:  placing on the market of certain plant protection products  that were not 

authorised under the provisions of EU legislation7. 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

There were no major Court preliminary rulings in 2017 in this area. 

3   Directive 2014/96/EU. 
4   Directive 2014/97/EU. 
5   Directive 2014/98/EU. 
6   Directive 2008/120/EC. 
7   Regulation (EC) No 1107/2009. 

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Health and food safety 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

 

checking  the  compliance  of  national  transposition  measures  with  the  Tobacco  Products 
Directive8; 
continuing to monitor plant health-related cases, in particular Xylella fastidiosa in Italy and 
the Pinewood Nematode in Portugal. 

8   Directive 2014/40/EU. 

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Internal market, industry, entrepreneurship and SMEs 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2016-2017) 

The Commission received 476 complaints from the members of the public in the area of internal 
market, industry, entrepreneurship and SMEs in 2017, and 483 in 2016. 

2.  Public complaints open at year-end 

631  >  Complaints open at end-2016 

476  >  New complaints registered in 2017 

466  >  Complaints handled in 2017 

641  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

476 complaints in 2017 

Regulated 
professions 
122 

Services 
156 

Public 
procurement 
92 

Other 
106 

II.  EU PILOT 

1.  New EU Pilot files (2016-2017) 

In 2017 the Commission opened 9 new EU Pilot files in this area, against 111 in 2016. 

2.  EU Pilot files open at year-end 

At the end of 2017, 90 EU Pilot files remained open. 

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Internal market, industry, entrepreneurship and SMEs 

3.  New EU Pilot files opened in 2017: main policy sectors 

9 EU Pilot files opened in 2017 

Chemicals and 
health 
3 

Horizontal 
legislation for 
goods & non-
harmonized 
sectors 
2 

Public 
procurement 
1 

Regulated 
professions 
1 

Services 
1 

SME Policy 
1 

4.  EU Pilot files: resolution rate for policies (2016-2017) 

The  resolution  rate  for  files  concerning  the  internal  market,  industry,  entrepreneurship  and 
SMEs in 2017 was 73 %. 

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017 the Commission opened own-initiative infringement cases over: 

  public procurement; 
 
 

the Late Payment Directive; 1 
the automotive and mobility industries.  

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December 2017 

There were 158 infringement cases open on 31 December 2017 in this area. 

1   Directive 2011/7/EU. 

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Internal market, industry, entrepreneurship and SMEs 

2.  Infringement cases open on 31 December 2017: main policy sectors 

158 infringement cases in 2017 

Industry sectors 
29 

Public 
procurement 
54 

Other 
52 

Services 
23 

3.  New infringement cases opened in 2017: main policy sectors 

29 new infringement cases in 2017 

Space & defence 
7 

Public 
procurement 
5 

Horizontal 
legislation for 
goods & non-
harmonised 
sectors 
5 

Other 
12 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  29  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Greece,  Spain,  Malta,  Austria  and  Portugal:  failure  to  notify  national  measures 

transposing the Directive on recognition of professional qualifications2; 

  France:  restrictions  on  the  exercise  of  the  professions  of  psychomotor  therapists 

and snowboard instructors; 

  Croatia: restrictions on the exercise of the profession of lawyers; 
  Cyprus:  non-recognition  of  professional  training  in  engineering  and  architecture 

acquired abroad by Cypriot citizens3; 

  Hungary:  amendments  to  the  Hungarian  Higher  Education Act  violate  EU  law  by 

restricting EU and non-EU universities in their operations4. 

b)  The Commission referred four cases to the Court under Article 258 TFEU. They concern: 

2   Directive 2013/55/EU. 
3   Directive 2005/36/EC; IP/17/4773. 
4  

IP/17/5004. 

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  Germany: authorisation of a car manufacturer to place vehicles on the EU market 

using a banned greenhouse gas in their air-conditioning systems5; 

  Germany:  imposition  of  excessive  and  unjustified  obstacles  to  the  provision  of 

services across the internal market6; 
Italy: extension of a motorway concession contract without a prior call for tenders7; 
 
  Hungary: imposition of excessive and unjustified obstacles to cross-border activities 

by granting an exclusive right to a single operator to provide a service8. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases 2017 

Seven new late transposition infringement cases were opened in 2017. They all concerned the 
space and defence sector. 

2.  Key infringement cases and referrals to the Court 

a)  The Commission opened 7 cases for late transposition in 2017. They concern: 

 

the Directive on defence-related products9. 

b)  The  Commission  did  not  refer  any  cases  to  the  Court  under  Articles  258  and  260(3) 

TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned mainly: 
  gambling10: 

- Belgium: permanent establishment requirement under the Belgian gambling regulations; 
- Cyprus: permanent establishment requirement under the Cypriot gambling law; 
- Netherlands: non-respect of freedom of establishment (hazard games act); 
- Poland: seat requirements under Polish gambling regulations; 
- Sweden: non-respect of freedom of establishment (hazard games act). 

  non-communication of national measures transposing: 

-  Bulgaria,  Ireland,  Greece,  Spain,  Cyprus,  Latvia,  Luxembourg,  Netherlands,  Austria, 
Portugal,  Slovenia,  Finland  and  United  Kingdom:  the  Directive  on  recognition  of 
professional qualifications11; 
- Germany: the Directive on the harmonisation of the laws of the Member States relating to 
the making available on the market of pyrotechnic articles12; 
- Croatia, Cyprus, Malta and Romania: the Directive on procurement by entities operating in 
the water, energy, transport and postal services sectors13; 
- Croatia, Malta and Romania: Public Procurement Directive14; 
- Malta, Poland and Romania: Directive on the award of concession contracts15. 

5   Directive 2006/40/EC, Commission v Germany, C-668/16, IP/15/6290. 
6   Directive 2006/123/EC, Commission v Germany, C-377/17, IP/16/3646, MEMO/16/3644. 
7   Directive 2004/18/EC, Commission v Italy, C-526/17, IP/17/1284. 
8   Directive 2006/123/EC; Commission v Hungary, C-171/17; IP/16/3646. 
9   Directive 2017/433/EU. 
10  
11   Directive 2005/36/EC. 
12   Directive 2013/29/EU. 
13   Directive 2014/25/EU. 
14   Directive 2014/24/EU. 
15   Directive 2014/23/EU. 

IP/17/5109. 

49 

 
                                                 
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Internal market, industry, entrepreneurship and SMEs 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings16 

The Court ruled that: 

  Hungary:  the  requirement  to  hold  Hungarian  nationality  in  order  to  work  as  a  notary 

constitutes discrimination based on nationality prohibited by the Treaty17. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Belgium: A general and absolute prohibition of any advertising relating to the provision of 
oral and dental care services and the establishment of certain requirements of discretion 
regarding signs of dental practices violates the freedom to provide services18. 

  France:  The  case  concerned  a  refusal  to  issue  a  router  for  access  to  the  private  virtual 
network for lawyers to a lawyer duly registered at a Bar of another Member State, for the 
sole reason that that lawyer is not registered at a Bar of the first Member State, in which 
he wishes to practise his profession as a free provider of services. The Court held that the 
refusal constitutes a restriction on the freedom to provide services under Council Directive 
77/249/EEC19. 

 

Italy:  Restrictions  imposed  on  gambling  concession  holders  through  new  legislation  may 
be  compliant  with  the  TFEU  principles  provided  they  are  justified  by  overriding  reasons 
relating to the general interest and are enacted proportionately i.e. with an amendment to 
the concession providing for a transitional period of sufficient length20. 

 

Italy: The Italian measures regarding the allocation of digital TV frequencies may violate in 
several regards the EU law on the internal market21. 

  Hungary:  The  Hungarian  legislation  prohibiting  the  organisation  of  games  of  chance 
without  a  licence  violates  the  freedom  to  provide  services.  The  requirement  of  having 
provided such services in Hungary for at least 10 years constitutes discrimination22. 

  Finland:  All  postal  service  providers  may  be  subject  to  obligations  concerning  quality, 
availability  and  performance;  express/courier/parcel  service  providers  are  subject  to  the 
Postal Services Directive23. 

  United  Kingdom:  The  national  legislation  goes  beyond  what  is  considered  necessary  to 
achieve  the  objectives  of  preserving  the  allocation  of  powers  of  taxation  between  the 
Member States24. 

  United Kingdom: The TFEU cannot be invoked between the United Kingdom and Gibraltar 

regarding the UK tax regime on the provision of gambling services25. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

  monitoring the transposition of important Directives: 

-  on  the  protection  of  undisclosed  know-how  and  business  information  against  their 
unlawful acquisition, use and disclosure26; and 
- on electronic invoicing in public procurement27. 

Jean-Philippe Lahorgue, C-99/16. 

16   These rulings are almost exclusively handed down on infringement procedures. 
17   Commission vs Hungary C-392/15. 
18   Luc Vanderborght, C-339/15. 
19  
20   Global Starnet Ltd, C-322/16. 
21   Europa Way and Persidera, C-560/15 and Persidera, C-112/16. 
22   Unibet International Ltd v Nemzeti Adó, C-49/16. 
23  
24   Trustees of the P Panayi Accumulation & Maintenance Settlements, C-646/15. 
25   The Gibraltar Betting and Gaming Association Limited and The Queen, C-591/15. 
26   Directive 2016/943/EU. 

Ilves Jakelu, C-368/15. 

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Internal market, industry, entrepreneurship and SMEs 

 

 

continuing  to  follow  very  closely  national  authorities’  enforcement  of  EU  rules  in  the 
automobile sector; 
to tackle restrictions in the retail sector under the Single Market strategy, the Commission 
will adopt a Communication addressing the need ‘to set out best practices for facilitating 
retail establishment and reducing operational restrictions in the Single Market (…).’ 

27   Directive 2014/55/EU. 

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Justice and consumers 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

919 

864 

590 

596 

524 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

722  >  Complaints open at end-2016 

864  >  New complaints registered in 2017 

829  >  Complaints handled in 2017 

= 757  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

864 complaints in 2017 

Free movement 
and citizenship 
rights 
278 

Other 
386 

Fundamental 
rights 
106 

Civil Justice 
94 

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2017 Annual Report 
Justice and consumers 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

176 

103 

74 

2013

2014

2015

50 

2016

0 

2017

2.  EU Pilot files open at year-end 

At the end of 2017, 127 EU Pilot files remained open. 

3.  EU Pilot files: resolution rate for policies (2013-2017) 

76% 

79% 

75% 

75% 

80% 

72% 

88% 

77% 

70% 

64% 

2013

2014

2015

2016

2017

Justice and Consumers

General rate for all policy areas

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2017 Annual Report 
Justice and consumers 

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over: 

  protection of consumers and marketing law; 
 
 

lack of transposition of the Fourth Anti-Money Laundering Directive1; 
respect of fundamental rights. 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

125 

82 

80 

88 

67 

2013

2014

2015

2016

2017

2.  Infringement cases open on 31 December 2017: main policy sectors 

125 infringement cases in 2017 

Judicial 
cooperation in 
criminal matter 
43 

Criminal law 
20 

Consumer and 
marketing law 
19 

Financial crime 
18 

Other 
25 

1   Directive 2015/849. 

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Justice and consumers 

3.  New infringement cases opened in 2017: main policy sectors 

48 new infringement cases in 2017 

Judicial 
cooperation in 
criminal matters 
25 

Financial crime 
18 

Consumer and 
Marketing law 
3 

Rule of law 
2 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  48  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following. 

  Hungary:  Incompatibility  of  the  Hungarian  law  on  foreign-funded  civil  society 
organisations law with the free movement of capital, right to freedom of association 
and  the  rights  to  protection  of  private  life  and  personal  data  enshrined  in  the  EU 
Charter of Fundamental Rights2. 

  Poland: Incompatibility of the Polish law on the Ordinary Courts Organisation with 

EU law because of:  
a)  discrimination  on  the  basis  of  gender  due  to  the  introduction  of  a  different 
retirement  age  for  female  judges  (60  years)  and  male  judges  (65  years) 
contrary  to  Article  157  TFEU  and  the  Directive  on  gender  equality  in 
employment; and  
the  discretionary  power  of  the  Minister  of  Justice  to  prolong  the  mandate  of 
judges  who  have  reached 
the 
independence of Polish courts, in breach of Article 19(1) TEU and Article 47 of 
the Charter of Fundamental Rights3. 

the  retirement  age  which  undermines 

b) 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)   The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

2  
3  

IP/17/1982; IP/17/3663 and IP/17/5003. 
IP/17/2205; IP/17/3186 and IP/17/5367. 

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Justice and consumers 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

38 

30 

34 

41 

19 

2013

2014

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: main policy sectors 

All  41  new  late  transposition  cases  concerned  the  judicial  cooperation  in  criminal  matters  (23 
cases) and financial crime (18 cases). 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 41 cases for late transposition in 2017. They concern: 

 

 
 

the  Directive  on  the  European  Investigation  Order  in  criminal  matters  (19  Members 
States concerned)4; 
the Fourth Anti-Money Laundering Directive (18 Members States concerned)5; 
the  Directive  on  the  right  of  access  to  a  lawyer  in  criminal  proceedings  and  in 
European arrest warrant proceedings (9 Members States concerned)6. 

b)  The Commission did not refer any cases to the Court under Articles 258 and 260(3) TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

  Germany:  Incorrect  transposition  into  national  law  of  the  Directive  on  unfair  commercial 

practices7. 
Italy  and  Lithuania:  Incorrect  transposition  into  national  law  of  the  Directive  on  package 
travel8. Under the Directive, organisers of package tours must have insolvency protection 
guaranteeing  that  consumers  receive  a  refund  and  are  repatriated  if  the  organiser 
becomes insolvent9 

 

. 

4   Directive 2014/41/EU. 
5   Directive 2015/849/EU. 
6   Directive 2013/48/EU. 
7   Directive 2005/29/EC. 
8   Council Directive 90/314/EEC. 
9   MEMO/17/4767. 

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Justice and consumers 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Belgium: When determining the competent jurisdiction in relation to employment contracts 
of members of an airline crew, the Court used a set of indicators to determine the “Member 
State  where  the  employee  habitually  carries  out  his  work”  and  retained  that  the  “home 
base”  amounts  to  a  significant  indicator.  The  Court  also  underlined  that  the  jurisdiction 
clauses  obliging  those  aircrew  members  to  bring  actions  in  Ireland  were  not  enforceable 
against the employees as not meeting the conditions of the Regulation in question10. 

  Germany: The legal aid granted by the Member State of the court hearing a case, in which 
a natural person domiciled or resident in another Member State has submitted a legal aid 
application  in  the  context  of  a  cross-border  dispute,  also  covers  the  costs  paid  by  that 
person for the translation of the supporting documents necessary for the processing of that 
application11. 

  Germany: The Rome III Regulation12 does not apply to private divorce (i.e. a divorce which 
is not pronounced by a court or public authority), such as a unilateral declaration made by 
a spouse before a religious court (for example, under sharia law). The Rome III Regulation 
aims  at  facilitating  cross-border  divorces  by  determining  which  national  law,  of  all  those 
potentially  applicable,  should  be  applied  by  the  courts  of  Member  States  to  resolve  the 
divorce13. 

  Germany:  The  concept  of  ‘basic  rate’,  referred  to  in  the  Directive  on  consumer  rights14, 
means that charges for the use of a telephone helpline operated by the trader, in order to 
contact  him  in  relation  to  a  concluded  contract,  may  not  exceed  the  cost  of  a  call  to  a 
standard  geographic  landline  or  mobile  telephone  line.  This  is  regardless  of  whether  the 
relevant trader does or does not make a profit through that telephone helpline15. 

 

Ireland: An EU citizen who, after more than 1 year, has ceased to work in a self-employed 
capacity in another Member State for reasons beyond his control retains the status of self-
employed person and, consequently, a right to reside in that Member State16. 

  Greece: A law that lays down, as a criterion for admission to a police school, a minimum 
height  requirement  irrespective  of  sex  may  constitute  indirect  sex  discrimination  against 
women.  The  objective  of  ensuring  the  effective  accomplishment  of  the  task  of  the  police 
could be achieved by measures that are less disadvantageous to women, such as a pre-
selection of candidates allowing their physical ability to be assessed17. 

  Spain: The fact that a person is imprisoned, without the prospect of being released in the 
near  future,  when  an  expulsion  decision  is  adopted  does  not  exclude  that  his  conduct 
represents  a  genuine  threat  to  a  fundamental  interest  of  the  society  of  the  host  Member 
State.  Therefore,  expulsion  while  the  person  is  already  in  prison  may  be  considered 
justified18. 

  Croatia: Notaries, acting within the framework of the powers conferred on them by national 
law  in  enforcement  proceedings  based  on  an  ‘authentic  document’,  do  not  fall  within  the 

10   Moreno Osacar C-169/16, Noguiera and Others  C-168/16. 
11  
Jan Šalplachta, C-670/15. 
12   Regulation (EU) No 1259/2010. 
13   Sahyouni, C-372/16 and Court press release No 137/17. 
14   Directive 2011/83/EU. 
15   Zentrale zur Bekämpfung des unlauteren Wettbewerbs, C-568/15 and Court press release No 21/17. 
16   Gusa, C-442/16 and Court press release No 144/17. 
17   Kalliri, C-409/16 and Court press release No 106/17. 
18   Directive 2004/38/EC, E, C-193/16. 

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Justice and consumers 

concept of ‘court’ within the meaning of EU legislation19. Thus, the writs of execution which 
they  issue  may  not  be  recognised  or  enforced  in  other  Member  States  as  judicial 
decisions20. 

  Netherlands:  A  third-country  national  may,  as  the  parent  of  a  minor  child  who  is  an  EU 
citizen, rely on a derived right of residence in the EU. The fact that the other parent, an EU 
citizen,  could  assume  sole  responsibility  for  the  primary  day-to-day  care  of  the  child  is  a 
relevant factor, but is not in itself a sufficient ground to refuse a residence permit. National 
authorities must also determine whether there is, between the child and the third-country 
national  parent,  such  a  relationship  of  dependency  that  a  decision  to  refuse  a  right  of 
residence to that parent would compel the child to leave the EU21. 

  Poland: Member States may not impose mandatory liquidation on companies that wish to 
transfer  their  registered  office  to  another  Member  State.  The  transfer  of  the  registered 
office of such a company, even with no change in the location of its real head office, falls 
within the scope of the freedom of establishment protected by EU law22. 

  Romania:  When  a  financial  institution grants  a  loan  denominated  in  a  foreign  currency,  it 
must provide the borrower with sufficient information to enable him to take a prudent and 
well-informed decision and to evaluate the economic consequences of such clause on his 
financial obligations23. 

  United Kingdom: Once an EU citizen acquires the citizenship of another EU Member State, 
the Free Movement Directive ceases to apply to him/her.24 Consequently, as a general rule 
his/her spouse cannot benefit from a derived right of residence in that EU Member State 
on  the  basis  of  the  Directive  unless  this  would  be  necessary  to  ensure  the  effective 
exercise, by the EU citizen concerned, of his/her  freedom of movement and of the rights 
which the Treaties affords him/her25. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

closely monitoring the application of the: 

  General Data Protection Regulation26; 
  Regulation on insolvency proceedings27. 

 

closely monitoring that Member States transpose on time the: 

  Directive  on  the  protection  of  natural  persons  with  regard  to  the  processing  of 
personal  data  by  competent  authorities  for  the  purpose  of  the  prevention, 
investigation,  detection  or  prosecution  of  criminal  offences  or  the  execution  of 
criminal penalties, and on the free movement of such data28; 

  Directive on  the  strengthening  of certain  aspects of  the  presumption  of  innocence 

and of the right to be present at the trial in criminal law29; 
  Directive on package travel and linked travel arrangements30; 
  Council  Directive  on  the  coordination  and  cooperation  measures  to  facilitate 
consular protection for unrepresented citizens of the Union in third countries31. 

  assessing that Member States correctly transpose the: 

19   Regulations (EC) No 805/2004 and (EU) No 1215/2012. 
20   Pula Parking, C‐551/15 and Court press release No 25/17. 
21   Chavez-Vilchez, C-133/15 and Court press release No 48/17. 
22   Polbud — Wykonawstwo, C -106/16 and Court press release No 112/17. 
23   Andriciuc and Others, C-186/16 and Court press release No 103/17. 
24   Directive 2004/38/EC. 
25   Lounes, C-165/16 and Court press release No 121/17. 
26   Regulation (EU) 2016/679. 
27   Regulation (EU) No 2015/848. 
28   Directive 2016/680/EU. 
29   Directive 2016/343/EU. 
30   Directive 2015/2302/EU. 
31   Directive 2015/637/EU. 

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Justice and consumers 

  Consumer Rights Directive32; 
  Unfair Commercial Practices Directive33; 
  Procedural rights of suspects and accused persons34. 

  ensuring appropriate follow-up to the Court’s preliminary rulings concerning: 

free movement rights of same sex couples35; 
citizenship of the Union36; 

 
 
  data protection37. 

32   Directive 2011/83/EU. 
33   Directive 2005/29/EC. 
34   Directives 2012/13/EU and 2010/64/EU. 
35   Coman, C-673/16. 
36   Tjebbes, C-221/17. 
37   Google Spain, C-131/12. 

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Maritime affairs and fisheries 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

16 

12 

8 

12 

6 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

17  >  Complaints open at end-2016 

12  >  New complaints registered in 2017 

5  >  Complaints handled in 2017 

= 24  >  Complaints open at end-2017 

3. New complaints registered in 2017: main policy sectors 

12 complaints in 2017 

Fisheries 
8 

Other 
4 

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2017 Annual Report 
Maritime affairs and fisheries 

II.  EU PILOT 

1.  EU Pilot files open at year-end 

There  were  2  EU  Pilot  files  registered  in  2017,  and  12  EU  Pilot  files  remained  open  at  end-
2017. 

2.  EU Pilot files: policies’ combined resolution rate in 2013-2017 

91% 

92% 

88% 

75% 

75% 

70% 

no files processed 
in 2011 

100% 

77% 

90% 

72% 

2013

2014

2015

2016

2017

Maritime affairs and fisheries

General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over: 

  non-compliance  with  the  fisheries  control  obligations,  in  particular  the  enforcement 

requirements for serious infringements of the common fisheries policy rules; 

  non-compliance with the obligations undertaken in the framework of international fisheries 

management organisations. 

IV. 

INFRINGEMENT CASES 

Key infringement cases and referrals to the Court 

a)  The  Commission  opened  one  new  infringement  case  in  2017.  This,  and  other  major 

ongoing infringement cases, concern: 

  Bulgaria,  Greece,  Croatia,  Cyprus  and  Finland:  non-communication  of  national 

measures transposing the Maritime Spatial Planning Directive1; 

  Portugal: lack of action in preventing, deterring and eliminating illegal, unreported 
and  unregulated  fishing  by  Portuguese-flagged  vessels  in  the  waters  under  the 
responsibility of the Northwest Atlantic Fisheries Organisation2; 

  Romania:  failure  to  comply  with  the  principle  of  equal  access  to  EU  waters  and 

resources3. 

b)  The Commission did not refer any cases to the Court under Article 258 TFEU. 

c)  The Commission did not refer any cases to the Court under Article 260(2)TFEU. 

1   Directive 2014/89/EU; MEMO/17/1935. 
2   MEMO/17/3494. 
3   MEMO/17/234. 

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Maritime affairs and fisheries 

V.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

  Spain,  France,  Croatia  and  Lithuania:  non-communication  of  national  measures 

transposing the Maritime Spatial Planning Directive4; 

  Greece:  non-compliance  with  the  Mediterranean  Regulation  regarding  the  obligation  to 
adopt  a  national  management  plan  for  fisheries  conducted  by  boat  seines  within  its 
territorial waters5. 

VI. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

There were no major Court rulings in 2017 in this area. 

2.  Preliminary rulings 

There were no major preliminary rulings in 2017 in this area. 

VII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

 

 

 

 

action to ensure the complete and correct transposition by Member States of the Maritime 
Spatial Planning Directive6; 
preparing  a revision of  the  fisheries control  system,  following  the recent  comprehensive 
evaluation of the implementation and impact of the Control Regulation7; 
giving  appropriate  follow-up  to  the  recommendations  formulated  in  the  assessment  of 
Member  States’  sanctioning  systems  for  contraventions  of  the  common  fisheries  policy 
rules, with particular focus on how to improve the effectiveness of those systems and how 
to prioritise investigations of the deficiencies found; 
addressing, through action plans provided for by the Control Regulation, certain systemic 
irregularities in Member States’ fisheries control systems, where appropriate8; 
following  up  on  the  implementation  of  the  constituent  components  of  the  common 
fisheries policy, and more specifically on the application of the landing obligation set out in 
the basic common fisheries policy Regulation9. 

4   Directive 2014/89/EU. 
5   Regulation (EC) No 1967/2006. 
6   Directive 2014/89/EU. 
7   Regulation (EC) No 1224/2009. 
8   Regulation (EC) No 1224/2009. 
9   Regulation (EU) No 1380/2013. 

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Monitoring the application of European Union law  
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Migration and home affairs 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

137 

120 

100 

89 

90 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

100  >  Complaints open at end-2016 

100  >  New complaints registered in 2017 

83  >  Complaints handled in 2017 

= 117  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

100 complaints in 2017 

Visa policy and 
document 
security 
21 

Asylum 
20 

Other 
44 

Legal migration 
and integration 
15 

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 2017 Annual Report 
Migration and home affairs 

II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

61 

60 

37 

35 

2013

2014

2015

2016

6 
2017

2.  EU Pilot files open at year-end 

At the end of 2017, 48 EU Pilot files remained open. 

3.  New EU Pilot files opened in 2017: main policy sectors 

6 EU Pilot files opened in 2017 

Legal migration 
and integration 
3 

Irregular 
migration and 
return 
1 

Visas 
1 

Asylum 
1 

4.  EU Pilot files: resolution rate for policies (2013-2017) 

80% 

80% 

75% 

75% 

70% 

60% 

72% 

65% 

77% 

62% 

2013

2014

2015

2016

2017

Migration and Home Affairs

General rate for all policy areas

64 

 
 
 
 
 
Monitoring the application of European Union law  
 2017 Annual Report 
Migration and home affairs 

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over: 

legal migration and integration; 

 
  asylum; 
 
 

visa policy and document security; 
information systems for borders and security. 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

138 

129 

109 

79 

44 

2013

2014

2015

2016

2017

2.  Infringement cases open on 31 December 2017: main policy sectors 

129 infringement cases in 2017 

Legal migration 
and integration 
32 

Asylum 
58 

Organised 
crime and 
drugs policy 
18 

Other 
21 

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3.  New infringement cases opened in 2017: main policy sectors 

26 new infringement cases in 2017 

Legal migration 
and integration 
21 

Asylum 
3 

Information 
systems for 
borders and 
security 
1 

Visa policy and 
document 
security 
1 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  26  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following. 

  Bulgaria:  Lack  of  implementation  of  certain  obligations  under  EU  document 

security legislation1. 

 

  Czech Republic, Hungary and Poland: non-compliance with the obligations under 
the 2015 Council Decisions on relocation of migrants from Greece and Italy2. 
Ireland, Greece, Croatia and Italy: Failure to fully implement the Prüm Decisions, 
which  set  up  an  information-exchange  tool  that  can  offer  automated  comparison 
of DNA profiles, fingerprint data and vehicle registration data3. 
Ireland: failure to implement the Schengen Information System4. 

 
  France,  Cyprus  and  Romania:  failure  to  fully  implement  the  Regulation  on 
explosives  precursors,  which  restricts  and  controls  access  to  several  dangerous 
chemicals that could be used by terrorists to manufacture homemade explosives5. 
  Croatia:  Failure  to  correctly  fingerprint  asylum  seekers  and  irregular  migrants 
apprehended  after  crossing  an  external  border  and  to  transmit  this  data  to  the 
central Eurodac database6. 

  Hungary: incorrect implementation of the EU asylum and migration acquis7. 
  Luxembourg:  non-communication  of  national  measures  taken  to  implement  the 
‘Swedish  initiative’8.  This  allows  for  more  effective  information  and  intelligence 
sharing  between  Member  States’  law  enforcement  authorities  when  conducting 
criminal investigations or criminal intelligence operations9. 

1   Commission Decisions C(2013) 6181 and C (2013)6178. 
2   Council Decisions (EU) 2015/1523 and 2015/1601; IP/17/5002. 
3   Council Decisions 2008/615/JHA and 2008/616/JHA. 
4   Council Decision 2002/192/EC. 
5   MEMO/17/234. 
6   MEMO/17/1577. 
7  
IP/17/5023. 
8   Council Decision 2006/960/JHA. 
9   MEMO/17/3494. 

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b)  The  Commission  referred  three  cases  to  the  Court  under  Article 258  TFEU.  These 

concerned: 

  Czech Republic, Hungary and Poland: non-compliance with the obligations under the 

2015 Council Decisions on relocation of migrants from Greece and Italy; 10 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

48 

37 

39 

23 

17 

2013

2014

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: policy sectors 

There are 17 new transposition infringement cases, all concerning the intra-corporate transfer 
directive11 (legal migration and integration area). 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 17 cases for late transposition in 2017. All concern: 

 

 the Directive on the conditions of entry and residence of third-country nationals in 
the framework of an intra-corporate transfer12. 

b)  The Commission referred one case to the Court under Articles 258 and 260(3) TFEU. It 

concerns: 

 

Belgium: for failing to fully implement the Single Permit Directive, which introduces 
simplified procedures and a common set of rights for non-EU workers13. 

10   Council  Decisions  (EU)  2015/1523  and  2015/1601,  Commission  v  Poland,  C-715/17,  IP/17/5002, 
Commission v. Hungary, C-718/17, IP/17/5002, Commission v. Czech Republic, C-719/17, IP/17/5002. 

11   Directive 2014/66/EU. 
12   Directive 2014/66/EU. 
13   Directive 2011/98/EU, Commission v Belgium, C-564/17, IP/17/1953. 

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VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned: 

 

Bulgaria  and  Italy:  disproportionate  fees  for  issuing  residence  permits  to  third-country 
nationals; 

  Germany: non-compliance with the Schengen Borders Code14; 
  Germany:  failure  to  communicate  national  measures  transposing  the  Directive  on 

 

 

 

 

 

 

 

 

trafficking in human beings15; 
Estonia,  Greece,  Lithuania  and  Poland:  lack  of  implementation  of  certain  obligations 
under EU document security legislation16; 
Estonia,  Latvia,  Lithuania,  Malta  and  Romania:  non-communication  of  national 
measures transposing the Directive on seasonal workers17; 
Ireland: failure to communicate national measures transposing the Directive on attacks 
against information systems18; 
France,  Cyprus  and  Lithuania:  failure  to  implement  completely  the  Regulation  on 
explosives  precursors,  which  restricts  and  controls  access  to  several  dangerous 
chemicals that could be used by terrorists to manufacture homemade explosives; 
France,  Cyprus,  Latvia,  Lithuania  and  Slovakia:  non-communication  of  national 
measures transposing the Directive on intra-corporate transfer19; 
France,  Italy  and  Latvia:  non-communication  of  national  measures  transposing  the 
amendment of Long-Term Residents Directive20; 
Italy,  Cyprus,  Malta,  Portugal,  Romania  and  Finland:  non-communication  of  national 
measures transposing the ‘Qualifications’ Directive21; 
Italy: alleged violations of obligations under the Dublin Regulation and the Directive on 
asylum procedures22. 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings23 

  The  Court  upheld  the  validity  of  the  provisional  mechanism  for  the  mandatory 
relocation  of  asylum  seekers  set  up  by  the  2015  Council  Decisions  on  relocation  of 
migrants  from  Greece  and  Italy24.  The  Court  dismissed  the  actions  for  annulment 
brought by Hungary and Slovakia25. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Belgium:  The  denial  of  refugee  status  due  to  participation  in  terrorist  activities  is  not 
confined to the commitment of a terrorist act. An asylum application can be rejected if the 
asylum-seeker participated in the activities of a terrorist network, for example by providing 

14   Regulation (EU) 2016/399. 
15   Directive 2011/36/EU. 
16   Commission Decisions C (2013) 6181 and C (2013) 6178. 
17   Directive 2014/36/EU. 
18   Directive 2013/40/EU. 
19   Directive 2014/66/EU. 
20   Directive 2011/51/EU. 
21   Directive 2011/95/EU. 
22   Regulation No 343/2003/EC and Directive 2005/85/EC. 
23   These rulings are almost exclusively handed down on infringement procedures. 
24   Council Decisions (EU) 2015/1523 and 2015/1601; IP/17/5002. 
25   Slovakia v. Council, C-643/15 and Hungary vs Council, C-647/15 and Court press release No 91/17. 

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logistical support to the terrorist group, even without personally committing or instigating 
terrorist acts26. 

  Belgium: Member States are not required, under EU law, to grant a humanitarian visa to 
persons who wish to enter their territory with a view to applying for asylum. They remain 
free to do so, on the basis of their national law. EU law establishes only the procedures 
and conditions for issuing visas for transit through or intended stays on the territory of the 
Member States not exceeding 90 days27. 

  Czech Republic: A Member State may not detain an applicant of international protection 
for the purpose of securing a procedure for his transfer to another Member State, if the 
objective  criteria  for  assessing  the  risk  of  absconding  are  not  defined  in  its  legislation 
(even if those criteria are apparent from the case-law or the administrative practice of that 
Member State)28. 

  Germany:  The  efficient  management  of  migration  flows  may  justify  a  national  measure 
requiring  nationals  of  third  countries  under  the  age  of  16  to  hold  a  residence  permit  in 
order  to  enter  and  reside  in  that  Member  State.  However,  such  a  measure  is  not 
proportionate  where  it  concerns  child  nationals  of  third  countries  born  in  the  Member 
State in question and one of whose parents is a Turkish worker lawfully residing in that 
Member State29. 

  Germany:  Member  States  enjoy  a  wide  discretion  in  refusing  to  admit  third  country 
students who plan to carry out research in that Member State in a field that is sensitive for 
public  security,  if  the  elements  available  provide  a  sufficiently  solid  factual  basis  to  fear 
that the knowledge acquired by that person during research may subsequently be used 
for purposes contrary to public security 30. 

  Greece: A Member State may adopt an order for the removal of a citizen who constitutes 
a  serious  threat  to  public  security  based  on  the  sole  finding  that  a  previous  exclusion 
order was still valid31. 

  Spain: A decision to expel a third country long-term resident may not be adopted for the 
sole reason of having been sentenced to a term of imprisonment of more than one year. 
Before taking such decision, Member States must consider the duration of residence, the 
age of the person, the consequences for the person and family members and links with 
the country of residence 32. 

 

Italy:  National  courts  may  dismiss  an  appeal  against  a  decision  rejecting  a  manifestly 
unfounded application for international protection without hearing the applicant. In such a 
case  the  factual  circumstances  should  leave  no  doubt  as  to  whether  that  decision  was 
well founded, and during the proceedings at first instance the applicant should have been 
given the opportunity of a personal interview33. 

 

Italy: In line with the principle of equal treatment, a third-country national holding a single 
permit should also be entitled to the benefit for households34. 

  Netherlands:  Actions  by  armed  forces  during  periods  of  armed  conflict,  within  the 
meaning of international humanitarian law, may constitute ‘terrorist acts’ for the purposes 
of  EU  law  (despite  the  fact  that  some  international  conventions  exclude  them). 
Consequently, preventative measures may be applied to the perpetrator of the act35. 

26   Mostafa Lounani, C-573/14. 
27   X and X, C-638/16 and Court press release No 24/17. 
28   Policie ČR, Krajské ředitelství policie Ústeckého kraje, odbor cizinecké policie v Salah Al Chodor and others, 

C-528/15. 

29   Tekdemir v Kreis Bergstraße, C-652/15. 
30   Fahimian, C-544/15. 
31   Petrea, C-184/16. 
32   Lopez Pastuzano, C-636/16. 
33   Moussa Sacko, C-348/16. 
34   Martínez Silva, C-449/16. 
35   A, B, C, D, C-158/14. 

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  Netherlands: The starting point of the duration of an entry ban, which in principle may not 
exceed 5 years, must be calculated from the date on which the person concerned actually 
left the territory of the Member States36. 

  Austria: Where the transfer of a third-country national to the Member State that, according 
to  the  Dublin  mechanism,  is  responsible  for  examining  his  application  for  international 
protection  does  not  take  place  within  the  six-month  time  limit,  the  responsibility  for 
examination  is  transferred  automatically  to  the  Member  State  which  requested  that 
charge  be  taken  of  the  person  concerned.  It  is  not  necessary  for  the  Member  State 
responsible to refuse to take charge of that person37. 

  Poland:  The  Regulation  establishing  a  Community  Code  on  Visas38  requires  Member 
States  to  provide  for  an  appeal  procedure  against  decisions  refusing  visas.  The 
procedural rules are a matter for the legal order of each Member State in accordance with 
the  principles  of  equivalence  and  effectiveness.  The  proceedings  must  guarantee  a 
judicial appeal39. 

  Poland:  On  the  basis  of  the  Visa  Code40  and  the  Charter  of  Fundamental  Rights,  visa 
applicants have the right to a non-arbitrary treatment of their visa application and that this 
right is to be protected by a judicial appeal procedure41. 

  Slovenia:  The  transfer  of  an  asylum-seeker  to  the  Member  State  responsible  for 
examining the asylum application cannot go ahead if it might result in a risk of the person 
concerned  suffering  inhuman  or  degrading  treatment. The  transfer  of  an  asylum-seeker 
with  a  particularly  serious  mental  or  physical  illness  that  would  risk  worsening  that 
person’s health would constitute inhuman and degrading treatment42. 

  Sweden:  National  legislation  that  prescribes  a  general  and  indiscriminate  obligation  on 
providers of electronic communications services to retain data is contrary to EU law. Such 
interference with the right to private life could only be justified by the objective of fighting 
serious crime43. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

closely monitoring that Member States transpose on time the: 

  Directive on the conditions of entry and residence of third-country nationals for the 
purposes  of  research,  studies,  training,  voluntary  service,  pupil  exchange 
schemes or educational projects and au pairing44; 

  Directive on the use of passenger name record data for the prevention, detection, 

investigation and prosecution of terrorist offences and serious crime; 45 

  Directive on combating terrorism46; 

  assessing that Member States correctly and completely transpose and implement the: 

  Directives on seasonal workers and on intra-corporate transfer47;  
  Directives on asylum procedures and on reception conditions48; 

36    Mossa Ouhrami, C-225/16. 
37   Majid Shiri, C-201/16. 
38   Regulation (EC) No 810/2009. 
39   Soufiane Hassani, C-403/16. 
40   Regulation No 810/2009. 
41   Soufiane Hassani, C-403/16. 
42   C. K., H. F., A. S., C-578/16. 
43   Tele2 Sverige and Watson and Others, C‑203/15 and C-698/15. 
44   Directive 2016/801/EU. 
45   Directive 2016/681/EU. 
46   Directive 2017/541/EU. 
47   Directives 2014/36/EU and 2014/66/EU. 

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  Directive against trafficking in human beings49; 
  Directive on the freezing of proceeds of crime and confiscation of assets50; 
  Directive against sexual exploitation of children51; 
  Directive on attacks against information systems52. 

  ensuring appropriate follow-up to Court’s preliminary rulings concerning: 

  data retention53; 
  appeal procedures for challenging decisions refusing a visa54. 

48   Directives 2013/32/EU and 2013/33/EU. 
49   Directive 2011/36/EU. 
50   Directive 2014/42/EU. 
51   Directive 2011/93/EU. 
52   Directive 2013/40/EU. 
53   Privacy International, C-623/17. 
54   El Hassani, C-403/16. 

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Mobility and transport 

I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

193 

173 

155 

124 

102 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

43 

>  Complaints open at end-2016 

173 

>  New complaints registered in 2017 

135 

>  Complaints handled in 2017 

= 81 

>  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

173 complaints in 2017 

Road transport 
64 

Other 
53 

Road safety 
33 

Passengers 
rights 
23 

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II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

286 

156 

123 

106 

2013

2014

2015

2016

2017

5 

2.  EU Pilot files open at year-end 

At the end of 2017, 20 EU Pilot files remained open. 

3.  New EU Pilot files opened in 2017: main policy sectors 

5 EU Pilot files opened in 2017 

Maritime safety 
1 

Public transport 
services(rail 
and road) 
1 

Single 
European rail 
area 
1 

Road transport 
1 

Maritime 
transports and 
logistics 
1 

4.  EU Pilot files: resolution rate for policies (2013-2017) 

76% 

75% 

75% 

72% 

84% 

77% 

75% 

70% 

62% 

63% 

2013

2014

2015

2016

2017

Mobility and transport

General rate for all policy areas

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III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over: 

 

Sustainable transport: 

 

implementation  of  Directive  on 
infrastructure1. 

the  deployment  of  alternative 

fuels 

  Road sector: 

 

restrictions  on  freedom  of  establishment  and  free  movement  of  goods  in 
international  transport  by  imposing  disproportionate  penalties  for  offences 
regarding a heavy goods vehicles tolling scheme. 

  Air sector: 

 

incorrect implementation of rules on civil aviation security and management of 
civil-military airspace. 

  Maritime sector: 
 

training of seafarers2. 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

223 

241 

248 

191 

165 

2013

2014

2015

2016

2017

1   Directive 2014/94/EU. 
2   Directive 2008/106/EC. 

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2.  Infringement cases open on 31 December 2017: main policy sectors 

248 infringement cases in 2017 

Road transport 
29 

Sustainable 
transport 
24 

Aviation 
agreements 
46 

Road safety 
72 

Single 
European Sky 
22 

Maritime safety 
18 

Other 
37 

3.  New infringement cases opened in 2017: main policy sectors 

26 new infringement cases in 2017 

Other 
7 

Rail safety 
2 

Maritime safety 
2 

Sustainable 
transport 
15 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  26  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Belgium: incorrect implementation of the Airspace Regulation and the Regulation 

on common rules for the flexible use of airspace3; 

  Belgium, Ireland and Portugal: bad application of the Directive on the investigation 

of accidents in the maritime transport sector4; 

  Bulgaria,  Spain,  Finland  and  Sweden:  incorrect  transposition  of  the  Directive  on 

airport charges5; 

  France and Italy: the prohibition on the transfer of public funds from infrastructure 
management  to  transport  activities  and  the  need  to  ensure  that  funds  paid  for 
activities  relating  to  the  provision  of  passenger  transport  services  are  shown 
separately in the relevant accounts6;  

3   Regulation 551/2004 and Regulation 2150/2005. 
4   Directive 2009/18/EC, MEMO/17/1045. 
5   Directive 2009/12/EC. 
6   Directive 2012/34/EU. 

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  Austria:  restrictions  on  the  provision  of  transport  services  and  free  movement  of 

goods deriving from the national law on posting of workers7. 

b)  The Commission referred five cases to the Court under Article 258 TFEU. They concern: 

  Spain:  failure  to  comply  with  the  rules  on  access  to  the  occupation  of  road 

transport operator8; 

  Poland: implementation of the Directive on axle weights limits9; 
  Portugal: incorrect transposition of the Directive on driving licences10; 
  Portugal: incorrect transposition of the Directive on common rules and standards 
for  ship  inspection  and  survey  organisations  and  for  the  relevant  activities  of 
maritime administrations11; 

  Portugal:  lack  of  certified  quality  management  system  for  the  Portuguese 

administration’s flag State-related activities12. 

c)  The Commission did not refer any case to the Court under Article 260(2) TFEU. 

V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

129 

94 

76 

54 

36 

2013

2014

2015

2016

2017

7   Directive 96/71/EC, IP/17/1053. 
8   Regulation (EC) No 1071/2009, Commission v Spain, C-181/2017, IP/16/3651, MEMO/16/3644. 
9   Directive 96/53/EC, Commission v Poland, C-127/17, IP/16/3649, MEMO/16/3644. 
10   Directive 2006/126/EC,  Commission v Portugal, C-170/17, IP/17/241. 
11   Directive 2009/15/EC, Commission v Portugal, C-383/17, IP/17/1052. 
12   Directive 2009/21/EC, Commission v Portugal, C-382/17, IP/17/1052. 

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2.  New late transposition infringement cases opened in 2017: main policy sectors 

129 new late transposition infringement cases in 2017 

Road safety 
74 

Sustainable 
transport 
21 

Road transport 
18 

Maritime safety 
16 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 129 cases for late transposition in 2017. Most concern the: 

  Roadworthiness package (56 cases)13; 
  Directive on the deployment of alternative fuels infrastructure (21 cases)14; 
  Directive on port reception facilities for ship-generated waste and cargo residues 

(11 cases)15. 

b)  The  Commission  did  not  refer  any  case  to  the  Court  under  Articles  258  and  260(3) 

TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These included the following: 

  Belgium,  Bulgaria,  Denmark,  Germany,  Croatia,  Cyprus,  Austria,  Portugal,  Romania, 
Slovenia  and  Finland:  non-communication  of  national  measures  transposing  the 
Directive on port reception facilities for ship-generated waste and cargo residues16; 

  Bulgaria,  Czech  Republic,  Denmark,  Germany,  Ireland,  Croatia,  Cyprus,  Luxembourg, 
Slovenia,  Finland  and  United  Kingdom:  incorrect  implementation  of  the  Directive  on 
driving licences17; 

  Bulgaria,  Ireland,  Spain,  France,  Cyprus,  Latvia,  Luxembourg,  Hungary  Poland, 
Portugal,  Slovenia  and  United  Kingdom:  non-communication  of  national  measures 
transposing the Directive on marine equipment18; 

  Germany and Slovenia: non-implementation of Regulations in the area of aviation safety 

(lack of appropriate recourses)19; 

  Croatia and United Kingdom: non-communication of national measures transposing the 

Directive on the deployment of alternative fuels; 20 

13   Directive 2014/45, Directive 2014/46, Directive 2014/47. 
14   Directive 2014/94/EU. 
15   Directive 2015/2087/EU amending Directive 2000/59/EC. 
16   Directive 2015/2087/EU amending Directive 2000/59/EC. 
17   Directive 2006/126/EC. 
18   Directive 2014/90/EU. 
19   Regulation 748/2012, Regulation 1321/2014. 

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  Austria:  non-compliance  with  the  Directive  establishing  a  single  European  railway  area 

(separation of accounts)21; 

  Romania:  non-communication  of  national  measures  transposing  the  Directive  on  the 

charging of heavy goods vehicles for the use of certain infrastructures22; 

  Sweden:  non-communication  of  national  measures  transposing  the  Directive  on 
maximum  authorised  dimensions  in  national  and  international  traffic  and  the  maximum 
authorised weights in international traffic23. 

VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings24 

The Court gave the following rulings. 

  Spain: Spain failed to comply with a 2014 Court judgment on freedom of establishment 
at Spanish ports25. The Court ordered Spain to pay a lump sum of EUR 3 million26; 

  Germany: Member States have to ensure that accounts of railway undertakings are kept 
in  a  way  that  makes  it  possible  to  monitor  the  prohibition  of  transferring  public  funds 
earmarked for the management of railway infrastructure to transport services27. 

  Germany:  Germany  failed  to  fulfil  its  port  security  obligations  in  relation  to  port 

boundaries, port security assessments and port security officers28; 

  Portugal: Portugal failed to fulfil its obligations under the Directive on driving licences as 

it failed to connect to the ‘Resper’ network29. 

2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Czech  Republic:  A  collision  between  an  aircraft  and  a  bird  is  an  extraordinary 
circumstance exempting the carrier from the obligation to pay compensation in the event 
of  significant  delay.  That  delay  cannot  be  justified  by  the  alleged  need  to  carry  out  a 
second check where an authorised expert found that the aircraft was airworthy after the 
collision30. 

  Germany: EU law precludes the application of national provisions providing for a review 
of the equity of charges for the use of railway infrastructure, on a case-by-case basis, by 
the  ordinary  courts  and  the  possibility,  if  necessary,  of  amending  the  amount  of  those 
charges, independently of the monitoring performed by the regulatory body provided for 
in EU law31. 

  Spain:  An  intermediation  service  whose  purpose  is  to  connect,  by  means  of  a 
smartphone  application  and  for  remuneration,  non-professional  drivers  using  their  own 
vehicle with persons who wish to make urban journeys must be considered as a ‘service 

20   Directive 2014/94/EU. 
21   Directive 2012/34/EU. 
22   Directive 2011/76/EU. 
23   Directive 2015/719/EU amending Council Directive 96/53/EC. 
24   These rulings are almost exclusively handed down on infringement procedures. 
25   Commission v Spain, C-576/13. 
26   Commission v Spain, C-388/16. 
27   Directive 91/440/EEC and Directive 2001/14/EC, Commission v Germany, C-482/14. 
28   Directive 2005/65/EC, Commission v Germany, C-58/16. 
29   Directive 2006/126/EC, Commission v Portugal, C-665/15. 
30   Marcela Pešková and Jiří Peška, C-315/15. 
31   CTL Logistics GmbH, C-489/15. 

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in the field of transport’. The service in question is consequently covered by the common 
transport policy32. 

  Netherlands: Where a flight was cancelled, the air carrier has to pay compensation if that 
information was not communicated to the passenger at least 2 weeks before departure 
time. This holds even where the information reached, at least 2 weeks before the same 
time, the travel agent through which the carriage contract had been entered into33. 

  Romania:  National  provisions  terminating  the  authorisation  to  ride  mopeds  without 
holding a driving licence, the issue of which  is subject to passing tests or  examination, 
are compliant with EU law34. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

  monitoring and assessing national measures transposing the Directives on: 

  periodic vehicle inspections35;  
  vehicle registration documents36;  
 
 

roadside inspections of commercial vehicles37; 
the deployment of alternative fuels infrastructure38; 

 

closely  monitoring  general  issues  regarding  limitations  on  market  access  as  well  as 
safety and security in all modes of transport. 

32   Asociación Profesional Elite Taxi, C-434/15. 
33   Bas Jacob Adriaan Krijgsman, C-302/16. 
34   Costin Popescu, C-632/15. 
35   Directive 2014/45/EU. 
36   Directive 2014/46/EU. 
37   Directive 2014/47/EU. 
38   Directive 2014/94/EU. 

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I.  COMPLAINTS 

1.  New complaints received from members of the public (2013-2017) 

452 

429 

423 

406 

308 

2013

2014

2015

2016

2017

2.  Public complaints open at year-end 

340  >  Complaints open at end-2016 

308  >  New complaints registered in 2017 

296  >  Complaints handled in 2017 

= 352  >  Complaints open at end-2017 

3.  New complaints registered in 2017: main policy sectors 

308 complaints in 2017 

Indirect taxation 
- car taxation 
44 

Indirect taxation 
- VAT 
76 

Other 
68 

Direct taxation 
120 

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II.  EU PILOT 

1.  New EU Pilot files (2013-2017) 

144 

130 

106 

90 

2013

2014

2015

2016

2017

18 

2.  EU Pilot files open at year-end 

At the end of 2017, 94 EU Pilot files remained open. 

3.  New EU Pilot files opened in 2017: main policy sectors 

18 EU Pilot files opened in 2017 

Indirect taxation 
(excise duties, 
car taxation, 
VAT) 
7 

Customs 
2 

Direct taxation 
9 

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4.  EU Pilot files: resolution rate for policies (2013-2017) 

88% 

77% 

75% 

68% 

75% 

69% 

79% 

72% 

70% 

60% 

2013

2014

2015

2016

2017

Taxation and customs

General rate for all policy areas

III.  OWN-INITIATIVE CASES 

New own-initiative infringement cases 

In 2017, the Commission opened own-initiative infringement cases over the following: 

cash control and fees with an equivalent effect to a customs duty; and 

 
  domestic and cross-border VAT refunds. 

IV. 

INFRINGEMENT CASES 

1.  Infringement cases open on 31 December (2013-2017) 

174 

130 

108 

118 

90 

2013

2014

2015

2016

2017

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2.  Infringement cases open on 31 December 2017: main policy sectors 

90 infringement cases in 2017 

Direct taxation 
46 

Indirect taxation 
- VAT 
22 

Indirect taxation 
- excise duties 
13 

Other 
9 

3.  New infringement cases opened in 2017: main policy sectors 

27 new infringement cases in 2017 

Direct taxation 
23 

Indirect taxation 
- VAT 
2 

Indirect taxation 
- excise duties 
2 

4.  Key infringement cases and referrals to the Court 

a)  The  Commission  opened  27  new  infringement  cases  in  2017.  These,  and  other  major 

ongoing infringement cases, include the following: 

  Germany: reluctance by the tax administration to inform VAT refund applicants in 

certain cases may result in EU businesses losing those refund rights; 

  Spain:  the  penalty  regime  under  the  ‘Modelo  720’  (a  compulsory  declaration  on 
tax  residents’  assets  located  abroad)  may  be  disproportionate  and  thus  contrary 
to, among other things, the free movement of capital1; 
Italy: discriminatory fiscal treatment of green electricity and discriminatory taxation 
rules against non-Italian citizens relating to real estate; 

 

  Hungary and Bulgaria: cash control, proportionality of national fines; 
  Hungary:  excessive  reporting  obligations  on  businesses  under  the  Electronic 
Road Cargo Monitoring System which may violate the equal treatment of intra-EU 
and domestic transports. 

1   MEMO/17/234. 

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b)  The Commission referred four cases to the Court under Article 258 TFEU.  

  Belgium2:  The  Belgian  tax  laws  apply  different  methods  when  assessing  rents 
earned  from  real  estate.  They  attribute  a  higher  value  to  real  estate  located 
abroad  than  to  comparable  real  estate  in  Belgium.  The  rules  thus  favour 
investment in Belgian real estate over that in other Member States. This may be 
contrary to the free movement of capital. 
Ireland3: Ireland does not properly apply the EU rules on fiscal marking4 of fuels. 
Under the rules fishing vessels (among others) may benefit from a lower tax rate 
on their fuels; however, private leisure boats must use fuel subject to a standard 
rate.  In  addition,  private  leisure  boats  using  marked  fuel  risk  heavy  penalties 
abroad charged by the authorities of other Member States. 

 

  France5: The case concerns  failure  to  fully  comply  with  the  following  criteria  laid 
down  in  an  earlier  Court  judgment  on  tax  treatment  of  dividends6.  First,  the  tax 
already paid by non-French subsidiaries is not taken into account. Second, the tax 
credit  is  limited  to  one  third  of  the  dividend  redistributed  by  a  non-French 
subsidiary,  which  discriminates  between  dividends  received  from  companies  in 
other Member States and those of French origin. Finally, the requirement of proof 
is still maintained to restrict companies’ right to a refund. 

  United Kingdom7: This case also concerns failure to properly apply the EU rules 
on  fiscal  marking  of  fuels8.  Under  the  rules  fishing  vessels,  among  others,  may 
benefit from a lower tax rate on their fuels; by contrast, private leisure boats must 
use  fuel  subject  to  a  standard  rate.  UK  law  does  not  require  fuel  distributors  to 
have separate fuel tanks for marked and standard fuel. Thus, private leisure boat 
owners  often  have  no  choice  but  to  buy  marked  fuel  which  is  not  intended  for 
them.  In  addition,  private  leisure  boats  using  marked  fuel  risk  heavy  penalties 
abroad charged by the authorities of other Member States. 

c)  The Commission did not refer any cases to the Court under Article 260(2) TFEU. 

The fuel that may benefit from a reduced tax rate has to be marked by coloured dye. 

2   Commission v Belgium, C-110/17. 
3   Directive 2003/96/EC, Directive 96/60/EC, Commission v Ireland, C-504/17, IP/14/2138, MEMO/14/2130. 
4  
5   Commission v France, C-416/17, IP/16/4216. 
6  
7   Commission v United Kingdom, C-503/17, IP/14/810. 
8  

The fuel that may benefit from a reduced tax rate has to be marked by coloured dye. 

Accor SA, C-310/09. 

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V.  TRANSPOSITION OF DIRECTIVES 

1.  New late transposition infringement cases (2013-2017) 

34 

34 

11 

16 

0 

2014

2013

2015

2016

2017

2.  New late transposition infringement cases opened in 2017: main policy sectors 

All 16 new late transposition infringement cases opened in 2017 concern direct taxation. 

3.  Key infringement cases and referrals to the Court 

a)  The Commission opened 16 cases for late transposition in 2017. Most concern: 

 

the  Directives  amending  the  Directive  on  mandatory  automatic  exchange  of 
information in the field of taxation9 (DAC 3 and DAC 4)10. 

b)  The  Commission  did  not  refer  any  cases  to  the  Court  under  Articles  258  and  260(3) 

TFEU. 

VI.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

These concerned the following. 

  Denmark: Incorrect implementation of the EU Customs Code by not requiring certain 

data for a customs declaration11. 

  Germany:  Lack  of  definition  of  ‘normal  residence’  for  the  purpose  of  temporary  car 
import from another Member State; refusal to exempt from motor vehicle tax the cars 
of people who return to their non-German place of normal residence every weekend 
but  during  the  working  week  commute  between  their  temporary  residence  and 
working place, both in Germany. 

  Germany:  The  special  maintenance  allowance  under  inheritance  law.  This  was 
extended  to  non-German  surviving  spouses  (registered  partners)  upon  inheriting  a 
German  estate  or  investment  when  neither  the  deceased  nor  the  heirs  are  tax-
resident in Germany12. 
Italy:  Systematic  and  unexplained  refusal  of  applications  from  customs  agents  to 
operate as direct representatives in the simplified customs procedures.  

 

  Finland: Disproportionate taxation of vehicles leased or rented in other Member States 

when their limited duration of use in Finland is precisely known. 

9   Directive 2011/16/EU. 
10   Council Directives 2015/2376/EU and 2016/881/EU. 
11   Regulation (EC) No 2286/2003. 
12   MEMO/17/3494. 

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VII. 

IMPORTANT JUDGMENTS 

1.  Court rulings 

The Court gave the following rulings. 

  Germany:  As  the  VAT  Directive  exempts  from  VAT  all  services  provided  by  cost-
sharing  groups13  to  their  members  (under  certain  common  conditions),  the  German 
rule that restricted this kind of VAT exemption to cost-sharing groups operating in the 
medical and healthcare sector violated EU law14. 

 

Ireland: The legislation levied the full amount of car tax on leased or rented vehicles 
even if the precise duration of the lease or rent is known (e.g. based on a leasing or 
rental contract). Even though the amount levied in excess is refunded once the vehicle 
is registered in another country, the rules qualify as a disproportionate obstacle to the 
freedom to provide services15. 

  Greece:  Legacies  bestowed  on  certain  non-profit  entities  established  in  Greece 
benefited  automatically  from  a  preferential  tax  rate  of  0.5 %;  however,  similar  non-
profit entities from other Member States could benefit from this tax rate only in case of 
reciprocity (without it, the tax rate varied 20-40 %). As the Greek measure could vastly 
reduce  the  value  of  the  bequeathed  property,  it  restricted  the  free  movement  of 
capital16. 

  Luxembourg: Contrary to the strict conditions in the VAT Directive on exempting from 
VAT  services  provided  by  cost-sharing  groups17,  Luxembourgish  law  allowed  the 
exemption only if the members’ taxed activities did not exceed 30 % (or in some cases 
45 %) of their annual turnover. In addition, group members were allowed to deduct the 
VAT charged to the group on its purchases of goods and services. Lastly, operations 
by  a  member  in  his  or  her  own  name  but  on  behalf  of  the  group  were  regarded  as 
outside  the  scope  of  VAT,  with  these  rules  considered  as  incompatible  with  the  VAT 
Directive by the Court18. 

  Portugal: National rules provided that cigarettes released for consumption in a given 
year may no longer be marketed or sold to the public after the expiry of a three-month 
time  limit  starting  from  the  first  day  of  the  following  year,  even  where  there  is  no 
increase in the excise duty in that following year19. These rules were not  in line with 
the Excise Duty Directive20 and the principle of proportionality. 

13   Associations of taxpayers who come together to purchase services from third parties. 
14   Commission v Germany, C-616/15, IP/15/4493. 
15   Commission v Ireland, C-552/15, IP/15/5355, MEMO/15/5356. 
16   Commission v Greece, C-98/16, MEMO/17/3494. 
17   Associations of taxpayers who come together to purchase services from third parties. 
18   Commission v Luxembourg, C-274/15, IP/14/161, MEMO/14/116. 
19   Commission v Portugal, C-126/15, IP/14/809, MEMO/14/470. 
20   Directive 2008/118/EC. 

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2.  Preliminary rulings 

The Court gave the following preliminary rulings. 

  Belgium: Article 56 TFEU and Article 36 EEA preclude the Belgian national legislation 
that imposes discriminatory conditions for savings deposits in order to benefit from a 
tax exemption21. 

  Belgium:  The  Parent-Subsidiary  Directive22  precludes  the  Belgian  legislation  on  the 
‘Fairness Tax’. This  taxes  dividends  received  from  subsidiaries  and  exempted  under 
the Directive in the hands of the parent company when they are redistributed by that 
company23. 

  Belgium:  Belgian  rules  are  contrary  to  the  free  movement  of  workers  in  requiring 
resident workers to register their own car in Belgium if the car is already registered in 
another Member State and is intended to be used primarily in that other State24. 

  Germany:  In  relation  to  customs  valuation,  a  flat-rate  adjustment  based  on  transfer 
pricing  arrangements,  and  made  after  the  accounting  period,  cannot  be  taken  into 
account when establishing the transaction value of imported goods25. 

  Germany: The German anti-abuse measures concerning dividend payments to foreign 
companies  without  genuine  activity  were  incompatible,  in  the  respective  tax  years, 
with both the Parent-Subsidiary Directive and the freedom of establishment26. 

  Germany: It is incompatible with the free movement of workers that German law does 
not allow residents working in another Member State to deduct, from their income tax 
base,  pension  and  health  insurance  contributions  which  were  deducted  from  their 
wages  in  the  Member  State  of  employment,  in  contrast  to  comparable  contributions 
paid  to  the  German  social  security. This  also  applies  where  under  a  double-taxation 
Convention  the  income  from  the  source  state  must  not  be  taxed  in  the  worker’s 
Member  State  of  residence  but  merely  increases  the  tax  rate  to  be  applied  to  other 
income27. 

  France: The Parent-Subsidiary Directive28 precludes a tax measure providing for the 
levy of a tax on dividends redistributed by a French parent company coming from that 
company’s non-resident subsidiaries29. 

  Luxembourg:  In  the  context  of  information  exchange  between  Member  States,  the 
right to an effective remedy under the EU Charter of Fundamental Rights requires that 
the information holder should be able to contest the legality of an information request 
before a court if it is subject to a fine in case of non-compliance30. 

  Netherlands: The ‘cost of transport’ as defined in the Community Customs Code is not 
necessarily limited to the amounts charged by the carriers which themselves carry out 
the transport of the imported goods31. 

  Netherlands:  under  the  Combined  Nomenclature,  the  classification  of  video  footage 
lasting longer than 30 minutes does not change if it is divided into parts shorter than 
30  minutes.  This  remains  so  either  when  during  the  playback  the  user  is  unable  to 

21   Van der Weegen and Others, C-580/15. 
22   Directive 2011/96/EU. 
23   X, C-68/15. 
24   Criminal proceedings against Mr U, C-420/15. 
25   Hamamatsu Photonics Deutschland GmbH, C-529/16. 
26   Deister, C-504/16 and Juhler Holding, C-613/16. 
27   Bechtel & Bechtel, C-20/16. 
28    Directive 2011/96/EU. 
29   AFEP and Others, C-365/16. 
30   Berlioz Investment Fund, C-682/15. 
31   The Shirtmakers BV, C-59/16. 

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perceive  the  transition  from  one  file  to  the  next,  or  when  he  must  play  each  file 
separately32. 

  Netherlands: Screws to be used for medical implant purposes should be classified as 
orthopaedic  articles  under  the  Combined  Nomenclature  and  not  as  ‘regular’  screws, 
even if they ‘entirely correspond’ to ordinary screws33. 

  Portugal:  For  an  intra-Community  supply  transaction  to  benefit  from  the  VAT 
exemption set out in the VAT Directive, the purchaser should neither have to acquire a 
VAT  identification  number  valid  for  the  purpose  of  carrying  out  intra-Community 
transactions  nor  include  that  number  in  the  VIES  system.  These  are  merely  formal 
requirements  which  cannot  undermine  the  vendor’s  right  to  be  exempt  from  VAT 
where the substantive conditions are satisfied34. 

  United Kingdom: The case concerned the interpretation of the words ‘contract for hire 
which provides that in the normal course of events ownership is to pass at the latest 
upon payment of the final instalment’, used in the VAT Directive. The Court held that 
this  phrase  must  be  interpreted  as  applying  to  a  leasing  contract  with  an  option  to 
purchase if the contract’s financial terms suggest that exercising the option appears to 
be  the  only  economically  rational  choice  to  be  made  by  the  lessee  at  the  time  of 
performing the contract in full35. 

VIII.  OUTLOOK 

Important implementation work in 2018 includes: 

 

Indirect taxation: 

 

focusing  on  infringements  with  a  strong  impact  on  the  functioning  of  the  internal 
market and the economy; 
following up on the horizontal application of Court judgments; 

 
  monitoring cases affecting the economic situation of businesses (VAT refund) and 
cases aiming to remove obstacles to the free circulation of goods and services. 

  Direct taxation: 

  assessing  the  conformity  of  the  rules  on  mandatory  automatic  exchange  of 

information on taxation. This will concern in particular the Directives on: 
 

the  automatic  exchange  within  the  EU  of  information  relative  to  financial 
income, including dividends and capital gains, and account balances36; 
the  mandatory  automatic  exchange  of  information  in  the  field  of  taxation37; 
and 

 

  country-by-country 
authorities38. 

reporting  of 

information  by  multinationals 

to 

tax 

  Customs: 

 

focusing on cases where there is a significant financial impact on the collection of 
the  EU’s  traditional  own  resources  and  where  it  is  considered  that  the  EU’s 
exclusive competence in the customs area needs to be defended. 

32   GROFA GmbH and GoPro Coperatief, Joined Cases C-435/15 and C-666/1. 
33   Stryker EMEA Supply Chain BV, C-51/16. 
34   Euro Tyre BV, C-21/16. 
35   Mercedes-Benz Financial Services UK, C-164/16. 
36   Directive 2014/107/EU. 
37   Directive 2015/2376/EU. 
38   Directive 2016/881/EU. 

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Methodology and explanations 

I.  ANNEX I — POLICY AREAS 

1.  Complaints 

First chart: New complaints received from members of the public (2013-2017) 

This  shows  the  number  of  public  complaints  the  Commission  registered  in  the  given  policy  field  in 
2013-2017. 

Second chart: Public complaints open at year-end 

This  starts  with  the  number  of  open  complaints  carried  over  from  2016  (first  column).  The  second 
column shows the number of new complaints registered in 2017. The third column shows the number 
of complaints on which the Commission took a decision in 2017. The fourth column shows the number 
of  complaints  open  at  the  end  of  2017  (calculated  by  taking  the  first  figure,  adding  the  second  and 
subtracting the third). 

Third chart: New complaints registered in 2017: main policy sectors 

The number of registered complaints for the current reporting year is broken down by policy sector. In 
general, this breakdown shows the three policy sectors in which the most complaints were received in 
2017.  Four  (or  more)  policy  sectors  are  mentioned  if  two  (or  more)  policy  sectors  attracted  the  third 
highest number of complaints. The number of sectors covered varies according to the breadth of each 
policy area. 

2.  EU PILOT 

First chart: New EU Pilot files (2013-2017) 

This  shows  the  number  of  EU  Pilot  files  the  Commission  opened  in  the  given  policy  area  in  2013-
2017. 

Second chart: New EU Pilot files opened in 2017: main policy sectors 

The number of new EU Pilot files opened in the current reporting year is broken down by policy sector. 
This breakdown shows the three policy sectors in which the most EU Pilot files were opened in 2017. 
Four  (or  more)  policy  sectors  are  included  if  two  (or  more)  policy  sectors  tied  for  the  third  highest 
number of new EU Pilot files. 

Third chart: EU Pilot files: resolution rate for policies in 2013-2017 
The resolution rate in the given policy field is the percentage of EU Pilot files handled in that field for 
which the Commission accepted the Member States’ responses. The chart shows the resolution rate 
for the last 5 years. 

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Methodology and explanations 

3.  OWN-INITIATIVE CASES 

New own-initiative cases 

This section contains a list of the most important infringement cases the Commission launched in the 
given policy area in 2017. The list is not exhaustive. 

4. 

INFRINGEMENT CASES 

First chart: Infringement cases open on 31 December (2013-2017) 

These figures include all procedures the Commission initiated in the policy area by sending a letter of 
formal  notice  under  Article 258  TFEU.  It  covers  letters  sent  in  2017  or  before,  irrespective  of  the 
stages the cases have reached. Only cases which have not yet been closed by a formal decision are 
shown. 

Accordingly, this number includes all cases that, on 31 December of the years 2013 to 2017: 

  were in the pre-litigation phase (letter of formal notice, reasoned opinion or decision on referral 

to the Court under Article 258 TFEU); 

  were pending before the Court under Article 258 TFEU and Article 260(3) TFEU; 
 

the Court had ruled on but where the Commission could not yet confirm that the Member State 
had implemented the judgment correctly: 

  were  in  the  second  pre-litigation  procedure  (letter  of  formal  notice  or  referral  decision  under 

Article 260(2) TFEU); 

  were pending before the Court due to a second referral; and 
 

the Court had ruled on for the second time but where the Commission could not yet confirm 
that the Member State had implemented the second judgment correctly. 

This figure does not include, for example, open EU Pilot files in the policy area. It also does not include 
EU Pilot files for which the Commission had already rejected a Member State’s response but had not 
yet sent a letter of formal notice under Article 258 TFEU. 

Second chart: Infringement cases open on 31 December 2017: main policy sectors 

This shows, for the given policy area, the sectors in which the most infringement cases were still open 
on 31 December 2017. The number of sectors shown varies according to the breadth of each policy 
area. 

Third chart: New infringement cases opened in 2017: main policy sectors 

This shows, for the given policy area, the sectors in which the most infringement cases were launched 
in 2017. 

Key infringement cases and referrals to the Court 

This section has three parts: 

Part a) shows the number of new infringement cases launched in the policy area in 2017 and lists the 
most important new cases under Article 258 TFEU. 

Part b) lists the cases which the Commission referred to the Court solely under Article 258 TFEU by 
31 December  2017.  The  cases  submitted  to  the  Court  under  Article 258  and  260(3)  TFEU  are 
discussed in the ‘transposition of directives’ section (see below). 

Part c) contains the cases which the Commission referred to the Court under Article 260(2) TFEU by 
31 December 2017. 

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5.  TRANSPOSITION OF DIRECTIVES 

First chart: New late transposition infringement cases (2013-2017) 

This shows the number of letters of formal notice sent to Member States under Article 258 TFEU for 
missing or partial notification of national measures transposing directives in the given policy area. This 
figure is already included in the total number of new infringement cases initiated in the policy area in 
2017, so it should not be added to the figure shown in the first chart of the general statistics section. 

Please  note  that  not  all  of  these  new  infringement  cases  for  late  transposition  were  necessarily  still 
open on 31 December 2017. For example, if the Commission opened a late transposition infringement 
procedure  in  March  2017  by  sending  a  letter  of  formal  notice,  this  would  be  added  to  the  new 
infringement cases even if the Commission closed the case in October 2017 as a result of the Member 
State notifying complete transposition. 

Second chart: New late transposition infringement cases opened in 2017: main policy sectors 

This shows the policy sectors in which the most late transposition procedures were launched in 2017. 

Key infringement cases and referrals to the Court 

This section has two parts: 

Part a) lists, for the given policy area, the most important directive(s) over which the Commission had 
to launch infringement procedures against a relatively high number of Member States. 

Part  b)  lists  the  cases  which  the  Commission  referred  to  the  Court  under  Article 258  TFEU  and 
Article 260(3) by 31 December 2017. 

6.  EARLY RESOLUTION OF INFRINGEMENT CASES 

Major cases closed without a Court judgment in 2017 

This  section  contains  a  list  of  the  most  important  infringement  cases  the  Commission  closed  in  the 
given policy area in 2017 without a Court judgment. The list is not exhaustive. 

7. 

IMPORTANT JUDGMENTS 

This section contains two lists: 

The  first  list  contains  the  Court’s  most  important  judgments  in  the  given  policy  area  in  2017.  These 
judgments are almost exclusively handed down under Article 258 or Articles 260(2) TFEU. 

The second list contains the most important preliminary rulings that the Court issued to the Member 
State’s judiciary in the given policy area. 

These lists are not necessarily exhaustive. 

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