Second progress report on the strategy for simplifying the regulatory environment. Commission staff working document. COM (2008) 33 final, 30 January 2008

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 30.1.2008

COM(2008) 33 final

COMMISSION WORKING DOCUMENT

Second progress report on the strategy for simplifying the regulatory environment

COMMISSION WORKING DOCUMENT

Second progress report on the strategy for simplifying the regulatory environment

1. INTRODUCTION

Begun in October 2005, the strategy for simplifying the regulatory environment

set out a

rolling programme of simplification measures to be adopted between 2005 and 2008 with a

view to improving the quality and effectiveness of the

acquis

while preserving its main policy

goals.

This second progress report, which complements the Communication on the “

Second

strategic review on Better Regulation in the European Union

”

, describes in both qualitative

and quantitative terms the results already achieved, maps out the route ahead for the EU

legislature and aims to provide fresh impetus for the simplification strategy which is an

essential element of the overall Better Regulation Policy and Growth and Employment

Strategy of the European Union.

This report also shows that the Commission is effectively delivering on its commitments

under the rolling programme.

Citizens and companies have already seen tangible results and will see more as the large

number of initiatives currently pending before the legislature are adopted. Effort is being

focussed on projects bringing significant benefits to stakeholders, such as small and medium

sized enterprises (SMEs) or individual entrepreneurs, who are too often confronted with

disproportionate regulatory demands.

The Commission will complete a full screening of the Community

acquis

, checking whether

existing instruments are still needed, that the right regulatory style is used and that any

burdens imposed are as light as is compatible with the policy results desired. This process will

also identify new initiatives for inclusion in the updated simplification rolling programme to

be presented in early 2009. To make a real difference, this momentum must also continue into

the next legislature.

At the same time, whenever a way is found to make life easier for businesses without

affecting the underlying policy goals or proposing other significant changes to the regulatory

framework, the Commission will make use of the so-called fast-track actions mechanism

which helps towards reducing the administrative burden in the EU by the target 25%

by

2012. The major exercise launched by the Commission to ‘map and measure’ administrative

burden in priority areas will also fuel the simplification programme.

1

_{Commission Communication COM(2005) 535.}

2

_{Second strategic review of Better Regulation in the European Union - COM(2008) 32.}

3

_{Commission Working Document: Reducing administrative burdens in the European Union 2007}

2. S

TATE OF PLAY OF THE SIMPLIFICATION ROLLING PROGRAMME

2.1. Overview

The October 2005 simplification strategy identified an initial batch of about 100 initiatives for

the 2005 to 2008 rolling programme. 43 new initiatives were added in November 2006

and a

further 16 in October 2007

, widening the scope of the simplification exercise to all policy

areas and extending the timetable to 2009. The programme uses legislative techniques such as

repeal, codification and recasting

.

Implementation of the rolling programme is by and large on schedule. So far, the Commission

has adopted more than half of the updated 2005-2009 programme.

Of the initiatives scheduled for adoption in 2007, 80% of the programme has been delivered

by the Commission.

So far, the Commission has adopted 91 proposals composed of 24 so-called autonomous acts

adopted via the comitology procedure, 16 adopted by the legislature, 44 still pending before

the legislature and 7 which are either reviews where there was no need for a legislative action,

or merged initiatives.

Overall, since October 2005, the Commission has already put forward about 400 legal acts for

repeal, modification or replacement. As a result, about 300 legal acts representing about

5 000 pages of the Official Journal will be deleted from the Community statute book.

Furthermore, since the Commission took office, it has taken action or proposed to remove

about 2500 obsolete acts from the

acquis

.

2.2. Legislation

already

adopted

Implementing the strategy for simplifying the regulatory environment has already brought real

benefits to business and citizens.

2.2.1. Acts adopted by the Commission

So far, 24 simplification initiatives have been adopted as Commission autonomous acts via

the comitology procedure (Annex 4). For example:

•

In 2005, the Commission adopted a regulation setting reduced fees and introducing an

administrative assistance scheme for SMEs that register

pharmaceuticals

. This provides

for SMEs a reduction of 90% in the fees for scientific advice, reduced fees for SMEs when

applying for marketing authorisations and the provision of regulatory assistance for SMEs.

Extensive use is already being made of these possibilities by SMEs active in this field.

•

Rules concerning

proof of import

in third countries (in relation to

differentiated export

refunds

for certain agricultural products) were amended to allow exporters applying for

refunds to use IT container carriers’ tracking and tracing information as an alternative to

normal customs documents (which are difficult to obtain in certain countries).

•

The Commission has already adopted a Recommendation on

electronic communications

markets

that focuses regulation on the wholesale level and has cut the number of markets

susceptible to

ex ante

regulation from 18 to 7. As a result, it is estimated that

5

_{Commission Working Document COM(2006) 690.}

6

_{Commission Legislative and Working Programme 2008 - COM(2007) 640.}

administrative costs are being reduced by around 25-30% for fixed network operators and

by around 30-40% for national regulatory authorities (NRAs). Simplified market review

procedures will also bring about additional savings for NRAs.

2.2.2. Acts adopted by the legislature

The bulk of the programme depends for its adoption on the legislature, typically under the

co-decision procedure. To date, 16 simplification initiatives in the 2005-2009 rolling programme

have been adopted (Annex 5), for example:

•

In the field of agriculture, the legislature adopted the recast of the

21 Common Market

Organisations into a single scheme

to streamline and simplify the Common Agricultural

Policy for the shared benefit of farmers, administrations and companies handling

agricultural products. The creation of a single CMO will slim down legislation in the

farming sector, improve its transparency and make the policy more easily accessible. It

implies the repeal of almost 50 Council acts and replaces more than 650 legal articles in

the current regulations with around 200 creating a much simpler overall regulatory

environment without changing the underlying policies.

•

The directive on remedies in

public procurement

. In 2003, this sector was estimated to be

worth € 1,500 billion, amounting to 16.3% of EU-15 GDP. The new directive improves

national review procedures that businesses can use if they consider that a public authority

has awarded a contract unfairly. In particular, the directive introduces a mandatory

standstill period between the notification of the award decision and the signing of the

contract, in order to give bidders time to examine the decision and assess whether to

initiate a review procedure. The Directive contains supplementary rules intended to ensure

effectiveness. The introduction of these new rights and mechanisms for rejected bidders in

all 27 Member States is crucial to making sure that contracts ultimately go to the company

which has made the best offer, and therefore to the building of confidence among

businesses and the public that public procurement procedures are fair. Simplification

measures include the repeal of existing mechanisms of conciliation and attestation for

which businesses have not expressed any real interest and which are currently unused.

•

The directive on

payment services

contributes creating a "Single Payments Area" in the

EU that could save the EU economy up to € 28 billion per year. The aim is to make

electronic payments within the EU– by credit card, debit card, credit transfer, direct debit

or any other means – as easy, cheap and secure as 'domestic' payments within a Member

State are today. The directive guarantees fair and open access to payment markets and

increases and standardises consumer protection. Simplification benefits stem from

harmonisation of market access requirements, overcoming of the fragmentation effect of

divergent national and EU rules on information requirements and from harmonisation of

core rights and obligations of users and providers in the interests of certainty and

efficiency. A more efficient and competitive payments market also means that Europeans

pay less for basic banking services, the average yearly cost of which ranges from € 34 to as

much as € 252 across the EU.

•

The repeal of most existing

pre-packaging

requirements eliminated national and

Community rules for about 70 consumer products. Businesses have now more flexibility to

respond to consumer needs;

boost international trade. When fully operational, the integrated system should save

businesses € 2,5 billion/year, more than repaying the investment of € 40-50 million per

year made by the Commission and the Member States. The modernised Customs Code,

which will review the Community customs legislation, is foreseen for adoption in 2008.

2.3.

Proposals pending before the legislature

Some 44 simplification proposals are currently pending before the legislature. They include a

number of important proposals whose adoption will help simplify the regulatory environment,

for example:

•

The ground-breaking revision of EU insurance law (

Solvency II

) will improve

policyholder protection across the EU by means of more uniform and risk-sensitive

solvency requirements for insurance undertakings. Solvency II will promote better risk

management, sound pricing and strengthened supervision, thus reinforcing consumer

confidence. It will also increase competition (especially for mass retail businesses such as

motor and household insurance), exert downward pressure on some insurance prices,

encourage product innovation and improve the international competitiveness of European

insurers. Finally, the regulatory environment will be more transparent and user-friendly

with one directive replacing the current patchwork of rules contained in 14 different

directives;

•

The

code of conduct for computerised reservation systems

was developed for a market

which has evolved significantly with the divestment of airlines and the rise in internet

bookings and is now ripe for introducing more competition. The Commission proposes to

give more room to market forces in tackling higher than necessary booking fees borne by

airlines and passengers. Increased competition will improve the quality of services offered

and reduce distribution costs in the air transport sector: booking fees per journey segment

are expected to become between € 0.7 to € 0.9 cheaper, hence reducing total costs by

€ 190-240 million annually;

•

The changes in rules governing

electronic communications networks and services

aim at

ensuring effective competition, promoting investment, consolidating the internal market

and strengthening consumer interests. Substantial reduction of regulation is advocated

where there is a clear trend towards competition. An independent cost-benefit study of the

proposed eCommunications Market Authority estimates potential economic benefits

exceeding 10-30 times its operating costs (i.e. € 250-800 million) because of reduced

regulatory uncertainty and more rapid resolution of cases. For spectrum-dependent service

providers, the review introduces more flexibility, reduces the cost of doing business and

removes barriers to entry for newcomers. As a result, consumers will see improved choice

and lower prices for these services;

•

A new directive on the

inland transport of dangerous goods

will bring all three modes of

land transport (road, rail and inland waterways) into one single piece of legislation. The

proposal contains uniform provisions for all three (wherever possible) and repeals obsolete

provisions. In particular, two directives on safety advisors on dangerous goods and four

decisions on national derogations will be repealed.

The result will be a user-friendly,

transparent text reducing the volume of the

acquis

by about 2 000 pages;

take into account the latest scientific knowledge to ensure that only safe toys are available

on the EU market. Furthermore, the way the directive is enforced within the Member

States will be improved and obligations for Member State to execute appropriate and

effective market surveillance will be strengthened.

2.4.

Initiatives in the Commission’s pipeline (2008-2009)

The Commission’s efforts will intensify over the next two years. The updated 2008-2009

programme (Annex 1) is composed of 45 initiatives for 2008 and 9 initiatives for 2009.

Examples of forthcoming simplification initiatives include:

•

The

revision of the company law, accounting and auditing acquis

will remove or reduce

a range of administrative requirements now considered outdated, excessive or duplicative.

It will remove certain information requirements from the Company law Directives,

simplify disclosure requirements for companies and allow Member States to further reduce

reporting and auditing requirements for SMEs;

•

The

revision of the General

Block Exemption Regulation (GBER)

will collect in one

document all provisions concerning state aids exempt from the obligation to notify, thus

reducing the administrative burden for beneficiaries, Member States and the Commission.

The new GBER will encompass areas already in existing block exemptions on training,

employment and SMEs as well as new areas like environment, risk capital and regional

aid. It will also considerably improve SMEs’ access to state aid programmes, for example

the “SME bonus” on top of the normal applicable basic aid for investment and employment

will be harmonised and raised from 15% to 20% for small enterprises and from 7.5% to

10% for medium-sized ones;

•

The

revision of Intrastat

will reduce the burden placed on businesses by the data

collection system for Community statistics relating to trade in goods between Member

States. The Commission will in the short term propose to further simplify the scheme along

traditional lines by reducing the number of nomenclature headings and by increasing

thresholds to exempt a large number of enterprises. It is estimated that up to

190 000 enterprises could be exempted from the obligation to report statistics. At the same

time, the Commission will investigate other long term options including a possible switch

to a single flow reporting system

;

•

The forthcoming regulation on

advanced safety features and tyres

will replace some

50 separate directives by a single regulation. This will substantially lighten the burden on

Member States, which will no longer need to transpose EC rules in this area. Furthermore,

direct references to UNECE Regulations will considerably speed up the alignment of EU

law with UNECE rules, thereby allowing industry to adapt faster to technical

developments at international level;

•

The review of the directive on

Waste Electric and Electronic Equipments

(WEEE) and

the directive restricting the use of certain hazardous substances in the electric and

electronic equipments (RoHS) will clarify concepts, facilitate their implementation and

enforcement, reduce administrative costs for manufacturers and administrations as well as

provide operators with a more transparent level playing field;

•

The proposal for a framework Directive on

consumer rights

will provide common

definitions and regulate the main consumer contractual rights and remedies. By making the

regulatory framework more simple and clear for businesses and consumers, it will

contribute to the functioning of the internal market and consumer confidence;

•

The modernisation and recast of the

Common Fisheries Policy

(CFP) control system will

alleviate the constraints for the sector and increase the use of IT tools to reduce reporting

obligations.

Simplification initiatives which are particularly relevant for SMEs will also be highlighted in

the “

Small Business Act for Europe

”, to be launched in 2008.

2.5.

Simplification beyond the rolling programme

Simplification does not stop with targeted programmes such as the simplification rolling

programme, the programme to reduce administrative burdens and the codification

programme. The same imperative of simplicity must apply across the board to all legislative

proposals, as well as to operational procedures. For example:

•

In the field of research - a key contributor to the Lisbon strategy - concrete measures

have

also been proposed to simplify the

7

framework programme for research,

technological development and demonstration activities

. Administrative and financial

rules have been amended accordingly and the management of the Framework Programme

and individual research projects has been streamlined;

•

The Commission has proposed to simplify the structure of the

Erasmus Mundus

programme during its second phase (2009-13). Community action in the field of higher

education relating to third countries will become more coherent with the streamlining of a

wide range of existing programmes, currently managed under different rules despite

essentially covering the same areas. This will create a single entry point for stakeholders

involved in academic cooperation with third countries and international mobility;

•

The Commission replaced and updated four distinct notices on different jurisdictional

questions into one

Consolidated Jurisdictional Notice

under the EC Merger Regulation.

It brought immediate simplification of administrative practice and guidance;

•

The introduction of “

electronic logbook” in fisheries

provided for a whole paperless

reporting process of fishing data for fishermen and national administrations;

•

The new regulations for 2007-2013 cohesion policy reduced the number of funds and

programming steps and simplified the financial management thus increasing flexibility for

the local authorities managing the programmes on the ground. The rules governing the

Cohesion Fund and the Structural Fund have been harmonised so that local authorities and

beneficiaries have only one set of rules to apply for both Funds. In the same spirit, one new

Commission regulation implementing the Structural Funds replaced 10 implementing

regulations.

Furthermore, the completion of the Internal Market remains one of the most powerful means

to improve the business environment. Removing barriers between Member States boosted EU

GDP by € 223 billion or 2.2% in the ten years following the completion of the Single Market

package in 1993. This amounts to € 1,450 of extra income per household. Furthermore,

employment grew by 1.4% delivering an extra 2.75 million jobs. A single set of EU rules

means businesses do not have to locate and decipher 27 different sets of national rules, adapt

their products or services to them and then demonstrate compliance with them. For example:

•

The Commission recently proposed to modify EU

vehicle type-approvals

by introducing

harmonised rules for hydrogen-powered vehicles, allowing manufacturers to reap

economies of scale from larger production series for the whole European market, and

guaranteeing EU consumers that these innovative vehicles will meet high standards of

safety and environmental protection. Adapting the type–approval system to tomorrow’s

technologies will also enable the EU car industry to keep pace with its main global

competitors, improving its competitiveness on third countries’ markets.

•

In December 2007, the Commission proposed a new directive aimed at lifting obstacles to

intra-community trade in defence-related products

. Up to now, the circulation of such

products within the internal market has been constrained by a patchwork of national

procedures which not only impose an administrative burden exceeding € 430 million/year

on companies and public authorities but also introduce long lead times, up to several

months. This burden is clearly out of proportion with actual control needs, as demonstrated

by the fact that, although around 11,500 licences for intra-Community transfer are issued

annually, only 3 applications have been refused during the 2004-2006 period. This

proposal will help make European defence industries economically and technologically

more competitive, improve conditions for SMEs’ participation in armament development

and production, enable Member States to meet their military needs under proper security

conditions at lower cost and enhance security of supply for public procurement and

industrial cooperation.

2.6.

Communication instruments and stakeholders consultation

Clear and transparent information on progress in implementation of the simplification

programme is crucial to ensuring the momentum of the programme. To this end, the

Commission has set up a simplification website

to provide general information on the

simplification strategy and allow stakeholders to check on the progress of the rolling

programme. Moreover, in a number of further sectors (e.g. agriculture) consultation with

Member States' sectoral experts and stakeholders is facilitated via sectoral groups.

Consistent with its resolve to anchor simplification in stakeholders’ practical experience, in

autumn 2007 the Commission launched a new online consultation website to hear businesses’

concerns and suggestions regarding burdens imposed by legislation and red tape in general.

The Commission will make the best possible use of this stakeholder input. Whilst primarily

designed to feed into the “Action Programme for reducing administrative burdens in the

European Union”, any contribution addressing wider issues relevant to the substance of

regulation will be taken into account in shaping the simplification strategy.

3. C

ODIFICATION PROGRAMME

Codification

is a key part of the Commission's drive to reduce the size of the

acquis

and

make it more accessible.

The programme of codification involves about 400 codification acts, the majority of which

are legislative proposals. A total of 87 such acts have successfully gone through the

codification process and have been adopted and published in the OJ (62 Commission acts and

25 acts of the European Parliament and the Council). These 87 acts replace 348 previous acts.

In addition, 65 acts are pending before the legislature and 4 acts are about to be adopted by

the Commission. 152 codification acts have thus already been finalised by the Commission.

In order to complete the codification programme by the end of 2008 (Annex 2), measures

have been taken to get rid of the backlog of translations of texts being codified in the new EU

languages. Adoption of codified acts by the legislature is subject to the rules set out in the

Inter-institutional Agreement on an Accelerated Working Method for Official Codification of

20 December 1994.

4. I

NTER

-

INSTITUTIONAL ASPECTS

4.1.

Proposals pending before the legislature

Responsibility for successful simplification is shared between all those involved in the

decision-making process. In 2007, the legislature managed to clear the backlog of proposals

dating back to the simplification programme for 2003-2004.

However, 44 proposals in the 2005-2009 rolling programme are still pending before the

legislature (Annex 3). In the case of directives, the EC rules must then be transposed into

national law. Therefore, several years may elapse before the benefits of simplification can be

enjoyed (and noticed) by citizens and business.

The Commission has therefore encouraged the other institutions to adopt its simplification

proposals with the shortest possible delay.

4.2.

Simplification and the other institutions

Under the Lisbon Strategy for Growth and Jobs, the Competitiveness Council monitors the

implementation of the Better Regulation agenda in a progress report at the end of each

Presidency, indicating

inter alia

progress of the simplification rolling programme. While the

Commission welcomes the continued interest of the Council in better regulation in general

and simplification in particular, it notes that Council working methods for the examination of

simplification proposals have not yet changed fundamentally, despite commitments made in

the Inter-institutional Agreement on Better Lawmaking.

In its Resolution on the Strategy for the Simplification of the Regulatory Environment

, the

European Parliament welcomed the Commission's programme on codification and agreed that

the simplification programme should be promoted and supported by matching national

simplification initiatives. The Parliament also invites the three institutions to conclude an

inter-institutional agreement on

accelerated working methods for simplification measures.

The Commission appreciates Parliament's constructive support and the action already taken to

implement the better regulation agenda. The Commission especially welcomes the

Parliament’s amendment of its internal procedures for examining codification and recasting

proposals, which clarifies the division of responsibilities between committees and safeguards

codified parts from undue amendment on substance.

The Commission therefore encourages the Council and the Parliament to ensure speedy

adoption of its pending simplification proposals and ensure that the simplification content is

maintained in the process.

4.3.

Cooperation with the European Economic and Social Committee and the

Committee of the Regions

The Commission has tried to better organise the canvassing of organised civil society on the

regulatory quality of the

acquis

.

Further to a request from the Commission, the EESC delivered in September 2007 its opinion

on the scope for simplifying the regulatory framework in the machine sector. This had to

cover both sector-specific rules and broader legislation affecting machines, for example

health, safety and environmental protection. The Commission intends to pursue this

cooperation and has now addressed similar requests to the Committee for further reports on

other key sectors, such as the construction sector and business services.

The Commission also welcomes the report on better regulation adopted by the Committee of

the Regions in October 2007

.

5. C

ONCLUSIONS

/

C

LOSING REMARKS

Cutting red tape is now firmly on the Community political agenda. Like the other components

of the Better Regulation Agenda drawn up by the Commission at the beginning of its

mandate, the Simplification Strategy has reached cruising speed and is delivering the first

tangible and impressive benefits. The Commission will complete screening the roughly

95 000 pages of the Community

acquis

to identify possible areas where future simplification

activities might focus, and will integrate the results in the updated simplification rolling

programme to be presented in early 2009. The Commission is determined to see the present

rolling programme through and to make the

acquis

as simple, lean and up to date as possible.

A method has been put in practice and the action is producing results.

It is however clear that the regulatory framework cannot be improved by the Commission

alone. More than ever, genuine, coordinated and determined commitment at all regulatory

levels is essential to translate wishful political intentions into tangible results and ensure that

the genuine expectations of companies and citizens are fulfilled. For their part, the European

Parliament and Council share the institutional responsibility for propelling the Commission’s

proposals to the final stage of adoption. So far, notwithstanding acknowledged efforts, less

than a quarter of all simplification proposals tabled by the Commission that require adoption

by the legislature have been adopted. Obviously, it is essential that the simplification content

of these proposals is preserved during the decision-making process.

In the same vein, national, regional or local authorities in charge of transposing and

implementing EU law should strive to complement the work done in Brussels. Too often late

transposition or layers of “gold-plating” erode the simplifying effect of EU rules. The work

currently being carried out to map and measure administrative burden in certain policy areas

is expected to provide interesting lessons in this regard. In line with its recent Communication

“A Europe of Results – Applying Community Law”, the Commission will intensify its

upstream efforts to prevent infringements of EC law by improving the quality of assistance it

offers to Member States to facilitate the correct transposition and application of directives.

ANNEX 1

Simplification Rolling programme (2008-2009)

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

2008

1.

_{Legislative proposals arising from the Communication on}

the 'Health Check' in the Common Agricultural Policy

Revision

Following the 2007 Communication on the "Health Check" in the

Common Agricultural Policy (CAP), the legislative proposals will

provide options aiming at making the Single Payment Scheme more

effective, adapting the market support instruments and addressing the

new challenges facing the sector. The "Health Check" is not a

fundamental reform, rather it essentially aims to ensure that the CAP

functions effectively and to simplify it where possible. This initiative

arises from the review clauses regarding the Single Payment Scheme

and certain agricultural markets that were included in the 2003/04 CAP

reforms.

2.

_{Commission Regulation on information and promotion}

actions for agricultural products on the internal market and

in third countries

Revision

This initiative has as objective to establish the conditions regarding

co-financing of information and promotion programmes for agricultural

products in the internal market and in third countries. It will take the

form of a consolidation of two existing Commission Regulations ((EC)

No 1071/2005 and (EC) No 1346/2005).

X

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

3.

_{Private Storage: Commission Regulation laying down}

common rules for private storage of agricultural products

under Common Agricultural Policy

Revision

The aim of the proposal is to replace multiple sectoral rules by

horizontal ones and to simplify management mechanisms relating to the

private storage of agricultural products. Existing sectoral provisions,

which may vary from one sector to another, will be examined with a

view to eliminating unnecessary provisions and to harmonising the

system of private storage.

4.

_{Council Regulation amending Regulation (EC) No}

1234/2007 establishing a common organisation of markets

(CMO) and on specific provisions for certain agricultural

products (single CMO regulation)

Revision, recast

and repeal

The single common market organisation (CMO) regulation, scheduled

for adoption by Council in October 2007, merges existing CMOs into a

single text. It does not modify policy but streamlines and harmonises

legislation. Various substantive amendments were made in the

meantime to the existing CMOs. This is notably the case in the milk,

the sugar and the fruit and vegetables sectors, It is important to

incorporate these amendments into the single CMO in order to achieve

the aim of having one single simplified legal text which will facilitate

the access to the existing legislation and thus create a much higher

degree of transparency and legal clarity. The initiative thus concerns

the subsequent Commission proposal.

X

5.

_{Milk Package (two separate initiatives):}

1) Commission Regulation laying down certain

implementing rules with regard to intervention for butter

2) Commission Regulation laying down certain

implementing rules with regard to intervention for

skimmed milk powder

Revision

The purpose of the initiative is to simplify the procedures relating to

intervention buying of butter, to abolish national butter quality grades,

and to abolition private storage aid for cream and skimmed milk

powder. Technical clarifications and simplification (e.g. concerning the

security provisions) will improve the readability of the text.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

6.

_{Streamline Controls: Amendment of Commission}

Regulation (EC) No 796/2004 regarding the detailed rules

of cross compliance and the integrated administration and

control system

Revision

This proposal stems directly from the Commission report to the

Council on the application of the system of cross-compliance

(COM(2007) 147). Its amendments will lead to simpler and more

effective rules concerning the controls on direct payments to farmers

with regard to the selection of the control sample, the timing of these

controls, and the specific rules concerning on the spot checks.

X

7.

_{Starch Production Refunds: Commission Regulation}

amending Regulation (EEC) No 1722/93 laying down

detailed rules for the application of Council Regulation

(EEC) No 1766/92 concerning production refunds in the

cereals sector

Revision

Objective of this initiative is the simplification of control procedures by

increasing the threshold for special control requirements. It will

simplify the business environment in which EU starch producers

operate by eliminating the unnecessary / disproportionate

administrative measures related to the control on modified starches

This proposal has been elaborated following the consultation of

NGOs/stakeholders.

X

8.

_{Controls of export refunds: Commission Regulation}

amending Regulations (EC) No 2090/2002, (EC) No

3122/94 and (EC) No 800/1999 as regards physical and

substitution controls in the framework of export refunds on

agricultural products

Revision

Modification of Regulation (EC) No 2090/2002 laying down detailed

rules for applying Council Regulation (EC) No 386/90 as regards

physical checks carried out when agricultural products qualifying for

refunds are exported.

X

9.

_{Fresh fruit and vegetables: proposal for a Commission}

Regulation laying down the marketing standards for fresh

fruit and vegetables and establishing requirements on

checks on conformity to these marketing standards

Revision

The objective of the proposal is to merge 34 regulations on marketing

standards for fresh fruit and vegetables into one regulation, reduce the

list of products covered by marketing standards and rationalise

checking operations.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

10.

_{Common market organisation of wine: amendment of the}

Council Regulation establishing the single Common

Market Organisation Regulation (EC) No 1234/2007 to

include the provisions with regard the common market

organisation of wine.

Revision

The amendment will include the specific rules concerning the common

organisation of the wine market into the general rules concerning the

organisation of the common market in agricultural produce. This will

clarify and simplify the EU legislation.

X

11.

_{Commission Regulation on the application of Articles 87}

and 88 of the Treaty to regional aid, SME, R&D,

environmental aid, employment, training.

(General Block Exemption Regulation - final adoption)

Revision

The final objective pursued by the Commission is to group all existing

Block Exemption Regulations into one single Regulation for the first

time ever. This will bring a qualitative impact in terms of clarity,

predictability and transparency of EU rules for business and national

and regional authorities. The new GBER will cover areas already

covered by block exemptions (training, employment, SME) and new

areas (environment, risk capital, regional aid). Texts on research and

capital risk were adopted in 2006, but those applicable to the

environment will be adopted in 2007. Finalisation of the draft new

GBER is scheduled for 2007 and formal adoption by the Commission

in 2008.

12.

_{Council Directive 2001/23/EC on the approximation of the}

laws of the Member States relating to the safeguarding of

employees' rights in the event of transfers of undertakings,

businesses or parts of undertakings or businesses

Revision

Directive 2001/23/EC does not contain any provisions on conflict of

laws. As a result, there is a lack of clarity as to how to apply the

provisions of the Directive to cross-border transfers. The aim of the

proposal - to be made by the Commission following the two phases of

consultation of social partners - is therefore to clarify the application of

the Directive to cross-border operations. The proposal would increase

legal certainty for economic and judicial agents and result in costs

savings for undertakings and better protection for workers.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

place in November 2007, it appears that the revision of the Directive

is not necessary.

13.

_{Community initiative on work-related musculoskeletal}

disorders

Recast

The objective of this initiative is to integrate into a single legislative

instrument the provisions on the protection of the health and safety of

workers from the risks of musculo-skeletal disorders at work. These

provisions are currently fragmented over different directives, namely

Council Directive 90/269/EEC on the minimum health and safety

requirements for the manual handling of loads and Council Directive

90/270/EEC on the minimum health and safety requirements for work

with display screen equipment. A single legislative instrument would

be more comprehensive, clearer and easier to apply. It will benefit

employers in terms of legal clarity and workers in terms of providing

better protection against the risks of musculo-skeletal disorders.

14.

_{Revision of the Pharmaceutical "Variations" Regulations:}

change to the legal basis, in Directives 2001/83/EC on the

Community code relating to medicinal products for human

use and 2001/82/EC for veterinary use

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

veterinary medical products. The current legal basis for implementing

rules on changes to the marketing authorisation doesn't allow the

Commission to set rules for purely national marketing authorisation.

This legal basis should be widened to close the gap for harmonisation.

This initiative aims at changing the legal basis for Directives:

2001/83/EC on the Community code relating to medicinal products for

human use and Directive 2001/82/EC on the Community code relating

to medicinal products for veterinary use.

15.

_{Revision of the pharmaceutical "Variations" Regulations:}

simplification and modernisation of Regulation (EC) No

1084/2003 and (EC) No 1085/2003

Revision

The objective is to reduce the administrative burden for industry by

simplifying the rules for variations of human and veterinary medicinal

products. The Variations regulation are implementing rules adopted by

the Commission on changes to the marketing authorisation of

pharmaceuticals.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

17.

_{Textiles: simplification and replacement by a single}

regulation

Revision

The replacement of 3 Directives by 1 Regulation will simplify

procedures for Member States, companies and the Commission leading

to shorter periods for adoption of new fibre names. The standard

methods of quantitative analysis of binary and ternary textile fibre

mixtures currently included in two of the directives are to be transferred

to the standardisation process. This means that consumers and

companies could benefit faster from the use of new innovative

products. Innovation and technological developments will be thus

encouraged. In addition, the legal nature of the legislation (Regulation)

will facilitate the application of technical adaptations by the Member

States.

18.

_{Pressure Vessels and Transportable Pressure Equipment}

_Repeal

_{The objective is to repeal 4 Directives on Pressure Vessels}

(76/767/EEC, 84/525/EEC, 84/526/EEC, 84/527/EEC) and integration

of the still relevant provisions into the revision of Directive 99/36/EC

(Transportable Pressure Equipment).

19.

_{Metrology: extension of the scope of Directive 2004/22/EC}

on measuring instruments and repeal of 8 "old approach"

methodology Directives

Repeal

The objective is to provide for a coherent legal framework for legal

metrology. The extension of the scope of the Directive is the legal

prerequisite for the repeal of the following "old approach" Directives.

20.

_{Eco-management and audit scheme: revision of the}

Regulation (EC) No 761/2001 of 19 March 2001 allowing

voluntary participation by organisations in a Community

eco-management and audit scheme (EMAS)

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

by allowing corporate registration and for small organisations by

cluster registration. All participating organisations will benefit from

reduced procedural requirements, simplified rules for the use of logo

and harmonised rules for accreditation, verification and registration. In

addition SMEs and small local authorities will benefit from reduced

verification and reporting obligations and lower registration fees.

Synergies with other environmental management systems will be

facilitated. Incentives and regulatory relief for participating

organisations by the member states will be encouraged.

21.

_{Eco-label award scheme: revision of Regulation (EC) No}

1980/2000 of the European Parliament and of the Council

of 17 July 2000 on a revised Community eco-label award

scheme

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

22.

_{Biocides: revision of the legislation on the placing of}

biocidal products on the market

Recast

This proposal follows the 2007 Report on the implementation of the

Biocides Directive (98/8/EC). The objective is to provide a revised

legal framework for regulating the placing on the market of biocidal

products. The revision aims to address concerns regarding complexity

and the cost, as well as the availability of certain biocidal products, and

bring about a significant simplification of the current legislative

framework and procedures. The revision of the biocides legislative

framework will bring it in line with the EU Chemicals policy (REACH

Regulation).

X

23.

_{WEEE: revision of Directive 2002/96/EC on Waste}

Electric and Electronic Equipments

Revision

The revision of the Directive 2002/96/EC will examine possibilities to

increase the efficiency and effectiveness of the directive in achieving

its environmental goals and eliminate any unnecessary costs to

business, consumers, NGOs and public authorities arising from

implementation of the directive. The revision will concern the targets,

scope, treatment requirement and the operation of the producer

responsibility provisions.

24.

RoHS: revision of Directive 2002/95/EC on the limitation

of the use of certain hazardous substances in the electric

and electronic equipments

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

administrative costs for administrations and manufacturers.

25.

_{Ozone layer: revision of Regulation (EC) No 2037/2000 on}

substances that deplete the ozone layer

Recast

As the production and consumption of the substances covered have

been reduced or phased out, many provisions of the Regulation, after

seven years in force, need to be repealed or updated. Other provisions

may benefit from simplification such as clarification of definitions and

procedures and interaction with other pieces of legislation. This will

reduce the cases of ambiguous interpretation and the risk of

infringements and consequent administrative burdens. In particular,

most of the administrative cost reduction will result from ending

exemption provisions on some uses of ozone depleting substances. The

beneficiaries will be the Member States and the Commission. Overall,

the cost savings from ending the exemptions is expected to exceed any

additional cost associated with new control measures to combat illegal

trade of ozone depleting substances.

26.

_{SEIS: legislative proposal to follow up the Communication}

on a Shared Environmental Information System (SEIS)

Revision

Following the 2007 Communication the Commission will adopt

legislative proposals underpinning the development of SEIS that could

address reporting streamlining and/or coherence of approaches to

monitoring and information. This initiative aims to improve the

availability, quality and comparability of data, avoid redundancies in

reporting requirements to Member States and therefore, the

administrative burden, remove obstacles related to information

accessibility and enhance the coherence of monitoring systems and

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

indicators.

27.

_{Revision of Regulation (EC) No 638/2004 of the EP and of}

the Council on Community statistics relating to the trading

of goods between Member States

Revision

Simplification of Intrastat with a view to alleviate the statistical

reporting of economic operators, in particular SMEs, taking into

account the outcome of the ongoing pilot project of administrative costs

and a future feasibility study to analyse workability of a collection

system limited to one flow.

28.

_{Modernisation and recast of the CFP control system under}

Regulation (EC) No 2847/93

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

29.

_{Proposal for a Commission Regulation laying down}

implementing rules for the collection and management of

data needed to conduct the CFP

Revision

The proposal is intended to establish implementing rules according to

the new framework Council Regulation on data collection, currently

under discussion at the Council. The main innovations will include the

support for new approaches such as fleet and area based management

and the move towards the ecosystem approach as well as the promotion

of a more regional approach to data collection. Moreover, new

provisions for the access to data are to be included.

X

30.

_{Revision of the company law, accounting and auditing}

acquis

Revision

Measures to simplify the company law environment for companies in

the context of the "Better Regulation" framework.

31.

_{Consolidation of accounting standards and interpretations}

endorsed for use in the EU

Recast

Commission will prepare a consolidated version of all International

Financial Reporting Standards (IFRS) in force as per 31.12.2007. It

willwill enable constituents to refer to only one Regulation as it will

contain all endorsed IFRS. In this context any translation errors

contained in the current Regulations will be corrected.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

33.

_{Proposal for a Framework Directive on Consumer}

Contractual Rights

Revision

The overall aim of the revision of the acquis, is to simplify and improve

the coherence of the consumer regulatory framework and thus enhance

legal certainty both for consumers and business. The legal instrument

will be a combination of codification and repeal of parts of existing

directives and enactment of new rules. The revision will be based on a

mixed approach consisting of the adoption of a horizontal instrument,

underpinned whenever required by vertical revisions of existing

directives. This framework instrument would systematise and regulate

in a uniform fashion common features of the consumer acquis. The

instrument would provide common definitions and regulate the main

consumer contractual rights and remedies. It would also regulate

consistently the contractual aspects of sales which are currently

scattered across several Directives.

34.

_{Simplify procedures of listing and publishing information}

in the veterinary and zootechnical fields

Revision

The general objective is to harmonise and simplify, essentially by

means of electronic tools, the current procedures for listing, updating

and publishing information in the veterinary and zootechnical fields

such as lists of approved animal health establishments and breeding

organisations in Member States and Third Countries and lists of certain

national reference laboratories. 22 Council acts are concerned.

X

35.

_{Harmonisation of Maximum Residues Levels (MRL) for}

pesticides

Revision

The main objective of this proposal will concern the transfer and

up-date by comitology of the list of MRLs (Annex II) and temporary

MRLs (Annex III) based on European Food Safety Agency (EFSA)

assessment and mathematical models/expert calculations. The proposal

will be a final step towards harmonisation of divergent national MRLs.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

Completion of the replacement of 4 Directives by one Regulation.

36.

_{Review of the provisions related to the total feed ban}

_Revision

_{A ban on the feeding of mammalian meat and bone meal (MBM) to}

cattle, sheep and goats was introduced as of July 1994. This partial ban

was extended to a total EU wide suspension on the use of processed

animal protein in feed for any animals farmed for the production of

food on 1 January 2001 with some exceptions like the use of fish meal

for non-ruminants. Any presence of prohibited constituents of animal

origin in feed is considered as a breach of the feed ban i.e. the

zero-tolerance.

Following the adoption of the TSE Road map the Commission issued a

Commission staff working paper i.e. Work Programme on TSE

[SEC(2006) 1527] on future legislative actions in the field of

transmissible spongiform encephalopathy. One of the topics concerns a

revision of the feed ban provisions. The starting point when revising

the current feed ban provisions should be risk-based but at the same

time taking into account the control tools in place to evaluate and

ensure the proper implementation of this feed ban.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

37.

_{Revision of food safety in EU Switzerland trade in}

agricultural products

- Decision n° 1/2008 of the Joint Veterinary Committee set

up by the Agreement between the European Community

and the Swiss Confederation on trade in agricultural

products amending appendix to Annex 11 to the

Agreement

- Decision to amend Commission Decision 2001/881/EC

on import controls to abolish border inspections posts

between EC and Switzerland

Revision

The revision of the safety provisions will consist of:

- Completion of the equivalence determination between the Swiss

legislation related to food safety and veterinary policies including

border veterinary controls and import conditions, updating of the

content of the Agreement with regard to legislations adopted since the

last Agreement modification.

- As Switzerland has accepted to apply the EC acquis in relation to

animal health, food safety and hygiene controls, a uniform high level of

protection will therefore exist in the EC and Switzerland. This permits

the abolition of border controls on trade in animals and animal products

between the two.

X

38.

_{Recast of basic safety standards legislation for the}

protection against the dangers arising from exposure to

ionising radiation

Recast

Recast into a single Council Directive of relevant Euratom acts on

radiation protection including a substantial revision of the Basic Safety

Standards (BSS) directive. The objective is to bring the BSS directive

in line with the forthcoming recommendations of the International

Commission on Radiological protection (ICRP), when available. At the

same time the legislation in the field of radiation protection has to be

simplified.

39.

Legislative proposal revising Council Directive

2006/67/EC with the aim of strengthening the European

emergency oil stocks system

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

40.

Recasting of Directive 2002/91/EC of 16 December 2002

on the Energy Performance of Buildings

Recast or

Revision

The Energy Performance of Buildings Directive makes certificates for

the energy performance of buildings mandatory when buildings are

constructed, sold or rented out and requires minimum energy

performance requirements for new buildings and existing building

which undergo major renovation. Furthermore, the Directive requires

regular inspections of boilers and air-conditioning systems in order to

guarantee their energy efficient operation. An amended Directive could

enlarge the scope to more buildings, strengthen and specify some of

these requirements and add, for instance, financing aspects. The

changes under consideration aim at overcoming multiple barriers that

hinder the utilization of the vast potential for energy demand reductions

in the buildings sector. The recasting of the Directive is part of package

on the Strategic Energy Review and included in the Energy Efficiency

Action Plan. The amendments will cover some articles of the Directive

and add new ones. The "simplification" will consist of using the

"recasting" technique to facilitate reading and comprehension for the

implementing authorities and for the many stakeholders affected.

X

41.

Recast of Council Directive 92/75/EEC of 22 September

1992 on the indication by labelling and standard product

information of the consumption of energy and other

resources by household appliances

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

42.

Proposal to recast the legislation concerning the "first

railway package" following the report in 2006 of its

implementation, in particular for the requirements

concerning the relations between infrastructure managers

and railway undertakings

Recast

The first and successive railway packages are legal instruments to

achieve the Community's objective to create a European Railway Area

through market opening, as well as technical and regulatory market

integration. As rail markets transform, an ongoing review of the

suitability of the EU legal framework appears appropriate with possible

simplification and streamlining. The Commission intends to present a

communication accompanied by a proposal for modification/recast of

the existing acts, especially Directives 91/440/EEC and 2001/14/EC.

The political goal is to enhance the competitiveness of rail transport in

Europe and to hence contribute to achieving the objectives of the

Lisbon strategy. The recast aims at a simplification of the text of the

three Directives of the 1st railway package by merging them into one

legal act, a 'railway access code'. By eliminating existing

cross-references between the Directives the reading and implementation will

be come easier for the implementing authorities and the many

stakeholders affected.

43.

Revision of the Council Directive 94/56/EC establishing

the fundamental principles governing the investigation of

civil aviation accidents and incidents and of Directive

2003/42/EC on occurrence reporting in civil aviation

Revision or

Recast

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

directives deal with the use of feedback information to improve

accident prevention.

44.

Modernise the Marine Equipment Directive 96/98/EC

Recast or

Revision

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives to

COM (2005)

535 and

COM(2006)

690

approach) is expected to improve the readability of this instrument and

reduce the administrative burden on the industry. Timing of adoption is

conditional on significant progress being achieved by December 2007

in the legislative process as regards the revision of the New Approach.

Title of action

Type of

simplification

action

Description of scope and objectives

Additional

initiatives

to COM

(2005) 535

and

COM(2006

) 690

2009

46.

_{Amendment to Annex IV to Regulation (EC) No}

2003/2003 on fertilizers

Revision

It is intended to amend Annex IV of Regulation (EC) No 2003/2003 in

order to ensure that CEN Standards can be considered as official

methods of analysis to be used as reference for official controls. Their

updated version delivered by CEN will no longer be included in the

legal act but will exist in the form of separate standards to which the

Community law will refer – the detailed description of test methods

currently contained in the Annex will be deleted.