Avis juridique important

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31981K1835

Commission Recommendation No 1835/81/ECSC of 3 July 1981 to the Member States on the obligation to publish price lists and conditions of sale and on prohibited practices in the steel trade

Official Journal L 184 , 04/07/1981 P. 0009 - 0012 Spanish special edition: Chapter 08 Volume 2 P. 0086  Portuguese special edition Chapter 08 Volume 2 P. 0086

++++COMMISSION RECOMMENDATION NO 1835/81/ECSC  OF 3 JULY 1981  TO THE MEMBER STATES ON THE OBLIGATION TO PUBLISH PRICE LISTS AND CONDITIONS OF SALE AND ON PROHIBITED PRACTICES IN THE STEEL TRADE  THE COMMISSION OF THE EUROPEAN COMMUNITIES ,  HAVING REGARD TO THE TREATY ESTABLISHING THE EUROPEAN COAL AND STEEL COMMUNITY , AND IN PARTICULAR ARTICLE 63 ( 3 ) THEREOF ,  WHEREAS THE PRESENT SITUATION ON THE STEEL MARKET CALLS FOR DECISIVE ACTION ON SELLING PRICES FOR STEEL PRODUCTS ; WHEREAS THE COMMISSION IS STRENGTHENING ITS SURVEILLANCE MEASURES WITHIN THIS FRAMEWORK TO ENSURE THAT PRICE RULES ARE OBSERVED AND , BY DECISION NO 1834/81 OF 3 JULY 1981 AMENDING HIGH AUTHORITY DECISION NO 30/53 ( 1 ) , HAS FURTHER SPECIFIED THE OBLIGATIONS WHICH MUST BE MET BY THE UNDERTAKINGS IN RESPECT OF THEIR SALES ORGANIZATIONS ;  WHEREAS THE STEEL MARKET FORMS A WHOLE WITHIN WHICH DEALERS PLAY AN IMPORTANT PART , SINCE OVER HALF THE STEEL SOLD IN THE COMMUNITY PASSES THROUGH THEIR HANDS , EITHER AS DIRECT SALES OR AS SALES FROM STOCKS , INCLUDING SALES OF PRODUCTS IMPORTED FROM THIRD COUNTRIES ;  WHEREAS , TO ARRIVE TO AN EFFECTIVE PRICE DISCIPLINE , THE MARKET MUST BE BOUND TO IT AS A WHOLE AND THE COMMISSION MUST SUPPLEMENT ITS PRICING MEASURES BY INVOKING THE POWERS CONFERRED ON IT BY ARTICLE 63 ( 3 ) OF THE TREATY TO ENSURE THAT UNDERTAKINGS ENGAGED IN THE DISTRIBUTION OF STEEL OBSERVE RULES ON PRICES AND CONDITIONS OF SALE SIMILAR TO THOSE IMPOSED ON THE PRODUCTION UNDERTAKINGS BY ARTICLE 60 OF THE TREATY AND THE IMPLEMENTING DECISIONS TAKEN PURSUANT THERETO ;  WHEREAS THESE PROVISIONS MUST BE APPLIED TO ALL CATEGORIES AND QUALITIES OF STEEL COVERED BY THE TREATY , EITHER PRODUCED IN THE COMMUNITY OR ORIGINATING IN THIRD COUNTRIES ; WHEREAS THEY MUST BE APPLIED TO DEALERS' TRANSACTIONS OF ALL TYPES , TO DIRECT SALES AND TO SALES FROM STOCKS ;  WHEREAS IT WOULD NOT BE APPROPRIATE TO EXTEND THE OBLIGATIONS IMPOSED ON DEALERS TO ALL DISTRIBUTION UNDERTAKINGS , SINCE THE TURNOVER OF SOME SUCH UNDERTAKINGS IS NOT HIGH ; WHEREAS IN THESE CIRCUMSTANCES THE OBLIGATIONS TO BE IMPOSED ON DEALERS MAY BE LIMITED TO DISTRIBUTION UNDERTAKINGS WHOSE ANNUAL SALES AMOUNT TO AT LEAST 12 000 TONNES PER YEAR ;  WHEREAS DISTRIBUTION UNDERTAKINGS BELONGING TO A SINGLE GROUP MUST BE SUBJECT TO THESE OBLIGATIONS , WHEN THEIR CUMULATIVE TOTAL OF SALES AMOUNTS TO OR EXCEEDS THE MINIMUM ANNUAL TONNAGE SPECIFIED ABOVE , SINCE THEY ACT AS A SINGLE ECONOMIC ENTITY ;  WHEREAS , TO AVOID ALL DISCRIMINATION , DISTRIBUTION UNDERTAKINGS SELLING STEEL PRODUCTS COVERED BY THE TREATY , MANUFACTURED FROM OTHER STEEL PRODUCTS , IN PARTICULAR UNDERTAKINGS UNCOILING HOT WIDE STRIP WHICH THEY THEN CUT INTO SHEETS OR SLIT INTO NARROW STRIP , MUST BE TREATED IN THE SAME MANNER ;  WHEREAS THE IMPLEMENTATION OF THIS RECOMMENDATION IN CERTAIN MEMBER STATES WILL NECESSITATE LEGISLATIVE PROCEDURES AND OTHER MEASURES , THE ENACTMENT OF WHICH WILL REQUIRE A CERTAIN AMOUNT OF TIME ; WHEREAS IT IS THEREFORE NECESSARY TO ALLOW A PERIOD OF SUFFICIENT LENGTH - UP TO 30 JUNE 1982 - TO IMPLEMENT THE RECOMMENDATION ; MEANWHILE THE COMMISSION WILL ITSELF BE IMPOSING EQUIVALENT OBLIGATIONS ON DISTRIBUTION UNDERTAKINGS DIRECTLY BY DECISION NO 1836/81/ECSC TAKEN PURSUANT TO ARTICLE 95 ; ACCORDINGLY THE MEMBER STATES NEED ONLY ENSURE THE OBSERVANCE AND SURVEILLANCE OF THESE OBLIGATIONS AFTER THAT DATE ,  HAS ADOPTED THIS RECOMMENDATION :  ARTICLE 1  THE MEMBER STATES SHALL , FROM 1 JULY 1982 TO 30 JUNE 1984 , PUT INTO EFFECT MEASURES TO ENSURE THAT THE STEEL DISTRIBUTIVE UNDERTAKINGS REFERRED TO IN ARTICLE 2 ARE SUBJECT TO THE OBLIGATIONS UNDER THIS RECOMMENDATION AND TO SECURE OBSERVANCE OF THESE OBLIGATIONS BY MEANS OF APPROPRIATE SURVEILLANCE MEASURES AND THE SANCTIONS DESCRIBED IN ARTICLE 16 .  THE MEMBER STATES SHALL INFORM THE COMMISSION OF THE MEASURES TAKEN NOT LATER THAN 1 JANUARY 1982 .  ARTICLE 2  1 . THIS RECOMMENDATION SHALL BE APPLICABLE TO DISTRIBUTIVE UNDERTAKINGS IN THE COMMUNITY WHICH EFFECT DIRECT AND EX-STOCK SALES , WITHIN THE COMMON MARKET , OF THE STEEL PRODUCTS DEFINED IN ANNEX I TO THE TREATY , WITH THE EXCEPTION OF SCRAP , PROVIDED THAT :   - THEY OBTAIN THE STEEL , IN TOTAL OR IN PART , DIRECTLY FROM STEEL PRODUCERS IN THE COMMUNITY OR IN THIRD COUNTRIES ,  AND   - THEIR STEEL RESALE FIGURES , COMBINED , WHERE APPROPRIATE , WITH THE STEEL RESALE FIGURES OF THEIR PARENT AND/OR SUBSIDIARY COMPANIES AND BRANCHES , INVOLVE A MINIMUM OF 12 000 TONNES PER YEAR , BASED ON THE FIGURES FOR THE LAST FINANCIAL YEAR ,  AND   - THEY ARE NOT SELLING AGENCIES AS DEFINED IN DECISION NO 30/53 ,  HEREINAFTER CALLED " STEEL DEALERS " .  2 . THE DISTRIBUTIVE UNDERTAKINGS REFERRED TO IN PARAGRAPH 1 WHICH MARKET STEEL PRODUCTS AFTER HAVING PROCESSED THEM SHALL ALSO BE CONSIDERED AS " STEEL DEALERS " AND SUBJECTED TO THE SAME RULES . FOR THE PURPOSES OF THIS RECOMMENDATION , PROCESSING OCCURS WHEN ONE OF THE STEEL PRODUCTS LISTED IN ANNEX I TO THE ECSC TREATY IS PROCESSED INTO ANOTHER STEEL PRODUCT LISTED IN THE SAME ANNEX BY MEANS OF AN OPERATION OTHER THAN ROLLING .  3 . IF THE STEEL SALES OF A DISTRIBUTION UNDERTAKING IN ONE YEAR AMOUNTS TO OR EXCEEDS THE MINIMUM TONNAGE LAID DOWN IN PARAGRAPH 1 , THE PROVISIONS OF THIS RECOMMENDATION SHALL BE APPLICABLE TO IT FROM THE FOLLOWING CALENDAR YEAR .  ARTICLE 3  STEEL DEALERS SHALL BE OBLIGED TO PUBLISH PRICE LISTS AND CONDITIONS OF SALE FOR DIRECT AND EX-STOCK SALES IN ACCORDANCE WITH THE PROVISIONS SET OUT BELOW AND TO COMMUNICATE THEM TO AN ADMINISTRATIVE DEPARTMENT DESIGNATED BY THE MEMBER STATE .  A PARENT STEEL-TRADING COMPANY MAY PUBLISH PRICE LISTS AND CONDITIONS OF SALE WHICH ARE ALSO VALID FOR ITS SUBSIDIARIES AND BRANCHES .  ARTICLE 4  ALL PRICE LISTS AND CONDITIONS OF SALE PUBLISHED SHALL CONTAIN THE FOLLOWING INFORMATION :   ( A ) BASIC PRICES ACCORDING TO CATEGORY OF PRODUCTS , OR BASIC PRICES FOR EACH GRADE AND CATEGORY OF PRODUCTS ;   ( B ) EXTRAS WHICH ARE APPLIED , INDICATING :   - EXTRAS FOR SIZE AND LENGTH ,   - EXTRAS FOR GRADES AND QUALITY ,   - QUANTITY EXTRAS AND REBATES FOR EACH SAMPLE AND/OR FOR EACH SPECIFIED ORDER ,   - TOLERANCES NOT LIABLE TO SURCHARGE ,   - EXTRAS FOR REDUCED TOLERANCES ,   - ALSO SURCHARGES AND INCREASES NORMALLY APPLIED IN CONNECTION WITH DELIVERY OF THE VARIOUS PRODUCTS , PARTICULARY SURCHARGES FOR CUTTING AND SLITTING ;   ( C ) PLACE OF DELIVERY ;   ( D ) METHOD OF QUOTATION ;   ( E ) COSTS IN CONNECTION WITH METHOD OF SHIPMENT ;   ( F ) WHERE THEY ARE APPLIED :   - DISCOUNTS , REBATES , PREMIUMS OR ANY OTHER KIND OF BENEFIT TO OTHER DEALERS OR USERS ;   ( G ) TERMS OF PAYMENT ;   ( H ) NATURE AND AMOUNT OF TAXES AND OTHER CHARGES ADDITIONAL TO THE PRICES ON THE PRICE LISTS , UNDER THE TERMS OFFERED TO PURCHASERS .  ARTICLE 5  THE PRICE LISTS OF A STEEL DEALER SHALL NOT CONTAIN PRICES FOR PRODUCTS WHICH ARE NOT ACTUALLY OFFERED ON THE MARKET BY THE STEEL DEALER CONCERNED .  ARTICLE 6  1 . ( A ) PRICE LISTS AND CONDITIONS OF SALE SHALL APPLY NOT EARLIER THAN TWO CLEAR DAYS AFTER THEY HAVE BEEN ADDRESSED TO THE DEPARTMENT DESIGNATED BY THE GOVERNMENT OF THE MEMBER STATE .   ( B ) THE STEEL DEALER SHALL , UPON REQUEST , COMMUNICATE PRICE LISTS AND CONDITIONS OF SALE TO ANY INTERESTED PARTY .  2 . PARAGRAPH 1 SHALL ALSO APPLY TO ANY AMENDMENT TO PRICE LISTS AND CONDITIONS OF SALE .  ARTICLE 7  1 . FOR DIRECT SALES , STEEL DEALERS MAY ALSO DISCHARGE THEIR OBLIGATION TO PUBLISH PRICE LISTS AND CONDITIONS OF SALE BY INCLUDING THE FOLLOWING CLAUSE IN THEIR PRICE LISTS FOR THE SALE OF STEEL , DEPENDING ON ITS ORIGIN :   ( A ) " THE PRICES APPLICABLE TO DIRECT SALES OF STEEL COMING FROM AN ECSC PRODUCER ARE THE DELIVERED PRICES OBTAINED FROM THE PRODUCER'S PRICE LIST ON WHICH THE SALE WAS BASED , TO WHICH OUR PUBLISHED CONDITIONS OF SALE AND THE FOLLOWING EXTRAS ARE APPLIED ... " .   ( B ) " THE PRICES APPLICABLE TO DIRECT SALES OF STEEL ORIGINATING IN COUNTRIES , ALIGNMENT ON OFFERS FROM WHICH HAS BEEN PROHIBITED BY THE COMMISSION OF THE EUROPEAN COMMUNITIES , ARE THE DELIVERED PRICES OBTAINED FROM THE PRICE LIST OF THE COMMUNITY UNDERTAKING OFFERING THE LOWEST DELIVERED PRICE , AFTER DEDUCTION OF THE PENETRATION MARGINS GRANTED TO THOSE COUNTRIES , TO WHICH OUR PUBLISHED CONDITIONS OF SALE AND THE FOLLOWING EXTRAS ARE APPLIED ... " .   ( C ) " THE PRICES APPLICABLE TO DIRECT SALES OF STEEL ORIGINATING IN OTHER THIRD COUNTRIES ARE THE DELIVERED PRICES OBTAINED FROM THE BASIC PRICES FOR IMPORTATION PUBLISHED BY THE COMMISSION OF THE EUROPEAN COMMUNITIES , TO WHICH OUR PUBLISHED CONDITIONS OF SALE AND THE FOLLOWING EXTRAS ARE APPLIED ... " .  2 . A SALE IS " DIRECT " WHEN , UNDER SALES CONTRACTS CONCLUDED BETWEEN THE PRODUCER AND THE STEEL DEALER ON THE ONE HAND AND BETWEEN THE STEEL DEALER AND HIS CUSTOMER WHO IS PURCHASING THE GOODS ON THE OTHER HAND , THE GOODS ARE SHIPPED DIRECTLY FROM THE PRODUCER TO THE STEEL DEALER'S CUSTOMER OR IN ACCORDANCE WITH THE CUSTOMER'S INSTRUCTIONS . ALL OTHER SALES ARE EX-STOCK SALES .  ARTICLE 8  STEEL DEALERS NEED NOT PUBLISH REBATES FOR SUBSTANDARD PRODUCTS OR SECONDS . THEY ARE THEN REQUIRED TO STATE ON THE INVOICE THE REASONS FOR CLASSIFICATION AS SUB-STANDARD PRODUCTS OR SECONDS .  ARTICLE 9  IT SHALL BE A PROHIBITED PRACTICE FOR A STEEL DEALER TO APPLY IN THE COMMON MARKET DISSIMILAR CONDITIONS  ( ARTICLE 11 ) TO COMPARABLE TRANSACTIONS ( ARTICLE 10 ) .  ARTICLE 10  1 . TRANSACTIONS SHALL BE CONSIDERED COMPARABLE WHERE :   ( A ) THEY ARE CONCLUDED WITH PURCHASERS :   - WHO COMPETE WITH ANOTHER , OR   - WHO PRODUCE THE SAME OR SIMILAR GOODS , OR   - WHO CARRY OUT SIMILAR FUNCTIONS IN DISTRIBUTION ; AND   ( B ) THEY INVOLVE THE SAME OR SIMILAR PRODUCTS ; AND   ( C ) THEIR OTHER RELEVANT COMMERCIAL CHARACTERISTICS DO NOT DIFFER TO A MATERIAL EXTENT .  2 . TRANSACTIONS SHALL NOT BE CONSIDERED COMPARABLE IF , BETWEEN THE DATES OF THEIR BEING AGREED UPON , A LASTING CHANGE HAS OCCURRED IN THE STEEL DEALER'S PRICES OR CONDITIONS OF SALE .  ARTICLE 11  1 . DIFFERENT CONDITIONS WHICH MAKE APPROPRIATE ALLOWANCE FOR DIFFERENCES IN THE SERVICES RENDERED OR IN THE CARRYING OUT OF TRANSACTIONS , APPLIED BY A STEEL DEALER TO COMPARABLE TRANSACTIONS , SHALL NOT BE CONSIDERED DISSIMILAR CONDITIONS .  2 . CONDITIONS SHALL BE CONSIDERED DISSIMILAR IF , WITHOUT A CORRESPONDING INCREASE IN PRICE , A STEEL DEALER ALLOWS PERIODS FOR PAYMENT MORE FAVOURABLE THAN THOSE GENERALLY APPLIED TO COMPARABLE TRANSACTIONS .  ARTICLE 12  STEEL DEALERS WHO ALLEGE THAT TRANSACTIONS ARE NOT COMPARABLE ( ARTICLE 10 ) OR THAT CONDITIONS ARE NOT TO BE CONSIDERED DISSIMILAR ( ARTICLE 11 ) SHALL , AT THE REQUEST OF THE DEPARTMENT DESIGNATED BY THE GOVERNMENT OF THE MEMBER STATE , SET OUT THE FACTS AND CIRCUMSTANCES WHICH MAY JUSTIFY THIS .  ARTICLE 13  1 . WHERE A STEEL DEALER ALIGNS HIS QUOTATION ON A COMPETITOR'S PRICE LIST , IT SHALL BE A PROHIBITED PRACTICE FOR HIM TO APPLY CONDITIONS AFFORDING THE PURCHASER A DELIVERED PRICE LOWER THAN THAT AT WHICH THE PURCHASER COULD OBTAIN THE GOODS FROM THE COMPETITOR .  2 . IN CALCULATING DELIVERED PRICES ACCOUNT SHALL BE TAKEN OF TRANSPORT COSTS , SURCHARGES OR CHARGES BORNE BY THE PURCHASER , LESS REBATES OR DRAWBACKS ALLOWED HIM , IN ADDITION TO THE PRICES AND CONDITIONS .  3 . WHEN A STEEL DEALER ALIGNS HIS QUOTATION ON THE CONDITIONS QUOTED BY A COMPETITOR OUTSIDE THE COMMUNITY , THE PROVISIONS OF PARAGRAPHS 1 AND 2 SHALL APPLY CORRESPONDINGLY .  4 . STEEL DEALERS WHO ALLEGE THAT THEY HAVE ALIGNED THEIR QUOTATION ON A LOWER DELIVERED PRICE OF A COMPETITOR IN THE COMMON MARKET OR OF A COMPETITOR OUTSIDE THE COMMUNITY SHALL , AT THE REQUEST OF THE DEPARTMENT DESIGNATED BY THE MEMBER STATE , SHOW THAT THE CONDITIONS FOR ALIGNMENT OBTAINED AND THAT THEY COMPLIED WITH THE PROVISIONS OF PARAGRAPHS 1 TO 3 IN CALCULATING THE ALIGNED PRICE .  THE CONDITION FOR ALIGNMENT ON CONDITIONS OFFERED BY COMPETITORS OUTSIDE THE COMMUNITY IS THAT IS HAS BEEN IMPOSED BY THE EFFECTIVE COMPETITION OF THE COMPETITOR OUTSIDE THE COMMUNITY .  ARTICLE 14  IT SHALL BE A PROHIBITED PRACTICE TO INCLUDE IN THE PRICE CHARGED TO THE PURCHASER THE AMOUNT OF ANY TAXES OR CHARGES IN RESPECT OF WHICH THE STEEL DEALER IS ENTITLED TO EXEMPTION OR DRAWBACK .  ARTICLE 15  STEEL DEALERS SHALL BE OBLIGED TO FURNISH ALL THE NECESSARY INFORMATION TO THE DEPARTMENT DESIGNATED BY THE MEMBER STATE , WHICH MAY CARRY OUT ALL THE CHECKS NECESSARY TO ENSURE THAT THE CHECKS NECESSARY TO ENSURE THAT THE ABOVEMENTIONED PROVISIONS ARE BEING COMPLIED WITH .  FOR THE PURPOSE OF SUCH CHECKS , STEEL DEALERS SHALL BE OBLIGED TO KEEP , AND MAKE AVAILABLE TO THE AGENTS OR OFFICIALS OF MEMBER STATES AUTHORIZED TO CARRY OUT THE CHECKS , TRADING AND ACCOUNTING RECORDS INCLUDING , AS A MINIMUM , THE DOCUMENTS REFERRED TO IN SUBPARAGRAPHS ( A ) TO ( G ) OF ARTICLE 1 OF DECISION NO 14/64 ( 2 ) .  ARTICLE 16  1 . STEEL DEALERS WHO INFRINGE OBLIGATIONS INCUMBENT UPON THEM UNDER PROVISIONS ADOPTED IN IMPLEMENATATION OF ARTICLES 2 TO 14 SHALL BE LIABLE TO FINES WHICH MAY AMOUNT TO TWICE THE VALUE OF THE SALES EFFECTED IN DISREGARD THEREOF . IF THE INFRINGEMENT IS REPEATED , THIS MAXIMUM SHALL BE DOUBLED .  2 . STEEL DEALERS WHO INFRINGE OBLIGATIONS INCUMBENT UPON THEM UNDER PROVISIONS ADOPTED IN IMPLEMENTATION OF ARTICLE 15 SHALL BE LIABLE TO FINES NOT EXCEEDING 1 % OF THEIR ANNUAL TURNOVER AND TO PENALTY PAYMENTS NOT EXCEEDING 5 % OF THE AVERAGE DAILY TURNOVER FOR EACH DAY'S DELAY .  ARTICLE 17  THIS RECOMMENDATION IS ADDRESSED TO THE MEMBER STATES .  DONE AT BRUSSELS , 3 JULY 1981 .  FOR THE COMMISSION  ETIENNE DAVIGNON  VICE-PRESIDENT  ( 1 ) OJ OF THE ECSC , 4 . 5 . 1953 , P . 109 .  ( 2 ) OJ OF 18 . 7 . 1964 , P . 1967/64 .


Avis juridique important

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31998H0561

98/561/EC: Council Recommendation of 24 September 1998 on European cooperation in quality assurance in higher education

Official Journal L 270 , 07/10/1998 P. 0056 - 0059

COUNCIL RECOMMENDATION of 24 September 1998 on European cooperation in quality assurance in higher education (98/561/EC)THE COUNCIL OF THE EUROPEAN UNION,Having regard to the Treaty establishing the European Community, and in particular Articles 126 and 127 thereof,Having regard to the proposal from the Commission,Having regard to the opinion of the Economic and Social Committee (1),Having regard to the opinion of the Committee of the Regions (2),Acting in accordance with the procedure laid down in Article 189c of the Treaty (3),(1) Whereas a high quality of education and training is an objective for all Member States; whereas the Community is called on to contribute to their ongoing efforts by promoting cooperation between Member States and, if necessary, by supporting and supplementing their action while fully respecting their responsibility for the content of teaching and the organisation of education and training systems and their cultural and linguistic diversity;(2) Whereas in its conclusions of 25 November 1991 (4) the Council stated that improving the quality of higher education was a concern shared by each Member State and by every institution of higher education within the European Community; whereas, in view of the diversity of methods used at national level, national experience could be complemented by European experience acquired, in particular, through pilot projects aimed at establishing cooperation in this area or at strengthening existing cooperation;(3) Whereas the replies to the Commission memorandum on higher education stress inter alia that quality should be guaranteed at all levels and in all sectors, with differences between institutions only in terms of objectives, methods and educational demand; whereas there is general support for the introduction of efficient and acceptable methods of quality assurance which take into account European and international experience and the possibility of cooperation;(4) Whereas a Commission study on the state of quality assurance in the Member States revealed that the new quality assurance systems had certain points in common; whereas the two pilot projects conducted subsequently were based on these core elements of existing national systems; whereas they tested a common method successfully and showed that the players in the field are all eager to pursue exchanges of experience which demonstrate the diversity of national evaluation cultures as well as the importance of quality assurance in general;(5) Whereas, in view of the great diversity of education systems in the Community, the definition of the term 'higher education institution` to which the recommendation refers includes all the types of institutions which confer qualifications or degrees at this level irrespective of how they are described in the Member States; whereas this definition is used in the decision establishing the Socrates programme;(6) Whereas higher education institutions have to meet the new educational and social requirements of a world-wide 'knowledge society` and the resulting developments; whereas they will, therefore, endeavour to improve the required attributes of the services they provide by developing, where appropriate, new initiatives (individually or on a collaborative basis within higher education associations), aimed at increasing the quality of teaching and learning;(7) Whereas the technological and economic changes and their consequences for the labour market pose new challenges for higher education institutions and whereas, in view of the challenges of global competition as well as the ever increasing influx of students into higher education institutions, Member States face the task of organising their higher education systems and their relationships vis-à-vis State and society in ways which respect existing academic standards, training objectives, quality standards, the autonomy and/or the independence - in terms of the relevant structures in each Member State - of higher education institutions, and the need to be accountable to and inform the public;(8) Whereas discussion of the Commission communication of 13 February 1994 has demonstrated that quality assurance systems could contribute towards mutual recognition of academic or professional qualifications at Community level;(9) Whereas the Commission White Paper on 'Growth, Competitiveness and Employment`, the White Paper on 'Teaching and Learning: towards the Learning Society` and the Green Paper on 'Education - Training - Research. The obstacles to transnational mobility` indicate how important high-quality education is for employment and growth within the Community and for its competitiveness at world level; whereas these documents highlight the link that exists between the social and cultural functions of education and training, on the one hand, and their economic functions, on the other hand, and therefore the many aspects of the concept of quality; whereas it is clear that transparent educational systems are required for transnational mobility;(10) Whereas encouraging mobility is one of the aims of Community cooperation in the fields of education and training; whereas the Commission Green Paper on 'Education - Training - Research. The obstacles to transnational mobility` examines the principal legal, administrative and practical obstacles encountered by students wishing to study in another Member State, proposes measures to improve mobility and stresses that this type of mobility is beneficial to an education of high quality which can enable individuals to compete internationally and to take advantage of freedom of movement within the Community;(11) Whereas the size, structure and funding of higher education systems differ from Member State to Member State and the objectives of these systems will continue to evolve; whereas in certain Member States the higher education system includes universities and other higher education institutions, often pursuing vocational aims; whereas the concept, scope and methods of quality assurance will be defined by each Member State and will remain flexible and adaptable to changing circumstances and/or structures;(12) In view of Member States' exclusive responsibilities for the organisation and structure of their higher education systems and of their budgetary constraints, and in view of the autonomy and/or independence of higher education institutions, in terms of the relevant structures in each Member State,I. HEREBY RECOMMENDS that Member States:A. support and, where necessary, establish transparent quality assurance systems with the following aims:- to safeguard the quality of higher education within the specific economic, social and cultural context of their countries while taking due account of the European dimension and of a rapidly changing world,- to encourage and help higher education institutions to use appropriate measures, particularly quality assurance, as a means of improving the quality of teaching and learning and also training for research, another important part of their task,- to stimulate mutual exchanges of information on quality and quality assurance at Community and world level and to encourage cooperation between higher education institutions in this area;B. base systems of quality assurance on the following features, as explained in the Annex:- autonomy and/or independence in terms of the relevant structures in each Member State for the bodies responsible for quality assurance in their choice of procedures and methods,- adaptation of quality assurance procedures and methods to the profile and aims of higher education institutions, while respecting their autonomy and/or independence in terms of the relevant structures in each Member State,- targeted utilisation of internal and/or external aspects of quality assurance adapted to the procedures and methods used,- involvement of the different parties concerned according to the purpose of the quality assurance,- publication of quality assurance results in a form which is appropriate to each Member State;C. where necessary, encourage higher education institutions, in cooperation with the competent structures of the Member States, to take appropriate follow-up measures;D. call upon the competent authorities and higher education institutions to attach special importance to the exchange of experience and cooperation regarding quality assurance with other Member States, as well as with international organisations and associations active in the field of higher education;E. promote cooperation between the authorities responsible for quality assessment or quality assurance in higher education and promote networking.This cooperation could cover some or all of the following areas:(a) encouraging and developing the exchange of information and experience, in particular on methodological developments and examples of good practice;(b) fulfilling the requests for expertise and advice from the authorities concerned in the Member States;(c) supporting higher education institutions which wish to cooperate in the field of quality assurance on a transnational basis;(d) promoting contacts with international experts.In pursuing these objectives the developing links between quality assurance and other existing Community activities in particular in the framework of the Socrates and Leonardo da Vinci programmes should be taken into account, as should the 'acquis communautaire` in the field of recognition of qualifications for professional purposes.II. HEREBY RECOMMENDS:that the Commission, in close cooperation with the Member States and on the basis of existing programmes and subject to their objectives and normal open and transparent procedures, encourage the cooperation referred to in point I.E between the authorities responsible for quality assessment and quality assurance in higher education, also involving organisations and associations of higher education institutions with a European remit and the necessary experience in quality assessment and quality assurance.III. HEREBY REQUESTS:the Commission to present triennial reports to the European Parliament, the Council, the Economic and Social Committee and the Committee of the Regions on progress in the development of quality assurance systems in the various Member States and on cooperation activities at European level including the progress achieved with respect to the objectives referred to above.Done at Brussels, 24 September 1998.For the CouncilThe PresidentJ. FARNLEITNER(1) OJ C 19, 21. 1. 1998, p. 39.(2) OJ C 64, 27. 2. 1998, p. 63.(3) Opinion of the European Parliament of 18 November 1997 (OJ C 371, 8. 12. 1997, p. 33), Council common position of 26 February 1998 (not yet published in the Official Journal) and Decision of the European Parliament of 28 May 1998 (not yet published in the Official Journal).(4) OJ C 321, 12. 12. 1991, p. 2.ANNEX Indicative features of quality assurance The features referred to below are common to existing European quality assurance systems. The European pilot projects assessing the quality of higher education have demonstrated that all parties involved in this area can benefit from observing these features.The autonomy and/or independence, in terms of the relevant structures in each Member State, of the body responsible for quality assurance (as regards procedures and methods) is likely to contribute to the effectiveness of quality assurance procedures and the acceptance of their results.Quality assurance criteria are closely linked to the aims assigned to each institution in relation to the needs of society and of the labour market; the different quality assurance procedures must therefore include allowance for the specific nature of the institution. Knowledge of the institution's objectives, be it at the level of the whole institution, at the level of a department or at the level of a single unit, is essential in this respect.Quality assurance procedures should generally consist of an internal, self-examination component and an external component based on appraisal by external experts.The internal element of self-examination should aim to involve all the relevant players, especially teaching staff and, where appropriate, administrators in charge of academic and professional guidance, as well as students. The external element should be a process of cooperation, consultation and advice between independent experts from outside and players from within the institution.In the light of the objectives and criteria used in the quality assurance procedure and with reference to the structures of higher education in the Member States, professional associations, social partners and alumni could be included in the expert groups.The participation of foreign experts in the procedures would be desirable in order to encourage exchange of experience acquired in other countries.Reports on quality assurance procedures and their outcome should be published in a form appropriate to each Member State and should provide a source of good reference material for partners and for the general public.


title: Recommendation of the European Central Bank of 13 December 2016 on dividend distribution policies (ECB/2016/44)

text:
               23.12.2016

               EN

               Official Journal of the European Union

               C 481/1

         RECOMMENDATION OF THE EUROPEAN CENTRAL BANK
   of 13 December 2016
   on dividend distribution policies
   (ECB/2016/44)
   (2016/C 481/01)
   THE GOVERNING COUNCIL OF THE EUROPEAN CENTRAL BANK,
   Having regard to the Treaty on the Functioning of the European Union, and in particular Article 127(6) and Article 132 thereof,
   Having regard to the Statute of the European System of Central Banks and of the European Central Bank, and in particular Article 34 thereof,
   Having regard to Council Regulation (EU) No 1024/2013 of 15 October 2013 conferring specific tasks on the European Central Bank concerning policies relating to the prudential supervision of credit institutions (1), and in particular Article 4(3) thereof,
   Having regard to Regulation (EU) No 468/2014 of the European Central Bank of 16 April 2014 establishing the framework for cooperation within the Single Supervisory Mechanism between the European Central Bank and national competent authorities and with national designated authorities (SSM Framework Regulation) (ECB/2014/17) (2),
   Whereas:
   Credit institutions need to continue preparing for a timely and full application of Regulation (EU) No 575/2013 of the European Parliament and of the Council (3) and Directive 2013/36/EU of the European Parliament and of the Council (4) in a challenging macroeconomic and financial environment, which exerts pressure on credit institutions’ profitability and, as a result, on their capacity to build up their capital bases. Moreover, while credit institutions need to finance the economy, a conservative distribution policy is part of an adequate risk management and sound banking system. The same method that was set out in Recommendation ECB/2015/49 of the European Central Bank (5) should be applied,
   HAS ADOPTED THIS RECOMMENDATION:

      I.

               1.

               Credit institutions should establish dividend policies using conservative and prudent assumptions in order, after any distribution, to satisfy the applicable capital requirements and the outcomes of the supervisory review and evaluation process (SREP).

                           (a)

                           Credit institutions are required to satisfy the applicable minimum capital requirements (‘Pillar 1 requirements’) at all times. This includes a Common Equity Tier 1 capital ratio of 4,5 %, a Tier 1 capital ratio of 6 % and a total capital ratio of 8 % as provided for by Article 92 of Regulation (EU) No 575/2013.

                           (b)

                           Moreover, credit institutions are required to satisfy at all times the capital requirements that are imposed by the decision following the SREP in application of Article 16(2)(a) of Regulation (EU) No 1024/2013 and which go beyond the Pillar 1 requirements (‘Pillar 2 requirements’).

                           (c)

                           Credit institutions are also required to satisfy the combined buffer requirement as defined in Article 128(6) of Directive 2013/36/EU.

                           (d)

                           Credit institutions are also required to satisfy their ‘fully loaded’ (6) Common Equity Tier 1 capital ratio, their Tier 1 capital ratio and their total capital ratio by the applicable full phase-in date. This refers to the full application of the abovementioned ratios after application of the transitional provisions and the combined buffer requirement as defined in Article 128(6) of Directive 2013/36/EU. The transitional provisions are set out in Title XI of Directive 2013/36/EU and in Part Ten of Regulation (EU) No 575/2013.

                     These requirements are to be met both on a consolidated level and on an individual basis unless the application of prudential requirements has been waived on an individual basis, as provided for in Articles 7 and 10 of Regulation (EU) No 575/2013.

               2.

               With regard to credit institutions paying dividends (7) in 2017 for the financial year 2016, the ECB recommends that:

                           (a)

                           Category 1: Credit institutions that (i) satisfy the applicable capital requirements as referred to in paragraph 1(a), (b) and (c), and (ii) have already reached their fully loaded ratios as referred to in paragraph 1(d) as at 31 December 2016 should distribute their net profits in dividends in a conservative manner to enable them to continue to fulfil all requirements and outcomes of the SREP even in the case of deteriorated economic and financial conditions;

                           (b)

                           Category 2: Credit institutions that satisfy the applicable capital requirements as referred to in paragraph 1(a), (b) and (c) as at 31 December 2016, but have not reached their fully loaded ratios as referred to paragraph 1(d) as at 31 December 2016 should distribute their net profits in dividends in a conservative manner to enable them to continue to fulfil all requirements and outcomes of the SREP, even in the case of deteriorated economic and financial conditions. In addition, they should in principle only pay out dividends to the extent that, at a minimum, a linear (8) path towards the required fully loaded capital requirements as referred to in paragraph 1(d) and outcomes of the SREP is secured;

                           (c)

                           Category 3: Credit institutions in breach of the requirements referred to in paragraph 1(a), (b) or (c) should in principle not distribute any dividend.

                     Credit institutions that are not able to comply with this Recommendation because they consider themselves legally required to pay out dividends should immediately contact their joint supervisory team.
               Credit institutions in categories 1, 2, and 3 as referred to in paragraph 2(a), (b) and (c) are also expected to meet Pillar 2 guidance. All other things being equal, the capital demand (9) can be expected to remain broadly stable. If a credit institution operates or expects to operate below Pillar 2 guidance, it should immediately contact its joint supervisory team. The ECB will review the reasons why the credit institution’s capital level has fallen, or is expected to fall, and will consider taking appropriate and proportionate institution-specific measures.

      II.

   This Recommendation is addressed to significant supervised entities and significant supervised groups as defined in points (16) and (22) of Article 2 of Regulation (EU) No 468/2014 (ECB/2014/17).

      III.

   This Recommendation is also addressed to the national competent authorities and designated authorities with regard to less significant supervised entities and less significant supervised groups as defined in points (7) and (23) of Article 2 of Regulation (EU) No 468/2014 (ECB/2014/17). The national competent and designated authorities are expected to apply this Recommendation to such entities and groups, as deemed appropriate (10).

      Done at Frankfurt am Main, 13 December 2016.

            The President of the ECB

         Mario DRAGHI

      (1)  OJ L 287, 29.10.2013, p. 63.

      (2)  OJ L 141, 14.5.2014, p. 1.

      (3)  Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 (OJ L 176, 27.6.2013, p. 1).

      (4)  Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC (OJ L 176, 27.6.2013, p. 338).

      (5)  Recommendation ECB/2015/49 of the European Central Bank of 17 December 2015 on dividend distribution policies (OJ C 438, 30.12.2015, p. 1).

      (6)  All buffers at fully loaded levels.

      (7)  Credit institutions may have various legal forms, e.g. listed companies and non-joint stock companies such as mutuals, cooperatives or savings institutions. The term ‘dividend’ as used in this recommendation refers to any type of cash pay-out that is subject to the approval of the general assembly.

      (8)  In practice, this means that over a period of four years starting on 31 December 2014, credit institutions should in principle retain at least 25 % per year of the gap towards their fully loaded Common Equity Tier 1 capital ratio, their Tier 1 capital ratio and their total capital ratio, as referred to in paragraph 1(d).

      (9)  Capital demand means pillar 1 plus pillar 2 requirements, plus the capital conservation buffer, plus pillar 2 guidance. Irrespective of the phasing-in of the capital conservation buffer, credit institutions should also expect to have positive pillar 2 guidance in the future.

      (10)  If this Recommendation is applied to less significant supervised entities and less significant supervised groups that consider themselves unable to comply because they regard themselves legally required to pay out dividends, they should immediately contact their national competent authorities.


Avis juridique important

|

32000H0053

2000/53/EC: Commission Recommendation of 21 December 1999 on safe and efficient in-vehicle information and communication systems: A European statement of principles on human machine interface (notified under document number C(1999) 4786) (Text with EEA relevance)

Official Journal L 019 , 25/01/2000 P. 0064 - 0068

COMMISSION RECOMMENDATIONof 21 December 1999on safe and efficient in-vehicle information and communication systems: A European statement of principles on human machine interface(notified under document number C(1999) 4786)(Text with EEA relevance)(2000/53/EC)THE COMMISSION OF THE EUROPEAN COMMUNITIES,Having regard to the Treaty establishing the European Community, and in particular Article 211 thereof,(1) Whereas the importance of a safe human machine interface (HMI) for in-vehicle information and communication systems has been stressed many times in resolutions, conclusions and opinions of several European Institutions such as the Council Conclusions of 17 June 1997, the European Parliament Resolution of 8 October 1998 and the Opinion of the Committee of the Regions of 14 May 1998(1) on Commission Communication COM(97) 223 of 20 May 1997 related to a Community strategy and framework for the deployment of road transport telematics in Europe; the Council Resolution of 17 June 1997 on the development of telematics in road transport, in particular with respect to electronic fee collection(2);(2) Whereas a basis for consumer protection is given by Council Directive 92/59/EEC of 29 June 1992 on general product safety(3) and the Council Resolution of 17 December 1998 on operating instructions for technical consumer goods(4) but is not specific enough in particular in the present field;(3) Whereas telematics devices inside vehicles will have an important impact on road transport in the near future and will provide valuable assistance to the driver under the condition that the driver is not distracted, disturbed or overloaded by the communication process and/or the information provided by the additional devices;(4) Whereas the market opportunities for industry and added value service providers should not be inhibited unnecessarily and the development of future safe innovative products in the field of automotive information and telecommunication technologies should be encouraged;(5) Whereas principles should be set up to be followed on a voluntary basis by the relevant market players;(6) Whereas a general safety requirement needs to be established for products in order to lift barriers to trade within the internal market;(7) Whereas a European statement of principles on the human machine interface of in-vehicle information and communication systems is essential to maximise their safety potential; whereas this statement of principles should fully take into account earlier work done in the framework of other international organisations such as the European Conference of Ministers of Transport and United Nations;(8) Whereas further work is being carried out by the Commission on the expansion of the principles, explaining in more detail each principle, describing the rationale and giving good and bad examples whenever necessary as well as on their verification procedures, whenever possible; whereas a report on the expansion of principles will be presented by the end of 1999;(9) Whereas the Commission services are going to collect information from the Member States on the steps taken and the evaluation results about the adherence to these principles by industry and undertake if necessary additional investigations;(10) Whereas after an initial period of two years and depending on the adherence to the statement of principles on human machine interface for in-vehicle information and communication systems, the Commission will consider the necessity of additional actions such as adaptation of Directive 92/53/EEC of 18 June 1992 on the approximation of the laws of the Member States relating to the type approval of motor vehicles and their trailers(5) or introduction of a supplementary directive, using CEN/ISO standards;(11) Whereas the requirements cited above cannot be achieved on national level,MAKES THE FOLLOWING RECOMMENDATION:1. The European motor manufacturing and supply industries which provide and/or fit and/or design in-vehicle information and communication systems, whether original equipment providers or after sales system providers, including importers, should comply with the attached statement of principles and are invited to enter into a voluntary agreement on this matter. This statement of principles summarises essential safety aspects to be taken into account for the human machine interface (HMI) for in-vehicle information and communication systems and is concerned with all these systems intended for use by the driver while driving. In this context the principles consider that the driver's primary driving task is safely controlling the vehicle through a complex dynamic traffic environment.These principles are valid:- whether the system is directly related to the driving task or not- for both portable and permanently installed systems such as telephones- for both original equipment manufacturers and after sales system providers including importers for all road vehicle types provided on the Community market.2. Member States are invited to encourage industry to adhere to this statement of principles and to investigate the adherence to these principles by industry, including after sales system providers.3. Member States should inform the Commission within a period of 12 months from publication of this recommendation of the steps taken by them and by their industries and should provide evaluation results within a period of 24 months about the adherence to these principles by industry.Done at Brussels, 21 December 1999.For the CommissionErkki LIIKANENMember of the Commission(1) COR 256/97, 14 May 1998.(2) OJ C 194, 25.6.1997, p. 5.(3) OJ L 228, 11.8.1992, p. 24.(4) OJ C 411, 31.12.1998, p. 1.(5) OJ L 225, 10.8.1992, p. 1.ANNEXSTATEMENT OF PRINCIPLES ON HUMAN MACHINE INTERFACE (HMI) FOR IN-VEHICLE INFORMATION AND COMMUNICATION SYSTEMS1. Definition of objectivesThis statement of principles summarises essential safety aspects to be taken into account for the human machine interface (HMI) for in-vehicle information and communication systems.This statement of principles will be of particular use to manfuacturers when they have to consider the safety implications of HMI design. Desgin and installation issues are the main concern of this statement of principles and they therefore relate to the following critical issues:- how to design and locate information and communication systems in such a way that their use is compatible with the driving task- how to present information so as not to impair the drivers's visual allocation to the road scene- how to design such system interaction that the driver maintains under all circumstances safe control of the vehicle, feels comfortable and confident with the system and is ready to respond safely to unexpected occurrences.In order not to create unnecessary obstacles or constraints to the innovative development of products, the statement of principle is expressed mainly in terms of the goals to be reached by the HMI.2. ScopeThis statement of principles is concerned with all information and communication systems intended for use by the driver while driving. In this context the principles consider that the driver's primary driving task is safely controlling the vehicle through a complex dynamic traffic environment.For the purpose of this statement of principles "the system" refers to the functions and parts, such as displays and controls, that constitute the interface and interaction between the system and the driver.These principles have been formulated to consider the design and installation of individual systems. Where more than one system is present within a vehicle they should ideally be presented as an integrated driver interface where the complete installation also complies with this statement of principles.The main topics of this statement of principles are overall design, installation, information presentation, interaction with displays and controls, system behaviour and information about the system.The statement of principles does not cover aspects of information and communication systems not related to HMI such as electrical characteristics, material properties, system performance and legal aspects.3. Existing provisionsThis statement of principles is not a substitute for regulations and standards and these should always be respected and used by manufacturers.- Applicable EC Directives with their subsequent amendments include:- on the field of vision of motor vehicle drivers:Commission Directive 90/630/EEC of 30 October 1990(1);- the interior fittings of motor vehicles (interior parts of the passenger compartment other than the interior rear-view mirrors, layout of controls, the roof or sliding roof, the backrest and rear part of seats):Council Directive 74/60/EEC of 17 December 1973(2);- the interior fittings of motor vehicles (identification of controls, tell tales and indicators):Council Directive 78/316/EEC of 21 December 1977(3).- Council Resolution of 17 December 1998(4) on operating instructions for technical consumer goods- Council Directive 92/59/EEC of 29 June 1992 on general product safety(5)- Economic Committee for Europe (UN/ECE) regulations which are recognised by the Community after its recent adhesion to the Revised Agreement of 1958- Standards and standard documents in preparation implicitly referred to in the principles are:- ISO 4513 Road vehicles - Visibility. Method for establishment of eyellipse for driver's eye location- ISO 2575 Road vehicles - Symbols for controls, indicators and tell-tales- ISO 4040 Road vehicles - Location of hand controls, indicators and tell-tales- ISO 3958 Road vehicles - Passenger car driver hand control reach- ISO (DIS) 15005 Road vehicles - Traffic information and control systems (TICS) dialogue management principles- ISO (DIS) 15006 Road vehicles - Traffic information and control systems (TICS) auditory presentation of information- ISO (DIS) 15008 Road vehicles - Traffic information and control systems (TICS) ergonomic aspects of in-vehicle information presentation- ISO (DIS) 11429 Ergonomics - System danger and non-danger signals with sounds and lights.All standards are subject to revision, and users of this statement of principles should apply the most recent editions of the standards indicated here.Generally, it will be clear where the responsibility lies, among manufacturers, suppliers and installers, of applying the principles. Where the responsibility rests with more than one party, those parties are encouraged to use the principles as a starting point to explicitly confirm their respective roles.The responsibilities of the driver related to safe behaviour while driving and interacting with these systems remain unchanged.4. Overall design principlesThe system should be designed to support the driver and should not give rise to potentially hazardous behaviour by the driver or other road users.The system should be designed in such a way so that the allocation of driver attention to the system displays or controls remain compatible with the attentional demand of the driving situation.The system should be designed so as not to distract or visually entertain the driver.5. Installation principlesThe system should be located and fitted in accordance with relevant regulations, standards and manufacturers instructions for installing the system in vehicles.No part of the system should obstruct the driver's view of the road scene.The system should not obstruct vehicle controls and displays required for the primary driving task.Visual displays should be positioned as close as practicable to the driver's normal line of sight.Visual displays should be designed and installed to avoid glare and reflections.6. Information presentation principlesVisually displayed information should be such that the driver can assimilate it with a few glances which are brief enough not to adversely affect driving.Where available, internationally agreed standards relating to legibility, audibility, icons, symbols, words, acronyms or abbreviations should be used.Information relevant to the driving task should be timely and accurate.The system should not present information, which may result in potentially hazardous behaviour by the driver or other road users.The system should not produce uncontrollable sound levels liable to mask warnings from within the vehicle or outside.7. Principles on interaction with displays and controlsThe driver should always be able to keep at least one hand on the steering wheel while interacting with the system.Speech based communications systems should include provision for hands-free speaking and listening.The system should not require long and uninterruptable sequences of interactions.System controls should be designed such that they can be operated without adverse impact on the primary driving task.The driver should be able to control the pace of interaction with the system.The system should not require the driver to make time-critical responses when providing input to the system.The driver should be able to resume an interrupted sequence of interactions with the system at the point of interruption or at another logical point.The driver should have control of auditory information where there is a likelihood of distraction or irritation.The system's response (e.g. feedback, confirmation) following driver input should be timely and clearly perceptible.Systems providing non-safety-related dynamic visual information should be capable of being switched into a mode where that information is not provided to the driver.8. System behaviour principlesVisual information not related to driving that is likely to distract the driver significantly (e.g. TV, video and automatically scrolling images and text) should be disabled or should only be presented in such a way that the driver cannot see it while the vehicle is in motion.The presence, operation or use of a system should not adversely interfere with displays or controls required for the primary driving task and for road safety.System functions not intended to be used by the driver while driving should be made impossible to interact with while the vehicle is in motion, or clear warnings should be provided against the unintended use.Information about current status, and any malfunction, within the system that is likely to have an impact on safety should be presented to the driver.In the event of a partial or total failure of the system, the vehicle should remain controllable, or at least should be capable of being brought to a halt in a safe manner.9. Principles on information about the systemThe system should have adequate instructions for the driver covering use and relevant aspects of installation and maintenance.System instructions should be correct and simple.System instructions should be in language or form designed to be understood by the driver.The instructions should clearly distinguish between those aspects of the system which are intended for use by the driver while driving and those aspects (e.g. specific functions, menus etc) which are not intended to be used while driving.All product information should be designed to convey accurately the system functionality.Product information should make it clear if special skills are required to use the system or if the product is unsuitable for particular users.Representations of system use (e.g. descriptions, photographs and sketches) should neither create unrealistic expectations on the part of potential users nor encourage unsafe or illegal use.(1) OJ L 341, 6.12.1990, p. 20.(2) OJ L 38, 11.2.1974, p. 2.(3) OJ L 81, 28.3.1978, p. 3.(4) OJ C 411, 31.12.1998, p. 24.(5) OJ L 228, 11.8.1992, p. 24.


title: Council Recommendation of 14 July 2015 on the 2015 National Reform Programme of Slovakia and delivering a Council opinion on the 2015 Stability Programme of Slovakia

text:
               18.8.2015

               EN

               Official Journal of the European Union

               C 272/10

         COUNCIL RECOMMENDATION
   of 14 July 2015
   on the 2015 National Reform Programme of Slovakia and delivering a Council opinion on the 2015 Stability Programme of Slovakia
   (2015/C 272/03)
   THE COUNCIL OF THE EUROPEAN UNION,
   Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 121(2) and 148(4) thereof,
   Having regard to Council Regulation (EC) No 1466/97 of 7 July 1997 on the strengthening of the surveillance of budgetary positions and the surveillance and coordination of economic policies (1), and in particular Article 5(2) thereof,
   Having regard to the recommendation of the European Commission,
   Having regard to the resolutions of the European Parliament,
   Having regard to the conclusions of the European Council,
   Having regard to the opinion of the Employment Committee,
   Having regard to the opinion of the Economic and Financial Committee,
   Having regard to the opinion of the Social Protection Committee,
   Having regard to the opinion of the Economic Policy Committee,
   Whereas:

               (1)

               On 26 March 2010, the European Council agreed to the Commission's proposal to launch a new strategy for growth and jobs, Europe 2020, based on enhanced coordination of economic policies. The strategy focuses on the key areas where action is needed to boost Europe's potential for sustainable growth and competitiveness.

               (2)

               On 14 July 2015, the Council, on the basis of the Commission’s proposals, adopted a Recommendation on the broad guidelines for the economic policies of the Member States and the Union and, on 21 October 2010, it adopted a decision on guidelines for the employment policies of the Member States (2). Together these form the ‘integrated guidelines’ which Member States were invited to take into account in their national economic and employment policies.

               (3)

               On 8 July 2014, the Council adopted a Recommendation (3) on Slovakia's National Reform Programme for 2014 and delivered its opinion on Slovakia's updated Stability Programme for 2014. On 28 November 2014, in line with Regulation (EU) No 473/2013 of the European Parliament and of the Council (4), the Commission presented its opinion on Slovakia's draft budgetary plan for 2015.

               (4)

               On 28 November 2014, the Commission adopted the Annual Growth Survey, marking the start of the 2015 European Semester for economic policy coordination. On the same day, on the basis of Regulation (EU) No 1176/2011 of the European Parliament and of the Council (5), the Commission adopted the Alert Mechanism Report, in which Slovakia was not identified as one of the Member States for which an in-depth review would be carried out.

               (5)

               On 18 December 2014, the European Council endorsed the priorities for fostering investment, intensifying structural reforms and pursuing responsible growth-friendly fiscal consolidation.

               (6)

               On 26 February 2015, the Commission published its 2015 country report for Slovakia. This assessed Slovakia's progress in addressing the country-specific recommendations adopted on 8 July 2014.

               (7)

               On 29 April 2015, Slovakia submitted its 2015 National Reform Programme and its 2015 Stability Programme. In order to take account of their interlinkages, the two programmes have been assessed at the same time.

               (8)

               Slovakia is currently in the preventive arm of the Stability and Growth Pact. In its 2015 Stability Programme, the Government plans to gradually improve the headline deficit to 2,5 % of GDP in 2015 and further to 0,5 % of GDP in 2018. According to the Stability Programme, the medium-term objective — a structural deficit of 0,5 % of GDP — would be reached as of 2017. The government debt-to-GDP ratio is expected to decline marginally in 2015 to 53,4 % and to continue declining to 50,3 % in 2018. The macroeconomic scenario underpinning these budgetary projections is plausible. However, measures to support the planned deficit targets from 2016 onwards have not been sufficiently specified. Based on the Commission's 2015 spring forecast, the net expenditure growth is below the benchmark in both 2015 and 2016, therefore meeting the requirements of the Stability and Growth Pact. Based on its assessment of the Stability Programme and taking into account the Commission's 2015 spring forecast, the Council is of the opinion that Slovakia is expected to comply with the provisions of the Stability and Growth Pact.

               (9)

               The labour market showed signs of recovery in 2014, but unemployment remains high. Disincentives in the social security system have been reduced and some progress has been made towards reducing youth unemployment, but long-term unemployment remains a major challenge and employment among Roma and the low-skilled is low. Although some initial steps have been taken to improve public employment services, they have limited capacity to provide personalised services, in particular to those furthest from the labour market. The employment rate for women remains well below the EU average, reflecting the insufficient provision of good quality and affordable childcare services and the relatively long duration of parental leave.

               (10)

               Slovakia made some progress in relation to work-based learning, with a new Act on vocational education and training to enter into force in 2015. Limited progress has, however, been made in improving teaching conditions, in encouraging the creation of more career-oriented bachelor programmes, and in increasing the proportion of Roma children attending early childhood education and care facilities. No measures have been taken to ensure a wider participation of Roma in vocational training and higher education. Only limited progress has been made in addressing the gaps in the Slovak research and innovation system, the main needs being namely to improve the quality and relevance of the science base and to promote cooperation between academia, research and business.

               (11)

               The poor quality of Slovakia's business environment reduces the attractiveness of the country for both foreign and domestic investment. The inadequate efficiency and quality of the public administration and of the justice system are particularly detrimental to the business environment. The civil service suffers from high staff turnover and inefficient management of human resources. Efforts to tackle corruption have, to date, been limited. More particularly, the need to strengthen the analytical and audit capacity of the tax administration has not been addressed. Public procurement suffers from engrained deficiencies, which affect the allocation of public resources.

               (12)

               While the recent changes to the taxation system have contributed to an improvement in public finances, the costs associated with an ageing population will weigh on Slovakia's currently relatively sound debt position in the future. The long-term sustainability of public finances depends on the Government's ability to increase the cost-effectiveness of the healthcare sector. The overall level of efficiency of the Slovak health system is weak, and it performs poorly when compared with the rest of the EU. The Government adopted a new strategy for health for 2014-2020, in order to try to address the shortcomings of the national healthcare system. The strategy is being implemented, but most measures are not yet in force. There also continue to be inefficiencies in tax collection and administration.

               (13)

               The weak performance of investment in recent years may dent Slovakia's long-term growth prospects. The decline in private investment between 2008 and 2013 was particularly strong, with non-financial corporations accounting for around 90 % of the fall in total investment due to the decrease in foreign direct investment (FDI) inflows. In 2013, investment in capital goods was still around 13 % lower in real terms than it had been in 2008. Yet although public investment contracted much less, the decline still has significant consequences, in view of the large-scale transport infrastructure projects which are essential in order to be able to benefit from the growth potential of Slovakia's central and eastern regions. Both the administrative and regulatory barriers related to investment planning, and the lack of transparency and long duration of the procedures for obtaining building and land-use permits hold back public investment. EU funds represent a very high proportion of total public investment in Slovakia, compared to the levels seen in other Member States in its region. Furthermore, the absorption of EU funds is hindered by weak governance of planning procedures, poor project design and selection, and failure to comply with the requirements relating to the environmental impact assessment. The use of tailor made specifications in public procurement limits competition, and results in high final prices. Improved oversight and greater expertise within the public entities involved in procurement could help to overcome these problems. The inadequate efficiency and quality of the public administration and of the justice system are particularly detrimental to the business environment, and issues such as the reform of the civil procedure and uneven distribution of workload in courts have not yet been addressed.

               (14)

               In the context of the European Semester, the Commission has carried out a comprehensive analysis of Slovakia's economic policy and published it in the 2015 country report. It has also assessed the Stability Programme and the National Reform Programme and the follow-up given to the recommendations addressed to Slovakia in previous years. It has taken into account not only their relevance for sustainable fiscal and socioeconomic policy in Slovakia but also their compliance with EU rules and guidance, given the need to strengthen the overall economic governance of the Union by providing EU-level input into future national decisions. Its recommendations under the European Semester are reflected in recommendations (1) to (4) below.

               (15)

               In the light of this assessment, the Council has examined the Stability Programme, and is of the opinion (6) that Slovakia complies with the Stability and Growth Pact.

               (16)

               In the context of the European Semester, the Commission has also carried out an analysis of the economic policy of the euro area as a whole. On the basis of this analysis, the Council has issued specific recommendations addressed to the Member States whose currency is the euro (7). As a country whose currency is the euro, Slovakia should also ensure the full and timely implementation of those recommendations,

         HEREBY RECOMMENDS that Slovakia take action in 2015 and 2016 to:

               1.

               Improve the cost-effectiveness of the healthcare sector, including by improving the management of hospital care and strengthening primary healthcare. Take measures to increase tax collection.

               2.

               Take additional measures to address long term unemployment by improving activation measures, second chance education and introducing high-quality training tailored to individuals' needs. Improve the incentives for women to remain in or return to employment by improving the provision of childcare facilities.

               3.

               Improve teacher training and the attractiveness of teaching as a profession to stem the decline in educational outcomes. Increase the participation of Roma children in mainstream education and in high-quality early childhood education.

               4.

               To boost investment in infrastructure, improve and streamline the administrative procedures for obtaining land-use and construction permits. Increase competition in public tenders and improve supervisory mechanisms in public procurement.

      Done at Brussels, 14 July 2015.

            For the Council

            The President

         P. GRAMEGNA

      (1)  OJ L 209, 2.8.1997, p. 1.

      (2)  Maintained by Council Decision 2014/322/EU of 6 May 2014 on guidelines for the employment policies of the Member States for 2014 (OJ L 165, 4.6.2014, p. 49).

      (3)  Council Recommendation of 8 July 2014 on the National Reform Programme 2014 of Slovakia and delivering a Council opinion on the Stability Programme of Slovakia, 2014 (OJ C 247, 29.7.2014, p. 122).

      (4)  Regulation (EU) No 473/2013 of the European Parliament and of the Council of 21 May 2013 on common provisions for monitoring and assessing draft budgetary plans and ensuring the correction of excessive deficit of the Member States in the euro area (OJ L 140, 27.5.2013, p. 11).

      (5)  Regulation (EU) No 1176/2011 of the European Parliament and of the Council of 16 November 2011 on the prevention and correction of macroeconomic imbalances (OJ L 306, 23.11.2011, p. 25).

      (6)  Under Article 5(2) of Regulation (EC) No 1466/97.

      (7)  OJ C 272, 18.8.2015, p. 98.


title: Recommendation of the European Central Bank of 21 December 2006 to the Council of the European Union on the external auditors of the Oesterreichische Nationalbank (ECB/2006/29)

text:
               10.1.2007

               EN

               Official Journal of the European Union

               C 5/1

      RECOMMENDATION OF THE EUROPEAN CENTRAL BANK

   of 21 December 2006
   to the Council of the European Union on the external auditors of the Oesterreichische Nationalbank
   (ECB/2006/29)
   (2007/C 5/01)
   THE GOVERNING COUNCIL OF THE EUROPEAN CENTRAL BANK,
   Having regard to the Statute of the European System of Central Banks and of the European Central Bank, and in particular Article 27.1 thereof,
   Whereas:

               (1)

               The accounts of the European Central Bank (ECB) and of the national central banks of the Eurosystem are audited by independent external auditors recommended by the ECB's Governing Council and approved by the Council of the European Union.

               (2)

               Pursuant to Article 37(1) of the Federal Act on the Oesterreichische Nationalbank, the General Meeting of the Oesterreichische Nationalbank (OeNB) must elect two auditors and two alternate auditors each year. The alternate auditors may be mandated only in the event that the auditors are not able to perform the audit.

               (3)

               On 14 March 2006 the Council of the European Union, having regard to Recommendation ECB/2006/1 of 1 February 2006 to the Council of the European Union on the external auditors of the Oesterreichische Nationalbank (1), approved KPMG Alpen-Treuhand GmbH and TPA Horwath Wirtschaftsprüfung GmbH as joint external auditors, and Moore Stephens Austria Wirtschaftsprüfungsgesellschaft mbH and BDO Auxilia Treuhand GmbH as joint alternate auditors for the financial year 2006 (2).

               (4)

               On 8 September 2006 the OeNB informed the ECB that at the OeNB's General Meeting in May 2006, KPMG Alpen-Treuhand GmbH did not obtain the majority of votes necessary to be selected and, that as a consequence thereof, the second ranked auditor, TPA Horwath Wirtschaftsprüfung GmbH, was appointed first auditor. The first ranked alternate auditor, Moore Stephens Austria Wirtschaftsprüfungsgesellschaft mbH, was appointed second auditor and the second ranked alternate auditor, BDO Auxilia Treuhand GmbH, was appointed as the sole alternate auditor. To appoint the necessary second alternate auditor, the OeNB conducted a restricted procurement procedure, selected Ernst & Young Wirtschaftsprüfungs GmbH and invited the ECB to recommend it to the EU Council for approval.

               (5)

               The approval of the EU Council is necessary to appoint Moore Stephens Austria Wirtschaftsprüfungsgesellschaft mbH as the second external auditor and Ernst & Young Wirtschaftsprüfungs GmbH as the second alternate external auditor of the OeNB.

               (6)

               The mandate of the external auditors may be renewed on a yearly basis, not exceeding a total term of five years,

         HAS ADOPTED THIS RECOMMENDATION:

               1.

               It is recommended that TPA Horwath Wirtschaftsprüfung GmbH and Moore Stephens Austria Wirtschaftsprüfungsgesellschaft mbH should be appointed jointly as the external auditors of the OeNB for the financial year 2006.

               2.

               It is recommended that BDO Auxilia Treuhand GmbH and Ernst & Young Wirtschaftsprüfungs GmbH should be appointed jointly as the alternate external auditors of the OeNB for the financial year 2006.

               3.

               This mandate may be renewed on a yearly basis, not exceeding a total term of five years, ending with the financial year 2010 at the latest.

      Done at Frankfurt am Main, 21 December 2006.

            The President of the ECB

         Jean-Claude TRICHET

      (1)  OJ C 34, 10.2.2006, p. 30.

      (2)  OJ L 79, 16.3.2006, p. 25.


				|

		52014DC0417

			Recommendation for a COUNCIL RECOMMENDATION on Luxembourg’s 2014 national reform programme and delivering a Council opinion on Luxembourg’s 2014 stability programme /* COM/2014/0417 final  - 2014/ () */

Recommendation for a
COUNCIL RECOMMENDATION
on Luxembourg’s 2014 national reform
programme
and delivering a Council opinion on Luxembourg’s 2014 stability programme
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty on the
Functioning of the European Union, and in particular Articles 121(2) and 148(4)
thereof,
Having regard to Council Regulation (EC) No
1466/97 of 7 July 1997 on the strengthening of the surveillance of budgetary
positions and the surveillance and coordination of economic policies[1], and in particular
Article 5(2) thereof,
Having regard to the recommendation of the
European Commission[2],
Having regard to the resolutions of the
European Parliament[3],
Having regard to the conclusions of the
European Council,
Having regard to the opinion of the
Employment Committee,
Having regard to the opinion of the
Economic and Financial Committee,
Having regard to the opinion of the Social
Protection Committee,
Having regard to the opinion of the
Economic Policy Committee,
Whereas:
(1)
On 26 March 2010, the European Council agreed to
the Commission’s proposal to launch a new strategy for growth and jobs, Europe
2020, based on enhanced coordination of economic policies, which will focus on
the key areas where action is needed to boost Europe’s potential for
sustainable growth and competitiveness.
(2)
On 13 July 2010, the Council, on the basis of
the Commission's proposals, adopted a recommendation on the broad guidelines
for the economic policies of the Member States and the Union (2010 to 2014)
and, on 21 October 2010, adopted a decision on guidelines for the employment
policies of the Member States, which together form the ‘integrated guidelines’.
Member States were invited to take the integrated guidelines into account in
their national economic and employment policies.
(3)
On 29 June 2012, the Heads of State or
Government decided on a Compact for Growth and Jobs, providing a coherent
framework for action at national, EU and euro area levels using all possible
levers, instruments and policies. They decided on action to be taken at the
level of the Member States, in particular expressing full commitment to achieving
the objectives of the Europe 2020 Strategy and to implementing the
country-specific recommendations.
(4)
On 9 July 2013, the Council adopted a recommendation
on Luxembourg’s national reform programme for 2013 and delivered its opinion on
Luxembourg's updated stability programme for 2012-2016. On 15 November 2013, in line with Regulation (EU) No 473/2013[4],
the Commission presented its opinion on Luxembourg's
draft budgetary plan for 2014[5].
(5)
On 13 November 2013, the Commission adopted the
Annual Growth Survey[6],
marking the start of the 2014 European Semester of economic policy
coordination. On the same day on the basis of Regulation (EU) No 1176/2011, the
Commission adopted the Alert Mechanism Report[7],
in which it identified Luxembourg as one of the Member States for which an
in-depth review would be carried out.
(6)
On 20 December 2013, the European Council
endorsed the priorities for ensuring financial stability, fiscal consolidation
and action to foster growth. It underscored the need to pursue differentiated,
growth-friendly fiscal consolidation, to restore normal lending conditions to
the economy, to promote growth and competitiveness, to tackle unemployment and
the social consequences of the crisis, and to modernise public administration.
(7)
On 5 March 2014, the Commission published the
results of its in-depth review for Luxembourg[8],
under Article 5 of Regulation (EU) No 1176/2011. The Commission's analysis leads
it to conclude that Luxembourg is not experiencing macroeconomic imbalances in
the sense of the Macroeconomic Imbalance Procedure. In particular, the analysis of the current account surplus shows
that it does not stem from anaemic domestic demand, but is rather the result of
Luxembourg's particular growth model, which is strongly based on financial
services. Risks to the domestic financial stability stemming from the presence
of a large financial sector exist but they are relatively contained as the sector
is diversified and specialised at the same time. The high level of indebtedness
in the private sector, in particular among the non-financial corporations
mainly reflects the presence of a large number of multinational firms that use
their branches or subsidiaries in Luxembourg for intra-group financing
operations. Finally, the current favourable position of public finances is
highly dependent on the sustainability of a growth model based on a buoyant
financial sector and presents a high sustainability risk in the long term.
(8)
On 28 April 2014, Luxembourg submitted its 2014 national
reform programme and on 25 April 2014 its 2014 stability programme. In order to
take account of their interlinkages, the two programmes have been assessed at
the same time.
(9)
The objective of the medium-term budgetary
strategy outlined in the 2014 Stability Programme is to return to the medium-term
objective in 2016, after significantly deviating from it in 2015. The programme
confirms the previous medium-term objective of a surplus of 0.5% of GDP, which
reflects the requirements of the Stability and Growth Pact. The (recalculated)
structural general government surplus is foreseen to decline from 1.4% of GDP
in 2013 to 1.1% in 2014, before turning into a deficit of 0.1% of GDP in 2015.
Thereafter, gradually increasing structural surpluses are planned to be
achieved. Therefore, Luxembourg is expected to remain at its medium-term
objective in 2014, but to significantly deviate from it in 2015. According to
the programme, the growth rate of government expenditure, net of discretionary
revenue measures, would be above the reference medium-term rate of potential
GDP growth in 2015. Overall, the programme objectives are partly in line with
the requirements of the preventive arm of the Stability and Growth Pact, with a
deviation in particular in 2015. The debt ratio, which stood at 23.1% of GDP in
2013, well below the 60% of GDP reference value, is projected to further
decline over the programme period. The macroeconomic scenario underpinning the
budgetary projections in the programme, which has been prepared by an
independent body (STATEC) is slightly optimistic for 2014 and 2015. The
government projects a GDP growth rate of 3.2% in both 2014 and 2015, whereas
the Commission 2014 spring forecast foresees 2.6% and 2.7%, respectively.
Furthermore, the measures underpinning the fiscal trajectory for the period
2015-18 have not yet been fully specified by the authorities. According to the
Commission forecast, which does not take into account the most recently
announced measures, the structural surplus is estimated to decline to 0.6% of
GDP in 2014 and turn to a deficit of 1.3% of GDP in 2015. The growth rate of
government expenditure, net of discretionary revenue measures, is estimated to
be above the reference medium-term rate of potential GDP in 2015, when a
significant deviation is expected. Based on its assessment of the 2014 Stability
Programme and the Commission forecast, pursuant to Council Regulation (EC) No
1466/97, the Council is of the opinion that there are risks to the achievement
of the targets of the programme, which are only partly in line with the requirements
preventive arm of the Stability and Growth Pact, in particular as of 2015.
(10)
The government submitted to Parliament in July
2013 a draft bill on the transposition of the provisions of the Council
Directive 85/2011 on budgetary frameworks and the Treaty on Stability,
Coordination and Governance. While the draft law was expected to enter into
force on 1 January 2014, its adoption was delayed by the resignation of the
government in July. According to the draft bill, a new Multiannual Finance
Programme Law is introduced covering the same time horizon as the forthcoming
update of the Stability programme. The Multiannual Finance Programme Law would
be updated annually on a rolling basis, together with the annual budget. It
would detail plans to achieve the medium-term budgetary objective at the level
of the general government. The draft bill introduces multi-annual ceilings in
the Multiannual Finance Programme Law that would cover the central government
sector only, but there is no specification on the consequences in case ceilings
are exceeded. The draft bill does not foresee a national expenditure rule that
would guide the setting of multi-annual expenditure targets. However, it
contains provisions for the adjustment path to the medium-term objective to be
respected. A revised draft of the law was submitted to the Parliament in March
2014, and amongst else provides for the allocation of the task for the
independent monitoring of fiscal rules to a newly created institution, the
"Conseil National des Finances Publiques".
(11)
In addition, tax revenues from VAT will be hit
by the new rules on VAT revenues generated from e-commerce activities. As from
2015, such revenues will be transferred from the country where the supplier is
located to that of the residence of the customer. The government has announced
that the VAT rates will be increased by 2pps, which should partially compensate
for the revenue loss. However, given the widespread use of reduced and super
reduced rates, additional revenue can be raised by
extending the application of the standard rate and thereby compensate more
largely for the above-mentioned losses.
(12)
Gross public pension expenditure as a proportion
of GDP in Luxembourg is to increase, according to figures of the 2012 Commission's
Ageing Report, from 9.2% of GDP to 18.6% in 2060. This is mostly due to age-related
spending and in particular to pensions. The 2012 pension reform was limited in
scope and did not substantially address the threat posed to the long-term
sustainability of the public finances. Short-term financing of the pension
system is currently guaranteed by a low old-age dependency ratio and relies on
the contributions paid by the relatively young population of cross-border
workers. In the future, this trend is expected to reverse and pension costs, as
well as long-term care costs, will probably increase substantially. In order to
guarantee the viability of the pension system, a substantial increase in the
contribution rate would be necessary after 2020, in addition to the built-in
moderation of the adaptation of pensions to the standard of living. This would
entail a significant increase in the burden on labour supported by the future
active population and consequently a loss of cost competitiveness. Given the
currently high level of the replacement rate, some different measures could
have been taken so as to ensure a fairer distribution of the burden across
generations. The introduction of a cap on pension adjustments based on real
wage increases would increase pension reserves. In addition, increasing the
effective retirement age, currently situated at the age of 59, by aligning it
to change in life expectancy would help to ensure the long-term sustainability
of the pension system. Also, the possibilities for early retirement should be
reduced. Financial incentives to prolong working careers, as provided for in
the pension reform, may contribute to the sustainability of the pension system,
but the employability of older workers should be further improved by
reinforcing vocational education and lifelong learning. Luxembourg needs to
curb the future need for and related costs of, long-term care to ensure its
sustainability. Long-term care services could also be made more cost-effective
by strengthening coordination between healthcare and social care, improving
service delivery and better supporting family carers.
(13)
Luxembourg's large current account surplus is
driven by financial services and masks a persistent and gradually increasing
deficit in the trade balance for goods, which stems from slow export growth.
While this trend reflects the increasing importance of the service sector in
the economy, it is also due to a more structural loss of cost-competitiveness.
The recent steady increase in the unit labour cost has undermined the
competitiveness of Luxembourg's industrial fabric. The modulation of the wage
indexation mechanism adopted by the government in 2012 will be terminated by
the end of 2014. While different avenues could be explored, it is important
that wages are more closely tied to productivity by means of a reform of the
wage indexation system, allowing for sectoral differentiation. The heavy
dependence on the financial sector represents a structural risk for the
Luxembourg economy. Therefore, Luxembourg needs to focus on the development of
highly specialised firms as a springboard for innovation-driven growth. While
the quadrupling of public sector R&D intensity since 2000 reflects the
resolve to build up public research capacities, Luxembourg is not on track to
reach its 2020 R&D intensity target of 2.3-2.6% of GDP, due to the sharp
decrease in business R&D intensity (from 1.53% of GDP in 2000 to 1% in 2012).
Its performance on the indicators on cooperation between public research
institutions and firms should be further improved. The reform launched in 2013
on the reinforcement of innovative clusters should be pursued.
(14)
Although various measures have been adopted,
youth unemployment is persistently high, at 17.4% of the active population in
2013, albeit decreasing from 18% in 2012. It depends heavily on educational
level and is lower among those with a higher educational attainment.
Luxembourg’s education system faces a number of specific challenges, such as
multilingualism and the specific skills required by a highly specialised labour
market with a big financial sector. The results of the OECD's 2012 students'
skills survey confirmed that further measures are needed to counteract young
people's relatively weak performance in basic skills, as observed since 2006.
In this respect, the primary and secondary school reforms should be pursued. In
addition, the quality and attractiveness of vocational and educational training
should be further improved in order to provide the labour market with a
qualified workforce, including in particular people with a migrant background.
The design of the tax and benefit system is at the origin of very high labour-market
traps, among the highest in the EU, for all wage levels and family
compositions. Also, despite recent reform efforts, activation policies remain
weak; participation in active labour market policies is not compulsory at any
point during the period of unemployment, and there is no requirement to
continue job-seeking while participating in active labour market policies.
(15)
Luxembourg is committed to reducing its
greenhouse gas emissions in the non-ETS sectors by 20% in 2020, but is expected
to miss this target by 23 percentage points. In addition, 2013 emissions are
expected to be 1% higher than the target set for 2013 in the Effort Sharing
Decision. Around 70% of transport-related emissions are connected to fuel
exports, inter alia as a result of very low excise duties on fuels. The
recognition of fuel export as a key challenge in the second National Climate
Action Plan adopted in May 2013 is a step forward. However, more specific and
long-term measures are needed to address this issue. Environmental taxation
accounted for 2.4% of GDP in 2012, whereas in 2004 it accounted for 3.1 %. This
drop is driven in particular by lower energy tax revenues influenced by the
absence of indexation on energy taxes. Transport taxes, excluding fuels, represented
0.2% of GDP in 2012. Taxes on fuel used for transport are high at 2.2% of GDP,
in spite of the preferential tax treatment of diesel, mostly owing to 'fuel-pump
tourism'. With environmental taxation accounting for a below-average proportion
of total tax revenue, the design of its environmental taxes can be improved, in
particular by increasing taxation on energy products for transport.
(16)
In the context of the European Semester, the
Commission has carried out a comprehensive analysis of Luxembourg's economic
policy. It has assessed the stability programme and the national reform
programme. It has taken into account not only their relevance for sustainable
fiscal and socio-economic policy in Luxembourg but also their compliance with
EU rules and guidance, given the need to reinforce the overall economic
governance of the European Union by providing EU-level input into future
national decisions. Its recommendations under the European
Semester are reflected in recommendations (1) to (5) below.
(17)
In the light of this assessment, the Council has
examined Luxembourg’s stability programme, and its opinion[9] is reflected in
particular in recommendation (1) below.
(18)
In the context of the European Semester the
Commission has also carried out an analysis of the economic policy of the euro
area as a whole. On the basis of this analysis the Council has issued specific recommendations
for the Member States whose currency is the euro. Luxembourg should also ensure
the full and timely implementation of these recommendations.
HEREBY RECOMMENDS that Luxembourg
take action within the period 2014-2015 to:
1.
Preserve a sound fiscal position in 2014;
significantly strengthen the budgetary strategy in 2015 to ensure that the
medium-term objective is achieved and remain at the medium-term objective
thereafter, in order to protect the long-term sustainability of public
finances, in particular by taking into account implicit liabilities related to
ageing. Strengthen fiscal governance by speeding up the adoption of a
medium-term budgetary framework covering the general government and including
multi-annual expenditure ceilings, and by putting into place the independent
monitoring of fiscal rules. Further broaden the tax base, notably on
consumption.
2.
In view of ensuring fiscal sustainability, curb
age-related expenditure by making long-term care more cost-effective, pursue
the pension reform so as to increase the effective retirement age, including by
limiting early retirement and linking the statutory retirement age to life
expectancy. Reinforce efforts to increase the participation rate of older
workers, including by improving their employability through lifelong learning.
3.
Speed up the adoption of structural measures, in
consultation with the social partners and in accordance with national practices,
to reform the wage indexation system with a view to improving the responsiveness
of wages to productivity developments, notably at sectoral level. Pursue the
diversification of the structure of the economy, including by fostering private
investment in research and further developing cooperation between public
research and firms.
4.
Pursue efforts to reduce youth unemployment for low-skilled
jobs seekers with a migrant background, through a coherent strategy, including
by further improving the design and monitoring of active labour market policies,
addressing skills mismatches, and reducing financial disincentives to work. To
that effect, accelerate the implementation of the reform of general and vocational
education and training to better match young people's skills with labour
demand.
5.
Develop a comprehensive framework and take
concrete measures to meet the 2020 target for reducing greenhouse gas emissions
from non-ETS activities, especially through the taxation of energy products for
transports.
Done at Brussels,
                                                                       For
the Council
                                                                       The
President
[1]               OJ L 209, 2.8.1997, p. 1.
[2]               COM(2014) 417 final.
[3]               P7_TA(2014)0128 and P7_TA(2014)0129.
[4]               OJ L 140, 27.5.2013, p.11.
[5]               C(2013) 8006 final
[6]               COM(2013) 800 final.
[7]               COM(2013) 790 final.
[8]               SWD(2014) 84 final.
[9]               Under Article 5(2) of Council Regulation (EC) No
1466/97.