1. Budapest - 26 April 2005 Fernand Van Gansbeke DG Enforcement and Mediation Belgium European core principles and actions for the protection of consumers Taiex Workshop – IM 11912 Budapest (HU) - 26 April 2005

2. Budapest - 26 April 2005 1. Introduction Consumer Protection not always a hot item in EU Today : 25 countries and >470 consumers Consumer Protection : different approach in different countries Neccessity for a Comminity-level policy

3. Budapest - 26 April 2005 2. The Birth of Consumer Policy First Action Plan 1975 : 5 fundamental rights To protection of health and safety To protection of economic interest To redress in case of damages To information and education To representation Single Act 1987 : introduction of notion ‘consumer’ Art 100a  Commission entitled to protect consumers at a high level

4. Budapest - 26 April 2005 2. The Birth of Consumer Policy (2) Single Market 1993 – new action programme : Notion of consumer confidence Progress on toy safety and general product safety, cross- border payments, unfair contract terms, distance selling, and timeshares Maastricht 1991 : A fully fledged Commity policy An Art 129a : ‘strengthening of consumer protection’ Several Green Papers (…)

5. Budapest - 26 April 2005 3. Priorities 1996 - 1998 Priorities 1996-1998 : Financial services, essential public utility services and food products Consumer eduction Assistance to help other countries to develop consumer- oriented policy But then : BSE crisis DG XXIV : consumer policy and health protection  DG Sanco

6. Budapest - 26 April 2005 3. Priorities 1996 – 1998 (2) Treaty of Amsterdam : Art. 153a : fresh impetus to consumer policy Protection of health, safety and economic interest of consumers Promote their rights to information, education and to organise themselves in order to safeguard their rights Consumer policy should be taken into account in all other Community policies Action plan 1999-2001 : Consumer representation and education Consumer health and safety Economic interest of consumers

7. Budapest - 26 April 2005 4. Accents in the Priorities 1999 - 2001 Consumer representation and education Systematic consultation Effective dialogue Information campaigns Expansion of the Euroguichets centres Cooperation on consumer education Consumer health and safety Risk analysis Guarantee for safer products and services Response to emergencies Economic interests of consumers

8. Budapest - 26 April 2005 5. Priorities 2002-2006 – Actual Policy Consumers must be able to benefit fully from the internal market : Need for simpler and more uniform rules, A similar degree of application throughout the Union More accessible information and education measures Effective appeal mechanisms

9. Budapest - 26 April 2005 5.1 The Consumer Policy Strategy 3 Key objectives in one DG (Sanco) : A high common level of consumer protection Effective enforcement of consumer protection rules Proper involvement of consumer organisations in EU policies In order to help : achieve integration of consumer conderns into all other EU policies Maximise benefits of the single market for consumers Prepare for enlargement

10. Budapest - 26 April 2005 5.2. Safeguarding Consumers’ Interests Art. 153 of the Treaty : The internal market must work effectivily Consumers can : Purchase/order goods/services all over the EU When travelling / on distance / door-to-door Transfer money Legislation had to be adopted

11. Budapest - 26 April 2005 5.3. Safety of Products A high level of consumer health and safety ! Food safety  cfr Reg. 178/2002/EC Product safety  General Product Safety Directive (GPSD) Consumer products on the market should be safe General directive, but also completing sectorial legislation Generic definition of safe product Obligation for enforcing – appointing authorities Rapex exchange of information system … Safety of services  separate initiatives

12. Budapest - 26 April 2005 5.4. Enforcing Consumer Protection Rules Effective enforcement = Correct transposition by Member States Effective, efficient and consistent enforcement International Consumer Protection Enforcement Network (1991) – OECD Subgroup of ICPEN (1999) for the EU Prosafe Problem of enforcement by a mixture of private and public laws Need for EU initiative

13. Budapest - 26 April 2005 5.5. Consumer Protection Cooperation Regulation 2006/2004 : cooperation between national authorities responsible for enforcement of consumer protection laws Networking Obligation to assist Co-ordination of actions Information exchange Result of Green Paper 2001 on EU Consumer Portection Actual implementation phase Effective 2006

14. Budapest - 26 April 2005 5.6. Injunction Injunction = court order to stop, refrain or oblige a specific act Dir. 98/27/EC – Common procedure to allow a qualified body to seek an injunction in another country. Action based on own national provisions transposing EU Directives. Member States had to designate courts or administrative authorities and qualified bodies

15. Budapest - 26 April 2005 5.7. Redress / Asserting Consumer Rights Consumer have now certain rights Need for mechanisms to ensure that rights can be exercised Important for consumer confidence Access to courts is slow, expensive or unsuitable Therefore : a number of initiatives : Alternative Dispute Resolution (ADR) – EEJ-net European Consumer Centres (ECC)

16. Budapest - 26 April 2005 5.8. ADR Alternative Dispute Resolution schemes (ADR) = out of court mechanisms Public initiative  Private initiative Difference in status of decision Recommandation 98/257 EEJ net Database of different out of court bodies Goal : Building up confidence Integration in ECC Network

17. Budapest - 26 April 2005 5.9. European Consumer Centres (ECC) Merge of two previous existing networks : Euroguichets and EEJ-Network Aim : one-shop for citizens Tasks : Inform consumers about opportunities of internal market Advice in consumer related problems and support in cross- border complaints Co-ordinate out of court settlements throughout Europe Provide easy access to such procedures cross border Conduct cross border comparisons … 23 Centres, more to be planned

18. Budapest - 26 April 2005 5.10. Working with Consumer Organisations One of the key objectives of the Strategy 2002-2006 Participation in policy making Use consumer associations’ experience But need for a more consistent framework Increased financial and technical support to get a better active and efficient intervention Commission study : opportunities for improvement

19. Budapest - 26 April 2005 6. Conclusion 30 years of history and evolution A lot has been done Important work lays on the table Framework directive ‘unfair trade practices’ Implementation Regulation Enforcement Co-operation Further : Need for more simplification of existing rules and deregulation Use of framework directives  fragmentation

20. Budapest - 26 April 2005 Fernand T.G. VAN GANSBEKE Director DG Enforcement & Mediation WTC 3 - Office 9-050 Boulevard Simon Bolivar 30 B- 1000 BRUSSELS Phone : +32-2.208.39.17 Fax : +32-2.208.39.15 Email : fernand.vangansbeke@mineco.fgov.be Website : www.mineco.fgov.be