Annexes to COM(2013)74 - More Product Safety and better Market Surveillance in the Single Market for Products

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agreement among the Member States, the Commission may decide whether measures taken by the original notifying State are legitimate) will be restricted to harmonised goods.

3.2.        Other, specific improvements

The proposal would strengthen controls at external borders by making clear that the release for free circulation in the Union of any product within the scope of the regulation should be suspended if the authorities responsible for external border controls have cause to believe that it presented a risk. Market surveillance authorities would then check whether the product did in fact present a risk before instructing the border authorities to release or refuse release, as appropriate. Only products entering the Union in the physical possession of natural persons and destined for their personal use would be exempt. Thus internet purchases of product from third countries may be controlled.

The regulation promotes the exchange and retention of information relating to market surveillance activities in an easily accessible database. One particular intended consequence is that the market surveillance authorities should not repeat tests and assessments already carried out in relation to a particular product by the authorities of another Member State. It should become standard practice to search the database for records of such tests and assessments. Given the high cost of product test this will lead to high savings for the Member State competent authorities and facilitate better surveillance in smaller markets within the Union.

Market surveillance authorities would be given the power to charge economic operators fees where they require corrective action to be taken in relation to a product or must monitor corrective action proposed by an operator.

The RAPEX system, used to process notifications by Member States concerning products presenting a risk, is being improved. Accordingly, the notification criteria are being simplified, more detailed information must be notified for better relevance and follow-up, and time-limits for sending notifications are being made more realistic and workable.

Experience with EU product safety "emergency" measures has also shown that the validity of these measures (up to one year) is not enough to prepare a permanent solution at the EU level and they usually have to be repeatedly renewed, creating legal uncertainty and confusion for economic operators who must decide whether to make long-term investment to adapt their products to the new product safety requirements. Under the new Regulation, the Commission should be given more flexibility as regards the type and content of restricting measures in respect of dangerous products. To this end, the Commission should be in a position to adopt measures that are either addressed to the Member States or that are directly applicable to economic operators. Those measures could either be limited in time or not.

The Commission is committed to providing guidance and useful information to companies and other interested parties on the interpretation and application of the new product safety and market surveillance rules. The proposed European Market Surveillance Forum will play a pivotal role to develop best practices for a harmonised implementation across the Union. Business and consumer associations will have the possibility to make their voice heard in that Forum. The European Enterprise Network (EEN) offices in each Member State should further disseminate the information, especially to SMEs and advise them, collectively and individually, on their rights and obligations under the new regulation. The Network, supported by SME Envoys, should also collect feedback from SMEs and report on their specific needs, interests or concerns to be taken into account for the implementation of the new rules.

4. The Multi-annual Market Surveillance Plan

Products (including products imported from outside the Union and released into free circulation) move easily across borders within the Union. Checks on their safety must be done with sufficient frequency and consistency right across the Union. This means getting market surveillance authorities of the Member States to work together more closely and effectively.

The development of a multi-annual plan for market surveillance is one of the 50 action points in the Single Market Act. Member States must already establish and keep up to date national market surveillance programmes. The multi-annual plan must not duplicate activities already planned or underway at national level but identify and pursue areas in which coordination by the Commission would add value and bring about real improvements. It sets out an ambitious list of 20 individual actions to be undertaken over the next three years.

(1) Under the plan, market surveillance authorities in the Member States will be encouraged and enabled to communicate with and support each other better. Information about national rules and business practices will be gathered through studies, surveys and consultation. Suitable IT will be put in place to collect and store information in an easily retrievable manner. Divergences, disparities and specific needs will be identified and appropriate training, technical assistance and guidance offered.

(2) The nuts and bolts of market surveillance are the identification and assessment of risk. Common practices will be developed and followed across the Union. The Commission is committed to promoting effective methods of communication, preparing guidance and drawing up a common approach to the conduct of physical documentary and laboratory checks of products.

(3) Greater centralised coordination of joint programmes and action will maximise their useful scope, ensure the high quality of their content and thus improve their effectiveness.

(4) The pooling of resources wherever possible helps eliminate the duplication of tasks and facilitates exchanges of experience and information. A large quantity of information on risk assessment, testing methods, corrective measures taken and so on, assembled from market surveillance authorities across the Union, is being collated and stored in the ICSMS database, managed by the Commission. The market surveillance authorities of one Member State will be able to see quickly and clearly whether (and if so, how) a particular problem has already been addressed in another. The results of laboratory testing will be available, obviating the need for repeat testing leading to savings and reduction of administrative burden. The usefulness of this tool depends entirely on the speedy, accurate and diligent entering of information into the database and the authorities of all Member States will be encouraged to play their part. Any necessary training and guidance will be made available to ensure that the huge potential of this growing resource is fully realised.

(5) A continuous exchange of views between the Commission, consumers, business stakeholders and national authorities is essential to underpin this pan-European cooperation. This will be achieved without adding to the over-abundance of Union-citizen-business interfaces.

(6) Improvement of the efficiency of border safety controls requires enhanced cooperation between customs and market surveillance authorities as well as the use of modern tools to better target the checks to be carried out in respect of products entering the Union market.

The Union multi-annual market surveillance plan will bring real, tangible benefits to the conduct of market surveillance activities on the ground, responding to the considerable demands of a modern, highly functional internal market for goods.

5. The Report on the implementation of Regulation 765/2008

The report, drawn up by the Commission in accordance with Articles 36(2) and 40 of Regulation 765/2008, completes the Product Safety and Market Surveillance Package. With this report, the Commission informs the European Parliament and the Council about the outcome of its evaluation on the implementation of that Regulation and on the relevance of the conformity assessment, accreditation and market surveillance activities that receive Union financing. The findings of the Commission's evaluation have helped to identify how to do better and are hence reflected in the proposed set of new rules.

6. Conclusion

The aim of this package of proposals is to address three major objectives: more safety for consumers; less burden for businesses; more co-operation among competent authorities. Ultimately through better rules that are fit for purpose this package seeks to build more confidence in the single market and thus to stimulate growth.

Once these proposals are adopted and implemented, consumers will be able to rely on a safer market for consumer products and to benefit from transparent and comparable information, in line with the priorities set out in the European Consumer Agenda. The implementation of the package will also have significant advantages for economic operators, in particular SMEs, that will be able to rely on clear rules and to secure better competition in the Single Market. Ultimately public authorities across Europe will benefit from the rationalisation of the market surveillance framework and from increased synergies, which will lead to a more efficient use of public resources and expenditure and to a better enforcement.

The co-legislators are invited to adopt the two legislative proposals in order to ensure that this key action of the Single Market Act II, like all other key actions, will be agreed at EU level as a priority by spring 2014.

With this package of legislative and non-legislative measures, the Commission strives to allow citizens and businesses to reap the full benefits of the Single Market for industrial and consumer products, thus contributing to more growth and jobs in Europe.