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Access to the occupation of road transport operator and to the international road haulage market

07-07-2020

The regulations on admission to the occupation of road transport operator and on access to the international road transport market have been contributing to the functioning of EU road transport and fairer competition between resident and non-resident hauliers since December 2011. Despite the improvements they have brought to the sector, persistent shortcomings such as diverging national application of the rules and uneven enforcement called for a revision of both acts. On 31 May 2017, as part of ...

The regulations on admission to the occupation of road transport operator and on access to the international road transport market have been contributing to the functioning of EU road transport and fairer competition between resident and non-resident hauliers since December 2011. Despite the improvements they have brought to the sector, persistent shortcomings such as diverging national application of the rules and uneven enforcement called for a revision of both acts. On 31 May 2017, as part of a 'mobility package', the European Commission adopted a new proposal to address the main shortcomings affecting the sector, and improve its competitiveness and efficiency. In June 2018, Parliament's Committee on Transport and Tourism (TRAN) adopted its report. After further debates and procedural developments, Parliament adopted its first-reading position on 4 April 2019. The Council, on its side, reached a general approach on this proposal in December 2018, under the Austrian Presidency. After four negotiating rounds, the Council and Parliament reached a provisional agreement on the proposal on 12 December 2019, which was approved by Coreper on 20 December. The Council formally adopted its first-reading position on 7 April 2020, and the TRAN committee recommended on 8 June that Parliament approve it at second reading. The agreed text is thus due to be voted in plenary in July at second reading. If adopted, this would put an end to three years of debate on a complex and controversial proposal. Sixth edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Safeguarding competition in air transport

20-05-2019

The issue of fair competition between EU and third-country airlines and the importance of guaranteeing a level playing field has been recognised for some years by the various EU institutions as key for the future of European aviation. The 2015 Commission communication on the aviation strategy underlined the importance and legitimacy of EU action to deal with possible unfair commercial practices in international aviation, and announced the revision of existing rules in this field. On 8 June 2017, ...

The issue of fair competition between EU and third-country airlines and the importance of guaranteeing a level playing field has been recognised for some years by the various EU institutions as key for the future of European aviation. The 2015 Commission communication on the aviation strategy underlined the importance and legitimacy of EU action to deal with possible unfair commercial practices in international aviation, and announced the revision of existing rules in this field. On 8 June 2017, the Commission adopted a legislative proposal for a regulation on safeguarding competition in air transport. The objective of the proposal is to provide effective legislation in order ‘to maintain conditions conducive to a high level of Union connectivity and to ensure fair competition with third countries’ air carriers’. Parliament and Council reached agreement on the text in November 2018. The text was formally adopted by Parliament on 14 March 2019 and by Council on 9 April. Signed on 17 April, the new regulation comes into force on 30 May 2019. Fifth edition. The ‘EU Legislation in Progress’ briefings are updated at key stages throughout the legislative procedure.

EU Statutory Audit Reform: Impact on costs, concentration and competition

09-04-2019

In this study we execute an in-depth analysis of the evolution of market concentration, competition and costs in the EU market for statutory auditing before and after the Audit Reform. Based on data from archival databases and a survey, we present evidence suggesting that rivalry between the largest audit suppliers increased, as did audit costs, non-Big 4 audit market share, and joint audit rates. Non-audit services (NAS) fees earned by the incumbent auditor decreased. This document was provided ...

In this study we execute an in-depth analysis of the evolution of market concentration, competition and costs in the EU market for statutory auditing before and after the Audit Reform. Based on data from archival databases and a survey, we present evidence suggesting that rivalry between the largest audit suppliers increased, as did audit costs, non-Big 4 audit market share, and joint audit rates. Non-audit services (NAS) fees earned by the incumbent auditor decreased. This document was provided by Policy Department A at the request of the Economic and Monetary Affairs (ECON) Committee.

Autorzy zewnętrzni

Marleen WILLEKENS, Simon DEKEYSER, Ines SIMAC

Empowering national competition authorities (NCAs)

18-02-2019

Since 2003, national competition authorities (NCAs) have boosted the enforcement of EU competition and antitrust rules significantly. However, each year losses of €181-320 billion accrue because of undiscovered cartels, which increase prices by between 17 % and 30 % on average. In March 2017, the Commission proposed a new directive to ensure that all NCAs have effective investigation and decision-making tools, could impose deterrent fines, and have well-designed leniency programmes and enough resources ...

Since 2003, national competition authorities (NCAs) have boosted the enforcement of EU competition and antitrust rules significantly. However, each year losses of €181-320 billion accrue because of undiscovered cartels, which increase prices by between 17 % and 30 % on average. In March 2017, the Commission proposed a new directive to ensure that all NCAs have effective investigation and decision-making tools, could impose deterrent fines, and have well-designed leniency programmes and enough resources to enforce EU competition rules independently. On 30 May 2018, Parliament and Council reached an agreement on the proposal in trilogue. It increases the independence, resources and powers of NCAs and envisages more harmonisation of the national leniency programmes and reduced burdens on undertakings. Parliament adopted the text on 14 November 2018, the final act was signed on 11 December 2018. Third edition. The ‘EU Legislation in Progress’ briefings are updated at key stages throughout the legislative procedure.

Contribution to growth. European Public Procurement. Delivering economic benefits for citizens and businesses

14-12-2018

Numerous legislative measures have been initiated or enacted in support of the overall achievement of a Digital Single Market (DSM). This in-depth analysis provides a brief stock-taking of what has been achieved in economic terms, of what remains to be done, and of candidate initiatives for the next legislative term. The study was prepared by Policy Department A on the request of European Parliament´s Committee on the Internal Market and Consumer Protection.

Numerous legislative measures have been initiated or enacted in support of the overall achievement of a Digital Single Market (DSM). This in-depth analysis provides a brief stock-taking of what has been achieved in economic terms, of what remains to be done, and of candidate initiatives for the next legislative term. The study was prepared by Policy Department A on the request of European Parliament´s Committee on the Internal Market and Consumer Protection.

Autorzy zewnętrzni

Jörg Becker, Marco Niemann, Sebastian Halsbenning

Study in focus: Competition issues in the Area of Financial Technology (FinTech)

22-11-2018

This note summarises the main points presented in the study on Competition issues in the Area of Financial Technology (FinTech).

This note summarises the main points presented in the study on Competition issues in the Area of Financial Technology (FinTech).

Study in focus - Competition in Air Transport

02-05-2018

This note summarises the main points presented in the study on Competition in Air Transport.

This note summarises the main points presented in the study on Competition in Air Transport.

Monetary policy implications of financial innovation

15-05-2017

In this policy brief, we argue that the financial innovations triggered by the FinTech industry have the potential to affect the transmission of monetary policy as well as the informational content of important monetary indicators. While the overall effect of nonbank finance on monetary policy transmission is not yet clear, we argue that regulators and policy makers need to closely monitor the potential effects of FinTech on monetary policy transmission and to adequately adjust financial sector regulation ...

In this policy brief, we argue that the financial innovations triggered by the FinTech industry have the potential to affect the transmission of monetary policy as well as the informational content of important monetary indicators. While the overall effect of nonbank finance on monetary policy transmission is not yet clear, we argue that regulators and policy makers need to closely monitor the potential effects of FinTech on monetary policy transmission and to adequately adjust financial sector regulation.

Autorzy zewnętrzni

Kerstin BERNOTH (DIW Berlin and Hertie School of Governance), Stefan GEBAUER, Dorothea SCHÄFER (DIW Berlin)

Access to the occupation of road transport operator and to the international road haulage market

15-03-2017

Regulation (EC) No 1071/2009 and Regulation (EC) No 1072/2009 set out a common legal framework to access road transport operator business and the road haulage market. The different analyses and studies carried out at European level show that the two regulations had positive effects on the internal market (such as harmonisation, introduction of quantitative criteria, clarification of terms, linking of the international cabotage to international carriage operations) and are an appropriate tool to deal ...

Regulation (EC) No 1071/2009 and Regulation (EC) No 1072/2009 set out a common legal framework to access road transport operator business and the road haulage market. The different analyses and studies carried out at European level show that the two regulations had positive effects on the internal market (such as harmonisation, introduction of quantitative criteria, clarification of terms, linking of the international cabotage to international carriage operations) and are an appropriate tool to deal with this issue. Nevertheless, several shortcomings were identified, considerably limiting the efficiency of the two legislative acts. Improvements are therefore needed, in particular regarding cabotage performance, rules enforcement, clarifying problematic terms, letterbox companies, and infringements. At the same time, harmonising the issues interpreted differently by Member States will benefit the market as a whole. The situations experienced by stakeholders, as well as best practices, could provide useful input for future approaches in this field. Beyond specific provisions and particular issues to be clarified and/or improved, the existing evaluations show that the most appropriate approach for the future would be a progressive opening of the haulage market and a deeper harmonisation at economic, legal and social level across the European Union.

Overview of the internal energy market design legislation

23-01-2017

The new proposals build on previous legislation and continue to gradually implement an internal energy market. In particular, they look to incorporate recent changes, such as the rapid increase in renewables and technological advances relating to the digitalisation of services. They also attempt to clarify previous legislation such as in the case of storage for Transmission System Operators (TSOs) for example. As with the recent proposals on security of gas supply, the Commission looks to incorporate ...

The new proposals build on previous legislation and continue to gradually implement an internal energy market. In particular, they look to incorporate recent changes, such as the rapid increase in renewables and technological advances relating to the digitalisation of services. They also attempt to clarify previous legislation such as in the case of storage for Transmission System Operators (TSOs) for example. As with the recent proposals on security of gas supply, the Commission looks to incorporate a regional approach as the default option for assessing needs and mitigating risks. The Commission's evaluation, as well as the review of the implementation process, have shown that, while progress has been made, challenges to create a properly functioning internal market remain. The challenges identified by the evaluation, such as price controls, insufficient cross-border trade, uncoordinated national interventions and issues around regulatory independence, are addressed by the current proposals. However, it is also clear from the evaluation that progress towards a well-functioning and competitive energy market has not been consistent across the EU. Where progress has been made, the effects have been positive, although the evaluation does not look at examples of best practice to assess the best way forward. The EU- wide oversight of national regulators and TSOs is seen as positive, but question marks remain in terms of whether the suggested changes will be sufficient. Several reviews on the topic have noted that the Agency for the Cooperation of Energy Regulators (ACER) lack sufficient powers to be effective and it is unclear whether the current proposals will properly address this issue. The public consultations also pointed to the dual role of the European Network for Transmission System Operators for electricity (ENTSO-E), as both a lobby organisation and a representative of public interest,  as potentially problematic. The creation of a European Distribution System Operator (DSO) could possibly duplicate this issue. The evaluation does not include any assessment around infrastructure legislation or the EU's role in this area; however, it notes that the incentives for private investments have been insufficient so far. It is hoped that the proposed moves to a more flexible and price-driven market should improve investment conditions. As reforms in this area have been ongoing since the 1990s, it will be particularly important to continue to monitor progress and to what extent the new proposals increase competition and a well-functioning, price-led market. In terms of the Parliament's demands, many of its requests are reflected in the proposals, such as calls for more regional cooperation, for example. They do not, however, include a review of the gas market or interconnectivity objectives differentiated by regions; nor do they look to address to any great extent the issue of external import. In the case of the ACER, Parliament had asked for a substantial increase in resources. While the proposals strengthen the agency's position, the Commission decided not to propose making the ACER into a pan-European regulator, with the increase in budget and staff that such a move would have entailed.

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