|
|
|
Dear Readers,
Ludwig Wittgenstein once put it this way: "The limit of my language is the limit of my world."
Nowhere does the truth of this statement become more apparent than in war, when words become weapons, slogans become strongholds and clichés become camouflage. Language changes its meaning depending on the constraints that are placed upon its world.
In the war in Ukraine, for example, we have had to learn that there are weapons and there are weapons. Distinctions are made between defensive weapons, light weapons, heavy weapons and offensive weapons, between weapons that can reach Russia and those that are armed with nuclear warheads. Berlin claims that it has already made extensive deliveries of weapons to Ukraine, while Kyiv vehemently denies this.
And it doesn’t end there. One man’s freedom fighter is another man’s Nazi. What one person sees as victory, another may see as defeat. According to Chancellor Olaf Scholz, Russia has already lost the war. He was referring to Moscow's strategic goal of dividing the West and weakening NATO. For the children still being maimed in the hail of bombs, the women being raped and families abducted, these words must sound like mockery; because, in operational terms, Russia has by no means lost the war.
And even an embargo does not always live up to its name. When Hungary and the Czech Republic continue to purchase Russian oil from Russian pipelines, and soaring prices mean that the Kremlin's coffers are fuller than ever, but Olaf Scholz celebrates the oil embargo, the adversaries’ semantics are worlds apart.
Brussels too can be an expert in obfuscation. At the Centre for European Policy we have made it our mission to bring clarity to the Commission's linguistic monstrosities. In this newsletter, our experts critically examine numerous EU projects - from media freedom and consumer credit to the green taxonomy.
I unequivocally wish you an enjoyable read.
Stay tuned!
Best wishes
Dr. Jörg Köpke
|
|
|
|---|
|
|
|
|
|
Destruction of war in Kiev: The propaganda machines of both warring parties are running at full speed. One side speaks of liberation – the other of genocide.
|
|
|
|---|
|
|
|
|
|
Latest EU Proposals in Focus
|
|
|
|---|
|
|
|
|
Biodiversity: Binding targets
On 22 June, as part of its EU Biodiversity Strategy 2030 [COM(2020) 380; cepPolicyBrief], the Commission intends to propose legally binding nature restoration targets, based on an impact assessment. The initiative aims to help put EU plant and animal biodiversity "on the road to recovery" by 2030.
|
|
|
|
|
|---|
|
|
|
|
|
|
Green Taxonomy: Decisions in European parliamentary committees on nuclear power and natural gas
In mid-June, the European parliamentary Committee on Economic and Monetary Affairs (ECON) and on the Environment, Public Health and Food Safety (ENVI) want to vote on the delegated act to supplement the climate taxonomy [C(2022) 631]. The legislation triggered fierce debates at the beginning of the year and, in particular, raised the question of whether the European Parliament and the Council were even authorised by law to empower the Commission to adopt a delegated act on this crucial issue [see cepInput 2/2022]. The law contains the technical assessment criteria for the classification of nuclear energy and natural gas as “environmentally sustainable” economic activities, subject in each case to precisely specified conditions. According to the Commission, these are "transitional activities" that can “facilitate the transition towards a predominantly renewable-based future”. Following the decision of the two committees, the plenary session of the European Parliament will then rule on the legislation in July. The decision in the Council is also still pending.
|
|
|
|
|
|---|
|
|
|
|
|
|
|
Media Freedom: Safeguarding independence and pluralism
On 27 June, the Commission will submit a proposal for a European Media Freedom Act. The law aims, firstly, to promote transparency and independence in the media sector by making the ownership of media companies more transparent and ensuring that media market transactions are monitored more effectively. Secondly, it aims to strengthen the functioning of the media by promoting media innovation and media pluralism. And thirdly, it will deal with the fair allocation of state resources, for example in the case of government advertising.
|
|
|
|
|
|---|
|
|
|
|
|
|
New Consumer Credit Directive: IMCO vote
On 15 and 16 June, the responsible European parliamentary committee, the Committee on Internal Market and Consumer Protection (IMCO), is scheduled to vote on its report regarding the Commission's proposal for a new Consumer Credit Directive (see cepPolicyBrief 4/2022). With the proposal for a Directive, the Commission aims to strengthen consumer rights, adapt legislation to the changes in market conditions due to new online providers and strengthen the internal market. A number of proposed amendments regarding controversial details of the Commission proposal have been tabled for discussion in the IMCO Committee. The main issues up for debate will be the design of pre-contractual information, the scope of the creditworthiness check and the right of withdrawal, which has so far been unrestricted; points already considered by cep in its PolicyBrief.
|
|
|
|
|
|---|
|
|
|
|
|
|
|
The Commission, the Council and the European Parliament regularly negotiate in the so-called trilogue on EU legislative proposals in order to find a common position. We have put together a summary of the most important trilogue agreements since the last Newsletter.
|
|
|
|---|
|
|
|
|
Trilogue agreement on the Regulation relating to digital operational resilience of the financial sector
On 11 May 2022, a provisional agreement was reached on the Regulation relating to the digital operational resilience of the financial sector [Digital Operational Resilience Act (DORA), see cepPolicyBrief 11/2021].
The Regulation will strengthen the IT security of financial companies, notably banks, insurance companies, investment funds and payment institutions. It contains uniform requirements for financial companies to manage ICT risks and to report serious ICT-related incidents to financial supervisory authorities. In addition, it sets out requirements for the contracts that financial companies conclude with third-party providers for the provision of ICT services (e.g. cloud services). It also introduces an EU supervisory framework for all third-country ICT service providers that are identified as critical. In the course of the negotiations, the European Parliament and the Council agreed, inter alia, that in the case of requirements for ICT risk management, the size, type, complexity and risk profile of a financial company will be taken into consideration. In order to enable effective supervision of critical third-country ICT service providers, they will also have to have a subsidiary in the EU if they want to work for EU financial companies. The European Parliament and the Council still have to formally approve the provisional agreement. Following its entry into force, the new Regulation will then take effect 24 months later.
|
|
|
|---|
|
|
|
|
|
|
Trilogue agreement on the Directive on measures for a high common level of cybersecurity in the EU (NIS II Directive)
On 13 May 2022, a provisional agreement was reached on the Directive on measures for a high common level of cybersecurity in the EU (NIS II Directive, see cepPolicyBrief 13/2021).
The NIS II Directive is to replace the existing Network and Information Security Directive [(EU) 2016/1148, NIS I]. The NIS II Directive aims to expand the group of companies that are subject to uniform EU-wide cybersecurity rules. In future, for example, medium-sized and large providers of postal and courier services, waste disposal companies, chemical manufacturers, food producers, manufacturers of medical products, manufacturers of electrical equipment, engineering companies and motor vehicle manufacturers will fall under the scope of the Directive. They will also therefore have to comply with requirements for the management of cyber-risks and the reporting of serious cyber-security incidents. In addition, some public sector bodies will be subject to the Directive for the first time but exemptions will be provided in particular for local authorities and authorities in areas such as national security, law enforcement and the judiciary. Companies and institutions covered by the Directive will be obliged to pay more attention to cyber-risks in their supply chains; the obligations to report cyber-security incidents will be clarified and stricter requirements for the enforcement of the Directive will be established.
The European Parliament and the Council still have to formally approve the provisional agreement. As soon as the NIS II Directive has come into force, Member States will have 21 months to transpose the new requirements into national law.
Trilogue agreement on the Regulation establishing an EU single window environment for customs
On 19 May 2022, a provisional agreement was reached on the Regulation establishing the EU "single window environment” for customs. The EU Commission had already submitted a proposal on this in October 2020 [COM(2020) 673]. It concerns the establishment of a single point of contact (“single window”) to facilitate and speed up the digital exchange of information between different government agencies and between these agencies and companies in international trade; to shorten customs clearance, and to reduce the risk of fraud. Following the agreement, companies no longer have to submit documents by a variety of channels to many different authorities. Instead, the single point of contact will be sufficient for customs authorities in particular to check whether goods comply with European requirements.
The European Parliament and the Council still have to formally approve the provisional agreement before the Regulation can enter into force.
Trilogue agreement on the introduction of a unified charging port for certain electronic devices (USB-C)
On 7 June 2022, a provisional agreement on an amended Radio Equipment Directive (2014/53/EU) was reached. A proposal in this regard [COM(2021) 547] was already presented by the Commission in September 2021.
The European Parliament and the Council have now agreed that, in future, there should be a uniform charging solution for a wide range of electronic devices, including smartphones, tablets, e-readers, digital cameras, headphones and headsets, insofar as the devices are charged by cable. Thus, the USB Type-C charging port is to become mandatory for all manufacturers of these electronic devices from autumn 2024. For manufacturers of laptops, there is a longer period of 3 1/2 years after the entry into force of the Regulation. The aim of the new Regulation is in particular to support the reuse of chargers, to reduce costs for consumers and to avoid electrical waste.
|
|
|
|---|
|
|
|
|
|
|
|
The EU Commission asks decision-makers and interested parties from civil society for their opinion on European policy proposals. Here is our short-list of the most important consultations:
|
|
|
|---|
|
|
|
|
Renewable Energy I: Synthetic fuels and renewable electricity
By way of a delegated Regulation, the Commission intends to establish binding targets for the share of renewable electricity (see cepPolicyBrief 1/2022) that have to be reached in the transport sector in the production of "renewable transport fuels of non-biological origin" (RFNBO; "synthetic fuels”) – e.g. hydrogen (see cepPolicyBrief 14/2020 and cepInput 6/2022) – so that these can be counted as fully renewable.
The submission period for opinions ends on 17 June 2022.
Go to Consultation
Renewable Energy II: Synthetic fuels and CO2 savings
By way of a delegated act, the Commission intends to establish the method for calculating CO2 savings for liquid and gaseous synthetic fuels.
The submission period for opinions ends on 17 June 2022.
Go to Consultation
Renewable Energy III: Accelerated permit procedures
In order to enable a faster roll-out of renewable energy (see cepPolicyBrief 1/2022), the Commission wants to introduce non-binding guidelines to reduce the length of national permit procedures, simplify site selection and present best practices for the conclusion of cross-border power purchase agreements.
The submission period for opinions ends at the earliest on 19 July 2022.
Go to Consultation
|
|
|
|---|
|
|
|
|
|
|
Environmental Liability: Evaluation of the Directive
The Commission intends to review the Environmental Liability Directive [2004/35/EC]. This regulates environmental liability based on the polluter pays principle in order to prevent or remedy environmental damage. Companies, business associations, environmental organisations, public authorities and the general public can share their experiences as regards the application of the Directive notably with regard to its effectiveness, efficiency and relevance.
The submission period for opinions ends on 4 August 2022.
Go to Consultation
Waste: Revision of the Waste Framework Directive
The Commission wants to revise the Waste Framework Directive [2008/98/EC; cepPolicyBrief 3/2016]. As part of its Circular Economy Action Plan [COM(2020) 98; see cepPolicyBrief 5/2020], the Commission had announced that it wanted to simplify waste management and ensure that companies were supplied with secondary materials obtained from recycling (“recyclates“). A revision of the Waste Framework Directive, will limit waste generation, increase re-use and promote high-quality recycling – including for waste oils and textiles.
The submission period for opinions ends on 16 August 2022.
Go to Consultation
|
|
|
|---|
|
|
|
|
|
|
Payment Transactions: Review of the 2nd Payment Services Directive
With a few exceptions, the 2nd Payment Services Directive (PSD 2) 2015/2366/EU] has been in effect since the start of 2018. It represents the EU's current set of rules for payment transactions and regulates, among other things, the use of online payment services, establishes the conditions for making digital payments, and lays down specifications so that payments can be made securely. According to the Commission, there have been many changes in the payment markets since the adoption of PSD 2. These include for example new market players, as well as the development of more innovative payment solutions such as e.g. contactless payment. The Commission intends to use the Consultation to find out, in view of these developments, to what extent the PSD II needs to be revised and in which areas changes may need to be made.
The submission period for opinions ends on 5 July 2022.
Go to Consultation
Open Finance: Easier data access for financial services
The 2nd Payment Services Directive (PSD 2) [2015/2366/EU] enables third parties – so-called payment initiation and account information service providers – to have access to the payment accounts data of bank customers, insofar as they agree to its re-use. The Commission sees potential in extending this concept beyond the banking sector to other financial services ("Open Finance"). In this respect, the Commission is thinking of access rights in the area of other financial services such as insurance or pension products. The Commission wants to use the Consultation to explore the potential of Open Finance and in particular to find out in which areas increased data access rights would be helpful in making more data available for innovative financial services.
The submission period for opinions ends on 5 July 2022.
Go to Consultation
Benchmarks: Adapting rules on benchmarks from third countries and on ESG reference values
“Reference values" (often: “benchmarks”) are indices that can be used to determine the value of a financial instrument or to measure the performance of investment funds. They are regulated via the so-called EU Benchmark Regulation [(EU) 2016/1011]. The Commission is planning to revise the Regulation. In particular, it is considering adjustments to the rules on benchmarks that are administered outside the European Economic Area (“third-country benchmarks"). In addition, a label for environmental, social and governance-related benchmarks ("ESG benchmarks") will be introduced. As part of the Consultation, views are being sought, in particular from benchmark administrators, but also from companies and investors who use benchmarks for investment, hedging or other purposes.
The submission period for opinions ends on 12 August 2022.
Go to Consultation
EFSI 2.0: Evaluation of the Regulation on the European Fund for Strategic Investments
In November 2014, in response to the global economic and financial crisis, the EU Commission presented an investment offensive for Europe. Part of this offensive was also the establishment of the "European Fund for Strategic Investments (EFSI)". The aim of the fund was, on the one hand, to promote investment and, on the other, to improve access to capital, especially for small and medium-sized enterprises (SMEs). With the support of the fund, “additional investments of at least €315 billion” should be mobilised across the EU "by mid-2018". In December 2017, as part of a revision of the EFSI Regulation [(EU) 2015/1017], it was decided to make the EFSI permanent in order to mobilise investments totalling €500 billion by 2020 [EFSI 2.0 Regulation (EU) 2017/2396]. With the help of a Consultation, the Commission now wants to evaluate whether and to what extent the EFSI has achieved its goals.
The submission period for opinions ends on 22 August 2022.
Go to Consultation
|
|
|
|---|
|
|
|
|
|
|
Tobacco Use: Commission to tackle health risk
In view of the fact that over a quarter of all cancers and almost 700,000 deaths per year in the EU are attributable to tobacco consumption, the Commission considers tobacco use to be the largest avoidable health risk. As a result of changing markets, new technologies and products - such as heated tobacco products, nicotine-free e-cigarettes and nicotine pouches - as well as new virtual advertising and marketing channels, the Commission sees a need to review the existing legislation. This principally aims to provide evidence on whether the current product-specific provisions, as well as the current regulation of advertising, promotion and sponsorship, are basically adequate for achieving the objectives of the EU’s Beating Cancer Plan. In this context, the main goal is to reduce the proportion of smokers in the population from 25% today to 5% by 2040, thereby creating a “Tobacco-Free Generation”.
The submission period for opinions ends on 17 June 2022.
Go to Consultation
|
|
|
|---|
|
|
|
|
|
|
Digital Fairness: Fitness check for EU consumer law
As already announced in the New Consumer Agenda (see cepPolicyBrief 10/2021), the Commission intends to evaluate whether existing EU law offers consumers an equal level of protection both "online" and "offline". This takes place, most notably, against the backdrop of advancing digitalisation which can also have an impact on consumer choice and which may hamper sound purchasing decisions. The Commission also wants consumers to take a more “active" role in the digital transformation. Scrutiny will thus focus primarily on the relevant provisions of the Unfair Commercial Practices Directive [RL 2005/29/EC], the Consumer Rights Directive [RL 2011/83/EU] and the Directive on unfair contract terms [93/13/EEC].
The submission period for opinions ends on 14 June 2022.
Go to Consultation
Sustainable Foods: EU to create new rules
In line with its “Farm to Fork” Strategy (see cepPolicyBrief), the Commission wants to make the European food system more sustainable. Thus, food value chains are to be made more sustainable and socially responsible. This will help protect the climate, the environment and human health. In order to achieve these objectives, the Commission is likely to introduce rules on sustainability labelling, on minimum criteria for public food procurement – e.g. in schools – and on the monitoring of food.
The submission period for opinions ends on 21 July 2022.
Go to Consultation
New Genomic Techniques: New legislation on genetically modified plants
The Commission wants to create new regulations for plants obtained using new genomic processes - so-called mutagenesis and cisgenesis - and used as feed and food. The aim of the new legislation is to ensure a high level of protection for human and animal health and for the environment, and to promote innovation. In addition, the goals of the "Green Deal" and the "Farm to Fork” Strategy (see cepPolicyBrief) will also be pursued. These are that plants should most notably become more resistant to diseases and environmental conditions and consume fewer natural resources - such as water.
The submission period for opinions ends on 22 July 2022.
Go to Consultation
|
|
|
|---|
|
|
|
|
|
|
|
Session of the European Parliament. This will concern, among other things, the European Emissions Trading Scheme, CO2 emissions for cars and light commercial vehicles and the digital COVID certificate.
Meeting of the Competitiveness Council. This will concern, among other things, the European Chip Law and the Consumer Credit Directive.
14 June 2022
Luxembourg
Meeting of the Health Council. Among other things, it is about the European space for health data and an EU strategy for global health.
Meeting of the Economic and Financial Affairs Council (Ecofin). Topics include Croatia's accession to the euro on 1 January 2023 as well as the definition of general orientations on the Solvency II Directive and the revision of the AIFM and UCITS Directives.
21 June 2022
Luxembourg
Meeting of the General Affairs Council.*
22 - 23 June 2022
Brussels
Session of the European Parliament.*
23 - 24 June 2022
Brussels
Meeting of the European Council. This will concern, among other things, Ukraine and the conference on the future of Europe.
26 - 28 June 2022
Schloss Elmau
G7 Summit. This will concern, among other things, climate change and environmental protection, implementation of the OECD agreement on the reallocation of taxation rights and the introduction of a global minimum tax, as well as the strengthening of supply chains.
*The precise agenda was not yet available at the time of going to press.
|
|
|
|---|
|
|
|
|
|
cep Publications to Current Topics
|
|
|
|---|
|
|
|
cepInput: The Next Level of Europe
|
|
|
|---|
|
|
|
|
The European Union is lurching from one crisis to the next. Economic prosperity and democratic consensus are at risk as it never happened before. Because of this, the Centres for European Policy Network (cep) calls for rapid reforms and, more than ever, for a multi-speed Europe. Otherwise, irreversible political, economic and technological regression looms.
Go to cepInput 7/2022
|
|
|
|---|
|
|
|
|
|
cepPolicyBrief: Regulation of Investment Funds
|
|
|
|---|
|
|
|
|
The EU Commission wants to strengthen the internal market for investment funds with a package of measures. To this end, it plans to introduce regulations for loan-originating funds and to provide fund managers with uniform instruments for liquidity management. The Center for European Policy (cep) particularly welcomes the uniform requirements for loan-originating funds. However, it sees also enough room for improvement.
Go to cepPolicyBrief 7/2022
|
|
|
|---|
|
|
|
|
|
|
|
Dear Readers,
According to Wilhelm von Humboldt, language is the key to the world. Precise language expands the world – obscurity restricts it.
Best wishes
Dr. Jörg Köpke
|
|
|
|---|
|
|
|
|
Recommend our newsletter to others or sign up!
|
|
|
|
|
|---|
|
|
|
|
|
|
|
|
