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Europe Daily Bulletin No. 10394
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GENERAL NEWS / (ae) ep/employment

SSGI - Commission must act

Brussels, 08/06/2011 (Agence Europe) - During the evening of Monday 6 June, the European Parliament committee on employment and social affairs adopted by 36 votes to 8 and 2 abstentions the draft report by Proinsias De Rossa (S&D, Ireland) concerning the future of social services of general interest (SSGI). The draft report, structured around 38 compromise amendments (all approved), will be voted on during the July plenary session in Strasbourg.

At present, there is no framework directive for services of general economic interest (SGEI) on the programme but a request from the Commission to take action on SSGI. MEPs are adamant that a full review of all rules must be initiated, particularly state-aid and procurement rules which impact on SSGI, and that there must be an assessment of how these should be redesigned to respect and support the definition and delivery of SSGI. They also suggest the creation of a high level multi-stakeholder task force, jointly managed by the Commission and the EP.

Other compromise amendments adopted pertain in particular to: (1) recognition of the special characteristics of SSGI (social protection, universal access, quality of life, cohesion and social inclusion, fundamental rights, etc); (2) universal access to such services (not restricted to the most disadvantaged); (3) support for the proposal of a universal banking service; (4) economic importance of the sector; (5) the key role played by regional and local authorities; (6) the role of social enterprises and reinvestment of results in SSGI financing; (7) the insufficient clarification of key notions, and persistent legal uncertainty; (8) the SSGI's function as economic stabiliser in times of crisis; (9) the European status of the associations, mutual benefit societies and foundations; (10) support for the proposal to revise the Monti-Kroes package, differentiated treatment depending on nature of service, simplification of over-compensation control and targeting depending on the real risk of competition distortion, extension of exemptions outside thresholds, and an increase in de minimis thresholds for SSGI; (11) simplification of public procurement rules for SSGI, adjustment to the demands for correct accomplishment of missions, respect of alternative choices (concessions, special rights, etc), resumption of in-house definition of the SSGI transport regulation, and consideration taken of the non-profit making players and social enterprises; and (12) the need to take into consideration the specific nature of the social economy players (associations and social enterprises).

In his explanatory statement, De Rossa outlines the high-level multi-stakeholder task force. He says its mission will be to seek broader consensus on the various proposals for implementing SSGI-related reforms, including those of the EP, the Commission, the Social Protection Committee, social partners and representative bodies of providers and users. It would also be to establish the legal security needed to ensure total accomplishment of the economic and social role that the SSGI may play in European society. Its members would comprise representatives from the DGs Competition, Environment, Single Market and SANCO, the Employment/Social Affairs/Consumers/Health Council, social partners and civil society organisations in the field of SSGI. It would be headed by the DG Social Affairs of the Commission. The task force would initially have a mandate of two years for presenting a progress report to the 4th biennial forum on SSGI.

De Rossa also recalls the proposals made in December 2010, as well as the comments from trade union organisations (FSESP, ETUC), enterprises with public participation (CEEP), or the European Liaison Committee, the Committee of the Regions and the point of view of the Commission (see EUROPE 10275). All these proposals are drawn from experience gained by these organisations and “deserve active and serious consideration in a structured and integrated manner, such as by the proposed task force”, said De Rossa. Highlighting the social role of the SSGI, De Rossa said that high quality social services of general interest - such as health, education and childcare and essential network services such as transport, energy and telecommunications - ensure that society is healthy, active, cohesive and inclusive. They are also essential for strengthening participation on the labour market and developing a competitive social market economy.

Response. Karima Delli (Greens/EFA, France) expressed regret that a framework directive on services of general interest had not been requested by her MEP colleagues given the current context of economic and social crisis. She also noted their refusal to create a fund for social innovation, when even this fund is an essential investment for the future. (G.B./transl.jl)

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