Brussels, 14/12/2004 (Agence Europe) - "The services sector is crucial for the European economy. However, due to legislative barriers, many markets remain closed to competition". Malcolm Harbour, from the United Kingdom opened the EPP-Ed group hearing on the future services directive with these words. Harbour is the coordinator of the group at the "Internal Market and Consumer Protection" parliamentary committee and welcomed the clear objective in the Commission's proposal to open up the internal market to the services sector but acknowledged that amendments and clarification were needed. At his invitation, several professions covered by the future directive spoke in turn on the sectoral approach becoming something across the board.
Yvon Thiec, speaking on behalf of cinema and television producers (Eurocinema), declared: "Audio-visual services should be allowed to benefit from a European level sectoral approach based on the lex specialis mode. According to the directive "Television without frontiers" (TSF), the Member State of original already prevails. We cannot expect the 'services' directive to bring added value. Respect for free expression, consumer protection and for children or the promotion of minority languages is part of the objectives of general interest that remain the competency of Member States. The accumulation announced with the 'services' directive is making European legislation ambiguous and confused. The remedy lies in getting back to sectoral and balanced media law".
Patrice Pellegrino, speaking for European retailer (wholesalers and those working internationally) (Eurocommerce), did not share this opinion, "Eurocommerce recommends an overall approach without impinging on the need to take into account sectors governed by specific legislation ". According to him "this directive is not a novelty, it just consolidates the jurisprudence of the Court of Justice". For example, the draft directive includes several Articles (5, 9, 13, 14, 15) the ruling C-439/99 Commission/Italy on the free provision of services for organising trade fairs and shows, exhibitions and sales. This also applies with ruling C-355/98 Commission/Belgium on the right of establishment.
Fernando Paes Afonso, the Head of the Portuguese national lottery fully supported the exclusion of gambling from the filed of application for directive. He asserted that, "Gambling is a very sensitive area, which the Court of Justice has always recognised. The abolition on the restriction to the movement of gambling activities would be contrary to European jurisprudence. Who would control operators if the text was adopted as it stood? Member States want society to benefit from the money earned from an activity that is not terribly well appreciated to fund social, cultural and sport activities. This is the case in Portugal where two thirds of the public budget for school sports come from the national lottery. As opposed to the wishes of the European Council of Edinburgh of 1992, no European study on gambling activities has ever been carried out. Why take decisions, without having the necessary data?" Malcolm Harbour, in response to this intervention explained that there were quite honourable companies involved in this sector.
Walter Grupp, speaking on behalf of the European Confederation of Associations of Small and Medium-sized Enterprises (ECA-SME), made an enthusiastic contribution to the assembly, "companies are not experiencing any real difficulties because they have the right of establishment. All this was sorted out twenty years ago and there are no practical problems. It is particularly important to base things on trust. Polish craftsmen are often better experts than ours". It was a different tone from The European Association of Craft and Small and Medium-sized Enterprises (UEAPME). Its Secretary General, Hans-Werner Müller, welcome the European Commission for it work, notably in the area of administrative simplification, because the internal market was not baring up too well. However, "the principle of the country of origin was a big problem for SMEs. It is going to create discrimination due to the different standards in countries. . We are not all saints, there is a real danger of unfair competition, which SMEs doing a good job suffer from. Introducing the principle of the country of origin would be the death of SMEs!".
Johan Hjertqvist, Head of the action group "Timbro Policy Group", active in the area of health and consumers wanted to include health service in the directive, "the health sector is growing rapidly in Europe and mobility and access to services is a growing trend. Consumers increasingly agree with the idea of receiving health care in another Member State. In Sweden, two thirds of health consumers are already involved. More information on health services would improve quality. Some quarters have expressed fear of competition being equivalent to a lowering in the quality of the service. For me, it's the contrary. Several MEPs were keen to qualify this speech somewhat, notably by operating a distinction between mobile health facilities and hospital treatment".
Ireland's Avril Doyle said that "health services should benefit from a different approach" and that "if they remain included in the directive, it will never be passed in the Council".
Speaking for on behalf of the European Council of Liberal and Social Professions (CEPLIS), Adrien Bedossa said that he felt it was important for the future "Services" directive to provide for derogations: "It would be counter-productive to refuse the principle of country of origin completely. But clarification of the 'recognition of professional qualifications' directive is absolutely necessary. The liberal professions are concerned about the two texts" (see EUROPE of 8 December). Arno Metzler, representative of the German association of liberal professions, sees things entirely differently. "There is a rejection for cross-border service provision. The intellectual professions would be subject to standardisation. It is impossible. Without harmonisation, the application of the principle of country of origin is difficult, it will depend on the control and preventive mechanisms in place. Notaries and geometrists must be exempted".
After the discussions, Malcolm Harbour said in a press release that "the EPP-ED group will continue its discussions, notably on health and gambling, two controversial sectors which are covered by the directive". In the view of the group, several amendments and clarifications remain necessary. These concern the effectiveness of controls and legal security, especially from a consumer point of view, and respect for the specific directive on seconded workers. The press release adds that "a directive modified to this end would make a positive contribution to the Lisbon objectives on consumer confidence, employment and the competitiveness of European businesses".