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Europe Daily Bulletin No. 8990
Contents Publication in full By article 18 / 31
GENERAL NEWS / (eu) eu/internal market

Infringement procedures against seven Member States in services and public procurement

Brussels, 13/07/2005 (Agence Europe) - On Wednesday the Commission decided to refer Italy to the European Court of Justice and has sent Italy, Portugal, the Netherlands, Luxembourg, Finland and Spain formal notice and has closed a case against Germany in the domain of free movement of services. It is also seeking a court referral against France and Italy and has sent Spain a reasoned opinion for non-respect of European public procurement rules.

(1) The Italian law on private security services still provides for a number of requirements that the Commission considers unnecessary or disproportionate: such as the need to obtain prior authorization even in case of provision of services, the limited territorial scope of this authorisation (one is needed for every province where the service is provided), the obligation to have an office in every province where the authorisation is granted, minimum number of staff and administrative approval of minimum and maximum rates. It has therefore decided to go to the Court as it breaches rules on establishment and free movement of services. Portugal and the Netherlands will also receive warning letters for not having totally conformed to the rulings of the Court of Justice in this area. 2) Another letter of formal notice for failure to comply with a judgment by the European Court of Justice has been sent to Luxembourg. The Court found last October that by imposing on service providers established in another Member State who wish to deploy in its territory workers who are nationals of non-Member States. 3) The Commission has decided to send a reasoned opinion to Finland relating to breach of rights to patient mobility. 4) The Commission has decided to send a reasoned opinion to Italy relating to Italian law and practices that do not allow companies based in other Member States, but active on a permanent basis in Italy, to register vehicles in this country. 5) The Commission has decided to formally ask Spain to review its rules on tourist rental of properties in the Canary Islands concerning preliminary authorisations and the rule of unity of exploitation. 6) The Commission has decided to close an infraction case against Germany relating to certain measures in the regional law on media in Rhineland-Palatinate.

Public procurement. The Commission has decided to take France and Italy to the Court of Justice on account of French Decree No 94/894 and No 79 of 11 March 1999 ("Bersani Decree") because it grants preference to outgoing concession-holders when concessions for works using hydraulic power are being renewed and awarded. However, this decision by the Commission to refer the matter to the Court of Justice is suspended for four months in view of the legislative amendments which are being prepared in Italy. The Commission has decided to send Spain a reasoned opinion because there are no provision in Spanish Law for a competitive procedure for the award of such concessions. The period of 75 years indicated in the Spanish law for the right of concession considerably strengthens the privileged position of current holders of water concessions.

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