EU revising standards legislation
The free movement of goods lies at the heart of an open market for business in Europe. In May 1985, European product legislation was revolutionised when European Community ministers agreed on a resolution entitled New Approach to Technical...
The free movement of goods lies at the heart of an open market for business in Europe. In May 1985, European product legislation was revolutionised when European Community ministers agreed on a resolution entitled New Approach to Technical Harmonisation and Standards to fulfil this objective.
The New Approach method was based on the simple condition that the producer can guarantee that its products, (e.g. toasters, TVs, washing machines etc) are safe, designated by the CE marking.
The "essential requirements" set by the New Approach Directives became the foundations of the European standards developed by standardisation bodies (CEN, CENELEC and ETSI).
This was done in consensus between all industrial and societal stakeholders in an open and transparent procedure. In most cases they take the form of harmonised European standards and their application is voluntary. The New Approach has been an innovative and successful framework for better regulation for the last 20 years.
It was established as the corner stone of the single market - a new type of technical regulation designed to protect consumers, employees, the environment and competition while facilitating trade by removing technical barriers and allowing for product innovation.
It is doubtful, given the different legal systems of member states, whether the single market could have come to fruition without such an innovative approach to regulation. There are 25 New Approach Directives covering over 20 per cent of goods traded within the EU. Together, the trading volume of the products covered only by the major sectors is estimated to exceed €1,500 billion per year.
The New Approach has directly contributed towards the benefits accrued from the internal market since 1992, and - make no mistake - the internal market is one of Europe's great achievements. Over the first 10 years EU GDP has been boosted by €877 billion. This represents €5,700 of extra income per household. Employment has grown by 1.4 per cent equating to an extra 2.5 million jobs. Intra-EU trade and foreign direct investment to the EU have increased immensely, and 60 million customs clearance documents per year no longer need to be completed.
Nonetheless, consultations with stakeholders have revealed a number of weaknesses in the internal market for goods, which continue to have a negative effect on both businesses and consumer. After more than 20 years of the New Approach, these shortcomings have spurred the Council to call for a revision of the New Approach to enhance its effectiveness, e.g. in the fields of market surveillance (enforcement of legislation at national level) and to ensure coherence of rules for conformity assessment.
Reviews often indicate failing policies but this review indicates a successful policy, which has the potential to deliver even more. Essentially this simplification of the New Approach will help make the single market work even better in the years ahead, particularly to the benefit of companies, the national authorities and the European economy as a whole.
The emerging issues relate in particular to accreditation, conformity assessment, CE marking, and market surveillance. This revision will bring forward proposals that could make a real difference to the way business is done across the Community, such as market surveillance which could contribute towards a more level playing field.
The Commission understands the benefits that could come from extending features of the New Approach to other sectors. Certain industries beyond its present scope are beginning to show interest in having its "light touch" principles applied in their sectors.
The Malta Standards Authority is participating actively in the revision process. This process started unofficially three years ago where various discussions were held in Brussels within the Senior Official Grouping.
A consultation process will soon be launched with all local stakeholders to keep them informed of the discussions taking place.
• Ing. Farrugia is the chairman of the Malta Standards Authority. Further information can be obtained by e-mailing anthony.camilleri@msa.org.mt
The New Approach method was based on the simple condition that the producer can guarantee that its products, (e.g. toasters, TVs, washing machines etc) are safe, designated by the CE marking.
The "essential requirements" set by the New Approach Directives became the foundations of the European standards developed by standardisation bodies (CEN, CENELEC and ETSI).
This was done in consensus between all industrial and societal stakeholders in an open and transparent procedure. In most cases they take the form of harmonised European standards and their application is voluntary. The New Approach has been an innovative and successful framework for better regulation for the last 20 years.
It was established as the corner stone of the single market - a new type of technical regulation designed to protect consumers, employees, the environment and competition while facilitating trade by removing technical barriers and allowing for product innovation.
It is doubtful, given the different legal systems of member states, whether the single market could have come to fruition without such an innovative approach to regulation. There are 25 New Approach Directives covering over 20 per cent of goods traded within the EU. Together, the trading volume of the products covered only by the major sectors is estimated to exceed €1,500 billion per year.
The New Approach has directly contributed towards the benefits accrued from the internal market since 1992, and - make no mistake - the internal market is one of Europe's great achievements. Over the first 10 years EU GDP has been boosted by €877 billion. This represents €5,700 of extra income per household. Employment has grown by 1.4 per cent equating to an extra 2.5 million jobs. Intra-EU trade and foreign direct investment to the EU have increased immensely, and 60 million customs clearance documents per year no longer need to be completed.
Nonetheless, consultations with stakeholders have revealed a number of weaknesses in the internal market for goods, which continue to have a negative effect on both businesses and consumer. After more than 20 years of the New Approach, these shortcomings have spurred the Council to call for a revision of the New Approach to enhance its effectiveness, e.g. in the fields of market surveillance (enforcement of legislation at national level) and to ensure coherence of rules for conformity assessment.
Reviews often indicate failing policies but this review indicates a successful policy, which has the potential to deliver even more. Essentially this simplification of the New Approach will help make the single market work even better in the years ahead, particularly to the benefit of companies, the national authorities and the European economy as a whole.
The emerging issues relate in particular to accreditation, conformity assessment, CE marking, and market surveillance. This revision will bring forward proposals that could make a real difference to the way business is done across the Community, such as market surveillance which could contribute towards a more level playing field.
The Commission understands the benefits that could come from extending features of the New Approach to other sectors. Certain industries beyond its present scope are beginning to show interest in having its "light touch" principles applied in their sectors.
The Malta Standards Authority is participating actively in the revision process. This process started unofficially three years ago where various discussions were held in Brussels within the Senior Official Grouping.
A consultation process will soon be launched with all local stakeholders to keep them informed of the discussions taking place.
• Ing. Farrugia is the chairman of the Malta Standards Authority. Further information can be obtained by e-mailing anthony.camilleri@msa.org.mt