Select Committee on European Scrutiny Seventh Report


13. POSTAL SERVICES


(24081)

15190/02

COM(02)632


Commission Report on the application of the Postal Directive (97/67/EC Directive).

Legal base:
Document originated:25 November 2002
Deposited in Parliament:11 December 2002
Department:Trade and Industry
Basis of consideration:EM of 30 December 2002
Previous Committee Report:None
To be discussed in Council:Not known
Committee's assessment:Politically important
Committee's decision:Cleared



Background

  13.1  The Commission is required by the Postal Directive, 97/67/EC, to report to the European Parliament and the Council on the application of the Directive. The Directive was intended to improve the quality of European postal services and implement the postal services internal market, and was based on a gradual and controlled market opening to competition and assured provision of a minimum universal postal service across the EU. The Commission's report should have been made three years after the date of entry into force of the Directive and no later than 31 December 2000. However, because of the prolonged timetable for the transposition (adoption into national legislation) of the Directive, the Commission has only recently made its report.

The document

  13.2  The Commission's report assesses the application of the Postal Directive in the Member States (and touches on its transposition in other European Economic Area countries and in the Accession Countries). Although Directive 2002/39/EC[41] amends the Postal Directive (and makes the reporting requirement a regular event every two years and requires a study in 2006 of the impact on universal service), it has not yet come into effect and so the document does not consider its application.

  13.3  The document has six sections:

  • an introduction, including a review of the situation before adoption of the Postal Directive;

  • a description of the aims and requirements of the Directive;

  • the situation on transposition of the Directive;

  • the application and regulatory impact of the Directive;

  • developments in the postal sector; and

  • a conclusion, including recommendations.

  13.4  The Commission indicates that the Postal Directive has been implemented to its satisfaction in most Member States and it believes the Directive has had a significant and positive impact. It notes particularly that a majority of postal operators have changed from public to corporate bodies, leading to market consolidation and greater emphasis on profitability, cost efficiency, customer focus and innovation. It says the quality of European postal services has improved and notes that employment in the postal sector has grown by 4.3% from 1995 to 2000.

  13.5  The Commission says it is difficult to identify specific effects of the Postal Directive on the development of the market. But it claims the Directive has been important in establishing a basic, harmonised, universal postal service and ensuring that this will be safeguarded as the market develops. It says European standards and quality of service targets have promoted improved quality of service. It notes that rapid technological change has led to product innovation, with many new services such as hybrid mail services and internet and e-commerce services being provided.

  13.6  In the conclusion the Commission says that, as the Postal Directive has a safeguard for a universal service and as the new Directive 2002/39/EC extends this safeguard, it has no recommendations for a further update of the Community regulatory framework at the moment.

The Government's view

  13.7  The Minister of State for E-commerce and Competitiveness, Department of Trade and Industry (Mr Stephen Timms) tells us:

"This is the first Commission report on the postal market. It demonstrates that the UK, among the majority of other Members, has met the requirements of the Postal Directive in the view of the Commission. It can therefore be concluded that the UK has implemented the Postal Directive to the satisfaction of the Commission. There are therefore no implications, actions or points to address for the UK arising from this report.

"The Department notes the report and its contents. It is satisfied with its own implementation of the Postal Directive in UK legislation and with the progress being made in taking forward the policies the Postal Directive sets out in other Member States who are not yet fully compliant. We support the Commission in their efforts to bring about full compliance, which is key to a competitive European market.

"The Department is taking forward the New Directive through the Postal Services (EC Directive) Regulations 2002 which were made on 11 December 2002 and are laying in the House (S.I.,2002, No. 3050). These Regulations shall come into force on 1 January 2003."



Conclusion

  13.8  This document usefully surveys the present position of European postal services. We note that for the future there will be such reports every two years and that there will be a study of the impact of the internal market for postal services in 2006. We clear the document.


41  OJ L 176, 5.7.02 p. 21; see (22907): HC 152-ix (2001-02), paragraph 24 (5 December 2001). Back


 
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