Select Committee on European Scrutiny Thirty-Fourth Report


6 "Better Lawmaking 2005"

(27598)

10558/06

+ ADD 1

COM(06) 289

Report from the Commission Better Lawmaking 2005 pursuant to Article 9 of the Protocol on the application of the principles of subsidiarity and proportionality

Legal base
Document originated13 June 2006
Deposited in Parliament21 June 2006
DepartmentCabinet Office
Basis of considerationEM of 26 June 2006
Previous Committee Report
To be discussed in Council
Committee's assessmentLegally and politically important
Committee's decisionCleared

Background

6.1 Under Article 9 of the protocol to the EC Treaty on the application of the principles of subsidiarity and proportionality the Commission is obliged to publish annual reports on the Communities' legislative activities.

The Document

6.2 This is the Commission's thirteenth annual report on "Better Lawmaking", which provides an overview of the principal developments in Community lawmaking during 2005. The report focuses on better regulation efforts in the European Community over the past year, reviewing the implementation of the Commission's better regulation action plan of 2002[22] as revised in March 2005[23] and the inter-institutional agreement on "Better Lawmaking" of December 2003.[24] This is followed by an examination of the application of the principles of subsidiarity and proportionality by the Community institutions.

BETTER REGULATION

6.3 The report sets out the main developments and initiatives under this heading during 2005. The information is presented separately in relation to each of the relevant parties — the Commission, the other EU institutions, and the Member States. The report emphasises the launch of several new initiatives during 2005.

6.4 In June 2005 the Commission published improved impact assessment guidelines and the number of impact assessments carried out rose significantly — 77 compared with 29 in 2005. A methodology for estimating administrative costs imposed by EU legislation was presented, and included in the new guidelines.

6.5 In 2005 the number of Commission consultations also increased — there were 11 more internet-based consultations than in 2005. SINAPSE, a new interface between experts and EU policy makers was also launched. Over 300 scientific organisations have registered so far. A high-level group of national regulatory experts was established to advise the Commission on better regulation issues. To improve transparency, the Commission has set up a public register with information on approximately 1200 expert advisory groups.[25]

6.6 In October 2005 the Commission launched a three-year rolling programme to simplify 222 legislative acts. The rolling programme will be subject to regular reviews.

6.7 Recognising the crucial importance of the quality of national legislation and the transposition of EU legislation as part of the better regulation agenda, the Commission has called on Member States to provide regular reports on their activities and intentions in their national "Lisbon" programme.

SUBSIDIARITY AND PROPORTIONALITY

6.8 The report provides an overview of the Community's ongoing attempts to ensure compliance with these principles. The Commission argues that its introduction of a new system for drafting explanatory memoranda for legislative proposals has led to a more detailed and systematic presentation of the justification of the need for EU action.

6.9 The report summarises the pilot project organised by COSAC[26] to test the subsidiarity early warning mechanism on the selection of proposals originally submitted in 2004. The subsidiarity early warning mechanism was provided for in the Constitutional Treaty. Out of the 31 chambers that participated, twenty considered that the Commission did not adequately justify its proposals in regard to subsidiarity. Fourteen thought in at least one instance the Commission had breached the subsidiarity principle. The Commission argues that these results both highlighted the need to work out a common understanding of the meaning of the subsidiarity principle and a clear need for a renewed and ongoing efforts by the Commission to improve the presentation of its subsidiarity justification of its legislative proposals.

6.10 In relation to ex-post judicial control the principle of subsidiarity was referred to in four judgments and orders delivered by the Court of Justice or the Court of First Instance during 2005. However, no breach of the principle was found. The principle of proportionality was also analysed in several judgments, leading the European Court of Justice to conclude that there were instances where the obligations provided for were not necessary to reach the objectives set by a contested directive.

LEGISLATIVE ACTIVITY IN 2005

6.11 The total number of Commission proposals in 2005 was 439 compared with 532 in 2004. The decrease applies to all types of proposals: regulations (-21), directives (-24), decisions (-46) and recommendations (-2). The highest number of proposals (mostly regulations) was in the field of trade policy (73).

The Government's view

6.12 In her explanatory memorandum of 26 June 2006 the Minister for the Cabinet Office and Chancellor of the Duchy of Lancaster (Hilary Armstrong) sets out the Government position as follows:

"Better Regulation is a major priority for the UK Government. We welcome the progress that has been made by the Commission in 2005. The joint initiative signed by the UK, Austria and Finland in December will help to sustain the momentum throughout 2006.

"In particular, the Government is pleased that the Commission is carrying out impact assessments on all legislative proposals which appear in its Annual Work Programme. The inclusion of the methodology to measure administrative burdens in the Commission's impact assessment guidelines is an important step forward. We also welcome the three-year simplification programme which we will monitor closely. The Government recognises the need for the Council and European Parliament to work with the Commission to reach agreement on simplification proposals as quickly as possible.

"Point 37 of the June European Council conclusions urged the Commission to strengthen the role of national parliaments in monitoring adherence to the principle of subsidiarity, as follows:

'... the Commission to duly consider comments by national parliaments — in particular with regard to the subsidiarity and proportionality principles. National parliaments are encouraged to strengthen cooperation within the framework of the Conference of European Affairs Committees (COSAC) when monitoring subsidiarity.'"[27]

6.13 The Government also informs us that it does not intend to carry out an external consultation on this document.

Conclusion

6.14 We thank the Minister for her summary of the report and outline of the Government's view. We too welcome the efforts by the Commission to improve law making at EU level and in particular the overall decrease in the Community legislative proposals in 2005 compared to the previous year. However, we emphasise that in our view the report is of too high a degree of generality to justify identifying any reliable trends. On this basis we are content to clear the document.





22   COM(02) 278 final, Commission communication: Action Plan "Simplifying and improving the regulatory environment". Back

23   COM(05) 97 Commission communication: Better regulation for growth and jobs in the European Union. Back

24   OJ No. C 321, 31.12.2003. Back

25   http://ec.europa.eu/secretariat_general/regexp/index.cfm. Back

26   Community and European Affairs Committees of the Parliaments of the European Union. Back

27   http://www.consi1iurneuropa.eu/ueDocs/cms Data!docs/pressData/en/ec/90111.pdf. Back


 
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