COUNCIL RESOLUTION of 3 December 1992 on administrative simplification for enterprises, especially small and medium-sized enterprises (92/C 331/02)

THE COUNCIL OF THE EUROPEAN COMMUNITIES

Having regard to the Treaty establishing the European Economic Community,

Having regard to the Council Resolution of 30 June 1988 on the improvement of the business environment and action to promote the development of enterprises, especially small and medium-sized enterprises in the Community (1),

Having regard to Decision 89/490/EEC of 28 July 1989 on the improvement of the business environment and the promotion of the development of enterprises, and in particular small and medium-sized enterprises in the Community (2),

Having regard to Recommendation 90/246/EEC of 28 May 1990 on the implementation of policy of administrative simplification in favour of small and medium-sized enterprises in the Member States (3),

Having regard to the Commission communication 'Industrial Policy in an open and competitive environment' (Doc. 10200/90), the conclusions of which were approved by the Council on 26 November 1990, and particularly the principle that Community industrial policy should be implemented through the creation of a favourable environment for firms' initiatives,

Having regard to the undertaking of the Commission at the European Council on 10 December 1991 to take account in legislative proposals of the costs and benefits of Community legislation through any consultations it considers necessary and by strengthening its existing system of impact assessments,

Having regard to the Council Resolution of 17 June 1992 on Community action to support enterprises in particular small and medium-sized enterprises including craft industry enterprises (4),

Having regard to the declaration at the European Council on 16 October 1992 'welcoming the Commission's offer to consult more widely before proposing legislation, which could include consultation with all the Member States and a more systematic use of consultation documents (Green Papers)',

Acknowledging that the development of small and medium sized enterprises is of great importance in increasing the competitiveness of the European economy and the economic cohesion of the Community,

Acknowledging that legislation can cause burdens for all enterprises and that the consequent costs for small and medium-sized enterprises may sometimes be disproportionately high,

Acknowledging the benefit for enterprises of a framework of legislation which is simple, consistent and coherent,

Acknowledging that legislation adopted should be only that which is necessary, and should be a proportionate response to the need or opportunity addressed,

Recognizing that unjustified burdens on administrations as well as on enterprises should be avoided,

1. RECOGNIZES that effective consultation with parties concerned on new legislation is an integral part of ensuring that legislation does not burden business unnecessarily and that consultative documents produced at an early stage in the consideration of legislation can serve as an effective means of consultation;

2. EMPHASIZES the importance of the Commission's impact assessment system for ensuring proper consideration of legislative proposals and the need for assessments to be properly drawn up on the basis of full consultation with appropriate business organizations, including those representing small and medium-sized enterprises, and other interested parties;

3. WELCOMES the Commission's report on administrative simplification in the Community, including the guidelines for future action and, in particular, the Commission's intentions:

(a) to consult thoroughly with interested parties, and especially with small and medium-sized enterprise representatives, from the beginning of the consideration of new proposals for, and changes to, Community legislation;

(b) to ensure that impact assessments are revised when substantial amendments to proposals are accepted by the Commission, in the context of the interinstitutional legislative process;

(c) to make known in the publication of the annual legislative programme of the Community the proposals on which it has been agreed that an impact assessment should be completed;

(d) to encourage the exchange of ideas between Member States, including convening meetings between Member States and the Commission and, in addition;

4. INVITES THE COMMISSION:

(a) to ensure that full account is taken of the costs and benefits to enterprises by preparing an impact assessment on all Commission proposals which may give rise to a substantial burden for enterprises;

(b) to ensure:

- the appropriate publication in the Official Journal of the European Communities of a list of those proposals on which an impact assessment is to be completed and for a reference to be made to the assessment when the proposal is published in the Official Journal,

- that the impact assessments will be made available to interested parties upon request,

and

- that impact assessments are revised when substantial amendments to proposals are accepted by the Commission, in the context of the interinstitutional legislative process;

(c) to indicate at the earliest possible time, before any measure which was not included in the Commission's work programme is proposed, whether that proposal will be the subject of an impact assessment;

(d) to collect information on the impact on enterprises of existing Community legislation in the light of experience gained from implementation, and to formulate proposals to reduce the burden to a minimum consistent with achieving the legislative objectives;

(e) to produce a report every three years on administrative simplification in the Commission and in Member States;

(f) to ensure that an impact assessment is available whenever the Council acts on Commission proposals which may give rise to a substantial burden for enterprises.

5. UNDERTAKES:

(a) to continue to take full account of the Commission's impact assessments in discussions of legislative proposals in the Council;

(b) to indicate to the Commission any other legislative proposals on which it thinks there should be an impact assessment, as soon as possible after the publication of the information outlined in 3 (c);

(c) to discuss the effectiveness of the impact assessment system regularly;

(d) to avoid all unjustified burden on enterprises in its decisions on the Commission's proposals and, in addition;

6. INVITES THE MEMBER STATES:

(a) to continue to work in cooperation with the Commission and to encourage appropriate business organizations to contribute to the assessment of the costs and benefits for enterprises related to the potential burden of proposed legislation, with a view to minimizing the consequent burdens at both Community and national levels;

(b) to take into account the impact on enterprises of Member States' plans for implementation and enforcement of Community legislation when assessing potential burdens, and

(c) to encourage the development of best practice including the best methodology notably on cost/benefit analysis by participation in discussions between Member States and with the Commission.

(1) OJ No C 197, 27. 7. 1988, p. 6.

(2) OJ No L 239, 16. 8. 1989, p. 33.

(3) OJ No L 141, 2. 6. 1990, p. 55.

(4) OJ No C 178, 15. 7. 1992, p. 8.