European Commission Takes Action Against Laggard States

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European Commission Takes Action Against Laggard States

European Commission takes action against member states for failing to speed up permitting procedures

Commission refers several member states to Court for non-compliance with permitting deadlines

The European Commission has decided to take action against several member states for failing to speed up their permitting procedures, as required by the EU’s Single Permitted Act. The move follows a series of country-specific reports highlighting the inefficiencies and delays in many EU countries.

Inefficient permitting procedures slow down economic growth

The European Union has been pushing member states to simplify and speed up their permitting procedures, particularly for small and medium-sized enterprises (SMEs), to boost economic growth and competitiveness. However, the Commission’s recent analysis revealed that many countries continue to struggle with these challenges, leading to lengthy permit processes and increased bureaucratic obstacles for businesses.

Commission’s warnings left unheeded

In a written statement, the Commission reiterated that it had repeatedly highlighted these issues to the non-compliant member states and called upon them to address these shortcomings. The move follows a series of failed warning periods, during which the Commission had expected improvements from the affected countries. The Commission’s Vice President for Better Regulation, Industry, and Entrepreneurship, has emphasized that "more action is needed" and that the Commission is taking concrete steps to address this situation.

Judicial proceedings against four member states

The Commission has chosen to refer four member states (Bulgaria, Estonia, Hungary, and Slovenia) to the EU’s Court of Justice due to their persistent failure to speed up their permitting procedures. The Commission claims that these countries have breached Article 4 of the EU’s Single Permit Act by failing to establish and publicize the necessary permits or permits for the specific procedures involved.

Timing is crucial for companies and investors

The Commission has argued that the delays and bureaucratic hurdles in permitting procedures may hinder the ability of EU businesses to invest and adapt quickly to changing market conditions, ultimately affecting economic growth and competitiveness. Furthermore, it may also undermine foreign direct investment and innovation across the EU.

Conclusion

The European Commission has chosen to take action to speed up permitting procedures to benefit the EU’s economies, businesses, and job seekers. The decision has far-reaching implications for SMEs, which will experience smoother and faster procedures thanks to the Commission’s relentless push for change.

Frequently Asked Questions:

  • What is the reason behind the European Commission’s action?
    • The Commission is taking action because several member states are failing to speed up their permitting procedures, which has slowed down economic growth.
  • Which member states will the Commission refer to Court for non-compliance with permitting deadlines?
    • The Commission will refer four member states (Bulgaria, Estonia, Hungary, and Slovenia) to Court.
  • What has been the Commission’s policy approach to addressing this situation?
    • The Commission has repeatedly highlighted these issues, called upon non-compliant member states to improve their permitting procedures, and eventually chose to take the route of judicial proceedings for four member states.
  • Why is the Commission acting to speed up permitting procedures?
    • The Commission wants to boost economic growth and competitiveness by reducing delays and bureaucratic obstacles for small and medium-sized enterprises, making it easier for EU businesses to invest and innovate.