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European Economic and Social Committee
Section for Transport, Energy, Infrastructure and the Information Society (TEN)
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Work Programme of the Permanent Study Group on
Services of General Interest
for 2013-2015
1. Background and purpose of the Permanent Study Group
1.1 Organised European civil society and services of general interest: The EESC's role
Services of General Interest (SGIs) are a core component of the European economic, social and legal systems and are a supporting pillar of the European social model and a social market economy. They include areas such as housing, water and energy supply, waste and sewage disposal, public transport, health, social services, youth and family, culture and communication within society, including broadcasting, internet and telephony. Although the provision of SGI is located in the hands of various actors in the public, private and non-profit sector, there is a clear political and financial responsibility of the public sector for the satisfaction of needs of citizens and thus the obligation to co-ordinate the provision of SGI in the interest of the citizen.
SGIs help people lead dignified lives and ensure that everyone has the right to access key goods and services. They ensure justice, social cohesion and social integration and contribute to the equal treatment of all EU citizens. As a key factor of economic, social and territorial cohesion and of sustainable development, services of general interest can and should also mitigate the consequences of the current financial, economic and social crisis.
It should be recognised the competition can have positive effects on the delivery of SGIs in terms of efficiency and cost-consciousness. However, competition must not stand in the way of guaranteeing and developing high-quality, universally accessible SGIs. Leaving the provision of SGIs purely to market forces is not appropriate. This applies not least to the application of European and national competition rules.
The provision of SGIs plays a very important role for the partners in social and civil dialogue and for other interest groups within European organised civil society. This has been reflected in the EESC's past work: not only has the Committee set up a Permanent Study Group on this issue, but it has also – in the last ten years alone – adopted a whole series of important opinions on various aspects of the legal basis, organisation and provision of SGIs (see appendix 1 on the legal basis and provisions on SGIs in the EU and appendix 3 with the list of opinions). The future significance of services of general interest for the EESC's work will depend not least on the commitment of the civil society stakeholders represented in the EESC to seek innovative ways of ensuring that the right to universal access to services of general interest can be extended to everything that is needed to make a dignified life possible.
1.2 Overall objective of the Permanent Study Group
When set up eight years ago, the Permanent Study Group was given the task to assess the concerns and promote the views of European organised civil society in the area of SGIs. The overarching aim was to help ensure that all Europe's citizens have access to high quality, affordable services of general interest. This objective remains fully valid today.
However, in the light of the European financial, economic and social crisis, an additional perspective needs to be taken regarding SGIs. In particular, the PSG needs to deal with the criticisms that appear along with on-going deregulation, liberalisation and privatisation. Public sector and nonprofitmaking organisations are often accused of being inefficient, opaque and outdated. It is indeed true that these providers of SGIs have a particular duty to face up to changes in the economy and society and reform themselves accordingly if they are to continue offering high-quality, affordable services. Nonetheless, it is in the interests of society as a whole for their performance to be further improved.
It should be emphasised that non-profit organisations and social enterprises are usually very well placed to provide for society's needs (citizen value) in a sustainable manner and, at the same time, to ensure democratic control, input and participation. In comparison with the private sector, they tend to offer a stronger focus on social needs. Nevertheless, the conflict between the shareholder value and citizen value can be found in every sector.
It would therefore make sense for the permanent study group as one of its main objectives to look at SGIs in the context of the crisis. One of the means to explore new innovative approaches tapping into the potential of SGIs could be to concentrate on the appropriate involvement of non-profit organisation such as charities and foundations, and of social enterprises – alongside private and public sector organisations – in the provision of SGIs, in particular social services of general interest (SSGIs). This could help to enrich the current dialogue between social partners and contribute to the development of modern, citizen-friendly solutions.
2. Most important areas of work
2.1 Taking stock of developments in providing SGIs to citizens:
2.1.1 Impact of changes in the structure of the SGIs sector - evaluation of the evolution of the SGIs policy since 1990, included the influence of deregulation and liberalisation.
2.1.2 Definition, measurement, challenges of the affordability of services of general economic interest (SGEI) for citizens (among others via the own-initiative opinion TEN/517 by the Rapp. Mr Hencks).
2.1.3 Use of EU funds for SGIs in the interest of the citizen.
2.1.4 Thematic debates to emphasize best practices in providing public services.
2.2 The role of the non-profit sector (social economy) as provider of services of general interest (SGIs)
Debate and development of policy ideas in relation to the role of the non-profit sector as a provider of services of general interest, including social services of general interest (SSGIs)[1] (among others via a possible own-initiative opinion and a conference organised in Warsaw in the first quarter of 2015).
2.3 Status and role of SGIs in the EU legislative framework
The legal status of SGIs, as well as their role in the overall EU legislation will continue to be a subject of debate and preoccupation. In this context, the PSG will make proposals for legislative changes and evaluate the implementation of the EU legislation in this field.
2.4 Contribution to the Roadmap in the field of SGIs for the upcoming new EP and EC
Given that the life-span of the Permanent Study Group (2013-2015) will overlap with the new Commission and the new Parliament, one of our objectives will be to set out a Roadmap on SGIs for their new mandates. In particular, the PSG will formulate feedback and reflections from civil society regarding future possible paths for the EU policy development in the field of SGIs.
2.5 Other areas
Upon request of the European Commission, the European Parliament or the Council Presidency.
3. Working methods
3.1 General comments
The working method of the PSG should create space for all the members of the group to express their ideas in an open way. The activities of the PSG should be closely coordinated with the work of other relevant bodies within the EESC, in particular the other EESC sections, TEN PSGs and the social economy category as well as with the work of three Groups.
One important pillar of the PSG's work is the exchange of information with other European institutions, in particular the European Parliament, the European Commission, the Council and the Committee of the Regions. In this context, three members of the PSG (one each from Groups I, II and III) including the president should regularly participate in the meetings of the European Parliament's Public Services Intergroup. All members of PSG will be informed about the results of the work of Public Services Intergroup.
Contact and the exchange of information with those involved in SGIs both at European level and in individual Member States are of major importance for the permanent study group's work. This includes the organisation of conferences, seminars and hearings, as well as participation of PSG's delegations in relevant events organised by third parties.
The substantive basis for the SGI permanent study group's work is provided by this 2013-2015 work programme discussed and adopted by the group's members. The group's meetings take place in accordance with actual needs and the adopted yearly calendar[2], usually four times per calendar year.
3.2 Annual calendar
The draft annual calendar is submitted to the Permanent study Group by 31 October of the previous year[3] (see the detailed agenda in appendix 2).
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Appendix 1
The legal basis and provisions on SGIs in the EU
Article 14 TFEU refers directly to services of general economic interest. However, the pivotal role is played by Protocol 26 to the TFEU, which deals with services of general interest be they of an economic nature or not. According to the protocol, the "shared values of the Union in respect of services of general economic interest … include in particular:
- the essential role and the wide discretion of national, regional and local authorities in providing, commissioning and organising services of general economic interest as closely as possible to the needs of the users;
- the diversity between various services of general economic interest and the differences in the needs and preferences of users that may result from different geographical, social or cultural situations;
- a high level of quality, safety and affordability, equal treatment and the promotion of universal access and of user rights"[4].
In addition, the protocol stipulates in relation to "non-economic services of general interest":
"The provisions of the Treaties do not affect in any way the competence of Member States to provide, commission and organise non-economic services of general interest"[5].
Various aspects relating to the provision of SGI are also dealt with in other legal acts or in case law. No binding, Europe-wide definition of services of general interest exists. According to a European Commission "guide" in this area, "In Union practice, the concept of SGI refers to services, whether "economic" or not, that the Member States regard as being of general interest, and which they therefore subject to specific public service obligations. The concept covers services of general economic interest (SGEIs) that fall within the scope of the TFEU and non-economic services of general interest, which are not subject to the rules in the TFEU"[6]. In addition, the "guide" attempts to explore what the concepts "service of general interest" and "social service of general interest" mean in practice[7].
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Appendix 2
Permanent Study Group on Services of General Interest
Calendar 2013
(first draft)
Period/Date / Point on work programme / Activity / Comments
29 May and other dates depending on the EP's agenda / 3.1 / Participation of the EESC Delegation in the meeting of the European Parliament's Public Services Intergroup
11 June / 2.1.2
3.1
3.2 / 1st Meeting of the permanent study group:
Discussion and adoption of the work programme 2013-2015
Discussion and adoption of the 2013 annual calendar
Own-initiative opinion TEN/517 – first study group meeting
24 June / 2.1.4 / Conference on Social Housing
25 October / 2.1.2 / 2nd Meeting of the permanent study group:
Own-initiative opinion TEN/517 – second study group meeting and hearing
6 December / 2.3
3.2 / 3rd Meeting of the permanent study group:
Discussion and adoption of the 2014 annual calendar
Workshop on the legal framework at European and Member State level for the provision of SGIs / With representatives of the COM, EP, Social Economy Category and others
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Appendix 3
List of EESC opinions on SGIs in the period 2003-2013
· TEN/517 - The affordability of SGEIs: definition, measurement, challenges, European initiatives (own-initiative opinion) (CESE 3698/2013) Rapporteur: Mr Hencks
· TEN/484 - Issues with defining social housing as a service of general economic interest (owninitiative opinion) (CES597/2012) Rapporteur: Mr Hencks
· TEN/482 - Quality Framework for Services of General Interest in Europe (CESE 1316/2012) Rapporteur: Mr Simons
· TEN/455 - Reform of the EU State Aid Rules on Services of General Economic Interest (CESE1008/2011) Rapporteur: Mr Hencks
· TEN/424 - Energy Strategy for 2011-2020 (CESE1627/2010) Rapporteur: Mr Hernández Bataller
· TEN/421 - What services of general interest do we need to combat the crisis (own-initiative opinion) (CESE 1185/2010) Rapporteur: Mr Hencks
· TEN/412 - European transport policy/Lisbon Strategy and sustainable development (CESE 461/2010) Rapporteur: Mr Buffetaut
· TEN/389 - Services of general economic interest: how should responsibilities be divided up between the EU and the Member States? (own-initiative opinion) (CESE 1696/2009) Rapporteur: Mr Hencks
· TEN/372 - European energy network (Green Paper) (CESE 1029/2009) Rapporteur: Ms BATUT
· TEN/334 - Policy guidelines for services of general interest and globalisation (own-initiative opinion) (CESE 1665/2008) Rapporteur: Mr Mr Hernández Bataller
· INT/409 - A single market for 21st century Europe (communication) (CESE 1502/2008) Rapporteurs: Mr Cassidy, Mr Hencks, Mr Capellini
· TEN/289 - An independent evaluation of services of general interest (own-initiative opinion) (CESE 267/2008 ) Rapporteur: Mr Hencks
· TEN/271 - Full accomplishment of the internal market of Community postal services (CESE614/2007) Rapporteur: Mr Hencks
· TEN/253 - Implementing the Community Lisbon programme: Social services of general interest in the European Union (CESE 426/2007) Rapporteur: Mr Hencks
· TEN/223 - The future of services of general interest (own-initiative opinion) (CESE 976/2006) Rapporteur: Mr Hencks
· TEN/196 - White Paper on services of general interest (CESE 121/2005) Rapporteur: MrHernández Bataller
· TEN/190 - Framework for State aid – public services (CESE 1632/2004) Rapporteur: Mr Hernández Bataller
· TEN/151 - Green Paper on Services of General Interest (CESE 1607/2003) Rapporteur: MrHernández Bataller
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[1] See explanations under point 1.2.
[2] See point 3.2.
[3] The 2013 calendar relates exceptionally to the period April – December 2013 and the 2015 calendar to the period January-September 2015.
[4] Protocol (No 26), Article 1.
[5] Protocol (No 26), Article 2.
[6] Guide to the application of the European Union rules on State aid, public procurement and the internal market to services of general economic interest, and in particular to social services of general interest, SEC(2010) 1545 final, 7 December 2010, point 2.1.
[7] Guide dated 7.12.2010, SEC(2010) 1545 final, points 2.2 and 2.3.