ࡱ> MOL{ 'bjbjzz ;8Ubb  8!!4 )0P!P!(x!x!x!"""((((((($F*,( """""( x!x!H(X$X$X$"| x! x!(X$"(X$X$&p!(x!yR<#.(((0)(-j#-!(- !(`""X$"""""((X$""")""""-"""""""""b : World Trade OrganizationRESTRICTEDS/C/W/348 26 September 2012 (12-5153)Council for Trade in ServicesOriginal: English COMMUNICATION FROM THE European Union Contribution to the Work Programme on Electronic Commerce Authorisations and licences: how to ensure the growth of electronic commerce through appropriate authorisation schemes: the case of the European Union. The following communication, dated 25 September 2012, from the delegation of the European Union, is being circulated to the Members of the Council for Trade in services. _______________ On July 13, 2011, the European Union and the United States presented a set of trade-related principles designed to support the expansion of information and communication technology (ICT) networks and services, and enhance the development of electronic commerce. As indicated in this communication, the European Union is convinced that the implementation of these principles will inter alia create the favourable conditions for the development and growth of electronic commerce both domestically and cross-border. For this reason, the delegations of the European Union and of the United States have invited other Members to share their own experiences regarding the topics the identified principles address and notably to consider whether any additional principles should be explored to address issues that may not be reflected in the current set of principles. In this context and with the view of stimulating the debate at the next meeting of the Council of Trade in services of October 5, 2012, the EU wishes to share its own experience with regard to the principle number 8 relating to "Authorisations and Licenses". Authorisation procedures are important regulatory tools, as they contribute to ensure that services suppliers comply with a set of obligations relating to public policy objectives such as consumer protection, liability or technical requirements. However, such procedures may also lead to a burdensome process that can hinder the development of a sector and create real barriers to market access. This is all the more true for small and medium-sized enterprises, which often lack the administrative capacity to follow and comply with broad set of authorization rules and long and complex procedures. An appropriate balance has therefore to be found. This issue is of critical importance because a well-thought authorisation scheme can contribute to unleash the full potential of electronic commerce. When it comes to the European experience, electronic commerce is mainly regulated by two sets of rules: the directives relating to electronic communications services and the directives relating to information society services. Those directives contain overarching principles, which guide authorisation procedures and criteria in the 27 EU Member States for the provision of electronic commerce. Electronic communications services Electronic communications services in the meaning of EU law are all services which consist wholly or mainly in the conveyance of signals on electronic communication (telecommunication) networks, but exclude services providing, or exercising editorial control over, content (which are regulated by dedicated instruments). Those services broadly correspond to the basic and value-added telecommunication services in the sense of the W120 classification. The European law enshrines the freedom to provide electronic communication services, subject to the conditions set out in the relevant EU directives. A two-tier system has been put into place, combining "general authorisation" and "individual rights of use". By default, electronic communication services are being authorised through a "general authorisation". The latter cover any legal framework defining rights and obligations for the services suppliers. Whatever the scope and nature of those rights and obligations might be, the services suppliers might only be obliged to submit a notification, and are not required to obtain an explicit decision or any other administrative act by the national regulatory authority. As a consequence, most of the electronic communication services are authorised by simple notification. The latter is therefore sufficient to supply electronic communications services, apply for the rights to install facilities, negotiate interconnection or be designated to supply universal service. For a limited set of issues, namely the use of radio frequencies and numbers - and because of their scarcity -, the services suppliers are required to acquire an "individual right of use" from the national regulatory authority. Those individual rights of use are granted through open, objective, transparent, non-discriminatory and proportionate procedures. These two authorisation schemes apply to both the cross-border provisions of services and to the provision of services through commercial presence. With procedures that are simple, fast and that give the priority to simple notification, the EU has supported the growth of electronic communications throughout the 27 EU Member States, creating therefore the right conditions for a vibrant and competitive electronic communications market. Information society services Information society services cover in EU law all services provided at a distance, by electronic means, and at the individual request of the consumer. Except some particular sectors, regulated by other legislative instruments such as financial services, information society services cover most of the services provided online. The European legislation enshrines the freedom to provide information society services from one EU Member State into another EU Member State, except for a limited set of exceptions and in cases of specific derogations that would need to be justified for reasons of public order, public health, public security or protection of consumers. This means that in principle none of the Member States may restrict, for reasons falling within the coordinated field , the freedom to provide information society services cross-border. Furthermore, for services identified as information society services, the EU directive ensures that the taking up and pursuit of the supply of such services on a permanent basis shall not be made subject to prior authorisation or any other requirements having equivalent effect. There is therefore no specific authorisation or licensing process that could a priori prevent the provision of such services by information society service providers that establish themselves in the country of destination. The absence of prior authorisation does not however exempt information services suppliers from complying with a series of legal obligations such as the type of information to be provided to the consumer (contact details, professional title if applicable, references relating to VAT), existing rules relating to contracts concluded by electronic means or the obligations pertaining to the liability of intermediary services providers. Conclusion As a consequence of the approach highlighted above, most of the information society services and electronic communication services, provided within a Member State or cross-border within the EU, are either exempt from any authorisation procedures or a subject to a light notification procedure. This system was successfully put into place without compromising on broader policy objectives such as consumer protection or the legitimate need to regulate. In the view of the forthcoming meeting of the Council for Trade in Services of October 5, 2012, the EU would welcome questions from Members on the procedures described in the present paper. The EU would also welcome any information Members might wish to share with regard to their own authorisation procedures and regulatory frameworks. __________     S/C/W/348 Page  PAGE 2 S/C/W/348 Page  PAGE 3 #$%&(),/35DEHIKLPRVst2 B C D D F 2413  {}&(>@ $$ &&&&&ľľܶѲhbhthwIhwIh>G5 hH^_CJ h>GCJ hwIh>G hwIhwIhH^_hwIhwI5 hwI5h>G h>G>* hwI>*h>G5:CJ,C $%&'Xkd$$Ifl40+p#`F+E t44 lBalf4yt $$Ifa$gd$dh$Ifa$gd'()3EFGH?Xkd$$Ifl40+p#F+E t44 lBalf4yt $$Ifa$gdZkdc$$Ifl40+p#F+E t44 lBalf4ytNHRSTUVt<Tkd$$Ifl`0+p#+E t44 lalyt $$Ifa$gdUkd9$$Ifl0+p#+FE  t44 lBalyt $$Ifa$gdH^_t 2 B C D z$a$gdwI  & F`gdwIgdwI.gdwI,gdwIRkd$$Ifl0+p#+E t44 lalyt $IfgdD Wz?CDc!##P%&&&&&&&&gd@$a$gdwIgdwIgdwI & F gdwIgdwI&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&''''''h hwIh@h:mHnHujhwIhwIU hwIhwIhwIhnjhnU/&&&&&&&&&&&&&&&&&&'''''$a$gdwIgdwIgdwI  C#B#gdwI  C#gdwIgd@9 0&P 1h:p@. 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