Towards an Effective European Single Market

Towards an Effective European Single Market

Michael Kaeding Towards an Effective European Single Market Implementing the Various Forms of European Policy Instruments across Member States

Michael Kaeding (Ph.D., Leiden University), Brussels, Belgium ISBN 978-3-531-19683-1 DOI 10.1007/978-3-531-19684-8 ISBN 978-3-531-19684-8 (ebook) The Deutsche Nationalbibliothek lists this publication in the Deutsche Nationalbibliografie; detailed bibliographic data are available in the Internet at http://dnb.d-nb.de. Springer VS VS Verlag für Sozialwissenschaften Springer Fachmedien Wiesbaden 2013 This work is subject to copyright. All rights are reserved by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. Exempted from this legal reservation are brief excerpts in connection with reviews or scholarly analysis or material supplied specifically for the purpose of being entered and executed on a computer system, for exclusive use by the purchaser of the work. Duplication of this publication or parts thereof is permitted only under the provisions of the Copyright Law of the Publisher s location, in its current version, and permission for use must always be obtained from Springer. Permissions for use may be obtained through RightsLink at the Copyright Clearance Center. Violations are liable to prosecution under the respective Copyright Law. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. While the advice and information in this book are believed to be true and accurate at the date of publication, neither the authors nor the editors nor the publisher can accept any legal responsibility for any errors or omissions that may be made. The publisher makes no warranty, express or implied, with respect to the material contained herein. Cover design: KünkelLopka GmbH, Heidelberg Printed on acid-free paper Springer VS is a brand of Springer DE. Springer DE is part of Springer Science+Business Media www.springer-vs.de

Acknowledgements The idea for this book started life initially in 2006 when I drafted the conclusions of my Ph.D. thesis Better regulation in the European Union: Lost in Translation or Full Steam Ahead? The transposition of EU transport directives across Member States (Leiden University Press). Until then, regulations and directives had been the dominant policy instrument in the European Union. The use of new modes of governance at the European level had already increased in salience and attracted some scholarly attention, but a systematic comparison of implementation patterns in hard and soft law traditions had been lacking ever since. The year 2012 marks the 20 th anniversary of the Single Market. In order to guarantee its effective functioning, which will also be strategically important for the success of the EU 2020 strategy, we need, however, to understand and unleash the potential of the existing EU regulatory framework, including the complete toolbox of European policy instruments. This volume will help to overcome many of the impediments to using alternative policy instruments at the European level as effective responses to pressing European and global policy issues. This research would have been impossible without discussions and collaboration with colleagues from the NWO financed research group Analyzing EU Policies: The Transposition of Directives program at the Department of Public Administration (including B. Steunenberg, K. van Kersbergen, F. van Waarden, A. Dimitrova, M. Haverland, M. Rhinard, S. Berglund, I. Gange and M. Romeijn) and the GAK financed project Hervorming Sociale Zekerheid at the Department of Tax Law and Economics (including K.P. Goudswaard,.C.L.J. Caminada, G.J.J.H. van Voss, M. Versantvoort, O. van Vliet, B. ter Haar, H. Nijboer 5

and A. Eleveld) of the University of Leiden. Some of the thoughts that turned into chapters were also presented at seminars and conferences, where I received valuable feedback (Robert Schuman Centre for Advanced Studies (EUI): Bringing Civil Society in: The European Union and the rise of representative democracy, Florence in 2009; ECPR Joint Sessions 2009 in Lisbon and 2010 in Münster). Lukas Obholzer and Leonard Geyer provided research support for which I am very grateful. I would also like to thank European Union Politics and the Journal of European Integration for giving me permission to use parts of previously published material. In addition, I am indebted to the European Institute of Public Administration (EIPA) for granting me study leave for three months at the University of Wisconsin-Madison (USA), during which I finalized the manuscript, and generously financed by the Fulbright Foreign Scholarship Board. Warmest thanks go to the (extended) family and close friends who have always supported me in every way possible. I dedicate this book to my parents. The views expressed in this book are that of its author and do not commit nor reflect that of his institution of employment, nor its staff. I am solely responsible for any mistake or inaccuracy. Dr Michael Kaeding Brussels and Madison, March 2011 6

Table of Contents Illustrations 9 Abbreviations and Acronyms 11 INTRODUCTION 1. Implementing the Various Forms of European Policy Instruments across Member States 13 PART I: TAKING LEGISLATIVE ACTION 2. Implementing Classic Directives across Member States 27 3. Implementing Flexible Directives across Member States 53 PART II: TAKING NO LEGISLATIVE ACTION 4. Implementing Self Regulations across Member States 71 5. Implementing Recommendations across Member States 99 6. Implementing Open Methods of Coordination across Member States 127 CONCLUSION 7. Towards an EU Regulatory Framework for an Effective Single Market 143 8. Epilogue From Europe 2020 to the TSCG and Solvit-Centres 149 Annexes 157 References 161 Curriculum vitae 173 7

Illustrations List of Tables Table 1 Effects of the timeliness of national transposition processes Table 2 Categorisation of national legal instruments in nine Member States Table 3 Determinants of transposition delay: Ordered Multinomial Logit Table 4 Lamfalussy Background and Institutional Architecture Table 5 MIFID, Market Abuse, Transparency and Prospectus Table 6 FSAP directives Table 7 Duration of enactment before and after (in months) Table 8 Comparing the pace of legislative activity Table 9 Transposition delay (in months) Table 10 Transposition pattern Table 11 Typology of EU agreements (Art. 155(2) TFEU) Table 12 Degree of correctness of implementation of the 2002 Autonomous Agreement on Telework Table 13 Timeliness of national implementation of the 2002 Autonomous Agreement on Telework Table 14 Commission recommendations on better transposition Table 15 Political priority Table 16 Nature of administrative coordination Table 17 Involvement of national parliament Table 18 Nature of national legal instrument 9

Table 19 Table 20 Table 21 Table 22 Table 23 Evaluation of Member States implementation of Commission recommendation Transposition deficit (in percentage) Total social expenditure as percentage of GDP Total expenditures as for 1% of population aged 65+ and percentage of GDP controlled for unemployment rate The milestones of the EU 2020 strategy List of Figures Figure 1 Figure 2 Figure 3 Number of implementing measures per year Attendance of the European Social Committee Countries with decreasing, constant or increasing total social expenditures pattern 10

Abbreviations and Acronyms CBI CEBS CEEP CEIOPS Celex CESR Commission Council DGB EBC ECI EFC EFCC EIOPC ESC ETUC EU FSAP FSC Voice of Business Committee of European Banking Supervisors Centre of Employers and Enterprises providing Public services Committee of European Insurance and Occupational Pensions Supervisors Communitatis Europeae Lex Committee of European Securities Regulators European Commission Council of Ministers Deutscher Gewerkschaftsbund European Banking Committee European Citizens Initiative European Financial Committee European Financial Conglomerates Committee European Insurance and Occupational Pensions Committee European Securities Committee European Trade Union Confederation European Union Financial Services Action Plan Financial Services Committee 11

HR Parliament (EP) OECD OMC TFEU TSCG TUC UEAPME High Representative for Foreign Affairs and Security Policy European Parliament Organization for Economic Co-operation and Development Open method of coordination Treaty on the Functioning of the European Union Treaty on Stability, Coordination and Governance in the Economic and Monetary Union Trades Union Congress European Association of Craft, Small and Medium-sized Enterprises 12