Europaudvalget 2016-17
EUU Alm.del Bilag 108
Offentligt
1685649_0001.png
NOTE
October 2016
Danish response to the public consultation on a Single Market Infor-
mation Tool (SMIT)
General remarks
The Danish Government agrees that there is a need for an evidence-based
and targeted approach to ensure compliance with EU law. Member States
are responsible for the implementation and enforcement of EU law and
the Commission should therefore focus its efforts on enhancing Member
States’ compliance with the rules governing the Single Market.
The Danish Government is not convinced that the introduction of a Single
Market Information Tool is proportionate with the aim when taking into
account the implications for businesses and the existing data sources.
There are already a number of data sources available to the Commission
that could be used more systematically and businesses should not be re-
quired to provide information which is already available.
The need for and purpose of the Single Market Information Tool is not
sufficiently substantiated. As the Single Market Information Tool is a new
instrument, there is a need for a thorough assessment of the actual need
for such a tool as well as concrete examples of how it will be used.
Comments and suggestions
The investigative powers of the Commission should not be extended
The Commission is proposing that its extensive powers to investigate
violations of EU rules in the field of competition law are extended to the
Single Market. In the area of competition law, the Commission has the
power to conduct investigations and sector inquiries and for this purpose
request information from undertakings. However, in the area of competi-
tion law, it is clearly defined for what purposes the Commission may re-
quest information from businesses; that is to assess whether there is an
infringement of Article 101 in the TFEU which prohibits restrictive
agreements and Article 102 TFEU which prohibits the abuse of a domi-
nant position. Considering that the specific purpose and the practical im-
plementation of the Single Market Information Tool remain unclear, the
Danish government is sceptical towards strengthening the Commission's
investigative powers.
 EUU, Alm.del - 2016-17 - Bilag 108: Notat og høringssvar vedr. Kommissionens høring om informationsværktøj for det indre marked
2/3
By enabling the Commission to request information with a broad aim of
improving the functioning of the Single Market, the proposal on a Single
Market Information Tool seems to strengthen the Commission's investiga-
tive powers even beyond its powers in other policy areas. If the Commis-
sion chooses to proceed with a proposal on a Single Market Information
Tool, the purpose of the tool should be clearly confined to the assessment
of whether there is an infringement of the Single Market acquis.
The added-value of a Single Market Information Tool is questionable
There are already a number of data sources available to the Commission
that could be used more systematically. The Commission ought to make
use of the data available in the complaint system to strengthen and focus
its enforcement measures. It is also important to collect available data
from the problem-solving tools such as SOLVIT, the ODR platform and
EU-pilot to identify structural problems as well as other information
channels including evaluations, the European Enterprise Network, TRIS,
IMI and the REFIT-platform. The data should to a larger extent feed di-
rectly into policy making procedures, thereby linking practice and policy
closer together.
Furthermore, companies already provide a vast amount of information to
national authorities, statistical offices and the public. Such information is
accessible to the Commission and ought to be used when analysing the
functioning of the Single Market.
Unnecessary administrative burdens on businesses should be avoided
Businesses already provide information in annual reports, to business
registers, to statistical offices and to public authorities. These information
requirements are an administrative burden, taking away resources from
the core business activities of the companies.
To avoid double reporting requirements the Commission should make
sure, that the data is not already available through national authorities.
Moreover, the Single Market Information Tool should only be used as a
last resort, on a case by case basis, after having concluded that all other
information sources are insufficient.
Ensuring confidentiality of business sensitive information is crucial
The Commission suggests that the Single Market Information Tool should
be used to request information from firms such as cost structure, pricing
policy, profits or employment contracts.
Some of the information is already available in the annual accounts of
companies, in the databases of national statistical offices and in business
 EUU, Alm.del - 2016-17 - Bilag 108: Notat og høringssvar vedr. Kommissionens høring om informationsværktøj for det indre marked
3/3
registers, including information on global profits. Other information such
as cost structure, pricing policies and employment contracts is very busi-
ness sensitive and may even include sensitive personal data.
Ensuring confidentiality of business sensitive information and personal
data is an absolute necessity.
Sanctions in case of incorrect information would be disproportionate
The Commission is suggesting that businesses would be obligated to pro-
vide the information requested by the Commission and that businesses
would face sanctions if they submit incorrect information.
In many cases, the requested data may not be readily available. Business-
es would therefore need legal counselling before providing the Commis-
sion with the information. In cases of potential rule-breaking this might
be proportionate; however, if the aim with the Single Market Information
Tool is policy-making, it would be disproportionate to impose legal sanc-
tions on businesses in case of incorrect, incomplete or misleading infor-
mation.