52000PC0458

Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL concerning a set of actions relating to the trans-European network for the collection, production and dissemination of statistics on the trading of goods within the Community and between the Community and non-member countries (Edicom)

(presented by the Commission)

EXPLANATORY MEMORANDUM

1. The introduction of the internal market in 1993 completely changed the statistical system for monitoring trade in goods between Member States of the European Union, by abolishing customs declarations and replacing them with a system based on collecting statistical information directly from businesses (Intrastat [1]).

[1] Since 1993 Intrastat has referred to the system for collecting statistics on the trading of goods between Member States. Its main feature is therefore the direct collection of information from business, whereas the "Extrastat" system for trade between the EU and non-member countries uses the information on customs declaration for statistical purposes.

In order to support this significant change, the Council adopted a Decision (Edicom) aiming to implement an interoperable system at European level for the collection, production and dissemination of these statistics. The actions implemented, which came within the scope of the priorities for the guidelines on trans-European telecommunications networks, aimed to modernise the statistical system and promote the production of quality harmonised statistics whilst limiting the burden on businesses. The Council Decision, adopted in 1994 for a period of five years [2]has now expired.

[2] This decision was annulled following a challenge to its legal basis and was replaced by a new Decision for the period 1996-1999.

The evaluation of the actions shows that they have considerably improved the quality of intra-Community statistics which had been affected by the changes in 1993. The joint work enabled results to be achieved which would have been impossible if the work had been carried out only at Member State level. In particular, information is now being made available more quickly and the businesses responsible for providing information have accepted the new measure, as shown by the reduction in the non-response rate. The standardisation and development of tools also meant that the electronic transmission of information was used extensively before the recent explosion of Web-based techniques.

2. The development of statistics on external and intra-Community trade is now entering a new phase where it faces major challenges. Statistics are required to meet the growing and increasingly demanding needs of users in a new climate of uncertainty surrounding the administrative environment of the collection system and the availability of resources at both Community and national level. One of the priorities identified by the Council [3] is to cater for the immediate needs of Economic and Monetary Union by providing reliable, accurate macroeconomic statistics in good time.

[3] Report of the Monetary Committee (statistics working group) MC/II/616/98 approved by the Council in January 1999.

In this context, the Commission (Eurostat) proposed a number of guidelines on the future of statistics on the trading of goods in a strategic document (see Annex 1) which, in 1999, was the subject of a wide-ranging consultation with national administrations responsible for these statistics and with the business sector. These guidelines were well received in particular by the Statistical Programme Committee, the Committee on monetary, financial and balance-of-payments statistics, the Committee on statistics relating to the trading of goods between Member States, the Customs Policy Committee (full members) and the European trade federations (FEBI).

An action plan must therefore be implemented without delay, covering both Intrastat and Extrastat, in order to increase data accuracy and reliability, speed up the availability of statistics and change the range of statistics on offer. A more extensive overhaul will also be required: improved integration of statistics on the trading of goods into the European and international statistical system is needed in order to respond more consistently and appropriately to user needs; the Extrastat system needs improvement in order to meet growing demands in relation to monitoring trade with non-member countries, in particular by using a more statistical approach which is less reliant on customs formalities; the reform of the Intrastat regulations, which is the logical outcome of the SLIM [4] initiative, should be carried out with a view to a possible change in the VAT system and should form part of a new approach entailing the compulsory provision of results to meet European Union needs, with a strong emphasis on quality and subsidiarity in collection methods.

[4] Simpler Legislation for the Internal Market.

The work programme implementing these general guidelines will be based on changes in statistical methods and continued modernisation to reduce further the burden on businesses whilst at the same time increasing the efficiency of the statistical system.

3 The system should continue to be modernised under a new Parliament and Council Decision covering a period of five years. In the first phase of Edicom, the focus was on the development of interoperable systems at European level for the collection of returns on the trading of goods between Member States (Intrastat) from businesses, the validation and pre-processing of such returns and the dissemination of the statistics derived therefrom.

The new phase of the programme will have two main objectives:

- to promote a modern, rational and efficient organisation of the trans-European network for collecting, processing and disseminating intra- and extra-Community statistics, and improve and harmonise statistical methods in order to produce information which:

- is more reliable, less expensive for businesses and administrations, and which is available more quickly;

- responds more appropriately to the new needs of users.

In this context, the focus will be on the needs of Economic and Monetary Union and on improving the integration of statistics on the trading of goods into the statistical system at national, European and international level.

- to develop existing tools for the collection, processing, transmission and dissemination of statistical information, taking into account the latest technological advances and seeking to optimise cost-effectiveness. The explosion in electronic data exchange is completely changing relations between economic players, and statistical administrations at national and Community level must adapt to this new technological environment.

These overall objectives, as well as the types of action required to achieve them, were identified and confirmed during preparatory and arbitration work directly involving the relevant national administrations. The ex-ante evaluation is the outcome of that work which sought to closely involve the partners in the network.

The programme thus targets:

- private and institutional users of statistics, who should have information that is of better quality, harmonised and in line with their expectations;

- statistical information providers and administrations responsible for collecting such information, who will benefit from the facilities provided by simplifying tasks and modernising the network.

The purpose of the programme requires financing from the Community budget. In fact, in addition to efforts to seeking the best cost-effectiveness ratio of the programme, the modernisation of the network and the adaptation of statistical methods will be boosted by a common, consistent and - if possible - harmonised approach. The improvement in statistical results will be uniform across the European Union. Every economic operator and statistical service will be able to benefit from suitable tools that make it possible to simplify the completion and processing of declarations and to access reference information.

ANNEX

External and intra-Community trade statistics

A strategy for the future

External and intra-Community trade statistics have entered a new phase of their development, marked by important challenges. In fact, they have to satisfy growing and more demanding information requirements of users in a context of uncertainty concerning the administrative environment of the collection system and available resources, at both Community and national level. A strategy to prepare the system to meet these challenges is needed.

The Council [5] has set as a matter of priority a response to the urgent requirements of the Economic and Monetary Union by providing fast, reliable and accurate macroeconomic statistics. To this end, the existing system needs to be strengthened without delay. This involves an adaptation of the methods and the continuation of modernisation actions (Edicom programme), which should make it possible to reduce further the burden on enterprises while improving the effectiveness of the statistical system. An action plan is proposed, covering both Intrastat and Extrastat, designed to improve the accuracy and reliability of results, to speed up the availability of statistics and to reorganise statistical supply.

[5] Report of the Monetary Committee (statistics working group) MC/II/616/98 approved by the Council in January 1999.

The work on the evaluation and improvement of data quality will be a prerequisite for future actions. It will involve a revision of the conformity of national systems (Intrastat/Extrastat) with the regulations with a view to submitting to the Committee proposals designed to improve quality in the current framework.

In the longer term, more radical adaptations will need to be scheduled.

Better integration of statistics on trade in goods in the European and international statistical system should make it possible to cover the needs of users in a more consistent and relevant manner.

The Extrastat system needs to increase its ability to satisfy the growing needs relating to the monitoring of trade with non-member countries, especially through more statistical means that are less reliant on customs procedures.

The reform of the Intrastat regulations, logical outcome of the SLIM initiative, will have to be prepared in the light of the introduction of a common VAT system and be part of a new approach involving a requirement to provide results for the requirements of the European Union, with a strong emphasis on quality and subsidiarity with regards to collection methods.

On the basis of these strategic guidelines, a work programme including timetable will be prepared subsequently. The timetable of future actions will take into account the need to avoid introducing a new legal act before preliminary work on several questions has been properly carried out.

Statistics on trade in goods traditionally provide key information for economic operators and decision-makers. They thus help the Commission, which is a privileged user, in defining its trade policy or in measuring the progress of European integration in economic and monetary fields. They are used at a detailed level by businesses to identify supply sources and external outlets. They also make an important contribution to national accounting and balance-of-payment systems. This incomplete list clearly reveals the importance and permanence of the requirements to be satisfied, as well as the variety of users.

In approving last January a report on the information requirements of the Economic and Monetary Union, the Council showed that the priority was to respond in a more appropriate manner (with relevant, reliable and quickly available information) to requirements for the purposes of macroeconomic and short-term policy stemming from the introduction of the single currency. In addition, there is increasing pressure for accuracy in economic indicators (especially GDP and balance of payments), consistency among the various sources used for statistics on trade in goods [6] and consideration of new requirements, especially in connection with economic globalisation.

[6] This is one of the main recommendations by the United Nations in its document International trade statistics - Concepts and definitions, Methodological Studies, Series M, rev. 2, UN, 1998.

Statistics must adapt to changing demand for information in a difficult context:

- The system of monitoring trade in goods between Member States (Intrastat) has been faced with difficulties since its introduction in 1993: persistent non-response or late response [7] by information providers; deadlines for transmitting results to Eurostat that are not complied with.

[7] While the situation has improved since the entry into force of Intrastat, especially as a result of publicity campaigns and penalties, most Member States have to cope with a structural non-response rate, which they offset by adjustment.

- In addition, the system will have to adapt to possible developments in the field of taxation which could affect the existing link between Intrastat and the VAT system.

- The call for the Intrastat system to be simplified has been insistent since the launch of the SLIM initiative by the internal market ministers in 1996. Concrete results have already been achieved, but mostly it is consideration of a more radical long-term reform of the system that is taking place. The desire on the part of information providers for the system to be simplified nevertheless conflicts with the need for detailed information by some users, including businesses themselves. Ideas about the future must therefore be guided by the search for a balance between these conflicting positions.

- The system for monitoring trade with non-member countries (Extrastat) has a reliable and detailed source of information in the customs declaration. However, customs adaptations to changes in its own environment (liberalisation of trade, single market, development of data processing tools, etc) are expected, and these could have an impact on the nature of statistical information and the arrangements for its collection.

In order to meet the challenges that the statistical system will have to meet in the future, a strategy is proposed that is designed to strengthen the existing system while preparing for the adaptations that will be needed in the longer term, in order to anticipate rather than react to coming changes.

1- Priority for proposals to strengthen the current system.

Actions affecting both Intrastat and Extrastat need to be taken in the short term to improve the accuracy of results, to speed up the availability of statistics and to reorganise statistical supply.

- Priority will need to be given to proposals designed to increase the reliability of economic indicators and to satisfy the pressing needs of the EU's economic and monetary policy, especially through the fast production of results, the introduction of new aggregates [8] and the creation of seasonally adjusted time series.

[8] In this regard, special attention will focus on the treatment of confidential data.

- Actions designed to evaluate and improve data quality will need to be continued by a review of the conformity of national (Intrastat/Extrastat) systems with the regulations, in order to submit to the Committee proposals to improve quality in the current situation. Priority will be given to Intrastat and to statistics on trade between the EU and its main partners. The continuing problem of "asymmetry" will be dealt with in close collaboration with the services responsible for the balance of payments and national accounts, especially by considering all the conclusions in the reports and recommendations of the ad hoc working party "asymmetry". The work will be reinforced by the adoption of a method for a complete and quantitative evaluation of quality, in order to define the minimum relevant requirements.

- Communication with users will be improved, especially by means of more consistent and transparent presentation of all statistics on trade in goods (Community and national statistics, balance of payments, national accounts).

- An effort will be made to improve the system for checking Extrastat data by strengthening the partnership with the customs authorities and "institutional" users. At the same time, measures will be proposed to ensure exhaustive coverage of trade (adaptation of the threshold system together with estimates of missing data, harmonisation of the treatment of certain specific goods) and to make fuller use of the content of customs declarations.

- The modernisation of the system will be continued under Edicom. Hitherto, the emphasis has been placed on greater use of data processing and electronic data transmission. Improvements to the information collection and processing chain, exchanges of best practices, the development of common data processing tools and the use of modern communication technologies will be priority guidelines in a new phase of the programme in support of the objective of fast production of quality statistics as part of a system that is less costly for information providers and administrations.

The renewal of the decision on modernising inter-administration telematic networks for statistics on trade in goods (the current Edicom programme) should make a substantial contribution to the strengthening of the system. A new decision must therefore be adopted for 2000-2002.

2- Focus on several strategic axes in the longer term.

a) Better integration of statistics on trade in goods in the European and international statistical system needs to be sought. The attainment of this objective depends on a preliminary study:

- of the content and relevance of the information to be collected and disseminated, in order to respond to new requirements (globalisation, e-trade, hi-tech products, etc);

- of the link (concepts, asymmetries) with the balance of payments and national accounts, in order to ensure greater consistency between these statistics, in line with international recommendations;

- of the link with business statistics and registers and transport and services statistics, in order to find possible ways to rationalise and improve data collection and processing and to enhance available statistical information.

On the basis of the work of analysis, concrete proposals will gradually be made with regard to the collection, processing and dissemination of data.

b) The adaptation of the Extrastat system will need to be continued, in order to satisfy specific and growing requirements relating to the monitoring of trade with non-member countries by means of an approach that is less reliant on customs procedures, and consistent with international recommendations.

Information requirements with regard to external trade will need to be reevaluated in order to adapt the system to changes in the European Union and international trade (enlargement, globalisation, liberalisation of trade).

In addition, possible changes concerning the collection and content of statistical information will need to be considered in advance of projects designed to modernise, simplify and rationalise customs procedures and organisation (work undertaken by G7 or the Commission).

c) The Intrastat system will need to be gradually reformed.

At the same time as the work designed to speed up the production of quality Intrastat statistics, there must be continued consideration of the longer term reform of the system.

In this context, the consequences of a changeover to a common VAT system will be carefully analysed.

The adaptations to be made to the current system will be examined in the light of the findings of studies on alternative collection methods undertaken as part of the SLIM initiative in collaboration with national administrations (sampling, quality of deliveries compared with purchases).

Amendments to the current system will be prepared by the Committee on Statistics relating to the Trade of Goods, on the basis of the following guidelines:

- Supply, for Community needs, of detailed monthly results (by product and by partner country) for dispatches only, and aggregated monthly results for arrivals (broken down at least by partner country), in accordance with quality requirements regarding coverage, reliability and availability laid down by Community regulations. The content of the results (detailed and aggregate) to be produced will be defined in the light of changing needs as part of the construction of Europe. The text will incorporate a clear formulation of requirements at EU and eurozone levels.

- Possibility of amending current regulatory collection in the Member States, according to arrangements decided at Community level, in order to make it possible to compile detailed national and/or regional statistics, subject to compliance with quality requirements. The revised legislation will not remove any current obligation; there will be no change in status, whereby statistical information that is currently compulsory becomes optional. A change will be possible only if a Member State requests it and it has been accepted by the Committee. The Committee's decision on such a matter will be based on a report describing the request and analysing its impact on the overall quality of the Intrastat system. The decision will have to comply with the evaluation method agreed by the Committee and with the minimum quality requirements defined by the Committee. The effect of such a decision will be restricted to the requesting Member State; in other words, it will not change legal requirements for the other Member States.

- Supplementary analysis of information sources - administrative or statistical - that can be used as references in connection with proposals on the common VAT system; with preference being given to maintaining the link with the VAT system and the use of the general business register.

- Continued development of common and modern declaration procedures, by means of increased use of techniques for the standardisation of messages and the exchange of computerised data, in order in particular to facilitate the work of information providers established in several Member States and to optimise the operation of the system.

The timetable for the reform of the Intrastat system will be drawn up in the light of the Commission work programme to prepare the changeover to the common VAT system. The adaptation of Community legislation will be preceded by a pilot experiment (early application of the system by certain Member States) and a Commission report evaluating the results.

3- An integrated project.

In view of the scope of the project and in order to manage resources properly, it is proposed to plan the reforms as part of an integrated project. This is the objective of Project XT °°° which proposes an adaptation of the system based on a systematic and coordinated approach in which methodological, organisational and legislative activities are based on appropriate data processing tools

2000/0201 (COD)

Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL concerning a set of actions relating to the trans-European network for the collection, production and dissemination of statistics on the trading of goods within the Community and between the Community and non-member countries (Edicom)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 285 thereof,

Having regard to the proposal from the Commission [9],

[9] OJ C of, p.

Acting in accordance with the procedure laid down in Article 251 of the Treaty [10],

[10] OJ C of, p.

Whereas:

(1) The actions implemented pursuant to Council Decision No 96/715/EC of 9 December 1996 on inter-administration telematic networks for statistics relating to the trading of goods between Member States [11] have made it possible to improve considerably the quality of intra-Community statistics.

[11] OJ L 327 of 18.12.1996, p. 34.

(2) Intra-Community foreign trade statistics are entering a new phase of development, characterised by growing and increasingly demanding user needs.

(3) The Council attaches special priority to meeting the urgent need of the Economic and Monetary Union for fast, reliable and accurate macroeconomic statistics.

(4) The modernisation of the trans-European network for the collection, production and dissemination of statistics on the trading of goods within the Community and between the Community and non-member countries should be a driving force in the development of these statistics.

(5) Council Regulation (EEC) No 3330/91 of 7 November 1991 on the statistics relating to the trading of goods between Member States [12] and Council Regulation (EC) No 1172/95 of 22 May 1995 on the statistics relating to the trading of goods by the Community and its Member States with non-member countries [13] provide for increased use of automatic processing and electronic transmission.

[12] OJ L 316 of 16.11.1991, p. 1.

[13] OJ L 118 of 25.5.1995, p. 10.

(6) Simplification of the Intrastat system was a pilot project in the SLIM ("Simpler Legislation for the Internal Market") initiative launched in 1996; the specific proposals for reducing the workload on statistical information providers have been approved by the European Parliament and the Council.

(7) The objectives of this Decision are compatible with those of Decisions Nos 1999/1719/EC [14] and 1999/1720/EC [15] of the European Parliament and the Council on trans-European networks for the electronic interchange of data between administrations (IDA); account will be taken of IDA decisions, in particular Article 11 of Decision No 1999/1719/EC, in implementing this Decision.

[14] OJ L 203 of 3.8.1999, p. 1.

[15] OJ L 203 of 3.8.1999, p. 9.

(8) An ex-ante evaluation has been performed in accordance with the Commission's financial management rules, in order to focus the programme on the need for effectiveness in achieving the objectives and to incorporate budgetary constraints from the design phase of the programme onwards.

(9) In accordance with the principles of subsidiarity and proportionality laid down in Article 5 of the Treaty, the objectives of this Decision cannot be adequately achieved by the Member States; in fact the development and modernisation of the trans-European network for the collection, processing and dissemination of intra- and extra-Community trade statistics can be better achieved at Community level, with the scope of this Decision not exceeding what is necessary to achieve these objectives.

(10) Council Regulation (EC) No 322/97 of 17 February 1997 on Community statistics [16] provides the regulatory framework for the provisions of this Decision, particularly those relating to access to administrative data sources, statistical confidentiality and the principle of cost-effectiveness.

[16] OJ L 52 of 22.2.1997, p. 1.

(11) Since the measures necessary for implementing this Decision are management measures in accordance with Article 2 of Council Decision 1999/468/EC of 28 June 1999 laying down the procedures for the exercise of implementing powers conferred on the Commission [17] the measures should be adopted according to the management procedure laid down in Article 4 thereof.

[17] OJ L 184 of 17.7.1999, p. 23.

(12) This Decision lays down, for the entire duration of the programme, a financial framework constituting the principal point of reference, within the meaning of point 1 of the Declaration by the European Parliament, the Council and the Commission of 6 March 1995, for the budgetary authority during the annual budgetary procedure;

HAVE ADOPTED THIS DECISION:

Article 1

Field of application and general objectives

1 The measures provided for in this Decision relate to the trans-European network for the collection, compilation and dissemination of statistics on the trading of goods within the Community and between the Community and non-member countries.

2 The general objectives are as follows:

a) to encourage the rational organisation of the network referred to in paragraph 1 in the most modern and effective manner possible and to adopt measures necessary for improving and harmonising the methods used, in order to produce statistics which:

- are more reliable and less expensive for the information providers and administrations, and become available more quickly;

- more fully satisfy the new expectations of users.

b) to develop existing computer tools for the collection, processing, transmission and dissemination of statistical data, taking into account the latest technological advances and seeking to optimise cost-effectiveness.

Article 2

Actions

1. To achieve the objectives referred to in Article 1, a set of actions (known as the "Edicom" programme) shall be implemented for:

a) the development of the network referred to in Article 1 (1) in order to:

- produce statistical information that is of better quality and becomes available more quickly, in order to satisfy the requirements of Community policies;

- to produce statistical information that is relevant and appropriate to the new needs of users within the framework of Economic and Monetary Union and the changing international economic environment;

- to incorporate statistics on the trading of goods more effectively into the general statistical system at national, European and international level and adapt them to changes in the administrative environment;

- to improve the service offered to suppliers and users of information, by providing them with the available statistics and metadata relating to the trading of goods;

b) the development and promotion of tools for collecting information on the trading of goods, by taking into account the latest technological advances in order to improve the functions available to information providers.

The specific conditions in which these actions are implemented are set out in Annex 1 to this Decision.

3. The procedures for implementing the actions referred to in paragraph 1 shall be adopted by the Commission in accordance with the procedure provided for in Article 4 (2).

Article 3

Annual work programme and management of expenditure

1. In accordance with the procedure provided for in Article 4 (2), the Commission shall approve:

- the annual work programme, including the allocation of annual budget expenditure under this Decision;

- the adjustments to the breakdown of expenditure set out in Annex 2, involving a change of more than EUR 200 000 in the resources allocated annually to a category of actions, during the year.

2. The Statistical Programme Committee of the European Communities, instituted by Decision 89/382/EEC, Euratom [18], shall be informed of the annual work programme.

[18] OJ L 181 of 28.6.1989, p. 47.

Article 4

Procedure

1. The Commission shall be assisted by the Committee on statistics relating to the trading of goods between Member States, established by Regulation (EEC) No 3330/91, and the Committee on statistics relating to the trading of goods with non-member countries, established by Regulation (EC) No 1172/95, for matters coming under their respective responsibility.

2. In the event of reference being made to this paragraph, the management procedure referred to in Article 4 of Decision 1999/468/EC shall apply, in compliance with the provisions of Article 7 (3) and Article 8 thereof.

3. The period provided for in Article 4 (3) of Decision 1999/468/EC shall be fixed at three months.

Article 5

Evaluation

1. The Commission, in collaboration with the Member States, shall regularly review the actions financed under this Decision, in order to ascertain whether the stated objectives have been attained and to provide guidelines for improving the effectiveness of future actions. The Commission shall submit to the Committees referred to in Article 4 (1) a summary of the evaluations, which may if necessary be examined by the latter. The evaluation reports shall be available on request to the Member States.

2. At the end of the period of five years referred to in Article 7 (2), the Commission shall submit to the European Parliament and the Council a report on implementation of this Decision, accompanied, where appropriate, by proposals for new actions.

This report shall seek to estimate, in the light of the expenditure incurred by the Community, the benefits of the actions accruing to the Community, the Member States and providers and users of statistical information and to identify areas for potential improvement and verify synergy with other Community activities, particularly in the field of trans-European telecommunications networks and technological development programmes.

3. The Commission shall take any other measure necessary to verify that the financed actions are carried out properly and in compliance with the provisions of this Decision.

Article 6

Financial aspects

The total appropriation for implementation of the Community project described in this Decision for the period 2000-2004 is fixed at EUR 51,2 million. An indicative breakdown, by category of actions referred to in Article 2, is shown in Annex 2.

The annual appropriations shall be authorised by the budgetary authority, subject to budgetary constraints.

The financial resources provided for under this Decision shall not, in principle, be allocated to actions which benefit from other sources of Community funding.

Article 7

Entry into force and validity

This Decision shall enter into force on the day of its publication in the Official Journal of the European Communities.

This Decision shall be valid for a period of five years as from its entry into force.

Article 8

Addressees

This Decision is addressed to the Member States

Done at Brussels, .....

For the European Parliament For the Council

The President The President

ANNEX 1

Specific conditions for implementation of the actions referred to in Article 2

1. Implementation of the actions referred to in Article 2 shall:

a) take into account the need for continuity of existing computer tools, the usefulness of which is acknowledged with respect to the objectives referred to in Article 1, giving due regard to competition with the private sector in the field of business services;

b) take into account the results of other relevant activities of the Community, particularly in the field of trans-European telecommunication networks and Community research and technological development programmes; account will also be taken of obligations in connection with Article 11 of the IDA Decision No 1999/1719/EC;

c) refer to existing European standards and the specifications accessible to the public, such as the Internet open standards, so as to guarantee a high degree of interoperability of national and Community systems within and between the administrative sectors and with the private sector.

2. The actions provided for in Article 2 shall, in advance of the programme, and in accordance with the proposal for the annual work programme, be the subject of:

a) a description of their objectives, scope, justification and the likely costs and benefits;

b) a description of the functions and technical approach;

c) a detailed implementation plan which describes each task and the order in which the tasks are to be performed.

3. Implementation of the annual work programme will require technical and administrative assistance and support measures, with a ceiling of 7% of total appropriations.

ANNEX 2

Indicative breakdown, by category of Edicom actions, in accordance with Article 2, for years 2000-2004

(EUR millions)

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FINANCIAL STATEMENT

1. TITLE OF ACTION

Proposal for a decision of the European Parliament and of the Council concerning a set of actions relating to the trans-European network for the collection, production and dissemination of statistics on the trading of goods within the Community and between the Community and non-member countries (Edicom).

2. BUDGET HEADING INVOLVED

Item B5-7211 : Network for intra-Community statistics (Edicom).

3. LEGAL BASIS

Article 285 of the Treaty on European Union ;

Council Decision 1999/126/EC of 22 December 1998 on the Community statistical programme 1998 to 2002 ;

Council Regulation (EEC) No 3330/91 of 7 November 1991 on the statistics relating to the trading of goods by the Member States.

Council Regulation (EEC) No 1172/95 of 22 May 1995 on the statistics relating to the trading of goods by the Community and its Member States with non-member countries.

4. DESCRIPTION OF ACTION

4.1 General objective

The general objectives are as follows:

a) to encourage the rational organisation of the most modern and effective network possible and to adopt measures necessary for improving and harmonising the methods used, in order to produce statistics which:

- are more reliable and less expensive for the information providers and administrations, and become available more quickly;

- more fully satisfy users' existing and new expectations.

b) to develop further existing computer tools for the collection, processing, transmission and dissemination of statistical data, taking into account the latest technological advances and seeking to optimise cost-effectiveness.

4.2 Period covered and arrangements for renewal

The action is scheduled to last five years. In accordance with Article 5 (2) of the proposal for a decision, the Commission will submit to the European Parliament and to the Council a report on the implementation of the decision, accompanied, where appropriate, by proposals for new actions.

5. CLASSIFICATION OF EXPENDITURE OR REVENUE

5.1 CE/NCE

NCE

5.2 DA/NDA

5.3 Type of revenue involved

6. TYPE OF EXPENDITURE OR REVENUE

- 100% subsidy

- Subsidy for joint financing with other sources in the public and/or private sector

Yes. The beneficiaries will be the authorities responsible for compiling the statistics, who will contribute to co-financing the actions.

- Interest subsidy

- Other

Yes, service contracts, meetings of experts

- Should the action prove a financial success, is there provision for all or part of the Community contribution to be reimbursed-

- Will the proposed action cause any change in the level of revenue- If so, what sort of change and what type of revenue are involved-

Indirectly, the statistical work on indicators relating to own resources (GNP, VAT, excise duties, customs duties) can, thanks to the results, make it possible to recalculate the general level of the budget.

7. FINANCIAL IMPACT

7.1 Method of calculating total cost of action (relation between individual and total costs)

The overall cost of the action was calculated in the ex-ante evaluation [19]. As a general rule, the budget for carrying out Edicom actions was calculated on the basis of the resources needed in terms of man/months. Manpower profiles were indicated (computer programmer, statistician, secretary, etc); common rates were adopted for a homogeneous evaluation of costs. Detailed information can be found in the annexes to the ex-ante evaluation.

[19] See "Ex-ante evaluation EDICOM II"

Human resources will be used and managed in common, on the basis of the annual work programme approved by the Committee on statistics relating to the trading of goods, by launching calls for tenders, except where resources are devoted to implementing actions in the Member States.

The calculation method for the various specific actions in the programme is shown in detail in the ex-ante evaluation.

7.2 Itemised breakdown of action

Commitment appropriations in EUR mio (at current prices)

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** see paragraph 7.3 for detailed breakdown

7.3 Operational expenditure for studies, experts etc. included in Part B of the budget

Commitmemnt appropriations in EUR mio (at current prices)

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7.4 Due date of commitment/payment appropriations

Commitment appropriations in EUR mio

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8. PLANNED ANTI-FRAUD MEASURES

- Specific control measures scheduled

Statistical information is considered an objective instrument for the evaluation of Community action programmes and thus contributes to the measure for checking the proper implementation of the action.

Article 5 authorises the Commission to review regularly the actions financed under the decision. The Commission will also be authorised to take any other measure necessary to verify that the actions are carried out properly in compliance with the provisions of the decision (Article 5 (3)).

9. ELEMENTS OF COST-EFFECTIVENESS ANALYSIS

9.1 Specific and quantified objectives; target population

- Specific objectives: links with general objective

The specific objectives, with the actions proposed, have been detailed in the ex-ante evaluation. Six objectives have been identified, aimed at the same general objective of modernising and improving the organisation of the trans-European network for the collection, production and dissemination of intra- and extra-Community trade statistics:

1. an information network of better quality, less costly and available more quickly, in accordance with the requirements of Community policies;

2. a relevant information network adapted to the changing needs of users within the framework of Economic and Monetary Union and the international economic environment;

3. a network of information which is better integrated into the general statistical system and adapted to the development of the administrative environment;

4. a network improving the statistical service offered to administrations, users and providers of data;

5. a network based on tools for the collection of information in the light of the latest technological advances in order to improve functions available to information providers;

6. an integrated and interoperable network (horizontal action or objective).

- Target population: distinguish as applicable for each objective; indicate the end-beneficiaries of the Community's financial contribution and the intermediaries involved

The beneficiaries of the programme are:

- private and institutional users of statistics, who should have information that is of better quality, harmonised and in line with their expectations;

- statistical information providers and administrations responsible for collecting such information, who will benefit from the facilities provided by simplifying tasks and modernising the network.

The direct beneficiaries are indicated for each action in the ex-ante evaluation.

9.2 Grounds for action

- Need for Community financial aid, especially with regard to the principle of subsidiarity

The purpose of the programme requires financing from the Community budget. Although the collection of data is performed by each Member State under the authority of the bodies and institutions responsible for the compilation of official statistics, only implementation at Community level can guarantee the production of information that will be of better quality, less costly throughout the Union, harmonised and in line with the expectations of users, especially Economic and Monetary Union decision-makers.

In fact, in addition to seeking the best cost-effectiveness ratio of the programme, the modernisation of the network and the adaptation of statistical methods will be boosted by a common, consistent and - if possible - harmonised approach. The improvement in statistical results will be uniform across the European Union. Every economic operator and statistical service will benefit from suitable tools that make it possible to simplify the completion and processing of declarations and to access reference information.

The ex-ante evaluation states the grounds for Community financial involvement for each proposed action.

- Choice of ways and means

* Advantages over possible alternatives (comparative advantages)

The alternative to a Community action of this type would be several specific national actions, the results of which - apart from being difficult to coordinate - would not make it possible to attain fully the stated objectives of the decision. The cost of these alternative measures has not been assessed, but it is obvious that the approach selected in the decision would make it possible to achieve economies of scale.

* Explanatory reference to similar Community or national operations

The only reference is the EDICOM I programme, which expired at the end of 1999, and which was beneficial both for Intrastat information providers and in improving the information produced.

* Spin-off and multiplier effects expected

The improvement of the statistical network at Community level should improve, in particular, decision-making by economic operators and decision-makers and to make the statistical declaration a matter of routine, thus reducing the burden on information providers and the non-response rate.

- Main factors of uncertainty which could affect the specific results of the action

The EDICOM II programme will be implemented against a background of rapid change affecting information technologies, continued economic globalisation, enlargement of the European Union and strong and pressing demands on the part of private and institutional users of statistics. The actions will therefore need to adapt to any external changes.

9.3 Monitoring and evaluation of the action

- Performance indicators

* Output indicators (measuring activities used) and impact indicators (measuring performance against objectives)

Performance indicators for each action have been included in the ex-ante evaluation.

- Details and frequency of planned evaluations

The Commission, in collaboration with the Member States, will each year review the actions financed under the decision, in order to ascertain whether the stated objectives have been attained and to provide guidelines for improving the effectiveness of future actions. The Commission will submit to the relevant committees a summary of the evaluations, which may if necessary be examined by the latter. The evaluation reports will be available on request to the Member States.

At the end of the five-year validity of the programme, the Commission will submit to the European Parliament and the Council a report on the implementation of the decision, accompanied, where appropriate, by proposals for new actions.

- Assessment of the results obtained (in the event of an existing action's continuation or renewal)

The programme is intended to continue and supplement the actions implemented under the EDICOM I programme, which expired at the end of 1999 and which was beneficial both for Intrastat information providers and in improving the information produced (a report on the benefits of the programme is currently being prepared). However, it should be pointed out that the new decision is part of a wider strategic framework, involving both Intrastat and Extrastat, that seeks to adapt the statistical system to a rapidly changing environment and to meet the strong and pressing demands of users - especially institutional - of statistics.

10. ADMINISTRATIVE EXPENDITURE (PART A OF SECTION III OF THE GENERAL BUDGET)

This section of the financial statement must be sent to DG XIX and DG IX; the latter will then forward it with its opinion to DG XIX.

The requirements in human and administrative resources must be covered by the amount allocated to the operating DG.

10.1 Effect on the number of posts

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For additional resources, indicate the frequency with which they will need to be available.

10.2 Overall financial impact of additional human resources

(EUR)

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The amounts express the total cost of posts for the total duration of the action if the duration is specified, and for 12 months if the duration is unspecified.

10.3 Increase in other administrative expenditure as a result of the action, especially costs rel ating to meetings of committees and groups of experts

(EUR)

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The amounts correspond to total expenditure for the action if its duration is specified, or to expenditure for 12 months if the duration of the action is unspecified.