19.7.2008   

EN

Official Journal of the European Union

C 182/1

(1)

On 8 July 2008, the Council examined the updated stability programme of Belgium, which covers the period 2007 to 2011 (2).

(2)

Over the last 10 years, real GDP has grown by some 2,25 % on average, slightly above the average growth rate in the euro area. This relatively high GDP growth led to a decline in the unemployment rate, while the employment rate (especially of the younger and older workers) and the hours worked remain low, reflecting high labour taxation and labour market rigidities, low job search requirements and a low effective retirement age.

The budget has been hovering around a balanced position since 2000 (except in 2005), and the debt ratio, which had fallen from 134 % of GDP in 1993 to 108 % of GDP in 2000, continued its impressive decline and is now below 85 % of GDP. Increasing the employment rate, together with ambitious budgetary positions, would contribute to the long-term sustainability of public finances.

(3)

The macroeconomic scenario underlying the programme projects real GDP growth to fall from 2,8 % in 2007 to 1,9 % in 2008 and stabilise around 2 % in the following years. Assessed against currently available information (3), the scenario for 2008 and 2009 appears to be based on favourable growth assumptions given the deteriorated external environment and higher inflation since the projections included in the programme were finalised. Growth assumptions for 2010-2011 are broadly plausible. The programme update expects inflation to rise to 3 % in 2008, and to slow down to 1,75 % over the period 2009-2011. The programme's inflation projections for 2008-2009 appear to be on the low side in view of the marked rise in commodity and processed food prices in recent months. Furthermore, the employment growth projections of around 1 % per annum in the programme update appear to be relatively high in view of below-potential GDP growth throughout the programme period. While the programme's wage growth projections are on the low side for 2008, they appear high for the following years (3,25-3,5 %), especially compared to the projected low inflation rate.

(4)

For 2007, the general government deficit was 0,2 % of GDP, against a surplus target of 0,3 % of GDP set in the previous update of the stability programme. The worse outturn in 2007 was mainly due to higher expenditure growth than planned and occurred despite a positive growth surprise. Higher-than-planned expenditure reflected, in particular, a strong increase in subsidies paid to companies under the service voucher scheme and a lower-than-expected impact of one-off measures mainly due to the non-implementation of planned expenditure decreasing one-offs. Social contributions were higher than planned but this was largely compensated by the non-implementation of a number of planned revenue-increasing one-offs.

The budgetary implementation in 2007 was thus not fully in line with the invitation in the Council opinion of 27 March 2007 on the previous update of the stability programme (4) and with the April 2007 Eurogroup orientations for budgetary policies, since unexpected extra revenue was used for higher-than-budgeted expenditure.

(5)

The main goal of the medium-term budgetary strategy in the programme is to ensure a continuous reduction of the still high debt ratio of close to 85 % of GDP in 2007 to around 71 % of GDP in 2011 through a gradual build-up of headline budgetary surpluses to 1 % of GDP in 2011, starting from a balanced budget in 2008. The primary surplus, which has been decreasing since 2001 (from 7 % to 3,7 % of GDP in 2007) in parallel to the progress in debt reduction, is projected to increase to 4,4 % of GDP by 2011. As a result of the worse-than-expected outturn in 2007, the budgetary targets (both in nominal and structural terms) are below the ones in the previous update throughout the programme period. The structural balance, calculated according to the commonly agreed methodology, is expected to improve from a deficit of 0,25 % of GDP in 2007 to a surplus of almost 1,5 % of GDP in 2011. Compared to what was envisaged in the previous update of the stability programme, the achievement of the medium-term objective (MTO) — a surplus of 0,5 % of GDP in structural terms (i.e. in cyclically-adjusted terms net of one-off and other temporary measures) — is delayed by one year to 2009. The adjustment takes place on both the expenditure and revenue side. The planned expenditure reduction of 0,7 percentage point of GDP in nominal terms is attributable chiefly to a fall in interest expenditure which results from the projected decline in the debt ratio. The revenue increase amounts to 0,5 % of GDP and follows from the expected growth of tax bases. In contrast to the previous update, the programme explicitly foresees no further recourse to one-off measures after 2008.

(6)

The budgetary outcomes could be worse than projected in the programme. First, the macroeconomic environment could be worse than projected in the programme update, especially in 2008 and 2009. In particular, the favourable assumptions regarding employment, wage and consumption growth may have led to an overestimation of tax revenue. In addition, the expected overall tax elasticity seems on the high side in 2008. Regarding primary expenditure, the programme does not include measures that seem necessary to achieve the planned adjustment in a context of rising ageing-related costs and relatively strong projected wage increases. Moreover, excluding the reduction in interest expenditure, the composition of the adjustment is geared strongly to the revenue side, possibly reducing the sustainability of the adjustment. Finally, whilst the budget remained broadly in balance over the last years, the achievement of the aimed-for budget surpluses was postponed. In spite of the good macroeconomic conditions in 2007, the budgetary target was not reached in the absence of a government with full powers following the federal elections in June. In 2008, further measures seem necessary to achieve the target. In view of the risks to the macroeconomic outlook and the budgetary targets mentioned above, the development of the debt ratio is likely to be somewhat less favourable than projected in the programme, although the debt remains on a firm downward path.

(7)

In view of this risk assessment, the budgetary stance in the programme may not be sufficient to ensure that the MTO is achieved by 2009, as envisaged in the programme. However, a sufficient safety margin against breaching the 3 % of GDP deficit threshold with normal cyclical fluctuations will be provided throughout the programme period. Additional structural budgetary measures should be undertaken in 2008 in the context of the planned budget control exercise to strengthen the pace of adjustment towards MTO.

This will ensure that the objective of a balanced budget is met in 2008 in the absence of negative growth surprises. In 2009, it should be backed up by measures, in particular on the expenditure side, to be in line with the 0,5 % of GDP benchmark improvement specified in the Stability and Growth Pact and to reach the MTO as planned. The Council also notes that the budgetary plans for 2008 are not fully consistent with the April 2007 Eurogroup orientations for budgetary policies. Although the debt ratio may decrease less than projected in the programme, it seems to be sufficiently diminishing towards the reference value over the programme period.

(8)

Belgium appears to be at medium risk with regard to the sustainability of public finances. The long-term budgetary impact of ageing is above the EU-27 average, influenced notably by a relatively high increase in pension expenditure as a share of GDP over the coming decades. The effective retirement age in Belgium is one of the lowest in the EU, and raising it is the aim of the Generation Pact which brought a number of changes to the pension system. Although this represents a step in the right direction, national projections show that this reform would not reduce the sustainability gaps. The budgetary position in 2007 as estimated in the programme, though slightly worse than the starting position of the previous programme, contributes to offsetting the projected long-term budgetary impact of population ageing but is not sufficient to fully offset future spending pressures. Maintaining high primary surpluses over the medium term, bringing the debt ratio below the Treaty reference value and implementing further measures aimed at addressing the substantial increase in age-related expenditure would contribute to reducing risks to the sustainability of public finances.

(9)

The stability programme seems to be consistent to some extent with the October 2007 implementation report of the national reform programme. In particular, both reports consider the sustainability of public finances in light of population ageing as a key challenge for the Belgium economy. The stability programme however does not contain a qualitative assessment of the overall impact of the October 2007 implementation report of the national reform programme within the medium-term fiscal strategy nor systematic information on the direct budgetary costs or savings of the main reforms envisaged in the national reform programme. On the other hand, the budgetary projections of the programme take into account the public finance implications of the actions already implemented on the basis of the national reform programme.

(10)

The budgetary strategy in the programme is broadly consistent with the country-specific broad economic policy guidelines included in the integrated guidelines and the guidelines for euro area Member States in the area of budgetary policies issued in the context of the Lisbon strategy.

(11)

As regards the data requirements specified in the code of conduct for stability and convergence programmes, the programme has some gaps in the required and optional data (5).

(i)

implement additional structural budgetary measures to ensure that the objective of a balanced budget is met in 2008 in the absence of negative growth surprises. And ensure that the MTO is obtained in 2009 by carrying out the benchmark adjustment in structural terms of 0,5 % of GDP, including through the implementation of additional structural measures, in particular on the expenditure side;

(ii)

in the light of the still high level of debt and the projected increase in age-related expenditure, continue addressing the long-term sustainability of public finances by achieving high structural primary surpluses as well as by implementing reforms to increase the employment rate and potential growth and to contain the budgetary cost of ageing.

19.7.2008   

EN

Official Journal of the European Union

C 182/6

(1)

On 8 July 2008, the Council examined the updated convergence programme of Poland, which covers the period 2007 to 2010 (2).

(2)

Poland made recently progress in closing the gap with average EU income levels as real GDP growth picked up from around 4,5 % on average in 2003-2005 to above 6 % in 2006-2007. The labour-intensive output growth improved considerably the situation in the labour market as unemployment dropped from nearly 20 % in 2003 to 9,5 % in 2007. The fall in unemployment reflects, in addition to an extraordinary growth in employment, a shrinking labour force due to migration. Moreover, distortions of incentives to work enhanced by significant emigration increase the shortage of labour in some sectors. The tightening labour market puts pressure on wages; this, along with higher food and oil prices, has impacted negatively on HICP inflation which, after a period of successful moderation from 2005 to the first half of 2007, picked up significantly at the end of 2007. Since peaking at 6,25 % of GDP in 2003, the general government deficit declined on average by more than 1 percentage point annually to reach 2 % of GDP in 2007. In recent years, outturns were generally better than the targets thanks to positive growth surprises resulting in windfall revenues as well as the incomplete execution of expenditure plans. Further budgetary consolidation will hinge crucially on the reform of the social transfer system (mainly early pensions and disability benefits) and the increase of labour participation.

(3)

The macroeconomic scenario underlying the programme envisages that real GDP growth will gradually decrease from 6,5 % in 2007 to 5,2 % on average over the rest of the programme period. Assessed against currently available information (3), this scenario appears to be based on plausible growth assumptions. The programme's projections for inflation appear to be on the low side reflecting slightly favourable assumptions on import prices and a relatively low increase in nominal compensation per employee.

(4)

The 2007 general government deficit outturn was 2 % of GDP, compared to 3,4 % projected in the November 2006 convergence programme. Much higher real and nominal GDP growth than assumed in November 2006 was the main reason, but expenditure was also restrained. In particular, high profitability of companies allowed for growth in subsidies to be contained, while the rapid fall in unemployment and the absence of indexation imposed by the Hausner plan (4) also curtailed growth in social transfers. In addition, compensation of public sector employees was lower than planned. Finally, government investment was lower than projected because of a slower absorption of EU funds than planned. Overall, the expenditure-to-GDP ratio was 1,5 percentage point lower than projected in November 2006. On the revenue side, revenue from indirect taxes and social contributions turned out better than envisaged in November 2006, mainly thanks to a much higher employment and wage growth. These positive surprises were offset by a lower performance of other revenue items (direct taxes due to an increase in tax brackets). Overall, this led to a revenue ratio slightly below the planned one. With an improvement in the structural balance ratio by about 1,5 percentage point, budgetary implementation in the year 2007 more than fulfilled the invitation in the Council opinion of 27 February 2007 on the previous update of the convergence programme (5).

(5)

The main goal of the budgetary strategy is a durable reduction of the structural general government deficit (cyclically-adjusted deficit net of one-off and other temporary measures) aimed at achieving the medium-term objective (MTO) for the budgetary position, which is a structural deficit of 1 % of GDP, in 2011, i.e. one year after the programme period. This is consistent with the previous convergence programme, which envisaged achieving the MTO ‘after 2010’. After deteriorating by 0,5 percentage point to 2,5 % of GDP in 2008, the headline deficit is planned to improve to 1,5 % by 2010. The primary balance follows a similar path and is projected to increase from – 0,2 % of GDP in 2008 to 0,8 % in 2010. Against the backdrop of moderating output growth, the changes in the structural balance calculated according to the commonly agreed methodology are foreseen to be larger, with the structural deficit narrowing from about 2,75 % of GDP in 2008 to slightly above 1 % in 2010. The budgetary adjustment is expenditure-based and back-loaded to 2009 and 2010. In 2008, the deficit deterioration is mainly driven by a sharp increase in the investment ratio as well as a large cut in social contributions (partly compensated by an increase in other revenues). In 2009-2010, the consolidation is to be achieved mainly through restraint in compensation of employees, social transfers and intermediate consumption. The planned rate of deficit reduction between 2007 and 2009 is lower than in the previous update, however the starting point (2007) and each of the new deficit targets of the March 2008 update of the convergence programme are better than the targets in the November 2006 update.

(6)

The risks to the budgetary projections in the programme appear broadly balanced in 2008, but the outcomes could be worse than projected in the programme afterwards. The 2008 deficit target in the programme is the same as in the spring 2008 forecast (2,5 % of GDP). The 2008 Q1 cash data for central budget point to a revenue performance above the budgetary projections, but the programme assumes slightly higher growth in 2008 than in the spring 2008 commission forecast and still mounting wage pressure in the public sector poses a risk for public finances.

On the other hand, higher inflation than assumed in the programme will reduce the expenditure ratio in 2008, as expenditure is predominantly fixed in nominal terms. However, in 2009, the higher 2008 inflation could stimulate wage growth in the public sector and lead to higher pensions and social benefits than assumed in the programme, further exacerbated by a reform of the indexation mechanism which links, as from 2008, social benefits not only to consumer prices but also partially to wages. While tax cuts have already been adopted by parliament, offsetting measures are yet to be specified and implemented. If further high employment growth assumed by the government is not maintained, the continuation of the 2006-2007 job-rich-growth-based budgetary consolidation after 2008 may be difficult. On the other hand, the track record for the development of the general government balance is good: revenues have turned out frequently higher than projected while expenditure plans have been under-executed.

(7)

In view of this risk assessment, the budgetary stance in the programme seems consistent with a durable correction of the excessive deficit by 2007 as recommended by the Council. However, the safety margin against breaching the 3 % of GDP deficit limit could not be ensured within the programme period. In addition, the budgetary stance in the programme may not be sufficient to ensure that the MTO is achieved by 2011, as envisaged in the programme. As the economy enjoys favourable growth conditions, the pace of adjustment towards the MTO implied by the programme is insufficient and needs to be strengthened in 2008 to be in line with the Stability and Growth Pact. Thereafter, it should be backed up with measures. In addition, should inflationary and wage pressures materialise, a tighter fiscal stance than foreseen in the programme would be required to avoid overheating.

(8)

Poland appears to be at low risk as regards the sustainability of public finances. Although the budgetary position in 2007 includes a small structural primary deficit based on the convergence programme, according to the projections made in 2005 and based on the common methodology, the long-term budgetary impact of ageing is among the lowest in the EU. However, as from 2008, social benefits will be indexed not only to consumer prices but also partially to wages, which will raise expenditure in the long-term. Further consolidation of public finances, including the reform of the early retirement (introduction of ‘bridge pensions’ which limit early retirement to certain professions) as intended in the convergence programme, would therefore contribute to both stimulating labour activity and employment and limiting risks to the sustainability of public finances.

(9)

The convergence programme seems to be consistent with the October 2007 implementation report of the national reform programme. In particular, both programmes envisage the reform of early retirement and disability benefits, the reform of the farmers' social fund, the healthcare reform, the reorganisation and decentralisation of public finances, the multi-annual task budgeting. The convergence programme does, however, not contain a qualitative assessment of the overall impact of the October 2007 implementation report of the national reform programme within the medium-term fiscal strategy (discussing, e.g., the impact on potential growth and employment). Though, the programme provides systematic information on the direct budgetary costs of the main reforms envisaged in the national reform programme.

(10)

The budgetary strategy in the convergence programme is partly consistent with the country-specific broad economic policy guidelines, included in the integrated guidelines, in the area of budgetary policies issued in the context of the Lisbon strategy. While the programme envisages continued fiscal consolidation, further mechanisms to enhance control over expenditure are not mentioned.

(11)

As regards the data requirements specified in the code of conduct for stability and convergence programmes, the programme has some gaps in the optional data.

19.7.2008   

EN

Official Journal of the European Union

C 182/10

19.7.2008   

EN

Official Journal of the European Union

C 182/13

19.7.2008   

EN

Official Journal of the European Union

C 182/15

—

from the Europa competition website (http://ec.europa.eu/comm/competition/mergers/cases/). This website provides various facilities to help locate individual merger decisions, including company, case number, date and sectoral indexes,

—

in electronic form on the EUR-Lex website under document number 32008M5182. EUR-Lex is the on-line access to European law (http://eur-lex.europa.eu).

19.7.2008   

EN

Official Journal of the European Union

C 182/15

—

from the Europa competition website (http://ec.europa.eu/comm/competition/mergers/cases/). This website provides various facilities to help locate individual merger decisions, including company, case number, date and sectoral indexes,

—

in electronic form on the EUR-Lex website under document number 32008M5134. EUR-Lex is the on-line access to European law (http://eur-lex.europa.eu).

19.7.2008   

EN

Official Journal of the European Union

C 182/16

19.7.2008   

EN

Official Journal of the European Union

C 182/17

1.

This Communication provides background information to Regulation (EC) No 715/2007 (Euro 5 and 6) and its implementing legislation. This Regulation sets out requirements for the type-approval of light duty vehicles with regard to emissions and on access to vehicle repair and maintenance information. The technical requirements take effect in two stages, with Euro 5 emission limits coming into force from 1 September 2009 and Euro 6 emission limits from 1 September 2014.

2.

The purpose of this Communication is to set out the intentions of the Commission with regard to this legislation. The Regulation and its implementing measures contain detailed technical provisions necessary to implement the main requirements. However, there are a number of areas where the Commission considers that further revision of legislation will be necessary in the future.

3.

This current Regulation contains a full set of requirements necessary for the type-approval of the initial Euro 5 specification vehicles. In the future, the Commission intends to further refine the relevant requirements to be applicable either at mid-way through Euro 5 or at the full Euro 6 stage. The areas that should be subject to further review are discussed in this Communication.

4.

Revised test procedures for measuring particulate mass and particle number are currently being finalised for incorporation into UNECE Regulation No 83. When these test procedures are finalised it will be necessary to update the Euro 5 and 6 implementing legislation as soon as possible afterwards.

5.

Regulation (EC) No 715/2007 authorises the Commission to introduce particle number emission limits for petrol cars. At the time of development of the implementing legislation it was decided that additional information was desirable on the emissions of these vehicles prior to a standard being set. Hence, no limit value was set for Euro 5 vehicles. Regulation (EC) No 715/2007 requires that a limit value is set at the latest by the Euro 6 stage. Therefore, the Commission intends to review the particle emissions of spark ignition vehicles and propose a particle number limit for Euro 6 specification vehicles before the entry into force of the Euro 6 requirements.

6.

The initial version of the implementing legislation does not contain a reference fuel specification for ethanol (E75) to be used by flex fuel vehicles for the low temperature emissions test (type 6 test). The Commission intends to finalise the specification of the ethanol (E75) reference fuel for the low temperature emissions test soon. This process should be completed before the dates set out in Article 10(6) of Regulation (EC) No 715/2007, as Euro 5 flex fuel vehicles approved after these dates are subject to the low temperature test for type approval.

7.

Regulation (EC) No 715/2007 contains a requirement for the Commission to review the emission limits set for petrol cars under the low temperature test at – 7 °C. The concern being that the current emission limits, carried over from Euro 3 and 4, are no longer appropriate for vehicles meeting the Euro5 and 6 emissions standard.

8.

In addition, it is intended to review the requirements for manufacturers to provide information to type approval authorities on the performance of diesel vehicles at low temperatures. This is due to the risk of elevated NOx emissions at cold temperatures from diesel vehicles with EGR systems and NOx aftertreatment. This review should consider whether to extend the low temperature emissions test to Euro 6 diesel vehicles and whether a limit value should be introduced in the future.

9.

Due to the wider introduction of biofuels, the Commission intends to review test procedures for evaporative emissions. This review should consider whether greater global harmonisation is desirable through alignment of the European test procedure with that used in the United States. In doing so, consideration may be given to introducing in-service conformity or durability requirements to control the effects of long term use of fuels containing ethanol on evaporative emissions.

10.

The emissions and fuel consumption of light duty vehicles are measured using a standardised test procedure, based on the so-called New European Driving Cycle (NEDC). Regulation (EC) No 715/2007 requires that the Commission keep this under review, and propose changes if the procedures are no longer adequate or reflect real world emissions. The Commission considers that the procedure requires updating, and therefore intends to review the test cycle so that it adequately reflects the emissions generated by real driving on the road. This review may contribute to the discussions at the UNECE of developing a globally harmonised test cycle for light duty vehicles; however, it is not conditional on the progress made at UNECE level. Consideration may also be given to the introduction of an off-cycle emissions requirement to supplement the standardised test procedure.

11.

The Euro 5 and 6 legislation introduced a significantly clearer and simpler scope between the emissions legislation applicable to light duty vehicles and heavy duty vehicles. The legislation is now based on reference mass, where all vehicles below 2 610 kg are considered as light duty vehicles. This reference mass is based on the current limits to the laboratory based emissions test. The Commission considers that this mass limit may be too low and should be reviewed. Given the current masses of vehicles, a higher reference mass limit may be necessary for future legislation.

12.

Regulation (EC) No 715/2007 foresees that with future emission limits, consideration should be given to introducing mass neutral emissions standards. This is the approach currently adopted by US legislation and would result in the deletion of the current vehicle category N1, Class I, II and III distinction that developed purely for the purposes of emissions legislation and has been recently adopted for mobile air conditioning legislation. At this stage, such a mass neutral approach seems highly feasible for petrol vehicles, given the nature of the emissions control system. For diesel vehicles, the introduction of aftertreatment for NOx will provide greater control of tailpipe emissions and removes the original rationale for heavier vehicles to have higher regulated emissions. Before introducing any such proposal, the Commission would need to review the feasibility and cost-effectiveness of such an approach.

13.

Regulation (EC) No 715/2007 foresees that the Commission considers reviewing the approach to calculating CO2 emissions from vehicles to include other greenhouse gases such as methane emissions. Such a change is likely to have a very small impact on the emissions figures for most petrol and diesel vehicles, though could be a little more significant for gas vehicles. Due to the small number of vehicles covered, such a change may not be of the highest priority at this stage. The Commission may therefore review whether an approach based on a wider range of greenhouse gases is desirable.

14.

The implementing legislation only provides assigned deterioration factors for Euro 5 diesel cars. No factors were set for Euro 6 diesel cars due to uncertainty as to the durability characteristics of future diesel engines and exhaust aftertreatment systems. In order to introduce assigned deterioration factors for Euro 6 diesel cars, the Commission will need to review the durability of diesel cars that meet the Euro 6 emission limits.

15.

The Commission intends to review requirements for the type approval of replacement pollution control devices to take account of the revised OBD requirements and also the introduction of new pollution control device technologies. In addition, the durability requirements for the replacement of periodically regenerating devices may need to be reviewed.

16.

The implementing legislation does not contain any OBD thresholds for Euro 6 vehicles, apart from interim thresholds designed for the early introduction of Euro 6 diesel vehicles. The full Euro 6 thresholds will need to be confirmed by the Commission before such vehicles are able to be type approved.

17.

An initial proposal by the Commission for Euro 6 OBD thresholds is contained in Table 1. This table shows the thresholds that the Commission considers should be introduced for Euro 6 vehicles.

18.

These OBD thresholds broadly reflect the thresholds applied to most light duty vehicles in the United States and Canada, where the majority of vehicle's OBD systems are compliant with the legislation set by the Californian Air Resources Board (CARB). CARB set thresholds as a multiplication factor of the emission limit value, applying factors of either 1,5 or 1,75. The figures in Table 1 have been derived on this basis, however a higher factor 2 has been applied to particulate limits, reflecting the low concentrations in the exhaust emissions. CARB is currently allowing relaxed OBD thresholds for diesel cars up until the end of 2012. The Euro 6 thresholds would come into effect about 2 years later than this.

19.

Industry has submitted proposals for OBD thresholds at the Euro 6 stage that exceed the limit values by factors ranging from 1,9 to 5,5 for petrol vehicles and from 2,6 to 5,5 for diesel vehicles.

20.

The Commission considers that by the Euro 6 stage of emission limits, there is little reason for European OBD requirements to be significantly different from the requirements in North America. In particular, the diagnostic principles for petrol cars are well understood, having been developed in the US, so could be easily introduced in the EU. Moreover, the work by a consultant reviewing OBD thresholds suggested that the environmental benefits and cost effectiveness of lower petrol OBD thresholds were good.

21.

The Commission is aware that the thresholds for diesel vehicles are technology forcing, particularly with regard to particulates. Such thresholds are considered necessary due to the desirability of detecting partial failures of aftertreatment devices such as particulate filters, which could be subject to tampering if blocked. Moreover, good diesel diagnostics are essential for the long term competitiveness of the diesel technology in other parts of the world. Adoption of the proposed Euro 6 OBD thresholds should therefore support the future competitiveness of diesel technology.

22.

The Commission review of the feasibility of the Euro 6 OBD thresholds should focus on the technical feasibility of the proposed thresholds for compression ignition vehicles and the particulate OBD thresholds for positive ignition vehicles. This review should consider the state of development of new exhaust sensor technology, such sensors for particulate matter and particles and also the development of pressure sensing and modelling techniques for predicting the soot loading levels of particle filters.

23.

In addition, the Commission intends to review whether it is necessary for OBD thresholds for both particulate mass and particle number to apply at the Euro 6 stage. At this stage it is difficult to envisage whether particle number thresholds will be technically feasible.

24.

The Commission intends that the review of OBD thresholds should take place before 1 September 2010.

25.

In addition to the OBD thresholds, the Commission intends to keep under consideration the functioning of the OBD in-use performance ratio requirements. This includes the publication of guidance, where it appears to be necessary, and in particular for:

26.

The Commission will also consider introducing the World Harmonised OBD malfunction classification requirements from the mandatory application of Euro 6 limit values.

19.7.2008   

EN

Official Journal of the European Union

C 182/21

1.

withdraw the licence granted to JSC OGRES KOMERCBANKA (legal address: 12 E. Birznieka-Upisa St., LV-1050 Riga; registration No 40003150023);

2.

file a petition for liquidation of the JSC OGRES KOMERCBANKA to the Riga District Court.

19.7.2008   

EN

Official Journal of the European Union

C 182/22

1.

As provided for in Article 11(2) of Council Regulation (EC) No 384/96 of 22 December 1995 on protection against dumped imports from countries not members of the European Community (1), the Commission gives notice that, unless a review is initiated in accordance with the following procedure, the anti-dumping measures mentioned below will expire on the date mentioned in the table below.

4.

This notice is published in accordance with Article 11(2) of Regulation (EC) No 384/96.

19.7.2008   

EN

Official Journal of the European Union

C 182/23

19.7.2008   

EN

Official Journal of the European Union

C 182/25

1.

On 14 July 2008, the Commission received a notification of a proposed concentration pursuant to Article 4 of Council Regulation (EC) No 139/2004 (1) by which the undertaking Kenwood Corporation (‘Kenwood’, Japan) enters in a full merger within the meaning of Article 3(1)(a) of the Council Regulation with the undertaking Victor Company of Japan Ltd (‘JVC’, Japan), by way of transfer of shares.

2.

The business activities of the undertakings concerned are:

3.

On preliminary examination, the Commission finds that the notified transaction could fall within the scope of Regulation (EC) No 139/2004. However, the final decision on this point is reserved.

4.

The Commission invites interested third parties to submit their possible observations on the proposed operation to the Commission.

Observations must reach the Commission not later than 10 days following the date of this publication. Observations can be sent to the Commission by fax ((32-2) 296 43 01 or 296 72 44) or by post, under reference number COMP/M.5221 Kenwood/JVC/Holdco, to the following address: