Socialist Group leader Martin Schulz said publication of the draft directive marked the opening of a Socialist Group campaign to safeguard and promote public services in Europe. He said: "All EU citizens must have the right to high-quality schools and hospitals, a healthy water supply, safe transport and social services."

Mr Schulz added: "Through this initiative, we hope to step up pressure on the European Commission, which until now has failed to act despite repeated demands from the European Parliament and the heads of state and government."

Group vice-president Harlem Désir, who steered through work on the draft directive, said: "At present there is no clear legal framework for services of general economic interest in Europe. Services provided by local authorities in particular are subject to unforeseeable developments in case law. It is now time for a stable legal environment that allows national authorities and above all local and regional bodies to continue to decide freely on the management and financing of their public services.

"Following the parliamentary vote on services in the internal market, we need a specific new directive on services of general economic interest."

Socialist Group coordinator on economic and monetary policy, Ieke van den Burg, who led the work of the policy experts which included representatives of the Committee of the Regions, public service enterprises and EU trade unions, said: "After several months of work, we have produced a balanced text which will allow us to open a broad public debate with other political groups in the European Parliament, public authorities, public and private service providers and EU citizens."

Said Bernhard Rapkay, author of a parliamentary report on the Commission white paper on the subject: "In broad terms, this draft protects the administrative freedom of national and local authorities which must remain sovereign in organising the services of general interest for which they are responsible."

The draft directive sets out criteria for distinguishing between general interest services of an economic nature (typically including water, public transport, school canteens and leisure centres) and those that are non-economic (such as, in most countries, education, justice and health).

The text sets out key principles for general interest services including high quality at affordable prices, universal provision, openness and transparency. It reaffirms the principle of freedom in direct or external management and in choice of methods of finance such as granting of exclusive concessions or systems of compensation or financial equalisation.

The text sets out a guarantee of people's rights to high quality services and to rights of legal action and compensation.

In addition, the draft directive respects legislation in certain areas of public service, such as telecommunications and electricity, but as far as public services are concerned it establishes the supremacy of the framework directive on services of general economic interest over the directive on services in the internal market.

Said Mr Schulz: "Services of general interest contribute to the improvement of our citizens' quality of life and are an integral part of the European social model."

Tony Robinson - Mobile: 00 32 (0)475 25 74 10
trobinson@europarl.eu.int

---

---

---