Consumer Summit – Brussel 18.mars

State Secretary  Kjetil Andreas Ostling Ministry of Children, Equality and Social Inclusion
Ministerial session: 1600-1800

(enforcement is important)

Firstly, let me say that I am very pleased that enforcement has been chosen as the key topic for this years` Consumer Summit. Gathering key players in consumer protection can play an important role in establishing a common understanding of the challenges we face, and bring the policy and enforcement work forward. Rights are of no use to consumers if they are not guaranteed by efficient enforcement, guiding business and cracking down on rogue traders.

(setting common priorities)

So, what can be done? I agree with the approach of  joining efforts by setting common key priorities for our work.

(enforcement is more than injunctions and fines)

Secondly, enforcement is more than injunctions and fines. We should use more of the tools in the toolbox. Let me illustrate this by an example from national level and the financial sector. The Norwegian Consumer ombudsman recently concluded negotiations with Finance Norway, the  organisation for banks, insurance companies and other financial institutions. Agreement on standard credit contracts was achieved. The agreed contracts will now be used by virtually all banks, and hence ensure balance and fair deals, as well as prevent disputes. Also, following a recent investigation on price information on bank web sites, the Consumer Ombudsman sent a letter to all banks on how prices are to be calculated.

(guidance and information to traders)

With these examples on using tools other than injunctions and fines, I also want to make the point that traders needs guidance and feedback. Traditionally, and in many countries, it has not been considered a core task for enforcers to engage in dialogue with traders. Numerous brochures addressed to consumers have been published. However, infringements are not always a result of bad will, but may be caused by lack of legal expertise at hand for traders. It is no secret that legislators have not exactly made their lives less complicated over the last years, with the growing number of rules and regulations. Follow-up to sweeps, addressing key problem areas identified, provides concrete and ready-to-use guidance for traders.  Also, when traders become parties to an agreed regime, the ownership will in itself contribute to better compliance. Actions such as general guidelines within a specific area, for instance green claims, are other tools which have proven useful.

(vulnerable consumers benefit the most from efficient enforcement)

Efficient enforcement is important. All consumers benefit, as do businesses that are ensured a level playing field. And it provides the best possible use of public resources. But, maybe most important, it addresses a key concern for all of us these days: how to better protect vulnerable consumers.  It is those consumers who will benefit the most, for several reasons. They may not have the capacity or the resources to assess contract terms and marketing. They are often the target groups of rogue traders. And, a financial loss or other detriment may be more difficult to bear for these groups.

(ideas for better use of the enforcement network)

Lastly I would like to share with you some thoughts on how to make better use of the Consumer Protection Network.  It is my impression that more time could be devoted to exchange of best practice. We should also explore new and better ways of using the existing arrangement for exchange of officials. This could be longer periods of exchange targeted at problem areas, for instance related to airlines or holiday clubs. Given the joint interest of European Consumers in curbing the unwanted practices or illegal actions, it could be considered enhancing temporarily the national enforcement capacity in the country where enforcement should take place - with officials on exchange from another country.

Thank you for your attention

Priority point
Finally, if I was to highlight one priority point, it would be focussing more on information to and dialogue with traders, both at national and European level.  The plethora of rules and regulations, often dealing with the same issues, in particular information and marketing, and the need to adapt those requirements to different sectors poses a challenge for traders. By providing guidance, entering into dialogue and follow-up sweeps enforcers can address this challenge- to the benefit of both consumers and traders.