The European Parliament today voted overwhelmingly for new regulations on cross-border parcel deliveries that will force operators to publish prices to improve transparency for customers and regulators.
MEPS voted by 604 to 80 (with 12 abstentions) in a plenary session in favour of the compromise package that was agreed in December between the European Commission, Council of Ministers and Parliament and which is part of the overall drive for a Digital Single Market in the EU.
The EU authorities argue that cross-border parcel delivery prices are too high compared to domestic prices, and while there is strong competition in densely populated urban areas and for high volume business, SMEs and individuals in remote areas face little choice and high prices. By contributing to healthy competition, the new regulation should encourage the reduction of unreasonable differences between tariffs, they claim.
The new rules will introduce regulatory oversight of all cross-border parcel delivery providers, including postal operators and private companies.
All parcel delivery service providers will be required to provide their public tariffs for a predefined list of the most used services. The European Commission will publish these prices on a dedicated website to enable consumers and businesses to compare domestic and cross border tariffs between member states and between providers and opt for the best deal.
The rules also empower national authorities to assess tariffs for cross-border parcel delivery services which are subject to universal service obligation but seem unreasonably high. In general, they put a stronger emphasis on providing information to consumers making cross-border purchases on prices, cross border delivery options and complaint handling policies.
In addition, all operators will be required to disclose their turnover, the number of parcels delivered, the number and status of employees, information on subcontractors and complaint handling procedures to national authorities to give a better overview of how the growing sector is developing and to identify possible market failures. Small delivery service providers with less than 50 employees and operating only in one country are exempted.
Lucy Anderson (S&D, UK), the European Parliament rapporteur for the legislation, commented: “These new rules are an important element of the Commission’s Digital Single Market strategy in supporting e-commerce growth as part of a modern and fair social Europe. They will help to make tariffs and employment practices more transparent and offer a better deal for consumers and small businesses ordering cross-border parcels”.
To enter into force, which is expected to be from 2019, the draft rules agreed between the EP and Council negotiators in December 2017 will now need the endorsement of the Council of Ministers. The Commission first proposed the legislation back in May 2016, kicking off more than a year of consultations with industry and consumer associations as well as political discussions.
