Europaudvalget 2003-04
EUU Alm.del Bilag 182
Offentligt
Comprehensive monitoring report
on
Poland’s
preparations for membership
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A.
B.
INTRODUCTION ................................................................................................................................ 3
ECONOMIC ISSUES ........................................................................................................................... 5
1.
Economic developments ........................................................................................................... 5
2.
Implementation of recommendations for improvements........................................................... 7
COMMITMENTS AND REQUIREMENTS ARISING FROM THE ACCESSION
NEGOTIATIONS ............................................................................................................................... 10
1.
Administrative and judicial capacity....................................................................................... 13
Public administration............................................................................................................... 13
Judicial capacity ...................................................................................................................... 14
Anti-corruption measures........................................................................................................ 16
Translation of the acquis into Polish ....................................................................................... 17
2.
The chapters of the acquis....................................................................................................... 19
Chapter 1: Free movement of goods....................................................................... 19
Chapter 2: Free movement of persons .................................................................... 21
Chapter 3: Freedom to provide services ................................................................. 22
Chapter 4: Free movement of capital...................................................................... 24
Chapter 5: Company law ........................................................................................ 25
Chapter 6: Competition Policy ............................................................................... 27
Chapter 7: Agriculture ............................................................................................ 28
Chapter 8: Fisheries ................................................................................................ 33
Chapter 9: Transport policy.................................................................................... 34
Chapter 10: Taxation .............................................................................................. 36
Chapter 11: Economic and monetary union ........................................................... 38
Chapter 12: Statistics .............................................................................................. 39
Chapter 13: Social policy and employment............................................................ 39
Chapter 14: Energy................................................................................................. 42
Chapter 15: Industrial policy .................................................................................. 43
Chapter 16: Small and medium-sized enterprises................................................... 44
Chapter 17: Science and research ........................................................................... 44
Chapter 18: Education and training ........................................................................ 44
Chapter 19: Telecommunications and information technologies ........................... 45
Chapter 20: Culture and audio-visual policy .......................................................... 46
Chapter 21: Regional policy and co-ordination of structural instruments.............. 47
Chapter 22: Environment........................................................................................ 49
Chapter 23: Consumer and health protection ......................................................... 51
Chapter 24: Justice and home affairs...................................................................... 52
Chapter 25: Customs union .................................................................................... 56
Chapter 26: External relations ................................................................................ 57
Chapter 27: Common foreign and security policy.................................................. 58
Chapter 28: Financial control ................................................................................. 59
Chapter 29: Financial and budgetary provisions .................................................... 60
CONCLUSION................................................................................................................................... 62
C.
D.
STATISTICAL ANNEX.............................................................................................................................. 65
2
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A.
I
NTRODUCTION
The accession negotiations with Poland were successfully concluded on 13 December
2002 and the Treaty of Accession was signed on 16 April 2003. In a referendum held on
7-8 June 2003, a majority of Poles expressed their support for membership of the
European Union. Following ratification of the Treaty of Accession, Poland will join the
EU on 1 May 2004.
In its Strategy Paper “Towards the enlarged Union”, which accompanied the 2002
Regular Reports, the Commission stated that:
“Acceding countries need to implement the acquis by the date of accession, except in
cases where transitional arrangements have been agreed. Commitments undertaken
in the negotiations must be fully met before accession. The Regular Reports point to
a number of areas where further improvements need to be made in the context of the
political and economic criteria and in relationship to the adoption, implementation
and enforcement of the acquis. These should be vigorously pursued. In order to
analyse progress and to facilitate successful membership of the European Union, the
Commission will regularly monitor this and report to Council. The Commission will
produce six months before the envisaged date of accession a comprehensive
monitoring report for the Council and the European Parliament.”
The Copenhagen European Council in December 2002 concluded that:
“Monitoring up to accession of the commitments undertaken will give further
guidance to the acceding states in their efforts to assume responsibilities of
membership and will give the necessary assurance to current Member States.”
and the Thessaloniki European Council in June 2003 stated that:
“…the ten acceding States are encouraged to keep up their efforts so that they are
fully prepared to assume the obligations of membership by accession. This also
includes the necessary translation of the Community acquis. With a view to making a
success of enlargement, the monitoring of these preparations has been intensified on
the basis of reports submitted regularly by the Commission.”
As the accession date of 1 May 2004 draws closer, this report presents a comprehensive
state of play of the findings of the regular monitoring carried out by the Commission,
building upon the findings of the 2002 Regular Report for Poland. The report contains
two main parts.
The first part deals with economic issues. It describes briefly economic developments in
Poland, and then goes on to assess the implementation of the necessary economic
reforms in the areas highlighted in the conclusions of the 2002 Regular Report for Poland
as being in need of further improvements.
The second part gives an overview of where Poland stands in implementing all
commitments and requirements arising from the accession negotiations for each
acquis
chapter, both in terms of legislation and from the perspective of implementing structures,
including administrative capacity and enforcement. In view of their importance for the
implementation and enforcement of the
acquis,
the overall state of readiness of the public
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administration and the judicial system and the development of effective anti-corruption
measures are assessed in an introductory section to this part.
This report reflects the situation at the end of September 2003. It records decisions
actually taken, legislation actually adopted, measures actually implemented and
structures actually in place and functioning by that date.
For each chapter of the
acquis,
this report identifies the areas in which Poland is
expected to be, or is already, in a position to implement the acquis and the areas where
further action is still needed. Where relevant, the report also points out issues where
lagging or deficient preparations are a cause of serious concern. This assessment starts
from the premise that Poland must be fully prepared for membership from the date of
accession. In cases where transitional arrangements have been agreed in the accession
negotiations, their effect on Poland’s obligations is duly reflected in the assessment.
Numerous sources of information have been used to compile this report. Poland was
invited to provide information on its state of preparedness. The Report also draws on
information provided by Poland within the framework of the Association Agreement and
the accession negotiations, as well as on peer reviews that have taken place to assess its
administrative capacity in specific areas. Council deliberations and European Parliament
reports and resolutions have been taken into account in drafting it.
1
Where relevant, the
Commission has also drawn on assessments made by various international organisations
such as the Council of Europe, the OSCE and the international financial institutions, and
by non-governmental organisations.
1
For the European Parliament the rapporteur is Mr Jas Gawronski.
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B.
E
CONOMIC ISSUES
In its 2002 Regular Report, the Commission concluded that
"Poland is a functioning market economy. The continuation of its current reform
path should enable Poland to cope with competitive pressure and market forces
within the Union.
Improvements can be made to fiscal policy through the implementation of the
government's new expenditure norm at all levels of government as part of a more
broadly based structural reform of public finances to support fiscal consolidation.
Furthermore, restructuring and privatisation, mainly in heavy industry, the financial
sector, energy distribution and agriculture, needs to be completed. In addition
bankruptcy procedures and the land registry call for further improvement. Finally,
central bank independence must be preserved to ensure macroeconomic stability and
investor confidence."
The principal purpose of this part of the Comprehensive Monitoring Report is to assess
the implementation of recommendations for improvements in the areas identified in last
year’s Regular Report. The focus is on the change since last year and not on the overall
degree of functioning of the market economy or degree of competitiveness. The
assessment can be found in Section 2. Section 1 briefly describes recent economic
developments in Poland including the continuation of the reform path since last year’s
Report.
1.
Economic developments
Poland has maintained a stable macroeconomic situation and is experiencing a gradual
recovery, mainly driven by external demand.
After a sharp slowdown in 2001, Poland
experienced a modest recovery in 2002. Real GDP grew by only 1.4%, against 1% in
2001. Private consumption and net exports were the main motors of growth, while fixed
investment continued to contract sharply. Recent economic developments suggest that
the recovery is gradually gaining momentum. Real GDP grew by 2.2% year-on-year in
the first quarter of this year and growth accelerated to 3.8% year-on-year in the second
quarter. The recovery is mainly driven by exports, despite weak growth in Poland's main
trading partners. The competitiveness of Polish exports has been in part strengthened by
the real effective depreciation of the zloty observed since mid-2001. Last year, the strong
performance of exports, together with the economic slowdown, resulted in a further
reduction of the current account deficit to 3.6% of GDP. Thus, the current account deficit
is now at levels that can be easily financed by inflows of foreign direct and portfolio
investments. However, the fall in FDI inflows experienced in 2002 for the second
consecutive year suggests that the Polish economy has become less attractive to foreign
investors. Inflation continued to decline sharply in 2002, with headline inflation falling to
0.8% year-on-year in December 2002. Since the beginning of the year, inflation has
remained very low. The sharp fall in inflation and the absence of inflationary pressures
have allowed the Monetary Policy Council to gradually cut its key reference rate from
19% in February 2001 to 5.25% in June 2003. However, real interest rates in Poland are
still high. The loosening of monetary policy has not been matched by an adjustment in
the fiscal stance. The growing fiscal deficit and debt, together with high unemployment,
are the main economic challenges facing the Polish authorities. On the basis of the
Labour Force survey, the unemployment rate almost reached the 20% mark in 2002,
while the employment rate stood at 51.5%. Although a moderate improvement of the
labour market situation has been visible since February, the pace of the recovery will not
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be strong enough to make a significant dent in the high level of unemployment (see also
Joint Assessment of the Employment Policy Priorities and subsequent progress reports).
Poland
Real GDP growth rate
Inflation
rate
- annual average
- December-on-
December
Unemployment
rate
- LFS definition
General
government
budget balance
Current account balance
per cent
per cent
per cent
8.6
10.2
per cent
per cent of
GDP
per cent of
GDP
million
ECU/Euro
Per cent
of exports
of goods
and
services
million
ECU/Euro
Per cent
of GDP
million
ECU/Euro
5677
6821
10133
6377
4335
b
1833
Jan.-July
b
Main Economic Trends
1998
1999
2000
4.8
11.8 E
4.1
7.2 E
9.8
13.4
-1.5
-8.1
4.0
10.1
8.4
16.4
-1.8
-6.1
2001
1.0
5.3
3.5
18.5
-3.0
-2.9
2002
1.4p
1.9
0.8
19.9
-4.1 p
-3.6 p
2003
latest
3.8 Q2
0.7
August
a
0.7
August
-2.3
-4.4
Gross foreign debt of the
whole
economy
- debt export ratio
-6156
82.8
-11716
96.7
-10812
85.0
-5916
78.8
-7188
b
:
-2673
Jan.-July
b
32 932
4.0
36 787
4.7
42 763
5.7
45 184
3.1
:
2.2 p
Foreign direct investment
in
flow
- balance of payments
data
Sources: Eurostat. National sources. OECD external Debt Statistics
a
b
Moving 12 months average rate of change.
Source: Website of the National Bank.
P= provisional figures ; E= estimated data
The reform path has nearly come to a halt since last year's Report.
Privatisation
considerably slowed down in the past two years and the pace of privatisation in the first
months of this year has been disappointing. In 2002, actual privatisation proceeds turned
out to be significantly lower than planned, with only one major privatisation deal
completed. Despite the government's so-called "anti-crisis" package of July 2002 and the
adoption of several sectoral restructuring plans, progress in the restructuring of the
remaining state-controlled industries has been insufficient. The economic slowdown has
taken a toll on the financial performance of banks. The net profit of the banking sector
fell by 37% in 2002, and the first half of this year saw another drop in net profit by about
11% year-on-year. The deterioration in the profitability of banks also reflects the
continued increase in non-performing loans. Their share in loan portfolios rose to 20.5%
in 2002 against 17.9% in 2001. As a result, banks maintained a very cautious approach to
lending. Loans to the non-financial sector grew by only 3.4% in 2002. The rapid rise in
housing loans in foreign currency, generally unhedged, accounts for most of the growth
in credit. In March, the government gave its broad support to the fiscal reform plan
proposed by the former Finance Minister. But the government has so far adopted only the
less controversial measures of the plan, including a reduction in the corporate income tax
rate from 27% to 19%. The government's willingness to push ahead with the public
finance reform is in doubt. A major reform of the labour code was adopted in July 2002.
It is designed to enhance the flexibility of the labour market by making it easier for
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employers to use fixed-term contracts, permitting more flexibility in working hours and
cutting overtime pay. Also, initiatives were taken to promote the employment of young
graduates as part of the programme "First Job". These measures are welcome, but further
reforms are needed to ensure the appropriate balance between flexibility and security,
notably to reduce the high tax wedge and increase wage flexibility and to continue with
the reform of the education and training systems. In July, the government adopted its
Pro-Growth Action Plan for the years 2003 and 2004, which aims at improving the
business environment, promoting employment and reducing poverty. The plan includes
measures to reduce administrative barriers for firms but additional measures are required
to improve the functioning of the judiciary and reduce corruption.
Main Indicators of Economic Structure in 2002
Population (average)
GDP per head
a
Share of agriculture in:
- gross value added
- employment
Gross fixed capital formation/GDP
Gross foreign debt of the whole
economy/GDP
c
Exports of goods & services/GDP
Stock of foreign direct investment
d
Long term unemployment rate
Source: Eurostat
a Figures have been calculated using the population figures from National Accounts, which may differ from those used in demographic statistics.
b Agriculture, hunting, forestry and fishing.
c Data refer to 2001.
d Data refer to 2000.
b
Thousand
PPS
Per cent of EU average
Per Cent
Per Cent
Per Cent
Per Cent
Per Cent
Million Euro
Euro per head
Per Cent of labour force
38,214
39
3.1
19.6
19.1
22.1
30.0
36783
963
10.9
2.
Implementation of recommendations for improvements
The Polish authorities have shown so far some reluctance to tackle the needed fiscal
adjustment. A deep restructuring and reduction of public expenditure are, however,
crucial in order to further improve the policy mix, reverse the rapid rise in public debt,
and prepare Poland's
public finances
for accession.
There was a further deterioration of
Poland's fiscal position last year as a result of the economic slowdown and the relaxation
of fiscal policy. The general government deficit based on ESA95 increased to 4.1% of
GDP from 3.0% in 2001. This deterioration of fiscal accounts combined with the
slowdown in privatisation resulted in an increase in the debt-to-GDP ratio by 4.5
percentage points. While remaining low by international standards, the debt ratio is now
approaching the thresholds that trigger corrective mechanisms under the fiscal rules laid
down in the Polish Constitution and the Public Finance Act. The Polish authorities could
have seized the opportunity of the small rebound in growth this year to start the process
of reining in the government deficit and the high level of spending. But the spending rule
limiting real growth in expenditure to 1%, which the authorities had envisaged appling
to the 2003 budget, was finally abandoned. More recently, the preparation of the budget
for 2004 gave rise to strong concerns as regards the determination of the Polish
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authorities to push ahead with the needed reforms. Most significantly, the fiscal reform
plan broadly approved by the government in March has been virtually abandoned. Also,
the fact that the government initially envisaged the transfer of part of the revaluation
reserve of the National Bank of Poland to the state budget reflects a certain reluctance on
its part to tackle the fiscal problems. The draft budget for 2004 includes a cut in
corporate income tax but contains no adjustment measures on the expenditure side. The
adopted deficit target points to a substantial loosening of fiscal stance next year.
The Polish authorities should ensure that any decision on the use of the revaluation
reserve does not undermine the financial
independence of the central bank.
In the
ongoing discussions between the monetary authorities and the government on the use of
the revaluation reserve, careful consideration should be given to the impact of the
decision on the financial ability of the central bank to perform its tasks. In this regard,
attention must also be paid to completing the alignment of central bank legislation with
the acquis e (see also Chapter 11 - Economic and monetary union).
Progress in
restructuring
heavy industries, energy distribution and agriculture has been
modest since last year and considerable efforts still need to be made to advance the
reform agenda in this area.
Poland needs to finish the restructuring of the remaining
state-controlled industries, in particular in the coal mining, gas, electricity, chemicals,
steel and defence sectors. These industries remain a drain on public resources through tax
and social security arrears and a build-up of corporate debt. The "anti-crisis" package of
July 2002, designed to promote enterprise restructuring and preserve employment, has
had disappointing results so far, even though about 50 000 companies applied for the
scheme linking debt relief with restructuring commitments. In April 2002, the
government adopted a new strategy for the transformation of the energy sector by 2020.
The document envisages separation of transmission and distribution in all sub-sectors. In
the coal mining sector, political pressure from trade unions forced the government to
suspend the restructuring programme adopted in November last year. However, the
government adopted a new restructuring programme for the years 2003-2006 in
September. There has been little progress in restructuring the gas sector, while in the
electricity sector, the main barrier to the creation of a competitive market remains the
unresolved issue of long-term contracts. With regard to the still largely state-owned
chemicals sector, the government has adopted a new strategy and plans to prepare a
restructuring plan that will have to comply with state-aid rules. In the steel sector, a new
restructuring programme, including state aids, was submitted to the Commission in April.
Subsequently, in July, the Council adopted a decision on the compatibility of the
programme with the negotiation commitments. The defence industry is still in need of
restructuring. The restructuring of the agricultural sector is still lagging, although
progress has been made in land privatisation.
The pace of
privatisation
has stalled in Poland since last year's Report, and the Polish
authorities need to take decisive action to accelerate privatisation.
The privatisation
process in Poland is not completed yet. At the end of 2002, 76% of GDP was produced in
the private sector, and the Treasury still owned or had a majority or controlling stake in
about 2100 firms. Last year, the Treasury sold equity shares in only 98 companies and
privatisation proceeds amounted to about one third of the revenue target set in the budget
for 2002 (PLN 6.8 bn or 0.9% of GDP). The pace of privatisation was also slower than
foreseen in the first months of this year. As of end of June, privatisation proceeds
amounted to only 16.5% of the PLN 9.1 billion target for the year. Several major
privatisation deals initially planned for this year have been cancelled or postponed until
2004. As a result, privatisation proceeds this year will likely fall short of the
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government's initial expectations. The slowdown in the privatisation process partly
reflects the fact that the most profitable firms have been already sold, and that most of
the remaining state firms do not easily attract investors. The additional conditions
attached to the sales, notably to safeguard employment, further hamper the privatisation
process. Also, the insistence of the government on restructuring state-owned companies
first before privatising them limits the number of firms up for privatisation.
The new insolvency law adopted in February upgrades the
bankruptcy and liquidation
framework
and brings it into line with the requirements of a modern market economy.
The law on insolvency and restructuring which was adopted in February and will enter
into force on 1 October, protects creditors rights better than the previous law which was
excessively favourable to the debtors. Creditors can petition for liquidation of the debtor
firm before the court takes a decision, and at any time after declaration of bankruptcy
with the option of concluding an arrangement. However, much will depend on the
implementation of the law, in particular on the capacity of the courts to enforce it
effectively. In general, the inefficiency of courts remains a major obstacle to the proper
enforcement of laws and contracts.
Little progress has been achieved as regards the functioning of the
land registry,
and the
authorities need to pursue their efforts at modernising the system.
The absence of a
properly functioning land registry makes it difficult to establish ownership over land, and
hence, to use property as collateral in loans. This also hampers green field investment,
which usually entails the acquisition of new plots. The government is expected to present
its long-awaited master plan for the modernisation of the land registry in December.
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C.
C
OMMITMENTS
NEGOTIATIONS
AND
REQUIREMENTS
ARISING
FROM
THE
ACCESSION
As we approach the actual date of accession and the entry into force of the mutual rights
and obligations enshrined in the Treaty of Accession, it is necessary to focus efforts on
ensuring that Poland is fully prepared in all areas of the
acquis
from the start of its
membership. In other words, Poland must meet its commitments and requirements
arising from the accession negotiations.
In the 2002 Regular Report on Poland, the Commission found that:
“Poland is generally meeting its commitments made in the negotiations. However,
delays have occurred in the areas of agriculture (implementation of the animal
identification and registration system), fisheries (adoption of legislation related to
resource management, inspection and control, and in the area of market policy),
environment (adoption of implementing legislation with regard to water quality,
industrial pollution control and risk management, and chemicals). These issues need
to be addressed.
Bearing in mind the progress achieved since the Opinion, the level of alignment and
administrative capacity that Poland has achieved at this point in time, and its track
record in implementing the commitments it has made in the negotiations, the
Commission considers that Poland will be able to assume the obligations of
membership in accordance with the envisaged timeframe. In the period leading up
to accession, Poland needs to continue its preparations in line with the commitments
it has made in the accession negotiations.”
As regards the administrative capacity to implement the acquis, the overall findings were
as follows:
“There continues to be some disparity between progress in the adoption of
legislation and the reinforcement of administrative capacity. Continued efforts are
needed to set up or strengthen administrative capacities across the board, notably on
market surveillance, agriculture and food safety, fisheries and regional policy, the
social field, environment, customs and justice and home affairs. Particularly close
attention is required regarding the structures necessary to implement those parts of
the acquis which will become applicable only from the date of accession, with a
special focus on those parts which are essential for the sound and efficient
management of EC funds.”
As part of its continuous monitoring, the Commission services addressed letters to
Poland in March and June 2003 expressing concern over its preparedness in the fields of
free movement of goods (alignment with the acquis contained in the new and old
approach directives, and in the non-harmonised area), free movement of services (legal
alignment in the fields of insurance and investment services and securities markets,
Polish language requirements in the banking and insurance sectors and the capacities and
independence of the supervisory authorities), agriculture (the setting-up of the Paying
Agencies and the establishment of the Integrated Administration and Control System, the
management of the milk quotas, the setting-up of an animal identification system,
upgrading of agri-food establishments and the establishment of an animal waste system),
fisheries (the reinforcement of administrative capacities, including with respect to control
functions at both central and regional levels), social policy (alignment with the acquis on
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labour law and equal treatment), audiovisual policy (legislative alignment), customs
union (computerisation and interconnectivity) and financial control (legal alignment and
implementing structures in the area of structural action expenditure), competition policy
(steel restructuring), and calling for urgent action to remedy these shortcomings.
In order to give further guidance to Poland in its preparation efforts and to give the
necessary assurance to current Member States and other future Member States, this part
of the comprehensive monitoring report, in Section 2, gives an overview of where Poland
currently stands in implementing all commitments and requirements arising from the
accession negotiations for each of the 29 chapters of the
acquis.
It covers the whole body
of the
acquis,
on a chapter-by-chapter basis, both in terms of legislation and from the
perspective of implementing structures, including administrative capacity and
enforcement.
The principal commitment undertaken by Poland in the accession negotiations is to be
fully prepared for membership in all areas by the date of accession. In a number of areas,
however, commitments were made to put in place and implement the acquis according to
specific timetables even before accession. This report examines the extent to which these
commitments have been met, and where delays have occurred, but the principal focus of
the assessment remains the requirement that Poland must be fully prepared as from
accession. Naturally, in cases where transitional arrangements have been agreed, their
effect on Poland’s obligations is duly reflected in the assessment. On the other hand, it
should be underlined that, in order for Poland to make effective use of its eligibility for
Community structural funds from 1 January 2004, the relevant acquis in areas such as
public procurement, state aid and environmental protection will need to be fully
respected from 1 January 2004 in relation to the implementation of structural funds
actions
2
.
For each chapter, a conclusion is provided, which is structured in the following way.
Firstly,
it identifies those areas where Poland is essentially meeting the commitments and
requirements arising from the accession negotiations and is expected to be, or is already,
in a position to implement the acquis from accession. This does not exclude the
possibility that certain actions are still to be taken, but these should under foreseeable
circumstances not pose particular difficulties.
In a
second
paragraph, the assessment identifies any areas where important further action
is still needed in order to complete preparations for membership. In some cases these
preparations are on-going, but enhanced efforts or quicker progress may be called for.
These are issues which can still be remedied taking into account the accession date of 1
May 2004 but which require the special attention of the authorities.
Thirdly,
where relevant, the assessment also identifies issues that are of serious concern.
These are areas where serious shortcomings exist which are likely to persist after
accession unless immediate remedial action is taken. These issues require the urgent
attention of the authorities. In view of their importance for the implementation and
enforcement of the
acquis,
the
overall
state of readiness of the public administration and
2
See also the Commission Communication on the implementation of commitments undertaken by the
acceding countries in the context of accession negotiations on Chapter 21 - Regional policy and
coordination of structural instuments, 16 July 2003 (COM(2003) 433 final).
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the judicial system and the development of effective anti-corruption measures, together
with the question of the translation of the acquis into Polish, are evaluated in a separate
Section 1.
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1.
Administrative and judicial capacity
Public administration
The legislation and structures necessary for the proper functioning of the civil service, as
well as the public administration as a whole, are in place, and no major changes are
foreseen in the near future. The civil service law has been in force since July 1999 and is
generally in accordance with EU standards. It clearly defines the status of civil servants
and other public administration employees (i.e. the civil service corps), and describes
recruitment procedures, employment and remuneration conditions, and the principal
responsibilities of employees. The implementation of the law has, however, proved
difficult, and it has not fully addressed the problems it was intended to solve, namely
politicisation and lack of professionalism in the public administration. An amendment to
the civil service law introduced in January 2002, allowing the appointment to senior
posts in the public administration of candidates from outside the civil service corps, was
judged unconstitutional by the Constitutional Tribunal.
The public administration is under the constitutional responsibility of the Prime Minister,
who appoints the Head of the Civil Service, who in turn is responsible for implementing
the civil service law. The Prime Minister has also at his disposal an advisory body, the
Civil Service Council, composed of 16 members, half chosen by the Parliament and half
by the Prime Minister himself.
The size of the central administration is relatively modest, amounting to about 120 000
employees, and the number of civil servants appointed from open competitions remains
minute. The extremely limited share of civil servants among the employees of the central
administration (a total of slightly above 1 500 or some 1%) and its persistently slow
growth continue to be the main problem in creating a properly functioning, fully
professional public service. Political influence in top management remains strong in
some areas, but the pace of normalising the situation has speeded up.
The necessary implementing legislation is also in place, but there is no horizontal
legislation standardising all aspects of the functioning of the civil service. The segmented
structure of the administration means that the approach to strategic planning and policy-
making capacities differ significantly from one institution to another, so that any
evaluation can only be made case by case. Similarly, the hierarchical character of the
Polish administration hampers the development of inter-ministerial or inter-service co-
ordination. There is neither a legal definition nor an established practice for the
accountability of a public administration employee for his/her individual decisions. This
results in a widespread reluctance at lower and middle levels to assume responsibility
and a tendency to refer all types of decision to superiors.
Openness and transparency of the public service is guaranteed by the law on access to
public information, which has been in force since January 2002. The law provides a good
legal basis for the transparent functioning of the public administration, ensuring
individual citizens access to the rationale for any decision that concerns them. The basic
weakness of the law lies in its incorporation of all the currently binding laws that limit
public access to information on the ground of confidentiality.
The Office of the Committee for European Integration is the main co-ordination body
dealing with European integration issues. Most of the structures dealing with European
integration issues need further strengthening, and some will have difficulty being fully
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capable of dealing with these new duties in an efficient, timely and professional manner
by the date of accession.
General training for the public administration, except for EU-specific training, is
supervised by the Office for the Civil Service. The majority of training is planned,
organised and financed in a decentralised manner and depends mainly on the
commitment of directors-general in individual ministries and central offices, as well as
on the budget available for the institution. At the request of the Civil Service Council, the
Office for the Civil Service is elaborating a “Strategy on training for the public
administration in 2004-2007”.
Below the central level, Poland has a three-level administrative structure, introduced in
January 1999. It is composed of 2496 gminas (municipalities), 373 powiats (counties),
including 65 urban powiats, and 16 voivodships (regions). Regional self-government is
conducted through regional governors (voivods) appointed by the central government,
and regional assemblies (sejmiks). The voivods are responsible for supervising the
compliance of the activities of self-government with national law. The voivodships are
also entitled to enter into bilateral and multilateral economic co-operation with foreign
partners. However, the introduction of the three-level administrative structure in 1999
was not accompanied by a clearly oriented, long-term programme for local and regional
self-government and this could complicate the further implementation of the
decentralisation process.
The administrative capacity in specific areas of the acquis shows that for most of them
administrative structures are in place, but only in few cases has the capacity reached an
optimal level. Human resources, training (including language training) and budgets need
to be strengthened, and inter-institutional co-ordination needs to be improved. Generally,
the problems result from budgetary constraints, even though the additional amount
necessary to correct these shortcomings is often relatively small. In particular, the areas
that are critical for Poland to function properly within the EU need to be reinforced. Even
within the existing constraints, better results could be achieved if priorities were clearly
identified and targeted.
Judicial capacity
The judicial system in Poland comprises 325 district courts, 44 regional courts, 10 courts
of appeal and the Supreme Court. The prosecution services have a parallel organisational
structure incorporating district, regional and appellate levels. After undergoing
substantial reform, the structure of the judicial system has changed, but the impact of the
reform and of the reorganisation accompanying it cannot yet be fully evaluated. Despite
steady progress, efforts are still needed to improve the efficiency and transparency of the
judiciary, so as to enhance the reliability of the quality of judgements. The access of the
public to the judicial system remains limited, especially access to general information on
procedures, legal aid and the state of play of an individual’s own pending case. In general
the level of public trust in the efficiency and fairness of the judicial system remains low
and the perception of corruption by the public is high.
The most important changes have been introduced at the lowest level of the Polish
judicial system, mainly with the introduction of a new layer of courts – borough courts –
to deal with misdemeanour cases. This reform is highly significant, because between
85% (2001) and 88% (2002) of all court cases are dealt with at the level of district courts.
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However, the creation of this new layer of courts was not accompanied by a proportional
increase in the number of judges, administrative staff and equipment.
As of December 2002, there were 9 024 judges (appointed judges and assessors) and
5 477 public prosecutors (prosecutors and assessors). In 2002 the courts increased their
staff by 230 judges’ posts and 50 associate judges’ (assessor) posts. Further ambitious
increases are planned in 2003, so as to reach the target number of 450 posts for judges
and associate judges, 100 senior court clerks and 700 administrative staff. It is intended
also to create 100 new posts for prosecutors in the course of 2003. As for administrative
support, at the end of 2002 there were 21 083 administrative employees in the courts and
3 695 in the prosecution service, resulting in ratios of 2.2 administrative staff per judge
and 0.67 per prosecutor. The figure for the prosecution service is still considered low.
The number of computers and printers in the courts and the prosecutors’ offices has been
increased but remains quite limited. New objective criteria for recruiting judges and
prosecutors are in place. However, objective criteria for career assessment, promotion
and demotion do not exist yet.
On the other hand, improvement in the efficiency of the courts does not seem to
necessitate a further increase in the number of magistrates, but rather changes in
procedure and in the organisation and distribution of work. Extensive IT projects are
under way in the judiciary, including the development of a nation-wide communication
network for courts and public prosecutors’ offices to facilitate access to the central
databases on legislation in force and international legal co-operation.
There is no clear separation of functions of the Minister of Justice and the Attorney
General. Draft legislation addressing this issue is being discussed within the government.
It is aimed at separating the two functions, but the provisions as currently formulated will
not result in the Attorney General becoming more independent. Further initiatives could
be considered to address the question of the hierarchical link to a political authority that
may influence indirectly and obliquely the activity of the public prosecutor.
The immunity of judges is provided for in the Constitution, which gives a very broad
interpretation of such immunity. The immunity applies to the judge in his professional
and private life, as well as after his retirement. It can only be lifted by a collegium
composed of randomly chosen judges, and only this part of the procedure is open to the
public. The law does not specify explicitly the grounds for lifting immunity. The very
wide interpretation of penal immunity of judges, alien to other legal systems in Europe,
is not in itself a guarantee of independence, but is viewed rather as a privilege in Poland.
On 1 July 2003, the amendments to the code of criminal procedure, the act on “crown
witnesses” and the act on the protection of classified information entered into force. The
new provisions aimed at simplifying and accelerating criminal proceedings, so as to
reduce the backlog of cases and the number of pending cases, and at ensuring adequate
enforcement of judgements. Amendments to the code of civil procedure aimed at
accelerating and simplifying procedures entered into force on 14 August 2003. The
effects will become evident only after a period of enforcement of the new rules. To
reduce the increasing backlog of cases it will be necessary to make frequent use of the
simplified procedure and to extend the possibilities of alternative settlement of cases
(mediation proceedings).
In the area of criminal law, the length of cases has further declined: in 2001 the average
length of proceedings was 6.1 months; in 2002 it was 5.8 months. In the area of civil law
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it rose slightly from 6.8 months to 7 months. These are average figures for courts all over
Poland, but there remains a large difference between the capital, Warsaw, where the
situation is still very critical in terms of delays, and the rest of the country. In Warsaw,
the average duration of criminal proceedings is around 12 months, while civil cases take
24 months. The situation is similar for commercial cases and transactions associated with
the land register.
The system of legal aid is still under-developed and organised in a non-transparent way,
with the result that citizens are not informed about their rights. In the criminal procedure
code there is no obligation to inform a defendant about the possibility of obtaining legal
aid. This lack may lead to the conclusion that the enforcement of the legal aid provisions
is not sufficient in the light of the Convention for the Protection of Human Rights and
Fundamental Freedoms. The Ministry of Justice does not have statistical data on the
granting by judges of requests for legal aid.
The reform of professional training of staff in the justice system (judges, prosecutors,
administrative employees) started on 1 November 2002 with the creation of a unit called
the “Judicial Training Centre” in the Ministry of Justice. By the end of 2003 this unit
intends to develop proposals to unify and harmonise the training system, so as to increase
efficiency and to provide new forms of training for all professional groups concerned.
Anti-corruption measures
Corruption is perceived to be increasing from an already relatively high level in Poland.
It is considered to affect all spheres of public life. There has been very little progress in
combating corruption, and the existing perception has been borne out in various high-
profile corruption cases recently.
In September 2002, the Council of Ministers adopted a programme for combating
corruption entitled the “Anti-Corruption Strategy”. The document states that the
government is fully aware of the threat posed by corruption to Poland’s development and
considers that fighting it is a priority. The strategy is aimed at amending regulations
conducive to corruption in areas of public activity that are perceived as most susceptible.
The document lists legislation that should be adopted in each of these areas in order to
curb corrupt practices, names the institutions responsible for preparing the relevant
legislation and sets deadlines for the changes to be accomplished. The strategy does, in
itself, not really deal with high-level corruption, with the exception of those issues
related to the civil service and financial disclosure by public functionaries.
An official implementation report of July 2003 indicates that while progress in
implementing the strategy has been made in a number of areas, the actual impact has
been rather limited. One explanation is that the strategy has been overseen by an inter-
ministerial team without sufficient administrative and political back-up. Another is the
failure to secure broad support for the strategy, which was one of the major assumptions
for ensuring its effectiveness.
The number of public officials found guilty of corruption has remained fairly stable.
Over two thirds of these offenders were sentenced for giving bribes to public officials
(active corruption). Nevertheless, an improvement can be noted with regard to political
accountability for corruption offences. Recently several corrupt politicians were
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dismissed immediately after the media revealed their offences, while similar events in the
past went unsanctioned.
Amendments to the Act on Political Parties and the Election Law passed in 2001 and
2002 were aimed at regulating the financing of political parties with a view to curbing
high-level corruption. For the most part they are being well implemented, leading to
greater transparency in party funding and severe financial penalties for parties which
violate the law. However, the new legislation contains some built-in loopholes that may
expose the system to abuse. In particular, a provision allowing the creation of
foundations that can employ party personnel and be sponsored by private companies
makes it possible to create an alternative and non-transparent financial construction that
is not subject to control.
The enforcement of another important law aimed at counteracting high-level corruption,
the Act on the Execution of Duties of Deputies and Senators of August 2001, which
provides for public disclosure of parliamentarians’ asset declarations, is being conducted
properly, as far as the submission of declarations and transparency of declared assets is
concerned. However, the implementation of other provisions of this law needs to be
improved.
There has been no progress in the processing of the draft amendment to the so-called
anti-corruption law (limiting business activity by people in public office), which was
submitted to the Sejm in autumn 2001. Neither has there been any follow-up to a draft
law providing for the establishment of an anti-corruption office, which was submitted to
the Sejm at the end of 2001.
The follow-up to the motions of the Supreme Chamber of Control (NIK) is highly
unsatisfactory. According to a report on NIK’s activity in 2001 presented to the Sejm by
the President of NIK in October 2002, out of 136 motions calling for urgent changes of
the law with a view to counteracting mismanagement of public funds and corruption,
only 22 were carried out fully and 12 partly. A special unit within the Agency for
Internal Security, which was established in order to tackle corruption of senior officials,
is generally perceived to be performing poorly and to lack political independence. It has
not disclosed any of the most serious cases of corruption, launching investigations only
after they have been revealed by the media.
Poland continues to participate in the Council of Europe Group of States against
Corruption (GRECO). In its March 2002 evaluation report GRECO stated that corruption
in Poland threatens to undermine the functioning of many public spheres. GRECO
addressed 17 specific recommendations to Poland, which it was strongly encouraged to
follow up. The Polish authorities have not yet provided a reply on the recommendations
made by GRECO on that occasion. GRECO is expecting co-operation from Poland in
implementing these recommendations.
Translation of the acquis into Polish
In accordance with Articles 2 and 58 of the Act of Accession, all acts adopted by the
Union’s institutions and the European Central Bank prior to accession become applicable
to the new Member States and are to be published in the Official Journal of the European
Union in the new official languages. While the EU institutions take responsibility for the
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final revision and publication of the translations, it falls to the acceding states to produce
the translations and to ensure a thorough legal and linguistic revision.
After a relatively slow start in the beginning of 2003, mainly due to the re-revision by the
Translation Coordination Unit of existing translations, the statistics for the number of
pages revised and ready for the finalisation procedure which have been transmitted to the
EU institutions is now on track. The legal and linguistic quality of the Polish versions of
the
acquis
seems also to have made up much ground and appears now to be satisfactory.
The present flow must be at least maintained, if not increased, to ensure the timely
publication of the Special Edition of the Official Journal in Polish by accession.
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2.
The chapters of the acquis
As indicated, the following review of Poland’s ability to assume the obligations of
membership has been structured in accordance with the list of 29 acquis chapters.
Accordingly, this section opens with an assessment of the acquis relating to the
cornerstones of the internal market which are known as the “four freedoms”, and
continues with a systematic review on each of the chapters, covering all aspects of the
acquis,
including sectoral policies, economic and fiscal affairs, regional policy,
environment, justice and home affairs, external policies, and financial questions.
Chapter 1: Free movement of goods
The principle of the free movement of goods implies that products must be traded freely
from one part of the Union to another. In a number of sectors, this general principle is
supplemented with a harmonised regulatory framework, following the “old approach”
(imposing precise product specifications) or the “new approach” (imposing general
product requirements). The transposition of harmonised European product legislation
represents the vast majority of the content of this chapter. In addition, efficient
administrative capacity to apply horizontal and procedural measures in areas such as
standardisation, certification and market surveillance is essential. This chapter also
covers detailed EC rules on public procurement, requiring specialised implementing
bodies.
The
horizontal and procedural measures
necessary for the administration of the
Community product acquis in the new approach sector are in place. The implementation
structures for standardisation, metrology, accreditation, conformity assessment and
market surveillance are all in place. Training programmes being carried out by these
bodies should ensure their operational efficiency by the date of accession. Particular
attention should be given to prepare for the task of market surveillance, of which the role
and importance will be enhanced by the entry into force of new approach legislation. The
Polish Committee for Standardisation (PKN) is an affiliate member of CEN and
CENELEC. Full membership should occur in the near future.
Poland has transposed the majority of the
sectoral legislation
under the
new approach.
Still missing or not yet fully aligned legislation relates to cableways, medical devices,
non-automatic weighing instruments, marine equipment, and radio and
telecommunications terminal equipment. Some adjustments might still be required in
other areas. Poland has been granted a transitional period by which existing certificates
for medical devices shall remain valid until their expiry or until the end of 2005 at the
latest.
As regards the
old approach
directives, Poland has transposed a significant part of the
acquis
in these product sectors. Further efforts are required in the areas of textiles, legal
metrology, motor vehicles, chemicals, fertilisers, pharmaceuticals, cosmetics and wood.
Progress is noted and good co-operation has been established as regards the transposition
of the foodstuffs
acquis.
However, amendments to the framework law on food and
nutrition are still pending and some implementing regulations have not yet been adopted
or necessitate further adjustments. The majority of vertical foodstuffs directives still
needs to be transposed and implemented.
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Poland has taken the steps necessary to ensure the creation, reinforcement, and
operational capacity of the institutions required to manage the acquis in nearly all of the
sectors covered by the old approach sector directives. In the area of chemicals, having
recognised that the identification of "new" chemical substances on its market is a matter
of priority, Poland should provide for the appropriate notification of such substances in
accordance with the
acquis.
In the area of pharmaceuticals, implementation of the
legislation should not give way to
de facto
discrimination against imported
pharmaceutical products. Furthermore, specific attention is needed to strengthen inter-
institutional co-operation in the field of food safety, to train operators and inspectors in
the principles of the acquis in this area (such as by the further development of guides on
good hygiene practices), to prepare for the full application and enforcement of Hazard
Analysis Critical Control Points (HACCP) in all food plants and to continue the
restructuring and upgrading of laboratories which will be part of the official control
network. Procedures for handling alerts under the Rapid Alert System for Food and Feed
need to be finalised. Aspects of food safety are also covered under Chapter 7 –
Agriculture.
In the course of the accession negotiations Poland has been granted a transitional period
relating to the renewal of marketing authorisations for pharmaceutical products until the
end of 2008.
In the field of
public procurement
the legislative efforts to achieve full alignment with
the EC acquis in this area need to be continued. The shortcomings that persist relate to,
notably, the definition of bodies governed by public law, the scope of exceptions and the
information to be given to unsuccessful candidates or tenderers. The Public Procurement
Office has been established and is operational but still needs to be strengthened, in
particular in terms of well-trained personnel. Training is also necessary for other actors
involved in public tendering in particular to allow a smooth implementation of the
Structural Funds and Cohesion Fund assistance.
In the
non-harmonised area
Poland has conducted a screening exercise for national
legislation possibly in contradiction with the principle of free movement of goods; this
screening must continue and the identified barriers must be removed. Examples of
unjustified trade barriers that remain to be removed relate to, notably, the Polish
legislation on the import of second hand vehicles, on alcohol advertising, on the labelling
of textile products and the Polish language law. Poland still needs to introduce mutual
recognition clauses into its existing legislation. Transposition of the acquis concerning
cultural heritage objects is not yet complete. Minor adjustments remain to be brought to
the legislation transposing the acquis on arms control. Preparations have been made to
apply the rules on product safety checks at external borders from accession.
Conclusion
Poland is essentially meeting the requirements for membership as regards
horizontal
and procedural measures,
necessary to allow for the correct implementation of
legislation falling under the new approach as from accession, and the
new approach
sectoral legislation.
The remaining legislative work in the new approach area is under
way and should put Poland in a position to apply this
acquis
as from accession.
Poland is partially meeting the requirements in respect of the
old approach sectoral
legislation, public procurement
and the
non-harmonised area.
As regards the old
approach sectoral legislation, continued efforts are required in most of the sectors.
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Particular attention should be paid to the completion of the alignment efforts and to
strengthening of the administrative capacity in the area of food safety (notably the
upgrading and restructuring of laboratories) and the non-discriminatory implementation
of the pharmaceutical legislation. Additional efforts should be made to provisionally
notify "new" chemical substances prior to accession so as to ensure the continued
marketing of such substances. In the non-harmonised area, Poland needs to give
enhanced attention to implementing and enforcing the principle of mutual recognition.
Urgent action needs to be taken as regards the abolition of persisting trade barriers in
order to ensure that Poland is in accordance with the fundamental EU rules on the free
movement of goods by accession.. As regards public procurement, unless legislation is
adopted shortly and implemented correctly, there is a serious risk that Poland would not
have a functioning system in place in time.
Chapter 2: Free movement of persons
The acquis under this chapter provides for non-discriminatory treatment of workers who
are legally employed in a country other than their country of origin. This includes the
possibility of cumulating or transferring social security rights, which requires
administrative cooperation between Member States. In order to facilitate the practice of
certain professions, the acquis under free movement of persons also includes specific
rules concerning mutual recognition of qualifications and diplomas; for certain
professions a harmonised training curriculum must be followed to be able to use the
professional title. Furthermore, this area also covers the residence and voting rights of
EU citizens in any Member State.
In the field of
mutual recognition of professional qualifications,
Poland’s transposition
of the acquis still presents serious shortcomings. Only the legislation on lawyers and
commercial agents has been largely aligned. The relevant legislation on the general
system of recognition has not been entirely transposed. Intensified efforts are still needed
to adopt and implement outstanding legislation on the recognition of qualifications in the
health sector, notably doctors, dentists, general care nurses, midwives and pharmacists,
as well as on architects. Poland needs to complete alignment in these areas as a matter of
priority. Poland has expressed the intention to upgrade qualifications and training of its
nurses and midwives. This important issue awaits clarification. The necessary
administrative structures for implementation are largely in place but require further
strengthening.
In the area of
citizens’ rights
legislative alignment has been largely completed, except
for some implementing legislation. Furthermore, legislation on the right of EU citizens
residing in Poland to participate in municipal and European Parliament elections has to
be adopted. The main administrative structures for implementation are in place.
As for
free movement of workers
a transitional arrangement has been agreed. For the
first two years following accession, current Member States will apply national measures
or bilateral agreements to regulate the access of workers from Poland to their labour
markets. These arrangements may continue up to a maximum of seven years. Poland has
transposed the acquis to a large extent, but the adoption of implementing legislation
needs to be completed. The acquis on supplementary pension right of workers moving
within the Community remains to be transposed, while access to public sector
employment in accordance with the acquis must be ensured.
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As to
co-ordination of social security systems,
no transposition into national legislation
is needed to achieve alignment with the acquis. A number of bilateral agreements with
Member States, which rely on the same principles as the EU rules in this area, reflect the
fact that Poland’s administration has some experience with the administrative
procedures. However, Poland's administrative structures need to be further developed.
Conclusion
Poland is essentially meeting the commitments and requirements in the areas of
citizens’
rights, free movement of workers
and
co-ordination of social security systems.
Some
adjustments still need to be made, in particular to the legislation on foreigners to allow
EU citizens to stay and work freely in Poland, and to participate in the European
elections of June 2004. The ongoing measures to ensure adequate administrative capacity
in these areas should continue.
The
mutual recognition of professional qualifications
remains an area of serious
concern. The application of the general system of recognition remains to be completed.
Substantial shortcomings remain on the co-ordination of training and the recognition of
qualifications for doctors, general care nurses, dentists, midwives and pharmacists, and
for architects. Poland must significantly and urgently enhance its efforts to adopt
outstanding legislation in these areas, and needs to reinforce further its administrative
capacity to implement this
acquis.
Unless immediate action is taken to implement the
obligations of EU law, Poland will not meet the requirements for membership in this
area.
Chapter 3: Freedom to provide services
Under this chapter, Member States must ensure that the right of establishment and the
freedom to provide services anywhere in the EU is not hampered by national legislation.
In some sectors, the
acquis
prescribes harmonised rules which must be respected if the
internal market is to function; this concerns mainly the financial sector (banking,
insurance, investment services and securities markets) but also some specific professions
(craftsmen, traders, farmers, commercial agents). Harmonised rules concerning personal
data protection and certain information society services must also be respected.
In the field of the
right of establishment and the freedom to provide non-financial
services,
Poland has partially adjusted its legislation to the
acquis.
Restrictive provisions
in the law on unfair competition concerning the right of establishment need to be lifted.
Restrictions on investment by foreign companies still exist in the broadcasting sector. In
the gambling sector, an amendment to the law adopted in April 2003 removes the
elements of discrimination against foreign investors, but introduces a discriminatory
language requirement for members of the management boards of companies carrying out
activities in this area. The Polish authorities should urgently address this issue, while at
the same time ensuring that amendments to the horizontal Polish Language Law comply
with the acquis. Furthermore, discriminatory provisions in the law on alcohol advertising
still need to be eliminated. Other potential legal and administrative restrictions remain to
be identified by Poland in the light of the relevant case law of the European Court of
Justice. This screening must now be completed. In this context, a clear distinction should
be made in the Polish legislation between economic operators carrying out activity in
Poland on a temporary basis and those establishing themselves permanently, in order to
ensure free provision of cross-border services.
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In the field of financial services, Poland has partially aligned its legislation with the
acquis
in the
banking sector.
Outstanding issues include liquidation procedures, capital
adequacy, winding up and strengthening the legal protection of supervisors. The directive
on publication of annual accounts by branches of financial institutions located in other
Member States still needs to be enacted. As for deposit guarantee systems, transposition
is not fully in line with the acquis, while the e-money Directive has only been partially
implemented. Efforts to address the problem of a language requirement for members of a
bank’s management board, as well as the lack of cross-border co-operation between
supervisory authorities need to be continued. Poland has committed itself to ensuring the
full application of the
acquis
in respect of co-operative credit institutions by the end of
2007, in accordance with the transitional arrangements it has been granted.
The Commission for Banking Supervision has the required infrastructure and human
resources to deal with the
acquis-related
tasks in this area. The political and operational
independence of the banking supervisory authority must be reinforced. Important steps
have been made towards effective, consolidated supervision in the whole financial
services area.
As regards the
insurance sector,
Poland is in the process of completing legislative
alignment. Clarification is needed on the issue of qualified participation in the insurance
legislation. The problem of the language requirement also concerns the insurance sector
(see
above).
The procedure for Poland becoming a signatory of the ‘green card’
Multilateral Guarantee Agreement, as foreseen in the 1
st
motor vehicle directive, still
needs to be finalised and efforts should be made to cope with the responsibilities linked
to this status. The Commission for Supervision of Insurance and Pension Funds is staffed
with competent personnel, but continued training and modernisation of the information-
technology system are needed. The insurance supervisory authority must be given more
functional and operational independence.
In the field of
investment services and securities markets,
the legislation is still not
sufficiently aligned, in particular as far as transposition of the investment service and
insider dealing directives is concerned. Recent legislative efforts made with the adoption
by the Council of Ministers of draft amendments to the Securities Law need to be
continued as a matter of high priority. The draft text on securities constitutes progress but
further and substantial improvements are still necessary in order to fully transpose the
acquis in this area on time. Furthermore, the new directives on undertakings for
collective investment in transferable securities are yet to be transposed. This will have to
be a priority, bearing in mind the well-developed market for investment funds. The
directive on financial collateral still needs to be transposed. Poland was granted a
transitional period regarding the level of investor compensation until the end of 2007.
Administrative capacity has reached an adequate level. The independence of the Polish
Securities and Exchange Commission (PESC) remains to be ensured, while mutual co-
operation with the supervisory authorities in the field of banking and insurance needs to
be strengthened.
Concerning the
protection of personal data and the free movement of such data,
Poland is essentially meeting the various commitments and requirements arising from the
accession negotiations, and should be in a position to implement the relevant
acquis
from
the date of accession. Nevertheless, outstanding issues in this area, such as the lack of a
system of prior checking, persist and the legislation must still be fine-tuned. The draft
legislation adopted by the Government in this regard does not tackle all present
shortcomings and if enacted as such, would still not fully align the
acquis
in this field.
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The supervisory authority for the protection of personal data, which is fully independent
and very efficient in the performance of its tasks, would benefit from further
strengthening.
As regards
information-society services,
the legislation is to a great extent aligned with
the
acquis.
Some elements of the directive on electronic commerce still need to be
implemented. The building-up of the necessary administrative capacity for the
implementation of this directive and the implementation of information technology in
public administration will follow the strategy for developing the information society
ePoland,
a response to the
eEurope
initiative.
Conclusion
Poland is essentially meeting the requirements for membership in terms of transposition
of the
acquis
in the fields of
personal data protection
and
information-society
services.
Some important specific issues still need to be addressed if Poland is to be in a
position to implement this
acquis
fully by the time of accession.
Poland is partially meeting the commitments and requirements for accession in the areas
of the
right of establishment and the freedom to provide non-financial services,
banking, insurance
services, and
investment services and securities markets.
In order
to complete preparations for membership, enhanced efforts are required to complete the
alignment in those areas, as well as to eliminate restrictions to the establishment and free
provision of services. Poland needs to lift disproportionate language requirements for
board members of service providers, particularly in the financial sector, and to clarify
legislation with respect to the procedure for the cross-border exchange of information
between banking supervisors. The operational independence of the supervisory
authorities must be sufficiently safeguarded. Close attention must be paid to full
alignment with the acquis in the field of investment services and securities markets.
Unless Poland intensifies its efforts to arrive at full alignment with the acquis in the area
of investment services and securities markets upon accession there is a risk that it would
not meet the requirements for membership in this area.
Chapter 4: Free movement of capital
Under this chapter, Member States must remove all restrictions in national law on the
movement of capital between themselves, but also with third countries (with some
exceptions) and adopt EU rules to guarantee the proper functioning of cross-border
payments and transfers of all forms of capital. The acquis under this chapter also includes
harmonised rules on payments systems and the fight against money laundering, requiring
adequate enforcement capacity.
In the area of
capital movements and payments,
Poland is to a large extent in line with
the acquis. Further adjustment is still needed with regard to sectoral legislation restricting
foreign direct investment. This is in particular the case in the broadcasting sector and in
privatised companies covered by golden shares incompatible with the acquis. With
regard to investment rules of Polish open pension funds, existing quantitative
restrictions on the acquisition of foreign assets have not yet been removed. Furthermore,
Poland must still eliminate certain restrictive elements in its foreign exchange legislation
that do not comply with the acquis, notably restrictions on granting foreign exchange
permits and the introduction of a maximum limit on the purchase or sale of foreign
means of payment.
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In accordance with the transitional arrangement it has been granted, Poland will remove
restrictions on the acquisition of secondary residences by EU nationals not resident in
Poland by May 2009 at the latest. Similarly, in accordance with another transitional
arrangement, Poland will remove restrictions on the acquisition of agricultural land and
forests by EU nationals by May 2016 at the latest. Poland needs also to ensure that
restrictions regarding the acquisition of real estate that are not covered by the transitional
arrangements, are effectively removed by the date of accession. In addition, Poland
should demonstrate that the recently adopted authorisation procedure for acquiring land
respects the terms of the Accession Treaty.
In the field of
payment systems,
Poland is completing its legislative alignment, while
the implementing structures are in place and function adequately. The outstanding issues
include legislation on cross-border credit transfers (the current legislation covers only
banks). In the area of settlement finality minor adjustments remain necessary.
In the area of
money laundering,
Poland still has to amend its anti-money-laundering
legislation to be fully in line with the most recent acquis by extending the range of
subjects obliged to report suspicious transactions to cover lawyers, accountants, tax
advisors and auditors. Poland has extended reporting obligations to cases where funds are
intended for the financing of terrorism. While Poland ensures full compliance with the
recommendations of the Financial Action Task Force, its implementing structures,
notably the Financial Intelligence Unit, could be improved by introducing more efficient
operating procedures (see
also chapter 24 – Justice and home affairs).
Conclusion
Poland is essentially meeting the requirements for membership and should be in a
position to implement the acquis in the area of
capital movements and payments
and
payment systems
from accession. A limited number of specific issues will still need to
be addressed in these areas before accession, notably the removal of restrictions on
foreign investment in the broadcasting sector and in companies subject to golden shares
held by the authorities, as well as on investment of Polish open pension funds in foreign
assets. In addition, the rules on the acquisition of agricultural land need to be respected.
The commitments and requirements in the fight against
money laundering
are partially
met. In order to complete preparations for membership, Poland must transpose the recent
acquis and further reinforce its administrative capacity to effectively implement the
acquis on money laundering.
Chapter 5: Company law
Under this chapter, Member States must adopt and apply harmonised rules required for
the proper operation of companies in the internal market. They concern five legislative
fields: company law in the strict sense, accounting law, intellectual property rights,
industrial property rights, and the recognition and enforcement of judgements in civil and
commercial matters as well as of contractual obligations.
In the field of
company law
as such, the Polish legislation is to a large extent aligned
with the acquis. The Commercial Companies Code and the Law on the National Court
Register, along with their respective implementing regulations, are in force. They will
require certain amendments to rectify some inconsistencies and omissions. As regards
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administrative capacity, some strengthening remains necessary; in particular, training for
judges and administrative staff should be intensified.
With regard to
accounting,
legislative alignment has been almost completed; only the
Law on Statutory Auditors still contains some elements which are not fully compatible
with the acquis (the Eighth Directive) and needs to be adjusted. The administrative
structures are adequate.
In the field of
protection of intellectual and industrial property rights (IPR),
the
October 2002 amendments to the Polish Copyright Act largely align the Polish
legislation with the acquis on copyright and related rights but this act will still need to be
amended further to fully transpose the 2001 acquis on copyright and related rights in the
information society. The Industrial Property Law should also be modified in order to
achieve full alignment in this area, notably as regards Community designs and
trademarks and geographical indications. Poland needs to address the problem of local
manufacturing requirements violating the Community principle of non-discrimination.
Accession to the European Patent Convention is pending.
Specific transitional rules will apply in relation to pharmaceutical product patents,
involving the non-application of Community exhaustion to certain exports from Poland,
as regards the granting of supplementary protection certificates for medicinal and plant
protection products, as well as in relation to the extension of registered or pending
Community trademarks to the territory of Poland. As regards enforcement of IPR,
administrative structures are largely in place. Staffing has increased and training has
been carried out in a number of these administrative and judicial bodies, but a system for
the collective management of copyright and related rights still needs to be set up. There
remains a need to increase overall enforcement capacity, in particular in the Ministry of
Culture and in the Patent Office. Training, in particular of judges and prosecutors, needs
to be intensified. Further efforts are needed especially to cope with the high level of
piracy in software and music and video products. Better co-ordination among
enforcement bodies (in particular customs, police and judiciary) needs to be pursued.
Poland should carefully implement its new strategy on intellectual property protection,
adopted in August 2003 and meant to step up the fight against piracy and counterfeiting.
The
Regulation replacing the Brussels Convention
on mutual recognition and
enforcement of foreign judgements in civil and commercial matters will be directly
applicable upon accession and accession to the
Rome Convention
will only be possible
upon accession. Poland has designated the relevant courts which will deal with
applications and appeals.
Conclusion
Poland is essentially meeting the requirements for membership, and is expected to be in a
position to implement by accession the acquis, in the areas of
company law
and
accounting,
and the
Regulation replacing the Brussels Convention
and the
Rome
Convention.
Some adjustments still need to be made to the company law acquis and full
alignment in the field of accounting will require some amendments to the Law on
Statutory Auditors.
The majority of commitments and requirements arising from the accession negotiations
in the field of the
protection of intellectual and industrial property rights
have been
met. Further legislative adjustments are required in respect of copyright and related
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rights, in particular to fully transpose the information society rules in this area, and in
respect of industrial property rights, notably on Community trademarks and designs, as
well as geographical indications. Enhanced efforts are in particular needed to strengthen
the enforcement of intellectual and industrial property rights. Administrative capacity
needs to be improved, better co-ordination among enforcement bodies is required and the
efficient functioning of a well-trained judiciary should be given close attention.
Chapter 6: Competition Policy
The competition
acquis
covers both anti-trust and state aid control policies. It includes
rules and procedures to fight anti-competitive behaviour by companies (restrictive
agreements between undertakings and abuse of dominant position), and to prevent
governments from granting state aid which distorts competition in the Internal Market.
Generally, the competition rules are directly applicable in the whole Union, and Member
States must fully co-operate with the Commission on the enforcement of these rules.
In the
anti-trust
sector, Poland has adopted legislation containing the main principles of
the Community anti-trust rules as regards restrictive agreements, abuse of dominant
position and merger control. However, preparations should continue for the application
of the EU's new procedural regulation.
Poland has the necessary implementing structure in place, and the Office for Competition
and Consumer Protection (OCCP) is functioning satisfactorily. In view of the
decentralised application of the antitrust rules under the EU's new procedural regulation,
further strengthening of the administrative capacity would still be opportune. Further
efforts are still needed to raise awareness of the anti-trust rules of all market participants
and to build up a credible and transparent competition culture. Special training for judges
should be further developed.
The enforcement record is overall satisfactory. In order to ensure further strengthening, it
would be particularly opportune to focus on serious distortions of competition, such as
cartels, as well as to focus investigations on practices that are important for the market
structure. Furthermore, the policy on sanctions (fines on competition infringements)
should be further reinforced.
In the field of
state aid
control, Poland has adopted state aid rules covering the main
principles of the
acquis.
With respect to the transposition of the substantive rules, Poland
satisfies the basic requirement for the establishment of the necessary legislative
framework. In particular, the recent amendments to the state aid legislation have brought
the rules into closer conformity with the EU
acquis.
The necessary implementing structures are in place, and the Office for Competition and
Consumer Protection (OCCP) is functioning satisfactorily. Further efforts are still needed
to raise awareness of the state aid rules among all market participants and aid grantors.
Poland must also pay particular attention to training of the judiciary.
The enforcement record is not wholly satisfactory. In particular, shortcomings have been
identified in the handling of rescue and restructuring aid as well as of research and
development aid. In these areas, the assessment of the aid measures has not always been
carried out in line with the
acquis
and has diverged from the Commission’s practice. It is
important for the OCCP to be particularly vigilant on all measures proposed by the
Government in these areas and on measures destined for sensitive industries.
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Furthermore, recent measures aimed at bailing out several troubled shipyards give rise to
concern. Moreover, measures destined for companies in restructuring (the so-called
"anti-crisis" package) must be compatible with the EU rules on rescue and restructuring
aid. In general, reinforced efforts are required to ensure fully satisfactory enforcement.
Poland benefits from a transitional arrangement in relation to certain fiscal aid benefits.
This necessitates modifications of individual fiscal benefits (including the conversion of
those benefits to large companies) granted under the Act on Special Economic Zones of
1994. Poland has introduced draft amendments with a view to introducing the agreed
modifications of the fiscal benefits by accession. These amendments aim to bring the
national legislation into conformity with the provisions of the Accession Treaty.
Poland also has a transitional arrangement (Protocol on steel) under the Accession Treaty
for the restructuring of its steel industry by the end of 2006. In this context, Poland is
allowed to grant restructuring aid until 2003 to a pre-defined group of steel companies
for which the restructuring process must be completed by 2006. Poland is also obliged to
report on the implementation of the restructuring programme on a half-yearly basis.
Furthermore, it is important to observe that no restructuring aid may be granted
exceeding the specified amounts or to companies outside the group of steel mills
specified in the special Protocol of the Accession Treaty.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the
anti-trust
area and is expected to be in a position to
implement the acquis in this area as of accession. In completing preparations for
membership, Poland must continue to develop a track record of enforcement of the anti-
trust legislation.
Poland is partially meeting the commitments and requirements arising from the accession
negotiations in the
state aid
area. In order to complete preparations for membership,
Poland must urgently ensure proper enforcement of all State aid measures, particularly of
aid destined for rescue and restructuring as well as research and development purposes.
Furthermore, Poland must urgently ensure that all aid measures for companies active in
the sensitive sectors (particularly shipbuilding and ship repair) are in full compliance
with the special rules applicable in these industries. Moreover, attention should be given
to finalising adoption and ensuring implementation of the amendments to the Act on
Special Economic Zones in order to introduce the agreed modifications of the fiscal
benefits by accession. Finally, Poland must ensure full implementation of the agreed
framework for the restructuring of the steel industry, and in particular, guarantee that no
restructuring or any other incompatible aid is granted to steel companies that are not
covered by the Protocol on steel.
Chapter 7: Agriculture
The agriculture chapter covers a large number of binding rules, many of which are
directly applicable. The proper application of these rules and their effective enforcement
by an efficient public administration are essential for the functioning of the common
agricultural policy. This includes the setting up of management systems such as a Paying
Agency and the Integrated Administration and Control System, which are covered under
”horizontal issues” below, and also the capacity to implement rural development actions.
The acceding countries must be ready to be integrated into the common market
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organisations for a range of agricultural products, including arable crops, fruits and
vegetables, and meat. Finally, this chapter covers detailed rules in the veterinary field,
which are essential for safeguarding animal health and food safety in the internal market,
as well as in the phytosanitary field, including issues such as seed quality, harmful
organisms and plant protection products.
Horizontal issues
In the area of
Paying Agencies,
the Agency for Restructuring and Modernisation of
Agriculture (ARMA) will be in charge of rural development measures and direct
payments, including IACS, and the Agricultural Market Agency (AMA) will be
responsible for market mechanisms. These two bodies remain to be accredited by the
Ministry of Finance. Preparations will need to be accelerated in particular as regards the
setting up of the financial management and accounting computer applications as well as
the recruitment and training of new staff.
There is a serious risk that a functional
Integrated Administration and Control System
(IACS)
will not be in place. This is particularly due to the difficulties associated with
recruiting and training the huge number of staff required for different functions
implementing a proper IT system, as well as because the basic land use information of
the cadaster contains errors and is out of date for a range of parcels.
The Agency for the Agricultural Markets (AMA) will be responsible for the
administration of
trade mechanisms.
The relevant control tasks will be under the
responsibility of the customs services and the Agriculture and Food Commercial Quality
Inspectorate will supervise the quality parameters. Legislative measures for the period
after accession remain to be adopted. The preparation of administrative structures and
procedures must be accelerated, with particular attention to the export refunds
monitoring system and to good communication between the three institutions (see
also
Chapter 25 – Customs union).
As regards
quality policy,
Poland has not yet adopted Community definitions and rules
for products of protected origin and geographical indication. The Polish fine food
programme is due to be brought in line with EU requirements upon accession.
The Polish Act on
organic farming
is not fully in line with the acquis. The control
structures need to be reinforced and certifying bodies accredited.
The
Farm Accountancy Data Network
(FADN) liaison agency will be the Institute of
Agricultural and Food Economics. The regions have been defined. The network to
collect data from farms is gradually being expanded. The national committee remains to
be set up.
State aid
measures in the field of agriculture remain to be brought in line with the acquis
at the time of accession.
As concerns direct payments to farmers, Poland has decided to apply the single area
payment scheme (SAPS) in the first years after accession.
Common market organisations
The AMA will be responsible for the implementation of the
arable crops
common
market organisation (CMO). The ARMA will be responsible for payments related to
dried fodder. The adaptation of the actual structures needs to be accelerated. The list of
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intervention centres for all major cereals has been adopted. For tobacco and hops, subject
to continued good progress Poland should have implemented the acquis satisfactorily by
accession.
The legal basis for the sugar sector is well established, though some further rules still
need to be adopted for full alignment. AMA is the responsible body for the
sugar
common market organisation (CMO) while the control tasks are delegated to the
Agriculture and Quality Inspectorate. Procedures for the different trade mechanisms of
the CMO have been elaborated. A quota system is in place, including inter-professional
agreements, but needs to be fully harmonised with the acquis.
Implementing legislation as regards marketing standards for
fruit and vegetables
as well
as the establishment of producers' organisations has been adopted. Administrative
structures to control quality requirements are in place. However, attention must be given
to the application of marketing standards on the national market and controls at the
export stage still have to be implemented. The setting up of producers' organisations
remains to be encouraged and approval of programmes needs to be separated from
payments. Mechanisms for reporting entry prices remain to be set up.
In the area of
wine and alcohol,
the CMO for wine remains to be fully set up. Quality
standards on spirit drinks are partially in line with the
acquis.
Assessment of the
necessity to implement parts of the wine CMO (wine zones) based on a 2002 census
needs to be made. Poland needs to complete further its preparations to implement the
CMO for wine and all the spirit drinks acquis, in particular the ex officio protection of
geographical wine and spirit drinks names.
AMA is responsible for the implementation of the milk quota system as well as for
intervention, disposal measures, and import and export tasks in the milk sector. The
administrative structures of the AMA have been substantially strengthened in order to
ensure the
milk
quota management. In general, there has been good progress for the
preparation of the application of the milk quota system. However, some major challenges
are still ahead, such as the identification and control of all direct sellers and appropriate
staffing in regional offices. As for the other mechanisms of the CMO of milk and milk
products, Poland intends to apply the procedures that have already been established.
Implementing legislation remains to be adopted regarding carcass classification and price
reporting for
beefmeat, sheepmeat and pigmeat
as well as for beefmeat labelling. For
beef carcass classification the exact method of organising, introducing and controlling
classification has yet to be finalised and the Polish Authorities are therefore behind
schedule in implementing the EU Beef Carcass Classification Scheme.
For
eggs and poultry,
legislative measures remain to be adopted. As regards
administrative structures for marketing standards, price reporting and the reporting of
production statistics, enhanced efforts are required if Poland is to have a functioning
system by accession.
Rural development
The implementation law for the Rural Development Plan (RDP) remains to be adopted.
The Ministry of Agriculture and Rural Development has been appointed as the managing
institution and ARMA as the implementing body and Paying Agency for the RDP. The
Agency already has experience with the implementation of SAPARD, which has been
accelerated recently following delays earlier on in committing funds to beneficiaries.
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Poland has informally transmitted its draft RDP to the Commission. Enhanced efforts are
required if Poland is to benefit from EAGGF Guarantee funded rural development
measures from 1 January 2004. In particular, the management and implementation of
rural development measures needs to be clarified and administrative capacity has to be
strengthened. With regards to forestry the Act on Appropriation of Agricultural Land for
Afforestation is not totally in line with the acquis, and should be amended.
Veterinary and phytosanitary issues
As regards veterinary issues, serious concerns remain about the adoption of four basic
veterinary acts. Poland will only be meeting the majority of the requirements for
membership once these basic veterinary acts have been adopted and implemented.
Transposition of legislation on transmissible spongiform encephalopathies (TSEs) and
animal by-products
has been partly achieved. TSE surveillance needs to be upgraded, in
particular as regards testing of risk animals. A collection system for cadavers is not yet in
place and animal waste treatment plants remain to be upgraded. A total feed ban has not
yet been implemented.
As regards the establishment of the
veterinary control system in the internal market,
particular efforts are needed to accelerate legislative work and to strengthen the
administrative structures for controls at the site of origin and non-discriminatory spot
checks during transport and at destination. Poland has not yet joined the ANIMO system.
Poland has transposed the main parts of the acquis for identification and registration of
animals. Registration of bovines is close to completion. However, enhanced efforts are
still needed to upgrade the bovine database. The law on financing veterinary inspections
and controls has not yet been adopted. Legislation as regards veterinary checks of
imports from third countries has recently been adopted. Transposition regarding rules for
import remains to be completed. Additional efforts have to be made if all seven proposed
border inspection posts are to be ready in order to meet EU requirements at accession:
Świnoujście,
Gdynia, Warsaw-Okęcie, Bezledy, Kukuryki, Korczowa and Szczecin.
Regarding
animal disease control
measures, national contingency plans on foot and
mouth disease, classical swine fever, Newcastle disease and avian influenza have been
provided. Poland has joined the Animal Disease Notification System (ADNS) on a
voluntary basis.
Most of the legislation on
trade in live animals and animal products
still needs to be
approved and implemented.
Legislation on
public health
protection has been partially adopted but needs
adjustments. Urgent attention must be given to the new framework act in this sector.
Transitional arrangements have been granted for certain meat establishments until the
end of 2007 and for certain milk establishments and for raw milk quality until the end of
2006. Products from these establishments will be restricted to the national market.
However, milk-processing establishments and competent authorities are not yet prepared
for the channelling of raw milk on quality grounds. Poland has given a commitment that
all establishments continuing to be in operation after accession will be in compliance
with the acquis. There is a high probability that a significant number of agri-food
establishments will not be in compliance with the relevant EU requirements at the date of
accession.
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The acquis on
common measures
(including zoonoses) has partly been transposed. The
residue-monitoring programme does not meet EU requirements.
The acquis in the field of
animal welfare
remains to be transposed. Efforts need to be
accelerated to transpose legislation and to fully implement the acquis. Poland has been
granted a transitional arrangement until the end of 2009 as regards the conditions for
laying hens in certain farms.
In the field of
zootechnics,
steps have been taken to align Polish legislation with the
acquis.
Full harmonisation of the Act adopted in 2001 and implementing regulations adopted in
2002 for
animal nutrition
remains to be achieved and implemented.
In the field of
phytosanitary
legislation, a new draft Act on the Plant Protection is still
under examination. Consequently, the acquis on harmful organisms is not yet transposed.
An issue of concern is that Poland would not be able to provide at the date of accession
the same level of phytosanitary guarantees for potato production as achieved in the
current Member States. Commitments have been made to address this issue. The acquis
for plant protection products remains to be transposed. A transitional period for
marketing certain plant protection products until the end of December 2006 has been
provided to Poland. As regards quality of seeds and propagating material, the new seed
act has been adopted but implementing legislation is still pending.
Poland has to ensure that international veterinary and phytosanitary agreements are
brought into compliance with the EU
acquis
by accession.
As regards food safety
(see also Chapter 1 – Free movement of goods)
the administrative
structures are in place under the overall co-ordination of the Ministry of Health,
supported by the Chief Sanitary Inspectorate. In addition, the Ministry of Agriculture is
supervising three inspectorates: the Chief Veterinary Inspectorate, the Plant Protection
and Seed Service and the Agriculture and Food Commercial Quality Inspectorate.
Moreover the Office for Competition and Consumer Protection, with the Trade
Inspectorate is carrying out control activities at different levels in the area of food safety.
The large number of inspectorates remains an issue of concern, as it leads to co-
ordination problems.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations, among the horizontal issues as regards
quality policy, organic
farming,
the
Farm Accountancy Data Network
(FADN) and
state aid;
among the
common market organisations (CMOs) as regards
arable crops, sugar, fruit and
vegetables, wine, sheep and pigmeat;
and in the veterinary field as regards
animal
disease control measures
and
zootechnics.
Subject to good progress being maintained
is these areas, Poland is expected to be in a position to implement this acquis from
accession.
Poland is partially meeting the commitments and requirements for membership in the
areas of
trade mechanisms;
the CMOs for
milk, beefmeat
and
eggs and poultry; rural
development;
in the veterinary field as regards
veterinary control system in the
internal market
(with the exception of movement control of animals),
trade in live
animals and animal products, common measures, animal welfare, animal nutrition;
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and
phytosanitary issues
(with the exception of potato ring rot and wart disease). Unless
efforts are accelerated in these areas, there is a risk that functioning systems will not be
in place at accession.
There are serious concerns about Poland’s preparations to set up its
Paying Agencies
and
to implement the
Integrated Administration and Control System
(IACS). For
veterinary issues, urgent attention must be paid to the adoption and implementation of
four basic veterinary acts. Serious concerns remain regarding
TSE and animal by-
products
(concerning the collection system of cadavers and the rendering plants), and
movement control of animals
and with regards to
plant harmful organisms
(control of
potato ring rot and wart disease). Urgent progress is needed in
public health
(in the
upgrading of agri-food establishments). Unless immediate remedial action is taken,
Poland will not be in the position to implement the acquis in these areas by the date of
accession.
Chapter 8: Fisheries
The
acquis
on fisheries consists of regulations, which do not require transposition into
national legislation. However, it requires the introduction of measures to prepare the
administration and the operators for participation into the Common Fisheries Policy (in
the areas of market policy, resource and fleet management, inspection and control,
structural actions and state aid). In some cases, existing fisheries agreements or
conventions with third countries or international organisations need to be adapted.
In the field of
resource and fleet management and inspection and control,
the Act on
Maritime Fisheries, as well as all implementing regulations, have been adopted. Through
this legislation, Poland has introduced the basis for fishing licences, fishing logs,
unloading declarations, the register of fishing vessels and the satellite system of the
fishing vessel monitoring system (VMS). The Act on Maritime Fisheries is currently
undergoing revision. Regarding implementation, the hardware and software systems have
been installed for VMS as well as for the Fishing Vessel Register, but the systems cannot
be used because of a lack of specialised personnel. The rate of re-measurement of fishing
vessels is too low. Poland should complete re-measurement upon accession. Training of
staff at the Fisheries Department of the Ministry of Agriculture and Rural Development
(MARD) and at the three Regional Fisheries Inspectorates, as well as the setting up of
the system for catch registration, including the Sea Fisheries Information System, is
ongoing. However, the capacity of the fisheries administration, notably with respect to
control functions, needs to be strengthened significantly at central and in particular at
local level by employing additional staff, by additional training and by providing the
institutions with equipment to control fishing activities. Information from central level
and co-ordination between all levels of administration must be improved.
In the area of
structural actions,
Poland has submitted the Sectoral Operational
Programme to the Commission. Structural policy will be co-ordinated by the newly
created unit for Fisheries and Fish Processing which has been set up in the Fisheries
Department of MARD and implemented by the Agency for Restructuring and
Modernisation of Agriculture and the three Regional Inspectorates for Fisheries.
Effective co-operation of these institutions needs to be strengthened. Their capacities
must be reinforced. The fishing fleet register has been set up, but is not yet functional.
The measurement of fishing vessels is ongoing. To reach the goal in time, the
administrative capacity for managing the structural policy and in particular the
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administration of the Financial Instrument for Fisheries Guidance (FIFG) needs to be
enhanced significantly.
Regarding
market policy,
the legal framework establishing the organisation of the
market in fisheries has been adopted. The market policy and coverage of market
regulation such as setting up producers’ organisations, has not been fully implemented.
The implementation of marketing standards, control and organisation of first sales
through the creation of local first sales centres is slowly progressing. However, control
measures have not yet been provided for, and the level of staffing must be drastically
increased in order to taken on the additional control burden resulting from the market
organisation.
As regards
state aid,
Poland must bring its national aid schemes into conformity with the
acquis by accession.
Concerning
international fisheries agreements,
Poland has not yet withdrawn from the
International Baltic Sea Fisheries Commission (IBSFC), the Northwest Atlantic Fisheries
Organisation (NAFO), or the North-East Atlantic Fisheries Commission (NEAFC). As
regards the bilateral Polish-Norwegian agreement, the situation of Polish vessels needs to
be clarified.
Conclusion
Poland is partially meeting the commitments arising from the accession negotiations in
the areas of
structural actions, state aid
and
international fisheries agreements.
Poland will only be in a position to implement the
acquis
in this area as from accession if
the necessary adjustments are prioritised to strengthen the administrative capacity needed
to manage structural policy. As regards international fisheries agreements, Poland's
progress in withdrawing from them must be accelerated.
Urgent attention must be paid to the areas of
resource and fleet management and
inspection and control
and
market policy,
which give rise to serious concerns as
regards compatibility with the
acquis
of the draft legislation in these two areas. There has
been persistent delay in the adoption and full implementation of legislation in the area of
control systems, in particular on the use of the Vessel Monitoring System and of the
operation of the Fishing Vessel Register. Progress as regards the statistical database for
the fisheries sector must be followed up. As regards administrative capacity, remedial
action is required in order to strengthen the control functions at both central and regional
levels but with particular attention to the regional level. As for market policy, there are
serious concerns about Poland’s wish to put in place producers’ organisations, as it needs
to have the necessary control measures available and the administrative capacity in place.
Unless immediate action is taken, Poland will not meet the requirements for membership
in these areas.
Chapter 9: Transport policy
EC transport legislation aims at improving the functioning of the Internal Market by
promoting efficient and environment- and user-friendly transport services. The transport
acquis
covers the sectors of road transport, railways, aviation, maritime transport and
inland waterways. Member States are required to adopt and implement legislation
concerning technical and safety standards as well as social standards. In order to further
develop the European Single Transport Market, EC legislation also includes rules on
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market liberalisation. An important aspect of EC maritime policy is the establishment of
Union-wide maritime safety standards.
The extension of the
trans-European transport networks
has been defined. While the
necessary implementing structures in this area are in place, the capacity of the Ministry
of Infrastructure to prepare, manage and monitor transport projects requires further
strengthening, in both qualitative and quantitative terms. This management capacity is
particularly needed with respect to the commitments made on the upgrading of road
infrastructure. Key decisions are also required as regards the allocation of resources for
co-financing the works.
In the land transport sector, Poland is completing the implementation of its commitments
with regard to legislative alignment with the
road transport
acquis.
Framework
legislation is in place and in line with the
acquis.
Alignment with the social
acquis
has
been completed, whereas in the technical field some further work is needed, in particular
regarding technical inspections at roadsides. Introduction of a uniform charging system
for the use of road infrastructure is still pending. Implementing measures in the road
transport area are proceeding as foreseen. The necessary administrative structures in this
area are in place and are functioning well, with the Road Transport Inspection
performing key supervisory and control functions. Poland has been granted a transitional
arrangement until December 2010 in order to maintain maximum weight values for road
vehicles lower than those laid down in the
acquis.
Poland has agreed to a transitional
arrangement put forward by the EU concerning gradual reciprocal access to the cabotage
market in the road haulage sector (for a maximum duration of five years).
Transposition of the
rail transport
acquis
is taking place. The framework legislation
has been adopted, but the legal process remains to be completed with regard to secondary
legislation. Particular attention should be drawn to the implementation of the
interoperability directives, including the appointment of notified bodies for assessing the
conformity of interoperability constituents. The major institutional changes required by
the
acquis
are completed. In the framework of the ongoing reorganisation process, the
newly created Railway Transport Office within the Ministry of Transport needs to be
strengthened. The system of safety advisors for dangerous goods transport should be
strengthened in the rail sector. Poland has been granted a transitional arrangement on full
access to the Trans-European Rail Freight Network until the end of December 2006.
The financial situation of Polish railways remains difficult. The present spiral of
worsening infrastructure condition, ageing rolling stock and insufficient revenues and
funding is further decreasing the competitiveness of the railway sector in Poland. It is
vital that Poland adopts a robust mid- and long-term business plan with an emphasis on
infrastructure development, for restoring financial equilibrium in the sector.
On
inland waterways
transport, legislative alignment has been completed except for
rules on safety advisors for the transport of dangerous goods. Administrative structures in
this area are in place and satisfactory.
In the area of
air transport,
the framework legislation has been adopted but needs to be
further aligned with the
acquis,
in particular with regard to licensing, ground handling
and slot allocation. Adoption of the secondary legislation has to be ensured. The
necessary administrative structures in this area are in place.
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In the field of
maritime transport,
framework legislation is in place and in line with the
acquis.
However, the adoption of implementing legislation remains to be completed, in
particular in relation to the
acquis
adopted under the “Erika” packages, and with regard
to the latest amendments to the
acquis
on passenger ships, fishing vessels and marine
equipment. The relevant administrative structures in this area are in place, but need
further strengthening. The strengthening of Flag State implementation policy and
resources remains an area for concern. According to statistics for 2002 under the Paris
Memorandum of Understanding, the percentage of Polish flag vessels detained following
Port State control was 6.82 %, representing an increase compared with 2001 (1.59%) and
2000 (4.81%). This compares with an average for EU-flagged vessels of 3.5% in 2002.
There are strong indications that the situation is deteriorating, in that the number of
Polish flag vessels being detained is rising sharply. Poland needs to urgently address this
issue with a view to reversing this trend of deteriorating detention rates. Persisting delays
have occurred in the recognition of the Polish Register of Ships as an EU-approved
classification society. There is a risk that the Polish Register of Ships will not be able to
offer its services as a recognised organisation to any EU-flagged vessel after accession.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the areas of
trans-European transport networks, road
transport, inland waterway, rail transport and air transport,
and is expected to be in
a position to implement the relevant
acquis
from the time of accession, provided that the
current pace of progress is maintained. In completing preparations for membership,
Poland needs to reinforce administrative capacities for project management regarding
trans-European transport networks. In the areas of road transport and inland waterway,
only a limited amount of implementing legislation remains to be adopted. In the area of
rail transport, Poland still needs to complete legislative alignment, in particular as
regards the interoperability directives and the adoption of implementing legislation.
Poland must further reinforce its administrative capacity to implement the
acquis
in the
area of rail transport. Poland must also implement a sustainable restructuring plan for the
Polish rail sector. In the area of air transport legislative alignment needs to be completed.
Poland is partially meeting the commitments and requirements in the area of
maritime
transport,
where legislative alignment remains to be completed. Attention must be given
to Flag State implementation policy, and remedial action is required without delay to
reverse the trend of worsening detention rates of Polish flag vessels.
Chapter 10: Taxation
The acquis on taxation largely covers indirect taxation, as concerns VAT (value-added
tax) and excise duties. It lays down definitions and principles of VAT. Excise duties on
mineral oils, tobacco products and alcoholic beverages are regulated at EU level as
concerns the structure of the duty, the level of minimum rates and the holding and
movement of excisable goods. As concerns direct taxation, the acquis covers some
aspects of corporate taxes and aims mainly at removing obstacles to cross-border
activities between enterprises. Finally, the Community legislation in the area of
administrative co-operation and mutual assistance provides tools to prevent intra-
Community tax evasion and tax avoidance on both direct and indirect taxation.
In the area of indirect taxation, Poland has partially transposed the acquis on
VAT,
although considerable efforts still lie ahead. In order to complete alignment, Poland must
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pay enhanced attention to the scope and definition of VAT rates (including the
considerable use of zero-rating), and to exempt transactions (except for where
transitional measures have been granted - see below), which to a significant extent
continue to differ from the acquis. Poland should also broaden the definition of the
taxable scope, the taxable persons, the taxable amount, the taxable event, the right of
deduction, refund of VAT and the tax liability. Furthermore, Poland needs to eliminate
the noticeable use of national protective measures to ensure equal taxation irrespective of
origin (Poland made a commitment to gradually eliminate such discrimination during the
period 2001–2002). Moreover, Poland should introduce the required special VAT
schemes as concerns travel agents, second-hand goods and investment gold, and align its
current special scheme for farmers to the conditions of the transitional measure granted
in the accession negotiations (see below). Furthermore, Poland needs to introduce the
provisions for intra-Community transactions.
Poland has obtained transitional periods on the continued application of the reduced
VAT rate on the supply of construction work for residential housing, excluding building
materials, and on the supply before first occupation of residential buildings or parts of
residential buildings, and on restaurant services (until 31 December 2007), the
application of the VAT zero rate to certain books and specialist periodicals (until 31
December 2007). Furthermore, Poland was permitted to apply a super reduced VAT rate
to the supply
of
foodstuffs (including beverages but excluding alcoholic beverages) for
human and animal consumption; live animals, seeds, plants and ingredients normally
intended for use in preparation of foodstuffs; products normally intended to be used to
supplement or substitute foodstuffs; and goods and services of a kind normally intended
for use in the agricultural production but excluding capital goods (until 30 April 2008).
Derogations obtained concern a VAT exemption and registration threshold of € 10 000
for small and medium-size enterprises and the VAT exemption on the supply of
international passenger transport.
The necessary administrative structures in this area are in place, although efforts should
be continued to modernise and enhance their efficiency. Priority should be given to
improve the tax collection efficiency and the fiscal control strategy, including adopting
risk analysis and computer auditing. Further action should be taken to improve
information to taxpayers and voluntary compliance.
As concerns
excise duties,
in order to achieve full alignment Poland urgently needs to
adjust certain duty rates and exemptions, align the taxable scope for mineral oils, the tax
structure for smoking tobacco and introduce a duty suspension arrangement, including
for intra-Community movements. Furthermore, Poland should eliminate some remaining
discrepancies and ensure equal taxation, irrespective of origin, for “non-EU harmonised”
excises and align the tax base for imported smoking tobacco. The gradual increase of
excise duties on cigarettes is proceeding according to schedule, in order to reach the
minimum rate level on 31 December 2008, as agreed in the accession negotiations. In
addition, Poland has obtained a transitional period until one year after accession,
according to which it may continue to apply a reduced rate of excise duty on specific oil
products.
Poland has the required administrative structures to apply and effectively implement the
acquis in the area of excise duties. However, attention should continue to focus on the
transfer of responsibility for excise duties to the customs authorities, including the
requirements of excise control.
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In the area of
direct taxation,
Poland needs to complete transposition of the directive
concerning indirect taxes on the raising of capital and the Parent/Subsidiary Directive, as
well as to transpose the Directives on Interests and Royalties and on Taxation of Savings
Income. In order to comply with the principles of the Code of Conduct for Business
Taxation, Poland should improve transparency of its legislation on special economic
zones. The capacity of the tax administration is sufficient to ensure proper
implementation of the acquis.
On
administrative co-operation and mutual assistance,
Poland is in the process of
taking the necessary steps to transpose the acquis and implement it by accession, both
from the legislative point of view and as concerns organisational structures including
information technology systems. Preparations for the establishment of the Excise Liaison
Office (ELO), the Central Liaison Office (CLO), the VAT Information Exchange System
(VIES) and the System for Exchange of Excise Data (SEED) databases are ongoing and
proceeding according to plan.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the areas of
direct taxation
and
administrative co-operation
and mutual assistance
and by accession is expected to be in a position to implement this
acquis. Poland needs to further strengthen its tax administration, in particular as concerns
VAT collection, and should continue its efforts to set up the information technology
systems allowing for the exchange of computerised data with the other Member States.
In the areas of
VAT
and
excise duties,
Poland is partially meeting its commitments. In
order to complete preparations for membership in these areas, additional urgent efforts
are needed to complete the alignment of the legislation. In particular, enhanced attention
must be paid to the scope and definition of VAT and excise duty rates, including the
considerable use of VAT zero-rating and VAT exemptions. Urgent attention must be
given to the elimination of national protective measures both in the field of VAT and
excises. Unless significant additional efforts are made and the current ongoing legislative
process is speeded up both in the area of VAT and excise duties, there is a real risk that
Poland will not be in a position to complete its legislative alignment with the acquis by
the time of accession.
Chapter 11: Economic and monetary union
EC legislation on Economic and Monetary Union (EMU) contains specific rules ensuring
the independence of central banks in Member States, prohibiting indirect financing of the
state by the central bank, and disallowing privileged access of the public sector to
financial institutions. These rules must be transposed into the national legislation, despite
the fact that Poland will not yet adopt the euro as a currency from accession. EMU policy
also includes the co-ordination of exchange rate and economic policies, adherence to the
stability and growth pact and the statutes of the European System of Central Banks.
In the area of
prohibition of direct financing of the public sector,
Poland has met the
commitments and requirements arising from the accession negotiations and is in a
position to implement the relevant acquis as from the date of accession.
In the area of
prohibition of privileged access of the public sector to financial
institutions,
Poland has met the commitments and requirements arising from the
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accession negotiations and is in a position to implement the relevant acquis as from the
date of accession.
In the area of
independence of the national central bank,
legislation is in place and
largely in line with the acquis. However, the Central Bank Act still contains some
incompatibilities with the acquis, which relate to institutional and financial
independence. Specific amendments to this Act need to be adopted to ensure full
compliance with the acquis, among other things by eliminating the possibility of a
representative of the government to participate in the meetings of the Monetary Policy
Council. The necessary administrative structures are in place and function adequately.
Conclusion
Poland has met the commitments and requirements arising from the accession
negotiations in the areas of
prohibition of direct financing of the public sector
and
prohibition of privileged access of the public sector to financial institutions
and will
be in a position to implement the relevant acquis as of accession.
Poland is partially meeting the requirements for membership in the area of the
independence of the national central bank.
In order to complete preparations for
membership, Poland must adopt the required legal amendments in this area. Poland must
step up its efforts in this regard.
Chapter 12: Statistics
The
acquis
in the field of statistics requires adoption of basic principles such as
impartiality, reliability, transparency, confidentiality of individual data and dissemination
of official statistics. It also covers methodology, classifications and procedures for data
collection in various areas such as statistical infrastructure, macro-economic and price
statistics, business statistics, transport statistics, external trade statistics, demographic
and social statistics, agricultural statistics and regional statistics. The focal point of the
statistical system of a country is the National Statistical Institute, which acts as the
reference point for the methodology, production and dissemination of statistical
information.
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the area of
statistics
and is expected to be in a position to
implement the
acquis
as from accession. Legislative fine-tuning is necessary in areas
such as regional statistics, social statistics, macro-economic statistics and foreign trade
statistics. Poland needs to improve the quality and the timeliness of data in certain
domains such as national accounts, government finance statistics, data on income and
living conditions.
Chapter 13: Social policy and employment
The
acquis
in the social field includes minimum standards in fields such as labour law,
equal treatment of women and men in employment and social security, and health and
safety at work. Specific binding rules have also been developed in public health (on
tobacco control and surveillance and control of communicable diseases) and recently also
with respect to non-discrimination on grounds of racial or ethnic origin, religion or
belief, disability, age or sexual orientation. The European Social Fund (ESF) is the main
financial tool through which the EU supports the implementation of its Employment
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Strategy and contributes to social inclusion efforts (implementation rules are covered
under Chapter 21, which deals with all structural instruments). The acceding countries
are expected to be able to participate in social dialogue at European level, and in the EU
policy processes in the areas of employment, social inclusion and social protection.
Poland’s Labour Code is only partially aligned with the
acquis
on
labour law
and
completion of transposition must be prioritised. Legislative alignment still needs to be
completed in the fields of working time (including sectoral working time), part-time
work, transfer of undertakings and posting of workers. The new
acquis
on workers’
information and consultation, workers’ involvement in the European Company and
employer insolvency remains to be transposed after accession.
In the field of
equal treatment of women and men,
Poland has transposed most of the
legislation. Further legal adjustments are necessary in the area of equal treatment of
women and men in employment and in social security, such as the removal of provisions
aiming at protection of women in employment, yet leading to their discrimination. The
pensionable age for male and female civil servants will have to be equalised upon
accession, when the pension scheme constitutes pay within the meaning of the Treaty
and EC case law. Implementing structures are largely in place, but administrative
capacity needs further strengthening, particularly at regional and local levels. At the
central level, the Office of the Plenipotentiary for Equal Status of Women and Men
which has been established in 2001 needs to be reinforced both in terms of competencies
and capacities.
In the area of
health and safety at work,
legislative shortcomings persist with regard to
the Framework Directive as well as to a number of specific directives: carcinogens,
biological and chemical agents at work, asbestos and noise, medical treatment on board
vessels and fishing vessels, for which transposition is only partial. Poland has obtained a
transitional period relating to the use of work equipment by workers until the end of
2005. The National Labour Inspectorate is in place, but further strengthening, in terms of
both staffing and technical facilities, is needed. There is also a need for enhanced co-
operation between the Labour Inspectorate and the authorities responsible for health and
safety at work issues in order to assure that risk assessments are done in a comprehensive
way. Furthermore, tripartite consultations on health and safety at work issues should be
reinforced.
As regards
social dialogue,
the institutional and administrative framework is in place.
However, the tripartite consultative structures should operate in a more regular way and
lead to more effective consultation of social partners on a wider range of issues and
produce concrete outcomes. The autonomous social dialogue should also continue to be
strengthened and promoted, in particular at sectoral, regional and enterprise level.
In the field of
public health,
the legislative transposition of the most recent tobacco
acquis
remains to be completed. With regard to the control and surveillance of
communicable diseases, the administrative and regulatory framework has been
established. Some implementation and enforcement efforts are still needed, in particular
in relation to outbreak management, systematic vigilance, greater data analysis,
laboratory capacity, patient confidentiality and rapid response. Efforts to improve the
health status of the population and to devote adequate resources to health should be
continued.
Concerning
employment policy,
efforts are still needed to effectively implement the
priorities identified in the Joint Assessment of the Employment Priorities (JAP). It is
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important to enhance employment rates, especially for women and older workers, to
continue to improve incentives for job creation and taking up work and to pursue the
reform of the education and training systems and the establishment of a lifelong learning
system. It is crucial that the reform of the public employment service is rapidly
implemented to support a shift to more active and preventive measures and appropriate
policy delivery.
As regards the
European Social Fund (ESF),
the administrative framework is in place.
The efforts to reinforce administrative structures for the management of the ESF at
national and regional level should be maintained and intensified, including adequate
staffing and staff training for all future final beneficiaries with a special focus on
monitoring, audit and financial control. The development of the IT system for the
monitoring of the ESF, as well as its interaction with the overall Structural Funds system,
should be finalised and tested in good time. Preparations for participation in the
transnational operations of the EQUAL initiative need to be intensified.
The Commission and Poland are finalising the Joint Memorandum on Social Inclusion
(JIM), which identifies key challenges and possible policy orientations for promoting
social inclusion.
On this basis, an integrated strategy and a National Action Plan on
social inclusion will have to be developed. Analytical work and development of social
statistics systems on poverty and social exclusion should be continued in line with the
EU commonly agreed indicators on social inclusion.
In the field of
social protection,
Poland should continue its efforts to implement the
health care and pension reforms, which will further help to improve the level and
efficiency of social protection.
Some
anti-discrimination
provisions under the Labour Code are still in discussion in
Parliament. Moreover, the non-employment aspects of the Race Directive need to be
transposed and the Equality Body required by the
acquis
needs to be established.
Conclusion
Poland is essentially meeting the commitments and requirements arising from
negotiations in the areas of
equal treatment of women and men, social dialogue,
employment policy, social inclusion
and
social protection
and is expected to be in a
position to implement this
acquis
from accession. However, efforts to reinforce the
implementing capacity in these areas are still needed. As regards employment policy, the
effective implementation of the priorities identified in the Joint Assessment Paper is
necessary to prepare for full participation in the European Employment Strategy.
Poland is partially meeting the commitments and requirements for membership in the
areas of
labour law, health and safety at work, public health, European Social Fund
and
anti-discrimination.
In order to complete preparations for membership, Poland
should significantly accelerate the process of completing the alignment with the
acquis
on labour law. In addition, particular attention must be given to further alignment in the
field of health and safety at work and public health, especially as regards the new
tobacco
acquis.
Attention must also be given to ensure Poland’s incorporation into the
EU system of surveillance and control of communicable diseases. With regard to ESF,
including EQUAL, while considerable progress has been achieved during the last few
months, further efforts are urgently needed in order to strengthen the administrative
capacity for management, implementation, monitoring, audit and control at both national
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and regional level. Enhanced efforts are also required to ensure the full transposition and
implementation of the anti-discrimination
acquis.
Chapter 14: Energy
EU energy policy objectives include the improvement of competitiveness, security of
energy supplies and the protection of the environment. The energy
acquis
consists of
rules and policies, notably regarding competition and state aids (including in the coal
sector), the internal energy market (for example, opening up of the electricity and gas
markets, promotion of renewable energy sources, crisis management and oil stock
security obligations), nuclear energy and energy efficiency. This chapter also covers
important aspects of the safety of nuclear installations.
With respect to
security of supply,
and in particular oil stocks, legislation is in line with
the acquis. The administrative capacity required - the Agency for Material Reserves and
the Department of Energy Security, a division within the Ministry of Economy - is in
place, but these bodies need to further confirm themselves in their roles, also as crisis
management bodies. Building up of oil stocks is, although with some delays for some
product categories, essentially taking place in accordance with commitments linked to
the transitional arrangement which was granted to Poland, namely to reach the 90 days of
oil stocks required by the acquis by the end of 2008. Efforts should however be
sustained.
In the field of
competitiveness and the internal energy market
(electricity and gas
sectors), transposition of the
acquis
is taking place according to schedule. Framework
legislation, the Energy Law, is in place and in line with the acquis, as is the
implementing legislation for the electricity sector. The gas sector is less advanced;
implementing legislation, including through the elaboration of a grid code, needs to be
completed. The restructuring of the former monopoly PGNiG started in 2003 and should
be accelerated. Market opening in the gas and electricity sectors is taking place in line
with the commitments made in the negotiations. The process to remove price distortions
as well as to address long term contracts in the electricity sector needs to be given due
attention. The regulatory body, the Energy Regulatory Agency, whose task it is to
oversee the gas and electricity markets, has been established but needs to be further
strengthened, in particular to carry out the necessary functions in the gas sector. Poland
should transpose the recently adopted electricity and gas directives in line with the
timetable provided for by the acquis.
The unprecedented scale of restructuring the solid fuels sector has resulted in a
considerable reduction of coal extraction and employment in the coal industry. The
restructuring plan 1998-2002 has been implemented, but the net financial position of the
sector remains negative. A new plan for the years 2003-2006 is being implemented.
Poland must continue preparing for the application of EU state aid regulations for the
hard coal industry and will have to abolish any import restrictions for hard coal upon
accession.
In the area of
energy efficiency and renewable energy,
legislative alignment is near
completion, but Poland should ensure full transposition of the acquis on the promotion of
renewable energy resources and transposition of the new acquis according to the
timetables provided for in the directives. Administrative structures in this area, with the
National Energy Conservation Agency as the main institution, are in place but need to be
further strengthened. Energy efficiency measures are being implemented on the basis of
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the government document "Energy Policy Outline to 2020", while renewable energy
issues are dealt with in the "Renewable Energy Sector Development Strategy" paper
adopted in 2001.
In the field of
nuclear energy and nuclear safety,
Poland meets the commitments and
requirements arising from the accession negotiations and is in a position to implement
the
acquis
as from the date of accession. Based on the results of the accession
negotiations, Poland is expected to provide additional information on measures taken to
implement the recommendations of the June 2001 Council Report on Nuclear Safety in
the Context of Enlargement. Poland provided such information in January and in March
2002. Furthermore, in June and September 2003, Poland submitted additional
information covering recent progress made in various fields of nuclear safety, including
legislative aspects, the MARIA and EWA reactors and related storage and
decommissioning issues, and high activity spent sources. Poland should continue to pay
attention to further strengthening the capacity of its nuclear regulatory authorities and the
radioactive waste management plant (national agency for radioactive waste
management).
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the
energy
chapter, and is expected to be in a position to
implement the acquis in these areas by accession. Poland needs progressively to build up
oil stocks in line with the schedule agreed during the negotiations and should further
strengthen relevant administrative structures. Poland must adopt the remaining
implementing legislation regarding the internal energy market (gas grid code), remove
the remaining price distortions, open up the electricity and gas markets according to
agreed schedules, and address long-term contracts within the possibilities of the acquis.
In the coal sector, Poland must continue preparing for the application of EU state aid
rules and will have to abolish any import restrictions upon accession.
Chapter 15: Industrial policy
EC industrial policy seeks to enhance industrial competitiveness and rates of
employment, whilst operating in markets open to international competition. Its aim is to
speed up adjustment to structural change, encouraging an environment favourable to
initiative and to the development of undertakings throughout the Community. EC
industrial policy mainly consists of policy principles and horizontal and sectoral
industrial policy communications.
Poland’s
industrial strategy
essentially complies with the concepts and principles of EC
industrial policy, i.e. it is market-based, stable and predictable. The strategy should be
further implemented. The necessary administrative structures in this area are in place.
Poland does not have an export promotion agency. Strategic analysis and planning
capacity needs to be enhanced and involvement of the business community pursued in a
co-ordinating structure for simplifying and improving business environment.
In the area of
restructuring and privatisation,
the implementation of the restructuring
policy in a manner that conforms to the competition and state aid
acquis
remains an area
for special attention so as to create efficient and competitive firms. As regards steel
restructuring and privatisation, Poland must further implement the commitments made in
the accession negotiations. To achieve privatisation targets a new impetus is needed for
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privatisation of the remaining sectors and companies. The necessary administrative
structures in this area are largely in place but should be reinforced.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations as regards
industrial strategy
and is expected to be able to
implement the
acquis
as of accession. Poland should continue to strengthen
administrative capacities.
Poland is meeting the majority of the commitments and requirements arising from the
accession negotiations in the area of
privatisation and restructuring.
In order to
complete preparations for membership, substantial tasks remain to be undertaken in the
restructuring of the steel industries, as well as in the privatisation of state-owned
enterprises.
Chapter 16: Small and medium-sized enterprises
SME policy aims to improve the formulation and co-ordination of enterprise policy
across the internal market with a view to supporting the development of SMEs. In doing
so, it seeks to improve the overall business environment in which SMEs operate. SME
policy consists largely of consultation fora and Community programmes, as well as of
communications, recommendations and exchanges of best practices.
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the chapter
small and medium-sized enterprises.
Alignment
with the new Commission recommendation on the SME definition should be carried out.
A structure for dialogue between the authorities and the business community should be
established. Administrative capacities need to be strengthened further. The
implementation of the European Charter for Small Enterprises should be maintained.
Chapter 17: Science and research
Due to its specificity, the
acquis
in the field of science and research does not require any
transposition in the national legal order. However, the necessary implementing capacity
needs to be created to allow for effective participation in activities under the Framework
Programmes in the field of research.
Poland has met the commitments and requirements arising from the accession
negotiations in the area of
science and research
and will be in a position to implement
the
acquis
as from accession.
Chapter 18: Education and training
Education, training and youth is primarily the competence of the Member States. The
Community's acquis consists of a directive on education of the children of migrant
workers, and of action programmes and recommendations. The necessary implementing
capacity needs to be in place to allow for effective participation in the Community
programmes related to this chapter (Leonardo da Vinci, Socrates and Youth).
Poland has met the commitments and requirements for membership in the area of
Community programmes,
and will be in a position to implement this
acquis
from
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accession. The implementing capacity for Community programmes will need to be
enhanced to benefit from additional allocations for decentralised actions following
accession.
In the area of
education of children of migrant workers,
Poland has adopted legislation
which transposes the
acquis.
Due implementation of the
acquis
needs to be ensured.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the area of
education and training
and is expected to be in a
position to implement this
acquis
from accession. Efforts to implement the
acquis
on
education of children of migrant workers should continue.
Chapter 19: Telecommunications and information technologies
The acquis in the field of telecommunications consists mainly of the 1998 regulatory
framework and a 2000 regulation, and is aimed at the elimination of obstacles to the
effective operation of the single market in telecommunications services and networks,
and the achievement of universally available modern services. A new regulatory
framework on electronic communications was adopted in 2002 and must be
implemented. As regards postal services, the objective is to implement the single market
by opening up the sector to competition in a gradual and controlled way, within a
regulatory framework which assures a universal service (1997 and 2002 acquis).
In the field of
telecommunications,
Poland’s framework legislation has been amended
to bring it in line with the acquis adopted in the period 1998 to 2000. Some further
adjustments are needed in the areas of universal service and the interconnection regime
(including the powers of the national regulatory authority). The adoption of the necessary
implementing legislation remains to be completed, while in particular the universal
services
acquis
still needs to be fully implemented. In order to develop further
competition in the market, reasonable terms for interconnection (including leased lines)
need to be settled and local loop unbundling needs to be implemented. Furthermore,
carrier selection and carrier pre-selection as well as cost orientation on tariffs need to be
ensured. Fixed network modernisation and price re-balancing should be continued. The
2002
acquis
remains to be transposed. The administrative structures necessary for
implementing the acquis are in place, but require further strengthening, mainly in
qualitative terms.
In the area of
postal services,
Poland’s legislative alignment remains to be completed,
inter alia
regarding the authorisations and licensing regime, and universal service
(quality of service provision and tariff principles). Complementary implementing
legislation remains to be adopted (on customers' complaint procedures, accounting
systems, licensing and tariff regimes, and quality of service). Despite the transitional
period for the implementation of universal service in postal services, granted until 31
December 2005, work in this area should be continued. The 2002 acquis remains to be
transposed. Administrative capacity in this sector needs to be further strengthened
through more appropriately qualified staffing and continued training. The operational
independence of the regulator needs to be ensured.
Conclusion
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Poland is meeting the majority of the commitments and requirements arising from the
accession negotiations in the
telecommunications
area and is partially meeting the
commitments and requirements in the
postal services
sector. As for the
acquis
on
telecommunications, intensified efforts are needed to adopt the necessary implementing
measures, as well as to transpose the regulatory legislative package of 2002.
Implementation needs to be accelerated,
inter alia
by setting reasonable terms for
interconnection and by putting in place local loop unbundling. The regulator in the
telecommunications sector needs to be strengthened in qualitative terms. Enhanced
efforts must be made with regard to the transposition of the
acquis
in the postal sector.
Work on the correct application of the universal service acquis must be continued. The
effectiveness and independence of the regulator in the postal sector needs to be ensured.
Chapter 20: Culture and audio-visual policy
The culture and audio-visual policy chapter requires legislative alignment with the
Television without Frontiers directive and contains the community programmes Culture
2000, Media Plus and Media Training. Alignment with the Television without Frontiers
directive creates the conditions for the free movement of television broadcasts within the
Community. It implies basic common requirements concerning advertising; the
protection of minors and public order; and the promotion of European works.
In order to complete transposition of the
audio-visual
policy
acquis,
Poland must fully
align its framework legislation (the Broadcasting Act) on jurisdiction criteria, the
definition of European works, certain aspects relating to the promotion of European and
independent works, access to major events and the principle of capital liberalisation.
Administrative capacity for implementation of the audio-visual
acquis
is satisfactory
overall although the National Broadcasting Council will need to be strengthened —
following the amendments to the Broadcasting Act — in order to efficiently monitor
observance of the new rules.
Poland meets the requirements for participation in Community activities in the field of
culture.
Conclusion
Poland has met the commitments and requirements arising from the accession
negotiations on
culture
and will be in a position to implement the
acquis
by accession.
Poland is partially meeting the requirements for membership in the area of
audiovisual
policy.
Unless rapid action is taken to catch up delays in amending the Broadcasting Act,
there is a risk that Poland will not fulfil these requirements and not be able to implement
the acquis by accession. Poland must pay attention to ensuring a stable, predictable,
transparent and effective implementation of the broadcasting regulatory framework.
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Chapter 21: Regional policy and co-ordination of structural
instruments
The
acquis
under this chapter consists mostly of regulations, which do not require
transposition into national legislation. They define the rules for drawing up, approving
and implementing Structural Funds programmes and Cohesion Fund actions. These
programmes are negotiated and agreed with the Commission, but implementation is the
responsibility of the Member States. It is essential that Member States respect
Community legislation in general, for example in the areas of public procurement,
competition and the environment, when selecting and implementing projects, and have
the necessary institutional structures in place to ensure implementation in a sound and
cost-effective manner from the point of view of both management and financial control.
Poland has agreed with the Commission on a NUTS classification of its
territorial
organisation.
The essential feature of the
legislative framework,
i.e. the ability to ensure multi-annual
budget programming, is in place. In September 2002 Parliament adopted an amendment
to the Law of Public Finance of 1998 in order to take account of the specific needs for
the co-financing of the Structural Funds and the Cohesion Fund and to ensure sufficient
flexibility in this respect. However, the availability of co-financing remains an issue of
concern, notably at the local level in some of the poorer areas in Poland. The ongoing
discussions on public finance reform should take into account their potential implications
for Structural Funds implementation.
The legislative framework for financial control and compliance with other Community
policies is monitored in other chapters. However, in order for Poland to make effective
use of its eligibility for structural funds as from 1 January 2004, the relevant acquis in
areas such as public procurement, state aid and environmental protection will need to be
fully respected from that date. Urgent efforts are needed in particular in the area of public
procurement.
The necessary
institutional structures
for the preparation and implementation of the
Structural and Cohesion Funds have been put in place. However, the capacity-building
process needs to be continued to complete the establishment of stable structures with
effectively trained staff at national and, in particular, regional level. While progress has
been made on procedures and manuals, adequate implementation procedures still need to
be established firmly on the ground.
The bodies responsible for implementation of the specific financial control provisions,
including the 5% and 15% on-the-spot checks, have been designated. However,
clarifications are needed concerning the separation of management and control and how
to translate these arrangements into a daily practice leading to an effective
administration.
Internal audit units have been established in all ministries and in the intermediate bodies.
These units function independently of operational and financial activities. A manual for
internal audit procedures was adopted in November 2002. On the whole, the
commitments concerning the organisation of internal audit have been respected. Whereas
the commitments concerning the organisation of internal audit have been respected, the
degree of operational effectiveness remains to be tested. Adequate levels of trained staff
are necessary to ensure effective internal audit work.
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In early 2003 Poland formally submitted to the Commission a complete set of
programming
documents accompanied by an ex ante evaluation and macro-economic
impact assessment. Poland organised an extensive partnership process in the drafting
period of the programming documents. Many meetings and seminars were organised and
documents were made available over the Internet. An important first effort was made by
the Government through numerous events to reach out and involve socio-economic and
local partners throughout Poland. Regional and local authorities also organised meetings,
sessions and other events to discuss all sorts of issues related to the future
implementation of the Funds.
The computerised monitoring system ‘SIMIK’, which is being established in Poland
under the lead of the Ministry of Finance, is expected to become operational in all
ministries and at regional level by the end of February 2004. Given the importance of the
system, progress in this area should be closely monitored. Progress is still needed on the
identification of monitoring indicators.
Significant additional efforts are being made regarding state aid schemes which are to be
co-financed by Structural Funds, but there is still a risk that these will not be notified and
approved in time. Furthermore, insufficient progress has been made in establishing the
administrative system for the implementation of the measures linked with these state aid
schemes.
Considerable and sustained efforts are needed to establish a pipeline of projects that are
ready to be implemented in technical and financial terms so as to enable Poland to
benefit fully from Community funds as soon as the programme starts.
Arrangements for
financial management and control
have been made. The system now
needs to be tested in practice. Adequate procedures have been designed but certain
technical details concerning the Cohesion Fund need to be further refined. Poland plans
to link the Financial Accounting System, run by the Paying Authority (Ministry of
Finance), with the computerised monitoring system and the electronic banking system in
order to execute payments to beneficiaries more efficiently.
Additionality will be verified before approval of the Community Support Framework.
Conclusion
Poland is essentially meeting the requirements for membership in relation to
territorial
organisation
and
programming.
Poland now needs to focus on establishing an adequate
pipeline of well-prepared projects.
Poland is partially meeting the commitments and requirements arising from the accession
negotiations in relation to the
legislative framework, institutional structures
and
financial management and control.
As regards the legislative framework, Poland must
bring its legislation on public procurement in line with the acquis and to make sure that
final beneficiaries will be in a position to effectively apply the resulting rules and
procedures in order to benefit from Community funding from 1 January 2004. The
availability of sufficient co-financing is of particular concern. In addition, priority must
be given to further strengthening institutional structures at national and regional level, to
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establishing clear procedures and to recruiting and training staff. Poland needs to focus
on setting up a functioning computerised monitoring system. In the area of financial
management and control, clarification is needed concerning the separation of
management and control functions and efforts are required to effectively translate those
arrangements into the daily practice of the administration.
Chapter 22: Environment
Community environment policy aims to promote sustainable development and protect the
environment for present and future generations, and is based on the integration of
environmental protection into other Community policies, preventive action, the polluter
pays principle, fighting environmental damage at source, and shared responsibility. The
acquis
comprises over 200 legal acts covering horizontal legislation, water and air
pollution, management of waste and chemicals, biotechnology, nature protection,
industrial pollution and risk management, noise, and radiation protection. Ensuring
compliance with the
acquis
requires significant investments, but also brings significant
benefits for public health and reduces costly damage to forests, buildings, landscapes and
fisheries. A strong and well-equipped administration at national, regional and local level
is imperative for the application and enforcement of the environment
acquis.
Horizontal legislation
is in place and is in line with the
acquis,
except for the recent
acquis
on strategic environmental impact assessment, which needs to be transposed and
implemented by July 2004 in line with the Directive. The relevant administrative
capacities are in place and function.
In the
air quality
sector, legislation is in place and is in line with the
acquis.
Administrative capacities are in place and function. Air quality plans and programmes
need to be completed and monitoring enhanced by accession. Transitional arrangements,
with intermediate targets, have been agreed until 31 December 2005 for volatile organic
compound emissions from the storage and distribution of petrol within certain
installations in Poland and until 31 December 2006 for the sulphur content of liquid
fuels.
In the field of
waste management,
legislation is in place and is in line with the
acquis,
except for the recent
acquis
on end-of-life vehicles which needs to be completed by
accession. Administrative capacities are in place, but need to be strengthened at regional
and local levels. While a national waste management plan has been adopted, preparation
of these plans at voivodship, powiat and gmina levels, the setting-up of a supervision
system for waste shipments, and a deregistration system for end-of-life vehicles need to
be completed by accession. The establishment of collection systems and recovery and
disposal facilities needs to continue. Transitional arrangements until 31 December 2007
for packaging waste, until 1 July 2012 for landfill of waste and until 31 December 2012
for waste shipments, with intermediate targets, have been agreed.
In the area of
water quality,
legislation is in place and is in line with the
acquis,
except
for the recent framework
acquis
on water. Administrative capacities are in place and
function. Drinking water monitoring needs to be enhanced, the final identification of
zones vulnerable to nitrates formalised, the inventory of discharges of dangerous
substances completed, and discharge authorisations and programmes for nitrates and
dangerous substances updated, finalised and adopted by accession. Transitional
arrangements until 31 December 2015 for urban waste water and until 31 December
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2007 for discharges of certain dangerous substances, with intermediate targets, have been
agreed.
In the field of
nature protection,
a new nature conservation act to fully implement the
birds and habitats directive is still to be adopted, including the authorisation for site
designation. Enhanced efforts are required to prepare a list of proposed sites of
Community interest and to designate special protection areas by accession, and to ensure
that relevant protection measures are applied. Administrative capacities are in place, but
need to be significantly enhanced at voivodship level, including as regards the
consultation process.
The legislation on
industrial pollution
is in place and is in line with the
acquis,
except
for emissions from solvents, the recent
acquis
on large combustion plants and national
emission ceilings, which need to be transposed by accession. While administrative
capacities are in place, enhanced efforts are required to ensure that permits are issued and
complied with for all new installations subject to the rules on integrated pollution
prevention and control (IPPC) by accession, and for existing installations continue to be
issued and complied with until October 2007. Regarding
industrial risk management,
legislation is in place and in line with the
acquis.
Implementation of the provisions on
major accident hazards needs to be ensured by accession. Transitional arrangements until
31 December 2010 for IPPC and until 31 December 2017 for large combustion plants,
with intermediate targets, have been agreed for certain installations in Poland.
The legislation concerning
chemicals and genetically modified organisms
(GMOs) is
in place and is in line with the
acquis,
except for biocides. Administrative capacities are
in place and function. Implementing measures in the area are proceeding as planned.
Authorisation procedures for biocides need to be established by accession. Co-ordination
between the organisations involved needs to continue to be enhanced.
Transposition of the
acquis
on
noise
is proceeding according to schedule and the
legislation is in line with the
acquis,
except for the recent
acquis
on ambient noise, which
needs to be transposed by July 2004 in line with the Directive. Testing and notified
bodies need to be approved.
On
nuclear safety and radiation protection,
legislative alignment has largely been
completed and is in line with the
acquis.
Administrative capacities in this area are largely
in place and function. A transitional arrangement until 31 December 2006 has been
agreed for medical exposure.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations and, subject to good progress being maintained (including
enhancing of administrative capacity in particular at regional and local levels), is
expected to be in a position to implement the
acquis
in the areas of
horizontal
legislation, air quality, waste management, water quality, industrial risk
management, chemicals and genetically modified organisms, noise
and
nuclear
safety and radiation protection
by accession. Poland needs to finalise the legal
alignment in the following areas: horizontal legislation, air quality, waste management,
water quality, industrial pollution, chemicals and genetically modified organisms, and
noise. It needs to complete air quality plans and programmes and continue to enhance air
quality and water quality monitoring. Moreover, Poland must complete inventories and
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authorisations for discharges of dangerous substances, finalise necessary programmes in
the field of water, and complete the identification of zones vulnerable to nitrate pollution.
Waste management plans at voivodship, powiat and gmina levels need to be completed
and a supervision system for waste shipments set up. The establishment of waste
collection systems and recovery and disposal facilities needs to continue. As regards
industrial risk management, the implementation of provisions on major accident hazards
needs to be completed. Authorisation procedures for biocides need to be established.
Poland also needs to pay attention to reporting at all levels of the administration.
Poland is partially meeting the commitments and requirements in the area of
industrial
pollution
and
nature protection.
In order to complete preparations for membership,
enhanced efforts are required to ensure that permits are issued and complied with for all
new IPPC installations by accession and for existing installations until October 2007.
Particular attention needs to be paid to strengthening the capacity for issuing integrated
permits at local and regional level. In the area of nature protection, Poland must adopt a
new nature conservation act. Enhanced efforts are required to prepare the lists of
proposed nature protection sites and special bird protection areas. This requires
significant strengthening of administrative capacities at voivoidship level, including as
regards the consultation process.
Chapter 23: Consumer and health protection
The
acquis
covers protection of the economic interests of consumers (concerning
misleading and comparative advertisement, price indication, consumer credit, unfair
contract terms, distance and doorstep selling, package travel, timeshare, injunctions for
the protection of consumers’ interests, and certain aspects of the sale of consumer goods
and associated guarantees) as well as the general safety of goods (liability for defective
products, dangerous imitations and general product safety). Recently adopted legislation
includes rules on general product safety and distance marketing of consumer financial
services. The acceding countries need to effectively enforce the
acquis
through
appropriate judicial and administrative systems, including market surveillance and a role
for consumer organisations.
With regard to
safety-related measures
Poland needs some minor adjustments in order
to complete alignment on liability for defective products. The revised general product
safety directive remains to be transposed. Although the administrative structures are in
place, they need to be further strengthened in terms of financial and human resources.
Market surveillance
relating to general product safety is partly developed. Poland is
completing the relevant policy, management structures and information system.
However, the capacity of the main bodies in charge of market surveillance activities
needs to be further developed and their co-ordination improved. These structures need
also to be strengthened in terms of both financial and human resources.
As regards
non-safety related measures,
Poland has recently adopted legislation in the
areas of injunctions for the protection of consumer interests and certain aspects of the
sale of consumer goods and associated guarantees as well as in the areas of consumer
credits and price indications. However, transposition on distance contracts and doorstep
selling still needs to be completed. Enforcement activities relating to the protection of the
economic interests of consumers are partly developed. More efforts are needed in
effectively implementing the acquis, in particular with regard to the judicial capacity
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concerned with consumer cases. The administrative structures in terms of both financial
and human resources need to be further developed and strengthened.
With regard to
consumer organisations,
the establishment of the Council for
Competition and Consumer Protection as a consultative body is expected to improve the
capability of consumer organisations to input into the development of policies that affect
consumers. Nevertheless, the role of non-governmental organisations needs to be further
promoted. A more active involvement of these organisations in developing consumer
product safety standards should also be encouraged. Consumer information and
education need to be further promoted in order to increase the level of consumers’ and
businesses’ awareness of their rights and responsibilities.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the areas of
safety-related measures
and
consumer
organisations
and is expected to be in a position to implement this
acquis
as from
accession. Poland needs to complete alignment of the
acquis
of the revised general
product safety directive.
Poland is meeting the majority of the requirements for membership in the area of
market
surveillance
and
non-safety related measures.
In order to complete preparation for
membership, Poland needs to complete alignment in the non-safety related area and to
ensure the proper enforcement of legislation on safety and non-safety related measures
including by strengthening the administrative capacity and structures.
Chapter 24: Justice and home affairs
The most developed part of this chapter is the Schengen acquis, which results in the
lifting of internal border controls. However, much of this acquis will not apply to the
acceding countries upon accession, but only after a later separate Council Decision. The
Schengen Implementation Action Plan aims at preparing this on the basis of a credible
schedule for the introduction of the Schengen provisions. Binding rules which must be
put in place as from accession include part of the rules on visas, rules on external borders
and the acquis on migration, asylum, police co-operation, combating organised crime,
fight against terrorism, fraud and corruption and drugs, customs co-operation as well as
human rights legal instruments. On issues such as border control, illegal migration, drugs
trafficking and money laundering, organised crime, police and judicial co-operation, data
protection and the mutual recognition of court judgements, acceding countries need to be
equipped to meet adequate standards of administrative capacity. The establishment of an
independent, reliable and efficient judiciary and police organisation are also of
paramount importance.
Preparation with regard to Schengen provisions (Schengen
Action Plan)
relevant for
accession is still broadly satisfactory, but certain delays have occurred in completing
legal alignment as regards border control and surveillance. In addition, significant efforts
will be needed after accession to prepare for the lifting of internal borders and full
implementation of the Schengen
acquis
on the basis of a further decision to be taken by
the Council. In particular, attention must be paid to such fundamental aspects of
implementation as funding of the Action Plan and staffing of the Border Guard. Ongoing
efforts to strengthen control and surveillance of the Eastern borders must be pursued.
Separation of traffic at air- and seaports should also be the subject of attention. The
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question of the location of SIRENE should be resolved without delay in order to allow
necessary steps for implementation to be taken. Poland needs to continue preparing for
integration into the Schengen Information System (SIS) II.
In the field of
data protection,
Poland has largely completed its legislative alignment,
and a body responsible for data protection, the Bureau of the Inspector General for
Personal Data Protection has been created and given a wide range of powers. However,
some further adjustments are still needed to achieve full compliance with the acquis (see
also under chapter 3).
As regards the use of personal data by the police, the responsible
body, the National Criminal Information Centre, has recently started its operations. Inter-
agency co-operation should be further enhanced.
On
visa policy,
alignment with the regulation concerning visa-obligated and non-
obligated countries is continuing. Poland has aligned its policy with the so-called
"negative" list by the introduction, as from 1 October, of visa obligations for its three
eastern neighbours: the Russian Federation, Belarus and Ukraine. Poland still has to fully
align its policy as regards the so-called “positive” visa list. As regards implementation
and administrative capacity Poland continues to face important challenges. Further
efforts are needed in relation to infrastructure, recruitment of staff and training, as well as
for installation of information technology for the consulates in the Russian Federation,
Belarus and Ukraine. Furthermore, an adequate national visa register still needs to be
established. Poland also has to provide all diplomatic and consular missions with
equipment to detect forged and falsified documents.
As regards the management of the future
external borders,
Poland has in general
aligned its legislation on border control and border surveillance. However, certain
amendments related to extended competencies of the border guard as well as alignment
with international law on abolition and reintroduction of border control are still pending.
Co-operation between the relevant services, namely the border guard, the police and the
customs, continues to improve. Poland has been active in concluding co-operation
agreements with neighbouring countries on border management and border crime and
has taken measures to ensure enhanced co-operation with its eastern neighbours.
However, the risk analysis capacity of the border police needs to be further strengthened.
Implementation of the Integrated Border Management Strategy and the relevant parts of
the Schengen Action Plan is ongoing. The main challenge remains the lack of staff in the
border guard, which is committed to becoming a fully professional service by 2006
(through recruitment of 5300 new staff and the phasing out of conscripts). Recruitment
has started to accelerate with the addition of 1325 new staff in 2003, 80% of which are to
serve at the future external borders. The training system introduced in 2002 seems to be
adequate, and provided that necessary resources are available and the waves of
recruitment are well organised, the two training centres of the border guard should be in
a position to train the newcomers effectively.
The infrastructure at all international eastern border crossing points has been or is in the
process of being adapted and upgraded. The implementation capacity of the border
services, notably the border guard, has been constantly improving in the recent past. The
time plan for constructing border patrol units for the surveillance of the green border has
been generally followed without significant delays. However, close attention is needed
for the development of an automatic radio location and monitoring system for Poland's
maritime areas and for the construction of a stationary and mobile surveillance system.
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In the area of
migration,
legislative alignment has been completed, including on carrier
liability through the new Aliens Law, which entered into force in September 2003.
Poland has been active in its efforts to conclude readmission agreements. The level of co-
operation with neighbouring countries on readmission seems appropriate, although
agreements have not yet been concluded with Russia and Belarus. Administrative
structures are in place but some overlapping competencies and procedures remain. A
coherent training system for all migration services (Office for Repatriation and Aliens,
Border Guard, Vovoidship Offices), has not yet been developed, and a comprehensive
migration policy still needs to be defined. The connection of border crossing points with
the database for third country nationals still needs to be completed.
In the field of
asylum,
Poland has completed its legislative alignment with the
acquis.
As
regards implementation capacity, the backlog of cases was considerably reduced in 2002.
Poland should continue its analytical and organisational measures for active participation
in EURODAC and should identify its national access point for Dublin II. Finally Poland
also needs to increase its reception capacity as well as its efforts to integrate recognised
refugees.
In the area of
police co-operation and combating organised crime,
Poland has ratified
the UN Convention against Trans-national Organised Crime and has signed but not yet
ratified the two protocols concerning trafficking in human beings and smuggling of
migrants; the third protocol, on firearms, has not been signed. Poland still needs to ratify
the Council of Europe Cyber Crime Convention. Efforts are still required to ensure that
Poland has an accountable, reliable and fully co-ordinated police organisation by
accession. The staffing situation remains difficult, and continuous attention is needed as
regards the co-operation and co-ordination between the police and the prosecuting and
judicial bodies. Training and information sharing in the field of combating economic and
organised crime (in particular smuggling of cigarettes and drugs) needs to be
considerably improved and sufficient financial means allocated to implement all the
envisaged measures. International co-operation is well established and is supported by
sufficient co-operation agreements, in particular the conclusion of an agreement with
Europol. Attention should be paid to the timely preparation of national procedures in
order to ensure the swift ratification of the Europol Convention upon accession to the
EU. Inter-agency co-operation needs to be further improved, in particular as regards
mutual access to databases through the National Centre for Criminal Information (KCIK)
and the co-operation with the customs administration. Furthermore, administrative
structures are set up but need to be further strengthened, in particular the Police National
Information System.
In the
fight against terrorism,
Poland has ratified the most important Conventions in
this area, in particular the 1999 UN Convention for the Suppression of the Financing of
Terrorism. Poland should accelerate its preparatory efforts in order to accede to the
Convention on Mutual Assistance in Criminal Matters between the EU Member States
(2000) upon accession.
As regards the
fight against fraud and corruption,
Poland's legislation is not yet fully
aligned with the acquis, in particular with the provisions of the 1995 Convention on the
protection of the European Communities’ Financial Interest and its Protocols. Full
alignment with these instruments should be achieved, in particular as regards the liability
of legal persons. Amendments to the Penal Fiscal Code and Criminal Code are still
pending. Alignment with the Council Framework Decisions on the protection of the euro
against counterfeiting is also still necessary, and full implementation of this
acquis
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should be ensured. Poland has yet to designate a National Central Office, dealing notably
with the banknote and coin analysis. With its anti-corruption strategy, the Polish
authorities have made a concerted effort to limit the occurrence of common corruption
within the state administration as a whole. The criminalisation of the principle of
“conflict of interest” should be considered in order to be more efficient in combating
corruption. Strong administrative support will be needed to put the strategy successfully
into practice. Determined implementation of the anti-corruption strategy, in particular as
regards high-level corruption, is needed. As regards corruption, see also
Section C.1. –
Administrative and judicial capacity.
On the
fight against drugs,
Poland has largely completed its legislative measures and
the national programme for counteracting drug addiction - in line with the EU Drugs
Strategy - has been adopted. Implementation, however, needs further improvement,
including the necessary administrative capacity at both central and regional level and the
allocation of sufficient financial resources. The institutional infrastructure of the National
Focal Point for the future co-operation with the European Monitoring Centre for Drugs
and Drugs Addiction (EMCDDA) needs to be further strengthened. Overall, the inter-
agency co-operation and co-ordination needs to be increased.
Poland has largely completed its legislative alignment with the
acquis
on
money
laundering
by means of amendments, which will enter into force on 1 January 2004.
However, some further adjustments are still needed to achieve full compliance with the
most recent acquis (see
also chapter 4 – Free movement of capital).
A Financial
Intelligence Unit is in place, but the adaptation of its information technology system
needs to be completed in view of timely and effective implementation, and training on
money laundering issues for judges and public prosecutors should be enhanced.
In the area of
customs co-operation,
Poland is in the process of aligning its legislation.
Inter-agency co-operation is provided for as well as co-operation with businesses on the
basis of memoranda of understanding. At the central level, the customs administration
has concluded agreements with the police, the border guard and the internal security
agency to combat customs and border crime. However, inter-agency co-operation needs
to be further improved.
In the area of
judicial co-operation in civil and criminal matters
legislative alignment,
where still necessary, is ongoing and Poland should be ready upon accession to apply the
acquis and to accede to and implement all relevant conventions. Particular attention is
needed for alignment with and effective implementation of the Council Framework
Decision of 13 June 2002 on the European arrest warrant and the surrender procedure
between Member States. Administrative structures for direct contacts between competent
judicial authorities are in place but need to be further strengthened.
As regards the
reform of the judiciary
in general, a detailed analysis is provided in the
Section C.1. – Administrative and judicial capacity.
All the
human rights legal instruments
under the justice and home affairs
acquis
have
been ratified by Poland.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations and is expected to be able to implement by accession the acquis in
the areas of
data protection, migration, asylum, police co-operation and combating
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organised crime, the fight against terrorism, customs co-operation, judicial co-
operation in civil and criminal matters
and
human rights legal instruments.
Poland is partially meeting the majority of commitments and requirements for
membership in relation to the
Schengen Action Plan, visa policy, external borders,
fight against fraud and corruption
and
drugs
as well as
money laundering.
As
regards fraud and corruption, additional efforts are called for to complete legislative
alignment, including liability of legal persons, and to put the adopted anti-corruption
strategy successfully into practice. Poland needs to adopt and implement the necessary
legislation. Overall, inter-agency co-operation needs to be improved and co-ordination
structures to be strengthened.
Chapter 25: Customs union
The Customs Union acquis consists almost exclusively of legislation which is directly
binding on the Member States and does not require transposition into national law. It
includes the Community’s Customs Code and its implementing provisions; the
Combined Nomenclature, Common Customs Tariff and provisions on tariff
classification, customs duty reliefs, duty suspensions and certain tariff quotas; and other
provisions such as those on customs control of counterfeit and pirated goods, drugs
precursors and cultural goods and on mutual administrative assistance in customs matters
as well as Community agreements in the areas concerned, including transit. Member
States must ensure that the necessary enforcement capacities, including links to the
relevant EC computerised customs systems, are in place.
Poland’s
customs legislation
is largely in line with the acquis as it stood in 2002,
following the entry into force in August 2003 of the last legislative alignments, in
particular regarding customs warehouses. Implementation of the remaining unaligned
provisions, including the new 2003 acquis, and others, such as the time limit for recovery
of duties, will take place upon accession when Community legislation becomes directly
applicable. National provisions superseded by the acquis are to be repealed at the time of
accession and agreements on mutual administrative assistance in customs matters are to
be amended as necessary.
Concerning
administrative and operational capacity,
a functioning customs
administration is in place and is expected to have an adequate level of administrative and
operational capacity subject to completion of its preparations by the time of accession.
Poland should continue to carry out its plans for reorganisation of customs services and
reallocation of staff as a result of accession, when the volume of customs work decreases
owing to the conversion of external to internal trade. Preparation for the application of
measures and provisions that will be introduced only at the time of accession (e.g.
customs aspects of managing CAP export refunds) should be completed, in particular via
training. In addition, continued efforts should be made as regards the implementation of
the Business Strategy, the combating of customs irregularities, for example with regard
to counterfeit and pirated goods, and the strengthening of co-operation between customs
and other enforcement bodies.
Over the reporting period the Polish authorities have achieved significant progress in the
development and implementation of computerised systems as well as other
interconnectivity-related issues. The pace must now be maintained and the outstanding
work completed according to schedule, in particular as regards deploying throughout the
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country the computerized entry processing system and the EC-compatible transit system
including a fully operational trader module.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations and is expected to be in a position by accession to implement the
customs union
acquis with the necessary administrative and operational capacity. In
completing its preparation for membership, Poland needs to ensure that the
reorganisation of the customs service is carried out with the minimum of disruption, in
particular to the completion of training in the application of provisions and measures that
will be introduced at the time of accession, including new trade policy and CAP
measures. In addition, continued attention should be given to computerisation and inter-
connectivity and to maintaining existing human and financial resources in order to
maintain progress in this area.
Chapter 26: External relations
The main element in this chapter, the common commercial policy, is made up of directly
binding EU legislation, which does not require transposition into national law. The
acceding countries were requested to align before accession with the acquis on dual-use
goods and, where applicable, export credits. Acceding countries committed themselves to
ensure compatibility with the acquis of their bilateral agreements with third countries. In
the area of humanitarian aid and development policy, countries need to ensure the
capacity to participate in the EC’s development and humanitarian policies.
The administrative structures for dealing with the issues related to the
common
commercial policy
are essentially in place and sufficient. However, improvements of the
technical and linguistic skills of the staff are still needed.
Poland has, for the most part, co-ordinated its positions and policies with the
Commission with regard to the Doha Development Agenda. Poland should continue
close co-ordination and co-operation with the Commission, mainly in order to carry on
preparing the convergence of its GATS commitments and Most Favoured Nations
exemptions into the EU ones (consolidation EU 25), to be finalised upon accession.
Concerning textiles, Poland has not used its third stage of integration to align its list of
integrated products under the Agreement on Textiles and Clothing with the European
Community; as a result, discrepancies remain.
On trade in dual-use goods, Poland has reached a high degree of alignment with the
acquis.
However, further alignment, in particular regarding the list of dual-use items,
needs to be achieved, as export control regimes continue to adopt decisions, which the
EU integrates into its legislation. Full alignment as regards the Community general
export authorisation can only take place upon accession. Administrative structures in this
area are in place and satisfactory. Poland is a member of all international export control
regimes.
Legislative alignment in the area of export credits has been completed. Administrative
structures are in place and satisfactory.
In the field of
bilateral agreements with third countries,
Poland has made a list of
those agreements which will need to be terminated or renegotiated to comply with
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Poland’s obligations resulting from accession. Poland should continue to take steps to
terminate or renegotiate such agreements. Following the successful signature of the
Memorandum of Understanding with the USA regarding the bilateral investment treaty,
Poland still needs to sign the Additional Protocols. Poland must ensure a swift
ratification in order to for the adaptations to enter into force by the date of accession.
Among other agreements, the Foreign Investment Protection Agreement concluded with
Canada, as well as the Friendship, Commerce and Navigation Agreement concluded with
Japan, need to be brought into conformity with the acquis.
In the area of
humanitarian aid and development policy,
Poland needs to ensure that
its policies are in line with EU principles, in particular with the guidelines laid down by
the OECD Development Assistance Committee, as well as the commitments and
objectives in the context of UN and other international organisations. Development co-
operation in Poland is decentralised across a number of different institutions. Poland
needs to ensure the administrative capacity to participate in the EU’s development and
humanitarian policies.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations and is expected to be able to implement the
acquis
on the
common commercial policy
and
humanitarian aid and development policy.
Poland
should enhance its efforts to render its development policy framework in line with EU
principles.
Poland is meeting the majority of the commitments and requirements for membership in
relation to
bilateral agreements with third countries.
In order to complete preparations
in the area of bilateral agreements with third countries, Poland must take decisive steps
towards renegotiating or terminating its bilateral agreements to make sure that they are
compatible with the
acquis
upon accession.
Chapter 27: Common foreign and security policy
The acquis related to the common foreign and security policy (CFSP) is essentially based
either on legally binding international agreements or on political agreements to conduct
political dialogue in the framework of CFSP, to align with EU statements, and to apply
sanctions and restrictive measures where required.
Poland has created the function of Political Director in order to participate in the
political dialogue.
With regard to the exchange of classified information, Poland is
completing preparations for co-operation with the Extranet. However, Poland still needs
to finalise the technical adjustments to the other two networks (Courtesy and ESDP net).
With regard to alignment with
EU sanctions and restrictive measures, statements,
declarations and démarches,
Poland has adjusted its legislation in relation to the
introduction and withdrawal of economic sanctions. The administrative structures in this
area in Poland are in place and satisfactory.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the chapter on the
common foreign and security policy,
and is
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expected to be able to participate in the political dialogue and to align with EU
statements, sanctions and restrictive measures by accession. The administrative
preparations need to be finalised.
Chapter 28: Financial control
The acquis under this chapter consists mostly of general, internationally agreed and EU-
compliant principles of public internal financial control that need to be transposed into
the control and audit systems of the entire public sector. In particular, the acquis requires
the existence of adequate ex ante financial control and functionally independent internal
audit systems; an independent external audit of the public internal financial control
systems in the public sector; an appropriate financial control mechanism for EU pre-
accession funding and future structural action expenditure; and arrangements on the
protection of EC financial interests. In addition, an anti-fraud co-ordination service,
capable of co-operating with the Commission’s Anti-fraud Office OLAF at an
operational level, is to be designated.
In the area of
Public Internal Financial Control,
Poland has put framework and
implementing legislation in place which is largely in line with the acquis. However, the
Internal Audit Charter and the Code of Ethics for internal auditors need to be enhanced
and finalised. The process of institution building is advanced, but the establishment of
internal audit units in all budget-spending centres remains to be completed. The newly
set-up internal audit units need to be adequately staffed with well-trained and
experienced personnel. Training and examination of internal auditors should be revised.
The key official in the system of internal audit in the public administration in Poland is
the General Internal Auditor, a high level civil servant, reporting directly to the Minister,
who was appointed in November 2002. The General Internal Auditor is the Head of the
Central Harmonisation Unit (CHU) for financial management and control as well as of
internal audit systems. The CHU is located in the Ministry of Finance. Poland has to
ensure functional and operational independence of the General Internal Auditor. A recent
upgrading and re-interpretation of the role of the General Internal Auditor necessitates
reformulation of the public internal financial control Policy Paper and the Public Finance
Act. Both documents are currently under review.
In the field of
external audit,
legislative alignment has been completed. The Supreme
Chamber of Control is an independent and professional organisation and its audit
services satisfactorily cover all public and EU funds. Poland should enhance procedures,
however, for following up actions on audit findings.
As regards
control over EU pre-accession funding and structural action expenditure,
framework and implementing legislation in Poland is in place and in line with the acquis.
Appropriate administrative structures are being set up. However, Poland should
accelerate efforts to enhance its administrative capacity to manage the pre-accession
funds and future structural funds in order to fully meet the requirements for financial
control and internal audit. In particular, recruitment of additional staff for the pre-
accession funds, as well as the Structural and Cohesion Funds, should be reinforced and
accompanied by training measures. Poland needs to reinforce and urgently accelerate
efforts leading to the extended decentralised implementation system (EDIS) for ISPA
and Phare, including allocation for further human resources.
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In the area of the
protection of EC financial interests,
Poland has reinforced the
framework and implementing legislation.A governmental plenipotentiary for combating
fraud against Poland and the EU budget was established. Nevertheless, the administrative
and operational capacity of the anti-fraud co-ordinating service (AFCOS), including co-
operation with other relevant institutions and bodies, needs to be substantially reinforced
and demonstrated by concrete and convincing actions.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the area of
external audit
and is expected to be in a position to
implement this
acquis
from accession.
Poland is meeting the majority of the commitments and requirements arising from
accession negotiations in the areas of
public internal financial control, control over
structural action expenditure
and
protection of EC financial interests.
As regards
public internal financial control, attention must be given to adapting the primary
legislation. Administrative capacity in the area of public internal financial control and
control over structural action expenditure should be strengthened. Enhanced efforts must
also be made urgently to complete the extended decentralised implementation system. In
the area of the protection of EC financial interests, legal alignment should be completed.
The administrative and operational capacity of the anti-fraud co-ordination service
should be substantially strengthened and backed up by concrete and convincing actions.
Chapter 29: Financial and budgetary provisions
Chapter 29 covers the rules concerning the financial resources necessary for the funding
of the EC budget (‘own resources’). These own resources are made up mainly from
contributions from Member States based on 1) traditional own resources from customs
and agricultural duties and sugar levies, 2) a resource based on VAT and 3) a resource
based on the level of gross national income (GNI). Member States must ensure the
creation of appropriate administrative capacity to adequately co-ordinate and ensure the
correct calculation, collection, payment and control of own resources and reporting to the
EU for implementation of the own resources rules.
As regards the
traditional own resources (TOR),
the Customs Policy Department
within the Ministry of Finance has been designated as the TOR co-ordination unit.
National reporting on cases of fraud or irregularities will be carried out by the
Department of Customs Control; fine-tuning of the procedures for reporting to the
Commission in line with the requirements of the acquis is still required. The procedures
and responsibilities for the establishment, collection and accounting of sugar levies have
been defined but Poland still needs to decide how the sugar levies controls will be carried
out. The procedures and systems for establishing the A and B accounts, under the
responsibility of the Department of Customs Services Organisation, are not yet fully in
place and will require the IT customs clearance system CELINA and accounting system
ZEFIR, directly linked to it, to be fully operational. It should be noted that any delays in
fully and accurately applying EC customs rules will impact on the accuracy of TOR
calculations.
Further efforts by the Ministry of Finance, in co-operation with the Central Statistical
Office, are required to improve the calculation of the
VAT-based resource,
in particular
as regards the calculation of the weighted average rate in accordance with ESA95. In this
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respect, IT systems necessary to obtain centralised VAT information on a cash basis need
to be further developed.
For calculation of the
GNI-based resource,
continued efforts are needed by the Ministry
of Finance, the Central Statistical Office and the National Bank of Poland to further
improve the quality and reliability of the national accounts and GNI calculations in line
with ESA95, including their exhaustiveness.
All institutions necessary for application of the own resources system in Poland exist. A
unit within the Ministry of Finance co-ordinates own resources issues and is operating
effectively. To further support the co-ordination of the activities of the various ministries
involved in own resources, an inter-ministerial task force was established.
Conclusion
Poland is essentially meeting the commitments and requirements arising from the
accession negotiations in the area of
financial and budgetary provisions
and is
expected to be in a position by accession to implement the relevant acquis. Poland should
now focus attention on further improving the reliability of GNI statistics, streamlining
the calculation of the VAT-based resource, defining the modalities in the field of
controlling sugar levies, completing the procedures for keeping the A and B accounts and
finalising the procedures for sending reports on cases of fraud or irregularities to the
Commission via the OWNRES application.
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D.
C
ONCLUSION
Poland has maintained a stable macroeconomic situation and is experiencing a gradual
recovery, mainly driven by external demand. The reform path has nearly come to a halt
since last year's Report.
As regards the areas, where last year’s report suggested improvements, some progress
has been made, but challenges remain. The Polish authorities have shown so far some
reluctance to tackle the needed fiscal adjustment. A deep restructuring and reduction of
public expenditure are, however, crucial in order to further improve the policy mix,
reverse the rapid rise in public debt, and prepare Poland's public finances for accession.
The Polish authorities should ensure that any decision on the use of the revaluation
reserve does not undermine the financial independence of the central bank. Progress in
restructuring heavy industries, energy distribution and agriculture has been modest since
last year and considerable efforts still need to be made to advance the reform agenda in
this area. The new insolvency law adopted in February upgrades the bankruptcy and
liquidation framework and brings it into line with the requirements of a modern market
economy. Little progress has been achieved as regards the functioning of the land
registry, and the authorities need to pursue their efforts at modernising the system.
As regards overall administrative and judicial capacity, sufficient conditions are in place
for the implementation of the
acquis
by the Polish public administration and judiciary,
but there is room for further improvements. In the field of public administration, the
number of civil servants appointed from open competitions should increase, while co-
ordination across the civil service should be improved and structures dealing with
European integration need strengthening. Efforts are still needed to improve the
efficiency and transparency of the judiciary, with particular attention to further
developing and organising the system of legal aid. The fight against corruption should
continue to receive high priority, in particular through strengthening co-ordination
structures and administrative support to ensure an effective implementation of the anti-
corruption strategy.
As regards the implementation of the
acquis
in specific policy areas, the findings of this
report are set out below.
Firstly, it should be noted that Poland has reached a
high level of alignment with the
acquis
in most policy areas.
It is expected to be in a position to implement the
acquis
as required in the following
areas by accession: horizontal and procedural measures as well as new approach sectoral
legislation in the
free movement of goods
chapter; citizens’ rights, free movement of
workers and co-ordination of social security systems, in terms of
free movement of
persons;
personal data protection and information society services in the area of
freedom
to provide services;
capital movements and payments, and payment systems related to
the
free movement of capital; company law
and accounting; and the anti-trust area in the
competition policy
chapter. In the area of
agriculture,
Poland is expected to be in a
position by accession to implement the
acquis
in a number of horizontal areas, in most
common market organisations, and in veterinary issues as regards animal disease control
and zootechnics.
Poland is also expected to be in a position to implement the
acquis
by accession in: most
areas of the
transport
sector; the areas of direct taxation as well as administrative co-
operation and mutual assistance in the field of
taxation;
most areas related to
economic
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and monetary union; statistics;
equal treatment of women and men, social dialogue,
employment policy, social inclusion and social protection in the area of
social policy and
employment;
the
energy
sector; industrial strategy in the
industrial policy
chapter;
small
and medium-sized enterprises; science and research; education and training; culture
policy;
programming as far as
regional policy and co-ordination of structural
instruments
is concerned; horizontal legislation, air quality, waste management, water
quality, industrial risk management, chemicals, genetically modified organisms, noise,
and nuclear safety and radiation protection in the
environment
chapter; safety-related
measures and consumer organisations in terms of
consumer and health protection;
many
aspects in
justice and home affairs; customs union;
the common commercial policy, and
humanitarian aid and development policy in the
external relations acquis; common
foreign and security policy;
external audit in terms of
financial control;
and
financial and
budgetary provisions.
Secondly, in certain areas Poland partially meets the commitments and requirements and
needs to make
enhanced efforts
in order to complete its preparations for accession.
This includes the old approach sectoral legislation on the
free movement of goods,
as
well as the non-harmonised area and public procurement; the area of
free movement of
services,
as regards the right of establishment and the freedom to provide non-financial
services, as well as banking, insurance, investment services and securities markets; in the
field of
free movement of capital,
the reinforcement of its efforts in the fight against
money laundering; within the field of
company law,
the protection of intellectual and
industrial property rights; and in the state aid area of
competition policy.
In the
agriculture
area it concerns trade mechanisms, the common market organisations for
milk, beefmeat, and eggs and poultry, rural development, trade in live animals and
animal products, common measures, animal welfare and animal nutrition; and as regards
the areas of structural actions, state aid and international fisheries agreements in relation
to
fisheries
policy.
This also includes the fields of: maritime
transport;
VAT and excise duties in the area of
taxation;
the independence of the national central bank in terms of
economic and
monetary union;
labour law, health and safety at work, public health, the European
Social Fund (ESF) and anti-discrimination in the area of
social policy and employment;
privatisation and restructuring in the
industrial policy
chapter;
telecommunications and
information technologies,
including in particular the postal services sector;
audio-visual
policy;
the legislative framework, institutional structures, and financial management and
control in terms of
regional policy and co-ordination of structural instruments;
the
industrial pollution and nature protection areas of
environment
policy; market
surveillance and non-safety measures in the area of
consumer and health protection;
the
Schengen Action Plan, visa policy, external borders, the fight against fraud and
corruption, drugs, and money laundering in the area of
justice and home affairs; external
relations,
as regards bilateral agreements with third countries; and public internal
financial control, control over structural action expenditure and the protection of EC
financial interests in the area of
financial control.
Thirdly, Poland must take immediate and decisive action to address nine issues of
serious concern
in three chapters of the
acquis
if it is to be ready by the date of
accession.
This concerns the field of
free movement of persons,
relating to Poland’s preparations for
mutual recognition of qualifications, in particular as regards training for certain
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professions in the healthcare sector. It also concerns the field of
agriculture,
as regards
Poland's preparations to set up its Paying Agencies, to implement the Integrated
Administration and Control System and to upgrade agri-food establishments in line with
public health requirements. Furthermore, it concerns, in the area of veterinary and
phytosanitary control, measures relating to transmissible spongiform encephalopathies
(TSEs) and animal by-products, movement controls of animals, and the control of potato
ring rot and wart disease. Finally, it concerns the areas of resource management and
inspection and control, and market policy in the
fisheries
chapter.
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1465027_0065.png
S
TATISTICAL ANNEX
1998
Basic data
Population (average)
Total area
National accounts a)
Gross domestic product at current prices
Gross domestic product at current prices
Gross domestic product per capita b) at current
prices
Gross domestic product at constant prices (nat.
currency)
Employment growth
Labour productivity growth
Unit labour cost growth
Gross domestic product per capita b) at current
prices
GDP per capita b) at current prices in PPS
Labour productivity (GDP per person employed in
PPS)
Structure of production
- Agriculture
- Industry (excluding construction)
- Construction
- Services
Structure of expenditure
- Final consumption expenditure
- household and NPISH
- general government
- Gross fixed capital formation
- Stock variation d)
- Exports of goods and services
- Imports of goods and services
Inflation rate
Consumer price index
553.6
141.3
3,700
38,666
312,685
1999
38,654
312,685
2000
in 1000
38,646
in km²
312,685
2001
38,641
312,685
2002
38,232
312,685
1000 Mio Zloty
615.1
145.5
3,800
713.4
178.0
4,600
750.8
204.5
5,300
772.2
200.2
5,200
1000 Mio ECU/euro
in ECU/Euro
% change over the previous year
4.8
1.2
3.6
-1.5
7,700
4.1
-3.9
8.3
-0.9
8,300
4.0
-1.6
6.5
-4.6
9,200
1.0
-2.2
3.2
5.1
9,400
:
9,500
1.6
-3.0
4.8
in Purchasing Power Standards
in % of EU-15 average
38
40
39
43
40
46
40
47
39
48
% of Gross Value Added c)
4.8
27.6
8.7
59.0
79.0
63.6
15.4
25.2
1.1
28.2
33.4
4.0
27.1
8.8
60.1
80.0
64.4
15.5
25.5
0.9
26.1
32.5
3.6
25.7
8.2
62.6
81.6
63.7
17.9
23.9
1.1
28.3
34.9
3.8
24.1
7.2
65.0
82.7
64.8
17.9
20.9
0.1
28.1
31.8
3.1
23.8
6.5
66.5
84.2
66.2
18.0
19.1
0.0
30.0
33.3
as % of Gross Domestic Product
% change over the previous year
11.8E
7.2E
10.1
5.3
1.9
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1465027_0066.png
1998
Balance of payments
-Current account
-Trade balance
Exports of goods
Imports of goods
-Net services
-Net income
-Net current transfers
-
of which: government transfers
- FDI (net) inflows
Public finance
General government deficit/surplus
General government debt
Financial indicators
Gross foreign debt of the whole economy
Gross foreign debt of the whole economy
Monetary aggregates
- M1
- M2
- M3
Total credit
Average short-term interest rates
- Day-to-day money rate
- Lending rate e)
- Deposit rate e)
ECU/EUR exchange rates
- Average of period
- End of period
- Effective exchange rate index
Reserve assets
-Reserve assets (including gold)
-Reserve assets (excluding gold)
External trade
Trade balance
Exports
Imports
Terms of trade
Exports with EU-15
Imports with EU-15
-16,416
25,179
41,595
104.3
68.3
65.6
24,239
23,413
3.918
4.089
31.9
21.1
23.6
16.8
:
52.9
19.9
54.0
-6,156
-11,450
28,960
40,410
3,761
-1,051
2,584
391
5,677
1999
-11,716
-14,142
28,205
42,346
1,296
-948
2,077
204
6,821
2000
-10,812
-13,339
38,981
52,320
1,533
-1,599
2,592
334
10,133
2001
2002
in Mio ECU/euro
-5,916 -7,188 g)
-8,521
46,458
54,979
902
-1,529
3,232
317
:
:
:
:
:
:
:
6,377 4,335 g)
in % of Gross Domestic Product
-2.3
41.6
-1.5
42.7
-1.8
37.2
-3.0
37.3
-4.1p
41.8p
in % of Gross Domestic Product
23.3
25.3
24.0
22.1
as % of exports
82.8
96.7
23.9
63.4
:
62.9
14.1
17.4
10.4
4.227
4.159
:
73.5
18.1
20.3
13.5
4.008
3.850
% per annum
17.1
18.9
11.2
3.672
3.495
32.1
30,288
29,252
85.0
24.4
76.5
78.8
29.7
95.8
95.8
90.0
:
:
33.9
79.5
80.0
82.7
9.5
12.9
5.6
3.857
4.021
30.8
28,409
27,362
1000 Mio ECU/euro
(1ECU/euro=..New Zloty)
1990=100
29.0
29.5
Mio ECU/euro
27,219
26,288
29,551
28,587
Mio ECU/euro
-17,420
25,727
43,147
100.8
70.5
64.9
-18,752
34,407
53,159
96.0
69.9
61.2
-15,832
40,335
56,167
102.3
69.2
61.4
-14,900
43,381
58,281
102.8
68.7
61.7
previous year=100
as % of total
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1465027_0067.png
1998
Demography
Natural growth rate
Net migration rate (including corrections)
Infant mortality rate
Life expectancy :
Males:
Females:
Labour market (Labour Force Survey)
Economic activity rate (15-64)
Employment rate (15-64), total
Employment rate (15-64), males
Employment rate (15-64), females
Employment rate of older workers (55-64)
Average employment by NACE branches
- Agriculture and forestry
- Industry (excluding construction)
- Construction
- Services
Unemployment rate, total
Unemployment rate, males
Unemployment rate, females
Unemployment rate of persons < 25 years
Long-term unemployment rate
Social cohesion
Inequality of income distribution
Early school-leavers
Population in jobless households (persons aged
0-65)
Standard of living
Number of cars
Main telephone lines
Number of subscriptions to cellular mobile
services
Infrastructure
Railway network
Length of motorways
74
268
230
227.8
50.3
:
:
:
65.9
59.0
68.9
77.3
0.5
-0.3
9.5
1999
0.0
-0.4
8.9
2000
0.3
-0.5
8.1
at birth
69.7
78.0
2001
0.1
-0.4
7.7
70.2
78.4
2002
-0.2
-11.7 f)
7.5
70.4
78.8
per 1000 of population
per 1000 live-births
68.8
77.5
% of population
65.8
57.6
66.1
55.1
66.0
53.4
64.9
51.5
66.5
64.4
61.5
59.2
56.9
51.7
51.0
48.9
47.7
46.2
as % of the total population of the same age group
32.1
31.2
28.0
27.4
26.1
in % of total
19.1
25.0
7.0
48.9
10.2
8.5
12.2
21.3
4.8
18.1
24.4
6.9
50.6
13.4
11.8
15.3
29.6
5.8
18.7
23.6
7.4
50.3
16.4
14.6
18.6
35.7
7.4
19.2
24.0
6.7
50.1
18.5
17.1
20.2
39.2
9.3
19.6
22.6
5.9
51.8
19.9
19.1
20.9
41.6
10.9
% of labour force
ratio of top quintile to lowest quintile
4.2
:
:
:
:
:
4.6
:
7.9
:
:
7.6
% of population aged 18-24
% of population aged 0-65
per 1000 inhabitants
240
263.2
102.1
259
283.3
174.6
272
294.1
248.6
289
310.6
363.7
in km per 1000 km²
73
Km
317
358
337
405.0
72
68
67
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1998
Industry and agriculture
Industrial production volume indices
Gross agricultural production volume indices
Innovation and research
Spending on Human
expenditure on education)
Resources
(public
5.42
103.5p
105.9
1999
103.6p
94.8
2000
106.7p
94.4
2001
100.6p
105.8
2002
101.4p
98.1
previous year=100
as % of GDP
5.18
5.07
as % of GDP
:
:
Gross domestic expenditure on Research &
Development
Level of Internet access - households
Environment
Total greenhouse gases emissions
Energy intensity of the economy
Share of renewable energy
Modal split of freight transport
p= provisional figures
E= estimated data
0.72
0.75
0.7
:
:
per 1000 inhabitants
:
:
5.1
7.7
:
tonnes CO2 equivalent per capita
71.3
840.5
2.1
52.9
70.9
779.3
1.9
55.7
68.1
717.6
1.9
56.9
:
:
:
60.3
:
:
:
:
kg of oil equivalent per 1000 euro of GDP
as % of total electicity consumption
as % of total freight transport
a) Break in the national accounts series between 1999 and 2000; change in the methodology, Poland will provide
consistent time series later in 2003.
b) Figures have been calculated using the population figures from National Accounts, which may differ from those used in
demographic statistics.
c) Including FISIM.
d) These figures include changes in inventories, acquisitions less disposals of valuables and the statistical discrepancy
between the GDP and its expenditure components.
e) Series break after 2001.
f) This rate is the result of the total net international migration of permanent residents (18 000 persons) and the
difference (391000 persons) between the estimated data of population for 2001 (resulting from the balance method and
based on the 1988 census) and for 2002 (based on the Population Census 2002).
g) Source: Website of the National Bank
Methodological notes
Inflation rate
For
details
please
refer
to
the
following
link
to
the
Eurostat
website:
http://europa.eu.int/newcronos/suite/info/notmeth/en/theme1/strind/ecobac_ir.htm
Finance
Public finance: The general government deficit / surplus refers to the national accounts concept of
consolidated general government net borrowing / net lending (EDP B.9) of ESA95. General government
debt is defined as consolidated gross debt at end-year nominal value.
External trade
Imports and exports (current prices). The data is based upon the special trade system. Trade Classification:
Trade in goods are recorded using the commodity classification according to the Combined Nomenclature.
Imports are recorded on CIF basis, exports on FOB basis.
Imports and exports with EU-15. Data declared by Poland.
Labour market
Indicators are harmonised annual figures with the exception of average employment by NACE branches
and unemployment rate of persons < 25 years, which are for the 2
nd
quarter of the respective year. The
68
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1465027_0069.png
results are based on the European Union Labour Force Survey (LFS). The EU LFS is conducted on a
quarterly basis in accordance with Council Regulation (EEC) No. 577/98 of 9 March 1998.
For
details
please
refer
to
the
following
link
on
the
Eurostat
website:
http://europa.eu.int/newcronos/suite/info/notmeth/en/theme1/strind/emploi.htm
Social cohesion
For
details
please
refer
to
the
following
link
on
the
Eurostat
website:
http://europa.eu.int/newcronos/suite/info/notmeth/en/theme1/strind/socohe.htm
Industry and agriculture
Industrial production volume indices. Data on industrial production relate to sold production (sales) for
domestic and external destination as well.
Gross agricultural production volume indices. Indices based on evaluation of all individual products of
gross agricultural production in constant prices of the year preceding the examined one. The indices of the
gross agricultural production are calculated on the basis of the previous year.
Innovation and research
For
details
please
refer
to
the
following
link
to
the
Eurostat
website:
http://europa.eu.int/newcronos/suite/info/notmeth/en/theme1/strind/innore.htm
Environment
For
details
please
refer
to
the
following
link
to
the
Eurostat
website:
http://europa.eu.int/newcronos/suite/info/notmeth/en/theme1/strind/enviro.htm
Sources
Total area, External trade, Demography, Standard of living, Infrastructure, Industry and agriculture:
National sources. Other indicators: Eurostat.
69