Commission refers four member states to the Court of Justice for not implementing defence procurement rules

The European Commission decided to ask Court of Justice of the EU to fine Poland, The Netherlands, Luxembourg and Slovenia for not implementing defence procurement rules. In particular, the Commission refers this four countries to the Court of Justice for failing to fully implement the Directive on procurement of arms, munitions and war material (and related works and services) for defence purposes, as well as the procurement of sensitive supplies, works and services for security purposes.

Directive 2009/81/EC was adopted in August 2009 and had to be implemented in all EU Member States by 20 August 2011. However, so far, Poland, The Netherlands, Luxembourg and Slovenia have failed to fully implement the Directive on procurement of arms, munitions and war material (and related works and services) for defence purposes, as well as the procurement of sensitive supplies, works and services for security purposes. Poland, The Netherlands and Luxembourg have not yet notified to the Commission any national implementing measures. Slovenia has only notified part of the required provisions, as it was unveiled by the Commission in June 2012.

The Commission proposes a daily penalty payment of €70,561.92 for Poland, €57,324.80 for The Netherlands, €8,320 for Luxembourg and €7,038.72 for Slovenia which would have to be paid as from the date of the Court's affirmative ruling until the Member States concerned notify the Commission that they have fully implemented the rules into national law. These financial penalties are proposed by the Commission under the Lisbon Treaty and take into account the duration and the gravity of the infringement and the size of the Member State. The final decision on the penalties rests with the Court.

If the Directive is not fully implemented in all Member States, companies and taxpayers are denied the benefits of easier access to a more open, transparent, pan-European defence market. The Directive introduces fair and transparent rules to help companies access defence and security markets in other EU countries; flexibility for contracting authorities to negotiate in detail all features of complex contracts; and the option for contracting authorities to require safeguards (from suppliers) to ensure the protection of classified information against unauthorised access and security of supply, which would help ensure that armed forces receive deliveries in time - particularly in times of crisis or armed conflict.