Press Release: Commission approves rules on separation of accounts for public service providers

On 12.7.00 the European Commission approved an amendment of the so-called Transparency Directive. This amendment introduces separation of accounts for companies which operate, on the one hand, services of general economic interest and receive compensation in form of payments or special or exclusive rights and which, on the other hand, are also active in normal commercial operations. 'Such separation of internal accounts will make the actual costs of the public service obligations more apparent and provide the Commission with the necessary data to examine complaints about alleged over-compensation of public service costs and cross-subsidisation of commercial activities', Competition Commissioner Mario Monti commented. The formal adoption of the different language versionsby the Commission will take place on 19.7.00. The competence of the Commission to address directives or decisions to Member States in such matters is directly derived from the EC Treaty (Article 86).