Categories  Merging & Acquisition

EU Warns Germans, Dutch To Comply With Procurement Law

The European Commission has sent the German and Dutch governments a letter warning them to take action to comply with an EU defense procurement law within two months or face potential fines.
In a statement issued Jan. 26, the commission says it is “concerned that [Germany and the Netherlands] have failed to fulfill their commitments under the Directive (2009/81/EC) regarding procurement of arms, munitions and war material (and related works and services) for defense purposes, and also the procurement of sensitive supplies, works and services for security purposes.
“While the majority of the member states have either fully implemented the Directive or are finalising the adoption of transposing measures, in these two member states,  Germany and The Netherlands, all of the Directive‘s provisions still have to be implemented and the transposition process is very slow,’ the commission states.
The deadline for implementing the rules in question was Aug. 20.
The commission‘s request to Germany and the Netherlands takes the form of a reasoned opinion , the second step in an EU infringement procedure, and one that may lead to the countries being fined if they take no action.
If the national authorities do not reply satisfactorily within two months, the Commission may refer the matter to the European Court of Justice and ask for the payment of financial penalties,‖ the commission statement says.

By JULIAN HALE Defense News

 

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