Question by Anna Hedh (PSE. SW) to the Commission on links between alcohol consumption and public health

According to the Commission there are clear links between alcohol consumption and public health. As Commissioner Kyprianou stated in a speech to Parliament on 5 September, 100 000 people die of alcohol-related injuries or diseases in Europe every year.

Alcohol costs EUR 125 billion per year and its social costs to the EU are therefore largely of the same order as those of tobacco. The reference level used in Sweden to determine whether alcohol transported across a border is for private or commercial use is currently 230 litres of alcoholic drinks per import consignment. Swedish policy on alcohol is made up of several components, one of which has been high excise duties and thus a high purchase price. However, the force of this tool has now been significantly weakened since the current EU rules permit the import of large quantities of alcohol from other Member States which do not apply the same policy. Does the Commission consider, in the light of the clear link between alcohol consumption and public health, that Sweden could adjust its reference level downwards on public health grounds without contravening EU legislation? Could Sweden, relying on Article 30 or any other section of the Treaty, set different import limits for alcohol as part of its restrictive alcohol policy?

Response:

The Commission shares the concern of the Honourable Member regarding alcohol misuse and that is why the Commission adopted on 24 October 2006 a Communication on reducing alcohol related harm.

However, the vast majority of Member States do not consider it appropriate to curb alcohol consumption through the level of excise duties, inter alia because moderate, responsible consumption by adults is not considered detrimental to health or raises social concerns generally. Sweden follows a different policy in the matter. This forms part of the discretion left to Member States.

In accordance with the principle governing the internal market, Article 8 of Directive 92/12/EEC lays down that private individuals wishing to purchase alcohol in another Member State may do so provided the goods are transported by and are for the own use of the individual. The indicative level, totalling 230 litres of various categories of alcoholic drinks (among which only 10 litres of spirit drinks), to which the Honourable Member refers is laid down in Article 9 of that Directive. The purpose of guide levels fixed in accordance with this provision is only to provide orientation when it comes to establish whether the products are genuinely for the individual's own use and, therefore, not subject to duty in the Member State of destination, or whether they are for commercial purposes in which case duty will be due. Thus, the figures given in Article 9 shall not be considered as allowances. However, Member States may not fix guide levels lower than those set out in Article 9.

With regard to Article 30 of the Treaty, the Commission notes that Article 8 of Directive 92/12/EEC, read

in connection with Article 9 thereof, exhaustively deals with the matter in question, namely importation of products from a given Member State into another Member State without payment of taxes in the latter. Indeed, these provisions take account of the interest, on the part of Member States, to apply their own taxes on products brought into their territory from other Member States. This interest may be related to tax income reasons or, indeed to other policy reasons linked to alcohol taxation, such as health protection. In this regard, it has to be recalled, first, that the harmonisation system to which these provisions belong does not foresee maximum rates, which implies that Member States may fix their national rates at any point equal or above the minimum rate, including for reasons of health protection. It has to be recalled, secondly, that in this very context, some Member States including Sweden have been granted transitional regimes. These regimes derogate from Articles 8 and 9, having regard to the particular position of these States1, notably in terms of public health policies.2 Those regimes have expired on 31 December 2003 (for Sweden, cf. Article 26(3) of Directive 92/12/EEC).

In sum, the way in which Member States of importation may apply their own tax rules to private imports from other Member States is harmonised at Community level, including with regard to possible health policies of the former. Consequently, Member States are not entitled to invoke Article 30 EC in the matter, in order to unilaterally lay down and apply stricter rules.

1 In the case of Sweden, the Accession Treaty provided for a transitional period ending 31 December 1996. This period was prolonged through Directive 96/99/EC (OJ L 8 of 11.1.1997) and through Directive 2000/44/EC (OJ L 161 of 1.7.2000). both of which amended Article 26 of Directive 92/12/EEC.

2 The fifth recital of Directive 96/99/EC as well as the second recital of Directive 2000/44/EC refer to the fact that Sweden has "traditionally applied high excise duties to the products concerned both as an important source of revenue and for health and social reasons".