EU proposal: better functioning data economy for consumers and businesses | news item

News item | 23-02-2022 | 13:56

The use of digital data is indispensable in the economy and society. Cross-border regulation that ensures a better distribution of the great value of data is therefore essential for businesses and consumers. It ensures that you can, for example, keep control over your own data or use different online services side by side. The cabinet therefore sees the EU Data Acta proposal released today by the European Commission, as an important step to make the data economy as a whole work better.

Minister Micky Adriaansens (Economic Affairs and Climate): “Sufficient competition between companies, more room for innovation and being able to keep a grip on your data as a consumer or company. For the cabinet, these are the areas for improvement for a properly functioning and fair data economy, and that is not possible without new standards.

The minister continues: “We can take steps with this via the Data Act. For example, when it comes to removing barriers when switching from one digital service to another. Or the right to use your data yourself as a consumer or company. The Netherlands has explicitly argued for this in Brussels. The government will now carefully study this important EU proposal to ensure that these new rules will actually be effective in the future.”

Data creates a lot of social and economic value. The data economy contributes to research and innovation, provides opportunities for increasing efficiency in business processes, provides better insight into societal issues and also improves the competitiveness of industries.

Insight and self-determination of own digital data

Presented today Date Act must ensure greater control by companies and consumers over the data they generate through the use of a product or service through EU-wide regulations. For example, they must also be able to use that data themselves or give it to a third party. Think, for example, of car data that a consumer gives to an independent mechanic for a repair or check. Or a farm that uses data from a smart tractor itself or links it to other devices and services. By focusing on this, the open data economy will improve.

Obligations to providers of digital services

The Data Act also imposes obligations on digital providers of so-called cloud services such as business software or data storage. The use of these services is increasing rapidly. Providers must ensure that the data and applications in their services are interchangeable and that services can also communicate with each other. By introducing joint standards for this purpose, users can switch more easily and use different services side by side. Consumers still experience barriers in this regard. This also ensures that other providers do not have sufficient access to the market and that innovation is hindered.

Legislation must also ensure that any use of private data by the public sector is organized in such a way that the interests, obligations and rights of all concerned are respected. Access to private data can be in the public interest in specific cases, for example data that Statistics Netherlands uses for its statistics. The legal basis for access to private data must be sufficiently defined, efficient and proportional. The Data Act can further contribute to this.

European negotiations

The responsible ministers, including Micky Adriaansens (EZK) on behalf of the Netherlands, will discuss the Date Act in the EU Telecom Council. After agreement in this Council and in the European Parliament, the Data Act will become legislation.

In improving the data economy, the Ministry of Economic Affairs has been working for two years with both the business community and involved organizations within, among others, the Dutch Data Sharing Coalition and the Dutch AI Coalition† In addition to legislation, there is also a broader focus on, for example, encouraging data sharing in practice.

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