The EDES in detail
The EDES is the new system established by the Commission to reinforce the protection of the Union's financial interests and to ensure sound financial management.
It replaces the Early Warning System and the Central Exclusion Database as of 1 January 2016.
The EDES includes a number of improvements to the current tools by the setting-up of new Panel and the creation of a new database.
The new rules will be applicable from 2016 to all contracts, grant agreements, prizes, financial instruments and remunerated experts, as well as for the implementation of the budget under indirect management.
The purpose of the EDES is the protection of the Union's financial interests against unreliable economic operators. In particular, the EDES ensures:
The information on early detection/exclusion/financial penalty may stem from:
The grounds for exclusion are listed under article 106(1) of the Financial Regulation. They concern:
A new Panel is set-up to assess requests and issue recommendations for exclusion and financial penalty referred to it by the Commission or other Institutions and bodies and (Article 108 of the Financial Regulation). The competent authorising officer will refer a case to the Panel for a central assessment where there are no final judgments or final administrative decisions related to the exclusion and its duration or to the financial penalty, and their publication.
Where the contracting authority decides to deviate from the recommendation of the panel, it shall justify such decision to the panel.
The Panel will also be competent to ensure the rights of defence of the economic operator.
It is then the competent authorising officer that takes the decision on the basis of the panel recommendation to exclude and or impose a financial penalty and possibly publish the related information on the Commission's website.
The system retains the possibility to assess the remedial measures taken by the economic operator to demonstrate its reliability. In this case, the economic operator should not be excluded (except for the most severe criminal activities).
The Panel will be independent and composed of:
The above information on early detection or exclusion and/or financial penalty will be entered in a database (the EDES database) by the Commission, its executive agencies, other institutions, bodies or European offices.
The database is set up and operated by the Commission (Article 108 (1) Financial Regulation).
The EDES shall comply with Regulation (EC) No 45/2001 of the European Parliament and of the Council of 18 December 2000 on the protection of individuals with regard to the processing of personal data by the Community institutions and bodies and on the free movement of such data.
The privacy statement for the EDES database will soon be published.