Digital Single Market
Digital Economy & Society

Action 104: Follow up on eCommerce Action Plan, Green Paper on payments


The European Commission published the Green Paper on an integrated European market for card, internet and mobile payments (January 2012) which was followed by a public consultation. In the Single Market Act II (October 2012), the Commission announced legislative actions as a follow-up to the Green Paper i.e. revision of the Payment Services Directive (directive 2007/64/EC) and legislative initiative on multilateral interchange fees. The proposals were published in July 2013. Legislative process is on-going.

What is the problem?

EU payment market suffers from a number of drawbacks. The costs of acceptance of cards, as the most common payment instrument online are high, payments markets are still fragmented, in some cases the industry has not yet agreed on a set of technical standards for the whole of the EU. The markets are not as dynamic and innovative as they should. There are many new technologies, such as using electronic wallets or smartphone at the point of sale. However – except in a few EU countries – it is difficult for these services to enter cross-border market for payments.

Why is EU action required?

The traditional approach to the payments, which combined regulation, self-regulation and competition enforcement, has brought concrete results. At the core lies the Single Euro Payments Area, a project run by the banking sector. The body in charge of SEPA – the European Payments Council – has achieved a lot since it was set up in 2002, but after ten years the project needs to be reinvigorated (see Action 7).

The Commission needs to update the current legal framework in the area of payments to reflect market developments, ensure level playing field for innovative payment service providers as well as consumer's convenience and security. Standardisation and interoperability issues need to addressed by appropriate fora.

What has the Commission done so far?

The Commission's work on payments has been pursued with the Green Paper on an integrated European market for card, internet and mobile payments, which opened a public consultation. The Commission enquired stakeholders on a number of issues related to: innovative payment service providers, costs of payments for consumers and merchants, standardisation and interoperability.

On 24th July 2013, the Commission published the following legislative proposals:

What will the Commission do next?

The Commission will assist the European Parliament and the Council during the legislative process of the above proposals.

ETSI logo
In Europe the mobile payments market is very fragmented with systems and pilots developed mostly at national level. Technical solutions are sometimes specified in standards organizations and consortia, but the emergence of a pan-European marketplace for m-payments might still be inhibited by the lack of cross-border standardized/interoperable technical solutions. With regard to security in particular, the multiplicity of technical solutions adds to market fragmentation, to the complexity of the cost of rolling out and running the service. This ultimately constitutes a barrier (maybe the major barrier) to market uptake that all players, whatever their strategies and positions in the value chain, have a common interest in overcoming. In view of this market context the European Commission and ETSI are co-organizing a workshop to kick start a collaborative effort to define a generic (i.e. technology agnostic) standardized security platform to enable secure and interoperable m-payments service delivery.
Add to Calendar

Add to calendar

France, 06921 Sophia Antipolis cedex, 650 Route des Lucioles


Session 1 - Landscaping
Chair ETSI

09:00 Opening/welcome – objectives of the WS
09:15 Keynote speech: Commission's objectives with mobile payments. Outcomes and findings of the EC Interservices group.
09:45 Anatomy of the m-payments market in the EU: main types of solutions and leaders. Includes The ecosystem: various types of market players, various objectives
10:15 Regulation: the legal and regulatory context (PSD2). Is it sufficient?
10:45 Coffee Break

A dedicated approach: do mobile payments differ from traditional payments-and how?
Risks to be addressed for each category of stakeholders

11:45 Users (supply/demand): demand, requirements, expectations
12:15 On the supply side: offer, requirements, expectations
12:45 Q/As - Discussion session
13:00 Lunch Break

Session 2 - Understanding the ecosystem and the issues
Chair EC DG Market

14:30 Mobile operators point of view (p2p, SE) and issues faced
15:00 POS and m-POS providers point of view and issues faced
15:30 Banks point of view and issues faced
16:00 Card schemes points of view and issues faced
16:30 Coffee Break
16:45 TSMs point of view and issues faced
17:15 Internet players point of view and issues faced
17:45 Security through the ecosystem (interfaces) 
18:15 Wrap up and concluding remarks by the Chair
18:30 Meeting adjourns
19:00 Networking cocktail


Session 3 - Security and Consumer protection
09:00 Recap of the conclusions of day 1
09:15 Secure pay recommendations
09:45 Issues related to security - Fraud in mobile payments
10:15 Security on a chip
10:45 Coffee Break
11:15 Security in the cloud
11:45 Security at POS
12:15 Consumer protection / Data protection / Child protection
12:45 Q/As - Discussion session
13:00 Lunch Break
Session 4 - Way forward - Chair  ETSI and EC
14:30 Common security features to enable cross sector business mix e.g. transport and ticketing/ A technology agnostic security platform (so players can focus on VAS)

Wrap  up discussion/inventory of the material collected

15:30 Where do we go from here/ Next steps and commitments
16:00 Conclusions, meeting adjourns
16:10 Farewell Coffee


Connecting Europe: Fast Broadband for All

Helping European films thrive

Digital Single Market is an extremely vast subject. We all know that it is about removing barriers to transactions which take place online, but there are many layers behind this concept.
Add to Calendar

Add to calendar


These transactions can be about buying and selling physical goods online (e–commerce) and the so called "digital content" (music, books, videos…). We don’t need physical support any more; we can have the content directly online.

 There is consumer demand to buy online and businesses are interested in to offer new, innovative services. But something is missing: it can be lack of adequate payment system, lack of delivery option or finally slow internet connection, which puts off consumers and businesses from online transactions. 

Moreover, before the consumer can buy online, the entrepreneur needs to invest. Whether is about setting up a website by an SME or getting licences to offer streaming music service, it costs! Before being able to harvest digital economy, companies need to make investments.

These issues will be discussed during the workshop. If you are interested in digital economy, if you have an e-shop or you buy music online, or maybe don't buy because of […] you are warmly welcome to join the discussion.

Share you experience with us, tell us what is the way forward for the EU, how policy makers should support digital single market in Europe!


Join the online debate on digital single market, and twitter using #da13dsm

Progress Report
Status: On track Jorgen GREN Jorgen GREN