There are over 20 existing EU regulations governing the sharing of data from connected vehicles. These rules already allow consumers full control over their data while providing a fair and balanced system for third-party access. Despite the current load of regulations, the EU is gearing up to introduce yet another one.
Jocelyn Delatre is Head of Digital Policy at European Automobile Manufacturers’ Association (ACEA)
Instead of reinventing the wheel, the EU should build on existing rules while ensuring a coherent legal framework for sharing data generated by vehicles.
As Ursula von der Leyen stated in her political guidelines for her new mandate, what the EU actually needs is a comprehensive Data Strategy building on current rules, not adding on extra layers of complexity.
But will her ambition fall on deaf ears?
There is a loud chorus of stakeholders who believe the EU needs even more complexity calling for sector-specific regulation for the vehicle market. Indeed, the Commission has worked on a wide-reaching proposal for a regulation on access to not only vehicle data but also functions and resources.
On the surface, the proposal sought to complement an existing piece of EU legislation – the Data Act – passed late last year. But early drafts of the Commission’s impact assessment told a different story.
The regulation would introduce sector-specific rules diverging from the Data Act, even before this comprehensive regulation on data sharing from all connected products had even been implemented.
The Data Act, a flagship, all-encompassing price of data legislation was lauded as a broad-spectrum, one-stop-shop regulation covering all connected products, including vehicles.
The new rules guarantee businesses and consumers complete authority over the data shared by their connected products such as vehicles – as well as control over who can access it with no exceptions.
Access to data is provided under fair and non-discriminatory conditions. It prevents monopolistic practices by vehicle manufacturers and ensures that independent service providers, such as repair shops and diagnostic services, can obtain the necessary data to offer their services.
Moreover, the legal framework also includes stringent data protection measures. This dual focus on access and protection ensures that while data is readily available to authorised parties, it is also safeguarded against misuse and unauthorised access
With the Data Act firmly in place, seemingly there’s no need for the burden of additional legislation.
Well, wrong. The Commission’s proposal appears to still be on the table. What’s worse, the prospect is hanging over us like Damocles's sword at a time when we face unprecedented competitive pressure from other global regions and an increasingly challenging maze of legislative complexity and duplicity in Europe.
Put simply, the EU can no longer afford to regulate its way out of every perceived problem.
The proposal inevitably only undermines competitiveness by adding yet another burden when our focus should be on managing the massive green and digital transformation our industry faces.
What’s worse, the regulation could open the doors to third parties to influence vehicle behaviour on the road – posing major safety risks at a time when cybersecurity threats are on the rise.
With a new Commission leadership in office, putting competitiveness and industrial policy back at the heart of EU policy making must be the ordre du jour, it is an opportune moment reassess rather than resuscitate this initiative.
Introducing new legislation would not only be redundant but could also exacerbate the complexity faced by vehicle manufacturers in compliance.
Manufacturers would encounter increased administrative burdens and potential overlaps in regulatory requirements, leading to inefficiencies and higher compliance costs.
Streamlining existing regulations would better serve the industry and consumers, fostering innovation and maintaining a fair competitive environment while ensuring data security and privacy.
We support Ursula von der Leyen’s goal to leverage existing rules. Over the next five years, the Commission should focus on harnessing this legal framework, striving for coherence, and supporting the industry in its compliance efforts.
y doing so, the Commission can help bring data to the market effectively – without reinventing the wheel and adding further complexity to an already intricate maze.