The Greek government is set to establish a new Independent Administrative Authority, following a Cabinet decision on Wednesday morning. This new entity, inspired by the Independent Authority for Public Revenue (AADE) and models from countries such as Sweden and Italy, aims to significantly reform market supervision and enhance consumer protection.
A Comprehensive Structural Reform
This initiative aims to address overlapping roles, administrative confusion, and inadequate inspections that currently affect market regulation.
According to Development Minister Takis Theodorikakos, the new Authority will merge the functions of the Consumer Ombudsman, the Interagency Market Control Unit (DIMEA), and vital departments from the General Secretariat for Commerce. While it will share a structure similar to AADE, its focus will be strongly consumer-centered and socially responsible.
Strengthened Responsibilities
The Authority will operate under five core pillars:
- Inspection: Conducting market checks for pricing violations, improper labeling, unfair commercial practices, and issues such as shrinkflation (reducing product size without lowering prices).
- Sanctioning: Imposing fines and administrative penalties in response to both complaints and proactive investigations.
- Mediation: Facilitating out-of-court dispute resolution between consumers and businesses.
- Advisory: Providing policy proposals to the Ministry of Development focused on consumer protection.
- Supportive: Promoting consumer awareness, aiding consumer organizations, and implementing specific initiatives for vulnerable groups.
Organizational Framework
Leadership will include:
- Governor: Accountable for the Authority’s strategic direction, operations, and institutional representation.
- Three Deputy Governors, each with distinct duties:
- Deputy Governor for Market Oversight & Consumer Protection
- Deputy Governor serving as Consumer Ombudsman
- Deputy Governor overseeing Financial & Administrative Services
All senior officials will be appointed for full-time, five-year terms.
Staffing Approach
The Authority will be staffed through:
- Transfer of current personnel from existing institutions
- Creation of new positions for expert advisers and associates
- Mobility options allowing for internal and external movement, potentially circumventing standard civil service regulations
- Open selection for managerial roles, including candidates from outside the public sector, via revised ASEP procedures
The goal is to enable swift and effective staffing to ensure the Authority operates at full capacity from the outset.
Funding Sources
Funding will derive from:
- State budget
- European programs (such as the Consumer Programme)
- Percentage of collected fines
- Fees for complaint submissions, where appropriate
This funding model ensures operational independence while minimizing the financial burden on taxpayers.
Commitment to Transparency and Accountability
Similar to AADE, the Authority will be accountable to parliamentary oversight and will be required to:
- Submit annual reports to the Hellenic Parliament
- Publish all administrative actions on the “Diavgeia” platform
- Maintain an independent internal audit system
- Utilize digital tools to foster transparency and public trust
The Objective
The government’s aim with the new Authority is to restore equilibrium in consumer-business interactions, alleviate public uncertainty, and enhance the credibility of the state’s market oversight system.
Ask me anything
Explore related questions
