EDPS Proposes Digital Clearinghouse 2.0 for Enhanced EU Regulatory Cooperation
On January 15, 2025, the European Data Protection Supervisor (EDPS) released a concept note for the Digital Clearinghouse 2.0. This initiative aims to establish a consistent and cooperative approach to enforcing EU laws that regulate digital markets. The evolving digital regulatory landscape now encompasses more than just data protection, consumer protection, and competition law. In response to the rapid development of artificial intelligence and the associated risks to fundamental rights posed by major online platforms, the EU has adopted significant legislation, including the Digital Governance Act, Digital Markets Act, Digital Services Act, Data Act, and Artificial Intelligence Act. These laws highlight the critical need for personal data protection in the current economy.
The EDPS emphasizes that while these legislative measures provide new tools for the EU and its Member States, there is still a need for improvement in cross-regulatory cooperation. This is essential to prevent inconsistencies in the application of legal requirements within the complex digital landscape. To address this, the EDPS has identified three key areas for focus: ensuring coherent application of the EU Digital Rulebook, fostering collaboration between regulatory bodies, and reinforcing data protection as a foundational element of the digital regulatory framework.
To achieve these goals, the EDPS proposes the establishment of the Digital Clearinghouse 2.0. This forum would enable regulators to identify shared concerns, facilitate coordination, and exchange valuable knowledge and resources. For optimal effectiveness, the forum should be equipped with sufficient resources, potentially including a permanent secretariat. Additionally, the EDPS encourages the European Commission to consider a new legislative proposal that would enhance cross-regulatory cooperation and information sharing among authorities regarding ongoing investigations.
The successful implementation of the Digital Clearinghouse 2.0 could significantly improve the consistent application of EU laws in the digital domain. However, it is crucial for the European Commission to closely monitor how these various pieces of legislation are applied within the digital economy. This oversight will help assess the interaction between different legal frameworks and determine whether legislative revisions are necessary to clarify their governance structures. The EDPS looks forward to collaborating with EU legislators, Member States, and competent authorities to create a strong, coherent, and collaborative digital regulatory environment that benefits EU citizens.