Commission presents voluntary sustainability reporting standard to ease burden on SMEs (VSME)
The European Commission is urging EU countries to accelerate preparations for the AI Act ahead of the Aug. 2, 2025 deadline. Member states must designate competent authorities, define penalties, and report on resources and readiness. The commission provided a detailed template for EU countries to self-assess the adequacy of their national authorities, and guidance asking them to justify their choices for their governance structure.
The European Commission is increasing pressure on EU member states to finalize preparations for implementing the AI Act, while requesting a detailed assessment of the adequacy of national authorities and explanation of the governance set-up.
The AI Act requires that European governments establish national competent authorities and define the relevant sanction regimes by Aug. 2. However, nearly all EU countries are expected to miss this legal deadline, MLex understands.
“While I am fully aware of the ongoing preparations in your member state, I wish to underline the importance of a timely establishment of the national governance to prepare the start of its application and enforcement,” reads a “courtesy reminder” Roberto Viola, the head of the commission’s digital policy department, sent to the bloc’s ambassadors at the end of June.
Lucilla Sioli, the director of the commission’s AI Office, referenced Viola's reminder in a letter sent last week to EU countries and stressed timely implementation of national governance plans "to prepare the start of the AI Act’s application."
If national legislation has not been formally adopted by the Aug. 2 deadline, the EU executive is asking member states to provide an update on any interim steps, the expected adoption date, and any foreseeable elements that might impact timely adoption.
Moreover, the commission has provided practical guidance to European governments to fulfill their legal obligations, which requires justifications of their national governance structure, along with a detailed template to structure their self-assessment of the adequacy of their national authorities.
— Adequacy of national authorities —
As of this August and at least once every two years thereafter, EU countries must report to the commission on the status of financial and human resources for their national competent authorities to ensure adequacy.
To fulfill this reporting requirement, the commission provided a reporting template, seen by MLex, with the caveat that “the commission will assess the adequacy of this template and review, where appropriate, based on experience after the first submissions of the reports.”
The template requires specification of the national competent authorities involved, the timeframe of their assessment, budget allocation, including for outsourcing, and changes compared to previous years.
Regarding human resources, EU countries are asked to provide a breakdown of in-house experts in AI, data computing, data protection, cybersecurity, fundamental rights, standards, legal requirements, and specific sectors.
Capacity-building activities, collaborations with academia, and the use of external consultants should also be listed.
Additionally, European governments must self-assess the extent to which their national authorities align with the AI Act’s duties, comply with timelines for checks, incident reporting, and sanctions, and address emerging challenges.
The commission also wants them to identify specific shortfalls, carry out gap analyses, score the adequacy of their budget, technical expertise, and enforcement capacity, and highlight potential challenges such as cross-border coordination or technical complexity.
— Market surveillance authorities —
The law requires European governments to provide a full list of designated authorities under the AI Act, including the scope of their competences, and to indicate which one will serve as the single point of contact.
Regarding the designation of market surveillance authorities, the law states that, by default, current authorities responsible for overseeing products regulated under sectoral safety regulations should also enforce the AI rules.
However, member states are permitted to derogate from this default option, as long as coordination with sectoral market surveillance authorities is ensured. If EU countries choose to apply such a derogation, the commission is asking them to provide justification.
For designating authorities to supervise high-risk AI systems in law enforcement, migration, and the administration of justice, the commission is asking European governments whether this role is fulfilled by the data protection authority under the GDPR or by another regulator with equivalent independence, powers, tasks, and reporting obligations.
Furthermore, the EU executive wants to know how national legal rules empower market surveillance authorities in line with the Market Surveillance Regulation, while incorporating their responsibilities under the AI Act.
— Notifying authorities —
The AI Act also provides for the creation of notifying authorities responsible for designating and overseeing conformity assessment bodies, known as notified bodies.
The commission asked member states whether they have delegated the role of notifying authorities to national accreditation bodies established under the EU Regulation on Accreditation and Market Surveillance. Member states, furthermore, are asked how they are freeing notifying authorities from conflicts of interest and ensuring impartiality.
EU countries are also asked to explain how they have structured the notifying authorities to meet the AI law’s requirement that individuals who assess conformity assessment bodies are not the same individuals who decide whether to approve them.
The commission also wants to know how notifying authorities have been staffed with adequate personnel for the performance of their tasks, including individuals with expertise in technologies, AI, and law.
***
Commission urges Member States to finalize AI Act implementation
As the August 2, 2025 deadline approaches, the European Commission is intensifying pressure on EU Member States to complete preparations for the AI Act. National governments are expected to designate competent authorities, define sanction regimes, and report on the adequacy of their governance structures. The Commission has provided guidance and a self-assessment template for authorities to evaluate their legal, financial, and technical readiness, including staffing, expertise, and inter-agency coordination. Countries are also required to report on the capacity and independence of authorities overseeing high-risk AI systems and market surveillance.
This “courtesy reminder” from the Commission reflects growing concern that most EU countries will miss the legal deadline. To address this, the Commission is requesting updates on interim steps and justifications for governance decisions. It also seeks clarity on the designation and impartiality of notifying authorities, particularly for conformity assessments, and on how national structures ensure compliance with obligations under both the AI Act and the Market Surveillance Regulation. The implementation progress will be closely monitored, with adequacy reports required at least every two years.
Source:
Write a comment