AI Act: Germany Consults on Implementation Law
Germany is taking significant steps towards the implementation of the EU AI Act, which was established last year but has seen only partial enforcement so far. The legislative proposals indicate that existing regulators will take on new responsibilities to ensure compliance among German companies.
Enhanced Role of the Federal Network Agency
The Federal Network Agency (Bundesnetzagentur, BNetzA) is set to play a pivotal role in monitoring compliance with the AI Act. This agency will lead activities related to market surveillance, ensuring that the implementation of the regulations is coordinated across various authorities. Other existing authorities responsible for product regulation and financial services will also see their mandates expanded to include duties related to the AI Act.
Key Provisions of the AI Market Surveillance and Innovation Promotion Act
The draft of the AI Market Surveillance and Innovation Promotion Act aims to bring the EU AI Act into practical effect within Germany. While EU regulations have direct applicability, member states must adapt their national frameworks for effective implementation, especially concerning compliance monitoring and enforcement.
In this context, the BNetzA will not only oversee compliance but will also have responsibilities to promote innovation. Plans include the operation of an AI lab and a service desk to assist businesses in deploying AI technologies in alignment with the AI Act. Furthermore, fines are proposed for non-compliance, reinforcing the seriousness of adherence to the new regulations.
Timeline for Implementation
Member states were expected to have their implementing legislation in place by August 2, 2025. However, many, including Germany, have faced delays. The German federal government has committed to expediting the legislative process, especially following unscheduled parliamentary elections that have hindered progress. The draft law is currently open for public comment until October 10, 2025.
Expert Opinions on the Implementation
Experts have emphasized the necessity of having ground-level authorities to administer and apply the legal framework stemming from the EU AI Act. The BNetzA’s existing expertise in the digital domain positions it well for this crucial role, as it is already designated as the Digital Services Coordinator for Germany under the EU’s Digital Services Act.
However, some aspects of the new law remain vague, particularly regarding innovation promotion and penalties. Businesses are looking for clarity on these points to navigate the new regulatory landscape effectively.
Government Commitment to AI Governance
The federal minister for digital affairs has reiterated the government’s commitment to fostering an environment conducive to AI innovation while maintaining regulatory clarity. The aim is to provide German AI developers and users with clear contact points and streamlined processes, ensuring that the framework supports growth in AI development.
By establishing a robust structure for compliance and innovation, Germany seeks to position itself as a leader in the AI space, aligning with broader European objectives for technological advancement.
