The Riigikogu passed the Act enhancing the monitoring of political party funding
At today’s sitting, the Riigikogu adopted an Act enhancing the supervision of political party funding and concluded the second reading of two bills and the first reading of ten bills.
The Riigikogu passed the Act on Amendments to the Political Parties Act and the Credit Institutions Act (585 SE), initiated by the Government. It expands the investigative powers of the Political Parties Financing Surveillance Committee. Among other things, a possibility is created to obligate political parties, election coalitions, members of political parties and people running as candidates in the lists of political parties and election coalition as well as independent candidates, affiliated organisations of political parties and third parties to submit documents, information and explanations to the committee.
The Act specifies the definition of a donation and the catalogue of prohibited donations and amends the consequences applicable to the acceptance of a prohibited donation. During the procedure, an amendment was supported as a result of which people who have the permanent right of residence or the status of a long-term resident in Estonia would no longer be allowed to donate to political parties. It was also specified that funds intended for exercising the mandate of a Member of the European Parliament or a member of the Riigikogu and for supporting the activities of European-level political parties and political foundations would not be donations from legal entities but it would be prohibited to use them for election campaigns and if they would be used for that purpose this would be regarded as a prohibited donation.
A deadline is included in the Act – 30 days from the date of receipt of a donation – within which it will be possible for the recipient of the donation to transfer the prohibited donation back to the person who has made the donation. Upon expiry of the deadline, the prohibited donation will have to be transferred to state revenues. Prohibited donations made from the funds of the European Parliament will constitute an exception and will have to be returned to the European Parliament.
The Act also expands the definition of an affiliated organization of a political party, so that being an affiliated organization will no longer depend solely on whether the political party is a founder or member of the foundation or non-profit organization. According to an amendment, regional and nationwide membership associations of political parties, and other legal entities recognized as affiliated organizations by political parties will also be considered affiliated organizations.
The Act also specifies the reporting obligations of political parties and provides that political parties will also have to disclose the expenses of surveys and data harvesting under the expenses of political activities in the future. The Act establishes the period of active election campaigning in order to distinguish between the period between elections and the campaign period. In addition, the upper limit for obligations arising from loan agreements for political parties is eliminated. It is currently 25 per cent of the amount allocated to political parties from the state budget.
Martin Helme from the Estonian Conservative People’s Party Group, Lauri Laats from the Centre Party Group, Priit Sibul from Isamaa Parliamentary Group and Riina Sikkut from the Social Democratic Party Parliamentary Group took the floor during the debate.
50 members of the Riigikogu supported the passing of the Act and 22 voted against.
Two Bills passed the second reading
The Bill on Amendments to the State Assets Act (772 SE), initiated by the Government, passed its second reading in the Riigikogu. It is intended to streamline the administration of the state’s holding and make the regulation of supervisory boards and internal audit more flexible and clearer. The bill will make the selection of civil servants as members of the supervisory board more flexible, reduce the representation of the Ministry of Finance on the supervisory boards of foundations, and amend the internal audit obligation.
According to the Bill, the ministry as the holding administrator will be able to elect and recall its representative on the supervisory board of a state-owned company without a proposal from the appointments committee. This will reduce the workload of the appointments committee and give the holding administrator greater flexibility. The number of foundations where one member of the supervisory board must be appointed on the proposal of the Minister of Finance will decrease from 59 to 20. This obligation remains only for larger foundations.
The Bill will significantly raise the thresholds for the application of the internal audit obligation. The new obligation will arise when the balance sheet total exceeds EUR 15 million or revenues exceed EUR 10 million. Internal auditor may be forgone only in the case when there is no obligation to form an audit committee and the internal audit unit of the administrator of the State’s holding or the person exercising the founder’s rights is used. The number of companies with an internal audit obligation will increase from 18 to 19 and the number of foundations will decrease from 47 to 20.
The role of the holding administrator as a supervisor will be strengthened in order to simplify the assessment of the performance of partially state-owned companies and foundations. Administrators of holdings in companies as well as persons exercising founder’s rights in foundations will be given the explicit right to examine the work of supervisory boards and internal audit documents, such as minutes and audit results.
During the second reading, a provision was added to the bill that would allow not only state-owned companies but also their subsidiaries to donate to aid Ukraine under a simplified procedure. The validity of the exemption will be extended by three years, that is, until the end of 2030.
Anastassia Kovalenko-Kõlvart from the Centre Party Group and Riina Sikkut from the Social Democratic Party Parliamentary Group took the floor during the debate.
The Bill on Amendments to the Law of Obligations Act and the Consumer Protection Act (796 SE), initiated by the Government, also passed the second reading. According to it, it will have be possible to cancel an online purchase within 14 days as easily as making a purchase from an online store. For this, online stores will have to have a withdrawal function, that is, a withdrawal button. According to the bill, terminating a service will also have to be as easy as subscribing to the service. This means that, once the amendment enters into force, traders will no longer be able to use the practice where, for example, consumers can conclude internet and mobile communications contracts online, but they must visit an office if they wish to terminate their contracts.
As one important amendment, the Bill provides for consumers’ right to demand human interaction when conducting business online. If a business has set up communication through a chatbot, consumers will have to have the option to transfer the conversation to a live agent. This is especially important when a financial service product is complex or when the robot’s standard responses remain too general. The consumer must have the opportunity to communicate with a person before concluding a contract in order to ensure that they have correctly understood the terms of the transaction.
The Bill will transpose into Estonian law the European Union’s directive on the distance marketing of financial services which adapts consumer protection requirements to the usage logic of the digital age where financial services are increasingly being contracted via telephone, online forms, and chatbots. The aim is to provide consumers with sufficient protection in the event of transactions concluded by means of communication. Pre-contractual information will have to be presented clearly and be understandable to the user even on a small screen.
Ten Bills passed the first reading
The Bill on Amendments to the Securities Market Act and Other Acts (882 SE), initiated by the Government, passed its first reading in the Riigikogu. Its aim is to develop the Estonian capital market, simplify the raising of financing for companies and expand investment opportunities. The amendments are largely based on European Union regulation and are linked to a broader plan to create a single capital markets union in the EU.
The bill will make going public on the stock exchange more flexible for companies. The bill provides that, in order for shares to be admitted to trading on the market, the proportion of freely tradable shares will have to be at least 10 percent, instead of the current minimum of 25 percent. In this regard, the market operator will also be able to assess the sufficiency of publicly held shares based on other criteria, such as the number of investors or the market value of the shares. This will enable more companies to go public.
The bill will also improve the availability of investment research so that investors would have more reliable information. To this end, restrictions on the funding of research reports will be eased, and a clearer framework will be established for issuer-funded research reports to ensure their transparency. In addition, the creation of growth markets intended for small and medium-sized enterprises will be simplified which will help them raise capital at an earlier stage of development and will support the development of entrepreneurship.
The Bill on Amendments to the 2021–2027 European Union Cohesion and Internal Security Policy Funds Implementation Act and the Repeal of the 2004–2006 Structural Assistance Act (883 SE), initiated by the Government, passed its first reading. Its aim is to streamline the regulation of personal data processing and the support administration register.
According to the bill, beneficiaries of support will not be able to claim interest under the State Liability Act if a decision to recover the support is later annulled, but no damage has arisen as a result. The current procedure allows for interest to be claimed even if the beneficiary has not actually suffered any damage; in the future, claims for damages will be based on actual damage arisen.
The bill will also specify the categories of personal data processed in the register. Regarding data retention, it will be specified that personal data will be anonymized after the initial retention period and after the end of the main period the data will be stored in the register solely for statistical purposes for another five years, after which it will be deleted.
In the case of Interreg programmes, English will be provided for at the legislative level as the procedural language in order to ensure a uniform procedural language in cross-border cooperation.
The Bill on Amendments to the Alcohol Act, the Alcohol, Tobacco, Fuel and Electricity Excise Duty Act and the Statutory Fees Act (881 SE), initiated by the Government, passed its first reading. It provides that the operation of the state register of alcohol will terminate on 1 November. The purpose of the amendments is to reduce the administrative burden of economic operators and simplify bringing alcoholic beverages to the market.
In the future, the producers and importers of alcoholic beverages will no longer have to enter their products to the state register of alcohol; instead, they will be able to bring them to the market directly, provided that the products meet the requirements and are safe. Several additional reporting requirements will also be eliminated, such as the obligation to submit lab test protocols or reports on the circulation of wine.
The amendment will also reduce the administrative burden of the state because the Agriculture and Food Board will no longer need to keep the register and will be able to redirect the freed resources to supervision.
The Bill on Amendments to the Fishing Act and Amendments to Other Associated Acts (887 SE), initiated by the Government, passed the first reading. It will bring the Acts into line with the European Union’s updated rules on fisheries control.
According to the bill, in the future, catch data can be submitted electronically and the origin of fish can be digitally tracked throughout the entire supply chain, and fishing vessels will be equipped with location tracking devices. Fisheries surveillance will also be strengthened and, to combat illegal fishing, sanctions will be tightened in case of serious violations taking into account the value of the fish caught.
The aim of the amendments is to ensure better conservation of natural resources and support fair competition. The new requirements and rules will come into effect progressively in 2026–2030.
Siim Pohlak from the Estonian Conservative People’s Party Group and Urmas Kruuse from the Reform Party Parliamentary Group took the floor during the debate.
The Estonian Conservative People’s Party Group moved to reject the Bill at the first reading, but the motion was not supported. Six members of the Riigikogu supported rejection but 39 were against.
The Bill on Amendments to the Administrative Procedure Act and the Public Information Act (866 SE), initiated by the Government, passed its first reading. Its aim is to establish a clear and technology-neutral legal framework for automated administrative procedures.
Automated administrative procedure is a procedure where decisions are made or acts are performed automatically, without immediate intervention by a human, and using information technology solutions. Automated procedures are already used in several areas, but there is no clear legal framework defining the limits of the application of automated administrative procedures.
The aim of the amendments is to ensure the speed, efficiency, and legitimacy of administrative procedures in order to provide more effective and person-centred services and strengthen trust in the state. The Bill provides for clear notification regarding the use of automated administrative procedure so that a person would know why a decision was made regarding them and what options they have to challenge that decision.
Evelin Poolamets from the Estonian Conservative People’s Party Group took the floor during the debate.
The Bill on Amendments to the Riigi Teataja Act (879 SE), initiated by the Government, passed its first reading. It will establish the legal basis for a new database of draft legislation, so that the entire life cycle of a legislative act, from its initiation to its publication in the Riigi Teataja, could be followed in a single environment. The new database will make it possible to involve various interested parties and stakeholders in policy-making at an early stage.
Once the environment is ready, the database will also replace the current draft legislation information system (DIS). With the help of the new functions, the officials involved in legislative drafting will save an estimated 1,855 working days per year on technical work. The new database will also support the transition from document-based legislative drafting to a data-based approach, which will improve the usability of data and create conditions for further automation.
Evelin Poolamets from the Estonian Conservative People’s Party Group took the floor during the debate.
The Bill on Amendments to the Penal Code and Other Acts and the Repeal of the Probation Supervision Act (878 SE), initiated by the Government, passed its first reading. Its purpose is to reduce recidivism and improve legal clarity. The Bill will create a clearer and more effective system for the enforcement of punishment, which will make the organisation of work of the prison service and probation supervision more flexible and efficient.
The amendment of the procedures for subjection to supervision of conduct is intended to ensure that more prisoners would remain under probation supervision after their prison sentence, so that they could gradually reintegrate into society and would not be left without the necessary support and supervision after their release. According to the explanatory memorandum, better-organised reintegration into society reduces recidivism.
The Bill on Amendments to the Penal Code and the Victim Support Act (amendments related to the transposition of the revised version of the Directive on Trafficking in Human Beings) (880 SE), initiated by the Government, passed its first reading. It is intended to enhance the prevention of trafficking in human beings and the protection of victims and to bring Estonian law into line with the European Union’s Directive on Trafficking in Human Beings.
Among other things, the directive specifies the liability of legal persons, improves data collection, and strengthens cooperation and coordination at both the national and EU levels. Systems are also being developed that help to identify victims of trafficking in human beings at an early stage and provide them with the necessary assistance.
The bill will include surrogacy against a woman’s will and illegal adoption to the necessary elements of trafficking in human beings in the Penal Code. Also, the use of a service will become punishable by up to five years’ imprisonment if the user knows that the person providing the service is a victim of trafficking in human beings. In this regard, the standard duty of care will apply.
Varro Vooglaid from the Estonian Conservative People’s Party Group took the floor during the debate.
The Communicable Diseases Prevention and Control Bill (889 SE), initiated by the Government, passed its first reading. Its aim is to improve the prevention of infectious diseases and make the fight against disease outbreaks and the resolution of health crises more effective. The bill will specify definitions related to infectious diseases and establish modern principles for responding in the event of disease outbreaks and crises.
The bill will change the organization of the vaccination of children in schools and provide that parents who agree to their child being vaccinated will no longer have to submit a separate written consent to the school nurse. Vaccination remains voluntary, and parents who do not wish to have their child vaccinated may continue to refuse.
The bill will abolish the requirement for a health certificate for catering establishments. The health certificates currently required are formal in nature and may not reflect the real situation or provide protection. Employers remain responsible for preventing the spread of infectious agents and protecting at-risk groups in the workplace.
The bill will also increase the protection of people’s health in nursing homes. Infection control requirements will be expanded from healthcare institutions to other high-risk environments as well, including 24-hour care facilities, to prevent the spread of infectious diseases.
Helle-Moonika Helme from the Estonian Conservative People’s Party Group, Mihkel Lees from the Reform Party Group and Irja Lutsar from Estonia 200 Parliamentary Group took the floor during the debate. Tanel Kiik took the floor on behalf of the Social Democratic Party Group.
The Estonian Conservative People’s Party Group moved to reject the Bill at the first reading, but the plenary did not support the motion. Nine members of the Riigikogu supported rejection but 43 were against.
The Bill on Amendments to the Traffic Act (835 SE), initiated by Members of the Riigikogu Valdo Randpere, Madis Timpson and Marek Reinaas, also passed the first reading in the Riigikogu. According to it, indication signs will have to be installed before areas where automated traffic enforcement systems are used.
Currently, there is no uniform and binding legal obligation to inform road users about speed measurements carried out using an automated traffic enforcement system. According to the initiators, this has led to situations where speed is measured covertly, which undermines the sense of justice and erodes trust in law enforcement.
The aim of the bill is to ensure the transparency, preventive nature, and legality of traffic enforcement, insofar as the main purpose of speed enforcement is not to punish, but to improve road safety and encourage law-abiding behaviour.
During the debate, Andre Hanimägi took the floor on behalf of the Social Democratic Party Group and Valdo Randpere made a speech on behalf of the Reform Party Parliamentary Group.
The debate that followed the 2026 report on the implementation of the fundamentals of legislative drafting policy by Liisa Pakosta was adjourned at yesterday’s sitting of the Riigikogu due to the end of working hours. Tiit Maran from the Social Democratic Party Group, Varro Vooglaid from the Estonian Conservative People’s Party Group, Anastassia Kovalenko-Kõlvart from the Centre Party Group and Lea Danilson-Järg from Isamaa Parliamentary Group took the floor during the debate that continued today.
The sitting ended at 9.56 p.m.
Verbatim record of the sitting (in Estonian)
Video recording will be available to watch later on the Riigikogu YouTube channel.
Riigikogu Press Service
Karin Kangro
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