Governance & Penalties
High-RiskPlain-Language Explanation
The AI Office (established within the European Commission) supervises GPAI models. The European AI Board coordinates national authorities. Penalties for violations are severe: up to €35M or 7% of global turnover for prohibited practice violations; up to €15M or 3% for other obligations; up to €7.5M or 1% for providing false information. SMEs pay whichever amount is lower.
Relevant Articles
Penalties
Three-tier penalty structure: (1) Up to €35M or 7% of global turnover for prohibited practice violations; (2) up to €15M or 3% for other obligations; (3) up to €7.5M or 1% for providing false information. SMEs pay the lower amount.
AI Office and Governance
Establishes the AI Office within the European Commission as the body responsible for supervising GPAI models, developing Union AI expertise, and coordinating enforcement with national authorities.
Administrative Fines on Union Institutions, Bodies, Offices and Agencies
Empowers the European Data Protection Supervisor to impose administrative fines on EU institutions, bodies, and agencies that violate the AI Act obligations in their capacity as deployers.
Advisory Forum
Establishes an Advisory Forum to provide technical expertise and advise the AI Office and Member States on AI Act implementation. Membership includes representatives from industry, civil society, academia, and standardisation bodies, balanced between large and small operators.
Scientific Panel of Independent Experts
Establishes a Scientific Panel of Independent Experts to support the enforcement of the AI Act, particularly regarding general-purpose AI models with systemic risk. The Panel assists the AI Office with technical assessments and evaluations.
National Competent Authorities
Requires each Member State to designate at least one national competent authority responsible for supervising the application and implementation of the AI Act. One authority must be designated as market surveillance authority.
EU Database for High-Risk AI Systems
Establishes an EU-wide database managed by the Commission for the registration of high-risk AI systems. The database enables transparency and provides market surveillance authorities with the information they need to supervise AI systems.
Post-Market Monitoring by the Provider
Requires providers of high-risk AI systems to establish and document a post-market monitoring system. This system must actively collect and analyse data from deployers to identify safety issues, serious incidents, and any need for corrective action.
Confidentiality
Requires national competent authorities, notified bodies, and the AI Office to ensure the confidentiality of information and data obtained during the application of the AI Act. Trade secrets and commercially sensitive information must be protected.
Penalties for Providers of General-Purpose AI Models
Sets out fines applicable to providers of general-purpose AI models who violate their obligations. Violations may result in fines of up to €15 million or 3% of global annual turnover for standard violations, and up to €30 million or 7% for withholding information.