What Data Act rules apply to cloud switching charges and egress charges in contract terms?
Data Act Article 29 allows reduced switching charges from 11 January 2024 to 12 January 2027, but those charges must not exceed the costs directly linked to the switching process. From 12 January 2027, providers must not impose switching charges on customers for the switching process.
The Commission FAQ treats egress charges as included in switching charges for a switching operation. It also explains a separate in-parallel-use rule: where a customer uses services in parallel, such as multi-cloud deployment, providers may still pass on data egress costs incurred after 12 January 2027, provided they do not exceed those costs.
- List standard service fees, early termination penalties, and any reduced switching charges before contract signature.
- Keep a cost basis for any reduced switching charge used before 12 January 2027.
- Separate one-off switching egress from ongoing in-parallel-use egress in billing and customer notices.
Binding source for Chapter VI cloud switching duties, including Article 23 obstacle removal, Article 25 mandatory contract clauses, Article 26 information duties, Article 29 charges, Article 30 technical switching, and Article 31 specific regimes.
Commission FAQ source used for practical explanations of data processing service scope, exportable data, digital assets, switching and egress charges, notice and transition periods, interoperability repository process, SCC status, and IaaS/PaaS/SaaS distinctions.
Commission source for the non-binding model contractual terms and standard contractual clauses, including cloud SCC coverage for switching and exit, termination, security and business continuity, non-dispersion, non-amendment, and liability.
Commission overview source for Data Act application context and its policy objective of making data more accessible while encouraging innovation.