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It is proposed under new EU rules that Ireland’s Data Protection Commission may be set to become the lead agency for regulating companies such as Facebook and Google across Europe.

In a proposed overhaul by the EU Commission of data protection rules, companies will have to contact fewer regulators for data protection issues across the region as the authority in the country where it is based will become a “one stop shop”.

It is reported by Bloomberg that EU Commissioner Viviane Reding, who put forward the overhaul of the rules in January 2012, hailed the report as “supporting the Commission’s aim” to strengthen Europe’s data protection rules”.

Many companies in Ireland such as Facebook, Google and Microsoft who have substantial operations in Ireland, may face stricter privacy rules requiring them to let users shift data to rivals in the European Union under proposed changes to the draft law.

Under the Commission’s proposal, for the first time all EU data protection watchdogs would be empowered to fine companies as much as two per cent of yearly global sales for “intentionally or negligently” violating the rules.

The policing of the use of personal data continues to trouble regulators and to date the heaviest penalty levied by an EU privacy regulator was a €100,000 fine by French Authorities in 2011for Google’s unauthorised collection of personal data for its Street View mapping service ( as reported from Bloomberg).