Speaking at an Association of Commercial Television event in Brussels last week, Reding criticised member states for demanding restrictions on when ad breaks can be shown.
Reding is overseeing a proposed update of the Television without Frontiers Directive, which governs EU media laws.
In support of the EC proposal allowing broadcasters to choose the most appropriate moment to insert advertising during programmes, Reding said: "In a convergent media world with enhanced competition, commercial TV and the advertising business clearly needs flexibility under the regulatory framework."
The proposal will maintain the hourly limit for advertising of 12 minutes, and the limit of one ad break every 35 minutes in children's programming, news and films.
A final vote on the Directive is expected at the end of the year.
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