EUROPEAN COMMISSION
Brussels, 18.10.2017
COM(2017) 599 final
2017/0261(NLE)
Proposal for a
COUNCIL DECISION
on the financial contributions to be paid by Member States to finance the European Development Fund, including the third instalment for 2017
EXPLANATORY MEMORANDUM
1.CONTEXT OF THE PROPOSAL
•Reasons for and objectives of the proposal
The proposal concerns a draft Council Decision on the third instalment of the financial contributions to the European Development Fund (EDF) to be paid by Member States in 2017.
The 11th EDF and other EDF funds which are still open (i.e. Eighth, Ninth and 10th EDF) are managed under the following set of rules:
- The current Partnership Agreement between the members of the African, Caribbean and Pacific Group of States on one side, and the European Community and its Member States on the other side (The ACP-EU Partnership Agreement) as last amended,
- The Internal Agreement between the Representatives of the Governments of the Member States of the European Union, meeting within the Council, on the financing of European Union aid under the multiannual financial framework for the period 2014 to 2020, in accordance with the ACP-EU Partnership Agreement and on the allocation of financial assistance for the Overseas Countries and Territories to which Part Four of the Treaty on the Functioning of the European Union applies (the 11th EDF 'Internal Agreement'),
- Council Regulation (EU) 2015/323 on the Financial Regulation applicable to the 11th European Development Fund ("the 11th EDF Financial Regulation").
The documents mentioned above contain multi-annual commitments by Member States to support financially the EDF treasury. The 11th EDF Financial Regulation provides for regular contributions to be made by Member States to the EDF treasury against pre-determined financial commitments. Regular contributions are triggered by technical Council Decisions which reflect the implementation of financial commitments previously decided.
Some of the headings in the explanatory memorandum are therefore not applicable to regular contribution calls such as this one.
•Consistency with existing policy provisions in the policy area
Refer to point 1. Reasons for and objectives of the proposal.
•Consistency with other Union policies
Refer to point 1. Reasons for and objectives of the proposal.
2.LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY
•Legal basis
In accordance with Article 21(7) of the 11th EDF Financial Regulation, the amount managed by the Commission and the amount managed by the European Investment Bank (EIB) are specified separately.
In accordance with Article 52 of the 11th EDF Financial Regulation, the EIB has sent the Commission its updated estimates of commitments and payments under the instruments it manages.
In accordance with Article 22(1) of the 11th Financial Regulation calls for contributions shall first use up the amounts available from previous EDFs, one after the other. For the Commission, all amounts from previous EDFs having been used up, the calls for contributions in this proposal therefore concern amounts under the 11th EDF.
In accordance with Article 21(5) of the 11th EDF Financial Regulation, the Council shall decide on this proposal at the latest 21 calendar days following the presentation by the Commission of its proposal.
In accordance with Article 2 of Council Decision (EU) 2017/1206, the shares of Member States’ contributions set out in Article 1(2) (a) of the Internal Agreements of the Eighth and Ninth EDF shall be reduced. The reduction shall be implemented against the third instalment 2017 and/or the first instalment 2018 Member States' contributions according to the option for adjustment chosen by each Member States.
Article 23(1) of the 11th EDF Financial Regulation provides that a Member State which fails to pay the instalment of the contribution due by the deadline will be required to pay interest on the amount unpaid; the arrangements for the payment of interest are specified in the same Article.
•Subsidiarity (for non-exclusive competence)
Refer to point 1. Reasons for and objectives of the proposal.
•Proportionality
Refer to point 1. Reasons for and objectives of the proposal.
•Choice of the instrument
Refer to point 1. Reasons for and objectives of the proposal.
3.RESULTS OF EX-POST EVALUATIONS, STAKEHOLDER CONSULTATIONS AND IMPACT ASSESSMENTS
•Ex-post evaluations/fitness checks of existing legislation
•Stakeholder consultations
•Collection and use of expertise
•Impact assessment
•Regulatory fitness and simplification
•Fundamental rights
4.BUDGETARY IMPLICATIONS
5.OTHER ELEMENTS
•Implementation plans and monitoring, evaluation and reporting arrangements
•Explanatory documents (for directives)
•Detailed explanation of the specific provisions of the proposal
2017/0261 (NLE)
Proposal for a
COUNCIL DECISION
on the financial contributions to be paid by Member States to finance the European Development Fund, including the third instalment for 2017
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty on European Union and to the Treaty on the Functioning of the European Union,
Having regard to the Internal Agreement between the Representatives of the Governments of the Member States of the European Union, meeting within the Council, on the financing of European Union aid under the multiannual financial framework for the period 2014 to 2020, in accordance with the ACP-EU Partnership Agreement and on the allocation of financial assistance for the Overseas Countries and Territories to which Part Four of the Treaty on the Functioning of the European Union applies ("the Internal Agreement") and in particular Article 7(2) thereof,
Having regard to the Council Regulation (EU) 2015/323 of 2 March 2015 on the Financial Regulation applicable to the 11th European Development Fund ("the 11th EDF Financial Regulation"), and in particular Article 21(5) thereof,
Having regard to the proposal from the European Commission,
Whereas:
(1)In accordance with the procedure laid down in Article 21(5) of the 11th EDF Financial Regulation, the Commission shall present a proposal by 10 October 2017 specifying (a) the amount of the third instalment of the contribution for 2017, (b) a revised annual amount of the contribution for 2017, in cases where the amount deviates from actual needs.
(2)In accordance with Article 52 of the 11th EDF Financial Regulation, the European Investment Bank sent to the Commission its updated estimates of commitments and payments under the instruments it manages.
(3)Article 22(1) of the 11th EDF Financial Regulation provides that calls for contributions first use up the amounts provided for in previous EDFs. Therefore a call for funds under the 11th EDF should be made for funds to the European Commission.
(4)By means of Decision (EU) 2016/2026, the Council has adopted on the 11 November 2016, on a proposal by the European Commission, the Decision to set the annual amount of the Member States' EDF contributions for 2017 at EUR 3 850 000 000 for the European Commission, and at EUR 150 000 000 for the European Investment Bank.
(5)The Council has adopted a reduction of contribution from the Eighth and Ninth EDF decommitted funds for an amount of EUR 200 000 000.
HAS ADOPTED THIS DECISION:
Article 1
The individual European Development Fund contributions to be paid by the Member States to the European Commission and the European Investment Bank as the third instalment for 2017 are set out in the table in the Annex to this Decision.
Payments of those contributions may be combined with adjustments under the implementation of the reduction of contributions for an amount of EUR 200 000 000 from decommitted funds under the Eighth and Ninth EDF, following an adjustment plan communicated by each Member State.
Article 2
This Decision is addressed to the Member States.
Done at Brussels,
For the Council
The President