ISSN 1977-091X

Official Journal

of the European Union

C 265

European flag  

English edition

Information and Notices

Volume 60
11 August 2017


Notice No

Contents

page

 

 

EUROPEAN PARLIAMENT
2015-2016 SESSION
Sittings of 6 to 9 July 2015
The Minutes of this session have been published in OJ C 377, 13.10.2016 .
TEXTS ADOPTED

1


 

I   Resolutions, recommendations and opinions

 

RESOLUTIONS

 

European Parliament

 

Tuesday 7 July 2015

2017/C 265/01

European Parliament resolution of 7 July 2015 on delivering multimodal integrated ticketing in Europe (2014/2244(INI))

2

2017/C 265/02

European Parliament resolution of 7 July 2015 on prospects for the EU dairy sector — review of the implementation of the Dairy Package (2014/2146(INI))

7

2017/C 265/03

European Parliament resolution of 7 July 2015 on the external impact of EU trade and investment policy on public-private initiatives in countries outside the EU (2014/2233(INI))

17

2017/C 265/04

European Parliament resolution of 7 July 2015 on the fruit and vegetables sector since the 2007 reform (2014/2147(INI))

25

 

Wednesday 8 July 2015

2017/C 265/05

European Parliament resolution of 8 July 2015 containing the European Parliament’s recommendations to the European Commission on the negotiations for the Transatlantic Trade and Investment Partnership (TTIP) (2014/2228(INI))

35

2017/C 265/06

European Parliament resolution of 8 July 2015 on the Green Employment Initiative: Tapping into the job creation potential of the green economy (2014/2238(INI))

48

2017/C 265/07

European Parliament resolution of 8 July 2015 on tax avoidance and tax evasion as challenges for governance, social protection and development in developing countries (2015/2058(INI))

59

 

Thursday 9 July 2015

2017/C 265/08

European Parliament resolution of 9 July 2015 on resource efficiency: moving towards a circular economy (2014/2208(INI))

65

2017/C 265/09

European Parliament resolution of 9 July 2015 on Building a Capital Markets Union (2015/2634(RSP))

76

2017/C 265/10

European Parliament resolution of 9 July 2015 on the European Agenda on Security (2015/2697(RSP))

84

2017/C 265/11

European Parliament resolution of 9 July 2015 on the situation in Yemen (2015/2760(RSP))

93

2017/C 265/12

European Parliament resolution of 9 July 2015 on the security challenges in the Middle East and North Africa region and the prospects for political stability (2014/2229(INI))

98

2017/C 265/13

European Parliament resolution of 9 July 2015 on the review of the European Neighbourhood Policy (2015/2002(INI))

110

2017/C 265/14

European Parliament resolution of 9 July 2015 on the implementation of Directive 2001/29/EC of the European Parliament and of the Council of 22 May 2001 on the harmonisation of certain aspects of copyright and related rights in the information society (2014/2256(INI))

121

2017/C 265/15

European Parliament resolution of 9 July 2015 on the EU’s new approach to human rights and democracy — evaluating the activities of the European Endowment for Democracy (EED) since its establishment (2014/2231(INI))

130

2017/C 265/16

European Parliament resolution of 9 July 2015 on the situation in Burundi (2015/2723(RSP))

137

2017/C 265/17

European Parliament resolution of 9 July 2015 on the Srebrenica Commemoration (2015/2747(RSP))

142

2017/C 265/18

European Parliament resolution of 9 July 2015 on Cambodia’s draft laws on NGOs and trade unions (2015/2756(RSP))

144

2017/C 265/19

European Parliament resolution of 9 July 2015 on the Democratic Republic of the Congo (DRC), in particular the case of the two detained human rights activists Yves Makwambala and Fred Bauma (2015/2757(RSP))

147

2017/C 265/20

European Parliament resolution of 9 July 2015 on Bahrain, in particular the case of Nabeel Rajab (2015/2758(RSP))

151

2017/C 265/21

European Parliament resolution of 9 July 2015 on the situation of two Christian pastors in Sudan (2015/2766(RSP))

155


 

III   Preparatory acts

 

EUROPEAN PARLIAMENT

 

Tuesday 7 July 2015

2017/C 265/22

European Parliament decision of 7 July 2015 on the nomination of Bettina Michelle Jakobsen as a Member of the Court of Auditors (C8-0122/2015 — 2015/0803(NLE))

158

2017/C 265/23

P8_TA(2015)0240
Exercise of the Union’s rights under international trade rules ***I
European Parliament legislative resolution of 7 July 2015 on the amended proposal for a regulation of the European Parliament and of the Council laying down Union procedures in the field of the common commercial policy in order to ensure the exercise of the Union’s rights under international trade rules, in particular those established under the auspices of the World Trade Organization (codified text) (COM(2015)0049 — C8-0041/2015 — 2014/0174(COD))
P8_TC1-COD(2014)0174
Position of the European Parliament adopted at first reading on 7 July 2015 with a view to the adoption of Regulation (EU) 2015/… of the European Parliament and of the Council laying down Union procedures in the field of the common commercial policy in order to ensure the exercise of the Union’s rights under international trade rules, in particular those established under the auspices of the World Trade Organization (codification)

159

2017/C 265/24

P8_TA(2015)0241
Protection against injurious pricing of vessels ***I
European Parliament legislative resolution of 7 July 2015 on the proposal for a regulation of the European Parliament and of the Council on protection against injurious pricing of vessels (codified text) (COM(2014)0605 — C8-0171/2014 — 2014/0280(COD))
P8_TC1-COD(2014)0280
Position of the European Parliament adopted at first reading on 7 July 2015 with a view to the adoption of Regulation (EU) 2016/… of the European Parliament and of the Council on protection against injurious pricing of vessels (codification)

160

2017/C 265/25

European Parliament legislative resolution of 7 July 2015 on the draft Council decision on the approval, on behalf of the European Union, of the Declaration on the granting of fishing opportunities in EU waters to fishing vessels flying the flag of the Bolivarian Republic of Venezuela in the exclusive economic zone off the coast of French Guiana (05420/2015 — C8–0043/2015 — 2015/0001(NLE))

161

2017/C 265/26

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 3/2015 of the European Union for the financial year 2015 — entering the surplus of the financial year 2014 (09765/2015 — C8-0161/2015 — 2015/2077(BUD))

162

2017/C 265/27

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 4/2015 of the European Union for the financial year 2015, accompanying the proposal to mobilise the European Union Solidarity Fund for Romania, Bulgaria and Italy (09767/2015 — C8-0162/2015 — 2015/2078(BUD))

164

2017/C 265/28

European Parliament resolution of 7 July 2015 on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Union Solidarity Fund, in accordance with point 11 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (floods in Romania, Bulgaria and Italy) (COM(2015)0162 — C8-0094/2015 — 2015/2079(BUD))

166

2017/C 265/29

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 1/2015 of the European Union for the financial year 2015, Section III — Commission, accompanying the proposal for a Regulation of the European Parliament and of the Council on the European Fund for Strategic Investments and amending Regulations (EU) No 1291/2013 and (EU) No 1316/2013 (09876/2015 — C8-0172/2015 — 2015/2011(BUD))

167

2017/C 265/30

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 5/2015 of the European Union for the financial year 2015 — Responding to migratory pressures (09768/2015 — C8-0163/2015 — 2015/2121(BUD))

170

 

Wednesday 8 July 2015

2017/C 265/31

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion, on behalf of the European Union and its Member States, of the Protocol to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the former Yugoslav Republic of Macedonia, of the other part, to take account of the accession of the Republic of Croatia to the European Union (05548/2014 — C8-0127/2014 — 2013/0386(NLE))

173

2017/C 265/32

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion, on behalf of the European Union and its Member States, of the Protocol to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Serbia, of the other part, to take account of the accession of the Republic of Croatia to the European Union (06682/2014 — C8-0098/2014 — 2014/0039(NLE))

174

2017/C 265/33

European Parliament legislative resolution of 8 July 2015 on the draft Council decision concerning the renewal of the Agreement for scientific and technological cooperation between the European Community and the Government of the Republic of India (05872/2015 — C8-0074/2015 — 2014/0293(NLE))

175

2017/C 265/34

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion of the Agreement for scientific and technological cooperation between the European Union and the Faroe Islands associating the Faroe Islands to Horizon 2020 — the Framework Programme for Research and Innovation (2014-2020) (05660/2015 — C8-0057/2015 — 2014/0228(NLE))

176

2017/C 265/35

Amendments adopted by the European Parliament on 8 July 2015 on the proposal for a directive of the European Parliament and of the Council amending Directive 2007/36/EC as regards the encouragement of long-term shareholder engagement and Directive 2013/34/EU as regards certain elements of the corporate governance statement (COM(2014)0213 — C7-0147/2014 — 2014/0121(COD))

177

2017/C 265/36

P8_TA(2015)0258
Market stability reserve for the Union greenhouse gas emission trading scheme ***I
European Parliament legislative resolution of 8 July 2015 on the proposal for a decision of the European Parliament and of the Council concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and amending Directive 2003/87/EC (COM(2014)0020 — C8-0016/2014 — 2014/0011(COD))
P8_TC1-COD(2014)0011
Position of the European Parliament adopted at first reading on 8 July 2015 with a view to the adoption of Decision (EU) 2015/… of the European Parliament and of the Council concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and amending Directive 2003/87/EC

198

2017/C 265/37

P8_TA(2015)0259
Seafarers ***I
European Parliament legislative resolution of 8 July 2015 on the proposal for a directive of the European Parliament and of the Council on seafarers amending Directives 2008/94/EC, 2009/38/EC, 2002/14/EC, 98/59/EC and 2001/23/EC (COM(2013)0798 — C7-0409/2013 — 2013/0390(COD))
P8_TC1-COD(2013)0390
Position of the European Parliament adopted at first reading on 8 July 2015 with a view to the adoption of Directive (EU) 2015/… of the European Parliament and of the Council amending Directives 2008/94/EC, 2009/38/EC and 2002/14/EC of the European Parliament and of the Council, and Council Directives 98/59/EC and 2001/23/EC, as regards seafarers

199

2017/C 265/38

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion of the Agreement for scientific and technological cooperation between the European Union and European Atomic Energy Community and the Swiss Confederation associating the Swiss Confederation to Horizon 2020 — the Framework Programme for Research and Innovation and the Research and Training Programme of the European Atomic Energy Community complementing Horizon 2020, and regulating the Swiss Confederation's participation in the ITER activities carried out by Fusion for Energy (05662/2015 — C8-0056/2015 — 2014/0304(NLE))

200

2017/C 265/39

European Parliament legislative resolution of 8 July 2015 on the proposal for a Council decision on guidelines for the employment policies of the Member States (COM(2015)0098 — C8-0075/2015 — 2015/0051(NLE))

201

2017/C 265/40

European Parliament resolution of 8 July 2015 on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund, in accordance with point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2015/001 FI/Broadcom, from Finland) (COM(2015)0232 — C8-0135/2015 — 2015/2125(BUD))

223

2017/C 265/41

European Parliament resolution of 8 July 2015 on the mandate for the trilogue on the 2016 draft budget (2015/2074(BUD))

226

 

Thursday 9 July 2015

2017/C 265/42

P8_TA(2015)0267
Maximum permitted levels of radioactive contamination of food and feed following a nuclear accident ***I
European Parliament legislative resolution of 9 July 2015 on the proposal for a Council regulation laying down maximum permitted levels of radioactive contamination of food and feed following a nuclear accident or any other case of radiological emergency (COM(2013)0943 — C7-0045/2014 — 2013/0451(COD))
P8_TC1-COD(2013)0451
Position of the European Parliament adopted at first reading on 9 July 2015 with a view to the adoption of Regulation (EU) 2015/… of the European Parliament and of the Council laying down maximum permitted levels of radioactive contamination of food and feed following a nuclear accident or any other case of radiological emergency [Am. 1. This amendment applies throughout the text.]

272


Key to symbols used

*

Consultation procedure

***

Consent procedure

***I

Ordinary legislative procedure: first reading

***II

Ordinary legislative procedure: second reading

***III

Ordinary legislative procedure: third reading

(The type of procedure depends on the legal basis proposed by the draft act.)

Amendments by Parliament:

New text is highlighted in bold italics . Deletions are indicated using either the ▌symbol or strikeout. Replacements are indicated by highlighting the new text in bold italics and by deleting or striking out the text that has been replaced.

EN

 


11.8.2017   

EN

Official Journal of the European Union

C 265/1


EUROPEAN PARLIAMENT

2015-2016 SESSION

Sittings of 6 to 9 July 2015

The Minutes of this session have been published in OJ C 377, 13.10.2016 .

TEXTS ADOPTED

 


I Resolutions, recommendations and opinions

RESOLUTIONS

European Parliament

Tuesday 7 July 2015

11.8.2017   

EN

Official Journal of the European Union

C 265/2


P8_TA(2015)0246

Delivering multimodal integrated ticketing in Europe

European Parliament resolution of 7 July 2015 on delivering multimodal integrated ticketing in Europe (2014/2244(INI))

(2017/C 265/01)

The European Parliament,

having regard to Directive 2010/40/EU of the European Parliament and of the Council on the framework for the deployment of Intelligent Transport Systems in the field of road transport and for interfaces with other modes of transport (1),

having regard to Commission Regulation (EU) No 454/2011 on the technical specification for interoperability relating to the subsystem ‘telematics applications for passenger services’ of the trans-European rail system (2),

having regard to Directive 95/46/EC of the European Parliament and of the Council of 24 October 1995 on the protection of individuals with regard to the processing of personal data and on the free movement of such data (3),

having regard to the Commission communication entitled ‘Action Plan for the Deployment of Intelligent Transport Systems in Europe’ (COM(2008)0886),

having regard to the 2011 Commission White Paper entitled ‘Roadmap to a Single European Transport Area — Towards a competitive and resource efficient transport system’ (COM(2011)0144),

having regard to its resolution of 15 December 2011 on the Roadmap to a Single European Transport Area — Towards a competitive and resource efficient transport system (4),

having regard to the Commission Staff Working Document entitled ‘Towards a roadmap for delivering EU-wide multimodal travel information, planning and ticketing services’ (SWD(2014)0194),

having regard to the Action Plan on Urban Mobility (COM(2009)0490),

having regard to the opinion of the European Economic and Social Committee,

having regard to the opinion of the Committee of the Regions,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Transport and Tourism (A8-0183/2015),

A.

whereas, despite ongoing efforts, the aim outlined in Initiative 22 in the 2011 White Paper (5) of enabling seamless multimodal door-to-door travel using intelligent systems for interoperable and multimodal scheduling, online reservation systems and smart ticketing has not yet been realised;

B.

whereas most travellers continue to prefer individual transport, and whereas, given that creating EU-wide journey planners will not in itself be enough to achieve better integration of the various modes of transport, each of these transport modes needs to become more efficient, sustainable and user friendly, and that process will be significantly assisted by, inter alia, the adoption of the Fourth Railway Package to the extent that it would ensure equal access to infrastructure also for smaller operators, SMEs and start-ups, the adoption of the Regulation on air passengers’ rights and of a European waterways strategy and the implementation of the Single European Sky and TEN-T priority projects;

C.

whereas, despite the Commission defining integrated ticketing as a combination of different transport methods into one single ticket, such a definition is not always shared by businesses and some service providers only aim to provide interoperable tickets, which hampers further developments in the sector;

1.

Points out that EU-wide multimodal travel information, a cross-border integrated approach on journey planning and ticketing services, especially for long-distance travel are part of the answer to major challenges in the European transport sector, including those of sustainability, multimodality, improvement of safety in all transport modes, efficiency and economic viability, the creation of quality jobs and labour mobility and are therefore equally beneficial to society, the economy, the environment, social cohesion and the tourism industry;

2.

Emphasises that EU-wide integrated multimodal travel information, planning and ticketing services provide European businesses, especially SMEs and start-ups, with opportunities for innovation and hence constitute a major contribution to a globally competitive European single market and the completion of a single European transport area;

3.

Emphasises that EU-wide personal mobility is a prerequisite for the exercise of basic freedoms and that consumers should therefore be able to access comprehensive, accurate and neutral information regarding both timetables and connections about multimodal and cross-border transport links for seamless, facilitated door-to-door travel with high standards of comfort and to make the necessary reservations and payments online; welcomes incentives to encourage travellers to combine several available modes of transport; notes that in most of the Member States the option of purchasing tickets for national and cross-border journeys within the EU via the Internet or mobile application is still lacking; is of the opinion that geo-blocking should not be permitted;

4.

Underlines the importance for users of getting one ticket for one multimodal journey and sees the enabling of fair and equal access to multimodal travel and traffic data and therefore the provision of comprehensive, easily accessible, neutral, reliable and real-time information for travellers as a prerequisite for integrated ticketing systems and emphasises that, in order to ensure that measures to that end are fair, it is of prime importance that they be accompanied by the internalisation of external costs for all modes of transport and by information on the environmental performance of the different modes;

5.

Notes that consumers should at all times be given transparent pricing information; stresses therefore that reservation and payment systems should clearly indicate the total ticket price for any selected journey, including compulsory elements such as taxes and charges; emphasises the importance of innovative IT-based platforms that reduce reservation and transaction charges overall and underlines the importance of allowing for a variety of payment options for purchasing travel tickets; calls upon the EU and Member States to do more to restrict fees for the use of credit cards or other reasonable forms of payment for public transport services;

6.

Emphasises that the incompatibility and inconsistency of data layers, the diversity and the missing interoperability of data formats and data exchange protocols undermine the existence of integrated multimodal information, planning and ticketing services in the EU and create additional costs; calls on the Commission to ensure that any regulatory action keeps up with the rapid developments in the transport sector and does not create an unnecessary burden;

7.

Welcomes efforts in both the public and private sectors to introduce journey planners together with the required open standards and interfaces, but notes that many such services cover only specific regions or countries and that few are multimodal; calls therefore, as a first step, for transport services providers and providers of journey planners to build on existing synergies and to focus more closely on providing multimodal, cross-border journey planners with tailored ticketing arrangements, devoting particular attention to the language in which services are provided, taking into account the use of minority languages and linking long-distance and local transport including the ‘first and last mile’, i.e. by upgrading the different systems to develop their interoperability and enable communication between them; calls on the Commission to use the TEN-T corridors as a pilot project for the identification of passenger flows and the potential for multimodal information, travel planning and ticketing services;

8.

Calls on the Commission to develop a repository of good practices for locally, regionally or nationally run projects, to serve as a basis for implementation of the latter across the EU;

9.

Stresses that the ease and convenience of purchase using multimodal integrated ticketing systems will attract more passengers to public transport, which will increase their satisfaction and benefit public transport companies;

10.

Calls on the Commission, with regard to multimodal integrated ticketing services, to take the measures necessary to create a clear framework, supporting and facilitating the efforts being made by the stakeholders and the competent authorities, the agreements they have already concluded and the innovative nature of the products and services on offer and in the event that no significant progress in creating integrated, interoperable multimodal, cross-border ticketing systems is made by 2020 calls on the Commission, building on the progress already made and the voluntary initiatives already introduced, to take legislative action by introducing minimum rules and a timetable;

11.

Highlights the active role and the responsibility of local and regional authorities with regard to the ‘first and last mile’ of journeys; considers it essential that they be involved in implementing individual measures, in supervising their operation and in ensuring that the system as a whole functions effectively; taking the above points into account, calls on the competent authorities in the Member States

to introduce, by 2020 at the latest, in close cooperation with the representatives of the transport sector, national updated timetable and fare information systems on the basis of open interfaces linking the travel data for regional and local urban public transport operated by both private and publicly owned companies, and to continue updating such systems on a regular basis,

to ensure that, by 2020 at the latest, all forms of local public transport are equipped with intelligent systems relaying real-time information about the position of the transport vehicle and that the inclusion of such systems is a specification in calls for tender,

to make provision, by 2024 at the latest, on the basis of open interfaces, for the national timetable and fare information systems, with real-time information on local public transport operators’ timetables, to be networked on a cross-border basis and made accessible to operators, to providers of journey planners and to consumers;

12.

Shares the Commission’s view that fair, open and equal access for all information, travel planning and ticketing service providers, including SMEs and start-ups, to comprehensive, multimodal real-time transport and travel data is a prerequisite for EU-wide multimodal travel information, planning and ticketing services, and calls on the Commission to circulate a proposal requiring all providers to make available, on fair and equal terms, all the information needed for putting in place more comprehensive services and thereby giving travellers a genuine and accessible choice between the most sustainable, best-value or fastest connections, without prejudice to the commercial interests of the service providers involved;

13.

Emphasises that, in line with the EU’s competition policy, it is incumbent on the Commission to identify and counter any potential danger of multimodal information and ticketing providers’ monopolising information; adds that the Commission must also ensure that the share assigned to paying for the electronic ticketing service does not assume such proportions as to penalise passenger transport undertakings;

14.

Urges that a platform for dialogue be established, involving all the representatives of the transport sector and competent authorities on a local, regional, national and European level, to develop feasible arrangements for the phased EU-wide introduction of interoperable electronic ticketing systems taking account of the entire journey cycle from planning to the purchasing of tickets and to identify and address the problems of distributing ticket-sales income in a proportionate manner and of cost-sharing in the event of disputes between contracted parties; is of the opinion that these solutions should be developed in a market-driven manner without burdening operators and passengers with disproportionate costs; calls on the Commission to strongly promote through EU co-financing synergies in this field between Trans-European Telecommunications and Transport networks;

15.

Points out that European passenger rights are limited to the extent that they apply separately to each contract of carriage individually, but when a journey involves cross-border legs or multimodal transport, passenger rights cannot be guaranteed in the usual way and urges therefore the Commission to respond to Parliament’s call, in its resolution on the 2011 Roadmap (6), for a Charter of Passengers’ Rights covering all forms of transport by bringing forward a proposal for such a Charter, including a separate section on multimodal journeys with clear and transparent protection of passengers’ rights in the multimodal context taking account of the specific characteristics of each transport mode, and integrated multimodal ticketing, by the end of 2017;

16.

Emphasises the crucial importance, in terms of social mobility, and considering the demographic change in Europe, of equal barrier-free access to transport for all and in particular for vulnerable people, and calls for more attention to be paid to the needs of people with disabilities or limited mobility as well as to the special requirements of elderly people in relation to access to travel information before and during journeys, ticketing options and reservation and payment systems, including the ability to reserve wheelchair spaces; welcomes the Commission’s European Accessibility Act Roadmap and the potential for legislative action to remove economic and social barriers facing people with disabilities; urges the Commission to tackle barriers to transport as part of its efforts to improve accessibility;

17.

Underlines the importance of safeguarding different pricing models and payment options (allowances, discounts, etc.) so as to ensure that certain groups in society (the unemployed, retired, students, large families, people with low income and other disadvantaged social groups) may benefit from multimodal ticketing systems in the EU;

18.

Notes that multimodal transport information systems should be user-friendly and hence complemented by updated map and geographical data;

19.

Calls for the continuation of support for stakeholders for innovative problem solving, and therefore for the relevant sources of EU financing, e.g. the Shift2Rail Innovation Programme 4 under the Horizon 2020 programme and the Connecting Europe Facility, along with the structural funds to be not only maintained but developed; urges the European Investment Bank to make appropriate use of the European Fund for Strategic Investment in this regard;

20.

Calls on the Commission to publish an easily accessible list with a regular evaluation of EU co-financed projects on ‘intermodal integrated ticketing’;

21.

Highlights the vital role of global navigation satellite systems (GNSS) and, in particular, the Galileo European navigation satellite system, in dynamic data collection, enabling travellers to be informed about possible disruption and alternative travel options both before they set off and en route; stresses that the benefits of satellite systems must at all times be matched by sufficient data protection provisions;

22.

Points out the need to reduce congestion and air pollution in urban areas and calls for the introduction of incentives to encourage the use of sustainable modes of transport across Europe, with the inclusion in travel information and journey-planning services of information about diverse mobility services, e.g. car sharing, carpooling, park-and-ride systems, bicycle rental systems, cycles lanes and footpaths;

23.

Welcomes the increasing availability of integrated electronic ticketing systems in cities and other urban areas, such as inclusive digital ‘smartcard’ technologies that can be used across the different transport modes, and also for cross-border travel, but emphasises that technical solutions should be left to the market and not be imposed at European level;

24.

Notes that permanently good network connections are one of the prerequisites for creating a passenger-friendly smart system capable of providing dynamic information on the traffic situation in real time; calls on the Commission therefore to prioritise facilitating, encouraging and supporting the wide availability of free or low-cost high-speed digital infrastructures, on all transport modes and at all transport interchanges, via the Connecting Europe Facility, Horizon 2020, EFSI and other relevant funding sources;

25.

Underscores the importance of data protection, urges compliance with Directive 95/46/EC and calls for clear conditions to be laid down for the use and transmission of data, particularly in respect of personal data, which should be processed and used only in ‘anonymised’ form and only for the purposes of facilitating intermodal ticketing; outlines that the purchase and payment of tickets via mobile and internet applications should preferably be available without need of registration in the system;

26.

Highlights the importance of journey planning, accessible multimodal information and clear and transparent ticketing, including through digital and online platforms, and the need for better access to public transport whilst travelling abroad in the EU and for encouraging the modernisation of sustainable transport services in order to attract tourists from within and outside the EU, since this will facilitate the entire journey planning process; highlights also the potential positive effects of an integrated ticketing system in terms of a better connection of all regions, particularly the most remote regions, such as the outermost regions;

27.

Stresses the need for more and better promotion and showcasing of the more than a hundred multimodal journey planners that are already available in cities, regions and on the national level in the EU, and calls also for efforts promoting the interconnection of these services;

28.

Instructs its President to forward this resolution to the Council and the Commission.


(1)  OJ L 207, 6.8.2010, p. 1.

(2)  OJ L 123, 12.5.2011, p. 11.

(3)  OJ L 281, 23.11.1995, p. 31.

(4)  OJ C 168 E, 14.6.2013, p. 72.

(5)  Roadmap to a Single European Transport Area — Towards a competitive and resource efficient transport system (COM(2011)0144).

(6)  European Parliament resolution of 15 December 2011 on the Roadmap to a Single European Transport Area — Towards a competitive and resource efficient transport system (OJ C 168 E, 14.6.2013, p. 72.)


11.8.2017   

EN

Official Journal of the European Union

C 265/7


P8_TA(2015)0249

Review of the implementation of the Dairy Package

European Parliament resolution of 7 July 2015 on prospects for the EU dairy sector — review of the implementation of the Dairy Package (2014/2146(INI))

(2017/C 265/02)

The European Parliament,

having regard to Regulation (EU) No 261/2012 of the European Parliament and of the Council of 14 March 2012 amending Council Regulation (EC) No 1234/2007 as regards contractual relations in the milk and milk products sector (1),

having regard to Regulation (EU) No 1308/2013 of the European Parliament and of the Council of 17 December 2013 establishing a common organisation of the markets in agricultural products and repealing Council Regulations (EEC) No 922/72, (EEC) No 234/79, (EC) No 1037/2001 and (EC) No 1234/2007 (2),

having regard to the Commission report of 13 June 2014 entitled ‘Development of the dairy market situation and the operation of the “Milk Package” provisions’ (COM(2014)0354),

having regard to the Commission report of December 2014 on the ‘Prospects for the EU agricultural markets and income 2014-2024’,

having regard to Article 349 of the Treaty on the Functioning of the European Union on the subject of the outermost regions of the EU,

having regard to the Commission report of 10 December 2012 entitled ‘Evolution of the market situation and the consequent conditions for smoothly phasing-out the milk quota system — second “soft landing” report’ (COM(2012)0741),

having regard to its resolution of 11 December 2013 on maintaining milk production in mountain areas, disadvantaged areas and outermost regions after the expiry of the milk quota (3),

having regard to its resolution of 8 March 2011 on the EU protein deficit: what solution for a long-standing problem? (4),

having regard to its resolution of 17 September 2009 on the crisis in the dairy farming sector (5),

having regard to the Commission communication of 15 July 2014 on tackling unfair trading practices in the business-to-business food supply chain (COM(2014)0472),

having regard to Regulation (EC) No 247/2006 (6), which establishes specific measures in the field of agriculture in favour of the outermost regions of the European Union

having regard to Regulation (EU) No 1151/2012 of the European Parliament and of the Council of 21 November 2012 on quality schemes for agricultural products and foodstuffs (7),

having regard to the Commission proposal for a regulation of 13 January 2015 on the European Fund for Strategic Investments (COM(2015)0010),

having regard to the Draft Opinion of the Committee of the Regions entitled ‘The future of the dairy industry’,

having regard to the Memorandum of Understanding in respect of cooperation in agriculture and rural development within the EU between the European Commission and the European Investment Bank signed on 23 March 2015,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Agriculture and Rural Development and the opinion of the Committee on Budgetary Control (A8-0187/2015),

A.

whereas the ‘Milk Package’ came into force on 3 October 2012 and applies until 30 June 2020;

B.

whereas, as decided in the 2003 Mid-Term Review of the CAP, dairy quotas will expire on 31 March 2015;

C.

given the importance and topicality of the measures contained in the resolution of 11 December 2013 on maintaining milk production in mountainous areas, disadvantaged areas and the outermost regions of the Union after the expiry of the milk quota;

D.

whereas the global dairy market is increasingly volatile, with the highest-ever price since records began noted in January 2014, followed by substantial drops in prices throughout the rest of 2014; whereas livestock farming and the input products used in dairy production are particularly vulnerable to the challenges of volatility, resulting in farm-gate prices that are below the costs of production;

E.

whereas sustainable farming as a source of high-quality food can only be ensured if farmers receive adequate farm-gate prices which cover all the costs of sustainable production;

F.

whereas the Russian ban on European dairy products since August 2014 has had a negative impact on the EU internal market, thus demonstrating the need to be prepared for the application of crisis-related market measures, irrespective of their nature, as well as the importance of securing diverse export markets for EU products, particularly as global demand for dairy products is predicted to increase, combined with ensuring a stable, solvent domestic market;

G.

whereas the Milk Package brought in the possibility for Member States to introduce compulsory contracts to help producers and processors plan their production volumes, as well as to bolster the structuring of supply chains in view of the end of milk quotas, and whereas few Member States have made use of that prerogative so far;

H.

whereas the Milk Package obliged Member States to recognise producer organisations and their associations and the crucial role that cooperatives continue to play, bearing in mind the need to improve the concentration of supply so as to provide producers with greater negotiating power;

I.

whereas the Milk Market Observatory was established in April 2014 to improve monitoring of the dairy sector for both the Commission and the industry, and whereas its function needs to be strengthened so as to create within the sector an efficient crisis-warning system for dairy farms of various sizes, geographical locations and with differing production and distribution methods;

J.

whereas the current safety net is too low to provide protection in the event of a fall in the price of milk;

K.

whereas one of the main objectives of the common agricultural policy (CAP) is balanced territorial development, in economic, social and environmental terms; whereas this presupposes that agriculture will continue to be productive and sustainable in disadvantaged, outermost, remote or mountainous areas;

L.

whereas the end of quotas will have a considerable negative impact on the outermost regions, particularly in the Azores, where dairy farming is the main economic activity, representing around 46 % of the regional economy;

M.

whereas for a large number of dairy farms located in disadvantaged, outermost, insular, remote and mountainous areas the costs of production, collection and marketing of milk and dairy products outside their production area are much higher than in other areas, and whereas they cannot utilise the opportunities for growth created by the abolition of the quota to the same extent because of the natural constraints of these regions; for these reasons, such farmers could be threatened by a larger concentration of producers in the best-placed economic areas within the EU;

N.

whereas compulsory declarations of delivered volumes of milk will apply from 1 April 2015;

O.

whereas generational renewal, modernisation and investment are crucial for a functioning and sustainable European dairy sector;

P.

whereas milk and, in particular, ‘protected designation of origin’ (PDO), ‘protected geographical indication’ (PGI) and ‘traditional specialties guaranteed’ (TSG) products produced throughout the EU significantly contribute to the success of the EU’s agri-food industry and the prosperity of rural economies where small and medium-sized family farms predominate and where extensive milk production must be maintained, provides the raw material for large numbers of processors in the private and cooperative sectors, preserves a diverse European agri-food heritage, and plays a key role in Europe’s territorial and environmental configuration, as well as in the social sphere, with a multiplier effect on other business sectors such as tourism;

Q.

whereas significant fines have been imposed on farmers and milk producers in some Member States for exceeding milk quotas during the last two quota years;

1.

Recalls that a viable, sustainable and competitive dairy sector across the EU, with responsive tools allowing for fair remuneration of dairy farmers, is the goal of the Milk Package; stresses that the issues identified in the Milk Package remain a barrier to a sustainable, competitive and equitable milk market and a fair income for farmers;

2.

Recalls the important role of dairy farming in terms of land management, rural employment and the economic, environmental and social development of numerous European agricultural regions;

3.

Highlights the fact that dairy farmers, and in particular small-scale farmers, are particularly vulnerable to income variations and risks owing to high capital costs, the perishability of production, volatile dairy commodity prices and input and energy costs, and that a sustainable livelihood from dairy farming is an ongoing challenge, as production costs are frequently close to or above farm-gate prices;

4.

Stresses that European farmers have to cope with high costs owing to the prices of items involved in production, such as livestock feed, and that, as a result of stringent European regulations on animal welfare and food safety, their competitiveness is reduced in comparison with other countries;

Impact of the Russian embargo and the current crisis in the dairy sector

5.

Urges the Commission to reflect on the causes of the crisis and on measures to put in place to prevent future crises, as indicated in Articles 219, 221 and 222 of Regulation (EU) No 1308/2013 of the European Parliament and of the Council of 17 December 2013 establishing a common organisation of the markets in agricultural products;

6.

Urges the Commission to address, with further targeted market measures, the crisis currently affecting domestic dairy markets as a result of downward price pressure resulting from a lack of adequate crisis instruments, a dip in global demand, global price volatility and the Russian embargo, whilst recognising the first steps that have been taken thus far in addressing the impact of the Russian embargo;

7.

Points out that the surplus of dairy products from certain Member States that have traditional commercial relations with Russia creates major imbalances on their domestic markets, leading to a sharp decrease in prices and causing local producers to become uncompetitive; calls upon the Commission in this regard to analyse the newly created situation and take priority action;

8.

Recalls that the dairy crisis of 2009 occurred under the quota structure and because of the malfunctioning of the dairy products value chain, resulting in downward pressure on the price paid to producers; reminds the Commission that the delay in responding to the crisis forced many dairy farmers out of business, and expresses concern regarding the Commission’s capacity to respond rapidly and effectively to market crises; highlights the fact that the drop in prices at source that has affected livestock breeders was not reflected in consumer prices, which demonstrates the major imbalance between the different stakeholders in the dairy supply chain;

9.

Regrets that Parliament’s request, which aimed, in the event of severe crises, to provide subsidies for farmers who voluntarily reduced their production, has been rejected by the Council; underlines the importance of reopening the debate on this crisis management tool;

10.

Underlines that the abolition of quotas risks leading to an additional concentration of milk production to the advantage of the largest dairy farmers and to the detriment of the smallest farmers, without guaranteeing efficiency or income;

Challenges and opportunities for the dairy sector

11.

Notes that the medium- and long-term prospects for the dairy sector in both domestic and global markets remain fluid with fluctuating demand, but at the same time emphasises that, as a key part of the agri-food industry, the dairy sector has significant long-term growth and job creation and development potential in rural areas, which should also be targeted under the new Investment Plan;

12.

Stresses the importance of encouraging research and innovation in order to allow all producers and processors to adapt their apparatus and production techniques in response to economic, environmental and social expectations;

13.

Highlights the important role that generational renewal has for the future of the milk sector and the significant opportunities for young farmers in dairying;

14.

Calls on the Commission to establish new financing opportunities for Member States, including with the aid of the European Investment Bank (EIB), by means of which the dairy industry will be reformed; considers financial support, such as guarantee funds, revolving funds and investment capital, to be essential, along with resources provided by the EIB, in order to intervene at the level of structural and European investment funds, in particular in harmony with rural development; this would enable a multiplier effect to be achieved in terms of growth and income, as well as facilitating access to credit for dairy farmers; welcomes in this regard the financing opportunities presented to farmers in the dairy sector by the EIB’s new fund, which offers lower interest rates to facilitate on-farm investment and modernisation, while offering financing opportunities to young farmers to grow their businesses; further highlights the complementary nature of the European Fund for Strategic Investments financing, which would help to develop the milk sector by attracting private capital with a view to expense accountability and increased investment effectiveness;

15.

Notes that the high degree of price volatility and recurring crises that are incompatible with major investments in livestock and the establishment of new producers are the main challenges facing the dairy sector; urges the Commission in consequence to consider measures to mitigate the risks arising from increased exposure to the world market, to monitor more closely the correct functioning of the single market in milk and milk products and to set up an action plan in order to show how it intends to mitigate these risks;

Maintaining a sustainable dairy sector in in disadvantaged, mountainous, insular and outermost regions

16.

Commits to maintaining milk production, as dairy farming makes an important socio-economic contribution to agricultural and rural development across the EU, and emphasises its particular importance in disadvantaged mountainous, insular and outermost regions, where it is sometimes the only type of farming possible; adds that for these regions this sector is responsible for social, economic and territorial cohesion, the subsistence of many families, the organisation, occupation and protection of the territory and the maintenance of cultural and traditional practices and also, as dairy farming has shaped centuries-old cultural landscapes in these regions, creating an important basis for tourism; highlights the fact that in these regions the abandonment of milk production equates to the abandonment of agriculture;

17.

Stresses that it is essential to create a transition mechanism in the outermost regions between the elimination of quotas and the liberalisation of the markets which makes it possible to protect farmers and the sector in these regions;

18.

Requests that the safety-net measures be activated as specific indicators for dairy operations and businesses in mountainous regions, given the difference in production between mountainous dairy regions and other territories;

19.

Expresses disappointment with the low levels of implementation of Milk Package measures in outermost regions and mountainous, insular and disadvantaged areas, and underlines that it is indispensable to maintain dairy farms as viable and competitive businesses in all of the territories of the Union; considers, in this respect, that these areas must be the focus of special attention and specific studies by the Commission and Member States and that the use of short supply chains, giving preference to local production in these specific cases, must be encouraged in order to ensure continued production in these regions and to avoid abandonment of the sector; urges the Commission and the Member States furthermore to improve and strengthen the milk distribution regimes in schools, favouring short supply chains and thereby enabling the distribution of production in these regions; highlights the fact that in these areas production costs are typically close to or above farm-gate prices and considers that the current uncertainties of the supply chain are particularly detrimental to these areas, which have the strongest barriers and reduced opportunities for economies of scale; recalls that farmers in these areas depend directly and exclusively on a small number of input suppliers and buyers for their agricultural production because of their geographic isolation; stresses that support for the setting-up and activities of producer organisations should better reflect the realities of these regions; stresses that it is necessary to carry out ambitious policies to support these regions with the aid of policies for rural development, the Investment Plan and the promotion and fine-tuning of CAP aid, as permitted by the latest reform; calls on the Commission, therefore, to encourage the Member States to implement such measures, in order to enable the preservation of milk production in these regions; urges the Commission to closely monitor the evolution of dairy production in these areas and to assess the economic impact of the end of quotas on dairy farms; believes that it is necessary to allocate additional resources to the POSEI programme so as to assist milk producers in adapting to the effects resulting from the deregulation of the markets and enabling them to maintain viable and competitive dairy production relative to the rest of the European area;

20.

Emphasises the importance of using the voluntary quality term ‘mountain products’ in accordance with Regulation (EU) No 1151/2012; calls on the Commission to support this designation by promoting sales;

21.

Emphasises the importance of the indigenous breeds of mountain cattle for dairy production in mountainous areas; calls on the Commission to take measures to strengthen the promotion of these mountain cattle breeds;

Price volatility and the end of milk quotas

22.

Takes the view that EU dairy policy after the expiry of milk quotas must include means for making the most of the expansion opportunities for the EU economy in order to make milk production attractive to farmers, and considers that any future measures must strengthen its competitiveness and stability in order to facilitate sustainable growth and innovation in the agricultural sector and the quality of life in rural areas;

23.

Acknowledges the decision to spread payment over three years as regards the final sums charged to farmers under the quota regime, but notes that significant funds have been removed from the dairy sector in the last quota year as a result of the implementation of the superlevy, and therefore recommends that this revenue remain within the CAP budget to strengthen the competitiveness of the dairy sector;

24.

Calls on the Commission to present one or more regulatory tools to prevent and effectively manage new crises in the dairy sector, notably by facilitating the organisation of dairy production in terms of supply management; urges the Commission to engage in formal talks with all the stakeholders in the sector in order to achieve this;

25.

Considers that stronger competition should be used as a means of ensuring territorial balance and more balanced remuneration for producers within the dairy value chain;

Implementation of the Milk Package

26.

Highlights the fact that implementation of the Milk Package is still at an early stage; expresses disappointment, nevertheless, with the low levels of implementation of compulsory contracts, and therefore urges that these be extended to all Member States;. calls on the Commission to carry out an in-depth study of the obstacles to implementing the Milk Package and of measures that would ensure optimal use of tools made available to the Member States;

27.

Regrets the fact that the milk package was not considered a priority in the Commission’s work programme for 2015, and requests that the Commission urgently insert this priority;

28.

Regrets the fact that it is not clear from the report whether the Commission is satisfied with the implementation of the new regulatory tool and that the Commission does not quantify how many new producer organisations, participating Member States or collective negotiations are expected; notes that the effect of the new tools on milk prices is not clear either; calls in this connection for a precise list of the effects on milk prices and an accurate record of participating producer organisations;

29.

Recommends that the Commission adopt clear objectives as regards producer organisations, contracts and collective negotiations;

30.

Recalls that Regulation (EU) No 1308/2013 provides that ‘in order to ensure the viable development of production and a resulting fair standard of living for dairy farmers, their bargaining power vis-à-vis processors should be strengthened, which should result in a fairer distribution of added value along the supply chain’;

31.

Notes that the contract model has not yet been implemented as envisaged, as dairy farmers are still in a weak market position, there are no minimum standards in the contracts and cooperatives are excluded from them;

32.

Stresses that strengthening and improving contractual relations by expanding to include the entire sector, and in particular large-scale distribution, helps to ensure equitable distribution of earnings along the supply chain, allowing more value to be added, and reinforces the responsibility of stakeholders to take account of the market situation and respond accordingly; stresses the importance of risk management training and education as an integral part of the agricultural curriculum in order for farmers to cope with volatility and effectively use the risk management tools available;

33.

Highlights the risk that the industry in any given Member State may introduce unfair clauses into contracts so as to offset the objective of stability in deliveries, which is necessary for ensuring the continued viability of dairy farms;

34.

Notes that the sector could further explore the potential offered by longer-term integrated supply chain contracts, forwards contracts, fixed-margin contracts, and the opportunity to ‘lock in’ a milk price reflective of production costs for a set period of time; believes that the option to make use of new instruments in contractual relations should be available and that contract mediation tools must also be made available;

Role of producer organisations

35.

Highlights the important role of producer organisations (POs) and their associations in increasing the bargaining power and influence producers have in the supply chain, as well as in research and innovation, and regrets the fact that there have only been limited moves towards setting up POs, particularly in the new Member States; considers that the rules for recognition of POs should be strengthened to increase more effectively the influence of producers in the negotiation of contracts; highlights that POs can benefit from financial support under Pillar II and urges further incentivisation at EU and Member State level, for example through making further information available and reducing the administrative burden on stakeholders wishing to create and join POs and to participate in different ways in their activities and to conduct educational activities among producers about POs as a tool for helping to address imbalances in the supply chain; considers it necessary to improve the capacity for regulation and organisation of the market by POs;

36.

Defends the need to improve the provisions of the Milk Package with a view primarily to setting up producer organisations with a greater capacity for management and negotiation on the market;

37.

Notes that the establishment of POs could be promoted by providing proactive political support to encourage farmers to regard POs as appropriate instruments;

38.

Emphasises the importance of facilitating information exchanges and dialogue with producers and producer organisations (POs) in order to enable them to take into account market developments and to anticipate crises;

39.

Insists on the need for producer organisations to be of an adequate size and to be legally linked to the output of their farmer members, since merely representative POs have no real capacity to ensure compliance with the contracted quality and quantity conditions and lack interest in acting as serious negotiators with the industry;

40.

Calls for greater support for the establishment of independent producer organisations through more widespread information mechanisms and support for management activities, so as to encourage farmers to see them as effective instruments and participate therein;

41.

Invites the Commission to promote the interprofessional management tools set out in Regulation (EU) No 1308/2013 establishing a common organisation of the markets;

42.

Underlines the role of cooperatives in providing long-term stability for their members; asks the Commission to facilitate sharing of best practice;

43.

Notes the significance of establishing Interbranch Organisations for ensuring transparency and sharing of best practice;

44.

Reminds the Commission of the importance of transparency across the whole supply chain if the sector is to encourage stakeholders to respond to market signals; notes the increased importance of accurate and timely information in the post-quota market;

Strengthening the Milk Market Observatory

45.

Welcomes the establishment of the Milk Market Observatory (MMO) and emphasises its importance in disseminating and analysing market data, and calls for an increased role for the MMO; recommends the definition of a market index comprising trends in product quotations, milk prices and production costs; recommends that the Commission take the necessary action to ensure that the MMO is in a position to, on the one hand, produce accurate data in real time and, on the other, communicate earlier and more frequent warnings, crisis anticipation and recommended actions based on market analysis and predictive tools to the Commission, Member States and relevant stakeholders when the market index falls below a certain level, and when the market situation so requires; considers that the information provided by the MMO should involve updates on market and price trends, data on production costs and the interactions between beef and milk production, consumption, stock situation, prices and exchanges of imported or exported milk at European level; notes that it is equally useful to integrate the monitoring of production costs and of international markets in order to identify any trends and seize export opportunities; stresses that the data should be easily accessible and user-friendly for all stakeholders;

46.

Underlines the importance of Member States providing the relevant information to the MMO and of the MMO publishing the monthly data it receives in a timely manner for the benefit of all stakeholders, and recommends that the Commission consider additional means of ensuring this information is received on time; calls on the Commission to specify the rules for data transmission by Member States in order to ensure that the information is comparable at European level;

47.

Calls on the Commission to set up comprehensively equipped separate structures for data acquisition for all agricultural sectors;

CAP measures and the dairy industry

48.

Notes that, under Pillar I, optional coupled support is a tool available to assist the dairy sector, while under Pillar II producers can avail themselves of advisory services to support business decisions and sound financial management — if necessary, Member States can use insurance measures such as the Income Stabilisation Tool and can also determine the grouping and targeting within the sector of rural development measures with a higher level of aid;

49.

Calls on the sector to investigate the development of further insurance tools when the market is strong, in order to curb milk price volatility and so as not to deprive European dairy farms of income; stresses the need to study the possibility of incorporating tools aimed at risk management, such as programmes based on the protection of margins, into Pillar 1 of the CAP;

50.

Emphasises that, in applying Regulation (EU) No 1307/2013, a number of Member States opted for an incomplete and slow internal convergence process, once more favouring lowland farming, which has good working conditions;

51.

Defends the need to review the requirements for triggering the income stabilisation mechanism available within Rural Development, as it considers the demand for losses of 30 % for accessing Community aid to be excessive;

Potential for the EU dairy sector on the world market

52.

Points out that global dairy demand is predicted to grow by 2 % per annum, offering opportunities for products of EU origin, but stresses that these export opportunities must be balanced by a stable domestic market, the latter representing more than 90 % of the dairy product market in Europe; notes, however, that the market is increasingly dominated by dried dairy products;

53.

Points out that the EU remains the first agricultural importer in the world and that growth in milk production for exports is reliant on the import of feed and fodder;

54.

Underlines that bilateral trade negotiations may represent strategic opportunities for the EU dairy sector, in connection with which it calls on the Commission to engage more in opening new markets in third countries and removing trade barriers, and urges the Commission to take due regard of ‘protected designation of origin’ (PDO), ‘protected geographical indications’ (PGI) and ‘traditional speciality guaranteed’ (TSG) concerns during trade negotiations, subject to the preservation and enhancement of European quality and health and safety standards in production and in the supply of products to consumers;

55.

Stresses the continuing need to identify and develop new markets, increase the EU global market share, secure fair access for EU exporters and stimulate sustainable export growth; calls on the Commission, in this regard, to take the necessary action and to participate more actively in the identification of new export markets; takes the view that future opportunities must be explored by improving commercial relations with third countries and dynamising the dairy industry, and emphasises the importance of being aware of the consumption trends on these markets in order to build the capacity for timely responses to future changes;

56.

Notes furthermore that EU companies face competition from a few powerful global exporters (including New Zealand, the United States and Australia) which have historically had access to Asian markets and which have a decisive influence on the price of dairy products on the global market;

Promotion and quality schemes

57.

Points out that the dairy sector could benefit from increased promotion initiatives on domestic and third-country markets under new Promotional Measures and urges producers to participate in the new campaigns after the entry into force in 2016 of the new regulations on promotion, taking into account that an increase in EU financial support is planned;

58.

Stresses that the need for the sector’s greatest potential for creating value does not lie solely in the production of unprocessed products and considers that full use should be made of research measures to develop innovative high-value dairy products in high-growth markets, such as medicinal nutritional products and nutritional products for infants, the elderly and athletes;

59.

Notes that the European Innovation Partnership for Agricultural Productivity and Sustainability (EIP-AGRI) under the Horizon 2020 programme can support innovative projects contributing to a sustainable and highly productive dairy sector in order to meet the global demand in high-value dairy products;

60.

Underlines the importance of reinforcing the aid scheme for the distribution of milk in educational establishments, encouraging the participation of POs and giving priority to local dairy products and short supply chains, with a view to contributing to the promotion of healthy eating habits among European consumers;

61.

Notes that the sector has so far not engaged with the ‘protected designation of origin’ (PDO), ‘protected geographical indications’ (PGI) and ‘traditional speciality guaranteed’ (TSG) schemes in a meaningful and equal manner across all Member States; calls on the Commission to simplify access to, and the administrative requirements for the approval of, these schemes for small producers and businesses, to reduce the administrative burden associated with the application process, retaining them as the quality benchmark for European products, unquestioned among EU export markets, and to undertake targeted promotion of marketing activities for these products;

62.

Calls on the Commission to simplify the rules concerning the regulation of supply of cheese with a ‘protected designation of origin’ or ‘protected geographical indication’, in particular as regards the minimum conditions required for the approval of those schemes;

63.

Urges the Commission to publish as soon as possible the report referred to in Article 26 of Regulation (EU) No 1169/2011 on the provision of food information to consumers, in relation to an impact analysis of the implementation of the mandatory indication of country of origin or place of provenance of milk and dairy products; regrets that the Community Executive has not yet prepared this report, which was to be submitted by 31 December 2014;

Managing risk in the dairy sector

64.

Stresses that existing ‘safety-net’ measures such as public intervention and private storage aid alone are not sufficient tools for addressing persistent volatility or a crisis in the milk sector; adds that the intervention prices are too low, have no connection with current market prices any more and have proved to be ineffective in guaranteeing adequate and stable farm-gate prices in the long term;

65.

Reminds the Commission of its obligation under Article 219 of Regulation (EU) No 1308/2013 not only to address actual market disturbance, but also to take immediate action to prevent it, including in cases where action would prevent such threats from materialising, continuing or turning into a more severe or prolonged disturbance, or where delaying immediate action would threaten to cause or aggravate the disturbance or would increase the extent of the measures which would later be necessary to address the threat or disturbance or would be detrimental to production or market conditions;

66.

Calls on the Commission to engage with stakeholders in the sector and to implement more responsive and realistic safety-net provisions based on the recommendations of the MMO, which provide safety in crises in which a substantial decrease in milk prices and a simultaneous substantial rise in commodity prices have a severe impact on the margin of revenue for farmers; calls for the intervention to be updated to reflect production costs and adapted as the market changes;

67.

Calls on the Commission to implement more responsive and realistic safety-net provisions, and for the intervention price to better reflect real production costs and real market prices, and to be adapted as the market changes; asks the Commission, therefore, to immediately adapt the intervention prices; acknowledges, furthermore, that the export refund should be restored temporarily in the case of a market crisis based on objective criteria;

68.

Calls on the Commission to work together with stakeholders to fix indicators on production costs which take into account energy costs, fertilisers, animal feed, salaries, rent and other key input costs, and to revise the reference prices accordingly; calls on the Commission, furthermore, to work together with stakeholders to define a market index comprising the trend in product quotations, milk prices and production costs;

69.

Underlines that current experience of the Russian embargo shows that it is desirable to have guidelines that are discussed between the Member States, the Commission and Parliament and which serve as a guide for the activation of measures;

70.

Underlines the importance of a more responsive and realistic crisis instrument, and recommends that the Commission, together with Parliament, as co-legislator, engage with the sector on the possibility of using risk-management instruments such as the futures markets to take advantage of the volatility in the sector in order to increase its competitiveness; considers that new income stabilisation instruments should also be studied, such as income insurance or implementing a dairy Margin Protection Programme;

71.

Requests that the Commission, in cooperation with the Member States and participants from the dairy sector, develop effective and appropriate instruments to safeguard against sudden significant falls in the price of milk;

Unfair trading practices in the dairy supply chain

72.

Stresses that dairy producers, especially small-scale dairy producers, are particularly vulnerable to imbalances in the supply chain, in particular owing to fluctuating demand, rising production costs and decreasing farm-gate prices, but also to the economic priorities in each Member State; considers that the downward pressure on prices by retailers from own-brand labelling and the persistent use of liquid milk as a ‘loss leader’ by retailers undermines the work and investment of producers in the dairy sector and devalues the end product for the consumer; defends the need to introduce codes of good practice among the various participants in the food supply chain; stresses the need to find mechanisms that effectively protect farmers from abuse by industry and distributors and their dominant position in the retail market, and asks the Commission to present its proposal on the containment of unfair trading practices as soon as possible and to consider a sector-specific approach to competition law and unfair trading practices;

73.

Considers that unfair commercial practices severely restrict the sector’s ability to invest and adapt, and that it is necessary to combat them at both EU and Member State level;

74.

Notes that dairy producers will be in an even weaker position without a crisis programme, while the milk industry and large corporate food groups will get more power;

75.

Calls for wider inclusion of dairy farmers and their organisations into food supply chain management mechanisms, groups and initiatives;

o

o o

76.

Instructs its President to forward this resolution to the Council and the Commission.


(1)  OJ L 94, 30.3.2012, p. 38.

(2)  OJ L 347, 20.12.2013, p. 671.

(3)  Texts adopted, P7_TA(2013)0577.

(4)  OJ C 199 E, 7.7.2012, p. 58.

(5)  OJ C 224 E, 19.8.2010, p. 20.

(6)  OJ L 42, 14.2.2006, p. 1.

(7)  OJ L 343, 14.12.2012, p. 1.


11.8.2017   

EN

Official Journal of the European Union

C 265/17


P8_TA(2015)0250

External impact of EU trade and investment policy on public-private initiatives

European Parliament resolution of 7 July 2015 on the external impact of EU trade and investment policy on public-private initiatives in countries outside the EU (2014/2233(INI))

(2017/C 265/03)

The European Parliament,

having regard to Article 208 of the Treaty on the Functioning of the European Union,

having regard to Directive 2014/23/EU of the European Parliament and of the Council of 26 February 2014 on the award of concession contracts (1),

having regard to Directive 2014/24/EU of the European Parliament and of the Council of 26 February 2014 on public procurement and repealing Directive 2004/18/EC (2),

having regard to Directive 2014/25/EU of the European Parliament and of the Council of 26 February 2014 on procurement by entities operating in the water, energy, transport and postal services sectors and repealing Directive 2004/17/EC (3),

having regard to the respective opinions of the Committee on International Trade on the proposal for a directive of the European Parliament and of the Council on public procurement (COM(2011)0896), on the proposal for a directive of the European Parliament and of the Council on procurement by entities operating in the water, energy, transport and postal services sectors (COM(2011)0895), and on the proposal for a directive of the European Parliament and of the Council on the award of concession contracts (COM(2011)0897),

having regard to the Commission’s communications entitled ‘Mobilising private and public investment for recovery and long term structural change: developing Public Private Partnerships’ (COM(2009)0615), ‘A Stronger Role of the Private Sector in Achieving Inclusive and Sustainable Growth in Developing Countries’ (COM(2014)0263), ‘Europe 2020: A strategy for smart, sustainable and inclusive growth’ (COM(2010)2020), ‘Trade, Growth and World Affairs — Trade Policy as a core component of the EU’s 2020 strategy’ (COM(2010)0612), ‘Towards a job rich recovery’ (COM(2012)0173) and ‘A renewed EU strategy 2011-2014 for Corporate Social Responsibility’ (COM(2011)0681),

having regard to its resolution of 27 September 2011 on a New Trade Policy for Europe under the Europe 2020 Strategy (4), of 6 February 2013 on Corporate social responsibility: promoting society’s interests and a route to sustainable and inclusive recovery (5), and of 26 October 2006 on public-private partnerships and Community law on public procurement and concessions (6),

having regard to the 2010 report by EIM for the Commission entitled ‘Internationalisation of European SMEs’,

having regard to paragraph 5 of the Commission’s communication entitled ‘Strategy for equality between women and men 2010-2015’ (COM(2010)0491), to the UN Women’s Empowerment Principles launched in March 2010, to the UN Guiding Principles on Business and Human Rights and the Foreign Affairs Council conclusions of 8 December 2009, and to paragraph 46 of the final document of the United Nations Conference on Sustainable Development (Río+20),

having regard to the OECD Recommendation of May 2012 on Principles for Public Governance of Public-Private Partnerships (7), the 1997 OECD Convention on combating bribery of foreign public officials in international business transactions and the OECD Guidelines for Multinational Enterprises, updated in May 2011 (8),

having regard to the relevant ILO Conventions,

having regard to the UN Economic Commission for Europe’s 2008 Guidebook on Promoting Good Governance in Public-Private Partnerships (9),

having regard to the UN Commission on International Trade Law (UNCITRAL) Legislative Guide on Privately Financed Infrastructure Projects of 2001 (10), and to the papers presented at the UNCITRAL International Colloquium on Public-Private Partnerships (PPPs) held in Vienna on 2 and 3 May 2013,

having regard to the CAF report of 2010 entitled ‘Infraestructura pública y participación privada: conceptos y experiencias en América y España’,

having regard to the ‘Public-Private Partnerships Reference Guide: Version 2.0’ of July 2014 produced by the Asian Development Bank (ADB), the Inter-American Development Bank (IDB), the World Bank Group and the Public-Private Infrastructure Advisory Facility (PPIAF) (11),

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on International Trade and the opinions of the Committee on Development and the Committee on the Internal Market and Consumer Protection (A8-0182/2015),

A.

whereas countries’ societies and economic structures, and the dynamism thereof, benefit from environments which allow interaction between the public and private sectors, and cooperation between public and private entities, for example through joint initiatives and ventures;

B.

whereas, although public-private partnerships (PPPs) are a long-term tool used in government policies at international, national, regional and local level, there is no internationally recognised definition and comprehensive regulatory framework for them; whereas in practice PPPs are understood to refer to a ‘broad and varied spectrum of cooperative relationships between public actors (governments, agencies, and international organisations, or a combination thereof) and private actors (companies or not-for-profit entities)’ and usually imply supply by the private sector of infrastructure or assets traditionally provided by governments;

C.

whereas PPPs are important as a vehicle for economic growth, innovation, competitiveness and job creation, both in the single market and abroad, and have a strategic role in modernising infrastructure, in particular energy, water, road and digital infrastructure; whereas EU companies are well equipped to compete for and operate such arrangements;

D.

whereas PPP arrangements may take various forms, and single market legislation sets high procedural standards; whereas this legislation was revised and consolidated in Directives 2014/24/EU and 2014/25/EU on public procurement, in Directive 2014/23/EU on concessions, and in guidance on institutionalised PPPs;

E.

whereas public-private partnerships for the provision of infrastructure, goods and basic services are technically complex;

F.

whereas the global economic crisis has severely affected all mature, emerging and developing countries since 2007, and has had an impact on budgetary policies and on the access of both institutional and private entities, especially SMEs, to the funds needed to carry out projects, affecting the development of infrastructure and other capital-intensive projects and the provision of basic services;

G.

whereas a growing number of governments, owing to public budgetary constraints exacerbated by the economic and public debt crisis, are adopting innovative solutions such as PPPs which, if implemented appropriately, can help improve the costs, effectiveness, efficiency and quality of public services and ensure the timely delivery of public infrastructure, by an appropriate involvement of public and private actors;

H.

whereas the positive impact of PPPs is derived from improved delivery of projects, a good benefit-cost ratio, the possibility for long-term financing of costs, the stimulus provided for innovation and research, and a more flexible and skilled management environment;

I.

whereas the liberalisation of trade and investment is not an end in itself but a tool which should create wealth and help improve the quality of life for the world’s population, and whereas there is, in this context, an opportunity to develop innovative policies — together with new instruments, such as the newly designed financial instruments, and a network of free trade agreements useful to third-country governments for guaranteeing the provision of infrastructures, goods and services of general interest — while providing or paving the way for further participation by EU companies in investment projects abroad that bring together private companies and public entities;

J.

whereas PPPs are characterised by a long life-cycle, sometimes extending from 10 to 30 years, and whereas the life-cycle of PPPs should be meaningful and consistent with the pursued objectives in terms of work, goods and services to be provided, without artificially distorting competition or creating higher costs and an unnecessary burden for public administrations and tax-payers;

K.

whereas EU trade policy should neither encourage nor discourage the sovereign decision on whether or not to use a PPP, but, once the decision has been taken, the EU has an obligation to ensure that our large, medium-sized and small enterprises and micro-enterprises have the best possible access to procurement markets in the partner country, bringing added value to the local community, in line with the principles of openness, participation, accountability, effectiveness and policy coherence;

L.

whereas the fact that the private sector may undervalue social infrastructure and the cover it provides, the considerable costs associated with providing infrastructure, the position of some sectors as natural monopolies or their strategic importance mean that in many cases open competition and privatisation are not the most suitable policy option where the public interest must prevail;

M.

whereas the purpose of PPPs is therefore to combine the best of both worlds — the provision of services and infrastructure of general interest, but through enhanced participation by the private sector rather than through privatisation processes;

N.

whereas many emerging and developing countries face a mismatch between the dynamism of private businesses and the lack of reliable public infrastructure; whereas such gaps (which are striking in India or Brazil) have undermined potential growth, limiting export/import capacities or disturbing production lines owing to the absence of sufficient port infrastructure, deficiencies in internal transport (railways, freight or highways) or dysfunctional power generation units and power distribution grids; whereas these gaps also have a negative impact on human welfare (owing to scarcity of sewage and water distribution networks); whereas PPPs allow integrated solutions whereby a partner or a consortium provides ‘building’ (construction, engineering and architecture services), ‘financing’ (injection of private funds, at least to pre-finance a project) and ‘exploitation’ (maintenance, surveillance and management services);

O.

whereas intergovernmental organisations have also used PPPs to devote aid to least-developed countries through partnerships operating in the field of development and cooperation: the World Bank, regional reconstruction banks, the Food and Agriculture Organisation, the World Health Organisation and the UN Children’s Fund (UNICEF), to name but a few, have used PPPs to implement actions; whereas, as regards geographical focus, the USA, Australia, Japan, Malaysia, Singapore, the United Arab Emirates and other Asian and Latin American countries (led by Chile) have experience of PPPs; whereas OECD countries (Finland, France, Germany, Greece, Italy, Ireland, the Netherlands, Portugal and Spain) also have relevant legislation; whereas the UK has the most developed programme in respect of PPPs (with the Private Finance Initiative accounting for around 20 % of public investment); whereas the EU leads the PPP infrastructure market, concentrating more than 45 % of the nominal value of PPPs;

P.

whereas PPPs have been used in the context of the Structural Funds, enlargement, the trans-European networks, Joint Technology Initiatives, Europe 2020, R&D (factories for the future, energy-efficient buildings, the green vehicles initiative, the sustainable process industry, photonics, robotics, high-performing computing, and 5G networks), e-learning, research projects with universities and other programmes in the health field (such as the innovative medicines initiative); whereas the European Investment Bank and the European PPP Expertise Centre have carried out projects in the EU, its neighbourhood and beyond; whereas the EU has also contributed through the Global Energy Efficiency and Renewable Energy Fund; whereas the European Fund for Strategic Investments intends to support a number of PPPs in the EU, in which companies from trading partners may participate;

Q.

whereas the EU has hitherto kept its public procurement markets wide open to international competition and has put in place rules seeking to ensure genuine and fair competition on the single market and to enable international investors to compete on an equal footing; whereas inside the EU there is no discrimination on grounds of foreign ownership or control, and whereas companies from abroad may set up a local base in order to participate in PPPs;

R.

whereas EU free trade agreements include provisions which pave the way for companies to bid in PPPs via market access and pre-establishment; whereas the treatment and possibilities open in respect of Korea, Colombia/Peru, Central America, Singapore and Canada (and Vietnam and Japan) are defined differently and specifically; whereas there has to be a relatively flexible approach as regards negotiations with different partners; whereas, however, the aim must continue to be to help foster social and economic development, environmental sustainability, democracy and good governance, the observance of human rights and the promotion of internationally recognised standards of protection, as well as the creation of decent jobs; whereas, at the multilateral level, the General Agreement on Trade in Services (GATS) and the Agreement on Government Procurement (GPA) also establish a number of commitments, as may other plurilateral instruments such as the Trade in Services Agreement (TiSA); whereas the environment in the EU is therefore becoming more competitive;

Background

1.

Stresses the need to stimulate decent job creation, competitiveness and productivity inside the EU and in third countries through innovative policies and new instruments designed to encourage the activity of economic actors in order to re-launch sustainable growth, including through investments outside the Single Market; believes that PPPs could be — as one of several options — a potential source of growth for EU companies and, at the same time, be useful for our partner third countries, as these PPPs could provide infrastructures, goods and services of general interest;

2.

Recalls that PPPs should bring high added value to citizens and consumers, ensure quality services and/or goods, and provide concrete competitive and economic advantages for public administrations, both at government and local level, while avoiding creating additional burdens or losses for the public sector;

3.

Urges the Commission to promote a definition of PPPs that can gain international recognition as a long-term relationship between public entities and private investors geared to the provision of high-quality, accessible public services and infrastructures on the basis of terms and conditions clearly laid down in contracts, compliance with which may easily be assessed by means of indicators ensuring that such compliance is rewarded with fair and appropriate remuneration;

4.

Notes that both SMEs and larger companies alike can provide unique private-sector know-how, experience and good practices, as well as networks involving public authorities in non-EU countries, effectively helping to deliver on sustainable development policies; considers that SMEs can best achieve their potential if they create networks and perform at the global level, and enter markets outside Europe, inter alia through PPPs; calls, in this respect, on the Commission to promote and encourage the formation of consortia and other forms of cooperation between large companies and SMEs in order to facilitate access for the latter to PPP-projects;

5.

Stresses that the development of PPPs must take into account, in particular, the challenges for EU-based SMEs competing on international markets under a PPP, and the need to ensure that SMEs gain concrete, fair and reciprocal access, notably in the utilities sectors, as set out in Directive 2014/25/EU; highlights, in this respect, the importance of specific rules allowing for cluster or grouped tendering by SMEs and the use of open and transparent subcontracting chains;

Challenges

6.

Considers it regrettable that, so far, the EU has kept its government procurement markets largely open to international competition, while EU companies still face substantial barriers abroad; calls on the Commission to guarantee that EU trade agreements contain instruments for our companies, especially SMEs, to compete abroad on equal terms with foreign national companies; demands as well clear regulation of, and easy access to information concerning, tenders and awarding criteria, and the lifting of discriminatory and unjustified trade barriers in the field of government procurement, services or investment (such as fiscal discrimination, regulatory barriers to the establishment of branches or subsidiaries, and restrictions on access to financing); calls on our partner countries to apply principles of open government in order to guarantee transparency and avoid conflicts of interest, and to use PPPs practice with caution, taking into account not only cost-benefit analyses and the viability of the projects, but also the financial and technical capacity of public authorities to supervise services or infrastructure delivery in line with general public interest;

7.

Acknowledges that PPP-related challenges can be overcome through principles of good governance, such as transparency and clarity of rules, where the following issues are key: the award, execution and evaluation of projects from the initial stages; the modelling and definition of risk-transfer (in particular, the evaluation of medium- and long-term cost-effectiveness); the participation of stakeholders and civil society organisations; the fight against corruption and fraud; the financial and technical capacity of the responsible administration to adequately plan and supervise the implementation of contracts; and the reinforcement of legal certainty, within a framework that guarantees exercise by the public authorities of their legitimate power; invites the Commission and the Member States (which are vital parties in this regard) to promote these principles and the related good practices beyond our borders;

8.

Recalls that PPPs are characterised by their high value and technical complexity, and by the parties’ long-term commitment; notes that they consequently require appropriate levels of both flexibility and procedural safeguards to ensure transparency, non-discrimination and equal treatment;

9.

Recalls that there are a number of inherent risks in infrastructure projects (in particular those relating to building, the environment, telecommunications and energy networks), and that the government, through PPPs, transfers part of the risk to the private contractor so that both can reap the benefits but also share the risks and responsibilities of such projects; stresses, furthermore, that adequate risk sharing is essential in order to reduce the costs of a project and ensure its successful implementation and viability;

10.

Recalls that the delivery of high-quality, accessible and cost-effective services to the public, both inside and outside the EU, is an essential condition to ensure successful implementation and viability of PPPs; recalls that the complex choice of models and contracts has an impact on a project’s evolution; warns that, at some stages, PPPs have been used merely to achieve the objective of complying formally with public-deficit objectives; highlights the need for an adequate institutional framework combining political commitment, good governance and adequate underlying legislation to guarantee that PPPs offer better quality and broad coverage of services to the citizens; stresses, in this regard, the importance of an adequate evaluation of the profile and past experiences of the companies involved to determine the quality of the services they have provided and whether their business conduct has been responsible;

Involving the private sector in development

11.

Stresses that EU trade, investment and development policies are interlinked and that Article 208 of the Lisbon Treaty establishes the principle of policy coherence for development, requiring that the objectives of development cooperation be taken into account in policies that are likely to affect developing countries; emphasises as well the importance of ensuring that EU investment policies are oriented to financial choices that include a real assessment of the social impact;

12.

Stresses the increasing potential of PPPs, as one option among others, to foster innovative solutions and mobilise long-term private finance and domestic resources for development objectives, given that massive investments are required in developing countries — in terms of infrastructure, water supply and energy — that the public sector will not be able to provide on its own, and the majority of which would profit from private sector involvement; believes that PPPs can also generate innovation in technologies and business models, and build mechanisms for holding the private sector accountable; points, however, to instances in which the participation of the private sector in PPPs in some developing countries has not delivered the expected results; notes that, in consequence, a contribution of technical assistance is needed to reinforce the legal and institutional frameworks in which PPPs are developed, in particular as regards the capacity to evaluate, plan and supervise the execution of such projects in a proper manner, and provide the option for public partners to claim compensation from private companies in case of contractual non-compliance;

13.

Notes that PPPs are high on the development agenda and are increasingly being promoted as a means of closing the infrastructure financing gap in developed and developing countries alike;

14.

Urges the Commission — as it has indicated its wish to extend considerably the use of blending in future years — to implement the recommendations made in the European Court of Auditors Special Report on the use of blending, and to evaluate the mechanism of blending loans and grants, particularly in terms of development and financial additionality, transparency and accountability;

15.

Calls on EU bodies to encourage EU companies participating in PPPs in third countries, in particular in less-developed countries, to work in accordance with the principle of policy coherence, in line with existing OECD Guidelines for multinationals, so that development cooperation objectives are taken into consideration; calls on the Commission to encourage sustainable investments, taking into account development objectives by prioritising the long-term development of domestic economies in particular, and to promote projects focused on environmental protection, poverty reduction, education, waste management or the use of renewable energies, for instance;

16.

Stresses that in the area of development aid, PPPs are an effective way to spend European funds while supporting EU priorities and coherence with other policies; calls for greater Commission involvement and investment in the development PPPs, and for PPPs to be used as a vehicle to allow the extension of the Union’s limited development budget;

17.

Underlines the fact that private investment and finance are likely to be the key engine for sustainable growth, which is projected to be approximately 5 % in developing countries in the coming years; recognises that such private funding can help support local economies and companies and provide decent jobs, and therefore lead to poverty eradication, provided that foreign direct investment is properly regulated and linked to concrete improvements in the partner countries’ economies, e.g. through technology transfers and training opportunities for the local labour force; considers, under these circumstances, that PPPs may benefit the LDCs, as the disproportionate investment risk does not sufficiently incentivise private investments; emphasises that future PPPs within the post-2015 development agenda should pursue poverty reduction and other sustainable development goals, and should be aligned with partner countries’ national development plans;

18.

Notes that properly structured and efficiently implemented, PPPs can bring many benefits, including innovation, greater efficiency in the use of resources, and quality assurance and scrutiny; notes as well that PPPs in developing countries need to be assessed on the basis of their capacity to deliver development outcomes, and that a fair distribution of the risk burden between public and private sectors is needed; stresses that PPPs in developing countries have until now mostly been concentrated in the energy and telecommunications sectors while private engagement in social infrastructure remains rare; encourages, therefore, those PPPs that have as their primary objective the achievement of sustainable development goals;

19.

Calls for increased technical assistance — including the training of local staff and sharing of technology — to the governments of the partner countries in order to boost their capacity to claim ownership of the PPPs and assume their share of responsibility for the management of PPP projects, i.a. by helping them set up banking systems and tax administrations capable of providing financial governance for, and managing, public and private funds; points out that past experience shows that poorly negotiated PPP contracts can, in some instances, add to state indebtedness, and calls for the regulatory framework on responsible financing to be set up; calls on the Commission to consider the possibility of providing developing countries with technical assistance and advice on how to prepare and implement EU standards on their markets;

20.

Strongly supports the effective and comprehensive dissemination and implementation of the UN Guiding Principles on Business and Human Rights (UNGPs) within and outside the EU, and emphasises the need to take all necessary policy and legislative measures to address gaps in the effective implementation of the UNGPs, including in the area of access to justice;

21.

Stresses that development agencies must ensure that public development finance is used to support local economic networks in developing countries and is not diverted to promote private firms and multinationals from the donor countries; stresses, in particular, that PPPs should be aimed at building the capacity of domestic micro, small and medium-sized enterprises;

22.

Recalls that the European Union is committed to promoting gender equality and ensuring gender mainstreaming in all its actions; calls for the gender dimension be integrated into the planning and delivery of PPPs, e.g. by using gender-disaggregated data and analyses for targeted investments, and by establishing in contracts key performance indicators for benefits to women; calls, in this context, for increased support to local SMEs, and especially to female entrepreneurs, so as to enable them to gain from private, sector-led growth;

Potential tools to enable EU companies to engage in PPPs outside the EU

23.

Calls on the Commission to work towards gaining substantial market access commitments internationally in the World Trade Organisation (WTO), and in ongoing bilateral negotiations with third countries, in a positive and reciprocal approach that allows for international competition, in order to redress asymmetries between the EU and other trading partners as regards the level of openness of government procurement markets; asks the Commission to work to eliminate administrative, procedural and technical barriers that prevent EU companies from taking part in foreign PPPs;

24.

Calls on the Commission, while negotiating trade and investment agreements with other countries, to support the dismantling of barriers for EU companies, in particular SMEs, so that they can enter PPPs in these countries and support the professional mobility of EU citizens in these states, and so that they can compete on equal footing with domestic companies and companies from third countries;

25.

Calls on the Commission to monitor EU businesses abroad, to draw conclusions on success stories, models and good practices, with a view to drawing up guidelines, and to consider creating virtual documentation centres or observatories to facilitate access for EU companies, especially SMEs, to information on PPP opportunities; calls on the Commission to encourage the creation of user-friendly platforms and networks so as to promote a structured dialogue between stakeholders, and to provide technical support as regards the legal framework and expected challenges; asks the Commission to undertake a study on the effects of the Union’s FTAs and their implementation on access to foreign PPPs by EU companies; believes that such a study could give insight into the concrete impacts of FTAs in the PPP field and, eventually, allow the identification of barriers that have not yet been addressed;

26.

Calls on the Commission to promote the use of clear and comprehensive accounting rules at international level in order to reduce the uncertainties associated with PPPs, while, at the same time, promoting sound budgetary policies and project sustainability;

27.

Calls on the Commission to ensure that EU-backed bodies such as the European Agency for Small and Medium-sized Enterprises (EASME) and the Enterprise Europe Network (EEN) can also access and share information with SMEs on how to enter PPPs in states outside the EU, and on how to promote small and medium-sized companies’ participation in PPPs in third countries;

28.

Underlines that to attract cross-border private-sector funds into PPPs, it is paramount to provide sufficient assurances that these long-term investments will benefit from a clear, stable and secure environment with good governance, legal certainty, transparency, equal treatment, non-discrimination and effective dispute settlement; calls on the Commission and the Council to work together to this end in the competent international fora, and in international financial institutions, so as to ensure that the necessary legal framework in this area exists and is transparent, democratic, inclusive, effective and cost-efficient;

PPPs outside the EU: new jobs and growth opportunities for EU companies

29.

Is convinced that increased participation by EU companies in large-scale international PPPs could lead to substantial benefits in terms of the creation of decent jobs, productivity, competitiveness, technological capabilities and innovation development in the EU; recalls that the 2010 Commission study on the ‘Internationalisation of European SMEs’ highlights the positive link between internationalisation and innovation in terms of products, services and processes;

30.

Stresses that the work in this area must take into account, in particular, the challenges for EU-based SMEs in competing on international markets as parts of PPPs, and the need to ensure that SMEs gain concrete and fair access; highlights, in this regard, the importance of specific rules allowing for cluster or grouped tendering by SMEs and the use of open and transparent subcontracting chains; believes that SMEs should be encouraged to take part either as sub-contractors or as part of consortiums tendering for contracts;

31.

Recalls the achievements made in the EU through the use of PPPs, in infrastructure development as well as in vanguard fields of technology, research, e-learning and other high-added-value sectors, and encourages the Commission to identify those projects which have yielded the best results in the EU, and to promote participation by all types of EU companies, especially SMEs, in such initiatives abroad;

o

o o

32.

Instructs its President to forward this resolution to the Council, the Commission and the European Investment Bank.


(1)  OJ L 94, 28.3.2014, p. 1.

(2)  OJ L 94, 28.3.2014, p. 65.

(3)  OJ L 94, 28.3.2014, p. 243.

(4)  OJ C 56 E, 26.2.2013, p. 87.

(5)  Texts adopted, P7_TA(2013)0050.

(6)  OJ C 313 E, 20.12.2006, p. 447.

(7)  http://www.oecd.org/governance/budgeting/PPP-Recommendation.pdf

(8)  http://www.oecd.org/daf/anti-bribery/ConvCombatBribery_ENG.pdf

(9)  www.unece.org/fileadmin/DAM/ceci/publications/ppp.pdf

(10)  http://www.uncitral.org/pdf/english/texts/procurem/pfip/guide/pfip-e.pdf

(11)  http://api.ning.com/files/Iumatxx-0jz3owSB05xZDkmWIE7GTVYA3cXwt4K4s3Uy0NtPPRgPWYO1lLrWaTUqybQeTXIeuSYUxbPFWlysuyNI5rL6b2Ms/PPPReferenceGuidev02Web.pdf


11.8.2017   

EN

Official Journal of the European Union

C 265/25


P8_TA(2015)0251

The fruit and vegetables sector since the 2007 reform

European Parliament resolution of 7 July 2015 on the fruit and vegetables sector since the 2007 reform (2014/2147(INI))

(2017/C 265/04)

The European Parliament,

having regard to the Commission report on the implementation of the provisions concerning producer organisations, operational funds and operational programmes in the fruit and vegetables sector since the 2007 reform (COM(2014)0112),

having regard to the Council conclusions of 16 June 2014 on the aforementioned Commission report,

having regard to Regulation (EU) No 1308/2013 of the European Parliament and of the Council of 17 December 2013 establishing a common organisation of the markets in agricultural products (1),

having regard to its resolution of 11 March 2014 on the future of Europe’s horticulture sector — strategies for growth (2),

having regard to the study entitled ‘The EU fruit and vegetables sector: Overview and post 2013 CAP perspective’, carried out under the auspices of the European Parliament in 2011,

having regard to the two studies entitled ‘Towards new rules for the EU’s fruit and vegetables sector’, which were carried out by the Assemblée des Régions Européennes Légumières et Horticoles (AREFLH) and the University of Wageningen respectively for a European Parliament workshop held on 22 January 2015,

having regard to the Commission communication on tackling unfair trading practices in the business-to-business food supply chain (COM(2014)0472),

having regard to the study entitled ‘Comparative analysis of risk management tools supported by 2014 (US) Farm Bill and the CAP 2014-2020’, which was carried out under the auspices of the European Parliament in 2014,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Agriculture and Rural Development and the opinion of the Committee on Budgetary Control (A8-0170/2015),

A.

whereas since the 1990s Union policy for the fruit and vegetable sector has been centred on strengthening the role of producer organisations (POs);

B.

whereas the 2007 reform aimed to strengthen the fruit and vegetable producer organisations (POs) by providing a wider range of tools to make it possible, among other measures, to prevent and manage market risks, as well as enhancing and concentrating supply, improving quality and competitiveness, adapting supply to match the market, and providing technical support for environment-friendly production;

C.

whereas producer organisations are subject to a number of restrictions compared to private commercial firms, such as restrictions on the use of investments relating to the revenue structure or the need to sell;

D.

whereas it is essential to support the fruit and vegetable sector throughout the entire territory of the Union, given its importance in terms of added value and employment, and given the health benefits that it presents through healthy and balanced diets;

E.

whereas Union support for POs and for associations of producer organisations (APOs) is aimed at strengthening the competitiveness of the sector, supporting innovation, increasing productivity, enhancing promotion, improving the bargaining position of farmers and restoring balance in the food supply chain, whilst also integrating environmental concerns in the production and marketing of fruit and vegetables and giving due consideration to the situation of individual producers;

F.

whereas incentives were created to encourage mergers between POs and between associations of producer organisations (APOs), as well as transnational cooperation, in order to develop the bargaining power of POs in the distribution chain;

G.

whereas, at EU-level, the majority of fruit and vegetable producers are small or medium-sized holdings;

H.

whereas, according to a 2011 study on the fruit and vegetable (F&V) regime carried out for the European Parliament, POs should be encouraged since ‘collective action at producer level and effective coordination within the chain appear to be pre-conditions for any successful strategy in coping with declining relative producer prices’;

I.

whereas POs and APOs in the fruit and vegetable sector may set up an operational fund to finance operational programmes approved by the Member States;

J.

whereas such funds are financed by contributions from the PO’s members or the PO itself and by EU financial assistance, and this cofinancing fosters commitment on the part of beneficiaries and helps ensure that they make good use of the assistance, as well as having a multiplier effect;

K.

whereas financial support under the old common agricultural policy (CAP) for the investments of newly established F&V POs, ceased by the reform of 2013, was of crucial importance, especially in the central, eastern and southern European Member States, overseas territories and islands;

L.

noting:

(a)

the increase in the organisation rate, the share of the total value of EU fruit and vegetable production marketed by POs and APOs in 2010 being about 43 % (34 % in 2004);

(b)

the improved attractiveness of POs, the share of total fruit and vegetable producers that are members of POs having increased from 10,4 % in 2004 to 16,5 % in 2010; and

(c)

the increased attractiveness of APOs as demonstrated by the rapid rise in the number of APOs, coupled with the substantial increase in the number and share of POs that are members of APOs;

M.

whereas these figures for the Union as a whole are averages reflecting highly divergent situations between Member States — or even markedly different situations within individual Member States; whereas these situations, which reflect different starting points in the drive towards setting up POs, are attributable to historical factors based on the greater or lesser degree of willingness shown by farmers in setting up POs, to the structure of agricultural holdings, to different market conditions and administrative barriers, to the inadequacy of the support currently being provided and also to the fact that in many Member States this sector is dominated by small producers;

N.

whereas the public consultation on policy options and their impact assessment, carried out by the Commission between 4 June and 9 September 2012, concerning the review of the EU regime for the fruit and vegetable sector, reveals that the majority of respondents are in favour of the regime continuing, subject to some specific refinements;

O.

whereas the regions in which producers have achieved the highest levels of competitiveness, profitability, internationalisation, quality, and environmental sustainability are those in which the degree of organisation of production is the highest;

P.

whereas the organisation rate among producers remains low on average and considerably below the EU average in certain Member States, although this general assertion is subject to qualification depending on the degree of modernisation of the production and marketing of each area; whereas the suspension and de-recognition of POs, which causes uncertainty among producers, is a factor that contributes to the low average;

Q.

whereas, although national financial aid (Regulation (EU) No 1308/2013) has been an important financial instrument in terms of concentrating supply, there is a need to enhance its effectiveness;

R.

whereas the role played by POs in opening up new markets, promoting consumption or investing in innovation has a very positive impact on the F&V sector as a whole;

S.

whereas, in the EU, the F&V sector accounts for 18 % of the total value of agricultural production, uses only 3 % of the cultivated land and is worth more than EUR 50 billion;

T.

whereas the F&V supply chain has an estimated turnover of more than EUR 120 billion, with approximately 550 000 employees and acts as an economic multiplier at European level, stimulating both demand and the creation of added value in other economic sectors;

U.

whereas the total EU agricultural area cropped with F&V fell by 6 % between 2003 and 2010, indicating that farmers have switched to other crops or, in many cases, have given up farming; whereas, according to the 2015 AREFLH study, this decline was greater in southern Europe than in northern Europe;

V.

whereas the volume of fruit and vegetable production has also fallen in recent years, whilst its value has tended to remain stable in real terms, reaching EUR 48,25 billion in 2012, despite which it has not been able to offer farm gate prices in line with production costs and wages;

W.

whereas the deficit in consumption represents a major problem for the fruit and vegetable sectors, with the last few years having witnessed a loss of production; recalling the data from Freshfel Europe which indicate that consumption of fresh fruit and vegetables in the EU-28 stood at 387 g a day per capita in 2012, a decrease of 8,7 % as compared with the average for the 2007-11 period; whereas this decline seems to reflect long-term trends towards greater consumption of processed foods and the impact of the economic crisis;

X.

whereas there are 22 million overweight children within the European Union, while adolescents are consuming on average just 30 % to 50 % of the recommended daily allowance of fruit and vegetables;

Y.

whereas the World Health Organisation (WHO) recommends a minimum daily intake of 400 g of fruit and vegetables for the prevention of chronic diseases such as heart diseases, cancer, diabetes and obesity, the latter in particular among children; whereas, to date, only four EU Member States have met this recommendation;

Z.

whereas in 2012 the EU had a trade deficit in F&V, largely due to the fact that it imports significantly more fruit than it exports, because of high production costs;

AA.

whereas the 2015 AREFLH study points out that the EU market is relatively open to imports, whilst European exports face considerable tariff and non-tariff barriers in trading partners, which prevents exports from diversifying; whereas, although imports from third countries compete directly with similar EU products, the same environmental, food safety and social standards are not, in some instances, applied in their cultivation;

AB.

whereas market crises occur frequently in the F&V sector since even small production surpluses can cause sharp falls in producer prices; whereas F&V are mostly perishable products and must therefore be sold quickly, leaving farmers in this sector in a structurally weak bargaining position vis-à-vis major retailers and processors;

AC.

whereas the crisis caused by the Russian ban has had, and will in future have, significant negative effects on the F&V sector, with producers in this sector sustaining some of the greatest losses; whereas the importance of the existence of strong POs organised in such a way as to be able to collectively deal with unexpected and adverse situations must be underlined, supported by adequate Community instruments adapted to the severity of each crisis or, if necessary, by activating the exceptional measures envisaged in Regulation (EU) No 1308/2013;

AD.

whereas the Commission’s report recognises that the F&V regime’s crisis prevention instruments have been little used since the 2007 reform and that they have proven insufficient to mitigate the consequences of serious crises such as that of E. coli or the current one resulting from the Russian ban; whereas, in the majority of cases, apart from withdrawals from the market, they are administratively difficult to apply due to the unclear regulations in that respect;

AE.

whereas the School Fruit Scheme, under which a number of local and seasonal fruits and vegetables are used, has attracted interest and been successful;

AF.

whereas the possibility of making the repayment of capital and interest on loans taken out to finance crisis prevention and management measures eligible for EU financial aid has, under the operational programmes, been an important instrument for managing market uncertainty;

AG.

whereas the Commission’s report identifies complexity of rules and lack of legal certainty as weaknesses of the current F&V regime; whereas Commissioner Hogan has committed himself to improving the regime in the first year of his term, taking into account cultural differences and contrasts in market realities between different Member States and the need to boost competitiveness and the innovative strength of the sector;

AH.

whereas the University of Wageningen study concludes that diverging interpretations of EU implementing legislation have created legal uncertainty for national administrations and POs, resulting in an increased administrative burden and fear of risk taking and creating disincentives for the setting up of POs;

AI.

whereas clear and predictable audit procedures are essential for the functioning of the F&V regime; whereas overlap in consecutive audits should be avoided and follow-up audits should not be carried out before clearance of accounts has given a definite decision on a previous audit, in order to ensure that Member States do not have to make larger corrections than are necessary;

AJ.

whereas Regulation (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products has already taken account of a number of elements featuring in the Commission communication, and whereas the rules currently in place in the European Union need to be stabilised;

AK.

whereas proportionality should play an essential part in reducing legal uncertainty within the F&V regime, ensuring that a PO as a whole is not prejudiced by the infringements of single offenders;

AL.

whereas POs frequently encounter difficulties in finding and training managers with the necessary skills for carrying out commercial activities in the competitive environment of the agribusiness sector; whereas the Commission’s report states that spending on training and advisory services by POs has been low;

AM.

whereas the farming population in the EU-28 is ageing rapidly and whereas, on average, there is only one farmer under 35 for every nine farmers over the age of 55;

1.

Welcomes the Commission’s report, which provides a balanced picture of the evolution of the F&V regime since the 2007 reform, confirms the validity of the basic organisational structure for this sector and identifies areas where progress has been achieved, such as the increased concentration of POs that is improving the sector’s positioning in the food supply chain, whilst also referring to problems that persist;

2.

Is of the opinion that support must compensate for the negative consequences — from the market point of view — of the restrictions imposed on producer organisations;

3.

Welcomes the measures in the EU F&V regime which are intended to increase market orientation among EU growers, encourage innovation, promote F&V, increase growers’ competitiveness and improve marketing, product quality and the environmental aspects of production, through the provision of support to POs, PO associations and the recognition of inter-branch organisations, also promoting the formation of clusters that will generate new income streams, to be channelled into new investments;

4.

Welcomes the fact that the new CAP retains the F&V regime, while acknowledging that existing instruments have not always been effective, as recognised by the Commission in its public consultation document entitled ‘A Review of the EU Regime for the Fruit and Vegetables Sector’, and therefore supports the work of the Newcastle Group aimed at improving the F&V regime, which should take account of the specific nature of the legal arrangements governing cooperatives in the Member States, so as not to limit the creation of new POs, while respecting the fact that growers may opt to remain outside the PO system;

5.

Calls on the Commission to intensify efforts to tackle unfair trading practices (UTPs) in the food supply chain which negatively impact producer returns, depress incomes and threaten the viability and sustainability of the sector; considers that unfair trading practices and the pressure exerted on producers, whether or not they are associated, by the large retail chains, are the main obstacle to F&V farmers earning a decent income; points out that the weakness of their position is compounded by the fact that their products are perishable; considers that the problems cited, such as the abandonment of land or the ageing of the population of active farmers, will only disappear when the profits from production are sufficient to guarantee the future of the profession and attract young labour;

6.

Invites the Commission to establish clear EU rules governing the principles of good practice in the food supply chain to ensure a common interpretation of the rules as regards unfair trading practices;

7.

Invites the Commission to promote measures to encourage direct marketing of PO products; believes that direct marketing is an alternative to the large retail sector and its underlying values regarding the relationship to food, agriculture and the environment; considers that direct marketing prices are kept lower than large retail sector prices precisely because of the elimination of intermediaries and of the costs linked to logistics; considers, in this connection, that a shortening of the chain guarantees farmers a fair return and makes it possible to combat unfair trading practices;

8.

Notes that many Member States have introduced measures to tackle UTPs and calls for an EU-coordinated response to strengthen the functioning of the internal market for agricultural produce;

9.

Stresses the importance of maintaining European quality standards for fresh fruit and vegetable products in order to guarantee consistently high quality in the supply chain for the benefit of the final consumer;

10.

Urges the Commission to clarify how it intends to apply Article 209(1) of Regulation (EU) No 1308/2013 establishing a common organisation of the markets in agricultural products, so as to promote more legal certainty on how to achieve the objectives set out in Article 39 of the TFEU, in strict compliance with Article 101 of the TFEU as regards competition;

11.

Notes that the degree of organisation of the sector, as measured by the share of the total value of F&V production marketed by POs, has steadily increased in recent years in the Union as a whole, but that this increase can be attributed to only some of the Member States;

12.

Emphasises that, despite this increase, the degree of organisation among producers remains low on average, and considerably below the EU average in certain Member States, and that addressing this problem is crucial for the future of the F&V regime, not least by alleviating significant regional imbalances; further emphasises that this low level of organisation is not helped by the complexity of PO rules which has resulted in the suspension and de-recognition of POs in some Member States; therefore calls on the Commission to reverse this decline by simplifying the scheme’s rules to make POs more attractive to join;

13.

Points to the need to improve the organisation rate in the sector, bearing in mind that it is clearly higher in regions where production and marketing are more modernised and geared to export, while it is weakest in countries that have not had an opportunity to use operational funds for many years;

14.

Considers it vital to contemplate putting instruments in place for managing crises, and the successful initiatives launched by certain POs in that respect need to be clearly identifiable so that they can be replicated elsewhere whenever it is possible; to this end, calls on the Commission to facilitate the awareness and knowledge of such pioneering POs;

15.

Recalls that POs are tools that are made available to producers to help them collectively organise themselves on the market so that they can safeguard their income, and that POs are particularly useful in production areas that send their produce to consumer areas, but are not greatly used by certain producers or in certain local or niche markets;

16.

Stresses in this context that it is important to increase the overall level of support to POs and to provide stronger incentives both for the merging of existing POs in APOs and the creation of new ones in both a national and international context, while calling for the investment of the aid provided to set up new POs to be monitored to ensure that it is effectively invested in ways that will increase the income of the member producers;

17.

Considers it regrettable that, in certain Member States, the rate of organisation into POs is extremely low and recommends that Member States prioritise insisting on the promotion of the association of producers; calls on the Commission to analyse the particularities of those Member States where producer organisation is low;

18.

Calls on the Commission in this context to restore financial support for the investments of newly established F&V POs; considers that, without this support, it is extremely difficult for the established organisations to obtain the state recognition needed for their operation; considers, therefore, that support is one of the most efficient tools to develop organisations and increase the rate of organisation;

19.

Invites the Commission, as part of simplification of the CAP, to further strengthen the effectiveness of producer organisations in terms of concentrating supply, particularly as regards their central marketing role in the F&V supply chain;

20.

Considers it essential to provide benefits for POs that decide to take young members; stresses that POs may provide an opportunity for promoting generational renewal in the agricultural sector;

21.

Calls on the Commission to ensure the rapid and harmonised implementation of the provisions relating to fruit and vegetables on the one hand, and to producer organisations and interbranch organisations on the other, as defined in Regulation (EU) No 1308/2013;

22.

Reiterates its deep concern at the fact that currently only 7,5 % of EU farmers are under 35 years of age and believes that well-functioning POs attracting young people can play a part in reversing this unsustainable demographic trend;

23.

Notes the need to provide incentives to raise the level of research and innovation in POs; considers that more innovation will enable POs to become more competitive and able to deal with the killer diseases that are damaging European agriculture;

24.

Stresses the need to help POs increase their exports and be involved in researching new foreign markets;

25.

Considers it necessary to make producer organisations more attractive by reducing red tape and improving the support given to these groups by the European Union, as well as making improvements to crisis management mechanisms;

26.

Urges the Commission, in its upcoming review of implementing legislation and as part of its ‘simplification’ agenda, to increase legal certainty for national administrations, POs and APOs and to reduce the administrative burden imposed on them; stresses that this review should not change the basic architecture of the fruit and vegetables regime or be detrimental to the interests or earnings of producers in the sector;

27.

Notes with concern that PO rules are open to wide interpretation by the Commission’s auditors, which leads to a high degree of uncertainty and can leave Member States at risk of disallowance and judicial review; stresses, also, that audit procedures and financial corrections must be carried out in a more timely manner and within an agreed audit time period;

28.

Asks the Commission to considerably reduce the processing period during which the compliance checks are carried out;

29.

Asks the Commission, also with the aim of increasing the system’s legal certainty, to rationalise the controls and focus them on monitoring the actual execution of each action or measure that is approved as part of the operational programme as well as the cost allocated to them, clearly establishing what is being controlled and who is responsible for carrying out the control;

30.

Asks the Commission to apply the principle of proportionality in relation to penalties and to ensure that audits are concluded within a set time limit in order to increase legal certainty for POs and their members;

31.

Points out that the conditions for applying for the assistance regime and justifying applications are excessive and imprecise, and are subject to multiple checks by a range of administrative bodies that are often neither consistent nor precise, leading certain types of partners to abandon the regime and certain POs to decide not to submit operational programmes; considers it vital in this context to clarify the European legislation on the recognition of POs in order to guarantee the legal security of the regime and prevent uncertainty among producers;

32.

Urges the Commission to clarify the rules for the establishment of transnational (associations of) POs and in particular the rules regarding responsibility and liability, in order to create legal certainty for the national administrations and POs involved;

33.

Calls for the duties of interbranch organisations to be broadened, especially in the generic fields of communication and information and that of educating the citizen-consumer, in particular in relation to food;

34.

Emphasises the role of interbranch organisations in improving the internal dialogue within a sector;

35.

Is concerned that the largest POs (about 18 % of all POs with a turnover of more than EUR 20 million) receive about 70 % of EU financial assistance;

36.

Considers that reducing complexity, including in the rules for creating new POs in a national and international context, should be the first step in making them more attractive for farmers, without that signifying a devaluation of the PO structure to the detriment of their ability to act effectively in the market; requests that the Commission identify additional measures for increasing the attractiveness of POs, in particular in Member States with a low level of organisation;

37.

Calls on the Commission to apply the principle of proportionality with care, by ensuring that errors made by individuals are not recovered from all members of a PO;

38.

Considers that any simplification of the recognition procedure should not be to the detriment of national regulations certifying the conditions required of F&V POs, such as those applied to cooperatives;

39.

Calls on the Commission in its review of the fruit and vegetables regime to reduce the administrative burden for POs by abolishing mid-term evaluations carried out by national authorities; notes that these evaluations often duplicate the questions asked of national authorities in its annual reporting and provide no obvious benefit; further calls on the Commission, as part of its aim to cut red tape, to reduce the amount of information it requests from national authorities and POs in annual reports, and to ensure that only data which is actually used by the Commission to monitor the scheme’s effectiveness is collected;

40.

Urges the Commission to revisit Delegated Regulation (EU) No 499/2014 of 11 March 2014, which introduced more complex checks on POs, including disproportionate penalties for failing to meet complex recognition criteria; stresses the need for proportionality in relation to penalties if we are to encourage new growers to join the scheme and prevent existing members from rethinking their participation;

41.

Considers that the competitiveness of POs depends greatly on their management; urges the Commission to develop existing actions or set up new ones, including training measures and initiatives for the exchange of good practices, which can improve the management of POs and their competitive position in the food supply chain and to ensure an enhanced role for market oriented behaviour within POs; stresses that POs should be managed by people with marketing skills who are capable of dealing with crisis situations in the agricultural sector;

42.

Recommends that the Commission focus on PO-integrated production and distribution models, and calls on the local and regional authorities to make available logistics and outlet support for the products of POs in the regions;

43.

Calls on the Commission to take the necessary steps to enable producer organisations to fully play their part as instruments for increasing the income of producers;

44.

Invites the Commission to consider extending the provisions for funding crisis prevention and management measures (eligibility of the repayment of capital and interest on loans for financial aid) and also for achieving the other objectives pursued by the operational programmes of producer organisations and their associations;

45.

Urges the Commission to create actions for the transfer of administrative and structural ‘know-how’ concerning the way in which POs are organised, from Member States with a high level of POs to those with a low level of POs;

46.

Observes that environment-friendly practices must be continuously and rigorously pursued and that continuing to fund such practices from one operational programme to another must therefore be encouraged, and the scope of intervention expanded to include producers whose plots of land adjoin those farmed by members of a producer organisation;

47.

Considers that associations of producer organisations (AOPs) could play an important role in increasing the bargaining power of farmers, and urges the Commission to reinforce incentives for setting up APOs, at both national and European levels, strengthening their capacity to act from a legal perspective, and provide for the possibility of bringing producers who are not members of POs under their umbrella, in order to envisage a greater role for them in the future; stresses that APOs are in a position not only to bring about the effective concentration and enhancement of supply, but also to evince greater efficiency in the management of interventions because of the coordination role they are called to play on the operational level;

48.

Considers that interbranch organisations need to be encouraged in order to ensure better organisation of the fruit and vegetables sector; considers that such organisations can play an important role in creating added value and sharing it between the different parts of the sector, and also as regards quality, sustainable enhancement of production, and market and crisis management;

49.

Considers that associations of producer organisations (APOs) could play an important role in anticipating and managing short-term crises; stresses the benefits of being able to have producers who are not members of POs join such associations voluntarily, in order to make the collective actions of producers even more efficient;

50.

Stresses the importance of ensuring that the structure and functioning of POs and APOs are based on the principles of independence and democracy, in order to enhance mutual trust among producers and combat unfair trading practices and opportunistic behaviour;

51.

Is adamant that third-country production methods for exports to the EU must provide European consumers with the same guarantees in terms of health, food safety, animal welfare, sustainable development and minimum social standards as those required of EU producers; considers that this means that, in any agreements signed with third countries, the EU must abide by a criterion of genuine reciprocity as regards access to the market and compliance with the production regulations governing EU producers;

52.

Emphasises the need to make it easier for producers to gain access to third-country markets; calls on the Commission to increase its efforts to support exporters of fruit and vegetables to overcome the increasing number of non-tariff barriers, such as some third-country phytosanitary standards that make export from the EU difficult, if not impossible;

53.

Is of the opinion that, in order to achieve fairer competition with imports to the Community market, and with a view to reciprocity in plant health standards, the EU should strengthen the import control regime to put it on an equal footing with that applied by the large majority of its trading partners;

54.

Welcomes the new horizontal regulations for promoting agricultural products adopted recently and the objective of increasing the funds allocated to finding new markets mainly in third countries, and encourages the Commission to continue working to improve the promotion instrument in the coming years;

55.

Urges the Commission to intensify its efforts in trade negotiations with third countries for the removal of the tariff and plant health barriers imposed on European productions, thereby making it possible to open up new markets for Community fruit and vegetables;

56.

Urges the Commission to identify the reasons for the minimal take-up of crisis prevention and management (CPM) instruments (only 16 % of POs used this resource, which represented only 2,8 % of total aid), which are only adapted to coping with minor seasonal crises, and to consider how the situation can be improved, taking into account examples of best practice and experience among existing POs;

57.

Asks the Commission always to use preference for local products as the first crisis management measurement in order to promote and protect the single European market and the consumption of Europe’s own products; suggests that the Commission should be closely preoccupied with risk management tools, which are absolutely necessary for ensuring the agricultural production of POs;

58.

Urges the Commission to devise a better coordinated mechanism for market withdrawals in crisis situations, in order to prevent market crises from turning into serious and lengthy disturbances resulting in significant falls in income for F&V farmers;

59.

Stresses that the use of the withdrawal mechanism has proved to be limited and considers that crisis management measures should be reviewed including by: increasing the percentage of Union financial assistance, adjusting the withdrawal prices, taking into account the production costs, increasing the volumes that can be withdrawn, and improving the support, in terms of transportation and packaging, for the free distribution of fruits and vegetables with a view to providing the flexibility to adapt support to the form and severity of each crisis;

60.

Asks the Commission to consider making contributions to mutual funds eligible as CPM measures in order to provide better protection for farmers in case of market crises which cause substantial drops in income, but considers that these funds must never come from the budget item allocated to agriculture and rural development by the Commission when the crisis is caused by issues unconnected with the sector, such as the Russian ban; believes that, in such cases, the Commission should look for other budget items and allocate them to mitigating the negative effects on the F&V sector;

61.

Considers that producers should not have to bear the cost of crises caused by circumstances that are unconnected with the agricultural sector, such as the Russian ban on EU exports, which has seriously affected many European F&V producers and has even worsened market crisis situations such as that experienced by the stone fruits sector; asks that in such circumstances Community support measures be kept in place for as long as necessary until the normal market situation is fully re-established;

62.

Emphasises that, through their operational programmes, POs can make important contributions to achieving environmental goals and improving food safety standards; welcomes the scheme’s environmental objectives but calls on the Commission to allow POs to adapt their operational programmes to suit their level of maturity as well as to target their funds on a broader range of measures aimed at increasing the sector’s overall competitiveness; stresses that a greater focus on measures aimed at innovation and added value has the most potential to improve producer incomes and thereby make POs more attractive to join;

63.

Urges the Commission to reinforce the aid scheme in place for distributing fruit, vegetables and milk in schools, given the importance of promoting healthy and balanced diets from a very young age, and to bring young consumers closer to local producers;

64.

Considers it crucial to improve the effectiveness of the Community regulations currently in place for protecting plants against the introduction of harmful organisms originating from outside the EU; points out that such organisms are becoming increasingly common in the EU due to rising levels of trade and are very often having a detrimental effect on the fruit and vegetables sector;

65.

Considers that, as in other sectors (such as olive growing), producer organisations could be given a role in guaranteeing and coordinating the complementarity and coherence of the various EU support regimes, thus ensuring greater transparency of the system to prevent cases of double funding;

66.

Urges the Commission to establish guidelines or policy rules clarifying the conditions under which POs can be temporarily granted a derogation from Article 101(1) of the TFEU on the basis of Article 222 of Regulation (EU) No 1308/2013 which provides POs with an opportunity to take measures in order to stabilise the sector during periods of severely imbalanced markets;

67.

Emphasises the importance of short supply chains and calls on the Commission and the Member States to encourage the development of local markets for the distribution of fruit and vegetables;

68.

Urges the Commission to intensify research and monitoring in relation to the threat posed to fruit and vegetable production in the EU by invasive species such as spotted-winged drosophilia;

69.

Deplores the following weaknesses identified in the setting-up of some national strategies: too large a number of objectives, lack of precise predefined targets for the different objectives, and in particular the very low operational effectiveness of crisis prevention and management instruments, in connection mainly with harvest insurance, promotion and communication and product withdrawal, chiefly because these must be financed to the detriment of other structural measures and aid for withdrawals is in many cases not sufficient, and also because of the considerable amount of red tape involved; deplores the fact that those instruments can cope only with individual market crises and are insufficient to manage large-scale crises such as the current one caused by the Russian embargo;

70.

Sees a need to establish preventive measures to help POs understand and correctly calculate and use predefined performance indicators, and stresses that in many cases there is an excessive number of performance indicators, which makes the procedure extremely difficult for both POs and the administration; believes that in this context it would be much more useful to have fewer but more significant indicators;

71.

Believes that encouraging healthier eating habits goes hand in hand with understanding more about farming and how food is produced and supports, in this context, the objective of strengthening the educational dimension of school vegetable, fruit and milk programmes and calls for the earliest possible adoption of the Regulation of the European Parliament and of the Council amending Regulation (EU) No 1308/2013 and Regulation (EU) No 1306/2013 as regards the support programme for supplying fruits and vegetables, bananas and milk in educational institutions; stresses, in this connection, the importance of POs’ participation in the school fruit scheme as a way to encourage a short supply chain and the consumption by children of local and seasonal fruit and vegetables;

72.

Considers that the key to analysing the situation of the F&V production sector is the evolution of the income of the sector’s farmers and asks the Commission, therefore, to undertake a study focusing on this point in order to ascertain whether the measures adopted, such as the strengthening of POs, have really been effective;

73.

Calls on the Commission to draw up an urgent youth employment plan for the agricultural sector to prevent the ageing of the profession and the consequent abandonment of land and production;

74.

Instructs its President to forward this resolution to the Council and the Commission.


(1)  OJ L 347, 20.12.2013, p. 671.

(2)  Texts adopted, P7_TA(2014)0205.


Wednesday 8 July 2015

11.8.2017   

EN

Official Journal of the European Union

C 265/35


P8_TA(2015)0252

Negotiations for the Transatlantic Trade and Investment Partnership (TTIP)

European Parliament resolution of 8 July 2015 containing the European Parliament’s recommendations to the European Commission on the negotiations for the Transatlantic Trade and Investment Partnership (TTIP) (2014/2228(INI))

(2017/C 265/05)

The European Parliament,

having regard to the EU directives for the negotiations for the Transatlantic Trade and Investment Partnership (TTIP) between the EU and the US, unanimously adopted by the Council on 14 June 2013 (1) and declassified and made public by the Council on 9 October 2014,

having regard to Articles 168 to 191 of the Treaty on the Functioning of the European Union (TFEU), and in particular to the precautionary principle enshrined in Article 191(2),

having regard to the Joint Statement of the EU-US Summit of 26 March 2014 (2),

having regard to the joint statement of 20 March 2015 by Commissioner Cecilia Malmström and US Trade Representative Michael Froman regarding the exclusion of public services in EU and US trade agreements,

having regard to the Council Conclusion on TTIP of 20 March 2015,

having regard to the Council conclusions on TTIP of 21 November 2014 (3),

having regard to the joint statement of 16 November 2014 by US President Barack Obama, Commission President Jean-Claude Juncker, European Council President Herman Van Rompuy, UK Prime Minister David Cameron, German Chancellor Angela Merkel, French President François Hollande, Italian Prime Minister Matteo Renzi and Spanish Prime Minister Mariano Rajoy, following their meeting on the margins of the G20 Summit in Brisbane, Australia (4),

having regard to the European Council conclusions of 26-27 June 2014 (5),

having regard to President Juncker’s political guidelines of 15 July 2014 addressed to the next Commission and entitled ‘A New Start for Europe: My Agenda for Jobs, Growth, Fairness and Democratic Change’ (6),

having regard to the Commission’s communication to the College of the Commission of 25 November 2014 on transparency in TTIP negotiations (C(2014)9052) (7), to the Commission decisions of 25 November 2014 on the publication of information on meetings held between Members of the Commission and organisations or self-employed individuals (C(2014)9051) and on the publication of information on meetings held between Directors-General of the Commission and organisations or self-employed individuals (C(2014)9048), to the judgments and opinions of the Court of Justice of the European Union (C-350/12 P, 2/13, 1/09) on access to documents of the institutions and the decision of the European Ombudsman of 6 January 2015 closing her own-initiative inquiry (OI/10/2014/RA) concerning the European Commission on dealing with requests for information and access to documents (Transparency),

having regard to the joint statement of 3 December 2014 by the EU-US Energy Council (8),

having regard to the EU integrated approach to food safety (‘farm to fork’) established in 2004 (9),

having regard to the Commission report of 13 January 2015 on the online public consultation on investment protection and investor-to-state dispute settlement (ISDS) in the TTIP (SWD(2015)0003),

having regard to the EU’s textual proposals tabled for discussion with the US in the TTIP negotiating rounds, in particular those which have been declassified and made public by the Commission, inter alia the EU position papers entitled ‘TTIP regulatory issues — engineering industries’ (10), ‘Test–case on functional equivalence: proposed methodology for automotive regulatory equivalence’ (11), and ‘Trade and sustainable development chapter/labour and environment: EU paper outlining key issues and elements for provisions in the TTIP’ (12), and the textual proposals on technical barriers to trade (TBT) (13), sanitary and phytosanitary measures (SPS) (14), customs and trade facilitation (15), small and medium-sized enterprises (SMEs) (16), possible provisions on competition (17), possible provisions on state enterprises and enterprises granted special or exclusive rights or privileges (18), possible provisions on subsidies (19), and dispute settlement (20), initial provisions on regulatory cooperation (21),

having regard to the opinion on ‘The Transatlantic Trade and Investment Partnership (TTIP)’ of the Committee of the Regions (ECOS-V-063) adopted during the 110th plenary session (11-13 February 2015), and to the opinion of the European Economic and Social Committee of 4 June 2014 on ‘Transatlantic trade relations and the EESC's views on an enhanced cooperation and eventual EU-USA FTA’,

having regard to the Final Inception Report of 28 April 2014 by ECORYS for the Commission entitled ‘Trade Sustainability Impact Assessment (Trade SIA) in support of negotiations of a comprehensive trade and investment agreement between the European Union and the United States of America’ (22),

having regards to the Commission's 2015 report on Trade and Investment Barriers (COM(2015)0127) (23),

having regard to the ‘Detailed Appraisal of the European Commission’s Impact Assessment on EU-US Transatlantic Trade and Investment Partnership’ published on April 2014 by CEPS for the Parliament,

having regard to its earlier resolutions, in particular those of 23 October 2012 on trade and economic relations with the United States (24), 23 May 2013 on EU trade and investment negotiations with the United States of America (25), and 15 January 2015 on the annual report on the activities of the European Ombudsman 2013 (26),

having regard to Rules 108(4) and 52 of its Rules of Procedure,

having regard to the report of the Committee on International Trade and the opinions of the Committee on Foreign Affairs, the Committee on Development, the Committee on Economic and Monetary Affairs, the Committee on Employment and Social Affairs, the Committee on the Environment, Public Health and Food Safety, the Committee on Industry, Research and Energy, the Committee on the Internal Market and Consumer Protection, the Committee on Agriculture and Rural Development, the Committee on Culture and Education, the Committee on Legal Affairs, the Committee on Civil Liberties, Justice and Home Affairs, the Committee on Constitutional Affairs, and the Committee on Petitions (A8-0175/2015),

A.

whereas exports through trade and growth through investments are key drivers of jobs and economic growth which do not require government investments;

B.

whereas the EU’s GDP is heavily dependent on trade and export and benefits from trade and investment based on rules and whereas an ambitious and balanced agreement with the US should support the reindustrialisation of Europe and help to achieve the 2020 target for an increase in the EU’s GDP generated by industry from 15 % to 20 % by strengthening trans-atlantic trade in both goods and services; whereas it has the potential to create opportunities especially for SMEs, micro enterprises (in accordance with the definition of Commission Recommendation 2003/361/EC), clusters and enterprise networks which suffer disproportionally more from non-tariff barriers (NTBs) than larger companies, as the latter have economies of scale that allow them easier access to markets on both sides of the Atlantic; whereas an agreement between the two biggest economic blocs in the world has the potential to create standards, norms and rules, which will be adopted at a global level, which would serve to the advantage of third countries as well and which would prevent a further fragmentation of world trade; whereas failure to negotiate an agreement will allow other third countries with different standards and values to assume this role instead;

C.

whereas nine Member States of the European Union have already signed a bilateral agreement with the USA, so allowing TTIP to take inspiration from good practice and better enable the obstacles encountered by these Member States to be overcome;

D.

whereas the recent crises on the EU's borders and developments around the world show the need to invest in global governance and a system based on rules and values;

E.

whereas, given the growing interconnectedness of global markets, it is crucial that policy makers shape and promote the interaction of markets; whereas proper trade rules and removing unnecessary barriers are fundamental to creating added value while maintaining and developing a strong, competitive and diversified industrial base in Europe;

F.

whereas EU's attempts to deal with the challenges of climate change, environmental protection and consumer safety have resulted in high regulatory costs for EU enterprises, coupled with high energy feedstock and electricity prices, which — if left unaddressed in TTIP — may accelerate the process of delocalization, deindustrialization and job losses thereby threatening EU reindustrialization and employment targets, that will also defeat the very policy targets that EU regulations seek to achieve;

G.

whereas a well-designed trade agreement could contribute to harnessing the opportunities of globalisation. Whereas a strong and ambitious trade agreement should not only focus on reducing tariffs and NTBs but should also be a tool to protect workers, consumers and the environment; whereas a strong and ambitious trade agreement is an opportunity to create a framework by strengthening regulation to the highest level, in line with our shared values, thereby preventing social and environmental dumping and ensuring a high level of consumer protection in light of the shared objective of open competition on a level-playing field;

H.

whereas even though, common high standards are in the interest of consumers, it should be recognised that convergence also makes sense for businesses, as the higher costs stemming from higher standards may be better compensated by increased economies of scale in a potential market of 850 million consumers;

I.

whereas previous trade agreements have shown significant benefits for the European economy, it is difficult to assess the real impact of TTIP on both the EU and US economies and to predict while negotiations are ongoing and studies show contradictory results; whereas TTIP alone will not resolve longstanding structural economic problems and their underlying causes in the EU but should be seen as an element in a broader European strategy to create jobs and growth, and expectations for TTIP should be commensurate with the level of ambition that will be reached in the negotiations;

J.

whereas the consequences of the Russian embargo have clearly demonstrated the continuous geopolitical relevance of agriculture, the importance of having access to a range of different agricultural markets and the need for strong and strategic trade partnerships with reliable trade partners;

K.

whereas it is important for European agriculture to secure a mutually beneficial trade deal with the US in order to advance Europe’s position as a key player on the global market without jeopardising the current quality standards of European agricultural products and future improvement of those standards, while preserving the European agricultural model and ensuring its economic and social viability;

L.

whereas trade and investment flows are not an end in themselves and the well-being of ordinary citizens, workers and consumers as well as increased opportunities for business as drivers of growth and jobs are the benchmarks for a trade agreement; whereas TTIP should be considered a model for a good trade agreement responding to these requirements in order to serve as an example for our future negotiations with other trade partners;

M.

whereas a certain degree of confidentiality is required in negotiations in order to achieve a high quality outcome, and the limited level of transparency in which the negotiations have been conducted in the past has led to deficiencies in terms of democratic control of the negotiation process;

N.

whereas President Juncker has clearly reiterated in his Political Guidelines that he wants a balanced and reasonable trade agreement with the United States and that — while the EU and the US can go a significant step further in recognising each other’s product standards and working towards transatlantic standards — the EU will not sacrifice its (food)-safety, health, animal health, social, environmental, and data protection standards and cultural diversity; recalling that the safety of the food we eat, the protection of Europeans’ personal data and its services of general interest are non-negotiable unless the aim is to achieve a higher level of protection;

O.

whereas it is important to ensure a satisfactory conclusion of the negotiations on the Safe Harbor and the Data Protection Umbrella Agreement;

P.

whereas President Juncker has also clearly stated in his political guidelines, that he will not accept that the jurisdiction of courts in the Member States is limited by special regimes for investment disputes; whereas now that the results of the public consultation on investment protection and ISDS in the TTIP are available, a reflection process — taking account of the contributions — is currently being undertaken within and between the three institutions, while exchanging with civil society and the business sector, on the best way to achieve investment protection and equal treatment of investors while ensuring states’ right to regulate;

Q.

whereas Parliament fully supports both the decision of the Council to declassify the negotiation directives and the Commission’s transparency initiative; whereas the lively public debate across Europe on TTIP has shown the need for the TTIP negotiations to be concluded in a more transparent and inclusive manner taking into account the concerns voiced by European citizens and communicating the negotiation results to the general public;

R.

whereas since July 2013 talks between the US and the EU have been going on, but up to now no common text has been agreed;

S.

whereas TTIP is expected to be a mixed agreement requiring ratification by the European Parliament and all 28 EU Member States;

1.

Believes that the EU and the US are key strategic partners; stresses that the Transatlantic Trade and Investment Partnership (TTIP) is the most significant recent EU-US project and should reinvigorate the transatlantic partnership as a whole, beyond its trade aspects; emphasises that its successful conclusion is of high political importance;

2.

Addresses, in the context of the ongoing negotiations on TTIP, the following recommendations to the Commission:

(a)

regarding the scope and the broader context:

(i)

to ensure that transparent TTIP negotiations lead to an ambitious, comprehensive and balanced trade and investment agreement of a high standard that would promote sustainable growth with shared benefits across Member States, with mutual and reciprocal benefits between the partners, increase international competitiveness and open up new opportunities for EU companies, in particular SMEs, support the creation of high-quality jobs for European citizens, directly benefit European consumers; the content and the implementation of the agreement are more important than the speed of the negotiations;

(ii)

to emphasise that while the TTIP negotiations consist of negotiations on three main areas — ambitiously improving reciprocal market access (for goods, services, investment and public procurement at all levels of government), reducing NTBs and enhancing the compatibility of regulatory regimes, and developing common rules to address shared global trade challenges and opportunities — all these areas are equally important and need to be included in a comprehensive package; TTIP should be ambitious and binding on all levels of government on both sides of the Atlantic, the agreement should lead to lasting genuine market openness on a reciprocal basis and trade facilitation on the ground, and should pay particular attention to structural measures to achieve greater transatlantic cooperation while upholding regulatory standards and consumer protection and preventing social, fiscal and environmental dumping;

(iii)

to keep in mind the strategic importance of the EU-US economic relationship in general and of TTIP in particular, inter alia as an opportunity to promote the principles and values, anchored in a rules-based framework, that the EU and the US share and cherish and to design a common approach and vision to global trade, investment and trade-related issues such as high standards, norms and regulations, in order to develop a broader transatlantic vision and a common set of strategic goals; to bear in mind that given the size of the transatlantic market, TTIP is an opportunity to shape and regulate the international trade order in order to ensure that both blocs thrive in an interconnected world;

(iv)

to ensure, especially given the recent positive developments taking place in the World Trade Organisation (WTO), that an agreement with the US serves as a stepping-stone for broader trade negotiations and is not pre-empting or counteracting the WTO process; bilateral and plurilateral trade agreements should generally speaking be considered as a second-best option and must not prevent efforts made in order to reach significant improvements on the multilateral level; TTIP must ensure synergies with other trade agreements currently being negotiated;

(v)

to bear in mind that the TFEU defines EU trade policy as an integral part of the Union’s overall external action and, therefore, to evaluate the implications of the final agreement, acknowledging opportunities, such as easier market access due to common trans-Atlantic standards, and risks, such as trade diversion from developing countries due to tariff preference erosion;

(vi)

to ensure that the agreement guarantees full respect for EU fundamental rights standards through the inclusion of a legally binding and suspensive human rights clause as a standard part of EU trade agreements with third countries;

(b)

regarding market access:

(i)

to ensure that the market access offers in the different areas are reciprocal, equally ambitious and reflect both parties’ expectations, underlines that the different proposals for those areas must be balanced;

(ii)

to aim at the elimination of all tariff duties while respecting that there are a number of sensitive agricultural and industrial products on both sides for which exhaustive lists will have to be agreed upon during the negotiation process; to foresee for the most sensitive products appropriate transitional periods and quotas and in a few cases their exclusion, taking into account the fact that in many cases those products have higher production costs in the EU owing to EU rules;

(iii)

to have a safeguard clause incorporated into the agreement, as is clearly set out in the negotiating mandate, which would be invoked where a rise in imports of a particular product threatened to cause serious harm to domestic production, with specific reference to food production and to the energy-intensive, carbon-leakage, chemicals, raw materials and steel sectors in the EU;

(iv)

to keep in mind that as the EU is the largest trading bloc worldwide there are important offensive interests for the EU in the highly specialised services sector, for instance in the area of engineering and other professional services, telecommunication, financial or transport services;

(v)

to increase market access for services according to a ‘hybrid list approach’, using for market access ‘positive lists’, whereby services that are to be opened up to foreign companies are explicitly mentioned and new services are excluded while ensuring that possible stand-still and ratchet clauses only apply to non-discrimination provisions and allow for enough flexibility to bring services of general economic interest back into public control as well as to take into account the emergence of new and innovative services and using ‘negative list approach’ for national treatment;

(vi)

the negotiations should meaningfully address and remove the current US restrictions on maritime and air transport services owned by European businesses as a result of US legislation such as the Jones Act, Foreign Dredging Act, the Federal Aviation Act and the US Air Cabotage law and in relation to capital restrictions on foreign ownership of airlines, which seriously hinders market access for EU companies as well as innovation in the US itself;

(vii)

to build on the joint statement reflecting the negotiators’ clear commitment to exclude current and future Services of General Interest as well as Services of General Economic Interest from the scope of application of TTIP, (including but not limited to water, health, social services, social security systems and education), to ensure that national and if applicable local authorities retain the full right to introduce, adopt, maintain or repeal any measures with regards to the commissioning, organisation, funding and provision of public services as provided in the Treaties as well as in the EU's negotiating mandate; this exclusion should apply irrespective of how the services are provided and funded;

(viii)

to strive hard to ensure mutual recognition of professional qualifications, notably via the creation of a legal framework with federal states that have regulatory powers in this domain, in order to enable EU and US professionals to practise on either side of the Atlantic and to facilitate mobility of investors, professionals, highly -skilled workers and technicians between the EU and the US in sectors covered by TTIP;

(ix)

to bear in mind that visa facilitation for European service and goods providers is a key element for taking advantage of the agreement and to increase, in the context of the negotiations, political pressure on the US to guarantee full visa reciprocity and equal treatment for all citizens of EU Member States without discrimination as regards their access to the US;

(x)

to combine market access negotiations on financial services with convergence in financial regulation at the highest level, in order to support the introduction and compatibility of necessary regulation in order to reinforce financial stability, to ensure adequate protection for consumers of financial goods and services and support ongoing cooperation efforts in other international forums, such as the Basel Committee on Banking Supervision and the Financial Stability Board; to ensure that these cooperation efforts do not limit the EU and member states regulatory and supervisory sovereignty, including their ability to ban certain financial products and activities;

(xi)

to establish enhanced cooperation between the EU, the Member States and the US, including mechanisms for more efficient international cooperation with the aim to set global higher standards against financial and tax criminality and corruption;

(xii)

to ensure that the EU’s acquis on data privacy is not compromised through the liberalisation of data flows, in particular in the area of e-commerce and financial services, while recognizing the relevance of data flows as a backbone of transatlantic trade and the digital economy; to incorporate, as a key point, a comprehensive and unambiguous horizontal self-standing provision, based on Article XIV of the General Agreement on Trade in services (GATS), that fully exempts the existing and future EU legal framework for the protection of personal data from the agreement without any condition that it must be consistent with other parts of the TTIP; to negotiate provisions which touch upon the flow of personal data only if the full application of data protection rules on both sides of the Atlantic is guaranteed and respected to cooperate with the United States in order to encourage third countries to adopt similar high data protection standards around the world;

(xiii)

to keep in mind that the consent of the European Parliament to the final TTIP agreement could be endangered as long as the US blanket mass surveillance activities are not completely abandoned and an adequate solution is found for the data privacy rights of EU citizens, including administrative and judicial redress, as stated in the paragraph 74 of Parliament’s resolution of 12 March 2014 (27);

(xiv)

to ensure that the trust between the EU and US, which was damaged by mass surveillance scandals, be rapidly and fully restored;

(xv)

to include am ambitious chapter on competition ensuring that European competition law is properly respected particularly in the digital world; to ensure that private companies can compete fairly with state-owned or state-controlled companies; to ensure that state subsidies to private companies should be regulated and subject to a transparent control system;

(xvi)

to call for open competition in and development of the digital economy, which is by nature global but has its main bases in the EU and the USA; to emphasise in the negotiations that the digital economy must be central to the transatlantic market, with leverage in the global economy and in opening up global markets further;

(xvii)

to keep in mind regarding information society services and telecommunications services, that it is of particular importance that the TTIP ensure a level playing field with equal and transparent access based on reciprocity for EU service companies to the US market and with an obligation on US service providers to respect and comply with all relevant industry and product safety standards and consumer rights when providing services in Europe or to European customers;

(xviii)

to ensure via a legally binding general clause applicable to the entire agreement, in full compliance with the UNESCO Convention on the protection and promotion of the diversity of cultural expressions, that the parties, reserve their right to adopt or maintain any measure (in particularly those of a regulatory and/or financial nature) with respect to the protection or promotion of cultural and linguistic diversity, in line with the relevant Articles as established in the Treaty on the Functioning of the European Union, as well as media freedom and media pluralism, irrespective of the technology or distribution platform used and keeping in mind that the mandate given to the European Commission by the Member States explicitly excludes the audiovisual services;

(xix)

to specify that nothing in the agreement shall affect the ability of the EU or EU Member States to subsidise and provide financial support to cultural industries and cultural, educational, audiovisual and press services;

(xx)

to confirm that fixed book price systems and price fixing for newspapers and magazines will not be challenged by the obligations under the TTIP agreement;

(xxi)

to ensure with a general clause the right of EU Member States to adopt or maintain any measure with regard to the provision of all educational and cultural services which work on a non-profit basis and/or receive public funding to any degree or state support in any form, and to ensure that privately funded foreign providers meet the same quality and accreditation requirements as domestic providers;

(xxii)

given the huge interest on the part of European companies, notably SMEs, in obtaining non-discriminatory access to public contracts in the US both at federal and sub-federal level, for example for construction services, civil engineering, transport and energy infrastructure and goods and services, to have an ambitious approach to the chapter on public procurement, while respecting the compliance of the chapter with the new EU public procurement and concession directives, with a view to remedying, in line with the principle of reciprocity, the large disparity that currently exists in the degree of openness of the two public procurement markets on both sides of the Atlantic by significantly opening up the US market (still governed by the Buy American Act of 1933) at federal and sub-federal level alike building on commitments made in the Agreement on Government Procurement (GPA) and by removing the restrictions that currently apply at federal, state and local level alike in the United States; and to set up mechanisms to guarantee that commitments entered into by the US federal authorities will be honoured at all political and administrative levels;

(xxiii)

to ensure, with the aim of creating open, non-discriminatory and predictable procedural requirements ensuring equal access for EU and US companies, especially SMEs, when tendering for public contracts, that the US increases the transparency of the adjudication process in force on its territory;

(xxiv)

to promote EU-US cooperation at the international level in order to promote common sustainability standards for public procurement at all federal and sub-federal levels of government, inter alia in the implementation of the recently revised Government Procurement Agreement; and the adoption and observation of social responsibility standards by businesses based on the Guidelines for Multinational Enterprises of the Organisation for Economic Co-operation and Development (OECD);

(xxv)

to ensure that the US states are included in the negotiation process in order to achieve meaningful results in opening up US public procurement contracts to EU companies;

(xxvi)

to be aware regarding public procurement of the sensitive nature of the fields of defence and security and to take into account the objectives set by the Heads of States and Governments during the 2013 Defence Council to promote the establishment of a European security and defence market and of a European defence technological and industrial base (EDTIB);

(xxvii)

to ensure that the negotiations on rules of origin aim at reconciling the EU and US approaches and at establishing effective rules of origin, thereby avoiding that rules of origin are undermined by other agreements, to consider the negotiations as an opportunity to move towards common standards for compulsory origin marking of products; given the conclusion of the negotiations for the Comprehensive Economic and Trade Agreement (CETA) between the EU and Canada and the potential upgrade of the EU-Mexico free trade agreement, the possibility and scope of cumulation will need to be considered; however to keep in mind that the purpose of TTIP is to facilitate trade in genuinely US and EU made products and not to allow imports from third countries, therefore exclusions for certain products will need to be considered on a case by case basis and exclusions from all type of cumulation should be granted for sensitive sectors;

(xxviii)

to ensure that TTIP is an open agreement, and to look for ways in which valued partners, which have an interest in the TTIP negotiations because of Customs Union agreements with either the EU or the US, can be more actively informed of the developments;

(c)

regarding regulatory cooperation and coherence pillar and NTBs:

(i)

to ensure that the regulatory cooperation chapter promotes a transparent, effective, pro-competitive economic environment through the identification and prevention of potential future non-tariff barriers to trade, which disproportionately affect SME's, and the facilitation of trade and investment while developing and securing the highest levels of protection of health and safety in line with the precautionary principle laid down in Article 191 TFEU, consumer, labour environmental and animal welfare legislation and of cultural diversity that exists in the EU; to support, whilst fully respecting regulatory autonomy, the establishment of a structured dialogue and cooperation between regulators in the most transparent way possible and involving stakeholders; to include cross-cutting disciplines on regulatory coherence and transparency for the development and implementation of efficient, cost-effective, and more compatible regulations for goods and services; negotiators on both sides need to identify and to be very clear about which technical procedures and standards are fundamental and cannot be compromised, which ones can be the subject of a common approach, which are the areas where mutual recognition based on a common high standard and a strong system of market surveillance is desirable and which are those where simply an improved exchange of information is possible, based on the experience of several years of talks in a variety of fora including the Transatlantic Economic Council and the High Level Regulatory Cooperation Forum to ensure similarly that it will not affect standards that have yet to be set in areas where the legislation or the standards are very different in the US as compared with the EU, such as, for example, the implementation of existing (framework) legislation (e.g. REACH), or the adoption of new laws (e.g. cloning), or future definitions affecting the level of protection (e.g. endocrine disrupting chemicals); to ensure that any provisions on regulatory cooperation in the TTIP do not set a procedural requirement for the adoption of Union acts concerned by it nor give rise to enforceable rights in that regard;

(ii)

to base negotiations on SPS and TBT measures on the key principles of the multilateral SPS and TBT agreements and to protect European SPS standards and procedures; to aim in the first place at the elimination or significant reduction of excessively burdensome SPS measures including related import procedures; in particular to ensure that pre-approvals, obligatory protocols or pre-clearance inspections are not applied as a permanent import measure; to achieve increased transparency and openness, mutual recognition of equivalent standards, exchanges of best practices, strengthening of dialogue between regulators and stakeholders and strengthening of cooperation in international standards-setting bodies; to ensure in negotiations on SPS and TBT measures, that the high standards that have been put in place in order to ensure food safety, human, animal or plant life or health in the EU are not compromised in any way;

(iii)

to recognise that, where the EU and the US have very different rules, there will be no agreement, such as on public healthcare services, GMOs, the use of hormones in the bovine sector, REACH and its implementation, and the cloning of animals for farming purposes, and therefore not to negotiate on these issues;

(iv)

to encourage the US side to lift the ban on beef imports from the EU;

(v)

with regard to the horizontal regulatory cooperation chapter, to foster bilateral regulatory cooperation in order to avoid unnecessary divergence, particularly as regards new technologies and services, for the benefit of European and US competitiveness and consumer choice; to achieve this through enhanced information exchange and to improve the adoption and implementation of international instruments, whilst respecting the subsidiarity principle, on the basis of successful precedents such as ISO standards or under the United Nations Economic Commission for Europe's (UNECE) World Forum for Harmonisation of Vehicle Regulations (WP.29); to remember that the recognition of equivalence of the greatest possible number of vehicle safety regulations based on a verified equivalent level of protection would be one of the most important achievements of the agreement; to ensure that the prior impact assessment for each regulatory act should measure its impact on consumers and the environment next to its impact on trade and investment; to promote regulatory compatibility without compromising the legitimate regulatory and policy objectives and the competences of the EU and US legislators;

(vi)

to aim to continue to guarantee a high level of product safety within the Union while eliminate unnecessary duplication of testing that causes a waste of resources, in particular on low-risk products;

(vii)

to address customs issues that go beyond the WTO Trade Facilitation Agreement (TFA) rules and stress that, in order to achieve real administrative burden removal, there is a need to work towards a maximum degree of regulatory alignment on customs and border related policies and practices;

(viii)

to define clearly, in the context of future regulatory cooperation, which measures concern TBT and duplicated or redundant administrative burdens and formalities and which are linked to fundamental standards and regulations, or procedures serving a public policy objective;

(ix)

to fully respect the established regulatory systems on both sides of the Atlantic, as well as the European Parliament’s role within the EU’s decision-making process and its democratic scrutiny over EU regulatory processes when creating the framework for future cooperation while at the same time ensuring the utmost transparency and being vigilant about having a balanced involvement of stakeholders within the consultations included in the development of a regulatory proposal and not do delay the European legislative process; to specify the role, the composition and the legal status of the Regulatory Cooperation Body, taking into consideration that any direct and compulsory application of its recommendations would imply a breach of the law-making procedures laid down in the Treaties; to also monitor that it fully preserves the capacity of national, regional and local authorities to legislate their own policies, in particular social and environmental policies;

(d)

regarding the rules:

(i)

to combine negotiations on market access and regulatory cooperation with the establishment of ambitious rules and principles bearing in mind that each pillar has specific sensitivities, on issues such as, but not limited to, sustainable development, energy, SMEs, investment and state-owned enterprises;

(ii)

to ensure that the sustainable development chapter is binding and enforceable and aims at the full and effective ratification, implementation and enforcement of the eight fundamental International Labour Organisation (ILO) conventions and their content, the ILO's Decent Work Agenda and the core international environmental agreements; provisions must be aimed at further improving levels of protection of labour and environmental standards; an ambitious trade and sustainable development chapter must also include rules on corporate social responsibility based on OECD Guidelines for Multinational Enterprises and clearly structured dialogue with civil society;

(iii)

to ensure that labour and environmental standards are not limited to the trade and sustainable development chapter but are equally included in other areas of the agreement, such as investment, trade in services, regulatory cooperation and public procurement;

(iv)

to ensure that labour and environmental standards are made enforceable, by building on the good experience of existing FTAs by the EU and US and national legislation; to ensure that the implementation of and compliance with labour provisions is subjected to an effective monitoring process, involving social partners and civil society representatives and to the general dispute settlement which applies to the whole agreement;

(v)

to ensure, in full respect of national legislation, that employees of transatlantic companies, registered under EU member state law, have access to information and consultation in line with the European works council directive;

(vi)

to ensure that the economic, employment, social, and environmental impact of TTIP, is also examined by means of a thorough and objective ex-ante trade sustainability impact assessment (SIA) in full respect of the EU Directive on SIA, with clear and structured involvement of all relevant stakeholders, including civil society; asks the Commission to conduct comparative in-depth impact studies for each Member State and an evaluation of the competitiveness of EU sectors and their counterparts in the US with the aim to make projections on job losses and gains in the sectors affected in each Member State, whereby the adjustment costs could be partly taken up by EU and Member State funding;

(vii)

to retain the objective of dedicating a specific chapter to energy, including industrial raw materials; to ensure that in course of the negotiations the two sides examine ways to facilitate energy exports, so that TTIP would abolish any existing restrictions or impediments of export for fuels, including LNG and crude oil, between the two trading partners, with the aim of creating a competitive, transparent and non-discriminatory energy market thereby supporting a diversification of energy sources, contributing to security of supply and leading to lower energy prices emphasises that this energy chapter must integrate clear guarantees that the EU's environmental standards and climate action goals must not be undermined; to encourage EU-US cooperation to end fuel tax exemptions for commercial aviation in line with the G-20 commitments to phase out fossil fuel subsidies;

(viii)

to ensure that the right of either partner to govern and to regulate the exploration, exploitation and production of energy sources remains untouched by any agreement, but that the principle of non-discrimination is applied once exploitation is decided; to keep in mind that nothing in the agreement should undermine legitimate non-discriminatory democratic decisions with regard to energy production, in accordance with the precautionary principle; to ensure that access to raw materials as well as to energy should also be granted on a non-discriminatory basis for companies from either the EU or the US and quality standards for energy products must be respected, including those for energy products related to their impact on CO2 emissions such as the one enshrined in the Fuel Quality Directive;

(ix)

to ensure that TTIP supports the use and promotion of green goods and services, including through facilitating their development, and simplifies their exports and imports thereby tapping into the considerable potential for both environmental and economic gains offered by the transatlantic economy and complementing the on-going plurilateral negotiations on the Green Goods agreement with the aim of contributing to fight combat global warming and to create new jobs in the green economy;

(x)

to ensure that TTIP serves as a forum for the development of ambitious and binding common sustainability standards for energy production and energy efficiency, always taking into account and adhering to existing standards on both sides such as the EU energy labelling and eco-design directives and to explore ways to enhance cooperation on energy research, development and innovation and promotion of low-carbon and environmentally friendly technologies;

(xi)

to ensure that TTIP contributes to the sustainable management of fishery resources, particularly through cooperation between the parties in combatting illegal, unreported and unregulated fishing (IUU);

(xii)

to ensure that TTIP includes a specific chapter on SME’s in TTIP based on the joint commitment of both negotiating parties and aims at creating new opportunities in the US for European SMEs (including micro enterprises), on the basis of SME exporters’ actual reported experience, for instance by eliminating double certification requirements, by establishing a web-based information system about the different regulations and best practices, by facilitating access to support schemes for SME, by introducing ‘fast-track’ procedures at the border or by eliminating specific tariff peaks that continue to exist; it should establish mechanisms for both sides to work together to facilitate SMEs’ participation in transatlantic trade and investment, for instance through a common SME ‘one-stop shop’ with SMEs stakeholders playing a key role in its establishment, which would provide specific information they need to export to, import from or invest in the US, including on customs duties, on taxes, on regulations, on custom procedures and on market opportunities;

(xiii)

to ensure that TTIP contains a comprehensive chapter on investment including provisions on both market access and investment protection, recognising that access to capital can stimulate jobs and growth; the investment chapter should aim at ensuring non-discriminatory treatment for the establishment of European and US companies in each other’s territory, while taking account of the sensitive nature of some specific sectors; these should look to enhance Europe as a destination for investment, increase confidence for EU investment in the US and also address investors' obligations and responsibilities by referring, inter alia, to the OECD principles for multinational enterprises and to the UN principles on Business and human rights as benchmarks;

(xiv)

to ensure that investment protection provisions are limited to post-establishment provisions and focus on national treatment, most-favoured nation, fair and equitable treatment and protection against direct and indirect expropriation, including the right to prompt, adequate and effective compensation; standards of protection and definitions of investor and investment should be drawn up in a precise legal manner protecting the right to regulate in the public interest, clarifying the meaning of indirect expropriation and preventing unfounded or frivolous claims; free transfer of capital should be in line with the EU treaty provisions and should include a prudential carve-out not limited in time in the case of financial crises;

(xv)

to ensure that foreign investors are treated in a non-discriminatory fashion, while benefiting from no greater rights than domestic investors, and to replace the ISDS system with a new system for resolving disputes between investors and states which is subject to democratic principles and scrutiny, where potential cases are treated in a transparent manner by publicly appointed, independent professional judges in public hearings and which includes an appellate mechanism, where consistency of judicial decisions is ensured, the jurisdiction of courts of the EU and of the Member States is respected, and where private interests cannot undermine public policy objectives;

(xvi)

to ensure that TTIP includes an ambitious, balanced and modern chapter on and precisely defined areas of intellectual property rights, including recognition and enhanced protection of geographical indications and reflects a fair and efficient level of protection, without impeding the EU’s need to reform its copyright system and while ensuring a fair balance of IPRs and the public interest, in particular the need to preserve access to affordable medicines by continuing to support the TRIPS flexibilities;

(xvii)

to consider it to be of great importance that the EU and the US remain committed and engaged in global multilateral patent harmonisation discussions through existing international bodies and thus cautions against attempting to introduce provisions on substantive patent law, in particular with regard to issues relating to patentability and grace periods, into the TTIP;

(xviii)

to ensure that the IPR chapter does not include provisions on the liability of internet intermediaries or on criminal sanctions as a tool for enforcement, as having been previously rejected by Parliament including the proposed ACTA treaty;

(xix)

to secure full recognition and strong legal protection of EU geographical indications and measures to deal with improper use and misleading information and practices; to guarantee the labelling, traceability and genuine origin of these products for consumers and the protection of the know-how of producers as an essential part of a balanced agreement;

(e)

regarding transparency, civil society involvement, public and political outreach:

(i)

to continue ongoing efforts to increase transparency in the negotiations by making more negotiation proposals available to the general public, to implement the recommendations of the European Ombudsman, in particular relating to the rules on public access to documents;

(ii)

to translate these transparency efforts into meaningful practical results, inter alia by reaching arrangements with the US side to improve transparency, including access to all negotiating documents for the Members of the European Parliament, including consolidated texts, while at the same time maintaining due confidentiality, in order to allow Members of Parliament and the Member States to develop constructive discussions with stakeholders and the public,; to ensure that both negotiating parties should justify any refusal to disclose a negotiating proposal;

(iii)

to promote an even closer engagement with the Member States, who were responsible for the negotiating mandate which directed the European Commission to open negotiations with the US, with the aim of forging their active involvement in better communicating the scope and the possible benefits of the agreement for European citizens, as committed to in the Council Conclusions adopted on 20 March 2015, in order to ensure a broad, fact-based public debate on TTIP in Europe with the aim of exploring the genuine concerns surrounding the agreement;

(iv)

to reinforce its continuous and transparent engagement with a wide range of stakeholders, throughout the negotiation process; encourages all stakeholders to participate actively and to put forward initiatives and information relevant to the negotiations;

(v)

to encourage Member States to involve national parliaments in line with their respective constitutional obligations, to provide all the necessary support for Member States to fulfil this task and to strengthen outreach to national parliaments, in order to keep national parliaments adequately informed on the ongoing negotiations;

(vi)

to build on the close engagement with Parliament and to seek an even closer, structured dialogue, which will continue to closely monitor the negotiating process and to engage on its part with the Commission, the Member States, and the US Congress and Administration, as well as with stakeholders on both sides of the Atlantic, in order to ensure an outcome which will benefit citizens in the EU, the US and beyond;

(vii)

to ensure that TTIP and its future implementation is accompanied by a deepening of transatlantic parliamentary cooperation, on the basis and using the experience of the Transatlantic Legislators Dialogue, leading in future to a broader and enhanced political framework to develop common approaches, reinforce the strategic partnership and to improve global cooperation between the EU and US;

3.

Instructs its President to forward this resolution containing the European Parliament’s recommendations to the Commission and, for information, to the Council, the governments and parliaments of the Member States, and the US Administration and Congress.


(1)  http://data.consilium.europa.eu/doc/document/ST-11103-2013-DCL-1/en/pdf

(2)  http://www.consilium.europa.eu/uedocs/cms_Data/docs/pressdata/en/ec/141920.pdf

(3)  http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/foraff/145906.pdf

(4)  http://europa.eu/rapid/press-release_STATEMENT-14-1820_en.htm

(5)  http://data.consilium.europa.eu/doc/document/ST-79-2014-INIT/en/pdf

(6)  http://ec.europa.eu/priorities/docs/pg_en.pdf

(7)  http://ec.europa.eu/news/2014/docs/c_2014_9052_en.pdf

(8)  http://europa.eu/rapid/press-release_IP-14-2341_en.htm

(9)  http://ec.europa.eu/dgs/health_consumer/information_sources/docs/from_farm_to_fork_2004_en.pdf

(10)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153022.pdf

(11)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153023.pdf

(12)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153024.pdf

(13)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153025.pdf

(14)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153026.pdf

(15)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153027.pdf

(16)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153028.pdf

(17)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153029.pdf

(18)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153030.pdf

(19)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153031.pdf

(20)  http://trade.ec.europa.eu/doclib/docs/2015/january/tradoc_153032.pdf

(21)  http://trade.ec.europa.eu/doclib/docs/2015/february/tradoc_153120.pdf

(22)  http://trade.ec.europa.eu/doclib/docs/2014/may/tradoc_152512.pdf

(23)  http://trade.ec.europa.eu/doclib/docs/2015/march/tradoc_153259.pdf

(24)  OJ C 68 E, 7.3.2014, p. 53.

(25)  Texts adopted, P7_TA(2013)0227.

(26)  Texts adopted, P8_TA(2015)0009.

(27)  Texts adopted, P7_TA(2014)0230,


11.8.2017   

EN

Official Journal of the European Union

C 265/48


P8_TA(2015)0264

Green Employment Initiative

European Parliament resolution of 8 July 2015 on the Green Employment Initiative: Tapping into the job creation potential of the green economy (2014/2238(INI))

(2017/C 265/06)

The European Parliament,

having regard to the Commission communication ‘Green Employment Initiative: Tapping into the job creation potential of the green economy’ (COM(2014)0446),

having regard to the Commission communication ‘Green action plan for SMEs’ (COM(2014)0440),

having regard to the Commission communication ‘Towards a circular economy: A zero waste programme for Europe’ (COM(2014)0398),

having regard to the Commission staff working document ‘Exploiting the employment potential of green growth’ (SWD(2012)0092),

having regard to the Council Conclusions of 6 December 2010 on ‘Employment policies for a competitive, low-carbon, resource-efficient and green economy’,

having regard to the Council Decision 2010/707/EU of 21 October 2010 on guidelines for the employment policies of the Member States,

having regard to the opinion of the Committee of the Regions ‘Green action plan for SMEs and Green Employment Initiative’,

having regard to the OECD/European Centre for the Development of Vocational Training study of 2014 on ‘Greener Skills and Jobs, OECD Green Growth Studies’,

having regard to the European Employment Observatory Review of April 2013 on ‘Promoting green jobs throughout the crisis: a handbook of best practices in Europe 2013’,

having regard to the International Labour Organisation/European Centre for the Development of Vocational Training report of 2011 on ‘Skills for green jobs: a global view: synthesis report based on 21 country studies’,

having regard to the European Centre for the Development of Vocational Training report of 2010 on ‘Skills for green jobs — European synthesis report’,

having regard to the Eurofound reports on Industrial Relations and Sustainability: the role of social partners in the transition towards a green economy (2011), Greening the European economy: responses and initiatives by Member States and social partners (2009), and Greening of Industries in the EU: anticipating and managing the effects on quantity and quality of jobs (2013),

having regard to the OECD, CFE-LEED working document of 8 February 2010 on ‘Green jobs and skills: the local labour market implications of addressing climate change’,

having regard to the ILO/UNEP definition of a green job as any decent job that contributes to preserving or restoring the quality of the environment whether it is in agriculture, industry, services or administration,

having regard to its resolution of 12 December 2013 on Eco-innovation — jobs and growth through environmental policy (1),

having regard to its resolution of 15 March 2012 on a roadmap for moving to a competitive low carbon economy in 2050 (2),

having regard to its resolution of 7 September 2010 on developing the job potential of a new sustainable economy (3),

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Employment and Social Affairs and the opinions of the Committee on the Environment, Public Health and Food Safety and the Committee on Women’s Rights and Gender Equality (A8-0204/2015),

A.

whereas global trends such as the inefficient use of resources, the unsustainable pressure on the environment, and climate change are close to the limits beyond which irreversible impacts on our societies and the natural environment cannot be prevented and growing social exclusion and inequalities are a challenge to societies;

B.

whereas in its 2015 report the European Environment Agency has pointed out that current measures are insufficient to achieve aims related to biodiversity conservation, reduction in the use of fossil fuels, and combating climate change and averting its impact on human health and the environment;

C.

whereas the lack of a coherent policy response to tackle these common challenges risks leaving a significant part of the sustainable employment creation potential of a green and socially inclusive transition unused;

D.

whereas in response to these threats we are seeing the development of new sectors, changes within many others and the decline of some sectors such as those which are heavily polluting; whereas there is a need to focus on innovation and on ways to reduce pollution; whereas with regard to some declining sectors special attention needs to be paid to the workforce in terms of retraining and alternative employment; whereas investments in those areas prioritised under the Commission's Green Jobs agenda, including recycling, biodiversity, energy efficiency, air quality and all renewable energy technologies such as offshore renewable energy, have the potential to significantly boost job creation, including in sparsely populated areas;

E.

whereas, according to the European Environment Agency, the green goods and services sector grew by more than 50 % between 2000 and 2011, generating over 1,3 million jobs and whereas, according to the Commission’s calculations, the renewable energy economy will create 20 million new jobs in Europe by 2020; whereas an ambitious and coherent EU policy and investment in renewable energies, forest management, sustainable agriculture and soil protection (to prevent and counteract hydrological instability) have the potential to significantly boost job creation;

F.

whereas the objective of sustainable development is enshrined in the Lisbon Treaty, and enforcement of this implies that environmental issues are treated at the same level as economic and social ones;

G.

whereas the EU2020 strategy to promote smart, sustainable and inclusive economies recognises the pivotal role of a transition towards green and socially fair economies;

H.

whereas labour market rigidities are impeding job creation, while a competitive EU labour market can contribute to achieving the Europe 2020 employment targets;

I.

whereas the EU and its Member States made a commitment, at the United Nations Framework Convention on Climate Change Conference in Cancun in 2010, to ensure ‘a just transition of the workforce that creates decent work and quality jobs’; whereas a just transition for all towards an environmentally sustainable economy needs to be well managed to contribute to the objective of sustainable and long-term employment for all — including, but not limited to, highly skilled jobs –, social inclusion and the eradication of poverty;

J.

whereas the five pillars of a ‘Just transition’ include: consultation/union voice; investment in green and decent jobs; green skills; respect for labour and human rights; and social protection for workers and communities on the frontline of the transition from high to low carbon;

K.

whereas strong participation by workers in the transition is essential with a view to increasing environmental consciousness and an understanding of the need for resource efficiency and decreasing our impact on the environment;

L.

whereas the potential for expansion in green jobs is hampered by a skills deficiency and mismatch caused by a number of factors, including variability of curricula in relation to sustainability, identified shortcomings in particular sectors, the lack of students with the necessary STEM (science, technology, engineering and maths) and IT skills, and gender concentration in some sectors rather than gender balance;

M.

whereas there is evidence that investing in energy and resource efficiency and developing the supply chain through a clear industrial strategy, as well as shifting tax from labour to other sources, has the potential to have a positive impact on job creation;

N.

whereas Europe is engaged in global competition, and affordable energy costs, the completion of the EU’s internal market and an improved investment climate for sustainable growth and the creation of jobs play a decisive role;

O.

whereas certain sectors, such as energy-efficient building renovation, are site-specific and cannot be offshored or relocated;

P.

whereas uncertainty and a lack of coherence in policy direction and an absence of clear goals hinders investment, skills development, R&D and thus frustrates the development of employment opportunities;

Q.

whereas a greater societal awareness of the importance of the need for a green economy would enhance employment possibilities;

R.

whereas clear, fixed, mid- to long-term targets, including the EU energy efficiency and pollution targets, can be important drivers of change, and whereas EU regulation also has an important role to play in this regard; whereas targeted investment, including in the development of supply chains within the EU, leading to job creation should stem from, and be consistent with, a clear policy framework;

S.

whereas the public sector and local and regional authorities can play a pivotal role in facilitating the transitions to a green economy and creating inclusive labour markets;

T.

whereas the Ecolabel, EMAS, GPP and similar schemes help to create green jobs;

U.

whereas micro-, small and medium-sized enterprises are one of the most important generators of employment in the EU, account for considerably more than 80 % of all jobs and have led the way in many ‘green’ sectors, but may face particular difficulties in anticipating the skills needed and in fulfilling the job potential;

V.

whereas the Integrated Guidelines are a key aspect of the coordination of Member States' economic and employment policies and form the basis of country-specific recommendations, and whereas they should underpin the Europe 2020 objectives, notably the employment target, inter alia by promoting quality job creation including through green employment;

W.

whereas women must benefit equally from the creation of suitable green jobs, and the ‘glass ceiling’ must be broken through;

X.

whereas women are disproportionately hit by the crisis and by austerity policies, and whereas green jobs have shown themselves to be more crisis-resistant than others;

Y.

whereas low-carbon sectors tend to have higher labour productivity, and wage shares have fallen less in these sectors than in the top 15 emitting industries;

Z.

whereas Eurobarometer data on green work in SMEs show that energy saving, waste reduction and lowering raw material consumption are measures which have come to be economically advantageous;

Towards a green economy — opportunities for the labour market

1.

Emphasises that a transition towards sustainable societies and economies, including sustainable patterns of consumption and production, can generate the potential both to create new quality jobs and to transform existing employment into green jobs in virtually all sectors and across the entire value chain: from research to production, distribution and servicing, and in new green high-tech sectors such as renewable energies, as well as in traditional industries like manufacturing and construction, or in agriculture and fisheries, or service sectors such as tourism, catering, transport and education; at the same time stresses that, in addition to creating a large number of jobs, investment in renewable energies and energy efficiency contributes to maintaining Europe’s economic and industrial competitiveness and to reducing Europe’s energy dependency;

2.

Stresses that two thirds of the services provided by nature, including fertile land and clean water and air, are in decline, and global warming and biodiversity loss are close to the limits beyond which irreversible impacts on our societies and the natural environment cannot be prevented;

3.

Points out that continuous economic growth is possible only if it takes into account the limitations of the environment; highlights, in this context, the fact that a green and circular economy can provide solutions for the environment as well as for the economy and for society in general;

4.

Highlights the fact that full implementation of environmental legislation, as well as the improvement of environmental integration and policy coherence across different sectorial polices in the EU, are essential for a full deployment of the potential linked to the green economy and therefore for the creation of green jobs;

5.

Notes that in its 2015 report the European Environment Agency points out that current measures are insufficient to achieve aims related to conserving biodiversity, reducing the use of fossil fuels, and combating climate change and averting its impact on human health and the quality of the environment;

6.

Notes that the transition bears significant potential to create local jobs which cannot be relocated, and in areas which cannot be offshored, and in sectors hit by the crisis such as the buildings sector; notes that there is strong evidence that the green transition will, on balance, have a positive impact on employment, reflecting the fact that sustainable economic activities like saving energy or farming organically are more labour-intensive than the activities they replace and could have the potential to enable regions to become more self-sufficient;

7.

Considers that an agreed definition of ‘green jobs’, based on that of the ILO and the International Conference of Statisticians, should be adopted;

Just transition and creation of quality and sustainable jobs

8.

Welcomes the Commission’s statement that restructuring should be handled in a socially responsible way, while at the same time recognising the need for companies to innovate and restructure;

9.

Believes it is crucial, in order to maximise the net job potential of the green economy, that we provide our existing workforce with proper opportunities to acquire the new skills needed for the circular economy;

10.

Calls on the Member States to encourage policies aimed at protecting and upgrading public buildings in order to increase energy efficiency and reduce consumption;

11.

Calls on the Member States, and the Commission where appropriate, to commit to a ‘just transition roadmap’ to pursue ambitious environmental goals with the promotion of the following aspects: adequate social protection and remuneration, long-term jobs and healthy and safe working conditions, government-led investment in education, training and skills programmes, respect for labour rights and the strengthening of worker information, consultation and participation rights regarding matters concerning sustainable development, and effective workforce representation; calls on the Member States to pursue these goals;

12.

Recalls that the revised EU Health and Safety Strategy should take account of specific developments in new sectors where appropriate;

13.

Stresses that anticipating change in employment requires proactive transformation management and improved high-quality data collection on the current and future needs of the labour market, with the involvement of European higher-education institutions, and that long-term planning is essential for ensuring an effective transition and increased employment; stresses the important role played by local and regional authorities in the transition to the greener economy in education, infrastructure, supporting local businesses and creating stable employment with salaries governed by collective agreements or other permitted means in accordance with national legislation; whereas social dialogue is an essential element of transformation management; calls on the Commission, Member States, regional and local governments and social partners to assume their responsibility and tackle this challenge collectively, taking into account the principle of subsidiarity;

14.

Notes that the role of the social partners in the transition to green jobs has been gradually increasing in recent years, but recalls that more needs to be done to build a lasting and sustainable social dialogue that can help to meet the challenges posed by the move to a competitive, low-carbon, resource-efficient economy;

15.

Highlights the importance of national governments in promoting sectorial social dialogue, especially in newly emerging green industries, and also in ensuring the inclusion of SMEs;

16.

Notes that some regions are facing more challenges than others because of the geographical concentration of energy-, resource-intensive and polluting industries, or of higher levels of poverty or unemployment; calls on the Member States and local and regional governments supported by the European Union to collaborate with the social partners and collectively implement just transition roadmaps, including solidarity mechanisms for a socially fair, green transition of the local and regional economies, while supporting communities and workers affected by change and thereby reducing insecurity due to job displacement and ensuring that demands for new job skills are met;

17.

Highlights the fact that local authorities can play a key role in promoting job growth in the green economy and more decent and inclusive jobs by:

green investment,

leveraging the power of public procurement, including the use of social and environmental clauses in public procurement,

creating partnerships, including with training institutions, to improve the job/skills match on local labour markets,

supporting both green SMEs and greening of SMEs,

setting up inclusive green employment programmes that ensure that vulnerable groups will also capitalise on green growth;

18.

Points to the evidence that emphasises the importance of management’s engagement with the workforce to ensure substantial participation by them in achieving these changes through social partnership; recommends the involvement of trade union ‘green representatives’ working with employers on strengthening the greening of the economy and increasing sustainability at their workplaces; calls on the Member States to provide targeted support for joint worker/employer initiatives for greening industries;

19.

Considers that pilot projects in support of certain of these objectives should be developed;

20.

Welcomes the Commission’s commitment to using the Targeted Mobility Schemes under the Programme for Employment and Social Innovation (EaSI) to promote labour mobility of jobseekers;

Skills for green employment

21.

Welcomes the tools for skills development and the forecasting of skill needs proposed by the Commission; highlights the fact that skills development should encourage the development of STEM skills, which are widely useful in an economy; stresses, however, that more ambitious action and investment is needed; believes that in order to anticipate future skills needs, all labour market stakeholders must be strongly involved at all levels;

22.

Calls on the Member States to work with the Commission to set up a data bank listing training courses and job offers related to green employment, with the aim of improving the quality of information, advice and guidance available on careers and the skills needed to capitalise on employment opportunities provided by the greening of the economy;

23.

Calls on the Commission to ensure that data collection is carried out in all green sectors, including those that are currently neglected, such as public transport and the retail sector; asks the Commission, while providing support to national statistical offices and Public Employment Services (PES), and while reinforcing the use of quantitative modelling tools, to incorporate a gender equality perspective in data collection on all green employment sectors;

24.

Asks the Commission to include a gender perspective in the development of new data collection, disaggregation and analysis, such as work carried out with the econometrical tool FIDELIO or with stakeholders such as the International Conference of Labour Statisticians;

25.

Stresses the need for a greater emphasis on bridging the skills gap through fostering skills development;

26.

Calls on the Commission to help foster skills development through the updating of qualifications and corresponding education and training curricula at EU level;

27.

Calls on the Commission to emphasise greater use of classification systems such as ESCO which can be used to identify skills gaps;

28.

Emphasises the importance of better synergies between education systems and emerging new green jobs through better coordination between educational institutions and employers' unions and other relevant organisations;

29.

Calls on the Member States, regional governments and local authorities to adopt and implement, together with the social partners and training providers, skill development and anticipation strategies with the objective of improving generic, sectoral and occupation-specific skills; further stresses the importance of partnerships and trust between educational institutions, businesses, the social partners and authorities;

30.

Notes that these strategies should include a thorough assessment of the type and level of green jobs to be created and the required skills and knowledge, leading to the anticipation and identification of skills gaps and targeted vocational and lifelong training programmes focusing on matching skills and jobs with the aim of increasing employment; stresses the need to actively include in the strategies both displaced workers and low-skilled workers at risk of being excluded from the labour market, by ensuring that skills training is targeted, accessible and free for these workers;

31.

Notes that CEDEFOP proposes that adapting curricula and including environmental awareness, with an understanding of sustainable development and business efficiency, is better than proposing new training programmes;

32.

Encourages the Member States and regional and local authorities to integrate sustainable development and environmental competences and skills into training and education systems, in particular by strengthening VET (vocational education and training) systems and by encouraging research centres to develop technologies, projects and patents for green products, in collaboration with new green companies; encourages exchanges of ideas between research centres and networks of companies and professionals; recalls the importance of science, technology, engineering and mathematics (STEM) skills and the need to ensure that more women study STEM subjects;

33.

Calls for an ambitious strategy for creating sustainable jobs, including by addressing the skills mismatch with a particular focus on meeting the skills needs of a greener economy;

34.

Urges the Member States to take advantage of the development of this sector, to create highly skilled apprenticeships to provide young people with specialised knowledge and training, and to help tackle the high levels of youth unemployment;

35.

Calls on the Commission and the Member States to take into account, when making the transition to the green economy, the needs of women and girls for better lifelong learning opportunities, especially in fields which have a high potential for providing a significant number of new green jobs, such as science, research, engineering, digital technology and new technologies, with the aim of strengthening women’s position in society, removing gender stereotypes and providing jobs which correspond fully to the particular needs and skills of women;

36.

Invites the Commission, the Member States the and regional and local authorities systematically to include a gender equality perspective in the definition, implementation and monitoring of green job creation policies at all levels, with a view to ensuring that equal opportunities are guaranteed, taking into account the challenges of green job creation in rural areas; encourages the Member States and regional and local authorities to make further efforts to enable women to participate fully in policy formulation, decision-making and the implementation of a green employment strategy that includes green skills;

37.

Asks the Commission to open a public debate on, and to promote the concept of, ‘education for sustainable development’, with special emphasis on the education of girls and women; calls on the Member States and the Commission to promote policies to encourage higher participation of women in education in STEM subjects and entrepreneurship, and to connect the green jobs agenda to the empowerment of women through education; calls for measures encouraging women’s participation in VET and life-long learning opportunities in green sectors;

38.

Calls on the Commission to adopt a Europe 2015-2020 strategy for gender equality that takes into account the Europe 2020 strategy’s employment rate targets for smart, sustainable and inclusive growth;

39.

Stresses the need for targeted action by public authorities and services to involve all labour market stakeholders, including employers' and employees' organisations, to bridge the skills gap; calls on the Member States and regional and local authorities to have mechanisms in place to train staff in employment authorities and services to mainstream skills for green employment in labour market policies and to develop the means of assessing the impact of such training; stresses the importance of European education institutions aligning their programmes with the needs of the green economy and the labour market in general;

40.

Calls on the Member States to put in place a regulatory environment that encourages innovation in the green economy;

Policy coherence to fully develop the job potential of sustainable economies

41.

Calls on the Commission and the Member States to adopt ambitious, long-term and integrated regulatory, fiscal and financial frameworks for sustainable investment and to encourage innovation, thereby fully unlocking the employment potential of these changes; emphasises that policies should be developed in a framework of long-term horizons that includes targets as well as indicators to measure progress towards their achievement;

42.

Stresses that coordination across the Commission and across relevant ministries at national level is important in order to create a comprehensive, whole-of-government framework for change that is capable of devoting the required attention to the distributional effects of the transition;

43.

Notes that the success or failure of the Green Employment Initiative is dependent on the level of ambition of the Commission's binding targets to renewable energy and energy efficiency, and on investment in renewable energy technology and energy efficiency programmes committed to by the Member States;

44.

Stresses that the Commission and the Member States are responsible for consistent policies that promote renewable energy production and increased energy efficiency with a view to triggering local and regional development and creating quality local jobs; stresses that investment in renewable energy and energy efficiency can become one of the main sources of job creation in Europe in the coming years;

45.

Points out that territorial self-sufficiency in energy remains one of the EU’s long-term economic and energy policy goals; maintains, moreover, that the territorial dimension of investment must, without fail, be taken into account, given that it helps to achieve the EU’s territorial cohesion policy aims to connect cities and the countryside;

46.

Welcomes the Commission's inclusion of decent jobs in the EU negotiating mandate for the COP 21 Paris talks, building on the Cancun agreement of 2010 and subsequent initiatives; calls on the Commission to ensure that the ‘just transition’ agenda remains part of its negotiating position;

47.

Calls on the EU and the Member States to set mandatory energy-saving and efficiency targets, and to support white certificates as an instrument to facilitate the achievement of EU energy-saving targets; calls on the Member States to implement fully, and to enforce, the Energy Efficiency Directive and to remain committed to achieving, as a minimum, the 2030 energy efficiency targets;

48.

Supports EU commitments to pushing for a just global transition to an inclusive green economy in collaboration with other international partners;

49.

Calls on the Member States to fully respect and implement the new provisions of the revised EU legislation on public procurement, and to consider examining whether the introduction of environmental and social criteria in public procurement policies could boost job creation in the greener economy; stresses that remaining legal uncertainties related to use of the social and environmental clauses in public procurement could be clarified;

50.

Calls on the Commission to help revive the repairs sector, which would lead to the creation of new jobs that are by their very nature environmentally friendly;

51.

Calls on the Member States to support the contribution of public services to the just transition towards a sustainable economy, notably by proactively ensuring that services such as communications, energy, transport, waste and water management are delivered in a sustainable way;

52.

Expresses strong disappointment at the withdrawal of the circular economy legislative package, the provisions of which would have been expected to create up to 180 000 jobs in the EU waste management sector alone; calls on the Commission, therefore, while respecting the responsibilities of the Member States, to honour its commitment to proposing, as soon as possible, ambitious waste legislation to cover upstream reduction, new recycling targets, and redefinition of the criteria for calculating the quantity of material actually recycled;

53.

Calls on the Commission, moreover, to consider introducing criteria to provide incentives for companies which have a virtuous and environmentally sustainable waste disposal cycle;

54.

Recognises that linking sustainable agricultural production with the monitoring and protection of on-farm biodiversity and, subsequently, the use of smart labelling for agricultural products to mark their environmental impact, in order to stimulate consumer demand for biodiversity-friendly produce, represents a significant potential for green employment in EU rural areas;

55.

Notes that sustainable forest management has real potential to create jobs while actively contributing to climate change mitigation and the protection of biodiversity;

56.

Calls on the Commission to use the EU Semester and the review of the Europe 2020 strategy to support green job creation; calls on the Commission to issue country-specific recommendations that can contribute to higher employment and smaller ecological footprints, and calls for detailed independent studies on the costs and benefits of a shift in tax burdens (e.g. from labour to environmental taxation), as well as the phasing-out of subsidies by 2020;

57.

Stresses that such recommendations could include a shift from labour to other sources, and that such a tax shift should aim to change polluting behaviour, but must not have unwanted repercussions on social security systems or impact disproportionately on those on low incomes;

58.

Calls on the Commission and the Member States to phase out direct and indirect environmentally harmful subsidies including, but not limited to, those for fossil fuels; invites the Commission to develop models that can be implemented by Member States for shifting taxation from labour to environmental pollution, and to take into account the environmental impact of goods and services in the spirit of the polluter pays principle; calls on the Commission to issue country-specific recommendations to the Member States that can contribute to efforts to foster green employment and reduce ecological footprints; calls, furthermore, on the Commission to integrate in a proactive manner environmental and climate-related considerations into the European Semester in order to support green jobs creation;

59.

Invites the Member States to introduce targeted subsidies and/or tax exemptions for start-ups, and for micro, small and medium-sized enterprises, that provide goods and services offering high environmental added value, including overall reduced carbon content;

60.

Calls on the Commission and the Member States to show greater coherence and cohesion in their policies and to make more substantial political commitments at the highest level in related areas such as tax on financial transactions and the fight against tax fraud and tax evasion;

61.

Calls on the Commission to renew its commitment to the Europe 2020 strategy and to issue its mid-term review without delay and at the latest by 2015; calls on the Commission to reconfirm the targets in the European Semester, taking into account the scoreboard for macroeconomic imbalances and the review of the Europe 2020 strategy; calls on the Commission to propose more ambitious social and environmental targets for 2030 and 2050; stresses that accurate, methodologically grounded and shared monitoring of green jobs could also help Member States in assessing the effectiveness of their environmental and labour policies, and strengthen the tools developed at European level to track the progress of, and monitor, the Employment Guidelines under Europe 2020;

62.

Stresses the opportunities that the 2030 Climate and Energy package provides in job creation and the future role that environmental legislation will play in achieving the EU’s long-term environmental goals and in creating jobs and green growth;

63.

Calls on the Commission to look upon innovation as the cornerstone of Europe's industry and to develop active strategies to ensure that social transitions are well managed and benefits are spread across all of Europe; calls on the Commission and the Member States to support the emergence of new supply chains and industry networks in resource efficiency, goods and services through a sustainable industrial policy and market transformation incentives;

64.

Underlines the need for the Member States to prepare their economies for a low-carbon, resource- and energy-efficient future, while taking account of the possible risk of job relocation and carbon leakage due to the impact of climate policies;

65.

Calls on the Commission and the Member States to step up international efforts to create a global environmental policy that can limit the damage caused by offshoring of industrial production outside the EU and by carbon leakage;

66.

Calls on the Commission to present its proposal to reform the EU Emissions Trading System (ETS) as soon as possible, taking into account the need to protect industries exposed to a significant risk of ‘carbon leakage’;

67.

Calls on the Commission to address green employment in the implementation of the Energy Union;

Investing in sustainable job creation

68.

Highlights the fact that there is a need to apply the right mix of supply- and demand-side interventions, which comes from combining job creation with matching active labour-market policies, specific to the needs of different local labour markets;

69.

Calls on the Commission and the Member States to promote, including in the framework of the European Fund for Strategic Investments, quality investments geared towards generating societal and economic benefits such as sustainable quality jobs, gender equality, quality education and innovation to promote the green transition and to fight energy poverty; calls on the Commission and the Member States to focus investment in areas with positive labour market impact with the aims of creating sustainable jobs with full social protection and fighting unemployment; stresses that the projects financed shall contribute to the EU 2020 strategy in a measurable way; points out, in this context, that job creation in the green sectors has remained positive throughout the recession;

70.

Highlights the fact that investing in energy efficiency can promote local job creation and local economic development and reduce energy poverty, and that ensuring energy efficiency in buildings is the most cost-effective way of offering long-term solutions to energy poverty, which affects some 125 million people in Europe, and an important element in ensuring more efficient use of European energy and creating green jobs; reiterates that ensuring the safety of buildings is also crucial in this regard; invites the Commission to present its ‘Smart Financing for Smart Buildings’ initiative as soon as possible;

71.

Recommends that climate, renewable energy and energy efficiency targets should be considered investment targets and key principles for political action;

72.

Warns against supporting activities that carry adverse environmental and social impacts as they undermine the policy coherence necessary to maximise the employment potential of green jobs;

73.

Recommends that quality investment in key public services such as communications, energy, transport, waste and water management are targeted in order to support sustainable public-procurement procedures and the mainstreaming of green skills;

74.

Calls on the Member States to make full use of the possibilities under the legal framework for the European Structural and Investment Funds and other sources of EU funding to promote sustainable projects that foster green employment, and to make EU funding and financial instruments as easily accessible as possible for local authorities, with clear, straightforward rules and reachable minimum funding thresholds;

75.

Encourages the Commission and the Member States to use the 2016 post-electoral revision of the Multiannual Financial Framework (MFF) as an opportunity to promote the greener transition of our economies;

76.

Notes that ESF support is available to help support green economic and employment growth and encourages national governments and the relevant national services to consider using this financing more actively in order to promote the creation of economically justified and economically sustainable green jobs;

77.

Notes that some Member States have made considerable progress in the greening of the economy, and encourages the Union and the Member States to foster the sharing of ideas, knowledge, experience, and best practices in this area so as to ensure a smooth transition;

78.

Urges the Member States and the private sector to use instruments such as Ecodesign, Ecolabel, EMAS and green public procurement (GPP), as they can support the green economy and thus contribute to the creation of green jobs; calls on the Commission to provide guidance tools to create favourable market conditions for the full adoption of these voluntary instruments;

79.

Calls on the Member States to focus greater attention on the implementation of environmental management and eco-auditing systems based on the European standard (ISO 14000);

Small and medium-sized enterprises (SMEs)

80.

Supports the objectives of the Green Action Plan for SMEs and the SME-oriented actions, including the establishment of a European Resource Efficiency Excellence Centre to advise and assist SMEs seeking to improve their resource-efficiency performance, to support green entrepreneurship, to exploit opportunities for greener value chains and to facilitate market access for green SMEs and microenterprises; considers that awareness-raising activities and technical assistance are key to active participation by SMEs in the circular economy;

81.

Recalls that SMEs have enormous potential for creating employment, in particular youth employment, and promoting a dual system of vocational training and apprenticeship schemes;

82.

Recognises that the European Fund for Strategic Investments (EFSI) could help micro-, small and medium-sized enterprises to engage in activities involving a high degree of environmental and social innovation;

83.

Notes that Eurobarometer data on green work in SMEs show that saving energy and reducing waste and the use of raw materials have become economically advantageous;

84.

Calls on the Commission to stimulate new business models, such as cooperative enterprises, for increasing the efficiency of production and distribution processes, adopting innovative solutions to save resources and offering more sustainable products and services;

85.

Points out that SMEs can only create growth and jobs if favourable incentivising opportunities are also available through the green economy;

86.

Calls on the Commission to ensure that green incentives for SMEs have a meaningful impact where they are most needed;

87.

Notes that SMEs and microenterprises are key drivers of job creation in Europe; stresses that SMEs and microenterprises face particular challenges when exploiting the job opportunities of a green transition, in particular regarding access to finance, training and bridging skills gaps; calls on the Commission and the Member States to take ambitious action to provide support to facilitate green job creation in SMEs and microenterprises, including targeted information, awareness raising, technical assistance and access to finance and training measures;

88.

Points out that a greener value chain, which involves re-manufacturing, repair, maintenance, recycling and eco-design, can provide considerable business opportunities for many SMEs;

o

o o

89.

Instructs its President to forward this resolution to the Council and the Commission, and to the governments and parliaments of the Member States.


(1)  Texts adopted, P7_TA(2013)0584.

(2)  OJ C 251 E, 31.8.2013, p. 75.

(3)  OJ C 308 E, 20.10.2011, p. 6.


11.8.2017   

EN

Official Journal of the European Union

C 265/59


P8_TA(2015)0265

Tax avoidance and tax evasion as challenges in developing countries

European Parliament resolution of 8 July 2015 on tax avoidance and tax evasion as challenges for governance, social protection and development in developing countries (2015/2058(INI))

(2017/C 265/07)

The European Parliament,

having regard to the Declaration of Monterrey (2002), the Conference on Financing for Development in Doha (2008), the Paris Declaration (2005) and the Accra Agenda for Action (2008),

having regard to UN General Assembly resolutions 68/204 and 68/279 on the Third International Conference on Financing for Development, to be held in Addis Ababa (Ethiopia) from 13 to 16 July 2015,

having regard to the work of the UN Committee of Experts on International Cooperation in Tax Matters (1),

having regard to the UN Model Double Taxation Convention between developed and developing countries (2),

having regard to the Directive 2005/60/EC of the European Parliament and of the Council on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing (3),

having regard to the Commission communication of 21 April 2010 entitled ‘Tax and Development, Cooperating with Developing Countries on Promoting Good Governance in Tax Matters’ (COM(2010)0163),

having regard to the Commission communication of 5 February 2015 entitled ‘A Global Partnership for Poverty Eradication and Sustainable Development after 2015’ (COM(2015)0044),

having regard to the Commission communication of 18 March 2015 on tax transparency to fight tax evasion and avoidance (COM(2015)0136),

having regard to its resolution of 21 May 2013 on the fight against tax fraud, tax evasion and tax havens (4),

having regard to its resolution of 8 March 2011 on tax and development — cooperating with developing countries on promoting good governance in tax matters (5),

having regard to its resolution of 10 February 2010 on promoting good governance in tax matters (6),

having regard to its resolution of 8 October 2013 on corruption in the public and private sectors: the impact on human rights in third countries (7),

having regard to its resolution of 26 February 2014 on promoting development through responsible business practices, including the role of extractive industries in developing countries (8),

having regard to its resolution of 25 November 2014 on the EU and the global development framework after 2015 (9),

having regard to its resolution of 13 March 2014 on the EU 2013 Report on Policy Coherence for Development (10),

having regard to Article 208 TFEU, which establishes eradication of poverty as the primary objective of EU development policy and the principle of policy coherence for development,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Development and the opinion of the Committee on Economic and Monetary Affairs (A8-0184/2015),

A.

whereas illicit financial flows (IFFs), i.e. all unrecorded private financial outflows involving capital that is illegally earned, transferred or utilised, typically originate from tax evasion and avoidance activities, such as abusive transfer pricing, against the principle that taxes should be paid where profits have been generated, and whereas tax evasion and avoidance have been identified as major obstacles to the mobilisation of domestic revenue for development by all major international texts and conferences on financing for development;

B.

whereas, according to the 2014 Global Financial Integrity Report, combined foreign direct investment (FDI) and official development assistance (ODA) between 2003 and 2012 represent slightly less than illicit outflows; whereas IFFs represent roughly ten times the amount of aid money received by developing countries that should be aimed at poverty eradication, welfare and sustainable development, representing an annual illicit capital flight from developing countries of an estimated USD 1 trillion;

C.

whereas the generation of public revenues from the extractive industries is essential to the development strategies of many developing countries, especially LDCs, but the potential offered by extractive industries to boost fiscal revenues is by and large not well exploited, owing to the inadequacy of tax rules or to difficulties in enforcing them, since arrangements between developing countries’ governments and extracting companies are usually ad hoc and negotiated without transparency and clear guidelines;

D.

whereas the existence of large informal sectors in developing countries’ economies makes broad-based taxation next to impossible, and whereas in countries where a large proportion of the population lives in poverty, a considerable share of GDP is not taxable;

E.

whereas fair, well-balanced, efficient and transparent tax regimes provide vital finance to governments to cover citizens’ rights to basic public services, such as healthcare and education for all, and whereas effective redistributive fiscal policies contribute to decreasing the effect of growing inequalities on those who are most in need;

F.

whereas, according to UNCTAD, some 30 % of cross-border corporate investment stocks have been routed through conduit countries before reaching their destination as productive assets;

G.

whereas corporate tax revenues constitute a significant share of developing countries’ national income, making them particularly affected by corporate tax avoidance, and in the past years developing countries have continually lowered corporate tax rates;

H.

whereas tax havens and secrecy jurisdictions that allow banking or financial information to be kept private, combined with ‘zero-tax’ regimes to attract capital and revenues that should have been taxed in other countries generate harmful tax competition, undermine the fairness of the tax system and distort trade and investment, particularly affecting developing countries, with a loss of an estimated USD 189 billion of tax revenue annually;

I.

whereas taxation can be a reliable and sustainable source of revenue in developing countries, and offers the advantage of stability in comparison with traditional development financing mechanisms like concessional loans, only if there is a fair, well-balanced, efficient and transparent taxation regime, an effective and efficient tax administration to promote tax compliance, and an accountable and responsible use of public revenue;

J.

whereas the potential benefits of effective and transparent taxation and fiscal policies go beyond the increase in available resources to foster development, and have a direct positive effect on good governance and state-building by strengthening democratic institutions, the rule of law, and the social contract between government and citizens, in order to create a reciprocal link between taxes, public and social services, and efforts to promote the stability of government budgets, thereby promoting long-term independence from foreign assistance and allowing developing countries to be responsive and accountable to national objectives and to assume ownership of their policy choices;

K.

whereas the need for an increase in domestic revenues has become more pressing in response to the financial and economic crisis;

L.

whereas the amount of resources raised by developing countries through domestic revenue mobilisation has been increasing steadily, and important progress has been made in this field with the aid of international donors;

M.

whereas developing countries face major political, administrative and technical constraints in raising tax revenues as a result of insufficient human and financial resources to collect taxes, weak administrative capacity to deal with the complexity of collecting taxes on transnational companies, lack of tax collection capacities and infrastructure, a drain of skilled personnel away from tax administrations, corruption, lack of legitimacy of the political system, lack of participation in international tax cooperation, and unfair distribution of revenues and poor tax governance;

N.

whereas while the current global context of trade liberalisation and the gradual removal of trade barriers over the past decades has increased the amount of cross-border-traded goods, it has also created difficulties for developing countries that rely heavily on taxes from trade, especially LDCs, in compensating for the decline in trade taxes and in shifting to other types of domestic resources, in particular a well-balanced tax mixture;

O.

whereas in recent years there has been a rise in the number of tax treaties between developed and developing countries that have been used to lower taxation in cross-border financial transfers, minimising developing countries’ domestic resource mobilisation capacities and creating possible routes through which multinational companies may avoid taxation; whereas a recent impact assessment carried out by authorities in the Netherlands concluded that the Dutch tax system facilitated the avoidance of withholding tax, leading to foregone dividends and interest from withholding tax revenues in developing countries in the range EUR 150-550 million per year (11);

P.

whereas, comparatively speaking, developing countries raise substantially less revenue than advanced economies (with a tax-to-GDP ratio range of 10-20 %, as opposed to a range of 30-40 % for OECD economies) and are characterised by extremely narrow tax bases; whereas there is considerable potential for broadening tax bases and increasing the amount of tax revenues in order to provide the necessary means for essential governmental responsibilities;

Q.

whereas developing countries have been trying to attract investment mainly by offering various tax incentives and exemptions that are not transparent and not based on a proper cost-benefit analysis, often failing to attract real and sustainable investments, putting developing economies in competition against each other to offer the most favourable tax treatment, and leading to unsatisfactory outcomes in terms of effective and efficient tax systems and to harmful tax competition;

R.

whereas the Member States have already committed themselves to allocating 0,7 % of their GNI to ODA, and whereas the amount of aid in support of domestic resource mobilisation is still low — accounting for less than one percent of total ODA in 2011– and only an estimated 0,1 percent (USD 118,4 million) of ODA was dedicated to capacity building in tax matters in 2012;

S.

whereas many developing countries cannot attain even the minimum tax level necessary to finance their basic functioning, their public services and their efforts to reduce poverty;

T.

whereas the European Investment Bank (EIB), the European Bank for Reconstruction and Development (EBRD) and Member States’ development finance institutions support private companies in developing countries directly by providing loans, or indirectly by supporting financial intermediaries such as commercial banks and private equity funds, which then on-lend to, or invest in, enterprises;

U.

whereas developing countries should be better represented in the structures and procedures of international tax cooperation in order to participate on an equal footing in the formulation and reform of global tax policies;

V.

whereas the Committee of Experts on International Cooperation in Tax Matters is a subsidiary body of the Economic and Social Council that pays special attention to developing countries and to countries with economies in transition;

W.

whereas collecting sufficient levels of public finances can serve a decisive role in promoting more equitable societies that reject discrimination between men and women and that provide special support for children and other vulnerable groups;

1.

Calls on the Commission promptly to put forward an ambitious action plan, in the form of a communication, to support developing countries fighting tax evasion and tax avoidance and to help them set up fair, well-balanced, efficient and transparent tax systems, taking into account the work undertaken by the Development Assistance Committee of the OECD in advance of the Financing for Development Conference in Addis Ababa, Ethiopia, to be held on 13-16 July 2015, and the impact of international tax treaties on developing countries;

2.

Insists that effective mobilisation of domestic resources and a strengthening of tax systems will be an indispensable factor in achieving the post-2015 framework that will replace the Millennium Development Goals (MDGs), which represents a viable strategy to overcome foreign aid dependency in the long term, and that efficient and fair tax systems are crucial for poverty eradication, fighting inequalities, good governance and state-building; recalls that certain transnational economic activities have affected the ability of countries to generate domestic government revenues and to choose their taxation structure, while the increased mobility of capital, combined with the use of tax havens, has greatly altered the conditions for taxation; expresses as well concerns about the level of corruption and non-transparent public administration that hinder tax revenues from being invested in state-building, public services or public infrastructure;

3.

Notes that tax resources remain low as a proportion of GDP in most developing countries, making them particularly vulnerable to the tax evasion and avoidance activities of individual taxpayers and companies; stresses that this represents a considerable financial loss for developing countries that encourages corruption and harms EU development policy, and that taking appropriate measures at national, EU and international level against these practices should be a top priority for the EU and its Member States, taking into account the needs and constraints that developing countries face in gaining access to their tax revenues; considers that the EU should be taking a leading role in driving international efforts to combat tax havens, tax fraud and evasion, leading by example, and that it should cooperate with developing countries in counteracting aggressive tax avoidance practices by certain transnational companies, as well as in seeking ways to help them withstand pressures to engage in tax competition;

Action plan to combat tax avoidance and tax evasion in developing countries

4.

Urges the Commission to take concrete and effective measures to support developing countries and regional tax administration frameworks, such as the African Tax Administration Forum and the Inter-American Centre of Tax Administrations, in the fight against tax evasion and tax avoidance, in developing fair, well-balanced, efficient and transparent tax policies, in promoting administrative reforms and in increasing the share, in terms of aid and development, of financial and technical assistance to the national tax administrations of developing countries; argues that this support should be provided to strengthen the judiciary and anti-corruption agencies in these countries; calls for the bringing together of public sector expertise from Member States and beneficiary countries with the aim of enhancing cooperative activities while yielding concrete preliminarily results for beneficiary countries; supports the organisation of workshops, training sessions, expert missions, study visits and counselling;

5.

Asks the Commission to give good governance in tax matters, and fair, well-balanced, efficient and transparent tax collection, a high place on the agenda in its policy dialogue (political, development and trade), and in all development cooperation agreements, with partner countries, enhancing ownership and domestic accountability by fostering an environment in which national parliaments are able to contribute meaningfully to the formulation and oversight of national budgets, including on domestic revenues and tax matters, and supporting the role of civil society in ensuring public scrutiny of tax governance and the monitoring of cases of tax fraud, inter alia by setting up effective systems for protecting whistleblowers and journalistic sources;

6.

Calls urgently for information on beneficial ownership of companies, trusts and other institutions to be made publicly available in open-data formats in order to prevent anonymous shell companies and comparable legal entities from being used to launder money, finance illegal or terrorist activities, conceal the identity of corrupt and criminal individuals, and hide the theft of public funds and profits from illegal traffic and illegal tax evasion; believes, furthermore, that all countries should at minimum adopt and fully implement the Financial Action Task Force’s (FAFT) anti-money laundering recommendations;

7.

Calls on the EU and its Member States to enforce the principle that listed or unlisted multinational companies of all countries and sectors, and especially those companies extracting natural resources, must adopt country-by-country reporting (CBCR) as a standard, requiring them to publish, as part of their annual reporting and on a country-by-country basis for each territory in which they operate, the names of all subsidiaries and their respective financial performance, relevant tax information, assets and number of employees, and to ensure that this information is made publicly available, while minimising administrative burdens by excluding micro-enterprises; calls on the Commission to put forward a legislative proposal to amend the Accounting Directive accordingly; recalls that public transparency is a vital step towards fixing the current tax system and building public trust; calls on the OECD to recommend that its proposed CBCR template should be made public by all multinational corporations (MNCs), to ensure that all tax authorities in all countries are able to access thorough information, allowing them to assess transfer pricing risks and determine the most effective way to deploy audit resources; underlines that tax exemptions and advantages granted to foreign investors through bilateral tax treaties provide MNCs with an unfair competitive advantage relative to domestic firms, especially SMEs;

8.

Calls for the fiscal conditions and regulations under which extractive industries operate to be revised; calls on the EU to increase its assistance to developing countries in support of the aim of taxing adequately the extraction of natural resources, strengthening the bargaining position of host governments to obtain better returns from their natural resources base, and stimulating the diversification of their economy; supports the Extractive Industries Transparency Initiative (EITI) and its extension to producing firms and commodity trading companies;

9.

Welcomes the adoption of an Automatic Exchange of Information mechanism, a fundamental tool for enhancing global transparency and cooperation in the fight against tax avoidance and tax evasion; acknowledges, however, that continuing support in terms of finance, technical expertise and time is needed to allow developing countries to build the required capacity to send and process information; stresses, therefore, the importance of ensuring that the new OECD Global Standard on Automatic Exchange of Information includes a transition period for developing countries, recognising that by making this standard reciprocal, those countries that do not have the resources and capacity to set up the necessary infrastructure to collect, manage and share the required information may effectively be excluded; considers, moreover, that a single standard on confidentiality should be envisaged;

10.

Calls for the establishment, by the end of 2015, of an internationally agreed definition of tax havens, of penalties for operators making use of them and of a blacklist of countries, including those in the EU, that do not combat tax evasion or that accept it; calls on the EU to support the economic reconversion of those developing countries that serve as tax havens; asks those Member States with dependencies and territories that are not part of the Union to work with the administrations of these areas towards the adoption of the principles of tax transparency and to ensure that none serve as tax havens;

11.

Calls on the European Union and its Member States to ensure that, when negotiating tax and investment treaties with developing countries, income or profits resulting from cross-border activities should be taxed in the source country where value is extracted or created; stresses, in this regard, that the UN Model Tax Convention ensures a fair distribution of taxing rights between source and residence countries; stresses than when negotiating tax treaties, the European Union and its Member States should comply with the principle of policy coherence for development established in Article 208 TFEU;

12.

Urges the Commission and all Member States, following the example of some Member States, to conduct impact assessments of European tax policies on developing countries, and to share ‘best practices’, in order to strengthen policy coherence for development and improve current practices, and to take better into account negative spill-overs on developing countries and the special needs of those countries; welcomes, in this context, the Commission’s revised Action Plan on tax evasion and tax avoidance, to be presented in 2015, and urges the Member States to agree swiftly on a Common Consolidated Corporate Tax Base;

13.

Strongly supports the range of existing international initiatives to reform the global system, including the OECD Base Erosion and Profit Shifting (BEPS) initiative, with a focus on the increased participation of developing countries in the structures and procedures of international tax cooperation; urges the EU and the Member States to ensure that the UN taxation committee is transformed into a genuine intergovernmental body, better equipped and with sufficient additional resources, inside the framework of the UN Economic and Social Council, ensuring that all countries can participate on an equal footing in the formulation and reform of global tax policies; stresses that sanctions should be considered both for non-cooperative jurisdictions and for financial institutions that operate within tax havens;

14.

Stresses that sufficient levels of public finance can contribute to rebalancing gender inequality and provide means to support children and vulnerable groups in society in better ways, and recognises that while tax evasion has an impact on the welfare of individuals, it is especially damaging to poor and lower- income households, in many of which women are disproportionately represented;

15.

Notes with concern that many developing countries find themselves in a very weak bargaining position in the face of some foreign direct investors; takes the view that companies should be required to make precise commitments in terms of the positive spillover effect of their investments on the local and/or national socio-economic development of the host country; calls on the Commission and the Council, and on partner governments, to ensure that tax incentives do not constitute additional options for tax avoidance; underlines that incentives should be made more transparent and, ideally, geared towards promoting investment in sustainable development;

16.

Calls on the EIB and the EBRD, and on Member States’ development finance institutions, to monitor and ensure that companies or other legal entities that receive support do not participate in tax evasion and avoidance by interacting with financial intermediaries established in offshore centres and tax havens, or by facilitating illicit capital flows, and to increase their transparency policies by, for example, making all of their reports and investigations publicly available; calls on the EIB to apply ‘due diligence’, requiring annual country-by-country reporting, tracing beneficial ownership and controlling transfer pricing in order to ensure the transparency of investments and prevent tax evasion and tax avoidance;

o

o o

17.

Instructs its President to forward this resolution to the Council, the Commission and the governments and parliaments of the Member States.


(1)  http://www.un.org/esa/ffd/tax/

(2)  http://www.un.org/esa/ffd/tax/unmodel.htm

(3)  OJ L 309, 25.11.2005, p. 15.

(4)  Texts adopted, P7_TA(2013)0205.

(5)  OJ C 199 E, 7.7.2012, p. 37.

(6)  OJ C 341 E, 16.12.2010, p. 29.

(7)  Texts adopted, P7_TA(2013)0394.

(8)  Texts adopted, P7_TA(2014)0163.

(9)  Texts adopted, P8_TA(2014)0059.

(10)  Texts adopted, P7_TA(2014)0251.

(11)  ‘Evaluation issues in financing for development Analysing effects of Dutch corporate tax policy on developing countries’, Study commissioned by the Policy and Operations Evaluation Department (IOB) of the Ministry of Foreign Affairs of the Netherlands, November 2013.


Thursday 9 July 2015

11.8.2017   

EN

Official Journal of the European Union

C 265/65


P8_TA(2015)0266

Resource efficiency: moving towards a circular economy

European Parliament resolution of 9 July 2015 on resource efficiency: moving towards a circular economy (2014/2208(INI))

(2017/C 265/08)

The European Parliament,

having regard to the Commission communication ‘Towards a circular economy: A zero-waste programme for Europe’ (COM(2014)0398),

having regard to the Commission communication on ‘Resource efficiency opportunities in the building sector’ (COM(2014)0445),

having regard to the Commission communication ‘Green Action Plan for SMEs: Enabling SMEs to turn environmental challenges into business opportunities’ (COM(2014)0440),

having regard to the Commission communication entitled ‘A Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Change Policy’ (COM(2015)0080),

having regard to the Commission communication on ‘Building the Single Market for Green Products — Facilitating better information on the environmental performance of products and organisations’ (COM(2013)0196),

having regard to the Commission communication on ‘Innovating for Sustainable Growth: A Bioeconomy for Europe’ (COM(2012)0060),

having regard to the Commission communication on the ‘Roadmap to a Resource-Efficient Europe’ (COM(2011)0571),

having regard to the Commission communication on ‘A resource-efficient Europe — Flagship initiative under the Europe 2020 strategy’ (COM(2011)0021),

having regard to the Commission communication on ‘Europe 2020 — A strategy for smart, sustainable and inclusive growth’ (COM(2010)2020),

having regard to its resolution of 12 December 2013 on eco-innovation — jobs and growth through environmental policy (1),

having regard to its resolution of 14 January 2014 on a European strategy on plastic waste in the environment (2),

having regard to its resolution of 24 May 2012 on a resource-efficient Europe (3),

having regard to its resolution of 13 September 2011 on an effective raw materials strategy for Europe (4),

having regard to the 7th Environment Action Programme,

having regard to the EU Sustainable Development Strategy (2006) and the 2009 review,

having regard to the Environment Council conclusions on ‘Greening the European semester and the Europe 2020 Strategy — Mid-term review’ of 28 October 2014,

having regard to the synthesis report by the European Environment Agency on ‘The European environment — state and outlook 2015’,

having regard to the Convention on Biological Diversity (CBD),

having regard to the UNEP (United Nations Environment Programme) Inquiry into the Design of a Sustainable Financial System,

having regard to the conclusions of the UNEP International Resource Panel on ‘Environmental Risks and Challenges of Anthropogenic Metals Flows and Cycles’ (2013),

having regard to the conclusions of the UNEP International Resource Panel on ‘Decoupling natural resource use and environmental impacts from economic growth’ (2011),

having regard to the petition ‘Stop Food Waste in Europe!’;

having regard to the opinion of the European Economic and Social Committee of 10 December 2014 (5),

having regard to the opinion of the Committee of the Regions of 12 February 2015 (6),

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on the Environment, Public Health and Food Safety and the opinions of the Committee on Employment and Social Affairs and the Committee on Industry, Research and Energy (A8-0215/2015),

A.

whereas an unsustainable use of resources is the root cause of various environmental hazards, such as climate change, desertification, deforestation, loss of biodiversity and the weakening of ecosystem services; whereas the global economy uses the equivalent of 1,5 planets’ worth of resources to produce global output and absorb waste and this figure is estimated to reach the equivalent of two planets’ worth of resources by the 2030s;

B.

whereas Europe is more dependent on imported resources than any other region in the world and many resources will be exhausted in the relatively short term; whereas Europe’s competitiveness can be increased significantly by getting more added value out of resources in the economy and promoting a sustainable supply of materials from European sources; whereas, moreover, as a contribution to safeguarding the supply of raw materials, partnerships for innovation between industry and the waste management sector and research to increase the potential for recycling major raw materials ought to be stepped up;

C.

whereas the switch to a circular economy is essentially a matter of economics, concerning access to, or sustainable availability of, raw materials, the reindustrialisation and further digitalisation of Europe, the creation of new jobs and the challenges of climate change, energy insecurity and scarce resources; whereas investing in a circular economy can therefore be fully compatible with the Commission’s jobs, growth and competitiveness agenda and has the potential to create a win-win situation for all stakeholders involved;

D.

whereas resource efficiency must also consider and be coherent with broader sustainability concerns, including environmental, ethical, economic and social dimensions;

E.

whereas the targets and definitive priority actions set out in the 7th Environment Action Programme are of a binding nature;

F.

whereas the Organisation for Economic Cooperation and Development (OECD) Environment Programme finds that ‘environmental effectiveness of voluntary approaches is often questionable, and their economic efficiency is generally low’ (7);

G.

whereas moving to a circular economy requires systemic change, affecting all stakeholders in the value chain, and substantial innovations in technology, businesses and society as a whole;

H.

whereas citizens, small businesses and local public authorities play a special role in ensuring resource efficiency and promoting the decoupling of economic growth from resource consumption;

I.

whereas a properly functioning circular economy needs competitive businesses, and whereas businesses are themselves driving forces in the switch to a circular economy;

J.

whereas it is important to place SMEs at the core of the EU resource-efficiency strategy as they account for 99 % of EU enterprises and employ two thirds of the workforce;

K.

whereas an ambitious European circular economy package creates business opportunities, secures access to primary materials, prolongs their productive use (through reuse, remanufacturing, recycling or as spare parts), guarantees high-quality recycling processes once they reach their end of life, and treats all by-products and waste as valuable resource streams for further use;

L.

whereas the sustainable and responsible sourcing of primary raw materials is critical to achieving resource efficiency and meeting the circular economy objectives;

M.

whereas it is necessary to develop markets for secondary raw materials in order to achieve resource-efficiency objectives and a circular economy;

N.

whereas Parliament has repeatedly called on the Commission to set indicators and targets for resource efficiency;

O.

whereas the elimination of toxic chemical substances for which safer alternatives exist or will be developed in line with the legislation in force concerning chemicals has a central role to play in the establishment of a circular economy;

P.

whereas the Eurostat data on the processing of urban waste in the EU 28 clearly show that there is still no level playing field in waste policy and that the implementation and enforcement of existing legislation presents significant challenges;

Q.

whereas on average only 40 % of solid waste is reused or recycled, and the rest goes to landfill or incineration;

R.

whereas production and consumption of agricultural food products accounts for a significant share of resource use, with significant impacts on the environment, public health, animal health and animal welfare; whereas sustainable solutions are needed to address food resource inefficiencies in a holistic manner;

S.

whereas the cancellation of environmentally harmful subsidies, including direct and indirect subsidies to fossil fuels, would substantially reduce greenhouse gas emissions, help in the fight against climate change and allow the uptake of the circular economy;

1.

Welcomes the Commission communication entitled ‘Towards a circular economy: A zero-waste programme for Europe’ (COM(2014)0398); endorses the Commission’s approach to designing and innovating for a circular economy, setting up a policy framework to support resource efficiency, setting a resource-efficiency target as outlined in the communication and outlining a specific policy framework to enable SMEs to turn environmental challenges into environmentally sustainable business opportunities; stresses that legislative measures are needed to move towards a circular economy, and calls on the Commission to come forward with an ambitious proposal on a circular economy by the end of 2015, as announced in its Work Programme for 2015;

2.

Emphasises that addressing resource scarcity requires reducing the extraction and use of resources and an absolute decoupling of growth from the use of natural resources — a systemic change which requires backcasting the actions needed from a 2050 sustainability perspective and taking immediate action;

3.

Highlights production and consumption as areas that must be tackled in a way that ensures coherence with broader sustainable development goals;

4.

Recalls that, despite improvements in the efficient use of resources that have already occurred, continuous growth in production has outstripped these gains in efficiency and resource extraction continues to rise dramatically worldwide, hence there is an urgent need for an overall reduction in resource extraction and use in order to overcome the rebound effect; urges the Commission to propose measures accordingly;

5.

Recalls that water, as both a natural resource used in production processes and a public good, should be considered when calculating raw material consumption figures and should be used in an efficient manner;

6.

Stresses that improving resource use through better design requirements, and through waste legislation that ensures upward movement in the waste hierarchy (thereby fostering waste prevention, reuse, preparation for reuse and recycling), could bring substantial net savings for EU businesses, public authorities and consumers, estimated at EUR 600 billion, or 8 % of annual turnover, while also reducing total annual greenhouse gas emissions by 2-4 %; emphasises that increasing resource productivity by 30 % by 2030 could boost GDP by nearly 1 % and create 2 million additional sustainable jobs (8); recalls that resource efficiency is a priority objective of the 7th Environment Action Programme, which emphasises the need to stimulate production and consumer demand for environmentally sustainable products and services through policies that promote their availability, affordability, functionality and attractiveness;

7.

Is convinced that improving resource efficiency requires both legislative measures and economic incentives, the internalisation of external costs and further funding of research and innovation, as well as social and lifestyle changes; points out that a variety of instruments are needed at various policy levels, taking account of subsidiarity;

8.

Believes that implementing a full-scale circular economy requires the involvement of all relevant stakeholders, regions, cities, local communities, SMEs, NGOs, industry representatives, trade unions and citizens;

9.

Calls on the Commission to involve local and regional authorities throughout the development of the circular economy package;

10.

Stresses that public awareness, citizen perceptions and involvement are critical for a successful transition to a circular economy; notes that the necessary attention and resources should be devoted to education and information, to promote sustainable consumption and production models, and highlights the benefits of moving to a resource-efficient circular economy;

11.

Points out that the transition to a circular economy requires a skilled workforce and that education and training have to take account of the need for green skills;

12.

Emphasises that the EU has already put in place financial instruments which favour a more circular economy, in particular the Horizon 2020 programme and Life +, and that if these instruments are used properly they could help to promote eco-innovation and industrial ecology in the Member States and regions of the EU;

13.

Stresses that legal certainty and long-term predictability are key to unlocking the potential of the European Fund for Strategic Investments for the circular economy in order to channel investments towards a sustainable economy;

14.

Highlights that a transition towards a sustainable and circular economy should combine ambitious environmental goals with strong social requirements, including the promotion of decent work and healthy and safe working conditions (i.e. ensuring that workers are not exposed to harmful substances in the workplace);

15.

Stresses the need to establish a more coherent legal framework for sustainable production and consumption, covering the complete production cycle from sustainable sourcing until end-of-life recovery;

Indicators and targets

16.

Stresses that by 2050 the EU’s use of resources needs to be sustainable and that this requires, inter alia, an absolute reduction in the consumption of resources to sustainable levels, based on reliable measurement of resource consumption throughout the entire supply chain, strict application of the waste hierarchy, implementation of a cascading use of resources, notably in the use of biomass, responsible and sustainable sourcing, creating a closed loop on non-renewable resources, increasing the use of renewables within the limits of their renewability, phasing out toxic substances, in particular where safer alternatives exist or will be developed in line with current legislation on chemicals, so as to ensure the development of non-toxic material cycles, and improving the quality of ecosystem services;

17.

Recalls that back in 2012 Parliament already called for clear, robust and measurable indicators for economic activity that take account of climate change, biodiversity and resource efficiency from a lifecycle perspective and for the use of these indicators as a basis for legislative initiatives and concrete reduction targets;

18.

Urges the Commission to propose, by the end of 2015, a lead indicator and a dashboard of sub-indicators on resource efficiency, including ecosystem services; points out that the use of these harmonised indicators should be legally binding as of 2018, and they should measure resource consumption, including imports and exports, at EU, Member State and industry level and take account of the whole lifecycle of products and services and should be based on the footprint methodology, measuring at least land, water and material use and carbon;

19.

Urges the Commission to propose, by the end of 2015, a target to increase resource efficiency at EU level by 30 % by 2030 compared with 2014 levels, as well as individual targets for each Member State; stresses that, before resource-efficiency targets can be implemented, they must be underpinned by indicators;

20.

Urges the Commission to promote the use of resource-efficiency indicators through international conventions in order to allow comparability between industries and economies and to ensure a level playing field, and to support dialogue and cooperation with third countries;

21.

Stresses that these indicators should be included in the European Semester and in all impact assessments;

Product policy and ecodesign

22.

Stresses the importance of a well-thought-out product policy that increases products’ expected lifetime, durability, reusability and recyclability; points out that the amount of resources used by a product over its lifetime and its reparability, reusability and recyclability are largely determined during the design phase; calls on the Commission to promote a lifecycle-oriented approach in product policies, in particular by establishing harmonised methods for evaluating products’ environmental footprints;

23.

Calls on the Commission, in this respect, to present an ambitious work programme, and to comprehensively and ambitiously implement the ecodesign requirements of the existing Ecodesign Directive in new and updated implementing measures, starting with the immediate adoption of measures already drafted;

24.

Urges the Commission to propose a review of ecodesign legislation and other relevant product policy legislation by the end of 2016, based on an impact assessment, incorporating the following essential changes: broadening the scope of ecodesign requirements to cover all main product groups, not only energy-related products; gradually including all relevant resource-efficiency features in the mandatory requirements for product design; introducing a mandatory product passport based on these requirements; implementing self-monitoring and third-party auditing to ensure that products comply with these standards; and defining horizontal requirements on, inter alia, durability, reparability, reusability and recyclability;

25.

Calls on the Commission to assess, on the basis of a cost-benefit analysis, the possibility of establishing minimum recycled material content in new products in connection with the future revision of the Ecodesign Directive;

26.

Urges the Commission to develop measures against planned obsolescence and to further develop a set of product standards for the circular economy, which include refurbishment and repair, facilitating dismantling, and the efficient use of raw materials, renewable resources and recycled materials in products;

27.

Recalls that the availability of standardised and modular components, disassembly planning, long-duration product design and efficient production processes have an important role to play in a successful circular economy; urges the Commission to take relevant actions to ensure that products are durable and easy to upgrade, reuse, refit, repair, recycle and dismantle for new resources, and that parts containing hazardous substances are clearly identified in product manuals to facilitate separation of those parts prior to recycling;

28.

Notes that it is crucial to raise consumers’ awareness and increase their proactive role;

29.

Calls on the Commission to propose the extension of minimum guarantees for consumer durable goods, in order to extend the products’ expected lifetime, and to clarify that, in accordance with Directive 1999/44/EC, sellers of consumer goods should examine the defects during the first two years of the legal guarantee and only charge the consumer for it if the defect has been caused by improper use;

30.

Calls on the Commission to propose appropriate measures on the availability of spare parts so as to ensure the reparability of products during their lifetime;

31.

Calls on the Commission, the Member States and the European Chemicals Agency (ECHA) to step up their efforts to substitute substances of very high concern and to restrict substances that pose unacceptable risks to human health or the environment in the context of REACH, not least as a means to fulfil the requirement of the 7th Environment Action Plan to develop non-toxic material cycles so that recycled waste can be used as a major, reliable source of raw material within the Union; calls, in this respect, on the Commission to immediately drop its unilateral moratorium on the processing of recommendations by ECHA with regard to the inclusion of substances of very high concern in Annex XIV to REACH, and instead proceed swiftly with the inclusion of such substances; stresses in accordance with the waste hierarchy that prevention takes priority over recycling and that, accordingly, recycling should not justify the perpetuation of the use of hazardous legacy substances;

32.

Calls on the Commission and the Member States to step up their efforts to substitute hazardous substances in the context of Directive 2011/65/EU on the restriction of the use of certain hazardous substances in electrical and electronic equipment with a view to establishing non-toxic material cycles;

33.

Urges the Member States to carry out effective market surveillance to ensure that both European and imported products comply with the requirements as regards product policy and ecodesign; urges the Member States, in order to ensure this effective market surveillance, to advance without delay in the legislative procedure on the review of the market surveillance regulation; notes that any further delay would harm the interests of businesses and citizens;

Towards zero waste

34.

Highlights the Commission’s analysis that shows that adopting new waste targets would create 180 000 jobs, make the EU more competitive and reduce demand for costly scarce resources (9); regrets the withdrawal of the legislative proposal on waste (10), but sees in Vice-President Timmerman’s announcement at Parliament’s part–session in December 2014 the opportunity for a new and more ambitious Circular Economy Package;

35.

Urges the Commission to submit the announced proposal on the review of waste legislation by the end of 2015, diligently applying the waste hierarchy, and to include the following points:

clear and unambiguous definitions;

developing waste prevention measures;

setting binding waste reduction targets for municipal, commercial and industrial waste to be achieved by 2025;

setting clear minimum standards for extended producer responsibility requirements to ensure transparency and cost effectiveness of the extended producer responsibility schemes;

applying the ‘pay-as-you-throw-principle’ for residual waste combined with mandatory separate collection schemes for paper, metal, plastic and glass in order to facilitate the high quality of recycling materials; introducing mandatory separate collection for biowaste by 2020;

increasing recycling/preparation for reuse targets to at least 70 % of municipal solid waste and 80 % recycling of packaging waste by 2030, based on a solid reporting method preventing the reporting of discarded waste (landfilled or incinerated) as recycled waste, using the same harmonised method for all Member States with externally verified statistics; an obligation for recyclers to report on the ‘input’ quantities of waste going into the sorting plant as well as on the ‘output’ quantity of recyclates coming out of the recycling plants;

strictly limiting incineration, with or without energy recovery, by 2020, to non-recyclable and non-biodegradable waste;

a binding, gradual reduction of all landfilling, implemented in coherence with the requirements for recycling, in three stages (2020, 2025 and 2030), leading to a ban on all landfilling, except for certain hazardous waste and residual waste for which landfilling is the most environmentally sound option;

encouraging Member States to introduce charges on landfilling and incineration;

36.

Stresses the importance and added value of European waste policy targets, not only in terms of legal certainty, predictability and the creation of a level playing field in the internal market, but also in terms of ensuring that the living environment of all EU citizens is protected and improved;

37.

Calls on the Commission to put forth the same targets for all the Member States so as to ensure an equally high level of environmental protection across the EU and so as not to undermine the single market;

38.

Urges the Commission to ensure that existing waste legislation and targets are completely and properly implemented, including in particular the obligation of separate collection schemes, to ensure that the Member States increase their efforts to reach existing targets and to establish measures to support the Member States in putting in place the right instruments to achieve the targets within the deadlines;

39.

Highlights that, in order to make best use of available waste management capacities in the EU, better planning and information sharing is necessary to avoid overcapacities;

40.

Calls on the Commission to further investigate the feasibility of proposing a regulatory framework for enhanced landfill mining so as to permit the retrieval of secondary raw materials that are present in existing landfills and to examine the development of an environmental permit system for the recycling industry;

41.

Calls on the Commission to ensure greater transparency and better controls in order to avoid shipping of waste to countries with lower environmental and social standards than those in the EU;

42.

Calls on the Commission, together with the Member States, to step up its efforts to counteract the illegal export of post-consumer waste;

43.

Calls on the Commission to lay down in the Waste Framework Directive minimum requirements for national waste prevention programmes and to draw up a set of targets and indicators capable of rendering the individual performance of the Member States comparable;

44.

Urges the Commission to address the specific waste challenges and to take action as outlined in the Commission communication on a circular economy (COM(2014)0398); encourages the Member States and the Commission to ensure that EU funds are mobilised to help achieve integrated waste management objectives such as separate collection and the development of recycling infrastructure;

45.

Urges the Commission to propose a target to reduce marine litter by 50 % by 2025 compared with 2014 levels;

46.

Stresses the need to formulate targets for the collection and recycling of specific critical metals in the light of their growing scarcity and with a view to reducing dependency;

47.

Calls on the Commission to propose, by the end of 2015, targets, measures and instruments to efficiently tackle food waste, including setting a binding food waste reduction target of at least 30 % by 2025 in the manufacturing, retail/distribution, food service/hospitability sectors and the household sector; calls on the Commission to promote the creation in Member States of conventions proposing that the retail food sector distributes unsold products to charity associations; calls on the Commission, when conducting an impact assessment on new relevant legislative proposals, to evaluate their potential impact on food waste;

Sustainable buildings

48.

Welcomes the Commission communication on ‘Resource efficiency opportunities in the building sector’ (COM(2014)0445); considers that an approach to construction based on a roadmap and its long-term targets is needed;

49.

Calls on the Commission to propose the full implementation of the circular economy principles and requirements in the building sector and to further develop the policy framework on resource efficiency in buildings — this includes developing indicators, standards and methods and quality requirements as regards land use and urban planning, architecture, structural engineering, construction, maintenance, adaptability, energy efficiency, renovation and reuse and recycling; points out that indicators on sustainable buildings should also include green infrastructure such as green roofs; stresses the importance of a holistic vision for Europe’s building stock, with clear and ambitious objectives for the medium and long term and roadmaps for the implementation of this vision;

50.

Considers that indoor air quality and the well-being and social needs of users should be integrated into the sustainability assessment of buildings;

51.

Calls on the Commission to develop, within the framework of the general indicators on resource efficiency, indicators to assess the sustainability of buildings over their entire lifecycle, using existing standards and methods and on the basis of an environmental, economic and social sustainability approach;

52.

Asks the Commission to determine whether BAT (best available technologies) principles and standards could be extended to encompass all materials and parts of buildings, and to develop a building passport based on the whole lifecycle of a building;

53.

Considers that, as 90 % of the 2050 built environment already exists, special requirements and incentives should be set for the renovation sector in order to improve the energy footprint of buildings by 2050; calls on the Commission, therefore, to develop a long-term strategy for the renovation of existing buildings and to upgrade the role of national renovation strategies introduced by Directive 2012/27/EU on energy efficiency;

54.

Urges the Member States to facilitate the improvement of recycling through the development of infrastructure for selective collection and recycling in the construction industry;

55.

Calls on the Commission and the Member States to look into the potential of predemolition audits (which is an assessment of a building before deconstruction or demolition to describe the materials present and to define which fractions could be separated for recycling) and on-site sorting of recyclable materials (on-site sorting usually delivers secondary raw materials of higher purity than off-site recycling and can help to reduce the environmental impact of transport, for example by crushing/compacting on site);

56.

Notes that concrete is one of the most used materials in the construction industry; calls on the Commission to assess the possibilities of increasing recycling of concrete in construction, as is the case in Germany and Switzerland;

Developing markets for secondary raw materials

57.

Calls on the Commission to develop measures to incentivise and facilitate the development of markets for high-quality secondary raw materials and the development of business based on the reuse of secondary raw materials;

58.

Considers that a long-term and predictable policy framework will help to stimulate the level of investment and action needed to fully develop markets for greener technologies and promote sustainable business solutions; stresses that resource-efficiency indicators and targets underpinned by robust data collection would provide the necessary guidance for public and private decision-makers in transforming the economy;

59.

Stresses that it is important that the Commission and the Member States promote the creation of industrial symbiosis programmes that support industrial synergies for reuse and recycling and that help companies — particularly SMEs — discover how their energy, waste and by-products can serve as resources for others; points to similar concepts, such as ‘cradle-to-cradle’ and industrial ecology;

Other measures

60.

Calls on the Commission to propose public procurement proceduresin which reused, repaired, remanufactured, refurbished and other sustainable and resource-efficient products and solutions are to be preferred and if they are not preferred, the ‘comply or explain’ principle should apply;

61.

Stresses the need for a fiscal framework that is in accordance with the ‘polluter pays’ principle, providing the right signals for investment in resource efficiency, the modernisation of production processes and the manufacturing of more reparable and durable products; calls for progress in this area to be pursued by the Member States as part of the European Semester process (11);

62.

Urges the Commission to study and propose measures related to taxation, such as reduced VAT on recycled, reused and resource-efficient products;

63.

Urges the Commission and the Member States to fully implement the Green Action Plan for Small and Medium-sized Enterprises;

64.

Urges the Commission to develop a policy framework on nutrients in order to enhance recycling, foster innovation, improve market conditions and mainstream their sustainable use in EU legislation on fertilisers, food, water and waste;

65.

Urges the Commission to present the communication on sustainable food, which has been postponed several times since 2013, during the first half of 2016; stresses that, as the production and consumption of food accounts for a significant share of resource use, that communication should holistically address resource inefficiencies in the food chain and encourage the development of a sustainable food policy; calls on the Commission to assess increasing the use of environmentally friendly food packaging, including an assessment of the feasibility of gradually replacing food packaging with bio-based and biodegradable, compostable material in accordance with European standards;

66.

Calls on the Commission to establish a permanent resource-efficiency platform, including all relevant stakeholders, so as to encourage and facilitate the application of the latest research findings, the exchange of best practices and the emergence of new industrial synthesis and industrial ecosystems;

67.

Calls on the Commission to establish a cross-sectorial, inter-DG sustainable financing working group in order to include the resource-efficiency indicators in company-level integrated reporting and accounting while respecting the confidentiality of certain business information; further calls on the Commission to examine how to incorporate resource-efficiency and environmental risks in, inter alia, credit ratings and capital requirements of banks, to develop a comprehensive insurance system for environmental hazards and to set out information requirements for investment products, with a due impact assessment; believes that the Commission would benefit from cooperating with UNEP’s ‘Inquiry into the Design of a Sustainable Financial System’ in that regard; calls on the Commission to study existing voluntary initiatives in the Member States with a view to a possible exchange of best practice;

68.

Calls on the Commission, given that the sustainable and responsible sourcing of primary raw materials is critical for achieving resource efficiency and meeting the circular economy objectives, to review the policy recommendations of the European Resource Efficiency Platform for the development of sustainable sourcing standards for priority materials and commodities; notes, in this respect, the joint support of Parliament and the Council for the Commission’s proposals on responsible sourcing of metals and minerals from conflict zones;

69.

Calls on the Commission to review its definition of ‘critical’ raw materials, taking better into account environmental impacts and risks related to their extraction and processing as well as their potential for substitution by secondary materials;

70.

Stresses that all EU funding, including funding through the European Fund for Strategic Investment (EFSI), Horizon 2020, cohesion funds and the European Investment Bank, must be mobilised to promote resource efficiency, in line with the waste hierarchy, and urges the Commission and the Member States to phase out all environmentally harmful subsidies, including those for the generation of energy from the biodegradable fraction of industrial and municipal waste by incineration pursuant to Directive 2009/28/EC on the promotion of energy from renewable sources and direct and indirect subsidies for fossil fuels;

71.

Calls for funding allocated from the EU Programme for the Competitiveness of Enterprises and SMEs (COSME), Horizon 2020 and the European Structural and Investment Funds to be more focused on developing sustainable, innovative and resource-efficient solutions and new business models (such as leasing or product-service systems), and on improving product design and material efficiency in product and process performance;

72.

Underlines how research and innovation are essential to support the transition towards a circular economy in Europe, and that it is necessary to contribute, within Horizon 2020, to research and innovation projects that can demonstrate and test in the field the economic and environmental sustainability of a circular economy; stresses, at the same time, that, by adopting a systemic approach, these projects can facilitate the drafting of a regulation that is innovation-conducive and easier to implement, by identifying possible regulatory uncertainties, barriers and/or gaps that can hamper the development of business models based on resource efficiency;

73.

Asks the Commission to use the digital agenda and information technology to their full potential to promote resource efficiency and the switch to a circular economy;

74.

Highlights that the EU has an open economy, engaged in imports and exports in a global market; draws attention to the need to address the global challenge of resource depletion also at international level; calls on the Commission and the Member States to actively support the work of the International Resource Panel within the United Nations Environment Programme (UNEP), investigating the world’s critical resource issues and developing practical solutions for policy-makers, industry and society;

75.

Calls on the Commission to take the necessary action at international level to improve the traceability of products;

76.

Stresses that increasing energy efficiency can reduce the EU’s energy dependence and energy poverty, which affects some 125 million European citizens; observes that it is worth regarding energy efficiency as a separate energy source, the growth of which contributes substantially to the development of EU industry, job creation and the moderation of people’s energy bills;

77.

Urges the Commission to examine whether existing and envisaged legislation is hindering the circular economy, existing innovative business models or the emergence of new ones, such as a lease economy or sharing/collaborative economy, or whether there are financial or institutional barriers in this respect; urges the Commission to improve such legislation and address such barriers where necessary; calls on the Commission to review related legislation with a view to improving the environmental performance and resource efficiency of products throughout their lifecycle and to increasing consistency between existing instruments and developing a frontrunner approach;

78.

Asks the Commission to clarify relevant aspects of EU competition policy in relation to the circular economy, notably to clarify the trade-off between risks of market collusion and the need to deepen cooperation between manufacturers and their suppliers;

79.

Calls on the Commission to report back to Parliament about all the measures outlined above and to propose next steps by 2018;

o

o o

80.

Instructs its President to forward this resolution to the Council, the Commission and the national parliaments.


(1)  Texts adopted, P7_TA(2013)0584.

(2)  Texts adopted, P7_TA(2014)0016.

(3)  OJ C 264 E, 13.9.2013, p. 59.

(4)  OJ C 51 E, 22.2.2013, p. 21.

(5)  Not yet published in the Official Journal.

(6)  OJ C 140, 28.4.2015, p. 37.

(7)  The OECD Environment Programme, ‘Voluntary approaches to environmental policy’, 2003.

(8)  Commission communication of 2 July 2014 entitled ‘Towards a circular economy: a zero waste programme for Europe’ (COM(2014)0398).

(9)  Commission staff working document of 2 July 2014 containing an executive summary of the impact assessment accompanying the proposal for a directive amending the waste directives (SWD(2014)0208).

(10)  Proposal for a directive of the European Parliament and of the Council amending Directives 2008/98/EC on waste, 94/62/EC on packaging and packaging waste, 1999/31/EC on the landfill of waste, 2000/53/EC on end-of-life vehicles, 2006/66/EC on batteries and accumulators and waste batteries and accumulators, and 2012/19/EU on waste electrical and electronic equipment (COM(2014)0397).

(11)  Budget Europe, 2015, Country-Specific Recommendations in Support of the European Semester Process, page 6, http://www.foes.de/pdf/2015-02-25_CSR%20Recommendations_FINAL.pdf.


11.8.2017   

EN

Official Journal of the European Union

C 265/76


P8_TA(2015)0268

Building a Capital markets union

European Parliament resolution of 9 July 2015 on Building a Capital Markets Union (2015/2634(RSP))

(2017/C 265/09)

The European Parliament,

having regard to the Commission Green Paper of 18 February 2015 entitled ‘Building a Capital Markets Union’ (COM(2015)0063),

having regard to the Commission communication of 15 May 2014 entitled ‘A reformed financial sector for Europe’ (COM(2014)0279),

having regard to its resolution of 11 March 2014 with recommendations to the Commission on the European System of Financial Supervision (ESFS) Review (1),

having regard to the Commission review reports on the European System of Financial Supervision (COM(2014)0509 on European Supervisory Authorities (ESAs) and COM(2014)0508 on the European Systemic Risk Board (ESRB)),

having regard to the Commission communication of 27 March 2014 entitled ‘Long-Term Financing of the European Economy’ (COM(2014)0168),

having regard to its resolution of 26 February 2014 on long-term financing of the European economy (2),

having regard to the Commission communication of 26 November 2014 entitled ‘An Investment Plan for Europe’ (COM(2014)0903),

having regard to the question to the Commission on the Green Paper on Building a Capital Markets Union (O-000075/2015 — B8-0564/2015),

having regard to Rules 128(5) and 123(2) of its Rules of Procedure,

A.

whereas Parliament, in its resolution of 26 February 2014 on long-term financing of the European economy, stressed ‘the need to improve access to capital markets through new sources of funding’ and at the same time noted that ‘commercial banks are likely to remain a main source of finance and that it is key for the Member States to establish new sources to complement established mechanisms and fill the funding gap, while providing for an appropriate regulatory and supervisory framework geared to the needs of the real economy’;

B.

whereas the Commission, in its communication of 27 March 2014 entitled ‘Long-Term Financing of the European Economy’, explored possibilities to take concrete actions in order to diversify funding, develop European capital markets and improve access to financing, especially for SMEs, for instance in the areas of equity and corporate bond markets, simple and transparent securitisation, covered bonds and private placement;

C.

whereas, as declared by Commission President Jean-Claude Juncker, the Commission’s first strategic priority is ‘to strengthen Europe’s competitiveness and to stimulate investment for the purpose of job creation’;

D.

whereas insufficiently regulated and controlled capital markets were a major reason for the outbreak of the financial crisis; whereas any new proposals, notably on securitisation, need to adequately reflect this fact;

E.

whereas, in the wake of the financial crisis, the EU institutions have introduced a number of pieces of legislation aimed at preventing such a crisis from recurring, and at creating the environment of financial stability that is essential for truly sustainable growth; whereas this legislation should be seen as the framework in which Capital Markets Union (CMU) takes place, and not as an impediment to it;

F.

whereas a reduction in fragmentation of capital markets could lead to a lower cost of capital while improving its allocation, and could thus support the growth of businesses, especially SMEs, and the creation of jobs within the EU;

G.

whereas various EU institutions and the private sector are currently developing solutions or recommendations in order to further develop the capital markets, for example in the area of simple and transparent securitisation, private placement, equity financing, European covered bonds and initial public offerings (IPOs);

H.

whereas any previous regulatory efforts (the Capital Requirements Directive (CRD), the Markets in Financial Instruments Directive II (MIFID II)/Markets in Financial Instruments Regulation (MIFIR)) must be complemented and further developed by a CMU;

Economic background

1.

Notes that investment in the real economy in Europe has relatively declined over several decades, despite a large increase in the size of the European and global financial sector over the same period; points out that the real economy remains heavily reliant on banks, which makes the economy vulnerable to a tightening of bank lending;

2.

Notes that massive public intervention since the start of the crisis, triggered by the failure of the financial sector, has resulted in abundant liquidity, and yet this has not resulted in an increase in demand by the real economy for financing;

3.

Points out that before the crisis Europe was not short of cross-border flows, but that they were concentrated in interbank lending and in debt often held by highly leveraged investors, which resulted in a transfer of risks within the internal market;

4.

Notes that restoring the stability of the banking sector in the EU took over as a priority vis-à-vis the financing of long-term investment and of the real economy;

5.

Points out that there is a large stock of idle capital held by the insurance sector that should be put to more effective use by improving the regulatory framework through reconsideration of the capital requirements for certain investments made by the insurance sector;

6.

Points out that, despite the opportunities offered by a well-designed EU capital market, there can be no avoiding the fact that there are formidable obstacles in other areas such as taxation, especially practices that incentivise debt over equity, insolvency and accounting law; believes that in these areas EU harmonisation would not automatically bring added benefits, and that in this context there is no need for an extension of the International Financial Reporting Standards (IFRS) in Europe;

7.

Stresses that the degree of financial integration has declined since the crisis, with banks and investors moving back to their home markets;

8.

Stresses that demand and supply can be encouraged by creating confidence in the real economy through clear commitments at Member State and Union level to foster a positive investment environment and legal certainty for investors, to formulate long-term objectives for a stabilising, competitive and growth-friendly legislative framework and to incentivise and diversify investment in infrastructure, thus enabling firms to plan for the long term;

9.

Acknowledges that Europe’s future is connected to its power to innovate; considers that, in addition to an innovation-friendly regulatory framework, easy, adequate and diversified access to financing for businesses is key to creating smart, sustainable and inclusive growth;

10.

Points out that the improvement of financing conditions for European businesses has to be built upon reinforced economic and financial stability, which includes the implementation of reforms in all Member States;

11.

Highlights that imperfect capital markets have led to a mispricing of risk and to a disconnection between the returns sought and the real risks run, which has caused markets to be unfavourably biased towards entities such as SMEs; believes that one of the objectives of the CMU should be to improve the efficiency of markets and ensure a fair, adequate and economically sound risk-return relationship in the EU capital markets;

A genuine European approach

12.

Believes that while, for example, the US has recovered faster from the financial crisis than the EU, which is partly due to a more diversified financial system, the EU needs to build its own genuine version of a CMU, which may draw on the experiences from other parts of the world but not simply replicate them; stresses, however, that a sensible approach for the recognition of equal or similar standards of third countries needs to be developed in order to guarantee compatibility between European and international financial markets;

13.

Believes that a genuine European approach to capital markets should duly take into account international developments so that Europe remains attractive for international investors by avoiding unnecessary divergences and duplications in legislation;

14.

Underlines that, while Europe saves more than the US in terms of percentage of GDP (20 % and 17 % respectively), the level of savings held in EU mutual funds is equivalent to only 50 % of the US level and savings held in pension funds only 35 %; further indicates that EU equity markets, corporate bond markets and securitisation represent 60 %, 35 % and 20 % of the levels of their US counterparts respectively;

15.

Stresses the need for the Commission to take into account the different economic and cultural composition of the SME sector by Member State in order to prevent any unintended consequences resulting from the implementation of the CMU that may accentuate the existing imbalances in access to finance between Member States;

16.

Calls on the Commission to establish a European approach to strengthen the diversification of funding sources and investments in European businesses, by means of a CMU that builds upon the characteristics and interdependence of the European banking and capital markets landscape, bearing in mind the specificities of the European model for financing of businesses, and the need to develop reliable non-bank sources of finance for growth and to complement these with ways for market participants to raise debt, equity and venture capital directly from the market; notes that the Commission should not necessarily only rely on peer reviews with other jurisdictions; draws the attention of the Commission to the fact that cultural differences should not be disregarded and adequate answers need to be provided in order to overcome them; believes further that the Commission should take the newest technological developments into account in its reforms of the capital markets;

17.

Calls on the Commission to recognise that diversity between business models and the financial markets of Member States can be strengths worth protecting for Europe as a whole;

18.

Underlines that the launch of a CMU and the underlying legislation should be targeted at the functioning of capital markets in the entire EU, completing the single market and enhancing sustainable growth; underlines that, following the crisis, steps have been taken regarding supervision of the banking sector that, for the time being, have not been expanded in the capital markets; underlines that differences between financial sectors exist, which make different solutions necessary; stresses, however, that a level playing field among participants must be ensured for similar financing activities and that the key aim for all sectors must be to improve capital allocation across the European economy and make better use of capital stocks that remain idle today;

19.

Highlights that, for this purpose, sound and comprehensive stocktaking needs to be done, which considers the cumulative effect on European capital markets of all files passed in recent years; points out that this also implies a careful review of whether the strict capital requirements applied in the banking and insurance sector need reconsideration;

20.

Highlights that initiatives towards a CMU should not reinvent the wheel but acknowledge that financing for businesses in Europe is based on well-developed, historically established structures that, despite their limits, have proven to be successful and crisis-resilient, and that further diversification and the development of new channels could be valuable in ensuring that different types of businesses have complementary access to funding;

21.

Notes that traditional financing channels through banks are often not supportive of innovative ventures and SMEs; stresses that the lack of access to finance for SMEs is one of the greatest obstacles to growth in the EU; emphasises that while bank credit is continuously difficult to obtain for SMEs, alternatives to bank financing are needed, in particular by improving the business environment for venture capital, peer-to-peer funds, private placement, SME loan securitisation and promotion of credit unions, but also through standardising the rules concerning public-private partnerships (PPPs) throughout the EU;

22.

Underlines the fact that a more efficient allocation of capital within the EU need not always lead to higher cross-border capital flows; recalls that the build-up of real estate bubbles in some Member States before the crisis was, to some extent, fuelled by too much capital flowing in;

23.

Highlights the necessity of identifying existing financial structures which have proven to be effective and should therefore be retained, and those structures which need substantial improvement; considers that effective structures should also be promoted for local and decentralised financial institutions;

24.

Recalls the success of EU-wide initiatives such as undertakings for collective investment in transferable securities (UCITS) that have enabled the growth of EU investment funds, operating with a passport across Member States, with nearly EUR 8 trillion of assets; considers that the Alternative Investment Fund Managers (AIFM) Directive is also a good example;

25.

Welcomes the adoption of the European Long-Term Investment Funds (ELTIF) Regulation; considers that ELTIFs could replicate the progress made with UCITS, by encouraging greater allocation of capital to long-term projects in need of funding such as in the infrastructure and energy sectors, in particular at cross-border level; calls on the Commission to investigate how, in the long-term, extraordinary investment programmes such as the European Fund for Strategic Investments (EFSI) could be effectively connected with regular EU funds; considers that institutional investors should be invited to contribute funds under their management to the European capital markets; believes that institutional investors and the conditions under which they can enter the market need to play an important role in the development of the CMU;

26.

Recalls previous work on integrating financial markets, such as the Financial Services Action Plan (1999), the Giovannini report and the de Larosière report, and calls on the Commission to build on these reports in its Capital Markets Union Action Plan;

27.

Calls upon the Commission to analyse in depth, on a country-by-country basis, the current situation in the capital markets, to assess in a comprehensive economic analysis where and to what extent EU-wide impediments to investment via capital markets exist, and to indicate by which means, including non-legislative and market-based approaches, these impediments may be removed or minimised; believes that this analysis is a precondition for a CMU to succeed; calls upon the Commission to speed up this process;

28.

Calls on the Commission to identify cross-border risks in financial and capital markets in the EU caused by institutional, legal and regulatory differences between Member States, and to address them with effective measures in order to streamline cross-border capital flows and to reduce the existing home bias among investors;

29.

Calls upon the Commission to consider also the supply side, and in particular to analyse and address the root causes of why retail and institutional investors are not able to mobilise and transform sufficient capital to strengthen individual financial services and long-term investment in the real economy;

30.

Suggests that the Commission promote the financial education of both investors and companies as users of capital markets, and enhance the availability of EU data and research by standardising and improving data collection, in order to enable both companies and investors to understand the comparative costs and benefits of different services provided by capital market participants;

31.

Calls upon the Commission to investigate ways to reduce the information asymmetries in the capital markets for SMEs, looking into the market for credit rating agencies and the barriers for new entrants to this market; underlines the idea of independent European credit agencies that offer ratings which are also cost-effective for small investments;

32.

Welcomes the Commission’s announcement to review the Prospectus Directive in order to address the shortcomings of the current prospectus framework; stresses the importance of simplifying its procedures by proportionately lifting the administrative burden for issuers and company listings, in particular with regard to SMEs and mid-cap companies; believes that it might be worth investigating ways to better adapt the requirements according to the type of assets and/or investors and/or issuers; points out that transparency would be enhanced and transaction costs reduced if information to be provided were standardised and made available digitally;

33.

Calls upon the Commission to provide more clarity as to how the CMU will interact with the other two pillars of the European Investment Plan, namely the European Fund for Strategic Investments and the European Investment Advisory Hub;

34.

Stresses the importance of integrating initiatives on capital markets with other policy agendas, such as the development of a digital single market and ongoing reforms in the field of company law and corporate governance, in order to achieve coherence and consistency among various regulatory and non-regulatory initiatives and thus maximise positive side-effects of different policies on economic growth and job creation;

Building blocks of a Capital Markets Union

35.

Takes the view that the CMU should follow a step-by-step approach and that the priorities of the CMU should be threefold: first, to incentivise the most efficient allocation of savings by deepening and diversifying the sources of finance available to businesses and to offer more investment choices, greater transparency and portfolio diversification to savers and investors; secondly, to enable greater risk mitigation by creating deeper cross-border markets, enhancing the financial system’s resilience against the adverse effects of severe financial crises and smoothing out the impact of idiosyncratic shocks; thirdly, ensuring that there is an effective complementary channel to finance the real economy;

36.

Invites the Commission, where needed, to come forward with proposals to review the current legislation, notably regarding credit rating agencies and audit firms, in order to increase and complete investor protection;

37.

Underlines the necessity of eliminating existing barriers to cross-border financing, especially for SMEs, in order to foster the benefits of the CMU for businesses of all sizes in all geographical areas;

38.

Underlines that a core principle for building a CMU must be to put a greater focus on the end users of capital markets, i.e. companies and investors, and to recognise that markets exist for companies and investors; believes, therefore, that EU polices must focus on ensuring that capital markets provide companies with better access to capital and investors with diverse, transparent, affordable saving opportunities;

39.

Invites the Commission to make consistent proposals to make sure that the CMU will go hand in hand with a clear strategy to face the counterproductive effects of the shadow banking system;

40.

Underlines that, in order to contribute to the priorities mentioned above, the CMU initiatives should aim at limiting the complexity, while increasing the efficiency and reducing the cost of, the chain of intermediation between savers and investments, enhancing end-user awareness of the intermediation chain and its cost structure, enhancing investor protection, ensuring the stability of the intermediation chain by appropriate prudential rules and ensuring that intermediaries can fail and be substituted with minimal disruption to the financial system and the real economy;

41.

Welcomes the Commission’s plan to take stock of the overall impact of financial regulation, in particular the legislation of the last five years; stresses the need to take the aforementioned priorities into consideration when performing reviews of existing financial regulations;

42.

Stresses that bank financing and the intermediary role of banks in capital markets are important pillars in business financing; highlights that the CMU should be based on complementing the fundamental role of banks, not about displacing them, as bank financing should continue to play a key role in the financing of the European economy; stresses the important role of relationship banking in financing micro-, small and medium-sized enterprises, which can also be used to provide alternative methods of financing; recalls the strategic dimension of having a strong and diversified European banking sector; calls on the Commission to investigate access to bank lending for SMEs across the Union, and to tackle inappropriate barriers;

43.

Underlines that SMEs should have the broadest available choice of funding structures, so that they themselves have a choice of funding options of differing costs and complexity levels, including mortgage lending and securitisation-based funding;

44.

Underlines the necessity of fostering an environment where more household and corporate savings flow to vehicles that will invest in capital markets, and where investors are encouraged to allocate capital across the borders of Member States; underlines the necessity of adequate safeguards, especially for households, to ensure full awareness of the advantages and disadvantages of capital market investments; stresses the importance of expanding accessibility to financial education aiming at improving investors’ trust in capital markets, in particular retail investors; also underlines that financial education should be targeted towards SMEs, teaching them how to use capital markets;

45.

Highlights that CMU initiatives should enable borrowers to access funds from market-based sources, supporting more diversity in the forms of borrowings such as equity and corporate bonds, as well as indirect forms of finance in which banks and markets work together;

46.

Stresses the importance of facilitating a comprehensible comparison of the investment options available to financial actors in order to establish an efficient CMU; calls in this respect for strengthening of the common framework for ensuring comparability and transparency among the different financial instruments, in particular with a proper implementation of the measures foreseen for this purpose in MIFID, the Insurance Mediation Directive (IMD) and PRIIPs; stresses the importance of legislative coherence in general and between the aforementioned files in particular, in order to avoid regulatory arbitrage and ensure the highest investor protection standards across markets;

47.

Believes that the CMU should create an appropriate regulatory environment that enhances cross-border access to information on the companies looking for credit, quasi-equity and equity structures, in order to promote growth of non-bank financing models, including crowdfunding and peer-to-peer lending; believes that disclosure of such information should be on a voluntary basis for SMEs; underlines that investor protection rules should apply to all financing models to the same extent, irrespective of whether they are part of bank or non-bank financing models; considers that such an environment would also require more systemic resilience and supervision of systemic financial intermediaries outside the banking sector;

48.

Believes that standardisation of certain financial instruments and their accessibility across the internal market could be an appropriate tool to help enhance liquidity, strengthen the functioning of the single market, and enable a comprehensive overview and supervision of the European capital markets, with the best practices of existing Member States’ standards considered appropriately; underlines the necessity of retaining the possibility of issuing tailor-made financial instruments that fit the needs of individual issuers and individual investors;

49.

Recalls that a historical overview of the Financial Services Action Plan invites consideration of two loopholes that have appeared in the wake of its implementation, the need to carefully consider the special impact on the functioning of the euro area of measures designed in the framework of the internal market and the need to improve in parallel integration of the market and of supervision; invites the Commission, while drafting the Action Plan, to draw all the necessary lessons from this precedent;

50.

Emphasises that the legal and supervisory frameworks should play a fundamental role in avoiding excessive risk-taking and instability in financial markets; underlines that a strong CMU project needs to be accompanied by strong EU-wide and national supervision including adequate macroprudential instruments; believes that among possible options, a stronger role could be attributed to the European Securities and Markets Authority (ESMA) in improving supervisory convergence;

51.

Calls on the Commission to carefully assess the risks of capital market-based credit financing and relevant experiences during the emergence of the 2007/2008 financial crisis, and to tackle any problems emerging therefrom;

Bringing the capital markets closer to SMEs

52.

Points out that possible changes or additions to the existing regulatory framework for financial intermediaries should aim at removing barriers to entry for small and medium-sized intermediaries and at improving access to finance, particularly for innovative start-ups and small and medium-sized companies, and ensure risk-proportionate prudential standards;

53.

Welcomes the Commission proposal for a Directive amending Directive 2007/36/EC as regards the encouragement of long-term shareholder engagement and Directive 2013/34/EU as regards certain elements of the corporate governance statement (COM(2014)0213); in particular, believes that this proposal could be a vehicle to support an attractive environment for shareholders by improving the efficiency of the equity investment chain; stresses that a sound and practicable framework for corporate governance would strengthen the CMU;

54.

Highlights that the sophistication of capital markets should not end up excluding SMEs, which are the enterprises that most need to access complementary financing, particularly in Member States that face(d) economic difficulties; underlines that a positive environment for successful SME financing includes the need for SME-friendly economic and regulatory conditions, both at EU and national level; in particular, stresses that attention should be drawn to a possible simplification of procedures for the access to IPOs by SMEs and mid-cap companies, while ensuring that firm criteria to assess the resilience and eligibility of businesses for an IPO remain; calls on the Commission to look at what more can be done to help SMEs to attract investment;

55.

Recalls that lack of information on the financial situation of SMEs is one of the major barriers to investment in this type of company; calls for in-depth reflection on the ways and means to improve investors’ access to transparent and comparable data on SMEs while limiting to the greatest extent possible the additional onus put on these companies;

56.

Encourages a diverse and attractive funding base in European public markets for companies of all sizes, while promoting the concept of ‘Think Small First’ in EU financial regulation affecting Emerging Growth Companies and revising EU financial regulation to reduce the administrative costs of listing for companies by 30-50 %;

57.

Believes that, given the importance of SMEs and mid-cap companies for the creation of new jobs, existing non-bank financing opportunities such as the development of specialised secondary markets (e.g. SME growth markets) and simple, transparent and standardised securitisation have to be better exploited; welcomes the initiative to establish a sustainable, transparent securitisation market by developing a specific regulatory framework with a uniform definition of high-quality securitisation, combined with effective methods for monitoring, measuring and managing risk; stresses, however, that SMEs constitute a highly diverse group and that securitisation is not the only instrument available; calls, therefore, on the Commission to use a wide range of approaches and to reflect on a broad variety of venues to improve SME financing;

58.

Supports suggestions to enhance possibilities for access to data for European companies, particularly SMEs; at the same time, draws attention to the fact that the costs of market data are small compared to the overall transaction costs;

59.

Urges the Commission to enhance the capacity to monitor the types, volumes and trends of bank-like intermediation activities carried out outside the regulated banking sector and to implement appropriate measures to ensure that they are subject to the principle of ‘same risks, same rules’;

60.

Points out that private equity and venture capital offer interesting alternatives for financing, in particular for start-ups; calls on the Commission to develop additional instruments building on the experience gained with the European Venture Capital Funds and the European Social Entrepreneurship Funds in order to tackle major shortcomings of risk capital markets in the EU, such as the lack of information for investors; believes that the development of a dedicated database to collect, on a voluntary basis, information on SMEs and start-ups could be a useful tool to provide information to investors, thus eventually widening the range of market participants and reinforcing further risk capital markets among Member States;

61.

Welcomes moves to support the development of private placement markets through standardised documents and definitions, while ensuring that potential investors are sufficiently informed about the risks and rewards of this form of investment;

62.

Calls on the Commission to ensure that any development of new ‘fund-of-fund’ proposals as part of the CMU does not lead to loopholes in the overall assessment and management of systemic and specific risk;

63.

Insists on the necessity, while building the CMU, of strengthening and improving EU coordination at international level, notably in the framework of the G20, the International Organisation of Securities Commissions (IOSCO), the International Accounting Standards Board (IASB) and the Basel Committee;

Creating a coherent EU regulatory environment for capital markets

64.

Further underlines the importance of equity financing that can help to mitigate risks and reduce excessive levels of debt and leverage in the financial system; calls, therefore, on the Commission and the Member States to review and address the over-burdensome regulation for equity financing of private companies; stresses the importance of addressing the debt equity tax bias;

65.

Is aware that the heterogeneity of insolvency rules complicates the creation of cross-border asset pools and therefore the securitisation process; notes in this regard the Commission’s suggestion to address cross-border insolvency to the extent necessary for achieving a well-functioning CMU; calls for the establishment of a recovery and resolution framework for non-banks, in particular central counterparties (CCPs);

66.

Recalls the role of payments systems and securities settlements for the securitisation market and calls for a European market infrastructure to be established for this purpose, as well as for coordinated and more harmonised monitoring of critical market infrastructure, in particular the possibility of creating a data repository for securitisation, which would register each securitisation’s participants, track aggregate exposures and flows between market participants, monitor the efficiency and effectiveness of policy initiatives and detect possible emerging bubbles and reduce information asymmetries;

67.

Stresses the need, given the role played by ICTs, to address the threat of cyberattacks and make the whole financial system resilient to such attacks;

68.

Encourages the Commission to increase the comparability and quality of financial information looking into the current framework on accounting standards, also with a global perspective and with regard to conservative valuation models and the proportionality of the requirements; understands that the recently revised European accounting law has to be assessed in practice first;

69.

Stresses the necessity of performing an impact assessment and cost-benefit analysis of any additional legislation, including delegated and implementing acts; notes that new legislation might not always be the appropriate policy response to these challenges and that non-legislative and market-based approaches, as well as in some cases already existing national solutions, should be looked into; calls upon the Commission to implement proportionality in the relevant legislation in order to enhance positive effects for SMEs and mid-cap companies;

70.

Believes that the building blocks for a fully functional CMU should be in place no later than 2018; reiterates the demand for a comprehensive analysis of the current situation in the EU capital markets and the existing EU-wide impediments; calls on the Commission to speed up its work on the action plan and put forward legislative and non-legislative proposals as soon as possible to achieve the objective of a fully integrated single EU capital market by the end of 2018;

71.

Notes that the developing digital environment should be seen as an opportunity to improve the performance and value delivered in the capital markets industry to enterprises, investors and society in general;

o

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72.

Instructs its President to forward this resolution to the Commission and the Council.


(1)  Texts adopted, P7_TA(2014)0202.

(2)  Texts adopted, P7_TA(2014)0161.


11.8.2017   

EN

Official Journal of the European Union

C 265/84


P8_TA(2015)0269

European Agenda on Security

European Parliament resolution of 9 July 2015 on the European Agenda on Security (2015/2697(RSP))

(2017/C 265/10)

The European Parliament,

having regard to Articles 2, 3, 6, 7 and 21 of the Treaty on European Union and to Articles 4, 16, 20, 67, 68, 70-72, 75, 82-87 and 88 of the Treaty on the Functioning of the European Union,

having regard to the Charter of Fundamental Rights of the European Union, and in particular Articles 6, 7, 8, 10(1), 11, 12, 21, 47-50, 52 and 53 thereof,

having regard to the Convention for the Protection of Human Rights and Fundamental Freedoms (ECHR), the case law of the European Court of Human Rights, the conventions, recommendations, resolutions and reports of the Parliamentary Assembly, the Committee of Ministers, the Human Rights Commissioner and the Venice Commission of the Council of Europe,

having regard to the Commission Communication of 28 April 2015 on the European Agenda on Security (COM(2015)0185),

having regard to the Communications from the Commission on the Strategy for the effective implementation of the Charter of Fundamental Rights by the European Union (COM(2010)0573) and the Operational Guidance on taking account of Fundamental Rights in Commission Impact Assessments (SEC(2011)0567),

having regard to the judgment of the Court of Justice of the European Union of 8 April 2014 in Joined Cases C-293/12 and C-594/12, which annulled Directive 2006/24/EC of the European Parliament and of the Council of 15 March 2006 on the retention of data generated or processed in connection with the provision of publicly available electronic communications services or of public communications networks,

having regard to Regulation (EU) No 513/2014 of the European Parliament and of the Council of 16 April 2014 establishing, as part of the Internal Security Fund, the instrument for financial support for police cooperation, preventing and combating crime, and crisis management and repealing Council Decision 2007/125/JHA (1),

having regard to its resolution of 14 December 2011 on the EU Counter-Terrorism Policy: main achievements and future challenges (2),

having regard to its resolution of 27 February 2014 on the situation of fundamental rights in the European Union (2012) (3),

having regard to its resolution of 12 March 2014 on the US NSA surveillance programme, surveillance bodies in various Member States and their impact on EU citizens’ fundamental rights and on transatlantic cooperation in Justice and Home Affairs (4),

having regard to its resolution of 17 December 2014 on renewing the EU Internal Security Strategy (5),

having regard to its resolution of 11 February 2015 on anti-terrorism measures (6),

having regard to its plenary debate on 28 April 2015 on the European Agenda on Security,

having regard to the questions to the Council and to the Commission on the European Agenda on Security (O-000064/2015 — B8-0566/2015 and O-000065/2015 — B8-0567/2015),

having regard to the motion for a resolution of the Committee on Civil Liberties, Justice and Home Affairs,

having regard to Rules 128(5) and 123(2) of its Rules of Procedure,

A.

whereas the threats to the Union’s internal security have become more complex, hybrid, asymmetric, unconventional, international, rapidly evolving and difficult to predict, going beyond the capacity of any individual Member State, and therefore require more than ever a coherent, comprehensive, multi-layered and coordinated EU response which fully takes into account respect for fundamental rights;

B.

whereas development of EU security policy is a shared responsibility which requires coordinated and aligned efforts by all Member States, EU institutions and agencies, civil society and law enforcement authorities, is geared towards common goals and is based on the rule of law and respect for fundamental rights; whereas in order to deliver optimal results, the concrete implementation of these shared goals and priorities should be associated with a clear division of tasks between the EU level and the national level, on the basis of the principle of subsidiarity and with strong and effective parliamentary and judicial oversight;

C.

whereas the national security exception included in Article 4(2) TEU cannot be used to allow national security agencies to infringe on the interests, including economic interests, of other Member States, their citizens’ and residents’ rights and the laws and policies of the European Union and third countries more generally;

D.

whereas attention should be brought to the need to learn the lessons from the many breaches of European and universal norms and values in the context of internal and external security cooperation post-9/11;

E.

whereas freedom, security and justice are objectives that must be pursued in parallel; whereas, in order to achieve freedom and justice, security measures should therefore always respect democracy, the rule of law and fundamental rights in accordance with the principles of necessity and proportionality and should be subjected to proper democratic oversight and accountability; whereas the justice and prevention dimension is not sufficiently covered in the European Agenda on Security;

F.

whereas a number of the root causes of crime, such as increasing inequality, poverty, racial and xenophobic violence and hate crimes, cannot be addressed by security measures alone, but need to be addressed in a wider policy context, including improved social, employment, educational, cultural and external policies;

G.

whereas the prevention aspect of the European Agenda on Security is particularly essential in a period of growing economic and social inequities that undermine the social pact and the effectiveness of fundamental rights and public freedoms; whereas alternative measures to prison on the one hand and reintegration measures on the other, in particular regarding minor offences, should be an important element of such prevention policies;

H.

whereas, upon the expiry of the transitional period provided for in Protocol 36 annexed to the Treaties, the Commission and the European Court of Justice have obtained full powers with respect to the former third-pillar legal instruments, expanding democratic and fundamental rights accountability over measures taken that have played an important role in shaping the area of freedom, security and justice;

I.

whereas cybercrime and cyber-facilitated crime affect the security of EU citizens, the internal market and the intellectual property and prosperity of the European Union; whereas, for example, botnets as a form of cybercrime affect millions of computers and thousands of targets at the same time;

J.

whereas the boundaries between internal and external security are becoming more and more blurred, which requires stronger cooperation and coordination between Member States resulting in a comprehensive and multidimensional approach;

K.

whereas special attention should be paid to supporting and protecting all victims of terrorism and crime across the EU as a major part of the security agenda;

1.

Takes note of the European Agenda on Security for the 2015-2020 period as proposed by the Commission and the priorities set out in it; considers that, in view of the challenges the European Union is currently facing, terrorism, violent extremism, cross-border organised crime and cybercrime are the most serious threats which require coordinated actions at national, EU and global level; points out that the Agenda should be structured in a flexible way to respond to possible new challenges in the future;

2.

Reiterates the need to further address the root causes of crime, including inequality, poverty and discrimination; stresses furthermore the need to ensure adequate resources for social workers, local and national police officers and judicial officials whose budgets have been slashed in some Member States;

3.

Calls for the right balance to be sought between prevention policies and repressive measures in order to preserve freedom, security and justice; stresses that security measures should always be pursued in accordance with the principles of the rule of law and the protection of fundamental rights such as the right to privacy and data protection, freedom of expression and association and due process; calls on the Commission, therefore, when implementing the European Agenda on Security, to take due account of the recent Court of Justice ruling on the Data Retention Directive (judgment in Joined Cases C-293/12 and C-594/12), which requires all instruments to comply with the principles of proportionality, necessity and legality, and to include the appropriate safeguards of accountability and judicial redress; calls upon the Commission to fully assess the impact of this judgement on any instrument involving the retention of data for law enforcement purposes;

4.

Recalls that in order to be a credible actor in promoting fundamental rights both internally and externally, the European Union should base its security policies, the fight against terrorism and the fight against organised crime, and its partnerships with third countries in the field of security on a comprehensive approach that integrates all the factors leading people to engage in terrorism or in organised crime, and thus integrate economic and social policies developed and implemented with full respect for fundamental rights and subjected to judicial and democratic control and in-depth evaluations;

5.

Welcomes the Commission’s choice to base the Agenda on the principles of full compliance with the rule of law and fundamental rights which should be guaranteed through proper judicial oversight; of more transparency, accountability and democratic control; of better application and implementation of existing legal instruments; of a more joined-up inter-agency and cross-sectoral approach; and of greater links between the internal and external dimensions of security; calls on the Commission and on the Council to strictly comply with these principles in the implementation of the Agenda; points out that Parliament will put these principles at the core of its monitoring of the Agenda’s implementation;

6.

Welcomes the specific focus put in the Agenda on fundamental rights, and in particular the Commission’s commitment to strictly assess any security measure it proposes, not only for the extent to which the measure achieves its objectives but also for its compliance with fundamental rights; underlines the need for the Commission to involve in its assessment all relevant bodies and agencies, and in particular the EU Agency for Fundamental Rights, the European Data Protection Supervisor, Europol and Eurojust; asks the Commission to provide all information and documentation on this assessment, so as to allow Parliament to perform its democratic oversight effectively;

7.

Recalls in this regard its condemnation of measures entailing the vast and systematic blanket collection of the personal data of innocent people, particularly in view of the potentially severe effects on fair trial rights, non-discrimination, privacy and data protection, freedom of the press, thought and speech, and freedom of assembly and association, and entailing a significant potential for abusive use of information gathered against political adversaries; expresses severe doubts concerning the usefulness of mass surveillance measures as they often cast the net too wide and therefore throw up too many false positives and negatives; warns of the danger of mass surveillance measures obscuring the need to invest in perhaps less costly, more effective and less intrusive law enforcement measures;

8.

Calls on the Member States to ensure that the principle of the best interests of the child is respected in all legislation relating to security;

9.

Notes that the EU lacks an agreed definition of ‘national security’, creating an undefined carveout in EU legal instruments which contain references to ‘national security’;

10.

Believes that in order for citizens to have more confidence in security policies, the EU institutions and agencies and the Member States should ensure transparency, accountability and democratic control in the process of policy development and implementation; welcomes the intention of the Commission to regularly present to Parliament and the Council updated information on the implementation of the Agenda; reiterates its intention to organise regular monitoring exercises, in cooperation with the national parliaments, on the proper implementation and progress of the Agenda; notes with interest the Commission’s proposal to set up an EU Security Consultative Forum; calls for this Forum to ensure a balanced representation of all relevant stakeholders and looks forward to receiving more detailed information on it, in particular regarding its exact role, tasks, composition and powers and the involvement of the European Parliament and national parliaments in it;

11.

Stresses the need to improve the democratic and judicial oversight of Member State intelligence services; notes that Parliament, the Court of Justice and the Ombudsman lack sufficient powers to conduct an effective level of scrutiny of European security policies;

12.

Calls on the Commission and the Council to establish a roadmap — or a similar mechanism — as quickly as possible to ensure the effective and operational implementation of the Agenda, to submit it to Parliament and to start its implementation within the next six months; believes that an ‘EU policy cycle’-type of approach (with identification and assessment of common threats and vulnerabilities, political priority setting and development of strategic and operation plans, effective implementation with clear drivers, timelines and deliverables, and evaluation) could provide for the necessary coherence and continuity in the implementation of the Agenda, provided that Parliament is properly involved in setting the political priorities and strategic objectives; looks forward to further discuss these issues with the Commission and the Standing Committee on Operational Cooperation on Internal Security (COSI);

13.

Welcomes the underlying principle of the Agenda to fully apply and implement existing instruments in the area of security before proposing new ones; reiterates the need for a more expeditious and efficient sharing of relevant data and information, subject to the appropriate data protection and privacy safeguards; deplores, however, that despite numerous calls by Parliament, an evaluation of the effectiveness of existing EU instruments — also in the light of new security threats the EU is facing — and of the remaining gaps, is still lacking; believes that such an exercise is needed to ensure that the European security policy is efficient, necessary, proportionate, coherent and comprehensive; calls on the Commission to provide such an operational evaluation of existing EU instruments, resources and funding in the internal security area as a priority measure under the roadmap for implementation of the Agenda; reiterates its calls on the Council and the Commission to comprehensively evaluate the implementation of the measures adopted in the area of internal security before the entry into force of the Lisbon Treaty, making use of the procedure provided for in Article 70 TFEU;

14.

Welcomes the Commission’s focus on border management as an essential aspect of preventing cross-border crime and terrorism; stresses that EU border security should be reinforced by systematic checks against existing databases, such as SIS; welcomes the Commission’s commitment to present its revised proposal on Smart Borders by the beginning of 2016;

15.

Supports the Commission’s call for a more joined-up inter-agency and cross-sectoral approach and the proposed measures for improving the exchange of information and good practices and for increasing operational cooperation between the Member States and with the EU agencies; reiterates its call for greater use of the existing instruments and databases such as SIS and ECRIS, and of joint investigation teams; calls on the Commission to take all necessary measures to speed up the conclusion of pending working arrangements between agencies; notes with regret that not enough concrete measures are provided for in the Agenda with a view to strengthening its justice dimension; calls for the integration and further development of all aspects of judicial cooperation in criminal matters, including by strengthening the rights of suspected and accused persons, victims and witnesses and by improving the implementation of existing EU mutual recognition instruments;

16.

Fully supports the Commission’s priority of helping Member States to further develop mutual trust, to fully exploit existing tools for information-sharing and to foster cross-border operational cooperation between competent authorities; underlines the importance of such cross-border operational cooperation, in particular in border regions;

17.

Calls on the Commission to quickly table a legislative proposal amending Regulation (EC) No 1987/2006 of the European Parliament and of the Council of 20 December 2006 on the establishment, operation and use of the second generation Schengen Information System (SIS II) (7) to harmonise the alert criteria and make compulsory alerts regarding persons convicted or suspected of terrorism;

18.

Welcomes the Commission’s announced assessment of the necessity and potential added value of a European Police Record Index System (EPRIS) to facilitate cross-border access to information held in national police records and fully supports the launch of a pilot project planned by a group of Member States to establish mechanisms for automated cross-border searches in national indexes on a ‘hit’/‘no hit’ basis; underlines the importance of cross-border access to information, in particular in border regions;

19.

Stresses the importance of Joint Investigation Teams (JITs) to investigate specific cases of a cross-border nature and calls on the Member States to use this successful tool more regularly; invites the Commission to develop proposals for a legal framework that would allow the establishment of semi-permanent or permanent JITs to address persistent threats, in particular in border regions, such as drugs trafficking, human trafficking, and motorcycle gangs;

20.

Regrets that instruments such as freezing and confiscation of criminal assets are not yet used systematically in all appropriate cross-border cases, and calls for increased efforts from the Member States and the Commission in this area;

21.

Emphasises that a democratic and judicial oversight gap exists over cross-border cooperation between national intelligence agencies; expresses its concerns regarding the fact that democratic and judicial oversight is severely hampered by the third-party rule regarding access to documents;

22.

Notes that the boundaries between external and internal security are becoming more blurred and welcomes, therefore, the Commission’s commitment to ensure that the internal and external dimensions of the security policy work in tandem; calls on the Commission and the Member States to regularly assess the impact of the Agenda on the EU external security strategy and vice versa, including the obligations of respect for, and promotion of, fundamental freedoms and rights and democratic values and principles as contained in the international conventions and agreements they have ratified or signed; underlines the need to further strengthen the links, synergies and coherence between the two, especially in dealing with the new, cross-cutting, hybrid threats that Europe is facing, while respecting the Union’s values and fundamental rights; asks the Commission to report regularly to Parliament all further actions aimed at developing the link between the internal and external dimension of security policy and its cooperation with third countries in the security field, in order for Parliament to be able to exercise its right of democratic scrutiny together with national parliaments;

23.

Highlights the importance and timeliness of the ongoing strategic review by the VP/HR, entrusted to her by the European Council of December 2013, which should lead to the adoption of a new European Security Strategy; a broad strategy including foreign and security policy issues should identify and describe EU interests, priorities and objectives, existing and evolving threats, challenges and opportunities, and the EU instruments and means to meet them;

24.

Calls for very strong human rights clauses in cooperation agreements with third countries, especially in North Africa and the Gulf region with regard to security cooperation; calls for cooperation with non-democratic countries with poor human rights records to be reconsidered;

25.

Stresses the crucial importance of addressing the root causes of armed conflict, extremism and poverty in third countries, as these cause security challenges for the EU; urges the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy (VP/HR), the Commission and the Member States to step up their efforts to support inclusive, pluralistic and well-functioning states that have a strong and viable civil society capable of delivering freedom, security, justice, and employment to their citizens;

26.

Urges the VP/HR to present a draft Common position on the use of armed drones in line with Parliament’s resolution of 27 February 2014 on the use of armed drones (8);

27.

Acknowledges the Commission’s urgent call to finalise the work on the adoption of the EU PNR Directive; reiterates its commitment to work towards its finalisation by the end of the year; stresses that the PNR Directive should respect fundamental rights and data protection standards, including the relevant case law of the Court of Justice, while providing an efficient tool at EU level; calls on the Commission to continue to support this process by providing any relevant additional elements for the necessity and proportionality of an EU PNR Directive; asks that any future proposal creating new tools in the field of security, such as PNR, systematically includes mechanisms for the exchange of information and cooperation between Member States;

28.

Agrees with the Commission on the pivotal importance of supporting actions relating to training, research and innovation and the important work of the European Police College (CEPOL) in this field; considers that training and exchange programmes for law enforcement officials are of significant importance for further fostering a European law enforcement culture and good practices in that field; believes that more investment is necessary in research and innovation relating to security, including in the prevention field;

29.

Points out that the rapidly changing security situation calls for a flexible, adaptive and reactive approach, development of technical capabilities and regular review of the priority actions set out in the Agenda; points out, in this respect, that use could be made of Article 222 TFEU which requires the European Council to regularly conduct an assessment of threats to the Union, inter alia by building upon existing threat assessments performed by Member States and Europol, and to inform the European Parliament and the national parliaments of its outcome and follow-up;

Terrorism

30.

Welcomes the measures set out in the Agenda to combat terrorism, to tackle terrorist financing, to counter the threat of EU nationals and residents who travel abroad for the purpose of terrorism (‘foreign fighters’) and to prevent radicalisation; notes the proposed new structure of the European Counter-Terrorism Centre to be created within Europol and calls on the Commission to further clarify its exact role, tasks, powers and oversight, particularly in view of the need to ensure proper democratic and judicial oversight at the appropriate levels, including through the ongoing revision of Europol’s mandate; emphasises that increased sharing of information between Member States is crucial in the fight against terrorism and that this should be done on a more structural basis;

31.

Condemns any analysis that leads to confusion between terrorism, insecurity, Islam and migrants;

32.

Recalls in the light of the recent terrorists attacks in Brussels, Paris, Copenhagen and Saint-Quentin-Fallavier, the urgent need for the EU to assess better the threat against EU security and to focus on immediate priority areas for the fight against terrorism: reinforcing EU border security, enhancing internet referral capabilities, and fighting against illicit trafficking in firearms, as well as stepping up information sharing and operation cooperation between national law enforcement and intelligence services;

33.

Recalls the crucial importance of tracking and disrupting financial flows, including non-Swift financial flows, in combatting terrorist networks and organised crime groups; welcomes the efforts undertaken to ensure a fair and balanced participation in the Terrorist Finance Tracking Programme (TFTP);

34.

Stresses that the threat of home-grown terrorism in the EU is reaching dangerous new levels ever since Islamic fundamentalists took over land in Syria and Iraq and undertook a worldwide propaganda campaign to join forces with jihadists and to carry out attacks within the EU’s borders;

35.

Stresses that addressing the threat posed by foreign fighters and terrorism in general requires a multi-layer approach that involves comprehensively addressing underlying factors such as radicalisation, developing social cohesion and inclusiveness and facilitating reintegration by promoting political and religious tolerance, analysing and counterbalancing online incitement to perform terrorist acts, preventing departures to join terrorist organisations, preventing and stemming recruitment and engagement in armed conflicts, disrupting financial support to terrorist organisations and individuals aiming to join them, ensuring firm legal prosecution where appropriate and providing law enforcement authorities with the appropriate tools to perform their duties with full respect for fundamental rights;

36.

Calls on the Commission to develop together with the Member States a genuine strategy as regards European fighters — which is currently lacking in the Agenda on Security — and in particular those returning from conflict zones who want to leave the terrorist organisations which recruited them and show a willingness to reintegrate into society; considers that a special emphasis should be put on the situation of young European fighters;

37.

Reiterates its resolve to ensure accountability for massive violations of fundamental rights under the guise of the fight against terrorism, in particular in the context of the transportation and illegal detention of prisoners in European countries by the CIA, by means of open and transparent investigations; calls for protection to be given to those revealing such violations, such as journalists and whistleblowers;

Radicalisation

38.

Agrees that the prevention of radicalisation should be a priority for the EU; regrets the lack of more concrete measures in the Agenda to address radicalisation in Europe and calls on the Commission to take urgent and comprehensive action to intensify measures aimed at preventing radicalisation and violent extremism, preventing the spread of extremist ideologies and fostering integration and inclusiveness; calls on the Commission to strengthen the Radicalisation Awareness Network (RAN), which brings together all relevant actors involved in initiatives to address radicalisation at grassroots level, and to clarify the mandate, tasks and scope of the new proposed RAN Centre of Excellence; recommends that its structure also include local and national decision-makers, so as to ensure practical implementation of the recommendations developed by experts and stakeholders; calls for bolder measures to tackle radicalisation on the Internet and the use of Internet websites or social media to spread radical ideologies in Europe; welcomes the creation of an Internet Referral Unit at Europol to support Member States in identifying and removing violent extremist content online with the cooperation of the industry, and calls on the Commission to provide the additional resources necessary for its functioning; regrets the lack of concrete measures to strengthen the role of the Internet as an awareness-raising tool against radicalisation, and in particular to disseminate counter-narratives online in a proactive manner so as to counter terrorist propaganda;

39.

Points out that a successful security policy has to address the underlying factors of extremism, such as radicalisation, intolerance and discrimination, by promoting political and religious tolerance, developing social cohesion and inclusiveness and facilitating reintegration;

40.

Believes that extensive research and concrete measures should be developed, with the financial and operational support of the Commission, so as to promote and share with all European citizens, through effective channels of communication, our common values of tolerance, pluralism, respect for freedom of speech and conscience, and our fundamental rights in general; considers that the Agenda should also underline the need to fight misconceptions about religions, in particular Islam, which do not as such play a role in radicalisation and terrorism;

41.

Expresses its concern with regard to the recent rise of incidents of hate crime, including online, against European citizens; calls on Member States to protect their citizens from future attacks and to prevent incitement to hatred and any act of intolerance based on origin, belief or religion, including through educational work targeting young people and the promotion of an inclusive dialogue;

Organised crime

42.

Agrees that human trafficking is a phenomenon that needs to be addressed more effectively at European level; strongly rejects, however, any link between irregular migration and terrorism; points out that the lack of legal avenues into the EU in order to seek protection generates a constant demand for irregular avenues, thus endangering vulnerable migrants in need of international protection;

43.

Stresses the gravity of organised crime in the field of trafficking in human beings; draws attention to the extreme degrees of violence and brutality inflicted by criminals on this particularly vulnerable group; welcomes the existing framework and agrees on the need for a post-2016 strategy that involves Europol and Eurojust with their specific knowledge in this field;

44.

Acknowledges that the fight against organised crime requires strong European action; supports the Commission’s determination to tackle this issue; calls on the Commission in particular to establish strong cooperation in tackling human trafficking, but also cooperation with third countries to prevent the smuggling of migrants in order to avoid new tragedies in the Mediterranean;

45.

Points out that more attention should be paid to developments in cross-border organised crime with regard to arms trafficking, trafficking in human beings, and the production and sale of illicit drugs; notes with satisfaction that the Agenda acknowledges the dynamic character of the drugs problem, and in particular its connection to organised crime and the evolving threat of market innovation in the production and sale of both new and established drugs; stresses the need for swift adoption of the proposed package on new psychoactive substances and urges the Council to make progress on it;

46.

Believes that, apart from EU instruments to combat organised crime and terrorism, a European Agenda on Security should include protection mechanisms for victims of these serious crimes in order to prevent further victimisation; notes that the protection of victims should be regarded as an important tool to combat organised crime and terrorism, as it sends a clear message to offenders that society will not succumb to violence and will at all times safeguard victims and their dignity;

Cybercrime

47.

Emphasises that terrorist organisations and organised criminal groups are increasingly using cyberspace to facilitate all forms of crime and that cybercrime and cyber-facilitated crime constitute a major threat to EU citizens and the EU economy; notes that cybercrime requires a new approach to law enforcement and judicial cooperation in the digital age; points out that new technological developments increase the impact of cybercrime in scale and speed and, therefore, calls on the Commission to perform a thorough analysis of the powers of law enforcement and judicial authorities and their legal and technical capabilities online and offline so as to allow them to tackle cybercrime effectively, while underlining that all enforcement measures have to strictly respect fundamental rights, be necessary and proportionate and adhere to EU and national law; calls in particular on the Commission to make sure that the right to use encryption remains intact throughout the European Union and that, while the interception of communications in the context of a police investigation or judicial procedure can always be possible with the appropriate judicial authorisation, no measures interfering with the right of individuals to use encryption shall be implemented by Member States; asks the Commission to give the Europol Internet Referral Unit the additional resources necessary for its functioning rather than proceeding by internal redeployments of posts, including staff of the European Centre against Cybercrime (EC3), which must not be left understaffed;

48.

Underlines the essential importance of research and innovation in order to keep the EU up-to-date with changing security needs; highlights the importance of a competitive EU security industry to contribute to the EU’s autonomy in security; reiterates its call for improved autonomy in EU IT security and the need to consider EU-made security devices and services for critical infrastructure and public services;

49.

Calls on the Commission to launch a commensurate awareness and preparedness campaign on the risks linked to serious cybercrime in order to improve resilience against cyber-attacks;

50.

Welcomes the work done by EC3 in fighting serious transnational cybercrime and cyber-facilitated crime; underlines the key role of EC3 in supporting Member States in particular in the fight against child sexual exploitation; reiterates the announcements made by the Commission to equip EC3 with the necessary experts and budget in order to boost areas of European cooperation which have not been addressed since its creation in 2013;

51.

Calls for the Commission to carry out a full assessment of existing measures related to combating the sexual exploitation of children online, to assess whether or not further legislative tools are required, and to examine whether EUROPOL has sufficient expertise, resources and staff to be able to tackle this horrific crime;

Financing

52.

Regrets the fact that the Commission’s draft budget for 2016 provides for an increase in Europol’s budget by only approximately EUR 1,5 million, which does not give it the necessary resources to set up, as planned in the Agenda, a European Counter-Terrorism Centre and an Internet Referral Unit;

53.

Welcomes the statement made by the First Vice-President of the Commission, Frans Timmermans, in the European Parliament that the Commission will align the available financial resources to the priorities of the Agenda; stresses once again, in this regard, the importance of ensuring that the relevant EU agencies are equipped with adequate human and financial resources to fulfil their current and future tasks under the Agenda; intends to closely scrutinise the implementation, and assess the future needs, of the Internal Security Fund at EU and national level;

o

o o

54.

Instructs its President to forward this resolution to the Council, the Commission and the national parliaments.


(1)  OJ L 150, 20.5.2014, p. 93.

(2)  OJ C 168 E, 14.6.2013, p. 45.

(3)  Texts adopted, P7_TA(2014)0173.

(4)  Texts adopted, P7_TA(2014)0230.

(5)  Texts adopted, P8_TA(2014)0102.

(6)  Texts adopted, P8_TA(2015)0032.

(7)  OJ L 381, 28.12.2006, p. 4.

(8)  Texts adopted, P7_TA(2014)0172.


11.8.2017   

EN

Official Journal of the European Union

C 265/93


P8_TA(2015)0270

Situation in Yemen

European Parliament resolution of 9 July 2015 on the situation in Yemen (2015/2760(RSP))

(2017/C 265/11)

The European Parliament,

having regard to its previous resolutions on Yemen,

having regard to the statement of 26 March 2015 by the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy (VP/HR), Federica Mogherini, on the situation in Yemen,

having regard to the joint statement of 1 April 2015 by the VP/HR, Federica Mogherini, and the Commissioner for Humanitarian Aid and Crisis Management, Christos Stylianides, on the impact of fighting in Yemen,

having regard to the joint statement of 11 May 2015 by the VP/HR, Federica Mogherini, and the Commissioner for Humanitarian Aid and Crisis Management, Christos Stylianides, on the proposed truce in Yemen,

having regard to the joint statement of 3 July 2015 by the VP/HR, Federica Mogherini, and the Commissioner for Humanitarian Aid and Crisis Management, Christos Stylianides, on the crisis in Yemen,

having regard to the Council conclusions of 20 April 2015 on Yemen,

having regard to United Nations Security Council resolutions 2014 (2011), 2051 (2012), 2140 (2014), 2201 (2015) and 2216 (2015),

having regard to the statement of 24 May 2015 by the Co-Chairs of the 24th Gulf Cooperation Council — European Union (GCC-EU) Joint Council and Ministerial Meeting,

having regard to the UN Security Council press statement of 25 June 2015 on the situation in Yemen,

having regard to the Peace and National Partnership Agreement of 21 September 2014, the National Dialogue Conference outcomes document of 25 January 2014 and the Gulf Cooperation Council initiative of 21 November 2011,

having regard to the Charter of the United Nations,

having regard to Rule 123(2) and (4) of its Rules of Procedure,

A.

whereas the current crisis in Yemen is the result of a failure by successive governments to meet the legitimate aspirations of the Yemeni people for democracy, economic and social development, stability and security; whereas this failure has created the conditions for an outbreak of violent conflict by failing to establish an inclusive government and fair power-sharing, and systematically ignoring the country’s many tribal tensions, widespread insecurity and economic paralysis;

B.

whereas the current conflict in Yemen has spread to 20 out of 22 governorates; whereas, according to the latest consolidated figures from the World Health Organisation (WHO), at least 1 439 people were killed between 19 March and 5 May 2015, and another 5 951 injured, many of them civilians; whereas more than 3 000 people have been killed, and more than 10 000 injured, since the outbreak of hostilities;

C.

whereas Yemen is one of the poorest countries in the Middle East, with high rates of unemployment and illiteracy and an absence of basic services; whereas 20 million people are currently in need of humanitarian assistance, including an estimated 9,4 million Yemeni children, more than 250 000 refugees and 335 000 internally displaced persons;

D.

whereas the recent developments carry grave risks for the stability of the region, in particular that of the Horn of Africa, the Red Sea and the wider Middle East;

E.

whereas on 26 March 2015 a Saudi-led coalition including Bahrain, Egypt, Jordan, Kuwait, Morocco, Qatar, Sudan and the United Arab Emirates launched a military operation in Yemen against Houthi rebels, at the request of Yemen’s President Abd-Rabbu Mansour Hadi; whereas this coalition is reportedly using internationally banned cluster bombs in Yemen and whereas this is currently being investigated by the UN High Commissioner for Human Rights;

F.

whereas numerous civilian casualties in Yemen have been caused by the Houthi armed groups and affiliated forces, including through the use of anti-aircraft munitions which detonate after landing in populated areas, killing and maiming civilians;

G.

whereas on several occasions air strikes by the Saudi-led military coalition in Yemen have killed civilians, in violation of international humanitarian law, which requires all possible steps to be taken to prevent or minimise civilian casualties;

H.

whereas, in addition to air strikes, Saudi Arabia has imposed a naval blockade of Yemen which has had dramatic effects on the civilian population, with 22 million people — almost 80 % of the population — in urgent need of food, water and medical supplies;

I.

whereas on 15 June 2015, in view of the UN peace talks, UN Secretary-General Ban Ki-moon called for a renewed humanitarian pause for at least two weeks during Ramadan to allow critical assistance to reach all Yemenis in need, but whereas no agreement was reached; whereas on 19 June 2015 Yemen’s warring parties failed to reach a ceasefire agreement during diplomatic talks brokered by UN Special Envoy Ismail Ould Cheikh Ahmed;

J.

whereas on 30 June 2015 an estimated 1 200 inmates, including Al-Qaeda suspects, escaped from the central prison in the city of Taiz; whereas around 300 inmates had already escaped from another prison in Hadramout province in April 2015; whereas terrorist attacks are taking place in Yemen, such as the 17 June 2015 attacks in Sana’a, including on three mosques, which resulted in a number of deaths and casualties;

K.

whereas on 1 July 2015 the UN declared Yemen a level 3 emergency, the highest on the scale; whereas, under the emergency plan, the UN will try to reach 11,7 million people who are most in need; whereas the health system is said to be facing ‘imminent collapse’, with the closure of at least 160 health facilities owing to insecurity and a lack of fuel and supplies;

L.

whereas 15,9 million people in Yemen are in need of humanitarian assistance; whereas the most vulnerable children will not have access to the healthcare or the nutritional services they need, owing to the current widespread insecurity;

M.

whereas 9,9 million children have been severely affected by the conflict, with 279 children killed and 402 injured since March 2015; whereas at least 1,8 million children have lost access to education owing to conflict-related school closures, which places them at increased risk of recruitment or use by armed groups and of other forms of abuse; whereas, according to UNICEF, children comprise up to a third of all fighters in Yemen, at least 140 having been recruited between 26 March and 24 April 2015 alone; whereas 156 children were confirmed to have been recruited and used by armed groups in 2014; whereas that figure has already doubled in 2015;

N.

whereas UNICEF estimates that more than half a million children under the age of five are at risk of developing severe acute malnutrition, while 1,2 million children under the age of five are at risk of moderate acute malnutrition — a near-twofold increase since the beginning of the crisis;

O.

whereas the health system is on the verge of collapse, with the interruption in vaccination services putting an estimated 2,6 million children under the age of 15 at risk of contracting measles and 2,5 million children at risk of diarrhoea — a potentially fatal condition that spreads rapidly in times of conflict and population displacement; whereas dengue fever is on the rise, chronic diseases lack treatment, and vital medical supplies and personnel are being blocked from reaching the people targeted;

P.

whereas the country is rapidly running out of fuel, and whereas this is already severely restricting aid distribution and will soon lead to a life-threatening water shortage, since drought-stricken Yemen is entirely dependent on fuel-run deep well pumps for its water supply;

Q.

whereas Yemen is also directly affected by the humanitarian crisis in the Horn of Africa, as more than 250 000 refugees, mostly from Somalia, are stranded in the country and are living in precarious conditions; whereas, in addition, Yemen is hosting about one million Ethiopian migrants, according to government estimates;

R.

whereas, on account of the deteriorating security situation, humanitarian organisations have relocated most international staff outside of the country; whereas few organisations are still able to operate in Yemen and their activities are severely constrained;

S.

whereas Al-Qaeda in the Arabian Peninsula (AQAP) has been able to benefit from the deterioration of the political and security situation in Yemen, expanding its presence and augmenting the number and scale of its terrorist attacks;

T.

whereas the so-called Islamic State (ISIS)/Da’esh has established its presence in Yemen and carried out terrorist attacks against Shiite mosques, killing hundreds of people; whereas it is expected that both AQAP and ISIS/Da’esh will exploit Yemen’s security vacuum to increase their capabilities and plot attacks against Yemeni security forces, Houthis and any Western presence;

U.

whereas the escalation of armed conflict threatens Yemen’s cultural heritage; whereas on 2 July 2015 the World Heritage Committee placed two sites in Yemen on the List of World Heritage in Danger: the Old City of Sana’a and the Old Walled City of Shibam;

V.

whereas the EU has imposed an arms embargo and further targeted sanctions against a Houthi leader and the son of ex-President Ali Abdullah Saleh; whereas two other members of the Houthi movement, together with the ex-President, have been under the same restrictions since December 2014;

W.

whereas in 2015 the Commission’s Humanitarian Aid and Civil Protection department (ECHO) has allocated EUR 25 million to assist communities across the country affected by acute malnutrition, conflict and forced displacement; whereas in 2014 total EU funding, from Member States and the Commission combined, for humanitarian assistance in Yemen amounted to EUR 100,8 million, of which EUR 33 million came from ECHO;

X.

whereas the UN’s revised humanitarian appeal requested USD 1,6 billion, but whereas only around 10 % of that figure is currently funded;

1.

Is seriously concerned at the rapidly deteriorating political, security and humanitarian situation in Yemen; urges all warring parties to end the use of violence immediately; expresses its condolences to the families of the victims; stresses that the EU has reaffirmed its commitment to continuing to support Yemen and the Yemeni people;

2.

Reaffirms its strong support for the unity, sovereignty, independence and territorial integrity of Yemen, and stands by the people of Yemen;

3.

Condemns the destabilising and violent unilateral actions taken by the Houthis and military units loyal to ex-President Saleh; also condemns the air strikes by the Saudi-led coalition and the naval blockade it has imposed on Yemen, which have led to thousands of deaths, have further destabilised Yemen, have created conditions more conducive to the expansion of terrorist and extremist organisations such as ISIS/Da’esh and AQAP, and have exacerbated an already critical humanitarian situation;

4.

Urges all Yemeni parties, in particular the Houthis, to work towards resolving their differences through dialogue and consultation; calls on all regional actors to engage constructively with Yemeni parties in order to enable a de-escalation of the crisis and avoid further regional instability; calls on all parties to refrain from targeting cultural heritage sites and buildings by means of shelling or air strikes, and from using them for military purposes;

5.

Welcomes the fact that the EU has reiterated its firm commitment and its determination to tackle the threat posed by extremist and terrorist groups such as AQAP, and to prevent them from taking further advantage of the current situation;

6.

Condemns all violence and attempts or threats to use violence to intimidate those participating in UN-brokered consultations; emphasises that the UN-brokered inclusive political dialogue must be a Yemeni-led process, with the intention of brokering a consensus-based political solution to Yemen’s crisis in accordance with the GCC initiative and its Implementation Mechanism, the outcomes of the comprehensive National Dialogue Conference, the Peace and National Partnership Agreement and the relevant UN Security Council resolutions;

7.

Condemns in the strongest possible terms the terrorist attacks carried out by ISIS/Da’esh against Shiite mosques in Sana’a and Saada, which killed and wounded hundreds of people, together with the spread of the extreme sectarian ideology underpinning these criminal acts;

8.

Is alarmed at AQAP’s ability to benefit from the deteriorating political and security situation in Yemen; urges all parties to the conflict to demonstrate firm commitment and a determination to fight extremist and terrorist groups such as ISIS/Da’esh and AQAP as a matter of the highest priority;

9.

Condemns the recruitment and use of children by the parties to the conflict;

10.

Expresses its full support for the efforts of the UN and of the UN Secretary-General’s Special Envoy to Yemen, Ismail Ould Cheikh Ahmed, to broker peace negotiations between the parties; supports Oman’s efforts in achieving a ceasefire between the Houthis and forces loyal to the Government of Yemen as a first step towards a negotiated political solution;

11.

Stresses that there can only be a political, inclusive and negotiated solution to the conflict; urges all Yemeni parties, therefore, to work towards resolving their differences through dialogue, compromise and power-sharing, leading to the formation of a government of national unity in order to restore peace, avoid economic and financial collapse and address the humanitarian crisis;

12.

Calls for a humanitarian pause in order to allow life-saving assistance to reach the Yemeni people as a matter of urgency; urges all parties to facilitate the urgent delivery of humanitarian assistance to all parts of Yemen, as well as rapid, safe and unhindered access for humanitarian actors to reach people in need of humanitarian assistance, including medical assistance, in accordance with the principles of impartiality, neutrality and independence; recalls, also, that it is therefore essential that commercial shipping access to Yemen be further eased;

13.

Calls on all sides to comply with international humanitarian law and international human rights law, to ensure the protection of civilians and to refrain from the direct targeting of civilian infrastructure, in particular medical facilities and water systems, and from using civilian buildings for military purposes, and to work with the UN and humanitarian aid organisations, as a matter of urgency, to deliver assistance to those in need;

14.

Stresses the need for coordinated humanitarian action under UN leadership, and urges all countries to contribute to addressing humanitarian needs; calls on the international community to contribute to the UN’s revised humanitarian appeal;

15.

Calls for the independent international investigation of all alleged violations of international human rights and international humanitarian law;

16.

Notes the progress made in the Constitution Drafting Committee and calls for an inclusive, transparent constitution which meets the legitimate aspirations of the Yemeni people and reflects the outcomes of the National Dialogue Conference, and for a referendum on the draft constitution to be held, as well as timely general elections, in order to avoid a further deterioration of the humanitarian and security situation in Yemen;

17.

Recalls that freedom of religion and belief is a fundamental right, and strongly condemns any violence or discrimination on the basis of religion and belief in Yemen; reiterates its support for all initiatives aimed at promoting dialogue and mutual respect between religious and other communities; calls on all religious authorities to promote tolerance and to take initiatives against hatred, sectarianism and violent and extremist radicalisation;

18.

Calls on the VP/HR, together with the Member States, to gather support within the UN, as a matter of urgency, for a grand international plan to secure Yemen’s water supply, since such a move could be essential in bringing a potential peace process to a successful conclusion and giving the population the prospect of being able to improve agriculture, feed themselves and rebuild the country;

19.

Instructs its President to forward this resolution to the Council, the Commission, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, the governments and parliaments of the Member States, the Secretary-General of the United Nations, the Secretary-General of the Gulf Cooperation Council, the Secretary-General of the League of Arab States, and the Government of Yemen.


11.8.2017   

EN

Official Journal of the European Union

C 265/98


P8_TA(2015)0271

Security challenges in the Middle East and North Africa and prospects for political stability

European Parliament resolution of 9 July 2015 on the security challenges in the Middle East and North Africa region and the prospects for political stability (2014/2229(INI))

(2017/C 265/12)

The European Parliament,

having regard to Articles 8 and 21 of the Treaty on European Union,

having regard to the Partnership and Cooperation Agreement between the European Union and its Member States, of the one part, and the Republic of Iraq, of the other part and its position of 17 January 2013 on that agreement (1),

having regard to the European Security Strategy of 12 December 2003 and the Council Declaration of 11 December 2008 on strengthening capabilities,

having regard to the Joint Communication of 8 March 2011 of the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy and of the Commission on a partnership for democracy and shared prosperity with the southern Mediterranean (COM(2011)0200),

having regard to the Deauville Partnership launched by the G8 at the Deauville Heads of State or Government Summit on 21 May 2011,

having regard to the Joint Communication of 25 May 2011 of the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy and of the Commission on a new response to a changing neighbourhood (COM(2011)0303),

having regard to the Joint Communication of 6 February 2015 of the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy and of the Commission on elements for an EU regional strategy for Syria and Iraq as well as the Da'esh threat (JOIN(2015)0002),

having regard to the Declaration adopted at the third meeting of Foreign Ministers of the European Union and the League of Arab States (LAS) in Athens on 11 June 2014, as well as the Memorandum of Understanding signed in Brussels on 19 January 2015 between the European External Action Service and the General Secretariat of the League of Arab States,

having regard to the Council conclusions of 30 August 2014 on Iraq and Syria,

having regard to the conclusions of the International Conference on Peace and Security in Iraq held on 15 September 2014 in Paris,

having regard to the conclusions of the Foreign Affairs Council of 17 November 2014 on the Middle East Peace Process,

having regard to the conclusions of the Foreign Affairs Council of 15 December 2014 regarding an EU regional strategy for Syria and Iraq,

having regard to the conclusions of the Foreign Affairs Council of 9 February 2015 on combating terrorism,

having regard to its resolution of 24 March 2011 on European Union relations with the Gulf Cooperation Council (2),

having regard to its relations of 10 March 2011 on the EU’s approach towards Iran (3),

having regard to its resolution of 14 December 2011 on the review of the European Neighbourhood Policy (4),

having regard to its resolution of 10 May 2012 on trade for change: EU trade and investment strategy for the southern Mediterranean following the Arab Spring revolutions (5),

having regard to its resolution of 11 March 2014 on Saudi Arabia, its relations with the EU and its role in the Middle East and North Africa (6),

having regard to its resolution of 18 September 2014 on the situation in Iraq and Syria, the Islamic State offensive and the persecution of minorities (7),

having regard to its resolution of 15 January 2015 on the situation in Libya (8),

having regard to its resolution of 12 February 2015 on the humanitarian crisis in Iraq and Syria, in particular with regard to the Islamic State (9),

having regard to its resolution of 12 March 2015 on relations between the European Union and the League of Arab States and cooperation in countering terrorism (10),

having regard to its resolution of 12 March 2015 on recent attacks and abductions by ISIS/Da'esh in the Middle East, notably of Assyrians (11),

having regard to the conclusions of the meeting of 23 March 2015 in Brussels of Libyan municipality representatives, convened by the United Nations Support Mission in Libya and hosted by the European Union,

having regard to the meeting held in Barcelona on 13 April 2015 of the EU and Southern Mediterranean countries' Foreign Affairs Ministers, organised by Spain, the Latvian presidency and the EU to discuss the future of the European Neighbourhood,

having regard to UN Security Council resolutions 2139 (2014), 2165 (2014) and 2191 (2014) authorising cross-border and cross-line access for the UN and its partners to deliver humanitarian aid in Syria without state consent,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Foreign Affairs and the opinion of the Committee on Women's Rights and Gender Equality (A8-0193/2015),

A.

whereas the conflicts in Syria, Iraq, Yemen and Libya and the increase in tensions in the Middle East and North Africa (MENA) region are major sources of destabilisation of that region; whereas there is a junction between the Sahel and Middle-Eastern fronts in the fight against terrorism, and these fronts are close to the sensitive area of the Horn of Africa; whereas the consequences of such a situation for the security of the whole region are disastrous as they lastingly damage political and economic development, critical infrastructures and demographic cohesion in the region; whereas the risks which these developments entail for European security, citizens and interests are serious; whereas there is a high number of civilian victims and acts of terror committed against civilians; whereas the violations of human rights and humanitarian law, particularly against ethnic and religious minorities are severe; whereas the serious humanitarian crisis caused by these conflicts is causing massive population displacements and creating enormous difficulties for refugees and their host communities; whereas there are persistent difficulties in discerning a coherent conflict resolution strategy and establishing a legitimate and reliable basis for inclusive dialogue with the various parties concerned;

B.

whereas it is necessary to review EU action in the MENA area in the light of the implications of the Arab uprisings for the countries concerned, the new and complex situation thus created and the imperative need to combat ISIS and other terrorist organisations; whereas there is a need to step up pressure on authoritarian regimes for the introduction of inclusive policies; whereas stabilisation in the region is not a security issue alone, but also has economic, political and social implications, requiring the Union and its Member States to develop strategic global and multifaceted policies and full cooperation with parties the region, in the medium and long term;

C.

whereas the terrorist organization ISIL/Da’esh has launched systematic campaigns of ethnic cleansing in northern Iraq and Syria, carrying out war crimes, including mass summary killings and abductions, against ethnic and religious minorities; whereas the UN has already reported on targeted killings, forced conversions, abductions, the selling of women, the enslavement of women and children, the recruitment of children for suicide bombings, and sexual and physical abuse and torture; whereas Christian, Yazidi, Turkmen, Shabak, Kaka'i, Sabean and Shia communities, as well as many Arabs and Sunni Muslims, have been targeted by ISIL/Da’esh;

D.

whereas the Middle East and North Africa are in a state of geopolitical turmoil that is likely to bring about deep and unpredictable changes to regional balances; whereas there are escalating crises and conflicts, with a political, ethnic and sectarian dimension, the rise of paramilitary groups and the weakness or collapse of certain states or regimes in the region; whereas there are many human rights violations resulting from this; whereas the MENA countries and international community have shared security interests in fighting terrorism and supporting inclusive genuine democratic reform in the region;

E.

whereas the conflicts in Iraq and Syria, like the conflict in Yemen and Libya, are exacerbating regional and international tensions; whereas the religious and ethnic cause is being used as a tool to further interests of politics and power; whereas this creates a risk of confrontation between Sunni and Shia that extends beyond immediate geographical borders;

F.

whereas Tunisia is the most remarkable example of democratisation after the Arab uprisings but has been affected by an ISIL/Da’esh-proclaimed terrorist attack on 18 March 2015, which recalls the need for strong and continued support to the region’s countries, in particular Tunisia;

G.

whereas in line with the 2008 EU guidelines on violence against women and girls, the promotion of women’s rights and gender equality should be basic components of the political and human rights dialogue between the EU and the countries of the Middle East and North Africa (MENA) region; whereas the engagement and empowerment of women in the public, political, economic and cultural spheres in MENA countries is key to fostering stability, peace and economic prosperity in the long run; whereas the empowerment of women and girls through education is central to promoting their role in all these spheres; whereas women’s rights and gender equality civil society organisations can play an important role in empowering women in MENA countries;

H.

whereas the influence of Member States in the region is very unequal; whereas there is a need to increase the influence of the European Union; whereas long-term political and economic stability in the MENA region is of fundamental strategic importance to the Union; whereas the Union accordingly has a major role to play in promoting conflict resolution and democratic governance in the MENA region;

I.

whereas EU aid to MENA countries has in the past been too fragmented and too slow to adapt to the political and economic needs of the countries concerned, thereby undermining the EU's capacity to play a major role in the region;

J.

whereas EU assistance to the MENA countries, particularly under the European Neighbourhood Policy (ENP), has in the past too often adopted the same indiscriminate strategic approach, failing to distinguish sufficiently between the specific situations in the countries concerned and failing to identify civil society partners needing support and capacity-building assistance; whereas the attempts at democratisation that were made following the ‘Arab Spring’ uprisings need to be actively supported on the basis of an organised, long-term approach;

K.

whereas the upheavals in the MENA region have an impact on the EU’s capacity to promote its political and democratic values; whereas such upheavals affect the development of the economic relations of the EU with the countries in question and could jeopardise the EU's energy security;

L.

whereas having been forced to take emergency measures in response to successive crises that it failed to anticipate in the MENA region despite some signals, the EU has been unable to analyse the key elements or deal with the complexity of the situation, expectations and prospects created by the Arab uprisings of 2011; whereas, above all, the EU has failed to respond to the need for a very long-term strategy to sustain and assist genuine democratic transition, economic development and political stability; whereas, acting on the instructions issued by the European Council of December 2013, the High Representative of the Union for Foreign Affairs and Security Policy (VP/HR) launched a major strategic reflection process; whereas a broad consultation process was launched by the Commission, the European External Action Service (EEAS) for a review of the ENP; whereas the set-up of the EEAS provides the possibility of a country-by-country political and strategic analysis which should be a key factor in planning of assistance to the countries of the region, including in the framework of the ENP;

M.

whereas the EU, if it is to exert a positive influence on the MENA countries, must be able to do more than just hold out the prospect of economic cooperation, in particular by offering a large-scale political and strategic partnership;

N.

whereas the attacks which occurred between 26 June 2015 and 30 June 2015 in Tunisia, Kuwait and Yemen, for which Da’esh/ISIL has claimed responsibility, killed 92 people and wounded several hundred others; whereas those attacks emphasise once again the need to address efficiently the security challenges and the lack of political stability in the region;

Addressing the threats and the security situation

1.

Calls on the EU and its Member States to address the root causes of the rapidly deteriorating situation across the MENA region through a holistic and ambitious approach; supports the international campaign against ISIL/Da’esh and welcomes the commitment of the coalition partners to working together under a common strategy; welcomes, in particular, the action taken by the EU Member States participating in the international coalition against ISIS, whether in the form of military strikes or through logistical, financial and humanitarian participation; calls, however, for increased mobilisation in all spheres and emphasises the need for better-articulated actions; notes that these actions could usefully be coordinated under the auspices of the EU, if necessary as part of a Common Security and Defence (CSDP) operation, and to this end calls on the EU to develop sufficient operational capacity and to put in place a true common European defence; stresses, however, that a tailored response must be found, based on political and cross-regional differences, to the issue of combating ISIL/Da’esh, the al-Nusra Front and other terrorist groups; calls on the EU to take on the role of main facilitator of a regional dialogue involving all regional stakeholders, in particular the LAS, Saudi Arabia, Egypt, Turkey and Iran; recalls the importance of addressing the legitimate demands of local populations, notably as expressed during the Arab uprisings of 2011, with a view to ensuring the long-term stability of the region; notes the recent announcement by the LAS of the formation of a standing rapid-response unit, with a particular emphasis on fighting ISIS and other emerging terrorist groups;

2.

Underlines the importance of a constant EU political presence at the highest level to secure a long-term strategic political dialogue and a genuine joint debate with the MENA countries on what they need in order to achieve regional stability; stresses that the European Union will only be an effective player on the international scene if it is able to speak with one voice; calls, therefore, on the EU to speedily put in place a genuine common foreign policy with close coordination between internal and external actions; calls on the VP/HR to work with EU foreign ministers or political figures recognised by regional actors to ensure, under her authority and on behalf of the Union, a constant high-level dialogue with the countries of the region; recalls the need to identify and rely on key partner countries, to ensure political and security stability in the long term;

3.

Stresses the importance and necessity of effective implementation of the following initiatives in the course of 2015: supporting capacity-building projects and activities with MENA countries, countering radicalisation and violent extremism, promoting international cooperation, addressing underlying factors and ongoing crises and strengthening partnership with key countries, including strengthening political dialogue with the LAS, the Organisation of Islamic Cooperation (OIC), the African Union (AU) and other relevant regional coordination structures such as G5 Sahel;

4.

Insists on the fact that the stability and security of the MENA region are fundamental to the security of the EU; recalls that ISIL/Da’esh and other terrorist organisations have had their roots in Iraq and Syria for many years, and aim to establish a regional influence; notes that the group’s victories are the result of institutional, democratic and security crises in these countries and the porosity of their common border; stresses that the recruitment capacity and expansion of ISIL/Da’esh and the al-Nusra Front are fuelled by the economic, political, social and cultural crisis afflicting the region; calls on the EU, together with the Arab world, to assess the root causes of radicalisation and adopt a global approach based on security, capacity for democratic governance, and political, economic, social and cultural development, whereby inclusivity should be a guiding principle; believes that, unless a practical, sustainable solution is found to these problems, any action to neutralise the threat posed by ISIL/Da’esh and other terrorist groups will encounter increased and persistent difficulties;

5.

Notes the allocation of EUR one billion under the EU strategy entitled ‘Elements of an EU Regional Strategy for Syria and Iraq as well as the ISIL/Da'esh threat’, under which EUR 400 million have been earmarked for humanitarian aid; welcomes the attempts to tailor EU humanitarian assistance to gender- and age-specific needs; calls for special attention to be given to Jordan and Lebanon, which are absorbing the biggest share of refugees in proportion to their population; stresses the importance of these two countries facilitating refugees' safe passage into their territories and respecting the principle of non-refoulement; also recalls the consequences of the refugee crisis for the Kurdistan Regional Government of Iraq (KRG); is concerned that, as a result of extreme poverty and deprivation, refugee camps may become a hotbed of radicalisation; believes that they constitute, in the long term, destabilising factors for their host countries, and therefore asks that long-term solutions be found that will help both the refugees and their host countries; calls on the EU to work with other partners, namely the UNHCR and UNICEF, to address persisting problems in refugee and IDPs camps in Iraq, Jordan, Lebanon and Turkey, especially in relation to lack of schooling for young people and children; welcomes the funds for host populations under the new strategy and under the Instrument contributing to Stability and Peace (IcSP); calls on all EU Member States to increase their commitments in relation to the refugee crisis in terms of financial resources and resettlement of the most vulnerable refugees;

6.

Notes the continuous increase in asylum applications from Syria and Iraq and calls on the EU Member States to step up their efforts in hosting asylum seekers and in swiftly addressing the build-up of pending cases;

7.

Welcomes the involvement of some countries of the MENA region in the international coalition against ISIL/Da'esh; urges their governments and the international community to redouble their efforts to prevent the financing of international terrorism and wars in Syria and Libya; reiterates its call on all countries of the region to prevent individuals and private and public entities from funding or facilitating funding of terrorist organisations or Syrian individuals or companies affiliated to the Syrian Government currently under EU sanctions, which must be sufficiently severe; calls for their participation in schemes for regional cooperation in monitoring capital movements, establishing collaboration between the Gulf Cooperation Council (GCC), the LAS, the OIC and the EU institutions; stresses the urgent need to introduce an efficient system of penalties coordinated with the LAS, OIC and GCC so as to put an end to ISIL/Da’esh financing by international actors and commercialisation of illegally produced oil by the terrorist organisation; stresses also, in this regard, the urgent need for increased cooperation between customs authorities at the border of Turkey, Iraq and Syria to prevent ISIL/Da’esh from selling illegal oil;

8.

Stresses the importance of long-term strategic dialogue with the LAS, OIC and GCC; welcomes, in this regard, the declaration adopted in Athens on 11 June 2014 and the memorandum of understanding of January 2015, and calls for their full implementation; stresses the crucial importance of the organisation of frequent summits between the EU and LAS, OIC and GCC; stresses the central role to be played by the LAS in terms of crisis resolution; believes that these crises highlight the need for the LAS to be transformed by its members into a fully-fledged executive body genuinely capable of taking binding decisions; notes the strategic cooperation between the European Union and the GCC; stresses that the GCC could exert a positive political influence in the management of crises and conflicts in the MENA countries;

9.

Stresses equally the importance of regional dialogues with Turkey and Iran; welcomes the recent agreement reached by the EU3+3 and Iran on the latter's nuclear programme, and hopes to see it translated into a final comprehensive agreement by the agreed deadline; calls on the VP/HR and the Member States, in the event of a final agreement on the nuclear issue, to hold in-depth consultations with Iran and to ensure, at the same time, its commitment to non-proliferation until confirmation by the relevant international bodies, including the IAEA; to this end, urges the EU to actively engage in promoting confidence-building measures between Iran and Saudi Arabia; stresses the need to step up the counter-terrorism cooperation with Turkey; insists on the major role Turkey can play, as a member of NATO, in the fight against ISIL/Da’esh and in stabilising Iraq and Syria; calls on Turkey to clear away certain ambiguities and to play its full role as a stabilising force in the region by effectively controlling its border with Syria and by playing a more active part in combating Da’esh/ISIL in cooperation with the EU;

10.

Calls on countries in the region to refrain from exporting terrorism and arms into neighbouring countries as this could further destabilise the situation there;

11.

Recalls the need to put in place the conditions for a resumption of peace talks between Israel and the Palestinian Authority for a definitive settlement of the conflict based on a solution enabling both countries to live side by side in peace and security, based on the 1967 borders and with Jerusalem as capital of both states in accordance with international law; expresses again its deep concern over the rapidly deteriorating humanitarian situation in the Gaza Strip; is gravely concerned about the Israeli settlements policy in the West Bank; is deeply concerned by the stalemate in the dialogue and the mounting tensions between Israelis and Palestinians; calls for serious and credible efforts by both sides, the EU and the international community in achieving this; welcomes and supports High Representative Mogherini's determination for the EU to step up its engagement in the Middle East Peace Process and assert itself as a facilitator; urges all parties to refrain from any action that would worsen the situation in the form of incitement, provocation, excessive use of force or retaliation; reiterates its full support for the 2002 Arab peace initiative and calls on the LAS countries and Israel to put it into effect; stresses that any debate on resuming the peace process and on administrative and political control of the Gaza Strip by the Palestinian Authority would gain greatly by including the LAS; stresses the crucial role played by Egypt in bringing about the final ceasefire in the conflict between Hamas and Israel in summer 2014; calls on international donors to honour the commitments made by them at the Cairo Conference of October 2014;

12.

Expresses full support for concrete actions to be enacted by the EU in the framework of a strong CSDP to promote stability and security in the MENA countries; deplores the fact that CSDP missions and operations deployed in the region (EUBAM Libya, EUPOL COPPS and EUBAM Rafah) are too small and out of step with the security challenges in the region, and calls for a strategic reassessment of these deployments; points out that the EU, in the framework of this commitment to human rights and the rule of law, could play a major role in providing specific assistance and training in specific skills in the field of criminal justice reform, SSR and DDR, border surveillance, the fight again terrorism and radicalisation, and prevention of trafficking in arms, drugs and human beings; calls for a particular focus to be put on Libya; stresses the importance of dialogue and cooperation with the LAS and the AU so that partner countries can develop skills and have the necessary military and human resources to combat extremism;

13.

Firmly opposes the use of drones in extrajudicial and extraterritorial killings of terror suspects, and demands a ban on the use of drones for this purpose;

14.

Calls on the authorities in the EU Member States and in the countries of the Middle East and North Africa to uphold the ban on torture as enshrined in particular in the UN Convention against Torture and Other Cruel, Inhuman or Degrading Treatment or Punishment, which most of them have signed and ratified; reiterates that confessions obtained under torture are invalid, and condemns that practice;

15.

Is particularly concerned that the various political crises in the region have reduced the intelligence capacity of the Member States; recalls the crucial importance of promoting improved cooperation between the EU Member States and the MENA countries in combating terrorism within a human rights and international law framework; calls for systematic and effective cooperation between these countries and with Europol and Interpol, to help them develop the necessary structures and resources in the field of anti-terrorism, counter-terrorism and organised crime, including human trafficking, by implementing integrated defence systems designed chiefly to protect the human rights of each individual involved, provided adequate human rights safeguards are in place; highlights the 5+5 dialogue, which supplements the action of the Union for the Mediterranean (UfM) and enables work on security cooperation; underlines the need to overcome the persisting shortcomings in cooperation with foreign fighters’ countries of origin, transit and destination; calls on the EU Member States to pool their resources, enhance the existing mechanisms (Frontex, Eurosur) and establish a European PNR in order to improve controls at the EU’s external borders; stresses that the active collaboration between foreign and home affairs ministers should be strengthened, particularly concerning judicial and police cooperation and information-sharing;

16.

Stresses the urgent need for a political solution to the conflict in Syria; maintains that a sustainable solution requires an inclusive Syrian-led political process leading to a transition, based on the Geneva Communiqué of 30 June 2012 and in line with relevant UNSC Resolutions in order to maintain the country’s unity, sovereignty and territorial integrity; welcomes the Syrian National Coalition’s effort in broadening its membership and engaging with other opposition groups, including through recent engagement with the National Coordination Committee to set out the opposition’s vision for political transition; supports the efforts of UN special envoy Staffan de Mistura to end the armed conflicts and re-launch the political dialogue; stresses the importance to safeguard and support the democratic Syrian opposition; recalls the necessity of accountability for the crimes against humanity, war crimes and gross human rights violations perpetrated by Bashar Al-Assad’s regime during the conflict;

17.

Calls for any initiative to end the fighting in Syria to take into account the requirements of international humanitarian law and international human rights law, the latter being applicable during wartime and peacetime, as well as of international criminal law; calls on the European Union to increase pressure on the Assad regime to comply with UN Security Council Resolutions 2139 (2014), 2165 (2014) and 2191 (2014) and to step up its efforts to channel humanitarian aid, including in areas controlled by the Syrian moderate opposition and to assist in their capacity building; welcomes the pledges made during the Kuwait III conference, and calls on the EU and other international donors to fulfil their financial commitments in response to the Syria crisis; supports the Commission’s recommendation to encourage restoration of the administration and public services in the devastated regions of Syria, and calls urgently for help to be provided for the reconstruction of Kobane;

18.

Expresses its deep concern over Syria's deteriorating humanitarian situation four years on; notes that humanitarian access has been decreasing as a consequence of deliberate obstruction of aid which must be halted immediately; notes with grave concern that the number of people living in areas that are difficult or impossible for aid agencies to reach has almost doubled over the past two years;

19.

Points out that war rape against women and girls has been documented, notably in Syria, Iraq, and territories controlled by Da’esh; urges that female victims of rape in the context of armed conflict be offered the full range of sexual and reproductive health services, including abortion, in EU-funded humanitarian facilities, in accordance with international humanitarian law, UN Security Council resolutions, and the common Article 3 of the Geneva Conventions, guaranteeing all necessary medical care required by the wounded and sick without any adverse distinction;

20.

Stresses the need for the Iraqi Government to promote the sharing of political responsibilities, power and oil profits in an inclusive manner, which should encompass all religious and ethnic communities in that country and, specifically, the Sunni minorities; calls for this to be made an essential condition for implementation of the Partnership and Cooperation Agreement between the EU and Iraq; calls on the Iraqi Government to provide protection for ethnic and religious minorities without delay, to prevent Shia militias from exercising violence against Sunni minorities and to provide refugees who have fled ISIS terror with safe havens and essential aid; notes the agreement reached by the Government of Iraq and the Kurdistan Regional Government of Iraq (KRG) and urges its full implementation, and calls on Iraq to fully respect the financial entitlements of the KRG, as provided for in the constitution; stresses the importance, and encourages further enhancement, of cooperation between Baghdad and Erbil, for the security and economic prosperity of Iraq and the region; calls on the EU to contribute to the political, administrative and military capacity building of the Iraqi Government in particular in order to address the challenges posed by the social and economic crisis and the insufficient protection of human rights;

21.

Is convinced that in order to achieve long-lasting security in regions that have already been freed from ISIS or other terrorist groups, it is necessary to further stabilise those areas; points out that this can happen by means of providing humanitarian aid, de-mining programmes and policing;

22.

Strongly condemns the attack on the Bardo Museum in Tunis on 18 March 2015, for which the Islamic State has claimed responsibility; is concerned about the enrolment capacity of terrorist networks in a country run by a national unity government involving the moderate Islamic party Ennahda; is also concerned about Tunisia's porous borders with Libya, which are used notably for drug and arms trafficking, and welcomes the latest cooperation between Tunisia and the EU and its Member States in this regard; remains worried by the huge influx of Libyan refugees into Tunisia, which is putting great pressure on the country’s stability, and welcomes their reception by Tunisia, which now has more than a million Libyan refugees; stresses the importance for the EU and for Tunisia of pursuing and strengthening their security cooperation, in particular by establishing joint security programmes; considers that it is vital for the Tunisian issue to be given more support, by making specific commitments including from an economic and investment point of view, in order to support the fragile democratic transition, mindful that it is in the interest of the entire region and of the EU that the Tunisian experiment succeeds; urges the Commission to underline the importance of democratisation and to send a symbolic message after the Arab uprisings by organising an EU-MENA summit in Tunis;

23.

Expresses its deep concern at the deteriorating security and humanitarian situation in Libya; is deeply worried by the expansion of terrorist groups in the country, especially ISIL/Da’esh, which are taking advantage of the political vacuum and the escalation of violence; underlines the importance of urgent measures to limit and eradicate the influence of terrorist organisations on Libyan territory; is alarmed by the particularly serious situation in the south of the country, as it is used as a platform for organised crime and armed groups; stresses the need to maintain Libya’s territorial integrity and national unity, which can only be realised through a policy that includes all well-identified actors; reaffirms its support for the UN-led talks conducted by the SRSG Bernardino Léon in seeking a negotiated solution that will lead to the formation of a Libyan unity government; welcomes the efforts made by Algeria and Morocco to foster the intra-Libyan dialogue; underlines that the EU has already expressed its readiness to introduce restrictive measures against spoilers of the dialogue process, in line with UNSCR 2174 (2014); highlights that the EU should be ready to lend support to institutions in Libya as soon as a political solution and a ceasefire are achieved; stresses that the EU should contribute to a DDR and SSR effort in Libya as soon as a unity government is inaugurated and at its request; warns, however, that in the event of a stalemate in the political negotiations and an increase in the armed conflict, the EU must stand ready to contribute to any UNSC-mandated peacekeeping intervention;

24.

Expresses its concern at the deterioration of the security situation in Yemen; stresses that the political crisis has turned into a security and humanitarian crisis, which is destabilising the entire Arabian peninsula and, beyond that, all of the MENA countries; supports the UN in its efforts to resume negotiations; stresses that only a broad political consensus through peaceful negotiations amongst the main political groups, in an atmosphere free of fear, can provide a sustainable solution to the current crisis and preserve the unity and territorial integrity of the country; calls on the EU and the Member States to take practical measures to help civilians and to end the crisis;

25.

Strongly condemns attacks on the civilian infrastructure and population in Yemen that have resulted in a high number of casualties and seriously worsened the already dire humanitarian situation; calls on the EU, together with international and regional actors, to mediate an immediate ceasefire and end of violence targeting civilians; calls on additional funds in coordination with other international donors to be made available to prevent a humanitarian crisis and provide essential aid to those in need;

26.

Urges the Commission to address structurally, together with the countries in the MENA region, the problem of young people leaving the EU to fight on the side of ISIS/Da’esh and other terrorist organisations in Syria and Iraq; calls on the Member States to take appropriate measures to prevent fighters from travelling from their territory, in line with UN Security Council resolution 2170 (2014), and to develop a common strategy for security services and EU agencies with regard to monitoring and controlling jihadists; calls for cooperation in the EU and at international level with a view to appropriate legal action against any individual suspected of being involved in acts of terrorism and with a view to other preventive measures aiming to detect and stop radicalisation; calls on the Member States to intensify cooperation and the exchange of information among themselves and with EU bodies;

27.

Stresses the importance that, in its fight against terrorism, the Government of Egypt respects basic human rights and political freedoms, halts the systematic arrest of peaceful protestors and activists and upholds the right to a fair trial; notes that it would welcome a ban on the death penalty that could benefit those members of political and social organisations that have been recently condemned;

28.

Welcomes the preliminary agreement on the Nile river's flow reached between Egypt, Sudan and Ethiopia on 23 March 2015; Emphasises that a jointly agreed use of the waters of the Nile river is fundamental to the security of all the countries involved; Stresses that the EU should be ready to facilitate further dialogue between all parties if deemed helpful to negotiations;

Stepping up the global strategy for democracy and human rights

29.

Is convinced that the lack of democracy is one of the fundamental causes of political instability in the region and that respect for human rights and basic democratic principles is the strongest safeguard in the long term against chronic instability in the countries of the MENA region; calls on the EU and its Member States not to view the MENA region through the lens of short-term security threats only and to provide active and sustainable support to the democratic aspirations of societies in the region; highlights the need for balanced action to be taken, in the framework of a holistic and ambitious approach for democracy, to couple the security policy with that on human rights, which is one of the EU’s priorities; stresses the importance of enhancing long-term stability in the MENA region through continuing EU support to civil society, notably though the European Instrument for Democracy and Human Rights (EIDHR) and the ENI Civil Society Facility, as well as through new pro-democracy tools such as the European Endowment for Democracy (EED); calls on the Member States, in a spirit of solidarity and commitment, to provide the Endowment's budget with sufficient funding to ensure the most flexible and effective support for local actors of democratic change in the region; calls on the EEAS to redouble its efforts to spread and explain European values, in particular through its regular contacts with the authorities and, at the same time, with representatives of civil societies;

30.

Welcomes the launch by the VP/HR and the Commission of a broad consultation on ENP revision; calls on the Commission, the EEAS, the Council and the Member States to develop a more effective and innovative political and strategic ENP dimension; welcomes the meeting of the EU and Southern Mediterranean countries' Foreign Affairs Ministers; recalls that this meeting was the first time for seven years that the Foreign Ministers had come together; believes that Ministers should meet annually; calls on the EEAS and the Commission to continue to encourage democratic reforms and support democratic actors within the MENA region, notably the EU’s neighbouring countries; stresses the importance of preserving the current balance of distribution of funds for the allocation of ENP funding; recalls that countries that are making progress in implementing reforms and following European policy should be granted decisive additional support, with particular attention to Tunisia, and stresses the need to foster women rights;

31.

Calls on the EU and its Member States to set up a special programme for the support and rehabilitation of women and girls who are victims of sexual violence and slavery in conflict areas in the MENA region, especially Syria and Iraq; calls for the governments of the countries of the MENA region, the UN, the EU and the NGOs concerned to take into account the particular vulnerability of refugee women and girls, especially those who are isolated from their families, to provide them with appropriate protection and to step up their efforts to assist survivors of sexual violence, while introducing social policies that enable them to reintegrate into society; calls on the parties to the armed conflicts to respect the provisions of UN Security Council Resolution 1325 (2000), to take measures to protect women and girls, in particular from sexual abuse, smuggling and the sex trade, and to fight against the impunity of perpetrators; urges the governments of the countries of the MENA region to sign and ratify the Istanbul Convention, which is a powerful instrument for comprehensively tackling violence against women and girls, including domestic violence and female genital mutilation (FGM);

32.

Underlines the opportunity that negotiations on Association Agreements provide to boost reforms; stresses that all the dimensions should be linked in order for the EU to deepen its relationship in a comprehensive and coherent manner; stresses the need to include real and tangible incentives for partners in these agreements in order to make the path of reform more attractive, effective and discernible to civilian populations;

33.

Emphasises that the EU and the MENA countries need to work more closely together on a basis of mutually acceptable objectives based on common interests; stresses the advantages of coordinating EU aid to the MENA countries with that of other international donors; calls on the Commission to recommend improvements in this respect and stresses the need to coordinate emergency aid with long-term development assistance;

34.

Strongly believes that the development of local democracy and effective local governance is crucial to the stabilisation of MENA countries, and therefore calls for institutionalisation and capacity development of associations of local and regional authorities in MENA countries;

35.

Condemns the continued violations of the right to freedom of religion or belief in the region and reiterates the importance the EU gives to this issue; restates once again that freedom of thought, conscience and religion is a fundamental human right; stresses, therefore, the need to effectively combat all forms of discrimination against religious minorities; calls on the governments of the MENA countries to defend religious pluralism; calls on the European Union to step up its efforts in advocating for active protection of religious minorities and providing safe havens; welcomes the adoption during the 2013 reporting year of the EU Guidelines on the Promotion and Protection of Freedom of Religion or Belief, and calls on the EU institutions and the Member States to pay particular attention to the implementation of these guidelines, both in international and regional forums and in bilateral relations with third countries; encourages the VP/HR and the EEAS to engage in a permanent dialogue with NGOs, religious or belief groups and religious leaders;

36.

Is convinced that cultural cooperation and diplomacy, as well as academic cooperation and religious dialogue, are essential in order to combat terrorism and all forms of radicalism; emphasises that education and the development of minds capable of critical thinking also constitute a bastion against radicalisation for both Europe and the MENA region, and calls therefore on the EU and its Member States to support the investment needed in this regard; stresses the utmost importance of promoting cultural and academic exchanges, including with representatives of Islam in MENA countries and with Islamic communities in Europe; urges partner countries to participate in EU cultural programmes; calls on the Commission to act on the European Parliament’s proposal for the creation of an ambitious Euro-Mediterranean Erasmus programme distinct from the Erasmus+ programme; invites the Commission to pay particular attention, in the immediate term, to the Erasmus+ programmes drawn up for the southern Mediterranean; encourages exchange programmes to also include participants from MENA countries that are not members of the ENP;

37.

Stresses the need to develop an effective common European response by all Member States to jihadist propaganda and to home-grown radicalisation, taking into account the use of digital tools, the internet and social networks and involving Europe's local authorities, and working with communities of European citizens who have strong cultural ties with MENA countries; considers that this counter-narrative should be based on the promotion of common values founded on the universality of human rights and should discredit the idea of a conflict between religions or civilisations; calls for the appointment in the EEAS of staff speaking the languages of the MENA region to increase the effectiveness of communication; underlines the need to send a positive message accompanied by specific examples regarding relations between the European Union and the MENA countries and cooperation between them; stresses the need to raise the profile of the European Union and its Member States in the region;

38.

Emphasises the potential for cultural and interreligious dialogue offered by the ENP; stresses the connection between, on the one hand, exchange and cooperation between the EU and the ENP countries in the fields of culture and education and, on the other hand, the building and strengthening of an open civil society, democracy, the rule of law and the promotion of fundamental freedoms and human rights;

39.

Stresses the importance of developing direct dialogue with civil societies in the MENA countries in order to understand their expectations more clearly; stresses its support for the consultation and enhancement of civil society organisations and new generations within the ENP framework; emphasises in particular the importance of involving the young people of these countries in a dialogue based on a frank and direct relationship, on equal terms; recalls the importance of election observation missions, and urges the European Parliament and EEAS to send such missions to all countries in the region, at the invitation of the governments of those countries, when the prospects for genuine democratic elections are real and to ensure that such missions do not end up legitimising manipulated orchestration; asks for regular follow-up of the recommendations made by these missions;

40.

Stresses the need to highlight the central role of the UfM, which, as a unique forum for dialogue on partnership between the European Union and all the countries in the Mediterranean region, needs to become a driving force for investment in the region's sustainable socioeconomic development; points out that the UfM should itself be able to raise the necessary funds for these projects; endorses the direction being taken by ministerial meetings; calls for wider dissemination of resulting programmes and actions, including joint election observation missions and joint assessment missions, and for greater cooperation with the European Union; reiterates the importance of revitalising the Euro-Mediterranean Parliamentary Assembly and reviving its political ambition, with a view to addressing the challenges posed by the security and stability of the Mediterranean area in a manner that is genuinely acceptable to both sides;

41.

Expresses deep concern about the human rights violations, especially against vulnerable groups, in the MENA countries facing conflicts; considers children to be one of the most vulnerable groups and therefore reiterates the need to step up efforts to implement the revised implementation strategy for the EU Guidelines on Children and Armed Conflict; encourages the EU to further deepen its cooperation with the UN Special Representative for Children affected by Armed Conflicts, supporting the associated action plans and monitoring and reporting mechanisms;

Strengthening cooperation for economic development

42.

Notes that the MENA region is affected particularly by poverty and inequalities; is convinced that economic and social development, combined with greater democracy and justice, is what is needed for political stability to become a fact; is worried by the situation of young people and believes it essential that they have decent and legitimate prospects for their future; stresses the fundamental importance of the fight against corruption in MENA countries, not only to attract European investments and to allow for sustainable economic development, but also to tackle security challenges; underlines the established relationship between transparency, the rule of law and counter-terrorism, which all need to be addressed together; calls on the EEAS, the Commission and the Member States to increase their cooperation in the field of the fight against corruption in MENA countries, which should be a priority in the fight against terrorism;

43.

Takes the view that strategic dialogue between the EU and the MENA countries should be given further impetus in the direction of sustainable economic development, helping to iron out inequalities and creating job and education opportunities, mainly for young people; stresses the importance of facilitating access to the EU single market for the MENA countries, while providing all necessary protection; stresses the importance of encouraging European investments in MENA countries, including energy and infrastructure projects, with the strategic objective of fostering sustainable development and democratic accountability;

44.

Recalls that 2015 is the European Year for Development, which aims to inspire more Europeans to get involved in the eradication of poverty worldwide, and which coincides with the international community's plans to agree on a set of Sustainable Development Goals; calls on public authorities at all levels of government in MENA countries to make the achievement of these goals a priority;

45.

Stresses that enhanced dialogue on energy-related issues in the Mediterranean could help spur regional cooperation, promote regional stability and ensure environmental integrity; suggests, therefore, that the EU engage more strongly in energy diplomacy in the MENA region, as outlined in the Energy Union; stresses that supplying energy to countries in the EU's southern neighbourhood is important both strategically and in economic terms; welcomes the setting up of the Euro-Mediterranean gas platform and affirms that Euro-Mediterranean interconnections in the gas and electricity sectors need to be encouraged;

46.

Supports the funding of academic and vocational training to create wide reserves of professional skills in the MENA countries; notes that EU vocational training circular mobility programme should be extended as far as possible to all MENA countries, by means of flexible and evolving tools such as mobility partnerships;

47.

Calls on the EU to affirm its involvement in all stages of the economic development of the states in the region, assisted by all the tools placed at its disposal; recalls that these tools range from humanitarian aid to full and deep free trade agreements and enable it to cover a process that goes from exiting the crisis to the establishment of stable institutions;

48.

Regrets that a minimum one-year period is necessary for the release of macro-financial assistance to countries in a very precarious financial situation; urges the EU to mobilise or redirect funding very promptly; urges the deployment of a new procedural dimension for EU aid, both in regard to aid through EU external action financial instruments and at macro-financial assistance level; underlines in the context of macro-financial assistance the need for the EU to adequately assess the socio-economic and human rights impact of the measures requested from beneficiary countries in order to ensure that such assistance does not constitute a factor of instability, for example by undermining welfare services; calls on Arab donors to coordinate aid within the LAS and the GCC and, as far as possible, together with the EU;

49.

Calls on the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD) to coordinate their investment strategies with the Union for the Mediterranean so as to create positive synergies;

50.

Calls on the EU to develop partnerships with countries in the region that are not direct neighbours; supports the conclusion of a convention to establish a free-trade area between the EU and GCC in so far as a mutually profitable agreement can be found which would offer the EU a greater presence and a further lever in the region, notably through the resumption of negotiations for a new joint action programme; recalls that an agreement of this kind between the GCC and EFTA came into force on 1 July 2014;

51.

Encourages the EU to pursue discussions on the launch of negotiations on full and deep free trade agreements with certain countries in the region, in accordance with the commitments made by the European Union following the Deauville Partnership; reiterates that the development of trade relations forms part of the EU's external policy and contributes to achieving the goals of peace, prosperity and stability;

52.

Stresses that regional integration of the MENA countries would enable political links to be strengthened and would further trade and development; calls on the MENA countries to diversify their economies and imports; notes that the great majority of the MENA countries’ trade is with non-MENA countries; regrets the deadlock faced by the EU with regard to the Arab Maghreb Union (AMU); calls on the EU to make every effort, at the diplomatic, political and financial level, to assist with the regional integration of the Maghreb countries under the AMU or the geographically broader Agadir agreements;

53.

Welcomes the support of the Foreign Affairs Council for the Southern Mediterranean Investment Coordination Initiative (AMICI); stresses the importance of initiatives that further consistency and efficiency in the European Union's external action;

54.

Supports further cooperation in the transport sector, including by linking the infrastructure network of the European Union and partner countries more tightly in order to facilitate the movement of people and goods;

o

o o

55.

Instructs its President to forward this resolution to the Council, the Commission, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, the European Committee of the Regions, the governments and parliaments of all the EU Member States, the Secretaries-General of the League of Arab States and the Union for the Mediterranean and the governments and parliaments of their member countries.


(1)  Texts adopted, P7_TA(2013)0023.

(2)  OJ C 247 E, 17.8.2012, p. 1.

(3)  OJ C 199 E, 7.7.2012, p. 163.

(4)  OJ C 168 E, 14.6.2013, p. 26.

(5)  OJ C 261 E, 10.9.2013, p. 21.

(6)  Texts adopted, P7_TA(2014)0207.

(7)  Texts adopted, P8_TA(2014)0027.

(8)  Texts adopted, P8_TA(2015)0010.

(9)  Texts adopted, P8_TA(2015)0040.

(10)  Texts adopted, P8_TA(2015)0077.

(11)  Texts adopted, P8_TA(2015)0071.


11.8.2017   

EN

Official Journal of the European Union

C 265/110


P8_TA(2015)0272

Review of the European neighbourhood policy

European Parliament resolution of 9 July 2015 on the review of the European Neighbourhood Policy (2015/2002(INI))

(2017/C 265/13)

The European Parliament,

having regard to Articles 2, 3(5), 8, and 21 of the Treaty on European Union,

having regard to the joint consultation paper from the Commission and the Vice-President/High Representative entitled ‘Towards a new European Neighbourhood Policy’, published on 4 March 2015 (1),

having regard to the joint communications by the Commission and Vice-President/High Representative entitled ‘A partnership for democracy and shared prosperity with the Southern Mediterranean’ (COM(2011)0200) (2), published on 8 March 2011, and ‘A new response to a changing neighbourhood’ (COM(2011)0303) (3), published on 25 May 2011,

having regard to the communication from the Commission to the Council and the European Parliament of 11 March 2003 entitled ‘Wider Europe — neighbourhood: a new framework for relations with our Eastern and Southern neighbours’ (COM(2003)0104) (4),

having regard to the Council conclusions of 18 February 2008 on the European Neighbourhood Policy (5) and of 20 April 2015 on the review of the European Neighbourhood Policy,

having regard to the Guidelines to promote and protect the enjoyment of all human rights by lesbian, gay, bisexual, transgender and intersex (LGBTI) persons, adopted by the Foreign Affairs Council of 24 June 2013,

having regard to its previous resolutions on the European Neighbourhood Policy, namely those of 20 November 2003 on relations with our neighbours to the east and south (6), of 20 April 2004 on ‘Wider Europe — new neighbourhood policy’ (7), of 19 January 2006 on the European Neighbourhood Policy (8), of 15 November 2007 on strengthening the European Neighbourhood Policy (9), of 7 April 2011 on the review of the European Neighbourhood Policy — Eastern dimension (10), of 7 April 2011 on the review of the European Neighbourhood Policy — Southern dimension (11), of 14 December 2011 on the review of the European Neighbourhood Policy (12), of 23 October 2013 on ‘The European Neighbourhood Policy: towards a strengthening of the partnership: EP’s position on the 2012 reports’ (13), and of 12 March 2014 on assessing and setting priorities for EU relations with the Eastern Partnership countries (14),

having regard to the Riga Declaration of the EU Eastern Partnership Summit of 22 May 2015,

having regard to the report of the High Level Reflection Group on the Energy Community for the Future,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Foreign Affairs (A8-0194/2015),

A.

whereas the European Neighbourhood Policy (ENP) was created to deepen relations, enhance cooperation and strengthen the EU’s partnerships with neighbouring countries in order to develop an area of shared stability, security and prosperity as underlined in Article 8 TEU; whereas the objective remains the same;

B.

whereas the neighbourhood is currently in a state of flux due to the increasing number of long-standing and newly emerging security challenges, and is less stable, considerably less secure and facing a more profound economic crisis than when the ENP was launched;

C.

whereas the revised policy should be based on mutual accountability and shared commitment to EU values and principles, including democracy, the rule of law, human rights and efficient, accountable and transparent public institutions, and whereas these are in the interest of neighbouring societies as much as of our own in terms of stability, security and prosperity; whereas, despite the complexities and challenges in practice, the EU must remain steadfastly in support of transition processes in all and any countries and democratisation, respect for human rights and the rule of law;

D.

whereas large parts of the neighbourhood continue to be affected by armed or frozen conflicts and crises; whereas partner countries must strive for a peaceful solution to existing conflicts; whereas the existence of conflicts, including frozen or protracted ones, hampers economic, social and political transformation as well as regional cooperation, stability and security; whereas the EU should play a more active role in the peaceful resolution of the existing conflicts;

E.

whereas these conflicts are undermining the development of a genuine and effective multilateral dimension of the ENP; whereas peace and stability are fundamental elements of the ENP; whereas partner countries must abide by these principles;

F.

whereas the EU firmly condemns all forms of human rights violations, including violence against women and girls, rape, slavery, honour crimes, forced marriages, child labour and female genital mutilation;

G.

whereas developments in the region since 2004, but in particular in the last few years, have shown the ENP to be unable to respond adequately and promptly to rapidly changing and challenging circumstances;

H.

whereas the ENP remains a strategic priority of the EU’s foreign policy; whereas the review of the ENP must be conducted with the objective of strengthening it and in the spirit of sustaining progress towards a comprehensive and effective EU Common Foreign and Security Policy as a whole;

I.

whereas the Commission and the EEAS, together with the Council and Parliament, have tried to reshape the ENP so as to address its flaws and adapt it to changed national and international circumstances, in particular following the Arab Spring; whereas this was reflected in the new financing instrument for the ENP for 2014-2020, the European Neighbourhood Instrument (ENI); whereas the current challenges posed by the crisis in eastern Ukraine, the occupation of Crimea and Da’esh should be taken into account in the review of the ENP;

J.

whereas insecurity, instability and unfavourable socio-economic conditions in the neighbourhood countries can have negative impacts and reverse past democratic trends;

K.

whereas since the introduction of the new approach in 2011, political developments in the neighbourhood have demonstrated that the EU needs to further rethink relations with its neighbours, taking into account the different external and internal realities; whereas the EU needs to address new challenges in its neighbourhood and adjust its strategy by examining its interests and priorities and assessing its policy tools, incentives and available resources and their attractiveness to its partners;

L.

whereas the 2011 revision of the ENP stated that the new approach must be based on mutual accountability and a shared commitment to the universal values of human rights, democracy and the rule of law;

M.

whereas the EU should play a more active role in the peaceful resolution of the existing conflicts, notably those of frozen or protracted nature, which currently represent an insurmountable obstacle to the full development of the ENP both in the East and in the South, hindering good neighbourly relations and regional cooperation;

N.

whereas the ENP includes different ‘neighbourhoods’, encompassing countries with different interests, ambitions and capabilities;

O.

whereas a differentiated approach and a tailor-made policy are needed, especially as the EU neighbourhood has become more fragmented than ever, with the countries differing in many respects, including in their ambitions and expectations as regards the EU, the challenges they face and their external environment; whereas the EU’s bilateral relations with ENP countries are at different stages of development; whereas the effective use of the ‘more for more’ principle is of fundamental importance in shaping and differentiating relations with partner countries, and the EU should ‘reward’ countries which demonstrate enhanced cooperation with it and progress in achieving European values, in terms both of resources and of other incentives within the framework of the ENP; whereas the EU‘s neighbours should be able to determine their future free from external pressure;

P.

whereas progress in the resolution of conflicts and controversies between ENP countries should be considered a criterion to be assessed in the annual Progress Reports;

Q.

whereas respect for the territorial integrity of sovereign states is a fundamental principle of relations between countries in the European neighbourhood and the occupation of a territory of one country by another is inadmissible;

R.

whereas the resources available to the EU for its action as a ‘global player’ until 2020 within the multiannual financial framework only amount to 6 % of the total budget and cover all related programmes, including development and cooperation assistance;

S.

whereas the ENP has contributed to the articulation of a single voice of the EU in the neighbourhood as a whole; whereas the Member States should play an important role in the European neighbourhood by aligning their efforts and increasing the EU’s credibility and ability to act by speaking with a single voice;

T.

whereas the consultation process carried out by the Commission and the EEAS should be comprehensive and inclusive so as to ensure that all relevant stakeholders are consulted; whereas the importance of encouraging women‘s rights and gender equality organisations to participate in this consultation process should be stressed; whereas further efforts should be made to enhance the ENP’s visibility and awareness of it in public opinion in the partner countries;

U.

whereas the Eastern and Southern neighbourhoods face different problems and tackling these successfully requires that the ENP be flexible and adaptable in terms of the specific needs and challenges of each region;

1.

Stresses the importance, necessity and timeliness of the review of the ENP; emphasises that the revised ENP should be able to provide a quick, flexible and adequate response to the situation on the ground, while also putting forward an ambitious strategic vision for developing relations with the neighbouring countries in both a bilateral and a multilateral framework, in line with the commitment to promote the core values on which the ENP is based;

2.

Stresses that the ENP is an essential part of the EU's foreign policy and must remain a single policy; considers that it forms a part of the EU’s external action whose potential and uniqueness lie in the vast range of diplomatic, security, defence, economic, trade, development, and humanitarian instruments available to be deployed; maintains that an effective ENP is vital to enhance the EU’s foreign policy credibility and global positioning, and that the ENP must demonstrate the EU‘s real leadership in the neighbourhood and in relations with our global partners;

3.

Believes in the continued value of the ENP’s initially stated objectives of creating an area of prosperity, stability, security, and good neighbourliness, based on the common values and principles of the Union, by providing assistance and incentives for deep structural reforms in the neighbouring countries, carried out under their own responsibility and agreed with them, which will allow for reinforced engagement with the EU; stresses, therefore, the need to take into account lessons learned, go back to basics and bring these objectives back to the top of the agenda;

4.

Underlines the strategic importance of the ENP, as a policy creating multi-layered relations and strong interdependence between the EU and its partners in the neighbourhood; highlights that the fundamental challenge of the ENP lies in delivering tangible and concrete improvements to the citizens of the partner countries; considers that the ENP should become a stronger, more political and more effective policy, also through the reinforcement of its positive elements, including greater focus on partnership with societies, differentiation and the ‘more for more’ approach;

5.

Stresses that respect for the universal fundamental values of human rights, the rule of law, democracy, freedom, equality and respect for human dignity on which the EU is founded must remain at the core of the revised policy, as stated in Article 2 of the association agreements between the EU and third countries; reiterates that strengthening the rule of law and support for democracy and human rights are in the interests of the partner countries, and calls for stronger conditionality regarding respect for these common fundamental values; underlines the role of the EU Special Representative (EUSR) for Human Rights and the European Endowment for Democracy (EED) in this regard;

6.

Stresses that the renewed policy must be more strategic, focused, flexible and coherent, and politically driven; calls on the EU to formulate a clear and ambitious political vision on the ENP, and to pay special attention to its own political priorities in the Eastern and Southern neighbourhoods, taking into account the different challenges facing countries in each region, as well as their differing aspirations and political ambitions; maintains that the Eastern and Mediterranean partnerships are crucially important; calls for special representatives to be appointed for the East and the South, with the task of politically coordinating the revised policy and being engaged in all EU action in the neighbourhood;

7.

Underlines the important role of the Member States, their expertise and their bilateral relations with the ENP countries in shaping a coherent EU policy; stresses the need for proper coordination between the VP/HR, the Commissioner for European Neighbourhood Policy and Enlargement Negotiations, the EU delegations and the EU Special Representatives in order to avoid duplication of efforts; maintains that the EU delegations have a major role to play in implementing the ENP;

8.

Calls on the VP/HR to develop proposals for cooperation with willing European Neighbours based on the model of the European Economic Area, which could constitute a further step in their European perspective, be based on enhanced inclusion in the EU area in terms of freedoms and full integration within the common market, and also include closer cooperation in common foreign and security policy (CFSP);

9.

Urges that short-, medium- and long-term priorities and strategic objectives be defined, bearing in mind that the ENP should aim to create a differentiated approach to promote cooperation in different areas among and with the ENP countries; stresses that in defining its approach the EU should look at its interests and priorities and those of the individual countries concerned, together with their level of development, considering the interests and aspirations of societies, political ambitions and the geopolitical environment;

10.

Emphasises that local ownership, transparency, mutual accountability and inclusiveness should be key aspects of the new approach so as to ensure that the benefits of the ENP reach all levels of community and society in the countries concerned, rather than being concentrated within particular groups;

11.

Emphasises its conviction that, if the partner countries are to be helped to strengthen their own development potential, the political dialogue which currently characterises the ENP must give way to a broader social, economic and cultural dialogue which embraces all facets of the political, social, ethnic and cultural diversity of the partner countries; stresses the value of the progress achieved through territorial cooperation with the direct involvement of local authorities;

12.

Regrets the limited resources allocated to the EU’s cooperation with its partners within its neighbourhood, notably in comparison with the significantly higher levels of resources invested in ENP countries by stakeholders from third countries; notes that this undermines the EU’s ability to promote and implement policies that are in line with its strategic interests in its neighbourhood; stresses the need to streamline support and increase funds in order to effectively reward and support partner countries which are genuinely committed to and make tangible progress towards achieving reforms, democratisation and respect for human rights;

13.

Emphasises the need to strengthen accountability and transparency mechanisms in the partner countries in order to ensure that they have the capacity to absorb and spend the funds in an efficient and meaningful way; calls on the Commission, therefore, to ensure efficient mechanisms of monitoring and oversight of spending of EU assistance in the ENP countries, including via scrutiny by civil society;

14.

Calls on the EU to improve its coordination with other donors and international financial institutions, including through the AMICI initiative, in line with its commitment to become a more consistent, respected and effective global actor, and stresses the need for joint programming with and among the Member States; underlines that better coordination with the Member States and with the regional and local authorities (RLAs) is necessary in order to pursue and achieve a common, coherent and effective approach to the short- and medium-term goals of the EU’s cooperation with neighbouring countries, and calls for a discussion to be opened on this matter with the Council;

15.

Underlines that the EU should match the ambitions of reinforced engagement in its neighbourhood with sufficient financing; considers that the mid-term review of the external financing instruments should take into account the revised policy, and that the ENI should therefore reflect the ambition of making the ENP more efficient and ensure the predictability and sustainability of the EU’s engagement with our partners, as well as an adequate degree of procedural flexibility; calls, furthermore, for more coherence and consistency between the various EU external financing instruments;

16.

Underlines the facilitating role of the European Endowment for Democracy (EED), complementing EU instruments with a new approach that is more flexible and responsive, gap-filling and financially efficient; calls on the Commission to allocate more resources to the EED;

17.

Recognises that attitudes toward Europe and the EU in neighbouring countries have a real impact on conflict, but rejects any complicity with repression and human rights violations in neighbouring countries arising from a misguided short-term pursuit of stability;

Added value of action at EU level

Reshaping the European Neighbourhood Policy

18.

Stresses the need to reshape the ENP in order to build strong, strategic and lasting partnerships with the ENP countries based on the preservation of, and in coherence with, the EU’s values and principles and the promotion of mutual interests; calls for the technical aspects of the policy to be underpinned by a clear political vision;

19.

Notes that the ENP should deploy its own methodology and tools, which should correspond to the level of ambition and the needs and objectives that the ENP countries and the EU seek to achieve;

20.

Calls on the Commission to focus on sectors identified together with its partners, on the basis of common interests, in which progress and universal added value can be achieved, and to gradually expand progress- and ambition-based cooperation, in particular in order to contribute to economic growth and human development with a focus on the new generations; stresses that economic reforms must go along with political reforms and that good governance can only be achieved through an open, accountable and transparent decision-making process based on democratic institutions;

21.

Stresses that enlargement policy and neighbourhood policy are separate policies with different objectives; reiterates, however, that European countries within the ENP, like any European country, can apply for EU membership if they satisfy the criteria and conditions of eligibility and admission under Article 49 TEU; considers, whilst recognising that reform and transition must come first and not wishing to raise unrealistic expectations, that a membership perspective must be sustained as an incentive to all countries which are eligible and have expressed evident European aspirations and ambitions;

Support for democracy, judicial reform, the rule of law, good governance and institutional capacity-building

22.

Considers support for democracy, the rule of law, good governance, state-building and human rights and fundamental freedoms to be central to the ENP; underlines that no policies that contribute to jeopardising these core values should be adopted under the ENP; stresses that the EU and its Member States should offer incentives and know-how for undertaking and supporting democratic reforms and overcoming the political, economic, and social challenges;

23.

Underlines the continuous need to focus on strengthening and consolidating democracy, the rule of law, good governance, the independence of the judicial system, the fight against corruption, respect for diversity and the rights of minorities, including religious groups, the rights of LGBTI persons, the rights of persons with disabilities, and the rights of persons belonging to ethnic minorities; highlights that capacity-building in national institutions, including national assemblies, together with support for civil society, pro-democracy groups and political parties, will enhance political dialogue and pluralism;

24.

Stresses that women’s rights, gender equality and the right to non-discrimination are fundamental rights and key principles of the EU’s external action; underlines the importance of promoting the rights of children and young people and gender equality, as well as of the economic and political empowerment of women, with a view to building inclusive, prosperous and stable societies in the EU’s neighbourhood;

25.

Considers that the revised ENP should strengthen the promotion of fundamental freedoms in the ENP countries by fostering freedom of expression, association and peaceful assembly and freedom of the press and of the media as enabling rights for realisation of economic, social and cultural rights;

26.

Highlights the importance of developing the social dimension of the ENP, by engaging with the partners in the fight against poverty and exclusion, stimulating employment and fair growth, facilitating healthy labour relations and promoting education and decent work, thus also tackling some of the root causes of irregular migration;

27.

Acknowledges the importance of cultural dialogue between the EU and the neighbouring countries, in areas such as conflict prevention and peace-building, the development of creative industries, strengthening of freedom of expression, support for social and economic development, and reinforcement of dialogue with civil society and intercultural and interreligious dialogues, also in order to tackle the increasing discrimination against and persecution of minority and religious groups; calls for strengthening frameworks for cultural relations, enabling the development of programmes for mobility, training and capacity-building and exchanges in the fields of culture and education;

28.

Emphasises that the approach based on ‘Partnership with Societies’ should be strengthened and promoted; urges that the common interests and goals of the policy be defined in consultation with all stakeholders from the various societies, and not only with the authorities;

29.

Stresses the importance of developing a thriving and active civil society in the processes of transformation and democratisation, including social partners and the business community; calls for further support for civil society, local SMEs and other non-state actors, since these constitute a driving force in the reform process, and for a more engaged dialogue and partnership between the different civil society actors and sectors in the EU and the neighbouring countries in the ENP framework; underlines the importance of European companies and their role in the promotion and dissemination of international standards for business, including corporate social responsibility;

Differentiation and conditionality

30.

Calls for the ENP to be developed into a more tailor-made and flexible policy framework that is able to adapt to the diversity that exists among partner countries, and for a consistent implementation of the ‘differentiated approach’; underlines that differentiation should take place between the ENP countries;

31.

Stresses the need to apply effective conditionality in relation to reform processes, and underlines the need for a coherent approach on the part of the EU between its positions and conditionality in financial allocations; emphasises that the EU cannot compromise its fundamental values and rights and should avoid creating double standards; stresses that countries that are making progress in implementing reforms, leading to long-term political, economic and social developments and seeking a deeper political engagement with the EU, should be granted more substantial EU commitment and support and should be assessed on the basis of individual achievements in these reform processes; underlines the importance of fully applying the ‘more for more’ principle;

32.

Stresses that Association Agreements are the most advanced but not the final step in relations between the EU and its neighbours;

33.

Considers that the EU should invite non-association partner countries to engage in sectorial cooperation, including the possibility of concluding new or reinforcing existing sectorial agreements such as the Energy Community that would facilitate the integration of such countries into specific sectorial parts of the single area of the four basic freedoms of the EU;

34.

Considers that in pursuing the ENP special attention should be focused on cooperation related to economic governance and the sustainability of public finances in ENP countries;

Security dimension

35.

Notes that preserving peace, security and stability is a fundamental concern in the neighbourhood and that the security environment is sharply deteriorating; calls for a strong security component in the ENP, with adequate policy tools which have regrettably been missing to date; stresses that the EU should focus on improving the efficiency and effectiveness of its current crisis management instruments with a view to establishing capacities to broaden the spectrum of crisis management interventions; stresses that security, stability and development go hand in hand and that a comprehensive approach is needed to address the security concerns in the region and the root causes thereof;

36.

Observes that the stability of the Sahelo-Saharan belt should be regarded as the nerve- centre of insecurity in both northern and southern Africa, and that the instability of that region is caused by the duplication of trafficking networks dealing in arms, drugs and human beings and is harming Europe’s stability;

37.

Calls for closer coordination between the ENP and wider Common Foreign and Security Policy (CFSP) and Common Security and Defence Policy (CSDP) activities, alongside strengthening the links between internal and external security and addressing different aspects of the security of ENP countries and of the EU; stresses the need for coherence and full alignment between the review of the ENP and the revision of the EU Security Strategy;

38.

Underlines the need for an overarching political strategy while ensuring full compliance with international law and commitments, as laid down in the Helsinki Final Act of 1975, based on respect for human rights, minority rights and fundamental freedoms, independence, sovereignty and the territorial integrity of states, inviolability of borders, equal rights and self-determination of peoples, and peaceful resolution of conflicts; notes that the Organisation for Security and Co-operation in Europe (OSCE), as the biggest regional organisation responsible for security, can play an important role in this regard and believes it should acquire a new impetus by taking on the role of mediator; supports the right of partners to make independent and sovereign choices on foreign and security policy, free from external pressure and coercion;

39.

Calls for the revised policy to support partner countries in building proper state structures to deal with security issues, such as effective law enforcement, terrorism and organised crime, and intelligence and security, including cybersecurity, which should be developed on the basis of full respect of human rights and accompanied by proper parliamentary democratic control; stresses that the EU should engage in areas such as security sector reform (SSR), and, in post-conflict situations, in disarmament, demobilisation and reintegration (DDR); calls on the EU to focus on capacity-building for border control on the part of the partner countries; acknowledging the ongoing contribution already being made by some of those countries; invites the neighbourhood countries to contribute to CSDP missions where relevant; calls on the EU to promote joint initiatives by the neighbouring countries in the security field, so as to enable them to take on more responsibility and make a positive input into security in their region;

40.

Reminds the Member States of their obligations under the Council Common Position 2008/944/CFSP on arms exports) which inter alia requires them to deny an export licence for military technology or equipment to any neighbourhood country if there is a clear risk that the military technology or equipment to be exported might be used for internal repression or in committing serious violations of international humanitarian law, would provoke or prolong armed conflicts or aggravate existing tensions or conflicts in the country of final destination, or would be exported aggressively against another country or used to assert a territorial claim by force;

41.

Stresses the need to actively promote and assist in the peaceful settlement of conflicts and in post-conflict reconciliation policies in the EU’s neighbourhood, using different tools and instruments on the basis of the added value they may provide; believes such measures should include the work of the EU Special Representatives, confidence-building programmes, restoring dialogue, mediation promoting people-to-people contacts, and CSDP missions; calls on the VP/HR and the EEAS to develop innovative measures and approaches, including public communication strategies and informal consultations, in order to support dialogue and reconciliation; observes that the EU delegations have a key role to play in establishing early warning systems by building up finely-meshed prevention networks with the various civil society organisations;

42.

Reiterates its support for the sovereignty, territorial integrity and political independence of the partner countries; takes the view that the ENP should contribute to and be supportive of these principles in practice; stresses that that frozen or protracted conflicts hamper the full development of the ENP; regrets, in this regard, that since the launch of the ENP no progress has been made in the resolution of the existing conflicts; recalls its position that the occupation of territory of a partner country violates the fundamental principles and objectives of the ENP; emphasises the need for the earliest peaceful settlement of the frozen conflicts on the basis of the norms and principles of international law; calls on the VP/HR to play a more active role making clear that the deepening of bilateral relations is linked to peaceful conflict resolution and respect for international law; underlines, in this context, the importance of pursuing a principled policy of promoting accountability for all violations of human rights and international humanitarian law and of avoiding double standards, in particular in this regard;

43.

Urges the EU to apply to regional conflicts the spirit and lessons deriving from the historical experience of European integration, since bilateral issues must be solved peacefully and good neighbourly relations and regional cooperation are fundamental elements of the ENP; calls, in this regard, for the involvement of citizens and the engagement of public actors in horizontal partnerships and twinning with counterparts from the Union, and for engagement with society and the younger generation as a factor for change;

Fostering regional integration

44.

Stresses the importance of the regional dimension of the ENP and the need to promote and contribute to regional synergies and integration by means of regional cooperation programmes; underlines that enhanced economic cooperation among the ENP countries is necessary for achieving stability and prosperity in the European neighbourhood;

45.

Calls, in this respect, for the complementing of the EU’s bilateral relation with ENP countries with its multilateral dimension by increasing the number of activities and initiatives in this context, paying particular attention to strengthening cross-border projects, stepping up people-to-people programmes, developing incentives for regional cooperation, and further enhancing an active dialogue with civil society; considers that the future ENP should offer an inclusive regional platform for discussing human rights issues, in line with the core principles of the ENP;

46.

Calls for systematic human rights impact assessments — including gender perspectives — of trade agreements and EU financial support to programmes and projects within the framework of the ENP;

47.

Calls for the revised policy to strengthen the existing platforms for cooperation, namely the Union for the Mediterranean and the Eastern Partnership, in order to further support regional integration where the priorities identified by the partners are similar for a specific policy field, to address specific sub-regional issues such as mobility, energy or security, and to bring the partners closer together in terms of economic standards and legislation; believes that the multilateral structures of the ENP should be consolidated and developed more strategically;

48.

Underlines the importance of the role of multilateral assemblies, such as Euronest and PA-UfM, as fora for political dialogue and as a tool for fostering ownership of the Neighbourhood Policy, and strongly encourages them to increase their engagement therein in an adequate and effective manner;

49.

Highlights the added value of parliamentary diplomacy and of the regular bilateral interparliamentary meetings the EP holds with the counterparts from the Neighbourhood as a tool for exchanging experiences and evaluating the status of the individual countries’ relation with the EU; encourages the Member States’ national parliaments to hold their bilateral interparliamentary meetings within the framework of the ENP, as a means of ensuring a coherent approach;

50.

Highlights the importance of the Conference of Regional and Local Authorities for the Eastern Partnership (CORLEAP) and the Euro-Mediterranean Regional and Local Assembly (ARLEM), which enable local and regional representatives to engage in dialogue with the EU institutions and to pursue economic, social and local and regional cooperation;

51.

Emphasises that the development of regional civil society platforms such as the Eastern Partnership and the Southern Neighbourhood Civil Society Fora strengthens a multi-stakeholder engagement driving the democratisation and economic reform agenda in the Neighbourhood;

Neighbours of neighbours

52.

Emphasises the need to build strong partnerships with neighbouring countries; stresses the importance of ensuring that the ENP is part of the EU’s broader external policy and of acknowledging the other strategic players that have influence on the neighbourhood — the ‘neighbours of neighbours’ — as well as international and regional organisations, by, inter alia, addressing issues of common interest and mutual concern, including regional and global security, through existing bilateral frameworks or multilateral dialogue where deemed appropriate and relevant;

53.

Stresses that the EU should realistically consider the different policy options that its partners face, as well as how to build bridges with their neighbours on different levels and how to address the foreign policy of third countries in its neighbourhood, ensuring that it is for the EU and its sovereign partners to decide on how they want to proceed in their relations;

54.

Reiterates its conviction that the DCFTA provisions do not represent any commercial challenges for the Russian Federation and that the Association Agreements should not be seen as an impediment to good relations of Eastern Partners with any of their neighbours;

55.

Calls on the EU to develop effective mechanisms of support for ENP partner countries which are pursuing an ambitious European agenda and, as a consequence, are suffering from retaliatory measures, trade coercion or outright military aggression from third countries; reiterates that, while the ENP is not aimed against any other strategic player and rejects the notion of a zero-sum geopolitical competition in the neighbourhood, the EU must provide credible commitments and robust political support to partners who wish to align more closely with it;

56.

Calls on the EU to take advantage of the expertise of the regional organisations to which the neighbours belong, such as the Council of Europe, the OSCE, the African Union, the relevant Regional Offices of the United Nations and the League of Arab States, and to actively involve and cooperate with them in order to address regional conflicts; recalls that these are important fora for engaging partners in carrying out reforms, addressing concerns on human rights and regional issues — for which they should assume greater responsibility — and fostering democratisation;

Policy objectives and tools

A diversified offer: priority sectors

57.

Calls for the EU to explore and identify, together with its partners, priorities for strengthened cooperation and integration in different policy fields, such as economic and human development, conflict and disaster prevention, infrastructure and regional development, the environment, trade competition policies, SMEs, migration, security, energy and energy efficiency, with the aim of creating an area of prosperity, stability and good neighbourliness;

58.

Considers that the aim of achieving coherence in the internal and external policies of the EU, as well as the close and growing links between certain internal and external issues, should be reflected in the new ENP;

59.

Considers that stronger cooperation in the field of the future digital single market, support for e-administration reforms and open government solutions, constitutes an instrument for citizens’ engagement;

60.

Stresses the importance of the free movement of people, and supports enhancing mobility within the neighbourhood, in a secure and well managed environment, through visa facilitation and liberalisation, particularly for students, young people, artists and researchers; calls on the Commission, in cooperation with the Member States, to further enhance mobility partnerships within the neighbourhood and develop possibilities for circular migration schemes which would open up safe and legal routes for migrants; calls on the EU to make a clear distinction between asylum seekers fleeing persecution and irregular economic migrants; condemns trafficking in human beings, most of the victims of which are women, and stresses the importance of reinforcing cooperation with partner countries in order to combat it;

61.

Calls on the Commission to pay attention to the gender equality perspective when promoting vocational and academic training, as well as in the framework of circular migration programmes with the neighbourhood countries, in order to strengthen women’s participation in their economies;

62.

Notes that high unemployment, particularly among young people, lack of free access to information, social exclusion and poverty, and lack of protection of minority rights, combined with low political and socio-economic participation of women, poor governance and high levels of corruption, are root causes of instability, and demands engagement beyond the Deep and Comprehensive Free Trade Areas (DCFTAs); notes that the mere prospect of trade deals and free trade agreements no longer provides a sufficiently effective lever to strengthen our partnership with the neighbourhood, in the southern Mediterranean countries in particular; notes the lack of regional economic cooperation between the EU’s neighbouring countries, and calls for the establishment of sub-regional initiatives in order to increase trade among them;

63.

Highlights the importance of investing in projects for youth, women and future leaders, by making full use of the scholarship opportunities under the Erasmus + programme, in order to foster student and teacher exchanges between ENP countries and the Member States, aiming at the formation of future leaders from both ENP countries and the Member States, as well as further promoting academic and educational projects which have already proved their value in this field, such as the College of Europe;

64.

Calls on the Commission to explore and offer to the ENP countries different levels of participation, cooperation and engagement in EU policies, programmes and agencies, such as EUROPOL, FRONTEX, and customs management, in the field of fighting against human trafficking, economic and cross-border crimes and in that of the Energy Community, which as a successful integration agreement can play a greater role in the ENP; highlights the importance of energy security and closer energy cooperation within the European neighbourhood, with a view of reaching a shared goal of undisrupted supply of affordable, sustainable, efficient and clean energy; calls for the gradual opening-up of the Energy Union to the ENP countries; encourages the Commission to promote the Budapest convention on fighting cybercrime among the ENP countries and to call on them to join it if they have not yet done so;

65.

Considers that greater emphasis should be placed on using technical assistance programmes such as TAIEX and Twinning, and that the partners should be included in EU programmes such as Erasmus and Horizon 2020, as they contribute to sharing knowledge and establishing networks at different levels and are the basis for creating a Common Neighbourhood Area;

66.

Takes the view that the parliamentary dimension of the policy needs to be reinforced by enhancing the effectiveness of the interparliamentary meetings and the joint parliamentary bodies established under agreements with the EU, and of the parliamentary assemblies; welcomes, in this context, the new approach that Parliament has adopted to parliamentary democracy support; underlines the role played by parliaments of ENP countries in holding governments accountable, and encourages the strengthening of their monitoring capacity; calls for Parliament to be involved in the implementation of the new ENP and to be kept regularly informed and consulted on its progress in the partner countries; takes the view that European political parties and groups in the national parliaments of Member States and the European Parliament can play an important role and can take on crucial responsibility as regards the promotion of a political culture based on fully-fledged democratic institutions, the rule of law, multi-party democracy and full participation of women in decision-making;

67.

Emphasises that for the ENP to be a successful policy, it should also ensure that there is ownership by the Member States, also by expanding Flagship Initiatives; calls on the Commission, therefore, to reinforce policy coordination and joint programming of financial assistance, and to provide mechanisms to foster information-sharing among Member States and EU structures on ENP countries, as well as consultation between the Member States, EU structures and neighbouring countries; considers that the EU’s financial and technical assistance should be conditional on successful achievement of tangible benchmarks in the reform process, on the basis of which further support will be allocated;

Assessment and visibility

68.

Emphasises that the action plans established in close partnership with the authorities of the partner countries and in consultation with CSOs should focus on a limited number of realistic priorities to be implemented, and that their implementation should be assessed on a regular basis or when prompted by changing circumstances, with policy options which could be commonly agreed; points out the importance of developing a consultation process with CSOs as regards the definition of benchmarks;

69.

Stresses that the progress reports should focus on the implementation of the priorities identified in the action plans and should reflect the level of engagement of the partner country; reiterates its call for the data contained in the reports to be put into perspective by bearing in mind the national context and by including trends from the previous years; takes the view that all the main stakeholders of ENP countries, including civil society, should be genuinely involved and consulted before drafting the reports; calls for key documents such as progress reports to be readily available on the respective EU delegation websites and translated into the local language; calls on the EU to employ more qualitative means of measuring the extent of progress in the partner countries and to implement effective cross-compliance measures regarding progress by partners in terms of human rights, the rule of law and democracy;

70.

Considers that the visibility of EU assistance should be enhanced in order to make clear to the populations of the partner countries and the EU Member States the benefits of EU support; calls on the Commission to design a special mechanism for providing EU humanitarian assistance to the neighbourhood countries that would differ from the model used for third countries worldwide and would ensure high visibility for the EU and its political agenda, among other goals; underlines the importance and necessity of a mechanism able to ensure transparency in relation to the financial assistance granted by the EU;

71.

Calls for the EU to strengthen its capacity to counter misinformation and propaganda campaigns against itself and its Member States which are aimed at diminishing their unity and solidarity; calls for the EU to strengthen its visibility in order to show clearly its support for and engagement with and in the partner countries; underlines the importance of promoting objective, independent and impartial information and of freedom of the media in the ENP countries, as well as the need for strategic communication efforts in its neighbourhood, including on its values and objectives, through the development of a comprehensive, effective and systematic communication strategy within the revised policy;

72.

Calls for the EU to increase its presence in the partner countries using more interactive audiovisual means and social media in the respective local languages, in order to reach all of society; calls on the Commission to prepare a clear communication strategy for societies in the ENP countries, in order to explain to them the benefits of the Association Agreements, including Deep and Comprehensive Trade Areas (DCFTA’s), as a tool for modernising their political systems and economies;

o

o o

73.

Instructs its President to forward this resolution to the Council, the Commission, the governments and parliaments of the ENP countries, the Parliamentary Assemblies of Euronest and the Union for the Mediterranean, the League of Arab States, the African Union, the Council of Europe and the OSCE.


(1)  JOIN(2015)0006.

http://ec.europa.eu/enlargement/neighbourhood/consultation/consultation.pdf

(2)  http://eeas.europa.eu/euromed/docs/com2011_200_en.pdf

(3)  http://eurlex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2011:0303:FIN:en:PDF

(4)  http://eeas.europa.eu/enp/pdf/pdf/com03_104_en.pdf

(5)  External Relations Council, conclusions of 18 February 2008 — http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/en/gena/98818.pdf

(6)  OJ C 87 E, 7.4.2004, p. 506.

(7)  OJ C 104 E, 30.4.2004, p. 127.

(8)  OJ C 287 E, 24.11.2006, p. 312.

(9)  OJ C 282 E, 6.11.2008, p. 443.

(10)  OJ C 296 E, 2.10.2012, p. 105.

(11)  OJ C 296 E, 2.10.2012, p. 114.

(12)  OJ C 168 E, 14.6.2013, p. 26.

(13)  Texts adopted, P7_TA(2013)0446.

(14)  Texts adopted, P7_TA(2014)0229.


11.8.2017   

EN

Official Journal of the European Union

C 265/121


P8_TA(2015)0273

Harmonisation of certain aspects of copyright and related rights

European Parliament resolution of 9 July 2015 on the implementation of Directive 2001/29/EC of the European Parliament and of the Council of 22 May 2001 on the harmonisation of certain aspects of copyright and related rights in the information society (2014/2256(INI))

(2017/C 265/14)

The European Parliament,

having regard to Articles 4, 26, 34, 114, 118 and 167 of the Treaty on the Functioning of the European Union (TFEU),

having regard to Article 27 of the Universal Declaration of Human Rights,

having regard to the 1994 Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS),

having regard to the UNESCO Convention of 20 October 2005 on the Protection and Promotion of the Diversity of Cultural Expressions,

having regard to Articles 11, 13, 14, 16, 17, 22 and 52 of the Charter of Fundamental Rights of the European Union,

having regard to Directive 2001/29/EC of the European Parliament and of the Council of 22 May 2001 on the harmonisation of certain aspects of copyright and related rights in the information society (1),

having regard to the Berne Convention for the Protection of Literary and Artistic Works, and expressly to the Three-Step Test,

having regard to the World Intellectual Property Organisation (WIPO) Copyright Treaty of 20 December 1996,

having regard to the WIPO Performances and Phonograms Treaty of 20 December 1996,

having regard to the WIPO Treaty on Audiovisual Performances, adopted by the WIPO Diplomatic Conference on the Protection of Audiovisual Performances in Beijing on 24 June 2012,

having regard to the September 2013 intellectual property rights (IPR) study carried out jointly by the European Patent Office (EPO) and the Office for Harmonisation in the Internal Market (OHIM), entitled ‘Intellectual property rights intensive industries: contribution to economic performance and employment in the European Union’,

having regard to the Marrakesh Treaty to Facilitate Access to Published Works for Persons Who Are Blind, Visually Impaired, or Otherwise Print Disabled,

having regard to Directive 2014/26/EU of the European Parliament and of the Council of 26 February 2014 on collective management of copyright and related rights and multi-territorial licensing of rights in musical works for online use in the internal market (2),

having regard to Directive 2013/37/EU of the European Parliament and of the Council of 26 June 2013 amending Directive 2003/98/EC on the re-use of public sector information (3),

having regard to Directive 2012/28/EU of the European Parliament and of the Council of 25 October 2012 on certain permitted uses of orphan works (4),

having regard to Directive 2006/116/EC of the European Parliament and of the Council of 12 December 2006 on the term of protection of copyright and certain related rights (5),

having regard to Directive 2011/77/EU of the European Parliament and of the Council of 27 September 2011 amending Directive 2006/116/EC on the term of protection of copyright and certain related rights (6),

having regard to Council Directive 93/83/EEC of 27 September 1993 on the coordination of certain rules concerning copyright and rights related to copyright applicable to satellite broadcasting and cable retransmission (7),

having regard to Directive 2004/48/EC of the European Parliament and of the Council of 29 April 2004 on the enforcement of intellectual property rights (8),

having regard to Directive 2006/115/EC of the European Parliament and of the Council of 12 December 2006 on rental right and lending right and on certain rights related to copyright in the field of intellectual property (9), which amends Council Directive 92/100/EEC (10),

having regard to Directive 2001/84/EC of the European Parliament and of the Council of 27 September 2001 on the resale right for the benefit of the author of an original work of art (11),

having regard to its resolution of 27 February 2014 on private copying levies (12),

having regard to its resolution of 12 September 2013 on promoting the European cultural and creative sectors as sources of economic growth and jobs (13),

having regard to its resolution of 11 September 2012 on the online distribution of audiovisual works in the European Union (14),

having regard to its resolution of 22 September 2010 on enforcement of intellectual property rights in the internal market (15),

having regard to the public consultation on the review of the EU copyright rules carried out by the Commission between 5 December 2013 and 5 March 2014,

having regard to its resolution of 16 February 2012 on Petition 0924/2011 by Dan Pescod (British), on behalf of the European Blind Union (EBU)/Royal National Institute of Blind People (RNIB), on access by blind people to books and other printed products (16),

having regard to the Commission Green Paper on the online distribution of audiovisual works in the European Union: opportunities and challenges towards a digital single market (COM(2011)0427),

having regard to the Commission Green Paper entitled ‘Copyright in the Knowledge Economy’ (COM(2008)0466),

having regard to the Commission communication entitled ‘A Single Market for Intellectual Property Rights: Boosting creativity and innovation to provide economic growth, high quality jobs and first class products and services in Europe’ (COM(2011)0287),

having regard to the Memorandum of Understanding of 20 September 2011 on key principles on the digitisation and making available of out-of-commerce works, with a view to facilitating the digitisation and making available of books and learned journals for European libraries and similar establishments,

having regard to Rule 52 of its Rules of Procedure,

having regard to the report of the Committee on Legal Affairs and the opinions of the Committee on Industry, Research and Energy and the Committee on Internal Market and Consumer Protection (A8-0209/2015),

A.

whereas the revision of Directive 2001/29/EC is central to the promotion of creativity and innovation, cultural diversity, economic growth, competitiveness, the Digital Single Market and to access to knowledge and information, while at the same time also providing authors of literary and artistic works with sufficient recognition and protection of their rights;

B.

whereas Article 167 of the Treaty on the Functioning of the European Union (TFEU) states that the European Union shall promote the flowering and diversity of the cultures of the Member States, particularly through artistic and literary creation;

C.

whereas Directive 2001/29/EC on the harmonisation of certain aspects of copyright and related rights in the information society was aimed at adapting legislation on copyright and related rights to reflect technological developments;

D.

whereas Directive 2001/29/EC also addresses a number of EU obligations under international law, including the provisions of the Berne Convention for the Protection of Literary and Artistic Works, the WIPO Copyright Treaty and the WIPO Performances and Phonograms Treaty;

E.

whereas the Commission and the Member States are making considerable investments in the digitisation and online accessibility of the rich collections of Europe’s cultural heritage institutions, so that citizens can enjoy access from anywhere on any device;

F.

whereas the European cultural and creative industries are an engine for economic growth and job creation in the EU and make a major contribution to the EU economy, as they employ more than 7 million people and generate more than 4,2 % of EU GDP according to the latest estimates, and whereas cultural industries continued to create jobs during the economic crisis of 2008-2012;

G.

whereas the September 2013 joint EPO and OHIM study shows that about 39 % of total economic activity in the EU, worth some EUR 4 700 billion a year, is generated by IPR-intensive industries, as is, in addition, 26 % of direct employment (or 56 million jobs), with indirect employment accounting for a further 9 % of the total number of jobs in the EU;

H.

whereas the digital revolution has brought with it new techniques and means of communication and opened the way to new forms of expression which, while calling into question the long-established three-way relationship between creators, cultural entrepreneurs and users, has spurred the emergence of a knowledge-based economy providing new jobs and helping to promote culture and innovation;

I.

whereas any political initiative concerning the digital single market must be in keeping with the Charter of Fundamental Rights of the European Union, and in particular Articles 11, 13, 14, 16, 17 and 22 thereof;

J.

whereas cultural diversity and language diversity extends beyond national borders, with some European languages spoken in multiple countries;

K.

whereas the Charter of Fundamental Rights protects freedom of expression, freedom of information and freedom of the arts and science, and guarantees protection of personal data and of cultural and linguistic diversity, the right to property and the protection of intellectual property, the right to education and the freedom to conduct a business;

L.

whereas the right of the creator to protection of his or her creative works must continue to apply in the digital age;

M.

whereas measures that contribute to the further development of cultural interchange and improve legal certainty in the sector need to be considered; whereas many creative online services have been developed since the application of Directive 2001/29/EC, and consumers have never before had access to such a wide range of creative and cultural works; whereas users need access to a plentiful and diverse supply of high-quality content;

N.

whereas the harmonious and systematic development of the Europeana digital library, which was founded in 2008 as part of an EU initiative, has made works from Member States’ libraries available;

O.

whereas creative works are one of the main sources nourishing the digital economy and information technology players such as search engines, social media and platforms for user-generated content, but virtually all the value generated by creative works is transferred to those digital intermediaries, which refuse to pay authors or negotiate extremely low levels of remuneration;

P.

whereas Directive 2011/77/EU and Directive 2006/116/EC harmonised the terms of protection of copyright and neighbouring rights by establishing a complete harmonisation of the period of protection for each type of work and each related right in the Member States;

Q.

whereas the EU legislative authorities have a duty to promote a clear legal framework for copyright and related rights that can be understood by all stakeholders, in particular the general public, and that ensures legal certainty;

R.

having regard to the competitive advantage and growing power of a number of Internet intermediaries and to the negative impact of this situation on authors’ creative potential and on the development of services offered by other distributors of creative works;

S.

whereas when defining the legal framework for copyright and related rights, account should be taken of the need to promote innovative industrial and commercial models, taking advantage of the opportunities offered by new technologies, in order to make EU businesses more competitive;

T.

whereas the Commission’s priority and the focus of its 2014-2019 programme is the creation of growth and jobs;

1.

Points out that copyright is the tangible means of ensuring that creators are remunerated and that the creative process is funded;

2.

Welcomes the Commission’s initiative in having conducted a consultation on copyright, which attracted great interest from a wide range of interested stakeholders, including the cultural sector and civil society (17);

3.

Welcomes the commitment of the Commission on further developing the EU digital agenda, including copyright issues, in the course of the new Commission mandate; welcomes the Commission Work Programme for 2015 insofar as it promises to deliver a Digital Single Market Package which includes a legislative proposal with the objective of modernising copyright rules to make them fit for the digital age;

4.

Recalls that copyright and related rights protect and stimulate both the development and marketing of new products and services and the creation and exploitation of their creative content, thereby contributing to improved competitiveness, employment and innovation across several industry sectors in the EU;

5.

Stresses that copyright is only as effective as the enforcement measures in place to protect it and that in order to ensure a flourishing and innovative creative sector copyright enforcement must be robust;

6.

Points out that the existence of copyright and related rights inherently implies territoriality; emphasises that there is no contradiction between that principle and measures to ensure the portability of content;

7.

Emphasises that any revision of Directive 2001/29/EC should continue to safeguard the principle of fair remuneration for rightholders; calls for a reaffirmation of the principle of territoriality, enabling each Member State to safeguard the fair remuneration principle within the framework of its own cultural policy;

8.

Notes that the range of works lawfully available to users has increased since the implementation of Directive 2001/29/EC; further notes that cross-border access to the diversity of uses that technological progress offers to consumers may require evidence-based improvements to the current legal framework in order to further develop the legal offer of diversified cultural and creative content online to allow access to European cultural diversity;

9.

Recalls that consumers are too often denied access to certain content services on geographical grounds, which runs counter to the objective of Directive 2001/29/EC of implementing the four freedoms of the internal market; urges the Commission, therefore, to propose adequate solutions for better cross-border accessibility of services and copyright content for consumers;

10.

Considers that lessons may be drawn for other types of content from the approach taken in Directive 2014/26/EU on collective rights management, but that issues concerning portability and geoblocking may not be solved by one all-encompassing solution but may require several different interventions, both regulatory and market-led;

11.

Stresses that the creative output of the EU is one of its richest resources, and those who want to enjoy it should be able to pay to do so, even when it is only sold in another Member State;

12.

Draws attention to the fact that multi-territorial licensing, as provided for in Directive 2014/26/EU on collective management of copyright, is an option when broadcasters want Europe-wide coverage;

13.

Points out that the financing, production and co-production of films and television content depend to a great extent on exclusive territorial licences granted to local distributers on a range of platforms reflecting the cultural specificities of the various markets in Europe; that being so, emphasises that the ability, under the principle of freedom of contract, to select the extent of territorial coverage and the type of distribution platform encourages investment in films and television content and promotes cultural diversity; calls on the Commission to ensure that any initiative to modernise copyright is preceded by a wide-ranging study of its likely impact on the production, financing and distribution of films and television content, and also on cultural diversity;

14.

Emphasises that industry geoblocking practices should not prevent cultural minorities living in EU Member States from accessing existing content or services in their language that are either free or paid for;

15.

Supports the initiatives aimed at enhancing the portability, within the EU, of online services of legally acquired and legally made available content, whilst fully respecting copyright and the interests of rightholders;

16.

Recalls that the European cultural markets are naturally heterogeneous on account of European cultural and linguistic diversity; notes that this diversity should be considered as a benefit rather than an obstacle to the single market;

17.

Takes note of the importance of territorial licences in the EU, particularly with regard to audiovisual and film production which is primarily based on broadcasters’ pre-purchase or pre-financing systems;

18.

Notes with concern the growing number of illegal online services and the increasing incidence of piracy and, more generally, of infringements of intellectual property rights, a trend that poses a serious threat to Member States’ economies and to creativity in the EU;

19.

Emphasises that any reform of the copyright framework should be based on a high level of protection, since rights are crucial to intellectual creation and provide a stable, clear and flexible legal base that fosters investment and growth in the creative and cultural sector, whilst removing legal uncertainties and inconsistencies that adversely affect the functioning of the internal market;

20.

Alongside the important task of expanding functioning structures for the digital single market, stresses that steps must also be taken to ensure that the analogue single market continues to function properly;

21.

Points out that copyright-intensive industries employ more than seven million people in the EU; asks the Commission, therefore, to ensure that, in line with the principles of better regulation, any legislative initiative to modernise copyright be preceded by an exhaustive ex-ante assessment of its impact in terms of growth and jobs, as well as its potential costs and benefits;

22.

Emphasises that any revision of EU copyright law must be properly focused and must be based on convincing data, with a view to securing the continued development of Europe’s creative industries;

23.

Recognises that commercial copyright infringing activities pose a serious threat to the functioning of the digital single market and to the development of the legal offer of diversified cultural and creative content online;

24.

Deems it indispensable to strengthen the position of authors and creators and improve their remuneration with regard to the digital distribution and exploitation of their works;

Exclusive rights

25.

Acknowledges the necessity for authors and performers to be provided with legal protection for their creative and artistic work; recognises that the dissemination of culture and knowledge is in the public interest; recognises the role of producers and publishers in bringing works to the market, and the need for fair and appropriate remuneration for all categories of rightholders; calls for improvements to the contractual position of authors and performers in relation to other rightholders and intermediaries, notably by considering a reasonable period for the use of rights transferred by authors to third parties, after which those rights would lapse, as contractual exchanges may be marked by an imbalance of power; stresses in this connection the importance of contractual freedom;

26.

Notes that a proportionate protection of copyright works and other protected matter is of great importance, including from a cultural standpoint, and that under Article 167 TFEU, the Union is required to take cultural aspects into account in its activity;

27.

Stresses that authors and performers must receive fair remuneration in the digital environment and in the analogue world alike;

28.

Invites the Commission to evaluate targeted and appropriate measures to improve legal certainty, in line with the Commission’s objective of better regulation; calls on the Commission to study the impact of a single European Copyright Title on jobs and innovation, on the interests of authors, performers and other rightholders, and on the promotion of consumers’ access to regional cultural diversity;

29.

Points out that, in the fragile ecosystem which produces and finances creative work, exclusive rights and freedom of contract are key components because they make for improved risk sharing, enable a range of players to get involved in joint projects for a culturally diverse audience and underpin the incentive to invest in professional content production;

30.

Recommends that the EU legislator should consider, in order to protect the public interest while protecting personal information, how to further lower the barriers to the re-use of public sector information; notes that such adjustment of the legislation should be made with due regard to Directive 2013/37/EU, the principles underpinning the copyright system and the relevant case law of the Court of Justice of the European Union;

31.

Calls on the Commission to effectively safeguard public domain works, which are by definition not subject to copyright protection; urges the Commission, therefore, to clarify that once a work is in the public domain, any digitisation of the work which does not constitute a new, transformative work, stays in the public domain; also calls on the Commission to examine whether rightholders may be given the right to dedicate their works to the public domain, in whole or in part;

32.

Calls on the Commission to further harmonise the term of protection of copyright, while refraining from any further extension of the term of protection, according to the international standards set out in the Berne Convention; encourages Member States to finalise the transposition and implementation of Directives 2006/116/EC and 2011/77/EU in a streamlined manner;

Exceptions and limitations

33.

Calls on the EU legislator to remain faithful to the objective stated in Directive 2001/29/EC of providing adequate protection for copyright and neighbouring rights as one of the main ways of ensuring European cultural creativity, and of safeguarding a fair balance between the different categories of rightholders and users of protected subject-matter, as well as between the different categories of rightholders; further emphasises that any legislative change in this field should guarantee people with disabilities access to works and services protected by copyright and related rights in any formats;

34.

Underlines that copyright and related rights constitute the legal framework for the European cultural and creative industries, as also for the educational and research sector and for the sector benefiting from exceptions to and limitations on those rights, and form their basis for activity and employment;

35.

Notes that exceptions and limitations must be applied in such a way as to take account of the purpose for which they were designed and the particular respective characteristics of the digital and analogue environments, while maintaining the balance between the interests of rightholders and the interests of the public; calls, therefore, on the Commission to examine the possibility of reviewing a number of the existing exceptions and limitations in order to better adapt them to the digital environment, taking into account the ongoing developments in the digital environment and the need for competitiveness;

36.

Underlines the importance of exceptions and limitations being accessible for persons with disabilities; in this regard notes the conclusion of the Marrakesh Treaty, which will facilitate access for the visually impaired to books, and encourages swift ratification thereof without making the ratification conditional upon the revision of the EU legal framework; believes that the Treaty is a good step forward, but that much work remains to be done in order to open up access to content for people with different disabilities;

37.

Notes the importance of European cultural diversity, and notes that the differences among Member States in the implementation of exceptions can be challenging for the functioning of the internal market in view of the development of cross-border activities and EU global competitiveness and innovation, and may also lead to legal uncertainty for authors and users; considers that some exceptions and limitations may therefore benefit from more common rules; remarks, however, that differences may be justified to allow Member States to legislate according to their specific cultural and economic interests, and in line with the principles of proportionality and subsidiarity;

38.

Calls on the Commission to examine the application of minimum standards across the exceptions and limitations, and further to ensure the proper implementation of the exceptions and limitations referred to in Directive 2001/29/EC and equal access to cultural diversity across borders within the internal market, and to improve legal certainty;

39.

Considers it necessary to strengthen exceptions for institutions of public interest, such as libraries, museums and archives, in order to promote wide-ranging access to cultural heritage, including through online platforms;

40.

Calls on the Commission to consider with care to protect fundamental rights, particularly to combat discrimination or protect freedom of the press; recalls in this context that fair compensation should be provided for these exceptions;

41.

Recalls the importance of small and medium-sized enterprises (SMEs) in the cultural and creative industries in terms of job creation and growth in the EU; stresses that the vast majority of SMEs in the cultural and creative industries take advantage of the flexibility of copyright rules to produce, invest in and distribute cultural and creative works, but also to develop innovative solutions which enable users to gain access to creative works online adapted to the preferences and specificities of local markets;

42.

Notes with interest the development of new forms of use of works on digital networks, in particular transformative uses, and stresses the need to examine solutions reconciling efficient protection that provides for proper remuneration and fair compensation for creators with the public interest for access to cultural goods and knowledge;

43.

Stresses that, where an exception or limitation already applies, new uses of content which are made possible by technological advances or new uses of technology should be, as far as possible, construed in line with the existing exception or limitation, provided that the new use is similar to the existing one, in order to improve legal certainty — this would be subject to the three-step test; acknowledges that such flexibility in the interpretation of exceptions and limitations may permit the adaptation of the exceptions and limitations in question to different national circumstances and social needs;

44.

Highlights the need to ensure the technological neutrality and future-compatibility of exceptions and limitations by taking due account of the effects of media convergence, while serving the public interest by fostering incentives to create, finance and distribute new works and to make those works available to the public in new, innovative and compelling ways;

45.

Suggests a review of the liability of service providers and intermediaries in order to clarify their legal status and liability with regard to copyright, to guarantee that due diligence is exercised throughout the creative process and supply chain, and to ensure fair remuneration for creators and rightholders within the EU;

46.

Maintains that the development of the digital market is impossible unless creative and cultural industries are developed alongside it;

47.

Emphasises the importance of the exception for caricature, parody and pastiche as a factor in the vitality of democratic debate; believes that the exception should strike the balance between the interests and rights of the creators and original characters and the freedom of expression of the user of a protected work who is relying on the exception for caricature, parody or pastiche;

48.

Stresses the need to properly assess the enablement of automated analytical techniques for text and data (e.g. ‘text and data mining’ or ‘content mining’) for research purposes, provided that permission to read the work has been acquired;

49.

Maintains that the development of the digital market is closely linked to, and must go hand in hand with, the development of creative and cultural industries, this being the only way to achieve lasting prosperity;

50.

Notes that the right to private property is one of the fundaments of modern society; also notes that facilitation of access to educational materials and cultural goods is of extreme importance for the development of the knowledge-based society and that this should be taken into account by the legislators;

51.

Calls for an exception for research and education purposes, which should cover not only educational establishments but also accredited educational or research activities, including online and cross-border activities, linked to an educational establishment or institution recognised by the competent authorities, or legislation, or within the purview of an educational programme;

52.

Stresses that any new exceptions or limitations introduced into the EU copyright legal system needs to be duly justified by a sound and objective economic and legal analysis;

53.

Recognises the importance of libraries for access to knowledge and calls upon the Commission to assess the adoption of an exception allowing public and research libraries to legally lend works to the public in digital formats for personal use, for a limited duration, through the internet or the libraries’ networks, so that their public interest duty of disseminating knowledge can be fulfilled effectively and in an up-to-date manner; recommends that authors should be fairly compensated for e-lending to the same extent as for the lending of physical books according to national territorial restrictions;

54.

Calls upon the Commission to assess the adoption of an exception allowing libraries to digitalise content for the purposes of consultation, cataloguing and archiving;

55.

Stresses the importance of taking into account the conclusions of the numerous experiments being undertaken by the book industry to establish fair, balanced and viable business models;

56.

Notes that in some Member States statutory licences aimed at compensatory schemes have been introduced; stresses the need to ensure that acts which are permissible under an exception should remain so; recalls that compensation for the exercise of exceptions and limitations should only be considered in cases where acts deemed to fall under an exception cause harm to the rightholder; further calls on the European Observatory on Infringements of Intellectual Property Rights to carry out a full scientific evaluation of these Member State measures and their effect on each affected stakeholder;

57.

Recalls the importance of the private copying exception that may not be technically limited, coupled with fair compensation of creators; invites the Commission to analyse, on the basis of scientific evidence, Parliament’s resolution of 27 February 2014 on private copying levies (18) and the results of the latest mediation process conducted by the Commission (19), the viability of existing measures for the fair compensation of rightholders in respect of reproductions made by natural persons for private use, in particular in regard to transparency measures;

58.

Notes that private copying levies should be governed in such a way as to inform citizens of the actual amount of the levy, its purpose and how it is going to be used;

59.

Stresses that digital levies should be made more transparent and optimised to safeguard rightholder and consumer rights and by taking into account Directive 2014/26/EU on collective management of copyright and related rights and multi-territorial licensing of rights in musical works for online use in the internal market;

60.

Stresses the importance of bringing more clarity and transparency to the copyright regime for copyright users, in particular with regard to user-generated content and copyright levies, in order to foster creativity and the further development of online platforms, and to ensure appropriate remuneration of copyright holders;

61.

Notes the importance of Article 6(4) of Directive 2001/29/EC and stresses that the effective exercise of exceptions or limitations, and access to content that is not subject to copyright or related rights protection, should not be waived by contract or contractual terms;

62.

Calls on distributors to publish all available information concerning the technological measures necessary to ensure interoperability of their content;

63.

Highlights the need to promote greater interoperability, in particular for software and terminals, as lack of interoperability hampers innovation, reduces competition and harms the consumer; believes that lack of interoperability leads to market dominance of one particular product or service, which in turn stifles competition and limits consumer choice in the EU;

64.

Points out that the rapid rate of technological development in the digital market calls for a technologically neutral legislative framework for copyright;

65.

Recognises the role of proportionate and effective enforcement in supporting creators, rightholders and consumers;

66.

Calls on the Commission and the EU legislature to consider solutions for the displacement of value from content to services; stresses the need to adjust the definition of the status of intermediary in the current digital environment;

67.

Stresses that consumers often face various limitations and the notion of consumers’ rights in the copyright framework is very often absent; calls on the Commission to assess the effectiveness of the current copyright law from a consumers’ perspective and to develop a set of clear and comprehensive consumers’ rights;

o

o o

68.

Instructs its President to forward this resolution to the Council and the Commission, and to the parliaments and governments of the Member States.


(1)  OJ L 167, 22.6.2001, p. 10.

(2)  OJ L 84, 20.3.2014, p. 72.

(3)  OJ L 175, 27.6.2013, p. 1.

(4)  OJ L 299, 27.10.2012, p. 5.

(5)  OJ L 372, 27.12.2006, p. 12.

(6)  OJ L 265, 11.10.2011, p. 1.

(7)  OJ L 248, 6.10.1993, p. 15.

(8)  OJ L 157, 30.4.2004, p. 45.

(9)  OJ L 376, 27.12.2006, p. 28.

(10)  OJ L 346, 27.11.1992, p. 61.

(11)  OJ L 272, 13.10.2001, p. 32.

(12)  Texts adopted, P7_TA(2014)0179.

(13)  Texts adopted, P7_TA(2013)0368.

(14)  OJ C 353 E, 3.12.2013, p. 64.

(15)  OJ C 50 E, 21.2.2012, p. 48.

(16)  OJ C 249 E, 30.8.2013, p. 49.

(17)  European Commission, DG MARKT, Report on the responses to the Public Consultation on the Review of the EU Copyright Rules, July 2014.

(18)  Texts adopted, P7_TA(2014)0179.

(19)  António Vitorino’s recommendations of 31 January 2013 resulting from the latest mediation process conducted by the Commission in respect of private copying and reprography levies.


11.8.2017   

EN

Official Journal of the European Union

C 265/130


P8_TA(2015)0274

Evaluation of activities of the European Endowment for Democracy (EED)

European Parliament resolution of 9 July 2015 on the EU’s new approach to human rights and democracy — evaluating the activities of the European Endowment for Democracy (EED) since its establishment (2014/2231(INI))

(2017/C 265/15)

The European Parliament,

having regard to Articles 2, 6, 8 and 21 of the Treaty on European Union,

having regard to its recommendation of 29 March 2012 to the Council on the modalities for the possible establishment of a European Endowment for Democracy (EED) (1),

having regard to its resolution of 7 July 2011 on EU external policies in favour of democratisation (2),

having regard to its resolution of 11 December 2012 on a digital freedom strategy in EU foreign policy (3),

having regard to the EU Annual Report on Human Rights and Democracy in the World in 2013, adopted by the Council on 23 June 2014,

having regard to its resolution of 12 March 2015 on the Annual Report on Human Rights and Democracy in the World 2013 and the European Union’s policy on the matter (4),

having regard to Regulation (EU) No 236/2014 of the European Parliament and of the Council of 11 March 2014 laying down common rules and procedures for the implementation of the Union’s instruments for financing external action (5),

having regard to Regulation (EU) No 235/2014 of the European Parliament and of the Council of 11 March 2014 establishing a financing instrument for democracy and human rights worldwide (6),

having regard to the Council conclusions of 18 May 2009 on ‘Support to Democratic Governance — Towards an enhanced EU framework’ (7),

having regard to the Council conclusions of 17 November 2009 on Democracy Support in the EU’s External Relations (8),

having regard to the Council conclusions of 13 December 2010 containing the 2010 progress report and a list of proposed pilot countries (9),

having regard to the Council conclusions of 20 June 2011 on the European Neighbourhood Policy (10),

having regard to the Council conclusions of 1 December 2011 on the European Endowment for Democracy (11),

having regard to the Council conclusions of 25 June 2012 on Human Rights and Democracy (12) and to the EU Strategic Framework and Action Plan on Human Rights and Democracy, also adopted by the Council on 25 June 2012 (13),

having regard to the Council conclusions of 31 January 2013 on EU Support for Sustainable Change in Transition Societies (14),

having regard to the joint consultation paper by the High Representative of the Union for Foreign Affairs and Security Policy and the Commission of 4 March 2015 entitled ‘Towards a new European Neighbourhood Policy’ (JOIN(2015)0006),

having regard to the 2013 European External Action Service Review (15),

having regard to the joint communication by the High Representative of the Union for Foreign Affairs and Security Policy and the Commission of 25 May 2011 entitled ‘A New Response to a Changing Neighbourhood: A review of European Neighbourhood Policy’ (COM(2011)0303),

having regard to the letter of support for the establishment of the EED, addressed to the then President of the European Parliament, Jerzy Buzek, and the then Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, Catherine Ashton, and dated 25 November 2011,

having regard to the decision of the EED Board of Governors of 3 December 2014 to lift the initial geographical limitations of the EED,

having regard to Rules 52 and 132(2) of its Rules of Procedure,

having regard to the report of the Committee on Foreign Affairs (A8-0177/2015),

A.

whereas the promotion of and support for democracy, the rule of law and respect for the universality and indivisibility of human rights and fundamental freedoms are among the core objectives of the EU’s foreign policy, as enshrined in Article 21 of the Treaty on European Union and in the EU Charter of Fundamental Rights;

B.

whereas the EU considers that the principle of ownership of democracy-building processes is paramount for fostering a genuine democratic culture;

C.

whereas a large number of Member States have successfully completed a process of democratic transformation of society over recent decades, and have accumulated extensive experience in this field that could be relevant to the activities of the EED and which can and should be used at expert and political level for the EED’s work;

D.

whereas the events of the Arab Spring and in the Eastern Neighbourhood have triggered a reshaping of the EU’s policy instruments for promoting human rights and democracy support;

E.

whereas in a number of countries where the EED operates, the space for legitimate civil society action and external funding of civil society organisations is shrinking on account of authoritarian regimes using increasingly sophisticated means, including legislation, to restrict the work of NGOs and pro-democratic actors, including EED beneficiaries;

F.

whereas in recent years countries in the EU’s neighbourhood have faced a significant number of political, security and economic challenges that have put democratisation efforts and respect for human rights and fundamental freedoms under serious pressure;

G.

whereas there is a need to promote the provision of objective and independent information and to strengthen the media environment, including the internet and social media, in countries in which the EED operates, by protecting media freedom and freedom of expression and combating all forms of social and political censorship; whereas there is also a need to support democratisation efforts in those countries, including the consolidation of the rule of law and the fight against corruption;

H.

whereas the establishment of the EED, alongside other EU programmes such as the European Instrument for Democracy and Human Rights (EIDHR) and the European Neighbourhood Policy (ENP) Civil Society Facility, complements the traditional state-centred approach with a much-needed, more balanced, long-term and society-centred perspective focused on direct engagement with local and regional grassroots movements and democratic political actors;

I.

whereas assessing the impact of democracy assistance activities, such as those carried out by the EED, remains an inherently difficult task, in particular owing to the non-linear and long-term nature of political transformation in the countries concerned and to the often confidential nature of the activities involved;

J.

whereas new information technologies and social media have become important instruments in the struggle for democracy and should therefore have a prominent place within the European democracy assistance agenda;

K.

whereas, as at 30 June 2015, the EED has funded 186 initiatives totalling over EUR 5,2 million in the Southern Neighbourhood and over EUR 5,3 million in the Eastern Neighbourhood and beyond;

L.

whereas the EED benefits from a unique form of co-financing under which its administrative budget is provided by the Commission, while activities on the ground are financed by contributions from Member States and third countries;

General evaluation

1.

Welcomes the EED’s track record to date given the current challenging international environment, and considers that it is fulfilling its main objective of ‘fostering and encouraging democratisation and deep and sustainable democracy in countries in political transition and in societies struggling for democratisation’ (16), including through ‘supporting the unsupported’ by fighting corruption, promoting dialogue in diversity and non-violence, encouraging social and political participation and protecting activists and journalists who, locally, do their utmost to ensure and expedite the launch of a democratic process, making justice more accessible;

2.

Acknowledges with satisfaction that despite its short period of activity and limited funds, and the challenges inherent in assessing the impact of democracy support actions, the EED is fulfilling Parliament’s recommendations and delivering added value to existing EU democracy support through fast, flexible, bottom-up and demand-driven funding provided directly to beneficiaries in a financially efficient manner that complements other EU means, thanks to the low administrative burden and simple procedures established for the EED by its Board;

3.

Takes the view that, as a democracy support modality, the EED has been helping to diminish both political and personal risk;

4.

Stresses its full and continued support for the EU’s multipronged efforts to support civil society organisations, social movements and activists around the world; reiterates the importance of avoiding duplication and continuing to ensure the complementarity of EED activities with existing EU external financing instruments, especially the EIDHR and the European Neighbourhood Instrument (ENI), as they all aim to promote democratic principles and respect for human rights and fundamental freedoms in the proximity of the EU;

5.

Welcomes the EED’s consistent engagement in favour of freedom of expression and association, media freedom, the building and strengthening of the rule of law, the fight against corruption, and social and political pluralism, an engagement which is intended to support the development of democratic regimes in both the Eastern and Southern Neighbourhoods;

6.

Is of the opinion that the initiatives taken by the EED have demonstrated its unique capacity to bridge or fill gaps in cases where it has been impossible to obtain financing from EU Member States or non-EU countries;

7.

Calls for the EU and its Member States to develop a holistic approach to supporting political transition and democratisation in third countries, which comprises respect for human rights, the promotion of justice, transparency, accountability, reconciliation, the rule of law and the strengthening of democratic institutions, including legislative bodies;

Funding

8.

Calls on the EED founding parties, and especially on all the Member States and the Commission, to contribute, or increase their contributions, to the EED in line with the commitments they have made;

9.

Recalls that, as at 26 April 2015, the following countries have pledged and contributed to the EED: Belgium, Bulgaria, the Czech Republic, Denmark, Estonia, Germany, Hungary, Latvia, Lithuania, Luxembourg, the Netherlands, Poland, Romania, Slovakia, Spain, Sweden and Switzerland, while the remaining 12 Member States have not yet done so;

10.

Stresses that, in order to sustain and further develop the effectiveness of the EED, it is vital to ensure long-term, sufficient, stable, transparent and predictable funding;

11.

Calls on the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy and on the Commissioner for European Neighbourhood Policy and Enlargement Negotiations to consider the added value of the EED in the course of the newly launched review of the ENP and to reflect on ways of providing the EED with sustainable funding;

12.

Calls on Belgium to at least assess the possibility of returning some or all of the tax revenues received from the EED and its employees, in the form of funding for EED projects; recalls that the EED functions as a private foundation under Belgian law;

13.

Welcomes the financial contributions from northern, central European and some southern Member States; calls on the remaining southern Member States, some of which have particularly close historical, economic or cultural ties with the Southern Neighbourhood, to make a particular effort to contribute to the EED through either funding or secondment;

14.

Welcomes the financial contributions received by the EED from EU partners such as Switzerland and Canada; encourages other states, especially European Free Trade Association countries, to support the EED;

15.

Calls on all EED donors to ensure the full autonomy of the EED Executive Committee in selecting beneficiaries on the basis of the work plan endorsed by the Board of Governors, and calls for an end to earmarking of funds by donors for particular countries or projects;

Human resources capacity

16.

Calls for a strengthened capacity for the EED secretariat, to be reflected in adequate human resources enabling it to cope with its new tasks;

17.

Encourages Member States to follow up on their expressed interest in seconding national experts to the EED secretariat;

Expansion of the EED’s geographical mandate and East-South balance

18.

Welcomes the lifting of the initial geographical limitation of the EED, as adopted at the Board of Governors meeting of 3 December 2014;

19.

Commends the EED for maintaining geographical balance in its project funding between the Eastern and Southern Neighbourhoods;

Grants and beneficiaries

20.

Considers it crucial to ensure sustainable funding for EED recipients in the long run by strengthening complementarity links with other bilateral donors and with European external financing instruments, in particular the EIDHR, which — where appropriate — could take over medium-term financial support for ‘mature’ EED beneficiaries, and to this end:

(a)

invites the EED and the Commission to set up a contact group with the goal of identifying the best way for EED beneficiaries to transition to EIDHR financial support; and

(b)

calls on the Commission and the European External Action Service (EEAS) to come forward with specific proposals for mechanisms for programming interface and cooperation with the EED, so as to ensure coherence and sustainability in the longer term;

21.

Calls on the EED to further actively engage in countries where the space for external support for civil society is severely hampered or where state funding is discriminatory and awarded solely to certain organisations or civil societies; supports the EED’s efforts to explore innovative means for supporting agents for change in particularly difficult political environments;

22.

Strongly urges the Board to further continue to support democratic political activists and to provide funding for inclusive political processes; takes the view that the EED should engage with and support the emergence and consolidation of political parties with a clear commitment to democratic principles, in partnership with existing political foundations whenever possible;

23.

Welcomes the EED Guidelines for Monitoring and Evaluation; stresses, however, that these implementing guidelines should be proportionate to the EED’s size and human resources capacity;

24.

Encourages the EED to continue to respond to new technologies by integrating technology support into its grants;

25.

Welcomes the EED grants offered to Ukrainian actors, which set a good example of swift support for political and civic activists who then become democratically elected representatives; welcomes the EED support offered to all pro-democracy activists engaged in the EU’s neighbourhood, which is intended to sustain the development of consolidated democratic regimes;

26.

Welcomes the EED grants offered to activists in some of the Southern Neighbourhood countries, since they demonstrate the added value of EED pro-democracy work in particularly hostile environments;

27.

Strongly encourages the EED to place stronger emphasis on groups suffering from social exclusion or political marginalisation, by supporting, inter alia, women’s movements aimed at furthering women’s rights and increasing their participation in public life, ethnic and linguistic minorities, LGBTI human rights activists, persecuted religious minorities and civic activists linked to religious communities, together with grassroots movements, vulnerable or emerging political movements, trade unions, bloggers and new media activists;

28.

Calls on the EED to develop, if and when relevant, cooperation with civic activist groups linked to religious communities, including persecuted religious minorities; recalls that the church has played a crucial role in opposing communist regimes and in the democratic transformation processes in central and eastern Europe;

29.

Encourages the EED to step up its support for emerging young leaders and newly elected women, youth or minority representatives in countries in political transition;

30.

Calls on the Member States to continue to provide financial assistance to Russian civil society and media through the EED; points out that recent developments such as the restrictions imposed on civil society organisations, the repression of the political opposition and aggressive targeted misinformation campaigns by state-controlled media seem to serve the purpose of deliberately building breeding grounds for an extremely nationalistic political climate marked by anti-democratic rhetoric, repression and hate speech;

Cooperation between Parliament and the EED

31.

Welcomes the presentation of the EED’s first annual report to the Committee on Foreign Affairs, in accordance with Article 8(4) of the EED Statutes; stresses the importance of this exercise taking place on an annual basis, and emphasises that it is a good opportunity to take stock and develop new synergies;

32.

Calls for effective links between the EED, the Democracy Support and Election Coordination Group (DEG) and the relevant parliamentary committees and standing delegations; encourages its Members to support the EED and highlight its work in relevant interventions and during visits to third countries by European Parliament delegations, including meetings with beneficiaries;

33.

Calls for the development of further cooperation between the EED, its beneficiaries and the Sakharov Prize Network;

34.

Invites the EED to further develop its cooperation with Parliament’s Young Leaders Forum;

Policy coherence and coordination

35.

Encourages both the Member States and the EU institutions to ensure genuine internal and external coherence as regards democracy efforts and to recognise the EED’s role in this respect;

36.

Encourages EU Delegations and Member State diplomatic missions in the countries where the EED is active to bring potential beneficiaries to the EED’s attention and to inform potential beneficiaries about the EED; encourages EED staff, in turn, to liaise closely with relevant EU and Member State diplomatic staff in relation to potential beneficiaries which cannot be supported by the EED, showing mutual respect for the sensitivity of information and the security of all parties;

37.

Urges EU Delegations and Member State diplomatic representations to cooperate in a structured manner in order to facilitate the visa application process for EED grantees who are invited to the European Union;

38.

Welcomes the efforts of the EEAS and the Commission to disseminate information regarding the EED among their staff, in particular in EU Delegations;

39.

Calls for a triennial meeting of the EED Board of Governors at ministerial level in order to reflect on the EU's democracy support policy and on the EED’s future strategic priorities;

Cooperation with other democracy support actors

40.

Calls on the EED to continue to cooperate with European-based organisations such as the Council of Europe, IDEA (the International Institute for Democracy and Electoral Assistance) and the Organisation for Security and Cooperation in Europe, in line with the EED’s Statutes;

41.

Calls on the EED to foster cooperation with key actors and international, regional and national organisations active in the field of democracy assistance which are either based in the EU or work in the countries where the EED operates;

42.

Encourages the EED to identify possible avenues for cooperation with international civil society organisations, including the Eastern Partnership’s Civil Society Forum and the Anna Lindh Foundation;

Further recommendations

43.

Calls on the EED to continue to develop new innovative means and instruments for democracy assistance, including for political actors or activists, and to share best practices in order to adjust to the growing climate of restriction in a number of countries with authoritarian regimes, with particular regard to new media and grassroots initiatives in these countries; underlines the importance, in this context, of developing country-specific strategies;

44.

Calls, in the name of its democratic spirit, for it to be guaranteed that the composition of the EED Board of Governors represents political groups, on the basis of the D’Hondt system;

45.

Welcomes the public outreach on the EED’s achievements so far, and considers that further underlining the uniqueness and added value of the EED and communicating about the subject widely and on a regular basis would increase the EED’s fundraising capacity;

o

o o

46.

Instructs its President to forward this resolution to the Council, the Commission, the European External Action Service, the governments and parliaments of the Member States, and the European Endowment for Democracy.


(1)  OJ C 257 E, 6.9.2013, p. 13.

(2)  OJ C 33 E, 5.2.2013, p. 165.

(3)  Texts adopted, P7_TA(2012)0470.

(4)  Texts adopted, P8_TA(2015)0076.

(5)  OJ L 77, 15.3.2014, p. 95.

(6)  OJ L 77, 15.3.2014, p. 85.

(7)  http://register.consilium.europa.eu/doc/srv?l=EN&f=ST%209908%202009%20INIT

(8)  http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/en/gena/111250.pdf

(9)  https://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/foraff/118433.pdf

(10)  http://www.consilium.europa.eu/uedocs/cms_Data/docs/pressdata/EN/foraff/122917.pdf

(11)  http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/foraff/126505.pdf

(12)  http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/foraff/131171.pdf

(13)  http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/foraff/131181.pdf

(14)  http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/EN/foraff/135130.pdf

(15)  http://eeas.europa.eu/library/publications/2013/3/2013_eeas_review_en.pdf

(16)  Article 2 of the EED Statutes — available at: https://www.democracyendowment.eu/about-eed/


11.8.2017   

EN

Official Journal of the European Union

C 265/137


P8_TA(2015)0275

Situation in Burundi

European Parliament resolution of 9 July 2015 on the situation in Burundi (2015/2723(RSP))

(2017/C 265/16)

The European Parliament,

having regard to its previous resolutions on Burundi,

having regard to the Cotonou Agreement,

having regard to the UN Security Council statement of 10 April 2014 on the situation in Burundi,

having regard to the Arusha Peace and Reconciliation Agreement for Burundi,

having regard to the Constitution of Burundi,

having regard to the statement issued by the East African Community Heads of State on 31 May 2015 in Dar es Salaam, Tanzania,

having regard to the urgent call from former Burundian Chiefs of State, political parties and civil society organisations made on 28 May 2015 in Bujumbura,

having regard to the decisions on the situation in Burundi adopted at the African Union summit of 13 June 2015,

having regard to the Council conclusions on Burundi of 22 June 2015,

having regard to the statement by Vice-President/High Representative Federica Mogherini on the suspension of the EU Electoral Observation Mission to Burundi of 28 May 2015 and to the statement by the VP/HR’s spokesperson on the situation in Burundi of 29 June 2015,

having regard to the decision of the Bureau of the ACP-EU JPA on 14 June 2015 to suspend the election observation mission of the Assembly to Burundi due to the situation in the country,

having regard to the EU Guidelines on Human Rights Defenders and the EU Human Rights Guidelines on Freedom of Expression, and to the Council’s June 2014 conclusions in which it committed to intensifying its work on human rights defenders,

having regard to the Universal Declaration of Human Rights,

having regard to the African Charter on Democracy, Elections and Governance (ACDEG),

having regard to the International Covenant on Civil and Political Rights,

having regard to the African Charter on Human and Peoples’ Rights,

having regard to Rule 123(2) and (4) of its Rules of Procedure,

A.

whereas Article 96 of the Constitution of Burundi and Article 7.3 of the Arusha Peace and Reconciliation Agreement stipulate that a president can serve only two terms; whereas President Pierre Nkurunziza has been in office since 2005, having been re-elected in 2010 in an election which the opposition boycotted after accusing the government of intimidation;

B.

whereas President Nkurunziza announced on 26 April 2015 that he was running for a third term — claiming eligibility because he had been appointed by lawmakers for his first term –, thereby plunging the country into turmoil and triggering widespread protests and a failed military coup in May 2015;

C.

whereas, following this announcement, 17 officers were arrested on 14 May 2015 after a failed coup attempt led by former army Major General Godefroid Niyombare, who fled the country, in the wake of which more than 70 people have been killed in the violence and a series of grenade attacks;

D.

whereas two senior members of the Independent National Electoral Commission (CENI) have fled the country, in addition to a senior judge of the Constitutional Court charged with ruling on the legality of the President’s third term, and the speaker of the national assembly, all citing fears for their own safety; whereas on 25 June 2015 Burundian Vice-President Gervais Rufyikiri also fled the country after casting doubt on the President’s eligibility for a third term;

E.

whereas police have used excessive force in a crackdown on peaceful protestors, which has resulted in the loss of life; whereas police figures indicate that 892 people were arrested in connection with the protests between 26 April and 12 May 2015 and then 568 were released; whereas 280 detainees have been transferred to the public prosecutor’s office;

F.

whereas the violence is being made even worse by the actions of the militia linked to the authorities; whereas NGOs and human rights defenders have condemned the infiltration of the police and armed forces by CNDD-FDD (National Council for the Defence of Democracy — Forces for the Defence of Democracy) militia;

G.

whereas opposition parties and civil society have boycotted the elections, citing the partisan use of state institutions, violence and intimidation by the CNDD-FDD youth militia (the Imbonerakure), a lack of confidence in the CENI (Burundi’s independent national electoral commission), and government strategies intended to reduce the inclusivity of the electoral process, including voter registration difficulties and the redrawing of electoral boundaries, which favour the ruling party; whereas the situation has also led Burundi’s Catholic Church to withdraw the priests it had appointed to help organise the elections, saying that it ‘cannot support elections that are full of shortcomings’;

H.

whereas Burundi’s ruling party has boycotted the resumption of mediation talks under the aegis of the UN facilitator Abdoulaye Bathily, whose resignation they have called for, and the ‘facilitation’ group consisting of representatives of the UN, the African Union (AU), the EAC and the International Conference on the Great Lakes Region (ICGLR);

I.

whereas the international community plays a significant role in the region as the guarantor of the Arusha Accords, and whereas institutions such as the International Criminal Court are of great importance in carrying out independent inquiries into the violence and crimes committed in Burundi;

J.

whereas, despite calls from the international community to delay elections and despite being boycotted by civil society and the opposition, legislative elections took place on 29 June 2015 and presidential elections are scheduled for 15 July 2015;

K.

whereas on 29 June 2015 the EU withdrew its Electoral Observation Mission to Burundi, taking the view that to hold legislative elections without minimal conditions being in place to ensure their credibility, transparency and inclusiveness could only exacerbate the crisis;

L.

whereas UN observers have declared that the 29 June 2015 poll took place ‘in a tense political crisis and a climate of widespread fear and intimidation in parts of the country’, and therefore concluded that ‘the environment was not conducive for free, credible and inclusive elections’;

M.

whereas the election process continues to be seriously marred by restrictions on independent media, excessive use of force against demonstrators, a climate of intimidation for opposition parties and civil society, and lack of confidence in the election authorities, leading to the EU’s decision to suspend its Election Observation Mission;

N.

whereas the East African Community (EAC) and the African Union (AU) have declared that conditions conducive to the holding of elections are not currently in place and that it will not be possible to put such conditions in place within the time frame provided for in the Burundian Constitution;

O.

whereas the UN Refugee Agency (UNHCR) says that some 127 000 people have fled Burundi to neighbouring states, creating humanitarian emergencies in Democratic Republic of the Congo, Rwanda and Tanzania, where an outbreak of cholera has been reported;

P.

whereas the political deadlock in Burundi and the deteriorating security and economic situation have serious consequences for the population and pose risks for the region as a whole, with Burundi facing its gravest crisis since the 12-year ethnically charged civil war that left an estimated 300 000 people dead by 2005;

Q.

whereas, in response to previous resolutions of the European Parliament and in particular the references therein to Article 96 of the Cotonou Agreement, EU representatives have insisted on the need for inclusive participation in the electoral process by all the country’s political forces, in line with the election roadmap and the Code of Conduct in Electoral Matters (Code de bonne conduite en matière électorale);

R.

whereas the EU has suspended the disbursement of the outstanding amount of EUR 1,7 million in election support to Burundi, given that the preconditions needed to ensure the credibility and smooth running of the electoral process in a way that is peaceful, inclusive and transparent, and does not infringe political freedoms, including freedom of expression, are currently not in place;

S.

whereas Belgium has also announced the suspension of electoral aid, opting to withhold half of the EUR 4 million it had set aside for the polls and pulling out of a EUR 5 million police cooperation deal funded jointly with the Netherlands; whereas France has also suspended security cooperation with Burundi, and Germany has announced the suspension of all bilateral cooperation involving the Government of Burundi;

T.

whereas the right to freedom of expression is guaranteed by the Burundian Constitution and by international and regional treaties ratified by Burundi, is included in the National Strategy for Good Governance and the Fight against Corruption, and is an essential condition for free, fair, transparent and peaceful elections; whereas, nevertheless, there is a total clampdown on the media as a result of the closure of privately owned broadcasters in mid-May, the mass exodus of journalists and the constant threats against those still in Burundi;

U.

whereas the EU contributes significantly to Burundi’s annual budget, approximately half of which comes from international aid, and has recently allocated EUR 432 million to Burundi — one of the world’s poorest nations — from the European Development Fund 2014-2020, inter alia to assist with improving governance and civil society;

V.

whereas the current situation has an impact on the economic and social life of all Burundians; whereas most schools and university campuses are closed because of violent demonstrations in the capital, Bujumbura, the local currency has depreciated, unemployment has increased and tax revenues have decreased, because of the closure of commercial centres and the slowdown of trade with neighbouring states;

1.

Expresses grave concern about the worsening political and humanitarian situation in Burundi and the wider region; calls for an immediate end to violence and political intimidation of opponents and the immediate disarmament of all armed youth groups allied to political parties; extends its sympathy to victims of the violence and to those who have lost their lives, and calls for immediate humanitarian assistance for those who have been forced to flee their homes;

2.

Condemns the decision of the Burundian Government to go ahead with the elections despite the critical prevailing political and security situation and given that the election process has been seriously marred by restrictions on independent media, excessive use of force against demonstrators, a climate of intimidation for opposition parties and civil society and a lack of confidence in the election authorities; urges the Burundian authorities to postpone the presidential elections set for 15 July 2015 in line with calls by the African Union and to involve all stakeholders in the efforts to create an environment conducive to a peaceful, credible, free and fair electoral process;

3.

Calls on all those involved in the electoral process, including the bodies responsible for organising elections and the security services, to honour the commitments made in the Arusha Agreement, and recalls that this agreement put an end to the civil war and is the foundation on which the Burundian Constitution is based; underlines the importance of a consensual agreement on the electoral calendar on the basis of a technical assessment to be undertaken by the UN;

4.

Emphasises, once again, that only through dialogue and consensus, involving the Burundian Government, opposition and civil society in accordance with the Arusha Agreement and the Burundian Constitution, can a lasting political solution be found in the interests of security and democracy for all the people of Burundi; calls on all Burundian stakeholders to resume dialogue on all areas of disagreement; supports, therefore, the mediation efforts being made by the AU, the EAC and the UN, and is ready to support the implementation of the specific measures recently announced by the AU;

5.

Expresses, once again, its support for the sustained efforts being deployed by the EAC, and emphasises the relevance of the measures agreed upon by the summits held in Dar es Salaam on 13 and 31 May 2015, including the call for the postponement of the elections and the immediate cessation of violence, the disarmament of youth groups affiliated to political parties, the initiation of a dialogue among Burundian stakeholders, and the commitment on the part of the region not to stand by should the situation deteriorate, which provide a framework for a political and consensual solution to the crisis;

6.

Recalls that the EU’s partnership with Burundi is governed by the Cotonou Agreement, and that all parties are bound to respect and implement the terms of that agreement, in particular respect for human rights; notes that Burundi has also signed and ratified the International Covenant on Civil and Political Rights and the African Charter on Human and Peoples’ Rights, and therefore has an obligation to respect universal human rights and freedom of expression; calls on the Government of Burundi, therefore, to allow genuine and open political debate to take place without fear of intimidation, and to refrain from misusing the judiciary to exclude political rivals;

7.

Takes note of the dialogue which has taken place between the EU and the Burundian authorities under Article 8 of the Cotonou Agreement; believes, nevertheless, that there are continuing breaches of the essential and fundamental elements of the Cotonou Agreement, in particular respect for fundamental human and democratic principles, and calls on the Commission, therefore, to initiate Article 96 proceedings with a view to taking appropriate measures;

8.

Calls also on the Commission, to this end, to reassess EU aid as a matter of urgency with a view to diverting it, to increasing financial support for civil society and to focusing on humanitarian aid as opposed to central budget support, while keeping in mind the highly commendable role of the Burundian army in the peacekeeping mission in Somalia;

9.

Joins the Foreign Affairs Council of 22 June 2015 in calling on the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy (VP/HR) to prepare a list of targeted restrictive measures and visa and travel bans against those responsible for acts of violence, repression and serious human rights violations, together with those who are actively impeding a political solution within the framework proposed by the AU and the EAC, and also asks the VP/HR to take the necessary measures to freeze the assets of all of these individuals in the EU Member States;

10.

Expresses its deep concern at the number of victims and the number of cases of serious human rights violations reported since the beginning of the crisis, particularly those abuses attributed to members of the Imbonerakure; notes the intimidation and risks faced by human rights defenders, political activists and journalists and the arbitrary arrest of opposition party members; calls for the immediate and unconditional release of all individuals arrested as a result of exercising their right to peaceful assembly and expression;

11.

Demands that the violence and intimidation exercised by the Imbonerakure be brought to an immediate end; calls on the CNDD-FDD to take immediate action to disarm the youth militia and stop its members from intimidating and attacking opponents, and to ensure that those responsible for abuses are brought to justice; calls for an independent international investigation into claims that the CNDD-FDD arms and trains its youth wing; similarly, urges the leaders of opposition parties to prevent violence from being perpetrated against their opponents;

12.

Reiterates that there can be no impunity for those responsible for serious human rights violations, who must be held individually responsible and brought to account in a court of law; considers that it is of particular importance that the deployment of human rights observers and military experts announced by the AU start immediately;

13.

Notes that attempts by certain forces to transform the riots into an ethnic conflict are failing, and that political divisions in Burundi are not explicitly ethnic; believes that this demonstrates the success of the Arusha Accords in establishing an ethnically balanced army and police force; invites the International Criminal Court prosecutor to therefore monitor those media closely for incitement to ethnic hatred, as well as speeches by political leaders;

14.

Reiterates, in this context, the importance of abiding by the Code of Conduct in Electoral Matters and the UN-brokered election roadmap signed by political actors in 2013, and fully supports UN and regional efforts to prevent a further increase in political violence;

15.

Calls for the immediate lifting of restrictions on the media and access to the internet, and denounces once again the repeated targeting of Radio Publique Africaine, which serves as one of the country’s principal news outlets; considers that legitimate elections cannot take place unless media outlets are able to operate without restrictions, and journalists to report without intimidation;

16.

Commends the role of humanitarian organisations and the authorities of neighbouring countries which are addressing the needs of those fleeing the crisis and are offering protection for refugees; welcomes the Commission’s announcement of an additional EUR 1,5 million to ease the humanitarian situation; warns, however, that commitments must be redoubled as a matter of urgency by both the EU and its Member States, given the huge influx of refugees into an already fragile region, reported outbreaks of cholera and alarming reports of sexual violence; underlines the importance of a long-term strategy for not only medical and nutritional assistance but also reintegration and psychological assistance for those forced to flee;

17.

Calls for the EU and its Member States to deliver on all commitments to the UN Burundi Regional Refugee Response Plan, which requires USD 207 million up to September 2015 in order to assist the expected 200 000 Burundian refugees, including by topping up existing grants to the region;

18.

Instructs its President to forward this resolution to the Council, the Commission, the governments of the Member States, the Government of Burundi and the governments of the countries of the Great Lakes region, the governments of the East African Community, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, Federica Mogherini, the African Union, the Secretary-General of the United Nations, the Co-Presidents of the ACP-EU Joint Parliamentary Assembly and the Pan-African Parliament.


11.8.2017   

EN

Official Journal of the European Union

C 265/142


P8_TA(2015)0276

Srebrenica commemoration

European Parliament resolution of 9 July 2015 on the Srebrenica Commemoration (2015/2747(RSP))

(2017/C 265/17)

The European Parliament,

having regard to its resolutions of 7 July 2005 (1) and of 15 January 2009 (2) on Srebrenica,

having regard to the provisions of the Universal Declaration of Human Rights, of the European Convention on Human Rights and of the International Covenant on Civil and Political Rights, recognising the right of everyone to life, liberty and security of person and to freedom of thought, conscience and religion,

having regard to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and Bosnia and Herzegovina (BiH), of the other part, which was signed in Luxembourg on 16 June 2008 and entered into force on 1 June 2015,

having regard to UN Security Council Resolutions 827 of 25 May 1993, 1551 of 9 July 2004 and 1575 of 22 November 2004,

having regard to Rule 123(2) and (4) of its Rules of Procedure,

A.

whereas 11 July 2015 marks the 20th anniversary of the act of genocide and ethnic cleansing that took place in and around Srebrenica during the Bosnian War, which should serve as a fresh reminder of the dangers of extreme forms of nationalism and intolerance in society, further exacerbated in the framework of war;

B.

whereas on 11 July 1995 the Bosnian town of Srebrenica, which had been proclaimed a safe area by UN Security Council Resolution 819 of 16 April 1993, was captured by Bosnian Serb forces led by General Ratko Mladić, acting under the authority of the then President of the Republika Srpska, Radovan Karadžić;

C.

whereas, during several days of carnage after the fall of Srebrenica, more than 8 000 Muslim men and boys, who had sought safety in this area under the protection of the United Nations Protection Force (UNPROFOR), were summarily executed by Bosnian Serb forces commanded by General Mladić and by paramilitary units, including irregular police units; whereas nearly 30 000 women, children and elderly people were forcibly expelled in a massive-scale ethnic cleansing campaign, making this event the biggest war crime to take place in Europe since the end of the Second World War;

D.

whereas the tragic events of Srebrenica left deep emotional scars on the survivors and created long-lasting obstacles to political reconciliation among ethnic groups in Bosnia and Herzegovina (BiH);

E.

whereas the Srebrenica massacre was recognised as genocide by both the International Criminal Tribunal for the former Yugoslavia (ICTY) in Appeals Judgment, Prosecutor v. Radislav Krstić, Case No.: IT-99-33 of 19 April 2004, and the International Court of Justice in the Case concerning Application of the Convention on the Prevention and Punishment of the Crime of Genocide (Bosnia and Herzegovina v. Serbia and Montenegro) of 27 February 2007, p. 127, § 297 (ICJ);

F.

whereas multiple violations of the Geneva Conventions were perpetrated by Bosnian Serb forces against the civilian population of Srebrenica, including deportations of thousands of women, children and elderly people and the rape of a large number of women;

G.

whereas, in spite of the efforts made to discover and exhume mass and individual graves, the bodies of nearly 1 200 men and boys from Srebrenica have not yet been located and identified;

H.

whereas in 1999 the UN Secretary-General in his report on the fall of Srebrenica declared that the UN failed to implement its mandate, especially with regard to the protection of the so-called ‘safe areas’, and thus shares responsibility;

I.

whereas the EU is built on peaceful coexistence and committed cooperation between its members; whereas one of the main motivations for the European integration process is the will to prevent the recurrence of wars and crimes against international humanitarian law in Europe;

J.

whereas on 30 January 2015 the ICTY upheld the sentences of five high-ranking Bosnian Serb army officers convicted for their involvement in the 1995 Srebrenica genocide; whereas some of the convicted officers reported directly to former Bosnian Serb army leader Ratko Mladić, who is currently on trial at the ICTY for crimes including genocide;

1.

Commemorates and honours all the victims of the Srebrenica genocide and of all the atrocities during the wars in the former Yugoslavia; expresses its condolences to and solidarity with the families of the victims, many of whom are living without final confirmation of the fate of their relatives;

2.

Condemns in the strongest possible terms the genocide in Srebrenica; solemnly declares that such horrendous crimes must never happen again and states that it will do everything in its power to prevent such acts from recurring; rejects any denial, relativisation or misinterpretation of the genocide;

3.

Emphasises the need for political representatives in Bosnia and Herzegovina to acknowledge the past in order to work successfully together towards a better future for all citizens of the country; highlights the important role which neighbouring countries, religious authorities, civil society, art, culture, the media and educational systems can play in this difficult process;

4.

Stresses the importance of the work done by the ICTY and the need to take all necessary measures to accelerate the trials and appeals and bring them to an end without undue delay; reiterates that greater attention needs to be paid to war crime trials being prosecuted at domestic level;

5.

Reiterates the EU’s commitment to the European perspective and further accession process of BiH and all Western Balkan countries; believes that regional cooperation and the European integration process are the best way to promote reconciliation and to overcome hatred and divisions;

6.

Urges the development of educational and cultural programmes that promote an understanding of the causes of such atrocities and raise awareness about the need to nurture peace and to promote human rights and interreligious tolerance; expresses its support for civil society organisations such as the Association of Mothers of Srebrenica and Žepa Enclaves for their pivotal role in raising awareness and building a broader basis for reconciliation among all citizens of the country;

7.

Regrets that the UN Security Council, which has the primary responsibility for maintenance of international peace and security, failed to pass a resolution commemorating the Srebrenica genocide. This is especially regrettable, as the International Court of Justice, the UN’s primary judicial body, has determined that the crimes committed in Srebrenica were genocide;

8.

Strongly welcomes the decision of the Council of Ministers of Bosnia and Herzegovina, taken unanimously, to proclaim the 11th of July as Day of Mourning in Bosnia and Hercegovina;

9.

Instructs its President to forward this resolution to the Council and Commission, the governments of the Member States, the Government and Parliament of Bosnia and Herzegovina and its entities, and the governments and parliaments of the countries of the Western Balkans.


(1)  OJ C 157 E, 6.7.2006, p. 468.

(2)  OJ C 46 E, 24.2.2010, p. 111.


11.8.2017   

EN

Official Journal of the European Union

C 265/144


P8_TA(2015)0277

Cambodia's draft laws on NGOs and trade unions

European Parliament resolution of 9 July 2015 on Cambodia’s draft laws on NGOs and trade unions (2015/2756(RSP))

(2017/C 265/18)

The European Parliament,

having regard to its previous resolutions on Cambodia,

having regard to the statement of 22 June 2015 by the UN Special Rapporteur on the rights to freedom of peaceful assembly and of association,

having regard to the UN Human Rights Committee’s concluding observations of 27 April 2015 on the second periodic report of Cambodia,

having regard to the report of 15 August 2014 by the UN Special Rapporteur on the situation of human rights in Cambodia,

having regard to the various International Labour Organisation (ILO) conventions, in particular the Freedom of Association and Protection of the Right to Organise Convention (No 87) and the Right to Organise and Collective Bargaining Convention (No 98),

having regard to the Universal Declaration of Human Rights of 10 December 1948,

having regard to the International Covenant on Civil and Political Rights of 1966,

having regard to the 1997 Cooperation Agreement between the European Community and the Kingdom of Cambodia,

having regard to Rules 135(5) and 123(4) of its Rules of Procedure,

A.

whereas Cambodia’s vibrant civil society — in particular activists working on land rights issues, labour union members, journalists and opposition party members — has played an important corrective role;

B.

whereas on 5 June 2015 the Government of Cambodia approved the draft Law on Associations and Non-Governmental Organisations (LANGO); whereas the draft law was sent to the National Assembly of Cambodia for review on 16 June 2015;

C.

whereas the EU is Cambodia’s largest partner in terms of development assistance, with a new allocation for the 2014-2020 period of EUR 410 million; whereas the EU supports a wide range of human rights initiatives carried out by Cambodian non-governmental organisations (NGOs) and other civil society organisations, and has also observed national and commune-level elections while providing support for the election process; whereas Cambodia is highly dependent on development assistance;

D.

whereas the UN Special Rapporteur on the rights to freedom of peaceful assembly and of association has stated that civil society in Cambodia has been excluded from the LANGO drafting process;

E.

whereas several renowned NGOs have pointed out that LANGO follows previous attempts, later withdrawn in response to domestic and international opposition, to enact a law that would impose unwarranted restrictions on the rights to freedom of association and expression and create legal grounds for arbitrarily closing or denying registration to politically disfavoured NGOs, including those employing human rights defenders;

F.

whereas the right to freedom of expression is established in Article 41 of the Cambodian Constitution, and the right of political participation in Article 35 thereof;

G.

whereas the right to freedom of peaceful assembly is enshrined in the Cambodian Constitution, in Article 20 of the Universal Declaration of Human Rights and in Article 21 of the International Covenant on Civil and Political Rights;

H.

whereas the right to take part in the conduct of public affairs is enshrined in Article 25 of the International Covenant on Civil and Political Rights, and whereas the right to freedom of association, protected by Article 22 of that covenant, is an essential adjunct and often a gateway to such participation; whereas transparency and accountability are essential elements for a functioning democracy;

I.

whereas it is expected that the country will lose USD 600-700 million in development projects annually once the law has been passed; whereas LANGO would place restrictions on budgets, which would threaten the capacity of international NGOs to run cost-effective projects;

J.

whereas the draft law governing trade unions would violate the right to organise and would severely limit the rights of independent trade unions, including existing unions; whereas the draft law sets an unreasonably high minimum threshold for the number of workers who must join before a union can be formed (20 %); whereas the draft law gives sweeping powers to Labour Ministry officials as regards the approval of strikes and the suspension of union registration on flimsy grounds and without due process; whereas the draft law excludes domestic workers from the right to unionise, makes union leaders subject to literacy requirements which discriminate against women and non-nationals, prohibits contacts with NGOs, and sets ineffectively low fines for employers who violate labour law;

K.

whereas, since the May 2014 consultation in which local labour rights groups were invited to participate, the Cambodian authorities have not held any public consultations on subsequent drafts of the bill; whereas periodic media announcements by government officials have indicated that the trade union law will be enacted in 2015;

L.

whereas about 5 000 NGOs are registered in Cambodia, providing assistance in areas such as human rights, health care, civil society and agriculture;

M.

whereas on 16 June 2015 Prime Minister Hun Sen stated in a meeting with the EU Ambassador to Cambodia, Jean-François Cautain, that the National Assembly was planning to hold a consultation on the draft NGO law, and expressed his wish to include civil society and development partners in that consultation;

1.

Urges the Government of Cambodia to withdraw the draft LANGO;

2.

Urges the Government of Cambodia to recognise the legitimate and useful role played by civil society, trade unions and the political opposition in contributing to Cambodia’s overall economic and political development; recalls that civil society is one of the main pillars for the development of any country; stresses that the law on associations and NGOs should create an enabling environment for civil society to continue to contribute to the development of Cambodia;

3.

Calls on the Government of Cambodia to withdraw the draft law governing trade unions, to publicly disclose the current draft and to consult with experts and trade union members with a view to revising it, in compliance with international law and ILO conventions, in particular the Freedom of Association and Protection of the Right to Organise Convention (No 87) and the Right to Organise and Collective Bargaining Convention (No 98), before resubmitting the draft for consideration;

4.

Endorses the UN Special Rapporteur’s statement that ‘such legislation should be adopted only through a comprehensive participatory process, that is inclusive enough to ensure that all stakeholders are committed to its substance’;

5.

Asks that civil society and the Cambodian people be afforded sufficient time for review of, and consultations on, any legislation so that they can submit comments to their elected representatives before the legislation is voted on;

6.

Urges that any draft legislation should respect the internationally recognised freedoms of speech, association and assembly, which Cambodia has committed to adhere to through its ratification of the International Covenant on Civil and Political Rights, and should not place undue restrictions on civil society’s ability to operate effectively and freely;

7.

Encourages the Government of Cambodia to continue to strengthen democracy, the rule of law and respect for human rights and fundamental freedoms, in particular freedom of expression and assembly;

8.

Calls on the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy to support the call for the withdrawal of the draft LANGO and the draft law governing trade unions, and to raise this issue with the Government of Cambodia without delay;

9.

Instructs its President to forward this resolution to the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, the Council, the Commission, the Secretariat of the Association of Southeast Asian Nations, the UN Human Rights Council, and the Government and National Assembly of the Kingdom of Cambodia.


11.8.2017   

EN

Official Journal of the European Union

C 265/147


P8_TA(2015)0278

The Democratic Republic of the Congo (DRC), in particular the case of two detained human rights activists Yves Makwambala and Fred Bauma

European Parliament resolution of 9 July 2015 on the Democratic Republic of the Congo (DRC), in particular the case of the two detained human rights activists Yves Makwambala and Fred Bauma (2015/2757(RSP))

(2017/C 265/19)

The European Parliament,

having regard to its previous resolutions on the Democratic Republic of the Congo, in particular that of 12 September 2013 (1), and to the resolution thereon of the ACP-EU Joint Parliamentary Assembly,

having regard to the statements by the spokesperson for the European External Action Service on the situation in the Democratic Republic of the Congo, in particular that of 21 January 2015,

having regard to the statements by the EU Delegation to the Democratic Republic of the Congo on the situation of human rights in the country, in particular that of 11 February 2015,

having regard to the EU Annual Report on Human Rights and Democracy adopted by the Council on 22 June 2015,

having regard to the Council conclusions of 19 January 2015 on the Democratic Republic of the Congo,

having regard to the statement of 22 January 2015 of the International Envoys to the Great Lakes region on the situation in the Democratic Republic of the Congo,

having regard to the joint press release of 12 February 2015 by the African Union (AU) Special Rapporteur on Human Rights Defenders and the AU Special Rapporteur on Prisons and Conditions of Detention in Africa on the human rights situation following the events surrounding the amendment of the Electoral Law in the Democratic Republic of the Congo,

having regard to the Cotonou Partnership Agreement signed in June 2000,

having regard to the EU Guidelines on Human Rights Defenders and the EU Human Rights Guidelines on Freedom of Expression Online and Offline,

having regard to the 1948 Universal Declaration of Human Rights and the 1966 International Covenant on Civil and Political Rights,

having regard to the African Charter on Human and Peoples’ Rights, which was ratified by the Democratic Republic of the Congo in 1982,

having regard to the Constitution of the Democratic Republic of the Congo, in particular Articles 22, 23, 24 and 25 thereof,

having regard to the ‘Free Filimbi Activists’ appeal launched by more than 200 human rights groups on 15 June 2015,

having regard to Rules 135(5) and 123(4) of its Rules of Procedure,

A.

whereas between 19 and 21 January 2015 nationwide protests erupted over a draft electoral law that would have allowed the presidential term to be extended, contrary to constitutional provisions, and would have required a potentially very lengthy census to be conducted before national elections were held;

B.

whereas according to the authorities 27 people died in the protests, although other sources report 42 deaths, and whereas 350 people were arrested, some of whom are still in prison without having been put on trial, or forcibly disappeared;

C.

whereas during the protests in January 2015 internet and mobile text message services were shut down by the government;

D.

whereas in the end the electoral law adopted by the parliament did not include the controversial provision;

E.

whereas as soon as the protests started the authorities began a crackdown on human rights activists and opposition politicians who had demonstrated peacefully against the provision, including Christopher Ngoyi, Jean-Claude Muyambo, Vano Kiboko and Cyrille Dowe, who are still being detained for what appear to be politically motivated reasons;

F.

whereas on 15 March 2015 the National Intelligence Agency (ANR) of the Democratic Republic of the Congo (DRC) arrested and detained without charge more than 30 people during the launch of the pro-democracy youth movement Filimbi, including international participants and DRC activists, musicians, businesspeople and journalists;

G.

whereas most of the activists and supporters were released and the foreigners expelled from the country, but whereas Yves Makwambala and Fred Bauma are still being detained in Makala prison in Kinshasa and are charged with belonging to an association formed for the purpose of attacking people and property, conspiring against the head of state, and attempting to either destroy or change the ‘constitutional regime’ and to incite people to take up arms against state authority; whereas the authorities have also charged Fred Bauma with disturbing the peace, and Yves Makwambala with publicly offending the head of state, while they were exercising their freedom of expression, peaceful assembly and association;

H.

whereas Filimbi was created as a platform to encourage DRC young people to perform civic duties peacefully and responsibly;

I.

whereas in March and April 2015, in Goma (in the eastern DRC), the authorities arrested and later released at least 15 activists from the LUCHA youth movement who were demonstrating peacefully to demand the release of their colleagues detained in Kinshasa; whereas four of these activists face charges of inciting disobedience against public authority;

J.

whereas on 27 March 2015 the National Assembly of the DRC set up a parliamentary information mission to gather information and report on the arrests; whereas this mission concluded in its report that there was no evidence that the Filimbi leaders and participants had been involved in, or been planning, any terrorist or other violent crimes, and called for a political solution for their immediate release;

K.

whereas, on 15 June 2015, 14 international organisations and 220 DRC human rights organisations called for the immediate and unconditional release of the two activists;

L.

whereas, in this context, a mass grave with an estimated 421 bodies was discovered in Maluku, about 80 km from central Kinshasa;

M.

whereas the Minister of Justice acknowledged recently that the DRC’s justice system is fraught with many problems, including clientelism, influence, peddling, corruption, impunity and inequity in judicial decisions;

N.

whereas freedom of the press is limited by threats and attacks against journalists, and many media have been closed or censored illegally;

O.

whereas the next national elections are scheduled for November 2016, with a difficult agenda as regards their organisation and financing;

P.

whereas civil society played an important role in the DRC in the context of the 2003 political transition, the 2006 and 2011 elections, the revision of mining contracts, the 2013 suspension of the DRC from the Extractive Industries Transparency Initiative, and the drafting of the 2013 Electoral Law and of legislation against sexual violence;

Q.

whereas the government reaction to civil society engagement is an attempt to treat activists and advocacy organisations like the political opposition in order to undermine them;

R.

whereas in June 2014 the EU sent a follow-up electoral mission which pointed out the need to update the electoral roll, the necessity of creating the conditions for fair competition among candidates and the need to strengthen the protection of public liberties, the electoral dispute system and the fight against impunity;

S.

whereas the 2014-2020 National Indicative Programme for the DRC, funded with EUR 620 million from the 11th European Development Fund, prioritises strengthening governance and the rule of law, including reforms of the judiciary, the police and the army;

1.

Deplores the loss of lives and the arbitrary violence against, and arrests of, demonstrators during the January 2015 protests, together with the crackdown on activists and political opponents, in particular the events that occurred during the launch of the Filimbi movement in March 2015;

2.

Calls on the DRC authorities to release Yves Makwambala and Fred Bauma immediately and unconditionally, and to drop all charges against them and other Filimbi leaders as well as any other activists, prisoners of conscience and political opponents arbitrarily arrested and detained solely for their political views or for participating in peaceful activities;

3.

Supports the National Assembly of the DRC’s calls for the rapid reaching of a political solution that allows the members of Filimbi and other peaceful civil society associations to exercise their freedom of expression and association without fear of being pursued or persecuted;

4.

Urges the authorities to ensure that the detainees have not been, and are not being, subjected to any acts of torture or ill-treatment, and to guarantee full protection and access to their families and lawyers;

5.

Considers the fact that the ANR has held the detainees without charge for more than 48 hours, denying them access to legal assistance and without bringing them before a competent judicial authority, to be a blatant violation of rights guaranteed by the DRC’s constitution;

6.

Asks for a full, thorough and transparent investigation to be launched by the DRC Government, together with international partners, into the events of January and March 2015, and for any illegal actions or denial of rights or freedoms to be identified; insists that any official suspected of being responsible for violating rights or freedoms guaranteed by national and international texts must be brought to justice;

7.

Is strongly concerned about the continuous attempts to limit freedom of expression, peaceful assembly and association and the increased breaches of these freedoms by the authorities, given that the right political climate is indispensable if a successful electoral cycle is to be achieved in the DRC in the next year;

8.

Finds it particularly regrettable that these violations specifically target opposition leaders and youth movements;

9.

Calls on the DRC authorities to ensure that the aforementioned freedoms are immediately and unconditionally upheld, especially in the electoral period, as guaranteed by the DRC’s constitution and international human rights law;

10.

Recalls that respect for political diversity and opposition, an open and peaceful political debate, and the full exercise of the constitutional freedoms of expression, peaceful assembly, association and information are indispensable in order to guarantee democratic elections that are credible, inclusive, peaceful and timely; insists that such guarantees are paramount in a particularly volatile Great Lakes region and also depend on the successful implementation of the Addis Ababa Peace, Security and Cooperation Agreement; supports, in this context, the efforts of the International Envoys to the Great Lakes region;

11.

Encourages the DRC’s parliament and senate, and its President, Joseph Kabila, to implement all necessary measures to consolidate democracy and ensure genuine participation in the country’s governance by all political forces, civil society and pro-democracy movements expressing the will of the DRC nation, on the basis of constitutional and legal rules as well as in free and fair elections;

12.

Encourages the development of platforms such as Filimbi that enable pro-democratic forces to be heard, and favours the participation of young people in an electoral process from which they have unfairly been excluded;

13.

Recalls the commitment made by the DRC under the Cotonou Agreement to respect democracy, the rule of law and human rights principles, which include freedom of expression, freedom of the media, good governance and transparency in political office; urges the Government of the DRC to uphold these provisions in accordance with Articles 11(b), 96 and 97 of the Cotonou Agreement and, failing that, asks the Commission to launch the relevant procedure in accordance with Articles 8, 9 and 96 of the Cotonou Agreement;

14.

Insists that the nature and amount of further EU support for the electoral process in the DRC must depend on the progress made in implementing the recommendations of the 2011 EU election observation mission and the 2014 follow-up mission, in respecting the electoral calendar and in presenting a credible budget;

15.

Urges the EU Delegation to monitor developments and to use all appropriate tools and instruments, including the European Instrument for Democracy and Human Rights, to support human rights defenders and pro-democracy movements;

16.

Urges the DRC judicial authorities to assert their independence from any political instrumentalisation and to ensure the protection of rights recognised by legal instruments, such as access to justice and the right to a fair trial;

17.

Urges the DRC authorities to stop minimising the significance of the mass grave next to Kinshasa, and echoes the EU and UN call for an urgent, transparent and credible investigation to reassure the families of missing people and put an end to the various allegations;

18.

Denounces the illegal closing and abusive censorship of the media, as well as the temporary shutdown of telecommunications;

19.

Instructs its President to forward this resolution to the Council, the Commission, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, the African Union, the governments of the countries of the Great Lakes region, the President, Prime Minister and Parliament of the DRC, the Secretary-General of the United Nations, the UN Human Rights Council, and the ACP-EU Joint Parliamentary Assembly.


(1)  Texts adopted, P7_TA(2013)0388.


11.8.2017   

EN

Official Journal of the European Union

C 265/151


P8_TA(2015)0279

Bahrain, in particular the case of Nabeel Rajab

European Parliament resolution of 9 July 2015 on Bahrain, in particular the case of Nabeel Rajab (2015/2758(RSP))

(2017/C 265/20)

The European Parliament,

having regard to its previous resolutions on Bahrain, notably its resolution of 6 February 2014 on Bahrain, in particular the cases of Nabeel Rajab, Abdulhadi al-Khawaja and Ibrahim Sharif (1),

having regard to the statement of 17 June 2015 by the Spokesperson of Vice-President/High Representative for Foreign Affairs and Security Policy Federica Mogherini on the sentencing of al-Wefaq Secretary General Ali Salman in Bahrain,

having regard to the 24th EU-GCC Joint Council and Ministerial Meeting in Doha, Qatar, on 24 May 2015,

having regard to the decision of the Arab League’s Ministerial Council, meeting in Cairo on 1 September 2013, to set up a pan-Arab court of human rights in Bahrain’s capital Manama,

having regard to Report Detailing the Government of Bahrain’s Implementation of the Recommendations of the Bahrain Independent Commission of Inquiry of February 2014 and the update on the Universal Periodic Review (UPR) presented by the Government of Bahrain in September 2014,

having regard to the 1966 International Covenant on Civil and Political Rights, the Convention against Torture and other Cruel, Inhuman or Degrading Treatment or Punishment, the Convention on the Rights of the Child and the Arab Charter on Human Rights, to all of which Bahrain is a party,

having regard to the European Union Guidelines on Human Rights Defenders, adopted in June 2004 and reviewed in 2008,

having regard to the United Nations Convention on the Reduction of Statelessness,

having regard to the new EU Strategic Framework and Action Plan on Human Rights, which aims to place the protection and surveillance of human rights at the heart of all EU policies, and which includes a specific section on the protection of human rights defenders,

having regard to the visit by Stavros Lambrinidis, the EU Special Representative for Human Rights, to Bahrain at the end of May 2015,

having regard to Articles 5 and 19 of the Universal Declaration of Human Rights,

having regard to Rules 135(5) and 123(4) of its Rules of Procedure,

A.

whereas Bahrain has promised to make progress in its reforms on the situation of human rights, following the release of the report by the Bahrain Independent Commission of Inquiry (BICI) on 23 November 2011, and its follow-up report of 21 November 2012;

B.

whereas Bahrain’s establishment of the Ombudsman of the Ministry of the Interior, the Prisoners and Detainees Rights Commission and the Special Investigations Unit is encouraging; whereas these institutions should be made more impartial, transparent and independent of government institutions;

C.

whereas since the beginning of the 2011 uprising Bahraini authorities have been stepping up the use of repressive measures against civil society activists and peaceful opposition; whereas on 10 June 2014, 47 States, including all 28 EU Member States, signed a joint statement at the 26th Session of the UN Human Rights Council noting serious concerns over the human rights situation in Bahrain; whereas the joint statement expressly noted areas of concern, including long sentences for exercising the rights to freedom of peaceful assembly and of association, the lack of sufficient guarantees of a fair trial, the repression of demonstrations, the continued harassment and imprisonment of persons exercising their rights to freedom of opinion and expression, ill-treatment and torture in detention facilities, the arbitrary deprivation of nationality without due process, and insufficient accountability for human rights violations;

D.

whereas Nabeel Rajab, Bahraini human rights defender and President of the Bahrain Center for Human Rights (BCHR), Deputy Secretary-General of the International Federation for Human Rights (FIDH) and member of the Advisory Committee of Human Rights Watch’s Middle East Division, was sentenced to six months imprisonment simply for peacefully exercising his freedom of expression; whereas Nabeel Rajab was arrested on 1 October 2014 after his visit to the Subcommittee on Human Rights of the European Parliament on accusations of posting tweets about a group of his countrymen allegedly cooperating with IS/Da’esh; whereas he was charged with insulting a public institution and the army; whereas in November 2013 the United Nations Working Group on Arbitrary Detention described the detention of Mr Nabeel Rajab as arbitrary;

E.

whereas Nabeel Rajab has served several prison sentences since setting up the Bahrain Centre for Human Rights in 2002; whereas Nabeel Rajab is facing further charges related to his freedom of expression and is currently risking up to 10 years’ imprisonment for allegedly ‘insulting a statutory body’ and ‘spreading rumours at a time of war’;

F.

whereas, like Nabeel Rajab, many human rights defenders, such as Naji Fateel, Danish human rights defender Abdulhadi Al-Khawaja, Swedish political activist Mohammed Habib Al-Muqdad and others in the so-called Bahrain 13, have been detained, subjected to judicial harassment in Bahrain, imprisoned and are serving long or life-long sentences as a direct reprisal for their work in defending human rights; whereas most of them have reportedly been subjected to violence, ill treatment and physical or psychological torture;

G.

whereas, according to the BCHR, more than 3 000 prisoners are in arbitrary detention, many of them human rights defenders who have been imprisoned and are serving long or life-long sentences as a direct reprisal for their activities; whereas most of them have reportedly been subjected to violence, ill treatment and physical or psychological torture;

H.

whereas on 16 June 2015, the Secretary General of Bahrain’s main opposition party al-Wefaq, Sheikh Ali Salman, was sentenced to four years in prison in the context of anti-government protests which erupted in 2011 at the height of the region’s ‘Arab Spring’ uprisings; whereas his lawyers have reportedly been prevented by the court from presenting oral arguments and have not been provided with any meaningful opportunity to examine the evidence; whereas a group of United Nations independent experts, part of what is known as the Special Procedures of the Human Rights Council, have urged the Bahraini authorities to release Sheikh Ali Salman;

I.

whereas since 2012 Bahrain has been misusing anti-terrorism legislation to arbitrarily revoke the nationalities of activists and members of the opposition as a reprisal for dissent, including at least 9 minors; whereas, according to several reports in 2015 alone, over 100 activists, protesters and politicians have had their citizenship revoked, making a large part of them stateless, in contravention of the UN Convention on the Reduction of Statelessness;

J.

whereas the use of the death penalty in politically motivated cases has expanded since 2011; whereas at least seven individuals have been handed death sentences in political cases since 2011, with four of these seven being sentenced to death in 2015 alone;

K.

whereas the Bahrain Independent Commission of Inquiry (BICI) established by Royal Order to investigate and report on the events that took place in Bahrain in February 2011 made a series of recommendations on human rights and political reforms; whereas progress has been made in overhauling the legal and law enforcement systems, but the government has failed to fully implement the Commission’s core recommendations, notably the release of protest leaders convicted for exercising their right to freedom of expression and peaceful assembly; whereas the reconciliation talks — known as The National Dialogue — have stalled; whereas some groups are still unrepresented in the political system and the security forces remain unaccountable;

1.

Calls for the dropping of charges and immediate and unconditional release of all human rights defenders, political activists and other individuals detained and charged with alleged violations related to the rights of expression, peaceful assembly and association, including Nabeel Rajab, Sheikh Ali Salman and the ‘Bahrain 13’;

2.

Recognises the commitments by the Bahraini authorities to implement the recommendations of the Bahrain Independent Commission of Inquiry (BICI) from 2011 and of the UN Universal Periodic Review of Bahrain (UPR), as well as recommendations made by other UN mechanisms and the recent release of a number of prisoners charged with crimes related to their political association and expression; urges the Bahraini government to swiftly implement all the recommendations in the BICI report and the UPR, to put an end to all human rights abuses and to respect human rights and fundamental freedoms, in line with Bahrain’s international human rights obligations;

3.

Expresses its grave concern regarding the misuse of anti-terrorism laws in Bahrain to violate human rights, including through the revocation of nationality;

4.

Condemns the continuing use of torture and other cruel, degrading treatment or punishment against prisoners, peaceful protesters and members of the opposition by the Bahraini authorities and urges the Government of Bahrain to abide by its obligations and commitments under the UN Convention against Torture;

5.

Encourages the Government of Bahrain to cooperate with the UN special rapporteurs (notably on torture, freedom of assembly, independence of judges and lawyers, and human rights defenders) and to issue a standing invitation to them;

6.

Notes the Bahraini Government’s ongoing efforts to reform the penal code and legal procedures, and encourages the continuation of this process; urges the Government of Bahrain to take all steps to guarantee an impartial and fair judicial system, ensuring due process, and to guarantee the impartiality of its Ombudsman, of the Special Investigations Unit and of the National Institution for Human Rights;

7.

Calls for the immediate ratification of the Optional Protocol to the Convention Against Torture, the Second Optional Protocol to the ICCPR aiming at the abolition of the death penalty, the Convention for the Protection of All Persons from Enforced Disappearance, and the International Convention on the Protection of the Rights of Migrant Workers and Members of Their Families;

8.

Calls on the Bahraini authorities to pursue the national consensus dialogue with a view to finding lasting and inclusive national reconciliation and sustainable political solutions for the crisis; notes that in a sustainable political process legitimate and peaceful criticisms should be expressed freely; reminds the Bahraini authorities, in this context, that engaging the Shia majority and its peaceful political representatives on the basis of human dignity, respect and fairness should be an indispensable element of any credible strategy for national reconciliation and sustainable reform;

9.

Welcomes the early release from prison of opposition leader Ibrahim Sharif in June 2015 after he was given a royal pardon; believes this decision to be a welcome and important step in the process of promoting trust and confidence in Bahrain;

10.

Urges the VP/HR to continue to raise the importance of reform and reconciliation in all her dealings with the Government of Bahrain; strongly encourages the establishment of an EU-Bahrain human rights working group, but notes that an EU-Bahrain human rights dialogue cannot replace a comprehensive dialogue between the government and the opposition in Bahrain itself;

11.

Takes note of the recommendations made by the Ombudsman, the Prisoners and Detainees Rights Commission (PDRC) and the National Institution for Human Rights (NIHR), in particular on the rights of detainees and their conditions in prison, including regarding alleged ill-treatment and torture; encourages those bodies to pursue their work in an independent, impartial and transparent manner and calls on the Bahraini authorities to fully implement these recommendations;

12.

Calls for a rapid collective EU effort to develop a comprehensive strategy on how the EU and the Commission can actively push for the release of the imprisoned activists and prisoners of conscience; calls on the EEAS and Member States to ensure proper implementation of the EU Human Rights Guidelines, notably on human rights defenders and torture, by the EU Delegation in Riyadh and the Member States’ embassies in Bahrain, and to report on their implementation;

13.

Calls for an EU ban on exports of tear gas and crowd control equipment until investigations are conducted into their improper use and until the perpetrators of such improper use are held accountable;

14.

Instructs its President to forward this resolution to the Council, the Commission, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, the governments and parliaments of the Member States, the Government and Parliament of the Kingdom of Bahrain and to the members of the GCC.


(1)  Texts adopted, P7_TA(2014)0109.


11.8.2017   

EN

Official Journal of the European Union

C 265/155


P8_TA(2015)0280

Situation of two Christian pastors in Sudan

European Parliament resolution of 9 July 2015 on the situation of two Christian pastors in Sudan (2015/2766(RSP))

(2017/C 265/21)

The European Parliament,

having regard to its previous resolutions on Sudan,

having regard to the human rights experts’ report of 19 May 2014 issued under the Special Procedures of the UN Human Rights Council,

having regard to the International Covenant on Civil and Political Rights,

having regard to the Universal Declaration of Human Rights of 1948 and to the UN Declaration on the Elimination of All Forms of Intolerance and of Discrimination Based on Religion or Belief,

having regard to the African Charter on Human and Peoples’ Rights,

having regard to the Cotonou Agreement of 2000,

having regard to the EU Guidelines on Freedom of Religion and Belief of 2013,

having regard to Sudan’s national human rights plan adopted in 2013, based on the principles of universality and equality of all people,

having regard to the resolutions of the UN General Assembly, notably to resolutions 62/149 of 18 December 2007, 63/168 of 18 December 2008, 65/206 of 21 December 2010, 67/176 of 20 December 2012 and 3/69 of 18 December 2014 on the issue of a moratorium on the application of the death penalty, in which it called on those countries where capital punishment still exists to institute a moratorium on executions with a view to its abolition,

having regard to Rules 135(5) and 123(4) of its Rules of Procedure,

A.

whereas Pastor Michael Yat of the South Sudan Presbyterian Evangelical Church was taken into custody by the Sudanese National Intelligence Service (NISS) after preaching at the Khartoum North Church, a branch of the Sudan Presbyterian Evangelical Church, during a visit to Sudan on 21 December 2014; whereas he was arrested immediately after a sermon in which he reportedly condemned the controversial sale of church land and property and the treatment of Christians in Sudan;

B.

whereas Pastor Peter Yen Reith was arrested on 11 January 2015 after delivering a letter to the Sudanese Religious Affairs Office asking after Pastor Michael and wanting to know more about his arrest;

C.

whereas both men were held incommunicado until 1 March 2015, and on 4 May 2015 both were charged with multiple offences under the Sudanese Penal Code of 1991, including; joint criminal acts (Article 21), undermining the constitutional system (Article 51), waging war against the state (Article 50), espionage (Article 53), unlawfully obtaining or disclosing official documents (Article 55), agitating hatred (Article 64), disturbing the peace (Article 69) and blasphemy (Article 125);

D.

whereas the charges based on Articles 50 and 53 of the Sudanese Penal Code carry the death penalty in the event of a guilty verdict;

E.

whereas on 1 July 2015 the Sudanese authorities came to destroy part of the Bahri Evangelical Church complex; whereas the church’s lawyer, Mohamed Mustafa, who is also the lawyer of the two arrested pastors, and Pastor Hafez of the Bahri Evangelical Church complained that the government employee was destroying the wrong part of the compound; whereas they were both arrested for obstructing a public servant in the exercise of his duties; whereas the government official continued to destroy the wrong part of the complex;

F.

whereas threats against church leaders, intimidation of Christian communities, and destruction of church property have continued at an accelerated pace in Sudan since the secession of South Sudan in 2011;

G.

whereas 12 young Christian girls from the Nuba Mountains were arrested on 25 June 2015 on leaving a Baptist church and were accused of being dressed indecently; whereas two of the girls were released without charge the following day and the other 10 were released on bail;

H.

whereas the Christian girls will have to appear before a court, charged under Article 152 of the Sudanese Penal Code, which reads: ‘Whoever does in a public place an indecent act or an act contrary to public morals or wears an obscene outfit or contrary to public morals or causing an annoyance to public feelings shall be punished with flogging which may not exceed forty lashes or with fine or with both’;

I.

whereas the African Charter on Human and Peoples’ Rights, which Sudan has ratified, includes the right to life and the prohibition of torture and cruel, inhuman or degrading punishment and treatment, but whereas the death penalty, as well as amputation, flogging and other forms of corporal punishment, are still being carried out in the country for a number of criminal offences;

J.

whereas the establishment of a universal moratorium on the death penalty with a view to its total abolition must remain one of the principal objectives of the international community, as reiterated by the UN General Assembly on 18 December 2014;

1.

Calls on the Sudanese authorities to drop all charges against Pastor Michael Yat and Pastor Peter Yen Reith and calls for their immediate and unconditional release; meanwhile calls on the Government of Sudan to ensure that pending their release the two pastors are not subjected to torture or other ill-treatment and that their physical and mental integrity is duly respected;

2.

Asks the EU Delegation to Sudan to monitor the court proceedings and provide assistance to the pastors; calls on the EU to exercise leadership in highlighting and condemning the serious and widespread violations of human rights and international humanitarian law in the country;

3.

Reminds the Sudanese authorities of their obligations at national and international level to protect freedom of religion and belief; reaffirms that freedom of religion, conscience and belief is a universal human right that needs to be protected everywhere and for everyone; strongly condemns all forms of violence and intimidation that impair the right to have or not to have, or to adopt, a religion of one’s choice, including the use of threats, physical force or penal sanctions to compel believers or non-believers to renounce their religion or to convert;

4.

Condemns the arrest of the 12 Christian girls; calls on the Government of Sudan to cease proceedings against the 10 girls who have yet to be cleared of wrongdoing;

5.

Calls on the Government of Sudan to repeal all legislation that discriminates on the grounds of religion and to protect the identity of minority groups, including those of all faiths;

6.

Condemns the harassment of Christians and interference in church affairs; urges the Government of Sudan to desist from such activity; calls on Sudan to repeal the apostasy laws and to stop closing churches and other religious sites;

7.

Calls on the Government of Sudan to reform the country’s legal system, in accordance with international human rights standards, in order to protect fundamental human rights and freedoms and ensure the protection of every individual’s human rights, particularly with regard to discrimination against women, religious minorities and disadvantaged groups;

8.

Reiterates its condemnation of the death penalty in all circumstances and the need to introduce a worldwide moratorium with a view to its abolition; calls on the Government of Sudan, accordingly, to abolish the death penalty, as well as the practice of flogging, which is still in force, and to commute existing death sentences;

9.

Is gravely concerned about the increase in the repression of members of the opposition, and strongly condemns the decision of the Omdurman court of 6 July 2015 sentencing Mastour Ahmed Mohamed, vice-president of the Congress Party, and two other leading members of that party to 20 lashes, that sentence to be carried out immediately; expresses its support for the efforts being made, notably by the UN, the EU, the African Union and the troika (Norway, the UK and the US), to reach a negotiated solution to the situation in Sudan and support the endeavours of civil society and the opposition parties to promote an inclusive peace process;

10.

Instructs its President to forward this resolution to the Council, the Commission, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, the governments and parliaments of the Member States, the Government of the Republic of Sudan, the African Union, the Secretary-General of the United Nations, the Co-Presidents of the ACP-EU Joint Parliamentary Assembly and the Pan-African Parliament


III Preparatory acts

EUROPEAN PARLIAMENT

Tuesday 7 July 2015

11.8.2017   

EN

Official Journal of the European Union

C 265/158


P8_TA(2015)0239

Nomination of a Member of the Court of Auditors — Bettina Michelle Jakobsen

European Parliament decision of 7 July 2015 on the nomination of Bettina Michelle Jakobsen as a Member of the Court of Auditors (C8-0122/2015 — 2015/0803(NLE))

(Consultation)

(2017/C 265/22)

The European Parliament,

having regard to Article 286(2) of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C8-0122/2015),

having regard to Rule 121 of its Rules of Procedure,

having regard to the report of the Committee on Budgetary Control (A8-0198/2015),

A.

whereas Parliament’s Committee on Budgetary Control proceeded to evaluate the credentials of the nominee, in particular in view of the requirements laid down in Article 286(1) of the Treaty on the Functioning of the European Union;

B.

whereas at its meeting of 17 June 2015 the Committee on Budgetary Control heard the Council’s nominee for membership of the Court of Auditors;

1.

Delivers a favourable opinion on the Council’s nomination of Bettina Michelle Jakobsen as a Member of the Court of Auditors;

2.

Instructs its President to forward this decision to the Council and, for information, the Court of Auditors, the other institutions of the European Union and the audit institutions of the Member States.


11.8.2017   

EN

Official Journal of the European Union

C 265/159


P8_TA(2015)0240

Exercise of the Union’s rights under international trade rules ***I

European Parliament legislative resolution of 7 July 2015 on the amended proposal for a regulation of the European Parliament and of the Council laying down Union procedures in the field of the common commercial policy in order to ensure the exercise of the Union’s rights under international trade rules, in particular those established under the auspices of the World Trade Organization (codified text) (COM(2015)0049 — C8-0041/2015 — 2014/0174(COD))

(Ordinary legislative procedure — codification)

(2017/C 265/23)

The European Parliament,

having regard to the Commission's amended proposal to the European Parliament and the Council (COM(2015)0049),

having regard to Article 294(2) and Article 207(2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C8-0041/2015),

having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

having regard to the opinion of the European Economic and Social Committee of 10 December 2014 (1),

having regard to the Interinstitutional Agreement of 20 December 1994 — Accelerated working method for official codification of legislative texts (2),

having regard to Rules 103 and 59 of its Rules of Procedure,

having regard to the report of the Committee on Legal Affairs (A8-0203/2015),

A.

whereas, according to the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission, the proposal in question contains a straightforward codification of the existing texts without any change in their substance;

1.

Adopts its position at first reading hereinafter set out;

2.

Instructs its President to forward its position to the Council, the Commission and the national parliaments.


(1)  Not yet published in the Official Journal.

(2)  OJ C 102, 4.4.1996, p. 2.


P8_TC1-COD(2014)0174

Position of the European Parliament adopted at first reading on 7 July 2015 with a view to the adoption of Regulation (EU) 2015/… of the European Parliament and of the Council laying down Union procedures in the field of the common commercial policy in order to ensure the exercise of the Union’s rights under international trade rules, in particular those established under the auspices of the World Trade Organization (codification)

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Regulation (EU) 2015/1843.)


11.8.2017   

EN

Official Journal of the European Union

C 265/160


P8_TA(2015)0241

Protection against injurious pricing of vessels ***I

European Parliament legislative resolution of 7 July 2015 on the proposal for a regulation of the European Parliament and of the Council on protection against injurious pricing of vessels (codified text) (COM(2014)0605 — C8-0171/2014 — 2014/0280(COD))

(Ordinary legislative procedure — codification)

(2017/C 265/24)

The European Parliament,

having regard to the Commission proposal to the European Parliament and the Council (COM(2014)0605),

having regard to Article 294(2) and Articles 207(2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C8-0171/2014),

having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

having regard to the Interinstitutional Agreement of 20 December 1994 — Accelerated working method for official codification of legislative texts (1),

having regard to Rules 103 and 59 of its Rules of Procedure,

having regard to the report of the Committee on Legal Affairs (A8-0202/2015),

A.

whereas, according to the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission, the proposal in question contains a straightforward codification of the existing texts without any change in their substance;

1.

Adopts its position at first reading hereinafter set out;

2.

Instructs its President to forward its position to the Council, the Commission and the national parliaments.


(1)  OJ C 102, 4.4.1996, p. 2.


P8_TC1-COD(2014)0280

Position of the European Parliament adopted at first reading on 7 July 2015 with a view to the adoption of Regulation (EU) 2016/… of the European Parliament and of the Council on protection against injurious pricing of vessels (codification)

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Regulation (EU) 2016/1035.)


11.8.2017   

EN

Official Journal of the European Union

C 265/161


P8_TA(2015)0242

Fishing opportunities in EU waters for fishing vessels flying the flag of Venezuela off the coast of French Guiana ***

European Parliament legislative resolution of 7 July 2015 on the draft Council decision on the approval, on behalf of the European Union, of the Declaration on the granting of fishing opportunities in EU waters to fishing vessels flying the flag of the Bolivarian Republic of Venezuela in the exclusive economic zone off the coast of French Guiana (05420/2015 — C8–0043/2015 — 2015/0001(NLE))

(Consent)

(2017/C 265/25)

The European Parliament,

having regard to the draft Council decision on the approval, on behalf of the European Union, of the Declaration on the granting of fishing opportunities in EU waters to fishing vessels flying the flag of the Bolivarian Republic of Venezuela in the exclusive economic zone off the coast of French Guiana (05420/2015),

having regard to the draft Declaration on the granting of fishing opportunities in EU waters to fishing vessels flying the flag of the Bolivarian Republic of Venezuela in the exclusive economic zone off the coast of French Guiana (05420/2015),

having regard to the request for consent submitted by the Council in accordance with Article 43(2) and Article 218(6), second subparagraph, point (a)(v) of the Treaty on the Functioning of the European Union (C8–0043/2015),

having regard to Rule 99(1), first and third subparagraphs, Rule 99(2) and Rule 108(7) of its Rules of Procedure,

having regard to the recommendation of the Committee on Fisheries (A8-0195/2015),

1.

Gives its consent to approval of the Declaration;

2.

Instructs its President to forward its position to the Council and the Commission, and the governments and parliaments of the Member States and of the Bolivarian Republic of Venezuela.


11.8.2017   

EN

Official Journal of the European Union

C 265/162


P8_TA(2015)0243

Draft amending budget No 3/2015: surplus from 2014

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 3/2015 of the European Union for the financial year 2015 — entering the surplus of the financial year 2014 (09765/2015 — C8-0161/2015 — 2015/2077(BUD))

(2017/C 265/26)

The European Parliament,

having regard to Article 314 of the Treaty on the Functioning of the European Union,

having regard to Article 106a of the Treaty establishing the European Atomic Energy Community,

having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (1), and in particular Article 41 thereof,

having regard to the general budget of the European Union for the financial year 2015, as definitively adopted on 17 December 2014 (2),

having regard to Amending budget No 1/2015, as definitively adopted on 28 April 2015 (3),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (4),

having regard to Council Regulation (EU, Euratom) 2015/623 of 21 April 2015 amending Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 (5),

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (6),

having regard to Council Decision 2007/436/EC, Euratom of 7 June 2007 on the system of the European Communities' own resources (7),

having regard to Draft amending budget No 3/2015, which the Commission adopted on 15 April 2015 (COM(2015)0160),

having regard to the position on Draft amending budget No 3/2015 which the Council adopted on 19 June 2015 and forwarded to Parliament on the same day (09765/2015),

having regard to Rules 88 and 91 of its Rules of Procedure,

having regard to the report of the Committee on Budgets (A8-0219/2015),

A.

whereas Draft amending budget No 3/2015 aims to enter in the 2015 budget the surplus from the 2014 financial year, amounting to EUR 1 435 million;

B.

whereas the main components of that surplus are a positive outturn on income of EUR 1 183 million, an under-spending in expenditure of EUR 142 million, and exchange rate differences amounting to EUR 110 million;

C.

whereas on the income side, the two main components are interest on late payments and fines (EUR 634 million) and a positive outturn on own resources (EUR 479 million);

D.

whereas on the expenditure side, the under-implementation for Section III is particularly low with EUR 29 million for 2014 and EUR 6 million for 2013 carryovers, but increased to EUR 101 million for the other institutions;

E.

whereas the very low under-implementation in Section III underlines the ongoing shortage of payment appropriations which will remain a key challenge in implementing the 2015 budget;

1.

Takes note of Draft amending budget No 3/2015, as submitted by the Commission, which is devoted solely to the budgeting of the 2014 surplus, for an amount of EUR 1 435 million, in accordance with Article 18 of the Financial Regulation and of the Council's position thereon;

2.

Recalls that in the framework of the 2015 budgetary negotiations, Council insisted on shifting the payments related to the mobilisation of the European Union Solidarity Fund (EUSF) in Draft amending budgets No 5/2014 and No 7/2014 to the 2015 budget for a total amount of EUR 126,7 million;

3.

Considers that given the surplus as presented in Draft amending budget No 3/2015, those two 2014 Draft amending budgets, covering in total 7 EUSF cases, could have easily been paid for from the 2014 budget;

4.

Regrets in general a tendency in Council not to honour its commitments towards countries in need which have fulfilled the conditions for the mobilisation of the EUSF, by not mobilising additional resources as provided for by the special instruments, but rather by taking money away from the existing programmes; welcomes however the fact that the Council did not follow this approach for Draft amending budget No 4/2015;

5.

Recalls that the Commission presented with Draft amending budget No 3/2015 another Draft Amending Budget No 4/2015 linked to the mobilisation of the EUSF for Romania, Bulgaria and Italy for a total amount of EUR 66,5 million;

6.

Recalls that the adoption of Draft amending budget No 3/2015 will reduce the share of the GNI contributions from Member States to the Union budget by EUR 1 435 million and will therefore more than compensate for their contribution to the financing of Draft amending budget No 4/2015; highlights therefore that the two dossiers are subject to a common calendar for adoption since they are strictly linked from a political point of view;

7.

Underlines its willingness to adopt both Draft amending budget No 3/2015 and Draft amending budget No 4/2015 as soon as possible as presented by the Commission;

8.

Approves the Council position on Draft amending budget No 3/2015;

9.

Instructs its President to declare that Amending budget No 3/2015 has been definitively adopted and arrange for its publication in the Official Journal of the European Union;

10.

Instructs its President to forward this resolution to the Council, the Commission, the Court of Auditors and the national parliaments.


(1)  OJ L 298, 26.10.2012, p. 1.

(2)  OJ L 69, 13.3.2015.

(3)  OJ L 190, 17.7.2015.

(4)  OJ L 347, 20.12.2013, p. 884.

(5)  OJ L 103, 22.4.2015, p. 1.

(6)  OJ C 373, 20.12.2013, p. 1.

(7)  OJ L 163, 23.6.2007, p. 17.


11.8.2017   

EN

Official Journal of the European Union

C 265/164


P8_TA(2015)0244

Draft amending budget No 4/2015: mobilisation of the EU Solidarity Fund for Romania, Bulgaria and Italy

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 4/2015 of the European Union for the financial year 2015, accompanying the proposal to mobilise the European Union Solidarity Fund for Romania, Bulgaria and Italy (09767/2015 — C8-0162/2015 — 2015/2078(BUD))

(2017/C 265/27)

The European Parliament,

having regard to Article 314 of the Treaty on the Functioning of the European Union,

having regard to Article 106a of the Treaty establishing the European Atomic Energy Community,

having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (1), and in particular Article 41 thereof,

having regard to the general budget of the European Union for the financial year 2015, as definitively adopted on 17 December 2014 (2),

having regard to Amending budget 1/2015, as definitively adopted on 28 April 2015 (3),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (4) (MFF Regulation),

having regard to Council Regulation (EU, Euratom) 2015/623 of 21 April 2015 amending Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 (5),

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (6),

having regard to Council Decision 2007/436/EC, Euratom of 7 June 2007 on the system of the European Communities' own resources (7),

having regard to Draft amending budget No 4/2015, which the Commission adopted on 15 April 2015 (COM(2015)0161),

having regard to the proposal for a decision of the European Parliament and of the Council on the mobilisation of the EU Solidarity Fund (floods in Romania, Bulgaria and Italy), which the Commission adopted on 15 April 2015 (COM(2015)0162),

having regard to the position on Draft amending budget No 4/2015 which the Council adopted on 19 June 2015 and forwarded to Parliament on the same day (09767/2015),

having regard to Rules 88 and 91 of its Rules of Procedure,

having regard to the report of the Committee on Budgets (A8-0220/2015),

A.

whereas Draft amending budget No 4/2015 relates to the mobilisation of the European Union Solidarity Fund (EUSF) for an amount of EUR 66 505 850 in commitment and payment appropriations in relation to two floods in Romania in spring and summer 2014, in respect of which applications for aid total EUR 8 495 950, floods in Bulgaria in July/August 2014, in respect of which applications for aid total EUR 1 983 600 and floods in Italy in October/November 2014, in respect of which applications for aid total EUR 56 026 300;

B.

whereas the purpose of Draft amending budget No 4/2015 is to formally enter this budgetary adjustment into the 2015 budget;

1.

Takes note of Draft amending budget No 4/2015, as submitted by the Commission, and of the Council's position thereon;

2.

Stresses the urgent need to release financial assistance through the EUSF to the countries affected by these natural disasters, taking into consideration that the EUSF shows solidarity with the population in the region hit by disasters;

3.

Recalls that in the framework of the 2015 budgetary negotiations Council insisted on shifting the payments related to the mobilisation of the EUSF in Draft amending budgets No 5/2014 and No 7/2014 to the 2015 budget for a total amount of EUR 126,7 million;

4.

Considers that given the surplus as presented in Draft amending budget No 3/2015, those two 2014 Draft amending budgets, covering in total 7 EUSF cases, could have easily been paid for from the 2014 budget, taking into consideration that the EUSF aims to enable a rapid, efficient and flexible response to these emergency situations;

5.

Regrets in general a tendency in Council not to honour its commitments to countries which have gone through a major disaster, thereby fulfilling the conditions for the mobilisation of the EUSF, by not mobilising additional resources as provided for by the special instruments, but rather by taking money away from other programmes; welcomes however the fact that the Council did not follow this approach for Draft amending budget No 4/2015;

6.

Stresses in particular that the current critical situation on payments excludes the option of using any other source of financing than the one proposed by the Commission as outlined in the Draft amending budget no 4/2015; recalls that the EUSF is a special instrument for which corresponding appropriations are to be budgeted outside the corresponding Multiannual Financial Framework ceilings;

7.

Recalls that the adoption of Draft amending budget No 3/2015 will reduce the share of the GNI contributions from Member States to the Union budget by EUR 1 435 million and therefore more than compensate their contribution to the financing of Draft amending budget No 4/2015; highlights therefore that the two dossiers are subject to a common calendar for adoption since they are strictly linked from a political point of view;

8.

Underlines its willingness to adopt both Draft amending budgets as soon as possible as presented by the Commission;

9.

Approves the Council position on Draft amending budget No 4/2015;

10.

Instructs its President to declare that Amending budget No 4/2015 has been definitively adopted and arrange for its publication in the Official Journal of the European Union;

11.

Instructs its President to forward this resolution to the Council, the Commission, the Court of Auditors and the national parliaments.


(1)  OJ L 298, 26.10.2012, p. 1.

(2)  OJ L 69, 13.3.2015.

(3)  OJ L 190, 17.7.2015.

(4)  OJ L 347, 20.12.2013, p. 884.

(5)  OJ L 103, 22.4.2015, p. 1.

(6)  OJ C 373, 20.12.2013, p. 1.

(7)  OJ L 163, 23.6.2007, p. 17.


11.8.2017   

EN

Official Journal of the European Union

C 265/166


P8_TA(2015)0245

Mobilisation of the EU Solidarity Fund: Floods in Romania, Bulgaria and Italy

European Parliament resolution of 7 July 2015 on the proposal for a decision of the European Parliament and of the Council on mobilisation of the European Union Solidarity Fund, in accordance with point 11 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (floods in Romania, Bulgaria and Italy) (COM(2015)0162 — C8-0094/2015 — 2015/2079(BUD))

(2017/C 265/28)

The European Parliament,

having regard to the Commission proposal to the European Parliament and the Council (COM(2015)0162 — C8-0094/2015),

having regard to Council Regulation (EC) No 2012/2002 of 11 November 2002 establishing the European Union Solidarity Fund (1),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (2), and in particular Article 10 thereof,

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (3), and in particular point 11 thereof,

having regard to the letter from the Committee on Regional Development,

having regard to the report of the Committee on Budgets (A8-0211/2015),

1.

Approves the decision annexed to this resolution;

2.

Instructs its President to sign the decision with the President of the Council and arrange for its publication in the Official Journal of the European Union;

3.

Instructs its President to forward this resolution, including its annex, to the Council and the Commission.


(1)  OJ L 311, 14.11.2002, p. 3.

(2)  OJ L 347, 20.12.2013, p. 884.

(3)  OJ C 373, 20.12.2013, p. 1.


ANNEX

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

on the mobilisation of the EU Solidarity Fund (floods in Romania, Bulgaria and Italy)

(The text of this annex is not reproduced here since it corresponds to the final act, Decision (EU) 2015/1180.)


11.8.2017   

EN

Official Journal of the European Union

C 265/167


P8_TA(2015)0247

Draft amending budget No 1/2015: European Fund for Strategic Investments (EFSI)

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 1/2015 of the European Union for the financial year 2015, Section III — Commission, accompanying the proposal for a Regulation of the European Parliament and of the Council on the European Fund for Strategic Investments and amending Regulations (EU) No 1291/2013 and (EU) No 1316/2013 (09876/2015 — C8-0172/2015 — 2015/2011(BUD))

(2017/C 265/29)

The European Parliament,

having regard to Article 314 of the Treaty on the Functioning of the European Union,

having regard to Article 106a of the Treaty establishing the European Atomic Energy Community,

having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (1), and in particular Article 41 thereof,

having regard to the general budget of the European Union for the financial year 2015, as definitively adopted on 17 December 2014 (2),

having regard to Amending budget No 1/2015 , as definitively adopted on 28 April 2015 (3),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (4) (MFF Regulation),

having regard to Council Regulation (EU, Euratom) 2015/623 of 21 April 2015 amending Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 (5),

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (6),

having regard to Draft amending budget No 1/2015, which the Commission adopted on 13 January 2015 (COM(2015)0011),

having regard to the position on Draft amending budget No 1/2015 which the Council adopted on 26 June 2015 and forwarded to Parliament on the same day (09876/2015 — C8-0172/2015),

having regard to Regulation (EU) 2015/1017 of the European Parliament and of the Council of 25 June 2015 on the European Fund for Strategic Investments, the European Investment Advisory Hub and the European Investment Project Portal and amending Regulations (EU) No 1291/2013 and (EU) No 1316/2013 — the European Fund for Strategic Investments (7),

having regard to Rules 88 and 91 of its Rules of Procedure,

having regard to the report of the Committee on Budgets and the opinions of the Committee on Industry, Research and Energy, the Committee on Transport and Tourism and the Committee on Regional Development (A8-0221/2015),

A.

whereas Draft amending budget No 1/2015 aims to transpose the necessary changes to the budget nomenclature in line with the legislative agreement on the European Fund for Strategic Investments (EFSI) and to provide for the necessary reallocation of EUR 1 360 million in commitment appropriations and EUR 10 million in payment appropriations;

B.

whereas for the provisioning of the EU guarantee fund in 2015, a total amount of EUR 1 350 million is being redeployed from the Connecting Europe Facility (EUR 790 million), Horizon 2020 (EUR 70 million) and ITER (EUR 490 million) in commitment appropriations;

C.

whereas the Commission intends to offset the reduction for ITER by an equivalent increase over the period 2018-2020;

D.

whereas the provisioning in commitment and payment appropriations of the European Investment Advisory Hub, amounting to EUR 10 million each, is fully redeployed from ITER (budget article 08 04 01 02);

E.

whereas all additional appropriations to implement the EFSI in commitments and payments are fully redeployed, thus leaving the overall commitment and payment appropriations in the 2015 budget unchanged;

1.

Takes note of Draft amending budget No 1/2015, as submitted by the Commission, and of the Council's position thereon;

2.

Welcomes that a speedy agreement on the EFSI was made possible due to the determination of all institutions to ensure its launch as quickly as possible; while the outcome of the negotiations is better than the original Commission proposal, regrets the negative impact on Horizon 2020 and CEF;

3.

Reiterates the role of the Union budget in creating added value by pooling resources and ensuring a high degree of synergies between the European Structural and Investment Funds and EFSI while enhancing the multiplying effect of Union contributions; supports the mobilisation of additional sources of private and public finance to fund investment on goals of a European dimension, in particular by addressing cross-border challenges in areas such as energy, environment and transport infrastructure;

4.

Welcomes the fact that an additional EUR 1 000 million compared to the initial Commission proposal will be financed through the Global MFF margin for commitments, stemming from margins left available in the 2014 and 2015 budgets, thus reducing the redeployment from CEF and Horizon 2020; recalls that, according to Article 14 of the MFF Regulation, resources under the Global MFF Margin for commitments will only be made available as of 2016;

5.

Regrets, however, in general the redeployment from CEF and Horizon 2020 as they are essential programmes for jobs and growths in Europe; intends therefore to remedy these redeployments in the upcoming annual budgetary procedures;

6.

Points out that investment in research and transport is vital in order to strengthen the role and aim of the Union budget to stimulate growth, competitiveness and employment and to move towards the goals of the Europe 2020 strategy; recalls in this regard that the Horizon 2020 and the Connecting Europe Facility (CEF) programmes are key programmes under Heading 1a ‘Competitiveness for growth and jobs’;

7.

Affirms its willingness to adopt Draft amending budget No 1/2015 as modified by the Council in line with the legislative agreement on the EFSI, given its interest in launching the EFSI as quickly as possible;

8.

Approves therefore the Council position on Draft amending budget No 1/2015;

9.

Instructs its President to declare that Amending budget No 2/2015 has been definitively adopted and arrange for its publication in the Official Journal of the European Union;

10.

Instructs its President to forward this resolution to the Council, the Commission, the Court of Auditors and the national parliaments.


(1)  OJ L 298, 26.10.2012, p. 1.

(2)  OJ L 69, 13.3.2015.

(3)  OJ L 190, 17.7.2015.

(4)  OJ L 347, 20.12.2013, p. 884.

(5)  OJ L 103, 22.4.2015, p. 1.

(6)  OJ C 373, 20.12.2013, p. 1.

(7)  OJ L 169, 1.7.2015, p. 1.


11.8.2017   

EN

Official Journal of the European Union

C 265/170


P8_TA(2015)0248

Draft amending budget No 5/2015 — Responding to migratory pressures

European Parliament resolution of 7 July 2015 on the Council position on Draft amending budget No 5/2015 of the European Union for the financial year 2015 — Responding to migratory pressures (09768/2015 — C8-0163/2015 — 2015/2121(BUD))

(2017/C 265/30)

The European Parliament,

having regard to Article 314 of the Treaty on the Functioning of the European Union,

having regard to Article 106a of the Treaty establishing the European Atomic Energy Community,

having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (1), and in particular Article 41 thereof,

having regard to the general budget of the European Union for the financial year 2015, as definitively adopted on 17 December 2014 (2),

having regard to Amending budget No 1/2015, as definitively adopted on 28 April 2015 (3),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (4) (MFF Regulation),

having regard to Council Regulation (EU, Euratom) 2015/623 of 21 April 2015 amending Regulation (EU, Euratom) No 1311/2013 laying down the multiannual financial framework for the years 2014-2020 (5),

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (6),

having regard to Draft amending budget No 5/2015, which the Commission adopted on 13 May 2015 (COM(2015)0241),

having regard to the position on Draft amending budget No 5/2015 which the Council adopted on 19 June 2015 and forwarded to Parliament on the same day (09768/2015 — C8-0163/2015),

having regard to its resolution of 29 April 2015 on the latest tragedies in the Mediterranean and EU migration and asylum policies (7),

having regard to the Commission communication of 13 May 2015 entitled ‘A European Agenda on Migration’(COM(2015)0240),

having regard to Rules 88 and 91 of its Rules of Procedure,

having regard to the report of the Committee on Budgets and the opinion of the Committee on Civil Liberties, Justice and Home Affairs (A8-0212/2015),

A.

whereas Draft amending budget No 5/2015 aims to reinforce the Union's resources to manage migration and refugee flows, following recent tragedies in the Mediterranean and the increase in the dimension of migratory flows;

B.

whereas the increase in commitment appropriations amounts to EUR 75 722 000;

C.

whereas the increase in payment appropriations amounting to EUR 69 652 000 is fully redeployed from the Galileo programme, leaving the overall level of payment appropriations in the 2015 budget unchanged;

D.

whereas the increase proposed for the European Agency for the Management of Operational Cooperation at the External Borders (FRONTEX) amounts to a total of EUR 26,8 million in both commitment and payment appropriations, partially stemming from additional appropriations through Draft amending budget No 5/2015 and partially from redeployment within Chapter 18 02 (Internal Security) due to the closure of old files under the External Borders Fund;

E.

whereas the financial burden related to the emergency has so far fallen mainly on the national budgets of the southern coastal states of the Union;

F.

whereas in light of the macroeconomic forecast for the medium term and of the opposing demographic trends within the Union and in the neighbouring areas, particularly in West and Central Africa, the increase in migration to Europe cannot be considered to be a temporary phenomenon;

G.

whereas Draft amending budget No 5/2015 also increases the staffing level of 3 agencies, namely 16 additional posts for FRONTEX, 4 posts for the European Asylum Support Office (EASO) and 3 posts for the European Police Office (Europol);

H.

whereas, if migration flows are not managed in an effective and timely manner, they may lead to considerable costs in other policy areas;

1.

Takes note of Draft amending budget No 5/2015, as submitted by the Commission, and of the Council's position thereon;

2.

Welcomes the willingness of all institutions to increase the budget appropriations related to migration and asylum, given the obvious and urgent need;

3.

Recalls that in its reading of the 2015 budget in October 2014, Parliament had already called for substantially higher appropriations on these budget lines and additional staff for the agencies concerned;

4.

Regrets however the limited amount of the increases proposed in Draft amending budget No 5/2015, which do not correspond to the actual needs given the ongoing and probably worsening crisis in the Mediterranean, the growing risk of an increase in refugees from Ukraine and the necessity to address migratory challenges in general; underlines however the need for a strict control on the destination of those funds and consequently more transparency when it comes to contract and subcontract procedures, taking into account the various investigations concerning several abuses discovered in Member States;

5.

Regrets the divisions which have emerged between Member States in the Council on the Commission proposal contained in the ‘European Agenda on Migration’; recalls that, due to the nature of the migration phenomenon, the emergency can be more effectively handled at Union level;

6.

Considers that the relevant agencies should not be subject to reduction or redeployment of staff; considers that those agencies must allocate their staff appropriately with the aim of meeting their increasing responsibilities;

7.

Stresses that, given the large number of arrivals on the Union’s southern shores, the increasing role EASO has to play in the management of asylum, and the clear call for support in frontloading reception conditions, the proposal to increase EASO staff by only 4 is clearly insufficient; therefore requests appropriate EASO staffing and budget for 2016 in order to allow EASO to effectively fulfil its tasks and operations;

8.

Believes that the budgetary impact and the additional tasks of the measures presented as part of the EU Agenda on Migration and the EU Agenda on Security with regard to Europol should be assessed in detail by the Commission to allow the European Parliament and the Council to properly adjust Europol’s budgetary and staff needs; stresses the role of Europol in cross-border support for Member States and in information exchange; underlines the need to ensure an appropriate budget and level of staffing for Europol for 2016, in order to allow it to effectively fulfil its tasks and operations;

9.

Asks the Commission to carry out, in the context of the mid-term review of the Multiannual Financial Framework, an evaluation, as precisely as possible, of the needs of the Asylum, Migration and Integration Fund until 2020; asks the Commission to make a proposal for an adequate increase and, as it occurs, an adjusted distribution of funding between the different programs and methods of implementation of the Fund, following the revision of the financial perspectives;

10.

Expresses its intention to modify the budget nomenclature of the Asylum, Migration and Integration Fund in the interests of transparency and better control of the allocation of the annual appropriations between programs and means of implementation of the Fund, as specified in Regulation (EU) No 516/2014 (8);

11.

Notes furthermore that Draft amending budget No 5/2015 does not foresee additional overall payment appropriations in the 2015 budget, but only reverts once more to the redeployment of already existing resources;

12.

Insists that the redeployment from Galileo needs to be duly compensated for in the 2016 budget;

13.

Affirms nevertheless its willingness to adopt Draft amending budget No 5/2015 as soon as possible as presented by the Commission, given the urgency of the situation;

14.

Approves therefore the Council position on Draft amending budget No 5/2015;

15.

Instructs its President to declare that Amending budget No 5/2015 has been definitively adopted and arrange for its publication in the Official Journal of the European Union;

16.

Instructs its President to forward this resolution to the Council, the Commission, the Court of Auditors and the national parliaments.


(1)  OJ L 298, 26.10.2012, p. 1.

(2)  OJ L 69, 13.3.2015.

(3)  OJ L 190, 17.7.2015.

(4)  OJ L 347, 20.12.2013, p. 884.

(5)  OJ L 103, 22.4.2015, p. 1.

(6)  OJ C 373, 20.12.2013, p. 1

(7)  Texts adopted, P8_TA(2015)0176.

(8)  In accordance with Regulation No (EU) No 516/2014, the amount of global resources allocated to the Asylum, Migration and Integration Fund for 2014-2020 is EUR 3 137 million. This amount is allocated as follows:

a.

EUR 2 392 million for national programs (Article 19);

b.

EUR 360 million for specific actions listed in Annex II (Article 16), the resettlement programs (Article 17), the transfers (Article 18);

c.

EUR 385 million for the action of the Union (Article 20), emergency aid (Article 21), the European Migration Network (Article 22), technical assistance (Article 23).

The current budget nomenclature doesn't correspond in any way to this allocation.


Wednesday 8 July 2015

11.8.2017   

EN

Official Journal of the European Union

C 265/173


P8_TA(2015)0253

Stabilisation and Association Agreement with the former Yugoslav Republic of Macedonia (protocol to take account of the accession of Croatia) ***

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion, on behalf of the European Union and its Member States, of the Protocol to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the former Yugoslav Republic of Macedonia, of the other part, to take account of the accession of the Republic of Croatia to the European Union (05548/2014 — C8-0127/2014 — 2013/0386(NLE))

(Consent)

(2017/C 265/31)

The European Parliament,

having regard to the draft Council decision (05548/2014),

having regard to the draft Protocol to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the former Yugoslav Republic of Macedonia, of the other part, to take account of the accession of the Republic of Croatia to the European Union (05547/2014),

having regard to the request for consent submitted by the Council in accordance with Article 217 and Article 218(6), second subparagraph, point (a)(i), and Article 218(8), second subparagraph, of the Treaty on the Functioning of the European Union (C8-0127/2014),

having regard to Rule 99(1), first and third subparagraphs, Rule 99(2), and Rule 108(7) of its Rules of Procedure,

having regard to the recommendation of the Committee on Foreign Affairs (A8-0188/2015),

1.

Gives its consent to conclusion of the Protocol;

2.

Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the former Yugoslav Republic of Macedonia.


11.8.2017   

EN

Official Journal of the European Union

C 265/174


P8_TA(2015)0254

Stabilisation and Association Agreement with Serbia (protocol to take account of the accession of Croatia) ***

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion, on behalf of the European Union and its Member States, of the Protocol to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Serbia, of the other part, to take account of the accession of the Republic of Croatia to the European Union (06682/2014 — C8-0098/2014 — 2014/0039(NLE))

(Consent)

(2017/C 265/32)

The European Parliament,

having regard to the draft Council decision (06682/2014),

having regard to the draft Protocol to the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Serbia, of the other part, to take account of the accession of the Republic of Croatia to the European Union (06681/2014),

having regard to the request for consent submitted by the Council in accordance with Article 217, Article 218(6), second subparagraph, point (a)(i), and Article 218(8), second subparagraph, of the Treaty on the Functioning of the European Union (C8-0098/2014),

having regard to Rule 99(1), first and third subparagraphs, Rule 99(2), and Rule 108(7) of its Rules of Procedure,

having regard to the recommendation of the Committee on Foreign Affairs (A8-0189/2015),

1.

Gives its consent to conclusion of the Protocol;

2.

Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republic of Serbia.


11.8.2017   

EN

Official Journal of the European Union

C 265/175


P8_TA(2015)0255

Scientific and technological cooperation with India: renewal of the agreement ***

European Parliament legislative resolution of 8 July 2015 on the draft Council decision concerning the renewal of the Agreement for scientific and technological cooperation between the European Community and the Government of the Republic of India (05872/2015 — C8-0074/2015 — 2014/0293(NLE))

(Consent)

(2017/C 265/33)

The European Parliament,

having regard to the draft Council decision concerning the renewal of the Agreement for scientific and technological cooperation between the European Community and the Government of the Republic of India (05872/2015),

having regard to Council Decision 2002/648/EC of 25 June 2002 concerning the conclusion of the Agreement for scientific and technological cooperation between the European Community and the Government of the Republic of India (1),

having regard to the request for consent submitted by the Council in accordance with Article 186 and Article 218(6), second subparagraph, point (a)(v), of the Treaty on the Functioning of the European Union (C8-0074/2015),

having regard to Rule 99(1), first and third subparagraphs, Rule 99(2), Rule 108(7) and Rule 50(1) of its Rules of Procedure,

having regard to the recommendation of the Committee on Industry, Research and Energy (A8-0179/2015),

1.

Gives its consent to renewal of the agreement;

2.

Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republic of India.


(1)  OJ L 213, 9.8.2002, p. 29.


11.8.2017   

EN

Official Journal of the European Union

C 265/176


P8_TA(2015)0256

Scientific and technological cooperation with the Faroe Islands: Horizon 2020 ***

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion of the Agreement for scientific and technological cooperation between the European Union and the Faroe Islands associating the Faroe Islands to Horizon 2020 — the Framework Programme for Research and Innovation (2014-2020) (05660/2015 — C8-0057/2015 — 2014/0228(NLE))

(Consent)

(2017/C 265/34)

The European Parliament,

having regard to the draft Council decision (05660/2015),

having regard to the draft Agreement for scientific and technological cooperation between the European Union and the Faroe Islands associating the Faroe Islands to Horizon 2020 — the Framework Programme for Research and Innovation (2014-2020) (14014/2014),

having regard to the request for consent submitted by the Council in accordance with Article 186, Article 218(6), second subparagraph, point (a) and Article 218(8), first subparagraph, of the Treaty on the Functioning of the European Union (C8-0057/2015),

having regard to Rule 99(1), first and third subparagraphs, Rule 99(2), Rule 108(7) and Rule 50(1) of its Rules of Procedure,

having regard to the recommendation of the Committee on Industry, Research and Energy (A8-0180/2015),

1.

Gives its consent to conclusion of the agreement;

2.

Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Faroe Islands.


11.8.2017   

EN

Official Journal of the European Union

C 265/177


P8_TA(2015)0257

Long-term shareholder engagement and corporate governance statement ***I

Amendments adopted by the European Parliament on 8 July 2015 on the proposal for a directive of the European Parliament and of the Council amending Directive 2007/36/EC as regards the encouragement of long-term shareholder engagement and Directive 2013/34/EU as regards certain elements of the corporate governance statement (COM(2014)0213 — C7-0147/2014 — 2014/0121(COD)) (1)

(Ordinary legislative procedure: first reading)

(2017/C 265/35)

[Amendment 1, unless otherwise indicated]

AMENDMENTS BY THE EUROPEAN PARLIAMENT (*1)

to the Commission proposal

DIRECTIVE (EU) 2015/… OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

amending Directive 2007/36/EC as regards the encouragement of long-term shareholder engagement, Directive 2013/34/EU as regards certain elements of the corporate governance statement and Directive 2004/109/EC

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 50 and 114 thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national Parliaments,

Having regard to the opinion of the European Economic and Social Committee (2)

After consulting the European Data Protection Supervisor,

Acting in accordance with the ordinary legislative procedure,

Whereas:

(1)

Directive 2007/36/EC of the European Parliament and of the Council (3) establishes requirements in relation to the exercise of certain shareholder rights attaching to voting shares in relation to general meetings of companies which have their registered office in a Member State and whose shares are admitted to trading on a regulated market situated or operating within a Member State.

(2)

Although they do not own corporations, which are separate legal entities beyond their full control, shareholders play a relevant role in the governance of those corporations. The financial crisis has revealed that shareholders in many cases supported managers' excessive short-term risk taking. Moreover, ▌the current level of ‘monitoring’ and engagement in investee companies by institutional investors and asset managers is often inadequate and too much focused on short-term returns , which leads to suboptimal corporate governance and performance of listed companies.

(2a)

Greater involvement of shareholders in companies' corporate governance is one of the levers that can help improve the financial and non-financial performance of those companies. Nevertheless, since shareholder rights are not the only long-term factor which needs to be taken into consideration in corporate governance, they should be accompanied by additional measures to ensure a greater involvement of all stakeholders, in particular employees, local authorities and civil society.

(3)

In the Action Plan on European company law and corporate governance the Commission announced a number of actions in the area of corporate governance, in particular to encourage long-term shareholder engagement and to enhance transparency between companies and investors.

(4)

In order to further facilitate the exercise of shareholder rights and engagement between listed companies and shareholders, listed companies should have the right to identify their shareholders and directly communicate with them. Therefore , to improve transparency and dialogue, this Directive should provide for a framework to ensure that shareholders can be identified. [Am. 29]

(5)

The effective exercise of their rights by shareholders depends to a large extent on the efficiency of the chain of intermediaries maintaining securities accounts for shareholders, especially in a cross-border context. This Directive aims at improving the transmission of information by intermediaries through the equity holding chain to facilitate the exercise of shareholder rights.

(6)

In view of the important role of intermediaries they should be obliged to facilitate the exercise of rights by shareholders ▌when shareholders would like to exercise these rights themselves or would like to nominate a third person to do so. When shareholders do not want to exercise the rights themselves and have nominated the intermediary as a third person, the latter should be obliged to exercise these rights upon the explicit authorisation and instruction of the shareholders and for their benefit.

(7)

In order to promote equity investment throughout the Union and the exercise of rights related to shares, this Directive should establish a high degree of transparency with regard to costs of services provided by intermediaries. In order to prevent price discrimination of cross-border as opposed to purely domestic share holdings , any differences in the costs levied between domestic and cross-border exercise of rights should be duly justified and should reflect the variation in actual costs incurred for delivering the services provided by intermediaries. Third country intermediaries which have established a branch in the Union should be subject to the rules on shareholder identification, transmission of information, facilitation of shareholder rights and transparency of costs to ensure effective application of the provisions on shares held via such intermediaries.

(8)

Effective and sustainable shareholder engagement is a relevant element of listed companies’ corporate governance model, which depends on checks and balances between the different organs and different stakeholders. Proper involvement of stakeholders, in particular employees, should be considered an element of utmost importance in developing a balanced European framework on corporate governance .

(9)

Institutional investors and asset managers are often important shareholders of listed companies in the Union and therefore can play a significant role in the corporate governance of these companies, but also more generally with regard to the strategy and long-term performance of these companies. However, the experience of the last years has shown that institutional investors and asset managers often do not engage properly with companies in which they hold shares and ▌that capital markets often exert pressure on companies to perform in the short term, which jeopardizes the long–term financial and non-financial performance of companies and leads, among several other negative consequences, to a suboptimal level of investments, for example in research and development to the detriment of the long-term performance of the companies ▌.

(10)

Institutional investors and asset managers are often not transparent about investment strategies and their engagement policy ▌, implementation and results thereof. Public disclosure of such information would have a positive impact on investor awareness, enable ultimate beneficiaries such as future pensioners optimise investment decisions, facilitate the dialogue between companies and their shareholders, enhance shareholder engagement and strengthen companies’ accountability to stakeholders and civil society.

(11)

Therefore, institutional investors and asset managers should develop a policy on shareholder engagement, which determines, amongst others, how they integrate shareholder engagement in their investment strategy, monitor investee companies, including their environmental and social risks, conduct dialogues with investee companies and their stakeholders and exercise voting rights. Such engagement policy should include policies to manage actual or potential conflicts of interests, such as the provision of financial services by the institutional investor or asset manager, or companies affiliated to them, to the investee company. This policy, its implementation and the results thereof should be publicly disclosed and sent to the institutional investors’ clients on an annual basis. Where institutional investors or asset managers decide not to develop an engagement policy and/or decide not to disclose the implementation and results thereof, they shall give a clear and reasoned explanation as to why this is the case.

(12)

Institutional investors should annually disclose to the public how their ▌investment strategy is aligned with the profile and duration of their liabilities and how it contributes to the medium to long-term performance of their assets. Where they make use of asset managers, either through discretionary mandates involving the management of assets on an individual basis or through pooled funds, they should disclose to the public the main elements of the arrangement with the asset manager with regard to a number of issues, such as whether it incentivises the asset manager to align its investment strategy and decisions with the profile and duration of the liabilities of the institutional investor, whether it incentivises the asset manager to make investment decisions based on medium to long-term company performance and to engage with companies, how it evaluates the asset managers performance, the structure of the consideration for the asset management services and the targeted portfolio turnover. This would contribute to a proper alignment of interests between the final beneficiaries of institutional investors, the asset managers and the investee companies and potentially to the development of longer-term investment strategies and longer-term relationships with investee companies involving shareholder engagement.

(13)

Asset managers should be required to publicly disclose ▌ how their investment strategy and the implementation thereof is in accordance with the asset management arrangement and how the investment strategy and decisions contribute to medium to long-term performance of the assets of the institutional investor. Moreover, asset managers should publicly disclose the portfolio turnover, whether they make investment decisions on the basis of judgements about medium to long-term performance of the investee company, ▌and whether they use proxy advisors for the purpose of their engagement activities. Further information should be disclosed by the asset managers directly to the institutional investors, including information on the portfolio composition, on the portfolio turnover costs, on conflicts of interest which have arisen and how they have been dealt with. This information would allow institutional investors to better monitor asset managers, and provide incentives for a proper alignment of interests and for shareholder engagement.

(14)

In order to improve the information in the equity investment chain Member States should ensure that proxy advisors adopt and implement adequate measures to ensure to the best of their ability that their voting recommendations are accurate and reliable, based on a thorough analysis of all the information that is available to them and are not affected by any existing or potential conflict of interest or business relationship. Proxy advisors should adopt and follow a code of conduct. Departures from the code should be declared and explained, together with any alternative solutions which have been adopted. Proxy advisors should report on the application of their code of conduct on a yearly basis. They should disclose certain key information related to the preparation of their voting recommendations and any actual or potential conflict of interest or business relationships that may influence the preparation of the voting recommendations.

(15)

Since remuneration is one of the key instruments for companies to align their interests and those of their directors and in view of the crucial role of directors in companies, it is important that the remuneration policy of companies is determined in an appropriate manner without prejudice to the provisions on remuneration of Directive 2013/36/EU of the European Parliament and of the Council (4) and taking into account the differences in board structures applied by companies in the different Member States . Directors’ performance should be assessed using both financial and non-financial performance criteria, including environmental, social and governance factors .

(15a)

The remuneration policy for company directors should also contribute to the long-term growth of the company so that it corresponds to a more effective practice of corporate governance and is not linked entirely or largely to short-term investment objectives.

(16)

In order to ensure that shareholders have an effective say on the remuneration policy, they should be granted the right to vote on the remuneration policy, on the basis of a clear, understandable and comprehensive overview of the company's remuneration policy, which should be aligned with the business strategy, objectives, values and long-term interests of the company and should incorporate measures to avoid conflicts of interest. Companies should only pay remuneration to their directors in accordance with a remuneration policy that has been voted by shareholders. The voted remuneration policy should be publicly disclosed without delay. [Am. 30]

(17)

To ensure that the implementation of the remuneration policy is in line with the approved policy, shareholders should be granted the right to hold an advisory vote on the company’s remuneration report. In order to ensure accountability of directors the remuneration report should be clear and understandable and should provide a comprehensive overview of the remuneration granted to individual directors in the last financial year. Where the shareholders vote against the remuneration report, the company should , where necessary, enter into dialogue with the shareholders in order to identify the reasons for rejection. The company should explain in the next remuneration report how the vote of the shareholders has been taken into account. [Am. 31]

(17a)

Increased transparency regarding the activities of large companies, and in particular regarding profits made, taxes on profit paid and subsidies received, is essential for ensuring the trust and facilitating the engagement of shareholders and other Union citizens in companies. Mandatory reporting in this area can therefore be seen as an important element of the corporate responsibility of companies to shareholders and society.

(18)

In order to provide stakeholders, shareholders and civil society easy access to all relevant corporate governance information the remuneration report should be part of the corporate governance statement that listed companies should publish in accordance with article 20 of Directive 2013/34/EU of the European Parliament and of the Council of 26 June 2013 (5).

(18a)

There is a need to differentiate between procedures for establishing the remuneration of directors and systems of wage formation for employees. Consequently, the provisions on remuneration should be without prejudice to the full exercise of fundamental rights guaranteed by Article 153(5) Treaty on the Functioning of the European Union (TFEU), general principles of national contract and labour law, and the rights, where applicable, of the social partners to conclude and enforce collective agreements, in accordance with national law and customs.

(18b)

The provisions on remuneration should also, where applicable, be without prejudice to provisions on the representation of employees in the administrative, management or supervisory body as provided for by national law.

(19)

Transactions with related parties may cause prejudice to companies ▌, as they may give the related party the opportunity to appropriate value belonging to the company. Thus, adequate safeguards for the protection of companies’ interests are of importance. For this reason Member States should ensure that material related party transactions should be approved by the shareholders or by the administrative or supervisory body of the companies, in accordance with procedures which prevent a related party from taking advantage of its position and provide adequate protection for the interest of the company and of shareholders which are not related parties, including minority shareholders . For material transactions with related parties ▌companies should publicly announce such transactions at the latest at the time of the conclusion of the transaction and accompany the announcement by a report ▌assessing whether the transaction is on market terms and confirming that the transaction is fair and reasonable from the perspective of the company , including minority shareholders. Member States should be allowed to exclude transactions entered into between the company and joint ventures and one or more members of its group, provided that those members of the group or joint ventures are wholly owned by the company or that no other related party of the company has an interest in the members or in the joint ventures, and transactions entered into in the ordinary course of business and concluded on normal market terms .

(20)

In view of Directive 95/46/EC of the European Parliament and of the Council of 24 October 1995 (6) it is necessary to strike a balance between the facilitation of the exercise of shareholders' rights and the right to privacy and the protection of personal data. The identification information on shareholders should be limited to the name and contact details of , including full address, telephone number and, if relevant, e-mail address and the numbers of shares owned and voting rights held by the corresponding shareholders. This information should be accurate and kept up-to-date, and intermediaries as well as companies should allow for rectification or erasure of all incorrect or incomplete data. This identification information on shareholders should not be used for any other purpose than the facilitation of the exercise of shareholder rights , of shareholder engagement and of the dialogue between the company and the shareholder .

(21)

In order to ensure uniform application of the Articles on identification of shareholders, on transmission of information, on facilitation of the exercise of shareholder's rights and on the remuneration reports, the power to adopt delegated acts in accordance with Article 290 of the TFEU should be delegated to the Commission in respect of defining the specific requirements regarding the transmission of information on the identity of shareholders, the transmission of information between the company and the shareholders and the facilitation by the intermediary of the exercise of rights by shareholders, and the standardised presentation of the remuneration report. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level. The Commission, when preparing and drawing up delegated acts, should ensure a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and of the Council.

(22)

In order to ensure that the requirements set out in this Directive or the measures implementing this Directive are applied in practice, any infringement of those requirements should be subject to penalties. To that end, penalties should be sufficiently dissuasive and proportionate.

(23)

Since the objectives of this Directive cannot be sufficiently achieved by the Member States in view of the international nature of the Union equity market and action by Member States alone is likely to result in different sets of rules, which may undermine or create new obstacles to the functioning of the internal market, the objectives can rather, by reason of their scale and effects, be better achieved at Union level, the Union may adopt measures, in accordance with the principle of subsidiarity as set out in Article 5 of the Treaty on European Union. In accordance with the principle of proportionality, as set out in that Article, this Directive does not go beyond what is necessary in order to achieve those objectives.

(24)

In accordance with the Joint Political Declaration of Member States and the Commission of 28 September 2011 on explanatory documents (7), Member States have undertaken to accompany, in justified cases, the notification of their transposition measures with one or more documents explaining the relationship between the components of a directive and the corresponding parts of national transposition instruments. With regard to this Directive, the legislator considers the transmission of such documents to be justified,

HAVE ADOPTED THIS DIRECTIVE:

Article 1

Amendments to Directive 2007/36/EC

Directive 2007/36/EC is amended as follows:

(1)

Article 1 is amended as follows:

(a)

In paragraph 1, the following sentence is added:

‘It also establishes specific requirements in order to facilitate shareholders' engagement in the long term, including the identification of shareholders, the transmission of information and the facilitation of the exercise of shareholder rights . It additionally creates transparency on the engagement policies of institutional investors and asset managers and on the activities of proxy advisors and lays down certain requirements with regard to directors' remuneration and related party transactions .’

(aa)

The following paragraph is added after paragraph 3:

‘3a.     The undertakings referred to in paragraph 3 shall in no case be exempted from the provisions laid down in Chapter IB.’

(b)

The following paragraph is added after paragraph 3a :

3b.    Chapter Ib shall apply to institutional investors and to asset managers to the extent that they invest, directly or through a collective investment undertaking, on behalf of institutional investors, in so far they invest in shares. It shall also apply to proxy advisors.’

(ba)

The following paragraph is added after paragraph 3b:

‘3c.     The provisions of this Directive are without prejudice to the provisions laid down in sectorial EU legislation regulating specific types of listed companies or entities. The provisions of sectorial EU legislation shall prevail over this Directive to the extent that the requirements provided by this Directive contradict the requirements laid down in sectorial EU legislation. Where this Directive provides for more specific rules or adds requirements compared to the provisions laid down by sectorial EU legislation, those provisions shall be applied in conjunction with the provisions of this Directive’.

(2)

In Article 2, the following points (d) to (jc) are added:

‘(d)

“intermediary” means a legal person that has its registered office, central administration or principal place of business in the European Union and maintains securities accounts for clients;

(da)

“large company” means a company which meets the criteria laid down in Article 3(4) of Directive 2013/34/EU;

(db)

“large group” means a group which meets the criteria laid down in Article 3(7) of Directive 2013/34/EU;

(e)

“third country intermediary” means a legal person that has its registered office, central administration or principal place of business outside the Union and maintains securities accounts for clients;

(f)

“institutional investor” means an undertaking carrying out activities of life assurance within the meaning of Article 2(3)(a), (b) and (c), and activities of reinsurance covering life insurance obligations and not excluded pursuant to Articles 3 , 4, 9, 10, 11 or 12 of Directive 2009/138/EC of the European Parliament and of the Council (8) and an institution for occupational retirement provision falling within the scope of Directive 2003/41/EC of the European Parliament and of the Council (9) in accordance with Article 2 thereof, unless a Member States has chosen not to apply that Directive in whole or in parts to that institution in accordance with Article 5 of that Directive;

(g)

“asset manager” means an investment firm as defined in point (1) of Article 4(1) of Directive 2014/65/EU of the European Parliament and of the Council (10) providing portfolio management services to institutional investors, an AIFM (alternative investment fund manager) as defined in Article 4(1)(b) of Directive 2011/61/EU of the European Parliament and of the Council (11) that does not fulfil the conditions for an exemption in accordance with Article 3 of that Directive or a management company as defined in Article 2(1)(b) of Directive 2009/65/EC of the European Parliament and of the Council (12); or an investment company authorised in accordance with Directive 2009/65/EC, provided that it has not designated a management company authorised under that Directive for its management;

(h)

“shareholder engagement” means the monitoring by a shareholder alone or together with other shareholders, of companies on relevant matters including strategy, financial and non-financial performance, risk, capital structure, human resources, social and environmental impact and corporate governance, having a dialogue with companies and their stakeholders on these matters and exercising voting rights and other rights attached to shares ;

(i)

“proxy advisor” means a legal person that provides, on a professional basis, recommendations to shareholders on the exercise of their voting rights;

(l)

“Director” means

any member of the administrative, management or supervisory bodies of a company;

chief executive officer and deputy chief executive officers, where they are not members of administrative, management or supervisory bodies ;

(j)

“related party” has the same meaning as in the international accounting standards adopted in accordance with Regulation (EC) No 1606/2002 of the European Parliament and of the Council (13);

(ja)

“assets” means the total asset value presented on the company's consolidated balance sheet prepared in accordance with international financial reporting standards;

(jb)

“stakeholder” means any individual, group, organisation or local community that is affected by or otherwise has an interest in the operation and performance of a company;

(jc)

“information regarding shareholder identity” means any information allowing to establish the identity of a shareholder including at least:

the names of shareholders and their contact details (including full address, telephone number and e-mail address), and, where they are legal persons, their unique identifier or, in case the latter is not available, other identification data;

the number of shares owned and voting rights associated with those shares.’

(8)   Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) (OJ L 335, 17.12.2009, p. 1) "

(9)  Directive 2003/41/EC of the European Parliament and of the Council of 3 June 2003 on the activities and supervision of institutions for occupational retirement provision (OJ L 235, 23.9.2003, p. 10)."

(10)   Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (recast) (OJ L 173, 12.6.2014, p. 349). "

(11)  Directive 2011/61/EU of the European Parliament and of the Council of 8 June 2011 on Alternative Investment Fund Managers and amending Directives 2003/41/EC and 2009/65/EC and Regulations (EC) No 1060/2009 and (EU) No 1095/2010 (OJ L 174, 1.7.2011, p. 1)."

(12)  Directive 2009/65/EC of the European Parliament and of the Council of 13 July 2009 on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS) (OJ L 302, 17.11.2009, p. 32)."

(13)  Regulation (EC) No 1606/2002 of the European Parliament and of the Council of 19 July 2002 on the application of international accounting standards (OJ L 243, 11.9.2002, p. 1)."

(2a)

In Article 2, the following paragraph is added:

‘Member States may include in the definition of Director referred to in point (l) of the first paragraph, for the purposes of this Directive, other individuals that cover similar positions.’

(2b)

After Article 2, the following article is inserted:

‘Article 2a

Data protection

Member States shall ensure that any processing of personal data under this Directive is done in accordance with national laws transposing Directive 95/46/EC.’

(3)

After Article 3, the following Chapters Ia and Ib are inserted

‘CHAPTER IA

IDENTIFICATION OF SHAREHOLDERS, TRANSMISSION OF INFORMATION AND FACILITATION OF EXERCISE OF SHAREHOLDER RIGHTS

Article 3a

Identification of shareholders

1.   Member States shall ensure that companies have the right to identify their shareholders , taking account of existing national systems .

2.   Member States shall ensure that, on the request of the company, the intermediary communicates without undue delay to the company the information regarding shareholder identity. Where there is more than one intermediary in a holding chain, the request of the company shall be transmitted between intermediaries without undue delay. The intermediary having the information regarding shareholder identity shall transmit it directly to the company.

Member States may provide that central security depositories (CSDs) are the intermediaries to be responsible for collecting the information regarding shareholder identity and for providing it directly to the company .

3.   Shareholders shall be duly informed by their intermediary that information regarding their identity may be processed in accordance with this article and, where applicable, that the information has actually been forwarded to the company . This information may only be used for the purpose of facilitation of the exercise of the rights of the shareholder , of engagement and dialogue between the company and the shareholder on company-related matters. Companies shall in any case be allowed to give third parties an overview of the shareholding structure of the company by disclosing the different shareholder categories. The company and the intermediary shall ensure that natural and legal persons are able to rectify or erase any incomplete or inaccurate data. Member States shall ensure that the companies and the intermediaries do not store the information regarding shareholder identity transmitted to them in accordance with this Article for longer than necessary and, in any event, for longer than 24 months after the company or the intermediaries have learnt that the person concerned has ceased to be a shareholder .

4.   Member States shall ensure that an intermediary that reports to the company the information regarding shareholder identity in accordance with paragraph 2 is not considered in breach of any restriction on disclosure of information imposed by contract or by any legislative, regulatory or administrative provision.

5.    To ensure uniform application of this Article, the Commission shall be empowered to adopt delegated acts in accordance with Article 14a to specify the minimum requirements to transmit the information laid down in paragraphs 2 and 3 as regards the format of the information to be transmitted, the format of the request , including the secure formats to be used, and the deadlines to be complied with. [Am. 24]

Article 3b

Transmission of information

1.   Member States shall ensure that if a company does not directly communicate with its shareholders, the information related to their shares shall be made available via the company’s website and transmitted to them or, in accordance with the instructions given by the shareholder, to a third party, by the intermediary without undue delay in all of the following cases:

(a)

the information is necessary to exercise a right of the shareholder flowing from its shares;

(b)

the information is directed to all shareholders in shares of that class.

2.   Member States shall require companies to provide and deliver the information to the intermediary related to the exercise of rights flowing from shares in accordance with paragraph 1 in a standardised and timely manner.

3.   Member States shall oblige the intermediary to transmit to the company, in accordance with the instructions received from the shareholders, without undue delay the information received from the shareholders related to the exercise of the rights flowing from their shares.

4.   Where there is more than one intermediary in a holding chain, information referred to in paragraphs 1 and 3 shall be transmitted between intermediaries without undue delay.

5.    To ensure uniform application of this Article, the Commission shall be empowered to adopt delegated acts, in accordance with Article 14a, to specify the minimum requirements to transmit information laid down in paragraphs 1 to 4 ▌as regards the content to be transmitted, the deadlines to be complied with and the types and format of information to be transmitted , including the secure formats to be used .

Article 3c

Facilitation of the exercise of shareholder rights

1.   Member States shall ensure that the intermediaries facilitate the exercise of the shareholder rights by the shareholder, including the right to participate and vote in general meetings. Such facilitation shall comprise at least one of the following:

(a)

the intermediary makes the necessary arrangements for the shareholder or a third person nominated by the shareholder to be able to exercise themselves the rights;

(b)

the intermediary exercises the rights flowing from the shares upon the explicit authorisation and instruction of the shareholder and for his benefit.

2.   Member States shall ensure that companies publicly disclose, via their website, the minutes of the general meetings and the results of votes. Member States shall ensure that companies confirm the votes cast in general meetings by or on behalf of shareholders, when they are cast by electronic means . In case the intermediary casts the vote, it shall transmit the voting confirmation to the shareholder. Where there is more than one intermediary in the holding chain the confirmation shall be transmitted between intermediaries without undue delay.

3.    To ensure uniform application of this Article, the Commission shall be empowered to adopt delegated acts , in accordance with Article 14a , to specify the minimum requirements to facilitate the exercise of shareholder rights laid down in paragraphs 1 and 2 of this Article ▌as regards the types of the facilitation, the form of the voting confirmation and the deadlines to be complied with. ▌

Article 3d

Transparency on costs

1.   Member States may allow intermediaries to charge the costs of the service to be provided by the companies under this chapter. Intermediaries shall publicly disclose prices, fees and any other charges separately for each service referred to in this chapter.

2.    Where intermediaries are permitted to charge costs in accordance with paragraph 1, Member States shall ensure that intermediaries publicly disclose, separately for each service, the costs for the services referred to in this chapter.

Member States shall ensure that any costs that may be levied by an intermediary on shareholders, companies and other intermediaries shall be non-discriminatory , reasonable and proportionate . Any differences in the charges levied between domestic and cross-border exercise of rights shall only be permitted where duly justified and shall reflect the variation in actual costs incurred for delivering the services .

Article 3e

Third country intermediaries

A third country intermediary who has established a branch in the Union shall be subject to this chapter.”

CHAPTER IB

TRANSPARENCY OF INSTITUTIONAL INVESTORS, ASSET MANAGERS AND PROXY ADVISORS

Article 3f

Engagement policy

1.   Member States shall , without prejudice to Article 3f(4), ensure that institutional investors and asset managers develop a policy on shareholder engagement (“engagement policy”). This engagement policy shall determine how institutional investors and asset managers conduct the following actions:

(a)

to integrate shareholder engagement in their investment strategy;

(b)

to monitor investee companies, including on their non-financial performance , and reduction of social and environmental risks ;

(c)

to conduct dialogues with investee companies;

(d)

to exercise voting rights

(e)

to use services provided by proxy advisors;

(f)

to cooperate with other shareholders;

(fa)

to conduct dialogue and cooperate with other stakeholders of the investee companies .

2.   Member States shall , without prejudice to Article 3f(4), ensure that the engagement policy includes policies to manage actual or potential conflicts of interests with regard to shareholder engagement. Such policies shall in particular be developed for all of the following situations:

(a)

the institutional investor or the asset manager, or other companies affiliated to them, offer financial products to or have other commercial relationships with the investee company;

(b)

a director of the institutional investor or the asset manager is also a director of the investee company;

(c)

an asset manager managing the assets of an institution for occupational retirement provision invests in a company that contributes to that institution;

(d)

the institutional investor or asset manager is affiliated with a company for whose shares a takeover bid has been launched.

3.   Member States shall ensure that institutional investors and asset managers publicly disclose on an annual basis their engagement policy, how it has been implemented and the results thereof. The information referred to in the first sentence shall at least be available , free of charge, on the company's website. Institutional investors shall provide their clients with that information on an annual basis.

Institutional investors and asset managers shall publicly disclose , for each company in which they hold shares, whether and how they cast their votes in the general meetings of the companies concerned and provide an explanation for their voting behaviour. Where an asset manager casts votes on behalf of an institutional investor, the institutional investor shall make a reference as to where such voting information has been published by the asset manager. The information referred to in this paragraph shall at least be available, free of charge, on the company's website .

4.   Where institutional investors or asset managers decide not to develop an engagement policy or decide not to disclose the implementation and results thereof, they shall give a clear and reasoned explanation as to why this is the case. [Am. 25]

Article 3 g

Investment strategy of institutional investors and arrangements with asset managers

1.   Member States shall ensure that institutional investors disclose to the public how their investment strategy (“investment strategy”) is aligned with the profile and duration of their liabilities and how it contributes to the medium to long-term performance of their assets. The information referred to in the first sentence shall at least be available , free of charge, on the company's website as long as it is applicable and shall be sent annually to the company's clients together with the information on their engagement policy .

2.   Where an asset manager invests on behalf of an institutional investor, either on a discretionary client-by-client basis or through a collective investment undertaking, the institutional investor shall annually disclose to the public the main elements of the arrangement with the asset manager with regard to the following issues:

(a)

whether and to what extent it incentivises the asset manager to align its investment strategy and decisions with the profile and duration of its liabilities;

(b)

whether and to what extent it incentivises the asset manager to make investment decisions based on medium to long-term company performance, including non-financial performance, and to engage with companies as a means of improving company performance to deliver investment returns;

(c)

the method and time horizon of the evaluation of the asset manager’s performance, and in particular whether, and how this evaluation takes long-term absolute performance into account as opposed to performance relative to a benchmark index or other asset managers pursuing similar investment strategies;

(d)

how the structure of the consideration for the asset management services contributes to the alignment of the investment decisions of the asset manager with the profile and duration of the liabilities of the institutional investor;

(e)

the targeted portfolio turnover or turnover range, the method used for the turnover calculation, and whether any procedure is established when this is exceeded by the asset manager;

(f)

the duration of the arrangement with the asset manager.

Where the arrangement with the asset manager does not contain one or more of the elements referred to in points (a) to (f), the institutional investor shall give a clear and reasoned explanation as to why this is the case. [Am. 26]

Article 3h

Transparency of asset managers

1.   Member States shall ensure that asset managers disclose , as specified in paragraphs 2 and 2a, how their investment strategy and implementation thereof complies with ▌the ▌arrangement referred to in Article 3 g(2) .

2.   Member States shall ensure that asset managers annually disclose to the public all of the following information:

(a)

whether or not, and if so how, they make investment decisions on the basis of judgements about medium-to long-term performance of the investee company, including non-financial performance;

(b)

the level of portfolio turnover, the method used to calculate it and an explanation if the turnover exceeded the targeted level;

(c)

whether or not, and if so, what actual or potential conflicts of interest have arisen in connection with engagement activities and how the asset manager has dealt with them;

(d)

whether or not, and if so how, the asset manager uses proxy advisors for the purpose of their engagement activities;

(e)

how, overall, the investment strategy and implementation thereof contributes to the medium to long-term performance of the assets of the institutional investor.

2a.     Member States shall ensure that asset managers annually disclose to the institutional investor with which they have entered into the arrangement referred to in Article 3 g(2) all of the following information:

(a)

how the portfolio was composed and an explanation of any significant changes in the portfolio in the previous period;

(b)

portfolio turnover costs;

(c)

their policy on securities lending and the implementation thereof.

3.   The information disclosed pursuant to paragraph 2 shall at least be available, free of charge, on the asset manager's website. The information disclosed pursuant to paragraph 2a shall be provided free of charge and, in case the asset manager does not manage the assets on a discretionary client-by-client basis, it shall also be provided to other investors on request.

3a.     Member States may provide that, in exceptional cases, an asset manager may be allowed, if approved by the competent authority, to abstain from disclosing a certain part of the information to be disclosed under this Article if that part relates to impending developments or matters that are in the course of negotiation and its disclosure would be seriously prejudicial to the commercial position of the asset manager.

Article 3i

Transparency of proxy advisors

1.   Member States shall ensure that proxy advisors adopt and implement adequate measures to ensure to the best of their ability that their research and voting recommendations are accurate and reliable, based on a thorough analysis of all the information that is available to them, and are developed in the sole interest of their clients .

1a.     Member States shall ensure that proxy advisors refer to the code of conduct which they apply. Where they depart from any of the recommendations of that code of conduct, they shall declare it, explain the reasons for doing so and indicate any alternative measures adopted. This information, together with the reference to the code of conduct which they apply, shall be published on the proxy advisor's website.

Proxy advisors shall report every year on the application of that code of conduct. Annual reports shall be published on the proxy advisor's website and shall remain available, free of charge, for at least three years after the date of publication

2.    Member States shall ensure that proxy advisors shall on an annual basis publicly disclose all of the following information in relation to the preparation of their research and voting recommendations:

(a)

the essential features of the methodologies and models they apply;

(b)

the main information sources they use;

(c)

whether and, if so, how they take national market, legal, regulatory and company-specific conditions into account;

(ca)

the essential features of the research undertaken and voting policies applied for each market;

(d)

whether they have communication or dialogues with the companies which are the object of their research and voting recommendations and their stakeholders , and, if so, the extent and nature thereof;

(da)

the policy regarding prevention and management of potential conflicts of interest;

(e)

the total number and the qualifications of staff involved in the preparation of the voting recommendations;

(f)

the total number of voting recommendations provided in the last year.

That information shall be published on the website of proxy advisors and remain available , free of charge, for at least three years from the day of publication.

3.   Member States shall ensure that proxy advisors identify and disclose without undue delay to their clients ▌any actual or potential conflict of interest or business relationships that may influence the research and the preparation of the voting recommendations and the actions they have undertaken to eliminate or mitigate the actual or potential conflict of interest.’

(4)

The following articles are inserted:

‘Article 9a

Right to vote on the remuneration policy

1.   Member States shall ensure that companies establish a remuneration policy as regards directors and submit it to a binding vote of the general meeting of shareholders . Companies shall only pay remuneration to their directors in accordance with a remuneration policy that has been voted on at the general meeting of shareholders. Any change to the policy shall be voted on at the general meeting of shareholders and the policy shall be submitted in any case for approval by the general meeting at least every three years.

However, Member States may provide that the votes by the general meeting on the remuneration policy are advisory.

In cases where no remuneration policy has been implemented previously and shareholders reject the draft policy submitted to them, the company may, while reworking the draft and for a period of no longer than one year before the draft is adopted, pay remuneration to its directors in accordance with existing practices.

In cases where there is an existing remuneration policy and shareholders reject a draft policy submitted to them in line with the first subparagraph, the company may, while reworking the draft and for a period of no longer than one year until the draft is adopted, pay remuneration to its directors in accordance with the existing policy.

2.   The policy shall be clear, understandable, in line with the business strategy, objectives, values and long-term interests of the company and shall incorporate measures to avoid conflicts of interest.

3.   The policy shall explain how it contributes to the long-term interests and sustainability of the company. It shall set clear criteria for the award of fixed and variable remuneration, including all bonuses and all benefits in whatever form.

The policy shall indicate the appropriate relative proportion of the different components of fixed and variable remuneration. It shall explain how the pay and employment conditions of employees of the company were taken into account when setting the policy or directors' remuneration.

For variable remuneration, the policy shall indicate the financial and non-financial performance criteria , including, where appropriate, consideration for programmes and results relating to corporate social responsibility, to be used and explain how they contribute to the long-term interests and sustainability of the company, and the methods to be applied to determine to which extent the performance criteria have been fulfilled; it shall specify the deferral periods, vesting periods for share-based remuneration and retention of shares after vesting, and information on the possibility of the company to reclaim variable remuneration.

Member States shall ensure that the value of shares does not play a dominant role in the financial performance criteria.

Member States shall ensure that share-based remuneration does not represent the most significant part of directors' variable remuneration. Member States may provide for exceptions to the provisions of this subparagraph under the condition that the remuneration policy includes a clear and reasoned explanation as to how such an exception contributes to the long-term interests and sustainability of the company.

The policy shall indicate the main terms of the contracts of directors, including its duration and the applicable notice periods and terms of termination and payments linked to termination of contracts and the characteristics of supplementary pension or early retirement schemes . Where national law allows companies to have arrangements with directors without a contract, the policy shall in that case indicate the main terms of the arrangements with directors, including their duration and the applicable notice periods and terms of termination and payments linked to termination and the characteristics of supplementary pension or early retirement schemes .

The policy shall specify the company's procedures for the determination of the remuneration of directors, including the role and functioning of the remuneration committee.

The policy shall explain the specific decision-making process leading to its determination. Where the policy is revised, it shall include an explanation of all significant changes and how it takes into account the votes and views of shareholders on the policy and report in at least the previous three consecutive years.

4.   Member States shall ensure that after approval by the shareholders the policy is made public without delay and available , free of charge, on the company's website at least as long as it is applicable. [Am. 27 rev.]

Article 9b

Information to be provided in the remuneration report and right to vote on the remuneration report

1.   Member States shall ensure that the company draws up a clear and understandable remuneration report, providing a comprehensive overview of the remuneration, including all benefits in whatever form, granted , in accordance with the remuneration policy referred to in Article 9a, to individual directors, including to newly recruited and former directors, in the last financial year. It shall, where applicable, contain all of the following elements:

(a)

the total remuneration awarded, paid or due split out by component, the relative proportion of fixed and variable remuneration, an explanation how the total remuneration is linked to long-term performance and information on how the financial and non-financial performance criteria where applied;

(b)

the relative change of the remuneration of executive directors over the last three financial years, its relation to the development of the general performance of the company and to change in the average remuneration of employees over the same period ;

(c)

any remuneration received or due to directors of the company from any undertaking belonging to the same group;

(d)

the number of shares and share options granted or offered, and the main conditions for the exercise of the rights including the exercise price and date and any change thereof;

(e)

information on the use of the possibility to reclaim variable remuneration;

(f)

information on how the remuneration of directors was established, including on the role of the remuneration committee.

2.   Member States shall ensure that the right to privacy of natural persons is protected in accordance with Directive 95/46/EC when personal data of the director are processed.

3.   Member States shall ensure that shareholders have the right to hold an advisory vote on the remuneration report of the past financial year during the annual general meeting. Where the shareholders vote against the remuneration report the company shall , where necessary, enter into a dialogue with the shareholders in order to identify the reasons for the rejection. The company shall explain in the next remuneration report how the vote of the shareholders has been taken into account.

3a.     The provisions on remuneration in this Article and in Article 9a shall be without prejudice to national systems of wage formation for employees and, where applicable, to national provisions on the representation of employees on boards.

4.    To ensure uniform application of this Article, the Commission shall be empowered to adopt delegated acts in accordance with Article 14a to specify the standardised presentation of the information laid down in paragraph 1 of this Article. [Am. 28]

Article 9c

Right to vote on related party transactions

1.   Member States shall ensure that companies, in case of material transactions with related parties ▌, publicly announce such transactions at the latest at the time of the conclusion of the transaction, and accompany the announcement by a report ▌assessing whether or not it is on market terms and confirming that the transaction is fair and reasonable from the perspective of the company, including minority shareholders, and providing an explanation of the evaluations the assessment is based on . The announcement shall contain information on the nature of the related party relationship, the name of the related party, the amount of the transaction and any other information necessary to assess the economic fairness of the transaction from the perspective of the company, including minority shareholders .

Members States shall define specific rules with regard to the report to be adopted in accordance with the first subparagraph, including the actor responsible for providing the reports, which shall be one of the following:

an independent third party;

the supervisory body of the company; or

a committee of independent directors

2.   Member States shall ensure that material transactions with related parties are approved by the shareholders or by the administrative or supervisory body of the companies, in accordance with procedures which prevent a related party from taking advantage of its position and provide adequate protection for the interests of the company and of shareholders which are not related parties, including minority shareholders.

Member States may provide that shareholders have the right to vote on material transactions approved by the administrative or supervisory body of the company.

The intention is to prevent related parties from gaining an advantage from a special position and to provide proper protection for the company's interest .

2a.     Member States shall ensure that related parties and their representatives are excluded from the preparation of the report referred to in paragraph 1 and from the votes and decisions that take place in accordance with paragraph 2. Where the related party transaction involves a shareholder, this shareholder shall be excluded from any vote regarding the transaction. Member States may allow the shareholder who is a related party to take part in the vote provided that national law ensures adequate safeguards which apply during the voting process to protect the interests of shareholders who are not related parties, including minority shareholders, by preventing the related-party from approving the transaction despite the opposing opinion of the majority of shareholders which are not related parties or despite the opposing opinion of the majority of the independent directors .

3.    Member States shall ensure that transactions with the same related party that have been concluded in any 12 months period or in the same financial year and have not been subject to the obligations listed in paragraphs 1, 2 and 3 are aggregated for the purposes of application of those paragraphs. ▌

4.   Member States may exclude from the requirements in paragraphs 1, 2 and 3:

transactions entered into between the company and one or more members of its group or joint ventures, provided that those members of the group or joint ventures are wholly owned by the company or that no other related party of the company has an interest in those members or in the joint ventures ;

transactions entered into in the ordinary course of business and concluded on normal market terms.

4a.     Member States shall define material transactions with related parties. Material transactions with related parties shall be defined taking into account:

(a)

the influence that the information about the transaction may have on the decisions of the subjects involved in the approval process;

(b)

the impact of the transaction on the company’s results, assets, capitalisation or turnover and the position of the related party;

(c)

the risks that the transaction creates for the company and its minority shareholders.

When defining material transactions with related parties, Member States may set one or more quantitative ratios based on the impact of the transaction on the revenues, assets, capitalization or turnover of the company or take into account the nature of the transaction and the position of the related party.’

(5)

After Article 14, the following Chapter IIa is inserted:

‘CHAPTER IIA

DELEGATED ACTS AND PENALTIES

Article 14a

Exercise of delegated powers

1.    The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article .

2.     The power to adopt delegated acts referred to in Articles 3a(5), 3b(5), and 3c(3) and Article 9b shall be conferred on the Commission for an indeterminate period of time from …*.

3.     The delegation of power referred to in Articles 3a(5), 3b(5), and 3c(3) and Articles 9b may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of that decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4.     As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

5.     A delegated act adopted pursuant to Articles 3a(5), 3b(5) and 3c(3) and Article 9b shall enter into force only if no objection has been expressed either by the European Parliament or the Council within a period of three months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by three months at the initiative of the European Parliament or the Council .

Article 14b

Penalties

Member States shall lay down the rules on penalties applicable to infringements of the national provisions adopted pursuant to this Directive and shall take all measures necessary to ensure that they are implemented. The penalties provided for must be effective, proportionate and dissuasive. Member States shall notify those provisions to the Commission at the latest by [date for transposition] ▌and shall notify it without delay of any subsequent amendment affecting them.’

Article 2

Amendments to Directive 2013/34/EU

Directive 2013/34/EU is amended as follows:

(-1)

In Article 2, the following point is added:

‘(17)

“tax ruling” means any advance interpretation or application of a legal provision for a cross-border situation or transaction of a company which might lead to a loss of tax in Member States or which might lead to tax savings for the company resulting from artificial intra-group transfers of profits.’

(-1a)

In Article 18, the following paragraph is inserted after paragraph 2:

‘2a.     In the notes to the financial statements large undertakings and public-interest entities shall also disclose, specifying by Member State and by third country in which they have an establishment, the following information on a consolidated basis for the financial year:

(a)

name(s), nature of activities and geographical location;

(b)

turnover;

(c)

number of employees on a full time equivalent basis;

(d)

value of assets and annual cost of maintaining those assets;

(e)

sales and purchases;

(f)

profit or loss before tax;

(g)

tax on profit or loss;

(h)

public subsidies received;

(i)

parent companies shall provide a list of subsidiaries operating in each Member State or third country alongside the relevant data.’

(-1b)

In Article 18, paragraph 3 is replaced by the following:

‘3.     Member States may provide that point (b) of paragraph 1 and paragraph 2a are not to apply to the annual financial statements of an undertaking where that undertaking is included within the consolidated financial statements required to be drawn up under Article 22, provided that that information is given in the notes to the consolidated financial statement.’

(-1c)

The following article is inserted:

‘Article 18a

Additional disclosure for large undertakings

1.     In the notes to the financial statements, large undertakings shall, in addition to the information required under Articles 16, 17, 18 and any other provisions of this Directive, publicly disclose essential elements of and information regarding tax rulings, providing a break-down by Member State and by third country in which the large undertaking in question has a subsidiary. The Commission shall be empowered to set out, by means of delegated act in accordance with Article 49, the format and content of publication.

2.     Undertakings of which the average number of employees on a consolidated basis during the financial year does not exceed 500 and which, on their balance sheet dates, have on a consolidated basis either a balance sheet which does not exceed a total of 86 million euros or a net turnover which does not exceeds 100 million euros shall be exempt from the obligation set out in paragraph 1 of this Article.

3.     The obligation set out in paragraph 1 of this Article shall not apply to any undertaking governed by the law of a Member State whose parent undertaking is subject to the laws of a Member State and the information of which is included in the information disclosed by that parent undertaking in accordance with paragraph 1 of this Article.

4.     The information referred to in paragraph 1 shall be audited in accordance with Directive 2006/43/EC.’

(1)

Article 20 is amended as follows:

(a)

in paragraph 1, the following point (h) is added:

‘(h)

the remuneration report defined in Article 9b of Directive 2007/36/EC.’

(b)

paragraph 3 is replaced by the following:

‘3.   The statutory auditor or audit firm shall express an opinion in accordance with the second subparagraph of Article 34(1) regarding information prepared under points (c) and (d) of paragraph 1 of this Article and shall check that the information referred to in points (a), (b), (e), (f), (g) and (h) of paragraph 1 of this Article has been provided.’

(c)

paragraph 4 is replaced by the following:

‘4.   Member States may exempt undertakings referred to in paragraph 1 which have only issued securities other than shares admitted to trading on a regulated market, within the meaning of point (14) of Article 4(1) of Directive 2004/39/EC, from the application of points (a), (b), (e), (f), (g) and (h) of paragraph 1 of this Article, unless such undertakings have issued shares which are traded in a multilateral trading facility, within the meaning of point (15) of Article 4(1) of Directive 2004/39/EC.’

Article 2a

Amendments to Directive 2004/109/EC

Directive 2004/109/EC of the European Parliament and of the Council  (14) is amended as follows:

(1)

In paragraph 1 of Article 2, the following point is added:

‘(r)

“tax ruling” means any advance interpretation or application of a legal provision for a cross-border situation or transaction of a company which might lead to a loss of tax in Member States or which might lead to tax savings for the company resulting from artificial intra-group transfers of profits.’.

(2)

The following articles are inserted:

‘Article 16a

Additional disclosure for issuers

1.     Member States shall require each issuer to annually publicly disclose, specifying by Member State and by third country in which it has a subsidiary, the following information on a consolidated basis for the financial year:

(a)

name(s), nature of activities and geographical location

(b)

turnover

(c)

number of employees on a full-time equivalent basis

(d)

profit or loss before tax

(e)

tax on profit or loss

(f)

public subsidies received

2.     The obligation set out in paragraph 1 shall not apply to any issuer governed by the law of a Member State whose parent company is subject to the laws of a Member State and of which the information is included in the information disclosed by that parent company in accordance with paragraph 1.

3.     The information referred to in paragraph 1 shall be audited in accordance with Directive 2006/43/EC and shall be published, where possible, as an annex to the annual financial statements or, where applicable, to the consolidated financial statements of the issuer concerned.

Article 16b

Additional disclosure for issuers

1.     Member States shall require each issuer to publicly disclose annually, on a consolidated basis for the financial year, essential elements of and information regarding tax rulings, providing a break-down by Member State and by third country in which it has a subsidiary. The Commission shall be empowered to set out, by means of delegated acts in accordance with Article 27(2a), (2b) and (2c), the format and content of publication.

2.     The obligation set out in paragraph 1 of this Article shall not apply to any issuer governed by the law of a Member State whose parent company is subject to the laws of a Member State and whose information is included in the information disclosed by that parent company in accordance with paragraph 1 of this article.

3.     The information referred to in paragraph 1 shall be audited in accordance with Directive 2006/43/EC and shall be published, where possible, as an annex to the annual financial statements or, where applicable, to the consolidated financial statements of the issuer concerned.’

(3)

In Article 27, paragraph 2a is replaced by the following:

‘2a.     The power to adopt the delegated acts referred to in Article 2(3), Article 5(6), Article 9(7), Article 12(8), Article 13(2), Article 14(2), Article 16a(1), Article 17(4), Article 18(5), Article 19(4), Article 21(4), Article 23(4), Article 23(5) and Article 23(7) shall be conferred on the Commission for a period of 4 years from January 2011. The Commission shall draw up a report in respect of delegated power at the latest 6 months before the end of the four-year period. The delegation of power shall be automatically extended for periods of an identical duration, unless the European Parliament or the Council revokes it in accordance with Article 27a.’

Article 3

Transposition

1.   Member States shall bring into force the laws, regulations and administrative provisions necessary to comply with this Directive at the latest by [18 months after entry into force] ▌. They shall forthwith communicate to the Commission the text of those provisions.

When Member States adopt those provisions, they shall contain a reference to this Directive or be accompanied by such a reference on the occasion of their official publication. Member States shall determine how such reference is to be made.

2.   Member States shall communicate to the Commission the text of the main provisions of national law which they adopt in the field covered by this Directive.

Article 4

Entry into force

This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

Article 5

Addressees

This Directive is addressed to the Member States.

Done at …,

For the European Parliament

The President

For the Council

The President


(1)  The matter was referred back to the committee responsible for reconsideration pursuant to Rule 61(2), second subparagraph (A8-0158/2015).

(*1)  Amendments: new or amended text is highlighted in bold italics; deletions are indicated by the symbol ▌.

(2)  OJ C 451, 16.12.2014, p. 87.

(3)  Directive 2007/36/EC of the European Parliament and of the Council of 11 July 2007 on the exercise of certain rights of shareholders in listed companies (OJ L 184, 14.7.2007, p. 17).

(4)  Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms (OJ L 176, 27.6.2013, p. 338).

(5)  Directive 2013/34/EU of the European Parliament and of the Council of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006/43/EC of the European Parliament and of the Council and repealing Council Directives 78/660/EEC and 83/349/EEC (OJ L 182, 29.6.2013, p. 19).

(6)  Directive 95/46/EC of the European Parliament and of the Council of 24 October 1995 on the protection of individuals with regard to the processing of personal data and on the free movement of such data (OJ L 281, 23.11.1995, p. 31).

(7)  OJ C 369, 17.12.2011, p. 14.

(14)  Directive 2004/109/EC of the European Parliament and of the Council of 15 December 2004 on the harmonisation of transparency requirements in relation to information about issuers whose securities are admitted to trading on a regulated market and amending Directive 2001/34/EC (OJ L 390, 31.12.2004, p. 38).


11.8.2017   

EN

Official Journal of the European Union

C 265/198


P8_TA(2015)0258

Market stability reserve for the Union greenhouse gas emission trading scheme ***I

European Parliament legislative resolution of 8 July 2015 on the proposal for a decision of the European Parliament and of the Council concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and amending Directive 2003/87/EC (COM(2014)0020 — C8-0016/2014 — 2014/0011(COD))

(Ordinary legislative procedure: first reading)

(2017/C 265/36)

The European Parliament,

having regard to the Commission proposal to Parliament and the Council (COM(2014)0020),

having regard to Article 294(2) and Article 192(1) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C8-0016/2014),

having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

having regard to the opinion of the European Economic and Social Committee of 4 June 2014 (1),

after consulting the Committee of the Regions,

having regard to the undertaking given by the Council representative by letter of 13 May 2015 to approve Parliament’s position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

having regard to Rule 59 of its Rules of Procedure,

having regard to the report of the Committee on the Environment, Public Health and Food Safety (A8-0029/2015),

1.

Adopts its position at first reading hereinafter set out;

2.

Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.

Instructs its President to forward its position to the Council, the Commission and the national parliaments.


(1)  OJ C 424, 26.11.2014, p. 46.


P8_TC1-COD(2014)0011

Position of the European Parliament adopted at first reading on 8 July 2015 with a view to the adoption of Decision (EU) 2015/… of the European Parliament and of the Council concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and amending Directive 2003/87/EC

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Decision (EU) 2015/1814.)


11.8.2017   

EN

Official Journal of the European Union

C 265/199


P8_TA(2015)0259

Seafarers ***I

European Parliament legislative resolution of 8 July 2015 on the proposal for a directive of the European Parliament and of the Council on seafarers amending Directives 2008/94/EC, 2009/38/EC, 2002/14/EC, 98/59/EC and 2001/23/EC (COM(2013)0798 — C7-0409/2013 — 2013/0390(COD))

(Ordinary legislative procedure: first reading)

(2017/C 265/37)

The European Parliament,

having regard to the Commission proposal to Parliament and the Council (COM(2013)0798),

having regard to Article 294(2) and Article 153(2) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7-0409/2013),

having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

having regard to the opinion of 25 March 2014 of the European Economic and Social Committee (1),

having regard to the opinion of 3 April 2014 of the Committee of the Regions (2),

having regard to the undertaking given by the Council representative by letter of 13 May 2015 to approve Parliament’s position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

having regard to Rule 59 of its Rules of Procedure,

having regard to the report of the Committee on Employment and Social Affairs and the opinion of the Committee on Fisheries (A8-0127/2015),

1.

Adopts its position at first reading hereinafter set out;

2.

Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.

Instructs its President to forward its position to the Council, the Commission and the national parliaments.


(1)  OJ C 226, 16.7.2014, p. 35.

(2)  OJ C 174, 7.6.2014, p. 50.


P8_TC1-COD(2013)0390

Position of the European Parliament adopted at first reading on 8 July 2015 with a view to the adoption of Directive (EU) 2015/… of the European Parliament and of the Council amending Directives 2008/94/EC, 2009/38/EC and 2002/14/EC of the European Parliament and of the Council, and Council Directives 98/59/EC and 2001/23/EC, as regards seafarers

(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Directive (EU) 2015/1794.)


11.8.2017   

EN

Official Journal of the European Union

C 265/200


P8_TA(2015)0260

Scientific and technological cooperation with Switzerland: Horizon 2020 and ITER activities ***

European Parliament legislative resolution of 8 July 2015 on the draft Council decision on the conclusion of the Agreement for scientific and technological cooperation between the European Union and European Atomic Energy Community and the Swiss Confederation associating the Swiss Confederation to Horizon 2020 — the Framework Programme for Research and Innovation and the Research and Training Programme of the European Atomic Energy Community complementing Horizon 2020, and regulating the Swiss Confederation's participation in the ITER activities carried out by Fusion for Energy (05662/2015 — C8-0056/2015 — 2014/0304(NLE))

(Consent)

(2017/C 265/38)

The European Parliament,

having regard to the draft Council decision (05662/2015),

having regard to the draft Agreement for scientific and technological cooperation between the European Union and European Atomic Energy Community and the Swiss Confederation associating the Swiss Confederation to Horizon 2020 — the Framework Programme for Research and Innovation and the Research and Training Programme of the European Atomic Energy Community complementing Horizon 2020, and regulating the Swiss Confederation’s participation in the ITER activities carried out by Fusion for Energy (15369/2014),

having regard to the request for consent submitted by the Council in accordance with Article 186, Article 218(6), second subparagraph, point (a), Article 218(7) and Article 218(8), first subparagraph, of the Treaty on the Functioning of the European Union (C8-0056/2015),

having regard to Rule 99(1), first and third subparagraphs, Rule 99(2), Rule 108(7) and Rule 50(1) of its Rules of Procedure,

having regard to the recommendation of the Committee on Industry, Research and Energy (A8-0181/2015),

1.

Gives its consent to conclusion of the agreement;

2.

Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Swiss Confederation.


11.8.2017   

EN

Official Journal of the European Union

C 265/201


P8_TA(2015)0261

Guidelines for the employment policies of the Member States *

European Parliament legislative resolution of 8 July 2015 on the proposal for a Council decision on guidelines for the employment policies of the Member States (COM(2015)0098 — C8-0075/2015 — 2015/0051(NLE))

(Consultation)

(2017/C 265/39)

The European Parliament,

having regard to the Commission proposal to the Council (COM(2015)0098),

having regard to Article 148(2) of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C8-0075/2015),

having regard to Rule 59 of its Rules of Procedure,

having regard to the report of the Committee on Employment and Social Affairs (A8-0205/2015),

1.

Approves the Commission proposal as amended;

2.

Calls on the Commission to alter its proposal accordingly, in accordance with Article 293(2) of the Treaty on the Functioning of the European Union;

3.

Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament;

4.

Asks the Council to consult Parliament again if it intends to substantially amend the Commission proposal;

5.

Instructs its President to forward its position to the Council and the Commission.

Amendment 1

Proposal for a decision

Recital 1

Text proposed by the Commission

Amendment

(1)

Member States and the Union should work towards developing a coordinated strategy for employment and particularly for promoting a skilled, trained and adaptable workforce and labour markets responsive to economic change and with a view to achieving the full employment and social progress objectives set out in Article 3 of the Treaty on European Union. Member States, having regard to national practices related to the responsibilities of management and labour, are to regard promoting employment as a matter of common concern and coordinate their action in this respect within the Council.

(1)

Member States and the Union should work towards developing an effective and coordinated strategy for employment , designed to counter the serious effects of unemployment, for promoting a skilled, trained workforce and labour markets responsive to economic , social and environmental change , notably through the targeted promotion of training in the science, technology, engineering and mathematics sectors and through the adaptation of the education systems, with a view to achieving the full employment and social progress objectives set out in Article 3 of the Treaty on European Union. Particular efforts should be made to increase the employment of workers with very low levels of schooling or skills and of those who are unable to acquire training or skills rapidly, and to reduce ever increasing large-scale and long-term unemployment, with particular focus on regions which are lagging behind. Member States, having regard to national practices related to the responsibilities of management and labour, are to regard promoting employment as a priority and a matter of common concern and coordinate their action in this respect within the Council. The Union should accompany those efforts with policy proposals to achieve the Treaty objectives and to ensure an inclusive, integrated labour market as well as decent working conditions across the Union, including adequate wages, also achieved by way of collective bargaining.

Amendment 2

Proposal for a decision

Recital 1 a (new)

Text proposed by the Commission

Amendment

 

(1a)

According to Eurostat estimates, there were 23 815 000 unemployed people in the Union in January 2015, 18 059 000 of whom were in the euro area.

Amendment 3

Proposal for a decision

Recital 1 b (new)

Text proposed by the Commission

Amendment

 

(1b)

It is now essential to establish reliable indicators for the condition of poverty in which many Union citizens find themselves, with respect to the previous figures contained in Council Decision 2010/707/EU  (1bis) which identified the need to lift at least 20 million people out of the risk of poverty and exclusion.

Amendment 4

Proposal for a decision

Recital 2

Text proposed by the Commission

Amendment

(2)

The Union must combat social exclusion and discrimination, ensure equal access to fundamental rights, and promote social justice and protection. In defining and implementing its policies and activities, the Union should take into account requirements linked to the guarantee of adequate social protection and the fight against social exclusion and a high level of education and training.

(2)

The Union must combat social exclusion , all forms of poverty as well as discrimination, ensure equal access to fundamental rights, and promote social justice and protection. This overall objective should not be endangered by side effects of other legislation or policies. In defining and implementing its policies and activities, the Union should take into account requirements linked to the guarantee of adequate social protection, the fight against social exclusion, and a high level of education and training.

Amendment 6

Proposal for a decision

Recital 4

Text proposed by the Commission

Amendment

(4)

Member States should regard their economic policies as a matter of common concern and coordinate them within the Council. Employment guidelines and broad economic policy guidelines should be adopted by the Council to guide Member States’ and Union policies.

(4)

Member States should regard their economic policies , together with their social policies, as a matter of common concern and coordinate them within the Council. Employment guidelines and broad economic policy guidelines should be adopted by the Council to guide Member States’ and Union policies.

Amendment 7

Proposal for a decision

Recital 4 a (new)

Text proposed by the Commission

Amendment

 

(4a)

To ensure a more democratic decision-making on the integrated guidelines, which affect the citizens and labour markets across the Union, it is important that both the employment guidelines and the broad economic guidelines are decided upon by the European Parliament and the Council. The integrated guidelines must allow Member States, as a priority, to adopt sustainable and integrated economic models at Union, national and local level.

Amendment 8

Proposal for a decision

Recital 5

Text proposed by the Commission

Amendment

(5)

In accordance with the Treaty provisions, the Union has developed and implemented policy coordination instruments for fiscal policy and macro-structural policies. The European Semester combines the different instruments in an overarching framework for integrated multilateral economic and budgetary surveillance . The streamlining and strengthening of the European Semester as set out in the Commission's 2015 Annual Growth Survey will further improve its functioning.

(5)

In accordance with the Treaty, the Union has developed and implemented policy coordination instruments for fiscal policy and macro-structural policies which have a strong impact on the social and employment situation in the Union . Those policies may result in a trend of stagnation and deflation in some parts of the Union, which could discourage growth and employment. In that regard, it is vital to take into consideration the new social indicators and the asymmetric shocks that certain Member States have experienced as a result of the financial and economic crisis . The European Semester combines the different instruments in an overarching framework for integrated multilateral surveillance of economic, budgetary , employment and social policies, and should be better geared to delivering the EU2020 targets . The streamlining and strengthening of the European Semester as set out in the Commission's 2015 Annual Growth Survey may further improve its functioning , but that instrument has not yet improved the economic situation in the Member States worst affected by the crisis .

Amendment 9

Proposal for a decision

Recital 5 a (new)

Text proposed by the Commission

Amendment

 

(5a)

According to the European Social Observatory, 26 Member States already have income support and social protection schemes  (1bis). The Commissioner for Employment, Social Affairs, Skills and Labour Mobility, Marianne Thyssen, stated that ‘if [she] could decide what happens in all Member States in Europe, then there would be a minimum income in all countries in Europe’.

Amendment 10

Proposal for a decision

Recital 5 b (new)

Text proposed by the Commission

Amendment

 

(5b)

There is no regulatory competence at Union level for the creation of a regulatory framework for a Union minimum wage.

Amendment 47

Proposal for a decision

Recital 6

Text proposed by the Commission

Amendment

(6)

The financial and economic crisis revealed and emphasised important weaknesses in the economy of the Union and its Member States . It has also underscored the close interdependence of the Member States' economies and labour markets. Moving the Union to a state of strong, sustainable and inclusive growth and job creation is the key challenge faced today. This requires coordinated and ambitious policy action both on Union and national level, in line with the provisions of the Treaty and the Union economic governance. Combining supply and demand side measures, these actions should encompass a boost to investment, a renewed commitment to structural reforms and exercising fiscal responsibility.

(6)

The financial and economic crisis revealed and emphasised serious weaknesses in the economies of the Member States and in the Union's coordination mechanisms . It has also underscored the close interdependence of the Member States' economies and labour markets. Moving the Union to a state of strong, sustainable and inclusive growth and job creation , which involves putting a stop to the large pockets of unemployment that have arisen in certain parts of its territory, is the key challenge faced today. This requires firm, coordinated, ambitious , but, above all, effective policy action both on Union and national level, in line with the provisions of the Treaty and the Union economic governance. Combining supply and demand side measures, these actions should encompass a boost to investment, particularly investment aiming to develop small and medium-sized enterprises, microenterprises, innovative start-ups and businesses promoting green employment and renewed commitment to structural reforms and exercising fiscal responsibility. Those actions should also encompass the creation of a more inclusive rights-based labour market, flanked by adequate social protection. They should also include social protection measures, such as guaranteed minimum income, to be introduced in accordance with national practices, with the goal of fighting extreme poverty and social exclusion.

Amendment 12

Proposal for a decision

Recital 7

Text proposed by the Commission

Amendment

(7)

Member States and the Union should also address the social impact of the crisis and aim at building a cohesive society in which people are empowered to anticipate and manage change, and can actively participate in society and the economy. Access and opportunities for all should be ensured and poverty and social exclusion reduced, in particular by ensuring an effective functioning of labour markets and social welfare systems and removing barriers to labour market participation. Member States should also make sure that the benefits of economic growth reach all citizens and all region s .

(7)

Member States and the Union should also address the social impact of the crisis by providing more reliable figures on extreme poverty, and aim to build an inclusive and more just society in which people are empowered to anticipate and manage change, and can actively participate in society and the economy. Non-discriminatory access and opportunities for all should be ensured and poverty and social exclusion reduced substantially , in particular by ensuring an effective functioning of labour markets and adequate social welfare systems and removing unnecessary administrative barriers and barriers to labour market participation , in particular those affecting people with disabilities . Member States should also make sure that the benefits of economic growth reach all citizens and all regional and local entities . The scoreboard of key employment and social indicators within the Joint Employment Report is a particularly useful tool in this respect by helping to detect key employment and social problems and divergences in a timely way and identify areas where policy response is most needed. However, further editions of the scoreboard should include also gender disaggregated data.

Amendment 13

Proposal for a decision

Recital 7 a (new)

Text proposed by the Commission

Amendment

 

(7a)

The European Court of Auditors has identified three risks to the successful implementation of the Youth Guarantee initiative: the adequacy of total funding, the definition of a ‘good quality offer’, and the way the Commission monitors and reports on the results of the scheme.

Amendment 14

Proposal for a decision

Recital 7 b (new)

Text proposed by the Commission

Amendment

 

(7b)

Council Decision 2010/707/EU  (1bis) set out the following goals: to raise the employment rate for women and men aged 20 to 64 to 75 % by 2020; to reduce the drop-out rates to less than 10 %; to increase the share of 30 to 34-year-olds completing tertiary or equivalent education to at least 40 %; and to promote social inclusion, in particular through the reduction of poverty by aiming to lift at least 20 million people out of the risk of poverty and exclusion. The realisation of the Europe 2020 strategy in the employment and social area remains a key objective of Member States’ employment policy.

Amendment 15

Proposal for a decision

Recital 8

Text proposed by the Commission

Amendment

(8)

Action in line with the guidelines is an important contribution to reaching the goals of the Europe 2020 strategy. The guidelines constitute an integrated set of European and national policies, which Member States and the Union should implement in order to achieve the positive spill-over effects of coordinated structural reforms, an appropriate overall economic policy mix and a more consistent contribution from European policies to the Europe 2020 strategy’s objectives.

(8)

Action in line with the guidelines is an important contribution to reaching the goals of the Europe 2020 strategy which have not yet been achieved . The outcome of the 2014 public consultation on the Europe 2020 strategy clearly showed that the employment, poverty, social exclusion and education targets of the strategy are still highly relevant, and are equally important, interdependent and mutually reinforcing. The guidelines constitute an integrated set of European and national policies, which Member States and the Union should implement in order to achieve the positive spill-over effects of coordinated reforms aiming to reduce inequalities and increasing the well-being of citizens , an appropriate overall economic policy mix and a more consistent contribution from European policies to the Europe 2020 strategy’s objectives.

Amendment 16

Proposal for a decision

Recital 9

Text proposed by the Commission

Amendment

(9)

While these guidelines are addressed to Member States and the Union, they should be implemented in partnership with all national, regional and local authorities, closely associating parliaments, as well as social partners and representatives of civil society.

(9)

When designing and implementing national policies, Member States should ensure effective governance. While these guidelines are addressed to Member States and the Union, they should be implemented , monitored and evaluated in partnership with all national, regional and local authorities, parliaments, as well as social partners and representatives of civil society.

Amendment 17

Proposal for a decision

Recital 10

Text proposed by the Commission

Amendment

(10)

The broad guidelines for economic policies give guidance to the Member States on implementing reforms , reflecting interdependence. They are in line with the Stability and Growth Pact. The guidelines should form the basis for country-specific recommendations that the Council may address to the Member States.

(10)

The broad guidelines for economic policies and the employment guidelines give guidance to the Member States on implementing reforms and should form the basis for country-specific recommendations that the Council may address to the Member States. Given the close interdependence of Member States' economies and labour markets, when adopting country-specific recommendations the Council should take into consideration the state of affairs in the neighbouring countries as well as in countries with which the respective Member State has clear connections following a trend in migration by workers or any other relevant indicator. In that respect, the Commission should have accurate and updated statistics and data available in case the country-specific recommendations need to be adjusted.

Amendment 18

Proposal for a decision

Annex — Guideline 5 — paragraph 1

Text proposed by the Commission

Amendment

Member States should facilitate job creation, reduce barriers for business to hire people, promote entrepreneurship and in particular support the creation and growth of small enterprises in order to increase the employment rate of women and men. Member States should also actively promote the social economy and foster social innovation.

Member States , in cooperation with regional and local authorities, should effectively and promptly tackle the serious issue of unemployment, and facilitate and invest in sustainable and quality job creation, address accessibility for at-risk groups and reduce barriers for business to hire people across skill levels and labour market sectors, including by cutting red tape, whilst respecting labour and social standards , promote youth entrepreneurship and in particular support the creation and growth of micro, small and medium enterprises in order to increase the employment rate of women and men. Member States should actively promote , inter alia, green, white and blue-sector jobs and the social economy and foster social innovation.

Amendment 19

Proposal for a decision

Annex — Guideline 5 — paragraph 2

Text proposed by the Commission

Amendment

The tax burden should be shifted away from labour to other sources of taxation that are less detrimental to employment and growth while protecting revenue for adequate social protection and growth enhancing expenditures. Reductions in labour taxation should be aimed at the relevant components of the tax burden and at removing barriers and disincentives to labour market participation, in particular for those furthest away from the labour market.

The tax burden should be shifted away from labour to other sources of taxation that are less detrimental to employment and growth while protecting revenue for adequate social protection and expenditures directed towards public investment, innovation and job creation . Reductions in labour taxation should be aimed at the relevant components of the tax burden , at tackling discrimination and at removing barriers and disincentives to labour market participation, in particular for people with disabilities and those furthest away from the labour market , while respecting existing labour standards .

Amendment 20

Proposal for a decision

Annex — Guideline 5 — paragraph 3

Text proposed by the Commission

Amendment

Member States should, together with the social partners, encourage wage-setting mechanisms allowing for a responsiveness of wages to productivity developments. In this respect, differences in skills and local labour market conditions as well as divergences in economic performance across regions, sectors and companies should be taken into account . When setting minimum wages, Member States and social partners should consider their impact on in-work poverty, job creation and competitiveness.

Policies to ensure that wages allow an adequate living income remain important to create employment and decrease poverty in the Union. Member States should therefore , together with the social partners, respect and encourage wage-setting mechanisms allowing for a responsiveness of real wages to productivity developments helping to correct past divergence without fuelling deflationary pressure. Those mechanisms should ensure sufficient resources to satisfy basic needs, taking account poverty indicators specific to each Member State . In this respect, differences in skills and local labour market conditions should be properly evaluated with the aim of ensuring a decent living wage across the Union . When setting minimum wages in accordance with national legislation and practices , Member States and social partners should ensure their adequacy as well as consider their impact on in-work poverty, household income, aggregate demand, job creation and competitiveness.

Amendment 21

Proposal for a decision

Annex — Guideline 5 — paragraph 3 a (new)

Text proposed by the Commission

Amendment

 

Member States should cut red tape in order to ease the burden on small and medium-sized enterprises, as they contribute significantly to job creation.

Amendment 22

Proposal for a decision

Annex — Guideline 6 — paragraph 1

Text proposed by the Commission

Amendment

Member States should promote productivity and employability through an appropriate supply of relevant knowledge and skills. Member States should make the necessary investments in education and vocational training systems while improving their effectiveness and efficiency to raise the skill level of the workforce, allowing it to better anticipate and meet the rapidly changing needs of dynamic labour markets in an increasingly digital economy. Member States should step up efforts to improve access to quality adult learning for all and implement active ageing strategies to enable longer working lives.

Member States should promote sustainable productivity and quality employability through an appropriate supply of relevant knowledge and skills made available and accessible to all . There should be particular focus on health care, social services and transport services which are facing or will face staff shortages in the medium term. Member States should make effective investments in high-quality and inclusive education from an early age and vocational training systems while improving their effectiveness and efficiency to raise the knowhow and skill level of the workforce, while increasing the diversity of skills, allowing it to better anticipate and meet the rapidly changing needs of dynamic labour markets in an increasingly digital economy. To that end, the fact that ‘soft skills’ such as communication are becoming more important for a large number of occupations should be taken into account.

Amendment 23

Proposal for a decision

Annex — Guideline 6 — paragraph 1 a (new)

Text proposed by the Commission

Amendment

 

Member States should promote entrepreneurship among young people inter alia by introducing optional entrepreneurship courses and encouraging the creation of student enterprises in high schools and colleges. Member States, in cooperation with local and regional authorities, should step up efforts to prevent young people from dropping out of school and to ensure a smoother transition from education and training to professional life, to improve access and remove barriers to high-quality adult learning for all with particular focus on high-risk groups and their needs, by offering retraining of skills when job losses and changes in the labour market necessitate active reintegration. Simultaneously Member States should implement active ageing strategies to enable healthy working up to the real retirement age.

Amendment 24

Proposal for a decision

Annex — Guideline 6 — paragraph 1 b (new)

Text proposed by the Commission

Amendment

 

While ensuring the necessary skills level requested by a continuously changing labour market and supporting education and training alongside programmes for adult learning, Member States should take into account that low-skills jobs are also needed and that employment opportunities are better for the high-skilled than for the medium- and low-skilled.

Amendment 25

Proposal for a decision

Annex — Guideline 6 — paragraph 1 c (new)

Text proposed by the Commission

Amendment

 

Access to affordable, high-quality, early childhood education and care should be a priority for comprehensive policies and investment coupled with family and parenting support and reconciliation measures helping parents to balance work and family life, as a contribution to preventing early school-leaving and increasing young people's chances on the labour market.

Amendment 26

Proposal for a decision

Annex — Guideline 6 — paragraph 2

Text proposed by the Commission

Amendment

High unemployment should be tackled and long-term unemployment prevented. The number of long-term unemployed should be significantly reduced by means of comprehensive and mutually reinforcing strategies, including the provision of specific active support to long-term unemployed to return to the labour market. The youth unemployment needs to be comprehensively addressed, including by equipping the relevant institutions with the necessary means to fully and consistently implement their national Youth Guarantee Implementation Plans.

The issue of unemployment, in particular long-term unemployment and regional high unemployment should be resolved effectively and promptly, as well as prevented through a mix of demand and supply-side measures . The number of long-term unemployed and the problem of skills mismatch and skill obsolescence should be addressed by means of comprehensive and mutually reinforcing strategies, including the provision of personalised needs-based active support and appropriate social protection schemes to long-term unemployed to return to the labour market in an informed and responsible manner . The youth unemployment needs to be comprehensively addressed, through an overall youth employment strategy. This includes investing in sectors that can create quality jobs for young people and by equipping the relevant actors such as youth support services, education and training providers, youth organisations and public employment services with the necessary means to fully and consistently implement their national Youth Guarantee Implementation Plans , but also by the rapid take-up of resources by Member States . Access to funding for those who choose to start a business should be facilitated by means of a wider availability of information, a reduction in excessive bureaucracy and possibilities to convert several months' unemployment benefits into an upfront start-up grant after presentation of a business plan and in compliance with national legislation.

Amendment 27

Proposal for a decision

Annex — Guideline 6 — paragraph 2 a (new)

Text proposed by the Commission

Amendment

 

Member States should take into consideration local and regional disparities in drawing up and carrying out measures against unemployment and should work together with local employment services.

Amendment 28

Proposal for a decision

Annex — Guideline 6 — paragraph 3

Text proposed by the Commission

Amendment

Structural weaknesses in education and training systems should be addressed to ensure quality learning outcomes and prevent and tackle early school leaving. Member States should increase educational attainment and consider dual learning systems and upgrading professional training while at the same time increase opportunities for recognising skills acquired outside the formal education system .

Structural weaknesses in education and training systems should be addressed to ensure high-quality learning outcomes and prevent and tackle early school leaving , and promote an all-embracing, high-quality education from the most basic level onwards . This requires flexible educational systems with a focus on practice. Member States , in cooperation with local and regional authorities, should increase the quality of educational attainment by making it accessible to all, set up and improve dual learning systems , adapted to their needs, by upgrading professional training and existing frameworks such as europass, while ensuring, where necessary, appropriate retraining of skills and recognition of those acquired outside of the formal education system . Links between education and labour market should be strengthened, while ensuring that education is sufficiently broad to provide people with a solid basis for life-long employability.

Amendment 29

Proposal for a decision

Annex — Guideline 6 — paragraph 3 a (new)

Text proposed by the Commission

Amendment

 

Member States should gear their training systems more closely to the labour market with a view to better transition from training to employment. In particular in the context of digitisation, and in terms of new technologies, green jobs and health care are essential.

Amendment 30

Proposal for a decision

Annex — Guideline 6 — paragraph 4

Text proposed by the Commission

Amendment

Barriers to labour market participation should be reduced, especially for women, older workers, young people, the disabled and legal migrants. Gender equality including equal pay must be ensured in the labour market as well as access to affordable quality early childhood education and care.

Discrimination on the labour market as well as with regard to access to the labour market need to be further reduced, especially for groups that face discrimination or exclusion, such as women, older workers, young people, people with disabilities and legal migrants. Gender equality including equal pay must be ensured in the labour market as well as access to affordable, high-quality early childhood education and care as well as the flexibility necessary to prevent the exclusion of those with breaks in their careers due to family responsibilities such as family carers. In this sense, the Women on Board Directive should be unblocked by the Member States.

Amendment 31

Proposal for a decision

Annex — Guideline 6 — paragraph 4 a (new)

Text proposed by the Commission

Amendment

 

In this respect, Member States should take into account the fact that the rates of young persons not in employment, education or training (NEET) are higher for women than for men and that the NEET phenomenon is primarily due to an increase in youth unemployment but also to non-education linked inactivity.

Amendment 32

Proposal for a decision

Annex — Guideline 6 — paragraph 5

Text proposed by the Commission

Amendment

Member States should make a full use of European Social Fund and other Union funds support in order to improve employment, social inclusion, education and public administration.

Member States should make a full , effective and efficient use of European Social Fund and other Union funds support in order to combat poverty, improve quality employment, social inclusion, education, public administration and public services. The European Fund for Strategic Investments and its investment platforms should also be mobilised to ensure that quality jobs are created and workers are equipped with skills needed for the Union's transition towards a sustainable growth model.

Amendment 33

Proposal for a decision

Annex — Guideline 7 — paragraph 1

Text proposed by the Commission

Amendment

Member States should reduce labour market segmentation. Employment protection rules and institutions should provide a suitable environment for recruitment while offering adequate levels of protection to those in employment and those seeking employment or employed on temporary contracts or independent work contracts. Quality employment should be ensured in terms of socio-economic security, education and training opportunities, working conditions (including health and safety) and work-life balance.

Member States should reduce labour market segmentation by tackling precarious employment, underemployment, undeclared labour and zero-hour contracts . Employment protection rules and institutions should provide a suitable environment for recruitment while offering adequate levels of protection to those in employment and those seeking employment or employed on temporary , part-time, atypical contracts or independent work contracts , by actively involving the social partners and by promoting collective bargaining . Quality employment should be ensured for all in terms of socio-economic security, durability, adequate wages, rights at work, decent workplace conditions (including health and safety), social security protection, gender equality, education and training opportunities . Therefore it is necessary to promote the entry of young people into the labour market, the reintegration of long-term unemployed and work-life balance , providing affordable care and modernising work organisation . Upward convergence in working conditions should be promoted across the Union.

Amendment 34

Proposal for a decision

Annex — Guideline 7 — paragraph 1 a (new)

Text proposed by the Commission

Amendment

 

Access to the labour market should facilitate entrepreneurship, sustainable job creation in all sectors, including green employment, and social care and innovation, in order to make the best use of people's skills, foster their lifelong development and encourage employee-driven innovation.

Amendment 35

Proposal for a decision

Annex — Guideline 7 — paragraph 2

Text proposed by the Commission

Amendment

Member States should closely involve National Parliaments and social partners in the design and implementation of relevant reforms and policies, in line with national practices, while supporting the improvement of the functioning and effectiveness of social dialogue at national level.

Member States should closely involve national parliaments, social partners , civil society organisations, regional and local authorities in the design and implementation of relevant reforms and policies, in line with the partnership principle and national practices, while supporting the improvement of the functioning and effectiveness of social dialogue at national level , especially in those countries with major problems of wage devaluation caused by recent deregulation of labour markets and weakness of collective bargaining .

Amendment 36

Proposal for a decision

Annex — Guideline 7 — paragraph 3

Text proposed by the Commission

Amendment

Member States should strengthen active labour market policies by increasing their targeting, outreach, coverage and interplay with passive measures. These policies should aim at improving labour market matching and support sustainable transitions on the labour market, with public employment services delivering individualised support and implementing performance measurement systems. Member States should also ensure that their social protection systems effectively activate and enable those who can participate in the labour market, protect those (temporarily) excluded from the labour markets and/or unable to participate in it, and prepare individuals for potential risks, by investing in human capital. Member States should promote inclusive labour markets open to all and also put in place effective anti-discrimination measures.

Member States should ensure basic standards of quality of active labour market policies by improving their targeting, outreach, coverage and interplay with supporting measures such as social security . These policies should aim at improving labour market access, strengthening collective bargaining and social dialogue and support sustainable transitions on the labour market, with highly qualified public employment services delivering individualised support and implementing performance measurement systems. Member States should also ensure that their social protection systems effectively activate and enable those who can participate in the labour market, protect those (temporarily) excluded from the labour markets and/or unable to participate in it, and prepare individuals for potential risks and changing economic and social conditions , by investing in human capital. Member States should introduce, as one of the possible measures to reduce poverty and in accordance with national practice, a minimum income proportionate to their specific socio-economic situation. Member States should promote inclusive labour markets open to all and also put in place effective anti-discrimination measures.

Amendment 37

Proposal for a decision

Annex — Guideline 7 — paragraph 4

Text proposed by the Commission

Amendment

Mobility of workers should be ensured with an aim of exploiting the full potential of the European labour market, including by enhancing the portability of pensions and the recognition of qualifications. Member States should at the same time guard against abuses of the existing rules .

Mobility of workers should be ensured as a fundamental right and as a matter of free choice, with an aim of exploiting the full potential of the European labour market, including by enhancing the portability of pensions and the effective recognition of qualifications and skills and the elimination of red tape and other existing barriers . Member States should at the same time tackle the language barriers, improving training systems in this matter. Member States should also make an appropriate use of the EURES network in order to encourage worker mobility . Investment in regions experiencing labour outflows should be promoted to mitigate brain drain and encourage mobile workers to return.

Amendment 38

Proposal for a decision

Annex — Guideline 7 a (new) — title

Text proposed by the Commission

Amendment

 

Improving the quality and performance of education and training systems at all levels

Amendment 39

Proposal for a decision

Annex — Guideline 7 a (new)

Text proposed by the Commission

Amendment

 

Member States should make access to care and to affordable quality early childhood education a priority as both are important support measures for labour market actors and contribute to increasing the overall employment rate while supporting the individuals in their responsibilities. Member States should set up the comprehensive policies and investment needed to improve family and parenting support and reconciliation measures helping parents to balance work and family life, as a contribution to preventing early school leaving and increasing young people's chances on the labour market.

Amendment 40

Proposal for a decision

Annex — Guideline 8 — title

Text proposed by the Commission

Amendment

Ensuring fairness , combatting poverty and promoting equal opportunities

Ensuring social justice , combatting poverty and promoting equal opportunities

Amendment 41

Proposal for a decision

Annex — Guideline 8 — paragraph 1

Text proposed by the Commission

Amendment

Member States should modernise their social protection systems to provide effective, efficient, and adequate protection throughout all stages of an individual’s life, ensuring fairness and addressing inequalities. There is a need for simplified and better targeted social policies complemented by affordable quality childcare and education, training and job assistance, housing support and accessible health care, access to basic services such as bank account and Internet and for action to prevent early school leaving and fight social exclusion.

Member States , in cooperation with local and regional authorities, should improve their social protection systems by ensuring basic standards to provide effective, efficient and sustainable protection throughout all stages of an individual’s life, ensuring life in dignity, solidarity, access to social protection, full respect of social rights, fairness and addressing inequalities as well as ensuring inclusion in order to eliminate poverty, in particular for people excluded from the labour market and for the more vulnerable groups . There is a need for simplified, better targeted and more ambitious social policies including by affordable, high-quality childcare and education, effective training and job assistance, housing support and high-quality health care accessible to all , access to basic services such as bank accounts and the Internet and for action to prevent early school leaving and fight extreme poverty, social exclusion , and more generally all forms of poverty. Child poverty in particular must be decisively tackled .

Amendment 42

Proposal for a decision

Annex — Guideline 8 — paragraph 2

Text proposed by the Commission

Amendment

For that purpose a variety of instruments should be used in a complementary manner, including labour activation enabling services and income support, targeted at individual needs. Social protection systems should be designed in a way that facilitate take up of all persons entitled , support investment in human capital, and help prevent, reduce and protect against poverty.

For that purpose a variety of instruments should be used in a complementary manner, including labour activation enabling services and income support, targeted at individual needs. In this respect, it is up to each Member State to set levels of minimum income in accordance with national practice and proportionate to the specific socio-economic situation in the Member State in question. Social protection systems should be designed in a way that facilitate access and take up of all persons in a non-discriminatory way, support investment in human capital, and help prevent, reduce and protect against poverty and social exclusion as well as against other risks such as loss of health or employment. There should be a particular focus on children in poverty due to their parents' long-term unemployment .

Amendment 43

Proposal for a decision

Annex — Guideline 8 — paragraph 3

Text proposed by the Commission

Amendment

The pension systems should be reformed in order to secure their sustainability and adequacy for women and men in a context of increasing longevity and demographic change, including by linking statutory retirement ages to life expectancy, by increasing effective retirement ages, and by developing complementary retirement savings .

The pension systems should be structured in a way that their sustainability , safety and adequacy for women and men is ensured by strengthening retirement schemes, aiming at a decent retirement income at least above the poverty level. The pension systems should provide for consolidation, further development and improvement of the three pillars of retirement saving systems. Linking retirement age to life expectancy is not the only instrument by means of which to tackle the challenge of aging. Reforms of pension systems should also, inter alia, reflect labour market trends, birth rate, demographic situation, health and wealth situation, working conditions and the economic dependency ratio. The best way to tackle the challenge of ageing is to increase the overall employment rate, building, inter alia, on social investments in active ageing.

Amendment 44

Proposal for a decision

Annex — Guideline 8 — paragraph 4

Text proposed by the Commission

Amendment

Member States should improve the accessibility, efficiency and effectiveness of healthcare and long term care systems, while safeguarding fiscal sustainability.

Member States should improve the quality, affordability, accessibility, efficiency and effectiveness of healthcare and long term care systems and welfare services as well as decent working conditions in the related sectors , while safeguarding the financial sustainability of these systems by improving the solidarity-based financing.

Amendment 45

Proposal for a decision

Annex — Guideline 8 — paragraph 4 a (new)

Text proposed by the Commission

Amendment

 

Member States should make a full use of European Social Fund and other Union funds support in order to fight poverty, social exclusion and discrimination, improve accessibility for people with disabilities to promote equality between women and men and improve public administration.

Amendment 46

Proposal for a decision

Annex — Guideline 8 — paragraph 4 b (new)

Text proposed by the Commission

Amendment

 

The Europe 2020 headline targets, on the basis of which Member States set their national targets, taking into account their relative starting positions and national circumstances, aims to raise the employment rate for women and men aged 20 to 64 to 75 % by 2020; to reduce the drop-out rate to less than 10 %; to increase the share of 30 to 34-year-olds completing tertiary or equivalent education to at least 40 %; and to promote social inclusion, in particular through the reduction of poverty by aiming to lift at least 20 million people out of the risk of poverty and exclusion  (1bis) .


(1bis)   Council Decision 2010/707/EU of 21 October 2010 on guidelines for the employment policies of the Member States (OJ L 308, 24.11.2010, p. 46).

(1bis)   http://www.eesc.europa.eu/resources/docs/revenu-minimum_-etude-ose_-vfinale_en--2.pdf

(1bis)   Council Decision 2010/707/EU of 21 October 2010 on guidelines for the employment policies of the Member States (OJ L 308, 24.11.2010, p. 46).

(1bis)   Population is defined as the number of people who are at risk of poverty and exclusion according to three indicators (at risk of poverty; material deprivation; jobless household), leaving Member States free to set their national targets on the basis of the most appropriate indicators, taking into account their national circumstances and priorities.


11.8.2017   

EN

Official Journal of the European Union

C 265/223


P8_TA(2015)0262

Mobilisation of the European Globalisation Adjustment Fund: application EGF/2015/001 FI/Broadcom

European Parliament resolution of 8 July 2015 on the proposal for a decision of the European Parliament and of the Council on the mobilisation of the European Globalisation Adjustment Fund, in accordance with point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (application EGF/2015/001 FI/Broadcom, from Finland) (COM(2015)0232 — C8-0135/2015 — 2015/2125(BUD))

(2017/C 265/40)

The European Parliament,

having regard to the Commission proposal to the European Parliament and the Council (COM(2015)0232 — C8-0135/2015),

having regard to Regulation (EU) No 1309/2013 of the European Parliament and of the Council of 17 December 2013 on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) No 1927/2006 (1) (EGF Regulation),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (2), and in particular Article 12 thereof,

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (3) (IIA of 2 December 2013), and in particular point 13 thereof,

having regard to the trilogue procedure provided for in point 13 of the IIA of 2 December 2013,

having regard to the letter of the Committee on Employment and Social Affairs,

having regard to the letter of the Committee on Regional Development,

having regard to the report of the Committee on Budgets (A8-0210/2015),

A.

whereas the Union has set up legislative and budgetary instruments to provide additional support to workers who are suffering from the consequences of major structural changes in world trade patterns or of the global financial and economic crisis and to assist their reintegration into the labour market;

B.

whereas the Union’s financial assistance to workers made redundant should be dynamic and made available as quickly and efficiently as possible, in accordance with the Joint Declaration of the European Parliament, the Council and the Commission adopted during the conciliation meeting on 17 July 2008, and having due regard to the IIA of 2 December 2013 in respect of the adoption of decisions to mobilise the European Globalisation Adjustment Fund (EGF);

C.

whereas the adoption of the EGF Regulation reflects the agreement reached between the Parliament and the Council to reintroduce the crisis mobilisation criterion, to increase the Union financial contribution to 60 % of the total estimated cost of proposed measures, to increase efficiency for the treatment of EGF applications in the Commission and by the Parliament and the Council by shortening the time for assessment and approval, to widen eligible actions and beneficiaries by introducing self-employed persons and young people and to finance incentives for setting up own businesses;

D.

whereas Finland submitted application EGF/2015/001 FI/Broadcom for a financial contribution from the EGF following 568 redundancies in Broadcom Communications Finland, operating in the NACE Rev. 2 division 46 (‘Wholesale trade, except of vehicles and motorcycles’) (4), and 2 suppliers or downstream producers;

E.

whereas the application fulfils the eligibility criteria set up by the EGF Regulation;

1.

Agrees with the Commission that the conditions set out in Article 4(1)(a) of the EGF Regulation are met and that, therefore, Finland is entitled to a financial contribution of EUR 1 365 000 under that Regulation;

2.

Notes that the Finnish authorities submitted the application for an EGF financial contribution on 30 January 2015, and that its assessment was made available by the Commission on 2 June 2015; welcomes the speedy evaluation of less than five months;

3.

Recalls that, during the 2000s, personnel numbers in Finnish subsidiaries on all continents increased, until Asia emerged as the greatest employer in the electronics and electrical industry in 2004 and personnel numbers in Europe started declining; considers that the redundancies in Broadcom are partly linked to the trend that affects the entire Finnish electronics industry and that culminated in Nokia's announcement of large-scale redundancies in 2011; concludes however that those events are substantially linked to major structural changes in world trade patterns due to globalisation;

4.

Notes that these redundancies will further aggravate the unemployment situation particularly in the region of Northern Ostrobothnia (part of the NUTS (5) level 2 region FI1A), where 424 of the 568 redundancies occurred; notes that in that region the unemployment rate is consistently a couple of percentage points higher than the national average; notes that in August 2014, while the national unemployment rate was 12,2 %, in Northern Ostrobothnia it was 14,1 % and in the most affected city, Oulu, it was 16,1 % and that the same region was strongly affected by the large-scale Nokia redundancies from 2011 onwards;

5.

Considers that the enterprise surveys and visits are actions which may benefit not only dismissed workers covered by this application, but may also contribute to building knowledge about employment issues within this sector for future redundancies; notes that these specific actions are already a continuation of a similar measure carried out during an earlier EGF case in Finland (EGF/2013/001 FI/Nokia);

6.

Notes that, to-date, the ‘Wholesale trade, except of vehicles and motorcycles’ sector has been the subject of one other EGF application (EGF/2010/012 NL/Noord Holland ICT) which was also based on the globalisation criterion;

7.

Notes with satisfaction that, in order to provide workers with speedy assistance, the Finnish authorities decided to initiate the implementation of the personalised services to the affected workers on 11 August 2014, well ahead of the decision and even the application on the granting the EGF support for the proposed coordinated package;

8.

Notes that Finland is planning three types of measures for the redundant workers covered by this application: (i) helping them to transfer to a new job, (ii) helping them to start their own business, and (iii) providing training or education;

9.

Notes that the authorities plan to use 17,46 % of all costs on allowances and incentives in the form of pay subsidies (as part of the salary for each employment relationship established for a targeted worker) and allowances for travel, overnight and removal costs, which amounts to half of the maximum allowed 35 % of all costs for such measures;

10.

Welcomes the procedures that the Finnish authorities have followed to consult the targeted beneficiaries or their representatives or the social partners as well as local and regional authorities;

11.

Recalls the importance of improving the employability of all workers by means of adapted training and the recognition of skills and competences gained throughout a worker's professional career; expects the training on offer in the coordinated package to be adapted not only to the needs of the dismissed workers but also to the actual business environment;

12.

Recalls that, in line with Article 7 of the EGF Regulation, the design of the coordinated package of personalised services should anticipate future labour market perspectives and required skills and should be compatible with the shift towards a resource-efficient and sustainable economy;

13.

Welcomes the complementarity of the proposed EGF interventions with other actions funded by national or Union funds;

14.

Notes that the information provided on the coordinated package of personalised services to be funded from the EGF includes information on complementarity with actions funded by the Structural Funds; stresses that the Finnish authorities confirm that the eligible actions do not receive assistance from other Union financial instruments; reiterates its call to the Commission to present a comparative evaluation of those data in its annual reports in order to ensure full respect of the existing regulations and that no duplication of Union-funded services can occur;

15.

Appreciates the improved procedure put in place by the Commission following the Parliament's request for the accelerated release of grants; notes the time pressure that the new timetable implies and the potential impact on the effectiveness of case instruction;

16.

Approves the decision annexed to this resolution;

17.

Instructs its President to sign the decision with the President of the Council and arrange for its publication in the Official Journal of the European Union;

18.

Instructs its President to forward this resolution, including its annex, to the Council and the Commission.


(1)  OJ L 347, 20.12.2013, p. 855.

(2)  OJ L 347, 20.12.2013, p. 884.

(3)  OJ C 373, 20.12.2013, p. 1.

(4)  Regulation (EC) No 1893/2006 of the European Parliament and of the Council of 20 December 2006 establishing the statistical classification of economic activities NACE Revision 2 and amending Council Regulation (EEC) No 3037/90 as well as certain EC regulations on specific statistical domains (OJ L 393, 30.12.2006, p. 1).

(5)  Commission Regulation (EU) No 1046/2012 of 8 November 2012 implementing Regulation (EC) No 1059/2003 of the European Parliament and of the Council on the establishment of a common classification of territorial units for statistics (NUTS) as regards the transmission of the time series for the new regional breakdown (OJ L 310, 9.11.2012, p. 34).


ANNEX

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

on the mobilisation of the European Globalisation Adjustment Fund (application from Finland — EGF/2015/001 FI/Broadcom)

(The text of this annex is not reproduced here since it corresponds to the final act, Decision (EU) 2015/1477.)


11.8.2017   

EN

Official Journal of the European Union

C 265/226


P8_TA(2015)0263

2016 Budget — Mandate for the trilogue

European Parliament resolution of 8 July 2015 on the mandate for the trilogue on the 2016 draft budget (2015/2074(BUD))

(2017/C 265/41)

The European Parliament,

having regard to Articles 312 and 314 of the Treaty on the Functioning of the European Union,

having regard to Article 106a of the Treaty establishing the European Atomic Energy Community,

having regard to the draft general budget of the European Union for the financial year 2016, which the Commission adopted on 24 June 2015 (COM(2015)0300),

having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (1),

having regard to Council Regulation (EU, Euratom) No 1311/2013 of 2 December 2013 laying down the multiannual financial framework for the years 2014-2020 (2),

having regard to the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management (3),

having regard to its resolution of 11 March 2015 on general guidelines for the preparation of the 2016 budget, Section III — Commission (4),

having regard to the Council conclusions of 17 February 2015 on the 2016 budget guidelines,

having regard to Title II, Chapter 8 of its Rules of Procedure,

having regard to the letters from the Committee on Foreign Affairs, the Committee on International Trade, the Committee on Civil Liberties, Justice and Home Affairs and the Committee on Constitutional Affairs,

having regard to the report of the Committee on Budgets and the opinions of the other committees concerned (A8-0217/2015),

Draft Budget 2016: respecting the commitments and financing priorities

1.

Recalls that, in its above-mentioned resolution of 11 March 2015, Parliament placed the creation of decent and quality employment and the development of enterprises and entrepreneurship for smart, sustainable and inclusive growth across the Union (the ‘three Es’), together with internal and external solidarity within a secure Europe, at the centre of its priorities for the 2016 budget; reiterates Parliament's attachment to respecting legal as well as political commitments and its call on the institutions to deliver on their promises;

2.

Underlines the fact, in that context, that the Multiannual Financial Framework (MFF) 2014-2020 set ceilings for all headings but also provided for specific and maximum possible flexibility to allow the Union to fulfil its legal obligations, and for special instruments to allow the Union to react to specified unforeseen circumstances or to finance clearly identified expenditure over and above the ceilings;

3.

Welcomes the fact that the Commission’s Draft General Budget of the European Union for the financial year 2016 reinforces the above-mentioned priorities and proposes to step up EU support for investment, knowledge, jobs and growth-orientated programmes, and in particular for an emblematic mobility programme such as Erasmus+; believes that the Draft Budget for 2016 is a welcome step towards helping Member States tackle structural challenges, especially the loss of competitiveness; is satisfied that, in addition to duly expected increases throughout Heading 3 (Security and Citizenship) and Heading 4 (Global Europe), the Commission is taking up the challenge of responding to new developments such as the crises in Ukraine, Syria and the Mediterranean by responding to the EU's and Member States' needs in the area of security and migration and by demonstrating strong political will in the field of external action and budgetary commitment towards countries of origin and transit;

4.

Welcomes the inclusion of the European Fund for Strategic Investment (EFSI) in the Draft Budget for 2016 and, in particular, the mobilisation of the Global Margin for Commitments to cover part of the expenditure needed to finance the EUR 8 billion EFSI Guarantee Fund, instead of relying only on the cuts to Horizon 2020 and the Connecting Europe Facility (CEF); stresses that Parliament aimed at minimising to the maximum extent the impact on these two programmes and that the deal struck by the co-legislators further reduced those cuts by EUR 1 billion overall, sparing inter alia fundamental research; expects the final EFSI agreement to be reflected as soon as possible in the 2016 budget on the basis of an amending letter;

5.

Recalls, however, that the decision on the annual appropriations to be authorised for the constitution of the EFSI guarantee fund will only be taken by the budgetary authority, in the course of the annual budgetary procedure; commits, in this framework, to further offsetting the cuts affecting Horizon 2020 and the CEF, which still remain significant, in order to allow those programmes to fully accomplish the objectives agreed only two years ago as a result of the negotiations on their respective legal bases; intends also to closely examine whether those cuts should be concentrated in the years 2016-2018, as proposed by the Commission, or further spread over the years 2019-2020, as a means of minimising the impact on those programmes;

6.

Regrets the fact that the programme for the competitiveness of enterprises and small and medium-sized enterprises (COSME) is undergoing a nominal cut in commitment appropriations from 2015 to 2016; highlights the very negative signal such a decrease would give at a time when SMEs' potential as innovators and job creators is badly needed in order to stimulate EU recovery, reduce investment gaps and contribute to the Union’s future prosperity; recalls that promoting entrepreneurship, improving the competitiveness and access to markets of Union enterprises, including social enterprises, and improving access to finance for SMEs that contribute significantly to Europe’s economy and competitiveness, are priorities clearly shared by all the institutions, which have been the justification for frontloading and reinforcing COSME appropriations over the past two years, taking into account the programme's high rate of implementation; intends, therefore, to ensure that this programme evolves positively in 2016;

7.

Reiterates its concerns about the funding of the Youth Employment Initiative (YEI) as a key tool for the fight against youth unemployment in the Union, which is a top priority for all European decision-makers; notes the frontloading of the YEI top-up allocation in 2014 and 2015; regrets that no new commitments are proposed in 2016; recalls that the MFF has provided for a global margin for commitments to be made available over and above the ceilings as of 2016 for policy objectives related to growth and employment, in particular youth employment; recalls that, consequently, the Regulation on the European Social Fund has provided that the resources for the YEI may be revised upwards for the years 2016 to 2020 in the framework of the budgetary procedure; calls, therefore, for the Youth Employment Initiative to be continued by making use of any flexibility provision contained in the MFF, and intends to ensure that the budget 2016 foresees the necessary amounts;

8.

Notes that, thanks to a timely agreement on the reprogramming of commitments under shared management within the MFF 2014-2020 by reason of the late adoption of the relevant rules and programmes, the Commission has included in its Draft Budget 2016 (Headings 2 and 3) EUR 4,5 billion in commitment appropriations which could not be used in 2014; recalls that amending budget No 1/2015 has already allowed for a transfer of EUR 16,5 billion from 2014 to 2015 under Headings 1b, 2 and 3; stresses that these are, however, pure transfers from already agreed 2014 appropriations and should therefore, for comparison purposes, be deducted from any assessment of the evolution of the 2016 budget vis-à-vis the 2015 budget; points out, therefore, that the programmes concerned are in fact benefiting from enhanced commitment appropriations in the Draft Budget 2016;

9.

Is concerned at the slower-than-planned take-off of new programmes under the 2014-2020 MFF period owing to the late approval of the legal bases and of the operational programmes, as well as to the shortages of payment appropriations in 2014; undertakes to examine whether the requested commitment and payment appropriations will in fact enable those new programmes to reach cruising speed; urges the Commission and the Member States to take all necessary measures in order to make good the delays in their implementation;

10.

Notes that the EU Draft Budget for 2016 amounts to EUR 153,5 billion in commitment appropriations (including EUR 4,5 billion reprogrammed from 2014) and EUR 143,5 billion in payment appropriations; points out that, disregarding the effect of the reprogramming in 2015 and 2016, this corresponds to an increase of +2,4 % in commitments and +1,6 % in payments as compared to the 2015 budget; stresses that these overall moderate increases, following the path set by the MFF and accounting for inflation, represent almost no increase in real terms, which emphasises the importance of the efficiency and effectiveness of the spending;

11.

Underlines that the Commission is leaving margins of EUR 2,2 billion in commitment appropriations (of which EUR 1,2 billion are in Heading 2) and EUR 1,6 billion in payment appropriations under the MFF ceilings; recalls that available margins in commitments and payments as well as unexecuted payments feed into the global margins to be used in subsequent years when the need arises; notes that the Global Margin for Commitments is being made available for the first time, and that part of it will be used for EFSI; welcomes in principle the proposed use of the Flexibility Instrument for clearly identified expenditure, as part of new EU initiatives in the areas of asylum and migration which cannot be financed within the limits of Heading 3; intends to make use of part of the remaining margins and of the relevant flexibility provisions provided by the MFF to reinforce crucial priorities;

Payments: restoring trust

12.

Recalls that payment shortages, largely due to insufficient payment ceilings and under-budgeting, reached unprecedented heights in 2014 and remain acute in 2015; fears that this will continue to jeopardise the proper implementation of the new 2014-2020 MFF programmes, and to penalise the beneficiaries, especially local, regional and national authorities, who are facing economic and social constraints; while supporting active management of payments by the Commission, is concerned at the postponement of calls for proposals, at the reduction of pre-financing and at late payments, which might prove detrimental to the attainment of the objectives of economic, social and territorial cohesion; reiterates its concern over the ad hoc cuts in payments introduced by the Council in its reading of the annual budgets, including in programmes for competitiveness for growth and jobs under heading 1a; calls on the Commission to prepare a report regarding the impact on beneficiaries to whom the Union payments in 2013-2015 have been delayed, as well as the impact on the implementation of programmes, by 31 March 2016 at the latest;

13.

Welcomes the fact that the EU Draft Budget reflects the joint statement on a payment plan 2015-2016 agreed between Parliament, the Council and the Commission following the shared diagnosis and commitment entered into by the three institutions to reduce this backlog; recalls that according to Article 310 TFEU, the revenue and expenditure shown in the EU budget shall be in balance; notes that according to the Commission's estimates, the payment appropriations requested in the Draft Budget would bring the backlog of unpaid bills down to a sustainable level of approximately EUR 2 billion; undertakes, consequently, to fully support the Commission proposal, and expects the Council to respect its commitments in this regard;

14.

Underlines that Parliament, the Council and the Commission have committed to avoiding the future build-up of an unsustainable backlog of outstanding payment claims at year's end, while fully respecting and implementing the agreements reached as part of the multiannual financial framework and of the annual budgetary procedures; reiterates the need, in this regard, to closely and actively monitor the development of this backlog; reiterates its concern that the specificities of the payment cycles put additional pressure on the level of payment appropriations, especially at the end of the MFF; reminds the Commission of its commitment, in the joint statement on a payment plan, to develop its medium- and long-term forecasting tools and to set up an early warning system, with the aim of presenting these first payment forecasts in July, so that the budgetary authority can take duly informed decisions in the future;

15.

Welcomes the fact that the balance within the overall payment appropriations is finally shifting significantly from the completion of the past 2007-2013 programmes to the execution of the new 2014-2020 programmes; underlines, however, that the level of payments in the Draft Budget 2016, notably for Heading 1b, is low compared to the level of commitments, which entails the risk of a similar backlog of outstanding payments at the end of the current MFF; questions, therefore, to what extent this is in line with the long-term perspective of the payment plan;

Subheading 1a — Competitiveness for growth and jobs

16.

Notes that in comparison with 2015, the Commission proposal for 2016 corresponds to an increase in commitments under subheading 1a of +6,1 % to EUR 18,6 billion; points out that the increase in commitments is largely due to the integration of EFSI, to increases for Erasmus+ and the Connecting Europe Facility (CEF), and, to a lesser extent, to increases for Customs, Fiscalis and Anti-Fraud as well as Employment and Social Innovation; will pay particular attention to reducing inequalities between apprenticeships and higher education in Europe, notably through ensuring equal access to mobility;

17.

Regrets, however, the reductions in appropriations for large infrastructure projects, Horizon 2020 and COSME, as well as the slower progression of CEF Transport owing to the redeployment to EFSI; recalls that the Commission’s initial proposal on EFSI would have resulted in a cut of EUR 170 million for Horizon 2020 in 2016 as compared to 2015, thus giving a contradictory signal on a programme widely recognised as a flagship priority under the current MFF; deplores the knock-on effects on research funding, including in the areas of Energy, SMEs, Climate and Environment, Social Sciences and Science in Society; commits to seeking to further compensate for the proposed decreases in these programmes by means of reinforcements during the budgetary procedure through the use of the EUR 200 million margin still available below the ceiling for heading 1a; stresses that funding for investment, research, development and innovation should be focused on areas in which the greatest added value can be achieved, such as improving energy efficiency, ICT, grants for basic research, and low-carbon and renewable energy technologies;

18.

Reiterates its support for the ITER programme and is committed to ensuring the appropriate financing; is concerned, however, that the presentation of a revised schedule and financial planning for ITER foreseen for November 2015 will not allow the budgetary authority to take the new information into account in the annual budget procedure for 2016; urges, moreover, ITER and its Joint Undertaking for the European Union — Fusion for Energy to submit without any delay the requested reports concerning their 2013 discharge, and to follow up on the relevant recommendations of Parliament;

19.

Underlines that past under-budgeting of payment appropriations has widened the gap between commitments and payments in several programmes under Heading 1a, thereby contributing to the sharp increase in the RALs as compared to the other headings; is concerned that the Commission has had to lower the amount of pre-financing and, more worryingly, to postpone new calls for proposals and delay the signing of contracts; notes for instance that under Horizon 2020 the Commission estimates that ‘in a normal implementation scenario without limits on payment appropriations, by the end of 2014, around 1 billion more would have been spent’; while welcoming the Commission’s efforts to keep the payments situation under control, reiterates that it will under no circumstances tolerate a slowing-down of the 2014-2020 programmes being seen as a way to deal with the payment shortages;

20.

Welcomes, therefore, the increase in payment appropriations by +11,4 % up to EUR 17,5 billion as compared to 2015, and the increase in the payments/commitments ratio for 2016; notes, in particular, that for several programmes (Copernicus, Erasmus+, Horizon 2020, CEF Transport, nuclear safety and decommissioning) payment appropriations exceed the level of commitment appropriations;

Subheading 1b — Economic, social and territorial cohesion

21.

Takes note of the proposed EUR 50,8 billion in commitments (+3,2 % compared to 2015, with the impact of the reprogramming neutralised) and EUR 49,1 billion in payments (-4 %) for subheading 1b, leaving a small margin of EUR 15,3 million under the ceiling for commitments; recalls that cohesion policy represents the EU’s main investment policy aimed at reducing disparities between European regions by strengthening economic, social and territorial cohesion; underlines that instruments such as the ESF, the ERDF, the Cohesion Fund or the Youth Employment Initiative are instrumental in fostering convergence, narrowing the development gap and supporting the creation of quality and sustainable jobs; underlines the key role of EU cohesion policy in achieving the objectives of the Europe 2020 strategy;

22.

Highlights the fact that 44 % of the proposed 2016 payment appropriations cover outstanding payment claims for previous programming periods, leaving only EUR 26,8 billion in payments for the start-up of the new 2014-2020 cohesion programmes; considers the proposed payment appropriations, therefore, to be the bare minimum needed in this subheading;

23.

Recalls that an amount of EUR 21,6 billion is needed in the 2016 budget to bring down the level of outstanding payment claims for the 2007-2013 cohesion programmes from EUR 24,7 billion at the end of 2014 and EUR 20 billion at the end of 2015 to around EUR 2 billion by the end of 2016, as described in the Commission's assessment annexed to the joint statement on a payment plan 2015-2016; urges avoiding a similar ‘abnormal’ build-up of unpaid bills in the future, in order not to jeopardise the EU’s credibility;

24.

Stresses, in addition to its call for a continuation of the Youth Employment Initiative, that an efficient and effective acceleration of its implementation in the Member States is crucial; encourages the Member States and the Commission to take all necessary measures to put the national Youth Guarantee schemes into operation as a matter of priority, taking account where appropriate of the European Court of Auditors’ recommendations as set out in its Special Report No 3/2015; reiterates that the recently approved increase in the pre-financing rate to 30 %, strongly supported by Parliament, is dependent on the speedy submission of interim payment claims by the Member States within one year, which should materialise in 2016; insists that the increased YEI pre-financing should not negatively affect the implementation of other components of the ESF;

Heading 2 — Sustainable growth: natural resources

25.

Takes note of the proposed EUR 63,1 billion in commitments (-0,1 % compared to 2015, with the impact of the reprogramming neutralised) and EUR 55,9 billion in payments (-0,2 %) for Heading 2, leaving a margin of 1,2 billion under the ceiling for commitments and a margin of 1,1 billion under the sub-ceiling for the European Agricultural Guarantee Fund (EAGF); points out that the financial discipline mechanism is applied only in order to establish the reserve for crises in the agricultural sector; awaits the Commission’s Letter of Amendment, expected in October 2015, which should be based on updated information on the EAGF funding; emphasises that transfers between the two pillars of the CAP result in an overall increase in the amount available for rural development;

26.

Stresses that the 2016 Draft Budget shows a decrease in needs for interventions in the agricultural markets compared with the 2015 budget, mainly owing to the impact in 2015 of emergency measures related to the Russian embargo on imports of certain agricultural products from the EU; notes that, according to the Commission, no further measures are needed under the 2016 budget; highlights the objectives of increasing the competitiveness and sustainability of European agriculture, and asks for resources to be made available to meet those objectives;

27.

Underlines the fact that the reformed Common Fisheries Policy provides an ambitious legal framework with which to meet the challenges of responsible fishing, including through the collection of data, and is pleased that the European Maritime and Fisheries Fund benefited from a transfer of unused 2014 appropriations to 2015, whereas, with the impact of this reprogramming neutralised, commitment appropriations for that Fund are further progressing in 2016; notes, however, that in payments the phasing-out of the past programme is only partly offset by the uptake of the new one, resulting in lower appropriations in 2016;

28.

Welcomes the increased appropriations provided for the LIFE Programme for the Environment and Climate Change, in both commitments and payments; welcomes the first steps of the greening of the EU Budget, and points out the need to further accelerate its pace;

Heading 3 — Security and Citizenship

29.

Welcomes the fact that the Draft Budget 2016 steps up its support across all programmes in Heading 3, reaching EUR 2,5 billion in commitment appropriations (+12,6 % compared with the 2015 budget with the reprogramming neutralised) and EUR 2,3 billion in payment appropriations (+9,7 %); points out that this does not leave any margin for further reinforcements or pilot projects and preparatory actions under Heading 3; is of the opinion that, in the current geopolitical situation, notably owing to the increasing pressure of migration flows, the level of the ceilings set for what is by far the smallest heading of the MFF might be outdated and should be addressed in the context of the post-electoral MFF revision;

30.

Welcomes the Commission’s European Agenda on Migration and reiterates its backing for the enhancement of the EU’s means and the development of a culture of fair burden-sharing and solidarity in the areas of asylum, migration and the management of external borders; praises, therefore, the increases in commitment appropriations for the Internal Security Fund and the Asylum, Migration and Integration Fund, comprising the development of the Common European Asylum System (CEAS); welcomes the Commission proposal to mobilise the Flexibility Instrument with EUR 124 million in order to respond to the current migration trends in the Mediterranean; queries if the proposed funding will be sufficient; underlines the need for strict control of the destination of these funds;

31.

Stresses that, given the large number of arrivals on the Union’s southern shores and the increasing role EASO has to play in the management of asylum, the proposal to increase EASO staff by only 6 is clearly insufficient; therefore requests an appropriate EASO staffing level and budget for 2016, in order to allow that agency to effectively perform its tasks and operations;

32.

Believes that the budgetary impact and the additional tasks of the measures presented as part of the EU Agenda on Migration and the EU Agenda on Security with regard to Europol should be assessed in detail by the Commission, in order to allow the budgetary authority to properly adjust the agency's budgetary and staff needs; stresses the role of Europol in cross-border support for Member States and in information exchange; underlines the need to ensure an appropriate budget and level of staffing for the agency for 2016, in order to allow it to effectively perform its tasks and operations;

33.

Considers that the relevant agencies should not be subject to reduction or redeployment of staff, and that they must allocate their staff appropriately with the aim of meeting their increasing responsibilities;

34.

Recalls also the strong support consistently given by Parliament to adequate funding for culture and media programmes; welcomes, therefore, the increase for the Creative Europe Programme, including multimedia actions, compared with the 2015 budget, while expressing reservations regarding the administrative division between its Culture and Media strands; also supports the proposed increase for ‘Europe for Citizens’, as this programme is vital to civic participation in the democratic process in Europe; takes the view that the European Citizens’ Initiative (ECI) is a central instrument for participatory democracy in the EU, and calls for its visibility and accessibility to be improved; highlights the positive role of pan-European networks made up of local and national media such as EuranetPlus;

35.

Stresses that food and feed safety, consumer protection and health are areas of key concern to EU citizens; appreciates, therefore, the increases in commitment appropriations for the Food and Feed programme, the Health programme and the Consumer programme compared with the 2015 budget;

Heading 4 — Global Europe

36.

Welcomes the overall increased financing for Heading 4, reaching EUR 8,9 billion in commitment appropriations (+5,6 % compared with the 2015 budget), while leaving a margin of EUR 261,3 million below the ceiling; notes that this demonstrates a high level of solidarity with third countries; believes that the EU budget is instrumental in reaching out to people in need and in promoting fundamental European values; is satisfied that the economic and social difficulties encountered by the EU over the past years have not detracted from the attention paid to the rest of the world; believes, however, that further reinforcements of certain priority areas, such as the European Neighbourhood Instrument, including the assistance for the Middle East Peace Process, Palestine and to UNRWA, will most probably be required owing to the ongoing humanitarian and political crisis in the neighbourhood area and beyond;

37.

Welcomes the increase in payment appropriations requested by the Commission across all programmes under Heading 4 (+28,5 % up to EUR 9,5 billion), whereby payments exceed commitments, especially in the areas of development, humanitarian aid and EU assistance to Palestine and to UNRWA; believes that such increases are fully justified by the need to redress the effects of the dramatic payment shortages encountered in that heading in 2014 and 2015, which have led the Commission to decrease pre-financings and postpone legal commitments; recalls that EUR 1,7 million in interest for late payments had to be paid in 2015 under Heading 4; expects the gap between commitments and payments to be progressively reduced and the backlog of unpaid bills to be brought back to a normal level; stresses that such a move is indispensable for the financial sustainability of the vulnerable beneficiaries and for the EU to act as a reliable partner vis-à-vis international organisations;

38.

Believes that external financing instruments provide tools to address, in a multifaceted manner and alongside their respective objectives, the root causes of those internal security and migration challenges which are at the core of next year's budget, with particular reference to the southern and eastern borders of the Union and more generally to conflict-stricken areas; points, in particular, to the Development Cooperation Instrument and the European Neighbourhood Instrument, but also to policies undergoing more moderate increases such as humanitarian aid, the Instrument contributing to Stability and Peace, Common Foreign and Security Policy, and the European Instrument for Democracy and Human Rights; calls on the Commission to clearly identify areas which can help in coping with those topical challenges and where potential reinforcements can be efficiently absorbed; in this respect, recalls the importance of providing assistance in reducing and eventually eradicating poverty, and of the need to keep human rights, gender equality, social cohesion and the fight against inequalities at the core of the EU’s external aid activities;

39.

Underlines the noticeable increase in the amount to be provisioned in the 2016 budget to the Guarantee Fund for external actions managed by the European Investment Bank, and notes that this is due, among other factors, to the launch of macrofinancial assistance loans to Ukraine;

40.

Calls on the Commission and the EEAS to ensure that a joined-up approach is applied in strategic countries benefiting from a relatively large amount of funding from multiple EU sources, such as Ukraine and Tunisia; takes the view that a stronger political and economic impact on the part of the EU can be achieved by ensuring more coherence and coordination among the main players in the EU and on the ground, by simplifying and shortening procedures and by offering a clearer picture of the EU’s action;

Heading 5 — Administration

41.

Notes that Heading 5 expenditure is increased by 2,9 % compared with Budget 2015, to EUR 8 908,7 million, that figure accounting globally for the administrative expenditure of the institutions (+2,2 %) and for Pensions and European Schools (+5,4 %); notes that a margin of EUR 574,3 million is left under the ceiling; underlines that Heading 5’s share of the EU budget remains stable at 5,8 %; recalls, however, that this figure does not take into account technical assistance accounted for as operational expenditure;

Special instruments

42.

Reaffirms that special instruments are crucial to full respect for and implementation of the MFF, and should, by their very nature, be counted over and above the ceilings both in commitments and payments, notably for the purpose of calculating the global margin for payments; welcomes the proposed parity between commitments and payments for the Emergency Aid Reserve; notes that the amounts set aside for the Emergency Aid Reserve (EAR), the European Globalisation Adjustment Fund (EGF) and the EU Solidarity Fund (EUSF) in the 2016 Draft Budget are broadly stable or slightly increased;

Pilot projects — preparatory actions

43.

Stresses the importance of Pilot Projects (PPs) and Preparatory Actions (PAs) as tools for the formulation of political priorities and the introduction of new initiatives that might turn into standing EU activities and programmes, including initiatives aimed at reflecting and accompanying the economic, ecological and social changes within the EU; notes with concern that the Commission has not foreseen appropriations for the continuation of highly successful PP-PAs, especially in Heading 3; intends to proceed to the identification of a balanced package of PP-PAs; notes that in the current proposal the margin in some headings is quite limited, or even non-existent, and intends to explore ways to make room for possible PP-PAs;

Decentralised agencies

44.

Underlines the crucial role that decentralised agencies play in EU policymaking, and is determined to evaluate the budgetary and staffing needs of all the agencies on a case-by-case basis, in order to ensure adequate appropriations and staff for all the agencies, and particularly for those that have recently been assigned new tasks or face a higher workload for political priority-setting or other reasons; is particularly determined to provide the agencies in the area of justice and home affairs with the necessary resources to tackle the current migratory challenges; highlights once more its opposition to the redeployment pool, and expects to find a solution during the budgetary procedure to stop the additional staff cuts in decentralised agencies; reiterates, furthermore, its intention to use the Interinstitutional Working Group on decentralised agencies to find common ground between the institutions on the treatment of agencies in budgetary terms, also with a view to the conciliation on the 2016 budget;

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45.

Calls for a sustained effort to be made through the budget to provide for appropriate training and reskilling in sectors with labour shortages and in key sectors with high job-creation potential, such as the green economy, the circular economy, and the healthcare and ICT sectors; emphasises that the 2016 budget should provide adequate support for the promotion of social inclusion and for actions aimed at eradicating poverty and empowering people experiencing poverty and social exclusion; recalls that the issue of gender equality should be incorporated into EU policies and addressed in the budgetary process; urges that financial support be provided for all programmes supporting job creation and social inclusion for those with multiple disadvantages, such as the long-term unemployed, people with disabilities, people from minority backgrounds, and inactive and discouraged people;

46.

Recalls that, with programmes expected to reach full swing, with the integration of new major initiatives in the areas of investment and migration, with the opportunity to settle issues of the past such as payments and special instruments, and with the first activation of new MFF provisions such as the global margin for commitments, the 2016 budgetary procedure will be a test case for the Council's approach to the payment plan, as well as for the assessment of the current MFF; reminds the Commission of its legal obligation to present a review of the functioning of the MFF by the end of 2016 and to accompany that budgetary review with a legislative proposal for the revision of Regulation (EU, Euratom) No 1311/2013 laying down the MFF 2014-2020; recalls that, in parallel to this process, the Commission should also assess new Own Resources initiatives, on the basis of the results of the High Level Working Group on Own Resources which are due to be presented in 2016;

47.

Acknowledges the broad consensus which has driven the consideration of the 2015 draft amending budgets as well as the negotiation of the payment plan so far, thus demonstrating a shared will to respect the MFF, to implement the carefully negotiated legal bases, and to ensure the financing of the new programmes; calls for the continuation of a cooperative spirit between the Commission and the two arms of the EU budgetary authority, and hopes that this will ultimately lead to tackling the causes of the backlog escalation that are embedded in the budgeting procedure; expects the same spirit to prevail in the negotiation of the 2016 budget and in finding means to cope with emerging and unforeseen future challenges;

48.

Instructs its President to forward this resolution to the Council and the Commission.


(1)  OJ L 298, 26.10.2012, p. 1.

(2)  OJ L 347, 20.12.2013, p. 884.

(3)  OJ C 373, 20.12.2013, p. 1.

(4)  Texts adopted, P8_TA(2015)0061.


ANNEX I: JOINT STATEMENT ON THE DATES FOR THE BUDGETARY PROCEDURE AND MODALITIES FOR THE FUNCTIONING OF THE CONCILIATION COMMITTEE IN 2015

A.

In accordance with Part A of the Annex to the Interinstitutional Agreement between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, the European Parliament, the Council and the Commission agree on the following key dates for the 2016 budgetary procedure:

1.

A trilogue will be called on 14 July before the adoption of the Council’s position;

2.

The Council will endeavour to adopt its position and transmit it to the European Parliament by week 38 (third week of September), in order to facilitate a timely agreement with the European Parliament;

3.

The European Parliament’s Committee on Budgets will endeavour to vote on amendments to the Council’s position by the end of week 42 (mid-October) at the latest;

4.

A trilogue will be called on 19 October before the reading of the European Parliament;

5.

The European Parliament’s Plenary will vote on its reading in week 44 (Plenary session of 26-29 October);

6.

The Conciliation period will start on 29 October. In agreement with the provisions of point c of Article 314(4) TFEU, the time available for conciliation will expire on 18 November 2015;

7.

The Conciliation Committee will meet on 9 November hosted by the European Parliament and on 13 November hosted by the Council and may resume as appropriate; the sessions of the Conciliation Committee will be prepared by trilogue(s). A trilogue is scheduled on 11 November. Additional trilogue(s) may be called during the 21-day conciliation period.

B.

The modalities for the functioning of the Conciliation Committee are set out in Part E of the annex to the above-mentioned interinstitutional agreement.


ANNEX II: JOINT STATEMENT ON A PAYMENT PLAN 2015-2016

Building on the joint statement on a payment plan agreed in December 2014 as part of the agreement reached on the 2014 and 2015 budgets, the three institutions have commonly assessed the state of play and outlook for payments in the EU budget on the basis of the document transmitted by the Commission on 23 March 2015.

The European Parliament, the Council and the Commission agree on the following:

1.   State of play

The European Parliament and the Council take note of the Commission’s thorough assessment provided in the ‘Elements for a payment plan to bring the EU budget back onto a sustainable track’ (in annex) as an analytical basis for identifying the main drivers behind the grown level of outstanding payment claims at year-end, and for attaining the objective of reducing the level of unpaid bills, with a particular focus on the implementation of the 2007-2013 cohesion policy programmes.

a)

The constraint on the payment appropriations authorised in the past budgets combined with the implementation cycle of the cohesion programmes have led to the progressive building up of an unsustainable backlog of outstanding payment claims at year-end, reaching an unprecedented level of EUR 24,7 billion at the end of 2014. However, the institutions recognise that the difficult decisions made with regards to the 2014 and 2015 budgets have largely stabilised the backlog.

b)

Moreover, the shortage of payments has translated into a slowing down in the implementation of the 2014-2020 programmes in other headings, notably in view of meeting contractual obligations stemming from past commitments and thus avoiding the risk of interests on late payment, at a time when key programmes are expected to contribute to growth and jobs in Europe and to secure the Union’s role on the international stage.

2.   Outlook

c)

The European Parliament and the Council take note of the outlook for 2015 and 2016 presented by the Commission: the analysis indicates that it could be possible to reduce the year-end backlog of outstanding payment claims for the 2007-2013 cohesion programmes to a level of around EUR 2 billion by the end of 2016, taking into account in particular that the cohesion programmes are approaching the closure stage, and provided that sufficient payment appropriations are authorised in the 2016 budget. This should help avoid negative repercussions and unnecessary delays for the implementation of the 2014-2020 programmes.

d)

The European Parliament and the Council underline their commitment to phasing out the unsustainable backlog of outstanding payment claims for the 2007-2013 cohesion programmes. They undertake to cooperate fully in view of authorising a level of payment appropriations in the 2016 budget, which allows reaching such a goal. Their deliberations will take into account the current outlook, to be reflected and further refined by the Commission in its estimates for the 2016 draft budget.

e)

The Commission will continue to closely monitor the development of the backlog and, if necessary, will propose appropriate measures to ensure an orderly progression of payment appropriations consistent with the authorised commitment appropriations.

f)

The three institutions recall their commitment to actively monitor the state of implementation of payments throughout 2015. As part of their regular exchange of views, they confirm their willingness to organise dedicated inter-institutional meetings on 26 May, 14 July and 19 October, with a view to ensuring a sustainable budgeting process. In this regard, those interinstitutional meetings should also address the longer-term forecasts on the expected evolution of payments until the end of the current MFF for which the Commission is requested to present, if appropriate, alternative scenarios.

g)

To facilitate the process of monitoring on the state of play for the 2007-2013 programmes, in July and October the Commission will provide reports on the implementation of the budget, both as compared to monthly forecasts for the year and to the previous year to date, as well as on the evolution of the backlog of outstanding payment claims in subheading 1b.

h)

Being committed to avoid a similar build-up of backlog in the future, the European Parliament and the Council call on the Commission to closely scrutinize the implementation of the 2014-2020 programmes and set-up an early warning system. To achieve this result, the Commission undertakes to develop appropriate tools to provide, in the course of the budgetary procedure, rolling forecasts of payments by (sub)heading for (sub)headings 1b, 2 and 5 and by programmes for (sub)headings 1a, 3 and 4 focused on the years N and N+1, including the evolution of unpaid bills and of outstanding commitments (RALs); these forecasts will be regularly updated on the basis of budgetary decisions and of any relevant development having an impact on the payment profiles of the programmes; payments forecasts will be presented in July, in the framework of the inter-institutional meetings on payments foreseen in point 36§ 3 of the Annex of the IIA;

i)

This should allow the budgetary authority to take the necessary decisions, in due time, in order to avoid the future building up of an unsustainable backlog of outstanding payment claims at year-end, while fully respecting and implementing the agreements reached as part of the multiannual financial framework and of the annual budgetary procedures.

ANNEX TO THE ANNEX II: ELEMENTS FOR A PAYMENT PLAN TO BRING THE EU BUDGET BACK ONTO A SUSTAINABLE TRACK  (1)

Executive summary

The increasing gap between the authorised payment appropriations and the past commitments taken by the European Institutions has been one of the main developments regarding the implementation of the EU budget, in particular since 2012. This payments gap has led to a number of negative consequences in the different areas of expenditure and most notably to a growing backlog of outstanding payment claims for the 2007-2013 Cohesion policy programmes (heading 1b), which reached an unprecedented peak at the end of 2014.

This growing backlog of outstanding payment claims is due to the intersection of the peak in the 2007-2013 programme cycle with the drop in 2014 in the payment ceiling of the multiannual financial framework (MFF), in a general environment of public finance consolidation at national level. Two different factors are therefore key to understand this evolution.

Firstly, the cyclical increase of payment claims driven by the sustained implementation of the 2007-2013 Cohesion policy programmes, to be paid in the first years of the 2014-2020 MFF. After a slow start of the programmes in 2007-2009, resulting (inter alia) from the effects of the financial crisis and counter measures taken, implementation has accelerated since 2012, with payment claims increasing yearly to a historic record of EUR 61 billion in 2013 in the field of Cohesion policy, driven by deadlines for implementation and the automatic decommitment rules set out in the Cohesion policy legislation (2).

It has been difficult to accommodate such a steep increase in payment claims for the 2007-2013 Cohesion policy in the EU budget, with other programmes at cruising speed, a lower ceiling for payments in 2014, and against the backdrop of ongoing fiscal consolidation in Member States.

Indeed, the second key factor to explain this development is the significant reduction in the payment ceilings in the new MFF, which is particularly sharp (EUR 8 billion lower) in 2014. The resulting shortage of payment appropriations affects not only Cohesion (heading 1b), but also other areas of expenditure and in particular the policy areas of Growth and Jobs (heading 1a), Global Europe (heading 4) and Security (heading 3).

In order to face this challenge, the Commission put in place measures to ensure an active management of the scarce payment appropriations, namely: speeding up action to recover any undue amounts; limiting idle amounts on fiduciary accounts; reducing pre-financing percentages; making best use of maximum payment deadlines allowed; postponing calls for proposals/tenders and related contracting and giving higher priorities to countries under financial assistance.

Moreover, the budgetary authority was timely informed of the different challenges and developments and different amending budgets were proposed to increase the authorised payment appropriations.

Despite the reinforcements in payment appropriations through amending budgets authorised by Parliament and Council (3), and despite the active management of available payment appropriations by the Commission, the backlog of outstanding payment claims has kept growing: for the 2007-2013 Cohesion policy alone it reached EUR 24,7 billion at the end of 2014  (4).

Thanks to the mitigating measures undertaken by the Commission, the build-up of a backlog was to a large extent contained in the other policy areas managed directly by the Commission. Most of the payment appropriations available in 2014 were used to honour contractual obligations stemming from the previous programming period and thus minimise penalties for late payments, which nonetheless showed a fivefold annual increase (to EUR 3 million) (5). While these actions avoided larger negative financial impact for the EU budget, they entailed shifting a number of payments due-dates to 2015, with an impact on legitimate expectations from stakeholders who may have had to postpone the start of their project and/or to temporarily co-finance it to a higher degree.

The closure stage of the 2007-2013 Cohesion programmes is approaching. In 2014, the total level of payment claims received decreased to EUR 53 billion (from EUR 61 billion in 2013). In their latest forecasts (January 2015), Member States expect to submit payment claims of around EUR 48 billion in 2015 and EUR 18 billion in 2016. However, these figures cannot be taken at face value, since in 2015-2016 there will be a capping of payable claims at 95 % of the whole financial envelope of the programme as established by the relevant legislation (6). The resulting payable claims for 2015 are estimated by the Commission at some EUR 35 billion and up to EUR 3,5 billion for 2016.

The 2015 budget authorises almost EUR 40 billion in payment appropriations for the 2007-2013 Cohesion policy. This budget will cover both backlog payments (EUR 24,7 billion consuming 62 % of the 2007-13 Cohesion policy budget) and new claims arrived in due time to be paid (estimated at EUR 35 billion). As a result, the backlog at the end of 2015 is estimated to decrease to a level of EUR 20 billion.

At this stage, the Commission estimates that up to EUR 23,5 billion will be needed to cover the remaining payment claims before the closure and to phase out the backlog. In its Draft Budget 2016, the Commission will fine-tune the payment appropriations for heading 1b, in order to ensure that this is achieved together with a proper implementation of the 2014-2020 programmes.

Budget year 2015 for the Cohesion policy (EUR billion)

Payment appropriations available in Budget 2015

(1)

39,5

Of which end-2014 backlog

(2)

24,7

Of which forecasts 2015 capped at 95 % threshold

(3)

~35

Expected backlog end-2015

(4)=(1)-(2)-(3)

~20


Budget year 2016 for the Cohesion policy (EUR billion)

Expected backlog end-2015

(1)

~20

Maximum remaining payment claims expected to be received in 2016 before closure

(2)

~3,5

Maximum payment claims to be covered in the 2016 budget

(3)=(1)+(2)

~23,5

Likewise, the level of payment appropriations to be proposed for the other policy areas in the 2016 budget should allow to meet obligations stemming from past commitments and minimise the risk of late interest payments, but also to ensure an adequate level of implementation and contracting for the 2014-2020 programmes.

The multi-annual character of a significant share of the EU budget explains the existence of a time gap between the moment when the commitment is recorded and the actual payment against this commitment. The build-up of a structural volume of outstanding commitments (known as ‘RAL’, the French acronym of ‘reste à liquider’) is therefore normal and expected. Given the legal deadline for the payment of claims by the Commission (7), the year-end concentration of claims linked to the requirement to avoid decommitment and possible interruptions, a certain amount of outstanding payment claims at year-end is considered as ‘normal’. However, the growing size of the backlog over the last few years has reached ‘abnormal’ levels (8), which pre-empt a significant and growing share of the budget of the following year and are not sustainable in terms of sound financial management.

The Commission estimates that about half of the backlog of outstanding payment claims in Cohesion policy at the end of 2013 and 2014 was ‘abnormal’, this means linked to the shortage of payment appropriations authorised in the budget, creating a ‘snowball effect’. With the closure stage approaching, lower payment levels will be needed in 2015 and 2016 and the backlog will automatically decrease. The level of interruptions and suspensions is also foreseen to decrease as the programmes are reaching the closure. With payment appropriations of some EUR 21,5 billion for the 2007-2013 programmes in 2016, the backlog is forecasted to be around EUR 2 billion at the end of 2016.

Cohesion policy programmes 2007-2013: evolution of the backlog of outstanding payment claims at year-end 2007-2016

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The need for phasing out the ‘abnormal’ backlog which has built up has been acknowledged by the two arms of the budgetary authority, the Council and the European Parliament, which jointly agreed during the negotiations on the 2015 budget to ‘reduce the level of unpaid bills, with a particular focus on cohesion policy, at year-end down to its structural level in the course of the current MFF’ and ‘engage to implement, as of 2015, a plan to reduce the level of unpaid bills corresponding to the implementation of the 2007-2013 programmes to the commonly agreed level by the mid-term review of the current multiannual financial framework’.

This document provides a solid basis for a common understanding by the two arms of the Budgetary Authority, which are expected to endeavour to take decisions that allow the phasing out of the ‘abnormal’ backlog of unpaid bills for 2007-2013 programmes by the end of 2016.

This payment plan also provides the opportunity to draw some lessons on the budget management for the future:

1.

The agreement on amending budget 2/2014 (9) at the end of 2014 was very important to largely stabilise the backlog of outstanding payment claims at a level which can be phased out over two years. The institutions have taken their responsibility in the face of a very difficult fiscal situation in many Member States.

2.

Measures of active budget management taken by the Commission have proven indispensable to deal with a shortage of payment appropriations in many policy areas. These measures will need to be maintained as long as necessary in order to avoid disproportionate disruptions for beneficiaries and/or the payment of penalty interest.

3.

Although there is a recurrent cycle in the implementation of Cohesion policy programmes, the size of peaks and troughs can be smoothened by implementing programmes as quickly as possible at an early stage in the programming period. This is especially desirable in the current economic conditions when investment is badly needed to stimulate economic recovery and competitiveness.

4.

Regular submission of claims is needed. Member States should avoid unnecessary administrative delays in sending their payment claims throughout the year. Regular submission of claims improves budgetary management and helps minimising the backlog at year-end.

5.

On the other hand, sufficient budgeting of payment appropriations is a necessary condition to properly implement the budget and avoid the accumulation of an unsustainable level of outstanding payment claims at year-end. In addition to this, the ‘specific and maximum flexibility’, mentioned in the European Council conclusions and the statement of President Barroso in February 2013, will need to be applied in order to comply with Union's legal obligations. Furthermore, decisions of the budgetary authority should, as much as possible, allow for a smooth payment profile over the duration of the MFF.

6.

Forecasting capacity has to be reinforced. In addition to the various analyses already provided (10), the Commission will further improve its medium and long-term forecasts in order to identify at an early stage, to the extent possible, likely problems. In particular it will inform the two arms of the budgetary authority as soon as it identifies any developments in the implementation of the 2014-2020 programmes which present a risk for a smooth payment profile.

1.   BACKGROUND

Since 2011, the Commission has been confronted with a growing level of outstanding payment claims at the end of the year, despite the full use of the payment ceilings in 2013 and 2014 and the recourse to the contingency margin for payments in 2014. While virtually all the payment appropriations authorised in the annual budgets have been used up, the backlog of outstanding payment claims at the end of the year for the Cohesion policy (heading 1b) and specific programmes in other headings (such as heading 4 ‘global Europe’) has increased steadily.

The Commission has followed up on the invitation from Parliament and Council to monitor the situation throughout the year and ad-hoc inter-institutional meetings have taken place over the last years to share the assessment on the state of play. Since 2011, the Commission had to present draft amending budgets (DAB) aimed at increasing significantly the level of payment appropriations to address payment shortages. Initial lower levels of authorised payment appropriations have led to recurrent DABs, which have made more complex the decision-making process on the draft budget, which should be the main subject for Conciliation. Amending budgets were voted late, increasing the difficulty to manage the payment process.

Against the backdrop of consistently higher levels of commitment appropriations, the graph below illustrates the increasingly tight annual payment budgets and ceilings and the progressive reduction of the gap between payment ceiling and the voted appropriations, culminating in the need to use the contingency margin in 2014.

Image

In December 2014, in the framework of the agreement reached on the 2014 and 2015 budgets, the European Parliament and the Council agreed the following joint statement:

 

The institutions agree to the objective to reduce the level of unpaid bills, with a particular focus on cohesion policy, at year-end down to its structural level in the course of the current MFF.

In order to reach this objective:

the Commission agrees to present, along with the joint conclusions on Budget 2015, a most up to date forecast of the level of unpaid bills by end 2014; the Commission will update these figures and provide alternative scenarios in March 2015 when a global picture of the level of unpaid bills at the end of 2014, for the main policy areas, will be available;

on this basis, the three institutions will endeavour to agree on a maximum target level of unpaid bills at year-end which can be considered as sustainable;

on this basis and while respecting the MFF Regulation, the agreed financial envelopes of the programmes as well as any other binding agreement, the three institutions will engage to implement, as of 2015, a plan to reduce the level of unpaid bills corresponding to the implementation of the 2007-2013 programmes to the commonly agreed level by the mid-term review of the current multiannual financial framework. Such a plan will be agreed by the three institutions in due time before the presentation of the draft budget 2016. Given the exceptionally high level of unpaid bills, the three institutions agree to consider any possible means to reduce the level of those bills.

Every year, the Commission agrees to accompany its draft budget by a document evaluating the level of unpaid bills and explaining how the draft budget will allow for the reduction of this level and by how much. This annual document will take stock of the progress made so far and propose adjustments to the plan in line with updated figures.

As an immediate follow-up to the joint statement, on 15 December 2014 the Commission presented an updated forecast of the level of outstanding payment claims by end 2014, which is set out in Annex 1.

The present document provides an overview of the state of implementation at the end of 2014, focussing on the backlog of the 2007-2013 programmes of the Cohesion policy, in view of reducing it to an agreed level by the mid-term review of the current multiannual financial framework in 2016. The document also addresses the evolution of the backlog of the other headings, although the problem of backlog is much less acute in terms of absolute size than in heading 1b: the backlog of outstanding payment claims in other headings at the end of 2014 stood at some EUR 1,8 billion.

2.   STATE OF PLAY AT THE END OF 2014

2.1.   Implementation at the end of 2014

At the end of 2014, the implementation of payment appropriations (before carryovers) amounted to EUR 134,6 billion (99 % of the final authorised appropriations in the 2014 budget). The under-implementation of payments (after carryovers) is the lowest ever recorded at amounted to EUR 32 million, as compared to EUR 107 million in 2013 and EUR 66 million in 2012. Such a high level of implementation, despite the late adoption of draft amending budget 3/2014, is a confirmation of the tight constraints imposed on payment appropriations, particularly for the completion of the 2007-2013 programmes. In many cases, the corresponding budget lines were also reinforced with appropriations initially foreseen for paying the pre-financing of newly adopted 2014-2020 programmes.

During 2014, the payment appropriations for the 2007-2013 Cohesion programmes were reinforced by EUR 4,6 billion, of which EUR 2,5 billion through draft amending budget 3/2014, EUR 0,6 billion through the end-of-year transfer (11) and EUR 1,5 billion through internal transfers from the 2014-2020 programmes. These reinforcements contributed to stabilising the backlog of the 2007-2013 Cohesion programmes at the end of 2014.

A large amount of unused commitment appropriations were carried over or reprogrammed to 2015, not only for the Cohesion policy but also for the programmes under rural development (heading 2) and the migration and security funds (heading 3). As a consequence, the amount of outstanding commitments (RAL) decreased to EUR 189 billion at the end of 2014, a reduction of EUR 32 billion in comparison with the RAL at the end of 2013. However, this decrease is somewhat artificial as it results mostly from the under-implementation of the commitment appropriations for 2014-2020 programmes carried over and reprogrammed to 2015 and later years, when it will ‘reappear’. Had all appropriations for the new programmes been committed in 2014, the RAL would have remained much closer to the 2013 level (EUR 224 billion).

The graph below shows the evolution of the level of RAL over the period 2007-2014 and the projection for the level of RAL at the end of 2015, for the budget as a whole, as well as for programmes under shared management in headings 1b, 2 and 3 and the other programmes/headings. As shown in the graph, the overall level of RAL at the end of 2015 is expected to return to a level comparable to that at the end of 2013. However, the graph also shows the distinction between the programmes under shared management in headings 1b, 2 and 3, for which the RAL at the end of 2015 is expected to go down compared to 2013, and the other programmes/headings, for which the RAL at the end of 2015 is expected to go up.

Image

2.2.   Mitigating measures taken in 2014

On 28 May 2014, the Commission presented its draft amending budget 3/2014, requesting additional payment appropriations for 2014. After a lengthy adoption process, DAB 3/2014 was finally approved on 17 December 2014. Awaiting the adoption of the amending budget, during the year 2014 the Commission has put in place a series of mitigating measures in order to honour legal obligations stemming from past commitments while launching the new generation of programmes, within an exceptionally tight budgetary framework.

So as to implement the agreed policies with the appropriations authorised in the budget, the Commission followed an approach of actively managing the budget, bearing in mind three main principles:

Minimise the financial impact for the EU budget of interests for late payments and potential liabilities;

Maximise the implementation of programmes;

Minimise the potentially negative impact of decisions on third parties and the economy as a whole.

Accordingly, the measures to ensure an active management of the scarce payment appropriations included the following: pro-actively recovering any undue amounts; limiting idle amounts on fiduciary accounts; reducing pre-financing percentages; making best use of maximum payment deadlines allowed; postponing calls for proposals/tenders and related contracting.

These mitigating measures helped the Commission to protect its status as a first-class investor and its reputation as a reliable and secure partner. The Commission managed to minimise, as far as possible, the negative effects of payment shortages, for instance in terms of limiting the amount of interests on late payments. Despite an almost fivefold increase compared to 2013, the amount of interests paid at the end of 2014 still remains limited (EUR 3 million). The relative sharper increase for heading 1a (Competitiveness for Growth and Jobs) and heading 4 (Global Europe), as shown in the table below, illustrates the pressure on payment appropriations.

Interests paid on late payments (in EUR)

 

2008

2009

2010

2011

2012

2013

2014

Heading 1a

294 855

157 950

173 748

329 615

137 906

243 748

1 047 488

Heading 1b

1 440

5 324

6 220

11 255

31 726

71 620

103 960

Heading 2

27 819

1 807

9 576

15 713

61 879

30 991

61 985

Heading 3

13 417

59 852

48 673

50 397

29 375

13 060

7 252

Heading 4

250 204

178 468

257 818

1 266 425

335 820

247 786

1 797 825

Heading 5

43 915

442 678

237 367

60 825

142 254

46 187

8 614

Total

631 651

846 079

733 403

1 734 230

738 960

653 392

3 027 124

Interest for late payments in Cohesion policy (heading 1B) is not significant as shared management represents the major part of this heading and shared management does not lead to late interest. However, in terms of credibility, the non-respect of the regulatory deadlines for shared management policies is highly prejudicial.

3.   TERMINOLOGY

This section explains a number of definitions used in this document.

3.1.   Project cycle

Before approving an operational programme or a project, the Commission reserves the appropriations by creating a commitment on a budget line for a defined amount. This transaction consumes part of the authorised commitment appropriations.

Very often, the signature of the contract for the project or the approval of the operational programme leads to a certain level of pre-financing, which allows the beneficiary to start the project without borrowing. Reaching defined milestones allows the beneficiary to submit interim payment claims and to be reimbursed for expenditure incurred linked to the programme.

However, in the case of major programmes such as research (Horizon 2020), the structural funds, the European Fisheries Fund and rural development, once a certain stage of implementation is reached, interim payment claims no longer lead to payments as they are covered by the pre-financing. Furthermore, a percentage of the total funds committed for the project or the programme is only paid at the closure when the Commission has verified that all the work has been carried out in accordance with the initial agreement. If that is not the case, the funds are partly decommitted. In certain cases, the Commission may also issue recovery orders to recover payments which were not justified.

3.2.   Outstanding commitments (RAL)

Outstanding commitments are usually referred to as ‘RAL’ from the French acronym for ‘Reste à Liquider’. It is the part of a commitment that has not been consumed by any payment at a given point in time. In multiannual projects, commitments are made at the start of the project with a limited pre-financing while interim payments are made at a later stage, when the project is being implemented and the final payment is made at closure.

A large part of the EU budget concerns investments, whose implementation is spread over a number of years. The difference between commitment and payment appropriations authorised in the annual budget determines the change in the overall level of RAL. In turn, the speed at which commitments grow and the pace of programme implementation determine the normal evolution of RAL. However, the RAL further increases when insufficient payment appropriations are budgeted, regardless of the pace of implementation. In this latter case, the effect is to increase the level of outstanding payment claims at the end of the year.

The ratio between RAL and the commitments of the year is a good indicator to compare the size of the RAL of specific programmes with their financial envelope. For example, programmes and actions with an annual character, such as Erasmus or Humanitarian Aid, have a RAL/commitments ratio below one, which indicates that most commitments are paid within a year. Cohesion programmes, on the other hand, typically have a RAL/commitments ratio between 2½ and 3, which reflects the impact of the automatic decommitment rules set out in the legislation (the so-called ‘N+2’/‘N+3’ rules, see section 4.1 below). Certain programmes under heading 4 have a higher ratio, due to the complex cycle of negotiations linked to implementation. In its payment requests, the Commission takes these indicators into account.

3.3.   Cash flow constraints vs. shortage of payment appropriations

The Commission cash-flow is mostly determined by the amounts called in from Member States on a monthly basis according to the own resources rules. The Commission is not allowed to borrow money to cover cash-flow shortages. Cash-flow constraints may lead to temporary delays in payments to beneficiaries of EU funds despite the fact that sufficient payment appropriations are authorised in the budget for the financial year. This may happen, usually in the first part of the year, because the sum of outstanding payment claims at the end of the previous year and those to be paid in the first months of the current year (for instance for the European Agricultural Guarantee Fund) are larger than the maximum monthly inflow of own resources made available to the Commission. As the backlog from the previous year is phased out and the monthly inflow of resources continues later in the year, the cash-flow constraint is no longer binding in the following months of the year.

Cash flow constraints at the beginning of the year are amplified by the shortage of payment appropriations, since the monthly call for funds is based on the revenue provided for in the authorised budget as it stands, before the adoption of amending budgets increasing the level of payments, which usually takes place towards the end of the year.

Depending on the precise date of adoption (i.e. before or after 16 November of the year in question), the corresponding additional call for own resources to cover the additional payment appropriations authorised in amending budgets adopted at the end of the year might lead to cash availability only in the beginning of the next financial year, leading to possible difficulties in implementing the amending budgets in the same year.

3.4.   Backlog of outstanding payment claims at year-end

At the end of every year, there is a backlog of outstanding payment claims, i.e. claims that have been sent by the beneficiaries of EU funds and need to be paid within a defined delay (in general in less than 2 months) but that have yet not been paid (12). That is because of one of the following three reasons:

a)

Ongoing interruptions/suspensions: Payments were interrupted/suspended for certain beneficiaries/programmes. Interruptions of payments are normally short term formal actions by which the Commission delays the payment waiting for missing information or checks of the management and control system.

b)

Timing: Payment claims not paid because they were transmitted in the very last days of the year, leaving insufficient time for processing before year-end.

c)

Lack of credits: Payment claims unpaid because authorised payment appropriations on the relevant budget line were exhausted.

Part of the backlog is considered ‘normal’ (see points a and b). The growth of the ‘abnormal’ backlog of outstanding payment claims, most of which is in Cohesion policy, is associated with the shortage of payment appropriations (point c), whereas the cash-flow constraints in the beginning of the year (see section 3.3 above) also have an impact. Section 4 further develops the case of the Cohesion policy.

4.   HEADING 1B: EVOLUTION OF BACKLOG AND OUTLOOK

This chapter looks at the specific case of the Cohesion policy (heading 1b). First, it sets out the main features of the structural funds and it explains how specific events in the past or in relation with the legislation created the present difficult situation. It then explores how a ‘normal’ backlog could be defined and provides a detailed analysis of the situation at the end of 2014.

4.1.   Implementing the structural funds 2007-2013

Structural funds 2007-2013: main features

Projects financed out of heading 1b are organised in operational programmes. These operational programmes are proposed by Member States, and negotiated and adopted by the Commission at the beginning of the period for the whole duration of the period. Each operational programme is implemented in shared management through individual projects. This means that Member States implement the funds. The Commission participates in monitoring committees, where it has an advisory role in the project selection and monitors project implementation through annual implementation reports.

Programmes are co-financed by the EU budget; this means that the Commission does not pay the entire cost of the programme. Member States must find ‘match-funding’ to finance part of the programmes.

Once a programme is adopted, the European Union has contracted a legal obligation for the whole period. The Commission committed automatically the appropriations on an annual basis before the end of April from 2007 to 2013, based on the financial plan of the programme and not on the actual implementation of the projects of the programme. While the EU payments can never exceed the EU budget commitments, expenditure is eligible from the beginning of the period (i.e. even before the adoption of the programme) until the end of the eligibility period.

After the approval of the programme, the Commission pays pre-financing. These payments are made automatically to the Member State and remain at its disposal until its clearing at the closure.

As the implementation of the various projects is ongoing, the Member States submit interim payments through their certifying authority. The interim payment claims are paid by the Commission based on the co-financing rate in force and provided that no interruption or suspension is decided.

This mechanism works as long as the total of pre-financing paid by the Commission and interim payment claims submitted by Member States for the programmes does not reach 95 % of the share of the allocation of the programmes. Once this threshold is reached, the Member State may still send its payment claims but they are used to clear any outstanding prefinancing. The remainder will be settled at closure of the programme. Member States need to justify eligible expenditure to cover the amount of pre-financing received at the beginning of the period and the amount retained for closure (5 % of the total allocation).

After the end of the eligibility period, a period of 15 months is then foreseen to prepare and submit the closure documents to the Commission and request the final payment to be settled. Before the final payment can be done, the Commission examines the closure package (i.e. closure declaration, Final Implementation Report and final claim). Given that these documents are expected by 31 March 2017, the decision on the closure (and the related final payments) will occur between 2017 and 2019.

Based on the outcome of this exercise, the 5 % retained for the closure are used to pay the outstanding payment claims. Otherwise, the Commission does not pay the full amount at the closure. The amount that is not paid will be decommitted. If corrections are higher than 5 %, the Commission will recover the amount unduly paid.

The N+2/N+3 rule

The N+2/N+3 rule was first established for the programming period 2000-2006. The rule foresees that a commitment made at year N has to be covered by the same amount of pre-financing and interim payment claims before 31 December N+2 (N+2 rule). For example, a commitment made in 2012 has to be fully covered by payment claims before 31 December 2014. The amount not covered is decommitted, which means that the Member State loses the funding. At present, however, there is no history of significant N+2/N+3 decommitments in the entire history of the structural funds.

The purpose of the rule is to ensure financial discipline in managing the EU funds. As commitments are made automatically once a programme has been approved, the rule obliges the Member States to implement the projects in a dynamic manner and to avoid problems at the very end of the cycle. Its existence also enables having a smoother profile of payments by obliging the Member States to submit payment claims at regular intervals. However, as explained in the next chapter, ‘softening’ of the rule, especially in the wake of the financial crisis of 2008, reduced its regulatory effect.

This rule is at the source of the year-end concentration of payment claims: Member States have to send their payment claims before 31 December midnight, through a specific IT system. Although they are legally required to send their claims regularly throughout the year (13), experience form the past shows that many wait for the last weeks to send large amounts.

4.2.   Payment claims profile for the 2007-2013 programming period

Main drivers of the payment cycle

At the beginning of the period, significant amounts of pre-financing are paid, followed during some years by a relatively low level of interim payments as programmes set up their structures and start implementation of projects. As the N+2/N+3 rule only begins to produce its effects at the earliest at the end of the third year of the programming period, there is no pressure at the start of the framework to submit claims. Moreover, the pre-financing still covers a large part of the commitments made at the beginning of the programming period. About 2-3 years before the end of the programming period, the annual level of interim payments begins to increase as programmes reach maturity and payments claims are at cruising speed. A peak is observed at the end of the period/beginning of the following programming period, followed by a decrease to nearly zero in the following years when programmes reach the 95 % threshold. As mentioned above, closure payments are made between one and three years after the end of the eligibility period.

Derogations

Three developments in the legislative framework applicable to the 2007-2013 programming period amplified the cyclical character level of interim payments:

1.

The switch from N+3 to N+2. As part of the global compromise establishing the 2007-2013 MFF, the new Member States as well as Greece and Portugal were submitted to a N+3 rule for the 2007-2010 commitment tranches and then to an N+2 rule until the end of the period. This means that by the end of 2013, these Member States had to cover two commitment tranches: the 2010 tranche and the one of 2011. Of course, Member States did not wait necessarily until the decommitment deadline to implement the programmes and to submit their payment claims, so there was not a doubling of payment claims in 2013. Nevertheless, this rule reinforced strongly the peak of 2013 with a spill-over effect on the following years through the accumulation of a growing backlog.

2.

The Member States were required to carry out a compliance check on their control systems for the funds. The results of the compliance check had to be approved by the Commission. Interim payment claims could be submitted, but only reimbursed by the Commission following approval of the compliance assessment. While most of the programmes were adopted in 2007, the submission of claims (or at least their reimbursements by the Commission) was delayed, with nearly no interim payment made in 2008.

3.

As a response to the financial crisis, there were strong calls from Member States to neutralise the 2007 commitment tranche for the N+2/N+3 rule. This was accepted by the Commission but instead of postponing the decommitment threshold of the 2007 tranche by one year, the N+2/N+3 rules were weakened further through an unanimous vote in Council to spread the obligation related to 2007 tranche in six sixths over the whole period. This so-called ‘Greek rule’ made it possible to submit fewer payment claims in the beginning of the period, balanced by more payment claims at the end of the period.

In addition, also in response to the crisis, the eligibility period of expenditure for the 2000-2006 programmes was extended from late 2008 to 2009 (by modifying the Commission decision approving the programme) and therefore Member States continued to focus on the implementation of the 2000-2006 programmes. As a result, implementation of 2007-2013 programmes and the related submissions of 2007-2013 interim payment claims were delayed.

Comparing the 2000-2006 programmes with the 2007-2013 programmes

Whereas the 2007-2013 programming period switched from N+3 to N+2 at the end of the fourth year, the 2000-2006 programming period only had an N+2 rule, albeit with some adjustments in 2004 because of the accession of 10 Member States.

The chart below compares the cumulated interim payments for the 2000-2006 period which were made over the years 2001-2007 as a percentage of the total envelope, with the cumulated interim payments for the 2007-2013 programmes which were made from 2008 to 2014, again as a percentage of the total envelope.

Chart 1: Annual pattern of cumulative interim payments (with 1-year time-lag): 2000-2006 (EU-15) vs. 2007-2013 period (% of total envelope excluding pre-financing)

Image

As shown in the chart, the cumulative payments for the 2007-2013 programmes consistently remained below the level experienced in the 2000-2006 period, albeit with a catching up towards the end of the period. This delayed profile for the 2007-2013 programmes resulted from the combination of factors set out above. It explains the under-execution of payment appropriations and the payment ceiling at the beginning of the period, as the payment profile for the 2000-2006 programmes had been used as reference for establishing the ceilings.

However, when the payment claims started catching up at a later stage, the payments were strongly constrained by the level of authorised payment appropriations and/or by the payment ceiling which led to building up of the backlog.

Evolution of backlog 2007-2014

The following chart (14) shows the evolution of the backlog for the 2007-2013 programmes over the period 2007-2016.

Chart 2: Cohesion policy programmes 2007-2013: evolution of the outstanding payment claims at year-end (in EUR billion)

Image

As shown in the chart, the backlog for the 2007-2013 programmes started to increase in 2011, when it reached a level of EUR 11 billion, and arriving at a peak of EUR 24,7 billion in 2014. As explained below, the projections show a still high level of the backlog at the end of 2015, before returning to a ‘normal’ and sustainable backlog at the end of 2016.

4.3.   Components and types of backlog

Over the year, the Commission receives the following payment claims for the structural funds:

a)

Eligible payment claims that are covered by payments in the course of the year.

b)

Payment claims that have already been covered by the pre-financing at the beginning of the programming period and that are consequently not followed by additional payments.

c)

Payment claims which can only be paid after the closure will have to wait until the Commission and the beneficiary reach an agreement on the closure.

d)

Payment claims not paid because they were transmitted in the very last days of the year, too late to be processed before year-end.

e)

Payment claims which are interrupted/suspended for certain beneficiaries. Suspensions or interruptions of payments are normally short term formal actions by which the Commission delays the payment waiting for missing information or checks of the management and control system.

f)

Payment claims unpaid at year-end because authorised payment appropriations on the relevant budget line were exhausted.

The last four categories (from c to f) remain outstanding claims at year-end, but the backlog includes outstanding payment claims according to reasons d, e and f. A certain level of outstanding payment claims at the end of the year is considered ‘normal’ when they correspond to reason d and e. The ‘abnormal’ backlog only includes outstanding payment claims according to reason f.

The following chart illustrates the flow of payment claims for heading 1b, from the submission by the Member States via the identification of ‘payable claims’ to the ‘normal’ and ‘abnormal’ backlog.

Image

Year-end concentration of claims and time to pay

There is a very high concentration of payment claims sent by Member States in the month of December, ranging from 27 % to 35 % of the annual total over the period 2011-2014. For each payment claim received, the Commission needs to carry out controls before proceeding with the disbursement. The larger the number of claims received in the last weeks of the year, the higher the risk of claims not being reimbursed before the end of the year.

For this reason, the Commission regularly encourages Member States to send their claims more regularly throughout the year.

The following chart shows the monthly evolution of the submission of payment claims for the 2007-2013 programmes between 2011 and 2014.

Chart 3a: Monthly pattern of cumulative interim payment claim submission for 2007-2013 period (in % of total)

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This chart above shows clearly a recurrent very steep increase of the request of payment claims at the end of the year.

Chart 3b: Concentration of payment claims submission during the last two months of the year (percentage received in November and December) between 2011 and 2014

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The charts illustrate that more and more claims have arrived late in the year, due to the growing pressure of the N+2 rule. The removal of the N+3 rule in 2013 meant that all Member States had an N+2 rule except Romania, Slovakia and Croatia. It had a major impact on the volume of claims received in that year. The amount of claims arriving too late to be paid in the year depends on the total amount of claims received in the year and on its profile within the year.

Impact of interruptions and suspensions

The Commission uses a number of preventive mechanisms to protect the EU budget before it makes payments to Member States when it is aware of potential deficiencies. These are especially valuable for improving control systems in the Member States and thus reducing the need for future financial corrections by the Commission.

As a consequence, some payment claims are not immediately payable as they have been interrupted or suspended by the Commission pending improvements in the control systems to be made. While most of these claims will ultimately not be rejected, they cannot be paid immediately.

In accordance with the regulation (15), the Commission may:

interrupt the payment deadline for a maximum period of 6 months for 2007-13 programmes if there is evidence to suggest a significant deficiency in the functioning of the management and control systems of the Member State concerned; or if the Commission services have to carry out additional verifications following information that expenditure in a certified statement of expenditure is linked to a serious irregularity which has not been corrected.

suspend all or part of an interim payment to a Member State for 2007-13 programmes if there is evidence of serious deficiency in the management and control system of the programme and the Member State has not taken the necessary corrective measures; or if expenditure in a certified statement of expenditure is linked to a serious irregularity which has not been corrected; or in case of serious breach by a Member State of its management and control obligations. Where the required measures are not taken by the Member State, the Commission may impose a financial correction.

Estimating the ‘normal’ backlog

As explained before, the ‘normal’ backlog is the total of the claims that are interrupted or suspended and the claims that arrive too late to be paid in the year. Claims arriving during the last ten calendar days of the year can be considered as claims arriving too late to be paid as the Commission must have sufficient insurance that it will be able to fully execute the appropriations available in the budget. However, some of the claims interrupted or suspended are also part of the claims arriving too late to be paid and should not be counted twice.

Accordingly, the ‘normal’ backlog will grow with the total number of claims received over the year and its relative concentration over the last days of the year.

For the 2010-2014 period, the chart below gives an overview of the payment claims received, the backlog at year-end and the claims arriving too late to be paid or suspended.

Chart 4 Heading 1b: Claims, backlog, suspensions 2010-2014

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Over the last three years (2012-2014), the ‘normal’ backlog (i.e. payment claims received in the last ten days of the year or interrupted or suspended claims even if they have been received before the last ten days) can be estimated at about half the value of the total backlog reached at the end of each year. The other half was linked to the shortage of payment appropriations authorised in the budget, which has created a ‘snowball effect’ (16).

With the declining level of claims expected in 2015 and 2016, the expected reduction of cases interrupted/suspended and the absence of pressure from the N+2 rule at end 2015 (17), the ‘normal’ backlog is also expected to decline sharply.

4.4.   Outlook for 2007-2013 payments (claims) in 2015 and 2016

2015 and 2016 estimate based on Member States' forecasts

The Regulation governing the 2007-2013 Funds (18) requires Member States to send the Commission a forecast of their likely interim payment claims for the year N and the year N+1 at the latest by 30 April of year N. During the last years, Member States have agreed to update of this information in September of year N, in order to assess more accurately the growing level of outstanding payment claims (backlog) and the significant concentration of payment claims submitted in the last months of the year.

However, the new Regulation governing the 2014-2020 Funds (19) requires the Member States to send their forecast of interim payment applications for the year N and N+1 by 31 January of year N (with an update by 31 July). This new deadline has been applied on voluntary basis by Member States in 2015 for their 2007-13 programmes on the basis of a request of the Commission, confirmed in December 2014. According to the data received by the Commission as at 3 March 2015, Member States currently estimate to submit around EUR 48 billion of payment claims (both payable and non-payable) in 2015 and around EUR 18 billion in 2016 (20).

As previously explained, not all payment claims will directly result in payments because of the need to take into account the ‘95 % ceiling’ in payments set by Article 79 of Regulation (EC) No 1083/2006 (21). As more and more programmes reach the ‘95 % ceiling’, this correction will become far more significant in 2015 and later years. Consequently, the actual figures of the expected payable claims are lower than those forecasted by Member States, because the claims above the 95 % ceiling are considered at closure only. Based on these capped forecasts, the Commission expects to receive a total amount of payable payment claims of around EUR 35 billion in 2015. The corresponding figure for 2016 is currently around EUR 3 billion. This amount for 2016 will become more precise (and could be slightly higher) once Member States submit missing data or revise transmitted data for some operational programmes.

Annex 2 provides more details regarding the Member States' forecasts of payment claims to be submitted in 2015 and 2016 for the 2007-2013 Cohesion programmes.

Commission estimate based on execution

At the end of 2014, the total amount of pre-financing and interim payments made was EUR 266,1 billion. The total envelope for the programmes of the Cohesion policy 2007-2013 is EUR 347,3 billion. Taking into account the decommitments already made so far and the decommitment risk due to the implementation of the N+2/N+3 rule at the end of 2014 but still pending confirmation (a total maximum amount of some EUR 0,9 billion since the beginning of the period), the maximum amount still to be paid is around EUR 80,3 billion. However, 5 % of the amounts of each programme have to be paid only at the closure (EUR 17,3 billion).

Consequently, the expected level of interim payment claims still to be paid in 2015 or the following years is around EUR 63 billion or 18 % of the total envelope, which includes the backlog at the end of 2014 (EUR 24,7 billion). The maximum level of payable new payment claims to be received in 2015 or in the following years, before the closure, is EUR 38,3 billion. If an amount up to EUR 35 billion of payment claims are to be received in 2015, the remaining amount of up to EUR 3,5 billion would be received in 2016.

Estimated backlog at the end of 2015 based on corrected Member States' forecasts

The level of payment appropriations authorised in the 2015 budget is EUR 39,5 billion. This amount will cover both the pre-2015 backlog (EUR 24,7 billion) and the new claims (estimated at EUR 35 billion). Consequently, the expected backlog at the end of 2015 would amount to EUR 20 billion, of which at least about half of it or about EUR 10 billion would remain as abnormal backlog.

In EUR billion

Backlog end 2014 (adjusted)

Member States' forecasts of 2015 claims corrected by 95 % threshold

Payment appropriations authorised in the 2015 budget

Forecasted backlog end 2015

24,7

~35

39,5

~20

4.5.   Payment claims expected for 2016

As set out above, the backlog at the end of 2015 is expected to be around EUR 20 billion, provided Member States' forecasts prove accurate. Furthermore, up to EUR 3,5 billion of payable claims are still expected before the closure of the programmes. Given this relatively limited amount of payment claims and since there will be no N+2 pressure anymore, there is no reason to assume that a large amount of these payment claims will arrive too late to be paid in 2016.

The Commission will fine-tune its request in the 2016 Draft Budget, taking into account the ‘normal’ backlog at the end of 2016. This ‘normal’ backlog — covering the very late submission of claims and the remaining interruptions/suspensions — would however be very low compared to previous years, since the level of new claims to be received in 2016 is also very low and the Commission expects Member States to correct deficiencies and submit ‘clean’ claims. It could be in the order of magnitude of EUR 2 billion. This ‘normal’ backlog at year-end 2016 will therefore have to be covered in the 2017 budget. The amount to be included in the 2016 budget would therefore be around EUR 21,5 billion.

4.6.   Summary of information used to calculate the payment claims and the backlogs

The following table summarizes the information on the envelope of the programme, the expected use of the budget appropriations available in the budget 2015 and the maximum payment claims expected in 2016.

Outstanding interim payments 2015-2017 (EUR billion)

Envelope of the programme

(1)

347,3

Of which pre-financing and interim payments made until end-2014

(2)

266,1

Of which reserved for closure (5 %) and decommitments made

(3)

18,2

Maximum amount of payable interim payments (2015-2017)

(4)=(1)-(2)-(3)

~63,0

Of which backlog end-2014 (outstanding payment claims)

(5)

24,7

Of which maximum amount of payable interim payments in 2015-2017

(6)=(4)-(5)

38,3


Budget year 2015, EUR billion

Appropriations available Budget 2015

(1)

39,5

Of which end-2014 backlog

(2)

24,7

Of which forecasts 2015 corrected by 95 % threshold

(3)

~35

Expected backlog end-2015

(4)=(1)-(2)-(3)

~20


Budget year 2016, EUR billion

Expected backlog end-2015

(1)

~20

Maximum remaining payment claims expected to be received in 2016 before closure

(2)

~3,5

Maximum payment claims to be covered in the 2016 budget

(3)=(1)+(2)

~23,5

4.7.   Payment at closure

The closure of structural funds has its own payment dynamics. Each Member State sends its closure documents by programme at the latest by 31 March 2017. The Commission informs the Member State of its opinion on the content of the closure declaration within five months of the date of its receipt, provided that all information has been submitted in the initial closure document (22). As a rule, payments for the closure will occur only after 2016. The total amount reserved for the closure (5 % of the overall allocation) is EUR 17,3 billion, but the level of payments will be influenced by the quality of implementation of the programme during the whole period. Possible closure decommitments in the Cohesion policy may reduce the needs for payments.

As an indicative estimate, for the period 2000-2006, the percentage of de-commitment at closure was 2,6 % of the total envelope for the European Social Fund (ESF) and 0,9 % for the European Regional Development Fund (ERDF). However, for ESF there are still some EUR 0,5 billion of RAL that is related to problematic cases with irregularities, and consequently the Commission estimates that the final percentage of decommitments at the closure will be around 3 % for that Fund. The Commission does not exclude that decommitments at closure could be higher than in the past period so the above mentioned estimate should be considered as a prudent indication.

Closure requests are not taken into account in the analysis of the reduction of the normal part of the backlog, as most of them are paid in 2017-2019 or subsequent years and will in any event not all lead to payments, since unduly paid amounts will first be cleared before the final payment will be made.

5.   OTHER HEADINGS: OUTLOOK FOR THE 2007-2013 PROGRAMMES

5.1.   Overview

Following the detailed analysis of the specific case of the Cohesion policy (heading 1b) as set out in section 4 above, this section looks at the situation in the other headings, which can be summarised as follows:

Appropriations for the European Agricultural Guarantee Fund (heading 2) are non-differentiated whereby payments and commitments are budgeted at the same level. Consequently, there is no backlog at year-end;

The management of Rural Development, the European Fisheries Fund (heading 2) and the Asylum, Migration, Borders and Security funds (heading 3) is shared with Member States, in a manner similar to Cohesion policy. Whereas Rural Development so far had no backlog, this is not the case for the other funds;

Most of the other programmes (headings 1a and 4) are managed by the Commission. In view of payment shortages, many of these programmes have been subject to the mitigating measures which the Commission has put in place during 2014 (and in some case already in 2013), ranging from reduction of pre-financing (with due consideration of the type and financial soundness of implementing partners, recipients and beneficiaries), to postponement of final payments or budget support payments, abstaining from launching new commitments, and delaying contracting. Most of these mitigating measures, however, only postpone the time of disbursement, while commitments still have to be honoured.

The table below provides an overview of the evolution of the backlog for headings 1a and 4. Whereas there is a clear upward trend for the backlog for heading 4, which in 2014 reached its highest level in recent years, the evolution of heading 1a is less clear.

Backlog at year-end (in EUR million)

 

2007

2008

2009

2010

2011

2012

2013

2014

Heading 1a

1 679

507

291

628

604

567

551

541

Heading 4

172

178

284

226

387

367

389

630

5.2.   Shared management programmes in heading 2 and 3

5.2.1.   Heading 2

European Agricultural Guarantee Fund (EAGF)

There is no backlog for the European Agricultural Guarantee Fund (EAGF) as the fund is based on non-differentiated appropriations.

European Agricultural Fund for Rural development (EAFRD)

So far there has been no backlog for Rural Development: the Commission has always been able to pay all payment claims in time. Taking into account the size of the Rural Development programme and the 95 % rule which also applies, the maximum level of interim payments which might still be paid before the closure is around EUR 8,7 billion for the 2007-2013 period. The payment appropriations authorised in the 2015 budget for the 2007-2013 programmes amount to EUR 5,9 billion. The remaining amount of EUR 2,8 billion is due to be paid in 2016, following the submission by the Member States of the final quarterly declaration, due in January 2016.

The total amount reserved for the closure is around EUR 4,8 billion. The actual amount to be paid will depend on the decommitments. As an illustration, by applying the 1,5 % rate of decommitments experienced during of the previous 2000-2006 closure period, some EUR 1,5 billion would be decommitted. Closure payments are expected to take place between 2016 and 2019.

European Fisheries Fund (EFF)

The EFF management mode is similar to the Cohesion policy (heading 1b). However, since it has no N+3 rule, the EFF did not encounter the specific problem of the transformation of the N+3 rule to the N+2 rule between the commitment tranche 2010 and the commitment tranche 2011. Moreover, it did not have the ‘Greek rule’ either, although the start of the programmes was also slightly delayed by the obligations related to the management and control systems. Nevertheless, in recent years, the EFF backlog has been very important. At the beginning of 2014, the level of the backlog was at the level of the voted payment appropriations for the programmes 2007-2013.

As to the timing of payment claims during the year, throughout 2010-2014 two-thirds of the annual payment claims were received in the months November and December. The following chart shows the level of the backlog from 2011 to 2014 for the programmes 2007-2013 of the EFF together with the initial payment appropriations of the following year.

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The main reason behind the reduction of the EFF backlog at the end of 2014 has been the redeployment of all available payment appropriations within the budget chapter (including all payment appropriations for the EMFF shared management — due to the delay in the adoption of the new legal basis) and the reinforcements received in the draft amending budget 3/2014 (adopted as amending budget 2/2014) and in the end-of-year transfer.

The higher level of payments authorised in the 2015 budget should allow reducing the backlog to its normal level of around EUR 0,1 billion.

5.2.2.   Heading 3

Asylum, Migration, Borders and Security policies

The common asylum and immigration policies in the 2007-2013 period were mainly implemented through the General Programme ‘Solidarity and Management of Migration Flows’ (SOLID). This General Programme consisted of four instruments: External Borders Fund (EBF), European Return Fund (RF), European Refugee Fund (ERF) and European Fund for the Integration of third-country nationals (EIF).

The following graph shows the growing level of outstanding payment claims at year-end for the programmes in the field of asylum, migration, borders and security.

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The RAL has increased from EUR 150 million at the beginning of 2007 to EUR 2,6 billion in 2014, despite EUR 300 million decommitted during the period 2007-2014. Some EUR 1,9 billion remains to be paid on the programmes 2007-2013. The payment appropriations authorised for the programmes in the 2015 budget are slightly above EUR 600 million, including the appropriations for the initial and annual pre-financing payments of the new programmes 2014-2020.

Taking into account the amount which will be paid at the closure (estimated at some EUR 1 billion) and the fact that second pre-financings could not be paid in 2013 and 2014 due to lack of payment appropriations, the payment needs to reduce the backlog for the programmes 2007-2013 to a normal level at the end of 2016 are estimated at around EUR 235 million.

5.3.   Direct management programmes in heading 1a and 4

5.3.1.   Heading 1a

This section gives an overview of the payments situation of the programmes under heading 1a at the end of 2014.

Outstanding payment claims at year-end

The chart below shows the evolution of the outstanding payment claims at year-end for the main programmes under heading 1a.

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The high level of outstanding payment claims at the end of 2007 mainly results from the project cycle of the 6th Framework Programme for Research (FP-6), and the particularly high number of open commitments at that time. In addition, the research contracts stipulated that audit certificates were required before cost claims could finally be paid.

The mitigating measures taken by the Commission in 2014 (see section 2.2 above) to address the shortage of payment appropriations prevented the increase of outstanding payment claims at the end of 2014. Measures included the reduction the level of pre-financing and delaying the signature of new contracts/grant agreements, thus shifting part of the payments to the following year. While containing the level of outstanding payment claims, a resulting side-effect of those measures has been the slowing down of the implementation of the 2014-2020 programmes. In some cases, more drastic measures had to be taken as to give priority to payments addressed to the more vulnerable beneficiaries.

Evolution of outstanding commitments (RAL)

The broadly stable level of outstanding payment claims at year-end for programmes under heading 1a is in sharp contrast with the clear upward trend in the level of outstanding commitments (RAL), as shown in the chart below:

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To a large extent, the increasing RAL in heading 1a results from the widening gap between the commitment and payment appropriations for research, the largest spending programme in this heading. This is illustrated in the chart below, which shows the declining pattern of the ratio between payments and commitments.

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As an example of how projects in heading 1a are being implemented, the project cycle for the Research programmes is described below.

Project cycle Research

Research programmes are implemented through multiannual work programmes which include calls for proposals, public procurements, studies, experts groups, participation in international organisations, seminars and workshops, evaluation and monitoring. Around 90 % of the research programmes are related with calls for proposals, the remaining 10 % with other activities.

The annual work programme for year N is adopted by the Commission in the middle of year N-1. From the second half of year N-1 the calls for proposals are launched. In most cases the submission of proposals usually takes place within three months after the publication of the call for proposals. Global commitments are made after the adoption of the work programme in year N and at the latest before the contract negotiations (usually at the time of the call deadline). The evaluation of proposals (three months) and selection (one-two months) are followed by the contract negotiation (from one to six months) and signature (up to a few months). The Commission/executive agency has eight months between the call deadline and the grant signature (the so-called ‘time to grant’), of which five months to inform the applicants about the outcome of scientific evaluation and three months for preparation of the grant agreement. Once the individual commitment is made and contract is signed, the pre-financing should be paid within 30 days from the signature of the agreement or from 10 days before the starting date of the action whichever is the latest. Following the structural measures taken by Research DGs in 2014, in many cases, the pre-financing of the year N commitment is now paid in year N+1 instead of year N. Interim payments are based on financial statements and linked to periodic reports, usually every 18 months. The final payment of 10 % is paid on acceptance of the final report.

For all other actions foreseen in the work programme, the provisional commitments are made in year N and the advance payments are paid the same year. The rest is paid in year N+1.

Payment shortages Research: practical consequences

In order to manage the shortage of payment appropriations within the Research programmes, in 2014 a total amount of EUR 236,5 million was transferred from ‘Horizon 2020’ 2014-2020 lines to reinforce 2007-2013 completion budget lines for the same programmes, delaying the pre-financing of the Horizon 2020 calls launched in 2014 to 2015. This was not the case in previous years, and results in a delay in the implementation of new programmes.

Research takes time and withholding signature of contracts and funding is not consistent with the objective of enhanced research efforts to support economic growth. The increase in the level of payment appropriations authorised for Horizon 2020 in the 2015 budget is expected to allow a partial catching up of this key programme.

Erasmus+

Erasmus+ provides a good example of an annual programme for which the level of payments closely follows the level of commitments, since the lifecycle of most actions is linked to the academic calendar.

Because of the payments shortage, however, the increase in payment appropriations in 2014 did not match the increase of commitment appropriations which is set to continue over the 2014-2020 period. This shortfall in payments in 2014 can also be seen in the ratio between payments and commitments in the chart below.

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As a result, in 2014 it was not possible to pay part of the second pre-financing to National Agencies, which are meant to finance mobility actions. While the situation should improve slightly, Erasmus+ is expected to still be confronted with similar constraints in 2015.

Transport and Energy

The chart below shows the growing divergence between the level of commitments and payments for the Transport and Energy policy areas.

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The payment appropriations authorised in the 2015 budget will suffice to cover the first pre-financing of the 2014-2020 projects and to partially tackle the 2007-2013 RAL, which is estimated at more than EUR 2 billion.

European Economic Recovery Plan (EERP)

Compared to the high level of commitments in 2009 and 2010, the implementation of payments for this programme started slowly since EERP projects mostly consist of large-scale infrastructure projects.

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In particular in 2014, payment appropriations were not sufficient to cover all the payment claims received during the year, even after the late adoption of draft amending budget 3/2014 which provided additional payment appropriations. At the end of 2014, the RAL still stood at EUR 2 billion, half of the amount initially committed for the EERP. The level of payment appropriations authorised in 2015 amounts to EUR 407 million, which is expected to cover estimated needs for the year.

5.3.2.   Heading 4

The chart below shows the level of outstanding commitments (RAL) for programmes under heading 4 since 2007.

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Heading 4 comprises short-term crisis-response instruments, longer-term instruments which use multiannual programming, and ad-hoc instruments such as Macro-Financial loan and grant assistance. Three large instruments (the Instrument for Pre-accession Assistance II (IPA), the European Neighbourhood Instrument (ENI) and the Development Cooperation Instrument (DCI)), using multiannual programming, account for 73 % of expenditure under this heading. The support to third countries which is funded under these programmes typically has a life-cycle of around 6-8 years. The crisis-response instruments (Humanitarian Aid, Instrument contributing to Stability and Peace, Common Foreign and Security Policy) and the Macro-Financial Assistance, on the other hand, have much shorter payment cycles of 12-18 months.

Since 2013, most instruments in heading 4 experienced serious shortages in payment appropriations, affecting first the humanitarian and crisis-related instruments with fast-disbursing implementation cycles, and thereafter instruments such as the Development Cooperation Instrument and the European Neighbourhood Instrument where the payments are mostly related to existing contracts and commitments. The situation worsened in 2014, due to the overall reduction in the available payments compared to 2013. For some of the programmes, the reinforcement through draft amending budget 3/2014 (and other actions such as transfers) (23) came very late and was insufficient to cover the outstanding backlog.

Measures put in place (see section 2.2 above) could only partly mitigate the effects of the payment shortage by postponing the time of disbursement, while past commitments still have to be honoured.

Outstanding payment claims at year-end

Overall, the outstanding payment claims at year-end 2014 for heading 4 increased considerably. This is mostly due to a sharp increase of claims and the lack of related payment appropriations as in the case of the European Neighbourhood Instrument and the Development Cooperation Instrument, as shown in the chart below.

Image

On the other hand, the reinforcements in payment appropriations authorised in the 2013 and 2014 budgets allowed redressing the level of outstanding payment claims for Humanitarian Aid (24):

Image

As set out above, the RAL of heading 4 and of the three large long-term instruments in particular, has been steadily rising over the past five years, in line with the commitment levels of the previous MFF. Programmes initially committed in 2010, for example, will have been formalised with the beneficiary third country during 2011, and contracts concluded up to 2014. It follows that many of these larger programmes, committed at a time when commitments were rising steeply, now need to be paid for. The level of payment appropriations authorised in the 2015 budget is expected to reduce the gap, which should help to stabilise the situation but the situation will continue to be tense and both the gap and RAL is still expected to increase for many instruments such as the Development Cooperation Instrument.

6.   OUTLOOK FOR 2014-2020 PROGRAMMES

The 2016 budget will have to include sufficient payment appropriations not only to phase out the abnormal level of outstanding payment claims stemming from commitments related to 2007-2013 programmes, but also for the 2014-2020 programmes in heading 1a and 4, whose implementation has been hampered by the payment shortages. The 2016 budget must also include the necessary payment appropriations for other funds, such as rural development (heading 2) to avoid the creation of a new backlog which did not exist in the past.

The Commission will assess the 2016 payment needs for the 2014-2020 programmes in the 2016 Draft Budget.

7.   CONCLUSIONS

In recent years, and particularly in 2014, the level of payment appropriations was insufficient to cover incoming payment claims. In turn, this led to a growing backlog of outstanding payment claims at year-end, in particular for the 2007-2013 programmes of the Cohesion policy. The Commission took a number of mitigating measures to minimise the negative effects of payment shortages, by meeting, as far as possible, obligations stemming from past commitments. However, as a side-effect, implementation of the 2014-2020 programmes was hampered.

Payment appropriations in the 2015 budget are expected to lead to a reduction in the backlog of outstanding payment claims for the 2007-2013 programmes. The Commission has identified the payment level necessary to phase out the abnormal level of outstanding payment claims for the 2007-2013 programmes by the end of 2016. In its draft budget 2016, the Commission will propose payment appropriations, accordingly.

The Commission considers that, on this basis, the three institutions can engage to implement a plan to reduce the level of unpaid bills corresponding to the implementation of the 2007-2013 programmes to a sustainable level by the end of 2016.


(1)  The English version is the authentic version of this annex.

(2)  This results from the so-called ‘N+2’/‘N+3’ rules whereby payments have to be made within two (N+2) or three (N+3) years after the corresponding commitments have been made. At the end of 2013, the two decommitment rules applied at the same time.

(3)  The total additional payment appropriations authorised through amending budgets amounted to EUR 6,7 billion in 2012, EUR 11,6 billion in 2013 and EUR 3,5 billion in 2014.

(4)  The backlog of outstanding payment claims for the 2007-2013 Cohesion programmes at year-end increased from EUR 11 billion in 2011 to EUR 16 billion in 2012, EUR 23,4 billion in 2013, and EUR 24,7 billion in 2014.

(5)  It is to be noted that for shared management policies such as Cohesion policy (where the Commission reimburses Member States’ expenditure), interest for late payments does not apply.

(6)  The remaining 5 % is to be paid at the programme closure, which will take place in 2017-2019, after the Commission's assessment that the programme has been implemented successfully and that no correction needs to be made.

(7)  Cohesion policy legislation provides for a regulatory deadline of 60 days.

(8)  Definition of normal and abnormal backlog is in section 3.4 and 4.3.

(9)  The amending budget 2/2014 was originally presented as draft amending budget 3/2014.

(10)  Monthly reports on interim payments and pending claims, Budget Forecast Alert (twice a year)

(11)  DEC 54/2014.

(12)  Unpaid amounts resulting from the reduction of pre-financing rates to a rate below the legal/normal minimum are not included in the current definition of ‘outstanding payment claims’: however, for a number of programmes, some reduction of pre-financing rates has been implemented in 2014 (in some case already in 2013) in order to postpone payments to a later date.

(13)  Article 87 of Regulation (EC) No 1083/2006: ‘…requests for interim payments are grouped together, as far as possible, on 3 separate occasions a year

(14)  Identical to the one included in the executive summary.

(15)  Articles 91 and 92 respectively of Regulation (EC) No 1083/2006 for programming period 2007-2013.

(16)  Due to the cash-flow constraints in the first months of the year (see section 3.3 above), part of the backlog might not be paid within the regulatory deadlines at the beginning of the year.

(17)  Except for Croatia, Romania, Slovakia

(18)  Article 76 of Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No 1260/1999 (OJ L 210, 31.7.2006, p. 25).

(19)  Article 112 of Regulation (EU) No 1303/2013 of the European Parliament and of the Council of 17 December 2013 laying down common provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development and the European Maritime and Fisheries Fund and laying down general provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund and the European Maritime and Fisheries Fund and repealing Council Regulation (EC) No 1083/2006 (OJ L 347, 20.12.2013, p. 320).

(20)  The forecasts submitted by Member States in January 2015 did not cover all operational programmes. For these cases, the Commission has used the forecasts received last September. Such an extrapolation of missing Member States' forecasts is not possible for 2016, since the forecasts submitted in September 2014 covered 2014 and 2015 only (not yet 2016). This means that the forecast for 2016 includes only the operational programmes for which the Member States transmitted the information and might have to be revised upward when the missing information is transmitted.

(21)  Article 79 of Council Regulation (EC) No 1083/2006 lays down that ‘The cumulative total of pre-financing and interim payments made by the Commission shall not exceed 95 % of the seven-year contribution from the Funds to the Operational Programme; the remaining 5 % will only be paid at the closure of the Operational Programme.

(22)  Article 89 of Council Regulation (EC) No 1083/2006 of 11 July 2006 laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No 1260/1999 (OJ L 210, 31.7.2006, p. 25).

(23)  + EUR 406 million (net increase in payment appropriations) for Humanitarian Aid, + EUR 30 million for DCI and + EUR 250 million for ENI.

(24)  The graph however does not reflect the impact of the reduced level of pre-financing.

ANNEX 1: INFORMATION SENT BY THE COMMISSION ON 15 DECEMBER 2014

On 15 December 2014, the Commission presented the expected backlog for 2007-2013 Cohesion programmes at the end of 2014 and 2015, as follows:

 

2010

2011

2012

2013

2014  (*1)

2015  (*1)

Backlog of unpaid bills at year-end (EUR billion)

6,1

10,8

16,2

23,4

Up to 25  (1)

19  (2)

The Commission also gave a breakdown of the expected backlog for 2007-2013 Cohesion programmes at end-2014. As set out in the table below, the total level of payment claims actually received by year-end 2014 was some EUR 1,5 billion below the forecasts prepared by the Member States, and some EUR 2,5 billion above the upper range forecasted by the Commission.

EXPECTED BACKLOG AT THE END OF 2014

EUR billion

(1)

Payment claims received by end of 2013 and not paid by end-2013 (backlog)

23,4

(2)

Payment claims received by end November 2014

31,4

(3) = (1) + (2)

Payment claims requested by end-November to be paid in 2014

54,8

(4)

Authorised level of payment appropriations (with Amending Budget 3/2014)

49,4

(5) = (3) – (4)

Backlog by end of November 2014, requested to be paid by end-2014

5,4


 

Forecast

Actual realisation

Member States' forecasts of payment claims to be submitted in December 2014

23

21,5

Commission forecasts of payment claims to be submitted in December 2014

18 — 19

21,5

Forecast for backlog of unpaid bills at the end of 2014: up to EUR 25 billion.

Finally, the Commission presented by country the Member States' estimates of payment claims to be submitted for the Cohesion policy in 2014 (EUR 54,33 billion), the payment claims sent up to 31 October 2014 (EUR 31,36 billion) and as a consequence, the payment claims to be submitted in November and December (EUR 22,97 billion).

The Commission added that ‘Taking into account the average error rates observed in the “gross” forecasts of Member States over recent years and the 95 % ceiling in payments before closure required by Article 79 of Regulation (EC) No 1083/2006, the Commission estimates at EUR 18-19 billion the claims to be received in December’. This is consistent with the tables set out above.


(*1)  Commission estimates based on adjusted Member States’ forecasts

(1)  Taking account of additional payment appropriations in Draft Amending Budget 3/2014 as finally approved.

(2)  Taking account of additional payment appropriations in Draft Amending Budget 3/2014 as finally approved and payment appropriations authorised in the budget 2015.

Annex 2: Heading 1b: latest forecasts from Member States

This annex sets out the latest forecasts from the Member States as regards the submission of payment claims for the 2007-2013 Cohesion programmes in 2015 and 2016, making a distinction between gross forecasts (listed by Member States) and capped forecasts (see explanation in section 4.4).

Member States' forecasts (in EUR billion)

Period 2007-2013

2015  (*1)

2016

Gross forecasts

Gross forecast

AT

Austria

0,09

0,00

BE

Belgium

0,24

0,06

BG

Bulgaria

1,35

0,00

CY

Cyprus

0,06

0,00

CZ

Czech Republic

4,01

3,75

DE

Germany

2,43

0,95

DK

Denmark

0,04

0,03

EE

Estonia

0,09

0,00

ES

Spain

4,65

1,74

FI

Finland

0,21

0,02

FR

France

1,92

0,34

GR

Greece

0,75

0,00

HR

Croatia

0,22

0,31

HU

Hungary

3,86

1,24

IE

Ireland

0,03

0,01

IT

Italy

5,07

1,44

LT

Lithuania

0,09

0,00

LU

Luxemburg

0,01

0,00

LV

Latvia

0,54

0,09

MT

Malta

0,14

0,04

NL

Netherlands

0,21

0,10

PL

Poland

8,92

3,99

PT

Portugal

0,52

0,06

RO

Romania

6,64

2,81

SE

Sweden

0,11

0,00

SI

Slovenia

0,38

0,18

SK

Slovakia

2,68

0,64

UK

United Kingdom

1,52

0,25

CB

Territorial Cooperation

1,16

0,25

TOTAL

 

47,93

18,32

TOTAL CAPPED FORECASTS  (*3)

34,74

2,95  (*2)


(*1)  The figures of 2015 forecasts are calculated using — for the Operational Programmes for which Member States have not sent any forecast in January 2015 — the related forecasts sent in September 2014.

(*2)  The maximum payable amount in 2016 is EUR 3,5 billion of which EUR 3 billion is already confirmed by Member States at this stage.

(*3)  Capping is the application of the 95 % rule which foresees that interim payments may only be paid before the closure as long as the sum of payments is lower than 95 % of the allocation of the programmes.


Thursday 9 July 2015

11.8.2017   

EN

Official Journal of the European Union

C 265/272


P8_TA(2015)0267

Maximum permitted levels of radioactive contamination of food and feed following a nuclear accident ***I

European Parliament legislative resolution of 9 July 2015 on the proposal for a Council regulation laying down maximum permitted levels of radioactive contamination of food and feed following a nuclear accident or any other case of radiological emergency (COM(2013)0943 — C7-0045/2014 — 2013/0451(COD))

(Ordinary legislative procedure — first reading)

(2017/C 265/42)

The European Parliament,

having regard to the Commission proposal to the Council (COM(2013)0943),

having regard to Articles 31 and 32 of the Treaty establishing the European Atomic Energy Community, pursuant to which the Council consulted Parliament (C7-0045/2014),

having regard to the opinion of the Committee on Legal Affairs on the proposed legal basis,

having regard to Article 294(3) and Articles 168(4) (b) and 114 of the Treaty on the Functioning of the European Union,

having regard to the opinion of the European Economic and Social Committee of 25 March 2014 (1),

having regard to Rules 59 and 39 of its Rules of Procedure,

having regard to the report of the Committee on the Environment, Public Health and Food Safety (A8-0176/2015),

1.

Adopts its position at first reading hereinafter set out;

2.

Calls on the Commission to alter its proposal accordingly, pursuant to Article 293(2) of the Treaty on the Functioning of the European Union;

3.

Instructs its President to forward its position to the Council and the Commission.


(1)  OJ C 226, 16.7.2014, p. 68.


P8_TC1-COD(2013)0451

Position of the European Parliament adopted at first reading on 9 July 2015 with a view to the adoption of Regulation (EU) 2015/… of the European Parliament and of the Council laying down maximum permitted levels of radioactive contamination of food and feed following a nuclear accident or any other case of radiological emergency [Am. 1. This amendment applies throughout the text.]

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing on the Functioning of the European Atomic Energy Community Union , and in particular Articles 31 Article 168(4)(b) and 32 Article 114 thereof, [Am. 2]

Having regard to the proposal from the European Commission, drawn up after obtaining the opinion of the group of persons appointed by the Scientific and Technical Committee from among scientific experts in the Member States  (1) ,

Having regard to the opinion of the European Economic and Social Committee (2),

Having regard to the opinion of the European Parliament  (3), Acting in accordance with the ordinary legislative procedure  (4) , [Am. 3]

Whereas:

(1)

Council Directive 96/29/Euratom 2013/59/Euratom  (5) lays down basic safety standards for the protection of the health of workers and the general public against the dangers arising from exposure to ionising radiation. [Am. 4]

(1a)

In accordance with Article 168 of the Treaty on the Functioning of the European Union (TFEU), a high level of human health protection should be ensured in the definition and implementation of all Union policies and activities. [Am. 5]

(2)

Following the accident at the Chernobyl nuclear power-station on 26 April 1986, considerable quantities of radioactive materials were released into the atmosphere, contaminating foodstuffs and feedingstuffs in several European countries to significant levels significant from the a health point of view. , causing life-threatening illnesses and health conditions. A high level of radioactive contamination still persists today. Given that the radioactive material released has contaminated air, water, soil and vegetation, measures were adopted to ensure that certain agricultural products are were only introduced into the Union according to the common arrangements which in order to safeguard the health of the population while maintaining the unified nature of the market and avoiding deflections of trade. [Am. 6]

(2a)

Member States are responsible for monitoring compliance with the levels laid down in this Regulation, in particular by supervising safety standards for food and feed. Point (b) of Article 168(4) TFEU provides for the adoption of common measures in the veterinary field which have as a direct objective the protection of human health. In addition, Article 114 TFEU provides for an appropriate level of harmonisation to ensure that the internal market can run smoothly. [Am. 7]

(2b)

It is a proven fact that higher doses of radiation have a harmful and destructive effect on the body's cells and can give rise to cancers. [Am. 8]

(2c)

It is important to set low thresholds for maximum permitted levels of radioactive contamination in food, in order to take into account the higher cumulative dose caused by contaminated food that is eaten over an extended period of time. [Am. 9]

(3)

Council Regulation (Euratom) No 3954/87 (6), as amended by Council Regulation (Euratom) No 2218/89 (7), lays down maximum permitted levels of radioactive contamination to be applied following a nuclear accident or any other case of radiological emergency which is likely to lead or has led to significant radioactive contamination of food and feed. Those maximum permitted levels are still in line with the latest scientific advice as presently available internationally and should be periodically reviewed and updated to take into account new scientific evidence . The maximum permitted levels listed in Annexes I to III have been revised and are set out in the International Commission’s Radiological Protection Publication 105. Specifically, they are based on a reference level of 1 mSv per year in addition to the individual dose as ingested, and suppose that 10 % of the food consumed annually is contaminated . [Am. 10]

(4)

Following the accident at the Fukushima nuclear power station on 11 March 2011, the Commission was informed that radionuclide levels in certain food products originating in Japan exceeded the action threshold levels in food applicable in Japan for food . Such contamination may constitute a threat to public and animal health in the Union and therefore measures were adopted imposing special conditions governing the import of feed and food originating in or consigned from Japan, in accordance with the opinion of the Standing Committee on the Food Chain and Animal Health. Measures should also be put in place to monitor and minimise the risk of consumption of food products from other countries affected by the radioactive fallout from a nuclear accident in another country. [Am. 11]

(5)

There is a need to set up a system allowing the European Atomic Energy Community Union , following a nuclear accident or any other case of radiological emergency which is likely to lead or has led to a significant radioactive contamination of food and feed, to establish maximum permitted levels of radioactive contamination in order to protect the population ensure a high level of public health protection . [Am. 12]

(6)

Maximum permitted levels of radioactive contamination should apply to food and feed originating in the Union or imported from third countries according to the location and circumstances of the nuclear accident or the radiological emergency , taking into account the effect of natural and cumulative radiation as it moves up the food chain . Periodic revisions of these levels should be in place. [Am. 13]

(7)

The Commission is to be informed of a nuclear accident or of unusually high levels of radioactivity according to Council Decision 87/600/Euratom (8), or under the IAEA Convention on early notification of a nuclear accident of 26 September 1986.

(8)

In order to take into account that diets of infants during the first six months period of life may vary significantly, and to allow for uncertainties in the metabolism of infants during the second six months period of life, there is a benefit in extending the application of lower maximum permitted levels for foods for infants, to the whole first 12 months of age. Lower maximum permitted levels for foods should be applied to pregnant and breastfeeding women. [Am. 14]

(9)

In order to facilitate the adaptation of maximum permitted levels, in particular with regard to scientific knowledge, procedures for establishing the maximum permitted levels and technical progress at international level, the Commission should include the consultation of the Group of Experts referred to in Article 31 of the Treaty present to the European Parliament and the Council a new proposal to adapt the maximum permitted levels . [Am. 15]

(9a)

In order to facilitate the adaptation of maximum permitted levels, procedures should be introduced to allow the regular consultation of experts. A group of experts should be established by the Commission on the basis of scientific and ethical criteria. The Commission should make public the group’s composition and its members’ declarations of interests. In adapting the maximum permitted levels, the Commission should also consult experts from international bodies in the field of radiation protection. [Am. 16]

(9b)

The group of experts should also estimate the cumulative effect of radioactive contamination. [Am. 17]

(9c)

The maximum permitted levels should be made public and should be regularly revised to take due account of the latest scientific advances and advice as currently available internationally, to reflect the need to reassure the public and to provide it with a high level of protection, and to avoid divergences in international regulatory practice. [Am. 18]

(10)

In order to ensure that food and feed exceeding the maximum permitted levels are not placed on the market of the EU Union , compliance with these levels should be the subject of appropriate thorough checks by the Member States and the Commission. Penalties for non-compliance should be applied and the public should be informed accordingly . [Am. 19]

(10a)

The rules for verifying compliance with measures designed to prevent, eliminate or reduce to acceptable levels contamination risks to humans or animals, are laid down in Regulation (EC) No 882/2004 of the European Parliament and of the Council  (9) . [Am. 20]

(11)

In order to ensure uniform conditions for the implementation of this Regulation as regards rendering applicable the pre-established maximum permitted levels, implementing powers should be conferred on the Commission. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council (10).

(12)

The examination procedure should be used for the adoption of acts rendering applicable the pre-established maximum permitted levels of radioactive contamination of food and feed. In the event of a nuclear accident or any other radiological emergency, it is nevertheless necessary to take due account of the particular circumstances and conditions applying to each accident, and, therefore, to establish a procedure allowing the rapid lowering of those pre-established maximum permitted levels, and, if necessary, the introduction of maximum permitted levels for other radionuclides (in particular tritium) involved in the accident, with a view to ensuring the highest possible level of public protection. The public should be informed immediately of the measure and of the maximum levels. [Am. 21]

(12a)

The Commission should be assisted by the Standing Committee on Plants, Animals, Food and Feed established by Regulation (EC) No 178/2002 of the European Parliament and of the Council  (11) . The Member States should ensure that their representatives on the committee have sufficient knowledge of radiological protection. [Am. 22]

(13)

The Commission should adopt immediately applicable implementing acts where, in duly justified cases relating to certain radiological emergencies which are likely to lead or have led to a significant radioactive contamination of food and feed, imperative grounds of urgency so require. The public should be informed immediately of the measure and of the maximum levels. [Am. 23]

(13a)

The adoption of the maximum permitted levels under this Regulation should be based on the protection requirements for the most critical and vulnerable population groups, in particular children and people in isolated geographic areas or those practising subsistence farming. The maximum permitted levels should be the same for the entire population and should be based on the lowest levels. [Am. 24]

(13b)

When food or feed originating in the Union or imported from third countries poses a serious risk to human or animal health or to the environment, the Commission should, by means of implementing acts, adopt additional measures in line with Regulation (EC) No 178/2002 to ensure a high level of human and animal health protection. If possible, the maximum applicable permitted limits and the additional emergency measures should be laid down in a single implementing regulation. [Am. 25]

(13c)

When drawing up or reviewing implementing acts, the Commission should take account primarily of the following circumstances: the location, nature and scope of the nuclear accident or of any other cause of a radiological emergency; the nature and scope of radiological substances released into the air, water or soil, as well as in food and feed, whether inside or outside the Union; the risks of actual or potential radiological contamination of food and feed and the resulting doses of radiation; the type and quantity of contaminated food and feed that can reach the Union market, and the maximum permitted levels for contaminated food and feed in third countries. [Am. 26]

(13d)

In the event of a nuclear accident or radiological emergency which requires the maximum permitted levels to be applied, the public should be informed of the levels in force, both by the Commission and by each Member State. Furthermore, the public should also be provided with information about food and feed liable to accumulate stronger concentrations of radioactivity. [Am. 27]

(13e)

Compliance with the maximum permitted levels should be the subject of appropriate checks, and penalties should be introduced for the deliberate export, import or sale of foodstuffs exceeding the maximum permitted contamination levels, [Am. 28]

HAS HAVE ADOPTED THIS REGULATION:

Article 1

This Regulation lays down the maximum permitted levels of radioactive contamination of food as set out in Annex I, the maximum permitted levels of minor food as set out in Annex II, and the maximum permitted levels of radioactive contamination of feed as set out in Annex III, which may be placed on the market following a nuclear accident or any other case of radiological emergency which is likely to lead to or has led to significant radioactive contamination of food and feed, and the procedures to render these maximum permitted levels applicable. [Am. 54]

Article 2

Definitions

For the purposes of this Regulation, the following definitions shall apply:

(1)

‘food’ means any substance or product, whether processed, partially processed or unprocessed, intended to be, or reasonably expected to be ingested by humans, including drink, chewing gum and any substance, including water, intentionally incorporated into the food during its manufacture, preparation or treatment; ‘food’ does not include: as defined in Article 2 of Regulation (EC) No 178/2002;

(a)

feed;

(b)

live animals unless they are prepared for placing on the market for human consumption;

(c)

plants prior to harvesting;

(d)

medicinal products within the meaning of Article 1(2) of Directive 2001/83/EC of the European Parliament and of the Council  (12) ;

(e)

cosmetic products within the meaning of Article 2(1)(a) of Regulation (EC) No 1223/2009 of the European Parliament and of the Council  (13) ;

(f)

tobacco and tobacco products within the meaning of Directive 2001/37/EC of the European Parliament and of the Council  (14) ;

(g)

narcotic or psychotropic substances within the meaning of the United Nations Single Convention on Narcotic Drugs, 1961, and the United Nations Convention on Psychotropic Substances, 1971;

(h)

residues and contaminants. [Am. 29]

(2)

‘minor food’ means food of minor dietary importance which makes only a marginal contribution to food consumption by the population; [Am. 55]

(3)

‘feed’ means any substance or product, including additives, whether processed, partially processed or unprocessed, intended to be used for oral feeding to animals as defined in Article 3 of Regulation (EC) No 178/2002 ; [Am. 30]

(4)

‘placing on the market’ means the holding of food or feed for the purpose of sale, including offering for sale or any other form of transfer, whether free of charge or not, and the sale, distribution, and other forms of transfer themselves. an operation as defined in Article 3 of Regulation (EC) No 178/2002; [Am. 31]

(4a)

‘food/feed contact materials’ means packages and other materials intended to be in contact with food; [Am. 32]

(4b)

‘radiological emergency situation’ means an unusual event that involves a radiation source and requires immediate intervention to mitigate any serious health or safety threats, or any adverse consequences to the quality of life, to property or to the environment, or represents a danger that could lead to such adverse consequences. [Am. 33]

Article 2a

Practices which consist of blending foodstuffs containing concentrations above those permitted by the rules on maximum permitted levels of radioactive contamination in food and feed with uncontaminated or mildly contaminated foodstuffs, so as to obtain a product that complies with the rules laid down in this Regulation, shall not be authorised. [Am. 34]

Article 3

1.   In the event of the Commission receiving — in particular according to either the European Atomic Energy Community arrangements for the early exchange of information in case of a radiological emergency or under the IAEA Convention of 26 September 1986 on early notification of a nuclear accident — official information on accidents, or on any other case of radiological emergency, substantiating that the maximum permitted levels for food, minor food or feed are likely to be reached or have been reached, that contaminate food and feed , it shall adopt, if the circumstances so require, in the shortest time possible, an implementing Regulation rendering applicable act laying down maximum permitted levels of radioactivity that may not exceed those maximum permitted levels laid down in the Annexes to this Regulation . That implementing act shall be adopted in accordance with the examination procedure referred to in Article 5(2). [Am. 35]

1a.     The maximum permitted levels shall be made public and regularly revised to take due account of the latest scientific advances and advice as available at the relevant time internationally, to reflect the need to reassure the public and to provide them with a high level of protection, and to avoid divergences with international regulatory practices which provide higher levels of protection. [Am. 36]

2.   On duly justified imperative grounds of urgency relating to the circumstances of the nuclear accident or the radiological emergency, the Commission shall adopt an immediately applicable implementing Regulation act in accordance with the procedure referred to in Article 5(3). [Am. 37]

3.   When preparing the draft implementing act acts referred to in paragraphs 1 and 2 of this Article and discussing it with the committee referred to in Article 5, the Commission shall take into account the basic standards laid down in accordance with Articles 30 and 31 of the Treaty Directive 2013/59/Euratom , including the principle that all exposures shall be kept as low as reasonably achievable, taking into account, as a priority, the protection of the health of the general public and considering economic and societal factors into account , particularly of the most vulnerable segments of society . In drawing up those acts, the Commission shall be assisted by an independent group of public health experts chosen on the basis of their knowledge and expertise in radiological protection and food safety (‘group of experts’). The Commission shall make public the composition of the group of experts and its members' declarations of interests . [Am. 38]

3a.     The implementing acts referred to in paragraphs 1 and 2 shall be adopted in line with the nature and scope of the radiation and shall be reviewed as many times as is necessary with regard to the manner in which the contamination develops. The Commission shall undertake to carry out the first review within one month at the latest following a nuclear accident or radiological emergency in order to modify, if necessary, the maximum permitted levels of radioactivity and the list of radionuclides. [Am. 39]

Article 4

1.   As soon as the Commission adopts an implementing Regulation act rendering applicable maximum permitted levels, food, or feed not in compliance with those maximum permitted levels shall not be placed on the market. [Am. 40]

The Commission shall put in place a nuclear liability regime that is to address the concerns of all the Member States which might be affected by a nuclear accident. That regime shall provide for appropriate compensation in case of nuclear accidents. [Am. 41]

For the purposes of applying this Regulation, food, or feed imported from third countries shall be considered to be placed on the market if, on the customs territory of the Union, they undergo it undergoes a customs procedure other than a transit procedure. [Am. 42]

Member States shall monitor compliance with the maximum permitted levels of radioactive contamination within their territories. For that purpose, Member States shall maintain a system of official controls for foodstuffs and feedingstuffs, and undertake other activities as appropriate in the circumstances, including public communication on food and feed safety and risks, in accordance with Article 17 of Regulation (EC) No 178/2002. [Am. 43]

2.   Each Member State shall provide the Commission with all information concerning the application of this Regulation, in particular concerning cases of non-compliance with the maximum permitted levels.:

(a)

the regular scheduling of checks on the maximum permitted levels on its national territory;

(b)

cases of non-compliance with the maximum permitted levels;

(c)

the identification of the national competent services in charge of the controls.

The Commission shall communicate provide such information to the other Member States in the shortest time possible .

Cases of non-compliance with the maximum permitted levels shall be notified via the rapid alert system referred to in Regulation (EC) No 178/2002.

The Commission shall impose penalties on Member States which themselves fail to impose penalties for the placing on the market or exportation of feed exceeding the maximum permitted levels of contamination. [Am. 44]

3.     Member States shall provide information to the public, mainly by means of an online service, about the maximum permitted levels, emergency situations and cases of non-compliance with the maximum permitted levels. The public shall also be notified about foodstuffs that could accumulate higher concentrations of radioactivity, and, in particular, about the product type, brand, origin and date of analysis. [Am. 45]

4.     The maximum permitted levels laid down in the annexes to this Regulation shall take into account the effect of the partial decay of radioactive isotopes during the shelf life of preserved foodstuffs. Depending on the type of contamination, for example contamination with iodine isotopes, the radioactivity of preserved foodstuffs shall be constantly monitored. [Am. 46]

5.     The Commission shall submit to the European Parliament and the Council, by 31 March 2017, a report on the appropriateness of a mechanism for compensating farmers whose foodstuffs have been contaminated beyond the maximum permitted levels of radioactive contamination and therefore cannot be placed on the market. Such a mechanism is to be based on the polluter-pays principle. The report shall, if appropriate, be accompanied by a legislative proposal setting up such a mechanism. [Am. 47]

Article 4a

1.     The Commission shall submit to the European Parliament and the Council, by 31 March 2017, a report on the pertinence of the maximum permitted levels of radioactive contamination set out in the Annexes.

2.     The report shall enable verification of whether the maximum permitted levels of radioactive contamination ensure that the limit on the effective dose for public exposure of 1 mSv/year is respected and result in thyroid doses sufficiently below the 10 mGy reference level recommended by the WHO for the administration of stable iodine to especially vulnerable groups.

3.     The report shall consider the possibility of reviewing the radionuclide classification and including tritium and carbon 14 in the Annexes to this Regulation. In assessing those maximum permitted levels, the report shall focus on the protection of the most vulnerable population groups, in particular children, and examine whether it would be appropriate to set maximum permitted levels for all categories of the population on that basis. [Am. 48]

Article 5

1.   The Commission shall be assisted by the Standing Committee on the Plants, Animals, Food Chain and Animal Health and Feed established by Article 58(1) of Regulation (EC) No 178/2002 of the European Parliament and of the Council  (15) . That committee shall be considered as a committee within the meaning of Regulation (EU) No 182/2011. [Am. 49]

2.   Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

3.   Where reference is made to this paragraph, Article 8 of Regulation (EU) No 182/2011, in conjunction with Article 5 thereof, shall apply.

Article 6

In order to ensure that the maximum permitted levels laid down in the Annexes I, II and III to this Regulation take account of any new or additional important data becoming available, in particular with regard to the latest scientific knowledge, adaptations to those Annexes shall be proposed by the Commission shall submit to the Parliament and the Council a report accompanied, where necessary, by a proposal to adapt those annexes and revise, if necessary, the list of radionuclides, after consultation of the group of experts referred to in Article 31 of the Treaty establishing the European Atomic Energy Community 3(3) . [Am. 50]

Article 6a

In the event of a nuclear accident or other cause of a radiological emergency leading to contamination of food and feed, the Commission shall submit a report to the European Parliament and the Council giving details of the measures taken in accordance with this Regulation and the information notified pursuant to Article 4(2). [Am. 51]

Article 7

Regulation (Euratom) No 3954/87, as amended by Regulation (Euratom) No 2218/1989, and Commission Regulations (Euratom) No 944/89 (16) and No 770/90 (17) are repealed.

References to the repealed Regulations shall be construed as references to this Regulation and shall be read in accordance with the correlation table in Annex V.

Article 8

This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at …,

For the European Parliament

The President

For the Council

The President


(1)  OJ C..p..

(2)  OJ C , , p. .

(3)  OJ C , , p. .

(4)  Position of the European Parliament of 9 July 2015 and position of the Council of … .

(5)  Council Directive 96/29/Euratom 2013/59/Euratom of 13 May 1996 5 December 2013 laying down basic safety standards for the protection of the health of workers and the general public against the dangers arising from ionising radiation (OJ L 159, 29.6.1996, p. 1.) , and repealing Directives 89/618/Euratom, 90/641/Euratom, 96/29/Euratom, 97/43/Euratom and 2003/122/Euratom (OJ L 13, 17.1.2014, p. 1).

(6)  Council Regulation (Euratom) No 3954/87 of 22 December 1987 laying down maximum permitted levels of radioactive contamination of foodstuffs and of feedingstuffs following a nuclear accident or any other case of radiological emergency (OJ L 371, 30.12.1987, p. 11).

(7)  Council Regulation (Euratom) No 2218/89 of 18 July 1989 amending Regulation (Euratom) No 3954/87 laying down maximum permitted levels of radioactive contamination of foodstuffs and of feedingstuffs following a nuclear accident or any other case of radiological emergency (OJ L 211, 22.7.1989, p. 1).

(8)  Council Decision 87/600/Euratom of 14 December 1987 on Community arrangements for the early exchange of information in the event of radiological emergency (OJ L 371, 30.12.1987, p. 76).

(9)   Regulation (EC) No 882/2004 of the European Parliament and of the Council of 29 April 2004 on official controls performed to ensure the verification of compliance with feed and food law, animal health and animal welfare rules (OJ L 165, 30.4.2004, p. 1).

(10)  Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by Member States of the Commission’s exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).

(11)   Regulation (EC) No 178/2002 of the European Parliament and of the Council of 28 January 2002 laying down the general principles and requirements of food law, establishing the European Food Safety Authority and laying down procedures in matters of food safety (OJ L 31, 1.2.2002, p. 1).

(12)  Directive 2001/83/EC of the European Parliament and of the Council of 6 November 2001 on the Community code relating to medicinal products for human use (OJ L 311, 28.11.2001, p. 67).

(13)  Regulation (EC) No 1223/2009 of the European Parliament and of the Council of 30 November 2009 on cosmetic products (OJ L 342, 22.12.2009, p. 59).

(14)  Directive 2001/37/EC of the European Parliament and of the Council of 5 June 2001 on the approximation of the laws, regulations and administrative provisions of the Member States concerning the manufacture, presentation and sale of tobacco products (OJ L 194, 18.7.2001, p. 26).

(15)  Regulation (EC) No 178/2002 of the European Parliament and of the Council of 28 January 2002 laying down the general principles and requirements of food law, establishing the European Food Safety Authority and laying down procedures in matters of food safety (OJ L 31, 1.2.2002, p. 1).

(16)  Commission Regulation (Euratom) No 944/89 of 12 April 1989 laying down maximum permitted levels of radioactive contamination in minor foodstuffs following a nuclear accident or any other case of radiological emergency (OJ L 101, 13.4.1989, p. 17).

(17)  Commission Regulation (Euratom) No 770/90 of 29 March 1990 laying down maximum permitted levels of radioactive contamination of feedingstuffs following a nuclear accident or any other case of radiological emergency (OJ L 83, 30.3.1990, p. 78).

ANNEX I

MAXIMUM PERMITTED LEVELS OF RADIOACTIVE CONTAMINATION OF FOOD

The maximum permitted levels to be applied to food shall be the following:

 

Food (Bq/kg)  (1)

Infant food (2)

Dairy produce (3)

Other food except minor food (4)

Liquid food (5)

Isotopes of strontium, notably Sr-90

75

125

750

125

Isotopes of iodine, notably I-131

150

500

2 000

500

Alpha-emitting isotopes of plutonium and transplutonium elements, notably Pu-239, Am-241

1

20

80

20

All other nuclides of half-life greater than 10 days, notably Cs-134, Cs-137 (6)

400

1 000

1 250

1 000


(1)  The level applicable to concentrated or dried products is calculated on the basis of the reconstituted product as ready for consumption. Member States may make recommendations concerning the diluting conditions in order to ensure that the maximum permitted levels laid down in this Regulation are observed.

(2)  Infant food is defined as those foodstuffs intended for the feeding of infants during the first twelve months of life, which meet, in themselves, the nutritional requirements of this category of person and are put up for retail sale in packages which are clearly identified and labelled under one of the following names: ‘infant formula’, ‘follow-on formula’‘infant milk’ and ‘follow-on milk’, in accordance with articles 11 and 12 of Commission Directive 2006/141/EC.

(3)  Dairy produce is defined as those products falling within the following CN codes including, where appropriate, any adjustments which might be made to them later: 0401, 0402 (except 0402 29 11).

(4)  Minor food and the corresponding levels to be applied to them are set out in Annex II.

(5)  Liquid food as defined in the heading 2009 and in chapter 22 of the combined nomenclature. Values are calculated taking into account consumption of tap-water and the same values should be applied to drinking water supplies.

(6)  Carbon 14, tritium and potassium 40 are not included in this group.

ANNEX II

MAXIMUM PERMITTED LEVELS OF RADIOACTIVE CONTAMINATION OF MINOR FOOD

1.   List of minor food

CN code

Description

0703 20 00

Garlic (fresh or chilled))

0709 59 50

Truffles (fresh or chilled)

0709 99 40

Capers (fresh or chilled)

0711 90 70

Capers (provisionally preserved, but unsuitable in that state for immediate consumption)

ex 0712 39 00

Truffles (dried, whole, cut, sliced, broken or in powder, but not further prepared)

0714

Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar roots and tubers with high starch or inulin content, fresh, chilled, frozen or dried, whether or not sliced or in the form of pellets; sago pith

0814 00 00

Peel of citrus fruit or melons (including watermelons), fresh, frozen, dried or provisionally preserved in brine, in sulphur water or in other preservative solutions

0903 00 00

Maté

0904

Pepper of the genus Piper ; dried or crushed or ground fruits of the genus Capsicum or of the genus Pimenta

0905 00 00

Vanilla

0906

Cinnamon and cinnamon-tree flowers

0907 00 00

Cloves (whole fruit, cloves and stems)

0908

Nutmeg, mace and cardamons

0909

Seeds of anise, badian, fennel, coriander, cumin or caraway; juniper berries

0910

Ginger, saffron, turmeric (curcuma), thyme, bay leaves, curry and other spices

1106 20

Flour, meal and powder of sago or of roots or tubers of heading No 0714

1108 14 00

Manioc (cassava) starch

1210

Hop cones, fresh or dried, whether or not ground, powdered or in the form of pellets; lupulin

1211

Plants and parts of plants (including seeds and fruits), of a kind used primarily in perfumery, in pharmacy or for insecticidal, fungicidal or similar purposes, fresh or dried, whether or not cut, crushed or powdered

1301

Lac; natural gums, resins, gum-resins and oleoresins (for example, balsams)

1302

Vegetable saps and extracts; pectic substances, pectinates and pectates; agar-agar and other mucilages and thickeners, whether or not modified, derived from vegetable products

1504

Fats and oils and their fractions, of fish or marine mammals, whether or not refined, but not chemically modified

1604 31 00

1604 32 00

Caviar

Caviar substitutes

1801 00 00

Cocoa beans, whole or broken, raw or roasted

1802 00 00

Cocoa shells, husks, skins and other cocoa waste

1803

Cocoa paste, whether or not defatted

2003 90 10

Truffles (prepared or preserved otherwise than by vinegar or acetic acid)

2006 00

Vegetables, fruit, nuts, fruit-peel and other parts of plants, preserved by sugar (drained, glacé or crystallized)

2102

Yeasts (active or inactive); other single-cell micro-organisms, dead (but not including vaccines of heading No 3002); prepared baking powders

2936

Provitamins and vitamins, natural or reproduced by synthesis (including natural concentrates), derivatives thereof used primarily as vitamins, and intermixtures of the foregoing, whether or not in any solvent

3301

Essential oils (terpeneless or not), including concretes and absolutes; resinoids; extracted oleoresins; concentrates of essential oils in fats, in fixed oils, in waxes or the like, obtained by enfleurage or maceration; terpenic by-products of the deterpenation of essential oils; aqueous distillates and aqueous solutions of essential oils

2.   The maximum permitted levels to be applied to the minor food as listed in paragraph 1, shall be the following

 

(Bq/kg)

Isotopes of strontium, notably Sr-90

7500

Isotopes of iodine, notably I-131

20000

Alpha-emitting isotopes of plutonium and transplutonium elements, notably Pu-239, Am-241

800

All other nuclides of half-life greater than 10 days, notably Cs-134, Cs-137  (1)

12500

[Am. 57]


(1)  Carbon 14, tritium and potassium 40 are not included in this group.

ANNEX III

MAXIMUM PERMITTED LEVELS OF RADIACTIVE CONTAMINATION OF FEED

The maximum permitted levels for caesium-134 and caesium-137 shall be the following:

Animal

Bq/kg (1), (2)

Pigs

1 250

Poultry, lambs, calves

2 500

Other

5 000


(1)  These levels are intended to contribute to the observance of the maximum permitted levels for food; they do not alone guarantee such observance in all circumstances and do not lessen the requirement for monitoring contamination levels in animal products destined for human consumption.

(2)  These levels apply to feed as ready for consumption.

ANNEX IV

Repealed regulations

Council Regulation (Euratom) No 3954/87

(OJ L 371, 30.12.1987, p. 11)

Council Regulation (Euratom) No 2218/89

(OJ L 211, 22.7.1989, p. 1)

Commission Regulation (Euratom) No 944/89

(OJ L 101, 13.4.1989, p. 17)

Commission Regulation (Euratom) No 770/90

(OJ L 83, 30.3.1990, p. 78)

ANNEX V

CORRELATION TABLE

Regulation (Euratom) No 3954/87

Regulation (Euratom) No 944/89

Regulation (Euratom) No 770/90

This Regulation

Article 1(1)

 

 

Article 1

 

Article 1

 

Article 1

Article 1(2)

 

 

Article 2

Article 2(1)

 

 

Article 3(1) and 3(2)

Article 2(2)

 

 

Article 3(1)

 

 

Article 3(2)

 

 

Article 3(3)

Article 3(3) and (4)

 

 

Article 4

 

 

Article 5(1)

 

 

Article 6

Article 5(2)

 

 

Article 6(1)

 

 

Article 4(1)

Article 6(2)

 

 

Article 4(2)

 

Article 2

 

Annex II(2)

---

---

Article 1

---

Annex III

Article 5

Article 7

 

 

---

---

---

Article 7

Article 8

 

 

Article 8

Annex

 

 

Annex I

 

Annex

 

Annex II(1)

 

 

Annex

Annex III

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---

---

Annex IV

---

---

---

Annex V