—

having regard to Articles 6 and 165 of the Treaty on the Functioning of the European Union (TFEU), which specify the competences and actions of the Union in the area of sport, in particular the promotion of European sporting issues, while taking account of the specific nature of sport, its structures based on voluntary activity and its social and educational function,

—

having regard to the United Nations 2030 Agenda for Sustainable Development and its 17 Sustainable Development Goals (SDGs), and in particular the role of sport as an important enabler of sustainable development and the contributions it makes to peace, to the promotion of tolerance and respect, and to the empowerment of women and of young people, individuals and communities, as well as to health, education and social inclusion objectives (1),

—

having regard to Regulation (EU) 2021/817 of the European Parliament and of the Council of 20 May 2021 establishing Erasmus+: the Union Programme for education and training, youth and sport and repealing Regulation (EU) No 1288/2013 (2), and in particular to the sport chapter thereof,

—

having regard to the Commission white paper of 11 July 2007 on sport (COM(2007)0391),

—

having regard to the Commission communication of 18 January 2011 entitled ‘Developing the European Dimension in Sport’ (COM(2011)0012),

—

having regard to the Commission communication of 7 July 2020 on the implementation and relevance of the European Union Work Plan for Sport 2017-2020 (COM(2020)0293), and in particular its recommendations for the future,

—

having regard to the Commission communication of 3 March 2021 entitled ‘Union of Equality: Strategy for the Rights of Persons with Disabilities 2021-2030’ (COM(2021)0101),

—

having regard to the EU guidelines of 16 November 2012 entitled ‘Dual Careers of Athletes — Recommended Policy Actions in Support of Dual Careers in High-Performance Sport’,

—

having regard to its resolution of 2 February 2012 on the European dimension in sport (3),

—

having regard to its resolution of 14 March 2013 on match-fixing and corruption in sport (4),

—

having regard to its resolution of 11 June 2015 on recent revelations on high-level corruption cases in FIFA (5),

—

having regard to its resolution of 2 February 2017 on an integrated approach to Sport Policy: good governance, accessibility and integrity (6),

—

having regard to its resolution of 15 September 2020 on effective measures to ‘green’ Erasmus+, Creative Europe and the European Solidarity Corps (7),

—

having regard to its resolution of 10 February 2021 on the impact of COVID-19 on youth and on sport (8),

—

having regard to its resolution of 19 May 2021 with recommendations to the Commission on challenges of sports events organisers in the digital environment (9),

—

having regard to the resolution of the Council and of the representatives of the governments of the Member States meeting within the Council on the European Union Work Plan for Sport (1 January 2021-30 June 2024) (10), in particular its priority areas,

—

having regard to the conclusions of the Council and of the representatives of the governments of the Member States meeting within the Council on combating corruption in sport (11),

—

having regard to the conclusions of the Council and of the representatives of the governments of the Member States meeting within the Council on access to sport for persons with disabilities (12),

—

having regard to the conclusions of the Council and of the representatives of the governments of the Member States meeting within the Council on the impact of the COVID-19 pandemic and the recovery of the sport sector (13),

—

having regard to the conclusions of the Council and of the representatives of the governments of the Member States meeting within the Council on empowering coaches by enhancing opportunities to acquire skills and competences (14),

—

having regard to the conclusions of the Council and of the representatives of the governments of the Member States meeting within the Council on sport innovation (15),

—

having regard to the Council of Europe Convention of 16 November 1989 on anti-doping,

—

having regard to the Council of Europe Convention of 18 September 2014 on the manipulation of sports competitions,

—

having regard to the Council of Europe Convention of 3 July 2016 on an integrated safety, security and service approach at football matches and other sports events,

—

having regard to the Code of Sports Ethics, as revised on 16 May 2001, and to the European Sports Charter of the Council of Europe, as revised on 13 October 2021,

—

having regard to the UNESCO International Convention of 19 October 2005 against doping in sport,

—

having regard to its study of June 2021 entitled ‘EU sports policy: assessment and possible ways forward’ (16),

—

having regard to the final report of Ecorys, KEA and Sport and Citizenship to the DG Education and Culture of the European Commission of June 2016 entitled ‘Mapping and analysis of the specificity of sport’,

—

having regard to the report of Ecorys and SportsEconAustria to the European Commission of 2020 entitled ‘Mapping study on measuring the economic impact of COVID-19 on the sport sector in the EU’,

—

having regard to Rule 54 of its Rules of Procedure,

—

having regard to the report of the Committee on Culture and Education (A9-0318/2021),

A.

whereas sport plays a key role in the social, cultural and educational life of European citizens and promotes values such as democracy, respect, solidarity, diversity and equality;

B.

whereas sport serves as a vector for integration, especially for people with fewer opportunities;

C.

whereas sport must be inclusive and open to all regardless of age, gender, disability or cultural and socioeconomic background;

D.

whereas sport is a growing economic sector contributing to growth and jobs in the EU and therefore to its prosperity;

E.

whereas sport contributes to strengthening European integration and to the EU’s position in international cooperation;

F.

whereas COVID-19 has had an adverse economic and social impact on the sport sector;

G.

whereas the EU should aim to further develop the European dimension of sport while respecting its specific nature and autonomy;

H.

whereas EU sports policy must support both elite and grassroots sports, including forms of active leisure;

I.

whereas grassroots sport contributes to the development of skills among young people and promotes civic participation through volunteering;

J.

whereas young athletes face the challenge of reconciling their sports careers, their training and professional activities;

K.

whereas sport has a positive impact on citizens’ health and wellbeing;

L.

whereas the development of sports infrastructure is an important element in improving quality of life and economic opportunities in remote and disadvantaged areas;

M.

whereas sport faces a range of challenges such as governance issues, corruption, match-fixing, doping, financing, digital piracy, purely profit-based models, human rights violations, discrimination and violence, and environmental impacts and sustainability concerns;

N.

whereas women still are underrepresented in sport, both in governing bodies and in the media sphere;

O.

whereas illegal streaming of live sports events threatens the financial stability of both professional and grassroots sports, which depend on the revenues from sport broadcasting rights;

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

40.

41.

42.

43.

44.

45.

46.

47.

48.

49.

50.

51.

52.

53.

54.

55.

56.

57.

58.

59.

60.

61.

62.

63.

64.

65.

66.

67.

68.

69.

70.

71.

72.

73.

74.

75.

76.

77.

78.

79.

80.

81.

82.

83.

84.

85.

86.

87.

88.

89.

90.

91.

92.

93.

94.

—

having regard to Article 225 of the Treaty on the Functioning of the European Union,

—

having regard to Articles 322(1) and 325 of the Treaty on the Functioning of the European Union,

—

having regard to Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018 on the financial rules applicable to the general budget of the Union, amending Regulations (EU) No 1296/2013, (EU) No 1301/2013, (EU) No 1303/2013, (EU) No 1304/2013, (EU) No 1309/2013, (EU) No 1316/2013, (EU) No 223/2014, (EU) No 283/2014, and Decision No 541/2014/EU and repealing Regulation (EU, Euratom) No 966/2012 (Financial Regulation) (1),

—

having regard to Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC (General Data Protection Regulation) (2),

—

having regard to Directive (EU) 2017/1371 of the European Parliament and of the Council of 5 July 2017 on the fight against fraud to the Union’s financial interests by means of criminal law (PIF Directive) (3),

—

having regard to Directive (EU) 2018/843 of the European Parliament and the Council of 30 May 2018 amending Directive (EU) 2015/849 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, and amending Directives 2009/138/EC and 2013/36/EU (Anti Money Laundering Directive) (4),

—

having regard to Article 22(4) of Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021 establishing the Recovery and Resilience Facility (5),

—

having regard to the Joint Declaration by the European Parliament and the Commission on data collection for effective controls and audits (6),

—

having regard to the Interinstitutional Agreement of 16 December 2020 between the European Parliament, the Council of the European Union and the European Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, as well as on new own resources, including a roadmap towards the introduction of new own resources,

—

having regard to its resolution of 14 May 2020 with observations forming an integral part of the decisions on discharge in respect of the implementation of the general budget of the European Union for the financial year 2018, Section III — Commission and executive agencies (7),

—

having regard to its resolution of 29 April 2021 with observations forming an integral part of the decisions on discharge in respect of the implementation of the general budget of the European Union for the financial year 2019, Section III — Commission and executive agencies (8),

—

having regard to paragraph 24 of the European Council conclusions of 17 to 21 July 2020 on the Multiannual Financial Framework 2021-2027,

—

having regard to the Court of Justice’s statement in the joined cases C-465/00, C-138/01 and C-139/01 Österreichischer Rundfunk (9) that ‘in a democratic society, taxpayers and public opinion generally have the right to be kept informed of the use of public revenues.’,

—

having regard to the study carried out by the Policy Department for Budgetary Affairs, as requested by the Committee on Budgetary Control, entitled ‘The Largest 50 Beneficiaries in each EU Member State of CAP and Cohesion Funds’,

—

having regard to the European added value assessment study carried out by the European Parliamentary Research Service, entitled ‘Digitalisation of the European reporting, monitoring and audit’,

—

having regards to the Court of Auditors' Special Report No 4/2020: Using new imaging technologies to monitor the Common Agricultural Policy: steady progress overall, but slower for climate and environment monitoring,

—

having regard to Rules 47 and 54 of its Rules of Procedure,

—

having regard to the report of the Committee on Budgetary Control (A9-0311/2021),

A.

whereas in accordance with Article 15 of the Treaty on the Functioning of the European Union the Union’s institutions, bodies, offices and agencies shall conduct their work as openly as possible;

B.

whereas with regard to budget implementation, the application of that principle implies that European citizens should know where, and for what purpose, funds are spent by the Union; notes that the number of off-budget instruments continues to grow, considers that the instruments such as Next Generation EU underlie the direct management of the Commission; highlights that Parliament needs to fulfil its mandate in decision-making, scrutiny and discharge functions; requests that the Financial Regulation is updated, allowing Parliament to fulfil its mandate in controlling these new mechanisms; stresses that this is particularly important in the context of the digitalisation of the European reporting, monitoring and audit;

C.

whereas public knowledge and full transparency about the spending of Union funds is essential for the acceptance of this spending and is also crucial in order to ensure accountability, credibility and ensure better control of spending including the avoidance of misuse, corruption, fraud and of conflicts of interests;

D.

whereas Article 38 of the Financial Regulation lays down the current rules for the publication of information on recipients and other information;

E.

whereas differences in implementation of these rules have led to a situation where there is currently one reporting system for CAP in each Member State and more than 250 reporting systems under the structural and cohesion policies in Member States;

F.

whereas there are currently major differences in how these systems are designed, how they work and how to retrieve and share information from them;

G.

whereas fragmentation of data makes the identification of final beneficiaries extremely difficult, if not impossible, for direct, indirect or shared management Union funds;

H.

whereas there are many systems that do not include unique identification numbers for natural persons and companies;

I.

whereas for companies the current systems in most cases do not contain information about the owner or owners of the companies, and their beneficial owners; whereas digitalisation of the European reporting, monitoring and audit is the most useful instrument to avoid disinformation if non-sensitive information is publicly available;

J.

whereas Parliament has asked the Commission several times to provide information concerning the 50 largest beneficiaries of CAP and structural funds in each Member State but has so far been receiving incomplete and unsatisfactory replies;

K.

whereas Parliament initiated a study in 2020 with a view to identifying the 50 largest beneficiaries of CAP and structural funds in each Member State based on publicly available information, which has provided interesting findings but also has illustrated how it remains difficult to clearly identify many final beneficiaries;

L.

whereas the current situation makes it de facto impossible for anybody to get an overview about how much money final beneficiaries get from the CAP and from the structural and cohesion policies;

M.

whereas the Court of Auditors' findings presented during the public hearing of the 2 September 2021 in CONT showed a clear need to improve transparency of the existing system of the oversight of Union funds;

N.

whereas some companies and natural persons operate in more than one Member State and, therefore, receive Union subsidies in several Member States, and given that company structures can be highly complex and opaque, the Commission is unable to keep track of the total amount of money accumulated by each of these multinational companies;

O.

whereas the European Council, in connection with the agreement among Heads of State and Government on the MFF 2021-2027 on 17-21 July 2020 in paragraph 24 of their conclusions, acknowledged the need for more information about final beneficiaries of Union funding for the purposes of control and audit;

P.

whereas all these factors illustrate that there is an urgent need to create a single, transparent and easy-to-use standardised, and to the extent possible based on open-source principles, Union-wide interoperable digital system for Member States’ implementing authorities to report on the beneficiaries of CAP and structural and cohesion policy funds and all the other funds in order to enable national control and audit authorities, OLAF and EPPO and other Union institutions and bodies, to obtain complete and reliable information with regard to the identity of final beneficiaries, how much they receive and from which funds;

Q.

whereas the public should have access to information on the direct and final beneficiaries of Union funds to the greatest extend possible in line with applicable data protection rules and the standing jurisprudence of the Court of Justice of the European Union (CJEU) on the publication of data on beneficiaries of Union funds;

R.

whereas such a system should ensure data format harmonisation, be machine readable, contain unique identification numbers, include search and sort functions and be interoperable so that data can be aggregated not only in respect of one policy or fund but across all policies, funds and Member States and should concern direct, indirect and also shared management;

S.

whereas such a system should be developed by the Commission in order to ensure the full interoperability, including automatic translation of the main elements of the system and ensure the swiftest possible implementation of such a system across all Member States, policies and funds;

T.

whereas such a system must be developed in conjunction with the highest level of cyber security in order to avoid any cyber attacks or attempted cyber attacks on that system used in all Member States;

U.

whereas the Union budget should finance the development of such a system, and should be made available to Member States and regional authorities in charge of running and maintaining such reporting systems, as well as for journalist, civil society representatives and the general public, together with training courses for officials in charge of the daily operation of the systems;

V.

whereas the reporting systems for CAP and structural and cohesion policies cannot realistically be constantly updated with the most recent information about company ownership and thereby ultimate beneficiaries, the systems should therefore be automatically linked to public company databases and common databases about ultimate beneficiaries;

W.

whereas public entities are often the direct recipients of funds from CAP or structural funds which are then paid to other recipients as part of a specific program implementation; whereas in such situations the public entity should also be obliged to report about who the final recipients of the money have been; whereas the digital system should include interoperability inter alia with internal systems of relevant national bodies and authorities, management and paying authorities, as well as national public procurement and tender databases;

X.

whereas such an interoperable system should respect GDPR rules and reasonable ‘de minimis rules’ for the publication of data;

Y.

whereas data on recipients of funds from CAP and structural and cohesion funds should be available to the public for a minimum period of five years;

Z.

whereas rules on the publication of data concerning beneficiaries of funds from shared management policies should as far as possible be harmonised with rules concerning beneficiaries of funds in direct management; whereas satellite data should be used more frequently and better use should be made of it, removing the obstacles currently hampering the wide use of new technologies by paying agencies (10);

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

40.

41.

—

having regard to the Treaty on the Functioning of the European Union (TFEU), in particular Articles 9, 151, 152, 153(1) and (2), Article 173, which concerns EU industrial policy and refers, among other things, to the competitiveness of EU industry, and Article 208, which reaffirms that the EU must take account of the objectives of development cooperation in the policies that it implements which are likely to affect developing countries,

—

having regard to the Treaty on European Union (TEU), in particular Article 3(3), which refers to the internal market, sustainable development and the social market economy, and Article 5(3), which refers to the principle of subsidiarity,

—

having regard to Protocol No 2 on the application of the principles of subsidiarity and proportionality, annexed to the TEU and the TFEU,

—

having regard to Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment (1) (the Taxonomy Regulation),

—

having regard to Regulation (EC) No 1013/2006 of the European Parliament and of the Council of 14 June 2006 on shipments of waste (2) (the Waste Shipment Regulation),

—

having regard to Regulation (EU) 2017/821 of the European Parliament and of the Council of 17 May 2017 laying down supply chain due diligence obligations for Union importers of tin, tantalum and tungsten, their ores, and gold originating from conflict-affected and high-risk areas (3) (the Conflict Minerals Regulation),

—

having regard to Regulation (EU) 2016/1037 of the European Parliament and of the Council of 8 June 2016 on protection against subsidised imports from countries not members of the European Union (4) (the EU Anti-Subsidy Regulation),

—

having regard to Directive 2012/19/EU of the European Parliament and of the Council of 4 July 2012 on waste electrical and electronic equipment (WEEE) (5),

—

having regard to Directive 2008/98/EC of the European Parliament and of the Council of 19 November 2008 on waste (6) (the Waste Framework Directive),

—

having regard to Directive 2006/21/EC of the European Parliament and of the Council of 15 March 2006 on the management of waste from extractive industries and amending Directive 2004/35/EC (7) (the Mining Waste Directive),

—

having regard to Directive 2010/75/EU of the European Parliament and of the Council of 24 November 2010 on industrial emissions (8) (the Industrial Emissions Directive),

—

having regard to Directive 2014/52/EU of the European Parliament and of the Council of 16 April 2014 amending Directive 2011/92/EU on the assessment of the effects of certain public and private projects on the environment (9) (the Environmental Impact Assessment Directive),

—

having regard to Directive 2009/147/EC of the European Parliament and of the Council of 30 November 2009 on the conservation of wild birds (10) (the Birds Directive),

—

having regard to Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats and of wild fauna and flora (11) (the Habitats Directive),

—

having regard to Directive 2014/95/EU of the European Parliament and of the Council of 22 October 2014 amending Directive 2013/34/EU as regards disclosure of non-financial and diversity information by certain large undertakings and groups (12) (the Non-Financial Reporting Directive),

—

having regard to the agreement adopted at the 21st Conference of the Parties to the United Nations Framework Convention on Climate Change (COP21) in Paris on 12 December 2015 (the Paris Agreement),

—

having regard to the UN 2030 Agenda for Sustainable Development and to the Sustainable Development Goals (SDGs), including SDG 12 on responsible consumption and production and SDG 15 on life on land,

—

having regard to the European Pillar of Social Rights,

—

having regard to the UN Guiding Principles on business and human rights,

—

having regard to the OECD Due Diligence Guidance for Responsible Business Conduct,

—

having regard to the 2009 UN Environment Programme Guidelines for Social Life Cycle Assessment of Products,

—

having regard to the International Energy Agency (IEA) special report of May 2021 entitled ‘The Role of Critical Minerals in Clean Energy Transitions’,

—

having regard to the IEA special report of May 2021 entitled ‘Net zero by 2050: A Roadmap for the Global Energy Sector’,

—

having regard to the European Environment Agency briefing of 13 January 2021 entitled ‘Growth without economic growth’,

—

having regard to the European Environmental Agency report of 30 August 2021 entitled ‘Improving the climate impact of raw material sourcing’,

—

having regard to the opinion of the European Economic and Social Committee (EESC) of 25 March 2021 entitled ‘Critical Raw Materials Resilience: Charting a Path towards greater Security and Sustainability’,

—

having regard to the Commission’s final report of September 2020 entitled ‘Study on the EU’s list of Critical Raw Materials (2020)’, and the accompanying fact sheets on critical raw materials,

—

having regard to the Commission’s foresight study of 3 September 2020 entitled ‘Critical Raw Materials for Strategic Technologies and Sectors in the EU’,

—

having regard to the Commission report of 5 November 2018 entitled ‘Report on critical raw materials and the circular economy’,

—

having regard to its resolution of 10 March 2021 with recommendations to the Commission on corporate due diligence and corporate accountability (13),

—

having regard to its resolution of 16 December 2020 on a new strategy for European SMEs (14),

—

having regard to its resolution of 25 November 2020 on a New Industrial Strategy for Europe (15),

—

having regard to its resolution of 10 February 2021 on the New Circular Economy Action Plan (16),

—

having regard to its resolution of 17 April 2020 on EU coordinated action to combat the COVID-19 pandemic and its consequences (17),

—

having regard to its resolution of 15 January 2020 on the European Green Deal (18),

—

having regard to its resolution of 25 March 2021 entitled ‘A new EU-Africa Strategy — a partnership for sustainable and inclusive development’ (19),

—

having regard to its resolution of 27 April 2017 on implementation of the Mining Waste Directive (20),

—

having regard to the Commission proposal of 10 December 2020 for a regulation of the European Parliament and of the Council concerning batteries and waste batteries, repealing Directive 2006/66/EC and amending Regulation (EU) 2019/1020 (COM(2020)0798),

—

having regard to the Commission communication of 3 September 2020 entitled ‘Critical Raw Materials Resilience: Charting a Path towards greater Security and Sustainability’ (COM(2020)0474),

—

having regard to the Commission communication of 5 May 2021 entitled ‘Updating the 2020 New Industrial Strategy: Building a stronger single market for Europe’s recovery’ (COM(2021)0350),

—

having regard to the Commission communication of 19 October 2020 entitled ‘Commission Work Programme 2021 — A Union of vitality in a world of fragility’ (COM(2020)0690),

—

having regard to the Commission communication of 27 May 2020 entitled ‘Europe’s moment: Repair and Prepare for the Next Generation’ (COM(2020)0456),

—

having regard to the Commission communication of 11 March 2020 entitled ‘A new Circular Economy Action Plan — For a cleaner and more competitive Europe’ (COM(2020)0098), and the staff working document of 11 March 2020 entitled ‘Leading the way to a global circular economy: state of play and outlook’ (SWD(2020)0100),

—

having regard to the Commission communication of 2 December 2015 entitled ‘Closing the loop — An EU action plan for the Circular Economy’ (COM(2015)0614),

—

having regard to the Commission communication of 10 March 2020 entitled ‘An SME Strategy for a sustainable and digital Europe’ (COM(2020)0103),

—

having regard to the Commission communication of 18 February 2021 entitled ‘Trade Policy Review — An Open, Sustainable and Assertive Trade Policy’ (COM(2021)0066),

—

having regard to OECD publication of 12 February 2019 entitled ‘Global Material Resources Outlook to 2060: Economic Drivers and Environmental Consequences’,

—

having regard to World Bank publication of 2020 entitled ‘Minerals for Climate Action: The Mineral Intensity of the Clean Energy Transition’,

—

having regard to the Council conclusions of 17 December 2020 on making the recovery circular and green,

—

having regard to the Council conclusions of 16 November 2020 entitled ‘A recovery advancing the transition towards a more dynamic, resilient and competitive European industry’,

—

having regard to the Council conclusions of 28 November 2019 on ‘Circular Economy in the Construction Sector’,

—

having regard to the Council conclusions of 4 October 2019 entitled ‘More circularity — Transition to a sustainable society’,

—

having regard to Rule 54 of its Rules of Procedure,

—

having regard to the opinions of the Committee on the Environment, Public Health and Food Safety and the Committee on International Trade,

—

having regard to the report of the Committee on Industry, Research and Energy (A9-0280/2021),

A.

whereas critical raw materials (CRMs) are the originators of industrial value creation and therefore have a significant effect on downstream sectors; whereas it is of strategic importance that the EU reduces its dependency, safeguards its flows, value and supply chains, and supports, fosters and digitalises ecosystems since this is the new core capacity in international (industrial) competition; whereas a comprehensive CRM strategy should incorporate high environmental and societal standards;

B.

whereas the growing population and the transition towards digital, highly energy-efficient and climate-neutral economies lead in all scenarios to significantly higher demand for CRMs (21);

C.

whereas technologies requiring CRMs will be key to ensuring the EU and the world as a whole can achieve their goals under the Paris Agreement;

D.

whereas a comprehensive EU CRM strategy should be based on high environmental, social and human rights standards, also taking into account natural mineral scarcity;

E.

whereas the EU currently provides only 1 % of the raw materials for wind energy, less than 1 % of lithium batteries, less than 1 % of fuel cells, only 2 % of the raw materials relevant to robotics and only 1 % of silicon-based photovoltaic assemblies (22);

F.

whereas the Commission communication on updating the 2020 new industrial strategy identifies 137 products and raw materials (representing 6 % of the total value of goods imported into the EU) used in sensitive ecosystems on which the EU is highly dependent — mainly in energy-intensive industries and health ecosystems — as well as other products needed to support the green and digital transition; whereas 52 % of these products are imported from the People’s Republic of China;

G.

whereas COVID-19 negatively affected global supply chains and led to CRM shortages in Europe;

H.

whereas one of the great challenges concerning CRMs in Europe is recycling; whereas the CRM recycling sector has significant job creation potential; whereas it is estimated that the traction battery recycling sector alone will create about 10 500 jobs by 2035 in the EU;

I.

whereas recycling, substitution and changing behavioural and consumption patterns have the potential to flatten CRM demand;

J.

whereas according to the United Nations University, in 2016, the total value of secondary raw materials in WEEE was estimated to be around EUR 55 billion (23); whereas, according to the same study, up to 90 % of the world’s e-waste has been illegally traded or landfilled;

K.

whereas it is evident that — also with regard to envisaged new due diligence obligations — new sustainable sourcing is required and that the potential to source materials at high sustainability standards in the EU and its neighbourhood should be exploited, while fully taking into account circular economy options such as recycling, product design, substitution and reduced use of materials;

L.

whereas the EESC opinion of 25 March 2021‘emphasises the importance of widening the definition and the paradigm of critical raw materials. Conventionally, critical raw materials have been understood as materials coming mainly from mining sector. This is too narrow scope and limits the growth of green energies. Today, wood-based materials can be efficiently used in much more applications than in the past. From textiles to new lighter and more environmentally friendly battery technologies, this is an area that is advancing with great speed. Bioeconomy has the unique possibilities of adding resilience to the EU economy and geopolitical stability for our continent. Using renewable materials would simultaneously also help mitigate climate change as it allows keeping the fossil emissions in the ground, creating green resilience to fossil sectors’;

M.

whereas, as pointed out in the opinion, ‘there are extremely few examples of raw material exports in developing countries triggering sustainable economic and social development from which broad sections of the population would have benefited. Rather, the situation often entails social exploitation and environmental pollution with usually only a few profiteers on the winning side’;

N.

whereas the supply of many CRMs is highly concentrated outside the EU, with China providing 98 % of the EU’s supply of rare earth elements (REE), Turkey providing 98 % of its supply of borate, and South Africa providing 71 % of its platinum, 92 % of its iridium, 80 % of its rhodium and 93 % of its ruthenium’ (24);

O.

whereas future scenarios indicate that for electric vehicle batteries and energy storage, the EU will need up to 18 times more lithium and five times more cobalt in 2030, and almost 60 times more lithium and 15 times more cobalt in 2050, compared to the current supply to the whole EU economy (25);

P.

whereas four sustainable lithium mining projects totalling EUR 2 billion are under way in the EU and should be in operation between 2022 and 2024; whereas they are expected to cover up to 80 % of the EU’s lithium needs in the battery sector by 2025, thus contributing directly to our strategic autonomy;

Q.

whereas shortages of CRMs are leading to increasing industrial and security concerns, especially owing to the predicted exponential increase in production, especially the production of batteries, which are essential for the transition to producing energy from renewable sources;

R.

whereas the EU needs to improve its strategic autonomy in key areas such as CRM supply, which is also crucial for increasing its capacity in defence and space matters;

S.

whereas considering that the EU will continue to rely on international supply chains to fulfil its needs for CRMs, measures to make global trade markets more transparent, effective and predictable will also play an important role;

T.

whereas the raw materials sector provides around 350 000 jobs in the EU, and more than 30 million jobs in downstream manufacturing industries that depend on it (26); whereas moving towards a more circular economy could bring a net increase of 700 000 jobs in the EU by 2030 (27);

U.

whereas mining activities potentially expose workers to harmful and hazardous conditions; whereas labour rights and protection vary greatly across the globe and at different mining sites;

V.

whereas CRMs do not appear separately, but are mixed in ore with base metals, and whereas their processing require a considerable amount of energy; whereas competitiveness and profitability of production is therefore determined by the availability of stable and affordable energy, as well as the identification and development of relevant methods, procedures and technologies;

W.

whereas in its report entitled ‘Growth without economic growth’, the European Environment Agency says that economic growth is closely linked to increased production, consumption and use of resources, with negative effects on nature, climate and human health and that current research suggests that it is unlikely economic growth can be completely divorced from its environmental impacts;

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

40.

41.

42.

43.

44.

45.

46.

47.

48.

49.

50.

51.

52.

53.

54.

55.

56.

57.

58.

59.

60.

61.

62.

63.

64.

65.

66.

67.

68.

69.

70.

71.

72.

73.

74.

75.

76.

77.

78.

79.

80.

81.

82.

—

having regard to Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018 on the financial rules applicable to the general budget of the Union, amending Regulations (EU) No 1296/2013, (EU) No 1301/2013, (EU) No 1303/2013, (EU) No 1304/2013, (EU) No 1309/2013, (EU) No 1316/2013, (EU) No 223/2014, (EU) No 283/2014, and Decision No 541/2014/EU and repealing Regulation (EU, Euratom) No 966/2012 (1) (‘the Financial Regulation’),

—

having regard to Council Regulation (EU, Euratom) 2020/2093 of 17 December 2020 laying down the multiannual financial framework for the years 2021 to 2027 (2),

—

having regard to Council Decision (EU, Euratom) 2020/2053 of 14 December 2020 on the system of own resources of the European Union and repealing Decision 2014/335/EU, Euratom (3),

—

having regard to Council Regulation (EU) 2020/2094 of 14 December 2020 establishing a European Union Recovery Instrument to support the recovery in the aftermath of the COVID-19 crisis (4),

—

having regard to Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council of 16 December 2020 on a general regime of conditionality for the protection of the Union budget (5) (‘the Conditionality Regulation’),

—

having regard to Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021 establishing the Recovery and Resilience Facility (6),

—

having regard to the Interinstitutional Agreement between the European Parliament, the Council of the European Union and the European Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, as well as on new own resources, including a roadmap towards the introduction of new own resources (7) (‘the IIA’),

—

having regard to the Joint Declaration of the European Parliament, the Council and the Commission on reassessing the external assigned revenue and borrowing and lending provisions in the Financial Regulation (8) (‘the Joint Declaration’),

—

having regard to the roadmap for a targeted revision of the Financial Regulation published by the Commission on 19 March 2021,

—

having regard to its resolution of 17 December 2020 on the Multiannual Financial Framework 2021-2027, the Interinstitutional Agreement, the EU Recovery Instrument and the Rule of Law Regulation (9),

—

having regard to its resolution of 25 March 2021 on the application of Regulation (EU, Euratom) 2020/2092, the rule-of-law conditionality mechanism (10),

—

having regard to its resolution of 10 June 2021 on the rule of law situation in the European Union and the application of the Conditionality Regulation (EU, Euratom) 2020/2092 (11),

—

having regard to its motion for a resolution of 27 May 2021 on the review of the Financial Regulation and the Commission’s guidelines on public procurement for policy-related service contracts,

—

having regard to the Commission notice of 9 April 2021 on guidance on the avoidance and management of conflicts of interest under the Financial Regulation (12),

—

having regard to the 2030 Agenda for Sustainable Development, adopted in September 2015 and in force since 1 January 2016,

—

having regard to the Commission communication of 10 March 2020 on an SME strategy for a sustainable and digital Europe (COM(2020)0103),

—

having regard to the Commission communication of 5 May 2021 entitled ‘Updating the 2020 New Industry Strategy: Building a stronger Single Market for Europe's recovery’ (COM(2021)0350),

—

having regard to the Commission communication of 29 April 2021 entitled ‘Better regulation: Joining forces to make better laws’ (COM(2021)0219),

—

having regard to the study requested by its Committee on Budgetary Control and drawn up by the Policy Department for Budgetary Affairs of its Directorate-General for Internal Policies in May 2021 on the largest 50 beneficiaries in each EU Member State of common agricultural policy and Cohesion Funds,

—

having regard to Rule 54 of its Rules of Procedure,

—

having regard to the joint deliberations of the Committee on Budgets and the Committee on Budgetary Control under Rule 58 of the Rules of Procedure,

—

having regard to the letter from the Committee on Agriculture and Rural Development,

—

having regard to the report of the Committee on Budgets and the Committee on Budgetary Control (A9-0295/2021),

A.

whereas, following the entry into force of the multiannual financial framework (MFF) for 2021-2027, the Commission published a roadmap and launched a public consultation with a view to aligning the Financial Regulation, where appropriate, with the rules agreed by the legislator as part of the MFF 2021-2027 package, and to proposing limited and targeted improvements required by the evolving situation, for instance following the COVID-19 crisis or in the context of the growing opportunities for digitalisation;

B.

whereas, against the background of NextGenerationEU (NGEU), Parliament, the Council and the Commission agreed in the Joint Declaration that the provisions on the external assigned revenue, in particular as referred to in Article 21(5) of the Financial Regulation, and the provisions on reporting on borrowing and lending operations, would be assessed and, as appropriate, revised in the framework of the next revision of the Financial Regulation; whereas the three institutions acknowledged that the existing rules on audits and discharge procedure apply to assigned revenue;

C.

whereas the absorption rate under the 2014-2020 MFF was too low and needs to be improved, especially from the perspective of small and medium-sized enterprises (SMEs), by refining and strengthening the decision-making and allocation processes and the principles and procedures that govern the establishment, implementation and control of the EU budget;

D.

whereas the revision of the Financial Regulation should take into account the Union’s security interests, including key infrastructure and telecommunications projects, with a focus on the eligibility criteria required to apply for and receive EU funding;

E.

whereas respect for the rule of law is an essential precondition for compliance with the principles of sound financial management;

F.

whereas an impact assessment was not conducted even if, as recalled by the European Court of Auditors, it could have provided clear information on the accessibility of EU funds to citizens in view of the revision of the Financial Regulation;

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

37.

38.

39.

40.

41.

42.

43.

44.

45.

46.

47.

48.

49.

50.

51.

52.

53.

—

having regard to Article 168 of the Treaty on the Functioning of the European Union (TFEU),

—

having regard to Articles 101 and 102 TFEU laying down rules on competition,

—

having regard to Article 6 of the Treaty on European Union and Article 35 of the Charter of Fundamental Rights of the European Union (the Charter) on the right to preventive healthcare for all European citizens,

—

having regard to its resolution of 2 March 2017 on EU options for improving access to medicines (1),

—

having regards to its resolution of 13 September 2018 on a European One Health Action Plan against Antimicrobial Resistance (2),

—

having regard to its resolution of 15 January 2020 on the European Green Deal (3),

—

having regard to its resolution of 10 July 2020 on the EU’s public health strategy post-COVID-19 (4), calling for an EU action plan on rare and neglected diseases,

—

having regard to its resolution of 17 September 2020 entitled ‘The shortage of medicines — how to address an emerging problem’ (5),

—

having regard to its resolution of 17 September 2020 on a strategic approach to pharmaceuticals in the environment (6),

—

having regard to the Doha Declaration on the Agreement on Trade-Related Aspects of Intellectual Property Rights and Public Health (TRIPS Agreement) and to the decision of the General Council of the World Trade Organization (WTO) of 30 August 2003 on the implementation of Paragraph 6 of the Doha Declaration,

—

having regard to the 72nd World Health Assembly resolution of May 2019 on improving the transparency of markets for medicines, vaccines, and other health products,

—

having regard to Regulation (EC) No 141/2000 of the European Parliament and of the Council of 16 December 1999 on orphan medicinal products (7),

—

having regard to 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 (8),

—

having regard to Regulation (EC) No 726/2004 of the European Parliament and of the Council of 31 March 2004 laying down Community procedures for the authorisation and supervision of medicinal products for human and veterinary use and establishing a European Medicines Agency (9),

—

having regard to Regulation (EC) No 1901/2006 of the European Parliament and of the Council of 12 December 2006 on medicinal products for paediatric use (10),

—

having regard to Directive 2010/63/EU of the European Parliament and of the Council of 22 September 2010 on the protection of animals used for scientific purposes (11),

—

having regard to Regulation (EU) No 536/2014 of the European Parliament and of the Council of 16 April 2014 on clinical trials on medicinal products for human use, and repealing Directive 2001/20/EC (12),

—

having regard to Regulation (EU) 2019/933 of the European Parliament and of the Council of 20 May 2019 amending Regulation (EC) No 469/2009 concerning the supplementary protection certificate for medicinal products (13),

—

having regard to Regulation (EU) 2021/522 of the European Parliament and of the Council of 24 March 2021 establishing a Programme for the Union’s action in the field of health (‘EU4Health Programme’) for the period 2021-2027, and repealing Regulation (EU) No 282/2014 (14),

—

having regard to Regulation (EU) 2021/695 of the European Parliament and of the Council of 28 April 2021 establishing Horizon Europe — the Framework Programme for Research and Innovation, laying down its rules for participation and dissemination (15),

—

having regard to the Commission communication of 11 December 2019 on the European Green Deal (COM(2019)0640),

—

having regard to the Commission communication of 10 March 2020 entitled ‘A New Industrial Strategy for Europe’ (COM(2020)0102),

—

having regard to the Commission communication of 11 November 2020 entitled ‘Building a European Health Union: Reinforcing the EU’s resilience for cross-border health threats’ (COM(2020)0724) and accompanying legislative proposals (16),

—

having regard to the Commission communication of 25 November 2020 on a Pharmaceutical Strategy for Europe (COM(2020)0761),

—

having regard to the Commission communication of 17 June 2020 on an EU Strategy for COVID-19 vaccines (COM(2020)0245),

—

having regard to the Commission communication of 3 February 2021 on Europe’s Beating Cancer Plan (COM(2021)0044),

—

having regard to the Commission’s Strategic Agenda for Medical Ionising Applications (SAMIRA) Action Plan of 5 February 2021 in support of the European Beating Cancer Plan,

—

having regard to the Commission communication of 5 May 2021 entitled ‘Updating the 2020 New Industrial Strategy: Building a stronger Single Market for Europe’s recovery’ (COM(2021)0350),

—

having regard to the Commission communication of 15 June 2021 on drawing the early lessons from the COVID-19 pandemic (COM(2021)0380),

—

having regard to the Commission communication of 16 September 2021 introducing HERA, the European Health Emergency preparedness and Response Authority, the next step towards completing the European Health Union (COM(2021)0576),

—

having regard to the proposal for a regulation of the European Parliament and of the Council of 31 January 2018 on health technology assessment (COM(2018)0051) and the work of EUNetHTA Joint Actions,

—

having regard to the joint evaluation of Regulation (EC) No 1901/2006 of the European Parliament and of the Council of 12 December 2006 on medicinal products for paediatric use and Regulation (EC) No 141/2000 of the European Parliament and of the Council of 16 December 1999 on orphan medicinal products (SWD(2020)0163),

—

having regard to the Council conclusions of 1 December 2014 on innovation for the benefit of patients,

—

having regard to the Council conclusions of 17 June 2016 on strengthening the balance in the pharmaceutical systems in the EU and its Member States,

—

having regard to the Council conclusions of 18 December 2020 on COVID-19 lessons learned in health (17),

—

having regard to Rule 54 of its Rules of Procedure,

—

having regard to the opinions of the Committee on Industry, Research and Energy and the Committee on Legal Affairs,

—

having regard to the report of the Committee on the Environment, Public Health and Food Safety (A9-0317/2021),

A.

whereas health is fundamental to the well-being of Europeans and equitable access to healthcare is a cornerstone of the EU and Member States’ national health policies; whereas the Charter recognises the fundamental right of citizens to health, a high quality of life and medical treatment; whereas public health systems are crucial to guaranteeing equitable access to healthcare and safe, effective and affordable medicines; whereas ensuring patient access to medicines is one of the core objectives of the EU and the World Health Organization, and of Sustainable Development Goal 3;

B.

whereas one of the 20 principles of the European Pillar of Social Rights, reinforced by the Porto Declaration, establishes that everyone has the right to timely access to affordable, preventive and curative healthcare of good quality;

C.

whereas patients should be at the centre of all health policies and involved throughout the regulatory pathway for medicines; whereas access inequalities exist between and within Member States and special attention should be paid to people in vulnerable situations with specific health risks, including women, with a particular focus on pregnant women, children, the elderly, persons with disabilities, patients with chronic conditions and comorbidities, patients in intensive care units (ICU) and persons on long-term medication;

D.

whereas the increasing burden of chronic diseases and the health needs of aging populations, combined with high and rising prices of medicinal products and an increase in the societal cost of providing care, pose budgetary and affordability constraints and serious threats to the sustainability of European health systems; whereas the adoption of integrated models of care for chronic and other long-term conditions, underpinned by a person-centred and multi-disciplinary approach to healthcare, is essential to delivering high-quality health services;

E.

whereas a competitive, trusted, innovative and resilient European research-based pharmaceutical industry is more responsive to patients’ needs and to strategic interests in terms of public health, economic growth, jobs, trade, and scientific and technological progress;

F.

whereas the new European pharmaceutical strategy should be welcomed as a new opportunity;

G.

whereas medicine producers in the EU made a significant contribution to research investment in 2019, standing at over EUR 37 billion; whereas the sector provides 800 000 direct jobs and a EUR 109,4 billion trade surplus; whereas the sector generates about three times more employment indirectly — upstream and downstream — than it does directly; regrets that there are no aggregated data on the overall amount of public financing for the pharmaceutical sector in the EU;

H.

whereas there are differences in healthcare systems, national regulation, the implementation of EU legislation, pricing and authorisation processes in the different Member States; whereas these differences are a result of Member States’ competences in the area of health; whereas the differences can lead to fragmentation and unpredictable circumstances for actors in the pharmaceutical sector who operate outside their own country; whereas it is important to recognise that cooperation is required between the Commission and Member States so as to set out ambitious implementation agendas with clear timelines and the necessary long-term financing to implement concrete actions that follow on from the pharmaceutical strategy for Europe;

I.

whereas the overall consumption of pharmaceuticals continues to grow both globally and in the EU; whereas a number of pharmaceuticals continue to be prescribed, dispensed, sold or used inappropriately; whereas such misuse of pharmaceuticals means a waste of precious resources and can lead to health and environmental hazards;

J.

whereas 40 % of medicinal end products marketed in the EU originate in non-EU countries, while 60 % to 80 % of active pharmaceutical ingredients are produced in China and India; whereas this delocalisation of part of the production of essential components of medicines, vaccines and medical devices has direct consequences on treatment follow-up for patients;

K.

whereas the transfer of production to third countries tends to be motivated by an attempt to reduce production costs; whereas these savings are mainly the result of more lax environmental, safety and labour law standards;

L.

whereas the strategy recognises the key role that generic and biosimilar medicines play in hugely increasing equitable access for patients and for the sustainability of healthcare systems and that their entry into the market after exclusivity expiry should not be delayed;

M.

whereas biosimilar medicines create opportunities beyond access to medicines, such as benefit sharing across healthcare, and thus provide better healthcare and services to patients;

N.

whereas many innovations in the pharmaceutical industry do not really offer breakthrough improvements for patients, but are either so-called ‘me-too’ pharmaceuticals, which are simply another substance used for the same therapeutic purposes but without major benefits, or only offer minor improvements at a significantly higher cost; whereas it would be beneficial for patients if the framework for the pharmaceutical industry in Europe were to better incentivise real breakthrough innovations;

O.

whereas there is convincing evidence that pharmaceuticals leach into the environment, in particular soil and water; whereas their presence can have adverse effects on wild animals such as fish, birds and insects and, as a result, broader impacts on the stability of individual ecosystems; whereas these medicines also appear in drinking water at lower concentrations; whereas the European Green Deal must encourage the development of a vibrant, dynamic, sustainable and clean pharmaceutical industry within the EU;

P.

whereas action is required throughout the lifecycle of medicines to reduce resource use, emissions, and levels of pharmaceutical waste and residues in the environment;

Q.

whereas COVID-19 has had an impact on people’s physical and mental health and on the economy; whereas it has highlighted both the EU’s strengths and weaknesses; whereas in order to strengthen the resilience of our national health systems to cross-border threats, more European integration is necessary, as well as greater sharing of epidemiological and health data at EU level; whereas a European Health Union should contribute to and foster closer cooperation, coordination and knowledge sharing on health among Member States and relevant stakeholders and increase the EU’s capacity to combat cross-border health threats;

R.

whereas the disruption of the global supply chain ensuing from the COVID-19 pandemic has highlighted the EU’s dependency on third countries in the health sector; whereas understanding the root causes of medicine shortages is crucial for building an appropriate European response and tackling this long-standing challenge; whereas the EU’s open strategic autonomy and security of supply should be ensured through the diversification of supply chains for essential medicines and medicinal products, including European manufacturing sites, as well as by applying public procurement rules that do not consider price to be the sole criterion;

S.

whereas during the COVID-19 pandemic, uncoordinated actions at national level, such as hoarding and extreme stockpiling, undermined equitable supply in all markets; whereas lessons should be drawn from this experience in order to prevent it from happening again in any future crisis situation;

T.

whereas the COVID-19 experience also demonstrated the resilience of the European pharmaceutical industry and manufacturers and that they had contingency plans in place to limit disruption for critical products; whereas this was also possible thanks to the bilateral dialogue and two-way communication established, demand visibility and close cooperation between governments/regulators and actors, a practice which should be maintained and continued on a regular basis;

U.

whereas for the pharmaceutical strategy to be fully effective it must incorporate lessons learnt from the COVID-19 crisis and take into consideration the resilience demonstrated by the off-patent medicines industry during the COVID-19 outbreak, so as to build on existing European manufacturing capacity;

V.

whereas the pandemic has brought to the fore a number of pre-existing problems in the global production and supply of pharmaceuticals, such as the limited capacity of least-developed and middle-income countries to produce vaccines, the lack of essential medicines and an unevenly functioning supply chain; whereas the EU vaccine strategy is proving successful in delivering vaccines to all citizens in the EU; whereas the EU has been at the forefront of global vaccine delivery by continuing to export vaccines and by setting up and financing COVAX; stresses that more needs to be done to fully vaccinate low- and middle-income countries;

W.

whereas innovative R&D projects such as VACCELERATE have proven their worth during the pandemic and should be made sustainable in the long term;

X.

whereas gene and cell therapies, personalised medicine, nanotechnology, next-generation vaccines, e-health and the ‘1+ Million Genomes’ initiative can bring benefits in relation to the prevention, diagnosis and treatment of all diseases, and care for the patients affected, provided that they are effective, safe, affordable and accessible to all patients who need them;

Y.

whereas, in the spirit of the ‘One Health’ approach, the pharmaceutical strategy covers the full lifecycle of medicines and medical devices, including the collection and production of starting material, research, testing, manufacturing, authorisation, pre-and post-marketing pharmacovigilance, consumption and disposal, and contributes to meeting the objectives of the European Green Deal, Europe’s Beating Cancer Plan, the digital transformation, the circular economy and the industrial strategy, and climate neutrality;

Z.

whereas to secure the Union’s leading position in pharmaceutical development, the strategy must focus on strengthening the innovative potential of European pharmaceutical research, fulfilling patients’ needs, and acknowledging and reinforcing the link with the EU industrial strategy, the small and medium-sized enterprise (SME) strategy and the European Health Data Space;

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.