91997E3368

WRITTEN QUESTION E-3368/97 by Kirsi Piha (PPE) to the Commission (22 October 1997)

Subject: Ensuring the funding of enlargement

In the chapter in the Commission's 'Agenda 2000' on the funding of enlargement it is stated that each current Member State's share of the cost of enlargement may not exceed 1.27% of its GNP. Although a surplus for distribution for structural reforms to the EU's support policy will be available partly as a result of strong economic growth, the assessment that this funding will be enough at the current level seems over-optimistic.

Recent discussions both in the Council and in the European Parliament show that it is unlikely that the membership negotiations will begin in the 'five plus one' form which the Commission proposes. This may lead to the total funding package diverging significantly in the medium and long term from the Commission's estimate.

In view of the above, does the Commission believe that its total funding package will remain under all circumstances within the framework set out in Agenda 2000 in all circumstances? How has the Commission insured, and how will it in future insure, against a situation in which the current funding estimates may turn out to have been under-estimated?

Answer given by Mr Liikanen on behalf of the Commission (9 December 1997)

In 'Agenda 2000' ((COM(97) 2000. )), the Commission set out the conditions and assumptions underlying its belief that it would be possible to finance both the development of Community policies and the integration of the first wave of applicant countries without going above the present 1.27% GNP limit on own resources, and even maintaining a margin for manoeuvre within that limit. As that limit applies to the Community as a whole, it will be calculated after enlargement by reference to the GNP of the enlarged Community.

However, the overall financial framework table appearing in Agenda 2000 proceeds from a number of working hypotheses in relation to enlargement (number of new Member States, timing, terms of accession). One of these hypotheses is that five applicant countries of Central and Eastern Europe and Cyprus will accede in 2002. If the enlargement followed a substantially different pattern from the one assumed by the Commission, the amounts set out in Agenda 2000 might have to be revised accordingly.