92002E2696

WRITTEN QUESTION E-2696/02

by Joaquim Miranda (GUE/NGL) to the Commission

(26 September 2002)

Subject: State aid to maritime transport

According to the Commission's guidelines, state aid to maritime transport should be based on the fundamental objectives of ensuring that vessels continue under Community flags and that the largest possible percentage of maritime workers employed are of Community origin.

In 1992, in its 22nd report on competition policy, the Commission reaffirmed its view that this policy should be aimed at:

- safeguarding employment in the Community (whether on-board or land-based);

- preserving the Community's maritime know-how and developing maritime skills; and

- improving safety.

However, it appears from information supplied by the representative structures of workers in the sector that in some Member States state aids are granted to undertakings which do not comply with the first objective, tending to employ maritime workers from third countries, and, therefore, at lower rates of pay, and, for the same reasons, put the two other objectives in jeopardy.

Is the Commission aware of these practices? What action does it intend to take to ensure that state aid policy for maritime transport operates in a transparent fashion, in line with the Community's maritime interests and those of workers in the sector?

Answer given by Mrs de Palacio on behalf of the Commission

(22 November 2002)

The 1997 Community guidelines on State aid to maritime transport provide that the Member States may help shipping companies which operate internationally to reduce their operating costs by imposing a very low level of tax on companies and by reducing or granting exemption from wage-related costs, whether those of the employer or not. Their aim is to ensure that the Community fleet has the competitiveness it needs to survive in a global market and to promote employment and maritime know-how.

In general, the guidelines demand that there must be a link with a Community flag.

Despite this demand, the guidelines do not draw any distinction between seafarers on the basis of nationality as long as they pay tax and/or social security contributions in a Member State. Measures to reduce the levels of tax and wage-related liabilities in respect of such seafarers are allowed.

As announced in its White Paper, the Commission currently plans to adjust the guidelines on the basis of an analysis of their impact on the registration of ships in the Member States, the development of the Community shipping industry and employment.