Brussels, 15/07/2010 (Agence Europe) - The EU Council of Ministers is likely to adopt, by written procedure, various documents making up its position on the draft budget for 2011 by qualified majority voting on Thursday 12 August (see EUROPE 10172). Member states are planning a draft general budget of the European Union for 2011 of €141.777 billion in commitment appropriations (an increase of 0.2% on the 2010 budget) and €126.526 billion in payment appropriations (up 2.91% from 2010). The Council is reducing the initial Commission proposal by €787.83 million in commitment appropriations and €3.609 billion in payment appropriations. The European Parliament (EP), which is critical of some of the reductions sought by member states, will decide on its position on the draft budget for 2011 at the plenary session in Strasbourg from 18 to 22 October. The conciliation procedure will be opened on 26 October (at least two meetings of the conciliation committee are expected, the first being on 27 October) and will last until 15 November, to reach a compromise.
The Council wants a budget that is realistic, balanced across all its component parts and in line with budgetary discipline. It says that it will ensure that the EU's various priorities receive appropriate funding, with allocations being determined by budgetary implementation level and realistic absorption capacities. Member states also defend their limited and controlled growth in payment appropriations for all headings in the financial framework compared with 2010. This approach has to be placed within the context of member states' budgetary imperatives, the Council documents say.
Competitiveness for growth and employment (heading 1a of the financial framework). The Council is looking for a reduction of €891.14 million from the initial Commission proposal, with €62.40 million of this from competitiveness, €121.80 million from transport, €545.97 million from research, €50 million from the European Globalisation Adjustment Fund and €110.97 million from various other budget lines. The Council wants to reduce commitment appropriations by €49.59 million, leaving an available margin of €96.70 million. In all for this heading, the Council has allocated €12.890 billion in commitment appropriations (down 9.91% on the 2010 budget) and €11.218 billion in payment appropriations (a fall of 1.10%).
Cohesion for growth and employment (heading 1b). The Council has accepted the commitment appropriations proposed by the Commission, but wants to reduce payment appropriations by €1.075 billion to €41.465 billion (a rise, nevertheless, of 13.97% on 2010). Reductions will be made as follows: the European Regional Development Fund will lose €386 million and the European Social Fund €129 million; - €560 million will be taken from the completion of previous programmes. The available margin for heading 1b will be €16.91 million.
Conservation and management of natural resources (heading 2). The Council has decided, at this stage, on a total reduction in commitment appropriations of €474.64 million, with €38.75 million of this from agricultural market intervention, €420 million from clearance of accounts and €15.89 million from other budget lines. The level of payment appropriations is down €820.71, once again compared with the Commission's initial proposal, with €38.71 million of this amount coming from agricultural market intervention, €420 million from clearance of accounts, €143 million from rural development, €142.90 from the European Fisheries Fund and €76.06 million from several other budget lines.
Proposed agricultural spending for 2011 is lower than 2010 budget levels (down 0.46% in commitments and 0.31% in payments). These totals may be revised in the light of the autumn letter of amendment which the Commission will bring forward. The margin available for heading 2 will be €1.326 billion.
Freedom, Security and Justice (heading 3a). The Council has agreed allocations that will see rises in credit and payment appropriations in this heading of 11.7% and 8.7% respectively. The margin available will be €81.66 million.
Citizenship (heading 3b). The Council has planned a €4 million increase in funding for a preparatory initiative for the preservation of heritage sites in Europe.
EU as a global player (heading 4). The reductions suggested, compared with the initial proposals, amount to €93.74 million in commitment appropriations and €590.90 million in payment appropriations. In all, the Council is suggesting €8.265 billion in commitments (up 4.7% on 2010) and €7.010 billion in payments (down 7%) for this heading.
Administration (heading 5). For Council and European Council spending, a figure of €643.155 million has been agreed, a 1.52% increase on 2010 spending. The Council has agreed to the request for 11 new temporary posts, for six months, for the President of the European Council. Funding of €5.042 billion is proposed for the Commission, an increase of 1.83% on the 2010 budget. The proposed increase of 1.85% linked to salary adaptation in 2009 was not accepted. In compliance with the “gentlemen's agreement”, the Council agreed to the 5.55% rise in European Parliament running costs. (L.C./transl.rt)