Brussels, 21/06/2011 (Agence Europe) - Not enough. The committee on economic and monetary affairs of the European Parliament has not given its blessing to the Council to scale down the ambitions of the legislative package to reinforce the Stability and Growth Pact (EUROPE 10401). “It is true that the texts negotiated include many ideas from the EP, but that does not go far enough, particularly on the reverse qualified majority voting”, said its president Sharon Bowles (ALDE, UK) in a press release.
The member states are refusing to accept this procedure, which reduces their room for manoeuvre, as part of the preventative plank of the Pact. It would make it harder for them to reject a recommendation of the European Commission stipulating that a member state has not taken the corrective measures necessary to remedy a deficit and/or excessive indebtedness.
Refusing to compromise on part of the Franco-German agreement of Deauville, which allows the member states to hold onto a political safeguards in the decision-making process which leads to sanctions, the Council suggests instead that it publicly gives reasons for rejecting a Commission recommendation (“comply or explain”). If this provision is not enough, it states that it is prepared to look into use of the reverse qualified majority within the next three years. “We already know that these processes are inadequate and need improving”, said Corien Wortmann-Kool (EPP, Netherlands). These are “papier mâché” concessions, Sylvie Goulard (ALDE, France) told EUROPE.
The MEPs were also less than pleased to note that under pressure from Germany, the member states have also watered down the provisions on the macro-economic surpluses included in the compromise on which the Hungarian Presidency and the EP agreed late last week (EUROPE 10399).
As they also did for the financial supervision package, the MEPs will vote on Thursday on this compromise, which does not take up the latest recommendations made by the Council on Monday. However, they will not adopt a legislative resolution, which would have put an end to the first reading, to leave time available to continue negotiations. The objective of concluding the dossier before the end of June is still open. On Tuesday 21 June, the president of the Commission, José Manuel Barroso, called on the two European institutions to put aside their differences to finalise the reform of the Stability Pact, which constitutes “one of the central pillars” of Europe's response to the sovereign debt crisis. The European Council will send out the same message. (M.B./transl.fl)