Brussels, 25/04/2012 (Agence Europe) - The European Parliament (EP) is continuing discussions to determine its position on the Connecting Europe Facility proposed by the Commission last year. The EP committees for transport (TRAN) and industry (ITRE) held a joint meeting on Wednesday 25 April to receive the views of experts from the industries involved and to inform the rapporteurs.
The Connecting Europe Facility will release European funding for investment in infrastructure projects to complement the European networks in transport (€31.7 billion), energy (€9.1 billion) and telecoms (€9.2 billion). This money will help construct the missing sections in the networks, most often in cross-border areas, and will attract private investors.
TRAN committee rapporteurs Dominque Riquet (EPP, France) and Inés Ayala-Sender (S&D, Spain) are well aware that most financial market operators seem mistrustful, especially with regard to long-term projects. Riquet asked what would be the right ratio of public investment to reassure private investors. MEPs voiced concern, however, about the tendency of the private sector to cherry-pick the most commercially viable projects, leaving the more risky to the public sector.
The sums proposed in the Facility were seen as too small by many of the experts. David Halldearn of the Council of European Energy Regulators admitted that €9.1 billion for the energy networks was a small amount when compared with the EU's vast needs. This was a view echoed by Roland Doll of Deutsche Telekom who expressed the hope that the €9.2 billion for ICT was only a start. He said that the sector needed subsidies for unprofitable areas, particularly as the companies in this sector cannot internalise the benefits of their investments “and this is why we need public funding”, he stated. On behalf of the transport sector, which is to receive the most funding, Gweltaz Guiavarc'h of the French rail network operator RFF (Réseau ferré de France) sang the praises of public-private partnerships and concession contracts with private investors. (MD/transl.rt)