Brussels, 23/07/2012 (Agence Europe) - The head of the Committee of the Regions (CoR), Mercedes Bresso (PES, Italy) will be stepping down from her post as president, to hand over the reins to Ramón Luis Valcárcel Siso (see EUROPE 10659). The CoR unanimously confirmed its support for this rotating policy for the second part of the mandate. Following her two and a half years at the head of the EU advisory body, Bresso provides us with an insider's view into the current European political climate. Obviously, she speaks about cohesion policy, given the importance of structural funds and the regions but she also talks about the impact of the crisis on the regions themselves. (MD)
(Agence Europe) Speaking on behalf of the CoR and also as an elected representative, what is your reaction to the first Parliament committee vote on the package for reforming cohesion policy for 2014-2020?
(Mercedes Bresso) The Committee of the Regions is very pleased with the vote by the Parliament's REGI committee because it has taken on board the main points we raised. Firstly, there is support for transition regions, which are very important and are currently concluding their respective development process. Then, there is the refusal regarding macro-economic conditions, which we are delighted about. That was another battle that seemed impossible to win. Perhaps we won't win it but in any case we have a powerful ally in the Parliament and a lot of countries are steadily beginning to understand why we wanted this. It would be really incredible if the Commission were able to suspend structural fund payments and subsequently put the regions in a situation where they were unable to execute payments and indeed, would be forced to go into debt to make the payments. MEPs also agreed with us by requesting the removal of the performance requirements and by deciding to target funding. It is necessary to reduce the number of priorities but also to create greater flexibility on what can be provided. According to the territories, different instruments are sometimes needed.
(AE) Have your fears about a reduced cohesion budget for 2014-2020 been appeased?
(MB) We think that the Commission proposal is a minimum. Everyone knows that in moments of difficulty we cannot reduce the budget and it should not be forgotten that this is an investment budget. We all talk about growth but an investment budget is an absolute priority for relaunching growth. I believe that on this issue, Parliament is very determined and that ultimately, we will succeed in obtaining an appropriate budget. In any case, this is another joint battle to be waged along with the European Parliament.
(AE) Your presidency occurred at the same time as the crisis. How has this affected your presidency and its work?
(MB) It's true that we've witnessed crisis: local investment fell by 7% in 2009 and the trend has remained the same in the years that followed! Obviously, this does worry territorial bodies because if there is no investment, there is no growth or jobs! Public investment falls to a large extent on our shoulders for around two thirds of the budget. The crisis can also produce reactions involving re-centralisation because everyone is afraid that they will be unable to control their own budgets. Ultimately, we are not responsible for the crisis but we pay a double price because we are responsible for investment. That is, therefore, very serious.
(AE) The crisis continues and the EU is finding it difficult to find its way. How can the member states get a grip on themselves and has the European Council failed to do its duty?
(MB) It is obvious that the speculators have been counting on the crisis in Europe and absolutely welcomed it. In Europe there is what I would describe as a lack of state power. Our governments need the courage to create this power. I find it astonishing that Germany has failed to understand this. The role of heads of state and government is not to act like accountants, their duty is to represent the power of the political European Union. We are not yet a federation but we do represent a Union equivalent to the biggest market in the world. I find it difficult to understand that no one has the political will to bring this power to bear. The European Council really has failed to do its duty and within the European Council, it is Germany that has failed in its duty because it is the only country, which could assume such a role. I hope that the arrival in power of a president like François Hollande, who will definitely have the courage to bear this political power, will give Angela Merkel a bit more courage. This is absolutely necessary.
(AE) In your eyes, what are the other areas where the EU can no longer afford to fail?
(MB) In addition to the budget, which I have already discussed, there are two absolute priorities: industry and youth. There is a risk that with the crisis, a sizeable industrial system is being dismantled. An entire continent cannot have its industrial goods produced elsewhere! Europe needs industry and therefore requires a real and solid industrial policy.
The other thing is that Europe as a whole is a continent with few young people. We are also currently wasting an entire generation of youth with an incredibly high level of unemployment and training that is still below par. We are in a situation where this rare form of capital is being wasted because it is unable to be employed. If it is difficult to employ young people at the present moment, then at least their training needs to be enhanced!
(AE) Let's get back to the Committee of the Regions. Are you stepping down as president in August with a feeling that you have accomplished your work? How has the institution evolved under your mandate?
(MB) We have continued to consolidate the rising strength of the Committee. One thing is now very clear, we are acknowledged as the second most important political assembly in Brussels. Our relationship with the European Parliament has improved. They recognise this and have understood that we are elected representatives too, not representatives of local bodies, but elected representatives! This also means that we are beginning to have a place at the Council. The Committee has even been invited for the first time to the Council when it was focusing on social and employment policies, competences that are all at local level. They could not understand why we hadn't been there before!
(AE) What changes do you think the CoR will undergo in the future and what is its ideal position inside the institutions?
(MB) It's complicated. I think a constitutional discussion is required. The federal structure of the EU is very specific because it is a federalism that needs to be invented and defined as a whole. Our position would also depend a lot on the role that the Council may have. I think that the German model in which there is a role for the regions should be examined. We are already a sort of Bundesrat, without the legislative power. A three-chamber system could also be envisaged, in which one of them had advisory power but very strong. Everything is therefore be left to be determined but I do think that the next Parliament should use the power that Lisbon gave it and assume the right of being the body that indicates which way to go and I would like to be part of this Parliament!
(AE) Immediately after handing over the presidency of the CoR to Mr Valcárcel Siso for the second part of the mandate, will your projects still be European or rather more Italian? Will it still be possible to find you in the corridors of the CoR?
(MB) Mr Valcárcel Siso is very much counting on me and I still intend to work as the first vice president. I am committed to providing all the help I can, not only in the corridors but also on the centre stage! Afterwards, we will have to see. We are all representatives and can therefore not decide on our own accord. Nonetheless, my perspectives are, above all, European. The elections to the European Parliament are in 2014 and if I am a candidate I do not think I will have a problem being elected, given how the election system works. Our country is, however, on the edge of a precipice and has choices to make, therefore we'll have to see!
(AE) How exactly do you interpret the most recent political and economic developments in Italy?
(MB) Economically, Italy is a solid country, much more than we are led to believe. We are still the second biggest industrial country in Europe, with very big export capacity. Currently, “Made in Italy” exports form 50% of its production. We need reform of the state and we need to put our accounts in order. The efficiency of the Italian state needs to be improved and we need to decide between having a leaner state or a more costly but efficient one. Monti is doing his job very well but we need politics to resume its role and undertake its work again.
(AE) Do you really believe in the possibility of Berlusconi returning to power?
(MB) What a nightmare! The secretary of the party has said it, so I'll say it! I think that we are going to wake up and see that it only was a nightmare!