Brussels, 18/10/2012 (Agence Europe) - The President of the European Commission, Jose Manuel Barroso, has drawn up a mixed balance sheet on implementation of the Growth and Jobs Pact adopted at the summit in June (see EUROPE 10645) in a progress report to the EU27 which he will discuss as the European Summit of heads of state that opened in Brussels on Thursday 18 October. The report gives a snapshot of results thus far, focussing on the next stage - supporting investment to boost growth, boosting the Single Market and achieving the EUROPE 2020 Strategy targets. Barroso says the ball is now in the member states' court to apply the European measures in their own country and speed through adoption of legislation at the European Council. The message echoes that sent last week by the president of the European Council, Herman Van Rompuy, to the EU27.
Investing in growth. Barroso says progress has been seen here with a €10 billion increase in the capital of the European Investment Bank, some 90% of which may well be provided in March 2013, which would generate extra lending capacity of €60 billion. Another significant advance in his view is the introduction of the project bond pilot phase to fund infrastructure. Transport may get €100 million of this later in the year. The introduction of the mechanism for European interconnection is also hoped before the end of the year for the financing of telecoms networks, transport and energy projects, but he says that the European budget will be the real test case in terms of ready cash for investing in growth, as well as the approval of the multiannual financial framework. The Commission is planning to re-allocate Structural Funds to boost youth employment. Ambitious aims and agreement for the European budget is hoped at the end of the year, but the report sounds the alarm bell about the fact that the Commission does not have enough cash in its coffers at the moment to pay all the bills submitted by the member states.
Single Market Act I & II. The focus here is on completing the single market because not enough use is made of its growth potential. Progress is needed on the first single market act with agreements on the EU standardisation system and the energy tax directive later this year. It is hoped that the first European Patent will be registered in 2014. In the spring of 2013, the Commission promises to unveil a second batch of single market measures, legislation it hopes will be introduced in less than a year.
FTT. The Commission says it is ready to work on enhanced cooperation among the 11 member states that want to introduce a financial transactions tax. Draft legislation is expected for the upcoming ECOFIN Council meeting on 12 November. (MD/transl.fl)