Brussels, 25/02/2013 (Agence Europe) - Following inappropriate use of EU Solidarity Funds (EUSF) in the Italian region of Abruzzi, the European Commission is to clarify rules on financing “temporary accommodation” following natural disasters. This decision follows a report from the EU auditors presented on 25 February.
In April 2009, an earthquake hit the Abruzzi region's capital city of L'Aquila, causing direct damage estimated at more than €10 billion. The European Union contributed €0.5 billion to the Italian emergency operations from its European Union Solidarity Fund (EUSF).
70% of this funding was allocated to housing construction needs which did not meet the requirements in the regulation that the EUSF should be used only for the provision of temporary shelter. The CASE project (Italian acronym for “Complessi Antisismici Sostenibili Ecocompatibili”, i.e. seismically isolated and environmentally sustainable housing), received €350 million in funding to build permanent homes which re-housed only 15,000 people. The EUSF did therefore not fund temporary shelter as it should have done and failed to provide a rapid solution to all those in need.
The European Court of Auditors also notes that the CASE project buildings were more expensive than standard buildings. These apartments were built to generate revenue in the longer term. This is not allowed under the EUSF regulation.
Following the audit of the CASE project in 2011 in 2012, the Court concluded that, “the CASE project, which provided lasting and sustainable accommodation, did not comply with the objectives of the EUSF”. The Court of Auditors added that “the scope of the EUSF is limited to the most urgent needs, whereas longer-term reconstruction must be left to other instruments”. It calls on the Commission, therefore, to adapt the EUSF regulation and to encourage member states to prepare better for emergencies in order to provide value for money and promote due regard to economy in project implementation.
In a press release, Mr Ville Itälä, a member of the European Court of Auditors stated: “I am glad that the Commission will use the opportunity of the forthcoming review of the EU Solidarity Fund Regulation to not only clarify 'temporary accommodation, but also to encourage at-risk Member States to put real preparedness plans in place”. He explained that “this will help EU natural disaster response tremendously”. (MD/transl.fl)