Brussels, 03/09/2015 (Agence Europe) - The Regional Development Committee (REGI) at the European Parliament was almost unanimous in its support on Thursday 3 September for the proposal to modify the rules on the absorption of Structural Investment Funds, in an effort to respond to the Greek crisis.
The President of the Committee, Iskra Mihaylova (ALDE, Bulgaria), was pleased that except for one abstention, all the MEPs voted in favour of the European Commission proposal and also indicated that “the discussions proved fruitful”.
This proposal amends the regulation (1303/2013) introducing common provisions applicable to the different structural investment funds (ERDF, ESF, Cohesion Fund, EAFRD and the EMFF).
MEPs also agreed to use the simplified procedure included in article 50 of the European Parliament regulation. This regulation allows the president to propose the approval of a legislative act without amendments, in an effort to speed up the decision-making process. According to the Commissioner for Regional Policy, Corina Cretu, time is running out and she would like the programme to be implemented before the end of October.
Following the European summit on 12 July (see EUROPE 11358), the Commission proposed three flagship measures: 100% co-financing for the 2007-2013 period, an immediate 5% pay-out from the budget, which is normally retained until the programme is closed, which was planned for 2017, and increased pre-financing of 7% in the context of cohesion policy (see EUROPE 11360). Emphasis on fund investment will be in the research and innovation fields and support for SMEs. On 17 July, the Commission proposed amending the RPDC, in an effort to implement the announced measures.
Fund management. The Commissioner indicated that “obviously, it is crucial that the money goes to the beneficiaries, as soon as possible and in the conditions that ensure good financial management”. She added that “the Commission services are working as close as possible with the Greek authorities… Technical meetings and ad hoc missions on the ground are being organised. Controls will be carried out in addition to the reports submitted by the Greek authorities”. According to Cretu, the most important thing is not so much the money as the development of viable infrastructure and resources for skilled staff. One European source explained that this point had provoked debate at the EPP group before it agreed to give its total backing to the other political groups.
In an interview to EUROPE, the Commissioner said that the measures advocated were “extraordinary and exclusive” and responded to the “unique situation in Greece, which I would not wish on any other member state… No other member state will benefit from similar provisions”.
On 13 August, the Greek authorities adopted a ministerial decision introducing a ring fencing mechanism to guarantee good fund management for the 2007-2013 period. The Greek central bank has been given responsibility for an account exclusively focusing on the spending of structural and investment funds available for this period, in an effort to guarantee that the money reaches the beneficiaries, explained one source to EUROPE. (Pascal Hansens)