The president of the European Commission, Jean-Claude Juncker, wants the investment plan that bears his name to be able to draw down €630 billion in additional investments by 2022.
"We are going to push forward" with the investment plan, which has raised €116 billion in investments in 26 member states (all except Cyprus and Malta) and benefited more than 200,000 small and medium-sized enterprises in just one year, Juncker said in his annual speech on the state of the European Union, in Strasbourg on Wednesday 14 September.
Having adopted a Social Democrat proposal ahead of the informal summit of the EU27 in Bratislava (see EUROPE 11609), the Commission submitted a legislative proposal the same day, to extend the term of the Juncker plan until 2020, a deadline imposed by the 2014-2020 multi-annual financial framework. This approach will increase the firepower of the plan to €500 billion, the Commission calculates. It calls on the member states to become increasingly involved, so that this capacity can be brought up to €630 billion by 2022.
The Commission also pledges to act to enforce the additional nature of the investment plan, by prioritising cross-border projects. The plan was created in such a way that the public guarantee of the EFSI fund, the financial arm of the plan, is granted only to projects which would not get off the ground without this support. Furthermore, increased attention will be paid to projects with a contribution to make towards the COP 21 climate commitments and promoting the energy transition. In addition, the share of the support reserved for SMEs will be increased.
The European Parliament's support for these measures appears to be in the bag, as the announcements prompted little reaction from the MEPs (see EUROPE 11568). Over at the Council, ambitions are more modest. On Monday, the Polish secretary of state for European Affairs, Konrad Szymanski, however, flagged up "two issues" with the Juncker plan. He argues that it is difficult to say that this initiative is better than the structural funds and it is easier to activate in Western than in Eastern Europe. We need to analyse how we can achieve a better geographical balance before extending the mandate of the Juncker plan, he said. (Original version in French by Mathieu Bion)