In a discussion with this newsletter on the future of Cohesion Policy on Thursday 4 May, Regional Policy Commissioner Corina Creţu seemed to reject the idea of linking the Cohesion Policy with respect for the rule of law and promises to relocate migrants.
After authoritarian slippages in Poland and Hungary and other member states’ refusal to share the burden of migrants, the idea of linkage arose in recent months, even going as far as the College of European Commissioners, and generating resistance from the regions (see EUROPE 11742).
This reticence seems to be shared by the Regional Policy Commissioner. ‘We have to also to think about this idea. But in the treaty, this policy is not meant to be an instrument of punishment. Ii is an instrument to help countries to grow and to create jobs,’ she told this newsletter, adding that she understood the position and frustration of some net contributors, but preferring the path of discussion with the member states.
The Commissioner said the issue had not yet been brought up at the College of Commissioners because talks on the future of the EU were only just beginning, but she did not rule out that such a measure could emerge for the next budget.
Macroeconomic conditions. The question of macroeconomic conditions was also addressed in our discussion, notably in the light of the structured dialogue last year after the penalties considered at one time for Spain and Portugal for failure to absorb their excessive debt levels (see EUROPE 11670).
The way Creţu sees it, the situation has been talked up. She pointed out that this was a tool to encourage the member states to take necessary measures and local investment cannot be carried out in isolation from the macroeconomic context. ‘There are regions we have invested in for forty years and you don’t really see results,’ but this is a key instrument that provides an incentive to implement what for the member states are politically difficult structural reforms. She said she was certain the measure would be re-introduced in the future ‘to secure the benefit of investment we (the European Commission, Ed.) finance.’
When it comes to the budget, the Commissioner is very evasive at present, pointing out that talks were only in the beginning stages at the Commission. She said she was co-piloting with Budget Commissioner Günther Oettinger the drafting of a reflection paper on the future of the EU’s financing, a document that is expected to be presented to the College at the end of June.
When it comes to Cohesion Policy, the Commissioner admitted she was aware of the divisions among the member states, one side being formed of what she described as the friends of Cohesion Policy, namely the new member states and countries in southern Europe, such as Spain, Portugal, Greece and Italy. Commenting on Germany, she said there was a dichotomy between the federal level, which favours in-depth reform of the Cohesion Policy, and the Länder, which back a strong Cohesion Policy. ‘The problem is they have such a decentralised system that we are working directly with the regions and that sometimes people from the capital, they don’t have the full picture,’ of the impact of Cohesion Policy, explained the Commissioner.
Creţu said that under the future Cohesion Policy budget, financial instruments would play a key role, but she warned that the Cohesion policy was not itself a financial instrument, but rather a policy in its own right.
A single regulation. Creţu stressed the issues relating to simplification and recalled her desire to set up a unique body of rules for all funds, without having any illusions about the problems to be overcome, firstly at the European Commission where she said directorate generals take different views. She said there are many problems and legislation is highly complex, added to which is the role of the member states, which add regulatory complexity to the broader complexity, the infamous ‘gold-plating.’ ‘I hope we will be able to sit at the same table,’ said the Commissioner.
Boosting visibility. On the lack of visibility for the Cohesion Policy, the Commissioner stressed the launch of the ‘Europe in my Region’ campaign to improve communications about the policy (see EUROPE 11779), but admitted it was not enough in itself. Creţu feels it is necessary to analyse how financing has been used for communication. She said she had made this clear to her department, ‘because there is such a big contradiction between the amount of money we have invested and how little people know about what we are doing.’
Quizzed by this newsletter about the need to make communication on Cohesion Policy binding, the Commissioner seemed to agree – not just for Cohesion Policy but on all policies. ‘We are in the situation, that we are in now because we allowed so many lies’ about the European Union, she said.
Future indicators. Creţu expressed openness about use in the future of new types of indicator, in addition to GDP alone, for when it comes to allocating structural and investment funds. She said, however, that she had doubts about the relevance of an indicator on ‘welfare,’ because of its lack of objectivity. You can be poor and happy, she pointed out.
Ministers and the European Commission will meet up in Malta on 8 June to discuss the future of the Cohesion Policy. (Original version in French by Pascal Hansens)