French Overseas Minister Annick Girardin submitted a request to the European Commission on Tuesday 28 November for European Union Solidarity Fund support for the islands of Saint Martin and Guadeloupe that were devastated by hurricanes Irma and Maria. EU aid could total €50 million.
After assessment by the French state reassurance company (Caisse centrale de reassurance), France estimates the damage caused by the two hurricanes at €1.95 billion. “This total was revised, having initially been put at €1.3 billion, after the Caisse centrale de réassurance itself carried out a re-assessment of the damage on Saint Martin”, said the French minister. She said that the EU aid could be as much as €50 million, 2.5% of the sum sought by France.
“This is not exactly negligible support”, noted Economic and Financial Affairs Commissioner Pierre Moscovici, promising to do all in his power to move the French request forward. He said he was hopeful that an advance payment could be made before Christmas. This advance is likely to be 10% of the sum allocated by the EU, the minister said, potentially €5 million.
In calculating the size of the aid, the European Commission takes into account the wealth of the state and cost of direct damage. A financial threshold is set for each state – 0.6% of gross national income or €3 billion at 2011 prices – and this threshold must be exceeded before application can be made to the solidarity fund. The aid set is 2.5% of the estimated damages below the threshold at 6% of damages above the threshold.
Saint Barthélemy not included. As an overseas country and territory, Saint Barthélemy can make no call on the solidarity fund, the minister explained, confirming information given by EUROPE (see EUROPE 11857). “The damage on Saint Barthélemy was assessed and we intervened as a matter of urgency, of course”, Girardin stated. “Saint Barthélemy will largely assume the reconstruction costs. You are aware of its financial situation and it can afford to do so”, the Commissioner said, noting the island’s high level of revenue.
Moscovici was replacing Regional Policy Commissioner Corina Crețu who has responsibility in this area but who is currently abroad. (Original version in French by Pascal Hansens)