Brussels, 12/06/2002 (Agence Europe) - In the context of the European Council in Seville, Finance Ministers from EU Member States will be holding a special meeting in Madrid on 20 June (starting at 19h) in an attempt to adopt recommendations on the broad economic policy guidelines (BEPG). Other subjects up for discussion will include the state of play of negotiations with Switzerland on savings taxation and possible ways of un-blocking the case on energy taxation (EUROPE 5 June page 9 and 6 June page 10).
BEPG: The ECOFIN Council is due to find a compromise to allow France, Germany, Portugal and the United Kingdom of lifting their opposition that remains fairly substantial to certain passages of this document submitted by the European Commission (see EUROPE 5 June pages 7 and 9). For both political (especially general elections) and technical reasons, France insisted at the last ECOFIN Council that the recommendations be postponed, given that it wasn't able to confirm a return to balanced financial budgets in 2004. The ECOFIN Council must apply qualified majority voting to adopt this text but unanimity is required for the adoption of the conclusion on this theme at a Heads of State and Government level.
Savings taxation: In the context of the European Summit of Seville, Ministers will be informed about discussions between the Commission and Switzerland, which could take place on 18 June, the day following the adoption by the General Affairs Council of new mandates for the other chapters to be negotiated (condition imposed by Switzerland for opening negotiations on taxation savings).
Energy taxation: The Council is expected to acknowledge the "high-level" report establishing guidelines for the continuation of debates on this very controversial issue, notably on the subject of transition periods (given to Portugal, Greece and Luxembourg) or dispensation for diesel (requested by the French and Spanish).
During their dinner, Ministers could possibly discuss a European Investment Bank Euro-Mediterranean investment mechanism (approved by the European Council in Barcelona) and possibly company governance issues (in the wake of the Enron affair), which will be discussed at the Summit of Seville.