Brussels, 13/06/2002 (Agence Europe) - With the adoption in Strasbourg on Wednesday of the report by Gianfranco Dell'Alba (Lista Bonino) on the new financial regulation, the Parliament confirmed the results of the consultation with the Council on this issue (see EUROPE of 10 and 11 June, p.14). The Parliament thus approves the common direction taken by the EU Economy and Finance Ministers on recasting the financial regulation. It also opens the road to the Council's adoption of this text, without debate, on 19 June.
Commissioner Michaele Schreyer welcomed this result saying, the same day, that "thanks to this new financial regulation, Europe will have a modern regulation for its budget, based on principles of clarity, effectiveness and transparency". Ms Schreyer also paid tribute to the immense negotiating effort made by the Spanish Council Presidency. The Commission also welcomes the fact that the new financial regulation will make it possible to implement an essential part of its internal reform in the field of financial management.
The text of the new regulation will take effect on 1 January 2003, although there are transitional periods in several areas: - inclusion in the budget according to activities (presentation of the budget depending on the policies of the different directorates general) will be applicable from the 2004 financial period, in the same way as the new procedure for payments (Commission section); - the new timetable for presenting the accounts until discharge will be enforced for the accounts of the 2005 financial period and the new provisions on accounting will be gradually brought in from 1 January 2003.
We state that the main characteristics of the new text are: - simplification and consolidation of the primary legislation financial instrument and improved presentation of this text, which will become more readable; - modernisation of financial management (giving more responsibility to those granting authorisations, rationalisation of methods of externalisation of Community fund management, adjustment of the budget structure to new management per activity, framework of agencies benefiting from Community subsidies); - better adequation of the management of external actions (when it is a question of awarding contacts, internal control and financial audit applied by third countries); - greater rigour in budgetary management (harmonisation of sector-specific regulation, return to fundamental budgetary principles by limiting excerptions to a maximum, adoption of internationally recognised accounting principles).