Brussels, 29/09/2003 (Agence Europe) - On Wednesday afternoon, the European Commission will enter the lively debate on the financial framework of the European Union after 2006, by organising a seminary on the subject. This meeting ought to enable greater precision on the Commission's priorities and could reach a decision on the issue of continued regional aid to re-conversion and competitiveness. This will involve supporters of pursuing Objective 2 reforms and those who want to base it in growth support policy , with very different methods. Commissioners are also expected to debate the number and content on the European budget sections, notably the creation of a specific section for justice and home affairs.
On the other hand, the College will not decide on any other figures, indicated a community source. The Commission communication to be adopted at the beginning of November on the main guidelines for the next financial perspectives will perhaps include a maximum amount for the EU financial framework but will not go into any detail, explained the same Community source. For detailed suggestions with figures, it will be necessary to wait for the Commission proposals during the first half of 2004 (EUEOPE 18 July p 9).
In connection with revenue, Commissioners will also have to broach, during Wednesday's seminar, the idea of Budget Commissioner, Michaela Schreyer to put in place a net maximum contribution limit for Member States in relation to their GDP by replacing the British budgetary discount system. The creation of a Community tax could also be on the cards.
During the first seminar on post-2006 financial perspectives in Mid July, President Prodi presented the very controversial Sapir report, which proposed the re-nationalisation of the Common Agricultural Policy and reserving structural funds to the poorest countries and reorientating the rest of the cohesion policy towards a growth support policy (EUROPE 18 July pp 7 and 10).
What cohesion policy for post2006?
The continuation of Objective 1, reserved for the poorest, which currently represents around 70% of structural funds is now acquired. Al the debate focused on the continuation of Objective 2 (recon version) and 3 (employment and training), as well as the Interreg programme (support for interregional cooperation). All at the Commission agreed to promoting competitiveness as a crucial objective of post-2006 Community action but did not agree on working on it in the framework of regional policy, outside of Objective 1. Sector leaders say they are confident that a majority of Commissioners will vote on Wednesday for a continuation of regional policy outside Objective 1, with a new revise Objective 2, which is more targeted and decentralised. In another sector of the Commission it is believed that there is the possibility of changes between the current section 2 (structural actions) and 3 (internal policies) of the budget, for aid outside of Objective 1 to be integrated into internal policies focusing on promoting growth.
The debate on cohesion is closely linked to that on the total amount of financial perspectives. Supporters of continued but revised Objective 2 and Interreg believe that they could be funded if the Community budget rises to at least 1.1% of European Union GDP. It is also linked to the issue of the duration of financial perspectives. It appears that most of the college are looking to reduce its duration from 7 to 5 years. President Prodi wants this, as does Commissioner Schreyer but Commissioner Barnier (Regional Policy) wants 7 years.
Supporters of continued regional policy outside of Objective 1, provide assurances that this policy already possesses competitiveness support experience, indicating that more than 90% of the totality of current cohesions contributes to the realisation of the Lisbon and Gothenburg objectives. They assert that the abandonment of this policy for growth would lead to direct management of calls for tender by the Commission, which would cut the link with the regions and necessitate a high increase in personnel.
The European Commission is expected to present at the end of the year proposals for cohesion policy after 2006 in his third economic and social cohesion report.