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Image header Agence Europe
Europe Daily Bulletin No. 8555
Contents Publication in full By article 12 / 27
GENERAL NEWS / (eu) eu/budget

Commission wants to pursue broad guidelines for current regional policy

Brussels, 02/10/2003 (Agence Europe) - During a seminary on Wednesday on the next financial perspectives, the European Commission decided in favour of continuing current regional policy. continuing Objective 1 was acquired buy the Commission discussed at length of maintaining the other regional policy section (Objectives 2 and 3). As most of the issues remain pending, the Commission will have to hold a new seminar in three weeks time before presenting in Mid November, a communication on the new financial framework.

Most Commissioners appear to have been amenable to the arguments of Michel Barnier in favour of continuing regional policy outside of Objective 1. It was suggested that the Objective 2 policy focuses on five major themes (employment and training, knowledge and innovation society, environment and risk prevention, access and competitiveness of territories and only a small part (5%-10%) on spending on Objectives 2 and 3 to projects allocated on the principle of excellence, notably through calls for participation (to concentrate the Lisbon objectives). The Commission has not yet decided whether, as suggested in the session document drafted by Romano Prodi's Cabinet, Objectives 2 and 3 integrating the new section 'growth and competitiveness", while Objective 1 would be part of the "Convergence, Cohesion and Stability Policy". In the entourage of Mr Barnier, it was underlined that this would be preferable for the EU than the whole of the regional policy remaining in a single and the same section.

Commission to propose inserting European Development Funds in EU budget

The Commission also outlined its intentions on the subject of external EU actions. A new section entitled "EU in the World", would include all the spending of the current section 4, including the European Development Funds 5EDF), which is for the instant outside the EU budget but which accounts for EUR 3 bn - one third of this policy. the Commission will present newt week a proposal aiming to budget on the EDF. The current section on pre-accession will be got rid of when aid in favour of Turkey (and possibly Croatia) integrate the section on external actions.

Two other planned changes: integration in the budget of EUR 1 bn a year; the creation of a new section, "Justice and Home Affairs" whose expenditure will rise to at least EUR 1.2 bn.

The question of duration of financial perspectives has not been reached although most of the Commissioner wanted to set up a five year period 2007-2011. Own resources, the Commission will come out with a generalised corrective mechanism that will limit the net contribution of each Member State to a certain percentage of its GNP, which remains to be settled, from a gradual elimination of the current budget discount from which the UK benefits.

During the next seminar on financial perspectives after 2006, the Commission is expected to examine the delicate subject of data. For the instant, the Commission is not ruling out any scenario (either increasing the budget to the current ceiling of 1.24% of European GDP or remaining at the current level of 1% of GDP, or increasing the current ceiling that has been fixed). Certain Commission sources say that respect for the current 1.0% level corresponds to a "message that we're getting"..anything that went beyond would demand good justification of our policies", added the same source.

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GENERAL NEWS