Brussels, 08/06/2005 (Agence Europe) - Early this week, the Commission reached an agreement with Greek authorities on the future management of public works contracts in Greece and has established financial corrections for past irregularities. Danuta Hübner, Commissioner for Regional Policy, asserted that the Commission has set financial correction at EUR 518 million for irregular spending declared by the Greek authorities over the 2000-2004 period, and that repayment will be phased over four years to take account of the impact on the Greek budget.
This correction is related to public works contracts which have not been tendered or managed in accordance with European legislation, a Commission press release explains. Furthermore, the Greek authorities: 1) have undertaken to make corrections estimated at around EUR 220 million during this four year period; 2) are in the process of bringing the national legal basis for public procurement fully in line with EU legislation; and 3) have strengthened management and control procedures for the European Regional Development Fund (ERDF). Greece will now have the necessary stability for implementation of the 3rd Community Support Framework (2000-2006) and for preparing the next programming period starting 2007, the press release adds.
Given the considerable effort made by the Greek authorities, Ms Hübner has announced that the Commission will not break off interim payments by the ERDF to Greece.