Brussels, 10/10/2008 (Agence Europe) - Italy believes that the financial crisis and its likely impact on the real economy and the competitiveness of EU industry will force the EU to have a 'pause for thought' in its talks on the energy and climate package that the French Presidency of the EU wants to get approved by the December 2008 European Council. At the European summit next week, the President of Italy, Silvio Berlusconi will suggest to his counterparts that they 'suspend' their negotiations on the package, explained Italy's Permanent Representative to the EU, Ferdinando Nelli Feroci, to this newsletter. In an interview on 10 October 2008, he said that Italy believed that at this stage, against the backdrop of the financial crisis and its likely impact on the real economy, a pause for thought on the package would be useful or even essential. Until when should the talks be postponed? Ferdinando Nelli Feroci would only comment that a realistic timetable would be far more productive. An impact study on the various aspects of the package on Italian and European industry has recently been carried out in Italy, showing that the cost of the package was excessive in the current climate, he said. The study also demonstrated that the risks to the competitiveness of industry are excessive, particularly if one realises that there is no guarantee that international partners will follow suit, he explained. Both aspects (the financial and economic crisis and the lack of guarantees that international partners will actually participate) lead Italy to conclude that the timetable set by the French Presidency poses serious problems, he said, noting that this was the message that the Italian president would be taking to the European Council next week. Silvio Berlusconi will urge his partners to take a new look at the package in the light of the crisis, he said, noting that if this was rejected by the European Council and the French Presidency were to continue to aim for a decision in December, then Italy would raise a raft of specific issues which it believes are vital in terms of ensuring the package is acceptable, added the ambassador without going into detail.
On Thursday, Ferdinando Nelli Feroci submitted Italy's position to COPEPER. Do other countries back it? Not really, admitted the ambassador, because most other Member States have a great desire to conclude a deal in December. Many delegations, however, want the package to be amended and adjusted for it to be acceptable to them. The ambassador added that there were an incredible number of sometimes contradictory demands to be met, predicting that the talks would be 'tough'. (H.B. transl fl)