Brussels, 01/09/2009 (Agence Europe) - On Tuesday 1 September, Günter Verheugen, Enterprise and Industry Commissioner, presented the legislative proposal amending Directive 200/35/EC on late payments to the committee on the internal market and consumer protection at the European Parliament. Adopted early April by the European Commission, the proposal suggests above all that a 30-day time limit be introduced at European level to be complied with by public authorities for all payments (see EUROPE 9879). Mr Verheugen spoke of the diverse nature of existing national circumstances: - the maximum payment delay for a public procurement contract awarding body is 10 days in the United Kingdom, 14 days in Finland and Ireland, 30 days in Luxembourg and Sweden, 45 days in France, 60 days in Spain and 90 days in Italy. If all payments made by public authorities and private enterprise were made according to schedule, an extra €179 billion in liquidities would circulate in the European economy, the commissioner said. Stressing how difficult it is for the companies concerned to request what is due to them when the public authorities are their main client, he called for speedy adoption of the legislative proposal in codecision procedure.
German Social Democrat Evelyne Gebhardt pointed to the attitude shown by the Commission, which is often criticised for taking too long to pay its contracting parties. Mr Verheugen gave his assurance that the European institution had amended its internal rules of procedure to come into line with the proposal on the table. He spoke of the progress made by the general management under his responsibility when, for assessing the personnel, the criterion of respect of payment times is used. Sylvana Rapti (S&D, Greece) deplored the fact that the existing European rules remain unknown in Greece. In favour of the legislative initiative, Toine Manders (ALDE, NL) would like to make the regime proposed binding, authorising a company to request compensation equivalent to 5% of the amount due as well as compensation for costs incurred in the event of late payment. Michel Barnier (EPP, France) wondered whether the maximum 30-day limit suggested by the Commission might give private enterprises an advantage compared to public enterprises and whether the compensation fixed at 5% would not, at the end of the day, dissuade public players in procurement policy. Catherine Stihler (S&D, UK) said the measures promoting generalised use of electronic payments could prove more effective for combating late payments than imposing financial compensation equivalent to 5% of the market amount. Finally, Alan Kelly (S&D, Ireland) looks favourably upon allowing certain entities to be exempted from the new rules, for example hospitals and certain charities. (M.B./transl.jl)