Press Release

04 July 2005
For immediate release


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MEPs must ensure structural funds make a positive difference
European Parliament to vote on EU funding rules


European environmental NGOs (Friends of the Earth Europe, BirdLife International, and CEE Bankwatch Network) are calling on Members of the European Parliament (MEPs) today to show that the EU funding represents value for taxpayers' money. The Parliament will vote on 6 July on a package of new regulations for the EU's structural and cohesion funds for the 2007-2013 period [1] - less than three weeks after the EU summit failed to agree on the EU budget. The NGOs are asking MEPs to make EU cohesion policy, which this year represents 32 billion eur, or one third of the EU budget, more efficient, transparent and environmentally sustainable.

The NGOs welcomed the result of the Parliament's Regional Development Committee vote of 24 May, in particular its emphasis on:
- partnership between national, regional and local authorities and civil society in the management of the funds
- financing of urgent environmental priorities including climate change prevention, Natura 2000, and water protection
- rewarding good performance in using the funds

However, in the plenary vote, MEPs must place a stronger emphasis on sustainable development as the overarching principle for all EU funded investments. The regulations must continue to require the EU funds to protect and improve the environment. Moreover, payments for projects with damaging environmental impact must be stopped.

Magda Stoczkiewicz from CEE Bankwatch Network said:

"The current EU troubles show that Europe and its budget badly need more legitimacy. Transparency of the funds as well as partnership between national, regional, local authorities and civil society in the implementation of the funds improves efficiency of the expenditure through better selection of projects. It also leads to better absorption of the funds, curbs potential corruption cases and contributes overall to a democratic and participative political culture. The Parliament should give a strong support to the partnership principle in the regulations for EU funds."

Magda Stoczkiewicz continued:

"The regulations for structural and cohesion funds are one of the most important legislative packages in the European Parliament this year. The EU funds have a great potential to foster sustainable patterns of development and make Europe the most resource and energy efficient
economy in the world - as long as the rules and priorities are set properly. If not, the funds can also cause a lot of damage by supporting environmentally harmful or unnecessarily costly projects
."

Martin Konecny from Friends of the Earth Europe said:

"The four countries which have most benefited from the EU funds (Greece, Ireland, Portugal, Spain) have witnessed by far the greatest increases of greenhouse gas emissions in the EU. In order not to repeat the trend in the new member states, the funding priorities must be shifted towards the three areas of energy efficiency, renewable energy and sustainable transport. Their extensive but underfunded railway and public transport systems and their unused potential for energy savings and renewable energy generation provide clear opportunities for both environmental and economic gains. If the EU is serious about combating the climate change and reaching the Kyoto goals, the structural and cohesion funds must help to achieve that."

Rachel Lee from BirdLife International said:
"European structural funds are unique amongst all other regional funds promoting economic development and regeneration in the member states because they are required to protect and improve the environment. This is essential to achieving the objectives of the EU Sustainable Development Strategy. As well as respecting EU environmental legislation, MEPs should ensure that the funds provide strong support for wider environmental needs such as financing Natura 2000 and implementation of the Water Framework Directive."


CONTACTS:
Rachel Lee, BirdLife International Task Force coordinator: Rachel.Lee@rspb.org.uk, +44 1767 680551
Martin Konecny, Friends of the Earth Europe: Martin.Konecny@foeeurope.org, +32 2 542 01 85
Magda Stoczkiewicz, CEE Bankwatch Network: magdas@foeeurope.org, +32 2 542 01 88


NOTES for editors:
[1] A regulation on the European Regional Development Fund, on the Cohesion Fund and a general regulation on the EU funds for the 2007-2013 period. Legislative proposals were adopted by the Commission in July 2004. Council approval of the package is expected later this year.