Mr President, ladies and gentlemen, the draft budget for 2002, both in its Commission section and in the sections relating to the other institutions, deals directly with the financial challenges of enlargement. The two rapporteurs have budgeted for the structural, administrative and logistical needs which the immense challenge of enlargement will very soon present us with. For 2002 we are basically faced with two new structural needs originating from the Nice Summit and not foreseen in Berlin. The first one is caused by the failure of a Community policy, the non-renewal of the fisheries agreement with Morocco, which obliges us to convert part of Portugal and Spain’s fishing fleets, with the great social impact of that conversion on many regions of those countries. The other structural need derives from the very fact that enlargement is imminent. We must respond to the needs of the border regions of the Union, whose competitiveness is being weakened by the imminent application of the freedom of circulation of persons, goods and services. I would like to highlight the fact that the great majority of this Parliament understood both structural needs and supported a joint solution from the outset. However, it has not been simple to respond to both demands. Until the conciliation meeting of 21 November it was not possible to agree on a satisfactory solution, and that means living with an excessive degree of risk. It is therefore very important that we improve the degree of implementation of the appropriations agreed. Issues such as the entry into force of automatic failed commitments and the achievement of a level of payments which allows for the absorption of the leftovers are priorities which this Parliament is happy to have obtained. We do not know which new structural needs we will have to deal with between now and 2006 and a degree of flexibility is therefore necessary within the spending categories, while always respecting the principle of maintaining the current financial perspectives which are now entering the third year of their difficult and eventful life. This acceptance of the financial framework must not, however, lead us to forget how tight it is. This year Afghanistan and the Middle East are the issues which have once again created tension within heading 4. The problem is not the ends, but rather the means used by the Council to achieve them. Nobody disputes the needs of Afghanistan and the Middle East, as well as other international crises which may arise. But this Parliament does not agree with the Council’s way of doing things. The Council is once again making financial commitments in external policy without taking account of Parliament’s political priorities, and furthermore it is doing so with non-obligatory expenses, which complicates even further the task of those Members who want to maintain the current financial framework. We would ask the Council whether it is really so difficult to establish a prior consultation system for external priorities in heading 5? We take very good note of the words of the Commissioner on the possibility of improving the suitability of the legislative and budgetary procedures during next year and we truly welcome what he has said. I would like to congratulate Carlos Costa Neves and also Kathalijne Maria Buitenweg, as well as Francesco Turchi on his report on the Trans-European networks. We would also like to congratulate Terence Wynn on his work as chairman. We believe that Commissioner Schreyer has found a good ally in this Parliament and that we have received good help from the Commissioner. We believe that it has been a good marriage of interests. I would finally like to thank the Council for making the most difficult thing look easy, and that is being here when necessary.

Political group: PPE-DE