# Official Journal C 182/2008

| | ISSN 1725-2423 |
| --- | --- |
| Official Journal
  of the European Union | C 182 |
| | |
| English edition | Information and Notices | Volume 5119 July 2008 |

ISSN 1725-2423

Official Journal

of the European Union

C 182

English edition

Information and Notices

Volume 5119 July 2008

---

| Notice No | Contents | page |
| --- | --- | --- |
| | I   Resolutions, recommendations and opinions |
| | OPINIONS |
| | Council |
| 2008/C 182/01 | Council opinion of 8 July 2008 on the updated stability programme of Belgium, 2007-2011 | 1 |
| 2008/C 182/02 | Council opinion of 8 July 2008 on the updated convergence programme of Poland, 2007-2010 | 6 |

Notice No

Contents

page

I   Resolutions, recommendations and opinions

OPINIONS

Council

2008/C 182/01

Council opinion of 8 July 2008 on the updated stability programme of Belgium, 2007-2011

1

2008/C 182/02

Council opinion of 8 July 2008 on the updated convergence programme of Poland, 2007-2010

6

| | II   Information |
| --- | --- |
| | INFORMATION FROM EUROPEAN UNION INSTITUTIONS AND BODIES |
| | Commission |
| 2008/C 182/03 | Authorisation for State aid pursuant to Articles 87 and 88 of the EC Treaty — Cases where the Commission raises no objections | 10 |
| 2008/C 182/04 | Authorisation for State aid pursuant to Articles 87 and 88 of the EC Treaty — Cases where the Commission raises no objections | 13 |
| 2008/C 182/05 | Non-opposition to a notified concentration (Case COMP/M.5182 — Shell/BP/AFS/Globefuel) (
  1
  ) | 15 |
| 2008/C 182/06 | Non-opposition to a notified concentration (Case COMP/M.5134 — Spar/Plus Hungary) (
  1
  ) | 15 |

II   Information

INFORMATION FROM EUROPEAN UNION INSTITUTIONS AND BODIES

Commission

2008/C 182/03

Authorisation for State aid pursuant to Articles 87 and 88 of the EC Treaty — Cases where the Commission raises no objections

10

2008/C 182/04

Authorisation for State aid pursuant to Articles 87 and 88 of the EC Treaty — Cases where the Commission raises no objections

13

2008/C 182/05

Non-opposition to a notified concentration (Case COMP/M.5182 — Shell/BP/AFS/Globefuel) (
  1
  )

1

15

2008/C 182/06

Non-opposition to a notified concentration (Case COMP/M.5134 — Spar/Plus Hungary) (
  1
  )

1

15

| | IV   Notices |
| --- | --- |
| | NOTICES FROM EUROPEAN UNION INSTITUTIONS AND BODIES |
| | Commission |
| 2008/C 182/07 | Euro exchange rates | 16 |
| 2008/C 182/08 | Communication on the application and future development of Community legislation concerning vehicle emissions from light-duty vehicles and access to repair and maintenance information (Euro 5 and 6) | 17 |
| | NOTICES FROM MEMBER STATES |
| 2008/C 182/09 | Extract of winding-up measure decided under Article 9 of Directive 2001/24/EC of the European Parliament and of the Council on the reorganization and winding-up of credit institutions concerning JSC OGRES KOMERCBANKA | 21 |

IV   Notices

NOTICES FROM EUROPEAN UNION INSTITUTIONS AND BODIES

Commission

2008/C 182/07

Euro exchange rates

16

2008/C 182/08

Communication on the application and future development of Community legislation concerning vehicle emissions from light-duty vehicles and access to repair and maintenance information (Euro 5 and 6)

17

NOTICES FROM MEMBER STATES

2008/C 182/09

Extract of winding-up measure decided under Article 9 of Directive 2001/24/EC of the European Parliament and of the Council on the reorganization and winding-up of credit institutions concerning JSC OGRES KOMERCBANKA

21

| | V   Announcements |
| --- | --- |
| | PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMMON COMMERCIAL POLICY |
| | Commission |
| 2008/C 182/10 | Notice of the impending expiry of certain anti-dumping measures concerning imports of silicon originating in Russia | 22 |
| | PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMPETITION POLICY |
| | Commission |
| 2008/C 182/11 | Communication from the French Government concerning Directive 94/22/EC of the European Parliament and of the Council on the conditions for granting and using authorisations for the prospection, exploration and production of hydrocarbons (Notice regarding an application for an exclusive licence to prospect for liquid and gaseous hydrocarbons, designated the Yvelines Licence)
   (
  1
  ) | 23 |
| 2008/C 182/12 | Prior notification of a concentration (Case COMP/M.5221 — Kenwood/JVC/Holdco) (
  1
  ) | 25 |

V   Announcements

PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMMON COMMERCIAL POLICY

Commission

2008/C 182/10

Notice of the impending expiry of certain anti-dumping measures concerning imports of silicon originating in Russia

22

PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMPETITION POLICY

Commission

2008/C 182/11

Communication from the French Government concerning Directive 94/22/EC of the European Parliament and of the Council on the conditions for granting and using authorisations for the prospection, exploration and production of hydrocarbons (Notice regarding an application for an exclusive licence to prospect for liquid and gaseous hydrocarbons, designated the Yvelines Licence)
   (
  1
  )

(Notice regarding an application for an exclusive licence to prospect for liquid and gaseous hydrocarbons, designated the Yvelines Licence)

1

23

2008/C 182/12

Prior notification of a concentration (Case COMP/M.5221 — Kenwood/JVC/Holdco) (
  1
  )

1

25

| | |
| --- | --- |
| | (1)   Text with EEA relevance |

---

(1)   Text with EEA relevance

1

| EN | |
| --- | --- |

EN

---

I Resolutions, recommendations and opinions

OPINIONS

Council

| 19.7.2008 | EN | Official Journal of the European Union | C 182/1 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/1

---

COUNCIL OPINION

of 8 July 2008

on the updated stability programme of Belgium, 2007-2011

(2008/C 182/01)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No 1466/97 of 7 July 1997 on the strengthening of the surveillance of budgetary positions and the surveillance and coordination of economic policies (1), and in particular Article 5(3) thereof,

Having regard to the recommendation of the Commission,

After consulting the Economic and Financial Committee,

HAS DELIVERED THIS OPINION:

| (1) | On 8 July 2008, the Council examined the updated stability programme of Belgium, which covers the period 2007 to 2011 (2). |
| --- | --- |

(1)

On 8 July 2008, the Council examined the updated stability programme of Belgium, which covers the period 2007 to 2011 (2).

| (2) | Over the last 10 years, real GDP has grown by some 2,25 % on average, slightly above the average growth rate in the euro area. This relatively high GDP growth led to a decline in the unemployment rate, while the employment rate (especially of the younger and older workers) and the hours worked remain low, reflecting high labour taxation and labour market rigidities, low job search requirements and a low effective retirement age.
  The budget has been hovering around a balanced position since 2000 (except in 2005), and the debt ratio, which had fallen from 134 % of GDP in 1993 to 108 % of GDP in 2000, continued its impressive decline and is now below 85 % of GDP. Increasing the employment rate, together with ambitious budgetary positions, would contribute to the long-term sustainability of public finances. |
| --- | --- |

(2)

Over the last 10 years, real GDP has grown by some 2,25 % on average, slightly above the average growth rate in the euro area. This relatively high GDP growth led to a decline in the unemployment rate, while the employment rate (especially of the younger and older workers) and the hours worked remain low, reflecting high labour taxation and labour market rigidities, low job search requirements and a low effective retirement age.

The budget has been hovering around a balanced position since 2000 (except in 2005), and the debt ratio, which had fallen from 134 % of GDP in 1993 to 108 % of GDP in 2000, continued its impressive decline and is now below 85 % of GDP. Increasing the employment rate, together with ambitious budgetary positions, would contribute to the long-term sustainability of public finances.

| (3) | The macroeconomic scenario underlying the programme projects real GDP growth to fall from 2,8 % in 2007 to 1,9 % in 2008 and stabilise around 2 % in the following years. Assessed against currently available information (3), the scenario for 2008 and 2009 appears to be based on favourable growth assumptions given the deteriorated external environment and higher inflation since the projections included in the programme were finalised. Growth assumptions for 2010-2011 are broadly plausible. The programme update expects inflation to rise to 3 % in 2008, and to slow down to 1,75 % over the period 2009-2011. The programme's inflation projections for 2008-2009 appear to be on the low side in view of the marked rise in commodity and processed food prices in recent months. Furthermore, the employment growth projections of around 1 % per annum in the programme update appear to be relatively high in view of below-potential GDP growth throughout the programme period. While the programme's wage growth projections are on the low side for 2008, they appear high for the following years (3,25-3,5 %), especially compared to the projected low inflation rate. |
| --- | --- |

(3)

The macroeconomic scenario underlying the programme projects real GDP growth to fall from 2,8 % in 2007 to 1,9 % in 2008 and stabilise around 2 % in the following years. Assessed against currently available information (3), the scenario for 2008 and 2009 appears to be based on favourable growth assumptions given the deteriorated external environment and higher inflation since the projections included in the programme were finalised. Growth assumptions for 2010-2011 are broadly plausible. The programme update expects inflation to rise to 3 % in 2008, and to slow down to 1,75 % over the period 2009-2011. The programme's inflation projections for 2008-2009 appear to be on the low side in view of the marked rise in commodity and processed food prices in recent months. Furthermore, the employment growth projections of around 1 % per annum in the programme update appear to be relatively high in view of below-potential GDP growth throughout the programme period. While the programme's wage growth projections are on the low side for 2008, they appear high for the following years (3,25-3,5 %), especially compared to the projected low inflation rate.

| (4) | For 2007, the general government deficit was 0,2 % of GDP, against a surplus target of 0,3 % of GDP set in the previous update of the stability programme. The worse outturn in 2007 was mainly due to higher expenditure growth than planned and occurred despite a positive growth surprise. Higher-than-planned expenditure reflected, in particular, a strong increase in subsidies paid to companies under the service voucher scheme and a lower-than-expected impact of one-off measures mainly due to the non-implementation of planned expenditure decreasing one-offs. Social contributions were higher than planned but this was largely compensated by the non-implementation of a number of planned revenue-increasing one-offs.
  The budgetary implementation in 2007 was thus not fully in line with the invitation in the Council opinion of 27 March 2007 on the previous update of the stability programme (4) and with the April 2007 Eurogroup orientations for budgetary policies, since unexpected extra revenue was used for higher-than-budgeted expenditure. |
| --- | --- |

(4)

For 2007, the general government deficit was 0,2 % of GDP, against a surplus target of 0,3 % of GDP set in the previous update of the stability programme. The worse outturn in 2007 was mainly due to higher expenditure growth than planned and occurred despite a positive growth surprise. Higher-than-planned expenditure reflected, in particular, a strong increase in subsidies paid to companies under the service voucher scheme and a lower-than-expected impact of one-off measures mainly due to the non-implementation of planned expenditure decreasing one-offs. Social contributions were higher than planned but this was largely compensated by the non-implementation of a number of planned revenue-increasing one-offs.

The budgetary implementation in 2007 was thus not fully in line with the invitation in the Council opinion of 27 March 2007 on the previous update of the stability programme (4) and with the April 2007 Eurogroup orientations for budgetary policies, since unexpected extra revenue was used for higher-than-budgeted expenditure.

| (5) | The main goal of the medium-term budgetary strategy in the programme is to ensure a continuous reduction of the still high debt ratio of close to 85 % of GDP in 2007 to around 71 % of GDP in 2011 through a gradual build-up of headline budgetary surpluses to 1 % of GDP in 2011, starting from a balanced budget in 2008. The primary surplus, which has been decreasing since 2001 (from 7 % to 3,7 % of GDP in 2007) in parallel to the progress in debt reduction, is projected to increase to 4,4 % of GDP by 2011. As a result of the worse-than-expected outturn in 2007, the budgetary targets (both in nominal and structural terms) are below the ones in the previous update throughout the programme period. The structural balance, calculated according to the commonly agreed methodology, is expected to improve from a deficit of 0,25 % of GDP in 2007 to a surplus of almost 1,5 % of GDP in 2011. Compared to what was envisaged in the previous update of the stability programme, the achievement of the medium-term objective (MTO) — a surplus of 0,5 % of GDP in structural terms (i.e. in cyclically-adjusted terms net of one-off and other temporary measures) — is delayed by one year to 2009. The adjustment takes place on both the expenditure and revenue side. The planned expenditure reduction of 0,7 percentage point of GDP in nominal terms is attributable chiefly to a fall in interest expenditure which results from the projected decline in the debt ratio. The revenue increase amounts to 0,5 % of GDP and follows from the expected growth of tax bases. In contrast to the previous update, the programme explicitly foresees no further recourse to one-off measures after 2008. |
| --- | --- |

(5)

The main goal of the medium-term budgetary strategy in the programme is to ensure a continuous reduction of the still high debt ratio of close to 85 % of GDP in 2007 to around 71 % of GDP in 2011 through a gradual build-up of headline budgetary surpluses to 1 % of GDP in 2011, starting from a balanced budget in 2008. The primary surplus, which has been decreasing since 2001 (from 7 % to 3,7 % of GDP in 2007) in parallel to the progress in debt reduction, is projected to increase to 4,4 % of GDP by 2011. As a result of the worse-than-expected outturn in 2007, the budgetary targets (both in nominal and structural terms) are below the ones in the previous update throughout the programme period. The structural balance, calculated according to the commonly agreed methodology, is expected to improve from a deficit of 0,25 % of GDP in 2007 to a surplus of almost 1,5 % of GDP in 2011. Compared to what was envisaged in the previous update of the stability programme, the achievement of the medium-term objective (MTO) — a surplus of 0,5 % of GDP in structural terms (i.e. in cyclically-adjusted terms net of one-off and other temporary measures) — is delayed by one year to 2009. The adjustment takes place on both the expenditure and revenue side. The planned expenditure reduction of 0,7 percentage point of GDP in nominal terms is attributable chiefly to a fall in interest expenditure which results from the projected decline in the debt ratio. The revenue increase amounts to 0,5 % of GDP and follows from the expected growth of tax bases. In contrast to the previous update, the programme explicitly foresees no further recourse to one-off measures after 2008.

| (6) | The budgetary outcomes could be worse than projected in the programme. First, the macroeconomic environment could be worse than projected in the programme update, especially in 2008 and 2009. In particular, the favourable assumptions regarding employment, wage and consumption growth may have led to an overestimation of tax revenue. In addition, the expected overall tax elasticity seems on the high side in 2008. Regarding primary expenditure, the programme does not include measures that seem necessary to achieve the planned adjustment in a context of rising ageing-related costs and relatively strong projected wage increases. Moreover, excluding the reduction in interest expenditure, the composition of the adjustment is geared strongly to the revenue side, possibly reducing the sustainability of the adjustment. Finally, whilst the budget remained broadly in balance over the last years, the achievement of the aimed-for budget surpluses was postponed. In spite of the good macroeconomic conditions in 2007, the budgetary target was not reached in the absence of a government with full powers following the federal elections in June. In 2008, further measures seem necessary to achieve the target. In view of the risks to the macroeconomic outlook and the budgetary targets mentioned above, the development of the debt ratio is likely to be somewhat less favourable than projected in the programme, although the debt remains on a firm downward path. |
| --- | --- |

(6)

The budgetary outcomes could be worse than projected in the programme. First, the macroeconomic environment could be worse than projected in the programme update, especially in 2008 and 2009. In particular, the favourable assumptions regarding employment, wage and consumption growth may have led to an overestimation of tax revenue. In addition, the expected overall tax elasticity seems on the high side in 2008. Regarding primary expenditure, the programme does not include measures that seem necessary to achieve the planned adjustment in a context of rising ageing-related costs and relatively strong projected wage increases. Moreover, excluding the reduction in interest expenditure, the composition of the adjustment is geared strongly to the revenue side, possibly reducing the sustainability of the adjustment. Finally, whilst the budget remained broadly in balance over the last years, the achievement of the aimed-for budget surpluses was postponed. In spite of the good macroeconomic conditions in 2007, the budgetary target was not reached in the absence of a government with full powers following the federal elections in June. In 2008, further measures seem necessary to achieve the target. In view of the risks to the macroeconomic outlook and the budgetary targets mentioned above, the development of the debt ratio is likely to be somewhat less favourable than projected in the programme, although the debt remains on a firm downward path.

| (7) | In view of this risk assessment, the budgetary stance in the programme may not be sufficient to ensure that the MTO is achieved by 2009, as envisaged in the programme. However, a sufficient safety margin against breaching the 3 % of GDP deficit threshold with normal cyclical fluctuations will be provided throughout the programme period. Additional structural budgetary measures should be undertaken in 2008 in the context of the planned budget control exercise to strengthen the pace of adjustment towards MTO.
  This will ensure that the objective of a balanced budget is met in 2008 in the absence of negative growth surprises. In 2009, it should be backed up by measures, in particular on the expenditure side, to be in line with the 0,5 % of GDP benchmark improvement specified in the Stability and Growth Pact and to reach the MTO as planned. The Council also notes that the budgetary plans for 2008 are not fully consistent with the April 2007 Eurogroup orientations for budgetary policies. Although the debt ratio may decrease less than projected in the programme, it seems to be sufficiently diminishing towards the reference value over the programme period. |
| --- | --- |

(7)

In view of this risk assessment, the budgetary stance in the programme may not be sufficient to ensure that the MTO is achieved by 2009, as envisaged in the programme. However, a sufficient safety margin against breaching the 3 % of GDP deficit threshold with normal cyclical fluctuations will be provided throughout the programme period. Additional structural budgetary measures should be undertaken in 2008 in the context of the planned budget control exercise to strengthen the pace of adjustment towards MTO.

This will ensure that the objective of a balanced budget is met in 2008 in the absence of negative growth surprises. In 2009, it should be backed up by measures, in particular on the expenditure side, to be in line with the 0,5 % of GDP benchmark improvement specified in the Stability and Growth Pact and to reach the MTO as planned. The Council also notes that the budgetary plans for 2008 are not fully consistent with the April 2007 Eurogroup orientations for budgetary policies. Although the debt ratio may decrease less than projected in the programme, it seems to be sufficiently diminishing towards the reference value over the programme period.

| (8) | Belgium appears to be at medium risk with regard to the sustainability of public finances. The long-term budgetary impact of ageing is above the EU-27 average, influenced notably by a relatively high increase in pension expenditure as a share of GDP over the coming decades. The effective retirement age in Belgium is one of the lowest in the EU, and raising it is the aim of the Generation Pact which brought a number of changes to the pension system. Although this represents a step in the right direction, national projections show that this reform would not reduce the sustainability gaps. The budgetary position in 2007 as estimated in the programme, though slightly worse than the starting position of the previous programme, contributes to offsetting the projected long-term budgetary impact of population ageing but is not sufficient to fully offset future spending pressures. Maintaining high primary surpluses over the medium term, bringing the debt ratio below the Treaty reference value and implementing further measures aimed at addressing the substantial increase in age-related expenditure would contribute to reducing risks to the sustainability of public finances. |
| --- | --- |

(8)

Belgium appears to be at medium risk with regard to the sustainability of public finances. The long-term budgetary impact of ageing is above the EU-27 average, influenced notably by a relatively high increase in pension expenditure as a share of GDP over the coming decades. The effective retirement age in Belgium is one of the lowest in the EU, and raising it is the aim of the Generation Pact which brought a number of changes to the pension system. Although this represents a step in the right direction, national projections show that this reform would not reduce the sustainability gaps. The budgetary position in 2007 as estimated in the programme, though slightly worse than the starting position of the previous programme, contributes to offsetting the projected long-term budgetary impact of population ageing but is not sufficient to fully offset future spending pressures. Maintaining high primary surpluses over the medium term, bringing the debt ratio below the Treaty reference value and implementing further measures aimed at addressing the substantial increase in age-related expenditure would contribute to reducing risks to the sustainability of public finances.

| (9) | The stability programme seems to be consistent to some extent with the October 2007 implementation report of the national reform programme. In particular, both reports consider the sustainability of public finances in light of population ageing as a key challenge for the Belgium economy. The stability programme however does not contain a qualitative assessment of the overall impact of the October 2007 implementation report of the national reform programme within the medium-term fiscal strategy nor systematic information on the direct budgetary costs or savings of the main reforms envisaged in the national reform programme. On the other hand, the budgetary projections of the programme take into account the public finance implications of the actions already implemented on the basis of the national reform programme. |
| --- | --- |

(9)

The stability programme seems to be consistent to some extent with the October 2007 implementation report of the national reform programme. In particular, both reports consider the sustainability of public finances in light of population ageing as a key challenge for the Belgium economy. The stability programme however does not contain a qualitative assessment of the overall impact of the October 2007 implementation report of the national reform programme within the medium-term fiscal strategy nor systematic information on the direct budgetary costs or savings of the main reforms envisaged in the national reform programme. On the other hand, the budgetary projections of the programme take into account the public finance implications of the actions already implemented on the basis of the national reform programme.

| (10) | The budgetary strategy in the programme is broadly consistent with the country-specific broad economic policy guidelines included in the integrated guidelines and the guidelines for euro area Member States in the area of budgetary policies issued in the context of the Lisbon strategy. |
| --- | --- |

(10)

The budgetary strategy in the programme is broadly consistent with the country-specific broad economic policy guidelines included in the integrated guidelines and the guidelines for euro area Member States in the area of budgetary policies issued in the context of the Lisbon strategy.

| (11) | As regards the data requirements specified in the code of conduct for stability and convergence programmes, the programme has some gaps in the required and optional data (5). |
| --- | --- |

(11)

As regards the data requirements specified in the code of conduct for stability and convergence programmes, the programme has some gaps in the required and optional data (5).

The overall conclusion is that, after an impressive reduction in the debt ratio since 1993 to 85 % in 2007, the programme envisages a continued and rapid reduction through a gradual build-up of headline surpluses following the budgetary deterioration in 2007. The budgetary consolidation mainly builds upon a reduction in interest expenditure and an increase in tax revenue, while efforts on primary expenditure remain small. There are risks to the achievement of the budgetary targets particularly in view of the relatively favourable underlying macroeconomic assumptions and the fact that the programme does not specify measures which seem required to meet the targets. Therefore, in the absence of additional measures, the adjustment to the MTO in 2008 does not appear to be sufficient and it seems unlikely that the MTO will be met in 2009, as planned.

In view of the above assessment and also in the light of the April 2007 Eurogroup orientations for fiscal policies Belgium is invited to:

| (i) | implement additional structural budgetary measures to ensure that the objective of a balanced budget is met in 2008 in the absence of negative growth surprises. And ensure that the MTO is obtained in 2009 by carrying out the benchmark adjustment in structural terms of 0,5 % of GDP, including through the implementation of additional structural measures, in particular on the expenditure side; |
| --- | --- |

(i)

implement additional structural budgetary measures to ensure that the objective of a balanced budget is met in 2008 in the absence of negative growth surprises. And ensure that the MTO is obtained in 2009 by carrying out the benchmark adjustment in structural terms of 0,5 % of GDP, including through the implementation of additional structural measures, in particular on the expenditure side;

| (ii) | in the light of the still high level of debt and the projected increase in age-related expenditure, continue addressing the long-term sustainability of public finances by achieving high structural primary surpluses as well as by implementing reforms to increase the employment rate and potential growth and to contain the budgetary cost of ageing. |
| --- | --- |

(ii)

in the light of the still high level of debt and the projected increase in age-related expenditure, continue addressing the long-term sustainability of public finances by achieving high structural primary surpluses as well as by implementing reforms to increase the employment rate and potential growth and to contain the budgetary cost of ageing.

Comparison of key macroeconomic and budgetary projections

| | | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 |
| --- | --- | --- | --- | --- | --- | --- | --- |
| Real GDP
  (% change) | SP Apr 2008 | 2,8 | 2,7 | 1,9 | 2,0 | 2,0 | 2,0 |
| COM Apr 2008 | 2,8 | 2,7 | 1,7 | 1,5 | n.a. | n.a. |
| SP Dec 2006 | 2,7 | 2,2 | 2,1 | 2,2 | 2,2 | n.a. |
| HICP inflation
  (%) | SP Apr 2008 | 2,3 | 1,8 | 3,0 | 1,7 | 1,8 | 1,8 |
| COM Apr 2008 | 2,3 | 1,8 | 3,6 | 2,3 | n.a. | n.a. |
| SP Dec 2006 | 2,4 | 1,9 | 1,8 | 1,8 | 1,9 | n.a. |
| Output gap (6)

  (% of potential GDP) | SP Apr 2008 | 0,1 | 0,3 | – 0,1 | – 0,4 | – 0,5 | – 0,8 |
| COM Apr 2008 (7) | 0,1 | 0,3 | – 0,3 | – 1,0 | n.a. | n.a. |
| SP Dec 2006 | – 0,3 | – 0,4 | – 0,4 | – 0,4 | – 0,3 | n.a. |
| Net lending/borrowing vis-à-vis the rest of the world
  (% of GDP) | SP Apr 2008 | n.a. | n.a. | n.a. | n.a. | n.a. | n.a. |
| COM Apr 2008 | 3,4 | 3,2 | 2,6 | 2,4 | n.a. | n.a. |
| SP Dec 2006 | 2,0 | 2,0 | 2,2 | 2,4 | 2,7 | n.a. |
| General government balance
  (% of GDP) | SP Apr 2008 | 0,3 | – 0,2 | 0,0 | 0,3 | 0,7 | 1,0 |
| COM Apr 2008 | 0,3 | – 0,2 | – 0,4 | – 0,6 | n.a. | n.a. |
| SP Dec 2006 | 0,0 | 0,3 | 0,5 | 0,7 | 0,9 | n.a. |
| Primary balance
  (% of GDP) | SP Apr 2008 | 4,3 | 3,7 | 3,7 | 3,8 | 4,1 | 4,3 |
| COM Apr 2008 | 4,3 | 3,7 | 3,3 | 2,9 | n.a. | n.a. |
| SP Dec 2006 | 4,1 | 4,2 | 4,1 | 4,1 | 4,2 | n.a. |
| Cyclically-adjusted balance (6)

  (% of GDP) | SP Apr 2008 | 0,3 | – 0,4 | 0,0 | 0,5 | 1,0 | 1,4 |
| COM Apr 2008 | 0,3 | – 0,3 | – 0,2 | – 0,1 | n.a. | n.a. |
| SP Dec 2006 | 0,2 | 0,5 | 0,7 | 0,9 | 1,1 | n.a. |
| Structural balance (8)

  (% of GDP) | SP Apr 2008 | – 0,4 | – 0,3 | 0,0 | 0,5 | 1,0 | 1,4 |
| COM Apr 2008 | – 0,6 | – 0,3 | – 0,2 | – 0,1 | n.a. | n.a. |
| SP Dec 2006 (9) | – 0,4 | 0,1 | n.a. | n.a. | n.a. | n.a. |
| Government gross debt
  (% of GDP) | SP Apr 2008 | 88,2 | 84,9 | 81,5 | 78,1 | 74,7 | 71,1 |
| COM Apr 2008 | 88,2 | 84,9 | 81,9 | 79,9 | n.a. | n.a. |
| SP Dec 2006 | 87,7 | 83,9 | 80,4 | 76,6 | 72,6 | n.a. |
| Stability programme (SP); Commission services' spring 2008 economic forecasts (COM); Commission services' calculations. |

2006

2007

2008

2009

2010

2011

Real GDP

(% change)

SP Apr 2008

2,8

2,7

1,9

2,0

2,0

2,0

COM Apr 2008

2,8

2,7

1,7

1,5

n.a.

n.a.

SP Dec 2006

2,7

2,2

2,1

2,2

2,2

n.a.

HICP inflation

(%)

SP Apr 2008

2,3

1,8

3,0

1,7

1,8

1,8

COM Apr 2008

2,3

1,8

3,6

2,3

n.a.

n.a.

SP Dec 2006

2,4

1,9

1,8

1,8

1,9

n.a.

Output gap (6)

(% of potential GDP)

SP Apr 2008

0,1

0,3

– 0,1

– 0,4

– 0,5

– 0,8

COM Apr 2008 (7)

0,1

0,3

– 0,3

– 1,0

n.a.

n.a.

SP Dec 2006

– 0,3

– 0,4

– 0,4

– 0,4

– 0,3

n.a.

Net lending/borrowing vis-à-vis the rest of the world

(% of GDP)

SP Apr 2008

n.a.

n.a.

n.a.

n.a.

n.a.

n.a.

COM Apr 2008

3,4

3,2

2,6

2,4

n.a.

n.a.

SP Dec 2006

2,0

2,0

2,2

2,4

2,7

n.a.

General government balance

(% of GDP)

SP Apr 2008

0,3

– 0,2

0,0

0,3

0,7

1,0

COM Apr 2008

0,3

– 0,2

– 0,4

– 0,6

n.a.

n.a.

SP Dec 2006

0,0

0,3

0,5

0,7

0,9

n.a.

Primary balance

(% of GDP)

SP Apr 2008

4,3

3,7

3,7

3,8

4,1

4,3

COM Apr 2008

4,3

3,7

3,3

2,9

n.a.

n.a.

SP Dec 2006

4,1

4,2

4,1

4,1

4,2

n.a.

Cyclically-adjusted balance (6)

(% of GDP)

SP Apr 2008

0,3

– 0,4

0,0

0,5

1,0

1,4

COM Apr 2008

0,3

– 0,3

– 0,2

– 0,1

n.a.

n.a.

SP Dec 2006

0,2

0,5

0,7

0,9

1,1

n.a.

Structural balance (8)

(% of GDP)

SP Apr 2008

– 0,4

– 0,3

0,0

0,5

1,0

1,4

COM Apr 2008

– 0,6

– 0,3

– 0,2

– 0,1

n.a.

n.a.

SP Dec 2006 (9)

– 0,4

0,1

n.a.

n.a.

n.a.

n.a.

Government gross debt

(% of GDP)

SP Apr 2008

88,2

84,9

81,5

78,1

74,7

71,1

COM Apr 2008

88,2

84,9

81,9

79,9

n.a.

n.a.

SP Dec 2006

87,7

83,9

80,4

76,6

72,6

n.a.

Stability programme (SP); Commission services' spring 2008 economic forecasts (COM); Commission services' calculations.

---

(1)  OJ L 209, 2.8.1997, p. 1. Regulation as amended by Regulation (EC) No 1055/2005 (OJ L 174, 7.7.2005, p. 1). The documents referred to in this text can be found at the following website:

http://ec.europa.eu/economy_finance/about/activities/sgp/main_en.htm

(2)  The update was submitted once a government with full powers had been installed, thus well beyond the 1 December deadline set in the code of conduct.

(3)  The assessment takes notably into account the Commission services' spring 2008 forecast and the Commission assessment of the October 2007 implementation report of the national reform programme.

(4)  OJ C 89, 24.4.2007, p. 2.

(5)  In particular, the data on the sectoral balances are not provided.

(6)  Output gaps and cyclically-adjusted balances from the programmes as recalculated by Commission services on the basis of the information in the programmes.

(7)  Based on estimated potential growth of 2,5 %, 2,5 %, 2,2 % and 2,2 % respectively in the period 2006-2009.

(8)  Cyclically-adjusted balance excluding one-off and other temporary measures. According to the most recent programme, one-off and other temporary measures are deficit-reducing for 0,7 % of GDP in 2006 and deficit-increasing for 0,1 % of GDP in 2007. According to the Commission services' spring forecast, one-off and other temporary measures are deficit-reducing for 0,9 % of GDP in 2006 and deficit-increasing for 0,1 % in 2007.

(9)  The December 2006 update of the stability programme did not provide information on the use of one-off measures in the years 2008 to 2010.

Source:

Stability programme (SP); Commission services' spring 2008 economic forecasts (COM); Commission services' calculations.

---

| 19.7.2008 | EN | Official Journal of the European Union | C 182/6 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/6

---

COUNCIL OPINION

of 8 July 2008

on the updated convergence programme of Poland, 2007-2010

(2008/C 182/02)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to Council Regulation (EC) No 1466/97 of 7 July 1997 on the strengthening of the surveillance of budgetary positions and the surveillance and coordination of economic policies (1), and in particular Article 9(3) thereof,

Having regard to the recommendation of the Commission,

After consulting the Economic and Financial Committee,

HAS DELIVERED THIS OPINION:

| (1) | On 8 July 2008, the Council examined the updated convergence programme of Poland, which covers the period 2007 to 2010 (2). |
| --- | --- |

(1)

On 8 July 2008, the Council examined the updated convergence programme of Poland, which covers the period 2007 to 2010 (2).

| (2) | Poland made recently progress in closing the gap with average EU income levels as real GDP growth picked up from around 4,5 % on average in 2003-2005 to above 6 % in 2006-2007. The labour-intensive output growth improved considerably the situation in the labour market as unemployment dropped from nearly 20 % in 2003 to 9,5 % in 2007. The fall in unemployment reflects, in addition to an extraordinary growth in employment, a shrinking labour force due to migration. Moreover, distortions of incentives to work enhanced by significant emigration increase the shortage of labour in some sectors. The tightening labour market puts pressure on wages; this, along with higher food and oil prices, has impacted negatively on HICP inflation which, after a period of successful moderation from 2005 to the first half of 2007, picked up significantly at the end of 2007. Since peaking at 6,25 % of GDP in 2003, the general government deficit declined on average by more than 1 percentage point annually to reach 2 % of GDP in 2007. In recent years, outturns were generally better than the targets thanks to positive growth surprises resulting in windfall revenues as well as the incomplete execution of expenditure plans. Further budgetary consolidation will hinge crucially on the reform of the social transfer system (mainly early pensions and disability benefits) and the increase of labour participation. |
| --- | --- |

(2)

Poland made recently progress in closing the gap with average EU income levels as real GDP growth picked up from around 4,5 % on average in 2003-2005 to above 6 % in 2006-2007. The labour-intensive output growth improved considerably the situation in the labour market as unemployment dropped from nearly 20 % in 2003 to 9,5 % in 2007. The fall in unemployment reflects, in addition to an extraordinary growth in employment, a shrinking labour force due to migration. Moreover, distortions of incentives to work enhanced by significant emigration increase the shortage of labour in some sectors. The tightening labour market puts pressure on wages; this, along with higher food and oil prices, has impacted negatively on HICP inflation which, after a period of successful moderation from 2005 to the first half of 2007, picked up significantly at the end of 2007. Since peaking at 6,25 % of GDP in 2003, the general government deficit declined on average by more than 1 percentage point annually to reach 2 % of GDP in 2007. In recent years, outturns were generally better than the targets thanks to positive growth surprises resulting in windfall revenues as well as the incomplete execution of expenditure plans. Further budgetary consolidation will hinge crucially on the reform of the social transfer system (mainly early pensions and disability benefits) and the increase of labour participation.

| (3) | The macroeconomic scenario underlying the programme envisages that real GDP growth will gradually decrease from 6,5 % in 2007 to 5,2 % on average over the rest of the programme period. Assessed against currently available information (3), this scenario appears to be based on plausible growth assumptions. The programme's projections for inflation appear to be on the low side reflecting slightly favourable assumptions on import prices and a relatively low increase in nominal compensation per employee. |
| --- | --- |

(3)

The macroeconomic scenario underlying the programme envisages that real GDP growth will gradually decrease from 6,5 % in 2007 to 5,2 % on average over the rest of the programme period. Assessed against currently available information (3), this scenario appears to be based on plausible growth assumptions. The programme's projections for inflation appear to be on the low side reflecting slightly favourable assumptions on import prices and a relatively low increase in nominal compensation per employee.

| (4) | The 2007 general government deficit outturn was 2 % of GDP, compared to 3,4 % projected in the November 2006 convergence programme. Much higher real and nominal GDP growth than assumed in November 2006 was the main reason, but expenditure was also restrained. In particular, high profitability of companies allowed for growth in subsidies to be contained, while the rapid fall in unemployment and the absence of indexation imposed by the Hausner plan (4) also curtailed growth in social transfers. In addition, compensation of public sector employees was lower than planned. Finally, government investment was lower than projected because of a slower absorption of EU funds than planned. Overall, the expenditure-to-GDP ratio was 1,5 percentage point lower than projected in November 2006. On the revenue side, revenue from indirect taxes and social contributions turned out better than envisaged in November 2006, mainly thanks to a much higher employment and wage growth. These positive surprises were offset by a lower performance of other revenue items (direct taxes due to an increase in tax brackets). Overall, this led to a revenue ratio slightly below the planned one. With an improvement in the structural balance ratio by about 1,5 percentage point, budgetary implementation in the year 2007 more than fulfilled the invitation in the Council opinion of 27 February 2007 on the previous update of the convergence programme (5). |
| --- | --- |

(4)

The 2007 general government deficit outturn was 2 % of GDP, compared to 3,4 % projected in the November 2006 convergence programme. Much higher real and nominal GDP growth than assumed in November 2006 was the main reason, but expenditure was also restrained. In particular, high profitability of companies allowed for growth in subsidies to be contained, while the rapid fall in unemployment and the absence of indexation imposed by the Hausner plan (4) also curtailed growth in social transfers. In addition, compensation of public sector employees was lower than planned. Finally, government investment was lower than projected because of a slower absorption of EU funds than planned. Overall, the expenditure-to-GDP ratio was 1,5 percentage point lower than projected in November 2006. On the revenue side, revenue from indirect taxes and social contributions turned out better than envisaged in November 2006, mainly thanks to a much higher employment and wage growth. These positive surprises were offset by a lower performance of other revenue items (direct taxes due to an increase in tax brackets). Overall, this led to a revenue ratio slightly below the planned one. With an improvement in the structural balance ratio by about 1,5 percentage point, budgetary implementation in the year 2007 more than fulfilled the invitation in the Council opinion of 27 February 2007 on the previous update of the convergence programme (5).

| (5) | The main goal of the budgetary strategy is a durable reduction of the structural general government deficit (cyclically-adjusted deficit net of one-off and other temporary measures) aimed at achieving the medium-term objective (MTO) for the budgetary position, which is a structural deficit of 1 % of GDP, in 2011, i.e. one year after the programme period. This is consistent with the previous convergence programme, which envisaged achieving the MTO ‘after 2010’. After deteriorating by 0,5 percentage point to 2,5 % of GDP in 2008, the headline deficit is planned to improve to 1,5 % by 2010. The primary balance follows a similar path and is projected to increase from – 0,2 % of GDP in 2008 to 0,8 % in 2010. Against the backdrop of moderating output growth, the changes in the structural balance calculated according to the commonly agreed methodology are foreseen to be larger, with the structural deficit narrowing from about 2,75 % of GDP in 2008 to slightly above 1 % in 2010. The budgetary adjustment is expenditure-based and back-loaded to 2009 and 2010. In 2008, the deficit deterioration is mainly driven by a sharp increase in the investment ratio as well as a large cut in social contributions (partly compensated by an increase in other revenues). In 2009-2010, the consolidation is to be achieved mainly through restraint in compensation of employees, social transfers and intermediate consumption. The planned rate of deficit reduction between 2007 and 2009 is lower than in the previous update, however the starting point (2007) and each of the new deficit targets of the March 2008 update of the convergence programme are better than the targets in the November 2006 update. |
| --- | --- |

(5)

The main goal of the budgetary strategy is a durable reduction of the structural general government deficit (cyclically-adjusted deficit net of one-off and other temporary measures) aimed at achieving the medium-term objective (MTO) for the budgetary position, which is a structural deficit of 1 % of GDP, in 2011, i.e. one year after the programme period. This is consistent with the previous convergence programme, which envisaged achieving the MTO ‘after 2010’. After deteriorating by 0,5 percentage point to 2,5 % of GDP in 2008, the headline deficit is planned to improve to 1,5 % by 2010. The primary balance follows a similar path and is projected to increase from – 0,2 % of GDP in 2008 to 0,8 % in 2010. Against the backdrop of moderating output growth, the changes in the structural balance calculated according to the commonly agreed methodology are foreseen to be larger, with the structural deficit narrowing from about 2,75 % of GDP in 2008 to slightly above 1 % in 2010. The budgetary adjustment is expenditure-based and back-loaded to 2009 and 2010. In 2008, the deficit deterioration is mainly driven by a sharp increase in the investment ratio as well as a large cut in social contributions (partly compensated by an increase in other revenues). In 2009-2010, the consolidation is to be achieved mainly through restraint in compensation of employees, social transfers and intermediate consumption. The planned rate of deficit reduction between 2007 and 2009 is lower than in the previous update, however the starting point (2007) and each of the new deficit targets of the March 2008 update of the convergence programme are better than the targets in the November 2006 update.

| (6) | The risks to the budgetary projections in the programme appear broadly balanced in 2008, but the outcomes could be worse than projected in the programme afterwards. The 2008 deficit target in the programme is the same as in the spring 2008 forecast (2,5 % of GDP). The 2008 Q1 cash data for central budget point to a revenue performance above the budgetary projections, but the programme assumes slightly higher growth in 2008 than in the spring 2008 commission forecast and still mounting wage pressure in the public sector poses a risk for public finances.
  On the other hand, higher inflation than assumed in the programme will reduce the expenditure ratio in 2008, as expenditure is predominantly fixed in nominal terms. However, in 2009, the higher 2008 inflation could stimulate wage growth in the public sector and lead to higher pensions and social benefits than assumed in the programme, further exacerbated by a reform of the indexation mechanism which links, as from 2008, social benefits not only to consumer prices but also partially to wages. While tax cuts have already been adopted by parliament, offsetting measures are yet to be specified and implemented. If further high employment growth assumed by the government is not maintained, the continuation of the 2006-2007 job-rich-growth-based budgetary consolidation after 2008 may be difficult. On the other hand, the track record for the development of the general government balance is good: revenues have turned out frequently higher than projected while expenditure plans have been under-executed. |
| --- | --- |

(6)

The risks to the budgetary projections in the programme appear broadly balanced in 2008, but the outcomes could be worse than projected in the programme afterwards. The 2008 deficit target in the programme is the same as in the spring 2008 forecast (2,5 % of GDP). The 2008 Q1 cash data for central budget point to a revenue performance above the budgetary projections, but the programme assumes slightly higher growth in 2008 than in the spring 2008 commission forecast and still mounting wage pressure in the public sector poses a risk for public finances.

On the other hand, higher inflation than assumed in the programme will reduce the expenditure ratio in 2008, as expenditure is predominantly fixed in nominal terms. However, in 2009, the higher 2008 inflation could stimulate wage growth in the public sector and lead to higher pensions and social benefits than assumed in the programme, further exacerbated by a reform of the indexation mechanism which links, as from 2008, social benefits not only to consumer prices but also partially to wages. While tax cuts have already been adopted by parliament, offsetting measures are yet to be specified and implemented. If further high employment growth assumed by the government is not maintained, the continuation of the 2006-2007 job-rich-growth-based budgetary consolidation after 2008 may be difficult. On the other hand, the track record for the development of the general government balance is good: revenues have turned out frequently higher than projected while expenditure plans have been under-executed.

| (7) | In view of this risk assessment, the budgetary stance in the programme seems consistent with a durable correction of the excessive deficit by 2007 as recommended by the Council. However, the safety margin against breaching the 3 % of GDP deficit limit could not be ensured within the programme period. In addition, the budgetary stance in the programme may not be sufficient to ensure that the MTO is achieved by 2011, as envisaged in the programme. As the economy enjoys favourable growth conditions, the pace of adjustment towards the MTO implied by the programme is insufficient and needs to be strengthened in 2008 to be in line with the Stability and Growth Pact. Thereafter, it should be backed up with measures. In addition, should inflationary and wage pressures materialise, a tighter fiscal stance than foreseen in the programme would be required to avoid overheating. |
| --- | --- |

(7)

In view of this risk assessment, the budgetary stance in the programme seems consistent with a durable correction of the excessive deficit by 2007 as recommended by the Council. However, the safety margin against breaching the 3 % of GDP deficit limit could not be ensured within the programme period. In addition, the budgetary stance in the programme may not be sufficient to ensure that the MTO is achieved by 2011, as envisaged in the programme. As the economy enjoys favourable growth conditions, the pace of adjustment towards the MTO implied by the programme is insufficient and needs to be strengthened in 2008 to be in line with the Stability and Growth Pact. Thereafter, it should be backed up with measures. In addition, should inflationary and wage pressures materialise, a tighter fiscal stance than foreseen in the programme would be required to avoid overheating.

| (8) | Poland appears to be at low risk as regards the sustainability of public finances. Although the budgetary position in 2007 includes a small structural primary deficit based on the convergence programme, according to the projections made in 2005 and based on the common methodology, the long-term budgetary impact of ageing is among the lowest in the EU. However, as from 2008, social benefits will be indexed not only to consumer prices but also partially to wages, which will raise expenditure in the long-term. Further consolidation of public finances, including the reform of the early retirement (introduction of ‘bridge pensions’ which limit early retirement to certain professions) as intended in the convergence programme, would therefore contribute to both stimulating labour activity and employment and limiting risks to the sustainability of public finances. |
| --- | --- |

(8)

Poland appears to be at low risk as regards the sustainability of public finances. Although the budgetary position in 2007 includes a small structural primary deficit based on the convergence programme, according to the projections made in 2005 and based on the common methodology, the long-term budgetary impact of ageing is among the lowest in the EU. However, as from 2008, social benefits will be indexed not only to consumer prices but also partially to wages, which will raise expenditure in the long-term. Further consolidation of public finances, including the reform of the early retirement (introduction of ‘bridge pensions’ which limit early retirement to certain professions) as intended in the convergence programme, would therefore contribute to both stimulating labour activity and employment and limiting risks to the sustainability of public finances.

| (9) | The convergence programme seems to be consistent with the October 2007 implementation report of the national reform programme. In particular, both programmes envisage the reform of early retirement and disability benefits, the reform of the farmers' social fund, the healthcare reform, the reorganisation and decentralisation of public finances, the multi-annual task budgeting. The convergence programme does, however, not contain a qualitative assessment of the overall impact of the October 2007 implementation report of the national reform programme within the medium-term fiscal strategy (discussing, e.g., the impact on potential growth and employment). Though, the programme provides systematic information on the direct budgetary costs of the main reforms envisaged in the national reform programme. |
| --- | --- |

(9)

The convergence programme seems to be consistent with the October 2007 implementation report of the national reform programme. In particular, both programmes envisage the reform of early retirement and disability benefits, the reform of the farmers' social fund, the healthcare reform, the reorganisation and decentralisation of public finances, the multi-annual task budgeting. The convergence programme does, however, not contain a qualitative assessment of the overall impact of the October 2007 implementation report of the national reform programme within the medium-term fiscal strategy (discussing, e.g., the impact on potential growth and employment). Though, the programme provides systematic information on the direct budgetary costs of the main reforms envisaged in the national reform programme.

| (10) | The budgetary strategy in the convergence programme is partly consistent with the country-specific broad economic policy guidelines, included in the integrated guidelines, in the area of budgetary policies issued in the context of the Lisbon strategy. While the programme envisages continued fiscal consolidation, further mechanisms to enhance control over expenditure are not mentioned. |
| --- | --- |

(10)

The budgetary strategy in the convergence programme is partly consistent with the country-specific broad economic policy guidelines, included in the integrated guidelines, in the area of budgetary policies issued in the context of the Lisbon strategy. While the programme envisages continued fiscal consolidation, further mechanisms to enhance control over expenditure are not mentioned.

| (11) | As regards the data requirements specified in the code of conduct for stability and convergence programmes, the programme has some gaps in the optional data. |
| --- | --- |

(11)

As regards the data requirements specified in the code of conduct for stability and convergence programmes, the programme has some gaps in the optional data.

The overall conclusion is that, following the correction of the general government deficit in 2007 and while the deficit and the debt will remain below the reference values of respectively 3 % and 60 % of GDP, the programme envisages a deterioration of the general government balance by 0,5 percentage point of GDP in 2008 and a back-loaded progress towards the MTO in the following years in a context of favourable growth prospects. In 2008, the projected structural deterioration by almost 0,5 percentage point of GDP is not in line with the Stability and Growth Pact. Given the risks to the budgetary targets from 2009, mainly due to a lack of specified measures, the MTO may not be achieved by 2011 as planned in the programme. Moreover, should inflationary pressures emerge, a tighter fiscal stance than foreseen in the programme would be required. As regards the long-term sustainability of public finances, Poland appears to be at low risk, but the early retirement system is in need of reform.

In view of the above assessment and the need to ensure sustainable public finances, Poland is invited to exploit the favourable growth conditions to strengthen the pace of structural adjustment towards the MTO, including in the light of possible inflationary pressures, by using any extra revenue and unspent resources for deficit reduction in 2008 and by specifying and implementing measures, especially on the expenditure side, in the following years.

Comparison of key macroeconomic and budgetary projections

| | | 2006 | 2007 | 2008 | 2009 | 2010 |
| --- | --- | --- | --- | --- | --- | --- |
| Real GDP
  (% change) | CP Mar 2008 | 6,2 | 6,5 | 5,5 | 5,0 | 5,0 |
| COM Apr 2008 | 6,2 | 6,5 | 5,3 | 5,0 | n.a. |
| CP Nov 2006 | 5,4 | 5,1 | 5,1 | 5,6 | n.a. |
| HICP inflation
  (%) | CP Mar 2008 | 1,3 | 2,6 | 3,5 | 2,9 | 2,5 |
| COM Apr 2008 | 1,3 | 2,6 | 4,3 | 3,4 | n.a. |
| CP Nov 2006 | 1,4 | 2,1 | 2,5 | 2,5 | n.a. |
| Output gap (6)

  (% of potential GDP) | CP Mar 2008 | 0,5 | 1,1 | 0,7 | – 0,2 | – 0,9 |
| COM Apr 2008 (7) | 0,6 | 1,2 | 0,5 | – 0,7 | n.a. |
| CP Nov 2006 | 0,5 | 0,5 | 0,3 | 0,4 | n.a. |
| Net lending/borrowing vis-à-vis the rest of the world
  (% of GDP) | CP Mar 2008 | – 2,6 | – 2,6 | – 3,5 | – 4,2 | – 4,6 |
| COM Apr 2008 | – 2,5 | – 2,6 | – 2,3 | – 3,6 | n.a. |
| CP Nov 2006 | – 1,6 | – 1,8 | – 2,2 | – 2,7 | n.a. |
| General government balance
  (% of GDP) | CP Mar 2008 | – 3,8 | – 2,0 | – 2,5 | – 2,0 | – 1,5 |
| COM Apr 2008 | – 3,8 | – 2,0 | – 2,5 | – 2,6 | n.a. |
| CP Nov 2006 | – 3,9 | – 3,4 | – 3,1 | – 2,9 | n.a. |
| Primary balance
  (% of GDP) | CP Mar 2008 | – 1,1 | 0,2 | – 0,2 | 0,3 | 0,8 |
| COM Apr 2008 | – 1,1 | 0,6 | 0,2 | 0,1 | n.a. |
| CP Nov 2006 | – 1,5 | – 1,0 | – 0,7 | – 0,6 | n.a. |
| Cyclically-adjusted balance (6)

  (% of GDP) | CP Mar 2008 | – 4,0 | – 2,4 | – 2,8 | – 1,9 | – 1,1 |
| COM Apr 2008 | – 4,0 | – 2,5 | – 2,7 | – 2,3 | n.a. |
| CP Nov 2006 | – 4,1 | – 3,6 | – 3,2 | – 3,0 | n.a. |
| Structural balance (8)

  (% of GDP) | CP Mar 2008 | – 4,0 | – 2,4 | – 2,8 | – 1,9 | – 1,1 |
| COM Apr 2008 | – 4,0 | – 2,5 | – 2,7 | – 2,3 | n.a. |
| CP Nov 2006 | – 4,1 | – 3,6 | – 3,2 | – 3,0 | n.a. |
| Government gross debt
  (% of GDP) | CP Mar 2008 | 47,6 | 44,9 | 44,2 | 43,3 | 42,3 |
| COM Apr 2008 | 47,6 | 45,2 | 44,5 | 44,1 | n.a. |
| CP Nov 2006 | 48,9 | 50,0 | 50,3 | 50,2 | n.a. |
| Convergence programme (CP); Commission services' spring 2008 economic forecasts (COM); Commission services' calculations. |

2006

2007

2008

2009

2010

Real GDP

(% change)

CP Mar 2008

6,2

6,5

5,5

5,0

5,0

COM Apr 2008

6,2

6,5

5,3

5,0

n.a.

CP Nov 2006

5,4

5,1

5,1

5,6

n.a.

HICP inflation

(%)

CP Mar 2008

1,3

2,6

3,5

2,9

2,5

COM Apr 2008

1,3

2,6

4,3

3,4

n.a.

CP Nov 2006

1,4

2,1

2,5

2,5

n.a.

Output gap (6)

(% of potential GDP)

CP Mar 2008

0,5

1,1

0,7

– 0,2

– 0,9

COM Apr 2008 (7)

0,6

1,2

0,5

– 0,7

n.a.

CP Nov 2006

0,5

0,5

0,3

0,4

n.a.

Net lending/borrowing vis-à-vis the rest of the world

(% of GDP)

CP Mar 2008

– 2,6

– 2,6

– 3,5

– 4,2

– 4,6

COM Apr 2008

– 2,5

– 2,6

– 2,3

– 3,6

n.a.

CP Nov 2006

– 1,6

– 1,8

– 2,2

– 2,7

n.a.

General government balance

(% of GDP)

CP Mar 2008

– 3,8

– 2,0

– 2,5

– 2,0

– 1,5

COM Apr 2008

– 3,8

– 2,0

– 2,5

– 2,6

n.a.

CP Nov 2006

– 3,9

– 3,4

– 3,1

– 2,9

n.a.

Primary balance

(% of GDP)

CP Mar 2008

– 1,1

0,2

– 0,2

0,3

0,8

COM Apr 2008

– 1,1

0,6

0,2

0,1

n.a.

CP Nov 2006

– 1,5

– 1,0

– 0,7

– 0,6

n.a.

Cyclically-adjusted balance (6)

(% of GDP)

CP Mar 2008

– 4,0

– 2,4

– 2,8

– 1,9

– 1,1

COM Apr 2008

– 4,0

– 2,5

– 2,7

– 2,3

n.a.

CP Nov 2006

– 4,1

– 3,6

– 3,2

– 3,0

n.a.

Structural balance (8)

(% of GDP)

CP Mar 2008

– 4,0

– 2,4

– 2,8

– 1,9

– 1,1

COM Apr 2008

– 4,0

– 2,5

– 2,7

– 2,3

n.a.

CP Nov 2006

– 4,1

– 3,6

– 3,2

– 3,0

n.a.

Government gross debt

(% of GDP)

CP Mar 2008

47,6

44,9

44,2

43,3

42,3

COM Apr 2008

47,6

45,2

44,5

44,1

n.a.

CP Nov 2006

48,9

50,0

50,3

50,2

n.a.

Convergence programme (CP); Commission services' spring 2008 economic forecasts (COM); Commission services' calculations.

---

(1)  OJ L 209, 2.8.1997, p. 1. Regulation as amended by Regulation (EC) No 1055/2005 (OJ L 174, 7.7.2005, p. 1). The documents referred to in this text can be found at the following website:

http://ec.europa.eu/economy_finance/about/activities/sgp/main_en.htm

(2)  The update was submitted 16 weeks beyond the 1 December deadline set in the code of conduct in view of the formation of a new government in November following the October general elections.

(3)  The assessment takes notably into account the Commission services spring 2008 forecast and the Commission assessment of the October 2007 implementation report of the national reform programme.

(4)  The most comprehensive and specific attempt at expenditure reform so far, proposed in 2003 and aimed at reducing public expenditure on social protection, public administration and State aids. Among other things, the Hausner plan replaced annual indexation with an indexation after cumulated inflation exceeds 5 % or every three years (whatever comes first).

(5)  OJ C 72, 29.3.2007, p. 13.

(6)  Output gaps and cyclically-adjusted balances according to the programmes as recalculated by Commission services on the basis of the information in the programmes.

(7)  Based on estimated potential growth of 5,2 %, 5,9 %, 6,0 % and 6,2 % respectively in the period 2006-2009.

(8)  Cyclically-adjusted balance excluding one-off and other temporary measures. There are no one-off and other temporary measures in the most recent programme and Commission services' autumn forecast.

Source:

Convergence programme (CP); Commission services' spring 2008 economic forecasts (COM); Commission services' calculations.

---

II Information

INFORMATION FROM EUROPEAN UNION INSTITUTIONS AND BODIES

Commission

| 19.7.2008 | EN | Official Journal of the European Union | C 182/10 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/10

---

Authorisation for State aid pursuant to Articles 87 and 88 of the EC Treaty

Cases where the Commission raises no objections

(2008/C 182/03)

| Date of adoption of the decision | 4.4.2007 |
| --- | --- |
| Reference number of the aid | N 591/03 |
| Member State | Italy |
| Region | Lazio |
| Title (and/or name of the beneficiary) | Legge regionale 28 ottobre 2002 n. 35 «Riconoscimento ed incentivazione dei mercati delle qualità» |
| Legal basis | Legge regionale 28 ottobre 2002 n. 35 «Riconoscimento ed incentivazione dei mercati delle qualità» |
| Type of measure | Aid scheme |
| Objective | Investments for the marketing of agricultural products and technical assistance designed to improve the quality of agricultural products |
| Form of aid | Direct grant |
| Budget | EUR 513 358,16 per year |
| Intensity | Max. 40 % |
| Duration | 2 years |
| Economic sectors | Agriculture |
| Name and address of the granting authority | Regione Lazio |
| Via Cristoforo Colombo, 212 |
| I-00147 Roma |

Date of adoption of the decision

4.4.2007

Reference number of the aid

N 591/03

Member State

Italy

Region

Lazio

Title (and/or name of the beneficiary)

Legge regionale 28 ottobre 2002 n. 35 «Riconoscimento ed incentivazione dei mercati delle qualità»

Legal basis

Legge regionale 28 ottobre 2002 n. 35 «Riconoscimento ed incentivazione dei mercati delle qualità»

Type of measure

Aid scheme

Objective

Investments for the marketing of agricultural products and technical assistance designed to improve the quality of agricultural products

Form of aid

Direct grant

Budget

EUR 513 358,16 per year

Intensity

Max. 40 %

Duration

2 years

Economic sectors

Agriculture

Name and address of the granting authority

Regione Lazio

Via Cristoforo Colombo, 212

I-00147 Roma

Other information

—

The authentic text(s) of the decision, from which all confidential information has been removed, can be found at:

http://ec.europa.eu/community_law/state_aids/

| Date of adoption of the decision | 5.12.2007 |
| --- | --- |
| Reference number of the aid | N 403/06 |
| Member State | Germany |
| Region | — |
| Title (and/or name of the beneficiary) | Bürgschaftsprogramm zur Beschleunigung des Verkaufs landwirtschaftlicher Flächen nach dem EALG |
| Legal basis | Entschädigungs- und Ausgleichsleistungsgesetz (EALG) |
| Type of measure | Scheme |
| Objective | Investment |
| Form of aid | Guarantee |
| Budget | Not determined |
| Intensity | 1,389 % |
| Duration | End of Land Transfer Programme |
| Economic sectors | Agriculture |
| Name and address of the granting authority | BVVG |
| Bodenverwertungs- und –verwaltungs GmbH |
| Schönhauser Allee 120 |
| D-10437 Berlin |

Date of adoption of the decision

5.12.2007

Reference number of the aid

N 403/06

Member State

Germany

Region

—

Title (and/or name of the beneficiary)

Bürgschaftsprogramm zur Beschleunigung des Verkaufs landwirtschaftlicher Flächen nach dem EALG

Legal basis

Entschädigungs- und Ausgleichsleistungsgesetz (EALG)

Type of measure

Scheme

Objective

Investment

Form of aid

Guarantee

Budget

Not determined

Intensity

1,389 %

Duration

End of Land Transfer Programme

Economic sectors

Agriculture

Name and address of the granting authority

BVVG

Bodenverwertungs- und –verwaltungs GmbH

Schönhauser Allee 120

D-10437 Berlin

Other information

—

The authentic text(s) of the decision, from which all confidential information has been removed, can be found at:

http://ec.europa.eu/community_law/state_aids/

| Date of adoption of the decision | 14.11.2007 |
| --- | --- |
| Reference number of the aid | N 414/07 |
| Member State | Greece |
| Region | — |
| Title (and/or name of the beneficiary) | Κανονισμός Κρατικών Οικονομικών Ενισχύσεων |
| Legal basis | Σχέδιο διϋπουργικής απόφασης |
| Type of measure | Aid scheme |
| Objective | Adverse weather conditions; natural disasters |
| Form of aid | Grants |
| Budget | EUR 170 000 000 |
| Intensity | Up to 80 % |
| Duration | Until the end of 2013 |
| Economic sectors | Agriculture |
| Name and address of the granting authority | ΕΛ.Γ.Α. |
| Μεσογείων 45 |
| GR-11510 Αθήνα |

Date of adoption of the decision

14.11.2007

Reference number of the aid

N 414/07

Member State

Greece

Region

—

Title (and/or name of the beneficiary)

Κανονισμός Κρατικών Οικονομικών Ενισχύσεων

Legal basis

Σχέδιο διϋπουργικής απόφασης

Type of measure

Aid scheme

Objective

Adverse weather conditions; natural disasters

Form of aid

Grants

Budget

EUR 170 000 000

Intensity

Up to 80 %

Duration

Until the end of 2013

Economic sectors

Agriculture

Name and address of the granting authority

ΕΛ.Γ.Α.

Μεσογείων 45

GR-11510 Αθήνα

Other information

—

The authentic text(s) of the decision, from which all confidential information has been removed, can be found at:

http://ec.europa.eu/community_law/state_aids/

| Date of adoption of the decision | 17.10.2007 |
| --- | --- |
| Reference number of the aid | N 554/07 |
| Member State | Bulgaria |
| Region | — |
| Title (and/or name of the beneficiary) | Държавна помощ за компенсиране на загуби, понесени от селскостопанските производители в напълно опустошени райони вследствие на природни бедствия или неблагоприятни климатични условия |
| Legal basis | 1. | Agricultural Producers Support Act, art. 12, par. 1, p. 2 and par. 2, p. 1, item „а“, SG 58/1998 |

Date of adoption of the decision

17.10.2007

Reference number of the aid

N 554/07

Member State

Bulgaria

Region

—

Title (and/or name of the beneficiary)

Държавна помощ за компенсиране на загуби, понесени от селскостопанските производители в напълно опустошени райони вследствие на природни бедствия или неблагоприятни климатични условия

Legal basis

1.

Agricultural Producers Support Act, art. 12, par. 1, p. 2 and par. 2, p. 1, item „а“, SG 58/1998

| 2. | Instructions on the granting of state aid for compensation of losses incurred by agricultural producers for totally devastated areas as a result of natural disasters or adverse weather conditions |
| --- | --- |

2.

Instructions on the granting of state aid for compensation of losses incurred by agricultural producers for totally devastated areas as a result of natural disasters or adverse weather conditions

Type of measure

Aid scheme

Objective

Aid for losses due to natural disasters and adverse weather conditions

Form of aid

Direct grant

Budget

Annual budget amounts to BGN 200 000 000 (aprox. EUR 102 259 944,78), overall amount of BGN 600 000 000 (aprox. EUR 306 779 834,34)

Intensity

Up to 80 %

Duration

From approval by the Commission to 1.11.2010

Economic sectors

Agricultural sector

Name and address of the granting authority

| Държавен фонд „Земеделие“ |
| --- |
| Цар Освободител 136 |
| BG-1618 София |

Държавен фонд „Земеделие“

Цар Освободител 136

BG-1618 София

Other information

—

The authentic text(s) of the decision, from which all confidential information has been removed, can be found at:

http://ec.europa.eu/community_law/state_aids/

---

| 19.7.2008 | EN | Official Journal of the European Union | C 182/13 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/13

---

Authorisation for State aid pursuant to Articles 87 and 88 of the EC Treaty

Cases where the Commission raises no objections

(2008/C 182/04)

| Date of adoption of the decision | 5.12.2007 |
| --- | --- |
| Reference number of the aid | NN 40/A/05 |
| Member State | Italy |
| Region | — |
| Title | Misure urgenti nel settore agroalimentare, legge n. 71/2005, articolo 1, commi 1, 1bis, 1ter e 3ter, e legge n. 231/2005, articolo 1, commi 1-4 |
| Legal Basis | Legge n. 71/2005, articolo 1, commi 1, 1bis, 1ter e 3ter

  Legge n. 231/2005, articolo 1, commi 1-4 |
| Type of measure | Aid scheme |
| Objective | To compensate for loss of income caused by the agricultural markets crisis in 2005. De minimis aid.
  To compensate for damage to agricultural production caused by adverse weather conditions (Reference NN 54/A/04) |
| Form of aid | Direct grant |
| Budget | — | EUR 109 million to compensate for the markets crisis, |

Date of adoption of the decision

5.12.2007

Reference number of the aid

NN 40/A/05

Member State

Italy

Region

—

Title

Misure urgenti nel settore agroalimentare, legge n. 71/2005, articolo 1, commi 1, 1bis, 1ter e 3ter, e legge n. 231/2005, articolo 1, commi 1-4

Legal Basis

Legge n. 71/2005, articolo 1, commi 1, 1bis, 1ter e 3ter

Legge n. 231/2005, articolo 1, commi 1-4

Type of measure

Aid scheme

Objective

To compensate for loss of income caused by the agricultural markets crisis in 2005. De minimis aid.

To compensate for damage to agricultural production caused by adverse weather conditions (Reference NN 54/A/04)

Form of aid

Direct grant

Budget

—

EUR 109 million to compensate for the markets crisis,

| — | EUR 120 million to compensate for damage to agricultural production caused by adverse weather conditions (Reference NN 54/A/04) |
| --- | --- |

—

EUR 120 million to compensate for damage to agricultural production caused by adverse weather conditions (Reference NN 54/A/04)

Intensity

Variable depending on the measure

Duration

Until the final payment is made

Economic sector(s)

Agriculture

Name and address of the granting authority

| Ministero delle Politiche agricole alimentari e forestali |
| --- |
| Via XX Settembre, 20 |
| I-00187 Roma |

Ministero delle Politiche agricole alimentari e forestali

Via XX Settembre, 20

I-00187 Roma

Other information

—

The authentic text(s) of the decision, from which all confidential information has been removed, can be found at:

http://ec.europa.eu/community_law/state_aids/

| Date of adoption of the decision | 10.10.2007 |
| --- | --- |
| Reference number of the aid | N 163/07 |
| Member State | Ireland |
| Region | — |
| Title (and/or name of the beneficiary) | Scheme of Investment Aid for the Development of the Commercial Horticulture Sector 2007-2013 |
| Legal basis | National Development Plan 2007-2013 |
| Type of measure | Scheme |
| Objective | Development of the horticulture sector by grant aiding investments in specialized plant and equipment in commercial horticulture |
| Form of aid | Direct grant |
| Budget | EUR 49 million |
| Intensity | 40 %
  50 % for young farmers |
| Duration | Date of Commission letter until 31.12.2013 |
| Economic sectors | NACE code
  A001 — Agriculture, hunting and related service activities |
| Name and address of the granting authority | Department of Agriculture and Food |
| Agriculture House |
| Kildare Street |
| Dublin 2 |
| Ireland |

Date of adoption of the decision

10.10.2007

Reference number of the aid

N 163/07

Member State

Ireland

Region

—

Title (and/or name of the beneficiary)

Scheme of Investment Aid for the Development of the Commercial Horticulture Sector 2007-2013

Legal basis

National Development Plan 2007-2013

Type of measure

Scheme

Objective

Development of the horticulture sector by grant aiding investments in specialized plant and equipment in commercial horticulture

Form of aid

Direct grant

Budget

EUR 49 million

Intensity

40 %

50 % for young farmers

Duration

Date of Commission letter until 31.12.2013

Economic sectors

NACE code

A001 — Agriculture, hunting and related service activities

Name and address of the granting authority

Department of Agriculture and Food

Agriculture House

Kildare Street

Dublin 2

Ireland

Other information

—

The authentic text(s) of the decision, from which all confidential information has been removed, can be found at:

http://ec.europa.eu/community_law/state_aids/

---

| 19.7.2008 | EN | Official Journal of the European Union | C 182/15 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/15

---

Non-opposition to a notified concentration

(Case COMP/M.5182 — Shell/BP/AFS/Globefuel)

(Text with EEA relevance)

(2008/C 182/05)

On 11 July 2008, the Commission decided not to oppose the above notified concentration and to declare it compatible with the common market. This decision is based on Article 6(1)(b) of Council Regulation (EC) No 139/2004. The full text of the decision is available only in English and will be made public after it is cleared of any business secrets it may contain. It will be available:

| — | from the Europa competition website (http://ec.europa.eu/comm/competition/mergers/cases/). This website provides various facilities to help locate individual merger decisions, including company, case number, date and sectoral indexes, |
| --- | --- |

—

from the Europa competition website (http://ec.europa.eu/comm/competition/mergers/cases/). This website provides various facilities to help locate individual merger decisions, including company, case number, date and sectoral indexes,

| — | in electronic form on the EUR-Lex website under document number 32008M5182. EUR-Lex is the on-line access to European law (http://eur-lex.europa.eu). |
| --- | --- |

—

in electronic form on the EUR-Lex website under document number 32008M5182. EUR-Lex is the on-line access to European law (http://eur-lex.europa.eu).

---

| 19.7.2008 | EN | Official Journal of the European Union | C 182/15 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/15

---

Non-opposition to a notified concentration

(Case COMP/M.5134 — Spar/Plus Hungary)

(Text with EEA relevance)

(2008/C 182/06)

On 25 June 2008, the Commission decided not to oppose the above notified concentration and to declare it compatible with the common market. This decision is based on Article 6(1)(b) of Council Regulation (EC) No 139/2004. The full text of the decision is available only in German and will be made public after it is cleared of any business secrets it may contain. It will be available:

| — | from the Europa competition website (http://ec.europa.eu/comm/competition/mergers/cases/). This website provides various facilities to help locate individual merger decisions, including company, case number, date and sectoral indexes, |
| --- | --- |

—

from the Europa competition website (http://ec.europa.eu/comm/competition/mergers/cases/). This website provides various facilities to help locate individual merger decisions, including company, case number, date and sectoral indexes,

| — | in electronic form on the EUR-Lex website under document number 32008M5134. EUR-Lex is the on-line access to European law (http://eur-lex.europa.eu). |
| --- | --- |

—

in electronic form on the EUR-Lex website under document number 32008M5134. EUR-Lex is the on-line access to European law (http://eur-lex.europa.eu).

---

IV Notices

NOTICES FROM EUROPEAN UNION INSTITUTIONS AND BODIES

Commission

| 19.7.2008 | EN | Official Journal of the European Union | C 182/16 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/16

---

Euro exchange rates (1)

18 July 2008

(2008/C 182/07)

1 euro=

| | Currency | Exchange rate |
| --- | --- | --- |
| USD | US dollar | 1,5816 |
| JPY | Japanese yen | 169,03 |
| DKK | Danish krone | 7,4599 |
| GBP | Pound sterling | 0,79315 |
| SEK | Swedish krona | 9,4496 |
| CHF | Swiss franc | 1,6207 |
| ISK | Iceland króna | 125,16 |
| NOK | Norwegian krone | 8,0590 |
| BGN | Bulgarian lev | 1,9558 |
| CZK | Czech koruna | 23,063 |
| EEK | Estonian kroon | 15,6466 |
| HUF | Hungarian forint | 228,16 |
| LTL | Lithuanian litas | 3,4528 |
| LVL | Latvian lats | 0,7030 |
| PLN | Polish zloty | 3,2188 |
| RON | Romanian leu | 3,5528 |
| SKK | Slovak koruna | 30,335 |
| TRY | Turkish lira | 1,8795 |
| AUD | Australian dollar | 1,6288 |
| CAD | Canadian dollar | 1,5901 |
| HKD | Hong Kong dollar | 12,3335 |
| NZD | New Zealand dollar | 2,0719 |
| SGD | Singapore dollar | 2,1432 |
| KRW | South Korean won | 1 603,74 |
| ZAR | South African rand | 11,9170 |
| CNY | Chinese yuan renminbi | 10,7816 |
| HRK | Croatian kuna | 7,2231 |
| IDR | Indonesian rupiah | 14 468,48 |
| MYR | Malaysian ringgit | 5,1315 |
| PHP | Philippine peso | 70,025 |
| RUB | Russian rouble | 36,7559 |
| THB | Thai baht | 52,711 |
| BRL | Brazilian real | 2,5179 |
| MXN | Mexican peso | 16,1469 |

Currency

Exchange rate

USD

US dollar

1,5816

JPY

Japanese yen

169,03

DKK

Danish krone

7,4599

GBP

Pound sterling

0,79315

SEK

Swedish krona

9,4496

CHF

Swiss franc

1,6207

ISK

Iceland króna

125,16

NOK

Norwegian krone

8,0590

BGN

Bulgarian lev

1,9558

CZK

Czech koruna

23,063

EEK

Estonian kroon

15,6466

HUF

Hungarian forint

228,16

LTL

Lithuanian litas

3,4528

LVL

Latvian lats

0,7030

PLN

Polish zloty

3,2188

RON

Romanian leu

3,5528

SKK

Slovak koruna

30,335

TRY

Turkish lira

1,8795

AUD

Australian dollar

1,6288

CAD

Canadian dollar

1,5901

HKD

Hong Kong dollar

12,3335

NZD

New Zealand dollar

2,0719

SGD

Singapore dollar

2,1432

KRW

South Korean won

1 603,74

ZAR

South African rand

11,9170

CNY

Chinese yuan renminbi

10,7816

HRK

Croatian kuna

7,2231

IDR

Indonesian rupiah

14 468,48

MYR

Malaysian ringgit

5,1315

PHP

Philippine peso

70,025

RUB

Russian rouble

36,7559

THB

Thai baht

52,711

BRL

Brazilian real

2,5179

MXN

Mexican peso

16,1469

---

(1)

Source: reference exchange rate published by the ECB.

---

| 19.7.2008 | EN | Official Journal of the European Union | C 182/17 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/17

---

Communication on the application and future development of Community legislation concerning vehicle emissions from light-duty vehicles and access to repair and maintenance information (Euro 5 and 6)

(2008/C 182/08)

| 1. | This Communication provides background information to Regulation (EC) No 715/2007 (Euro 5 and 6) and its implementing legislation. This Regulation sets out requirements for the type-approval of light duty vehicles with regard to emissions and on access to vehicle repair and maintenance information. The technical requirements take effect in two stages, with Euro 5 emission limits coming into force from 1 September 2009 and Euro 6 emission limits from 1 September 2014. |
| --- | --- |

1.

This Communication provides background information to Regulation (EC) No 715/2007 (Euro 5 and 6) and its implementing legislation. This Regulation sets out requirements for the type-approval of light duty vehicles with regard to emissions and on access to vehicle repair and maintenance information. The technical requirements take effect in two stages, with Euro 5 emission limits coming into force from 1 September 2009 and Euro 6 emission limits from 1 September 2014.

| 2. | The purpose of this Communication is to set out the intentions of the Commission with regard to this legislation. The Regulation and its implementing measures contain detailed technical provisions necessary to implement the main requirements. However, there are a number of areas where the Commission considers that further revision of legislation will be necessary in the future. |
| --- | --- |

2.

The purpose of this Communication is to set out the intentions of the Commission with regard to this legislation. The Regulation and its implementing measures contain detailed technical provisions necessary to implement the main requirements. However, there are a number of areas where the Commission considers that further revision of legislation will be necessary in the future.

| 3. | This current Regulation contains a full set of requirements necessary for the type-approval of the initial Euro 5 specification vehicles. In the future, the Commission intends to further refine the relevant requirements to be applicable either at mid-way through Euro 5 or at the full Euro 6 stage. The areas that should be subject to further review are discussed in this Communication. |
| --- | --- |

3.

This current Regulation contains a full set of requirements necessary for the type-approval of the initial Euro 5 specification vehicles. In the future, the Commission intends to further refine the relevant requirements to be applicable either at mid-way through Euro 5 or at the full Euro 6 stage. The areas that should be subject to further review are discussed in this Communication.

Particulate mass and particle number test procedures

| 4. | Revised test procedures for measuring particulate mass and particle number are currently being finalised for incorporation into UNECE Regulation No 83. When these test procedures are finalised it will be necessary to update the Euro 5 and 6 implementing legislation as soon as possible afterwards. |
| --- | --- |

4.

Revised test procedures for measuring particulate mass and particle number are currently being finalised for incorporation into UNECE Regulation No 83. When these test procedures are finalised it will be necessary to update the Euro 5 and 6 implementing legislation as soon as possible afterwards.

Particle number emission limits for spark ignition vehicles

| 5. | Regulation (EC) No 715/2007 authorises the Commission to introduce particle number emission limits for petrol cars. At the time of development of the implementing legislation it was decided that additional information was desirable on the emissions of these vehicles prior to a standard being set. Hence, no limit value was set for Euro 5 vehicles. Regulation (EC) No 715/2007 requires that a limit value is set at the latest by the Euro 6 stage. Therefore, the Commission intends to review the particle emissions of spark ignition vehicles and propose a particle number limit for Euro 6 specification vehicles before the entry into force of the Euro 6 requirements. |
| --- | --- |

5.

Regulation (EC) No 715/2007 authorises the Commission to introduce particle number emission limits for petrol cars. At the time of development of the implementing legislation it was decided that additional information was desirable on the emissions of these vehicles prior to a standard being set. Hence, no limit value was set for Euro 5 vehicles. Regulation (EC) No 715/2007 requires that a limit value is set at the latest by the Euro 6 stage. Therefore, the Commission intends to review the particle emissions of spark ignition vehicles and propose a particle number limit for Euro 6 specification vehicles before the entry into force of the Euro 6 requirements.

Reference fuels

| 6. | The initial version of the implementing legislation does not contain a reference fuel specification for ethanol (E75) to be used by flex fuel vehicles for the low temperature emissions test (type 6 test). The Commission intends to finalise the specification of the ethanol (E75) reference fuel for the low temperature emissions test soon. This process should be completed before the dates set out in Article 10(6) of Regulation (EC) No 715/2007, as Euro 5 flex fuel vehicles approved after these dates are subject to the low temperature test for type approval. |
| --- | --- |

6.

The initial version of the implementing legislation does not contain a reference fuel specification for ethanol (E75) to be used by flex fuel vehicles for the low temperature emissions test (type 6 test). The Commission intends to finalise the specification of the ethanol (E75) reference fuel for the low temperature emissions test soon. This process should be completed before the dates set out in Article 10(6) of Regulation (EC) No 715/2007, as Euro 5 flex fuel vehicles approved after these dates are subject to the low temperature test for type approval.

Low temperature emissions test

| 7. | Regulation (EC) No 715/2007 contains a requirement for the Commission to review the emission limits set for petrol cars under the low temperature test at – 7 °C. The concern being that the current emission limits, carried over from Euro 3 and 4, are no longer appropriate for vehicles meeting the Euro5 and 6 emissions standard. |
| --- | --- |

7.

Regulation (EC) No 715/2007 contains a requirement for the Commission to review the emission limits set for petrol cars under the low temperature test at – 7 °C. The concern being that the current emission limits, carried over from Euro 3 and 4, are no longer appropriate for vehicles meeting the Euro5 and 6 emissions standard.

| 8. | In addition, it is intended to review the requirements for manufacturers to provide information to type approval authorities on the performance of diesel vehicles at low temperatures. This is due to the risk of elevated NOx emissions at cold temperatures from diesel vehicles with EGR systems and NOx aftertreatment. This review should consider whether to extend the low temperature emissions test to Euro 6 diesel vehicles and whether a limit value should be introduced in the future. |
| --- | --- |

8.

In addition, it is intended to review the requirements for manufacturers to provide information to type approval authorities on the performance of diesel vehicles at low temperatures. This is due to the risk of elevated NOx emissions at cold temperatures from diesel vehicles with EGR systems and NOx aftertreatment. This review should consider whether to extend the low temperature emissions test to Euro 6 diesel vehicles and whether a limit value should be introduced in the future.

Evaporative emissions

| 9. | Due to the wider introduction of biofuels, the Commission intends to review test procedures for evaporative emissions. This review should consider whether greater global harmonisation is desirable through alignment of the European test procedure with that used in the United States. In doing so, consideration may be given to introducing in-service conformity or durability requirements to control the effects of long term use of fuels containing ethanol on evaporative emissions. |
| --- | --- |

9.

Due to the wider introduction of biofuels, the Commission intends to review test procedures for evaporative emissions. This review should consider whether greater global harmonisation is desirable through alignment of the European test procedure with that used in the United States. In doing so, consideration may be given to introducing in-service conformity or durability requirements to control the effects of long term use of fuels containing ethanol on evaporative emissions.

Emissions test procedure

| 10. | The emissions and fuel consumption of light duty vehicles are measured using a standardised test procedure, based on the so-called New European Driving Cycle (NEDC). Regulation (EC) No 715/2007 requires that the Commission keep this under review, and propose changes if the procedures are no longer adequate or reflect real world emissions. The Commission considers that the procedure requires updating, and therefore intends to review the test cycle so that it adequately reflects the emissions generated by real driving on the road. This review may contribute to the discussions at the UNECE of developing a globally harmonised test cycle for light duty vehicles; however, it is not conditional on the progress made at UNECE level. Consideration may also be given to the introduction of an off-cycle emissions requirement to supplement the standardised test procedure. |
| --- | --- |

10.

The emissions and fuel consumption of light duty vehicles are measured using a standardised test procedure, based on the so-called New European Driving Cycle (NEDC). Regulation (EC) No 715/2007 requires that the Commission keep this under review, and propose changes if the procedures are no longer adequate or reflect real world emissions. The Commission considers that the procedure requires updating, and therefore intends to review the test cycle so that it adequately reflects the emissions generated by real driving on the road. This review may contribute to the discussions at the UNECE of developing a globally harmonised test cycle for light duty vehicles; however, it is not conditional on the progress made at UNECE level. Consideration may also be given to the introduction of an off-cycle emissions requirement to supplement the standardised test procedure.

Reference mass limits for light duty vehicles

| 11. | The Euro 5 and 6 legislation introduced a significantly clearer and simpler scope between the emissions legislation applicable to light duty vehicles and heavy duty vehicles. The legislation is now based on reference mass, where all vehicles below 2 610 kg are considered as light duty vehicles. This reference mass is based on the current limits to the laboratory based emissions test. The Commission considers that this mass limit may be too low and should be reviewed. Given the current masses of vehicles, a higher reference mass limit may be necessary for future legislation. |
| --- | --- |

11.

The Euro 5 and 6 legislation introduced a significantly clearer and simpler scope between the emissions legislation applicable to light duty vehicles and heavy duty vehicles. The legislation is now based on reference mass, where all vehicles below 2 610 kg are considered as light duty vehicles. This reference mass is based on the current limits to the laboratory based emissions test. The Commission considers that this mass limit may be too low and should be reviewed. Given the current masses of vehicles, a higher reference mass limit may be necessary for future legislation.

Mass neutral emissions standards

| 12. | Regulation (EC) No 715/2007 foresees that with future emission limits, consideration should be given to introducing mass neutral emissions standards. This is the approach currently adopted by US legislation and would result in the deletion of the current vehicle category N1, Class I, II and III distinction that developed purely for the purposes of emissions legislation and has been recently adopted for mobile air conditioning legislation. At this stage, such a mass neutral approach seems highly feasible for petrol vehicles, given the nature of the emissions control system. For diesel vehicles, the introduction of aftertreatment for NOx will provide greater control of tailpipe emissions and removes the original rationale for heavier vehicles to have higher regulated emissions. Before introducing any such proposal, the Commission would need to review the feasibility and cost-effectiveness of such an approach. |
| --- | --- |

12.

Regulation (EC) No 715/2007 foresees that with future emission limits, consideration should be given to introducing mass neutral emissions standards. This is the approach currently adopted by US legislation and would result in the deletion of the current vehicle category N1, Class I, II and III distinction that developed purely for the purposes of emissions legislation and has been recently adopted for mobile air conditioning legislation. At this stage, such a mass neutral approach seems highly feasible for petrol vehicles, given the nature of the emissions control system. For diesel vehicles, the introduction of aftertreatment for NOx will provide greater control of tailpipe emissions and removes the original rationale for heavier vehicles to have higher regulated emissions. Before introducing any such proposal, the Commission would need to review the feasibility and cost-effectiveness of such an approach.

CO2 emissions calculation covering all greenhouse gases

| 13. | Regulation (EC) No 715/2007 foresees that the Commission considers reviewing the approach to calculating CO2 emissions from vehicles to include other greenhouse gases such as methane emissions. Such a change is likely to have a very small impact on the emissions figures for most petrol and diesel vehicles, though could be a little more significant for gas vehicles. Due to the small number of vehicles covered, such a change may not be of the highest priority at this stage. The Commission may therefore review whether an approach based on a wider range of greenhouse gases is desirable. |
| --- | --- |

13.

Regulation (EC) No 715/2007 foresees that the Commission considers reviewing the approach to calculating CO2 emissions from vehicles to include other greenhouse gases such as methane emissions. Such a change is likely to have a very small impact on the emissions figures for most petrol and diesel vehicles, though could be a little more significant for gas vehicles. Due to the small number of vehicles covered, such a change may not be of the highest priority at this stage. The Commission may therefore review whether an approach based on a wider range of greenhouse gases is desirable.

Durability requirements — Deterioration factors for Euro 6 diesel cars

| 14. | The implementing legislation only provides assigned deterioration factors for Euro 5 diesel cars. No factors were set for Euro 6 diesel cars due to uncertainty as to the durability characteristics of future diesel engines and exhaust aftertreatment systems. In order to introduce assigned deterioration factors for Euro 6 diesel cars, the Commission will need to review the durability of diesel cars that meet the Euro 6 emission limits. |
| --- | --- |

14.

The implementing legislation only provides assigned deterioration factors for Euro 5 diesel cars. No factors were set for Euro 6 diesel cars due to uncertainty as to the durability characteristics of future diesel engines and exhaust aftertreatment systems. In order to introduce assigned deterioration factors for Euro 6 diesel cars, the Commission will need to review the durability of diesel cars that meet the Euro 6 emission limits.

Type approval of replacement pollution control devices

| 15. | The Commission intends to review requirements for the type approval of replacement pollution control devices to take account of the revised OBD requirements and also the introduction of new pollution control device technologies. In addition, the durability requirements for the replacement of periodically regenerating devices may need to be reviewed. |
| --- | --- |

15.

The Commission intends to review requirements for the type approval of replacement pollution control devices to take account of the revised OBD requirements and also the introduction of new pollution control device technologies. In addition, the durability requirements for the replacement of periodically regenerating devices may need to be reviewed.

On Board Diagnostics (OBD)

| 16. | The implementing legislation does not contain any OBD thresholds for Euro 6 vehicles, apart from interim thresholds designed for the early introduction of Euro 6 diesel vehicles. The full Euro 6 thresholds will need to be confirmed by the Commission before such vehicles are able to be type approved. |
| --- | --- |

16.

The implementing legislation does not contain any OBD thresholds for Euro 6 vehicles, apart from interim thresholds designed for the early introduction of Euro 6 diesel vehicles. The full Euro 6 thresholds will need to be confirmed by the Commission before such vehicles are able to be type approved.

| 17. | An initial proposal by the Commission for Euro 6 OBD thresholds is contained in Table 1. This table shows the thresholds that the Commission considers should be introduced for Euro 6 vehicles. |
| --- | --- |

17.

An initial proposal by the Commission for Euro 6 OBD thresholds is contained in Table 1. This table shows the thresholds that the Commission considers should be introduced for Euro 6 vehicles.

| 18. | These OBD thresholds broadly reflect the thresholds applied to most light duty vehicles in the United States and Canada, where the majority of vehicle's OBD systems are compliant with the legislation set by the Californian Air Resources Board (CARB). CARB set thresholds as a multiplication factor of the emission limit value, applying factors of either 1,5 or 1,75. The figures in Table 1 have been derived on this basis, however a higher factor 2 has been applied to particulate limits, reflecting the low concentrations in the exhaust emissions. CARB is currently allowing relaxed OBD thresholds for diesel cars up until the end of 2012. The Euro 6 thresholds would come into effect about 2 years later than this. |
| --- | --- |

18.

These OBD thresholds broadly reflect the thresholds applied to most light duty vehicles in the United States and Canada, where the majority of vehicle's OBD systems are compliant with the legislation set by the Californian Air Resources Board (CARB). CARB set thresholds as a multiplication factor of the emission limit value, applying factors of either 1,5 or 1,75. The figures in Table 1 have been derived on this basis, however a higher factor 2 has been applied to particulate limits, reflecting the low concentrations in the exhaust emissions. CARB is currently allowing relaxed OBD thresholds for diesel cars up until the end of 2012. The Euro 6 thresholds would come into effect about 2 years later than this.

| 19. | Industry has submitted proposals for OBD thresholds at the Euro 6 stage that exceed the limit values by factors ranging from 1,9 to 5,5 for petrol vehicles and from 2,6 to 5,5 for diesel vehicles. |
| --- | --- |

19.

Industry has submitted proposals for OBD thresholds at the Euro 6 stage that exceed the limit values by factors ranging from 1,9 to 5,5 for petrol vehicles and from 2,6 to 5,5 for diesel vehicles.

| 20. | The Commission considers that by the Euro 6 stage of emission limits, there is little reason for European OBD requirements to be significantly different from the requirements in North America. In particular, the diagnostic principles for petrol cars are well understood, having been developed in the US, so could be easily introduced in the EU. Moreover, the work by a consultant reviewing OBD thresholds suggested that the environmental benefits and cost effectiveness of lower petrol OBD thresholds were good. |
| --- | --- |

20.

The Commission considers that by the Euro 6 stage of emission limits, there is little reason for European OBD requirements to be significantly different from the requirements in North America. In particular, the diagnostic principles for petrol cars are well understood, having been developed in the US, so could be easily introduced in the EU. Moreover, the work by a consultant reviewing OBD thresholds suggested that the environmental benefits and cost effectiveness of lower petrol OBD thresholds were good.

| 21. | The Commission is aware that the thresholds for diesel vehicles are technology forcing, particularly with regard to particulates. Such thresholds are considered necessary due to the desirability of detecting partial failures of aftertreatment devices such as particulate filters, which could be subject to tampering if blocked. Moreover, good diesel diagnostics are essential for the long term competitiveness of the diesel technology in other parts of the world. Adoption of the proposed Euro 6 OBD thresholds should therefore support the future competitiveness of diesel technology. |
| --- | --- |

21.

The Commission is aware that the thresholds for diesel vehicles are technology forcing, particularly with regard to particulates. Such thresholds are considered necessary due to the desirability of detecting partial failures of aftertreatment devices such as particulate filters, which could be subject to tampering if blocked. Moreover, good diesel diagnostics are essential for the long term competitiveness of the diesel technology in other parts of the world. Adoption of the proposed Euro 6 OBD thresholds should therefore support the future competitiveness of diesel technology.

| 22. | The Commission review of the feasibility of the Euro 6 OBD thresholds should focus on the technical feasibility of the proposed thresholds for compression ignition vehicles and the particulate OBD thresholds for positive ignition vehicles. This review should consider the state of development of new exhaust sensor technology, such sensors for particulate matter and particles and also the development of pressure sensing and modelling techniques for predicting the soot loading levels of particle filters. |
| --- | --- |

22.

The Commission review of the feasibility of the Euro 6 OBD thresholds should focus on the technical feasibility of the proposed thresholds for compression ignition vehicles and the particulate OBD thresholds for positive ignition vehicles. This review should consider the state of development of new exhaust sensor technology, such sensors for particulate matter and particles and also the development of pressure sensing and modelling techniques for predicting the soot loading levels of particle filters.

| 23. | In addition, the Commission intends to review whether it is necessary for OBD thresholds for both particulate mass and particle number to apply at the Euro 6 stage. At this stage it is difficult to envisage whether particle number thresholds will be technically feasible. |
| --- | --- |

23.

In addition, the Commission intends to review whether it is necessary for OBD thresholds for both particulate mass and particle number to apply at the Euro 6 stage. At this stage it is difficult to envisage whether particle number thresholds will be technically feasible.

| 24. | The Commission intends that the review of OBD thresholds should take place before 1 September 2010. |
| --- | --- |

24.

The Commission intends that the review of OBD thresholds should take place before 1 September 2010.

| 25. | In addition to the OBD thresholds, the Commission intends to keep under consideration the functioning of the OBD in-use performance ratio requirements. This includes the publication of guidance, where it appears to be necessary, and in particular for:






  — | incrementing and disabling the general denominator as well as numerators and denominators of individual monitors, and |
| --- | --- | --- |

25.

In addition to the OBD thresholds, the Commission intends to keep under consideration the functioning of the OBD in-use performance ratio requirements. This includes the publication of guidance, where it appears to be necessary, and in particular for:

—

incrementing and disabling the general denominator as well as numerators and denominators of individual monitors, and

| — | the statistical tests to be used by manufacturers for demonstrating compliance with the in-use performance requirements. |
| --- | --- |

—

the statistical tests to be used by manufacturers for demonstrating compliance with the in-use performance requirements.

| 26. | The Commission will also consider introducing the World Harmonised OBD malfunction classification requirements from the mandatory application of Euro 6 limit values. |
| --- | --- |

26.

The Commission will also consider introducing the World Harmonised OBD malfunction classification requirements from the mandatory application of Euro 6 limit values.

Table

Proposed Euro 6 OBD threshold limits

| | Reference mass
  (RW)
  (kg) | Mass of carbon monoxide | Mass of non-methane hydrocarbons | Mass of oxides of nitrogen | Mass of particulates | Number of particles |
| --- | --- | --- | --- | --- | --- | --- |
| (CO)
  (mg/km) | (NMHC)
  (mg/km) | (NOx)
  (mg/km) | (PM)
  (mg/km) | (P)
  (#/km) |
| Category | Class | | PI | CI | PI | CI | PI | CI | PI (1) | CI | PI (2) | CI |
| M | — | All | 1 500 | 750 | 100 | 140 | 90 | 140 | 9 | 9 | | 1,2 × 1012 |
| N1 | I | RW ≤ 1 305 | 1 500 | 750 | 100 | 140 | 90 | 140 | 9 | 9 | | 1,2 × 1012 |
| II | 1 305 < RW ≤ 1 760 | 2 700 | 940 | 130 | 140 | 110 | 180 | 9 | 9 | | 1,2 × 1012 |
| III | 1 760 < RW | 3 400 | 1100 | 160 | 140 | 120 | 220 | 9 | 9 | | 1,2 × 1012 |
| N2 | — | All | 3 400 | 1100 | 160 | 140 | 120 | 220 | 9 | 9 | | 1,2 × 1012 |
| Key: PI = Positive Ignition, CI = Compression Ignition. |

Reference mass

(RW)

(kg)

Mass of carbon monoxide

Mass of non-methane hydrocarbons

Mass of oxides of nitrogen

Mass of particulates

Number of particles

(CO)

(mg/km)

(NMHC)

(mg/km)

(NOx)

(mg/km)

(PM)

(mg/km)

(P)

(#/km)

Category

Class

PI

CI

PI

CI

PI

CI

PI (1)

CI

PI (2)

CI

M

—

All

1 500

750

100

140

90

140

9

9

1,2 × 1012

N1

I

RW ≤ 1 305

1 500

750

100

140

90

140

9

9

1,2 × 1012

II

1 305 < RW ≤ 1 760

2 700

940

130

140

110

180

9

9

1,2 × 1012

III

1 760 < RW

3 400

1100

160

140

120

220

9

9

1,2 × 1012

N2

—

All

3 400

1100

160

140

120

220

9

9

1,2 × 1012

Key: PI = Positive Ignition, CI = Compression Ignition.

---

(1)  Positive ignition particulate mass standards apply only to vehicles with direct injection engines.

(2)  × 2 threshold to be considered once emission limit is set.

---

NOTICES FROM MEMBER STATES

| 19.7.2008 | EN | Official Journal of the European Union | C 182/21 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/21

---

Extract of winding-up measure decided under Article 9 of Directive 2001/24/EC of the European Parliament and of the Council on the reorganization and winding-up of credit institutions concerning JSC OGRES KOMERCBANKA

(2008/C 182/09)

The Board of Financial and Capital Market Commission of the Republic of Latvia on 21 December 2006 took the Decision No 215 and decided to:

| 1. | withdraw the licence granted to JSC OGRES KOMERCBANKA (legal address: 12 E. Birznieka-Upisa St., LV-1050 Riga; registration No 40003150023); |
| --- | --- |

1.

withdraw the licence granted to JSC OGRES KOMERCBANKA (legal address: 12 E. Birznieka-Upisa St., LV-1050 Riga; registration No 40003150023);

| 2. | file a petition for liquidation of the JSC OGRES KOMERCBANKA to the Riga District Court. |
| --- | --- |

2.

file a petition for liquidation of the JSC OGRES KOMERCBANKA to the Riga District Court.

The Riga District Court on 23 January 2007 took the decision to open liquidation proceedings of JSC OGRES KOMERCBANKA and to appoint the liquidator (published in the issue: OJ C 28, 8.2.2007, p. 5).

The Riga District Court on 20 May 2008 took the decision to change and appoint new liquidator of JSC OGRES KOMERCBANKA.

| Credit Institution | JSC OGRES KOMERCBANKA |
| --- | --- |
| 12 E. Birznieka-Upisa St. |
| LV-1050 Riga |

Credit Institution

JSC OGRES KOMERCBANKA

12 E. Birznieka-Upisa St.

LV-1050 Riga

Registration No 40003150023

Date

20 May 2008

Entry into force

20 May 2008

Nature of the decision

Change of the liquidator

Competent authority

Riga District Court

Supervisory authority

| Financial and Capital Market Commission |
| --- |
| 1 Kungu St. |
| LV-1050 Riga |
| Tel. (371) 6 777 4800 |
| E-mail: fktk@fktk.lv |

Financial and Capital Market Commission

1 Kungu St.

LV-1050 Riga

Tel. (371) 6 777 4800

E-mail: fktk@fktk.lv

Appointed liquidator

| Mrs Dace Valds |
| --- |
| 72 Brivibas St. |
| LV-1011 Riga |
| Tel. (371) 2 912 0310, (371) 6 781 3892 |
| E-mail: rukmanis@ar.lv |

Mrs Dace Valds

72 Brivibas St.

LV-1011 Riga

Tel. (371) 2 912 0310, (371) 6 781 3892

E-mail: rukmanis@ar.lv

---

V Announcements

PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMMON COMMERCIAL POLICY

Commission

| 19.7.2008 | EN | Official Journal of the European Union | C 182/22 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/22

---

Notice of the impending expiry of certain anti-dumping measures concerning imports of silicon originating in Russia

(2008/C 182/10)

| 1. | As provided for in Article 11(2) of Council Regulation (EC) No 384/96 of 22 December 1995 on protection against dumped imports from countries not members of the European Community (1), the Commission gives notice that, unless a review is initiated in accordance with the following procedure, the anti-dumping measures mentioned below will expire on the date mentioned in the table below. |
| --- | --- |

1.

As provided for in Article 11(2) of Council Regulation (EC) No 384/96 of 22 December 1995 on protection against dumped imports from countries not members of the European Community (1), the Commission gives notice that, unless a review is initiated in accordance with the following procedure, the anti-dumping measures mentioned below will expire on the date mentioned in the table below.

2.   Procedure

Community producers may lodge a written request for a review. This request must contain sufficient evidence that the expiry of the measures would be likely to result in a continuation or recurrence of dumping and injury.

Should the Commission decide to review the measures concerned, importers, exporters, representatives of the exporting country and Community producers will then be provided with the opportunity to amplify, rebut or comment on the matters set out in the review request.

3.   Time limit

Community producers may submit a written request for a review on the above basis, to reach the European Commission, Directorate-General for Trade (Unit H-1), J-79 4/23, B-1049 Brussels (2) at any time from the date of the publication of the present notice but no later than three months before the date mentioned in the table below.

| 4. | This notice is published in accordance with Article 11(2) of Regulation (EC) No 384/96.









  Product | Country(ies) of origin or exportation | Measures | Reference | Date of expiry |
| --- | --- | --- | --- | --- | --- |
| Silicon | Russia | Anti-dumping duty | Council Regulation (EC) No 2229/2003 (OJ L 339, 24.12.2003, p. 3) as last amended by Council Regulation (EC) No 821/2004 (OJ L 127, 29.4.2004, p. 1) | 25.12.2008 |
| Undertaking | Commission Decision 2004/445/EC (OJ L 127, 29.4.2004, p. 114) |

4.

This notice is published in accordance with Article 11(2) of Regulation (EC) No 384/96.

Product

Country(ies) of origin or exportation

Measures

Reference

Date of expiry

Silicon

Russia

Anti-dumping duty

Council Regulation (EC) No 2229/2003 (OJ L 339, 24.12.2003, p. 3) as last amended by Council Regulation (EC) No 821/2004 (OJ L 127, 29.4.2004, p. 1)

25.12.2008

Undertaking

Commission Decision 2004/445/EC (OJ L 127, 29.4.2004, p. 114)

---

(1)  OJ L 56, 6.3.1996, p. 1. Regulation as last amended by Regulation (EC) No 2117/2005 (OJ L 340, 23.12.2005, p. 17).

(2)  Fax (32-2) 295 65 05.

---

PROCEDURES RELATING TO THE IMPLEMENTATION OF THE COMPETITION POLICY

Commission

| 19.7.2008 | EN | Official Journal of the European Union | C 182/23 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/23

---

Communication from the French Government concerning Directive 94/22/EC of the European Parliament and of the Council on the conditions for granting and using authorisations for the prospection, exploration and production of hydrocarbons (1)

(Notice regarding an application for an exclusive licence to prospect for liquid and gaseous hydrocarbons, designated the ‘Yvelines Licence’)

(Text with EEA relevance)

(2008/C 182/11)

On 4 December 2007, POROS SAS, a company with registered offices at 145, rue Michel Carré, F-95100 Argenteuil, applied for an exclusive five-year licence, designated the ‘Yvelines Licence’, to prospect for oil and gas in an area of approximately 1 456 km2 covering part of the departments of Yvelines, Val d'Oise and Hauts de Seine.

The perimeter of the area covered by this licence consists of the meridian and parallel arcs connecting in turn the vertices defined below by their geographical coordinates in degrees, the prime meridian being that of Paris.

| Vertices | Longitude | Latitude |
| --- | --- | --- |
| A | 0,90° W | 54,50° N |
| B | 0,90° W | 54,40° N |
| C | 0,80° W | 54,40° N |
| D | 0,80° W | 54,30° N |
| E | 0,70° W | 54,30° N |
| F | 0,70° W | 54,20° N |
| G | 0,60° W | 54,20° N |
| H | 0,60° W | 54,00° N |
| I | 0,40° W | 54,00° N |
| J | 0,40° W | 54,20° N |
| K | 0,20° W | 54,20° N |
| L | 0,20° W | 54,50° N |

Vertices

Longitude

Latitude

A

0,90° W

54,50° N

B

0,90° W

54,40° N

C

0,80° W

54,40° N

D

0,80° W

54,30° N

E

0,70° W

54,30° N

F

0,70° W

54,20° N

G

0,60° W

54,20° N

H

0,60° W

54,00° N

I

0,40° W

54,00° N

J

0,40° W

54,20° N

K

0,20° W

54,20° N

L

0,20° W

54,50° N

Submission of applications and criteria for awarding rights

The initial applicant and competing applicants must prove that they meet the requirements specified in Articles 4 and 5 of Decree No 2006-648 of 2 June 2006 concerning mining rights and underground storage rights (décret relatif aux titres miniers et aux titres de stockage souterrain) (Journal officiel de la République française of 3 June 2006).

Interested companies may, within ninety days of the publication of this notice, submit a competing application in accordance with the procedure summarised in the ‘Notice regarding the granting of mining rights for hydrocarbons in France’ published in
  Official Journal of the European Communities C 374 of 30 December 1994, p. 11, and established by Decree No 2006-648 concerning mining rights and underground storage rights. Competing applications must be sent to the Minister responsible for mines at the address below.

The decisions on the initial application and competing applications will be based on the criteria governing the award of mining rights set out in Article 6 of the abovementioned Decree and will be taken by 4 December 2009 at the latest.

Conditions and requirements regarding performance of the activity and cessation thereof

Applicants are referred to Articles 9 and 79.1 of the Mining Code (code minier) and to Decree No 2006-649 of 2 June 2006 on mining and underground storage operations and the regulations governing mining and underground storage (décret relatif aux travaux miniers, aux travaux de stockage souterrain et à la police des mines et des stockages souterrains) (Journal officiel de la République française of 3 June 2006).

Further information can be obtained from the following address: Ministère de l'écologie, du développement et de l'aménagement durables (direction générale de l'énergie et des matières premières, direction des ressources énergétiques et minérales, bureau de la législation minière), 61, boulevard Vincent Auriol, Télédoc 133, F-75703 Paris Cedex 13 (tel. (33) 144 97 23 02, fax (33) 144 97 05 70).

The abovementioned laws and regulations can be consulted at:

http://www.legifrance.gouv.fr

---

(1)  OJ L 164, 30.6.1994, p. 3.

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| 19.7.2008 | EN | Official Journal of the European Union | C 182/25 |
| --- | --- | --- | --- |

19.7.2008

EN

Official Journal of the European Union

C 182/25

---

Prior notification of a concentration

(Case COMP/M.5221 — Kenwood/JVC/Holdco)

(Text with EEA relevance)

(2008/C 182/12)

| 1. | On 14 July 2008, the Commission received a notification of a proposed concentration pursuant to Article 4 of Council Regulation (EC) No 139/2004 (1) by which the undertaking Kenwood Corporation (‘Kenwood’, Japan) enters in a full merger within the meaning of Article 3(1)(a) of the Council Regulation with the undertaking Victor Company of Japan Ltd (‘JVC’, Japan), by way of transfer of shares. |
| --- | --- |

1.

On 14 July 2008, the Commission received a notification of a proposed concentration pursuant to Article 4 of Council Regulation (EC) No 139/2004 (1) by which the undertaking Kenwood Corporation (‘Kenwood’, Japan) enters in a full merger within the meaning of Article 3(1)(a) of the Council Regulation with the undertaking Victor Company of Japan Ltd (‘JVC’, Japan), by way of transfer of shares.

| 2. | The business activities of the undertakings concerned are:






  — | for Kenwood: provider of electronic equipment. It focuses on car electronics, home electronics, and communications equipment, |
| --- | --- | --- |

2.

The business activities of the undertakings concerned are:

—

for Kenwood: provider of electronic equipment. It focuses on car electronics, home electronics, and communications equipment,

| — | for JVC: active in the research, development, manufacturing and sales of electronic products and accessories for consumer and professional use. |
| --- | --- |

—

for JVC: active in the research, development, manufacturing and sales of electronic products and accessories for consumer and professional use.

| 3. | On preliminary examination, the Commission finds that the notified transaction could fall within the scope of Regulation (EC) No 139/2004. However, the final decision on this point is reserved. |
| --- | --- |

3.

On preliminary examination, the Commission finds that the notified transaction could fall within the scope of Regulation (EC) No 139/2004. However, the final decision on this point is reserved.

| 4. | The Commission invites interested third parties to submit their possible observations on the proposed operation to the Commission.
  Observations must reach the Commission not later than 10 days following the date of this publication. Observations can be sent to the Commission by fax ((32-2) 296 43 01 or 296 72 44) or by post, under reference number COMP/M.5221 Kenwood/JVC/Holdco, to the following address:





  European Commission |
| --- | --- |
| Directorate-General for Competition |
| Merger Registry |
| J-70 |
| B-1049 Bruxelles/Brussel |

4.

The Commission invites interested third parties to submit their possible observations on the proposed operation to the Commission.

Observations must reach the Commission not later than 10 days following the date of this publication. Observations can be sent to the Commission by fax ((32-2) 296 43 01 or 296 72 44) or by post, under reference number COMP/M.5221 Kenwood/JVC/Holdco, to the following address:

European Commission

Directorate-General for Competition

Merger Registry

J-70

B-1049 Bruxelles/Brussel

---

(1)  OJ L 24, 29.1.2004, p. 1.

---