COMMISSION OF THE EUROPEAN COMVIUNITIES 
COM(94) 348 final 
Brussels, 27.07.1994 
COMMUNICATION FROM THE COMMISSION TO THE COUNCIL 
AND THE EUROPEAN PARLIAMENT 
Participation of the European Union in the 
Budapest International Exposition 
A in 
COMMISSION COMMUNICATION TO THE COUNCIL AND PARLIAMENT 
European Union participation in the Budapest International 
Exposition in 1996 
From 11 May to 4 October 1996 Hungary is holding an 
International Exposition to mark the 1 100th anniversary of 
its foundation. 
This will make it the first country in Central and Eastern 
Europe to organize a world event of this type since the 
restoration of democracy. 
'Expo '96' is registered with the International Exhibitions 
Bureau (IEB) in Paris as a specialized international 
exhibition, in the same category as those in which the 
European Community participated in recent years, i.e. 
Brisbane, Australia (1988), Genoa, Italy (1992) and Taejon, 
South Korea (1993); the Seville fair (1992) was a universal 
exposition. 
The theme will be "Communication for a better world", a key 
issue of our time. 
This event enjoys the full political and financial support 
of the Hungarian Government. 
1. BUDAPEST INTERNATIONAL EXPOSITION 
1.1 Theme of the exposition 
The organizers have selected "Communication for a 
better world" as the theme of the exposition. In this 
context a large space will be allocated for the 
considerable developments and diversification of 
communication, from printing and the telephone to 
computing and satellite technologies, including radio, 
cinema and television. The theme of the exposition 
will also cover publishing, the press and languages, 
mainly the translation and teaching aspects. 
Attention will also focus on the use and content of 
vectors of communication; the human and cultural 
dimensions of dialogue and mutual understanding between 
individuals and nations will be underscored. 
1.2 Site of the exposition 
The exposition site covers 44 hectares and has the 
twofold advantage of being located in the city itself 
along the Danube (in an area to be redeveloped not far 
from the University, which will inherit the permanent 
installations from the exposition.) 
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The road network is to be extended and a new bridge is 
to be built over the Danube: the exposition will thus 
be integrated with the city and visitors will be 
offered two relatively close and complementary poles of 
attraction. 
1.2 Participants and the public 
Some 45 nations are expected to be represented at the 
exposition, those from the European Union being 
particularly keenly awaited. But this figure is likely 
to be well exceeded. 
For the moment it is difficult to present anything like 
a complete picture of the countries which will be 
represented in Budapest, but many expressions of 
interest associated with Hungary's position in the 
recent upheavals in Europe suggest that the main actors 
on the world scene will be present. 
Some 12 multinational firms will present pavilions on 
the theme of the exposition. 
Some 15 million visitors are expected in the five 
months of the exposition, with a daily average of 100 
000 visitors and some 150 000 at peak times. 
2. BENEFITS OF EUROPEAN UNION PARTICIPATION IN THE 
BUDAPEST INTERNATIONAL EXPOSITION 
2.1 Preliminary work by the Commission 
By letter of 29 June 1993 to Mr Delors, Jozsef Antall, 
Prime Minister, conveyed the Hungarian Government's 
invitation to the Commission to participate in the 
Budapest International Exposition. 
President Delors' response was favourable, but he 
stressed that the final decision could only be taken 
once the Council and the European Parliament had given 
their agreement, particularly as regards the budgetary 
aspect. 
Subsequently, the Hungarian Commissioner-General for 
the exposition, Mrs Barsi-Pataky, briefed the Council 
Working Party on Fairs and Exhibitions on the main 
aspects of the event at a meeting on 1 December 1993. 
She also proposed alternative sites for participants 
from the European Union and its Member States. An 
option was taken out on a group of buildings located 
immediately to the right of the Hungary pavilion, which 
should prove to be one of the main attractions of the 
exposition. 
2.2 Political and geographical context 
The main reason for participating in this event can be 
summed up in the considerable expectations aroused by 
the European Union in Central and Eastern Europe even 
though countries there are critical of the Union. 
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More specifically, in view of the signature of Europe 
agreements with these countries linked to the prospect 
of future accession to the European Union, and the 
multiple efforts it deploys in this area, especially 
Hungary, it would be logical for the Union to play a 
significant role in the Budapest exposition, and the 
political fall-out should not be underestimated in the 
present circumstances. 
In addition, 1996, the year of the exposition, will 
closely follow the enlargement of the European Union: 
an international exposition of world-wide scope taking 
place in Europe would provide a golden opportunity to 
celebrate the new accessions and will have all the more 
significance for Hungary given that Austria is very 
likely to have become a member of the Union by then. 
On account of the historic relations between the two 
countries, Austria intends to make a special effort at 
the Budapest exposition, and has obtained authorization 
to build a special pavilion itself (whereas at this 
type of exposition it is usual for the organizers to 
put up the buildings which they make available to the 
participating countries and international 
organizations). 
2.3 Theme of the exposition 
In many respects, the theme "Communication for a better 
world" is close to the concerns of the European Union. 
Essentially, information and telecommunications 
technology and audiovisual media may be regarded as 
priorities for the European Union. More specifically, 
the transition from analogue to digital television and 
development of the 16/9 format are outstanding examples 
of the Union's concerns in the field of communications. 
In addition, the development of trans-European 
information, transport and energy networks, provided 
for in the Treaty on European Union, is one of the 
bases of the White Paper on growth, competitiveness and 
employment. 
The theme of the exposition also touches on the Union's 
audiovisual and cultural policy. 
2.4 Continuation and reinforcement of the cooperation and 
cohesion policy in the area of international and 
universal expositions 
A clear distinction should be drawn between this area 
and the commercial fairs and exhibitions policy 
developed by the European Community on the initiative 
and with the assistance of the Commission. At large-
scale world events attended by millions of visitors it 
seeks to demonstrate the cohesion and enhance the 
profile of the Community and the Member States. 
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On previous occasions these aims have been achieved by 
organizing the participation of the Member States and 
the Community as a group, the external decoration 
scheme being common to all the Community and national 
pavilions, and by developing cooperation on a regular 
basis during the exhibitions in question. 
At the meeting of the Council Fairs and Exhibition 
Working Party on 1 December 1993 for the presentation 
of the event by the Hungarian organizers, the Member 
States once again approved this formula for the 
Budapest exposition. 
The formula is based on the guideline adopted by the 
Council in April 1983 to the effect that at 
international expositions registered with the 
International Exhibitions Bureau, Member States which 
decide to participate should as far as possible do so 
in a Community framework. 
This formula was applied and adapted to the different 
situations during the Community and Member States' 
participation in the international expositions of 
Knoxville (1982), New Orleans (1984), Tsukuba (1985), 
Vancouver (1986), Brisbane (1988), Genoa (1992), Taejon 
(1993) and the Seville universal exposition (1992). 
Accordingly, it seems best to continue this approach 
while adapting it to future changes so that the 
European Union can continue to participate at such 
events in a consistent manner, not only in Budapest, 
but also at forthcoming events, such as the 1998 
international exposition in Lisbon and the universal 
exposition in Hanover to mark the year 2000. 
3. GUIDELINES ON THE PARTICIPATION OF THE EUROPEAN UNION 
3.1 Grouping participation by the European Union and the 
Member States 
As stated earlier, an option was taken out at the 
organizers' suggestion on three buildings covering an 
area of some 8 700m2 to the right of the Hungarian 
pavilion. This has the advantage of making it possible, 
if required, to extend the Community grouping to occupy 
a fourth building adjoining the others, giving a usable 
area of 11 100m2, depending on the Member States' 
final decisions regarding their participation and on 
those of the countries acceding to the Union by 1996. 
It has the further advantage of giving the Union a 
prime location both politically (to the right of the 
organizing country, whose pavilion is traditionally in 
the best position, which in fact makes it the 'place 
of honour'), and in communication terms (one of the 
media highlights). 
The exact number of Union members participating in the 
planned grouping is not yet known as most of them have 
not yet taken an official decision, but it would 
appear that a large majority intend to be present in 
Budapest. 
In the first months of 1994, Germany and the 
Netherlands officially announced their intention of 
participating in the international exposition, while 
Belgium, France, Greece, Italy and the United Kingdom 
were basically in favour of doing so. The other Member 
States were also favourably disposed, except that 
Luxembourg has let it be known that it is not planning 
to participate. Although this reflects the trend at 
the time, in many cases there are significant budgetary 
obstacles. 
3.2 Guidelines concerning the European Union pavilion 
Given that this is an important event on the European 
and world scene, it is proposed that the European Union 
pavilion be set up on an area of some 648m *. Of this 
space, 150m* is reserved for the office of the 
Commissioner-General and includes an area for 
receptions and meetings with the Member States and 
special events such as press conferences, receptions 
for distinguished visitors, etc. 
In the context of the general theme of the exposition 
described above, the Union pavilion should highlight 
the fact that communication is the basis of European 
construction, both physically (closer technical links 
between the countries concerned) and politically 
(greater general familiarity with Europe and the 
European Union, and the main factors typifying Europe 
and its development). 
Since the subject is vast, there must be a strict 
selection of subjects to achieve an exhibition that is 
striking and spectacular rather than exhaustive and 
didactic. On such occasions the aim is to grip the 
attention of a very broad public who want to be 
informed and entertained at the same time. The 
presentation must of course be backed up by a wide 
range of publications and data banks. 
3.3 Information and communication programme 
To exploit the full potential of Union participation, 
an information and communication programme must be set 
up to maximize the benefits of the investment in the 
actual pavilion, especially through regular contact 
with the media. 
In this connection, the Union could participate 
generally in the cultural activities prepared for 
Expo'96 t in particular the audiovisual events, such as 
the film festival organized to celebrate the centenary 
of the cinema. 
3.4 Estimated budget 
In view of the above guidelines concerning the Union 
pavilion as such, plus the organization and external 
decoration scheme for the Community grouping, provision 
should be made for an overall appropriation of 
ECU 1 250 000; the Commission should propose to the 
budgetary authority an entry of ECU 500 000 in 1995 and 
ECU 750 000 in 1996. 
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BUDAPEST INTERNATIONAL EXPOSITION 1996 
Budget estimate 
I. PREPARATION ECU 
Market research to select a firm to design 
the exhibition; payment of firms not 
selected; fees for the firm selected for 
the project and establishment of the 
specifications for the invitation to 
tender 50,000 
II. SITE 
•Surface area of 648m2 at US$ 600 per m2 .. 338.500 
III. COMMON EXTERNAL DECORATION SCHEME OF COMMUNITY GROUP 
Design and completion of common 
decoration scheme 77.000 
IV. INSIDE ARRANGEMENT. DECORATION AND 
COMPLETION OF EXHIBITION 
- electrical equipment, plumbing, 
partitions, air conditioning 
- exhibition material, graphics 304.500 
V. OPERATION (five months) 
Local staff (assistant to pavilion director, 
secretaries, stewards and hostesses, messenger) 
Operating expenses (electricity, water, 
air conditioning, telephone, fax, postage, 
technical maintenance, office equipment 
service vehicle, cleaning, guards, 
insurance etc.) 480.000 
TOTAL 1. 250. 000 
-6-
Breakdown of ECU 1.250.000 
1995 1996 
Preparation 50.000 
Site 338.500 
Common external decoration scheme - 77.000 
Interior decoration 193.000 
Operation 480.000 
TOTAL 500.000 750.000 
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FINANCIAL STATEMENT 
B3-301 (part) 
in mio ECU 
Appropriations authorised in 
1994 
Commitments 
1 
-Payments 
2 
-Appropriations requested in 1995 
Commitments 
3 
0.500 Payments 
4 
0.500 Percentage variation 
Commitments 
5 = 3/1 
-Payments 
6 = 4/2 
-
1. 
2. 
3. 
4. TITLE OF THE ACTION Participation of the Commission in the 
Budapest International Exhibition 
LINE CONCERNED Part of line B3-301 
LEGAL BASIS Autonomous Decision by the Commission 
DESCRIPTION OF THE ACTION 
4.1. General objective of the action 
Hungary is organising an international exhibition, to be held in Budapest 
from 11 May to 5 October 1996, to commemorate the 1100th anniversary of 
its foundation. 
The theme will be 'Communication for a better world'. 
Considerable space will be devoted to the great development and 
diversification in communications technology, from the printed word and 
the telephone to computing and satellites, via radio, cinema and 
television. Publishing, the press and languages (translation and 
teaching) will also be covered. 
Some 45 countries will be taking part in the exhibition. The European 
Union and Member States' stands will cover some 11,000 square metres. 
4.2. The period covered by the action and the proposed arrangements for its 
renewal or extension 
One-off (11 May to 4 October 1996). 
CLASSIFICATION OF THE EXPENDITURE/RECEIPT 
5.1. Non-compulsory expenditure 
5.2. Differentiated appropriations 
5.3. Types of receipt concerned: N/A (non applicable) 
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TYPE OF EXPENDITURE/RECEIPT 
100% subsidy 
Subsidy for co-financing with other sources in the public and/or private 
sector 
Interest bonus: N/a 
Other: such as various study contracts, rental or fitting-out work, 
services rendered, supplies, etc. 
In the event that the action is an economic success, is the partial or 
total reimbursement of the Community's financial contribution planned? 
N/a 
Does the action planned require any modification to the level of 
receipts? If so, what type of modification and what sort of receipt is 
covered? N/a 
FINANCIAL IMPACT 
7.1. Method of calculation of the total cost of the action for 1995 (link 
between individual costs and total cost) 
The estimate has been made on the basis of the costs notified by the 
Hungarian organisers of the exhibition and the costs previously incurred 
in connection with similar events, particularly the Genoa exhibition in 
1992. 
The total cost (1.250) will be split between 1995 (0.500) and 1996 
(0.750). 
7.2. Breakdown of the cost of the action by element 
appropriations for commitment in mio ECU 
Breakdown 
- Preparation and 
des i gn 
- Rental of site 
- Internal and external 
fitting-out of 
premises, technical and 
audio-visual 
installations 
(including dismantling: 
approx. 5% of the 
contract) 
TOTAL 1994 Budget 
-
-
-
-Preliminary draft budget 
1995 
0.050 
0.3385 
0.1115 
0.50 Percentage variation 
-
-
-
-
(*) It is not a pavilion, but a stand 
-*>• 
7.3, Operational expenditure on studies, experts' meetings, etc. included in 
Part B N/a 
in ECU 
Breakdown 
- Studies 
- Experts' meetings 
- Conference and 
publications 
- Information and 
publications 
TOTAL Preliminary draft budget 
1995 
50,000 
70,000 
N/a 
N/a 
120,000 1996 
-
-Percentage variation 
- 100 
- 100 
- 100 
7.3.1. Timescale in the event of proposed new action 
- Amount deemed necessary: N/a 
- Period of application: N/a 
SCHEDULED TIMESCALE FOR PAYMENTS AS AGAINST COMMITMENTS 
in ECU 
COMMITMENTS 
(part of Article B3-301) 
1. Commitments 
entered into before 
1995, to be settled 
using new payment 
appropriations 
2. Appropriations 
for commitment 
carried over from 
1994 
3. 1995 
appropriations 
4. 1996 
appropriations 
TOTAL 500,000 
750,000 
1,250,000 PAYMENTS 
1995 
500,000 
500,000 1996 
725,000 
725,000 1997 
25,000 
25,000 1998 Subsequent 
years 
ANTI-FRAUD ARRANGEMENTS SCHEDULED (AND RESULTS OF THEIR IMPLEMENTATION) 
- A£> -
The various contracts will include the usual clause relating to potential 
checks by the Court of Auditors and by Financial Control. Any payment 
will be subject to the production of the appropriate financial and 
accounting supporting material. 
9. COST-EFFECTIVENESS ANALYSIS ELEMENTS 
9.1. Specific and quantifiable objectives, population targeted 
The political and geographical context 
The European Union is generating considerable interest in the countries of Central 
and Eastern Europe, many of whom have signed co-operation agreements in connection 
with the prospect of a gradual strengthening of ties with the European Union. 
The theme of the exhibition. 
The technologies of computing, telecommunications and the audio-visual 
media are priorities for the European Union. 
9.2. Justification for the action 
The participation grouping of the European Union and the Member States is 
in line with the Commission's policy, one which is designed to ensure the 
cohesion and visibility of the Commission and its Member States wherever 
there are these world-scale events which draw millions of people. 
9.3. Monitoring and evaluation of the action 
Performance indicators selected 
The main performance indicators will be the counting of the numbers of 
people attending the exhibition and random sample visitor surveys to 
assess the level of satisfaction. 
9.4. Coherence with the financial programming 
Is the action provided for under the DG's financial 
programming for the years concerned? 
The action is based upon the direction embarked upon by 
the Council in April 1983, to the effect that Member 
States deciding to participate in international 
exhibitions registered by the International Exhibitions 
Bureau would do so within the framework of the 
Community. 
10. ADMINISTRATIVE EXPENDITURE (PART A OF THE BUDGET) 
The outlay corresponding to the presence of officials on site; mission 
expenses; entertainment allowances; miscellaneous costs. 
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ISSN 0254-1475 
COM (94) 348 final 
DOCUMENTS 
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Catalogue number : CB-CO-94-357-EN-C 
ISBN 92-77-71976-1 
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