ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(80)368
Vol.1980/0132

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM <80)368 final
Brussels /6thOctober 1980
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PROPOSAL FOR ACOUNCIL REGULATION (EEC)
AMENDING REGULATION (EEC )N°724/75ESTABLISHING
AEUROPEAN REGIONAL DEVELOPMENT FUND
(presented bytheCommission totheCouncil )
\
COM (80)368 final

JUSTIFICATION
1.Regulation (££C )N°724/75of18March 1975 establishing aEuropean '.
Regional Development Fund (1)must ,according toitsArticle 22,be
re-examined bytheCouncil ,onaproposal from theCommission ,before
1January 1981 . * ,
4
2.TheCommission iscurrently deliberating onthechanges which itwould
•beappropriate tomake intheFund Regulation particularly with regard to
therecommendations made bytheEuropean Parliament inits "Report on
theGuidelines forCommunity Regional Policy "of10th October 1977 and
inits "Report ontheCommission 's4thAnnual Report ontheERDF "of
23february 1980 .TheCommission considers ,however ,that these changes
should beincorporated into theframework ofaclear longterm strategy
forregional policy within theCommunity which should bebased on
adequate experience inapplying theCouncil Decisions ofFebruary 1979 (2)
andontheoutcome andconclusions ofthePeriodic Report onthesocio­
economic stat«ottheCommunity 'sRegions which should bepresented
before the end of1980 .
Moreover the"General Affairs "Council of29and30May1980 decided that '
thewhole problem ofthedevelopment ofCommunity structural policies
should bereceived bytheend ofJune 1981 .
TheParliament 'sresolution "of23May1980 requesting that theCommission
present itsproposals fortheamendment oftheFund Regulation inSeptember
1980 atthe latest ,andthere-examination required under Article 22of
theFund Regulation should thereupon beconsidered inthelight ofthese
newguidelines .
3.There is,nevertheless ,oneitem oftheRegulation ,which must necessarily
i ,
beamended before theendof1980 ,namely thenewallocation ofthenational
quotas referred toatArticle 2(3)oftheRegulation totake account of
the'accession ofGreece totheCommunity from 1January 1981 .This adaptation
isindeed essential toenable this future Member !State toderive normal
benefit from Fund assistance .
(1)J0N°L73of21.3.1975 ,p.1.
(2)J0N°L35of9.2.1979 ,p.1.

-2-
.4.Acomparative analysisofthesituationofGreecewiththatofother
LessfavouredMemberStatesoftheCommunity hasledtheCommission to-
proposeaquotaforGreeceof15%ofthequotasectionoftheFund.
5.TheinclusionofGreeceinthesystemofFundquotasraisesthe
problemofalteringthequotasofotherMemberStatescorrespondingly .
InthiscontexttheCommission hadtotakeaccountinitsproposalsof
severalsometimescontradictory requirements .Ontheonehanditwas
difficulttoimaginethatthe15%allocatedtoGreececouldbecharged
tothequotasofotherMemberStatespurelyproratatotheirrelative
size,thatistosaybywayofsimplelineardistribution .Themethod
*
wouldindeedhaveimpliedthedisadvantage oftheleastprosperous
Statesassumingthemainburden,percentagewise .Ontheotherhand,a
methodwherebytoogreataburdenwouldhavebeenborneinthedistri­
butionbycountrieswithlessseriousregionalproblemswouldhave
emphasized undulythetendencytoconcentrate theFundalmostexclusively
incertainregions,adverselyaffectingtheglobalcharacterofCommunity
regionalpolicy.TheCommissionconsiderstheglobalnatureofthe
Communityregionalpolicytobeakey-factor,thatis,itshouldembrace
theregionalpoliciesoftheMemberStatesaswellascommunitypolicies
witharegionalimpact.
TheCommission hasfinallydecideduponaformulafordistribution based
upontherelativedeviationofpercapitagrossDomesticProductinthe
variousMemberStatesfromtheCommunity mean,whichseemstogive
appropriate weighttothedifferingrequirements 'whichhavetobetakeninto
account.
OnthebasisoftheCommission'sproposalsforthe1981Budgetthesenew
quotaswillnotinpracticecauseanydiminution intheabsolutevalues
ofthepreviousquotas.
viiventhatthewholeoftheFundRegulation hastobereviewedbytheCouncil
onaproposalfromtheCommissionduringthecourseof19S1theCommission
considersthatthenewquotasshouldbeapplicable onlyfor1981.

Thepresentproposalforaregulationcallsfortwocomments:
firstly,theCouncil'sbudgetguidelinesof23September 1980
ontheRegionalFunddonotappeartoreflecttheneed,although
fullyrecognized,togiveCommunityregionalpolicytheindispensable
financial meansforachievingtheaimsattributedtothispolicyby
theCouncilitself.Inthisconnection,despitetheadherenceofa
newMemberStateexperiencing seriousregionalproblems,theestimated
creditsfor1981.willbeatalevel,which,withaccountbeingtaken
ofthefallinthevalueofmoney,willnotevenmaintain,inreal
terms,thepresentlevelof-theFundforninecountriesonly.
Secondly,itwouldseemnecessarytoplaceemphasisinthefuture
onregionalaspectsindistributing Fundresources. ,

proposalforaregulation (EEC)N0'.../80 .j.i
oftheCouncilof1980,amending <
>regulation (EEC)N°724/75establishing 9
\
EuropeanRegionalDevelopment Fund.
I' ;'
THECOUNCILOFTHEEUROPEAN COMMUNITIES,
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity
andinparticularArticle235thereof;
HavingregardtotheproposalfromtheCommission;
HavingregardtotheOpinionoftheEuropeanParliament;
HavingregardtotheOpinionoftheEconomicandSocialCommittee;
WhereasCouncilRegulation (EEC)N®724/75of18March1975establishing
aEuropeanRegionalDevelopment Fund(1),asamendedbyCouncilRegulation
(EEC)N°214/79of6February1979(2),hasestablished aEuropeanRegional
Development Fundintendedtocorrectthemainregionalimbalancesinthe
Community;
WhereasArticle2(2)ofthe.Treatyon.theaccessionx>ftheHellenic
RepublictotheEuropeanEconomicCommunityandtotheEuropeanAtomic
EnergyCommunitylaysdownthatthesaidTreatyshallenterintoforceon
1January1981,providedthatallinstrumentsofratification havebeen
receivedpriortothatdateandthattheinstrumentofaccessionofthe
HellenicRepublictotheEuropeanCommunityofCoalandSteelhasbeen
receivedbythatdate;■
Whereasthedeclaration oftheEuropeanEconomicCommunityontheEuropean
RegionalDevelopment Fund,,annexedtotheFinalActformingoneofthe
documentsconcerningtheaccessionoftheHellenicRepublictotheEuropean
(1)O.J,N°L73of21,3.1975,p.1.
C)Q.J»K9L35of9.2.1979,p.1.

'-2-
Communities,providesthattheprovisionsofArticle2(3)a)ofRegu­
lation(EEC)N°724/75shouldbeamendedontheacc-essionoftheHellenic
RepublictotheEuropeanEconomicCommunityiftheconditionsgoverning
theshareoftheHellenicRepublicintheresourcesoftheFundhavenot
beenfixedwithintheframeworkofthere-examination laiddownin
Article22ofthisRegulation;
Whereasinthecircumstances theconditions governingtheshareofthe
HellenicRepublicintheresourcesoftheFundshouldbefixedasfrom
1January1981;
WhereasRegulation EEC724/75hastobereviewedbytheCouncilonaproposal
\
fromtheCommissionduringthecourseof1981itisappropriate tdapplythe
revisedtableofdistribution providedatArticle2paragraph3sub-heada)
onlyfor1981;
HASADOPTEDTHISREGULATION :
Article1- !■ ■-
Article2(3)a),secondparagraphofRegulation (EEC)N°724/75is
%
amendedasfollows:
v •v
In1981theresourcesoftheFundintendedforfinancingtheseactivities
shallbedistributed inaccordancewiththefollowingtable:
I-' •. ' '
I . • •Belgium \ 1.06X .
Denmark , 0.88X
j'Germany •4.46X
j'France .,i'13.18X '.'
jGreecev15,00% -
Ireland !.5.87X
Italy •34.93%M
Luxembourg 0*07X
Netherlands 1*21*
UnitedKingdom 23.34X;".

Article2
Article22readsasfollows:.,. ..!
"OnaproposalfromtheCommission,theCouncilshallre-examinethis
RegulationbeforefJanuary1982"."'
Article3
ThisRegulationshallenterintoforceon1January1981,
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicable
allMemberStates#
DoneatBrussels,.<>••••» FortheCouncil
ThePresident