Technical adjustment in respect of special instruments for 2020 (Article 6(1)(e) and (f) of Council Regulation No 1311/2013 laying down the multiannual financial framework for the years 2014-2020)

1.introduction

The regulation laying down the multiannual financial framework (MFF regulation) for the years 2014-2020 as last amended by Council Regulation (EU, Euratom) No 2017/1123 of 20 June 2017 and adjusted as shown in the communication on the technical adjustment for 2020 contains the financial framework table for the period 2014-2020, expressed in 2011 prices (Table 1).

According to Article 6(1) of the MFF regulation, the Commission makes each year, ahead of the budgetary procedure for year n+1, a technical adjustment to the multiannual financial framework (MFF) in line with movements in the EU's gross national income (GNI) and prices and communicates the results to the Council and the European Parliament. The adjustment of the ceilings in line with Article 6(1) was done in the technical adjustment for 2020 in May 2019 and based on Article 6(4) it is not being updated.

The Communication on the technical adjustment for 2020 has indicated the availability of the special instruments for the years 2019 and 2020 according to Article 6(1)(e) and (f) of the MFF Regulation for the availability of the Global margin for commitments and Flexibility instrument respectively as known in spring 2019. The purpose of this communication is to present to the Council and the European Parliament the additional availabilities of the special instruments according to Article 6(1)(e) and (f) of the MFF Regulation for the the Global margin for commitments and Flexibility instrument respectively for the year 2020, which became available at the end of 2019.

The communication also shows the available amounts of all special instruments and their use since 2014 for information.

2.Global Margin for Payments (GMP)

According to Article 5 of the MFF Regulation, the Commission shall adjust the payment ceiling for the years 2015-2020 upwards by an amount equivalent to the difference between the executed payments and the MFF payment ceiling of the year n-1. Any upward adjustment shall be fully offset by a corresponding reduction of the payment ceiling for year n-1 in constant 2011 prices.

No recalculation of the GMP is done for 2020 as the threshold set by Article 5(2) of the MFF Regulation has been reached in the technical adjustment for 2020 adopted in May 2019.

3.Special Instruments

A number of instruments are available outside expenditure ceilings agreed in the financial framework 2014-2020. These instruments aim to provide rapid response to exceptional or unforeseen events, and provide some flexibility beyond the agreed expenditure ceilings within certain limits.

3.1.Emergency Aid Reserve (EAR)

According to Article 9 of the amended MFF Regulation the Emergency Aid Reserve can be mobilised up to a maximum amount of EUR 300 million per year in 2011 prices, or EUR 358,5 million in 2020 at current prices (EUR 2 301,4 million for the whole period in current prices). The portion of the unused amount of the previous year can be carried over to the following year. The carry-over from 2019 to 2020 amounts to EUR 45,6 million.

The table below shows the details of the annual availabilities and usage of the EAR since 2014:

Emergency Aid Reserve EUR million 2014 2015 2016 2017 2018 2019 2020 Total Annual amounts in 2011 prices 280 280 280 300 300 300 300 2 040 Annual amounts in current prices 297,0 303,0 309,0 337,8 344,6 351,5 358,5 2 301,4 Carried-over from the previous year 0,0 198,9 219,4 98,6 61,7 34,1 45,6 Annual usage 98,1 282,5 429,8 374,7 372,2 340,0 1 897,3 Carried-over to the following year 198,9 219,4 98,6 61,7 34,1 45,6 Lapsed 0,0 0,0 0,0 0,0 0,0 0,0 0,0

3.2.European Union Solidarity Fund (EUSF)

According to Article 10 of the MFF Regulation, the EU Solidarity Fund can be mobilised up to a maximum amount of EUR 500 million per year in 2011 prices, or EUR 597,5 million in 2020 at current prices (EUR 3 944,7 million for the whole period in current prices). The portion of the unused amount of the previous year can be carried over to the following year. The carry-over from 2019 to 2020 amounted to EUR 553,0 million. No amount lapsed at the end of 2019.

The table below shows the details of the annual availabities and usage of the EUSF since 2014:

European Union Solidarity Fund EUR million 2014 2015 2016 2017 2018 2019 2020 Total Annual amounts in 2011 prices 500 500 500 500 500 500 500 3 500 Annual amounts in current prices 530,6 541,2 552,0 563,1 574,3 585,8 597,5 3 944,7 Carried-over from the previous year 0,0 403,9 541,2 552,0 140,8 265,3 553,0 Frontloaded from the following year 0,0 0,0 0,0 294,0 -294,0 0,0 0,0 Annual usage 126,7 82,8 33,1 1 268,3 155,9 298,1 1 964,9 Carried-over to the following year 403,9 541,2 552,0 140,8 265,3 553,0 Lapsed 0,0 321,1 508,1 0,0 0,0 0,0 829,2

3.3.Flexibility Instrument