WRITTEN QUESTION P-1301/00

by Ursula Stenzel (PPE-DE) to the Commission

(12 April 2000)

Subject: Sapard and ISPA funds for Poland

In recent weeks there have been signs of dissension between Poland and the EU, underlying which there are no doubt specific problems, particularly regarding the release of Sapard and ISPA resources.

On the Polish side, it is said that the rural development and infrastructure items in the Polish budget are blocked because the European Union has so far omitted to announce the rules governing the use of these funds.

The Commission is blamed for the delay.

1. What is the real reason why Sapard and ISPA funds are still in the pipeline?

2. What measures need to be taken by the Polish authorities for the amounts concerned to be made available?

Answer given by Mr Verheugen on behalf of the Commission

(15 May 2000)

The Sapard (Community support for pre-accession measures for agriculture and rural development) funds cannot be released at least until the rural development plan has been approved. However, with the envisaged decentralised system for implementation of the Sapard programme it is necessary also to conclude bilateral agreements laying down obligations for both Poland and the Community. It is also necessary for the agency charged with implementation of the Sapard programme and paying the Sapard funds to be accredited and approved by the Commission. The draft rural development plan upon which the programme is to be based was presented to the Commission on 6 April 2000. The Council Regulation allows the Commission six months to approve this plan which must be scrutinised before it can be accepted as a programme. Moreover, the agreements and the approval of the paying and implementing agency are needed, not only for technical and legal reasons, but also to safeguard the Community's budget resources.

Instrument for structural policies for pre-accession (ISPA) funds can only be committed to individual projects which are submitted by Poland and approved by the Commission acting with the ISPA management committee. Eleven environment projects were submitted to the Commission on 2 March 2000 and one transport project on 24 March 2000. Once the projects have been assessed by the Commission to ensure that they meet all the requirements set down in the Regulation, they will be presented to the ISPA management committee for approval. Four meetings of the committee are scheduled for the examination and approval of projects, the goal being to commit before the end of this year all ISPA funds available for Poland, i.e. 348 million. The first of these meetings of the ISPA management committee is scheduled for 6 June 2000 and three more meetings are scheduled in July 2000, August 2000 and November 2000.

The financial rules and procedures for ISPA were approved (with some minor exceptions) by the ISPA management committee on 16 February 2000 and transmitted to the Polish authorities immediately afterwards. The immediate priority at present is to close and prepare priority projects for submission to the Commission. This does not require detailed knowledge of financial rules and procedures, most of which will only become relevant when the first projects have been approved.

As regards the Sapard funds, the Polish authorities will need to respond to any questions that arise during the process of approval of the rural development plan before it can be accepted as a programme. They will also need to ratify the bilateral agreements and to complete work to establish the paying and implementing agency.

The draft Commission regulation laying down detailed financial provisions for the decentralised management of Sapard is currently put to the approval of Member States in the European agricultural guidance and guarantee fund management committee. However, the Commission has started to inform the Polish authorities systematically about work to be done, and has provided assistance to them under the Phare programme since early 1999.

As regards ISPA, in order to make the funds productive, the Polish side needs to reinforce its implementation capacity in order to be in a position to produce well-prepared projects that meet the main strategic priorities in the transport and environment sectors. The capacity to administer the projects financed under ISPA also needs to be strengthened. In addition, the Commission's experience over the past year suggests that stronger co-ordination is needed between the different parts of the Polish administration responsible for the environment sector, especially between the Ministry of environment and the National fund for environmental protection.