WRITTEN QUESTION E-1459/00

by Marianne Thyssen (PPE-DE) to the Commission

(10 May 2000)

Subject: The European JOB and ECIP programmes

The ECIP and JOB financial instruments, the aim of which was to stimulate the internationalisation of European SMEs through joint ventures, have been very successful in the past.

The intermediary financial institutions have recently been informed by the Commission that these programmes are to be stopped. No provision is being made for a replacement programme.

This is highly regrettable, particularly in the case of the JOB programme, which is geared to joint ventures with undertakings in Eastern European candidate countries.

1. Can the Commission say why these two programmes are being stopped?

2. Can the Commission say if it has taken measures to ensure the completion of current projects?

3. Can the Commission say what it plans to do with the JEV programme, which is designed to stimulate joint ventures between small and medium-sized enterprises in the European Union?

Answer given by Mr Liikanen on behalf of the Commission

(30 June 2000)

1. The Commission can confirm that it has decided to stop the JOP (Joint Venture Programme PHARE/TACIS) and ECIP (European Community Investment Partners) programmes. This decision was taken in view of the new guidelines for PHARE(1) in the context of accession to the EU i.e. the decentralisation of management and the rising and excessive administrative cost of the Commission's direct management of individual projects.

2. The financial intermediaries had been notified of the decision to stop the JOP programme at the meeting of the network in Luxembourg on 20 October 1999. In order to ensure the best possible conditions for closing the JOP programme, the Commission had authorised the submission of new applications for funding up until 6 March 2000. However, current projects for which additional funding under the programme's Facility 3 is envisaged will be taken into consideration until 30 September 2000. A new budget will therefore be provided to ensure that all these final projects are completed.

With regard to the ECIP programme, Council Regulation (EC) No 213/96 of 29 January 1996(2), which formed the legal basis allowing the Commission to manage the ECIP financial instrument, expired on 31 December 1999. On 22 December 1999, the Commission decided not to propose to the Council and the Parliament that the validity of this Regulation be extended and therefore that the ECIP programme would not continue beyond 31 December 1999. Despite the success of this programme throughout the years, the rationalisation of certain Commission policies and the reform and simplification of administrative tasks made it necessary to take this decision.

The financial intermediaries were notified on 14 January 2000 that the ECIP programme would be stopped. In order to ensure that this happened under the best possible conditions, on 31 January 2000(3) the Commission made a proposal for a Regulation of the European Parliament and of the Council regarding the closure and liquidation of projects adopted by the Commission under Council Regulation (EC) No 213/96.

3. The Commission does not intend to renew the Joint European Venture (JEV) programme when the current programme expires.

(1) PHARE: Action plan for coordinated aid to Poland and Hungary aid for restructuring the economy.

(2) The Regulation on the implementation of the EC Investment Partners financial instrument for the countries of Latin America, Asia, the Mediterranean region and South Africa (OJ L 28, 6.2.1996).

(3) COM(1999) 726 final.