WRITTEN QUESTION E-1500/00

by Elisabeth Schroedter (Verts/ALE) to the Commission

(12 May 2000)

Subject: Germany's refusal on principle to incorporate in its regional plans the decentralised global grants intended to promote local development and employment initiatives

The Structural Fund Regulation set up a decentralised instrument for aid, the global grant, which is primarily intended to promote local development and employment initiatives (Article 9, Regulation EC 1260/1999), which play an important role in achieving the Community's goal of creating a high level of employment.

1. (a) What is the Commission's approach to regional plans which nowhere provide this decentralised aid instrument which in its own guidelines is designated as the instrument for decentralised partnership which in turn is a key factor in the success of the structural programmes (COM(1999) 344)?

(b) How far has the Commission taken heed of Parliament's request in its resolution on the guidelines (A5-0108/1999 of 18.1.2000, in particular paragraphs 15 and 16) that the global grant be appropriately taken into account in regional plans, in its negotiating stance towards the Member States?

(c) How would global grants have to be applied in regional plans for the Commission to recognise this as appropriate?

(d) Does the Commission consider that plans completely omitting global grants could be approved?

2. Will the Commission approve Germany's regional plans if the Federal Government and the Länder maintain their refusal on principle to include any global grants in their plans? If so, why? If not, what specific requirements will the Commission impose?

Answer given by Mr Barnier on behalf of the Commission

(14 June 2000)

Global grants are a possible but not mandatory element of Member States' regional development plans and may be an efficient tool for local development. However favourable local conditions for their use are necessary. The regional development plans submitted by the German authorities did not foresee global grants and their use has been discussed during the negotiations with the Commission.

The European social fund Regulation (EC) No 1784/1999 of the Parliament and of the Council of 12 July 1999(1), obliges Member States to reserve adequate financing for non governmental organisations and local partnerships. With small amounts actors at a local level should mobilise local potential for job creation. A chapter on global grants, following this requirement, has therefore now been included in the Community support framework.

In addition, the utilisation of such instruments should be requested primarily by local partners and not imposed on them. If in the future a need for wider use of global grants becomes apparent as formulated by the regional authorities, the mid-term review would be an opportunity to extend the use of global grants. The decision to employ a global grant will then be taken by the Member State in agreement with the Commission or by the managing authority in agreement with the Member State, as stated in Article 9 of Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general provisions on the Structural Funds(2).

Regions can use other approaches to unlock regional potential and promote partnership, such as local employment pacts foreseen in several operational programmes or activities in urban areas. Thuringia for example pays particular attention to local partnerships in exploiting the potential of the information society.

(1) OJ L 213, 13.8.1999.

(2) OJ L 161, 26.6.1999.