EN Official Journal of the European Union CE 70/175

(2004/C 70 E/184)

WRITTEN QUESTION E-2941/03

by Rosa Miguélez Ramos (PSE) to the Commission

(8 October 2003)

Subject: Allocations from the Solidarity Fund

Following the ‘Prestige’ disaster, the European Parliament adopted two resolutions calling on the Commission ‘as a matter of urgency, to consider using all the necessary financial instruments to tackle the economic, social and environmental consequences and assist the economic sectors affected’ and demanding ‘the immediate adoption of measures to alleviate the damaged occasioned to those affected, through use of the Solidarity Fund’ (1) and to assist ‘the people in economic sectors affected by the oil pollution and restore the environment of the regions concerned’ (2).

Commissioner Barnier's reply to my question E-3659/02 (3) on 26 February 2003 stated that the Commission had received the formal request from the Spanish authorities on 14 January 2003 for mobilisation of the European Union Solidarity Fund to provide help with the clean-up costs of the oil slick damage to the Galician coastline caused by the sinking of the ‘Prestige’.

The Commission recalled that the Solidarity Fund was set up to provide assistance principally in the event of natural disasters and that it cannot be used to provide immediate financial assistance if the fairly specific qualifying criteria outlined in the Regulation are met.

On 23 September, Community institution representatives including Budgets Commissioner Schreyer and Council President Magri agreed to encourage mobilising the Solidarity Fund for three Member States: Spain, Italy and Portugal. The agreement reached signed EUR 8,6 million to the Spanish regions affected by the ‘Prestige’ disaster, EUR 47,6 million to the Italian regions recently hit by earthquakes, and EUR 48,5 million to counteract the effects of the criminally-started forest fires in Portugal.

What estimates does the Commission have as to the economic damage caused by these three disasters?

What amounts have the governments of Spain, Portugal and Italy respectively asked the EU to provide from the Solidarity Fund to tackle the consequences of these disasters?

Why are the regions affected by the ‘Prestige’ disaster receiving less than one-fifth of what is to be received by the regions which suffered earthquakes in Italy and forest fires in Portugal?

Answer given by Mr Barnier on behalf of the Commission

(21 November 2003)

The Commission would like to clarify to the Honourable Member that the Inter-Institutional budget process of 23 September 2003 in respect of the mobilisation of the Solidarity Fund concerns a total of four applications. The first case relates to the grant assistance of EUR 48 539 000 for the Portuguese application in respect of forest fires. The second case refers to grant assistance of EUR 8 626 000 for the Spanish application in respect of the oil spill disaster caused by the sinking of the ‘Prestige’. The third case refers to grant assistance of EUR 30 826 000 for the Italian application in respect of earthquakes in the provinces of Campobasso (Molise) and Foggia (Puglia). The fourth case refers to grant assistance of EUR 16 798 000 for a second Italian application in respect of the Mount Etna eruption in the Province of Catania in Sicily.

The amount of Solidarity Fund grant assistance awarded to an admissible application is calculated in a equitable manner depending on the type of disaster, the amount of direct damage, the amount for eligible operations and the available budget in respect of the type of disaster at the time the Budgetary Authority proposes the mobilisation of the Fund. The total annual budget which can be mobilised for the Solidarity Fund is EUR 1 000 million per year. Some 75 % of this amount (i.e. EUR 750 million) can be allocated before 1 October 2003.

The total estimated direct damage considered eligible under the Solidarity Fund Regulation (4) in respect of each of the four applications is as follows: Spain EUR 486 000 000, Italy/Molise EUR 1 558 000 000, Italy/Mount Etna EUR932 000 000, Portugal EUR 1 227 885 900. It should be noted that these direct damage figures do not include economic losses such as in the tourist sector etc.

In accordance with the provisions set out in the regulation, the Portuguese application qualified as a major disaster while the remaining three applications qualified as exceptional regional disasters as defined.

The total annual budget available for exceptional regional disasters is EUR 75 million. Under the regulation, a maximum of EUR 56 250 000 (75 %) can be granted before 1 October of each year. In order to respect the overall budgetary constraints the rate applicable for defining the allocations for exceptional regional disasters is 2,5 % of total direct damage. In order to ensure an equitable treatment of the Italian and Spanish applications, it was proposed to apply this rate of 2,5 % and then reduce the grants proportionally so as to respect the limit set out in the regulation for allocations until the 1 October. Hence the amounts received by each of these three applications represent the equitable pro ratio percentage of 1,98 % of their respective total direct damage.

(1) ‘Texts adopted’, 19.12.2002 — P5_TA(2002) 0629.

(2) ‘Texts adopted’, 21.11.2002 — P5_TA(2002) 0575.

(3) OJ C 161 E, 10.7.2003, p. 125.

(4) Council Regulation (EC) No 2012/2002 of 11 November 2002 establishing the European Union Solidarity Fund, OJ L 311, 14.11.2002.