WRITTEN QUESTION P-0360/00 by Jean Lambert (Verts/ALE) to the Commission. Construction of a water bottling plant in Taguluche, La Gomera island (Canaries).
Date: 2000-02-04
Institutions: European Parliament, Provisional data
Subjects: Canary Islands, agricultural area with environmental restrictions, bottling, complaint to the Commission, environmental impact, environmental protection, impact study, industrial building

21.11.2000

EN

Official Journal of the European Communities

C 330 E/137

on the market. There is also evidence of a coordinated trend towards higher premiums, which suggests
that some form of cartel is being operated by the insurance companies.

The head of the Italian antitrust authority, Giuseppe Tesauro, has expressed concern at the significant rise
in insurance premiums combined with a reduction in the cover provided; furthermore, a legal investigation
is under way into the possible existence of a cartel.

1. What action does the Commission intend to take to stop, and impose sanctions on, the cartel
operated by the insurance companies in Italy?

2.
Does the Commission agree that, as motor vehicle liability insurance is a statutory requirement, the
Italian State should bring pressure to bear on the insurance companies to ensure fair charges instead of the
excessive premiums fixed by the cartel in question?

Answer given by Mr Bolkestein on behalf of the Commission

(27 March 2000)

1.
The Commission notes the Honourable Members(cid:146) concerns regarding a possible cartel between Italian
insurance companies in respect of the premiums charged for motor vehicle liability insurance. It also notes
that the Italian competition authority is currently carrying out an inquiry into the matter. It is important to
remember that the Commission(cid:146)s competence extends only to examining and possibly penalising restric-
tions on competition when they substantially affect trade between Member States. Since it is uncertain
whether such an effect exists in the case in point, and since the national authorities have opened an
inquiry, it would be advisable to allow these authorities to complete their investigation into the matter, in
the spirit of cooperation set out in the Commission Notice on cooperation between national competition
authorities and the Commission (1).

2.
The Honourable Members(cid:146) attention is drawn to the fact that the Community rules in this area seek
to enable insurance companies to offer services and set up branches in other Member States on the basis of
a single authorisation granted by the Member State of origin. More particularly, the Third Insurance
Directives, in particular the Third Non-life Insurance Directive, Council Directive 92/49/EEC of 18 June
1992 on the coordination of laws, regulations and administrative provisions relating to direct insurance
other than life assurance and amending Directives 73/239/EEC and 88/357/EEC (2) (which is applicable to
motor vehicle insurance), established the principle of freedom to set tariffs and ended preliminary or
systematic checks on tariffs and on the contracts which insurance firms propose to market.

The Commission could not therefore intervene in the way suggested by the Honourable Members. Since
the monitoring of insurance companies is a task for the national authorities alone, the Commission is not
in a position to check the insurance premiums proposed by companies or to give an opinion on the level
of such premiums. It is the task of the competent national institution to ensure that insurance premiums
are sufficient to enable firms to meet their contractual commitments.

(1) OJ C 313, 15.10.1997.
(2) OJ L 228, 11.8.1992.

(2000/C 330 E/155)

WRITTEN QUESTION P-0360/00

by Jean Lambert (Verts/ALE) to the Commission

(4 February 2000)

Subject: Construction of a water bottling plant in Taguluche, La Gomera island (Canaries)

The Canaries Government has declared plans for a treated water bottling plant, at Taguluche, La Gomera
island, in the municipal district of Valle Gran Rey, to be a project of public and social
interest. The
proposed construction site is a listed rural conservation area; its location also coincides with an area called
Taguluche which the Canaries Government is proposing for inclusion in the Natura 2000 network (1),
reference number ES7020108, which coincides geographically with the area intended for construction.

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Official Journal of the European Communities

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21.11.2000

The application for a declaration of public utility cannot go forward, under Canaries regional law, because
the law states that building or development schemes of public utility or social interest can in no case be
taken to mean industrial developments in a rural environment (2).

The social interest of the project is also questionable, since it creates seven jobs (as the plan itself specifies)
by infringing the rights of 116 proprietors of the water and their guarantees of cultivating the land.
Furthermore, the island of La Gomera does not have an industrial tradition, still less as a water bottling
operation, and the plant concerned would be a private, profit-making business set up with public funds.
And according to expert reports, water bottling is already getting out of hand in the Canaries.

As a report by the deputy adviser for the environment in the Canaries Government regional planning
department acknowledges, there has been no detailed environmental impact assessment for the project in
question, to take account of the collection of spring water and its impact on traditional farming in the
area. It even admits that the works will affect the Lomo des Carret(cid:243)n environmental protection area, which
is also included in the sites of Community importance under reference number ES7020037. It says that
the bottling plant will draw water from three springs which their proprietors use to irrigate the land (3).

There is thus no impact statement in compliance with the guidelines of the Community directives. The
declaration of both areas as sites of Community importance is based on Criterion 1, the conservation of
priority habitats and species, among them the Phoenix canariensis palm. If this scheme were to go ahead,
the bottling plant would obviously affect the conservation of this species of palm and local agricultural
land, by cutting off the scarce water supply from natural springs in the area.

Does the Commission not agree that
Community law on environmental impact assessments?

the Taguluche bottling plant scheme does not comply with

Does the Commission think the construction of an industrial establishment as proposed is compatible with
conservation of the areas proposed for the Natura 2000 network as sites of Community importance?

(1) See Directive 92/43/EEC on the conservation of natural habitats and wild fauna and flora, OJ L 206, 22.7.1992,

p. 7.

(2) See Law 5/1987 of 7 April on Urban Planning in Rural Areas, and Law 9/1999 of 13 May on Canaries Regional

(3)

Planning. Law 12/1990 on Canaries Water also applies.
If the bottling plant scheme went ahead it would imperil farming in Taguluche by depriving farms of their water for
irrigation. A petition against the scheme has been submitted to the European Parliament (No 24/2000).

Answer given by Mrs Wallstr(cid:246)m on behalf of the Commission

(7 March 2000)

The conservation areas of (cid:145)Taguluche(cid:146) and (cid:145)Lomo del Carret(cid:243)n(cid:146), 140 and 263 hectares respectively, have
been included by the Spanish authorities on their national list of potential sites of Community interest for
integration in the Natura 2000 network, in accordance with Council Directive 92/43/EEC of 21 May 1992
on the conservation of natural habitats and of wild fauna and flora (1).

With regard to the planned construction of a bottling plant at Taguluche, in the municipal district of Valle
Gran Rey on La Gomera island, the Canaries, Spain, the Commission would inform you that it has received
a complaint on the same subject, the reference number being P-1999/4875.

The dossier has been presented for consideration by the Commission as to whether the project mentioned
by the Honourable Member would have a significant impact on the sites in question in the light of the
objectives of Directive 92/43/EEC, in which case the procedure mentioned in Article 6 of that Directive
must be applied.

The Commission,
conformity with Community law in the case at issue.

in its role as guardian of the Treaties, will take the necessary measures to ensure

(1) OJ L 206, 22.7.1992.