WRITTEN QUESTION E-1944/00 by Luis Berenguer Fuster (PSE) to the Commission. Compatibility with the single European market of the golden share retained by the Spanish Government in the merger between Telefónica and KPN.
Date: 2000-06-16
Institutions: European Parliament, Provisional data
Subjects: Spain, free movement of capital, infringement of EU law, international merger, telephone, veto

6.3.2001

EN

Official Journal of the European Communities

C 72 E/153

Answer given by Mr Prodi on behalf of the Commission

(18 July 2000)

The association (cid:145)Our Europe(cid:146) was set up in 1996 as a non-profit-making organisation registered under the
French Law of 1901 as the (cid:145)Groupement d(cid:146)Etudes et de Recherches: Notre Europe(cid:146). Its object, as set out in
its registered articles of association, is: (cid:145)To conduct studies, research and training on Europe, its past, its
civilisations, its progress towards unity and its future prospects. The association develops its action in the
spirit of a closer, federal union between the peoples of Europe, comprising a common defence and a single
currency, upholding the Community acquis and underpinned by common policies that promote full
employment, competitiveness and solidarity. To that end, it organises educational activities and confer-
ences, conducts studies and consultations,
issues publications, mounts information campaigns, awards
grants and prizes, and carries out any other activities of European interest.(cid:146)

The association was given its own heading in Chapter A-30 of the budget in 1997 in agreement with both
the Council and Parliament, which considered that its activities would make it a useful think-tank on the
process of building Europe.

(2001/C 72 E/192)

WRITTEN QUESTION E-1941/00

by Christopher Heaton-Harris (PPE-DE) to the Commission

(16 June 2000)

Subject: Budget Item A-3025

(cid:145)Journalists in Europe(cid:146) are allocated € 250 000 from Item A-3025. Could the Commission indicate exactly
how these funds are used and to whom it is allocated?

Answer given by Mrs Reding on behalf of the Commission

(13 September 2000)

The funds provided under Item A-3025 are intended to cover the Commission(cid:146)s financial contribution to
the association (cid:145)Journalists in Europe(cid:146).

The aim of this association is to help journalists from various countries throughout the world to get to
know Europe, the various countries of which it is made up, its common institutions and its history.

To this end, the association organises study programmes and courses providing a knowledge and under-
standing of Europe, not only of its economic and social characteristics but also of its cultural and political
aspects. It organises meetings and publishes documents relating to its aims. It also awards grants to allow
journalists to take part in its activities.

Since its foundation in 1974, (cid:145)Journalists in Europe(cid:146) has received 707 journalists from 98 countries.

(2001/C 72 E/193)

WRITTEN QUESTION E-1944/00

by Luis Berenguer Fuster (PSE) to the Commission

(16 June 2000)

Subject: Compatibility with the single European market of the (cid:145)golden share(cid:146) retained by the Spanish

Government in the merger between Telef(cid:243)nica and KPN

The Spanish Government has made frequent use of the so-called (cid:145)golden share(cid:146) to prevent Spanish firms
merging with foreign firms. Recent cases have included Telef(cid:243)nica and KPN and the block on the
acquisition of HidrocantÆbrico by a company in which EDF (ElectricitØ de France) was involved.

C 72 E/154

Official Journal of the European Communities

EN

6.3.2001

The Court of Justice recently penalised Italy for use of the golden share. In the Commission(cid:146)s opinion, has
the Spanish Government engaged in the same practices for which Italy was penalised in its use of the
golden share?

Answer given by Mr Bolkestein on behalf of the Commission

(14 July 2000)

While according to the information supplied to the Commission, the Spanish government did not formally
adopt any measure aiming at blocking the merger mentioned by the Honourable Member, the Commission
considers that the rights given to national authorities to veto certain major company decisions are, as a
rule, not compatible with the EC Treaty provisions on the free movement of capital. The Court of justice
has consistently maintained, that national measures liable, as it is the case for the right of veto in question,
to hinder or make less attractive the exercise of fundamental freedoms guaranteed by the EC Treaty must
fulfil four conditions: they must be applied in a non-discriminatory manner; they must be justified by
imperative requirements in the general interest; they must be suitable for securing the attainment of the
objective they pursue; and they must not go beyond what is necessary in order to attain it.

In this respect, the Commission opened infringement proceedings against Spain concerning the privatisa-
tion framework law (Law No 5/1995) and following the reasoned opinion delivered in July 1999, decided
on 5 July 2000 to refer Spain to the Court of justice.

(2001/C 72 E/194)

WRITTEN QUESTION E-1945/00

by Luis Berenguer Fuster (PSE) to the Commission

(16 June 2000)

Subject: Acquisitions in the Spanish market in electricity generation

The Spanish press reported that the Competition Court was opposed to the acquisition of HidrocantÆbrico
by Uni(cid:243)n Fenosa on the grounds that, were it to go ahead, only three competitors would remain in the
Spanish electricity market and it would be difficult for new companies to enter the market.

Will this have an impact on the Commission(cid:146)s calculations of CTCs?

Has the Commission requested a copy of the Court(cid:146)s report for inclusion in the file?

Answer given by Mr Monti on behalf of the Commission

(20 July 2000)

As the Honourable Member is aware, the acquisition of HidroelØctrica del CatÆbrico by Uni(cid:243)n ElØctrica
Fenosa did not go ahead and so did not have any impact on the costs of transition to competition since
the situation on the Spanish electricity market remains unchanged.

Since the reports by the Competition Court are normally made public, the Commission did not deem it
necessary to make a formal request for a copy of the report.