WRITTEN QUESTION P-1433/01 by Karl von Wogau (PPE-DE) to the Commission. Variations in the conversion of amounts in DEM to Euros.
Date: 2001-05-11
Institutions: European Parliament, Provisional data
Subjects: Germany, building industry, currency convertibility, euro, national currency, single monetary policy

4.12.2001

EN

Official Journal of the European Communities

C 340 E/229

(2001/C 340 E/265)

WRITTEN QUESTION P-1433/01

by Karl von Wogau (PPE-DE) to the Commission

(11 May 2001)

Subject: Variations in the conversion of amounts in DEM to Euros

Under the German Verdingungsordung f(cid:252)r Bauleistungen (VOB) (Order on the award of building contracts)
a contract between a principal and a contractor (tradesman, building firm) is based on unit prices set out
in the tender specification. The basis for remuneration is the unit price, which is multiplied by the number
of units actually constructed. There may be differences between individual totals in the final calculation. In
such cases the question arises of the legal basis to be applied.

For example the following situation arises in a tender:

(cid:129) Title: groundwork

1. Removal and piling up of topsoil (cid:129) 250 000 m2 at DEM 7,97 m2 = DEM 1 992 550,00

2.

3.

Levelling the ground (cid:129) 250 000 m2 at DEM 6,64 m2 = DEM 1 660 000,00

Spreading gravel (cid:129) 250 000 m2 at DEM 19,04 m2 = DEM 4 760 000,00

Total DEM 8 412 500,00 = € 4 301 242,90

(cid:129) Title: groundwork

1. Removal and piling up of topsoil (cid:129) 250 000 m2 at € 4,07 m2 = € 1 017 500,00

2.

3.

Levelling the ground (cid:129) 250 000 m2 at € 3,39 m2 = € 847 500,00

Spreading gravel (cid:129) 250 000 m2 at € 9,73 m2 = € 2 432 500,00

Total € 4 297 500,00

(cid:129) Difference € 3 742,90

Is the Commission aware that these differences can arise and which legal basis should apply in such cases?
If the parties to the contract have not provided for any contractual solution, which is applicable,
calculation by unit prices or a conversion of the overall amount?

Answer given by Mr Solbes Mira on behalf of the Commission

(14 June 2001)

As regards rounding of currency amounts, Community legislation is laid down in Council Regulation (EC)
No 1103/97 of 17 June 1997 on certain provisions relating to the introduction of the euro (1), especially
in Articles 4 and 5). These provisions solely establish a minimum standard of accuracy as to guarantee
a minimum of accuracy in conversion and rounding. The application of potential national rounding
provisions or practices as to reach a higher degree of accuracy is not excluded by Community legislation,
as far as it doesn(cid:146)t contravene the above mentioned Community legislation.

The problem of conversion of sums and products of monetary amounts is known to the Commission and
dealt with in detail in Euro-Paper No 22 (cid:145)The introduction of the euro and the rounding of currency
amounts(cid:146) (2) (especially sub 4.1.2.).

C 340 E/230

Official Journal of the European Communities

EN

4.12.2001

Accordingly, the appropriate solution for these problems depends on the circumstances of every case,
especially on the interpretation of the underlying contract. In this context, it may be important whether
the parties have agreed on a (cid:145)lead unit(cid:146) or whether the agreement of a (cid:145)lead unit(cid:146) can be deducted from the
circumstances.
It may also be important whether (cid:129) according to the will of the parties (cid:129) several
transactions are to be considered as individual contracts with separate payment obligations or whether
each individual position forms only part of an (cid:145)internal(cid:146) calculation of the final sum to be paid. In the first
case individual amounts are to be converted and rounded while in the latter the finally invoiced amounts
will be relevant.

In general, the accuracy of the calculation can be increased by using a greater number of decimals when
converting so that no significant differences arise for the contracting parties as a result of the conversion.

(1) OJ L 162, 19.6.1997.
(2) http://europa.eu.int/comm/economy finance/document/europap/eup22de.htm.

(2001/C 340 E/266)

WRITTEN QUESTION P-1444/01

by Fernando FernÆndez Mart(cid:237)n (PPE-DE) to the Commission

(11 May 2001)

Subject: Management of the European Social Fund in the Canary Islands

The answer of 13 October 2000 (1) to Written Question E-2331/00 on the same subject sparked off a lively
political debate widely reported across the regional press in the Canary Islands.

in the course of which she had informed him,

The debate prompted Mr JosØ Carlos Mauricio, spokesman for the CC (Canary Islands Coalition) grouping
in the Spanish parliament, to reveal that (cid:145)last week(cid:146) (sic) he had had a discussion with Commissioner
Diamantopoulou,
the existence of
a Commission report on the management of (cid:145)Community employment funds(cid:146) (as they are referred to in the
text), (cid:145)clearing the Canary Islands government of any wrongdoing and revealing that the only irregularities
discovered by Brussels were administrative errors(cid:146), which were (cid:145)very common in those Member States with
high levels of unemployment (Spain, Italy, Portugal and Greece)(cid:146). According to Mr Mauricio, Commissioner
Diamantopoulou told him that the irregularities concerned were (cid:145)administrative errors resulting from
precipitate use of the funds(cid:146).

(cid:145)unofficially(cid:146), of

Will Commissioner Diamantopoulou, on the Commission(cid:146)s behalf, give details of or confirm the existence
of any recent report, study or document drawn up by the Commission in connection with the
management of programmes and/or projects financed by the European Social Fund in the Canary Islands?

Is it the case, as reported in the press, that Commissioner Diamantopoulou expressed the view that in
countries such as Spain,
Italy, Portugal and Greece errors of an administrative or other nature are
commonplace in the management of resources from the European Social Fund?

(1) OJ C 103 E, 3.4.2001, p. 120.

Answer given by Mrs Diamantopoulou on behalf of the Commission

(18 June 2001)

The Commission would like to inform the Honourable Member that no report or study has recently been
carried out on the management of programmes and/or projects funded by the European Social Fund (ESF)
in the Canary Islands.