WRITTEN QUESTION E-3053/02 by Bart Staes (Verts/ALE) to the Commission. Forestry development in the Democratic Republic of the Congo (DRC).
Date: 2002-10-24
Institutions: European Parliament, Provisional data
Subjects: Democratic Republic of the Congo, EU environmental policy, aid policy, deforestation, environmental cooperation, forest conservation, forestry holding, illicit trade, over-exploitation of resources, sustainable forest management

15.1.2004

EN

Official Journal of the European Union

C 11 E/19

Answer given by Mr Bolkestein on behalf of the Commission

(13 November 2002)

Under Community VAT legislation, Article 12(3)(a) of the Sixth VAT Directive (Council Directive 77/388/
EEC of 17 May 1977 on the harmonisation of the laws of the Member States relating to turnover taxes (cid:1)
Common system of value added tax: uniform basis of assessment) (1) lays down that Member States may
apply a reduced VAT rate of no less than 5 % to supplies of goods and services referred to in Annex H of
that Directive. As this Annex H does not cover repairs to war memorials, the standard VAT rate should
apply to them.

In addition to this, in the course of negotiations of the Directive, or as part of their negotiations for joining
the Community, certain Member States have retained separate rules in specific areas, an example in the
United Kingdom being the zero rates. These rules set out in Article 28 of the Sixth VAT Directive are
transitional, pending the adoption in Council, by unanimous decision, of a definitive VAT system under
which far greater harmonisation is required. The Council has to date been reticent to adopt such changes.

Since the zero rates are specific derogations granted only to a few Member States, the Commission has no
intention to propose their extension.

(1) OJ L 145, 13.6.1977. Directive as last amended by Directive 2002/38/EC of 7 May 2002, OJ L 128, 15.5.2002.

(2004/C 11 E/021)

WRITTEN QUESTION E-3053/02

by Bart Staes (Verts/ALE) to the Commission

(24 October 2002)

Subject: Forestry development in the Democratic Republic of the Congo (DRC)

In its Communication entitled ‘Forests and Development: the EC approach’ (1), the Commission states that
the European Community feels a particular sense of responsibility for the sustainable development of the
world’s forestry resources. The following forestry specific objectives in particular are therefore proposed: (i)
reduced uncontrolled deforestation and forest degradation; (ii) increased extent of areas under sustainable
forest management; (…) (iv) maintained genetic resources and bio-diversity; and (v) improved capacity of
institutional frameworks to meet conflicting demands on forests.

In its answer to Written Question E-3498/01 (2), the Commission states that a Zimbabwean company has
managed to pull off ‘the world’s largest logging concession’, and that this ‘clearly provides a very strong
disincentive to … withdrawal from military intervention’.

In its answer to Written Question E-0930/02 (3), the Commission considers that ‘in the absence of any
sound national forestry policy, a sustainable management plan should be adopted and implemented in
order to ensure the sustainability of the Congolese logging concessions and limit the environmental
damage of the exploitation’. The answer also draws attention to a forthcoming final report by the six-
member panel of experts on ‘the illegal exploitation of natural resources in DRC’.

Does the Commission share the view that a logging concession of the above kind runs counter to its
positions as set out in the ‘Forests and Development’ Communication?

What is happening to the proceeds of the sale of tropical hardwood which, to judge from the answer to
Written Question E-0930/02, might well give cause for concern?

C 11 E/20

Official Journal of the European Union

EN

15.1.2004

Has the Commission meanwhile (cid:1) as its ‘Forests and Development’ Communication indicates and the
answers
to two parliamentary questions presuppose (cid:1) acted to ensure that sustainable forestry
management is put in place in the DRC? If so, how? If not, why not?

Has the Commission meanwhile examined the (interim) report by the six experts? How does it assess their
findings?

(1) COM(1999) 554.
(2) OJ C 229 E, 26.9.2002, p. 27.
(3) OJ C 161 E, 10.7.2003, p. 6.

Answer given by Mr Nielson on behalf of the Commission

(25 November 2002)

The Commission is very concerned by the award of a 33 million hectare forest concession in the DRC to a
company with links to Zimbabwe’s ruling party and military. The plunder of natural resources by various
armies and militias has served to prolong war in the DRC. Misuse of natural resources in the DRC
contradicts the principles of good governance, respect for human rights and the rule of law set out in the
Cotonou Partnership Agreement, which forms the basis of the Union’s relationship with African, Carribean
and Pacific countries. The misuse of timber resources of course also runs counter to policy set out in the
Commission’s Communication on Forests and Development (1).

the Democratic Republic of

The United Nations (UN) report on the Illegal Exploitation of Natural Resources and Other Forms of
Wealth of
the Congo notes a link between mining revenues and the
procurement of military hardware. It is likely that timber revenues are being used for a similar purpose,
both within the DRC, and in other countries profiting from the plunder of DRC forests. Money laundering
operations are closely associated with the criminal enterprises operating in the DRC, and this complicates
the process of tracking revenues generated from the sale of plundered resources,
including tropical
hardwoods.

the efforts by
The United Nations expert panel recommends that
intergovernmental and non-governmental organisations at both the international and regional levels to halt
illegal logging’.

‘Member States actively support

The Commission is providing substantial financial support to one such initiative, the Africa Ministerial
Process for Forest Law Enforcement and Governance (AFLEG). The AFLEG initative is designed to build
high level political commitment within Africa to address the problem of illegal logging. This initiative will
also look specifically at ‘conflict timber’, which is used to fund repression and armed insurgency in the
DRC and a number of other African countries. Complementary measures to close European markets to
illegally harvested timber are also in preparation.

Commission support to the DRC has been disrupted by the armed conflict. With the situation now
improving, co-operation will resume.

The 8th European Development Fund (EDF) allocates funds to support institutional strengthening and
capacity building in the Ministry of Environment and Forestry and the Institut Congolais de Conservation
de la Nature (ICCN). Additional support for sustainable forest management could be made available
through programming for the 9th EDF. Regional funds may also be available to support this goal.

The Commission has reviewed the final report prepared by the UN panel of five experts. This work greatly
enhances understanding of the armed conflict in the DRC. The Commission will now closely consider the
panel’s recommendations and decide how best to support efforts to end the plunder of natural wealth in
the DRC, and restore peace to the Congo Basin region.

(1) COM(1999) 554 final.