WRITTEN QUESTION E-2489/03 by Sérgio Marques (PPE-DE) to the Commission. State of implementation of aid for Venezuela.
Date: 2003-07-25
Institutions: European Parliament, Provisional data
Subjects: EU aid, Venezuela, flood, project evaluation, project management

13.3.2004

EN

Official Journal of the European Union

C 65 E/161

Finally, cross-border trade is an issue addressed under the Neighbourhood Programmes, with one of the
main objectives of the programme being ‘Ensuring efficient and secure borders’ under which activities
towards facilitation of trade and passage such as user-friendly small border traffic would be possible.

3.
The Commission is addressing this issue within the framework of the current financial perspective
and on-going programming for 2004-2006 through the introduction of Neighbourhood Programmes.
Over the coming months, the Commission will examine the possibility of creating a New Neighbourhood
Instrument from 2007, which could be capable of operating on an identical footing on both sides of the
Union’s external border.

(1) COM(2003) 104 final.
(2) COM(2003) 393 final.

(2004/C 65 E/176)

WRITTEN QUESTION E-2489/03

by Sérgio Marques (PPE-DE) to the Commission

Subject: State of implementation of aid for Venezuela

(25 July 2003)

Following the tragic floods which hit Venezuela in December 1999, the Commission allocated a substantial
amount of funding to support reconstruction in the areas affected, the purpose being to aid reconstruction
in Vargas State and to support risk prevention, i.e. the drawing-up and implementation of programmes
aimed at the management of natural risks in a vast area adjacent to that struck by the 1999 floods, in
Falcon, Miranda and Yaracuy States.

With regard to the projects on ‘Support for reconstruction and disaster prevention in Vargas State’
(Community contribution: EUR 25 million) and ‘Social reconstruction in Vargas State’
(Community
contribution: EUR 10 million), signature of the financing agreement by the Venezuelan national authorities
is being awaited for implementation to commence.

With regard to the programme on ‘Flood prevention in Falcon, Yaracuy and Miranda States’ (Community
contribution: EUR 20 million), a Commission decision on the allocation of the relevant appropriations was
expected in the first half of 2003.

A European Parliament delegation, of which I formed part, visited Venezuela between 7 and 9 July 2003
and observed that there has been a series of delays in the approval and implementation of these projects,
largely on account of differences of opinion between the Commission and the Venezuelan authorities
concerning the tax arrangements for the Community projects (exemption from VAT on goods and
services).

Can the Commission answer the following:

1. What date is scheduled for implementation of the two projects in Vargas State? Will it be possible for
all the funding allocated to be used up despite the significant delay? What obstacles remain as regards
implementation of the projects?

2. What is the Commission’s position on the programme on ‘Flood prevention in Falcon, Yaracuy and
Miranda States’ and, if a decision has been taken in favour of this programme, what timescale is
envisaged for its implementation?

Answer given by Mr Patten on behalf of the Commission

(24 September 2003)

1.
Financing agreements for two projects in the State of Vargas were signed by the Venezuelan
Government on 19 December 2002. These two projects will be implemented by Corpovargas (Instituto
Autónomo Corporación para la Recuperación y Desarrollo del estado Vargas) and will start on the arrival
of two European technical assistants experts already hired by the Commission. The Commission has done
its utmost to ensure that these projects start in September this year.

C 65 E/162

Official Journal of the European Union

EN

13.3.2004

Since the beginning of the year Corpovargas has been carrying out a detailed identification of measures/
works to be carried out to reduce the time required for the projects’ start-up phase. Contracts for these
projects’ funding will be concluded in accordance with the conditions and time limits laid down in the
financing agreements.

The framework cooperation agreement signed with the Venezuelan Government
operational
Parliament. Nevertheless Presidential Decree No 2.374 of 24 April this year exempts all
cooperation projects from VAT.

laying down the
framework for Community cooperation has not yet been ratified by the Venezuelan
international

The Commission considers it will be possible to utilise all the resources made available for work to be
undertaken under the two projects in question within the time limits laid down in the relevant financing
agreements.

The Commission adopted a decision on 25 October 2002 providing EUR 20 million for the

2.
‘Prevención de las inundaciones en los Estados de Falcón, Yaracuy y Miranda’ project.

The technical annexes to the financing agreement are being finalised and the agreement is expected to be
signed by both parties (the Commission and Venezuelan Government) before 31 December of this year.

The Commission would inform the Honourable Member that the delays in the signing of this financing
agreement are due to the inability of the Venezuelan Government to decide who will act as the supervisory
authority for this project which concerns three different States. The Commission delegation is negotiating
an appropriate solution with the relevant authorities.

(2004/C 65 E/177)

WRITTEN QUESTION E-2492/03

by Christopher Huhne (ELDR) to the Commission

(25 July 2003)

Subject: Transparency in share purchases

Will the Commission state what legal or other arrangements are made in each Member State whereby
companies can seek to discover the beneficial ownership of shares even if they are held by nominees,
trusts or other such blinding mechanisms? Is the Commission aware of
the importance of such
arrangements if minority shareholder rights are to be respected by, for example, ensuring that mandatory
takeover bids are launched once a controlling shareholder goes above a certain proportion of the equity? If
so, what arrangements does the Commission propose whereby companies may discover the beneficial
ownership of their shares even if the ownership is in another Member State? Would Member States be
justified, for example, in requiring companies to place in escrow the dividends of any shareholders that
failed to answer questions of beneficial ownership?

Answer given by Mr Bolkestein on behalf of the Commission

(16 September 2003)

The Honourable Member raised a question related to the relationship between listed companies and its
shareholders. As regards shareholders, the question not only refers to legal owners of shares, but also
beneficial owners. The Commission therefore considers this to be an issue of company law.

In substance, the Commission does not possess the necessary information to provide a detailed overview
about the arrangements made in each Member State whereby companies can seek to discover the
beneficial ownership of shares even if they are held by nominees, trusts or others. It does in particular not
have information on how national systems would also cover third country investors.

The Commission considers that the right for companies to enquire about the identity of the beneficial
owner has not primarily to be seen in the context of takeovers, but as an instrument in view of the care a
company wishes to take with its investors, which should be weighed against interests of data privacy as
well as national property law.