Opinion of the European Economic and Social Committee on the ‘Proposal for a new European Consensus on Development — Our world, our dignity, our future’ [COM(2016) 740 final]
Date: 2017-04-26
Institutions: European Economic and Social Committee
Subjects: EU Member State, cooperation policy, democracy, developing countries, development aid, environmental protection, human rights, job creation, poverty, sustainable development








C_2017246EN.01007101.xml










28.7.2017   


EN


Official Journal of the European Union


C 246/71





Opinion of the European Economic and Social Committee on the ‘Proposal for a new European Consensus on Development — Our world, our dignity, our future’
[COM(2016) 740 final]
(2017/C 246/11)






Rapporteur:



Ionuț SIBIAN





Co-rapporteur:



Mihai MANOLIU











Consultation


Commission, 27.1.2017




Legal basis


Article 304 of the Treaty on the Functioning of the European Union




Plenary Assembly decision


26.4.2017




Section responsible


External Relations




Adopted in section


4.4.2017




Adopted at plenary


26.4.2017




Plenary session No


525




Outcome of vote
(for/against/abstentions)


166/1/3




1.   Conclusions and recommendations









1.1.


The EESC welcomes the European Commission’s proposal for a new European Consensus on Development — Our world, our dignity, our future. This proposal is in line with the recommendations set out in the EESC’s REX/461 opinion on The 2030 Agenda — a European Union committed to sustainable development globally, which pointed out that ‘The EU institutions and the Member States urgently need to agree on the way forward at the highest political level through an interinstitutional agreement between the Commission, the Council and the Parliament in order to establish a robust basis for further political action. This agreement on the implementation of the SDGs should form the basis for an overarching strategy to mainstream the 2030 Agenda with the aim of making the EU a Sustainable Development Union.’ This opinion also pointed out that the Commission ‘needs to fully integrate and utilise the 2030 Agenda in the European Consensus on Development’.












1.2.


The EESC acknowledges the role of the 2006 European Consensus on Development for the development cooperation policy of the European Union and of its Member States (1). The added value of the Consensus has fundamentally been to provide a commonly agreed vision for the EU and Member States, as well as a framework for implementation at EU level, which were subsequently translated into a number of guiding documents, policies and actions, both at EU and Member State level. It is expected that the new Consensus will continue to play a similar role.












1.3.


The EESC salutes the explicit commitment of the Consensus to the overarching goal of eradicating poverty, on a rights-based approach to development cooperation and on gender equality, ensuring that under the 2030 Agenda no-one is left behind wherever they live and regardless of ethnicity, gender, age, disability, religion or belief, sexual orientation, migration status or other status.












1.4.


Through its reference to the 2030 Agenda and by maintaining at its core the eradication of poverty, the Consensus brings it due recognition and it increases the profile of development cooperation as a separate policy area of the European Union. While development policy needs to be considered as a pillar of EU external action, the Consensus should be regarded as a guarantee that development is on an equal footing with and that it cannot be subordinated to other policy areas of the Union (security, trade, justice and home affairs, etc.).












1.5.


The revision of the Consensus comes at a very difficult moment, when European values and principles (Article 2 of the Treaty on European Union) and the very existence of the EU are increasingly under attack. Multiple crises affect the capacity and willingness of governments to allocate the resources needed to implement the 2030 Agenda. It is therefore highly important that all the EU’s Member States as well as its institutions fully commit to implementing and abiding by a Consensus on Development, including to its financial implications.












1.6.


The Consensus should attempt to define the roles of the Commission and of Member States, taking into account their specific comparative advantage in the field of development. That has become even more relevant as it is expected that the total allocation for development by the EU and its Member States will decrease after Brexit and in a changing domestic political environment. According to a report requested by the European Parliament’s Committee on Development in 2013 (2), the economic cost of the lack of effective coordination of development aid among between the Member States and the European Commission was evaluated at some EUR 800 million. That amount could be saved annually on transaction costs if donors concentrated their aid efforts on fewer countries and activities. It was also estimated that an extra EUR 8,4 billion of annual savings could potentially be achieved from better cross-country allocation patterns.












1.7.


The EU and its Member States should not use development aid as leverage to impose cooperation on development cooperation partners for economic and foreign policy goals, for state security and migration control. Instead development cooperation should remain focused on its core goal of poverty eradication, equal opportunities and dignity for all, and on ensuring environmental sustainability.












1.8.


The EESC draws particular attention to the role of agriculture in development policy. Strengthening the basis for local food production, improving the position of women in rural areas, and farmers forming associations and cooperating are important factors in eliminating poverty and achieving the goals of sustainable development in the world’s poorest countries.












1.9.


The Consensus recognises the role of the social partners and civil society organisations (CSOs), both in promoting the 2030 Agenda and in contributing to its implementation. Besides offering strong political support for the establishment of an enabling environment in which these can play their full role, the EU should also offer recognition, support and protection to human rights organisations, watchdog organisations and trade unions operating in difficult situations. Furthermore, the EU should work to develop better adapted financial mechanisms to support a wider variety of civil society organisations, to ensure the access of smaller and more numerous local organisations to EU programmes. The EESC has drawn up a number of key recommendations on this point in its REX/461 opinion on The 2030 Agenda — a European Union committed to sustainable development globally.












1.10.


Social dialogue must be recognised as a tool for implementing the development agenda. Social dialogue requires an enabling environment and an effective institutional framework. This begins with respect for freedom of association and the right to collective bargaining. The EU should work with independent employers and workers’ organisations (social partners) to promote sound industrial relations practices and functioning labour administrations.












1.11.


While a potentially positive instrument, there are too few studies demonstrating that EU trust funds (EUTFs) are adapted to respond to the developing-country ownership and alignment. As half of EU Member States are increasing ODA allocations to the private sector, commercial sector investment with public money remains largely non-transparent and unmonitored (3). The social partners and civil society organisations should be supported and allowed to monitor public spending on development, including funds earmarked for the private sector. They should be meaningfully involved in the formulation, implementation, monitoring and evaluation of development programmes so that they respond to the genuine needs of the widest range of people.












1.12.


Job creation is an important challenge in developing countries and the private sector has to play an important role. The EESC’s REX/386 opinion on Involvement of the private sector in the post-2015 development framework points to the important role played by the business world in tackling global poverty, as it creates jobs, provides goods and services, generates income and profit and, by paying taxes, helps to fund public spending. However, job creation should not be a goal in itself, unless it ensures labour and environmental standards and decent employment conditions, particularly for women and young people, in accordance with the International Labour Organization’s (ILO) Decent Work Agenda, ILO’s labour standards and other international texts (such as the UN Guiding Principles on Business and Human Rights and the OECD Guidelines for Multinational Enterprises).












1.13.


The EESC believes that the foundation for inclusion and sustainability is decent and stable jobs (particularly for women and young people) which generate sufficient revenue and sustainable value chains for the range of consolidated public services. It is necessary to promote new models of production and consumption in the framework of the circular economy. Vulnerable groups will be better protected, will have access to financial services, and a decent, just and sustainable business sector will develop new business models (social enterprises providing local services) and new, adequately regulated SMEs.




2.   Background









2.1.


Development policy is an essential part of EU external action as set out in Article 21(2)(d) of the Treaty on European Union (TEU), and is designed to foster the sustainable economic, social and environmental development of developing countries, with the primary aim of eradicating poverty, as laid down in Article 208 of the Treaty on the Functioning of the European Union (TFEU).












2.2.


The purpose of the proposed new European Consensus on Development is to provide the framework for the common approach to development cooperation policy that will be applied by the EU and its Member States.












2.3.


At the same time, the Consensus represents a strong statement to the world emphasising the EU’s resolve to remain a credible, engaged and responsible global actor, leading by example. It sets out the principles and priorities of the Union in relation to the serious world problems and the ways to fulfil the EU’s commitments under the 2030 Agenda and the Paris Agreement.












2.4.


The EESC notes that the revision of the European Consensus on Development is timely and extremely significant in the new context, as it aims both to guide the commitment of the EU and its Member States towards the implementation of the 2030 Agenda for Sustainable Development and to contribute to the achievement of the priorities of EU external action as set out in the Global Strategy for the EU’s Foreign and Security Policy (EUGS).












2.5.


The enduring economic crisis, Brexit, policy changes in the USA, increasing disturbances in the East, the conflict in Syria and its humanitarian repercussions, the rise of populism and xenophobia in Member States, the economic impact of climate change all combine to create the most serious challenge the EU has faced in more than half a century.












2.6.


As the new Global Strategy for the European Union’s Foreign and Security Policy (Shared Vision, Common Action: A Stronger Europe) (2016) has emphasised, the new domestic and global context has brought more instability and insecurity. Consequently, in face of increasing existential threats the EU needs to be stronger and more united than ever before.












2.7.


The EU is collectively committed to provide 0,7 % of Gross National Income (GNI) as Official Development Assistance (ODA) within the timeframe of the 2030 Agenda. In order for the ambitions of the Consensus to be fulfilled, the EU and its Member States should meet their aid targets. At present, given the political context in Europe, there are serious concerns about the willingness of present and future governments to sustain this level of financial commitment. Political developments in EU Member States might jeopardise the development cooperation commitments of national governments, as there is a strong demand by populist political movements towards less global solidarity and ODA spending.












2.8.


Since the UK has been the largest development aid contributor within the EU (with over EUR 14 billion in 2015), Brexit will have already a direct impact on the EU’s position and capacity in this particular policy area, limiting the resources it envisaged committing for the implementation of the SDGs. It is estimated that, aside from non-financial capacity, with Brexit, the EU will lose around 15 % of its aid budget. It is all the more important for the EU Member States to close ranks and to meet their aid targets.












2.9.


The EU should ensure that the focus of ODA continues to be poverty alleviation in developing countries, that funds are spent efficiently and in these countries’ best interest, and that Policy Coherence for Development (PCD) is upheld. The 2016 AidWatch Report by Concord reveals that already in 2015, 17 % of EU aid did not reflect a real transfer of resources to developing countries, because it went to ‘in-donor’ refugee spending, debt relief, student costs, tied aid and interest payments. Some EU Member States increased their reported aid almost entirely through spending on refugees in their own countries, thereby becoming their own top beneficiaries.












2.10.


By its own nature and founding reasons, the EU is bound to promote and defend multilateralism, a rules-based global order, global peace and human rights. Over time, the EU has become the necessary, responsible and principled global actor addressing the root causes of conflict and poverty, promoting universal human rights, setting an example and using its soft power to produce positive change across the world.












2.11.


The commitment of the EU, together with its Member States, as a leading global actor in the field of development cooperation has become part of the Union’s identity and external projection.












2.12.


The EU is the world’s most open market, offering generous tariff reductions to developing countries which ratify and implement core international conventions related to human and labour rights, the environment and good governance.












2.13.


Beyond the financial flows, the EU is an essential political partner for developing countries, supporting positive political and social change and their fairer and fuller participation in global political and economic processes.












2.14.


The EU played a major role in the formulation and implementation of the Millennium Development Goals (MDGs) (2005-2015) and has been a major driving force in the adoption of the Sustainable Development Goals (SDGs) (2016-2030), with a decisive contribution to including EU values such as human rights, democracy, the rule of law and social justice on the new global development agenda.












2.15.


The EU is a leading global actor advancing the climate change agenda and it had a substantial role in the creation of a broad coalition of developed and developing countries which contributed to the adoption of the Paris Agreement in December 2015. The EU has committed to allocate 20 % of its budget on climate action, both mitigation and adaptation, to support the Paris Agreement.












2.16.


According to the EU’s International Cooperation and Development Eurobarometer survey released in February 2016, almost nine out of ten EU citizens support development (89 % — a 4 percentage point increase since 2014). In new Member States, the figures tend to be slightly lower than in older Member States. Figures show increases in the proportion of people who think tackling poverty in developing countries should be one of the main priorities of the EU (up five percentage points to 69 %) and of national governments (up five percentage points to 50 %). Almost seven out of ten respondents supported an increase of development aid delivered by the EU (68 %) — a higher percentage than in recent years. Almost three quarters of those participating in the survey agreed that development aid is an effective way to tackle irregular migration (73 %) and 80 % of Europeans believe that development is in the EU’s own interest. 52 % think the EU should keep its promise to increase aid to developing countries.




3.   Comments









3.1.


Interconnectivity is the central pillar of the 2030 Agenda, an action framework for the development of comprehensive national strategies on sustainable development which will integrate in a balanced way the economic, social and environmental dimensions to achieve positive effects in interrelated fields while considering transversal factors: gender equality, youth, mobility, migration, investments and sustainable energy. The priorities defined by the 2030 Agenda are structured around the following priorities: people, planet, prosperity, peace, partnership.












3.2.


While the number of people living in extreme poverty dropped by more than half between 1990 and 2015, more than 800 million people are still living on less than USD 1,25 a day, and 80 % of them live in sub-Saharan Africa and South Asia. The Consensus focuses on the need to eradicate poverty in very poor, fragile or conflict-affected countries and to strengthen resilience, particularly of vulnerable populations, in the face of environmental and economic shocks, natural and man-made disasters and global threats to health.












3.3.


By 2030, the poor population will be concentrated in fragile countries prone to the effects of conflicts which create more poverty. In these conditions, in order to be able to help the poor, different approaches are needed. Although more people are escaping extreme poverty, inequality has increased among and within countries. Aside from poverty, conflicts and climate change, inequality has become the main source of instability in most of the world.












3.4.


A number of principles will be at the centre of development cooperation policy: combating discrimination and inequality, no one left behind, eradication of poverty, the founding principles of sustainable development. This will enable us to make progress with regard to human dignity: ending hunger, universal access to education and training, health insurance systems, decent work for all, the shift from the informal to the formal economy, suitable, appropriate social protection and a healthy environment. These goals can be reached through governance based on strong, suitable policies at national level, a pillar protecting vulnerable people.












3.5.


Long-term joint action will help chronically poor communities, generate economic growth, reduce inequality and convert opportunities into results. Real economic achievements will have to be accompanied by policies for the redistribution of public spending, increasing access to high-quality services, particularly access to education, health services and sanitation.












3.6.


In parallel, sustainable, suitable and fair social protection services will be established, linked by solidarity to revenue-generating work. One basic service could be the guarantee of a minimum income (as a new instrument) to ensure resilience, so that people do not fall back into extreme poverty. Social structures must be strengthened in the medium and long term.












3.7.


Although the Consensus does not mention it explicitly, it is expected that the Agenda for Change commitment for continued support for social inclusion and human development of at least 20 % of EU aid will be maintained.












3.8.


One fundamental issue is the safeguarding and exercise of the rights of women and girls and sexual and reproductive health and rights (SRHR), a key factor in human development. At the same time, the resilience of vulnerable populations must be strengthened to enable them to cope with economic and environmental shocks, including natural or man-made disasters. A consistent and integrated system for the provision of humanitarian aid for displaced people (with a particular focus on minors and other vulnerable persons) is needed, boosting access to education and decent jobs.












3.9.


In order to survive, humans need access to varied, sufficient, nutritious, safe and affordable food. Poor communities need support to access land resources, water (including drinking water), sanitation and affordable sources of clean, secure energy which has a minimal impact on the environment. Such access will reduce malnutrition and undernourishment, delayed growth and development in children, and will contribute to their mental health. Therefore, access to improved services (technological progress and digital innovation) will improve the quality of life of rural and urban communities facing rapid population growth, and will be a contributing factor in a healthier and more prosperous and dignified community able to meet its needs.












3.10.


Resilience and sustainability are essential elements, indispensable to finding a viable solution in the current complex, dynamic and unpredictable global context. Vulnerability aggravates the acute effects of poverty, while the enduring extreme fragility correlated with recurrent structural crises continues to generate humanitarian emergencies, preventing communities’ development. The conflicts’ persistence overstretches resources, impedes the delivery of fundamental human rights and leads to an increase in the number of refugees and displaced persons. Progress is undermined by recurrent challenges to public health.












3.11.


The access to affordable and sustainable energy services (production of renewable energy, combating energy poverty) remains limited and is an obstacle to economic growth and to proper and efficient industrialisation adapted to the local conditions, needs and possibilities (in line with environmental protection). The access to natural resources is limited as they are being exhausted through unsustainable exploitation.












3.12.


Sustainable agriculture, rational food systems and sustainable fishing generate products which can efficiently satisfy the needs of populations, with exponential growth when there is limited pressure on the environment. Water stress and (unsustainable) water demand affect climate change.












3.13.


The Consensus aims to pay particular attention to the demographic youth dividend in the developing countries, harnessing the potential of 1,3 billion people as a driving force for inclusive growth and sustainable development by creating new good quality jobs and supporting youth empowerment and participation in local economies, societies and decision-making and in the conduct of public affairs.












3.14.


A transformation towards a circular economy is needed, allowing for an efficient use of available resources and supporting the extensive process of correct and sustainable development. There is real potential that new actors in the private sector are capable of proposing partnerships and innovative solutions and efficient, viable and ethical financial mechanisms which can become models of progress. Cooperation as well as communication and information technology (resilient and efficient networks and infrastructures) are key to success as long as resources and investments are realigned towards the achievement of SDGs to generate progress in response to global challenges.












3.15.


Sustainable development and eradication of poverty require environmental sustainability, a stable climate and opportunities for vulnerable social groups. Unbalanced economic processes can jeopardise stability and peace, leading to large-scale migration. Environmental aspects must be integrated for preventative action, including stronger application of the ‘polluter pays’ principle. A responsible private sector can play a key role by promoting the efficient use of resources and sustainable production and consumption, which can decouple economic growth from environmental damage through the shift to the circular economy.












3.16.


The private sector role in the implementation of the 2030 Agenda should be evaluated based on its capacity to contribute to the achievement of the development goals for the beneficiary countries and based on the principles of the Global Partnership for Effective Development Cooperation. While new funding instruments involving private actors can be an effective tool for generating economic development, employment and public budget revenues, it is important that these instruments submit themselves to the same transparency and evaluation conditions as public funding. The EU and its Member States should fund transparent, independent evaluations enabling stakeholders, including at local level, to assess the cost-effectiveness and impact of private-sector, commercial, development financing activities. The EU and its Member States should agree on a coherent narrative on the role of the private sector in development to make sure that no regions or countries in need are left behind. Innovative development finance mechanisms such as public-private partnerships (PPPs) should be assessed against development and cost effectiveness principles to prevent tied aid and to ensure a regulatory environment that allows governments to organise public services.












3.17.


The EU should promote powerful international instruments in the area of responsible business in order to encourage responsible business and supply chain practices. With increasing interest in the private sector as a development actor, existing instruments for responsible business conduct should assume additional importance. Adherence and implementation of internationally recognised guidelines and principles concerning business behaviour and their accountability instruments should become a key condition to granting private sector support in development cooperation. Compliance should be linked to eligibility and an adequate monitoring system should lead to re-evaluation of financial support in case of violations.












3.18.


Strong support for responsible business practices, the integration of human and workers’ rights as well as decent working conditions (in line with the International Labour Organization Convention and other internationally recognised guidelines and principles concerning business behaviour), corporate social responsibility (regarding standards on labour and decent working conditions), financial integrity, the fight against corruption, and environmental standards are all necessary. This will avoid abuse and corruption and lead to a shift from the informal economy to the formal economy.












3.19.


The EESC thinks that a fundamental condition for sustainable development is the non-discriminatory access to quality life-long learning ensuring that each citizen will possess the required knowledge and skills. A better, more dignified, more engaged life, according to individual capacities, will shape better and more responsible adults and rights in a just society based on social and economic welfare.












3.20.


Another key factor in sustainable development will be the planning, building, setting up and operation of efficient urban infrastructure: sustainable, interconnected and safe transport networks and other resilient infrastructure. Cities must become centres of growth and innovation which foster inclusion and are surrounded by rural communities with a decent level of basic services. These goals are part of the concept of land use, which is supported by urban mobility and fair management of financial markets.












3.21.


Inequality, the lack of the rule of law, exclusion and violation of laws and human needs are the root causes of poverty, instability and conflict leading to the displacement of people. Democratic governance guarantees the exercise of civil, political, economic, social, cultural (cultural diversity) and religious rights. Political dialogue spurs on action; judicial reform, universal access to justice, and an independent, open, responsible and efficient judicial system will lessen the burden on vulnerable social groups. It is necessary to strengthen the rule of law, combat violence and crime in cities, optimise people’s safety, consolidate the capacity of the state, and promote responsibility, transparency and conflict prevention. Trust between the government and the population will grow.












3.22.


Sustainable development needs societies that favour inclusion and democratic institutions that promote universal values: multilevel good governance, the rule of law, transparency in decision making, initiatives against corruption, human rights, a free and fair open society and an inclusive and transparent civil society resilient to internal and external shocks.












3.23.


In connection with the future EU strategy for international cultural relations (JOIN 2016/029 and the ongoing REX/480 opinion), the EESC stresses the need to accord particular importance to culture and thus recognise it as the fourth pillar of the development agenda; therefore, the Committee recommends that culture be included among the priorities of the new European Consensus on Development.












3.24.


In its 2007 SOC/268 opinion on Immigration and cooperation for development, the EESC pointed out that ‘Migration is positive for both countries of origin and host countries’. However, it must be emphasised that mismanagement of migration can negate human rights and access to education and health. Migrants can fall victim to human trafficking and forced labour. Swift, firm reactions and action are needed in the countries of origin and transition as well as at the final destination. Systematic, structured and synergistic coordination is needed in order to maximise the positive effects and reduce irregular migration. This coordination must be linked to humanitarian aid. The solution is a sustainable development policy and continuous efforts in countries which are the source of migration. Political dialogue is part of Europe’s external policy and a tool for curbing migration.












3.25.


According to the EU’s International Cooperation and Development Eurobarometer survey released in February 2016, more than one third (36 %) of EU citizens have at least heard of the Sustainable Development Goals, yet only one in ten know what they are (10 %). Citizens in northern and central areas are the most likely to have heard or read about the Sustainable Development Goals. It is obvious that the EU should do more to inform and educate EU citizens about development cooperation, particularly the southern and eastern Member States. The EESC in fact recommended this in its REX/461 opinion on The 2030 Agenda — a European Union committed to sustainable development globally: ‘The European Commission should organise and carry out awareness-raising activities and campaigns to make the 2030 Agenda for Sustainable Development a European Agenda. The European Commission should undertake periodic Eurobarometer surveys in order to measure awareness and understanding of the Sustainable Development Goals among EU citizens. Civil society organisations have a crucial role to play in this process’.












3.26.


The EU has the capacity and is in the position to play a leading role for SDGs, through its power of solidarity, social policies and economic and trade partnerships with all stakeholders that share the same values. Its wide diplomatic network ensures coherence, consistency, increased credibility and legitimacy and added value with a positive impact. The variety of European experiences, various approaches, added value as well as its unity in diversity are specific elements of the European external action and a competitive advantage for the EU.





Brussels, 26 April 2017.


The President of the European Economic and Social Committee

Georges DASSIS




(1)  Commission Staff Working Document. Assessing the 2005 European Consensus on Development and accompanying the Initiative ‘Proposal for a new European Consensus on Development’.

(2)  The Cost of Non-Europe in Development Policy: Increasing Coordination between EU Donors, European Parliament (2013).

(3)  AidWatch Report, Concord (2016).