CELEX: 52001PC0612
Language: en
Date: 2001-10-23
Title: Proposal for a Decision of the European Parliament and of the Council Concerning the European Community contribution to the "Global Fund to fight HIV/AIDS, Tuberculosis and Malaria"

Avis juridique important

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52001PC0612

Proposal for a Decision of the European Parliament and of the Council Concerning the European Community contribution to the "Global Fund to fight HIV/AIDS, Tuberculosis and Malaria"  /* COM/2001/0612 final - COD 2001/0251 */  

Official Journal 051 E , 26/02/2002 P. 0320 - 0320

Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL Concerning the European Community contribution to the "Global Fund to fight HIV/AIDS, Tuberculosis and Malaria"(presented by the Commission)EXPLANATORY MEMORANDUMIntroduction:Concern is increasing over the devastating impact of the three major communicable diseases HIV/AIDS, Tuberculosis and Malaria on human suffering and on economic and social development, and hence on poverty reduction efforts in developing countries.Proposal for the "EC contribution to the Global Fund to fight HIV/AIDS, Tuberculosis and Malaria" :The joint declaration of 31 May 2001 by the Council and the Commission welcomed the proposal of the UN Secretary General to establish a Global Fund to fight HIV/AIDS, Tuberculosis and Malaria, hereafter called "Global Fund".The Commission publicly announced its intention to pledge EUR 120 million to the Global Fund. This contribution is to be composed of EUR 60 million to be financed from the 2001 budget of the EC and EUR 60 million to be financed from the EDF. The contribution from the budget covers the years 2001 and 2002. The contribution from EDF to be reserved for the African, Caribbean and Pacific (ACP) countries is not concerned by the present proposal.The basic purpose of the Global Fund is to establish an innovative, effective public/private partnership and fund to tackle HIV/AIDS, Tuberculosis and Malaria in line with the Community "Programme for Action on communicable diseases in the context of poverty reduction".Assessment of the proposal:The Commission,- having been involved in the preparatory work for the setting up of the Global Fund, in particular in the work of the Transitional Working Group for the finalisation of preparatory arrangements to bring the fund into operation;- participating in the elaboration of the rules that are to govern management, governance, fiduciary, accountability and legal arrangements for the establishment of the fund to receive contributions;has concluded that the initiative is appropriate and recommends that a contribution of EUR 120 million be made to the Global Fund, of which EUR 60 million from the European Community budget (of which EUR 50 million to be transferred from the Fisheries budgetline and EUR 10 million from the ALA budgetlines).EC contribution to the "Global Fund"It has been agreed within the Transitional Working Group that a Global Fund will be established and managed according to jointly agreed arrangements.The Transitional Working Group is composed of designated donors, beneficiary countries, civil society and private sector representatives, UN agencies and the World Bank. The European Community and Member States are part of this Transitional Working Group.The European Community's contribution to the fund will be drawn from budget-line B7-6211 (Poverty related diseases in particular tuberculosis and malaria). This will require a transfer within Heading 4 of the financial perspectives. To this effect, the Commission will present the necessary proposals to the budgetary authority.The annexed proposal for the Decision of the European Parliament and of the Council constitutes the proposed legal base.Timing:The Global Fund is to be operational by mid-December 2001.In order to ensure that the available credits are to be committed before the end of the year 2001, the legislative procedures on the part of the European Community must be completed sufficiently in time in order to allow for the adoption of the afore mentioned transfer.Conclusion:The Commission proposes to the European Parliament and to the Council to adopt the attached proposal for a decision concerning the European Community contribution to the "Global Fund to fight HIV/AIDS ,Tuberculosis and Malaria".2001/0251 (COD)Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL Concerning the European Community contribution to the "Global Fund to fight HIV/AIDS, Tuberculosis and Malaria"THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,Having regard to the Treaty establishing the European Community, and in particular Article 179 thereof,Having regard to the proposal from the Commission,Acting in accordance with the procedure referred to in Article 251 of the Treaty,Whereas:(1) The concern increases over the devastating impact of the three major communicable diseases HIV/AIDS, Tuberculosis and Malaria on human suffering and on economic and social development, and hence on poverty reduction efforts, in particular on the most vulnerable sections of the population of developing countries;(2) The G8 Okinawa Summit of July 2000 pledged to contribute significantly to the fight against communicable diseases and to break the vicious circle between diseases and poverty;(3) The General Affairs Council adopted in May 2001 a Community Programme for Action on Communicable diseases in the context of poverty reduction;(4) The joint declaration of 31 May 2001 by the Council and the Commission welcomed the proposal of the UN Secretary General to establish a Global Fund to fight HIV/AIDS, Tuberculosis and Malaria, hereafter called "Global Fund";(5) At the G8 Genova Summit of July 2001, the Commission announced, with support of the Community and the Member states, its intention to pledge 120 million in response to the appeal of the UN General Assembly.(6) This fund is being established on behalf of the international donors community and beneficiary countries. It will be administered by the Trustee of the Global Fund in accordance with the purpose of the fund, as stated in its governance and management rules;(7) The objective of the fund shall be to address the communicable diseases HIV/AIDS, Tuberculosis and Malaria in developing countries, pursuing a balanced approach with a primary focus on prevention;(8) The Community agrees to make a contribution of EUR 60 million from the Community budget. This contribution will be managed alongside the other contributions to the Global Fund in accordance with the principles of sound and efficient management.HAVE DECIDED AS FOLLOWS :Article 11. The Community shall contribute to the Global Fund, an amount of 60 million Euro.2. This contribution to the Global Fund will be made by means of a financing agreement to be concluded between the Commission and the Trustee on the Global Fund.3. This contribution will be administered following the rules and procedures to be established for the Global Fund, agreed with the Commission and to be annexed to the financing agreement.Article 2The Commission will forward all relevant information to the Court of Auditors and will request from the Global Fund all supplementary information that the Court of Auditors may wish to receive as regards the financial operation of the Global Fund. The Commission and the Court of Auditors may carry out any necessary checks and inspections in order to protect the European Community financial interest against fraud and irregularities.Article 3The present decision shall enter into force on the day of its adoption. It shall be published in the Official Journal.Done at Brussels,For the European Parliament For the CouncilThe President The PresidentLEGISLATIVE FINANCIAL STATEMENTPolicy area(s): Development and Relations with ACP countriesActivities: Development co-operation policies and sectoral strategiesTitle of action: Global Fund to fight hiv/aids tuberculosis and malaria hereafter called Global Fund1. BUDGET LINE(S) + HEADING(S) :B7-6211 - Aid for poverty related diseases (malaria, tuberculosis) in developing countries2. OVERALL FIGURES2.1. Total allocation for action (Part B): 60 EUR million2.2. Period of application:2001-20022.3. Overall multiannual estimate of expenditure:(a) Schedule of commitment appropriations/payment appropriations (financial intervention) (see point 6.1.1)EUR million&gt;TABLE POSITION&gt;(b) Technical and administrative assistance and support expenditure(see point 6.1.2)&gt;TABLE POSITION&gt;&gt;TABLE POSITION&gt;(c) Overall financial impact of human resources and other administrative expenditure (see points 7.2 and 7.3)&gt;TABLE POSITION&gt;&gt;TABLE POSITION&gt;2.4. Compatibility with financial programming and financial perspective[X] Proposal is compatible with existing financial programming.Proposal will entail reprogramming of the relevant heading in the financial perspective.Proposal may require application of the provisions of the Interinstitutional Agreement.2.5. Financial impact on revenue:[X] Proposal has no financial implications (involves technical aspects regarding implementation of a measure)(EUR million)&gt;TABLE POSITION&gt;3. BUDGET CHARACTERISTICS&gt;TABLE POSITION&gt;4. LEGAL BASISNew legal basis proposed5. DESCRIPTION AND GROUNDS5.1. Need for Community intervention5.1.1. Objectives pursuedConcern is increasing over the devastating impact of the three major communicable diseases HIV/AIDS, Tuberculosis and Malaria on human suffering and on economic and social development, and hence on poverty reduction efforts in developing countries.The joint declaration of 31 May 2001 by the Council and the Commission welcomed the proposal of the UN Secretary General to establish a Global FundThe Commission publicly announced its intention to pledge EUR 120 million to the Global Fund This contribution is to be composed of EUR 60 million to be financed from the 2001 budget of the European Community and EUR 60 million to be financed from the EDF.The basic purpose of the Global Fund is to establish an innovative, effective global public/private partnership fund to tackle HIV/AIDS, Tuberculosis and Malaria in line with the Community "Programme for Action on Communicable diseases in the context of poverty reduction" adopted in May 2001.5.1.2. Measures taken in connection with ex ante evaluationThe Commission,- having been involved in the preparatory work for the setting up of the Global Fund, in particular in the work of the Transitional Working Group for the finalisation of preparatory arrangements to bring the fund into operation;- participating in the elaboration of the rules that are to govern management, governance, fiduciary, accountability and legal arrangements for the establishment of the fund to receive contributions;has concluded that the initiative is appropriate and recommends that a contribution of EUR 60 million be made from the European Community budget to the Global Fund.5.1.3. Measures taken following ex post evaluationNew action5.2. Action envisaged and budget intervention arrangementsThe purpose of the Fund is to mobilise, manage and disburse grant resources to enable developing countries to achieve more rapid progress in addressing the challenges created by HIV/AIDS, Tuberculosis, and Malaria and deliver better health outcomes in the context of poverty reduction. It is intended to achieve these objectives whilst lowering transaction costs for both donors and countries, maintaining high accountability for results, and building on existing development processes. Consensus has gradually emerged that a single fund, with an initial focus on these three diseases/conditions is the most appropriate model. Improving outcomes in relation to these three conditions will require a strong role for the fund in strengthening health systems. The Global Fund is to make non earmarked resources available and support a balanced approach incorporating prevention, treatment and care. It is recognised that the financing of procurement of commodities will comprise part of the overall response.5.3. Methods of implementationThe European Community contribution will be disbursed to the fund and administered by the Trustee as designated by the Transitional Working Group. Parties and stakeholders represented in an Executive Board will ensure the necessary programming, monitoring and follow up. This will be done in accordance with the rules concerning governance and management structure, fiduciary arrangements, eligibility criteria, country processes, implementation options, monitoring and evaluation, procurement, resource mobilisation and communication strategies.6. FINANCIAL IMPACT6.1. Total financial impact on Part B - (over the entire programming period)6.1.1. Financial interventionCommitments (in EUR million)&gt;TABLE POSITION&gt;6.2. Calculation of costs by measure envisaged in Part B (over the entire programming period)Commitments (in EUR million to three decimal places)&gt;TABLE POSITION&gt;7. IMPACT ON STAFF AND ADMINISTRATIVE EXPENDITURE7.1. Impact on human resources&gt;TABLE POSITION&gt;7.2. Overall financial impact of human resources&gt;TABLE POSITION&gt;The amounts are total expenditure for twelve months.7.3. Other administrative expenditure deriving from the action&gt;TABLE POSITION&gt;The amounts are total expenditure for twelve months.1 Specify the type of committee and the group to which it belongs.I. Annual total (7.2 + 7.3)II. Duration of actionIII. Total cost of action (I x II)  //  pmt.b.dpm8. FOLLOW-UP AND EVALUATION8.1. Follow-up arrangementsA follow up of the Global Fund will be secure of governance, programme implementation and consultation of stakeholders.The Commission will forward all relevant information to the Court of Auditors and will request from the Global Fund all supplementary information that the Court of Auditors may wish to receive as regards the financial operation of the Global Fund8.2. Arrangements and schedule for the planned evaluationJoint evaluations and reviews will be carried out in agreement with the Community of donors and beneficiary countries according to the rules governing the Global Fund.9. ANTI-FRAUD MEASURESIn addition, the Commission may carry out any necessary checks and inspections in order to protect the European Community financial interest against fraud and irregularities.