European Constitution News: Luxembourg Presidency ends on a low note in the wake of Constitutional problems and budget disagreements

Europe faces political challenges in the months and even years ahead following the “No” votes in France on 29^th May 2005 and in the Netherlands on 1^st June.  As France’s ‘Le Monde’ newspaper suggested in early June, the public ‘Non’ was not to the Constitution, but to economic concerns. France, the writer considered, had not created new employment, thus its 2.3% increase in domestic product in 2004 remained unnoticed and French voters had the idea that all of Europe was suffering from weak growth.  The article noted that in fact only 5 EU countries had growth below 2 % in 2004 (Germany, Italy, Portugal, Netherlands and Malta): 15 EU Member States enjoyed growth greater than 3 %.

Ensuing discussion divided Europe on whether the Constitutional Treaty really was ‘dead and buried’ or whether the issue could be resuscitated.  Luxembourg’s Prime Minister, Jean-Claude Juncker, later announced that the original treaty ratification deadline of November 2006 no longer applied.

Differences in outlook on Europe erupted at the summit of the Luxembourg Presidency over budget issues.  Well-published differences between the U.K. and France over potential Common Agricultural Policy (CAP) cut-backs and Britain’s rebate were added to complaints from the Netherlands that they too merited a rebate since they paid more per capita to the EU than any other member state.   

LUXEMBOURG Presidency concludes as BRITAIN picks up the baton for the next six months:

U.K. Prime Minister Tony Blair set out U.K. Presidency priorities in a speech to the European Parliament on 23^rd June. Main priorities noted were:

1. Europe’s Role in the World: Development and Africa; Climate Change; Doha Development Agenda; Peace, stability and reform in the Middle East; Sugar reform; Russia/Ukraine

2.  Economic Reform and Social Justice: Better Regulation; The Services Directive; Environment and sustainable development; Post-Financial Services Action Plan: implementation and enforcement; The Chemicals Regulation (REACH); EU/US

3. Security and Stability: Counter Terrorism; Enlargement

4. Future Financing.

1. Development and Africa is a priority on the July 2005 G8 Agenda. UN Millennium Development Goals aim to double EU aid to 0.7 by 2015 (See Annexe to this Brief for details). The Presidency will represent the EU at the UN Millennium Summit in September; Climate Change, high on the agenda of the G8 meeting to be hosted in Scotland in July, faces US and other opposition to targets; The Doha Development Agenda relates to the current round of World Trado Organisation trade talks – the December WTO Ministerial meeting in Hong Kong will aim to take forward the current round. In the Middle East, the U.K. wants the EU to continue working with international partners to play a major role in the Middle East, in particular as a member of the Quartet for the Middle East Peace Process.

2. With Ireland, the Netherlands, Luxembourg, Austria and Finland, the U.K. developed the six-Presidency ‘Better Regulation’ initiative. This aims to build upon the work of by the Dutch and Luxembourg Presidencies, as well as forthcoming European Parliament proposals on the Services Directive (please see the Annexe to the April 2005 ECCE Brussels Brief for detail on this Directive). Amongst environmental initiatives, work on continuing improvement of the environment should include taking forward proposals on air quality standards.  Progress is sought on the REACH Directive (chemicals) to ensure that the Regulation promotes public health, the environment and competitiveness.  

U.K. Presidency pages: http://www.eu2005.gov.uk 

Luxembourg Presidency news: http://www.eu2005.lu/en/presidence/index.html

RESEARCH AND DEVELOPMENT

° EU research debate - Seventh Framework Programme: Following the European Council meeting in Brussels on 17^th/18th June, the UK Prime Minister Tony Blair questioned the current prioritisation of the EU's budget and called for more focus on research and development.  He highlighted the fact that even under the Commission's proposed financial perspective for 2007-2013, which includes a doubling of EU research spending, 40 per cent of the overall budget would still go to the Common Agricultural Policy (CAP). For further information on the debate: http://www.cordis.lu/fp7/debate.htm

To access CORDIS, the Commission’s research information service: http://www.cordis.lu

° Two new Eurobarometer reports published on the public's perception of science and technology: The surveys, covering all 25 Member States plus candidate countries indicate that around 60 per cent of the European public believes that the EU should spend more on scientific research. To see the two Eurobarometer reports:http://europa.eu.int/comm/public_opinion /index_en.htm

° Background note on why Europe needs research spending: Europe’s competitiveness – measured in terms of standard of living, labour productivity and high-tech trade performance etc, is declining. In 2002 the EU25 ran a trade deficit in high tech products of €33.7 billion. It has been unable to increase its share of this market, while countries such as China have experienced stellar growth. (The International Monetary Fund recently revised the Eurozone’s potential growth downwards to about 2% annually). One recent study found that for each extra percent in public R&D, there is an extra 0.17% growth in productivity. A background note appears on: Full text 

° 6FP funded project received Euro 1.1 million support for space observation to improve risk management of landslides, avalanches and floods in Alpine regions. This is the 15^th and latest project to be funded under the Commission’s “Global Monitoring for Environment and Security” (GMES).  Further information: http://europa.eu.int/comm/space/programmes/gmes_en.html

° Campaign launch of Europe-wide initiative “Researchers in Europe 2005” to promote better awareness of the exciting multi-faceted lives and careers of researchers: over 50 events around Europe include open-door days, exhibitions and theatre productions, the highlight will be “European Researchers Night” on 23 September, where events will be held simultaneously in cities and regions across Europe. http://europa.eu.int/researchersineurope

° There are around 250 regions in the European Commission's Innovating Regions in Europe (IRE) network.  Created in 1996, it has helped many of its members develop regional innovation strategies (RIS) and other projects.  In June, the fourth IRE plenary conference was held in Ljulbjana, Slovenia.  This reflects the priority given since EU enlargement in 2004 to help regions in the new Member States develop their innovative capacity. The conference marked the launch of 45 new initiatives, including 33 RIS projects.

° EIB releases figures on research loans and promises move towards higher risk lending

INFORMATION TECHNOLOGY:  

° U.K. Presidency priorities in ICT : Speaking at a recent conference, Nigel Hickson, head of European ICT policy and regulation at the UK's Department of Trade and Industry advised that the UK will use its forthcoming presidency of the EU to push for strong initiatives for interoperable and collaborative e-business and e-government solutions across Europe, as well as seeking to liberalise the telecommunication industry

EDUCATION:

° Encouraging Future Scientists - Commission launches new website for science education: the Xplora portal - to make science more interesting to young people and encourage them to take up scientific careers http://www.xplora.org

THE ENVIRONMENT:  

° What next for environment funding as EU ‘Life’ programme undergoes review? Within the new financial perspectives (2007-2013), the Commission proposes other financial instruments to fund investment and management measures for the environment. A new programme “LIFE+” would not include current investment projects under LIFE Nature, demonstration actions under LIFE Environment or LIFE Third Countries actions. It would be a “policy support instrument” with a streamlined, simplified approach to Community level support which would integrate into other financial instruments: the structural and rural development funds for nature protection projects; the competitiveness and innovation framework programme (CIP) for environmental technology and eco-innovation; and external assistance instruments for the external dimension of environmental policy. The Commission argues that this "integrated approach" would provide more scope for co-financing, encourage joined-up policy making and better enable funding to reflect national and regional priorities.  Reference: Proposal for a Regulation of the European Parliament and of the Council concerning the Financial Instrument for the Environment (LIFE+)
Full text of Document 9886/05  Suite of documents 9886/05

° Europe’s Environment Commissioner comments on Environment Council Conclusions: EU Environment Commissioner Stavros Dimos welcomed political agreement by the Environment Council on the proposed directive to protect groundwater against pollution. The Groundwater Directive aims to bring a major improvement in the quality of Europe’s groundwater by bridging gaps in the existing groundwater protection regime. It will require Member States to monitor and assess the state of their groundwater and to identify and redress groundwater pollution. It provides clear specifications to ensure that all groundwaters achieve “good” chemical status. Mr. Dimos was less impressed with the Council’s political agreement on the ‘INSPIRE’ (Infrastructure for Spatial Information in the European Union) directive, designed to remove obstacles to the sharing of environmentally relevant data, as it is considerably less ambitious than the Commission’s original proposal.  Under the Commission’s proposal a very wide range of spatial data would be used not only for environmental policy but also for policies such as disaster prevention and emergency response. The data to be covered ranges from basic mapping information, such as geographical names and administrative units, to key environmental information such as emissions, environmental quality and location of protected sites.  The Commission had hoped to remove obstacles by obliging public authorities to improve documentation, to comply with rules ensuring that data systems were interoperable, to share their data with each other and give the public access to the data through a single internet portal.

° European Commission launches web survey to consult on EU Emission Trading Scheme (EU ETS).  The scheme has been in place since January 2005 and the Commission will produce a report on its functioning by mid-2006 which may be accompanied by proposals for amendments to the scheme, such as inclusion of additional sectors and greenhouse gases. The survey will be open until 16 August 2005.  Discussions will take place with stakeholders during 2005 and 2006. The survey and information on the Emissions trading scheme and climate change policy is to be found on: http://www.europa.eu.int/comm/environment/climat/emission.htm

° European Environment Agency report identifies ways Europe can reach a Low Emissions Future (a fall in EU greenhouse gas emissions to 40% of 1990 levels by 2030). The report projects major changes in the EU energy sector by 2030. The sector is now responsible for 80 % of all EU greenhouse gas emissions. Over half EU reductions required would be based on achievable technologies inside Europe: more efficient electricity/heat generation and energy use  in households, industry, services/agriculture and transport, a switch to low-carbon fuels and increases in renewable energy (mainly wind and biomass). Remaining reductions would be achieved by international emissions trading at global level. http://org.eea.eu.int/documents/newsrele ases/ghg_report2005-en  For further details of 2003 greenhouse gas emissions, see annex as well as the EEA press release at http://org.eea.eu.int/documents/newsreleases/ghg_inventory_report-en

° Joint EU and the United Nations conference held on 24th June to focus on efforts made so far in meeting the huge humanitarian challenge resulting from the tsunami of 26th December 2004. Further information http://europa.eu.int/comm/echo/index_en.htm

http://europa.eu.int/comm/press_room/presspacks/tsunami_asia/index_en.htm

http://europa.eu.int/comm/echo/whatsnew/tsunami_en.htm

° CO2 emissions from new passenger cars sold in the EU-15 decreased by 11.8% between 1995 -2003, a 1.2% progress compared to 2002. http://europa.eu.int/comm/environment/co2/co2_home_de.htm

° Environmental cases: Italy was ordered to pay costs for failing to fulfil obligations under Directive 85/337/EEC regarding assessment of the effects of projects on the environment. (Case C-83/03 - Full text of this Judgment) The project in question was Construction of a marina at Fossacesia in the Abruzzo region. Ireland has been ordered to pay costs for failing to legislate on water pollution by dangerous substances Directive 76/464/EEC (Case C-282/02 - Full text of this Judgment). Italy has been ordered to pay costs for dereliction of its waste management duties by allowing businesses to transport their own non-hazardous waste and small amounts of hazardous waste: judgment (Case C-270/03 -Full text of this Judgment ) This relates to Directive 75/442/EEC as amended by Directive 91/156/EEC - Transport and collection of waste - Article 12. France has been ordered to pay costs for failing to report what had been done with urban sewage sludge: judgment (Case C-191/04 - Full text of this Judgment ).  This relates to Directive 91/271/CEE (Article 15, paragraph 4).

See also: http://europa.eu.int/comm/secretariat_general/sgb/droit_com/index_en.htm#infractions

ENERGY:

° Berlaymont Building receives Certificates on Energy Performance: Member States’ experts handed these over to Energy Commissioner Andris Piebalgs. They are one of a number of measures set out in the European legislation on the Energy Performance of Buildings, (Directive 2002/91/EC).  From 2006, all large public buildings in the EU will be required to display them for the visiting public. Buildings account for 40% of EU energy consumption.  More than 1/5 of this energy could be saved by applying tougher standards on buildings. More information: Tren-Building-Directive@cec.eu.int

TRANSPORT:

° The Pluses and Minuses of Alpine tunnels – road v. rail:  1. Closing of Fréjus  tunnels raises safety and environment questions:  This closure followed a fatal accident involving a lorry on 4^th June 2005. Nearly 80% of goods traded between Italy and other EU countries transit through the Alps: two-thirds of this goes by road.  Half of goods transported are concentrated on the Brenner corridor in Austria, the Fréjus and Mt. Cenis in France and the Gothard in Switzerland.  EU Transport Commissioner Jacques Barrot has stressed the need for governments to ensure financing for projects that will support a shift in emphasis from road to rail for Alpine transit.  A ‘super-toll’ on lorries using Alpine routes is an additional means aimed at raising the funding required for rail projects.

http://europa.eu.int/comm/transport/road/roadsafety/roadinfra/tunnels/index_en.htm  Plus,

French language document on European road tunnel safety: La sécurité dans les tunnels routiers européens : http://europa.eu.int/comm/transport/road/roadsafety/roadinfra/tunnels/documents/2003_01_16_memo_fr.pdf

° 2. The Brenner base tunnel co-ordination meeting – towards 2006 construction phase: The 56 km Brenner Base Tunnel is a key element of the TEN-T Priority project n°1 (Railway axis Berlin-Verona/Milan-Bologna-Napels-Messina-Palermo). It is a transalpine tunnel to connect Austria and Italy and allow increased transalpine freight traffic by rail. Traffic and charging studies must now be finalised and further work done on an overall financing and concession model. Timely construction of a pilot tunnel, supported by the Commission, was considered very important to reduce geological uncertainties during the main construction phase and better assess costs. The decision to drill the pilot tunnel should be taken by an Italy and Austria Intergovernmental Commission in early September, to allow works to start by mid-2006. The Commission, currently co-financing 50% of the studies and preparatory works for project preparation, could finance up to 50% of the pilot tunnel. So far it has put around € 40 million into the project. Target date for putting the tunnel into service is 2015.

Reference point: Energy and Transport DG   

INFRASTRUCTURE FINANCING:

° European Investment Bank  

° The European Investment Bank (EIB) is lending EUR 35 million for the rehabilitation and upgrading of a 70-km section of road from Fier to Tepelene in Albania, a key element of its north-south axis. The project is co-financed by the EBRD with a similar loan of EUR 35 million and is supported by EU technical assistance grants. 

° The EIB is granting a EUR 200 million loan to Montpellier Agglomération, France, to extend its urban transport network. The whole loan will be devoted to constructing a second tram line, 19.8 km long and crossing the conurbation from the North-West to the South-East.

° The Annual Meeting of EIB's Board of Governors (the Finance Ministers of the EU Member States) was held in Luxembourg: In 2004 total lending increased by 2.1% to EUR 43.2 billion, of which 92% within the EU-25; the Bank raised EUR 50 billion on the international capital markets to finance lending (in 2003 it raised: EUR 42 billion); the profit and loss statements closed with a net profit of EUR 1 381 million, down 3% from a year earlier.

-   EUR 28 billion, or 70% of total lending within the EU, was devoted to financing investment in assisted areas.

-   Lending for research, development and innovation totalled Euro 7 billion

-   New loans signed for TENS, projects, mainly in the transport sector – totalled Euro 8 billion

-   Protecting and improving the natural and urban environment accounted for 1/3 of total lending within the EU-25 – a new initiative has been taken, particularly in relation to renewable energy.

  ° Further Information on European Investment Bank loans is to be found on http://www.eib.org

° The European Bank for Reconstruction and Development  

° Gaz de France, the EBRD and International Finance Corporation (IFC) are teaming up to help improve gas distribution services for around 1 million households and businesses in southern Romania.  The EBRD stake totals Euro 31 million. Gaz de France International will aim to replace around 45 per cent of Romania’s network within the next eight years

° Information on EBRD activity is to be found on: http://www.ebrd.org

° The European Agency for Safety and Health at Work has set up a new website for professional users on REACH - chemicals and risk management Website home page see also: http://europa.eu.int/comm/dgs/environmen t/index_en.htm

° 1st international conference on safety and security engineering (SAFE 2005) was held in Rome.  The agenda covered recent developments in theoretical and practical aspects of safety and security engineering. The conference covered: crisis management; security engineering; natural disasters and emergencies; terrorism; IT security; man-made hazards; control, protection and mitigation issues. Further info: http://www.wessex.ac.uk/conferences/2005 /safe05/index.html

° A Conference was held on the European Charter for Small Enterprises by the Commission together with the Luxemburg Presidency on 15th/16th June. On the agenda were education for entrepreneurship, better regulation, especially bankruptcy law and impact assessment, and skills shortages, notably measures to overcome the lack of skilled technicians and engineers.

° The European Parliament held a plenary session on 6th – 9th June in Strasbourg. First reading of the INSPIRE Directive regarding spatial planning received its 1st reading by MEPs. The directive sets up an information-sharing infrastructure in areas such as: the environment, urban planning, meteorology, mortality rates. The amendments adopted at the European Parliament's committee stage stress the need for network services to be made available to the public as well as for authorities and agencies which provide the information in different EU Member States.

Energy efficiency was also on the agenda. 

A further Plenary session was held in Brussels 22-23 June at which U.K. Prime Minister Tony Blair presented the priorities of the UK Presidency of the EU for July-Dec 2005.

Some reports of interest include:

Report on the proposal for a directive of the European Parliament and of the Council establishing an infrastructure for spatial information in the Community (INSPIRE) (COM(2004)0516 - C6 0099/2004 - 2004/0175(COD)) A6-0108/2005 Rapporteur: Frederika Brepoels MEP

° IABSE Symposium “Structures and Extreme Events”, Lisbon, 14^th-16th September 2005 

The International Association for Bridge and Structural Engineering.  There is a March 15^th 2005 deadline for receipt of papers for the Symposium. Symposium themes will be: Natural disasters, man-made events (fire, explosions, impacts, etc.) and human errors (mismanagement, design mistakes, defective material, equipment malfunction, etc.) Contact: IABSE Lisbon 2005, Organising Committee, c/o LNEC, Ave. Brasil 101, 1700-066 Lisbon, Portugal | Tel: +351 21 844 3260| Fax: +351 21 844 3025 | Email: iabse.lisbon2005@lnec.pt | www.iabse.org/conferences/lisbon2005

° Communicating European Research 2005, International Conference, Brussels, 14-15 November 2005 the European Commission's Directorate-General for Research will host the second "Communicating European Research" conference. The event will focus on the manifold aspects of science communication and will provide a forum and meeting place for scientists, communication professionals and journalists. The conference will also take stock of the way towards the Seventh Framework Programme. The first announcement of the conference is now available.

Information on the Calls for Proposals for the Exhibition and Forum is now available.

° BETON 2006 Ready Mixed Concrete Congress, Istanbul, Turkey, April 2006

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