28.02.2012 - CoR fears the Hungarian case sets precedent
for the extension of macroeconomic conditionality to all structural funds post
In relation to the European Commission's proposal to suspend 495
million euros of the Cohesion Fund commitments in Hungary for 2013 due to the
country's failure to address the excessive government deficit, all political
groups in the Committee of the Regions (EPP, PES, ALDE, EA) has shared the
following joint position:
The Committee of the Regions was, and still is, against macroeconomic
conditionality. Even though the proposed decision concerns specifically the
Cohesion Fund, which is managed by central governments, it is clear that such a
measure would have a serious impact on the final beneficiaries of transport,
energy, and environment infrastructure projects.
The main beneficiaries of such projects are local and regional authorities
and ultimately, local communities, who have all been seriously hit by the
current financial and economic crisis. Should the suspension option prevail, it
is those beneficiaries who would also suffer the repercussions of the
interruption of relevant long-term investment programmes.
Nonetheless, even if macroeconomic conditionality complies with the current
legal framework, it is clear that the European Commission's underlying political
strategy is to promote the extension of this approach to the programming period
post 2013. The CoR is firmly opposed to this stance.
For more information, please contact:
(0)2 282 2461
(0)2 282 20 85