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opinion parliamentary committee draft, 23 November 2023

On 2022 discharge: General budget of the EU - Commission

Document AFET-PA-755024 · (2023/2129(DEC))

Committee on Foreign Affairs · Rapporteur: Katalin Cseh

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AI:In short

The Committee on Foreign Affairs gives its suggestions to the Committee on Budgetary Control for the 2022 discharge of the EU general budget, focusing on the Commission's external spending. It notes that Russia's war of aggression against Ukraine increased pressure on EU partners and the need for humanitarian aid, and that the NDICI-GE instrument adapted quickly but was depleted early. It asks the Commission and the EEAS to improve how funding is allocated to countries, to simplify indicators, to standardise the two approaches used for Neighbourhood and non-Neighbourhood countries, and to revise the nomenclature for transparency. It notes the mobilisation of the European Peace Facility and the Court of Auditors' recommendation on sequencing EU defence planning tools, and calls for continued budget support for peace, stability and human rights in the Middle East. It highlights the Global Gateway initiative and says it must be focused and clearly structured so resources are used in the best way possible.

Position. The Committee on Foreign Affairs proposes that the Committee on Budgetary Control incorporate its suggestions into the motion for a resolution on the 2022 discharge, focusing on improving the Commission's and EEAS's management of external funding instruments.

Key points

  1. The Committee on Foreign Affairs calls on the Committee on Budgetary Control to incorporate its suggestions into its motion for a resolution on the 2022 discharge.
  2. It notes that the audit year covers Russia's war of aggression against Ukraine, which increased pressure on EU partners and the need for humanitarian assistance.
  3. It welcomes the flexibility of the NDICI-GE instrument in adapting quickly, but urges the Commission and the EEAS to ensure its cushion is used more as intended, since early use depleted it beyond its core purpose.
  4. It takes note of the European Court of Auditors' Special Report on programming and highlights deficiencies in funding allocation methodologies and the monitoring framework.
  5. It recommends that the Commission and the EEAS improve the funding allocation methodology and impact assessment, focus the programming process, and simplify and consistently use indicators in multiannual indicative programmes.
  6. It suggests revising the nomenclature during the mid-term evaluation of the Instrument to add detail for transparency, predictability, accountability and scrutiny, and to help the budgetary authority make choices reflecting political priorities.
  7. It regrets the two different approaches used by the Commission and EEAS for allocating funding to Neighbourhood and non-Neighbourhood countries, and asks that they be standardised, comparable and transparent to facilitate the audit trail.
  8. It notes the mobilisation of the European Peace Facility in response to Russia's military aggression against Ukraine, which marks a paradigm shift for EU foreign and security policy.
  9. It notes the European Court of Auditors' Special Report recommending sequencing of existing EU defence planning and cooperation tools to assess how to further develop planning for EU defence funding.
  10. It underlines that the Union budget must continue to support peace and stability in the Middle East, combat hate and fundamentalism, and promote human rights, and awaits the Commission's review on the use of Union funds.
  11. It highlights the importance of the Global Gateway initiative for connectivity, green and digital cooperation, and says it needs to be focused and clearly structured so resources are used in the best way possible.

Who is affected

  • The Commission and the EEAS, which are asked to improve funding allocation, simplify indicators, standardise approaches and ensure the NDICI-GE cushion is used as intended.
  • The Committee on Budgetary Control, which is asked to incorporate these suggestions into its motion for a resolution.
  • EU partner countries, which face increased pressure and need for humanitarian assistance due to Russia's war against Ukraine.
  • The Middle East region, which the Union budget must continue to support for peace, stability and human rights.

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Full text

Suggestions 6 paragraphs

The Committee on Foreign Affairs calls on the Committee on Budgetary Control, as the committee responsible, to incorporate the following suggestions into its motion for a resolution:

1.Calls attention to the fact that the current year of audit is the one during which Russia launched its war of aggression against Ukraine, the worldwide effects of which have dramatically increased pressure on many EU partners and the need for humanitarian assistance ; expresses satisfaction that the flexibility of the Neighbourhood, Development, and International Cooperation Instrument – Global Europe of the Neighbourhood, Development, and International Cooperation Instrument – Global Europe (NDICI-GE) allowed the Union to quickly adapt to the extraordinary set of circumstances; urges, however, the Commission and the EEAS to take further measures to ensure that the cushion of the Instrument in the future is used more as intended, since its excessive early use has resulted in its being depleted very quickly and used beyond its core purpose of responding to emerging challenges and priorities;

2.Takes note of the European Court of Auditors’ Special Report regarding the programming comprehensively designed, addressing a broad range of partner country needs and EU priorities; highlights the identified deficiencies in the methodologies used for allocating funding to countries and in the setup of the monitoring framework; recommends therefore that the Commission and the EEAS improve the methodology for allocating funding and the assessment of the impact of EU support, focus the scope of the programming process, simplify and consistently use the indicators in the multiannual indicative programmes; suggests, in the framework of the mid term evaluation of the Instrument that the nomenclature be revised introducing a higher level of detail for transparency, predictability, accountability, scrutiny, and to enhance the budgetary authority’s capacity to make choices reflecting political priorities; regrets the two different approaches applied by the Commission and EEAS within the Instrument for the allocation of funding to Neighbourhood and non-Neighbourhood countries and asks that they be standardised, comparable and transparent in order to facilitate the audit trail;

3.Notes the mobilisation of the European Peace Facility in response to Russia’s military aggression against Ukraine which marks a paradigm shift for EU foreign and security policy; notes the Special Report of the European Court of Auditors which recommends sequencing of existing EU defence planning and cooperation tools to assess how to further develop planning for EU defence funding;

4.Underlines that the Union budget must continue to provide support to build peace and stability in the Middle East region, to combat hate and fundamentalism and to promote human rights; awaits the review the Commission is conducting on the use of Union funds;

5.Highlights the importance of the Global Gateway initiative which can significantly contribute to initiatives on connectivity, green and digital cooperation and that it needs to be focused and clearly structured in order for the resources to be used in the best way possible;