European Union

On 13th of June, during the 10th EDA REACH Plenary Meeting, experts from Member States’ Ministries of Defence exchanged views with the European Commission (DG GROW) and representatives of the European defence industry on current developments concerning the European Regulation on Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) and its interaction with defence. 

The aim of the meeting was to jointly explore ways and means to meet REACH’s objectives and ensure a coherent application of the Regulation in the defence sector while, at the same time, minimise its possible impact on the operational capabilities of Member States’ Armed Forces and the EU defence industry’s competitiveness and innovation as an important stakeholder in support of European defence capabilities, including through the implementation of the EDA REACH Roadmap 2018-2020 activities.

The defence industry was represented by the Aerospace and Defence Industries Association of Europe (ASD) / REACH Working Group, National Defence Industry Associations (NDIAs) and individual EU defence industries. REACH experts from the European Space Agency also attended the meeting as observers. 
 

Background

EDA is addressing REACH and its defence implications since 2009, at the request of its participating Member States and in close coordination with the European Commission. 
The Agency’s current work in this field is guided by the EDA REACH Roadmap 2018-2020 adopted by Member States in October 2017. The roadmap encapsulates a wide spectrum of activities and tasks aiming to support in a structured approach the main purpose of REACH, which is to protect human health and the environment, while taking into account the defence specificities. 

EDA regularly invites the European Commission, the European Chemicals Agency and the EU defence industry to EDA REACH meetings, in order to facilitate a closer and more transparent interaction on REACH issues affecting defence, which is considered an important success factor for EDA’s work in this field. 
 

More information:

• EDA REACH Activities 
• EDA REACH Roadmap 2018-2020 
• EDA REACH Portal 

 

Written by Magdalena Sapala and Nurseli Ulvieva,

Following the publication of the study on ‘Performance budgeting: A means to improve EU spending‘, an EPRS roundtable discussion was held in the European Parliament library on 5 June 2018. Speakers, including Martina DLABAJOVÁ (ALDE, Czech Republic, Vice-President of EP Committee on Budgetary Control), Maria Rosa ALDEA BUSQUETS (Deputy Director-General, DG Budget, European Commission), Joël COSTANTZER (Principal Auditor, Financing and Administering the Union, European Court of Auditors) and Magdalena SAPAŁA (Policy Analyst, Budgetary Policies Unit, EPRS), contributed to the lively discussion. EPRS Director Etienne BASSOT delivered a welcoming speech, while the event was moderated by Fabia JONES, acting head of the EPRS Budgetary Policies Unit.

Magdalena SAPAŁA – (Policy Analyst, Budgetary Policies Unit, EPRS)

The roundtable discussion was opened by Magdalena SAPAŁA, an author of the study on performance budgeting, who defined performance budgeting and the main challenges to its implementation. Performance budgeting is a way of allocating resources where the goals can be best achieved, as well as a way of managing public finances based on three main elements: budget, information on performance, and decisions on learning from results. However, highlighting that challenges might be attributed to all three elements of performance budgeting, SAPAŁA noted that a crucial point in performance budgeting is the link between information on performance and decision-making process. Moreover, effective and successful implementation of the method requires a change in thinking about public budgets, based on performance culture and performance ethos.

Martina DLABAJOVÁ (ALDE, Czech Republic)

The next panellist, Martina DLABAJOVÁ focused on her experience of dealing with the topic as a member of the Committee on Budgetary Control (CONT) of the European Parliament and the Rapporteur in the discharge procedure for the EU general budget 2014. DLABAJOVÁ pointed out the need to change thinking around budgetary control, from focusing on errors and mistakes to results, performance, and lessons learned. DLABAJOVÁ noted ‘the biggest failure is that we are very good in highlighting errors, mistakes and frauds that form less than 5 % of the EU budget, instead of focusing on promoting the successful stories that form 95 % of the Union’s tax payers contributions’. She continued by adding that performance and results make it easier for citizens and stakeholders to understand the objectives and impacts of the EU budget. Informing citizens of EU achievements is crucial, as the EU future and its budget are based solely on their trust.

Maria Rosa ALDEA BUSQUETS (Deputy Director-General, DG Budget, European Commission)

The floor was then taken by Maria Rosa ALDEA BUSQUETS, who presented the Budget Focused on Results Initiative and emphasised the European Commission’s commitment to implementing performance budgeting. Continuing with actions taken, ALDEA BUSQUETS pointed out the improved reporting with the Integrated Financial Reporting Package (including the Annual Management and Performance Report), simplification of the Commission’s financial rules, and the execution of a Spending Review. ALDEA BUSQUETS also emphasised that the proposal for the next MFF has an increased focus on EU added value and includes further measures to improve the performance framework such as: drastically reducing the number of ‘corporate’ indicators embedded in the spending programmes, decreasing the number of programmes, and creating more flexibility. However, she also noted that creating a full performance culture is a time-consuming process. Furthermore, she highlighted that many challenges remain in this process, specifically for the EU budget with regards to shared management with Member States, and called for the support of the Parliament, Council, Court of Auditors, as well as other stakeholders in the implementation of performance budgeting.

Joël COSTANTZER – (Principal Auditor, Financing and Administering the Union, European Court of Auditors)

The final speaker, Joël COSTANTZER presented the Court of Auditor’s view on the EU performance framework. He highlighted the Court’s overall support for all initiatives that make the EU more performance-oriented and gave examples of the Court’s special reports published recently and focused on the different aspects of performance and results. COSTANTZER described some limitations to implementation of the method to the EU budget, namely the MFF’s limited flexibility as compared to national budgets, the coexistence of different performance frameworks, the use of a large number of sometimes non-relevant objectives and indicators by the Commission. He added that, for the EU, the discussion on the new MFF is a major opportunity to improve implementation of performance budgeting. Therefore, although the negotiations on the 2021-2027 MFF are still in the initial phase, the Court has already noted the positive changes included in the Commission’s proposal, in particular the strong focus on the European added value and performance. In the future, the Court of Auditors will analyse the proposal in detail and the actual steps taken to improve performance orientation of the EU budget.

The roundtable discussion was followed by a lively Q&A session.

Click to view slideshow.

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