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Quality spending still off the table as Cyprus issues draft budget figures


Brussels — Indicative figures for Europe’s 2014-2020 budget offer little hope of a green future for agricultural and regional spending, according to CEE Bankwatch Network and Friends of the Earth Europe [1].

The figures released today by the Cypriot presidency mean finding agreement at next month’s EU Summit on a 25 percent climate component across the EU budget is unlikely. Twenty-five percent of the EU budget for 2014-2020 dedicated to climate action would encourage even more investment in projects that benefit people and the environment according to the two organisations [2].

Markus Trilling, EU funds coordinator for Bankwatch and Friends of the Earth Europe, said: “The bargaining chips are starting to fall on the table, and it’s clear that future green spending is under threat, in part due to the clamour for overall EU budget cuts being voiced by some member states. But quantity does not equal quality in the EU budget negotiations. If quality spending finally becomes the focus of these budget discussions, Europe can still achieve 25 percent climate spending and make a huge stride forward in tackling its economic and environmental crises.”

The figures do not guarantee a greener future for Europe’s food and farming according to CEE Bankwatch and Friends of the Earth Europe. The €368 billion dedicated to European farming within the EU’s Common Agricultural Policy (CAP) is not conditioned on environmental practices.

Stanka Becheva, food and agriculture campaigner at Friends of the Earth Europe, said: “European citizens want to see farming that provides healthy food for consumers and truly protects the environment. Quality spending could promote fairer and greener farming practices, support sustainable family farms and increase the cultivation of local protein crops.”

A green EU budget would cut our greenhouse gas emissions, create millions of new green jobs and reduce fuel poverty, leaving European households better off by as much as €1,000 every year thanks to cheaper fuel bills, as well as offering a sustainable way out of the economic crisis.

For more information, please contact:

Markus Trilling
EU Funds campaigner at CEE Bankwatch/Friends of the Earth Europe
Tel: +32 (0) 484 056 636
Email: markus.trilling AT foeeurope.org

Notes for the editors:

[1] http://www.cy2012.eu/index.php/en/file/7iV7gepKq3D2nxXo9+AUZw==v

[2] ‘Well Spent: Cohesion Policy that works for the environment’ highlights how European regional spending can work for environment and people: http://www.wellspent.eu/

Clean, green EU spending is possible – New map highlights European regional spending that works for environment and people


Visit http://www.wellspent.eu to see how European projects funded by Cohesion Policy are working for the environment, society and the economy.

Brussels, October 18, 2012 – A new publication released today documenting regional spending during the 2007-2013 period highlights how in times of economic and environmental crisis, Cohesion Policy can guide investments that are sustainable, innovative and really benefit the public. CEE Bankwatch Network, Friends of the Earth Europe and WWF published today a map showing where European regional spending has triggered environmental protection and sustainable development [1] – including public transport, renewable energy and energy efficiency projects.

European spending has often been misguided and damaging, through investments promoting fossil fuel use, carbon-intensive projects or the destruction of nature [2], according to the three organisations. The European budget currently under negotiation for the 2014-2020 period is over a trillion Euro, a third of which should go to Cohesion. The map offers benchmark examples from across Europe for how this money should be spent.

Markus Trilling, EU funds campaigner at CEE Bankwatch/Friends of the Earth Europe said: “Sustainable, effective and environmentally-focused projects are out there – they’re proof that our money doesn’t have to disappear into roads and concrete. The upcoming EU budget is a chance to get it right for people, combining economic recovery with environmental protection.”

Sébastien Godinot, economist at WWF European policy office said: “We want to inspire policy makers with this map so that they look at some of the Cohesion policy projects that run across Europe a little closer. From Portugal to Poland, regions are making positive choices for the environment and enhancing the quality of life for people in everyday situations.”

CEE Bankwatch Network, Friends of the Earth Europe and WWF Europe are calling for 25% of the next EU budget (2014-2020) to be devoted to projects and initiatives that build a decarbonised economy across Europe. Member States must begin to plan how they will use the next EU Budget for environmental protection and resource efficiency, including protection for biodiversity and ecosystems across all Europe’s regions.

For more information please contact:

Markus Trilling
EU Funds campaigner at CEE Bankwatch/Friends of the Earth Europe
Tel: +32 (0) 484 056 636
Email: markus.trilling@foeeurope.org

Sébastien Godinot
Economist at WWF European Policy Office
Tel: +32 (0) 2 740 0920
Email: sgodinot@wwf.eu

Notes for the editors:

[1] Visit http://www.wellspent.eu to see how European projects funded by Cohesion Policy are working for the environment, society and the economy.

[2] EU funds in Central and Eastern Europe: Roadmap to sustainability or dead-end investments.

The CEE Bankwatch map presents environmentally and socially harmful projects financed or in line for financing by the European Union during the period 2007-2013:

https://bankwatch.org/billions/

Covering the Balkans in Soot: The New European Energy Community Strategy Favours Fossil Fuel Reliance


Brussels — Neighbouring countries of the EU from the Western Balkans to Ukraine are planning unsustainable energy futures relying on coal and nuclear. An energy strategy for the region to be approved Thursday by the European Energy Community (1) indicates that such investments in dirty fuels could happen with EU support and financing.

In eight non-EU countries members of the Energy Community – whose goal is to align the members with the EU energy market and policies – it is envisaged that at least 45 percent of the energy capacities to be installed in the next decade will come from lignite, the dirtiest of fossil fuels. If sizeable Ukraine is taken into account, then coal will represent “merely” 32 percent of the new capacity, with hydro accounting for 42 percent and nuclear for another 10 percent. With or without Ukraine, renewables apart of hydro will not surpass 10 percent of the newly installed capacity.

In total, for the period 2012-2020/2021, the planned new installed capacity in the Western Balkans and Moldova is estimated to reach 13.23 GW, an increase of 64 percent as compared to 2009.

“This strategy does not serve the people in the region,” comments Anelia Stefanova, CEE Bankwatch Network Campaigns Director. “Even more, it actually contradicts the founding principles of the Energy Community as it disregards energy efficiency and renewable energy investments, the best alternative for the development of the energy sector from an economic, social and environmental point of view.”

“The Strategy sums up national energy plans in a very matter of fact way, as if it was absolutely fine that a whole region full of countries aspiring to become EU members planned to significantly increase energy production from dirty sources,” Stefanova adds. “But the Energy Community, which also has the EU itself as a member, cannot accept such plans and, what’s worse, support them to get financing from EU sources.”

Such plans for the energy sector would prevent these countries which aspire to become EU members from moving towards the European goal of decarbonising economies by 2050. Furthermore, the new strategy supports the construction of regional energy transport infrastructure that will be primarily used for exports from the neighbouring countries to the EU despite some of these countries being unable to meet their own energy needs.

These plans must be reconsidered, argues Bankwatch, and countries be encouraged to become more resilient by shifting their energy mixes towards local renewable sources.

CEE Bankwatch Network alongside other regional NGOs (2) are now calling on the Ministerial Council of the European Energy Community and on the European Commission not to approve the energy strategy for the region in the current form in which it will be put to vote on Oct. 18 but instead order that a Strategic Environmental Assessment be conducted on the strategy (3). Additionally, as no proper public consultation has been organised during the elaboration of the current strategy, Bankwatch and its partners are calling for a proper involvement of stakeholders in the issuing of a next version of this strategy that has a significant impact on the energy futures of both the EU and its neighbours.

Notes for the editor:

(1) The European Energy Community is a community established in 2005 between the EU and a number of third countries in order to extend the EU internal energy market to Southeast Europe and beyond. With their signatures, the Contracting Parties commit themselves to implement the relevant EU acquis communautaire, to develop an adequate regulatory framework and to liberalise their energy markets in line with the acquis under the Treaty.

*Members: EU, Albania, Bosnia and Herzegovina, Croatia, Macedonia, Montenegro, Serbia, Moldova, Kosovo, plus Ukraine.

More about the strategy to be adopted here:
http://www.energy-community.org/portal/page/portal/ENC_HOME/NEWS/News_Details?p_new_id=6281

A draft of the strategy can be made available by Bankwatch upon request.

(2) Among them, the networks
SEE-NET and SEE Change Net

(3) Link to Bankwatch comments:
https://bankwatch.org/sites/default/files/comments-ECSEE-draft-strategy-15Oct2012.pdf

For more information, contact:

Anelia Stefanova
CEE Bankwatch Campaigns Director
anelias AT bankwatch.org
+ 393338092492

Pippa Gallop
CEE Bankwatch Research Coordinator
pippa.gallop AT bankwatch.org
+385 99 755 9787

Euro Parliament vote sends positive signal for greening the EU budget

Brussels, Belgium — Today’s voting by the European Parliament Budget Committee in favour of at least 20 percent of the future EU budget for 2014-20 going to address climate change, was welcomed by CEE Bankwatch Network and Friends of the Earth Europe.

The environment groups continue though to call for a 25 percent ‘climate mainstreaming’ figure in the final budget deal, to be decided next month, in order to boost EU action on climate change and create thousands of green jobs.

Markus Trilling, EU Funds coordinator for Bankwatch and Friends of the Earth Europe, said:

“Today’s European Parliament vote sends a clear signal to the member states that green spending has to have a strong presence in the final EU budget 2014-20 deal. The budget committee’s backing of the 20 percent climate figure is a step in the right direction. To really reap the benefits of a green EU budget, we believe that 25 percent for climate change measures should be the starting point.

“More jobs, more benefits for people living in Europe via energy efficiency savings and reductions in EU emissions. These are benefits that an ambitiously green budget can provide, and yet currently they’re not getting a look in at the main EU budget negotiating table.

“If you’re someone looking out for how the EU can benefit your family and your local community, as things stand you and millions of others are still in the dark about how EU spending can help. Today’s vote comes just under 50 days before a vital EU summit to finalise the next EU budget’s shape. The member states urgently need to ditch the negativity about the EU budget and focus much more on the clear green positives that it can bring.”

For more information, contact:

Markus Trilling
CEE Bankwatch Network and Friends of the Earth Europe
Tel: 0032 484 056 636
Email: markus AT bankwatch.org

More background on the future EU budget is available at: https://bankwatch.org/our-work/who-we-monitor/eu-funds

European public banks must improve transparency

Brussels – The European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD) score low on transparency according to the ‘2012 Aid Transparency Index’ [1] published today by the campaign group ‘Publish What You Fund’.

With a score of 44% the EIB comes 36th out of 72. EBRD is 21st and scored 54.8% [2]. Both banks lag far behind UK’s DFID (91.2%) and the IDA department of the World Bank (87.9%) which lead the ranking.

Bankwatch EBRD coordinator Ionut Apostol said: “According to the authors of the ranking, the EBRD dropped six places because other donors improved their performance over the past year, while the EBRD has lagged behind, failing to make significant progress on transparency. This news is particularly worrisome as this year the EBRD expanded its area of operations to include North Africa, a region where transparency in building post-revolutionary societies is key.”

Anna Roggenbuck from Counter Balance said: “The index shows that EIB keeps falling behind transparency standards for international financial institution. This is unacceptable for an official EU body. EU citizens and impacted people have the right to know exactly where and how the EU Bank spends its money. To preserve this right the EIB must immediately comply fully with EU legislation on access to information. This implies proactively disseminating comprehensive information on its operations to the public that goes beyond the limited facts which are currently available on its website”.

A particular problem, undermining the transparency of both banks which were created to serve the public interest, is the excuse of commercial confidentially to hide important information from the public. The European Parliament has repeatedly called on the EIB to make more information available [3] especially in the light of the EU growth package which includes a EUR 60 billion increase in EIB lending.

David Hall-Matthews, Director of Publish What You Fund, said: “There is too little readily available information about aid, which undermines the efforts of those who both give and receive it. Transparency is essential if aid is to truly deliver on its promise.”

This is especially true for the EIB and EBRD. Although they are not official aid donors, transparency remains key to align their operations with those of other donors and to make it more effective. The report states that neither bank has increased its efforts on transparency. If their score is slightly higher than last year, this is only due to their performance on newly added standards.

As a first important step the authors call on both banks to sign the International Aid Transparency Initiative (IATI) which offers a global common standard for publishing aid information. Aid information published to this standard is shared openly in a timely, comprehensive, comparable and accessible way.

Notes for the editors:

1. To see all the findings of the 2012 Aid Transparency Index, please visit: http://www.publishwhatyoufund.org/

2. Last years scores: EIB – 26%, place 37 out of 58; EBRD 50%, place 15 out of 58.

3. For MEP’s recommendations on transparency see European Parliament report on the EIB’s own Annual Report for 2010 and
The medium-sized EIB bazooka – Europe’s people and environment must benefit this time around

For more information please contact:

Anna Roggenbuck
+48509970424
annar AT bankwatch.org

Berber Verpoest
+32484508516
press AT counterbalance-eib.org

Climate action missing as ministers dance around EU budget ‘Pandora’s box’

Brussels, Belgium — Today’s General Affairs Council meeting to discuss the EU’s next Multiannual Financial Framework 2014-2020 (MFF) saw further stalemate between those member states seeking to ensure no cuts to the European commission’s outline MFF proposals, and those member states determined that cuts must occur while insisting that the emphasis must instead be on the ‘quality’ of future MFF spending.

CEE Bankwatch Network, an organisation campaigning for a more sustainable future EU budget, expressed its disappointment that for all the talk of quality, climate mainstreaming, one of the fundamental quality drivers within the current MFF proposals, was noticeably absent from the meeting discussions. [1]

The European Commission has proposed that a minimum of 20 percent of the MFF would be committed to tackling climate change in areas including Cohesion Policy, Common Agricultural Policy, Development Policy and Research and Development. Bankwatch is calling for a 25 percent climate action commitment in the MFF.

Markus Trilling, EU Funds coordinator for Bankwatch, commented:

“With only a few weeks to go now until decision time, these Budget 2014-20 negotiations are starting to make a mockery of the aspirations of Europeans, the pressing need to do something about climate change and the imperative to create sustainable jobs.

“The European commission has proposed a 20 percent allocation for climate action in the MFF, we are saying that a 25 percent climate allocation can really help deliver the EU’s 2020 climate change strategy and get the most out of the future budget, for people living in Europe. The member states, though, as we saw today are shadow-boxing around a negotiating box that without real figures attached to it is looking more and more like Pandora’s box.

“The longer that real figures remain off the table, the more likely it is that climate action will get crunched in the final outcome. Even if some ‘green’ concessions gain agreement, and increased percentages of climate money allocations are introduced, an overall reduced budget for 2014-20 could well lead to the perverse situation where, in real terms, there is less money than in previous budgets for vital climate spending. It’s time to see the figures, and for member states to make the case explicit for a high quality, climate action focused MFF.” [2]

For more information, contact:

Markus Trilling, EU Funds coordinator, CEE Bankwatch Network
Tel: +32 484 056 636
Email: markus AT bankwatch.org

Notes for editors:

1. Bankwatch was one of the signatories to a letter published on September 20 in the European Voice, making the case for increased climate action allocations in the EU budget 2014-20, available at: http://www.europeanvoice.com/article/imported/climate-change-must-be-part-of-budget-talks/75189.aspx

2. [2] A recent Bankwatch study suggests real figures for seven CEE countries by compiling investment needs for the energy efficiency and renewables sectors. Read more in Bankwatch’s press release:
https://bankwatch.org/news-media/for-journalists/press-releases/no-half-measures-investment-needs-energy-efficiency-and-re