Cohesion Policy: local and regional leaders debated with EVP Fitto new priorities and flexibility measures

The European Commission's Executive Vice-President (EVP) Fitto joined the plenary of the European Committee of the Regions (CoR) to present the recent proposals for Cohesion Policy’s Mid-Term review. Members welcomed that the European Commission recognised the need to support EU regions facing existing as well as new priorities, such as the housing crisis and water resilience. However, concerns were raised especially on possible additional administrative burden of the reprogramming exercise, and the risk of diverting Cohesion Policy from its long-term objectives. Local and regional leaders also reiterated their opposition to any attempt to centralise Cohesion Policy.

Right after the official presentation to the European Parliament earlier this week, on 3 April EVP Raffaele Fitto presented to EU local and regional leaders the main proposals included in the Mid-Term review of Cohesion Policy programmes. CoR members welcomed the Commissioner’s openness to dialogue and his commitment on the respect of Cohesion Policy’s core principles such as the place-based approach, the partnership principle and multilevel governance. Today’s exchange kicks off the CoR work to assess and improve the proposals, which give the possibility – on a voluntary basis – to redirect Cohesion Policy resources to 5 priorities: competitiveness, defence, affordable housing, water resilience and energy transition.  

Keeping Cohesion Policy as a long-term investment tool

The debate highlighted the members’ appreciation for the possibility to redirect investment in particular towards housing, water resilience and security, although – they warned - this cannot jeopardise the nature of Cohesion Policy as a long-term investment policy. The reprogramming exercise may imply administrative burden and complexity - argued other members - while regulatory stability and predictability is essential for fast and effective delivery of Cohesion Policy. Moreover, doubts were expressed on the potential impact on territorial disparities of the opening of Cohesion Policy financing to large companies. The main focus, highlighted the debate, should be kept on supporting SMEs. Concerns were raised also on a possible collateral effect of 100% EU financing rate on the already programmed policy priorities.   

Quotes

Kata Tüttő, President of the European Committee of the Regions: “The proposed flexibility is an opportunity. We need to look at this proposal with the glasses of an optimist. I see housing and other crucial priorities as water and energy resilience, preparedness as crucial for the EU. We know that the devil is in the details, but it is now up to regions and cities to decide on using the opportunity. This includes also using the freedom to not modify current investment plans if they are good and effective. But those who need to adapt and use flexibility are now empowered and supported in doing it." 

Raffaele Fitto, Executive Vice-President of the European Commission: “This proposal aims at ensuring that Cohesion Policy remains not only effective but adapted to unprecedented challenges and realities on the ground. We are giving Member States and regions the opportunity to spend in new specific areas. This is a voluntary choice, and I am committed to defend the core principles of Cohesion Policy, which will remain a fundamental component of the EU long-term budget after 2027. We are ‘Team Cohesion’ and we must join forces to modernise Cohesion Policy, together."

Juanma Moreno, First Vice-President of the CoR, commented: “The objective cannot be to question Cohesion Policy or to use it for other purposes. In any case, this review could serve as an opportunity to update Cohesion Policy in light of new needs and priorities and to secure additional resources for it. Defence, affordable housing, water resilience, energy transition, and decarbonisation, as proposed by the Commission, are all relevant issues. It is about recovering the EU's competitiveness."

Background

• Video and photos from the debate.
• During the plenary session on 20-21 November, the European Committee of the Regions adopted a package of opinions defining the building blocks of Cohesion Policy after 2027. Press release.
• Cohesion Policy worth nearly € 370 billion of EU funds in the current programming period 2021-2027, or one third of the EU long-term budget.

Contact

Matteo Miglietta
Tel. +32 470895382
Matteo.Miglietta@cor.europa.eu